Federal Reserve Bulletin, 1971-07

F E D E R A L R E S E R V E BULLETIN * ★ * * * * f^ A L JULY 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

F E D E R A L RESERVE BULLETIN NUMBER 7 □ VOLUME 57 □ JULY 1971 CONTENTS 551 Industrial Production— Revised and New Measures 577 Staff Economic Studies: Summaries 579 Changes in Time and Savings Deposits, January-April 1971 592 Statements to Congress 599 Record of Policy Actions of the Federal Open Market Committee 607 Law Department 627 Announcements 637 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 74 International Statistics A 106 Board of Governors and Staff A 107 Open Market Committee and Staff; Federal Advisory Council A 108 Federal Reserve Banks and Branches A 109 Federal Reserve Board Publications A 113 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

Industrial Production— Revised and New Measures In this edition of the production index 1967—and various new measurement fea­ detailed adjustments have been made to in­ tures have been added to improve analysis dependently compiled Census-Federal Re­ of national economic developments. serve benchmark and annual production All of the revisions have been carried levels for individual series. Many new series back in detail to 1954 and in a more limited have been developed for a total of 227. fashion to 1939. The index comparison base About two-thirds of the monthly measure­ has been updated from the 1957-59 average ments based on manhours have been re­ to the single year 1967. Conversion to the placed by series based on consumption of new comparison base has been carried electric power. New weight bases have been back to the beginning of the index in Jan­ incorporated—the latest being for the year uary 1919. THE FIRST GENERAL REVISION of the Fed­ more than offset by further decreases in eral Reserve monthly index of industrial pro­ both business and defense equipment. After duction in over a decade shows that the cur­ increases in April and May and little change tailments after October 1969 and the in June, the new index was at an estimated upturn after November 1970 have been level of 107 per cent of the 1967 average. broadly similar to the movements indicated This is 4 per cent above last November’s by the old index; that the expansion from strike low but is 4 per cent below the Sep- 1963 to 1969 was more rapid; and that tember-October 1969 pre-recession level. differences in the record of growth and Output of consumer goods is somewhat monthly movements for the period 1954 higher and output of construction products to 1963 were relatively small (Chart 1). is about the same as at that time, but equip­ The new total index this year has been at ment is down 18 per cent. a level somewhat lower than it was before the Relative to 1963, the new index in 1969 auto strike occurred last autumn, as a recov­ was about 4 per cent higher than the old ery in output of consumer goods has been index. This reflects mainly an improvement Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

552 FEDERAL RESERVE BULLETIN □ JULY 1971 1 Industrial Production RATIO SCALE, 1967=100 Data seasonally adjusted. Latest month, June estimate. in the representation of output of business than the previously available data had in­ and defense equipment, which showed such dicated. a sharp expansion in that period, and a The new index declines somewhat less in better measurement of consumer goods out­ the 1967 and 1958 downturns than the old put. The greater growth of total production index. The revision during and around in those years means that the rate of indus­ World War II shows less expansion in 1941— trial output per manhour increased more, 42, more thereafter to early 1944, and then and that the rise in labor costs per unit of less decline subsequently. output at industrial establishments was less, Over the past three decades there have 2 | Industrial Production Data seasonally adjusted. Latest month, June estimate. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 553 been substantial changes in the relative im­ erally been smaller than for manhours. Im­ portance of major segments of industrial plied productivity changes based on the new production: According to the market group­ index are much less dependent on projec­ ings of the new index, output of consumer tions of output per manhour than the old goods declined from 39 per cent of total index. The power data, however, do not be­ industrial production in 1939 to 28 per cent come available for the latest monthly inter­ in 1969. The share of total equipment out­ val so soon as the manhour data. put for business and military purposes more New measures have also been developed than doubled—from 9 to 20 per cent. The to provide additional information about remaining portion of output, which repre­ strategic cyclical and trend developments in sents intermediate products and materials, the industrial sector of the economy. These fluctuated around a level of 52 per cent. measures include (1) new market groupings Over the same period, total industrial pro­ of materials and industrial products to pro­ duction increased further as a proportion of vide more appropriate data for analyzing gross national product, in constant dollars, to industrial inventory and input-output devel­ about three-eighths at the cyclical peak-year opments and (2) new supplementary meas­ of 1969. ures of the gross value of industrial products The new total index and its major market expressed in constant dollars to permit more and industry divisions provide firmer indi­ suitable comparisons with deflated series for cations of movements in output because the aggregate expenditures. Also, an improved new monthly series are adjusted to more basis is provided for comparing changes in comprehensive, independent annual levels production with manhours worked and for the whole period from 1939 through other inputs, sales of industrial establish­ 1968 (and 1969 for most major categories). ments, and labor costs; this is accomplished Also, beginning in 1963, monthly series in part by the use of a revised industry representing about one-third of the total grouping that is consistent with the Stand­ index are based on new data for electric ard Industrial Classification (SIC) struc­ power consumption developed by the Fed­ ture at all levels of compilation. eral Reserve System with the cooperation of A summary of the statistical revisions in utility and industrial companies. The data the new index begins on page 572; data be­ are classified by industrial establishments ginning 1967 for major market and industry and are adjusted to allow for annual changes groupings are provided on pages 574-76.A in power use per unit of output. These data comprehensive, descriptive analysis of how on power consumed have been introduced as the new measures are compiled, together production indicators to reduce substantially with detailed historical figures, is expected the dependence on adjusted monthly man- to be available within the next few months as hour data, which had previously been used a separate publication entitled Industrial where adequate physical product data were Production: 1971 Edition. The date of that not available. publication will be announced in the Federal The electric power data have several ad­ Reserve Bulletin and in the monthly vantages: They measure consumption for the Business Indexes press release. entire period covered, while the manhour REVISED LEVELS series relate to one payroll period during the month. Coverage of the power series is up­ The new total index in June 1971 was 107.0 dated regularly by including all new, large per cent of the 1967 comparison base, as customers. The production adjustment fac­ compared with 111.7 at the autumn 1969 tors per unit of power consumed have gen­ pre-recession level, as may be seen in Chart Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

554 FEDERAL RESERVE BULLETIN a JULY 1971 1. According to the old index, total pro­ the 1939 to 1947 interval have been re­ duction had reached its pre-recession high placed by 1939 weights. in July 1969. To facilitate comparisons According to the new index, industrial between the new index and the old, Chart 1 production has increased at an average has been designed to show the new index on annual rate of 4.6 per cent since 1947. the 1967 base and also on a 1954 base (the The rates of increase in both new and old initial year for the detailed historical re­ indexes were above average twice in the earlier part of the post-World-War-II pe­ vision) for comparison with the old index riod and again in the late 1960’s. The on the same base. By using the first year higher rates reflected for the most part the (1954) of the revision period as a common effects of wartime influences on demands for reference base, it is possible to see more industrial goods—first the impact of the clearly the cumulative effects of the revision reconversion needs after World War II for the period covered. This comparison for ended (1945-47), then the Korean war the 17-year period shows that the new index period (1950-53), and finally the escala­ in 1969 (213.7 per cent) was 6 per cent tion of the Vietnam conflict (1965-68). higher than the old index (201.4 per cent). In this revision the manufacturing and On balance, little of the difference can be mining series have been adjusted in detail to attributed to weight changes; replacement changes in the comprehensive Census-Fedof 1957 weights with 1954 weights increased eral Reserve production benchmarks for the growth shown for the 1954 to 1958 in­ the years 1954 to 1958 and 1958 to 1963; terval, while the introduction of later-year the index had previously been adjusted to weights tended to decrease the amount of such benchmark changes for manufacturing growth shown by the new index, reflecting from 1939 to 1947 and from 1947 to 1954. the weight changes listed on p. 573. Annual levels for the intervening years Over the longer period since 1939 cov­ 1955-62 and for the years 1964 through ered by the revision of the total index and its 1968 have been adjusted, where adequate major divisions, the new index increases monthly physical product data were not even more relative to the old index. This is available, to the detailed results of a new because the cross weights previously used for annual production index program for all 3 Output of Durable Manufactures Data seasonally adjusted. Latest month, June estimate. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 555 4-digit manufacturing industries based representation of defense products output, largely on deflated data from the Census as is discussed later. The shift to the use of Annual Survey of Manufactures. (Records 1967 weights, which reflect the effects of of these data back to 1954 are available for 1967 instead of 1957 price relationships, inspection in the offices of the Board’s Di­ increases the importance in the total index vision of Research and Statistics.) Independ­ of more sensitive series such as metals and ent annual indexes have also been compiled metal products—including defense equip­ for the mining industries. The electric and ment—relative to some other series that tend gas utility components of the index do not to be more stable. require benchmark adjustment, because For the 1954-63 benchmark interval the these components are based on nearly com­ revisions in the old index and its major di­ plete reporting. visions were negligible, if comparisons are The upward revision of 4 per cent in the based on the same weight periods, as was total index for the period from 1963 to 1969 announced in the Bulletin for June 1967. was centered in durable goods manufactur­ For about half of the 2-digit groups, how­ ing industries. Revisions there (shown in ever, the revisions indicated were sizable. Chart 3, without being equated at the first For the period 1947 to 1954, no revisions year shown) reflected mainly the improved have been made in basic series. The indexes representation of the extraordinary expan­ have simply been converted to the new— sion in production of business and defense 1967—comparison base, and rearrange­ equipment. The relative amount of expan­ ments have been made in the market classi­ sion in the latter grouping of series was fications to provide groupings of series that similar to that in the old index and the cur­ are more comparable with those compiled tailment since 1968-69 is less, but its im­ for the period since 1953. portance is much greater in the new index. Revisions for the World-War-II interval The new production index showed a have been accomplished mainly by adjusting slightly larger contraction than the old index some major groupings of series to new an­ after the summer of 1969, in part because nual levels for the years between 1939 and the new index is based on 1967 instead of 1947 and all published major divisions of 1957 weights and it has a more adequate the index to the Census-Federal Reserve TABLE 1 INDUSTRIAL PRODUCTION AND RELATED SERIES: Rates of Increase Compared by Periods Per cent 1939 1947 1953 1959 1964 1947 Series to to to to to to 1947 1953 1959 1964 1970 1970 Industrial production....................... 7.7 5.7 2.8 4.7 4.6 4.4 Manhours 1...................................... 6.3 1.2 -1.9 .4 1.2 .2 Compensation 2............................... 14.8 9.4 3.9 4.5 7.4 6.3 Productivity (IP/Manhours)............ 1.3 4.4 4.8 4.4 3.3 4.2 Unit labor costs (Comp./IP)........... 6.5 3.5 1.1 — .2 2.7 1.8 Wholesale prices 3........................... 7.5 2.7 1.7 .0 2.6 1.8 1 Bureau of Labor Statistics production-worker data grouped and partly estimated by Federal Reserve. 2 Total employee compensation, including value of supplements, based on estimates of the Office of Business Economics with Federal Reserve projections for 1970. 3 BLS index for nonfarm goods. Note.—Data compounded from the first to the last year shown for each period. Using trend line based on least squares, the rate of increase for industrial production from 1947 to 1970 is 4.6 per cent. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

556 FEDERAL RESERVE BULLETIN □ JULY 1971 manufacturing benchmarks from 1939 to effects of World War II carried over into the 1947, using 1939 weights. Certain modifi­ postwar period and affected industrial output cations in monthly representation of series up through 1948. Later, influences asso­ and revisions in seasonal adjustment factors ciated with the wars in Korea and Vietnam have also been introduced for that period. in the 1950-53 and 1965-69 periods con­ Broad historical changes in total indus­ tributed to rapid expansion in output of trial production and in several related series equipment and of industrial materials for are shown in Table 1, which covers the last inventory purposes. three decades broken down into five periods 4 | CYCLES in Industrial Production ranging from 5 to 8 years in length. The table also shows averages of the changes during four postwar periods. After the ini­ tial period, which covered World War II, there are four intervals of varying growth rates. One of the periods of faster growth, from 1959 to 1964, was one of stable com­ modity prices; in that period the average rise in production somewhat exceeded the rise in employee compensation and unit labor costs declined. Two (1947-53 and 1964-70) of the other three periods were affected by wartime influences; all three were characterized by large increases in demands for and output of equipment and by broad price advances. CYCLICAL FLUCTUATIONS Cyclical movements in the national economy reflect mainly fluctuations in industrial out­ put of consumer and capital goods and of materials—although cyclical fluctuations in construction activity are also important. In the production index, measures for these goods are calculated from monthly product or establishment-type input data, which are independent of price changes. Such results can be expected to differ at times from those based on company-type data reported in current dollars, and then deflated by price indexes. The five business cycles that have oc­ curred since 1947 have been influenced by a variety of factors; consequently, these pe­ riods of expansion and contraction have varied considerably in degree and duration, as shown in Chart 4. Some of the major Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 557 These marked increases in output for in­ defense production from the 1968 peak has vestment relative to consumption in those now totaled about 30 per cent, according to periods and in 1955-57 led to price and in­ the new index (Chart 11). come imbalances, which were followed by Economic activity failed to bottom out by cyclical downturns. Readjustments also oc­ mid-1970 as production of defense and busi­ curred in 1951 and 1967, but their extent ness equipment was curtailed further and was limited, because curtailments in the output of materials was reduced by a slower civilian sectors of the industrial economy rate of inventory accumulation. In addition, were largely offset by marked expansions in a major auto strike, which began on Sep­ production for defense purposes. In both tember 15, contributed to an accelerated instances, however, total production in­ decline in the total production index through creased for another 2 years, but when de­ November. Immediately after the strike— fense production was cut back, cumulative that is, up through February of this year— declines developed in the over-all economy the index showed only a partial recovery. In —in 1953-54 and to a lesser extent in following months there was some further 1969-70. recovery, but by June the total index was The new index shows that the length of still 4 per cent below the 1969 pre-recession the decline in the relatively moderate reces­ level. sion in 1960-61 was about the same as in Total inventories of durable goods had each of the previous three postwar reces­ been built up to high levels in 1969, and sions, that is, 8 months. In this comparison although the rate of accumulation dimin­ May is used as the pre-recession level in the ished in 1970, there was no net reduction in 1960-61 cycle even though the total index business inventories. This was in contrast reached its peak in January. That peak and to earlier postwar readjustments and helped the subsequent decline to May reflected the to account for the more shallow and ex­ special effects of the extended steel strike in tended decline and the weaker recovery 1959 on output of materials. Output of final (apart from the effects of the auto strike). products increased until May 1960 before a In addition, expectations of rising prices and general decline began. the accumulation of inventories had contrib­ The amount of the decline in 1969-70 uted to increases in output of business equip­ was also moderate, but the curtailment pe­ ment in 1969 to far above its long-term riod persisted much longer than in any of trend. Although equipment demands from the four earlier postwar readjustments, as some industries, notably electric utilities, continued expectations of inflationary devel­ have remained strong, output of business opments here and abroad served to maintain equipment has declined further in recent business demands and delayed readjustments months. in inventories and capital outlays. Among A factor contributing to the lack of re­ other influences sustaining demands and newed expansion in the industrial economy expectations during the first half of 1970 during 1970 was evidence that supplies as were increases in social security payments well as takings of consumer goods were at and Federal salaries and decreases in Fed­ high levels. Some portion of these reflected eral personal income tax rates. Continued a further marked expansion in imports of international tensions in Vietnam and the consumer goods in 1970, which continued Middle East and rising prices and wages into early 1971. have limited the cutbacks in defense ex­ A further recovery this year in residential penditures, although the over-all decline in construction—housing starts have risen to Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

558 FEDERAL RESERVE BULLETIN □ JULY 1971 levels that were half again as high as in the ences from the regular value-added system spring of 1970—and possibilities of work of weights. stoppages in the metals industries have con­ In the new index the grouping for mate­ tributed to increases in business demands rials is limited to those that are produced for industrial products and materials. for further processing within the industrial sector, while the new total products series REVISIONS IN MARKET GROUPINGS represents all goods that leave the sector, in­ A number of improvements have been made cluding both final and intermediate products in the structure of market groupings in the (the latter were classified as materials in the new index. These revisions reflect the com­ old index). Consequently, differences in pilation of new series and various refine­ movements between the new measures for ments in classification that should provide materials and products should provide better information about changes in production indications of production imbalances and and should help to highlight strategic eco­ changes in inventories of materials at indus­ nomic developments. The major innova­ trial establishments than the old series for tions are summarized in Table 2, which materials and final products. shows the new major groupings of products To provide a better delineation of the new and materials and their relative importance. market categories and to serve other analyti­ These are listed in the first column in value- cal uses, various revisions have also been added terms for the new comparison- and made in the scope of these categories. weight-year, 1967. The other four columns Among the most important of these has been relate only to final and intermediate prod­ the improved representation of the groupings ucts. They show the relative importance of for defense equipment. New series have been these products in the new supplemental developed for electronic communication gross-value-weighting system and the differ­ equipment, for aerospace systems, for Air TABLE 2 INDUSTRIAL PRODUCTION MARKET STRUCTURE AND RELATIVE IMPORTANCE IN 1967 Differences be­ Proportions tween gross value in total and value-added Series proportions Per­ Value added Gross Points cent­ value age 100.0 Products, total.................................................... 62.2 100.0 100.0 .0 .0 48.9 78.7 79.8 +1.1 +1.4 Consumer goods........................................ 28.5 45.9 52.3 +6.4 + 13.9 Durable.................................................... 7.9 12.7 14.5 +1.8 -\-14.2 Automotive products......................... 2.8 4.6 6.8 +2.2 +47.8 5.0 8.0 7.7 -.3 -3.8 20.7 33.2 37.8 +4.6 +7 3.9 Clothing.............................................. 4.3 6.9 6.8 -.1 -1.4 Consumer staples............................... 16.3 26.3 31.0 +4.7 + 17.9 9.3 15.0 14.5 -.5 -3.3 Equipment.................................................. 20.4 32.8 27.5 -5.3 -16.2 Business................................................... 12.7 20.5 18.1 -2.4 -11.7 Industrial............................................ 6.8 10.9 8.7 -2.2 -20.2 Nonindustrial...................................... 6.0 9.6 9.4 -.2 -20.8 7.7 12.3 9.4 -2.9 -23.6 Intermediate products..................................... 13.3 21.3 20.2 -1.1 -5.2 5.9 9.5 9.4 -.1 -1.1 7.3 11.8 10.8 -1.0 -8.5 Materials ......................................................... 37.8 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 559 Force ordnance, and for ships produced in lar amounts than as points in the production private yards for military purposes. Intro­ index. duction of these new classifications, as well The gross value measures represent the as new series and revisions in old series and constant-dollar amounts of all final and in­ weights, has doubled the relative importance termediate products made at industrial estab­ of the defense equipment grouping in the lishments. The figures have been adjusted to total index. include Federal excise taxes paid by indus­ New supplementary weight system. Pro­ trial producers but not local sales taxes. duction series combined with value-added They do not include wholesale and retail weights continue to constitute the main distribution mark-ups—with exceptions for market and industry structures of the total the fluid milk and residential utility series. index expressed in index numbers. However, They include output for export, but not im­ this edition of the index also includes for ports of final products, which are included publication over the period since January in estimates of final expenditures. In each 1954 a new system of measures of indus­ case the gross value measures include the trial products in the market grouping. The value of farm products and the value of new system is based on a combination of imported materials incorporated in the in­ individual series using gross value weights. dustrial products, in addition to the value- Introduction of this supplementary system of added output of industry. They are without measures follows extensive study and experi­ duplication since only one stage of output mentation beginning with the initial publi­ is represented. cation in the October 1951 Bulletin of The second and third columns of Table 2 gross value of output indexes for major con­ show the percentage distributions of total sumer durable goods. final and intermediate products (that is, ex­ The new gross value system for the whole cluding materials) by market groupings on range of industrial products involves no a value-added and on a gross value basis, differences in series classification—the class­ respectively. The final two columns present ifications follow exactly the value-added actual and relative differences between the market groupings for products. But there value-added and gross value measures for are two differences: One is in the weights these product groupings. employed; the other is that the figures are One of the main differences in the two expressed in constant dollars instead of as weighting systems is that consumer staples index numbers. are more important in the gross value meas­ When gross values are used to combine ures. The chief reason for this is that food product series into constant-dollar ag­ materials purchased from agriculture make gregates, they provide more appropriate up a high proportion of the value of manu­ measures of commodity flows beyond the factured foods—about three-fourths in the materials stage than the value-added com­ case of meat packing. Because food manu­ binations. Because they include the value of facturing grows more slowly than output of inputs incorporated at successive stages, the most other industrial products, a measure of gross-value-weighted aggregates are more the gross value of total industrial product— comparable with other gross value series, with a heavy weight for manufactured foods such as foreign merchandise trade; retail —usually expands at a slower rate than a sales; and manufacturers’ shipments, inven­ corresponding value-added measure. An­ tories, and new orders. Finally, the relative other major difference is that automotive importance of the output series can usually products have more weight in the gross value be more readily understood in constant-dol­ than in the value-added system. On the other Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

560 FEDERAL RESERVE BULLETIN □ JULY 1971 5 I Output of Industrial Products by 5 Major Markets BILLIONS OF 1963 DOLLARS 160 1955 1957 1959 1961 1963 1965 1967 1969 1971 Quarterly data for gross value series, seasonally adjusted. Latest data, Q2. hand, the relative importance of business ness inventories were still at advanced levels, and defense equipment is less in the gross and there were further marked curtailments value measures because the value added per in output of business and defense equipment. unit of materials for these products is greater Changes in output of defense equipment are than it is for consumer goods. another example. After the acceleration of Movements for five major groups of the Vietnam war in 1965 output of such industrial products in gross value terms are equipment expanded so much that by 1968shown in 1963 dollars in Chart 5. The fig­ 69 it had contributed about as much to the ures are presented as quarterly averages of increase in industrial product as output of the monthly series to portray more clearly business equipment for domestic use and the broad pattern of fluctuations over the export. whole period back to 1954. The timing and The recent readjustment in output of busi­ extent of changes vary considerably among ness equipment was accompanied by a the components—especially for consumer marked curtailment in commercial and in­ durable goods and business equipment. In dustrial building, which largely offset the 1970, for example, output of consumer dur­ effects of the expansion in residential con­ able goods showed some recovery during struction on industrial output of construc­ the second quarter but fell off again in the tion products, as presented in Chart 5. autumn, reflecting in part the strike in the (Output of mobile homes is represented in auto industry. Meanwhile, consumer de­ consumer durable goods and in transporta­ mands were showing little expansion, busi­ tion equipment, respectively, in the market Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 561 and industry groupings of industrial pro­ and component parts, and electric and gas duction.) utility sales to industrial users—which to­ Materials and products. In the market gether account for about two-fifths of the structure of the new index—for both sets of total index. weights—a new group is established for the The new group for total products, which “intermediate products” of industry, which accounts for the remaining three-fifths of the had formerly been included in the materials total index, is a combination of the new group. Intermediate products are those pro­ group for intermediate products and of the duced wholly or largely for use outside the revised major division for final products. industrial production sector—such as con­ Output of materials fluctuates more than struction products, feeds, fertilizer, and output of products, as shown in Chart 6, electricity and gas for sale to commercial- mainly because of changes in business in­ type users. Altogether, in 1967 these inter­ ventories. These cyclical changes reflect the mediate products represented, in value- expectations of buyers and sellers regarding added terms, about one-fourth of the old future demand and supply conditions for materials group. both final products and materials. In part The series remaining in the new materials because of the greater instability in output group represent only the materials produced of materials—which contributes to fluctua­ for use in further processing or assembly tions in employment and in business and within the industrial sector. These include personal incomes, as well as in production nearly all minerals, manufactured materials —the availability of monthly production 6 Major Market Groupings of Industrial Production 100 120 Value-added data, seasonally adjusted. Latest month, June estimate. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

562 FEDERAL RESERVE BULLETIN □ JULY 1971 series for materials is of considerable im­ dated and production reduced—to sharp portance. The revisions of the materials and curtailments of business capital outlays. products groupings in this edition of the Since World War II there have been five index are intended to facilitate studies of general declines in output of materials. Four such production imbalances. of these—exclusive of the steel strike de­ The greater volatility of materials output creases in late 1949, mid-1952, mid-1956, contributes significantly to fluctuations in and late 1959— averaged 16 per cent; the business fixed investment and at times may decline in 1957-58, while shorter, was result in temporary overexpansion of such sharper—20 per cent. The recent decline, in investment. This occurs partly because of 1969-70, however, amounted to only 10 the needs of modern technology; facilities per cent even at the trough of the auto for producing such major materials as strike period. The five general declines in aluminum, steel, basic chemicals, cement, materials output followed periods of major paper, and electric power require relatively economic expansion that crested in 1948, greater capital expenditures than those for 1953, 1957, 1960, and 1969 with markedly producing most final products and services. larger relative increases in output of ma­ A factor that helps to account for tempo­ terials than of products. rary overexpansion of industrial capacity The imbalances that developed in those is that in periods of rapid economic ex­ periods reflected business expectations that pansion in the past more than 5 per cent were not fully supported by developments of the output of materials has gone into in­ in sales and output of final products. Fol­ ventory accumulation. This has led to over­ lowing each of the four earlier periods, there estimates of future demand and to excessive were intervals of inventory liquidation that investment in productive capacity, and ulti­ lasted from two to four quarters. In each of mately—as inventories were being liqui­ those periods, demands for and output of 7 | PRIMARY METALS: Production and Prices RATIO SCALE, FIRST 6 M0NTHS=100 llll! PRICES Production, seasonally adjusted. Prices, BLS price indexes combined by Federal Reserve. Latest month, both series, June (estimate for production). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 563 materials were cut back promptly and growth for consumer staples to marked cycli­ sharply relative to output of products, which cal or other fluctuations for consumer dur­ in turn was curtailed relative to final pur­ able goods and clothing. The 73 constituent chases. In contrast, in the recent downturn, series of the consumer goods group and its as Chart 6 shows, output of materials was various subtotals provide a basis for analyz­ cut only slowly and moderately as expecta­ ing leads and lags among consumer goods tions of rising prices persisted despite reduc­ generally, among consumer goods and other tions in prices for some materials. types of goods, and in the rest of the econ­ Since the differences between the monthly omy. This is illustrated in Chart 5, which series for products and materials shown in also shows that consumer durable goods Chart 6 reflect the combined influences of have contributed about as much to fluctu­ structural changes, scope, weighting, and ations in industrial products as have changes data problems, the differential movements in business equipment. indicated should be interpreted with cau­ Mainly because of refinements that have tion. Only relatively large and sustained been made in classification and weight data, differences in output fluctuations are likely consumer goods output in the new index to suggest major cyclical imbalances, which accounts for a smaller proportion of total might indicate an impending shift in busi­ industrial production than it did in the old ness inventory practices. index. In the 1967 weight period output of The most volatile major component of the consumer goods in the new index is 140 materials division is the group for the pri­ per cent of output of equipment; in the old mary metals industries. Over the past sev­ index it had been 178 per cent. This is eral years, as in the four earlier periods significant because changes in these two shown in Chart 7—including the pre-World- types of output generally reflect quite differ­ War-II (1936-37) cycle—inflationary pres­ ent influences and have quite different im­ sures have been strong in these industries. plications for the economy. Hence, changes This has reflected in part their basic position in consumer goods have less impact on both in supplying materials for the widely total industrial output and total final prod­ fluctuating consumer durable goods, equip­ ucts now than formerly. ment, and construction industries. In order A summary of the patterns of output of to gauge current and possible future market total consumer goods and equipment in rela­ developments, the monthly performance of tion to each other for the period since 1954 the metals consuming industries can be com­ is presented in the lower part of Chart 6. pared with the monthly pattern of move­ The comparisons there are shown as propor­ ments in production and prices of primary tions of total products; in addition there is metals. In each of the four periods shown, a line to show the contribution of changes demand continued to expand and prices of in output of intermediate products. metals on the average rose between 25 and The level of output of consumer goods as 30 per cent before a slowdown developed. revised is higher in recent years than the level The monthly production measures for metals of the old index mainly because the series and the metals consuming industries, along for nondurable goods have generally been with the book value inventory figures, have raised. It is difficult to maintain currently at times provided considerable insight into adequate reporting systems for the many commodity flows and price shifts. new and small producers of such products; Consumer goods. Changes in output of hence periodic revisions of the series for consumer goods reflect a wide variety of nondurable goods to new benchmark levels developments ranging from fairly stable are necessary. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

564 FEDERAL RESERVE BULLETIN □ JULY 1971 Over the whole postwar period the ment phase in output of consumer goods was growth in output of consumer goods has briefer than for the total index and an up­ been at an average annual rate of 4.5 per turn came earlier. cent, with a distinct acceleration evident in Of particular relevance in assessing eco­ the 1961-66 period when the annual rate nomic developments in recent years are was 6.2 per cent. Despite that acceleration, the patterns of cyclical fluctuations in total industrial production rose faster than monthly output of consumer goods, particu­ consumer goods until the recent recession, larly durable goods, over the two periods when what appears to be a more stable 1965-67 and 1968-70 (Chart 9). In the relationship of investment output to con­ first period of accelerated expansion, the ad­ sumption has been developing. vanced level of output of consumer durable Chart 8 compares for the 32-year period goods reached in 1966 was accompanied by back to 1939 quarterly figures for consumer rapid growth in inventories of such goods. goods output and supplementary annual In 1967, there were curtailments in both data for indicated changes in output per production and inventories of those goods, capita. The quarterly movements are shown but total business inventories were not re­ to be fairly steady except for relatively mild duced at that time partly because defense cyclical fluctuations and except in certain equipment output was being expanded wartime intervals and major auto and steel further. strike periods. As in each of the earlier post- The second period of expansion in pro­ World-War-II recessions, the recent curtail- duction of consumer durable goods was fol- 8 I Output of Consumer Goods RATIO SCALE, 1939=100 Quarterly data, seasonally adjusted. Latest data, Q2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 565 9 Production of Consumer Goods RATIO SCALE, 1967=100 Data seasonally adjusted. Latest month, June estimate. lowed by renewed increases in other sectors is well known, the fact that the combined of the economy: Output of business equip­ home goods and clothing category has ac­ ment rose to new peaks, and by the autumn counted for about as much of the cyclical of 1969 inventories of durable final prod­ fluctuation in industrial products as auto ucts and materials generally had increased output is not widely recognized. Cyclical further. Defense equipment leveled off in swings in the home goods and clothing 1968 but showed relatively moderate curtail­ category have not been so large in per­ ment until late 1969. Output of consumer centage terms as those for the automotive durable goods declined in the autumn of group, but they have affected the total index 1969 and had recovered only partially by somewhat more because the home goods and the time the auto strike began in mid-Sep­ clothing category has more weight than the tember 1970. It is relevant in viewing the automotive group. broad economic situation to note that the Over-all output of home goods and cloth­ latest auto strike occurred during a con­ ing has followed a rather clearly defined pat­ traction whereas the previous major strike tern of growth and cyclical change (Chart —in 1964—came in the midst of a broad 10). On seven occasions since World War expansion. II, output of these goods has reached an ad­ Production groupings for consumer vanced level, relative to trend, for intervals staples and for a combination of home goods of a year or more prior to a general decline and clothing have also provided some insight in the private economy. In 1951 and 1967, into general economic growth and cyclical however, during the Korean and Vietnam changes. If a trend line showing an average war intervals, the downturns in the private annual growth rate of 4.9 per cent since the economy were largely offset by a massive end of World War II is drawn through the expansion in Federal military expenditures. data for consumer staples, plotted in Chart An unusual feature of the production read­ 10, it indicates that despite all the economic justment since 1969 has been the prolonged and demographic changes that have oc­ curtailment for home goods and clothing, curred over this period of 2Vz decades, in reflecting the impact of price rises and only 3 years was the annual average off the earlier inventory accumulation as well as trend line by more than 2 per cent. other influences, including a sharp growth Industrial output of consumer goods in imports of these goods. other than staples, however, is subject to To a major extent, fluctuations in output marked cyclical fluctuations. Although the of the home goods and clothing groups are volatility of output of automotive products related to changes in sales at department Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

566 FEDERAL RESERVE BULLETIN □ JULY 1971 101 Production of Nonautomotive Consumer Goods Data seasonally adjusted. Latest month, June estimate. stores and other general merchandise out­ in the 1967 weight period; and business lets because these products account for a and defense equipment together account for large portion of the sales of such outlets. 20 per cent, as compared with 17 per cent This is true even though available monthly in the old index. The increase reflects pri­ data indicate that such sales fluctuate more marily the more appropriate classification widely than output due to unusual weather and weight data now being used for the variations and other factors as well as mea­ component series. Defense equipment alone surement problems. accounts for 7.7 per cent of the new total Movements in equipment series. The busi­ index in 1967 in contrast to 3.6 per cent ness equipment group measures output for in the old index. As noted above, the in­ export as well as for domestic private and creased importance of both defense and government purchase, but not the portions of total equipment output in the new index consumer durable goods purchased for busi­ has been accompanied by some further re­ ness investment purposes, as, for example, duction in the relative importance of con­ autos. This edition of the index provides sumer goods in the national economy. two new summary measures within the busi­ A major aspect of the economic read­ ness equipment group for industrial and non­ justment since the autumn of 1969 has been industrial products, with three new subtotals the sharpest curtailment in business equip­ for major types of industrial equipment— ment production since 1957-58. With the building and mining, manufacturing, and decline continuing into June, as shown in power. Also published separately is a re­ Chart 11, the total reduction from the 1969 vised group for defense equipment with a high has been 15 per cent as compared new subtotal for military products. How­ with 8 per cent in the 1960-61 downturn, ever, the distinction between such equip­ about 20 per cent in 1957-58, and 17 ment and business equipment in some in­ per cent in 1953-54 and also 1948-49—if dustries can be only approximate. the further curtailments after September Business equipment alone accounts for 1949 are excepted because of the impact of 12.7 per cent of total industrial production the steel strike. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 567 11 | Production of Equipment 100 120 100 00 60 120 100 80 60 1963_________1965_________1967_________1969_________1971 Data seasonally adjusted. Latest month, June estimate. In addition to the decline in business of electric power used and manhours equipment output, there has been a sharp worked at a large number of establishments reduction in defense equipment production producing such equipment, adjusted for since 1968-69, the first major decline since changes in output per unit of input. For that following the Korean war truce in Au­ some goods such as motor trucks and gust 1953. As a result, output of business tractors, however, satisfactory physical prod­ and defense equipment combined has been uct data are available and are used. In the curtailed by 18 per cent from the autumn of production calculations for many of the 1969—about as much as in any other post­ equipment series, the monthly manhour and war period. While some difficult measure­ power data used have the advantage of ment problems are involved, it is clear that representing work done currently on prod­ in recent years the industrial economy has ucts that require more than a month to been more subject to the instabilities of in­ complete and of providing indicators of vestment and military expenditures than in changes in industries turning out a varying most earlier periods. The over-all impact of mix of products. Monthly movements in the the changes in total equipment output is in­ business equipment series have usually been dicated in Chart 6. The curtailments since subject to relatively small revisions, both be­ 1969 have accounted directly for all of the fore and after seasonal adjustment. decline in total products and indirectly for Availability of monthly data for two most of the drop in materials. dozen individual series in the business equip­ Movements of the business equipment ment group facilitates detailed analysis of series are based mainly on monthly reports short-run changes in demand and of the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

568 FEDERAL RESERVE BULLETIN □ JULY 1971 effects of work stoppages and other develop­ abroad were stronger than in the earlier ments affecting supplies. From such monthly periods. In each of the four previous post­ figures it is possible to see recent develop­ war recoveries output of business equipment ments in a perspective that permits early lagged behind upturns in consumer goods judgments concerning shifts in rates of and in total industrial production for con­ change and possible cyclical turning points, siderable periods. This was also true in the when considered in relation to new orders shallow economic readjustment of 1967-68. and various other data. The output figures Growth in output of business equipment are not directly comparable with the quar­ in the post-World-War-II period has broadly terly reports on business outlays for plant paralleled that in consumer goods. But in and equipment because, in addition to meas­ the expansion periods of 1946-48, 1951— uring physical quantities rather than dollar 53, 1956-57, and 1964-69, output of busi­ outlays, they do not include plant construc­ ness equipment rose much faster. Since such tion and they do include output for export equipment is used largely to produce but not imports. Nevertheless, they do pro­ and distribute other industrial goods, a sus­ vide an independent set of observations use­ tainable relationship between output of ful in appraising developments in business equipment and total industrial production investment. is an important factor in maintaining a Within the business equipment group, steady rate of economic growth. The cycli­ the industrial subtotal moved more deci­ cal pattern of the ratio of business equip­ sively than other components in the capital ment to the rest of industrial production is goods downturns of 1957-58 and 1960-61, outlined in Chart 12. but not in 1969-70. Recent movements in This ratio reached a peak in 1966; after the industrial subtotal and in the nonin­ some decline in 1967-68, it remained at an dustrial component, which includes com­ advanced level until the latest decline de­ mercial, farm, and transit equipment, are veloped after 1969. A major difference shown in Chart 11. apparent in the chart is that the earlier In the latest downturn business equip­ expanded relationship continued much ment did not decline or level off before longer than in the three preceding cycles. At total industrial production turned down—a the peak levels prevailing from 1966 to 1969 contrast to developments in earlier postwar industrial capacity was being expanded at periods. This probably reflected the fact that an estimated rate of about 6 per cent per business inflationary expectations here and year in real terms; this was an unusually Ratio of Business Equipment Output to 12 All Other Industrial Production Quarterly data, seasonally adjusted. Latest data, Q2. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 569 high rate that proved to be unsustainable. production during 1970 eased demands for Most of the initial portion of the 1969 some major materials and contributed to a decline in output of business equipment re­ lessening of upward price pressures. The flected the impact of a major strike in the earlier, apparently excessive expansion in electrical industry. Although the strike was equipment production diverted resources to settled in early February 1970, business some extent from consumption purposes and equipment output had declined sharply by contributed to a general advance in prices of the end of the year and into June 1971, to industrial commodities, as previously in a level 15 per cent below the 1969 high. 1955-57, 1950-51, 1946-48, and even in Meanwhile, business surveys during that 1936-37, when prices rose despite unem­ period indicated that the rate of capital ployment rates that were estimated to be spending in current dollars was being main­ around 15 percent. tained, and in constant dollars the pro­ Intermediate products. Construction and ducers’ durable equipment component of miscellaneous intermediate products, classi­ GNP had declined 3 per cent by the first fied largely as materials in the old index, quarter of 1971. together accounted for 13 per cent of the The curtailment in business equipment new total index in 1967. Movements in the | Production of Intermediate Products Ratio scale, 1967=100 120 11 120 i l l MISCELLANEOUS 1963 1965 1967 1969 1971 Data seasonally adjusted. Latest month, June estimate. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

570 FEDERAL RESERVE BULLETIN a JULY 1971 total intermediate products group and its business equipment output had risen to 11 two major subtotals for the period beginning per cent of total industrial production from in 1963 are shown in Chart 13. Over the 9 per cent before the war. Further increases entire postwar period, these intermediate brought this share up to 13 per cent by products have exhibited less growth and 1969. Sharp expansion in defense equip­ cyclical fluctuation than final products. ment, associated with the Korean and These new classifications are necessarily Vietnam wars and the development of the somewhat arbitrary and approximate, but space program in the late 1950’s, brought they serve a useful purpose in helping to the defense and space share to 7 per cent identify the impact of current demand and in 1969. In that year total output of equip­ supply developments on the industrial econ­ ment represented 20 per cent of indus­ omy. Nearly all of the output of the inter­ trial production as compared with 18, 12, mediate group leaves the industrial sector, and 9 in the earlier years shown. although in some instances, as in the case TABLE 3 of lumber and plywood, a portion of it is INDUSTRIAL PRODUCTION OVER THREE DECADES used for further industrial processing. Such Percentage distribution by major market groupings intermediate products as feeds and fertilizer leave the industrial sector entirely. Series 1939 19471 1959 1969 The miscellaneous component is com­ 100 100 100 100 posed for the most part of nondurable items Products, total........................................ 61 62 61 61 (including utility sales to commercial users) Final products..................................... 48 47 47 48 that are produced largely for sale as current Co D n u su ra m b e l r e . . g ... o .. o .. d .. s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 39 8 3 9 6 29 7 2 8 8 Nondurable goods..................... 31 27 22 20 supply items to agricultural, distribution, Equipment....................................... 9 12 18 20 and service industries. Output of such goods Business....................................... 9 11 12 13 Defense and space...................... (2) 1 6 7 has usually shown a fairly stable rate of Intermediate products......................... 13 15 14 13 growth about as high as, or higher than, Construction products................... 6 8 7 7 Misc. intermediate products.......... 7 7 7 6 that for industrial output as a whole. 39 38 39 39 MARKET OUTPUT CHANGES OVER THREE 1 Data for 1947 are used here instead of those for the recession year 1949. DECADES 2 Less than one-half of 1 per cent. The new compilations for market groupings Construction activity also participated in reveal some major shifts in the composition the more active investment situation during of production over the past three decades. the early postwar period, and the portion The proportions in Table 3 show that the of output of construction products in total share available for consumer use has fallen industrial production was higher in 1947 over each of the periods since 1939. This than in 1939. Subsequently it showed little has reflected mainly the more rapid growth change. The total share shown for inter­ in output of business and defense equipment mediate products was about the same in than of nondurable consumer goods—that 1969 as in 1939. Meanwhile, over the whole is, clothing and staples. The share of output 30-year period there was little change in the of durable consumer goods has changed share of materials output. little. During the same period total industrial Business investment, which by 1939 had production has almost quintupled, and this recovered only partially from the lows of has been a larger expansion than for over­ the great depression, was at a substantially all economic activity, as noted earlier. Fluc­ higher level after World War II; by 1947 tuations in industrial activity continue to Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 571 represent a much larger share of total fluc­ lished total index can be used to make tuations in the economy than would be in­ roughly adequate inferences regarding dicated by its three-eighths share of GNP. changes in labor productivity and in unit More balanced relationships within the labor costs. Chart 14 presents annual data economy—not only between industrial and on labor cost per unit of industrial produc­ other activities, but also within industry— tion since 1954 as indicated by the new total are needed if growth is to be steady. The index. These are compared with similar fig­ extended period of readjustments in the ures based on the old index. Also presented economy since the autumn of 1969 may be is the most comparable published wholesale traced in part to earlier rapid increases in commodity price index. output of defense and business equipment to unusually high levels and to the uncer­ tainties that developed with respect to fur­ ther such increases or even maintenance of too the levels reached. 130 PRODUCTIVITY AND LABOR COST 120 RELATIONSHIPS 110 The development of the new gross-value weighting system and of the new grouping 100 for intermediate products in this edition of 90 the index has facilitated the special compila­ tion of a revised, more “net” annual measure of industrial production. This compilation is The total industrial sector has been used designed to allow for changes in efficiency to indicate changes in unit labor costs in the use of materials and for changes in partly oecause its output is 15 per cent purchased business services used by the larger than that for manufacturing alone. industrial sector of the economy; therefore Also, the comparison for the total, which it represents more closely than the regular includes the mining and utility industries, is value-added measure (at least in concept) on a somewhat firmer basis currently be­ the “net output” of the industrial sector. The cause output in those industries is based results are conceptually equivalent to those almost entirely on physical product series based on gross-product-originating data— (so there is less dependence on allowances though there are some differences in scope, for monthly changes in output per unit of in implied deflators, and in weights from the labor and power input). Moreover, output industry-originating series presently pub­ and labor costs of fuel and energy, which lished by the Department of Commerce. have been of major importance in the price The industrial production data developed situation in the recent past, are more fully for these comparisons are approximations, represented in the total industrial sector than as is true for any alternative measure of this in manufacturing. sort. For most of the period covered by the The chart shows how the larger rises in revisions, these data do not show much dif­ production and in output per manhour in­ ference from the regular value-added index dicated by the new total index result in a results although in general they show some­ decline in the implied unit labor costs from what more rise. Consequently, further evi­ 1962 to 1965. The greater differences be­ dence is provided that the regularly pub­ tween the new and the old series and the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

572 FEDERAL RESERVE BULLETIN o JULY 1971 wholesale price index in the 1964-66 period 2. Monthly data on electric power con­ of strong demands is of special interest. In sumption, specially compiled and adjusted the period since then the rise in the revised for changes in output per kilowatt-hour, labor cost series is somewhat smaller but is have been introduced for the period begin­ still substantial. More extensive comparisons ning with January 1963 to replace a large of these data at monthly intervals are portion of the monthly manhour input series planned in the publication, Industrial Pro­ adjusted for changes in output per manhour. duction: 1971 Edition. About one-third of the total monthly index is now based on electric power data, and * * * one-fifth is still based on manhours. The broadened range of measurements 3. About 80 new individual series have provided in this edition of the production been developed to provide more clearly de­ index should illuminate a wide range of fined market groupings, more comparable analytical problems. These measures of real SIC groupings, and more uniformity with output provide a better basis for studying respect to size for study of measures of the related developments, as in employment, diffusion of production changes. The total prices, and costs. New facilities for report­ number of published components is being ing, processing, and regrouping of these increased considerably. related economic series should help to meet 4. In the industry structure all categories some of the growing problems of measure­ are now convertible to SIC groupings and ment in an increasingly complex national have been rearranged for detailed publica­ economy. In the period ahead further im­ tion so as to be equivalent in each instance provements in production measurement will to SIC numbered categories. be sought as additional experience is devel­ 5. In the market structure a major re­ oped and as the scope and accuracy of grouping of the series in both the materials current and background data are improved. and the product categories is provided, various other improvements in the group­ SUMMARY OF STATISTICAL REVISIONS ings of series are introduced, and the revi­ The major statistical changes made in this sions are carried back for summary cate­ revision of the industrial production meas­ gories to 1939. ures are as follows: 6. For the period beginning with Janu­ 1. Individual production series are ad­ ary 1954, new gross-value-weighted series justed to comprehensive Census-Federal Re­ for products in the market groupings, ex­ serve benchmark indexes from 1954 to pressed in constant-dollar terms, are being 1958 and from 1958 to 1963, to newly published, in addition to the value-addeddeveloped annual indexes based on the An­ weighted index numbers for the same prod­ nual Survey of Manufactures for intervening uct groupings. years and for the years from 1964 to 1968, 7. All of the individual series in the and to various other benchmark data—in­ industry structure are seasonally adjusted cluding preliminary data for 1969 from the and combined for publication by computer Survey. Revised production levels for 1940 programs. Forty of the major components of through 1946 are based on a combination of the market structure—also calculated ini­ several types of independent annual data tially by electronic computer—have been adjusted to the Census-Federal Reserve selected for historical and continuing cur­ benchmark indexes from 1939 to 1947. rent professional review of the seasonal Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 573 adjustment factors. The published seasonally series for industrial products are combined adjusted total index is based on a com­ and published in terms of 1963 prices. bination of these seasonally adjusted market 12. A revised, more “net” annual ver­ components. sion of industrial production designed to 8. More attention has been given to allow for changes in inputs per unit of out­ major irregular monthly movements of in­ put has been developed for annual periods dividual series that cannot be accounted back to 1947 and has been estimated for for by strikes or other real world events. 1939 primarily as an aid to checking index Adjustments for such statistical irregulari­ levels. ties have been introduced on a selective 13. For purposes of the revision and the compilation of the index each month, a basis after examination of charted fluctua­ new data processing system has been devel­ tions. oped that produces camera-ready results 9. The year 1967 has been selected for and provides a wide range of specially use as the weight base for the most re­ compiled supplementary data. Comparisons cent period, beginning with January 1967. of production data on a per manhour, per The year 1963 is used for the 1963-66 kilowatt-hour, per dollar of producers’ period, 1958 for the 1958-62 period, and sales, and per dollar of payroll basis can 1954 for the 1954-57 period. The year now be made more readily available for 1947 continues to be used as the weight major industry and market groupings. basis for the 1947-52 period (with 1953 14. For checking and review purposes, added in this revision) and 1939 weights all series have been charted by electronic have been introduced for the 1939-46 systems for the periods covered. They have period. been plotted at three stages of their de­ 10. The year 1967 has been adopted velopment—monthly before seasonal ad­ as the new comparison base for the indexes justment, monthly after adjustments to an­ back to 1919—in line with the practice nual and benchmark levels, and seasonally announced by the U.S. Office of Manage­ adjusted. It is expected that final charts for ment and Budget for official general-purpose all published series and groupings plotted index numbers. on ratio scale paper will be available for sale 11. The new constant-dollar gross value at a date to be announced later. □ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BULLETIN □ JULY 1971 I—REVISED SERIES Adjusted for seasonal variation Year Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. TOTAL INDEX 1967 99.5 98.5 98.3 98.8 98.6 98.9 99.1 100.6 100.0 100.2 101.7 102.9 100.0 1968 102.8 103.8 103.9 104.0 105.5 106.0 105.9 106.2 106.5 106.5 107.7 107.5 105.7 1969 108.4 109.7 110.3 110.2 110.2 110.8 111.5 111.4 111.9 111.7 110.3 109.9 110.7 1970 107.4 108.0 107.6 107.5 107.5 107.6 107.5 107.5 106.5 103.7 102.6 104.6 106.7 1971 105.3 105.8 105.5 106.2 106.9 107.0 MARKET GROUPINGS 1967 98.8 97.9 98.3 98.9 99.1 99.1 99.3 100.7 100.3 100.3 101.7 102.8 100.0 1968 103.0 103.6 104.1 103.7 105.1 105.9 105.9 106.7 106.9 106.9 107.6 107.2 105.8 1969 108.3 109.0 109.4 109.2 109.4 109.8 110.4 110.2 110.5 110.4 108.9 108.6 109.7 1970 106.8 107.2 106.5 106.9 107.0 106.9 107.1 106.5 105.2 103.6 102.6 104.2 106.0 1971 104.6 105.1 104.5 105.6 105.7 105.8 1967 98.6 97.8 98.3 99.6 98.7 99.3 99.4 100.5 100.0 100.1 101.8 103.2 100.0 1968 103.0 103.7 104.2 103.6 105.2 106.1 105.9 106.9 107.1 107.1 107.3 106.9 105.8 1969 107.8 108.3 108.9 109.0 108.8 109.3 110.1 109.7 110.1 109.9 108.0 107.3 109.0 1970 105.6 106.1 105.3 105.6 106.0 105.5 105.5 104.9 103.5 101.4 100.2 102.2 104.4 1971 103.0 103.1 102.5 103.8 103.8 103.6 1967 99.1 97.4 97.9 98.9 99.4 99.7 99.6 100.4 99.6 100.4 101.8 103.7 100.0 1968 103.2 104.0 104.7 104.4 106.2 107.2 106.6 107.7 107.9 108.3 108.8 108.4 106.6 1969 109.7 110.3 110.9 110.3 110.7 111.1 112.1 112.2 112.3 112.1 110.8 109.9 111.1 1970 108.8 110.2 109.2 110.5 111.8 111.7 112.2 111.6 110.1 109.0 107.7 110.8 110.3 1971 112.6 112.9 112.7 114.8 115.1 115.5 1967 99.8 95.0 96.5 97.2 100.0 98.3 100.2 102.0 98.7 100.3 103.0 107.2 100.0 1968 106.8 107.2 107.9 108.5 111.1 112.1 111.4 112.3 111.8 113.0 113.8 114.0 110.9 1969 115.5 114.6 116.3 114.3 114.1 115.8 115.8 115.7 115.0 114.2 108.2 105.6 113.7 1970 103.3 104.7 107.1 107.3 110.7 109.7 111.0 110.3 102.2 97.1 95.5 102.9 104.8 1971 108.1 110.6 111.6 112.5 116.2 116.8 1967 99.0 98.4 98.6 100.1 98.7 100.4 99.5 99.8 100.1 100.6 101.4 102.4 100.0 1968 101.9 102.7 103.4 103.0 104.3 105.4 105.0 106.1 106.5 106.6 107.0 106.2 105.0 1969 107.5 108.5 108.9 108.9 109.6 109.3 110.7 110.9 111.3 111.4 111.8 111.6 110.1 1970 111.0 112.4 110.1 111.8 112.4 112.7 112.8 112.1 113.0 113.5 112.3 113.8 112.4 1971 114.4 113.8 113.1 115.8 114.7 115.1 1967 98.1 98.3 98.9 99.2 99.3 99.1 99.4 100.7 100.7 99.9 102.0 102.4 100.0 1968 102.9 103.6 103.7 102.8 104.2 105.0 105.1 106.0 105.9 105.4 105.4 105.0 104.7 1969 105.3 105.5 106.2 107.1 106.1 106.6 107.2 106.3 107.0 106.6 104.3 103.6 106.1 1970 101.0 100.6 100.2 98.8 98.0 97.1 96.2 95.5 94.2 90.8 89.8 90.3 96.1 1971 89.4 89.4 88.4 88.6 88.0 87.0 1967 100.6 100.3 100.0 100.1 99.8 99.2 99.3 100.5 99.8 97.7 100.4 100.3 100.0 1968 101.1 101.3 102.1 101.5 102.7 103.2 103.4 104.5 104.6 105.3 105.0 104.4 103.4 1969 106.0 105.6 106.4 108.1 106.7 108.2 109.6 108.7 110.3 109.9 107.0 106.6 107.9 1970 103.9 104.X) 104.3 103.3 103.3 102.6 102.5 101.7 100.5 95.9 94.6 95.6 101.1 1971 95.0 96.2 95.0 95.9 94.7 93.6 1967 94.1 95.2 97.0 98.0 98.6 99.0 99.9 101.1 102.1 103.6 105.0 105.9 100.0 . 1968 105.9 107.6 106.8 105.2 106.9 108.1 108.2 108.7 108.5 105.6 106.3 105.9 107.0 1969 104.3 105.3 106.1 105.6 105.1 104.2 103.4 102.4 102.1 101.2 99.6 98.7 103.2 1970 96.4 95.2 93.5 91.6 89.3 88.1 86.0 85.1 83.9 82.6 81.7 81.2 87.9 1971 80.0 78.1 77.5 76.5 76.8 77.3 . 1967 99.4 98.6 98.2 98.9 98.1 98.5 98.9 101.4 101.5 101.3 101.7 101.9 100.0 1968 102.5 103.7 103.9 104.2 104.9 105.5 105.9 106.3 106.1 106.6 109.0 109.1 105.7 1969 110.2 112.2 111.6 110.4 111.5 111.8 112.2 112.2 112.1 112.8 113.2 113.8 112.0 1970 111.7 111.8 111.5 111.8 111.6 112.0 113.5 112.2 111.4 111.9 111.6 112.1 111.9 1971 110.9 112.5 112.0 112.4 113.2 114.1 . 1967 100.8 99.6 98.3 98.7 98.1 98.6 98.6 100.4 99.7 100.3 102.0 103.1 100.0 1968 102.9 104.2 103.7 104.5 106.3 106.2 106.2 105.6 106.1 105.8 107.8 108.1 105.7 1969 108.7 110.8 111.8 111.7 111.6 112.9 113.4 113.6 114.4 114.0 112.6 112.2 112.4 1970 108.6 109.4 109.6 108.6 108.3 108.8 108.5 109.3 109.0 104.1 102.8 105.4 107.8 1971 106.5 106.8 107.1 107.2 108.8 108.6 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

INDUSTRIAL PRODUCTION 575 TABLE 4—Continued INDUSTRIAL PRODUCTION-REVISED SERIES 1967= 100 Adjusted for seasonal variation Grouping Year Annual average Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. INDUSTRY GROUPINGS Manufacturing. 1967 99.6 98.5 98.1 99.2 98.4 98.9 98.9 100.7 100.0 100.4 101.9 103.3 100.0 1968 102.9 103.8 103.7 104.0 105.6 106.1 106.1 106.3 106.2 106.6 107.6 107.1 105.7 1969 108.2 109.6 110.3 110.0 110.0 110.8 111.9 111.7 111.6 111.2 109.7 108.9 110.5 1970 106.4 107.0 106.7 106.5 106.5 106.6 106.9 105.5 104.8 101.4 100.2 102.4 105.2 1971 103.4 104.0 103.2 104.5 105.1 105.4 Durable 1967 100.1 98.6 98.1 99.0 99.0 98.9 99.5 100.8 99.3 99.7 101.8 103.5 100.0 manufacturing. 1968 103.1 104.0 103.5 103.8 105.5 106.0 106.5 105.9 105.3 105.9 107.4 107.2 105.5 1969 108.3 109.3 110.4 110.3 109.2 110.7 111.1 111.4 111.3 111.2 108.4 107.2 110.0 1970 103.7 103.5 104.3 103.6 103.6 103.7 103.7 103.5 100.7 95.7 93.8 97.3 101.5 1971 98.2 98.7 98.3 99.4 100.6 99.9 Nondurable 1967 99.1 98.4 98.1 99.4 97.7 98.8 98.2 100.7 101.1 101.4 102.0 103.1 100.0 manufacturing. 1968 102.6 103.6 104.1 104.1 105.7 106.2 105.9 107.0 107.6 107.6 108.1 107.0 106.0 1969 108.3 110.1 110.2 109.9 111.2 111.0 112.7 112.2 112.1 111.5 111.7 111.4 111.1 1970 110.4 111.8 110.2 110.5 110.9 111.0 111.6 108.6 110.7 109.7 109.6 110.0 110.6 1971 111.0 111.7 110.4 111.8 112.2 113.0 Mining and utilities. 1967 99.0 98.8 98.9 99.4 98.9 99.0 100.4 101.2 100.3 100.6 101.5 101.0 100.0 1968 102.7 104.3 104.9 105.2 106.0 106.0 107.0 107.6 107.8 106.0 108.3 108.7 106.4 1969 109.5 109.6 110.4 110.6 111.1 113.0 112.5 113.0 114.8 115.1 115.5 116.4 112.7 1970 115.9 116.1 115.7 116.2 116.6 116.2 117.0 118.4 121.1 121.9 120.6 120.1 118.0 1971 119.3 119.9 120.2 120.8 119.6 119.4 Mining. 1967 100.8 100.3 99.5 99.8 98.0 98.0 100.8 102.3 100.9 99.5 99.8 98.7 100.0 1968 100.4 102.3 103.2 104.2 104.6 104.2 104.8 104.9 104.9 101.4 105.3 105.1 103.9 1969 105.1 105.1 106.1 105.9 106.3 107.9 106.3 106.4 107.8 109.0 110.0 110.8 107.2 1970 109.5 109.2 109.1 108.7 108.6 107.1 106.5 108.8 110.9 112.4 113.7 112.1 109.7 1971 111.1 110.1 111.4 110.9 109.1 109.2 Utilities. 1967 96.8 96.9 98.2 99.0 99.9 100.3 100.0 100.0 99.6 101.9 103.7 103.9 100.0 1968 105.5 106.9 107.0 106.6 107.8 108.7 109.8 111.1 111.6 112.2 112.2 113.5 109.4 1969 115.2 115.3 115.8 116.6 117.6 119.3 120.4 121.6 123.9 122.7 122.3 123.2 119.5 1970 124.1 125.0 123.9 125.9 126.9 127.9 130.2 130.5 133.9 134.0 129.6 130.2 128.5 1971 129.6 132.2 131.5 133.2 132.9 132.2 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

576 FEDERAL RESERVE BULLETIN □ JULY 1971 TABLE 5 INDUSTRIAL PRODUCTION—GROSS VALUE OF PRODUCTS IN MARKET STRUCTURE In billions of 1963 dollars Adjusted for seasonal variation Year Annual average Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Products, total (Final and intermediate products) 1967................................ 358.7 355.0 356.1 364.9 359.4 362.0 362.0 367.4 364.9 364.5 370.3 375.8 363.4 1968................................ 375.4 376.9 380.2 379.8 384.9 387.8 387.1 388.6 390.4 390.8 392.6 389.7 385.3 1969................................ 394.8 397.7 399.9 398.0 396.6 399.9 404.2 402.8 402.8 401.3 397.7 392.9 399.0 1970................................ 388.9 390.0 389.3 391.8 392.2 391.8 394.4 391.8 382.7 375.1 372.5 380.9 386.8 1971................................ 386.9 388.6 385.9 390.6 391.1 391.8 Final products (Consumer goods and equipment) 1967................................ 280.4 277.0 278.4 286.1 281.2 283.8 283.2 286.9 284.1 284.1 289.5 294.9 284.1 1968................................ 294.1 294.9 297.2 296.6 301.5 303.7 303.2 304.6 306.0 306.0 306.6 303.7 301.5 1969................................ 307.7 308.9 311.7 310.6 308.6 311.4 315.4 314.0 313.7 312.3 308.0 303.2 310.5 1970................................ 300.3 301.2 300.9 303.2 304.0 302.9 304.6 302.6 294.1 286.4 284.1 292.1 298.0 1971................................ 298.2 298.5 297.4 301.0 301.0 300.9 ........ Consumer goods 1967................................ 182.7 179.0 179.8 186.6 182.4 185.0 184.6 186.4 183.9 185.2 188.3 192.7 184.7 1968................................ 191.4 191.6 193.3 193.9 197.0 198.7 198.3 199.8 199.8 200.9 201.1 199.6 197.1 1969................................ 202.6 203.3 205.0 203.5 202.9 205.0 208.5 206.8 207.4 205.9 203.1 200.5 204.5 1970................................ 199.8 201.3 201.3 204.6 206.3 206.3 208.7 206.6 200.9 197.0 195.7 203.3 202.6 1971................................ 209.1 209.5 209.7 212.7 212.9 213.6 ........ ........ Equipment 1967................................ 98.0 98.3 98.7 99.4 99.2 98.8 99.0 100.5 100.2 99.2 101.5 102.3 99.6 1968............................... 102.6 103.5 104.0 102.8 104.5 105.3 105.0 104.9 106.3 105.2 105.9 104.3 104.5 1969................................ 105.6 105.8 106.7 107.3 105.9 106.4 107.2 107.3 106.7 106.7 105.0 102.8 106.1 1970................................ 100.9 100.1 99.6 98.5 97.8 96.9 96.2 96.1 93.2 89.5 88.3 88.7 95.5 1971................................ 89.2 89.3 87.9 88.4 87.8 87.2 ........ Intermediate products 1967................................ 78.7 78.2 78.0 78.6 78.1 78.2 78.6 80.6 81.2 80.9 81.2 81.2 79.5 1968................................ 81.8 82.4 82.8 83.2 83.6 84.2 84.3 84.5 84.6 84.8 86.5 86.4 84.1 1969................................ 87.4 89.1 88.5 87.9 88.5 89.0 89.0 89.1 89.1 89.3 89.7 90.1 88.9 1970................................ 88.8 89.0 88.6 89.0 88.6 89.1 89.9 89.4 89.1 89.1 88.9 89.0 89.0 1971................................ 88.4 89.9 88.6 89.4 90.2 91.0 ........ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Staff Economic Studies The research staffs of the Board of Gover­ In all cases the analyses and conclusions nors of the Federal Reserve System and of set forth are those of the authors and do not the Federal Reserve Banks undertake studies necessarily indicate concurrence by the that cover a wide range of economic and Board of Governors, by the Federal Reserve financial subjects, and other staff members Banks, or by the members of their staffs. prepare papers related to such subjects. In Single copies of the full text of each of some instances the Federal Reserve System the studies or papers summarized in the finances similar studies by members of the Bulletin are available in mimeographed academic profession. form. The list of Federal Reserve Board From time to time the results of studies publications at the back of each Bulletin that are of general interest to the economics includes a separate section entitled “Staff profession and to others are summarized—or Economic Studies” that enumerates the stud­ they may be printed in full—in this section ies for which copies are currently available of the Bulletin. in that form. Study Summary ADJUSTMENT AND DISEQUILIBRIUM COSTS AND THE ESTIMATED BRAINARD-TOBIN MODEL Joseph Bisignano— Stanford University This paper was prepared under a grant from the Social Science Research Council in connection with a continu­ ing study of the impact of monetary policy directed by the SSRC Subcommittee on Monetary Research. This research effort is sponsored by the Board of Governors of the Federal Reserve System. The paper was presented at a conference of the Subcommittee, Washington, D.C., April 30, 1971. This paper is meant to offer some theoretical We next derive an interrelated asset ad­ and empirical support for the portfolio ad­ justment model based again on adjustment justment model proposed by Brainard and and disequilibrium costs. We show that Tobin in their recent “Pitfalls in Financial the Brainard-Tobin model is very similar to Model Building” paper. We begin by de­ the derived model without the satisfaction riving a simple rationale for the common of the balance sheet adding up constraint. stock adjustment model based on the notion The interrelated asset adjustment model is of adjustment and disequilibrium costs. estimated explicitly by employing Brainard The plethora of estimated stock adjustment and Tobin’s requirement that each asset ad­ models to describe financial portfolio be­ justment be a function of all asset disequi­ havior is well known. Unfortunately most librium positions and that all relevant yield of these models do not explicitly derive the and balance sheet constraint variables ap­ estimating equation and, when estimated, pear in each equation. As is well known, do not satisfy most of the a priori constraints ordinary least squares yields efficient esti­ that static demand theory yields. mates even if the error terms in different 577 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

equations are contemporaneously correlated ministration, Federal Housing Administra­ when the set of exogenous variables is the tion, and conventional mortgages. Compar­ same in each of these adjustment equations. ing short-run and long-run behavior we find The model is estimated for savings and loan savings and loan associations shifting out of associations and private pension funds. cash, government securities, and miscel­ The major reward of estimating the Brai- laneous assets and more heavily into mort­ nard-Tobin model is that we are able to see gages in the long run, as would be expected. how financial assets are distributed through­ For the savings and loan residential mort­ out the portfolio in the short run and then gage portfolio we find shifts out of VA and redistributed in the long run, while satisfy­ FHA into conventional mortgages in the ing the constraints that wealth effects sum to long run. The estimated private pension unity across equations and interest rate ef­ funds model also shows reasonable behavior, fects sum to zero. These constraints are indicating shifts out of corporate bonds, satisfied for the aggregate savings and loan mortgages, and government securities and model and for the disaggregated residential heavily into corporate equities in the long mortgage model, consisting of Veterans Ad­ run. □ 578 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Changes in Time and Savings Deposits, January-April 1971 Interest rates paid on all major forms of relation to yields on competing market in­ time and savings deposits were reduced at struments than they had been in the pre­ a sizable number of commercial banks in ceding 3 months. Banks were less interested the 3 months ending April 30, 1971. Con­ in obtaining CD funds, because their loan tinuing the trend that began last fall, rates on demand was weak and aggregate flows into large-denomination time deposits, which are passbook savings and consumer-type time held mainly by businesses, were lowered deposits were exceeding all previous survey further between January and March and records, as depositors in the under $100,000 then—in association with increases in other category sought to place funds in banks that money market yields—they began to move were still offering relatively high rates on upward at most large banks, which hold the these deposits. bulk of these deposits. However, at the end of April the most common rate reported by these banks on negotiable certificates of de­ NET CHANGES IN DEPOSITS posit was somewhat below the level at the Total time and savings deposits held by end of January. Meanwhile, offering rates individuals, partnerships, and corporations on small-denomination (consumer-type) (IPC) at insured commercial banks in­ time deposits, on which most banks had creased by $10.5 billion, or 5 per cent, in been paying the maximum rate on January the 3 months ending April 30, 1971 (Table 31, dropped below the ceiling at a number 1). Reflecting the run-offs in large nego­ of banks that have substantial amounts of tiable CD’s, the increase was about $2.8 these deposits. billion less than that in the preceding period. Commercial banks experienced a small All major types of small-denomination outflow of large-denomination time deposits time deposits increased sharply. The aggre­ during the most recent quarter,1 reflecting gate expansion in passbook savings, in the fact that banks chose to offer rates on small-denomination CD’s and open account these deposits that were less attractive in deposits, and in Christmas club and other special funds was $11.8 billion, or about Note. —Caroline H. Cagle of the Board’s Division 6V2 per cent, as contrasted with an increase of Research and Statistics prepared this article. of $9.2 billion (5 per cent) in the preceding Previous surveys of time and savings deposits at 1 all member banks were conducted by the Board of quarter. This unusually rapid expansion Governors in late 1965, in early 1966, and quarterly reflected shifts by consumers from market beginning in 1967. Beginning in 1968 the surveys instruments to higher-yielding deposit ac­ were expanded to provide figures for all insured commercial banks and were conducted jointly by counts in commercial banks. Preliminary the Board of Governors and the Federal Deposit Insurance Corporation. The results of earlier surveys estimates obtained from the Board’s quar­ have appeared in Bulletins for 1966-71, the most terly flow of funds data indicate that con­ recent being May 1971, pp. 375-85. sumers sold or redeemed a large amount of Appendix tables for this article appear on pp. 587-91. credit market instruments, principally U.S. 579 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

580 FEDERAL RESERVE BULLETIN □ JULY 1971 TABLE 1 TYPES OF TIME AND SAVINGS DEPOSITS OF INDIVIDUALS, PARTNERSHIPS, AND CORPORATIONS HELD BY INSURED COMMERCIAL BANKS ON SURVEY DATES, JULY 1970-APRIL 1971 Number of issuing banks Amount (in millions of dollars) Percentage change in deposits (quarterly rate) Type of deposit 1970 1971 1970 1971 July 31 Oct. 31 Jan. 31 Apr. 30 July 31 Oct. 31 Jan. 31 Apr. 30 Oct. 31,1970- Jan. 31- Jan. 31,1971 Apr. 30, 1971 Total time and savings deposits. 13,324 13,335 13,389 13,413 187,743 198,485 211,770 222,255 6.7 5.0 Savings......................................... 12,842 12,791 12,939 12,960 92,226 94,453 97,549 104,249 3.3 6.9 Time deposits in denominations of less than $100,000—total... 13,024 13,074 13,141 13,142 68,898 69,720 76,659 81,297 10.0 6.1 Accounts with original ma­ turity of— Less than 1 year........... 12,014 12,031 12,050 12,157 40,594 39,664 40,198 42,863 1.3 6.6 1 up to 2 years............. 12,155 12,220 12,207 12,305 15,149 15,500 18,244 18,893 17,7 3,6 2 years or more........... 9,923 10,342 10,675 10,350 13,154 14,556 18,217 19,541 25,2 7,3 All maturities: Open accounts— Passbook or state­ ment form 1......... 3,117 2,971 3,382 3,225 (17,489) (17,793) (19,089) (21,258) (7.3) (11.4) Time deposits in denominations of $100,000 or more................ 5,392 5,522 5,956 5,838 20,432 28,058 32,101 30,744 14.4 -4.2 Negotiable CD’s................. 2,921 2,917 3,254 3,087 13,024 18,792 22,092 21,418 17.6 -*3.1 Nonnegotiable CD’s and open account................... 2,976 3,048 3,272 3,397 7,407 9,266 10,009 9,325 8.0 -6.8 Christmas savings and other special funds............................ 8,366 7,997 8,166 8,274 6,187 6,253 5,461 5,964 -12.7 9.2 1 Includes time deposits, open account, issued in passbook, state­ were reported by virtually all such banks and for insured nonmember ment, or other forms that are direct alternatives for regular savings banks by the same sample of these banks reporting in earlier accounts. surveys. Note.—Data were compiled jointly by the Board of Governors of Some deposit categories include a small amount of deposits out­ the Federal Reserve System and the Federal Deposit Insurance standing in a relatively few banks that no longer issue these types of Corporation. For July 31, 1970, and January 31 and April 30, 1971, deposits and are not included in the number of issuing banks. Dollar the information was reported by a probability sample of all insured amounts may not add to totals because of rounding. commercial banks; for October 31, 1970, the data for member banks Government securities, over the first 3 with maturities under 1 year may reflect the months of 1971. Other contributing factors fact some banks discontinued issuance of may have been the continued high rate of longer-maturity, higher-yielding deposits, personal saving and the preference of con­ but still continued to issue a small-denomina­ sumers for highly liquid assets during a tion instrument with maturity of less than 1 period of economic uncertainty. year at the 5 per cent ceiling rate. Consumer CD’s and open account de­ Growth of $6.7 billion (nearly 7 per posits in denominations of less than cent) in regular passbook savings exceeded $100,000 expanded by $4.6 billion, or 6 that in any quarter since January 1967. per cent. The fastest rate of expansion in this The expansion in these deposits represented category was in deposits with original nearly two-thirds of the growth in all time maturity of 2 years or more on which the and savings deposits, IPC, in the Januarymaximum permissible rate was 53A per April period. With some uncertainty con­ cent. These deposits rose by $1.3 billion, cerning future interest rate movements, or about 7 per cent. Accounts with shorter small depositors probably found that such maturities and lower ceiling rates also deposits had several advantages: their funds showed substantial increases: maturities of were readily accessible; the 4 or 4 Vi per cent 1 to 2 years were up nearly $650 million rate that nearly all banks were paying was (about 3V2 per cent) and maturities of less attractive; and—in some banks—interest than 1 year, by $2.7 billion (about 6V2 could be obtained from the day of deposit per cent). The large growth in accounts to the day of withdrawal. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHANGES IN TIME AND SAVINGS DEPOSITS 581 Christmas savings and other special which compete with other money market funds increased by $500 million, or 9 per instruments, than on the small-denomination cent, in the 3 months ending April 30, consumer-type deposits. This was evident in reflecting in large part a seasonal move­ the last two surveys. For example, in the 3 ment. Christmas club accounts, which are months ending January 31, rate reductions an important part of this total, are built up were widespread at big banks on largeduring the spring, summer, and early fall denomination time deposits, accompanying and are paid out about mid-November. a decline in other money market rates. Bank outstandings of large negotiable Nevertheless, most banks—large and small CD’s were reduced by about $675 million —continued to pay ceiling rates on passbook and other large-denomination time deposits savings and consumer-type time deposits. by about the same amount in the most recent In the most recent quarter rates on savings survey period. This followed rapid expan­ and consumer-type time deposits also were sion in these deposits in the two preceding lowered with the highest proportion of rate quarters. As indicated earlier, bank offer­ reductions occurring among large banks. ing rates on these deposits were less attrac­ Between January and April about 5 per tive than they had been. Moreover, banks cent of insured commercial banks lowered had less interest in acquiring these deposits the rate paid on passbook savings—for the than they had had because of the increased most part from 4V2 to 4 per cent (Appendix availability of consumer-type time deposits Table 7). Among large banks (total de­ at a time when loan demand remained rela­ posits of $100 million or more) nearly onetively weak. fifth of the total (holding $24 billion, or Both small and large banks experienced nearly one-fourth, of all savings deposits) a sizable expansion in total time and savings deposits, IPC, in the most recent quarter. reduced their rates. This compares with Nevertheless, the types of deposits that ac­ about 4 per cent of the small banks (with counted for the growth were different for the $2.1 billion of savings deposits). Rate de­ two groups. At the large banks (total de­ creases were fairly widespread throughout posits of $100 million or more) nearly all the country. Nevertheless there were some of the growth was in savings deposits and reserve districts—mainly in the Middle West small-denomination time deposits with and South—where relatively few banks maturities of less than 1 year. The longer lowered the rate in the most recent quarter. maturities of consumer-type deposits de­ At the end of April just under three-fourths clined or showed little change, and holdings of all insured commercial banks, which held of large-denomination time deposits de­ two-thirds of all savings deposits, were pay­ clined. By contrast, at smaller banks hold­ ing the AVi per cent maximum (Table 2); ings of all major types of time deposits most other banks were offering 4 per cent, expanded. although about 8 per cent of the total— mainly small banks—continued to pay 3Vi RATE CHANGES AND RATE STRUCTURE per cent or less. Three months earlier nearly Rates that banks pay on time and savings all savings deposits had been in banks offer­ deposits generally respond to movements in ing their depositors AV2 per cent. market interest rates more quickly at large On small-denomination deposits with ma­ than at small banks. And they respond more turities of less than 1 year about 5V2 per rapidly on large-denomination time deposits, cent of the issuing banks lowered their offer- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

582 FEDERAL RESERVE BULLETIN □ JULY 1971 TABLE 2 TIME AND SAVINGS DEPOSITS, IPC, HELD BY INSURED COMMERCIAL BANKS ON APRIL 30 AND JANUARY 31, 1971, BY TYPE OF DEPOSIT, BY MOST COMMON RATE PAID ON NEW DEPOSITS IN EACH CATEGORY, AND BY SIZE OF BANK Size of bank (total deposits in Size of bank (total deposits in millions of dollars) millions of dollars) All banks All banks Group Less than 100 100 and over Less than 100 100 and over Apr. Jan. Apr. Jan. Apr. Jan. Apr. Jan. Apr. Jan. Apr. Jan. 30 31 30 31 30 31 30 31 30 31 30 31 Number of banks, or percentage distribution Amounts of deposits (in millions of dollars) or percentage distribution Savings deposits: Issuing banks..................................... 12,960 12,939 12,382 12,378 578 561 104,249 97,549 40,708 39,098 63,541 58,451 Percentage distribution by most common rate paid on new de­ posits : 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 3.50 or less................................. 7.8 7.1 8.1 7.3 2.4 2.1 2.2 2.3 4.1 4.1 .9 1.2 3.51-4.00.................................... 17.9 14.9 17.6 15.3 23.0 7.0 30.2 6.4 13.0 9.0 41.2 4.6 4.01-4.50.................................... 74.3 78.0 74.3 77.4 74.6 90.9 67.6 91.3 82.9 86.9 57.9 94.2 Time deposits in denominations of less than $100,000: Maturities less than 1 year: Issuing banks................................ 12,157 12,050 11,582 11,489 575 561 42,830 40,198 20,225 19,733 22,606 20,465 Percentage distribution by most common rate paid on new deposits: 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 4.50 or less......................... 6.7 2.7 5.9 2.5 23.3 8.0 15.8 3.2 5.9 1.1 24.8 5.3 4.51-5.00............................. 93.3 97.3 94.1 97.5 76.7 92.0 84.2 96.8 94.1 98.9 75.2 94.7 Maturities of 1 up to 2 years: Issuing banks............................. 12,305 12,207 11,765 11,675 540 532 18,583 18,228 14,369 13,773 4,213 4,455 Percentage distribution by most common rate paid on new deposits: 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 4.50 or less................................. 1.9 .5 1.5 .4 8.3 2.8 2.3 .8 .7 .1 7.7 2.9 4.51 5.00.................................... 17.2 8.3 16.4 7.8 36.7 19.9 24.0 13.2 18.5 9.6 43.0 24.4 5.01-5.25.................................... 1.5 .7 1.3 .5 5.2 3.8 2.4 .8 1.4 .3 5.7 2.2 5.26-5.50.................................... 79.4 90.5 80.8 91.3 49.8 73.5 71.3 85.2 79.4 90.0 43.6 70.5 Maturities of 2 years and over: Issuing banks............................. 10,350 10,675 9,852 10,156 498 519 18,622 18,048 10,952 10,351 7,670 7,696 Percentage distribution by most common rate paid on new deposits: 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 4.50 or less......................... 1.5 .5 1.4 .4 4.3 2.5 1.1 .9 1.0 .1 1.6 2.0 4.51-5.00............................. 7.6 3.5 6.6 2.9 26.5 15.3 18.9 10.9 8.0 3.0 34.3 21.3 5.01-5.25............................. 1.5 .3 1.4 .2 4.6 1.9 2.4 1.1 1.8 .4 3.2 2.1 5.26-5.50............................. 5.0 1.0 4.9 .8 6.6 4.6 4.5 1.5 5.0 .6 3.8 2.8 5.51-5.75............................. 84.4 94.7 85.7 95.7 58.0 75.7 73.1 85.6 84.2 95.9 57.1 71.8 Negotiable CD’s in denominations of $100,000 or more:2 3,087 3,254 2,705 2,875 382 379 21,387 22,092 2,976 2,764 18,411 19,328 Percentage distribution by most common rate paid on new deposits: 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 4.50 or less......................... 20.1 4.5 15.6 2.2 50.9 21.4 56.9 30.5 14.8 5.8 63.6 34.1 4.51-5.00............................. 23.5 15.6 22.1 13.0 34.0 35.1 29.6 34.5 26.5 13.5 30.1 37.5 5.01 5.50............................ 13.6 10.7 14.7 10.1 6.0 15.6 5.7 13.1 16.2 13.3 4.0 13.1 5.51-6.00............................ 15.4 18.0 16.8 19.0 5.5 10.6 3.2 7.1 16.6 19.9 1.1 5.2 6.01-6.50............................ 5.2 7.2 5.8 7.7 1.0 3.5 1.2 2.9 6.1 12.6 .4 1.5 6.51-7.00............................ 8.4 14.8 9.5 16.0 .5 6.1 2.5 3.6 14.4 11.0 .6 2.6 7.01-7.50............................. 13.8 29.1 15.5 32.0 2.1 7.2 .9 8.1 5.4 23.9 .2 5.8 7 51 and over ................ .1 0) .5 .2 0) .2 1 Less than 0.05 per cent. 2 For similar information on nonnegotiable CD’s and open account deposits in denominations of $100,000 or more on April 30, see Appendix Table 6. For Note, see p. 585. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHANGES IN TIME AND SAVINGS DEPOSITS 583 ing rate in the 3 months ending April 30. and over, under three-fifths. At smaller These banks held $7.1 billion, or 17 per banks more than four-fifths of the total con­ cent of all such deposits, on the survey date. tinued to offer ceiling rates. Moreover, a This group of rate-reducing banks included significant proportion of the larger banks nearly one-fourth of the largest banks (with reported that they no longer issued small- $5.8 billion of such deposits) and less than 5 denomination deposits with maturities of 1 per cent of the smaller banks (with $1.2 year and over, whereas relatively few small billion of such deposits). Most reductions banks had discontinued these instruments. were V2 of 1 percentage point. Nevertheless, The bulk of negotiable CD’s in denom­ at the end of April over nine-tenths of all inations of $100,000 and over are held by commercial banks reported they were still large banks and over three-fifths of these paying the 5 per cent ceiling and they held banks made further reductions in their most more than four-fifths of all such deposits. On common offering rate between January and January 31 nearly all of the banks had been April. Such deposits are issued mainly to offering the maximum rate. large corporations. As of April 30 nearly Rate reductions were more prevalent on two-thirds of all large negotiable CD’s held the longer-maturity, higher-yielding con­ by large banks were in those banks that sumer-type time deposits. On maturities of reported their most common rate was 4 Vi 1 to 2 years and 2 years and over, about per cent or less. one-third and one-fourth, respectively, of all On other large-denomination time de­ large banks lowered their offering rates in posits—nonnegotiable CD’s and open ac­ the most recent 3-month period. This con­ count—about half of the large banks re­ trasts with less than 13 per cent of the smaller duced their most common rate in the banks. Deposits of these types held by banks January-April period. On April 30 the that lowered their rates aggregated $3.0 bil­ offering rates on these deposits for most big lion for each of the maturity groups, or banks were between 4 and 5 per cent. about 15 per cent of all deposits outstanding On large-denomination time deposits of­ of each maturity. Rate reductions were fering rates were higher at small than at mainly from SVz to 5 per cent on the 1- to large banks on April 30, as was also the 2-year maturities, and from 5% to 5 Vi or 5 case for consumer-type deposits. Nearly half per cent on the longer-maturity instruments. of all small issuing banks were paying rates As of April 30 about four-fifths of all issuing of 6 per cent or better on large negotiable banks were paying the ceiling rate of 5 Vi CD’s and nearly two-fifths had rates as high as this on other large-denomination deposits. per cent on the 1- to 2-year maturities and At larger banks the proportion with rates as the same proportion were paying the 53A per high as this was about one-eighth. Neverthe­ cent maximum rate on maturities of 2 years less, the levels of rates paid may have in­ and over. The proportion of all deposits in fluenced deposit flows in the most recent banks with ceiling rates was lower—about period. Holdings of large-denomination time seven-tenths. deposits expanded at small banks but con­ Large banks displayed much less interest tracted at larger institutions. in the longer-maturity deposits than small banks. For large banks the proportion of AVERAGE INTEREST RATES banks paying the ceiling rate on April 30 on deposits with maturities of 1 to 2 years was The weighted average interest rate paid on less than half; and for maturities of 2 years all forms of time and savings deposits, IPC, Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

584 FEDERAL RESERVE BULLETIN □ JULY 1971 at insured commercial banks on April 30, nearly one-fourth of 1 percentage point to 1971, was 4.70 per cent (Table 3). This 4.25 per cent. At small banks (total de­ compares with 4.85 per cent 3 months posits of less than $100 million) the rate earlier. was reduced only slightly. In the consumer deposit area, the largest On CD’s and open account deposits in decline in rates was on passbook savings, denominations of less than $100,000, the where the average rate on April 30 was 4.32 average rates on April 30 were 4.90 per per cent—down by 12 basis points from cent for maturities of less than 1 year; 5.34 January 31. Most of this decline was at the per cent for maturities of 1 to 2 years; and largest banks where the rate dropped by 5.55 per cent for maturities of 2 years and TABLE 3 AVERAGE OF MOST COMMON INTEREST RATES PAID ON VARIOUS CATEGORIES OF TIME AND SAVINGS DEPOSITS, IPC, AT INSURED COMMERCIAL BANKS ON APRIL 30, 1971 Per cent per annum Time deposits in denominations of— Less than $100,000 $100,000 or more All Savings Bank location and size of bank time and and (total deposits in millions of dollars) savings small de­ Savings Maturing indeposits nomina­ tion time Total Nego­ All deposits Less 1 up to 2 years tiable other than 2 years or more CD’s 1 year All banks: All size groups.................................... 4.70 4.68 4.32 5.16 4.90 5.34 5.55 4.72 4.95 Less than 10................................. 5.00 4.99 4.32 5.33 4.99 5.42 5.68 5.91 5.68 10-50............................................ 4.89 4.84 4.39 5.27 4.97 5.40 5.66 5.86 5.37 50-100.......................................... 4.77 4.72 4.38 5.15 4.95 5.24 5.55 5.08 5.41 100-500........................................ 4.64 4.62 4.35 5.06 4.89 5.23 5.45 4.76 4.85 500 and over............................... 4.52 4.50 4.25 4.98 4.82 5.12 5.40 4.54 4.75 Banks in— Selected large SMSA’s 1: All size groups............................. 4.58 4.56 4.30 5.05 4.86 5.23 5.46 4.61 4.83 Less than 10......................... 4.83 4.79 4.40 5.28 4.98 5.40 5.65 5.78 5.59 10-50.................................... 4.75 4.70 4.39 5.20 4.96 5.34 5.57 5.49 5.43 50-100................................... 4.70 4.67 4.40 5.11 4.91 5.24 5.55 5.06 5.14 100-500................................. 4.63 4.61 4.35 5.06 4.87 5.22 5.50 4.74 4.77 500 and over........................ 4.51 4.49 4.24 4.98 4.82 5.12 5.40 4.54 4.76 All other SMSA’s: All size groups............................. 4.72 4.69 4.34 5.14 4.92 5.29 5.53 4.96 5.19 Less than 10......................... 4.81 4.76 4.24 5.25 4.98 5.36 5.60 5.78 6.35 10-50.................................... 4.85 4.80 4.38 5.26 4.98 5.40 5.69 5.88 5.65 50-100.................................. 4.81 4.75 4.38 5.17 4.95 5.28 5.55 4.93 5.50 100-500................................. 4.65 4.63 4.35 5.04 4.89 5.21 5.37 4.81 4.92 500 and over........................ 4.56 4.56 4.28 5.02 4.82 5.17 5.48 4.47 4.65 Banks outside SMSA’s: All size groups.................................... 4.95 4.92 4.37 5.29 4.97 5.41 5.66 5.82 5.38 Less than 10................................. 5.05 5.04 4.32 5.34 4.99 5.43 5.69 6.03 5.53 10-50............................................ 4.97 4.92 4.40 5.29 4.96 5.42 5.69 6.08 5.26 50-100.......................................... 4.83 4.77 4.35 5.19 4.98 5.19 5.56 5.36 5.60 100-500........................................ 4.66 4.63 4.34 5.15 4.97 5.35 5.40 4.76 5.32 500 and over............................... 4.72 4.74 4.50 4.94 4.82 4.72 5.30 4.50 4.57 1 The selected large Standard Metropolitan Statistical Areas, as defined by the Bureau of the Budget and arranged by size of population in the 1970 census, are as follows: New York City Minneapolis-St. Paul San Jose Albany-Schenectady-Troy Richmond Los Angeles-Long Beach Seattle-Everett New Orleans Akron Jacksonville Chicago Milwaukee Tampa-St. Petersburg Hartford Flint Philadelphia Atlanta Portland Norfolk-Portsmouth Tulsa Detroit Cincinnati Phoenix Syracuse Orlando San Francisco-Oakland Paterson-Clifton-Passaic Columbus Gary-Hammond-E. Chicago Charlotte Washington, D. C. Dallas Rochester Oklahoma City Wichita Boston Buffalo San Antonio Honolulu West Palm Beach Pittsburgh San Diego Dayton Ft. Lauderdale-Hollywood Des Moines St. Louis Miami Louisville Jersey City Ft. Wayne Baltimore Kansas City Sacramento Salt Lake City Baton Rouge Cleveland Denver Memphis Omaha Rockford Houston San Bemadino-Riverside Ft. Worth Nashville-Davidson Jackson, Miss. Newark Indianapolis Birmingham Youngstown-Warren Note.—The average rates were calculated by weighting the most common rate reported on each type of deposit at each bank by the amount of that type of deposit outstanding. Christmas savings and other special funds, for which no rate information was collected, were excluded. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHANGES IN TIME AND SAVINGS DEPOSITS 585 over. Each of these rates was 8 basis points mercial banks was 4.72 per cent—down 46 lower than the comparable rate 3 months basis points from January 31; and on all earlier. The April 30 rates were well below other large-denomination deposits, 4.95 per the ceiling levels for the longer maturities: cent—down 30 basis points. 16 basis points below for accounts with On nearly all forms of time and savings maturities of 1 to 2 years and 20 basis points deposits large banks were paying lower below the ceiling for maturities of 2 years rates of interest than small banks on April and over. 30. Rates paid also tended to vary with Rate declines in the most recent quarter the location of the bank. Since most small were greater on large-denomination than on banks are located outside large cities, aver­ consumer-type deposits. On negotiable CD’s age rates were the highest for banks in in denominations of $100,000 or more the towns outside Standard Metropolitan Statis­ average rate on April 30 at all insured com- tical Areas. □ NOTES TABLE 2: Note.—The most common interest rate for each instrument While rate ranges of or of a percentage point are or group of instruments refers to the basic stated rate per shown in this and other tables, the most common rate reported annum (before compounding) in effect on the survey date by most banks was the top rate in the range; for example, that was generating the largest dollar volume of deposit 4.00, 4.50, etc. On business-type time deposits in denomina­ inflows. If the posted rates were unchanged during the 30-day tions of $100,000 and over, however, some large banks have period just preceding the survey date, the rate reported as had rates at intervals of % of a percentage point. Some the most common rate was the rate in effect on the largest deposit categories exclude a small amount of deposits out­ dollar volume of deposit inflows during that 30-day period. standing in a relatively few banks that no longer issue these If the rate changed during that period, the rate reported was types of deposits and are not included in the number of the rate prevailing on the largest dollar volume of inflows issuing banks. from the time of the last rate change to the survey date. Figures may not add to totals because of rounding. APPENDIX TABLES 1-6: 1 Less than $500,000. survey date. Time deposits, open account, exclude Christ­ 2 Omitted to avoid individual bank disclosure. mas savings and other special accounts. Dollar amounts Note.—Data were compiled from information reported by may not add to totals because of rounding. a probability sample of all insured commercial banks expanded In the headings of these tables under “Most common rate to provide universe estimates. paid (per cent)” the rates shown are those being paid by Figures exclude banks that reported no interest rate paid nearly all reporting banks. However, for the relatively few and that held no deposits on the survey dates, and they also banks that reported a rate in between those shown, the exclude a few banks that had discontinued issuing these bank was included in the next higher rate. instruments but still had some deposits outstanding on the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHANGES IN TIME AND SAVINGS DEPOSITS 587 APPENDIX TABLE 1-SAVINGS DEPOSITS Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total Total 3.50 4.00 4.50 3.50 4.00 4.50 or less or less NUMBER OF BANKS MILLIONS OF DOLLARS All banks......................................................................... 12,960 1,012 2,313 9,635 104,249 2,281 31,440 70,528 Size of bank (total deposits in millions of dollars): Less than 10............................................................ 7,067 749 1,540 4,778 7,096 403 1,214 5,479 10-50........................................................................ 4,609 214 552 3,843 22,787 680 2,873 19,234 50-100...................................................................... 707 36 88 583 10,826 614 1,192 9,019 100-500.................................................................... 447 12 92 343 22,195 485 5,470 16,240 500 and over........................................................... 130 1 41 88 41,346 (2) 20,690 20,556 Federal Reserve district: Boston...................................................................... 363 3 39 321 4,285 61 843 3,381 New York................................................................ 448 5 47 396 16,736 119 2,548 14,068 Philadelphia............................................................. 451 36 118 297 6,618 353 1,836 4,428 Cleveland................................................................. 766 73 125 568 10,036 425 3,047 6,565 Richmond................................................................ 731 8 90 633 7,139 86 1,513 5,541 1,632 76 308 1,248 7,435 230 1,510 5,695 2,538 297 455 1,786 18,987 526 3,868 14,594 St. Louis.................................................................. 1,332 91 279 962 3,529 161 487 2,882 1,363 280 493 590 2,550 248 537 1,766 Kansas City............................................................. 1,738 91 231 1,416 3,967 53 115 3,799 Dallas....................................................................... 1,211 52 60 1,099 3,514 20 61 3,433 San Francisco........................................................ 387 68 319 19,453 15,075 4,377 APPENDIX TABLE 2—TIME DEPOSITS, IPC, IN DENOMINATIONS OF LESS THAN $100,000—MATURING IN LESS THAN 1 YEAR Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total Total 4.50 4.75 5.00 4.50 4.75 5.00 or less or less NUMBER OF BANKS MILLIONS OF DOLLARS All banks......................................................................... 12,157 816 83 11,258 42,830 6,788 598 35,444 Size of bank (total deposits in millions of dollars): Less than 10............................................................ 6,486 238 20 6,228 4,557 85 12 4,460 10-50........................................................................ 4,393 366 33 3,994 10,812 700 27 10,086 50-100...................................................................... 703 78 9 616 4,855 408 36 4,411 100 500.................................................................... 445 93 14 338 8,229 1,350 230 6,649 500 and over............................................................ 130 41 7 82 14,377 4,245 293 9,838 Federal Reserve district: Boston...................................................................... 322 21 8 293 1,388 42 30 1,315 New York................................................................ 445 82 11 352 3,581 413 130 3,038 Philadelphia............................................................. 307 49 2 256 2,149 371 (2) 1,746 Cleveland................................................................. 694 48 646 2,894 737 2,157 673 98 2 573 2,775 732 (2) 2,038 Atlanta..................................................................... 1,547 214 18 1,315 3,764 909 86 2,770 Chicago.................................................................... 2,276 103 18 2,155 9,917 1,663 69 8,184 St. Louis................................................................... 1,300 8 1,292 2,950 56 2,893 Minneapolis............................................................. 1,166 1,166 2,288 2,288 Kansas City............................................................. 1,772 62 3 1,707 2,483 98 19 2,366 1,293 105 15 1,173 2,314 217 93 2,004 San Francisco.......................................................... 362 26 6 330 6,327 1,550 132 4,645 For notes to Appendix Tables 1-6, see p. 585. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

588 FEDERAL RESERVE BULLETIN n JULY 1971 APPENDIX TABLE 3— TIME DEPOSITS, IPC, IN DENOMINATIONS OF LESS THAN $100,000— MATURING IN 1 UP TO 2 YEARS Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total Total 4.50 4.50 or 5.00 5.25 5.50 or 5.00 5.25 5.50 less less NUMBER OF BANKS MILLIONS OF DOLLARS All banks............................................................... 12,305 229 2,122 181 9,773 18,583 421 4,466 441 13,254 Size of bank (total deposits in millions of dollars): Less than 10.................................................. 6,668 47 872 12 5,737 6.079 11 883 4 5,182 10-50.................................................................. 4,404 112 787 122 3,383 6,785 49 1,116 120 5,500 50-100................................................................ 693 25 265 19 384 1,505 38 655 76 735 100-500.............................................................. 425 28 156 22 219 2,134 94 815 97 1,128 500 and over...................................................... 115 17 42 6 50 2.079 229 997 144 709 Federal Reserve district: Boston............................................................... 232 8 35 7 182 122 7 5 111 New York.......................................................... 374 40 96 11 227 770 30 333 10 397 Philadelphia....................................................... 411 6 81 7 317 1,207 45 376 8 777 Cleveland........................................................... 703 6 254 3 440 1,167 11 625 7 524 Richmond.......................................................... 652 47 179 18 408 739 118 265 24 331 Atlanta............................................................... 1,568 47 350 31 1,140 2,021 32 586 83 1,320 Chicago.............................................................. 2,421 20 337 30 2,034 4,155 82 639 109 3,324 St. Louis............................................................ 1,374 2 185 4 1,183 2,342 (2) 387 32 1,921 Minneapolis....................................................... 1,285 151 1,134 1,965 276 1,688 Kansas City....................................................... 1,801 7 144 10 1,640 1,892 3 120 10 1,759 Dallas................................................................. 1,130 34 246 26 824 1,147 15 258 104 770 San Francisco.................................................... 354 12 64 34 244 1,057 84 591 50 332 APPENDIX TABLE 4— TIME DEPOSITS, IPC, IN DENOMINATIONS OF LESS THAN $100,000— MATURING IN 2 YEARS OR MORE Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total Total 4.50 4.50 or 5.00 5.25 5.50 5.75 or 5.00 5.25 5.50 5.75 less less NUMBER OF BANKS MILLIONS OF DOLLARS All banks...................................... 10,350 156 785 158 516 8,735 18,622 227 3,509 440 842 13,604 Size of bank (total deposits in millions of dollars): Less than 10............................. 5,311 48 165 40 218 4,840 2,909 21 97 17 81 2,693 10-50 3,914 67 342 66 214 3,225 5,860 65 384 69 299 5,044 50-100....................................... 627 19 146 29 52 381 2,183 28 397 107 166 1,486 100-500..................................... 390 16 100 18 25 231 2,858 73 690 127 147 1,821 500 and over............................. 108 6 32 5 7 58 4,812 40 1,942 121 148 2,561 Federal Reserve district: Boston....................................... 218 8 14 6 7 183 248 3 11 2 3 230 New York................................. 393 57 43 4 10 279 1,432 58 291 14 7 1,063 Philadelphia............................. 278 3 21 8 246 1,282 39 258 13 971 Cleveland.................................. 596 3 71 15 66 441 1,563 6 176 182 145 1,053 Richmond................................. 598 28 97 26 48 399 1,307 77 407 49 88 686 Atlanta...................................... 1,191 15 143 38 54 941 1,594 13 300 112 44 1,124 Chicago.................................... 2,108 2 100 43 133 1,830 4,191 (2) 491 33 185 3,474 St. Louis................................. 1,084 11 1 21 1,051 1,347 17 (2) 55 1,274 Minneapolis 1,031 34 4 993 1,475 71 9 1,395 Kansas City............................. 1,485 4 60 3 35 1,383 993 1 54 12 16 910 Dallas...................................... 1,031 31 157 7 85 751 970 20 182 1 65 701 San Francisco.......................... 337 5 34 15 45 238 2,220 3 1,249 35 211 722 For notes to Appendix Tables 1-6, see p. 585. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

CHANGES IN TIME AND SAVINGS DEPOSITS 589 APPENDIX TABLE 5— NEGOTIABLE CD’s, IPC, IN DENOMINATIONS OF $100,000 OR MORE Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total 4.00 7.50 Total 4.00 7.50 or 4.50 5.00 5.50 6.00 6.50 7.00 and or 4.50 5.00 5.50 6.00 6.50 7.00 and less over less over NUMBER OF BANKS MILLIONS OF DOLLARS All banks....................................... 3,087 199 421 727 421 474 160 259 42621,3871,08211,0726,3261,215 692 261 539 200 Size of bank (total deposits in mil­ lions of dollars): Less than 10.............................. 705 25 28 153 114 132 41 104 108 234 8 25 26 29 69 11 44 21 10-50.......................................... 1,694 78 190 371 209 307 110 147 282 1,793 40 169 390 154 378 168 372 122 50-100........................................ 306 38 66 72 75 16 5 6 28 948 38 161 372 298 46 3 13 17 100-500...................................... 268 42 83 100 14 17 3 1 8 3,126 3091,163 1,115 296 133 22 (2) 39 500 and over............................. 114 16 54 31 9 2 1 1 15,285 6879,5544,422 438 (2) (2) (2) Federal Reserve district: Boston....................................... 148 31 32 39 30 10 2 4 1,152 26 329 600 116 19 (2) 6 New York................................. 208 24 40 52 17 17 3 31 24 8,044 1365,1172,338 51 95 2 '*287 19 Philadelphia.............................. 111 9 14 41 4 18 25 636 386 199 20 2 16 14 Cleveland................................... 122 7 14 48 2 8 16 27 728 44 547 93 (2) 4 18 15 Richmond.................................. 150 33 23 28 3 15 19 20 9 619 93 329 70 8 63 54 2 1 Atlanta....................................... 541 3 47 113 120 130 33 9 86 1,163 14 267 491 180 111 26 10 64 Chicago..................................... 455 43 81 74 27 87 30 73 40 2,124 601,300 409 203 90 4 35 23 St. Louis.................................... 207 22 5 12 44 36 40 48 357 13 132 125 35 28 7 16 Minneapolis............................... 151 8 5 60 25 8 8 11 26 384 8 160 148 20 7 17 17 7 Kansas City............................... 295 6 54 76 32 57 9 26 35 732 10 204 243 84 115 11 59 6 Dallas......................................... 508 5 54 141 84 75 37 45 67 2,317 150 5431,038 262 124 61 116 22 San Francisco........................... 191 8 52 43 33 13 3 4 35 3,131 1421,947 750 246 20 11 7 8 APPENDIX TABLE 6— NONNEGOTIABLE CD’s AND OPEN ACCOUNT DEPOSITS, IPC, IN DENOMINATIONS OF $100,000 OR MORE Most common interest rates paid by insured commercial banks on new deposits on April 30, 1971 Most common rate paid (per cent) Most common rate paid (per cent) Group Total Total 4.00 7.50 4.00 7.50 or 4.50 5.00 5.50 6.00 6.50 7.00 and or 4.50 5.00 5.50 6.00 6.50 7.00 and less over less over NUMBER OF BANKS MILLIONS OF DOLLARS 3,397 254 3871,107 413 488 133 174 441 9,281 4992,2904,535 675 669 177 179 258 iize of bank (total deposits in mil­ lions of dollars): Less than 10.............................. 774 34 3 256 89 144 31 62 155 212 7 1 85 24 27 12 20 36 10-50.......................................... 1,719 124 170 552 257 221 62 87 246 1,228 74 107 522 220 105 27 61 113 50-100........................................ 502 47 100 147 33 102 31 12 30 1,105 52 162 256 170 358 21 15 71 100-500...................................... 298 38 74 117 26 17 7 11 8 1,822 189 604 676 142 111 40 29 31 500 and over............................. 104 11 40 35 8 4 2 2 2 4,915 1781,4152,995 119 68 (2) (2) (2) ederal Reserve district: Boston....................................... 151 8 21 60 32 2 22 6 213 4 97 97 10 (2) 2 1 New York................................. 177 18 40 69 15 17 4 1 13 2,529 85 9671,238 134 10 (2) 54 7 Philadelphia............................... 139 19 44 38 5 14 1 2 16 351 51 109 156 6 11 (2) 3 15 Cleveland................................... 270 28 40 94 45 17 4 16 26 390 78 145 75 32 34 5 9 11 Richmond................................. 288 9 51 125 19 77 3 2 2 734 59 177 131 14 262 79 (2) (2) Atlanta....................................... 492 13 43 172 88 57 15 29 75 783 31 232 265 119 66 8 32 30 Chicago...................................... 547 116 61 93 77 98 25 18 59 1,180 139 161 630 90 96 18 16 30 St. Louis.................................... 322 4 23 99 8 61 10 56 61 344 4 68 187 8 24 14 9 29 Minneapolis............................... 149 2 15 23 20 5 8 76 118 (2) 6 39 8 15 1 3 46 Kansas City............................... 265 7 31 99 48 49 6 19 6 297 22 30 173 29 33 3 3 3 Dallas........................................ 498 28 8 214 40 50 38 15 105 745 23 57 320 199 26 14 29 77 San Francisco........................... 99 4 23 29 13 26 2 2 1,597 3 241 1,224 26 87 (2) (2) For notes to Appendix Tables 1-6, see p. 585. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

APPENDIX TABLE 7— INSURED COMMERCIAL BANKS CHANGING THE MOST COMMON RATE PAID ON NEW TIME AND SAVINGS DEPOSITS, IPC, BETWEEN JANUARY 31 AND APRIL 30, 1971 Time deposits in denominations of— Less than $100,000 maturing in $100,000 or more Savings Less than 1 year 1 up to 2 years 2 years and over Negotiable CD’s All other Group Size of bank Size of bank Size of bank Size of bank Size of bank Size of bank (total deposits (total deposits (total deposits (total deposits (total deposits (total deposits in millions in millions in millions in millions in millions in millions All of dollars) All of dollars) All of dollars) All of dollars) All of dollars) All of dollars) size size size size size size groups groups groups groups groups groups 100 100 100 100 100 100 Under and Under and Under and Under and Under and Under and 100 over 100 over 100 over 100 over 100 over 100 over du A m p b r. e r 3 0 o f i 1 s 9 s 7 u 1 i n .. g .. .. b .. a .. n ... k .. s .. , . 12,949 12,374 575 12,149 11,577 572 12,307 11,770 537 10,412 9,916 496 3,118 2,738 380 3,385 2,986 399 PERCENTAGE DISTRIBUTION OF NUMBER OF BANKS IN GROUP * Total.............................. 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 100.0 <o J a c n h . a n 31 g - e A in p r r . a t 3 e 0 , , 1971.. 94.2 94.8 81.9 91.3 92.2 75.0 83.0 84.0 61.5 82.5 83.3 66.6 30.4 31.6 21.3 30.3 30.0 32.0 tanks raising rate............... 1.0 1.0 .3 .6 .5 2.4 1.6 1.4 5.6 1.6 1.4 6.0 6.6 5.4 15.8 9.0 8.3 13.3 New most common rate 1 (per cent) 4 4 3 3 5 5 5 5 . . . . . . . . 5 0 5 5 2 0 7 5 0 1 1 1 6 1 6 1 - - - - - - - o 4 5 4 5 5 6 5 r . . . . . . . 0 5 5 0 2 0 7 le 0 0 s . . 0 5 0 5 0 s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . j | ( (2 2 > ) .9 ( (2 2 1 ) ) .0 .3 (2).6< .5 2. . 3 2 (2 1 . ) . . 1 3 r1 1 . . . 1 2 1 3 1 . . . .5 2 6 4 (2 1 ) . . . . 1 2 2 1 (2 1 ) . . . . 1 1 1 1 4 1 . . . . 0 6 0 4A (2 2 1 \ . . . . . 1 3 5 4 2 ........ 2 .. . 4 • . 5 4 11 8 3 1. . . . . . . 1 7 5 8 8 4 3 1 1 1 . . . . . . 5 1 8 4 6 0 (2 1 1 ) . ’ . . . 1 9 5 6 3 5 3 1 1 i! . . . . o 5 8 0 0 5 6 6 6 6 7 . . . . . 5 0 2 7 0 6 1 6 1 1 - - - - - 6 7 6 7 6 . . . . . 5 0 7 5 2 5 5 0 0 0 (2 1 ) . . . . 1 3 2 2 1 . . . . 1 3 3 4 .3 2. . . . 1 1 1 8 3. . . . 1 1 1 2 . . 3 3 7.51-8.0 0 MpHWlHl .3 .3 8.01-8.5 0 |B— 590 FEDERAL RESERVE BULLETIN □ JULY 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Banks reducing rate........ 4.6 22.6 13.4 12.7 30.3 12.2 II.5 25.8 49.1 47.4 61.6 41.2 40.2 49.4 New most common rate 1 (per cent) 3.50 or less.. .4 .4 .4 .7 .6 1.4 1.3 1.4 .8 2.1 2.3 .5 3.51-4.00... .2 .1 1.1 .1 .1 .6 3.9 2.6 12.9 3.5 2.5 10.5 4.01-4.50... 1.2 1.0 4.8 .6 .6 .8 10.5 8.3 25.5 7.1 5.6 19.0 4.51-5.00... 10.5 10.1 20.7 5.4 4.9 16.1 13.6 13.3 15.5 14.4 14.5 12.3 5.01-5.25... 1.2 1.1 3.4 1.3 1.2 2.8 3.7 3.9 2.4 2.3 2.4 1.0 5.26-5.50... 4.1 4.1 4.0 5.3 5.9 .8 4.3 4.6 2.3 5.51-5.75... 1.6 1.6 1.8 1.3 1.5 .5 5.76-6.00... 4.2 4.6 1.1 3.5 3.8 1.5 6.01-6.25... 1.5 1.7 .3 .4 .4 .3 6.26-6.50... 1.6 1.8 .3 .6 .6 1.0 6.51-6.75... .9 .9 .3 6.76-7.00... plMMI: ""2.2 .6 .7 .3 7.01-7.50... MRII ■ (2) .........*3’ .1 .1 7.51-8.00... 8.01-8.50... W W W * Banks introducing new in­ strument............... 2.7 2.0 1.9 2.6 3.7 3.8 1.6 13.9 15.6 1.3 19.5 21.5 5.3 Most common rate 1 (per cent) 4.00 or less.. .2 (2) .2 1.8 2.0 .8 1.7 1.9 .3 4.01-4.50... .2 (2) .2 (2) (2) 1.1 1.2 .3 1.6 1.7 1.0 4.51-5.00... 2.4 .7 .6 1.7 .1 .1 .2 3.2 3.7 8.2 8.9 3.3 5.01-5.25... (2) .2 .1 .1 .1 .1 5.26-5.50... "i.’3 * i * 3 .6 .7 ........\l .2 .8 .9 .9 1.0 .........‘5’ 5.51-5.75... 2.9 3.0 1.0 .1 .1 .4 .4 .3 5.76-6.00... 1.7 2.0 3.7 4.2 6.01-6.25... .6 .7 6.26-6.50... .3 .3 .........6 ........\l 6.51-6.75... 6.76-7.00... 2.3 2.6 .1 .1 7.01-7.50... 1.8 2.1 2.1 2.3 7.51-8.00... 8.01-8.50... * Shaded areas indicate that rates shown in the stub are higher 2 Less than 0.05 per cent. Apr. 30, 1971. The table excludes banks that issued these types of than the maximum permissible rate on the various instruments. Note.—This table was compiled by comparing rates as reported deposits on January 31, but no longer issued them on April 30. 1 For description of most common rate, see Note to Table 2, by the sample banks that had these types of deposits outstanding Percentages may not add to totals because of rounding. p. 585. on Jan. 31, 1971, with the rates reported by the same banks on (J1 VO l—* Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Statement to Congress Statement by Arthur F. Burns, Chairman, (SDR’s) allocated to us, and the deficit has Board of Governors of the Federal Reserve continued at an extremely high rate in the System, before the Subcommittee on Foreign first 5 months of this year. These recent Economic Policy and the Subcommittee on deficits exceed anything we have hitherto International Exchange and Payments of the experienced, but they also greatly exaggerate Joint Economic Committee, June 30, 1971. our true underlying condition. Thus, the official settlements deficit over the 13 years from 1958 to 1970 averaged only slightly I am happy to come here today to discuss more than $2 billion per year. Moreover, with you how we at the Federal Reserve the deficit on current account and long-term see the problems that are the subject of these capital movements, while larger in 1970 hearings. than in immediately preceding years, has My major theme this morning will be the been for several years in the 2 to 3 billion persisting imbalance in our international dollar range. Of late, this underlying im­ economic accounts. After considering that, balance has been overshadowed by extra­ I shall turn to the special problem of short­ ordinary short-term capital movements, and term capital flows, and conclude by discuss­ it is this that has made our balance of pay­ ing some of the policy actions that need to ments position appear much worse than it be taken by us and other countries to deal basically was in 1970—just as it made it with these two problems. appear much better than it basically was in 1968 or 1969. THE PERSISTING IMBALANCE It is also worth noting, as some European As you well know, our balance of payments countries have recently discovered, that a is not in a satisfactory condition. Indeed, a surplus in the balance of payments is not deficit in our international accounts has always a blessing. Nor, for that matter, is a turned up almost every year since 1949. deficit always bad. We cannot remind our­ There are several ways of judging the bal­ selves too often that the postwar U.S. deficits ance of payments—through the balance on experienced through the late 1950’s were official reserve transactions, the balance on welcome deficits. The balance of payments the liquidity basis, or the balance on cur­ problem in those days was called the world’s rent account and long-term capital. Which­ dollar shortage. ever of these concepts we may adopt, the As our deficits persisted through the practical conclusion is the same: a stubborn, 1960’s, however, it became increasingly persistent deficit has characterized our bal­ clear that further large deficits could prove ance of payments. troublesome to us and to other countries. We should not, however, be misled by For the counterpart of the persistent deficit the staggering magnitude of the balance of payments deficit during the past year and a has been a gradual erosion of the U.S. inter­ half. In 1970 the deficit on the official national reserve position. settlements basis reached $10.7 billion be­ Our reserve assets—which include, fore allowing for the special drawing rights besides gold, our reserve claim on the 592 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

International Monetary Fund, holdings of etary reserves should take the form of SDR’s. convertible foreign currencies, and more The most disappointing feature of the recently SDR’s—declined fairly steadily U.S. balance of payments in recent years from a level of about $25 billion in 1957 has been the weakness of our foreign trade to less than $14 billion at the time of the account. Since a more viable over-all bal­ gold crisis in the spring of 1968. Since then ance of payments in the future will require our reserve assets at first rose somewhat; a substantial improvement in our trade but they have fallen back more recently to balance, I would like to discuss this sector the previous low point of 1968. In sharp of the balance of payments with you in some contrast, U.S. liabilities to foreign central detail. banks and governments have increased The U.S. surplus on trade of nonmilitary rather steadily in the postwar period. These goods averaged $5.6 billion in 1956-57, claims on U.S. reserve assets grew from an dropped sharply during the late 1950’s, then average level of some $4 billion in 1949-51, returned to a robust $5.2 billion average in to about $12 billion in 1960. By the end of 1960-61. Despite the strong recovery of the this April, they amounted to $311/^ billion, economy between 1962 and 1964, the sur­ and there was a further substantial increase plus increased somewhat. Since 1965, how­ during the foreign exchange crisis in May. ever, the trade surplus has been shrinking. Once welcomed by all concerned, these In 1968 and 1969, it virtually disappeared. trends in our reserve position have gone on Though rising cyclically to an annual rate much too long. Continuation of the decline of some 2 to 3 billion dollars in the first in U.S. reserve assets and any excessive three quarters of 1970, the trade balance build-up of our reserve liabilities are neither has in recent months been in actual deficit. desirable nor sustainable. If we wanted to The data for April and May of this year are finance further sizable deficits by reducing particularly unfavorable. reserve assets, it is obvious that we could not The most important factor contributing continue doing so very long. On the other to the post-1964 deterioration in our trade hand, if we sought to finance persistent position was the emergence of excess de­ deficits by increasing our liabilities to for­ mand in our economy and the accompanying eign central banks and governments, we inflationary conditions. might well find that some countries no longer To be sure, export receipts—while af­ wish to add to their dollar reserves. Cer­ fected adversely by high demand pressure tainly, a continued accumulation of un­ at home—did increase at a rate of about wanted dollars would make our friends 10 per cent a year in the period 1965-70. abroad more and more dissatisfied with the This growth, however, was not as rapid as workings of the present international mon­ the growth rate of imports by the rest of etary system. the world. Hence the U.S. share in world Now that SDR’s are being created, there markets continued its gradual decline. is also less reason for large, persistent U.S. Data on prices in the United States and deficits. Before the advent of SDR’s, our foreign countries support the view that our deficits played a major role in supplying trade balance during 1965-69 was weak­ monetary reserves to other countries. There ened by the inflation. By 1969 export unit is now general agreement, however, that values for the United States had risen by growth in the reserve liabilities of the United 17 per cent from the 1963-64 average. Ex­ States should be much smaller and that the port unit values for countries such as Ger­ major part of future growth in world mon­ many, Japan, and Italy rose much less. A 593 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

594 FEDERAL RESERVE BULLETIN □ JULY 1971 comparison of wholesale price indices again term capital flows, particularly our exper­ shows a significantly faster rate of increase ience of the last 2 or 3 years. for the United States in 1965-69 than for most other industrial countries. SHORT-TERM CAPITAL FLOWS Imports have grown since 1964 at an Troublesome flows of capital often develop annual rate of almost 14 per cent, much when the business cycle is in a different faster than the growth rate of GNP. As a phase in different countries, and the mon­ consequence, the ratio of imports to the etary policies of the countries are accord­ gross national product has risen by roughly ingly out of phase. one-third since 1964 to a current level of Thus, the massive flow of short-term funds about 4 per cent. The impact on imports of to the United States in 1969 was a byproduct the excessive demand pressure in 1965-69 of the tight monetary and fiscal policies here goes far toward explaining this rise in the at that time, while in most European coun­ propensity to import. Shifts in the character tries the policy response to the rising boom of our imports also played a role. Finished was less advanced. Major American banks manufactures have become an increasingly experienced increasing difficulty in accom­ large proportion of total imports, rising from modating the credit demands of their cus­ 37 per cent in 1960 to 56 per cent in 1970. tomers as their time deposits shrank because Moreover, imports of finished goods have of the rise of market interest rates above the also been rising rapidly relative to domestic Regulation Q ceiling for CD’s. The foreign production. These trends were already in evi­ branches of our banks came to the aid of dence in the 1950’s, but only in more recent their parent institutions by raising funds in years have they had a major effect on the the Euro-dollar market from foreigners ratio of imports to the gross national whom they induced to shift out of assets in product. their own currencies into dollars. The Euro­ No analysis of our trade position would dollar market thus served as a channel for be complete without reference to the fact large flows of capital to the United States. that some U.S. products are not freely ad­ In a narrow view, this was not unwelcome mitted to foreign markets. They are subject as an offset to our underlying payments to quantitative or administrative quotas imbalance. But it was troublesome to some (e.g., consumer goods imports into Japan), European countries. Moreover, the flow was to variable border levies and other special bound to turn around sooner or later—as import taxes (e.g., European Economic in fact it did in 1970. Community restrictions on the import of In the latter part of 1969 and in 1970, agricultural goods), to special marketing many European countries found it necessary agreements, and so on. Such restrictions to tighten their monetary policies. In the limit our exports of agricultural products, United States, on the other hand, excess coal, and a wide range of manufactured demand for goods and services vanished products including computers, autos, heavy during 1970, and monetary policy shifted electrical equipment, drugs, and fabrics. away from severe restraint toward moderate I shall come back later to the outlook for ease. It therefore became cheaper for Ameri­ our balance of payments and to policy ac­ can banks to attract funds at home than to tions that can be taken to deal with the maintain large Euro-dollar borrowings. The underlying imbalance. Before doing so, let branches, getting repayments from their us focus on the special problem of short­ head offices, had additional funds to lend Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 595 abroad. In turn, business firms in Germany major European central banks in depositing and other countries where credit conditions funds, usually through the Bank for Inter­ were tight found Euro-dollar loans readily national Settlements, in the Euro-dollar available at lower cost; so the Euro-dollar market. Typically, the banks in which these market now served as a channel for a flow central bank funds were placed lent them of short-term capital from the United States out to European borrowers, who in turn to other countries. As a result, the official often converted the funds into their own settlements deficit of the United States in­ domestic currencies. These conversions into creased very sharply, other countries exper­ domestic currencies expanded the money ienced large reserve gains, and the efforts of supply of the affected countries and eased European countries to fight inflation with the liquidity positions of their commercial restrictive monetary policies were to some banks, thereby frustrating to some degree degree undermined. the restrictive policy of central banks. In This year, the flow of short-term capital to the end, central banks, serving as residual European countries, particularly to Ger­ buyers of dollars in their exchange markets, many, was at first simply a continuation of reacquired—in whole or in part—the funds the earlier flows arising from national differ­ that they themselves had initially lent to the ences in credit conditions. In April and May, Euro-dollar market. By this process, in­ however, the international flow of funds— creases in official dollar holdings were mag­ whether through the Euro-dollar market or nified far beyond what they would otherwise directly from country to country—expanded have been. Yet the whole blame for the enormously. Interest differentials could not rapid increase in foreign dollar reserves was be the main factor in these new and massive widely, but incorrectly, attributed to the capital movements; for interest rate spreads U.S. deficit. were then actually in process of narrowing. What happened was that a speculative move­ OUTLOOK FOR THE BALANCE OF PAYMENTS ment developed in the expectation, which was stimulated by widespread reports con­ For the near-term future, a repetition of capi­ cerning intentions of the German govern­ tal flows such as we have recently observed ment, that the D-mark and some other cur­ is highly unlikely. The liabilities of U.S. rencies would soon be revalued. As everyone banks to their foreign branches fell from a knows, a monetary upheaval of some di­ peak of over $14 billion in 1969 to about mensions did occur in Europe in early May. $2 billion in recent weeks. Clearly, they are This recent experience with speculation now at or close to rock bottom. Moreover, on foreign exchanges underlines the fact that the Voluntary Foreign Credit Restraint short-term capital flows are not independent program inhibits the banks in increasing of persistent payments imbalances. Had their foreign assets. Thus the large outflow there not been a long experience with U.S. of short-term funds which began in 1970 deficits and German surpluses, it is doubtful is now behind us. For this reason alone, we if the flow of short-term funds to Germany can expect the official settlements deficit to and other countries would have reached such fall back sharply from the unprecedented huge proportions. rates of 1970 and early 1971. Incidentally, it is important to recognize What about the prospects for other cate­ that some part of the large reserve gains of gories of transactions? As I try to look European central banks during the past year ahead, I see some significant areas of is directly attributable to the practice of strength. First, growth in our receipts of Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

596 FEDERAL RESERVE BULLETIN □ JULY 1971 investment income from abroad has been to strive for a healthy rate of economic ex­ rapid and fairly steady. This trend can be pansion. That reliance on monetary and expected to continue. fiscal policy may prove insufficient to realize Second, foreigners have in recent years this objective is attested by our own recent stepped up their purchase of equities in the experience as well as that of Canada and U.S. stock market. This trend, too, may well Great Britain. In all three countries a sub­ continue in the future—especially if corpo­ stantial increase of unemployment has failed rate profits pick up and we make reasonable to check the rapidity of wage advances or progress in restoring full employment. to moderate appreciably the rise of the gen­ Third, the reduction of troop levels in eral price level. Southeast Asia is mitigating the drain on With increasing conviction, I have there­ our balance of payments from overseas mili­ fore come to believe that our Nation must tary expenditures, and further reduction in supplement monetary and fiscal policy with the foreign exchange cost of our overseas specific policies to moderate wage and price operations are expected. increases. As I have noted on previous oc­ To be sure, these favorable trends could casions, I am not unaware of the pitfalls be offset by weakness in other categories of that could accompany governmental involve­ international transactions. I have already ment in the determination of wages and noted that our trade position is not nearly prices. I also recognize that previous experi­ as strong as it needs to be. The fact that our ments with incomes policy have hardly been price performance since 1969 has been bet­ a huge success. At the same time, I attach ter than that of many other industrial coun­ great weight to the moral force that strong tries suggests that we may be on the road Government leadership could at the present to regaining at least part of the competitive time bring to bear on private decisions in strength that we lost in the second half of the key industries. If we are to restore price 1960’s. Any such conclusion, however, stability with high employment in our econ­ would be premature. omy, I see no immediate alternative to a On balance, it appears that while we can cogent incomes policy. Over the longer run, look forward to a very substantial reduction we may well need legislation to deal with in the official settlements deficit over the abuses of private power in our labor and coming months, we need to recognize that product markets. economic policies since 1958 or thereabouts While the restoration of general price have been entirely insufficient to achieve stability is basic to the correction of our equilibrium in our international accounts. trade position, other measures that can im­ Some decisive steps will need to be taken prove our exports deserve consideration. The to correct the situation. recent decision of the administration to re­ move some of the restrictions on trade with POLICY GUIDELINE FOR THE FUTURE mainland China might be followed up by The obvious place to begin is at home. Let some liberalization of trade with the Soviet us therefore consider the question: What Union. A proposal for establishing domestic policy actions can and should the United international sales corporations, whereby States take? taxes on earnings from exports may be de­ The first and foremost requirement for ferred, has been put before the Congress. improving our trade position and the over-all And so too have some proposals for strength­ balance of payments is to restore and main­ ening the Export-Import Bank, such as tain general price stability while we continue providing it with increased program author­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

STATEMENT TO CONGRESS 597 ity to extend loans, guarantees, and insur­ A more equitable sharing of the defense ance. All these measures may prove helpful. burden would require them to do so. But far more important than these specific Clearly, neither the problem of persisting measures for stimulating exports, as I have payments imbalances nor the problem of already tried to suggest, is the restoration destabilizing short-term capital flows can of general price stability and improvement be dealt with effectively by the United States of the economic climate in our country. on a purely unilateral basis. Neither can Restoration of general price stability is vital other major countries effectively deal with to the return of a healthy trade balance, these problems by unilateral action. Since while larger profits than American corpora­ we are all parts of a community of nations, tions have achieved in the past few years perhaps the most important question we have from their domestic enterprises are vital to to ask ourselves is: What policy actions can improvement in the long-term capital ac­ the major countries take cooperatively? count of our international transactions. There are four areas of joint policy action Since the United States has experienced I would like to stress. a persisting imbalance in its international First, we should try to work with other payments, it follows that the rest of the nations to bring about smaller divergences world has been in persistent surplus. Thus of interest rates. More effective use of fiscal the rest of the world must be prepared to see policy by each major country in the interest its surplus decrease if the U.S. deficit is to of its own economy could reduce interna­ decrease. This simple thought leads me to tional differences in credit conditions, thus ask: What actions should our trading part­ limiting short-term movements of funds and ners take? payments imbalances. There are at least two areas in which they Second, there is a need to work closely can be very helpful. First, as I have already with other countries on devising methods to mitigate the undesirable impact of capital intimated, other nations need to review their flows on international reserves and domestic trade policies and relax restrictions on their monetary conditions. Both the United States imports. A timely initiative by Japan and and other countries have already taken some some European countries to open up their significant steps in this direction. For exam­ markets more freely to the products of others ple, we recently sold $3 billion of special is overdue. Trade liberalization should be Export-Import Bank and U.S. Treasury se­ accompanied by relaxing the heavy restric­ curities to foreign branches of U.S. banks, tions that nations often impose on invest­ thereby absorbing funds that probably ments abroad by their citizens. would otherwise have moved through the Second, foreign countries can and should Euro-dollar market to foreign central banks. undertake a significantly larger contribution We have also indicated our readiness to to the defense of the Free World. The United consult with other governments on the ques­ States is not going to cast off its responsi­ tion of providing suitable dollar investments bilities for leadership in this area. But the for their reserves held in the United States, nations of western Europe and Japan, where and 2 days ago the Treasury formally an­ overseas military expenditures by the United nounced a $5 billion funding of U.S. lia­ States are very large, now have strong econ­ bilities to the Bundesbank in Germany. omies and a capacity to contribute signifi­ I am also pleased to report that the place­ cantly more to the financing of the military ment of central bank reserves in the Euro­ shield from which they as well as we benefit. dollar market has now been halted by the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

central banks of the major industrial coun­ old to a new parity, and of smaller but more tries. Furthermore, discussion is proceeding prompt changes in parities. A widening of among leading central banks on the question margins, for example, holds considerable of when and how a gradual withdrawal of promise as a device for permitting greater central bank reserves from that market might divergences in monetary conditions to exist be accomplished. The problem of short-term among countries without those divergences capital flows is also being studied intensively giving rise to excessive flows of short-term now by the International Monetary Fund capital. The turbulent events in exchange and the Organization for Economic Co­ markets this May have underlined the need operation and Development. for informed discussion and reconsideration Cooperative management of world re­ of the international rules governing exchange serves is the third area in which all the major rate policies. countries need to take joint policy action. Looking to the long future, it is essential to CONCLUDING OBSERVATIONS maintain an adequate rate of growth in In closing, let me say that I hope I have world monetary reserves and to ensure that made it clear that the Board of Governors there are no destabilizing shifts among rejects an attitude of complacency about the countries’ holdings of gold, SDR’s, and re­ U.S. balance of payments. We also reject serve currencies. The nations of the world any radical courses of action that would took a significant step forward with the imperil the institutional arrangements and amendment to the IMF Articles of Agree­ good will among countries that have been ment providing for the creation of SDR’s. carefully built up in the quarter century since The recent rapid build-up of dollars in the Second World War. What we need are central bank reserves should not divert us measured, deliberate steps to resolve the from prudent steps to increase the future problems that confront us. role of SDR’s in world monetary reserves. We can go about this task in a mood of Finally, we should continue to participate confidence. For our economy is larger and actively with other nations in discussions more productive than that of any country in of ways in which the balance of payments the world. Not only that, the foreign assets adjustment process can be improved. The of the United States far exceed our foreign question of greater flexibility in exchange liabilities, and this excess has grown steadily rates has been extensively discussed in the since World War II. It is the liquidity aspect IMF and elsewhere in the past 2 years. of the U.S. debtor-creditor position, not the Thinking has centered on the possible ad­ over-all international balance sheet, that vantages of some widening of the margins causes us concern. In considering the bal­ for exchange rate fluctuations around their ance of payments problem, we should not parities, of a “transitional float” from an lose sight of our fundamental strength. □ 598 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Record of Policy Actions of th e Federal O pen M arket C om m ittee Records of policy actions taken by the Federal Open Market Com­ mittee at each meeting, in the form in which they will appear in the Board’s Annual Report, are released approximately 90 days following the date of the meeting and are subsequently published in the Federal Reserve Bulletin. The record for each meeting includes the votes on the policy deci­ sions made at the meeting as well as a resume of the basis for the decisions. The summary descriptions of economic and financial condi­ tions are based on the information that was available to the Committee at the time of the meeting, rather than on data as they may have been revised since then. Policy directives of the Federal Open Market Committee are issued to the Federal Reserve Bank of New York—the Bank selected by the Committee to execute transactions for the System Open Market Account. Records of policy actions have been published regularly in the Bulletin beginning with the July 1967 issue, and such records have continued to be published in the Board’s Annual Reports. The records for the first three meetings held in 1971 were pub­ lished in the Bulletins for April, pages 320-27; May, pages 391-98; and June, pages 503-11. The record for the meeting held on April 6, 1971, follows: 599 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

600 FEDERAL RESERVE BULLETIN □ JULY 1971 MEETING HELD ON APRIL 6, 1971 Authority to effect transactions in System Account. Information reviewed at this meeting suggested that real output of goods and services had risen substantially in the first quarter pri­ marily because of the post-strike recovery of production in the auto­ mobile industry, but that the unemployment rate had remained high. Growth in real GNP was expected to slow in the current quarter. While wage rates were continuing to rise at a rapid pace in most sectors of the economy, the rate of advance in some major price indexes seemed to have moderated recently. In March nonfarm payroll employment was about unchanged, and the unemployment rate moved back up to 6.0 per cent after having dipped to 5.8 per cent in February. Incomplete data suggested that retail sales had risen moderately and that industrial production had remained near the February level. Apart from fluctuations related to the auto strike, it appeared that in the first quarter as a whole retail sales were about the same as in the fourth quarter of 1970 and that industrial production had declined somewhat further. On the other hand, private housing starts continued at the high January rate in February and may have increased further in March. Wholesale prices of industrial commodities rose further from mid- February to mid-March, but the increase in that period—and over the first quarter as a whole—was at a rate below the average pace of 1970. The rate of advance in the consumer price index slowed in February for the second successive month. Expansion in real GNP was expected to moderate in the second quarter mainly because consumer and business spending on motor vehicles would be increasing much less rapidly than it had in the first quarter in the aftermath of the auto strike. In addition, defense spending was expected to decline further. As before, however, the staff projections suggested that residential construction expenditures and State and local government outlays would continue to rise at substantial rates, and that business inventory investment would be augmented by continued stockpiling of steel in anticipation of a possible strike in that industry at the beginning of August. The possibility of a steel strike lent a high degree of uncertainty Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 601 to the economic outlook for the second half of 1971. However, the average growth rate in real GNP over the second half was projected to be somewhat higher than the rate now anticipated for the second quarter, on the assumption that the duration of any such strike would be limited to about 60 days. It was expected that expansion in con­ sumer spending would be sustained in part by the recently enacted increase in social security benefits, under which payments retroactive to January 1 were scheduled to be made in late June; possibly by a military pay increase around midyear; and possibly by some decline in the personal saving rate in the third and fourth quarters. In line with the results of the latest Commerce-SEC survey of business spending plans, taken in February, growth in business fixed invest­ ment outlays was projected to increase moderately over the second half. Continued sizable gains appeared to be in prospect for State and local government outlays, but it seemed likely that residential construction expenditures would expand more slowly than earlier in the year. The U.S. foreign trade surplus was very small in January and February. With respect to the over-all balance of payments, it seemed likely that in the first quarter as a whole the deficit on the liquidity basis was at a rate higher than in the first half of 1970 and much higher than in the second half of that year. The worsening reflected principally an increase in net capital outflows. On the official settlements basis, the first-quarter deficit in the payments balance was exceptionally large. International flows of interest-sensitive funds continued heavy in March, and major European countries experienced very substantial reserve gains. Recently, several European central banks had lowered their discount rates; in par­ ticular, the German Federal Bank and the Bank of England had made reductions of a full percentage point on April 1. These actions tended to narrow the wide differentials between short-term interest rates in Europe and the United States. Nevertheless, exchange market demands for German marks were very strong at the beginning of April, and there were indications of speculative and hedging activity. At the time of this meeting, however, the markets appeared to be quieting. On April 1 the U.S. Treasury announced an offering of $1.5 billion of special securities to foreign branches of U.S. banks, for payment Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

602 FEDERAL RESERVE BULLETIN □ JULY 1971 April 9. Like similar Export-Import Bank issues earlier in the year, this offering was intended to help restrain the flows of funds to other countries. In domestic securities markets, the Treasury announced on March 16 that it would offer $5 billion of new bills in three segments: a $2 billion addition to the outstanding tax-anticipation bills that were to mature on April 22, to be auctioned on March 24; a strip of bills maturing from July 8 to September 16, totaling $2.2 billion, to be auctioned on March 31; and $200 million increments to four con­ secutive weekly offerings of 6-month bills, beginning with the March 22 offering. The Treasury was expected to announce on April 28 the terms on which it would refund notes maturing in mid- May, including $5.8 billion held by the public. Interest rates on most types of short-term securities had risen on balance in recent weeks. For example, the market rate on 3-month Treasury bills, at about 3.70 per cent on the day before this meeting of the Committee, was approximately 40 basis points above its level at the time of the March 9 meeting. The upturn in short-term yields reflected in part the additions to the outstanding supply of bills resulting from the Treasury’s new offerings and the somewhat firmer money market conditions that developed during the period. In March public offerings of new corporate bonds—which had been very large in recent months—expanded to an unprecedented volume, and offerings of State and local government issues continued heavy. Nevertheless, yields on new corporate and municipal bonds declined sharply after early March, reversing the advance of preced­ ing weeks; and yields on Treasury notes and bonds also moved lower. The capital market rally was apparently a consequence of reports suggesting that the economy was recovering less rapidly than many market participants had anticipated and, more generally, of a modi­ fication of earlier views that long-term interest rates had already passed their cyclical lows. Although bond yields subsequently ad­ vanced somewhat, they still were well below the levels of 4 weeks earlier at the time of this meeting. Interest rates on conventional home mortgages continued to de­ cline in February. Yields in secondary markets for federally insured mortgages, which also had declined further in February, remained about unchanged over the course of March. At nonbank thrift institu­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 603 tions, inflows of savings funds had reached extraordinarily high levels in January and February, when interest rates on competitive short-term market instruments were falling markedly. These inflows continued at an extremely rapid pace in March, according to incomplete data for that month. Although many commercial banks reduced their offering rates on consumer-type time and savings deposits during March, inflows of such deposits remained heavy at banks also. However, large-denomi­ nation CD’s expanded only moderately further. The volume of busi­ ness loans outstanding (including loans that had been sold to affiliates) declined during the month, and on March 11 major banks again reduced their prime lending rates—some by Vi of a percentage point, to 5Va per cent, but most by XA of a point. On March 19 the 5lA per cent prime rate became general. Banks continued to increase their holdings of securities at a substantial pace and to reduce their reliance on nondeposit sources of funds, including borrowings of Euro-dollars from their foreign branches. Preliminary estimates indicated that there had been a substantial increase from February to March in total bank credit, as measured by the adjusted proxy series—daily-average member bank deposits adjusted to include funds from nondeposit sources. However, the increase was less than that expected at the time of the March 9 meeting of the Committee and also less than the rise recorded in the previous month. Like bank credit, both the narrow and broader mea­ sures of the money stock—Mx and M2—rose substantially on the average in March, although less sharply than in February. In con­ trast to bank credit, however, both M1 (defined as private demand deposits plus currency in circulation) and M2 (defined as Mi plus commercial bank time deposits other than large-denomination CD’s) increased considerably more than had been anticipated. Annual rates of growth over the first quarter as a whole 1 were estimated at about 11 per cent for the proxy series and about 8 and 17.5 per cent, respectively, for and M2. System open market operations since the preceding meeting of the Committee had been directed at achieving a slight firming of money market conditions, as incoming data indicated that and M2 1 Calculated on the basis of the daily-average level in the last month of the quarter relative to that in the last month of the preceding quarter. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

604 FEDERAL RESERVE BULLETIN □ JULY 1971 were growing considerably faster than expected. At the same time, efforts were made during the period to counter repetitive tendencies toward undue firmness that arose from market factors affecting re­ serves. The Federal funds rate, which had averaged about 3Vi per cent shortly before the March 9 meeting, subsequently fluctuated mostly around 3% per cent—although it rose to 4 per cent or above on a number of days in mid-March and again in late March and early April. As in other recent weeks, an important part of reserve needs was met by System purchases of intermediate- and long-term Treasury securities. Staff analysis suggested that, if prevailing money market conditions were maintained, Mx would continue to rise rapidly early in the second quarter and would grow somewhat faster over the quarter as a whole than it had in the first quarter. The analysis also suggested that expansion in time and savings deposits other than large-denomi­ nation CD’s would slow substantially in coming months, in part because of the spreading practice among banks of reducing rates offered on such deposits. As a result, it was expected that growth in M2 would moderate in the second quarter from its exceptionally rapid first-quarter pace. In addition, it appeared likely that the volume of CD’s outstanding would increase relatively little further over the quarter and that this development, along with slower expansion of other time deposits, would contribute to an expected moderation in the growth of the adjusted bank credit proxy. The Committee decided that open market operations at present should be directed at attaining temporarily some minor firming of money market conditions. Some members favored this course pri­ marily for the purpose of achieving less rapid growth in the monetary aggregates than the staff analysis indicated might eventuate in the second quarter under unchanged money market conditions. Others placed main emphasis on the objective of contributing, at least marginally, to a narrowing of the differentials between short-term interest rates in this country and abroad, in the interest of moderating capital outflows. In the former connection, the Committee indicated that it would like to see more moderate expansion in the monetary aggregates in the second quarter than had occurred in the first. As a step in that direction it was felt that growth in Mx in April at a slower rate than in March and more in line with the first-quarter rate Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

RECORD OF POLICY ACTIONS OF FOMC 605 would be desirable, and various members expressed a desire for further slowing in Mx as the quarter progressed. It was recognized that the aggregates were likely to increase at faster rates in April than over the second quarter as a whole. The Committee agreed that money market conditions should be modified somewhat if the mone­ tary and credit aggregates appeared to be deviating substantially from the growth paths desired. The Committee also decided that needs for reserves should con­ tinue to be met to the extent feasible by purchases of long-term Treasury securities, in the interest of promoting accommodative conditions in long-term credit markets. It was noted that later in April even-keel considerations related to the forthcoming Treasury refunding would begin to place constraints on operations in coupon issues, as well as on operations directed at modifying money market conditions. The following current economic policy directive was issued to the Federal Reserve Bank of New York: The information reviewed at this meeting suggests that real output of goods and services rose substantially in the first quarter primarily because of the resumption of higher automobile production, but that the unemployment rate remained high. More moderate growth in real GNP appears to be in prospect for the current quarter. Wage rates in most sectors are continuing to rise at a rapid pace. The rate of advance in consumer prices and in wholesale prices of industrial commodities appears to have moderated recently. In March bank credit and the money stock both narrowly and broadly defined again expanded substantially, although the increases were less sharp than in February. Inflows of consumer-type time and savings funds to banks and nonbank thrift institutions reached unusually high levels in the first quarter as interest rates on competitive short-term market instruments declined considerably further. In recent weeks, however, key short-term interest rates have moved up somewhat on balance. Yields on new issues of corporate and municipal bonds declined during much of March despite a continuing heavy calendar of offerings, but most recently long-term market yields have also risen somewhat. The over-all balance of payments deficit in the first quarter was exceptionally large. The trade surplus for the first two months was very small, and capital outflows have been stimulated by wide short-term interest rate differentials. Despite recent reductions Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

in the discount rates of several European central banks, these differ­ entials remain wide. In light of the foregoing developments, it is the policy of the Federal Open Market Committee to foster financial conditions conducive to the resumption of sustainable economic growth, while encouraging an orderly reduction in the rate of infla­ tion, moderation of short-term capital outflows, and attainment of reasonable equilibrium in the country’s balance of payments. To implement this policy, while taking account of the Treasury financing the terms of which are to be announced late in the month, System open market operations until the next meeting of the Com­ mittee shall be conducted with a view to attaining temporarily some minor firming in money market conditions, while continuing to meet some part of reserve needs through purchases of coupon issues in the interest of promoting accommodative conditions in long-term credit markets; provided that money market conditions shall be modified if it appears that the monetary and credit aggregates are deviating significantly from the growth paths desired. Votes for this action: Messrs. Burns, Brimmer, Clay, Daane, Maisel, Mayo, Morris, Robertson, and Sherrill. Votes against this action: Messrs. Hayes and Kimbrel. Absent and not voting: Mr. Mitchell. In dissenting, Messrs. Hayes and Kimbrel noted that they favored more firming of money market conditions than contemplated under this directive, although not so much firming as to cause serious re­ percussions in bond markets. Mr. Hayes thought the directive gave inadequate recognition to the need for moving toward somewhat higher short-term interest rates in light of the international financial situation, and he also expressed concern about the risk of excessive growth in the money stock. Mr. Kimbrel believed that higher short­ term interest rates would be desirable mainly to hold growth in the monetary and credit aggregates to a moderate pace in order to avoid a rekindling of inflationary expectations. 606 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Law Department Statutes, regulations, interpretations, and decisions BANK HOLDING COMPANIES SECTION 221.2 EXCEPTIONS TO GENERAL RULE The Board of Governors has amended section 222.4(d) of Regulation Y, “Bank Holding Com­ panies”, effective June 30, 1971, to clarify the Notwithstanding the provisions of § 221.1, a Board’s intention that a company may fulfill its bank may extend and may maintain any credit commitment pursuant to its declaration that it for the purpose specified in § 221.1, without will cease to be a holding company by demon­ regard to the limitations prescribed therein, or in strating that it has divested itself of control of § 221.3 (t), if the credit comes within any of the its bank although it retains some interest in the following descriptions. bank. The text of the amendment reads as follows: sjc ^5 J-S sis AMENDMENT TO REGULATION Y (m) Any credit extended to or maintained Effective June 30, 1971, section 222.4(d), for a customer for the purpose of making a loan second sentence, is amended by adding footnote or contribution of capital to a broker or dealer 2 following the phrase “in the form approved by subject to Part 220 (Regulation T) if the loan or the Board”, to read as follows: contribution is in conformity with the require­ ments regarding satisfactory subordination agree­ 2 Although the form of declaration is in terms of a ments or equities in the accounts of partners of a company divesting itself of whatever interest it has in the bank, a company is regarded by the Board as complying rule of the Securities and Exchange Commission with this condition if it furnishes the Board with con­ (Rule 15c3-l(c)(2) (A), (c)(4), and (c)(7)) vincing evidence that it does not exercise a controlling influence over the management or policies of the bank (17 CFR 240.15c3-l (c)(2) (A), (c)(4), and despite retention of some interest in the bank. (c)(7)) or the capital rules of an exchange of To avoid misunderstanding, a similar note is which the broker or dealer is a member if the being added to the form of declaration itself, members thereof are exempt therefrom by Rule copies of which are available at the Federal 15c3-l (b)(2) of the Commission (17 CFR Reserve Banks. Companies that have already filed 240.15c3-l(b) (2)) or to purchase stock in a their declaration need not refile. broker or dealer which is a corporation when such stock is purchased directly from the issuer and MARGIN REQUIREMENTS not as part of a public distribution: Provided, That any such credit extended after April 16, The Board of Governors has amended section 1971, shall become subject upon renewal to such 221.1 (m) of Regulation U, “Credit by Banks for additional restrictions as the Board of Governors the Purpose of Purchasing or Carrying Margin may impose by regulation concerning the condi­ Stocks”, effective July 10, 1971. The amendment tions upon which credit may be extended for clarifies that credit is not available pursuant to the purpose of making such loan or contribution: the terms of the exemption in paragraph (m) to And provided further, That (i) all of the pro­ purchase publicly traded stock in a broker or ceeds of such extension of credit are so loaned or dealer. The text of the amendment reads as contributed to the capital of the broker or dealer follows: and (ii) that all of the proceeds of any with­ drawal of such loan or contribution of capital AMENDMENT TO REGULATION U from the broker or dealer by the customer or Effective July 10, 1971, section 221.2 is redemption of such stock shall be used to reduce amended by revising paragraph (m) as follows: or retire said extension of credit. 607 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

608 FEDERAL RESERVE BULLETIN □ JULY 1971 ORDERS UNDER SECTION 3 OF BANK HOLDING deposits in the State. (All banking data are as of COMPANY ACT June 30, 1970, adjusted to reflect holding com­ pany formations and acquisitions approved by the MID-OHIO BANC-SHARES, INC., Board through April 30, 1971.) The acquisition of MANSFIELD, OHIO Farmers Bank, with deposits of approximately $11 million, would not increase significantly In the matter of the application of Mid-Ohio Applicant’s share of area deposits, nor would it Banc-Shares, Inc., Mansfield, Ohio, for approval change its present ranking among banking of acquisition of 80 per cent or more of the vot­ organizations in the State. ing shares of The Farmers and Savings Bank, Farmers Bank operates its main office in Loudonville, Ohio, Loudonville, Ohio. Loudonville and a branch approximately five miles northwest in the town of Perrysville, both Order Approving Acquisition of Bank of which are located in Ashland County. There Stock by Bank Holding Company are 13 banking organizations serving the two- There has come before the Board of Governors, county area of Richland and Ashland Counties, pursuant to section 3(a)(3) of the Bank Holding the largest of which holds approximately 35 per Company Act of 1956 (12 U.S.C. 1842(a)(3)), cent of total deposits. Applicant’s lead bank in and section 222.3(a) of Federal Reserve Regula­ Mansfield, the second largest banking organiza­ tion Y (12 CFR 222.3(a)), an application by tion, controls approximately 18 per cent of the mid-Ohio Banc-Shares, Inc., Mansfield, Ohio two-county total deposits and Farmers Bank, as (“Applicant”), a registered bank holding com­ the ninth largest, holds about 4 per cent of such pany, for the Board’s prior approval of the ac­ deposits. quisition of 80 per cent or more of the voting The nearest offices of Applicant’s subsidiaries shares of The Farmers and Savings Bank, Loudon­ and Farmers Bank are located nine miles apart. ville, Ohio, Loudonville, Ohio (“Farmers Bank”). The areas they serve overlap slightly, but the two As required by section 3(b) of the Act, the offices are separated by a lake and a State park. Board gave written notice of receipt of the ap­ The proposed acquisition would eliminate only plication to the Superintendent of Banks of the an insignificant amount of present competition State of Ohio and requested his views and re­ between these offices and none between Ap­ commendation. The Superintendent did not object plicant’s other subsidiary and Farmers Bank. It to approval of the application. appears that competing banks would not be Notice of receipt of the application was pub­ adversely affected by consummation of the pro­ lished in the Federal Register on April 22, 1971 posal and that no substantial amount of potential (36 Federal Register 7622), providing an op­ competition would be eliminated because of portunity for interested persons to submit com­ restrictions placed on branching by State laws and ments and views with respect to the proposed inasmuch as Applicant is not likely to enter this transaction. A copy of the application was for­ area through de novo means. warded to the United States Department of Based upon the foregoing and the record before Justice for its consideration. Time for filing it, the Board concludes that consummation of the comments and views has expired and all those proposed acquisition would have only a slightly received have been considered by the Board. adverse effect on competition in the relevant area, The Board has considered the application in which would be outweighed in the public interest. the light of the factors set forth in section 3(c) of The banking factors as regards Applicant, its the Act, including the effect of the proposed subsidiaries, and Farmers Bank are satisfactory acquisition on competition, the financial and and consistent with approval of the application. managerial resources and future prospects of Considerations relating to the convenience and Applicant and the banks concerned, and the con­ needs of the area involved lend some weight venience and needs of the communities to be toward approval. Although the more important served. Upon such consideration the Board finds banking needs of the area are being served at that: the present time, Applicant plans to establish Applicant, one of the smallest bank holding trust and data processing services at Farmers companies in Ohio, controls two banks with Bank and to enable it to provide larger agricul­ deposits of approximately $64 million, represent­ tural loans. These innovations and improvements ing less than .3 per cent of total commercial bank in Bank’s services would serve the convenience Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 609 and needs of the communities and outweigh the plication to the Commissioner of Banking for the slightly adverse effect consummation of the pro­ State of Virginia and requested his views and rec­ posal would have on existing competition. It is the ommendation. The Commissioner recommended Board’s judgment that the proposed transaction approval of the application. would be in the public interest, and that the ap­ Notice of receipt of the application was plication should be approved. published in the Federal Register on April 29, It is hereby ordered, for the reasons set forth 1971 (36 Federal Register 8083), providing an in the findings summarized above, that said ap­ opportunity for interested persons to submit plication be and hereby is approved, provided comments and views with respect to the proposal. that the action so approved shall not be con­ A copy of the application was forwarded to the summated (a) before the thirtieth calendar day United States Department of Justice for its con­ following the date of this Order, or (b) later than sideration. Time for filing comments and views three months after the date of this Order, unless has expired and all those received have been such period is extended for good cause by the considered by the Board. Board, or by the Federal Reserve Bank of Cleve­ The Board has considered the application in land pursuant to delegated authority. the light of the factors set forth in section 3(c) By order of the Board of Governors, June 15, of the Act, including the effect of the proposed 1971. acquisition on competition, the financial and managerial resources and future prospects of the Voting for this action: Chairman Burns and Gover­ Applicant and the banks concerned, and the nors Robertson, Mitchell, Daane, Maisel, Brimmer, convenience and needs of the communities to be and Sherrill. served. Upon such consideration, the Board finds (Signed) Kenneth A. Kenyon, that: Deputy Secretary. Applicant is the fourth largest banking orga­ [seal] nization and the second largest bank holding com­ pany in Virginia, controlling 14 banks with ag­ VIRGINIA COMMONWEALTH gregate deposits of $582.1 million. This repre­ BANKSHARES, INC., sents approximately 8 per cent of total banking RICHMOND, VIRGINIA deposits in the State. (All banking data are as of June 30, 1970, adjusted to reflect holding company acquisitions and formations approved In the matter of the application of Virginia by the Board through April 30, 1971.) Since Commonwealth Bankshares, Inc., Richmond, Bank is a proposed new bank, consummation of Virginia, for approval of acquisition of 100 per the proposal would not increase concentration in cent of the voting shares of The American Bank any market. of Loudoun, Loudoun County, Virginia, a pro­ Bank will be located in Loudoun County at posed new bank. the Dulles International Airport complex, which is presently served by a branch of a $704 million Order Approving Acquisition of Bank Richmond bank. None of Applicant’s present Stock by Bank Holding Company offices are located in Loudoun County and under There has come before the Board of Governors, Virginia law, no present banking subsidiary of pursuant to section 3(a)(3) of the Bank Hold­ Applicant may establish a branch in Bank’s pri­ ing Company Act of 1956 (12 U.S.C. 1842 mary service area. (a)(3)) and section 222.3(a) of Federal Reserve Based upon the foregoing, the Board concludes Regulation Y (12 CFR 222.3(a)), the application that consummation of the proposed acquisition of Virginia Commonwealth Bankshares, Inc., would not have an adverse effect on competition Richmond, Virginia (“Applicant”), a registered in any relevant area and will have a procom­ bank holding company, for the Board’s prior petitive effect through the introduction of an approval of the acquisition of 100 per cent of additional banking alternative at the Dulles Air­ the voting shares of The American Bank of port complex. The banking factors, as they relate Loudoun, Loudoun County, Virginia (“Bank”), to Applicant, its subsidiaries, and Bank, and con­ a proposed new bank. siderations relating to the convenience and needs As required by section 3(b) of the Act, the of the communities to be served, are regarded Board gave written notice of receipt of the ap­ as consistent with approval of the application. It Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

610 FEDERAL RESERVE BULLETIN □ JULY 1971 is the Board’s judgment that the proposed trans­ bank would be headquartered in Albany, with the action would be in the public interest, and that existing offices of Troy Bank serving as branches the application should be approved. thereof. It is hereby ordered, for the reasons set As required by section 3(b) of the Act, the forth in the findings summarized above, that Board gave written notice of receipt of the ap­ said application be and hereby is approved, pro­ plication to the Comptroller of the Currency and vided that the action so approved shall not be con­ requested his views and recommendation. The summated (a) before the thirtieth calendar day Acting Comptroller recommended approval of following the date of this Order, or (b) later than the application. three months after the date of this Order; and Pursuant to provisions of New York Banking provided further that (c) The American Bank of Law, the New York State Banking Board, acting Loudoun, Loudoun County, Virginia shall be upon the recommendation of the New York opened for business not later than six months Superintendent of Banks, approved an applica­ after the date of this Order. The time periods tion with respect to the pending proposal. described in (b) and (c) above may be extended Notice of receipt of the application was for good cause by the Board, or by the Federal published in the Federal Register on April 29, Reserve Bank of Richmond pursuant to delegated 1971 (36 Federal Register 8082), providing an authority. opportunity for interested persons to submit By order of the Board of Governors, June 15, comments and views with respect to the proposal. 1971. A copy of the application was forwarded to the United States Department of Justice for its con­ Voting for this action: Chairman Bums and Gover­ sideration. Time for filing comments and views nors Robertson, Mitchell, Daane, Maisel, Brimmer, has expired and all those received have been and Sherrill. considered. (Signed) Kenneth A. Kenyon, The Board has considered the application in Deputy Secretary. the light of the factors set forth in section 3(c) [seal] of the Act, including the effect of the proposed acquisition on competition, the financial and CHARTER NEW YORK CORPORATION, managerial resources and future prospects of the NEW YORK, NEW YORK Applicant and the banks concerned, and the convenience and needs of the communities to be In the matter of the application of Charter served, and finds that: New York Corporation, New York, New York, Applicant, the eighth largest banking organiza­ for approval of acquisition of 100 per cent of the tion and the third largest multi-bank holding voting shares (less directors* qualifying shares) of company in the State, has eight subsidiary banks a new national bank into which will be merged with aggregate deposits of $4.5 billion, represent­ The Union National Bank of Troy, Troy, New ing 5.1 per cent of the total commercial bank York. deposits in the State. (All banking data are as of December 31, 1970, adjusted to reflect hold­ Order Approving Acquisition of Bank ing company formations and acquisitions ap­ Stock by Bank Holding Company proved by the Board to date.) Applicant’s posi­ There has come before the Board of Governors, tion in relation to the State’s other banking pursuant to section 3(a)(3) of the Bank Hold­ organizations would be unchanged as a result of ing Company Act of 1956 (12 U.S.C. 1842(a) the consummation of the proposal herein. (3)) and section 222.3(a) of Federal Reserve Troy Bank ($65.3 million deposits), the Regulation Y (12 CFR 222.3(a)), an application smaller of two banks headquartered in Troy, is the by Charter New York Corporation, New York, ninth largest of the 36 banks located in New New York (“Applicant”), a registered bank York’s Fourth Banking District. Upon consumma­ holding company, for the Board’s prior approval tion of the proposal herein, Albany Bank would of the acquisition of 100 per cent of the voting assume Troy Bank’s present position as the Dis­ shares (less directors’ qualifying shares) of a new trict’s ninth ranking banking organization, and it national bank (“Albany Bank”) into which will would become the fourth largest of the six banks be merged The Union National Bank of Troy, headquartered in the city of Albany. The three Troy, New York (“Troy Bank”). The successor larger Albany banks hold, respectively, $743 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 611 million, $704 million, and $181 million in nors Robertson, Mitchell, Daane, Maisel, Brimmer, deposits, and each is a viable and aggressive and Sherrill. competitor in the Albany banking market. (Signed) K enneth A. Kenyon, Although Applicant has one subsidiary bank in Deputy Secretary. the Fourth Banking District, neither it nor any [seal] of Applicant’s other subsidiaries compete to any significant extent in the projected service area of SOUTHEAST BANKING CORPORATION, Albany Bank; moreover, based on the facts of MIAMI, FLORIDA record, the development of meaningful com­ petition appears remote. The overall effect of the In the matter of the application of Southeast proposal should be to promote competition by Banking Corporation, Miami, Florida, for ap­ opening up the City of Troy to branching since proval of acquisition of 80 per cent or more home office protection would be removed, and by of the voting shares of Caladesi National Bank introducing an established banking organization at Dunedin, Dunedin, Florida. into the Albany banking market, an area which is dominated by the two largest banks. It does not appear that existing competition would be Order Approving Acquisition of Bank eliminated, or significant potential competition Stock by Bank Holding Company foreclosed, by consummation of Applicant’s pro­ There has come before the Board of Governors, posal, or that there would be undue adverse pursuant to section 3(a)(3) of the Bank Holding effects on any bank in the area involved. Company Act of 1956 (12 U.S.C. 1842(a)(3)) The financial and managerial resources and and section 222.3(a) of Federal Reserve Regula­ future prospects of Applicant, its subsidiaries, and tion Y (12 CFR 222.3(a)), an application by Albany Bank are regarded as consistent with Southeast Banking Corporation (formerly South­ approval of the application. The major banking east Bancorporation, Inc.), Miami, Florida (“Ap­ needs of the Albany area are presently being met plicant”), a registered bank holding company, by existing institutions. The introduction of an for the Board’s prior approval of the acquisition alternative source of large banking services should of 80 per cent or more of the voting shares of benefit the convenience and needs of the area’s Caladesi National Bank at Dunedin, Dunedin, residents, and thus, this factor lends some weight Florida (“Caladesi Bank”). in favor of approval of the application. It is the As required by section 3(b) of the Act, the Board’s judgment that consummation of the Board gave written notice of receipt of the ap­ proposed acquisition would be in the public plication to the Comptroller of the Currency and requested his views and recommendation. The interest, and that the application should be ap­ Comptroller offered no objection to approval of proved. the application. It is hereby ordered, for the reasons set forth Notice of receipt of the application was pub­ in the findings summarized above, that said ap­ lished in the Federal Register on April 29, 1971 plication be and hereby is approved, provided (36 Federal Register 8082), providing an op­ that the action so approved shall not be consum­ portunity for interested persons to submit com­ mated (a) before the thirtieth calendar day fol­ ments and views with respect to the proposal. lowing the date of this Order, or (b) later than A copy of the application was forwarded to three months after the date of this Order; and the United States Department of Justice for its provided further that (c) Albany Bank shall be consideration. Time for filing comments and opened for business not later than six months views has expired and all those received have after the date of this Order. The time periods been considered by the Board. described in (b) and (c) above may be extended The Board has considered the application in for good cause by the Board, or by the Federal the light of the factors set forth in section 3(c) Reserve Bank of New York pursuant to delegated of the Act, including the effect of the proposed authority. acquisition on competition, the financial and By order of the Board of Governors, June 15, managerial resources and future prospects of the 1971. Applicant and the banks concerned, and the convenience and needs of the communities to be served, and finds that: Voting for this action: Chairman Burns and Gover­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

612 FEDERAL RESERVE BULLETIN □ JULY 1971 Applicant, the second largest banking orga­ hereby is approved, provided that the acquisi­ nization in Florida, controls 12 banks with tion so approved shall not be consummated (a) aggregate deposits of approximately $1.03 billion, before the thirtieth calendar day following the representing 7.4 per cent of commercial bank date of this Order or (b) later than three months deposits in the State. (All banking data are as of after the date of this Order, unless such period December 31, 1970, and reflect holding com­ is extended for good cause by the Board, or by pany acquisitions approved through May 31, the Federal Reserve Bank of Atlanta pursuant to 1971.) Upon acquisition of Caladesi Bank ($17 delegated authority. million of deposits), Applicant’s share of State­ By order of the Board of Governors, June 15, wide deposits would increase by only .12 percent­ 1971. age point. Caladesi Bank is the smaller of two banks in Voting for this action: Chairman Burns and Gover­ Dunedin (Pinellas County); it has only about nors Robertson, Mitchell, Daane, Maisel, Brimmer, and Sherrill. one-third as many deposits as the larger bank. Other banks in the area include seven banks in (Signed) Kenneth A. Kenyon, Clearwater, four in Largo, and one in Safety Deputy Secretary. Harbor. Caladesi Bank controls 4.2 per cent of [seal] market deposits, and ranks seventh in size among these 14 banking organizations. FIRST AT ORLANDO CORPORATION, No existing competition would be eliminated ORLANDO, FLORIDA between Caladesi Bank and any of Applicant’s subsidiary banks, the nearest of which to Dunedin In the matter of the application of First at is in Tampa, about 34 miles away. Nor is it likely Orlando Corporation, Orlando, Florida, for ap­ that significant competition between such banks proval of acquisition of all of the voting shares would develop in the future in view of, among (less directors' qualifying shares) of The Fort other things, the distances involved, the number Pierce Bank, Fort Pierce, Florida, a proposed of intervening banks, and the prohibition against new bank. branch banking in Florida. It appears that a principal effect of the proposal is that Caladesi Order Approving Acquisition of Bank Bank will be able to compete more effectively Stock by Bank Holding Company with the larger banks located in its market. Therefore, the Board concludes that consumma­ There has come before the Board of Governors, tion of the proposal would not have adverse pursuant to section 3(a)(3) of the Bank Holding effects on competition in any relevant area. Company Act of 1956 (12 U.S.C. 1842 (a)(3)) The financial condition, managements, and and section 22.3(a) of Federal Reserve Regula­ prospects of Applicant, its subsidiary banks, and tion Y (12 CFR 222.3(a)), an application by Caladesi Bank are regarded as generally satisfac­ First at Orlando Corporation, Orlando, Florida tory and consistent with approval of the applica­ (“Applicant”), for the Board’s prior approval of tion. The banking needs of the area involved the acquisition of all of the voting shares (less are being adequately met. However, with Ap­ directors’ qualifying shares) of The Fort Pierce plicant’s assistance as proposed, Caladesi Bank Bank, Fort Pierce, Florida (“Bank”), a proposed would become a convenient, alternative source new bank.1 of trust and international services and would be As required by section 3(b) of the Act, the able to handle larger local real estate financing Board gave written notice of receipt of the ap­ needs. Therefore, considerations regarding the plication to the Florida Commissioner of Bank­ convenience and needs of the communities in­ ing, and requested his views and recommendation. volved are consistent with approval of the ap­ The Commissioner recommended approval of the plication. On the basis of all the facts of record, application. it is the Board’s judgment that the proposed Notice of receipt of the application was pub­ transaction would be in the public interest and lished in the Federal Register on April 27, 1971 that, therefore, the application should be ap­ (36 Federal Register 7876), providing an op­ proved. It is hereby ordered, for the reasons sum­ 1 Tentative approval has been received from the Florida Commissioner of Banking to change the name of the marized above, that said application be and proposed bank to “First Peoples Bank”. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 613 portunity for interested persons to submit com­ pects of Applicant and its subsidiary banks are ments and views with respect to the proposal. regarded as generally satisfactory. Bank has no A copy of the application was forwarded to the prior financial history, but will open with satis­ United States Department of Justice for its factory capital and will be able to draw on Ap­ consideration. Time for filing comments and plicant for its management. Its future prospects views has expired and all those received have are satisfactory. Although convenience and needs been considered. of the community are adequately served at The Board has considered the application in present, Bank’s location adjacent to two major the light of the factors set forth in section 3(c) shopping centers, which presently have no bank­ of the Act, including the effect of the proposed ing facilities, should provide additional con­ acquisition on competition, the financial and venience to residents and merchants of the area. managerial resources and future prospects of Consequently, these factors lend some weight Applicant and the banks concerned, and the toward approval. It is the Board’s judgment that convenience and needs of the communities to be consummation of the proposed acquisition would served, and finds that: be in the public interest, and the application Applicant, the fifth largest banking organiza­ should be approved. tion in Florida, controls 18 banks which hold It is hereby ordered, for the reasons set forth combined deposits of $574.2 million, represent­ above, that said application be and hereby is ap­ ing 4.1 per cent of the total deposits held by proved, provided that the acquisition so approved Florida commercial banks. (All banking data shall not be consummated (a) before the thirtieth are as of December 31, 1970, and reflect holding calendar day following the date of this Order or company formations and acquisitions approved (b) later than three months after the date of this by the Board through April 30, 1971.) Since Order, and provided further that (c) The Fort Bank is a proposed new bank, no existing com­ Pierce Bank shall be opened for business not later petition would be eliminated, nor would concen- than six months after the date of this Order. The tir.tion be increased in any relevant area. periods described in (b) and (c) hereof may be Bank will be located in a growing commercial extended for good cause by the Board, or by the and residential area south of downtown Fort Federal Reserve Bank of Atlanta pursuant to Pierce, 2 miles from Applicant’s closest existing delegated authority. subsidiary, St. Lucie County Bank. Bank’s pro­ By order of the Board of Governors, June 17, posed site is adjacent to the two largest shopping 1971. centers in St. Lucie County, both of which have been established within the last 10 years. St. Voting for this action: Chairman Burns and Gover­ Lucie County Bank ($36.8 million in deposits), nors Robertson, Mitchell, and Sherrill. Absent and not voting: Governors Daane, Maisel, and Brimmer. is the third largest bank in the Fort Pierce banking market, and the largest of three existing (Signed) K enneth A. Kenyon, banks in the City of Fort Pierce. However, con­ Deputy Secretary. summation of the proposal would not give Ap­ [seal] plicant a dominant position in the Fort Pierce area market or raise substantial barriers to en­ THE FIRST NATIONAL try. There are nine banks representing seven BANCORPORATION, INC., banking organizations located in this area. Ap­ DENVER, COLORADO plicant with 18.0 per cent of deposits within the market ranks third behind organizations with 25.5 In the matter of the application of The First per cent and 19.5 per cent, respectively. The National Bancorporation, Inc., Denver, Colorado, largest bank holding company within the State for approval of acquisition of 80 per cent or more ranks fourth with 14.5 per cent and each of the of the voting shares of The National State Bank remaining three independent banks has between of Boulder, Boulder, Colorado. 6.2 per cent and 8.3 per cent of area deposits. On the basis of the record before it, the Board con­ Order Approving Acquisition of Bank cludes that consummation of the proposed acquisi­ Stock by Bank Holding Company tion would not adversely affect competition in any relevant area. There has come before the Board of Governors, The financial condition, management and pros­ pursuant to section 3(a) (3) of the Bank Holding Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

614 FEDERAL RESERVE BULLETIN □ JULY 1971 Company Act of 1956 (12 U.S.C. 1842(a)(3)), of The National State Bank of Boulder, Boulder, and section 222.3(a) of Federal Reserve Regula­ Colorado (“Bank”). tion Y (12 CFR 222.3(a)), an application by The Views and recommendation of supervisory au­ First National Bancorporation, Inc., Denver, thority. As required by section 3(b) of the Act, Colorado, a registered bank holding company, for the Board notified the Comptroller of the Cur­ the Board’s prior approval of the acquisition of 80 rency of receipt of the application and requested per cent or more of the voting shares of The his views and recommendation thereon. The National State Bank of Boulder, Boulder, Colo­ Comptroller recommended approval of the Appli­ rado. cation. As required by section 3(b) of the Act, the Statutory considerations. Section 3(c) of the Board gave written notice of receipt of the ap­ Act provides that the Board shall not approve an plication to the Comptroller of the Currency, acquisition that would result in a monopoly or and requested his views and recommendation. would be in furtherance of any combination or The Comptroller recommended approval of the conspiracy to monopolize or to attempt to monop­ application. olize the business of banking in any part of the Notice of receipt of the application was pub­ United States. Nor may the Board approve a lished in the Federal Register on February 3, proposed acquisition the effect of which, in any 1971 (36 Federal Register 2538), providing an section of the country, may be substantially to opportunity for interested persons to submit lessen competition, or to tend to create a monop­ comments and views with respect to the pro­ oly, or which in any other manner would be in posal. A copy of the application was forwarded restraint of trade, unless the Board finds that the to the United States Department of Justice for anticompetitive effects of the proposed trans­ its consideration. Time for filing comments and action are clearly outweighed in the public interest views has expired, and all those received have by the probable effect of the transaction in meet­ been considered by the Board. ing the convenience and needs of the communities It is hereby ordered, for the reasons set forth to be served. In each case, the Board is required in the Board’s Statement of this date, that said to take into consideration the financial and application be and hereby is approved, provided managerial resources and future prospects of the that the action so approved shall not be con­ bank holding company and the banks concerned, summated (a) before the thirtieth calendar day and the convenience and needs of the communities following the date of this Order, or (b) later to be served. than three months after the date of this Order, Applicant is the second largest bank holding unless such time shall be extended for good cause company and banking organization in Colorado, by the Board, or by the Federal Reserve Bank of controlling six banks with aggregate deposits of Kansas City pursuant to delegated authority. By order of the Board of Governors, June 17, $654.5 million, which represent 15.0 per cent of 1971. total commercial deposits in the State.1 Upon acquisition of Bank ($32.3 million deposits), Voting for this action: Chairman Burns and Gover­ Applicant’s share of deposits would be increased nors Mitchell, Daane, Maisel, and Sherrill. Voting by less than 1 per cent and Applicant would be­ against this action: Governors Robertson and come the largest bank holding company and Brimmer. banking organization. (Signed) Kenneth A. Kenyon, Deputy Secretary. XA11 banking data are as of December 31, 1970, ad­ justed to reflect holding company acquisitions and forma­ [seal] tions to date. Included among Applicant’s subsidiaries are The First National Bank of Greeley, Greeley, Colorado Statement ($41 million deposits), and The Security State Bank of Sterling, Sterling, Colorado ($24 million deposits), which acquisitions were approved by the Board on June 9, The First National Bancorporation, Inc., Den­ 1970, and November 3, 1970, respectively. Consummation ver, Colorado (“Applicant”), a registered bank of these acquisitions has been delayed by litigation insti­ holding company, has applied to the Board of tuted by the United States Department of Justice. Not included among Applicant’s subsidiaries is the Exchange Governors, pursuant to section 3(a)(3) of the National Bank of Colorado Springs, Colorado Springs, Bank Holding Company Act of 1956 (12 U.S.C. Colorado ($60 million deposits), the acquisition of which 1842(a)(3)), for prior approval of the acquisi­ was approved by the Board on April 1, 1971. Subsequent to litigation instituted by the Department of Justice, the tion of 80 per cent or more of the voting shares acquisition proposed was withdrawn. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 615 Financial and managerial resources and future would be injurious to its customers as well as pro­ prospects. The financial condition and manage­ prietary owners. Indeed, at the end of such an ment of Applicant and its subsidiaries are satis­ interval a “more desirable” purchaser would factory and the prospects of each are favorable. not likely even be available. On the contrary, however, the financial condition Competitive effect of the proposed transaction. of the bank, and its management, are so unsatis­ Bank is located in Boulder, Boulder County factory as to constitute the dominant considera­ (population 130,000), which is 25 miles north­ tions supporting, and more, requiring, Board west of Denver. Although Bank is the second approval of this application. Without a change in largest of 12 banks located in Boulder County, it ownership and management bank’s prospects ap­ holds less than half the deposits of the largest pear grave principally because of its weak liquidity bank in the area. In addition, two other banks, position which derives from its heavily invested each with deposits of approximately $24 million, position in very long-term obligations. Correc­ are located in the Boulder area, and are significant tion of this situation will require strong financial competitors in that market. Applicant’s closest support over a substantial period of time as well subsidiary banks are located in suburban Denver, as additional capital at this time. Present owner­ over 21 miles from Bank, and there is no signi­ ship of Bank is unable to supply such support, ficant existing competition between Bank and any whereas Applicant is committed, if the proposal of Applicant’s subsidiaries, although one of Ap­ is approved, to increase capital to a level accept­ plicant’s subsidiary banks does originate a limited able to Bank’s primary supervisor, the Comptrol­ number of real estate loans in the Boulder area. ler of the Currency, and will be able to provide In connection with the application, the Board additional support in the future. Applicant further has considered a view expressed by the Depart­ proposes to provide strong management to assist ment of Justice that consummation of the pro­ Bank during this transition period. Prospects of posed acquisition “would have a significantly Bank, which are presently regarded as poor, would adverse effect on competition.” The Department be regarded as good upon consummation of the states that some existing competition for deposits proposal. Considerations relating to the banking and loans would be eliminated, and that con­ factors, therefore, weigh most strongly in favor of summation of the transaction would foreclose approval of the application. substantial potential competition. In the latter The Department of Justice submitted a com­ regard, the Department takes the position that ment in which, among other things, they expressed the acquisition would eliminate one of the most the view that the banking factors should not weigh likely entrants into the concentrated Boulder in favor of approval because no showing has been market and entrench a leading competitor in that made that Applicant is the only available pur­ market. Further, the Department states that the chaser and, further, because under § 3(a) of the proposal would eliminate a bank able to participate Act, Applicant can take ownership of the stock in a new holding company providing Statewide for a two-year period and make it more market­ services. With respect to the banking factors in­ able. (Applicant’s subsidiary banks have loaned volved in the proposed acquisition, the Depart­ ment takes the position that, assuming sale of the funds to owners of Bank, secured by Bank bank is desirable, there is no showing that Ap­ stock, for the purpose of purchasing the stock; plicant is the only available buyer. these loans for practical purposes are now in The Board disagrees with this analysis of the default.) However, the proposed sale of Bank competitive effects of consummation of the pro­ was well publicized and the only other prospective posal. Bank is half as large as the dominant purchaser was another large Denver-based hold­ competitor in the market, and, far from dominat­ ing company, whose acquisition would presumably ing its smaller competitors, Bank has actually raise the same questions concerning potential experienced a decline in its share of deposits in competition. Further, although Applicant could the market. It held a 25 per cent share of deposits take control of Bank by virtue of foreclosure on in the market in 1950, and presently holds only a its outstanding loan to Bank’s present owners 16 per cent share. Rather than entrenching bank and operate Bank for a period of two years, to the detriment of smaller banks in the market, Bank’s liquidity problems are likely to take a the most likely effect of the acquisition would be considerable period to work out, and there is to strengthen Bank so as to improve competition reason to believe that two years of uncertainty in Boulder. as to the ultimate resolution of the Bank’s fate It might be that Applicant’s entry into the Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

616 FEDERAL RESERVE BULLETIN □ JULY 1971 Boulder area de novo, or by the acquisition of a proposed transaction would be in the public smaller bank, would be, to an extent, competitively interest, and that the application should be ap­ preferable. However, under the facts of this case, proved. such a possibility does not provide a significantly adverse consideration to approval of the proposal. Concurring Statement of Governor There is no substantial evidence that Applicant Maisel would choose to enter the market through either I vote with the majority to approve the ap­ method. As to acquisition of a smaller bank, there plication, however, I disagree with the majority’s are only two unaffiliated institutions in Boulder, analysis of the competitive effect of the proposal. and there is no indication that either institution Applicant is a major competitor in the adjacent is available for acquisition. With respect to the Denver banking market. By virtue of this posi­ possibility of de novo entry, the projected popu­ tion and the attractiveness of the rapidly expand­ lation growth of Boulder County might appear ing Boulder banking market, Applicant is one of to make such entry attractive. However, the the most likely entrants into the Boulder market. probability of such entry by Applicant must be Permitting Applicant to enter this market by the judged in light of the fact that two charter ap­ acquisition of the second largest competitor in plications have been filed for banks to be located the market will have adverse effects on future in the county and one is in the process of being competition. In a concentrated market, it will filed for a bank to be located in Boulder. There­ eliminate the possibility of Bank becoming a fore, it is less likely that Applicant would find an stronger independent competitor or member of attractive location for such entry in the near another holding company and foreclose the possi­ future. It does not appear that consummation of bility of Applicant entering the market in a less the proposal would foreclose significant potential anticompetitive manner. competition. However, I believe that considerations relating In light of the above circumstances, the Board to the banking factors clearly outweigh any concludes that the consummation of the proposed adverse effects of consummation of the proposal. transaction would not result in a monopoly, nor The present position of Bank has been well docu­ be in furtherance of any combination, conspiracy, mented in the majority Statement. In addition, or attempt to monopolize the business of banking the Comptroller of the Currency, Bank’s primary in any part of the United States, and would not supervisor, has on the basis of these considera­ restrain trade, substantially lessen competition, or tions strongly recommended approval of the tend to create a monopoly in any section of the proposal. At present, Applicant is the most country. assured source of immediate and long-term sup­ Convenience and needs of the communities to port and solution to Bank’s problems. Denial of be served. Consummation of the proposal would the application would only serve to create more have no effect on the convenience and needs of uncertainty and thereby compound Bank’s diffi­ customers now served by Applicant’s present sub­ culties. sidiaries. There is no evidence that substantial On the basis of all the facts of record, I would needs of banking customers in Boulder are going approve the application. unserved. However, consummation of the pro­ posal will enable Bank to become a viable alter­ native source of full banking services. Affiliation Dissenting Statement of with Applicant would significantly improve Bank’s Governors Robertson and Brimmer correspondent relationships and facilitate loan In our judgment, consummation of the pro­ participations. Applicant further proposes to in­ posal will eliminate existing competition and stitute a more competitive loan rate structure foreclose substantial potential competition. Based for Bank. upon the facts of record and the statutory criteria, Considerations relating to the convenience and we would deny the application. needs of the communities to be served thus lend The record reflects that Applicant’s subsidiaries strong weight toward approval of the application. and Bank presently compete to a limited extent Summary and conclusion. On the basis of all for deposits and to a somewhat greater extent for relevant facts contained in the record, and in the mortgage loans. Thus, the consummation of the light of the factors set forth in section 3(c) of transaction would eliminate some existing com­ the Act, it is the Board’s judgment that the petition. More importantly, however, consumma­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 617 tion would foreclose substantial potential com­ out regard to the divestiture requirement of sec­ petition. tion 3. To rule otherwise, as the Board does This proposal is simply an effort by the State’s today, is to permit Applicant to use the existence second largest banking organization (which is of Bank’s present difficulties (which are not almost the largest) to enter the market imme­ insurmountable) and a loan to Bank’s present diately adjacent to the market in which it is a majority stockholder as a lever to acquire a major competitor by the acquisition of the second bank whose acquisition should be denied on largest organization in the adjacent market. The competitive considerations. banking structure of the Boulder area is already For these reasons, we would deny the applica­ concentrated. Two banking organizations, in­ tion. cluding Bank, control over 70 per cent of deposits in the City of Boulder, and over 55 per cent of CENTRAL BANCOMPANY, deposits in Boulder County. JEFFERSON CITY, MISSOURI It can hardly be said that that market is not attractive for Applicant’s de novo entry. Over the In the matter of the application of Central last 10 years, the population of the City of Bancompany, Jefferson City, Missouri, for ap­ Boulder has increased by 77.3 per cent, and it proval of action to become a bank holding com­ is expected to increase at an annual average rate pany through the acquisition of 100 per cent of of 5.5 per cent over the next five years. Under the voting shares (less directors' qualifying shares) the circumstances, it is clear that the market can of the successor by merger to The Central Trust support additional entrants. Applicant, from its Bank, Jefferson City, Missouri, and as an incident adjacent market, is a logical entrant into Boulder, to the merger and acquisition, indirect owner­ and the foreclosure of these possibilities by ap­ ship of 100 per cent of the voting shares (less proval of the application has an adverse effect directors' qualifying shares) of Jefferson Bank of on competition. Moreover, there are several Missouri, Jefferson City, Missouri. smaller Boulder banks available as a means of entry into the market. Consequently, the Board’s Order Approving Action to Become action today inhibits deconcentration of the area. a Bank Holding Company We have previously expressed our opinion that acquisitions of the type here involved would There has come before the Board of Governors, unduly further concentrate banking resources, pursuant to section 3(a)(1) of the Bank Holding and prevent the formation of additional competi­ Company Act of 1956 (12 U.S.C. 1842(a)(1)) tors to the few Statewide companies on Colorado and section 222.3(a) of Federal Reserve Regula­ (e.g., 1970 Federal Reserve Bulletin 543). tion Y (12 CFR 222.3 (a)), an application by The facts of this case strengthen us in that con­ Central Bancompany, Jefferson City, Missouri viction. (“Applicant”), for the Board’s prior approval of We are not persuaded by the argument of the action whereby Applicant would become a bank majority that the banking and convenience and holding company through the acquisition of 100 needs factors weigh strongly in favor of approval per cent of the voting shares (less directors’ and outweigh any possible adverse effects from qualifying shares) of the successor by merger to consummation of the proposal. A change in The Central Trust Bank, Jefferson City, Missouri Bank’s ownership and policies is desirable. How­ (“Bank”), and as an incident to the merger and ever, the Congress has provided a solution to the acquisition, indirect ownership of 100 per cent problem. Section 3 of the Act permits Applicant’s of the voting shares of The Central Trust Bank’s largest subsidiary—which holds a majority of the subsidiary, Jefferson Bank of Missouri, Jefferson stock of Bank as security for a loan it extended City, Missouri (“Jefferson Bank”). The merger for the purpose of enabling the borrower to is a means to facilitate the acquisition of shares acquire control of the Bank—to foreclose upon of Bank and has no other significance; the pro­ the stock of Bank, and reduce it to ownership. posal is therefore treated herein, insofar as Bank However, Congress specifically provided that in is concerned, as one to acquire shares of Bank such cases the stock would have to be disposed directly. (Bank, a trust company, although the of within two years. We see no justifiable basis owner of Jefferson Bank, has heretofore not been for seeking to avoid that Congressional directive considered a bank holding company by virtue of by approving an anticompetitive acquisition with­ section 2(a) (5) (F) of the Act.) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

618 FEDERAL RESERVE BULLETIN □ JULY 1971 As required by section 3(b) of the Act, the above, that said application be and hereby is ap­ Board gave written notice of receipt of the appli­ proved, provided that the acquisition so approved cation to the Missouri Commissioner of Finance, shall not be consummated (a) before the thirtieth and requested his views and recommendation. calendar day following the date of this Order or The Commissioner offered no objection to ap­ (b) later than three months after the date of this proval of the application. Order, unless such period is extended for good Notice of receipt of the application was pub­ cause by the Board, or by the Federal Reserve lished in the Federal Register on May 1, 1971 Bank of St. Louis pursuant to delegated authority. (36 Federal Register 8273), providing an oppor­ By order of the Board of Governors, June 22, tunity for interested persons to submit comments 1971. and views with respect to the proposal. A copy of the application was forwarded to the United Voting for this action: Chairman Bums and Gover­ States Department of Justice for its considera­ nors Mitchell, Brimmer, and Sherrill. Absent and not voting: Governors Robertson, Daane, and Maisel. tion. Time for filing comments and views has ex­ pired and all those received have been considered. (Signed) Kenneth A. Kenyon, The Board has considered the application in the Deputy Secretary. light of the factors set forth in section 3(c) of the [seal] Act, including the effect of the proposed acquisi­ tion on competition, the financial and managerial FIRST HOLDING COMPANY, INC., resources and future prospects of Applicant and WAUKESHA, WISCONSIN the banks concerned, and the convenience and needs of the communities to be served, and finds In the matter of the application of First Holdthat: ing Company, Inc., Waukesha, Wisconsin, for Applicant is a nonoperating corporation formed approval of acquisition of 80 per cent or more of for the purpose of acquiring Bank ($117.6 mil­ the voting shares of The First National Bank of lion deposits) and its subsidiary bank, Jefferson Elk Horn, Elkhorn, Wisconsin. Bank ($6.7 million deposits). (All banking data are as of December 31, 1970, and reflect bank Order Approving Acquisition of Bank Stock holding company applications approved by the by Bank Holding Company Board to May 31, 1971.) Upon consummation of the proposal, Applicant will assume Bank’s pres­ There has come before the Board of Governors, ent position as the State’s 10th largest banking or­ pursuant to section 3(a)(3) of the Bank Holding ganization ($124.2 million deposits) with 1.1 per Company Act of 1956 (12 U.S.C. 1842(a)(3)), cent of total deposits in the State. As Applicant and section 222.3(a) of Federal Reserve Regu­ has no present operations or subsidiaries, con­ lation Y (12 CFR 222.3(a)), the application of summation of the proposal would eliminate First Holding Company, Inc., Waukesha, Wis­ neither existing nor potential competition. Neither consin (“Applicant”), a registered bank holding does it appear that there would be adverse effects company, for the Board’s prior approval of the on any bank in the area. Inasmuch as Bank acquisition of 80 per cent or more of the voting organized Jefferson Bank in 1965 and retains shares of The First National Bank of Elk Horn, ownership, there is no actual and little potential Elkhorn, Wisconsin (“Bank”). for future competition between the two banks. As required by section 3(b) of the Act, the The financial and managerial resources and Board gave written notice of receipt of the appli­ prospects of Bank and Jefferson Bank are gen­ cation to the Comptroller of the Currency and erally satisfactory, as would be those of Applicant requested his views and recommendation. The upon approval. Consummation of the proposal Comptroller recommended approval of the ap­ would have no immediate effect on the con­ plication. venience and needs of the community involved. Notice of receipt of the application was pub­ Considerations under these factors are consistent lished in the Federal Register on April 28, 1971 with approval. It is the Board’s judgment that (36 Federal Register 8007), providing an oppor­ consummation of the proposal would be in the tunity for interested persons to submit comments public interest and that the application should be and views with respect to the proposal. A copy 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 619 The time for filing comments and views has ex­ ficial to the public. Applicant plans to make trust pired and all those received have been considered services available at Bank, to improve its present by the Board. computer services and to departmentalize the in­ The Board has considered the application in the stalment lending business and furnish personnel light of the factors set forth in section 3(c) of the to manage the new department. Considerations Act, including the effect of the proposed acquisi­ relating to the convenience and needs of the com­ tion on competition, the financial and managerial munities to be served by Bank lend some support resources and future prospects of Applicant and for approval of the application. It is the Board’s the banks concerned, and the convenience and judgment that the proposed transaction would be needs of the communities to be served. Upon such in the public interest, and that the application consideration, the Board finds that: should be approved. The 10 largest banking organizations in Wis­ It is hereby ordered, for the reasons set forth consin, all of which are bank holding companies, in the findings summarized above, that said appli­ control approximately 39 per cent of commercial cation be and hereby is approved, provided that bank deposits in the State. Applicant controls the action so approved shall not be consummated five banks with aggregate deposits of $151 mil­ (a) before the thirtieth calendar day following the lion, representing 1.7 per cent of total bank de­ date of this Order, or (b) later than three months posits in the State, and is the fifth largest bank after the date of this Order, unless such time shall holding company. (All banking data are as of be extended for good cause by the Board, or by June 30, 1970, adjusted to reflect bank holding the Federal Reserve Bank of Chicago pursuant to company formations and acquisitions approved delegate authority. by the Board through April 30, 1971.) Appli­ By order of the Board of Governors, June 25, cant’s acquisition of Bank, with deposits of $16 1971. million, would increase its share of State deposits by only .2 per cent, representing no significant Voting for this action: Chairman Burns and Gover­ nors Robertson, Maisel, Brimmer, and Sherrill. Absent increase in its control of deposits in the State, or and not voting: Governors Mitchell and Daane. change in its present ranking. (Signed) Kenneth A. Kenyon, Bank operates its main office in Elkhorn and Deputy Secretary. one branch office six miles south of Elkhorn. Bank is the largest of the 13 independent banks oper­ [seal] ating in Walworth County, holding 13.4 per cent of county deposits; however, the next three largest UNITED BANKSHARES, INC., GREEN BAY, WISCONSIN banks are approximately comparable to it in size and control 12.5, 10.7, and 9.5 per cent, respec­ In the matter of the application of United Bank­ tively, of county deposits. Applicant’s closest sub­ shares, Inc., Green Bay, Wisconsin, for approval sidiary office is situated 32 miles from Bank, and of action to become a bank holding company no significant present competition exists between through the acquisition of 30 per cent or more of Bank and this office, or with any of Applicant’s the voting shares of West Bank and Trust, Green other offices. It does not appear that consumma­ Bay, Wisconsin. tion of this proposal would foreclose significant potential competition because of the distances in­ volved, the presence of intervening banks, and Order Approving Action to Become a Wisconsin’s restrictive branching laws. Based Bank Holding Company upon the foregoing and the record before it, the There has come before the Board of Governors, Board concludes that consummation of the pro­ pursuant to section 3(a)(1) of the Bank Holding posed acquisition would not adversely affect com­ Company Act of 1956 (12 U.S.C. 1842(a)(1)) petition in any relevant area nor any of the com­ and section 222.3(a) of Federal Reserve Regula­ peting banks. tion Y (12 CFR 222.3(a)), an application by The banking factors as they pertain to Appli­ United Bankshares, Inc., Green Bay, Wisconsin cant, its subsidiaries and Bank are consistent with (“Applicant”), for the Board’s prior approval of approval of the application. Although the major action whereby Applicant would become a bank banking needs of the area appear to be satisfied at holding company through the acquisition of 80 the present time, Applicant’s proposed new and per cent or more of the voting shares of West improved services for Bank should prove bene­ Bank and Trust, Green Bay, Wisconsin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

620 FEDERAL RESERVE BULLETIN □ JULY 1971 As required by section 3(b) of the Act, the date of this Order, unless such period is extended Board gave written notice of receipt of the appli­ for good cause by the Board, or by the Federal cation to the Commissioner of Banking of the Reserve Bank of Chicago pursuant to delegated State of Wisconsin and requested his views and authority. recommendation. The Commissioner offered no By order of the Board of Governors, June 28, objection to approval of the application. 1971. Notice of receipt of the application was pub­ lished in the Federal Register on May 13, 1971 Voting for this action: Chairman Burns and Gover­ (36 Federal Register 8831), providing an oppor­ nors Robertson, Mitchell, Daane, Maisel, Brimmer, and Sherrill. tunity for interested persons to submit comments and views with respect to the proposal. A copy (Signed) Kenneth A. Kenyon, of the application was forwarded to the United Deputy Secretary. States Department of Justice for its consideration. [seal] Time for filing comments and views has expired, and all those received have been considered by the FIRST FINANCIAL CORPORATION, Board. TAMPA, FLORIDA The Board has considered the application in the light of the factors set forth in section 3(c) of the In the matter of the application of First Finan­ Act, including the effect of the proposed acquisi­ cial Corporation, Tampa, Florida, for approval of tion on competition, the financial and managerial acquisition of not less than 80 per cent of the resources and future prospects of the Applicant voting shares of Inter City National Bank of and the bank concerned, and the convenience and Bradenton, Bradenton, Florida. needs of the communities to be served, and finds that: Order Approving Acquisition of Bank Stock Applicant is a nonoperating corporation formed by Bank Holding Company for the purpose of acquiring Bank ($44.3 million deposits). (All banking data are as of Decem­ There has come before the Board of Governors, ber 31, 1970, and reflect holding company approv­ pursuant to section 3(a) (3) of the Bank Holding als and acquisitions approved through May 24, Company Act of 1956 (12 U.S.C. 1842(a)(3)) 1971.) Upon consummation of the proposal, Ap­ and section 222.3(a) of Federal Reserve Regula­ plicant will assume Bank’s present position as the tion Y (12 CFR 222.3(a)), an application by State’s twenty-fourth largest banking organization First Financial Corporation, Tampa, Florida with 0.46 per cent of total deposits in the State. (“Applicant”), a registered bank holding com­ As Applicant has no present operations or sub­ pany, for the Board’s prior approval of the ac­ sidiaries, consummation of the proposal would quisition of not less than 80 per cent of the voting eliminate neither existing nor potential competi­ shares of Inter City National Bank of Bradenton, tion. Neither does it appear that there would be Bradenton, Florida (“Bradenton Bank”). adverse effects on any bank in the area involved. As required by section 3(b) of the Act, the The financial and managerial resources and Board gave written notice of receipt of the appli­ prospects of Bank are generally satisfactory, as cation to the Comptroller of the Currency, and would be those of Applicant upon approval. Con­ requested his views and recommendation. The summation of the proposal would have no im­ Comptroller offered no objection to approval of mediate effect on the convenience and needs of the application. the community involved. Considerations under Notice of receipt of the application was pub­ these factors are consistent with approval. It is lished in the Federal Register on May 7, 1971 the Board’s judgment that consummation of the (36 Federal Register 8535), providing an oppor­ proposal would be in the public interest and that the application should be approved. tunity for interested persons to submit comments and views with respect to the proposed transac­ It is hereby ordered, for the reasons sum­ marized above, that said application be and hereby tion. A copy of the application was forwarded to is approved, provided that the acquisition so ap­ the United States Department of Justice for its proved shall not be consummated (a) before the consideration. The time for filing comments and thirtieth calendar day following the date of this views has expired and all those received have been Order or (b) later than three months after the considered by the Board. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 621 The Board has considered the application in the proval of the application. Although the important light of the factors set forth in section 3(c) of the banking needs of this area appear to be presently Act, including the effect of the proposed acquisi­ satisfied by existing facilities, Applicant’s proposed tion on competition, the financial and managerial improvement of Bradenton Bank’s various services resources and prospects of the Applicant and the would benefit the convenience of the community banks concerned, and the convenience and needs and better serve its needs. It is the Board’s judg­ of the communities to be served and finds that: ment that the proposed transaction would be in Applicant presently controls seven banks with the public interest, and that the application should aggregate deposits of approximately $386 million, be approved. representing 2.8 per cent of all deposits of com­ It is hereby ordered, for the reasons set forth mercial banks in Florida. (All banking data are in the findings summarized above, that said appli­ as of December 31, 1970, adjusted to reflect bank cation be and hereby is approved, provided that holding company formations and acquisitions ap­ the acquisition so approved shall not be consum­ proved by the Board through May 15, 1971.) mated (a) before the thirtieth calendar day fol­ Upon acquisition of Bradenton Bank ($42 mil­ lowing the date of this Order, or (b) later than lion deposits), Applicant would increase its share three months after the date of this Order, unless of Statewide deposits by only 0.3 per cent, and it such period is extended for good cause by the would rank as the sixth largest banking organiza­ Board, or by the Federal Reserve Bank of Atlanta tion and bank holding company in Florida. pursuant to delegated authority. Bradenton Bank is the third largest of the four By order of the Board of Governors, June 28, banks in Bradenton and also third largest of the 1971. nine banks serving Manatee County, wherein it holds approximately 19 per cent of total county Voting for this action: Chairman Burns and Gover­ nors Robertson, Mitchell, Daane, Maisel, Brimmer, deposits. Each of the two larger area banks holds and Sherrill. more than 26 per cent of such deposits. Appli­ (Signed) Kenneth A. Kenyon, cant’s closest subsidiary office to Bradenton Bank Deputy Secretary. is located 40 miles to the north of Tampa. There is [seal] no meaningful existing competition between any of Applicant’s present banking offices and Braden­ In the matter of the application of First Finan­ ton Bank. It also appears unlikely that consumma­ cial Corporation, Tampa, Florida, for approval tion of this proposal would preclude potential of acquisition of not less than 80 per cent of the competition because of Florida’s restrictive branch­ voting shares of The First National Bank of ing laws, the wide separation between Applicant’s Kissimmee, Kissimmee, Florida. offices and Bradenton Bank, and the presence of many other banking offices in the intervening area. Applicant’s proposed acquisition would represent Order Approving Acquisition of Bank Stock the second entry of a bank holding company into by Bank Holding Company rapidly developing Manatee County, and it does There has come before the Board of Governors, not appear that any of the competing banks would pursuant to section 3(a)(3) of the Bank Holding be adversely affected thereby. Based on the fore­ Company Act of 1956 (12 U.S.C. 1842(a)(3)), going and the record before it, the Board con­ and section 222.3(a) of Federal Reserve Regula­ cludes that consummation of the proposed acquisi­ tion Y (12 CFR 222.3(a)), an application by tion would not have an adverse effect on competi­ First Financial Corporation, Tampa, Florida tion in any relevant market. (“Applicant”), a registered bank holding com­ The financial condition and managerial re­ pany, for the Board’s prior approval of the ac­ sources of Applicant, its subsidiary banks, as well quisition of not less than 80 per cent of the voting as Bradenton Bank, are generally satisfactory and shares of The First National Bank of Kissimmee, the prospects for each appear favorable. Appli­ Kissimmee, Florida (“Kissimmee Bank”). cant plans to improve the capital position of Bra­ As required by section 3(b) of the Act, the denton Bank if the proposal is consummated. Board gave written notice of receipt of the appli­ Overall, the banking factors are consistent with cation to the Comptroller of the Currency, and and lend some weight in favor of approval of this requested his views and recommendation. The application. Considerations under the convenience Comptroller offered no objection to approval of and needs factors also lend weight toward ap­ the application. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

622 FEDERAL RESERVE BULLETIN □ JULY 1971 Notice of receipt of the application was pub­ quisition would not adversely affect competition lished in the Federal Register on May 7, 1971 in any relevant area. (36 Federal Register 8535), providing an oppor­ The financial condition and managerial re­ tunity for interested persons to submit comments sources of Applicant, its subsidiaries and Kissim­ and views with respect to the proposed transac­ mee Bank appear generally satisfactory, and pros­ tion. A copy of the application was forwarded to pects for each appear favorable. Banking factors the United States Department of Justice for its are consistent with approval of the application, consideration. The time for filing comments and and considerations under the convenience and views has expired and all those received have been needs of the communities concerned lend some considered by the Board. support thereto. Kissimmee Bank is located only The Board has considered the application in the eight miles from the Disney World project. Al­ light of the factors set forth in section 3(c) of the though the primary banking needs of the area are Act, including the effect of the proposed acquisi­ being met at the present time, affiliation with Ap­ tion on competition, the financial and managerial plicant would enable Kissimmee Bank to more resources and prospects of Applicant and the effectively satisfy some of the credit needs of the banks concerned, and the convenience and needs new tourist area and its supporting industries. Ap­ of the communities to be served and finds that: plicant has plans to improve Kissimmee Bank’s Applicant presently controls eight banks with present services and to provide management per­ aggregate deposits of approximately $428 million, sonnel as needed. It is the Board’s judgment that representing 3.1 per cent of all deposits of com­ the proposed transaction would be in the public mercial banks in Florida. (All banking data are interest, and that the application should be ap­ as of December 31, 1970, adjusted to reflect bank proved. holding company formations and acquisitions ap­ It is hereby ordered, for the reasons set forth proved by the Board through May 31, 1971, and in the findings summarized above, that said appli­ also to include a recent Board action approving cation be and hereby is approved, provided that Applicant’s acquisition of Inter City National the acquisition so approved shall not be consum­ Bank of Bradenton.) Upon acquisition of Kissim­ mated (a) before the thirtieth calendar day fol­ mee Bank ($14 million deposits), Applicant lowing the date of this Order, or (b) later than would increase its share of Statewide deposits by three months after the date of this Order, unless only 0.1 per cent, and it would rank as the sixth such period is extended for good cause by the largest banking organization and bank holding Board, or by the Federal Reserve Bank of Atlanta company in Florida. pursuant to delegated authority. Kissimmee Bank is the largest of the three By order of the Board of Governors, July 1, banks operating in Osceola County and holds 48 1971. per cent of county deposits. The second largest, a subsidiary of Florida’s fifth largest bank holding Voting for this action: Vice Chairman Robertson company, holds $9 million in deposits, represent­ and Governors Mitchell, Maisel, Brimmer, and ing 31 per cent of county deposits. The third larg­ Sherrill. Absent and not voting: Chairman Burns and Governor Daane. est holds $6 million or approximately 21 per cent of such deposits, and received Board approval to (Signed) Kenneth A. Kenyon, become a subsidiary of the State’s third largest Deputy Secretary. bank holding company; however, the proposal was [seal] not consummated. No significant competition exists between Kissimmee Bank and Applicant’s THE FOURTH NATIONAL CORPORATION, subsidiaries, the nearest of which is located 45 TULSA, OKLAHOMA miles from Kissimmee. It appears that the dis­ tances involved, the presence of intervening banks and Florida’s restrictive branching laws would pre­ In the matter of the application of The Fourth clude substantial competition from developing National Corporation, Tulsa, Oklahoma, for ap­ between them. It further appears that competing proval of action to become a bank holding com­ banks in the area would not be adversely affected pany through the acquisition of 100 per cent (less by the proposed acquisition. Based upon the fore­ directors' qualifying shares) of the voting shares going and the record before it, the Board con­ of the successor by merger to The Fourth Na­ cludes that consummation of the proposed ac­ tional Bank of Tulsa, Tulsa, Oklahoma. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 623 Order Approving Action to Become a Bank The financial and managerial resources and Holding Company prospects of Bank are satisfactory and consistent There has come before the Board of Governors, with approval as would be those of Applicant pursuant to section 3(a)(1) of the Bank Holding upon approval. Consummation of the proposal Company Act of 1956 (12 U.S.C. 1842(a)(1)) would have no immediate effect on the conven­ and Section 222.3(a) of Federal Reserve Regula­ ience and needs of the community involved, but would enable the Applicant to respond to the in­ tion Y (12 CFR 222.3(a)), an application by creasing needs for a complete line of financial The Fourth National Corporation, Tulsa, Okla­ homa (“Applicant”), for the Board’s prior ap­ services demanded by an expanding area. Con­ proval of action whereby Applicant would become siderations under these factors lend some weight a bank holding company through the acquisition toward approval. It is the Board’s judgment that of 100 per cent (less directors’ qualifying shares) consummation of the proposal would be in the of the voting shares of the successor by merger to public interest and that the application should be The Fourth National Bank of Tulsa, Tulsa, Okla­ approved. homa (“Bank”). It is hereby ordered, for the reasons set forth As required by section 3(b) of the Act, the above, that said application be and hereby is ap­ proved, provided that the acquisition so approved Board gave written notice of receipt of the appli­ cation to the Comptroller of the Currency and shall not be consummated (a) before the thirtieth calendar day following the date of this Order, or requested his views and recommendation. The (b) later than three months after the date of this Comptroller recommended approval of this ap­ plication. Order, unless such period is extended for good Notice of receipt of the application was pub­ cause by the Board or by the Federal Reserve lished in the Federal Register on May 15, 1971 Bank of Kansas City pursuant to delegated au­ (36 Federal Register 8978), providing an oppor­ thority. tunity for interested persons to submit comments By order of the Board of Governors, July 1, 1971. and views with respect to the proposal. A copy of the application was forwarded to the United States Department of Justice for its consideration. Time Voting for this action: Vice Chairman Robertson and Governors Mitchell, Maisel, Brimmer, and for filing comments and views has expired and all Sherrill. Absent and not voting: Chairman Burns and those received have been considered. Governor Daane. The Board has considered the application in the (Signed) Kenneth A. Kenyon, light of the factors set forth in section 3(c) of the Deputy Secretary. Act, including the effect of the proposed acquisi­ [seal] tion on competition, the financial and managerial resources and future prospects of the Applicant FIRST ARKANSAS BANKSTOCK and the banks concerned, and the convenience CORPORATION, and needs of the communities to be served, and LITTLE ROCK, ARKANSAS finds that: Applicant is a nonoperating corporation formed In the matter of the application of First Arkan­ for the purpose of acquiring Bank ($78.8 million sas Bankstock Corporation, Little Rock, Arkansas, deposits). (All banking data are as of Decem­ for approval of acquisition of 80 per cent or more ber 31, 1970, and reflect bank holding company of the voting shares of The Stephens Security applications approved by the Board through Bank, Stephens, Arkansas. May 31, 1971.) Upon consummation of this pro­ posal, Applicant will assume Bank’s present posi­ Order Approving Acquisition of Bank Stock tion as the third largest banking organization and by Bank Holding Company become the third largest bank holding company in the Tulsa market with 5.7 per cent of the total de­ There has come before the Board of Governors, posits in that market. As Applicant has no present pursuant to section 3(a) (3) of the Bank Holding operations or subsidiaries, consummation of this Company Act of 1956 (12 U.S.C. 1842(a)(3)), proposal would eliminate neither existing nor po­ and section 222.3(a) of Federal Reserve Regula­ tential competition. It does not appear that there tion Y (12 CFR 222.3(a)), an application by would be any adverse effects on any bank in the First Arkansas Bankstock Corporation, Little area. Rock, Arkansas, the only registered bank holding Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

624 FEDERAL RESERVE BULLETIN □ JULY 1971 company in Arkansas, for the Board’s prior ap­ the Board that there are any issues concerning the proval of the acquisition of 80 per cent or more application on which a formal hearing or oral of the voting shares of The Stephen Security presentation would be useful. Time for filing com­ Bank, Stephens, Arkansas. ments and views has expired and all those received As required by section 3(b) of the Act, the have been considered. Board gave written notice of receipt of the appli­ The Board has considered the application in the cation to the State Commissioner of Banking, and light of the factors set forth in section 3(c) of the requested his views and recommendation. The Act, including the effect of the proposed acquisi­ Commissioner recommended approval unless leg­ tion on competition, the financial and managerial islation were to be approved prohibiting holding resources and future prospects of the Applicant company expansion. and the banks concerned, and the convenience Notice of receipt of the application was pub­ and needs of the communities to be served, and lished in the Federal Register on December 9, finds that: 1970 (35 Federal Register 18699), providing an Applicant is the only registered bank holding opportunity for interested persons to submit com­ company in Arkansas, and the State’s largest ments and views with respect to the proposal. banking organization, controlling two banks with Subsequent to the filing of the application, on $247.5 million in deposits. (All banking data are February 5, 1971, the State of Arkansas enacted as of December 31, 1970.) legislation prohibiting the formation and expan­ Bank, located in the City of Stephens (popula­ sion of multibank holding companies (Act 47 of tion 1,500), controls total deposits of $3.2 million the Sixty-eighth General Assembly of the State of and is the next to the smallest of seven banks in Arkansas). the market area, holding only 4 per cent of area The Board, by Order dated February 22, 1971 deposits. Both of Applicant’s subsidiaries are lo­ (36 Federal Register 3852), denied the applica­ cated more than 100 miles from Bank and con­ tion due to the existence of the legislation, without summation of the proposal would eliminate neither reaching the merits of the application. Subsequent present nor potential competition. Neither does it to the Board’s action, the State of Arkansas en­ appear that there would be any adverse effects on acted legislation which had the effect of exempting any bank in the area. the proposed transaction from the general prohi­ Upon consummation of the proposal, Appli­ bition and, based upon this factor, First Arkansas cant’s present 8 per cent share of total deposits in Bankstock Corporation petitioned the Board for the State would be increased by only .1 per cent, reconsideration of its denial Order. By Order which would not significantly increase Statewide dated May 4, 1971 (36 Federal Register 8750), concentration of banking resources. the Board granted the Petition for Reconsidera­ It is true that Applicant, under present Arkan­ tion and provided an opportunity for interested sas law, will continue to be the only multi-bank persons to submit comments and views with re­ holding company, and that approval of this appli­ spect to the proposal. cation would add a third subsidiary. However, as The Board gave written notice of the granting pointed out above, the Arkansas legislature has of the Petition to the State Commissioner of Bank­ exempted this acquisition from the general prohi­ ing and requested his views and recommendation bition relating to holding company acquisitions with respect to the proposed transaction. The and there would be no adverse competitive effects Commissioner stated that he had no objection to from consummation of the proposal. approval of the transaction. Considerations relating to the financial and Within the time provided for public comment managerial resources and prospects of Bank lend on the proposal, a number of banks located in some weight toward approval of the application Arkansas urged denial of the application. Addi­ in that Applicant would provide an assured source tionally, a number of these banks renewed a Peti­ tion requesting that the Board conduct a formal of management succession to Bank. Considera­ hearing, which had not been acted upon due to the tions relating to the convenience and needs of the Board’s original action denying the application. In communities to be served also lend some weight view of the fact that the State Commissioner of toward approval of the application in that trust, Banking did not recommend disapproval of the investment, and computer services would become application, no hearing on the application is re­ available in the community through Applicant’s quired by the Act. Further, it does not appear to assistance. It is the Board’s judgment that con­ Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

LAW DEPARTMENT 625 summation of the proposal would be in the public Comptroller has recommended approval of this interest and that the application should be ap­ application. proved. Notice of receipt of the application was pub­ It is hereby ordered, for the reasons set forth lished in the Federal Register on April 29, 1971 above, that the petition for a hearing be and (36 Federal Register 8082), providing an oppor­ hereby is denied, and that said application be and tunity for interested persons to submit comments hereby is approved, provided that the acquisition and views with respect to the proposal. A copy so approved shall not be consummated (a) before of the application was forwarded to the United the thirtieth calendar day following the date of this States Department of Justice for its consideration. Order or (b) later than three months after the Time for filing comments and views has expired date of this Order, unless such period is extended and all those received have been considered. for good cause by the Board, or by the Federal The Board has considered the application in Reserve Bank of St. Louis pursuant to delegated the light of the factors set forth in section 3(c) authority. of the Act, including the effect of the proposed By order of the Board of Governors, July 1, acquisition on competition, the financial and 1971. managerial resources and future prospects of the Applicant and the banks concerned, and the con­ Voting for this action: Vice Chairman Robertson venience and needs of the communities to be and Governors Mitchell, Maisel, Brimmer, and served, and finds that: Sherrill. Absent and not voting: Chairman Burns and Governor Daane. Applicant is the sixteenth largest banking or­ ganization in Florida and controls four banks (Signed) Kenneth A. Kenyon, with total deposits of $128.1 million, representing Deputy Secretary. .9 per cent of the commercial bank deposits in [seal] Florida. (All banking data are as of December 31, 1970, and reflect holding company formations FIRST BANCSHARES OF FLORIDA, INC, and acquisitions approved by the Board through BOCA RATON, FLORIDA May 31, 1971.) Since Bank is a proposed new bank, consummation of the proposal will not In the matter of the application of First Banc­ increase Applicant’s share of total deposits in any shares of Florida, Inc., Boca Raton, Florida, for market nor affect deposit concentration. approval of acquisition of 80 per cent or more of Bank will be situated in Palm Beach Gardens, voting shares of First National Bank of Palm which is located north of West Palm Beach. It Beach Gardens, Palm Beach Gardens, Florida, a will compete in a market defined as approximately proposed new bank. Palm Beach Gardens, Riviera Beach, Juno Beach, North Palm Beach, and the northern portion of West Palm Beach. Applicant presently controls Order Approving Acquisition of Bank one bank in this market and thereby controls Stock by Bank Holding Company about 16 per cent of market deposits and ranks There has come before the Board of Governors, third in size among the six banking organizations pursuant to section 3(a)(3) of the Bank Holding located therein. Company Act of 1956 (12 U.S.C. 1842(a)(3)) Since Bank is a proposed new bank, no existing and section 222.3(a) of Federal Reserve Regula­ competition would be eliminated. It appears un­ tion Y (12 CFR 222.3(a)), an application by likely that acquisition by Applicant of a second First Bancshares of Florida, Inc., Boca Raton, bank in the market would have undue adverse Florida (“Applicant”), a registered bank holding effects on any other bank in the area since Ap­ company, for the Board’s prior approval of the plicant is not dominant in the market and each acquisition of 80 per cent or more of the voting of the other banks is affiliated or associated with shares of First National Bank of Palm Beach a holding company or banking group. Nor is it Gardens, Palm Beach Gardens, Florida (“Bank”), likely that entry into the market by others would a proposed new bank. be foreclosed. The population of Bank’s projected As required by section 3(b) of the Act, the service area has increased fivefold in the past Board gave written notice of receipt of the ap­ decade and continued growth is expected. There­ plication to the Comptroller of the Currency, and fore, the Board concludes that consummation of requested his views and recommendation. The the proposal would not have significant adverse Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

effects on competition in any relevant area. so approved shall not be consummated (a) before The Board has considered Applicant’s current the thirtieth calendar day following the date of efforts to improve the capital positions of certain this Order or (b) later than three months after subsidiaries. On this basis, the financial and man­ the date of this Order, and provided further that agerial resources and future prospects of the Ap­ (c) First National Bank of Palm Beach Gardens plicant, its subsidiaries, and Bank are regarded shall be open for business not later than six as consistent with approval of the application. months after the date of this Order. The periods Considerations relating to the convenience and described in (b) and (c) hereof may be extended needs of the community to be served lend some for good cause by the Board, or by the Federal weight toward approval of the application because Reserve Bank of Atlanta pursuant to delegated Bank would serve an area where only one bank authority. is now located and would be able, as a subsidiary By order of the Board of Governors, July 7, of Applicant, to offer a full range of banking 1971. services to residents of the area. It is the Board’s Voting for this action: Vice Chairman Robertson judgment that the proposed transaction would be and Governors Daane, Maisel, and Sherrill. Absent in the public interest and that the application and not voting: Chairman Burns and Governors Mitchell and Brimmer. should be approved. It is hereby ordered, for the reasons sum­ (Signed) Kenneth A. Kenyon, marized above, that said application be and Deputy Secretary. hereby is approved, provided that the acquisition [seal] 626 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Announcements CHANGES IN BOARD STAFF ORDERS AFFECTING BANK HOLDING COMPANIES The Board of Governors of the Federal Reserve The Board of Governors on June 22, 1971, granted System has announced these appointments: a 2-month extension of the deadline for one-bank Samuel B. Chase, Jr., Professor of Economics holding companies to register with the Board. at the University of Montana since 1967 and a Exercising authority granted it under the Bank former Financial Economist at the Federal Re­ Holding Company Act, the Board extended the serve Bank of Kansas City, as an Associate Direc­ registration time from June 29 to August 31, 1971, tor in the Division of Research and Statistics, or 180 days after a company becomes a bank effective July 6, 1971. holding company, whichever is later. Murray Altmann, a Senior Economist in the The extension was granted, the Board’s Order Special Studies Section, Division of International said, “in the light of the relatively short period” Finance, as an Assistant Secretary, Office of the that the companies affected have had for compli­ Secretary, effective July 11, 1971. ance with the registration requirement. Mr. Chase has an A.B. degree from Dartmouth The Board of Governors also announced that College and a Ph.D. in Economics from the Uni­ it will permit companies that have acquired an versity of California. Mr. Altmann, on the Board’s interest in a bank during the period from Decem­ staff since 1949, holds B.A. and M.A. degrees from ber 31, 1970, to June 22, 1971, without obtaining Pennsylvania State College, and also attended requisite Board approval—and apparently without graduate schools at New York and American knowledge that such approval was required by Universities. In 1967 and 1968 he was granted a the Bank Holding Company Act Amendments of leave of absence at the request of the Central Bank 1970—to apply to the Board for a determination of Tanzania and the United Nations to act as that such acquisition is in the public interest. Economic Adviser and to organize and direct a Amendments to the Bank Holding Company department of research for the Central Bank. Act that became effective December 31, 1970, made it unlawful for a company to acquire control CHANGE IN DISCOUNT RATE over a single bank except with the prior approval of the Federal Reserve Board. Before the 1970 The Board of Governors on July 15, 1971, ap­ Amendments were enacted, there was no such proved actions by the directors of the Federal constraint upon the acquisition by a company of Reserve Banks of New York, Philadelphia, St. the shares of a single bank, and it was common Louis, and San Francisco, increasing the discount for companies to acquire single, small banks. rate of those banks from 4% per cent to 5 per cent, effective Friday, July 16. (A similar increase The Board has been advised that in several was approved for the Federal Reserve Banks of instances companies have acquired a controlling Boston, Atlanta, and Minneapolis, effective July interest in a bank apparently without knowledge 19.) of the changes in the law requiring prior Board The action was in recognition of increases that approval. The Board ordered that in cases of have taken place in other short-term interest rates unintended violation of the law by companies that and is intended to bring the discount rate—which acquired a controlling interest in a bank between is the rate charged member banks for borrowing December 31, 1970 and June 22, 1971—the date from their district Reserve Banks—into better of the Board’s Order—the companies must apply alignment with short-term rates generally. The to the Board for a determination that such ac­ move also reflected the Board’s concern over the quisition was in the public interest. continuation of substantial cost-push inflation in Applications must be filed with appropriate the economy. Federal Reserve Banks by August 31, 1971, un­ This change returns the rate, which has been less time for filing is extended for good cause. If lowered twice this year, to the level prevailing in the Board denies an application, the company must late January and early February. take action forthwith to divest its unlawful holding. 627 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

628 FEDERAL RESERVE BULLETIN □ JULY 1971 MARGIN REQUIREMENTS FOR OTC STOCKS are subject to its margin regulations as of July 12, 1971. The list supersedes the revised OTC The Board of Governors has published a revised margin stock list that was issued on July 20, 1970. list of 456 over-the-counter (OTC) stocks that (See August 1970 Bulletin, pp. 658-64.) OTC MARGIN STOCKS1 (as of July 12, 1971) Aits, Inc. American Television & Communications $.10 par common Corporation AVM Corporation $.75 par common $1.00 par common American Welding & Manufacturing Com­ Acushnet Company pany, The Common No par common Addison-Wesley Publishing Company, Inc. Anadite, Inc. Class B, no par common Common Advance Ross Corporation Anheuser-Busch, Inc. $.10 par common $1.00 par common Alexander & Alexander, Inc. Anixter Brothers, Inc. No par common $1.00 par common Alexander & Baldwin, Inc. Applebaums’ Food Markets, Inc. $1.00 par common No par common Allegheny Beverage Corporation Arden-Mayfair, Inc. $1.00 par common $1.00 par common Arkansas-Missouri Power Company Allyn and Bacon, Inc. $2.50 par common $.50 par common Arkansas Western Gas Company Alphaneumeric, Inc. $2.50 par common Common Arrow-Hart, Inc. Alpine Geophysical Associates, Inc. $10.00 par common $.10 par common Arvida Corporation Amarex, Inc. $1.00 par common $1.00 par common Associated Coca-Cola Bottling Company, Inc. American Bioculture, Inc. $.50 par common $.02 par common Associated Truck Lines, Inc. American Express Company $3.00 par common $1.66% par common Atlanta Gas Light Company $1.50 convertible preferred $5.00 par common American Financial Corporation Baird-Atomic, Inc. No par common $1.00 par common American Furniture Company, Inc. Bangor Hydro-Electric Company $5.00 par common $1.00 par common American Greetings Corporation Barber-Greene Company $5.00 par common Class A, $1.00 par common Barden Corporation, The American Medicorp, Inc. $1.00 par common $.01 par common Barnes-Hind Pharmaceuticals, Inc. American Nuclear Corporation No par common $.04 par common Bassett Furniture Industries, Inc. $5.00 par common i Stocks appearing on the list have not been approved, Beefland International, Inc. in any way, by the Board and representation by any $1.00 par common person that their appearance on the list indicates approval Betz Laboratories, Inc. by the Board or is based on approval by any government $.10 par common agency is unlawful. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 629 Bibb Manufacturing Company Cogar Corporation $12.50 par common $.60 par common Bio-Dynamics, Inc. Cognitronics Corporation No par common $.20 par common Black Hills Power and Light Company Coldwell, Banker and Company $1.00 par common No par common Booz, Allen & Hamilton, Inc. Commonwealth Telephone Company Common $6.66% par common Brenco, Inc. Computer Communications, Inc. $1.00 par common $1.00 par common Browning Arms Company Computer Usage Company, Inc. Capital Common Brush Beryllium Company, The Comress, Inc. $1.00 par common $.05 par common Buckbee Mears Company Conagra, Inc. $.10 par common $5.00 par common Buckeye International, Inc. Continental Investment Corporation No par common, $5.00 stated value $1.00 par common Burnup & Sims Inc. Contran Corporation $.10 par common Common Butler Manufacturing Company Cornelius Company, The No par common $.20 par common Campbell Taggart, Inc. Cousins Properties Inc. $1.00 par common $1.00 par common Capitol International Airways, Inc. Cross Company, The $1.00 par common $5.00 par common Carolina Caribbean Corporation Crutcher Resources Corporation $.83!/3 par common $1.00 par common Carte Blanche Corporation Dalto Electronics Corporation Class A, $1.00 par common $.50 par common Cascade Natural Gas Corporation Dasa Corporation $1.00 par common $1.00 par common Central Vermont Public Service Data General Corporation Corporation $.01 par common $6.00 par common Data Packaging Corporation Chance, A. B. Company $.10 par common $2.50 par common Dekalb Agresearch, Inc. Chemical Leaman Tank Lines, Inc. Class B, no par common $2.50 par common Delhi International Oil Corporation Chesapeake Instrument Corporation $.10 par common $1.00 par common Deluxe Check Printers, Inc. Chicago Bridge & Iron Company $1.00 par common $6.662/3 par common Detrex Chemical Industries, Inc. Citizens Utilities Company $2.00 par common Series A, $1.00 par common Diamond Crystal Salt Company Series B, $1.00 par common $2.50 par common Clark, J. L. Manufacturing Company Disc Inc. $1.00 par common $1.00 par common Clevepak Corporation Donaldson Company, Inc. Common $5.00 par common Clinton Oil Company Donaldson, Lufkin & Jenrette, Inc. $.03V6 par common $.10 par common Clow Corporation Dow Jones & Company, Inc. $6.25 par common $1.00 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

630 FEDERAL RESERVE BULLETIN □ JULY 1971 Downtowner Corporation, The Gates Lear jet Corporation Common $ 1.00 par common Doyle Dane Bernbach Inc. Gelman Instrument Company $.50 par common $.10 par common Dunkin’ Donuts Inc. General Aircraft Corporation $1.00 par common $1.00 par common Duriron Company, Inc., The General Health Services, Inc. $1.25 par common $1.00 par common Eastern Shopping Centers, Inc. General Medical Corporation $5.00 par common $1.00 par common Eckrich, Peter & Sons, Inc. General United Group, Inc. No par common $.25 par common Economics Laboratory, Inc. Giffen Industries, Inc. Common $1.00 par common El Paso Electric Company Gifford-Hill & Company No par common $2.00 par common Elba Systems Corporation Gilford Instrument Laboratories Inc. No par common No par common Electro-Nucleonics, Inc. Gleason Works $.021/2 par common Common Energy Conversion Devices, Inc. Golden Cycle Corporation, The $.01 par common No par common Energy Resources Corporation Graphic Controls Corporation $1.00 par common $1.00 par common Epsco, Inc. Graphic Sciences, Inc. No par common $.50 par common Equity Oil Company Great Southwest Corporation $1.00 par common Common Erie Technological Products, Inc. Green Mountain Power Corporation $2.50 par common $3.331/6 par common Fabri-Tek Inc. Gyrodyne Company of America, Inc. $.10 par common $1.00 par common Farrington Manufacturing Company Hardee’s Food Systems, Inc. $1.00 par common No par common First Western Financial Corporation Hasbro Industries, Inc. $1.00 par common $.50 par common Flickinger, S. M. Company, Inc. Haven Industries, Inc. $2.50 par common $.01 par common Florida Telephone Corporation Hawthorne Financial Corporation $2.50 par common $1.00 par capital Food Fair Properties, Inc. Heath Tecna Corporation $.01 par common No par common Foster Grant Company, Inc. Herff Jones Company Common No par common Fotomat Corporation Hexcel Corporation No par common $ 1.00 par common Friendly Ice Cream Corporation $1.00 par common Hoover Company, The $2.50 par common Frigitronics, Inc. $.10 par common Horizon Corporation GRT Corporation $.01 par common No par common Hyatt Corporation Garfinckel, Brooks Brothers, Miller & $.50 par common Rhoads Hyster Company $.50 par common $.50 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 631 ISI Corporation Keystone Custodian Funds, Inc. No par common Class A, non voting, no par common Indianapolis Water Company King Resources Company $7.50 par common Common Industrial Nucleonics Knape & Vogt Manufacturing Company No par common $2.00 par common Informatics, Inc. Kuhlman Corporation $.10 par common $1.00 par common Inland Container Corporation Ladd Petroleum Corporation Class A, no par common $.10 par common International Bank (Washington, D. C.) Lance, Inc. Class A, common $2.50 par common International Book Corporation Landa Industries, Inc. $.02 par common $.10 par common International Leisure Corporation Lane Wood, Inc. $1.00 par common No par common International Multifoods Corporation Lehigh Coal and Navigation Company, The $1.00 par common $1.00 par common International Textbook Company (Intext) Leisure Group, Inc., The No par common No par common Interway Corporation Lin Broadcasting Corporation $1.00 par common Common Investment Corporation of Florida Lomas & Nettleton Financial Corporation $.02 par common $2.00 par common Iowa Southern Utilities Company Lowe’s Companies, Inc. $10.00 par common $.50 par common James, Fred S. & Company, Inc. Lynch Communication Systems Inc. $.50 par common $1.00 par common Jamesbury Corporation Madison Gas and Electric Company $ 1.00 par common $8.00 par common Jet Avion Corporation Maine Sugar Industries, Inc. $.10 par common $1.25 par common Joslyn Manufacturing and Supply Company Major Realty Corporation $1.25 par common $.01 par common KDI Corporation Mallinckrodt Chemical Works $.35 par common Class A, nonvoting, $3.33% par common KMS Industries, Inc. Management Assistance Inc. $.01 par common $.10 par common Kaiser Steel Corporation Maui Land & Pineapple Company, Inc. $.66% par common No par common $ 1.46 preferred Medic-Home Enterprises Inc. Kalvar Corporation $.10 par common $.02 par capital Kaman Corporation Medicenters of America, Inc. $ 1.00 par common Class A, $1.00 par common Kearney & Trecker Corporation Medtronic, Inc. $.10 par common $2.00 par common Keene Corporation Midas-International Corporation $.10 par common Class A, $ 1.00 par common Kellwood Company Millipore Corporation Common $.33% par common Kelly Services, Inc. Mogul Corporation, The $1.00 par common No par common Keyes Fibre Company Mohawk Rubber Company $1.00 par common $1.00 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

632 FEDERAL RESERVE BULLETIN □ JULY 1971 Moore, Samuel and Company Pavelle Corporation, The No par common $.10 par common Motor Club of America Companies Pay 'n Save Corporation $.50 par common No par common Murphy Pacific Marine Salvage Company Pennsylvania Gas and Water Company No par common No par common, $10.00 stated value National Liberty Corporation Pettibone Corporation $1.00 par common $10.00 par common National Student Marketing Corporation Philadelphia Suburban Corporation $1.00 par common $1.00 par common New England Gas and Electric Association Photon, Inc. $4.00 par common $1.00 par common New Jersey Natural Gas Company Piedmont Aviation, Inc. $5.00 par common $1.00 par common Nicholson File Company Pizza Hut, Inc. $1.00 par common $.01 par common Nielsen, A. C. Company Pope & Talbot, Inc. Class A, $1.00 par common $2.00 par common Class B, $1.00 par common Popeil Brothers, Inc. North Carolina Natural Gas Corporation No par common $2.50 par common Professional Golf Company North Central Airlines, Inc. $.50 par common $.20 par common Public Service Company of New Mexico Northwest Natural Gas Company $5.00 par common $3.00V6 par common Public Service Company of North Carolina, Northwestern Public Service Company Inc. $7.00 par common $1.00 par common Noxell Corporation Publishers Company, Inc. Class B, nonvoting, $1.00 par common $.40 par common Ocean Drilling & Exploration Company Quality Courts Motels, Inc. $.50 par common $1.00 par common Ohio Art Company, The Ransburg Electro-Coating Corporation $1.00 par common $.15 par common Oil Shale Corporation, The Raychem Corporation $.15 par common No par common Ormont Drug & Chemical Company, Inc. Raygo, Inc. $.10 par common $.05 par common Otter Tail Power Company Recognition Equipment Inc. $5.00 par common $.25 par common Overseas National Airways, Inc. Reid-Provident Laboratories Inc. $1.00 par common $1.00 par common Ozite Corporation Rival Manufacturing Company $1.00 par common Common Pabst Brewing Company Roadway Express, Inc. No par common No par common Pacific Resources, Inc. Roberts Company $6.66% par common $1.00 par common Panoil Company Rouse Company, The $.10 par common $.01 par common Parker Drilling Company Russell Stover Candies, Inc. $1.00 par common $ 1.00 par common Parkview-Gem, Inc. Saga Administrative Corporation $1.00 par common $1.00 par common Pauley Petroleum Inc. Saul, B. F. Real Estate Investment Trust $1.00 par common Shares of Beneficial Interest Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 633 Scientific Control Corporation Taylor Wine Company, Inc., The $.20 par common $2.00 par common Scope Inc. Telecor, Inc. $1.00 par common $.50 par common Scripto, Inc. Television Communications Corporation $.50 par common $1.00 par capital Sea World, Inc. Texas American Oil Corporation $.50 par common $.10 par common Seismic Computing Corporation Texas International Airlines, Inc. $.10 par common $2.00 par common Seven-Up Company, The Texfi Industries, Inc. $1.00 par common $1.00 par common Shakespeare Company Tiffany & Company Common $1.00 par common Shareholders Capital Corporation Titan Group, Inc. $.50 par common $1.00 par common Shop Rite Foods, Inc. Tracor, Inc. $3.33 Vs par common Common Simon & Schuster, Inc. Transcontinental Gas Pipe Line Corporation $.50 par common $.50 par common Smithfield Foods, Inc. Transocean Oil, Inc. $1.00 par common $ 1.00 par common Smith’s Transfer Corporation Trico Products Corporation $2.50 par common No par common Southern Industries Corporation Trinity Industries, Inc. No par common $1.00 par common Southern New England Telephone Company, Tyson Foods, Inc. The Common $25.00 par common United Convalescent Hospitals, Inc. Southland Corporation, The $1.00 par common $.01 par common United Illuminating Company, The Southwest Gas Corporation No par common $1.00 par common United States Banknote Corporation Southwest Gas Producing Company, Inc. $1.00 par common $1.00 par common Warner Electric Brake & Clutch Company Sovereign Industries, Inc. $1.00 par common $.04 par common Washington Natural Gas Company Spang Industries, Inc. $5.00 par common $1.00 par common Water Treatment Corporation Standard Register Company, The Common Common Stirling Homex Corporation Webb Resources, Inc. $.10 par common $.01 par common Subscription Television, Inc. Wellington Management Company Class A, $.10 par common $.01 par capital SUGARDALE FOODS, INC. Werner Continental, Inc. $.50 par common No par common Superior Electric Company, The Western Gear Corporation $1.00 par common $ 1.00 par common TDA Industries, Inc. Western Publishing Company, Inc. Common $1.00 par common, $2.50 stated value Tampax Inc. Westgate-California Corporation $ 1.00 par common Class A, $5.00 par common Tassette, Inc. White Shield Corporation Class A, $.10 par common $.05 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

634 FEDERAL RESERVE BULLETIN □ JULY 1971 Winter Park Telephone Company, The First National Bank in Dallas $2.50 par common $10.00 par common-capital Wisconsin Power and Light Company First National Bank of Maryland, The Common $5.00 par common Woodward & Lothrop Inc. First National Holding Corporation $10.00 par common (Memphis, Tennessee) Yellow Freight System, Inc. $5.00 par common $1.00 par common First Pennsylvania Corporation Younker Brothers, Inc. $1.00 par common No par common First Union National Bancorp, Inc. $5.00 par capital Bank Stocks Franklin New York Corporation Common American Savings & Loan Association Convertible preferred $.33V3 par permanent reserve guarantee stock Girard Company, The American Security and Trust Company $1.00 par common $3.331/3 par capital Harris Trust and Savings Bank Banco Credito y Ahorro Ponceno Capital $5.00 par common Lincoln First Banks, Inc. Bank of Hawaii $10.00 par common $8.00 par common Long Island Trust Company BANKAMERICA CORPORATION $5.00 par common $6.25 par common Manufacturers National Bank of Detroit Barnett Banks of Florida, Inc. $10.00 par common $2.00 par common Maryland National Corporation Baystate Corporation $5.00 par common $7.50 par common Mellon National Bank and Trust Company CP Financial Corporation Common $ 1.00 par common Midlantic Banks, Inc. Citizens and Southern National Bank, The $10.00 par common (Georgia) Monmouth County National Bank, The Class A, $5.00 par common $1.00 par common-capital Cleveland Trust Company, The NCNB Corporation $20.00 par capital $5.00 par common Commercial Trust Company of New Jersey National Bank of Detroit $5.00 par capital $12.50 par common Continental Bank (Pennsylvania) National City Bank of Cleveland, The $10.00 par common $8.00 par common Detroit Bank and Trust Company, The $10.00 par common New England Merchants Company, Inc. $5.00 par common Equimark Corporation $5.00 par common New Jersey National Bank $5.00 par common Fidelity Corporation of Pennsylvania $1.00 par common Northern Trust Company, The $20.00 par capital First & Merchants Corporation (Virginia) $10.00 par common PNB Corporation First Bank System, Inc. $1.00 par common $5.00 par capital Pittsburg National Corporation First City National Bank of Houston $10.00 par common $10.00 par common-capital Provident National Corporation First Empire State Corporation $1.00 par common $5.00 par common Republic National Bank of Dallas First Jersey National Corporation $6.00 par common-capital $5.00 par common Riggs National Bank of Washington, D. C., First Merchants National Bank, Asbury Park The $2.50 par common $10.00 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

ANNOUNCEMENTS 635 Seattle-First National Bank Beneficial Standard Corporation $10.00 par common Class A, $1.00 par common Security National Bank California-Western States Life (Huntington, New York) Insurance Company $5.00 par common $2.50 par common-capital Security Pacific National Bank Capital Holding Corporation $10.00 par common $1.00 par common Shawmut Association, Inc. Chubb Corporation, The $5.00 par common $ 1.00 par common Southeast Banking Corporation Coastal States Life Insurance Company $5.00 par common Common State Street Boston Financial Corporation Colonial Life & Accident Insurance Company $10.00 par common Class B, non-voting, $1.00 par common Trust Company of New Jersey, The Combined Insurance Company of America $2.50 par common $ 1.00 par common United Bancshares of Florida, Inc. Connecticut General Insurance Corporation $1.00 par common $2.50 par common United Banks of Colorado, Inc. Crum & Forster $5.00 par common $2.50 par common United States Trust Company of New York Eastern Life Insurance Company $5.00 par capital of New York United Virginia Bankshares, Inc. $1.00 par common $10.00 par common Empire General Corporation Valley National Bank of Arizona, The $1.00 par common $2.50 par common Empire Life Insurance Company of America Virginia National Bank Class A, $1.00 par common $5.00 par common Family Life Insurance Company Class A, nonvoting, common Farmers New World Life Insurance Company Insurance Stocks $1.00 par common Fidelity Corporation (Virginia) American Bankers Insurance $1.00 par common Company of Florida Fidelity Union Life Insurance Company $2.50 par common $1.00 par common American Bankers Life Assurance Company of Florida First N ational Corporation (Houston, Texas) Class A, $1.00 par common Common Founders Financial Corporation American Family Life Assurance $1.00 par common Company of Columbus $1.00 par common Franklin Life Insurance Company, The $2.00 par common American Fidelity Life Insurance Company $1.00 par common Georgia International Corporation $1.00 par common American Heritage Life Investment Corporation Globe Life and Accident Insurance Company $1.00 par common $1.00 par common American International Group, Inc. Government Employees Insurance Company $5.00 par common $4.00 par common American National Insurance Company Government Employees Life Insurance $ 1.00 par common Company American Re-Insurance Company $1.50 par common $3.00 par capital Great Commonwealth Life Insurance BMA Corporation Company $2.00 par common $1.00 par common Bankers National Life Insurance Company Hamilton International Corporation $2.00 par common Class A, $1.00 par common Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Hanover Insurance Company, The Old Line Life Insurance Company $10.00 par common of America, The Horace Mann Educators Corporation $1.33V& par common Common Pennsylvania Life Company Independent Life & Accident Insurance $.662A par common Company, The Philadelphia Life Insurance Company Nonvoting, common $1.00 par common Integon Corporation Provident Life & Accident Insurance $1.00 par common Company Interfinancial Inc. Common $1.00 par common Provident Life Insurance Company Interstate Corporation, The $2.50 par common $1.00 par common Republic National Life Insurance Company Kentucky Central Life Insurance Company $1.00 par common Class A, nonvoting, $1.00 par common Richmond Corporation Liberty National Life Insurance Company Common $2.00 par common-capital Safeco Corporation Lincoln Consolidated, Inc. $5.00 par common $1.00 par common St. Paul Companies, Inc., The Louisiana and Southern Life $3.00 par common Insurance Company Security Corporation, The $1.00 par common $10.00 par common Midwestern United Life Insurance Company Security Life and Accident Company $1.00 par common Series A, $2.00 par common Mission Equities Corporation Southwestern Life Insurance Company No par common $2.50 par capital Monarch Capital Corporation Unicoa Corporation $1.00 par common $2.50 par common Monumental Corporation United Founders Life Insurance Company $5.00 par common $ 1.00 par common Mutual Savings Life Insurance Company United Life & Accident Insurance Company Common $1.00 par common NLT Corporation United Services Life Insurance Company $5.00 par common $1.00 par common National Life of Florida Corporation Variable Annuity Life Insurance $1.00 par common Company, The National Old Line Insurance Company $1.00 par common Class BB, nonvoting, $1.00 par common Washington National Corporation National Western Life Insurance Company $5.00 par common Class A, common Nationwide Corporation ADMISSION OF STATE BANK TO Class A, $2.50 par common MEMBERSHIP IN FEDERAL RESERVE SYSTEM North American Life and Casualty Company The following bank was admitted to membership $1.00 par common in the Federal Reserve System during the period Northwestern National Life Insurance June 16, 1971, through July 15, 1971: Company $1.25 par common Virginia Ohio Casualty Corporation Colonial Heights . . First Virginia Bank of $.50 par common Colonial Heights. 636 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

National Summary of Business Conditions Released for publication July 14 Industrial production and retail sales rose in April level. Steel output declined in June, but June. The unemployment rate and nonfarm em­ production of most other durable and nondurable ployment declined. The wholesale price index in­ materials rose. creased further. Commercial bank credit, the money supply, and time and savings deposits in­ EMPLOYMENT creased. Between mid-June and mid-July, yields Nonfarm payroll employment declined in June on U.S. Government securities rose and yields by 310,000 with the largest reductions in manu­ on municipal bonds and seasoned corporate se­ facturing and trade. Employment increased some­ curities were about unchanged. what in finance and State and local government. The average workweek of manufacturing produc­ INDUSTRIAL PRODUCTION tion workers rose again by 0.1 hour and at 40.0 Industrial production rose 0.4 per cent further in hours was 0.2 hour above a year earlier. The June and at 167.9 per cent of the 1957-59 average unemployment rate declined in June from 6.2 to was 3.8 per cent below the mid-1969 high. Output 5.6 per cent reflecting in part the smaller-thanof consumer goods and materials continued to usual entry of young persons into the labor force. increase, but production of business equipment declined. RETAIL SALES Auto assemblies were unchanged from May to The value of retail sales in June, according to June and were at an annual rate of 8.5 million the advance report, was 1.5 per cent higher than units. Production schedules for July, after allow­ in May and was up more than 8 per cent from a ance for the model changeover period, indicate year earlier. Durable goods sales rose almost little change from the June rate. Output of televi­ 2 per cent and sales of nondurables increased 1.5 sion sets, furniture, some appliances, and con­ per cent. All major categories of stores reported sumer staples increased further in June. Produc­ higher sales with general merchandise stores show­ tion of industrial and commercial equipment, fol­ ing a large increase. lowing a rise in May, declined in June and over­ all output of business equipment was back to the WHOLESALE AND CONSUMER PRICES Wholesale prices, seasonally adjusted, increased 0.4 per cent between May and June. Increases INDUSTRIAL PRODUCTION 1957-59=100 for lumber and wood products and textiles were especially important in the rise of 0.3 per cent in the industrial component. Prices of farm and food products rose 0.4 per cent. Consumer prices rose 0.6 per cent in May, after seasonal adjustment, in part reflecting higher prices for apparel, homes, and used cars. Higher postal rates also were important and accounted for onefourth of the increase of 0.6 per cent in costs of service. BANK CREDIT, DEPOSITS, AND RESERVES Commercial bank credit, adjusted for transfers of loans between banks and their affiliates, increased $3.9 billion in June, a somewhat slower pace than F.R. indexes, seasonally adjusted. Latest figures: June. 637 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

in May. A large part of the June expansion re­ aged about $290 million over the 5 weeks ending flected increased holdings of U.S. Treasury issues June 30 compared with a $10 million free-reserve associated in part with the late-month Treasury level in May. Member bank borrowings increased note financing. Holdings of other securities also in June while excess reserves remained about un­ increased but at a much slower pace than in other changed. recent months. Total loans increased only slightly following sharp expansion in May. At large com­ SECURITY MARKETS mercial banks, real estate loans showed substantial Yields on Treasury bills rose some 20 to 40 basis growth but business loans rose less than in com­ points on balance between mid-June and midparable weeks of other recent years. July. The 3-month issue was bid at around 5.35 The money stock increased further in June—at per cent in the middle of July, up from about an annual rate of 8.6 per cent, a much less rapid 4.95 per cent a month earlier. Yields on U.S. pace than in May. Over the second quarter, Government notes and bonds advanced about 5 growth was at an annual rate of 11.1 per cent to 25 basis points over the period, with the compared with 8.9 per cent in the first quarter. biggest increases in the short and intermediate Expansion in time and savings deposits was close areas of the market. to the pace earlier in the second quarter but much Yields on new corporate securities fell slightly below the unusually rapid first-quarter expansion. early in the interval and then changed little. Sea­ In June, both inflows of time and savings deposits soned corporate securities rates were relatively other than large negotiable CD’s and sales of unchanged while yields on municipal bonds rose large negotiable CD’s continued close to the May in late June but then declined to mid-June levels. pace. Common stock prices rose moderately with Net borrowed reserves of member banks aver- volume declining from the previous period. PRICES INTEREST RATES Wholesale Consumer 1967=100 PER CENT 120 no 100 90 120 no 90 Bureau of Labor Statistics. “Farm products and foods” is BLS Discount rate, range or level for all F.R. Banks. Weekly “Farm products, and processed foods and feeds.” Latest figures: average market yields for U.S. Govt, bonds maturing in 10 Consumer, May, Wholesale, June. years or more and for 90-day Treasury bills. Latest figures: week ending July 10. 638 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 A 18 Bank reserves; bank credit A 19 Banks and the monetary system A 20 Commercial banks, by classes A 26 Weekly reporting banks A 31 Business loans of banks A 32 Demand deposit ownership A 33 Loan sales by banks A 33 Open market paper A 34 Interest rates A 37 Security markets A 38 Stock market credit A 39 Savings institutions A 41 Federally sponsored credit agencies A 42 Federal finance A 44 U.S. Government securities A 47 Security issues A 50 Business finance A 52 Real estate credit A 56 Consumer credit Continued on next page A 1 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 2 FEDERAL RESERVE BULLETIN ° JULY 1971 U.S. STATISTICS— Continued A 60 Industrial production A 64 Business activity A 64 Construction A 66 Labor force, employment, and earnings A 68 Consumer prices A 68 Wholesale prices A 70 National product and income A 72 Flow of funds INTERNATIONAL STATISTICS: A 74 U.S. balance of payments A 75 Foreign trade A 76 U.S. gold transactions A 77 U.S. reserve assets; position in the IMF A 78 International capital transactions of the United States A 91 Foreign exchange rates A 92 Money rates in foreign countries A 93 Arbitrage on Treasury bills A 94 Gold reserves of central banks and governments A 95 Gold production TABLES PUBLISHED PERIODICALLY: Banking and monetary statistics, 1970: A 96 Consolidated condition statement A 97 Principal assets and liabilities of commercial banks and number, by class of bank Member banks, 1970: Operating ratios: A 100 By size of bank A 104 By Federal Reserve district A 113 INDEX TO STATISTICAL TABLES Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 3 G uide to T abular P resen ta tio n SYMBOLS AND ABBREVIATIONS e Estimated N.S.A. Monthly (or quarterly) figures not adjusted c Corrected for seasonal variation IPC Individuals, partnerships, and corporations P Preliminary SMSA Standard metropolitan statistical area r Revised A Assets rp Revised preliminary L Liabilities I, II, S Sources of funds III, IV Quarters U Uses of funds * Amounts insignificant in terms of the par­ n.e.c. Not elsewhere classified ticular unit (e.g., less than 500,000 when A.R. Annual rate the unit is millions) S.A. Monthly (or quarterly) figures adjusted for (1) Zero, (2) no figure to be expected, or seasonal variation (3) figure delayed GENERAL INFORMATION Minus signs are used to indicate (1) a decrease, (2) include not fully guaranteed issues) as well as direct a negative figure, or (3) an outflow. obligations of the Treasury. “State and local govt.” also includes municipalities, special districts, and other politi­ A heavy vertical rule is used in the following in­ 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 N ote (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 /Mar. 1971 A-71.1—A-71.9 Banks and branches, number, by Flow of funds. \June 1971 A-70—A-71.1 class and State..................................... Apr. 1971 A-94—A-95 Flow of funds: Semiannually Assets and liabilities: 1959-70............................................... Mar. 1971 A-71.10—A-71.21 Ba A nk n i a n ly g s o is f f o ic f e c s: hanges in number___ Feb. 1971 A-96 Flo 1 w 97 s 0 : data (revised)......................... June 1971 A-71.2—A-71.3 On, and not on, Federal Reserve 1966-70............................................... Mar. 1971 A-70—A-71.9 Par List, number............................. Feb. 1971 A-97 1970 selected data (revised)......... June 1971 A-70—A-71.1 Annually Income and expenses: Federal Reserve Banks.........................Feb. 1971 A-94—A-95 Bank holding companies: Insured commercial banks.................June 1971 A-94—A-95 List of, Dec. 31, 1970........................ June 1971 A-l 10 Member banks : Banking offices and deposits of Calendar year.....................................June 1971 A-94—A-103 group banks, Dec. 31, 1969. . . . Aug. 1970 A-95 Income ratios.....................................June 1971 A-104—A-109 Operating ratios..................................July 1971 A-100—A-105 Banking and monetary statistics, 1970......................................................... Mar. 1971 A-94—A-106 Stock exchange firms, detailed debit July 1971 A-96—A-99 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................................................................................. June 1971 A-l 17 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 4 BANK RESERVES AND RELATED ITEMS □ JULY 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 u H n e d l e d r co D a u n i n s d ­ ts Float 2 O F t . h R e . r Total 4 s G to o c ld k c D e R r r t a i i g w fi h c i t n a s t g e re o c n u u c r 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 8 83 2,612 17,518 2,956 1941—Dec.......................... 2,219 2,219 5 170 2,404 22*759 3*239 1945—Dec.......................... 23,708 23,708 381 652 24,744 20,047 4,322 1950—Dec.......................... 20,345 20,336 9 142 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—Jun e 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 62,051 299 328 2,974 1,065 66,797 10,732 400 7,188 Mar.......................... 62,719 62,381 338 319 2,671 896 66,691 10,732 400 7,235 Apr........................... 63,371 63,153 218 148 3,047 1,103 67,747 10,732 400 7,291 May......................... 64,714 64,368 346 330 2,704 1,076 68,926 10,448 400 7,357 June*7....................... 64,642 64,574 68 453 2,670 979 68,814 10,332 400 7,419 Week ending— 1971—Apr. 7..................... 63,268 62,709 559 197 2,718 1,010 67,308 10,732 400 7,268 14..................... 63,114 62,921 193 150 2,958 1,053 67,338 10,732 400 7,284 21..................... 63,526 63,394 132 84 3,259 1,177 68,110 10,732 400 7,296 28..................... 63,476 63,424 52 176 3,252 1,152 68,131 10,732 400 7,309 May 5..................... 64,238 63,808 430 174 2,753 1,186 68,438 10,732 400 7,326 12..................... 64,504 63,981 523 99 2,540 1,297 68,537 10,561 400 7,345 19..................... 64,804 64,452 352 306 2,964 1,109 69,276 10,332 400 7,354 26..................... 64,942 64,764 178 267 2,787 851 68,955 10,332 400 7,372 June 2................... 64,877 64,777 100 646 2,461 923 69,007 10,332 400 7,390 9................... 64,432 64,432 153 2,750 911 68,310 10,332 400 7,404 16?................. 64,385 64,385 403 2,620 959 68,430 10,332 400 7,417 23p................. 64,302 64,117 185 618 2,935 1,007 68,953 10,332 400 7,429 30p................. 65,352 65,295 57 752 2,636 1,047 69,852 10,332 400 7,434 End of month 1971—Apr........................... 63,721 6 63,721 81 2,824 1,169 67,851 10,732 400 7,329 May......................... 64,764 6 64,764 1,051 2,414 927 69,268 10,332 400 7,390 June*3....................... 65,518 6 65,518 446 2,539 1,086 69,651 10,332 400 7,434 Wednesday 1971—Apr. 7..................... 62,216 6 762,216 176 3,731 1,026 67,249 10,732 400 7,274 14..................... 62,904 6 762,904 217 2,759 1,085 67,049 10,732 400 7,290 21..................... 64,015 6 63,394 621 88 3,170 1,164 68,529 10,732 400 7,297 28..................... 64,020 6 63,659 361 718 2,995 1,197 69,018 10,732 400 7,310 May 5................... 65,316 6 64,043 1,273 802 2,856 1,216 70,329 10,732 400 7,331 12................... 64,185 6 63,921 264 28 2,365 1,324 67,960 10,332 400 7,350 19................... 65,148 6 64,530 618 984 2,779 826 69,885 10,332 400 7,360 26................... 64,971 6 64,764 207 1,274 2,520 871 69,738 10,332 400 7,381 June 2p................. 64,959 6 64,809 150 37 2,649 958 68,674 10,332 400 7,396 9p................... 64,613 6 64,613 590 2,347 955 68,567 10,332 400 7,414 16p................. 63,993 6 763,993 261 2,724 984 68,024 10,332 400 7,426 23p................. 64,981 6 64,640 341 631 2,583 1,047 69,368 10,332 400 7,434 30?................. 65,518 6 65,518 446 2,539 1,086 69,651 10,332 400 7,434 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ 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 c i n i n r c ­ y T c u r a e r s a y h s­ with F.R. Banks O F a t . c h R ­ e . r b F i l l . i i R a ti ­ e . s c t u io la n ­ h i o n l g d s ­ T u re r a y s­ F ei o g r n ­ Other 2 counts3 ca a p n it d al3 B F W a .R n it k h . s c r C e a o n n u in c d r y s ­ Total Averages of daily figures 7,609 2,402 616 7-\9 248 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. 54,125 495 1,065 165 801 2.255 22,703 4,864 27,567 .1970—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 24,710 5,170 29,880 ............Feb. 56,123 467 783 139 718 2.227 24,601 5,085 29,686 ...........Mar. 56,716 499 1,047 148 752 2,194 24,814 5,071 29,885 ............Apr. 57,155 506 1,112 173 690 2,244 25,251 5,168 30,419 ............May 57,969 491 652 155 698 2.227 24,773 5,232 30,005 ............June? Week ending— 56,428 489 1,048 148 828 2,281 24,486 5,184 29,670 .1971—Apr. 7 56,971 497 807 162 727 2,208 24,381 5,244 29,625 .......................14 56,880 502 945 141 760 2,112 25,199 4,739 29,938 ......................21 56,610 506 1,338 140 704 2,166 25,108 5,049 30,157 ......................28 56,715 519 1,035 154 714 2,262 25,497 5,283 30,780 .May 5 57,164 507 1,314 167 689 2,299 24,703 5,381 30,084 ..........12 57,266 499 1,248 162 697 2.148 25,344 5,018 30,362 ..........19 57,165 502 1,045 187 677 2,225 25,260 4,986 30,246 ..........26 57,482 506 890 187 703 2,304 25,057 5,219 30,276 . June 2 57,851 494 394 151 695 2,328 24,534 5,352 29,886 ........... 9 58,078 494 9 150 695 2.148 25,005 5,202 30,207 ...........16p 58,005 493 670 155 689 2,169 24,933 5,020 29,953 ...........23 p 58,010 480 1,464 166 693 2,233 24,971 5,371 30,342 ...........30* End of month 56,592 509 1,322 162 730 2,246 24,752 5,283 30,035 .1971—Apr. 57,393 507 805 208 676 2,302 25,499 5,219 30,718 ............May 58,394 466 1,274 199 688 2.256 24,540 5,371 29,911 ............June'" Wednesday 56,864 503 824 163 1,015 2,363 23,922 5,185 29,107 .1971—Apr. 7 57,102 504 772 148 755 2,081 24,108 5,244 29,352 ......................14 56,846 512 1,470 150 715 2,137 25,128 4,739 29,867 ......................21 56,713 508 1,401 133 683 2,195 25,827 5,051 30,878 ......................28 57,008 519 493 148 685 2,313 27,626 5,283 32,909 .May 5 57,382 500 1,112 161 687 2,149 24,051 5,381 29,432 ..........12 57,306 507 1,224 195 646 2.197 25,902 5,018 30,920 ..........19 57,373 505 887 156 671 2,241 26,017 4,984 31,001 ..........26 57,811 507 869 140 751 2,326 24,398 5,207 29,605 .June 2 p 58,121 498 7 194 668 2,345 24,880 5,341 30,221 .......... 9 p 58,183 501 7 179 704 2,125 24,483 5,202 29,685 ..........16 p 58,050 493 719 181 701 2.197 25,193 5,020 30,213 ...........23 p 58,394 466 1,274 199 688 2,256 24,540 5,371 29,911 ..........30 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 □ JULY 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 e t ld al qu R ir e e ­ d 1 Excess B r F i a o n a . n R w g t k s . ­ s s F e r r r v e e ­ e e s T h o e t ld al qu R ir e e ­ d 1 Excess B r F i a n o a . n g R w t k s . ­ s se F r r r v e e e ­ e s T h o e t l a d l qu R ir e e ­ d 1 Excess B r F i a n o a . n R g w t k s . ­ s s F e r r r v e 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—Dec................ 20,746 20,210 536 327 209 3,951 3,895 56 37 19 1,056 1,051 5 26 -21 1964—Dec................ 21,609 21,198 411 243 168 4,083 4,062 21 35 -14 1,083 1,086 -3 28 -31 1965—Dec................ 22,719 22,267 452 454 -2 4,301 4,260 41 111 -70 1,143 1,128 15 23 -8 1967—Dec................ 25,260 24,915 345 238 107 5,052 5,034 18 40 -22 1,225 1,217 8 13 -5 1968—Dec................ 27,221 26,766 455 765 -310 5,157 5,057 100 230 -130 1,199 1,184 15 85 -70 1969—Dec................ 28,031 27,774 257 1,086 -829 5,441 5,385 56 259 -203 1,285 1,267 18 27 -9 1970—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—Jan................. 30,488 30,209 279 370 -91 5,976 5,917 59 40 19 1,387 1,392 -5 1 -6 Feb................ 29,880 29,679 201 328 -127 5,854 5,810 44 29 15 1,403 1,380 23 4 19 Mar............... 29,686 29,487 199 319 -120 5,664 5,703 -39 51 -90 1,375 1,384 -9 16 -25 Apr................ 29,885 29,745 140 148 -8 5,690 5,696 -6 15 -21 1,392 1,385 7 4 3 May.............. 30,419 30,107 312 330 -18 5,837 5,791 46 113 -67 1,436 1,421 15 13 2 June p........... 30,005 29,893 112 453 -341 5,639 5,674 -35 90 -125 1,387 1,405 -18 21 -39 Week ending— 1970—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 Dec. 2----- 28,875 28,458 417 455 -38 5,540 5,391 149 89 60 1,277 1,270 7 18 -11 9___ 28,718 28,582 136 290 -154 5,387 5,438 -51 -51 1,312 1,303 9 9 16.... 29,038 28,918 120 399 -279 5,671 5,634 37 59 -22 1,302 1,327 -25 18 -43 23.... 29,298 29,088 210 325 -115 5,574 5,602 -28 39 -67 1,341 1,330 11 11 30___ 29,843 29,409 434 270 164 5,843 5,693 150 150 1,362 1,332 30 30 1971—Jan. 6.... 30,611 30,035 576 407 169 6,064 5,902 162 71 91 1,396 1,411 -15 -15 13___ 30,242 30,210 32 277 -245 5,850 5,910 -60 -60 1,402 1,384 18 18 20.... 31,029 30,937 92 472 -380 6,165 6,198 -33 92 -125 1,424 1,464 -40 5 -45 27___ 30,172 29,890 282 354 -72 5,752 5,760 -8 26 -34 1,373 1,335 38 38 Feb. 3. . .. 29,959 29,722 237 283 -46 5,775 5,742 33 33 1,331 1,346 -15 -15 10___ 29,760 29,555 205 247 -42 5,685 5,755 -70 -70 1,379 1,367 12 12 17.... 30,202 29,905 297 561 -264 6,118 6,043 75 117 -42 1,367 1,388 -21 18 -39 24___ 29,916 29,599 317 250 67 5,770 5,732 38 38 1,417 1,386 31 31 Mar. 3___ 29,542 29,372 170 258 -88 5,583 5,568 15 15 1,387 1,402 -15 — 15 10.... 29,404 29,322 82 421 -339 5,595 5,657 -62 120 -182 1,355 1,367 -12 44 -56 17.... 29,955 29,690 265 290 -25 5,853 5,830 23 46 -23 1,447 1,419 28 28 24.... 29,482 29,414 68 333 -265 5,664 5,669 -5 59 -64 1,354 1,365 -11 14 -25 31___ 29,940 29,564 376 257 119 5,847 5,714 133 133 1,390 1,379 11 14 -3 Apr. 7___ 29,670 29,393 277 197 80 5,569 5,631 -62 -62 1,367 1,351 16 16 14.... 29,625 29,417 208 150 58 5,748 5,652 96 17 79 1,346 1,367 -21 -21 21___ 29,938 29,857 81 84 -3 5,728 5,784 -56 -56 1,381 1,384 -3 -3 28.... 30,157 30,109 48 176 -128 5,625 5,682 -57 46 -103 1,430 1,418 12 18 -6 May 5 .. .. 30,780 30,415 365 174 191 5,907 5,817 90 46 44 1,440 1,449 -9 -9 12.... 30,084 29,854 230 99 131 5,657 5,716 -59 39 -98 1,424 1,393 31 31 19.... 30,362 30,260 102 306 -204 5,986 5,967 19 143 -124 1,426 1,455 -29 41 -70 26.... 30,246 30,072 174 267 -93 5,768 5,781 -13 100 -113 1,435 1,416 19 18 1 June 2.. .. 30,276 29,991 285 646 -361 5,693 5,638 55 171 -116 1,387 1,396 -9 -9 9.. .. 29,886 29,813 73 153 -80 5,648 5,680 -32 46 -78 1,414 1,413 1 1 16 v.. 30,207 29,969 238 403 -165 5,729 5,729 129 -129 1,465 1,467 -2 -2 23 p . . 29,953 29,695 258 618 -360 5,640 5,607 33 103 -70 1,339 1,351 -12 77 -89 30 p. . 30,342 30,056 286 752 -466 5,666 5,688 -22 107 -129 1,403 1,394 9 11 -2 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 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 ld al Required1 Excess Banks T h o e t ld 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. 10,849 10,847 2 489 -487 10,267 10,122 145 267 -122 ..............................1970—June 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. 11,647 11,712 -65 268 -333 10,976 10,777 199 27 172 ...........................................Feb. 11,732 11,651 81 236 -155 10,915 10,749 166 16 150 11,754 11,789 -35 119 -154 11,049 10,875 174 10 164 11,923 11,832 91 136 -45 11,223 11,063 160 68 92 11,724 11,734 -10 181 -191 11,254 11,080 174 161 13 Week ending— 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 10,712 10,789 -77 561 -638 10,253 10,141 112 229 -117 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 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 11,733 11,753 -20 380 -400 10,984 10,721 263 46 217 . .. .........................................17 11,744 11,673 71 228 -157 10,985 10,808 177 22 155 ...............................................24 11,633 11,655 -22 242 -264 10,939 10,747 192 16 176 ....................................Mar. 3 11,537 11,572 -35 244 -279 10,917 10,726 191 13 178 11,774 11,724 50 231 -181 10,881 10,717 164 13 151 11,567 11,613 -46 245 -291 10,897 10,767 130 15 115 ...............................................24 11,752 11,694 58 221 -163 10,951 10,777 174 22 152 ...............................................31 11,758 11,634 124 184 -60 10,976 10,777 199 13 186 ....................................Apr. 7 11,622 11,702 -80 127 -207 10,909 10,696 213 6 207 ...............................................14 11,807 11,826 -19 80 -99 11,022 10,863 159 4 155 ...............................................21 11,910 11,955 -45 98 -143 11,192 11,054 138 14 124 12,044 11,939 105 101 4 11,389 11,210 179 27 152 11,826 11,752 74 42 32 11,177 10,993 184 18 166 ...............................................12 11,805 11,871 -66 71 -137 11,145 10,967 178 51 127 11,820 11,780 40 93 -53 11,223 11,095 128 56 72 11,891 11,857 34 317 -283 11,305 11,100 205 158 47 11,693 11,753 -60 52 -112 11,131 10,967 164 55 109 ............................................... 9 11,821 11,759 62 113 -51 11,192 11,014 178 161 17 ...............................................\6V 11,744 11,628 116 285 -169 11,230 11,109 121 153 -32 ...............................................23^ 11,876 11,761 115 325 -210 11,397 11,213 184 309 -125 ...............................................30p 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 □ JULY 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 ss 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 u n N a d a n t n n e e e d s r t r 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 s a r e u o v r c 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 i o - o n t w n a s s a l ­ y 2 b c b o u P h a f y a u n n i s r k n e e ­ s g t s s b o S e a f l a n l l n i e k n e s s g t d L ea o t l o a e n r s s3 de f r B i a r o n o l o w g e m r s r ­ ­ s4 lo N a e n t s Total—46 banks 1971—May 5. 134 85 5,310 -5,261 40.3 9,082 3,772 3,331 5,752 442 1,642 295 1,347 12. 136 59 7,285 -7,209 56.1 11,371 4,086 3,234 8,137 852 1,360 504 856 19. -14 182 7,267 -7,463 56.3 11,515 4,249 3,316 8.199 933 1,401 477 924 26. 51 126 5,661 -5,737 44.3 9,406 3,745 2,850 6,556 895 1,264 284 980 J une 2. 121 328 5,814 -6,021 46.8 9,881 4,067 3,682 6.199 385 1,390 267 1,123 9. -16 74 6,686 -6,775 52.7 11,059 4,373 3,890 7,169 483 1,530 304 1,226 16. 31 104 6,428 -6,501 50.2 10,581 4,152 3,881 6,699 271 1,339 356 984 23. 123 264 6,134 -6,275 49.6 9,898 3,764 3,380 6,519 385 1,154 533 621 30. 82 239 4,907 -5,065 39.5 8,814 3,907 3,495 5,320 412 1,207 472 735 8 in New York City 1971—May 5. 53 46 2,248 -2,240 42.4 3,014 767 767 2,248 1,157 155 1,002 12. 39 3,747 -3,786 73.0 4,335 588 588 3,747 977 225 751 19. 21 134 4,408 -4,522 83.1 4,962 554 554 4,408 986 160 826 26. 3 92 3,080 -3,168 60.3 3,601 522 522 3,080 879 141 737 June 2. 54 171 2,734 -2,852 55.6 3,657 923 923 2,734 952 165 787 9. 14 46 2,869 -2,902 56.2 3,821 952 911 2.910 41 1,071 156 915 16. 12 86 2,849 -2,923 56.1 3,799 950 934 2,865 16 988 173 815 23. 60 103 2,459 -2,503 49.0 3,316 857 803 2,513 54 788 204 585 30. 21 107 1,889 -1,976 38.1 2,793 904 883 1.910 21 893 185 708 38 outside New York City 1971—May 5. 81 40 3,062 -3,021 38.8 6,068 3,006 2,564 3,504 442 485 140 345 12. 135 20 3,538 -3,423 44.7 7,036 3,498 2,645 4,390 852 383 279 105 19. -34 47 2,859 -2,940 37.7 6,553 3,694 2,762 3,791 933 415 316 98 26. 48 35 2,581 -2,569 33.4 5,804 3,223 2,328 3,476 895 385 143 243 June 2. 67 157 3,080 -3,170 41.0 6,224 3,144 2,759 3,465 385 438 102 336 9. -30 27 3,817 -3,874 50.3 7,238 3,421 2,979 4,259 442 459 148 311 16. 20 19 3,580 -3,578 46.2 6,782 3,202 2,947 3,835 255 351 183 169 23. 64 161 3,675 -3,772 49.9 6,582 2,907 2,577 4,006 331 366 330 36 30. 61 132 3,018 -3,089 40.4 6,021 3,004 2,612 3,409 391 314 287 27 5 in City of Chicago 1971—May 5. -1 1,156 -1,156 87.6 1,632 476 431 1,201 c45 65 65 12. 24 1,491 -1,467 115.7 2,005 514 450 1,556 65 32 32 19. -7 1,337 -1,385 104.3 1.916 580 523 1,393 57 48 48 26. 12 1,154 -1,160 89.9 1,681 527 480 1,201 47 45 45 June 2.. 10 1,216 -1,206 95.0 1,824 609 546 1,278 63 32 32 9.. -5 1,412 -1,417 110.0 2,076 664 616 1,460 48 97 97 16.. 6 1,284 -1,278 95.2 2,014 729 663 1,351 67 60 60 23.. -7 1,334 -1,418 115.2 1.917 583 551 1,366 32 74 74 30.. 2 1,139 -1,148 90.4 1,673 534 485 1,188 49 100 100 33 others 1971—May 5. . 82 40 1,907 -1,865 28.9 4,436 2,529 2,133 2,303 397 421 140 280 12. . 112 20 2,047 -1,956 30.6 5,030 2,983 2,196 2,835 788 352 279 73 19. . -27 6 1,522 -1,555 24.0 4,637 3,115 2,239 2,398 876 367 316 51 26.. 36 17 1,428 -1,409 22.0 4,123 2,696 1,848 2,275 847 340 143 198 June 2. 57 157 1,864 -1,964 30.4 4,400 2,535 2,213 2,187 323 406 102 304 9. -25 27 2,405 -2,457 38.3 5,162 2,758 2,364 2,799 394 362 148 214 16. 14 19 2,295 -2,300 36.0 4,768 2,473 2,284 2,484 189 291 183 109 23. 70 84 2,341 -2,355 37.2 4,666 2,324 2,026 2,640 299 292 330 -38 30. 59 122 1,879 -1,941 30.4 4,348 2,470 2,127 2,221 342 214 287 -73 1 Based upon reserve balances, including all adjustments applicable to banks, repurchase agreements (purchases of securities from dealers the reporting period. Prior to Sept. 25,1968, carryover reserve deficiencies, subject to resale), or other lending arrangements. if any, were deducted. Excess reserves for later periods are net of all carry­ 4 Federal funds borrowed, net funds acquired from each dealer by over reserves. clearing banks, reverse repurchase agreements (sales of securities to 2 Derived from averages for individual banks for entire week. Figure dealers subject to repurchase), resale agreements, and borrowings secured for each bank indicates extent to which the bank’s weekly average pur­ by Govt, or other issues. chases and sales are offsetting. Note.—Weekly averages of daily figures. For description of series 3 Federal funds loaned, net funds supplied to each dealer by clearing and back data, see Aug. 1964 Bulletin, pp. 944-74. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 a 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 J R u a 1 n 9 t e e 7 1 3 o 0 n , Ef d fe a c t t e ive Pre ra v t i e ous J R u a 1 n 9 t e e 7 1 3 o 0 n , Ef d fe a c t t e ive Pre ra v t i e ous J R u a 1 n t 9 e e 7 1 3 o 0 n , Ef d fe a c t t e ive Pre r v at i e ous Boston........... 4 Va Feb. 13, 1971 5j/4 Feb. 13, 1971 5% 6V4 Feb. 13, 1971 New York.... 43/4 Feb. 19,1971 51/4 Feb. 19,1971 5Vi 6% Feb. 19, 1971 Philadelphia.. 43/4 Feb. 13, 1971 5»/4 Feb. 13,1971 5 % 6Va Feb. 13, 1971 Cleveland 4% Feb. 13, 1971 51/4 Feb. 13, 1971 5Vi 6V4 Feb. 13, 1971 Richmond.... 4% Feb. 13, 1971 51/4 Feb. 13,1971 5% 6% Feb. 26, 1971 Atlanta.......... 4% Feb. 13, 1971 51/4 Feb. 13,1971 5V4 6% Feb. 13, 1971 Chicago.......... 4Ya Feb. 13 1971 51/4 Feb. 13, 1971 5 Vi 6V4 Feb. 13, 1971 St. Louis........ 4Va Feb. 13, 1971 51/4 Feb. 13, 1971 5% 6Va Feb. 13, 1971 Minneapolis.. Feb. 13, 1971 51/4 Feb. 13, 1971 5% 6% Feb. 13, 1971 Kansas City.. 4Va Feb. 13, 1971 5% Feb. 13, 1971 5% 6% Feb. 13, 1971 Dallas............ 4% Feb. 13, 1971 51/4 Feb. 13, 1971 51/2 6Va Feb. 13, 1971 San Francisco 4% Feb. 13,1971 5% Feb. 13, 1971 5i/i 6V4 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 Vi Vi 1957—Aug. 9. 3 -31/2 3 1965—Dec. 6.................... 4 -4Vi 41/2 23. 3 Vi 31/2 13.................... 41/2 41/i 1946—Apr. 25. t Vi-1 1 Nov. 15. 3 -3Vi 3 May 10. 1 1 Dec. 2. 3 3 1967—Apr. 7.................... 4 -4 Vi 4 14.................... 4 4 1948—Jan. 12. 1 -H4 IV4 1958—Jan. 22. 234-3 3 Nov. 20.................... 4 -4Vi 41/2 19. 1V4 1V4 24. 234-3 23/4 27.................... 4Vi 4Vi Aug. 13. n/4-iVi IVi Mar. 7. 214-3 21/4 23. IVi IVi 2 1 1 3 . . 21/ 2 4 1 - 4 234 2 21 1 / 4 4 1968—Mar. 2 1 2 5. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4V 5 i-5 4 5 14 1950—Aug. 21. 1 Vi-134 134 Apr. 18. 134-2V4 134 Apr. 19................... 5 -51/2 5 Vi 25. 134 134 M Au a g y . 1 9 5 . . , 1 3 1 4 3 - / 2 4 1 1 3 3 / 4 4 Aug. 2 1 6 6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 i/ 5 i- ^ 5 Vi 5 5 1 V /2 i 1953—Jan. 16. l34-2 2 Sept. 12. 134-2 2 30.................... 514 51/4 23. 2 2 23. 2 2 Dec. 18................... 51/4-514 5 Vi Oct. 24. 2 -2 Vi 2 20.................... 51/2 5 Vi 1954—Feb. 1 5 5 . . 13 1 4 3 - 4 2 1 1 3 3 4 4 Nov. 7. 21/2 21/2 1969—Apr. 4.................... 5i/2-6 6 Apr. 14. 1 Vi-134 134 1959—Mar. 6. 21/2-3 3 8.................... 6 6 May 2 1 1 6 . . 1 Vi-134 I I V Vi i May 2 1 9 6 . . 3 3 -31/2 3 31/2 1970—Nov. 1 1 3 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5 } % 4 - - 6 6 5 6 34 1955—Apr. 14. 1 vi-134 IVi J S u e n p e t. 1 1 1 2 . . 31/ 3 2 1 - / 4 i 4 3Vi 16.................... 5*A 534 S N A M e o u p a v g y t . . . 1 1 1 1 9 2 4 5 5 8 3 2 . . . . . . . . . , , . . . . 2 2 2 1 1 1 1 3 3 v 2 4 4 4 1 i - 1 - - - - 3 - 2 2 2 1 2 4 2 4 1 1 3 1 1 V 4 4 4 4 4 i 2 2 2 2 2 1 1 1 V 1 V 3 3 3 4 4 4 4 4 i 1960— S J A u e u n p g e t . . 1 1 1 1 9 4 2 0 3 8 . . . . . . . 3 3 3 1 1 / 3 3 4 4 2 1 - - - / 3 2 4 4 Vi 4 3 3 3 4 3 1 V /2 i 1971—J D a e n c . . 2 1 1 1 8 2 9 4 5 1 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 5 5 5 5 V V V 5 5 i 4 i 1 - - 1 - - - 5 5 / 5 5 4 5 2 1 3 1 % 3 / / / 4 4 2 4 5 5 5 5 5 5 5 1 1 V 1 3 V / / / 4 4 4 4 2 i 23.. 2Vi 2Vi 1963—July 17. 3 -31/2 3Vi 29.................... 5 5 1956--Apr. 13. 2 Vi-3 234 26. 3% 31/2 Feb. 13................... 43/4-5 5 20. 234-3 234 19................... 434 434 Aug. 24. 234-3 3 1964—Nov. 24. 31/2-4 4 31. 3 3 30. 4 4 In effect June 30, 1971........ 4 M 4 H t Preferential rate of Vi of 1 per cent for advances secured by U.S. Aug. 4, 1.85; Sept. 1-2, 2.10; Sept. 8, 2.15; Nov. 10, 2.375; 1956—Aug. Govt, obligations maturing in 1 year or less. The rate of 1 per cent was 24-29, 2.75; 1957—Aug. 22, 3.50; 1960—Oct. 31-Nov. 17, Dec. 28-29, continued for discounts of eligible paper and advances secured by such 2.75; 1961—Jan. 9, Feb. 6-7, 2.75; Apr. 3-4, 2.50; June 29, 2.75; July paper or by U.S. Govt, obligations with maturities beyond 1 year. 20, 31, Aug. 1-3, 2.50; Sept. 28-29, 2.75; Oct. 5, 2.50; Oct. 23, Nov. 3, 2.75; 1962—Mar. 20-21, 2.75; 1964—Dec. 10, 3.85; Dec. 15, 17, 22, 24, Note.—Rates under Secs. 13 and 13a (as described in table and notes 28, 30, 31, 3.875; 1965—Jan. 4-8, 3.875; 1968—Apr. 4, 5,11,15,16, 5.125; above). For data before 1946, see Banking and Monetary Statistics, 1943, Apr. 30, 5.75; May 1-3, 6, 9, 13-16, 5.75; June 7, 11-13, 19, 21, 24, 5.75; pp. 439-42 and Supplement to Section 12, p. 3. July 5, 16, 5.625; Aug. 16, 19, 5.25; 1971—Jan. 21,27, 4.75; Feb. 1-2, The rate charged by the F.R. Bank of N.Y. on repurchase contracts 4.50; 4, 11, 4.25; 16-17, 4.00; 18-19, 3.75. Mar. 1-2, 10, 12, 15-18, 24, against U.S. Govt, obligations was the same as its discount rate except 29-31, 3.75. Apr. 1-2,5-6 3.75; 13, 15,21,28,4.125. May 3-6, 17,4.125, in the following periods (rates in percentages): 1955—May 4-6, 1.65; 18-20, 4.375, 26-27, 4.50; June 1, 4.50. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 10 RESERVE AND MARGIN REQUIREMENTS □ JULY 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 * C re e c s n i e t t r y r v a e l s c R e i r t e v y ­ e C ba t o r n u y k n s ­ c b l a a ( o n a s l f k s l e s s ) Effective date i Un c d it e y r ban O k v s er Unde b r a nks Over d S e in i p a t g s v o s ­ s­ U ti n m d e e r d ep O os v i e ts r banks banks $5 mil­ $5 mil­ $5 mil­ $5 mil­ $5 mil­ $5 mil­ lion lion lion lion lion lion In effect Dec. 31, 1949. 22 18 12 1966—July 14,21. i I6I/2 6 12 64 64 Sept. 8, 15. 1951-—Jan. 11, 16......... 23 19 13 Jan. 25, Feb. 1 24 20 14 1967—Mar. 2. 31/2 31/2 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.... I6I/2 17 12 121/2 1958—Feb. 27, Mar. 1 191/2 171/2 11% Mar. 20, Apr. 1 19 17 11 1969—Apr. 17............. 17 171/2 121/2 13 Apr. 17................ 18i/2 Apr. 24................ 18 I6I/2 1970—Oct. 1.................. 1960—Sept. 1................ 171/2 Nov. 24................ 12 In effect June 30,1971. 17 171/2 121/2 Dec. 1................ I6I/2 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. 1960, 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. o 20 percent. Regulation D imposes a similar reserve requirement on bor­ MARGIN REQUIREMENTS (Per cent of market value) Period For credit extended under Regulations T (brokers and dealers), U (banks), and G (others than brokers, dealers, or banks) On margin stocks On convertible bonds Beginning Ending On short sales date date (T) 1937--Nov. 1 1945—Feb. 4 40 50 1945--Feb. 5 July 4 50 50 July 5 1946—Jan. 20 75 75 1946--Jan. 21 1947—Jan. 31 100 100 1947--Feb. 1 1949—Mar. 29 75 75 1949--Mar. 30 1951—Jan. 16 50 50 1951--Jan. 17 1953—Feb. 19 75 75 1953--Feb. 20 1955—Jan. 3 50 50 1955--Jan. 4 Apr. 22 60 60 Apr. 23 Jan. 15 70 70 1958--Jan. 16 1958—Aug. 4 50 50 Aug. 5 Oct. 15 70 70 Oct. 16 1960—July 27 90 90 1960—July 28 1962—July 9 70 70 1962--July 10 1963—Nov. 5 50 50 1963-—Nov. 6 1968—Mar. 10 70 70 1968-—Mar. 11 June 7 70 50 70 June 8 1970—May 5 80 60 80 Effective May 6, 1970. 65 50 65 Note.—Regulations G, T, and U, prescribed in accordance with the Securities Exchange Act of 1934, limit the amount of credit to purchase and carry margin stocks that may be extended on securities as collateral by prescribing a maximum loan value, which is a specified percentage of the market value of the collateral at the time the credit is extended; margin requirements are the difference between the market value (100 per cent) and the maximum loan value. The term margin stocks is defined in the corresponding regulation. Regulation G and special margin requirements for bonds convertible into stocks were adopted by the Board of Governors effective Mar. 11, 1968. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 o 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............... Wi 12 months or more. . 4 4 Other time deposits:2 Less than 12 months. 3 Vi Multiple maturity:3 30-89 days............. 4 4»/2 90 days-1 year... 5 1 year to 2 years., 5 5% 2 years and over.. SVa 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.. 51/2 51/2 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 t . h . s . 2 31 % /2 41/2 51/2 $1 2 0 0 y , e 0 a 0 r 0 s a a n n d d o o v v e e r r: . . 5V4 Less than 90 days.......... 1 4 30-59 days............ 5V4 (4) (30-89 days) 60-89 days............ 5V4 (4) 90-179 days.......... 5Vi 5Vi 6 6V4 180 days to 1 year. 7 1 year or more. .. Wa 71/2 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 6l/\ commercial banks, as established by the FDIC, have been the same as per cent on maturities of 30-59 days and 6Vi 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 All Country All Country Item member New City banks Item member New City banks banks York of Other banks York of Other City Chicago City Chicago Four weeks ending Apr. 21, 1971 Four weeks ending May 19, 1971 Gross demand—Total... 189,181 43,233 7,969 66,984 70,996 Gross demand—Total___ 190,834 44,641 8,002 66,850 71,341 Interbank......................... 25,728 11,671 1,502 9,657 2,899 Interbank......................... 25,903 12,351 1,418 9,303 2,831 U.S. Govt........................ 3,911 736 284 1,462 1,429 U.S. Govt......................... 6,770 1,310 416 2,764 2,279 Other................................ 159,542 30,825 6,184 55,866 66,668 158,161 30,980 6,168 54,783 66,231 Net demand 1.................... 142,802 26,762 6,283 50,731 59,026 Net demand 1...................... 143,164 26,932 6,318 50,505 59,409 Time...................................... 193,497 23,003 6,835 71,119 92,540 194,812 23,310 6,931 71,262 93,309 Demand balances due Demand balances due from dom. banks.......... 11,043 1,116 166 2,791 6,970 from dom. banks........... 10,820 1,110 174 2,742 6,793 Currency and coin............ 5,073 446 96 1,586 2,944 Currency and coin............. 5,183 429 102 1,638 3,014 Balances with F.R. Balances with F.R. Banks................................ 24,721 5,277 1,275 10,149 8,020 25,163 5,365 1,328 10,258 8,212 Total reserves held........... 29,794 5,723 1,371 11,735 10,964 Total reserves held............. 30,346 5,794 1,430 11,896 11,226 Required....................... 29,558 5,695 1,370 11,714 10,778 30,160 5,796 1,429 11,879 11,056 236 28 1 21 186 186 -2 1 17 170 1 Demand deposits subject to reserve requirements are gross demand Note.—Averages of daily figures. Balances with F.R. Banks are as deposits minus cash items in process of collection and demand balances of close of business; all other items (excluding total reserves held and due from domestic banks. excess reserves) are as of opening of business. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 12 FEDERAL RESERVE BANKS □ JULY 1971 CONSOLIDATED STATEMENT OF CONDITION OF ALL FEDERAL RESERVE BANKS (In millions of dollars) Wednesday End of month Item 1971 1971 1970 June 30 June 23 June 16 June 9 June 2 June 30 May 31 June 30 Assets 10,0 4 7 0 5 0 10,0 4 7 0 5 0 10,0 4 7 0 5 0 10,0 4 7 0 5 0 10,0 4 7 0 5 0 10,0 4 7 0 5 0 10,0 4 7 0 5 0 11 11, 4A U Uf 4 UU j 1 283 288 274 272 270 283 ZOBoZ'} Z O f l o Q Discounts and advances: 446 631 261 590 37 *MO I ,Uj1 330 90 Acceptances: 62 62 62 oz oz OZ 64 32 Held under repurchase agreements........................... 64 9 48 Federal agency obligations—Held under repurchase 53 48 U.S. Govt, securities: Bought outright: Bills......................................................................... 27,929 27,113 26,117 26,504 27,282 27,929 Z0 1/ ,ZI'Jll/ 22,407 349 582 Other................................................. 34,354 34,307 34,307 34,307 34,307 34 354 34,307 32,420 3,235 3,220 3,220 3,220 3,220 3*235 3,220 Z,oo / i 65,518 i 64,640 i 263,993 i 64,613 i 64,809 i 65,518 1 04,/04 57,714 288 102 65,518 64,928 63,993 64,613 64,911 65,518 64,764 57,714 66,026 65,738 64,316 65,265 65,067 66,026 65,927 58 166 Cash items in process of collection.............................. 10,735 10,684 12,189 9,945 10,978 10,735 9,193 9^555 Bank premises................................................................ 141 143 143 141 139 141 139 119 Other assets: Denominated in foreign currencies........................... 96 96 94 94 94 96 94 690 IMF gold deposited 3................................................ 148 148 148 148 148 148 148 210 All other..................................................................... 701 660 599 572 576 701 546 537 Total assets..................................................................... 88,605 88,232 88,238 86,912 87,747 88,605 oO,oUH 80,940 Liabilities F.R. notes....................................................................... 51,452 51,140 51,275 51,220 50,911 51,452 50,535 47,702 Deposits: Member bank reserves............................................... 24,540 25,193 24,483 24,880 24,398 24,540 25,499 21,991 U.S. Treasurer—General account............................. 1,274 719 7 7 869 1,274 805 1,005 Foreign....................................................................... 199 181 179 194 140 199 208 168 Other: IMF gold deposit 3................................................ 148 148 148 148 148 148 148 210 All other................................................................. 540 553 556 520 603 540 528 596 Total deposits................................................................. 26,701 26,794 25,373 25,749 26,158 26,701 27,188 23,970 Deferred availability cash items.................................... 8,196 8,101 9,465 7,598 8,356 8,196 6,779 6,993 Other liabilities and accrued dividends........................ 546 548 537 550 562 546 558 609 Total liabilities............................................................... 86,895 86,583 86,650 85,117 85,987 86,895 85,060 79,274 Capital accounts Capital paid in............................................................... 729 727 724 725 724 729 724 685 Surplus............................................................................ 702 702 702 702 702 702 702 669 Other capital accounts................................................... 279 220 162 368 334 279 318 312 Total liabilities and capital accounts........................... 88,605 88,232 88,238 86,912 87,747 88,605 86,804 80,940 Contingent liability on acceptances purchased for foreign correspondents.............................................. 230 230 240 241 250 230 253 232 Marketable U.S. Govt, securities held in custody for foreign and international accounts4......................... 17,980 19,380 20,154 20,043 19,661 17,980 19,382 10,888 Federal Reserve Notes—'Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to Bank)..................... 54,495 54,324 54,225 54,044 53,862 54,495 53,802 50,430 Collateral held against notes outstanding: Gold certificate account............................................ 3,170 3,170 3,250 3,250 3,250 3,170 3,250 3,322 U.S. Govt, securities.................................................. 52,945 52,885 52,675 52,225 52,225 52,945 52,025 48,330 Total collateral............................................................... 56,115 56,055 55,925 55,475 55,475 56,115 55,275 51,672 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

JULY 1971 □ FEDERAL RESERVE BANKS A 13 STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON JUNE 30, 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 i a t n s y ­ Dallas F c S i r s a a c n n o ­ Assets Gold certificate account...................... 10,075 769 1,865 499 800 1,023 490 1,476 423 199 407 131 1,993 Special Drawing Rights certif. acct.. .. 400 23 93 23 33 36 22 70 15 7 15 14 49 F.R. notes of other banks................... 776 82 187 40 46 55 184 29 15 19 31 19 69 283 10 22 9 27 37 36 36 17 8 26 19 36 Discounts and advances: Secured by U.S. Govt, securities.... 253 ■25 48 21 5 14 20 88 3 3 4 18 4 193 1 50 33 101 1 7 Acceptances: 62 62 Federal agency obligations—Held U.S. Govt, securities: Bought outright............................... 165,518 3,025 17,122 3,473 4,944 4,725 3,275 10,766 2,395 1,276 2,530 3,048 8,939 66,026 3,051 17,282 3,494 4,949 4,739 3,328 10,955 2,398 1,279 2,535 3,073 8,943 Cash items in process of collection... 13,849 777 2,357 792 1,033 1,019 1,346 2,291 706 523 941 913 1,151 141 2 8 3 18 13 16 17 14 15 18 9 8 Other assets: Denominated in foreign currencies.. 96 4 2 27 5 9 5 6 14 3 2 4 5 12 148 148 701 47 173 47 50 49 32 106 23 14 25 31 104 Total assets.......................................... 92,495 4,765 22,162 4,912 6,965 6,976 5,460 14,994 3,614 2,066 4,002 4,214 12,365 Liabilities F R. notes............................................ 52,228 2,913 12,469 3,034 4,221 4,643 2,568 9,121 2,008 902 1,962 2,041 6,346 Deposits: Member bank reserves..................... 24,540 953 6,252 1,036 1,585 1,267 1,554 3,483 883 569 1,076 1,334 4,548 U.S. Treasurer—General account.. 1,274 70 355 73 61 85 85 71 58 70 103 51 192 Foreign............................................ 199 8 474 9 15 9 11 26 6 4 7 9 21 Other: IMF gold deposit 3...................... 148 148 All other....................................... 540 3 491 1 5 3 4 1 3 3 2 24 Total deposits....................................... 26,701 1,034 7,320 1,119 1,661 1,366 1,653 3,584 948 646 1,189 1,396 4,785 Deferred availability cash items......... 11,310 713 1,785 642 887 834 1,102 1,939 580 471 760 659 938 Other liabilities and accrued dividends 546 26 143 29 43 39 27 90 20 10 20 25 74 Total liabilities.................................... 90,785 4,686 21,717 4,824 6,812 6,882 5,350 14,734 3,556 2,029 3,931 4,121 12,143 Capital accounts Capital paid in..................................... 727 33 189 38 66 38 49 108 25 17 31 41 92 Surplus.................................................. 702 33 185 36 63 36 47 105 24 16 30 39 88 Other capital accounts......................... 281 13 71 14 24 20 14 47 9 4 10 13 42 Total liabilities and capital accounts. . 92,495 4,765 22,162 4,912 6,965 6,976 5,460 14,994 3,614 2,066 4,002 4,214 12,365 Contingent liability on acceptances purchased for foreign correspond­ ents.................................................... 230 11 5 60 12 21 12 15 34 8 5 10 13 29 Federal Reserve Notes—Federal Reserve Agents’ Accounts F.R. notes outstanding (issued to 54,495 3,065 13,176 3,102 4,403 4,771 2,729 9,382 2,086 931 2,029 2,194 6,627 Collateral held against notes out­ standing: Gold certificate account.................. 3,170 170 500 300 510 530 1,000 155 5 U.S. Govt, securities....................... 52,945 2,920 12,800 3,000 4,000 4,330 2,900 8,750 1,980 960 2,075 2,230 7,000 Total collateral..................................... 56,115 3,090 13,300 3,300 4,510 4,860 2,900 9,750 2,135 960 2,075 2,235 7,000 1 See note 6 on p. A-5. 5 After deducting $170 million participations of other F.R. Banks. 2 After deducting $69 million participations of other F.R. Banks. 3 See note 1 (b) to table at top of p. A-75. Note.—Some figures for cash items in process of collection and for 4 After deducting $125 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 □ JULY 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 tu i c f r h t i s . ty tions 1970—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 90 Oct.. 245 183 134 245 183 134 Nov. 2,871 1,391 2,715 1,391 37 6*362 80 -6.112 Dec. 3,414 2,280 2,883 2,280 5 365 1971—Jan.. 1,515 1,547 327 1,515 1,547 327 Feb. 5,832 5,153 5,347 5,153 -3,732 174 4,092 Mar. 3,142 2,523 240 2,600 2,523 240 263 Apr. 2,229 1,298 50 2,033 1,298 50 2 119 -2 May 1,291 248 1,163 248 464 46 -136 Outright transactions in U.S. Govt, securities—Continued Repurchase Bankers’ agreements Federal acceptances (U.S. Govt, Net agency 5-10 years Over 10 years securities) change obliga­ Month in U.S. tions Under Net c G p h r a u o s r s e ­ s s G sa r l o e s s s o E t s r u h x r i m c i f t h t y a s . ­ c G p h r a u o s r s e ­ s s G sa r l o e s s s o E t s r u h x r i m c i f t h t y a s . ­ c G p h r a u o s r s e ­ s s G sa r l o e s s s 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 s e ­ ­ , change1 1970—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 * -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 2 -357 Feb___ 189 -360 121 4,183 4,183 679 -5 673 Mar___ 205 74 6,561 5,242 1,698 186 85 1,968 Apr.. . . 62 16 5,085 6,404 -439 -186 -85 -707 May. . . 82 -327’' 4,076 4,076 1,043 48 1,099 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 s P t o e u rl n in d g s s A c u hi s l 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 la e i n l t d 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—Dec............. 1,967 1,575 1 * 199 60 125 1 3 4 1970—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 Dec............. 257 154 * * 98 1 * 4 1971—jan............. 186 80 1 * 99 1 5 Feb............. 107 * 1 * 100 1 5 Mar............. 34 * 1 * 27 1 5 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 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 June 30 June 23 June 16 June 9 June 2 June 30 May 31 June 30 Discounts and advances—Total................................... 446 631 261 590 37 446 1,051 420 Within 15 days............................................................ 444 620 260 589 34 444 1,048 323 16 days to 90 days...................................................... 2 11 1 1 3 2 3 97 91 days to 1 year........................................................ * Acceptances—T otal........................................................ 62 126 62 62 71 62 111 32 Within 15 days............................................................ 15 76 11 12 23 15 62 11 16 days to 90 days...................................................... 47 50 51 50 48 47 49 21 91 days to 1 year........................................................ U.S. Government securities—Total.............................. 65,518 64,981 63,993 64,613 64,959 65,518 64,764 57,714 3,268 W3,9it8h7in 15 da3y,4s41.9.............3..,.4..0..0.............3..,.0...8..0.............3..,.268 1,944 1,483 16 days to 90 days...................................................... 13,298 12,756 12,431 12,992 13,461 13,298 13,760 10,724 91 days to 1 year........................................................ 18,552 17,899 17,774 17,800 17,997 18,552 18,639 14,174 Over 1 year to 5 years................................................ 23,600 23,563 23,563 23,645 23,645 23,600 23,645 25,395 Over 5 years to 10 years............................................ 5,907 5,896 5,896 5,896 5,896 5,907 5,896 5,314 Over 10 years.............................................................. 893 880 880 880 880 893 880 624 1 Holdings under repurchase agreements are classified as maturing within 15 days in accordance with maximum maturity of the agreements. BANK DEBITS AND DEPOSIT TURNOVER (Seasonally adjusted annual rates) Debits to demand deposit accounts1 Turnover of demand deposits (billions of dollars) Period SM T 2 o 3 S t 3 a 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 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—May............................. 10,015.7 4,249.4 2,460.0 5,766.4 3,306.4 73.4 150.6 78.4 53.3 43.0 June............................. 10,136.3 4,366.0 2,443.3 5,770.3 3,327.0 73.1 149.3 77.5 52.7 42.7 July.............................. 10,207.8 4,324.3 2,508.2 5,883.6 3,375.3 73.1 145.3 79.4 53.6 43.1 Aug.............................. 10,550.5 4,770.6 2,478.8 5,779.9 3,301.1 75.7 162.8 77.9 52.5 42.2 Sept.............................. 10,552.0 4,668.1 2,502.9 5,883.9 3,381.0 75.3 161.0 77.9 53.0 42.8 Oct............................... 10,780.2 4,899.8 2,497.4 5,880.5 3,383.0 78.1 175.9 78.4 53.4 43.2 NoV.............................. 10,533.9 4,824.0 2,420.1 5,709.9 3,289.8 75.6 168.5 75.8 51.6 41.8 Dec............................... 10,896.5 5,016.1 2,480.1 5,880.3 3,400.2 77.0 170.6 76.7 52.4 42.6 1971—Jan................................ 10,710.1 4,825.9 2,475.2 5,884.2 3,408.9 76.4 168.3 77.3 52.8 42.9 Feb............................... 11,535.4 5,477.4 2,550.4 6,058.0 3,507.6 82.2 191.3 80.1 54.2 43.9 Mar.............................. 11,443.2 5,309.7 2,522.6 6,133.5 3,610.9 79.6 183.5 76.8 53.4 44.1 Apr............................... '11,678.6 5,356.8 2,617.0 r6,321.8 r3,704.8 ''80.7 185.6 79.3 54.5 44.7 11,152.5 4,903.9 2,606.6 6,248.6 3,642.0 76.9 171.2 78.9 53.7 43.7 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 o JULY 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—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 Feb............ 55,611 38,298 6,266 2,178 136 2,972 8,753 17,994 17,313 4,822 12,022 213 249 3 4 Mar........... 56,304 38,785 6,303 2,200 136 3,011 8,835 18,300 17,519 4,892 12,160 212 248 3 4 Apr............ 56,592 38,917 6,360 2,206 136 3,001 8,826 18,388 17,675 4,917 12,294 210 246 3 4 May.......... 57,403 39,509 6,410 2,245 136 3,048 8,960 18,711 17,894 4,994 12,438 210 245 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 (Condensed from Circulation Statement of United States Money, issued by Treasury Department. 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 May 31, against Treasury F.R. Banks 1971 gold and cash Banks and silver and Agents May Apr. May certificates Agents 31 30 31 Gold................................................................................ 10,332 (10,075) 2257 Gold certificates............................................................. (10,075) 310,074 1 Federal Reserve notes.................................................... 53,802 156 3,269 50,377 49,618 46,985 Treasury currency—Total.............................................. 7,388 81 281 7,026 6,974 6,680 Standard silver dollars............................................... 485 3 482 482 482 Fractional coin........................................................... 6,284 76 280 5,928 5,878 5,603 United States notes.................................................... 323 3 320 317 295 In process of retirement 4.......................................... 297 296 297 301 Total—May 31, 1971..................................................... 571,522 (10,075) 494 10,074 3,551 57,403 Apr. 30, 1971 ..................................................... 571,514 (10,475) 509 10,474 3,938 56,592 May 31, 1970..................................................... 568,320 (11,045) 512 11,044 3,098 53,665 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 $148 million gold deposited by and held for the International Note.—Prepared from Statement of United States Currency and Coin Monetary Fund. and other data furnished by the Treasury. For explanation of currency 3 Consists of credits payable in gold certificates, the Gold Certificate reserves and security features, see the Circulation Statement or the Aug. Fund—Board of Governors, FRS. 1961 Bulletin, p. 936. 4 Redeemable from the general fund of the Treasury. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ MONEY STOCK A 17 MEASURES OF THE MONEY STOCK (In billions of dollars) Seasonally adjusted Not seasonally adjusted Month or week Mz Ms M2 Mz Mi (Mi plus time (M2 plus deposits Mi (Mi plus time (M2 plus deposits (Currency plus deposits at coml. at nonbank thrift (Currency plus deposits at coml. at nonbank thrift demand deposits) banks other than institutions)2 demand deposits) banks other than institutions)2 large time CD’s) 1 large time CD’s) 1 1967—Dec............................... 183.1 345.6 528.5 188.6 350.1 533.3 1968—Dec............................... 197.4 378.2 572.6 203.4 383.0 577.5 1969—Dec................................ 203.6 387.1 588.4 209.8 392.0 593.5 1970—June.............................. 209.6 398.6 604.1 207.8 396.9 602.8 July............................... 210.6 401.9 609.1 209.0 400.5 607.9 Aug............................... 211.8 406.1 614.7 208.7 403.1 611.3 Sept............................... 212.8 409.6 619.7 211.4 408.2 618.0 Oct................................ 213.0 412.1 623.9 213.0 412.3 624.0 Nov............................... 213.5 414.5 628.2 215.3 415.4 628.6 Dec............................... 214.6 419.0 634.6 221.1 424.1 640.0 1971—Jan................................ 214.8 423.0 642.1 221.3 428.9 648.4 Feb................................ 217.3 430.8 654.0 215.5 428.4 651.3 Mar............................... 219.4 437.6 664.8 217.4 436.3 663.8 Apr................................ 221.1 442.0 673.7 222.2 444.3 676.1 223.9 447.2 682.3 219.7 444.2 679.1 June p........................... 225.6 451.4 689.3 223.6 449.6 687.9 Week ending— 1971—june 2....................... 225.6 450.6 221.9 447.6 9....................... 224.2 449.5 222.5 448.2 16....................... 226.2 452.0 225.4 451.9 23....................... 225.5 451.4 221.9 447.7 30 p..................... 225.2 451.7 223.7 450.1 COMPONENTS OF MONEY STOCK MEASURES AND RELATED ITEMS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Commercial banks Commercial banks U.S. Month Non­ Non­ Govt. or bank bank depos­ week Cur­ De­ Time and savings thrift Cur­ De­ Time and savings thrift its 5 rency mand deposits institu­ rency mand deposits institu­ depos­ tions 4 depos­ tions 4 its its CD’s 3 Other Total CD’s 3 Other Total 1967—Dec.................... 40.4 142.7 21.0 162.5 183.5 183.0 41.2 147.4 20.6 161.5 182.1 183.1 5.0 1968—Dec.................... 43.4 154.0 24.0 180.8 204.8 194.4 44.3 159.1 23.6 179.6 203.2 194.6 5.0 1969—Dec.................... 46.0 157.7 11.2 183.4 194.6 201.3 46.9 162.9 11.1 182.1 193.2 201.5 5.6 1970—June................... 47.8 161.9 13.2 189.0 202.2 205.5 47.7 160.1 13.2 189.2 202.3 205.9 6.5 July................... 48.1 162.5 16.9 191.3 208.2 207.2 48.3 160.7 16.6 191.5 208.1 207.5 6.8 Aug.................... 48.2 163.7 19.0 194.2 213.2 208.7 48.3 160.4 19.5 194.4 214.0 208.2 7.1 48.2 164.6 21.7 196.8 218.5 210.1 48.2 163.1 21.6 196.8 218.4 209.8 6.8 Oct..................... 48.5 164.5 23.2 199.1 222.2 211.9 48.5 164.5 23.2 199.3 222.5 211.7 6.1 48.7 164.8 23.9 201.1 225.0 213.6 49.2 166.1 24.6 200.0 224.6 213.2 5.6 Dec.................... 48.9 165.7 26.0 204.4 230.4 215.6 50.0 171.1 25.8 203.0 228.7 215.9 7.1 1971—Jan..................... 49.2 165.5 27.1 208.2 235.3 219.2 49.1 172.1 27.0 207.6 234.5 219.6 6.6 Feb.................... 49.6 167.7 27.4 213.5 240.9 223.2 49.2 166.3 27.4 212.9 240.3 223.0 8.3 Mar................... 50.0 169.4 27.8 218.3 246.1 227.2 49.5 167.8 28.0 218.9 246.9 227.5 5.4 Apr.................... 50.5 170.5 27.3 221.0 248.3 231.6 50.1 172.1 27.1 222.1 249.2 231.9 5.5 May.................. 50.9 173.0 28.0 223.4 251.4 235.1 50.5 169.2 27.6 224.5 252.1 234.8 7.8 June p................ 51.2 174.4 28.6 225.8 254.4 237.9 51.1 172.5 28.4 226.0 254.4 238.3 5.4 Week ending— 1971—June 2............ 50.9 174.6 28.2 225.1 253.3 50.7 171.1 28.0 225.8 253.8 6.3 9............ 51.2 173.1 28.5 225.2 253.8 51.4 171.2 28.8 225.7 254.5 3.8 16............ 51.2 175.0 28.2 225.8 254.0 51.1 174.3 27.9 226.5 254.3 4.4 23............ 51.1 174.4 28.9 225.8 254.8 51.0 170.9 28.5 225.8 254.3 6.8 30 p......... 51.4 173.8 28.8 226.6 255.4 51.0 172.8 28.5 226.4 254.9 6.5 1 Includes, in addition to currency and demand deposits, savings de­ Note.—For description of revised series and for back data, see Dec. 1970 posits, time deposits open account, and time certificates of deposits other Bulletin, pp. 887-909. negotiable time certificates of deposit issued in denominations of $100,000 Average of daily figures. Money stock consists of (1) demand deposits or more by large weekly reporting commercial banks. at all commercial banks other than those due to domestic commercial 2 Includes M2, plus the average of the beginning and end of month banks and the U.S. Govt., less cash items in process of collection and F.R. deposits of mutual savings banks and savings and loan shares. float; (2) foreign demand balances at F.R. Banks; and (3) currency outside 3 Negotiable time certificates of deposit issued in denominations of the Treasury, F.R. Banks, and vaults of all commercial banks. Time de­ $100,000 or more by large weekly reporting commercial banks. posits adjusted are time deposits at all commercial banks other than those 4 Average of the beginning and end-of-month deposits of mutual savings due to domestic commercial banks and the U.S. Govt. banks and savings and loan shares. 5 At all commercial banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 18 BANK RESERVES; BANK CREDIT □ JULY 1971 AGGREGATE RESERVES AND MEMBER BANK DEPOSITS (In billions of dollars) Member bank reserves, S. A.1 Deposits subject to reserve requirements2 Total member bank deposits plus 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—De c 25.94 25.68 25.60 273.5 149.9 118.9 4.6 276.2 148.1 123.6 4.5 1968—De c 27.96 27.22 27.61 298.2 165.8 128.2 4.2 301.2 163.8 133.3 4.1 1969—De c 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—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.............. 30.52 30.18 30.26 329.1 187.5 135.4 6.2 328.4 187.1 134.3 7.0 337.7 337.0 30.75 30.40 30.53 333.2 191.7 136.7 4.8 332.2 192.3 135.4 4.5 340.2 339.2 Apr.............. 30.82 30.64 30.61 336.6 193.3 137.9 5.4 337.3 193.6 139.0 4.7 341.7 342.4 May............. 31.25 30.96 31.00 339.7 195.5 140.0 4.2 338.4 195.8 135.9 6.7 343.8 342.5 June**........... 31.27 30.81 31.05 341.3 197.5 139.9 3.9 340.2 197.6 138.2 4.4 345.7 344.7 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. LOANS AND INVESTMENTS (In billions of dollars) Seasonally adjusted Not seasonally adjusted Securities Securities Date ! Total! 2 Loans 1, 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—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. 28. 424.4 287.3 56.3 80.8 424.0 285.9 57.2 81.0 Nov. 25. 428.2 288.4 56.7 83. 1 427.7 286.9 58.3 82.5 Dec. 31. 435.1 290.5 58.5 86.0 445.1 297.2 61.7 86.1 1971—Jan. 27. 438.9 292.0 58.7 88.2 438.0 289.3 61.5 87.1 Feb. 24. 444.6 295.2 59.9 89.6 440.9 290.6 61.4 88.9 Mar. 31. 448.6 295.2 61.4 92.0 446.4 293.3 61.6 91.5 Apr. 28p 448.8 294.9 60.2 93.7 448.8 294.6 60.1 94.1 May 26p 453.0 297.9 60.2 94.9 450.9 297.2 58.9 94.8 June 3Qy 456.7 4 297.4 63.0 4 96.3 460.8 4 303.4 60.4 4 97.1 1 Adjusted to exclude interbank loans. revision, see Aug. 1969 Bulletin, pp. 642-46. 2 Beginning June 9, 1966, about $1.1 billion of balances accumulated 4 Beginning June 30, 1971, Farmers Home Administration insured for payment of personal loans were deducted as a result of a change in notes totaling an estimated $700 million are included in “Other securities” Federal Reserve regulations. rather than in “Loans.” Beginning June 30, 1966, CCC certificates of interest and Export- Import Bank portfolio fund participation certificates totaling an estimated Note.'—For monthly data 1948-68, see Aug. 1968 Bulletin, pp. A-94 $1 billion are included in “Other securities” rather than “Loans.” —A-97. For a description of the seasonally adjusted series see the follow­ 3 Beginning June 30, 1969, data revised to include all bank-premises ing Bulletins: July 1962, pp. 797-802; July 1966, pp. 950-55; and Sept. subsidiaries and other significant majority-owned domestic subsidiaries; 1967, pp. 1511-17. earlier data include commercial banks only. Also, loans and investments Data are for last Wed. of month except for June 30 and Dec. 31; data are now reported gross, without valuation reserves deducted, rather than are partly or wholly estimated except when June 30 and Dec. 31 are call net of valuation reserves as was done previously. For a description of the dates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ BANKS AND THE MONETARY SYSTEM A 19 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and caoital Total Bank credit assets, Date c c s G S e a a to D r t n o e t c d l i s R f d k i 1 ­ T s c o u r i t u n e u a r r g a y n t - - s d ­ - Total L 2. o n 3 a e .1 n t 0 s Total U.S. s C b a T a a v o r n n i m e n d k a g l s s . s ury R F s B e e e a c d s n e u e r k r r v i a s t e l ies Other4 O r s 3 i e t t . c i h 1 e u 0 e s ­ r c l T n a i i a n a p e t o n i b t e i e t — t d a t i s a l l l ­ , c d u e T r a p o r n o e t d a s n i l c t y s C c m o a a n a u n p i c e s n i d ­ t c t t a s . , l 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—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 7.100 554,500 341.400 119,700 60,400 59.300 93.400 573.100 505,500 67.600 Nov. 25................... 11,500 7,100 559,300 341,600 122,600 61,500 61,100 95,100 578,000 510,400 67.600 Dec. 31................... 11,132 7,149 580,899 354,447 127,207 64,814 62,142 251 99,245 599,180 535,157 64,020 1971—Jan. 27................... 11,100 7,200 574,100 346,300 127,000 64,700 62,000 300 100,800 592,400 527,200 65,200 Feb. 24................... 11,100 7,200 577,500 347,300 127,200 64,800 61,700 700 103,000 595,800 529,600 66,300 Mar. 31 p................. 11,100 7,300 586,700 350,100 129,900 65,000 64,200 800 106,600 605,100 539,100 66,000 Apr. 28^................. 11,100 7,300 588,800 350,600 128,300 63,400 64,000 900 109,900 607,300 543,900 63,400 May 26p................. 10,700 7,400 593,700 354,300 128,200 62,300 64,900 900 111,200 611,800 549,500 62,300 June 3Qp................. 10,700 7,400 605,600 361,100 130,500 63,900 65,500 1,100 114,000 623,800 558,800 65,000 DETAILS OF DEPOSITS AND CURRENCY Money stock Related deposits (not seasonally adjusted) Seasonally adjusted 6 Not seasonally adjusted Time U.S. Government Date Total o b r u C e a t n n u s c i k r d y ­ s e d ju m e D p s a a t o d e e n s ­ d ­ d i t 7 s Total o b r u C e a t n n u s c i k r 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 e o v y m s i s t n a ­ 4 g l s n e 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-—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. 28.... 201,800 47,400 154,400 202,500 47,300 155,300 292,100 221,900 70,200 2,600 500 6,600 1,300 Nov. 25... . 202,300 47,600 154,700 205,500 48,900 156,600 294,900 224,400 70,500 2,500 500 6,200 800 Dec. 31 ... . 209,400 47,800 161,600 219,422 49,779 169,643 302,591 230,622 71,969 3,148 431 8,409 1,156 1971-—Jan. 27.... 203,300 48,300 155,000 205,900 47,600 158,300 307,600 235,000 72,600 2,500 500 9,500 1,200 Feb. 24.... 204,900 48,500 156,400 203,800 47,900 155,900 313,900 240,400 73,500 2,500 500 7,500 1,400 Mar. 31 p. . . 214,100 49,300 164,800 208,200 48,800 159,400 322,100 247,000 75,100 2,500 500 5,000 900 Apr. 28p. .. 207,100 48,900 158,200 207,200 48,500 158,700 323,800 247,900 75,900 2,300 500 8,600 1,400 May 26p. .. 212,100 49,500 162,600 209,700 49,400 160,300 327,700 251,000 76,800 2,300 500 8,500 900 June 30p... 217,400 50,000 167,400 214,500 50,500 164,100 331,000 253,500 77,500 2,700 500 8,900 1,300 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-32. million to demand deposits). 3 See note 2 on p. A-23. 10 See note 9 on p. A-23. 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

A 20 COMMERCIAL BANKS □ JULY 1971 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 assets3 bilities row­ ac­ of and date Total Loans and Total3 Demand ings counts banks 1.2.9 U.S. capital De­ Treas­ Other ac­ mand Time Time1 ury 2.9 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, < >82 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,( 365 105.921 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—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. 28... 439,590 301,460 57,180 80,950 78,310 539,190 440,030 24,780 1.740 6,250 185,030 222,230 20,200 42,080 13,684 Nov. 25... 442,970 302,160 58,280 82,530 82,400 546,950 446,170 24,680 1.740 5,840 189,080 224,830 21,680 42,270 13,687 Dec. 31... 461,194 313,334 61,742 86,118 93,643 576,242 480,940 30,608 1,975 7,938 209,335 231,084 19,375 42,958 13,686 1971—Jan. 27... 454,250 305,600 61,520 87,130 83,860 559,200 462,730 25,360 2,030 9,250 190,810 235,280 20.500 42,730 13,692 Feb. 24... 458,040 307,740 61.430 88,870 82,450 561,810 463,950 25,850 1.990 7,060 188,180 240,870 21.500 43,050 13,700 Mar. 31^.. 463,500 310,380 61,620 91,500 94,350 580,930 483,470 30,640 1.990 4,520 198,860 247,460 22,130 43,530 13,713 Apr. 28*\. 466,540 312,340 60,080 94,120 88,680 577,710 479,150 26,430 2,020 8,150 194,180 248,370 24,070 43,740 13,717 May 26p.. 468,050 314,360 58,900 94,790 84,530 575,650 477,610 24,400 2,080 7,900 191,690 251,540 23,390 43,910 13.720 June 30p.. 478,640 321,160 60.430 97,050 96,600 598,970 502,410 31,250 2,250 8,360 206,540 254,010 22,790 44,420 13.720 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—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. 31... 365,940 253,936 45,399 66,604 81,500 465,644 384,596 29,142 1,733 6,460 168,032 179,229 18,578 34,100 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. 24... 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 5,754 Mar. 31... 366,723 250,777 45,193 70,753 83,092 469,355 386,692 29,399 1,749 3,726 159,983 191,835 21,107 34,658 5,751 Apr. 28 r.. 368,539 252,040 43,704 72,795 78,152 465,677 382,149 25,278 1,776 6,957 155,728 192,410 22,983 34,799 5,747 May 26 r.. 369,182 253,513 42,601 73,068 73,902 462,599 379,887 23,243 1,838 6,663 153,227 194,916 22,237 34,944 5.742 June 30p.. 377,938 259,393 43,833 74,712 85,003 482,981 401,328 29,934 2,006 6,943 165,708 196,737 21,641 35,378 5.742 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 i95 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—June 30... 57,088 44,881 4,413 7,795 23,070 85,666 60,615 11,148 321 1,236 32,590 15,320 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 28,927 16,840 4,855 6,340 12 Aug. 26... 58,468 45,208 5,458 7,802 20,982 84,893 58,959 9,668 729 1,214 29,943 17,405 5,243 6,405 12 Sept. 30... 59,484 46,265 5,144 8,075 23,057 88,026 64,019 12,161 719 1,355 31,072 18,712 4,184 6,439 12 Oct. 28... 59,215 45,990 5,337 7,888 19,175 83,785 59,297 10,738 776 658 28,024 19,101 5,038 6,385 12 Nov. 25 ... 59,657 45,717 5,463 8,477 20,151 85,368 59,654 10,276 814 749 28,552 19,263 6,224 6,424 12 Dec. 31... 62,347 47,161 6,009 9,177 21,715 89,384 67,186 12,508 956 1,039 32,235 20,448 4,500 6,486 12 1971—Jan. 27... 60,658 45,791 6,011 8,856 21,274 87,437 64,712 11,270 950 1,985 29,761 20,746 4,997 6,449 12 Feb. 24... 60,791 46,610 5,378 8,803 20,393 86,749 63,848 11,367 919 879 29,352 21,331 5,855 6,510 12 Mar. 31... 59,912 45,457 5,683 8,772 27,111 93,161 71,345 14,672 846 573 33,114 22,140 5,741 6,723 12 Apr. 28... 60,115 45,741 5,316 9,058 23,718 89,486 67,750 12,261 920 1,392 30,793 22,384 6,285 6,743 12 May 26... 59,029 45,441 5,007 8,581 19,816 84,885 63,973 10,254 846 1,388 28,552 22,933 6,072 6,797 12 June 30p.. 61,198 47,344 5,112 8,742 26,320 93,430 73,937 15,311 933 1,207 32,959 23,527 4,530 6,864 12 For notes see p. A-23. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ 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— Securities Total Interbank 3 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 1-2.9 U.S. capital Total 3 Treas­ Other ac­ De­ Time Time1 ury 2.9 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—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. 31............ 15,745 11,214 2,105 2,427 3,074 19,892 15,041 1,930 49 282 6,663 6,117 1,851 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 Mar. 31............ 16,056 11,345 2,179 2,532 2,695 19,609 14,665 2,074 130 168 5,598 6,695 1,961 1,635 9 Apr. 28............ 15,726 11,051 1,940 2,735 3,159 19,874 15,048 C1,326 123 414 6,415 c6,770 2,304 1,622 9 May 26. ...... 15,853 11,293 1,677 2,883 3,011 19,741 14,951 1,300 143 419 6,181 c6,908 2,180 1,616 9 June 30p.......... 16,442 11,738 1,735 2,969 3,104 20,464 15,621 1,489 206 316 6,635 6,975 2,364 1,642 9 Other reserve city: 7,8 1941—Dec. 31............ 15,347 7,105 6,467 1,776 8,518 24,430 22,313 4,356 104 491 12,557 4,806 1,967 351 1945—Dec. 31............ 40,108 8,514 29,552 2,042 11,286 51,898 49,085 6,418 30 8,221 24,655 9,760 2 2,566 359 1947—Dec. 31............ 36,040 13,449 20,196 2,396 13,066 49,659 46,467 5,627 22 405 28,990 11,423 1 2,844 353 1966—Dec. 31............ 95,831 69,464 13,040 13,326 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—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. 31............ 133,718 96,158 14,700 22,860 31,263 171,733 140,518 11,317 592 2,547 59,328 66,734 10,391 12,221 156 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 9,169 686 2,262 52,063 69,195 10,014 12,321 156 Mar. 31............ 134,204 94,302 14,636 25,266 29,361 170,513 138,409 9,791 692 1,592 55,594 70,740 11,044 12,474 156 Apr. 28............ 134,119 94,416 13,830 25,873 28,581 169,509 136,752 c9,036 652c3,066 53,562c70,436 11,889 12,502 156 May 26 r.......... 134,244 95,022 13,409 25,813 28,193 169,420 137,136 9,009 714 2,671 53,519 71,223 11,325 12,561 156 June 30p.......... 137,289 97,027 14,063 26,199 30,852 175,530 142,256 10,087 732 2,935 57,206 71,296 12,108 12,785 156 Country member: 7,8 1941—Dec. 31............ 12,518 5,890 4,377 2,250 6,402 19,466 17,415 792 30 225 10,109 6,258 4 1,982 6,219 1945—Dec. 31............ 35,002 5,596 26,999 2,408 10,632 46,059 43,418 1,207 17 5,465 24,235 12,494 11 2,525 6,476 1947—Dec. 31............ 36,324 10,199 22,857 3,268 10,778 47,553 44,443 1,056 17 432 28,378 14,560 23 2,934 6,519 1966—Dec. 31............ 109,518 68,641 22,419 18,458 19,004 131,338 117,749 2,392 69 1,474 56,672 57,144 308 10,309 5,958 1967—Dec. 30............ 122,511 74,995 24,689 22,826 20,334 146,052 131,156 2,766 96 1,564 61,161 65,569 552 11,005 5,886 1968—Dec. 31............ 134,759 83,397 24,998 26,364 22,664 161,122 144,682 2,839 111 1,281 66,578 73,873 804 11,807 5,796 1969—Dec. 316......... 140,715 92,147 21,278 27,291 23,928 169,078 148,007 3,152 84 1,671 67,930 75,170 1,820 12,766 5,691 1970—June 30............ 142,603 94,081 19,999 28,522 22,741 170,129 147,960 2,763 81 2,259 63,907 78,951 2,164 13,377 5,626 July 29............ 143,314 94,149 20,455 28,710 20,667 168,633 146,110 2,438 84 1,993 61,266 80,329 2,354 13,280 5,618 Aug. 26............ 144,654 94,638 20,710 29,306 20,868 170,429 147,449 2,411 84 2,449 61,243 81,252 2,202 13,334 5,608 Sept. 30............ 146,519 95,398 21,030 30,091 22,640 174,262 151,404 2,591 84 2,441 63,723 82,565 2,007 13,438 5,607 Oct. 28............ 147,728 95,679 21,311 30,738 21,606 174,556 151,062 2,572 81 2,123 62,818 83,468 2,350 13,499 5,604 Nov. 25............ 149,070 96,503 21,570 30,997 22,516 176,920 153,125 2,652 81 1,879 64,353 84,160 2,273 13,572 5,596 Dec. 31............ 154,130 99,404 22,586 32,140 25,448 184,635 161,850 3,387 135 2,592 69,806 85,930 1,836 13,807 5,589 1971—Jan. 27............ 152,818 97,686 22,513 32,619 22,336 180,086 157,059 2,721 81 2,316 64,380 87,561 2,178 13,676 5,584 Feb. 24............ 154,467 98,374 22,916 33,177 22,119 181,664 158,145 2,693 81 2,337 63,287 89,747 2,446 13,764 5,577 Mar. 31............ 156,551 99,673 22,695 34,183 23,925 186,072 162,273 2,862 81 1,393 65,677 92,260 2,361 13,826 5,574 Apr. 28 r.......... 158,579 100,832 22,618 35,129 22,694 186,808 162,599 2,655 81 2,085 64,958 92,820 2,505 13,932 5,570 May 26............ 160,056 101,757 22,508 35,791 22,882 188,553 163,827 2,680 135 2,185 64,975 93,852 2,660 13,970 5,565 June 30p.......... 163,009 103,284 22,923 36,802 24,727 193,557 169,514 3,047 135 2,485 68,908 94,939 2,639 14,087 5,565 For notes see p. A-23. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 22 COMMERCIAL BANKS □ JULY 1971 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) j Loans and investments Deposits Total ; assets— 1 Classification by Securities Total Interbank 3 Other FRS membership Cash lia- i 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 1 ury counts4 U.S. Govt. Other Insured banks: Total: 1941—Dec. 31.. 49,290 21,259 21,046 6,984 25,788 76,820 69,411 10,( 554 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 13,5 383 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 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 Dec. 31.. 458,919 312,006 61,438 85,475 92,708 572,682 479,174 30,233 1,874 7,898 208,037 231,132 19,149 42,427 13,502 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 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 41,690i 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 306. 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 40,514j 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 28,191i 43,295 51,942 312,480 254,261 14,947 393 5,066 113,296 120,559 13,051 24,106 4,637 Dec. 31.. 271,760 187,554 34,203 50,004 56,028 340,764 283,663 18,051 982 4,740 122,298 137,592 13,100 24,868 4,620 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 1,9331 9,731 48,084 44,730 4,411 8,166 24,168 7,986 130 2,945 1,867 1947—Dec. 31.. 32,566 11,200 19,240 2,125! 10,822; 43,879 40,505 3,978 15 381 27,068 9,062 9 3,055 1,918 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 11,065j 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 I 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 22,8031 116,885 98,467 8,402 404 1,219 47,498 40,945 2,535 8,536 1,262 1969—June 306. 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 14,271j 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 23,598i 117,209 91,967 10,175 299 1,891 42,620 36,983 4,457 9,078 1,166 Dec. 31.. 94,760 66,963 11,196 16,600 25,472 125,460 101,512 11,091 750 1,720 45,734 42,218 5,478 9,232 1,147 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 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 306. 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 Dec. 31.. 92,399 57,489 16,039 18,871 11,208 106,457 93,998 1,091 141 1,438 40,005 51,322 571 8,326 7,735 For notes see p. A-23- Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ COMMERCIAL BANKS A 23 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK—Continued (Amounts in millions of dollars) Loans and investments Deposits Total assets— F C R la S a s i n n s m i d s f u e ic F r m a a D n t b i c I e o 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 h 2 er a C ss a e s t h s3 c b T a i a l a l p o i n i c a t i t d i ­ t a ­ e a l s l Total3 m D I a n e n t ­ d erba T nk im 3 e Dema O nd ther Tim l e r B i o n o w g r s ­ ­ c c T a o a o p u c i t n ­ a ta t l s l 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,:91 253 13 329 852 1945—Dec. 31.......... 2,211 318 1,693 200 514 2,768 2,452 181 1,905 365 4 279 714 1947 Dec. 315........ 2,009 474 1,280 255 576 2,643 2,251 177 185 18 1,392 478 4 325 783 1963—Dec. 20.......... 1,571 745 463 362 374 2,029 1,463 190 83 17 832 341 93 389 285 1964—Dec. 31.......... 2,312 1,355 483 474 578 3,033 2,057 273 86 23 1,141 534 99 406 274 1965—Dec. 31.......... 2,455 1,549 418 489 572 3,200 2,113 277 85 17 1,121 612 147 434 263 1967—Dec. 30.......... 2,638 1,735 370 533 579 3,404 2,172 285 58 15 1,081 733 246 457 211 1968—Dec. 31.......... 2,901 1,875 429 597 691 3,789 2,519 319 56 10 1,366 767 224 464 197 1969—June 30*....... 2,809 1,800 321 688 898 3,942 2,556 298 81 15 1,430 731 290 502 209 Dcc. 31.......... 2,982 2,041 310 632 895 4,198 2,570 316 41 16 1,559 638 336 528 197 1970—June 30.......... 3,043 2,073 321 650 746 4,140 2,280 321 69 36 1,247 606 331 549 193 Dec. 31.......... 3,079 2,132 304 642 934 4,365 2,570 375 101 40 1,298 756 226 532 184 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 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 <5....... 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 10,092100,934 87,145 1,215 207 1,119 37,084 47,520 1,038 8,523 7,868 Dec. 31.......... 95,478 59,621 16,342 19,514 12,143 110,822 96,568 1,466 243 1,478 41,303 52,078 796 8,858 7,919 1 See table (and notes) at the bottom of this p. A-32 9 Beginning June 30, 1971, Farmers Home Administration notes are 2 Beginning June 30, 1966, loans to farmers directly guaranteed by classified as “Other securities” rather than “Loans.” As a result of this CCC were reclassified as securities, and Export-Import Bank portfolio change, approximately $700 million was transferred to “Other securities” fund participations were reclassified from loans to securities. This reduced for the period ending June 30, 1971, for all commercial banks. Total loans and increased “Other securities” by about $1 billion. Total loans include Federal funds sold, and beginning with June 1967 securities Note.—Data are for all commercial banks in the United States (includ­ purchased under resale agreements, figures for which are included in ing Alaska and Hawaii, beginning with 1959). Commercial banks represent “Federal funds sold, etc.,” on p. A-24. all commercial banks, both member and nonmember; stock savings 3 Reciprocal balances excluded beginning with 1942. banks; and nondeposit trust companies. 4 Includes items not shown separately. See also note 1. For the period June 1941-June 1962 member banks include mutual 5 Beginning with Dec. 31, 1947, the series was revised; for description, savings banks as follows: three before Jan. 1960; two through Dec. 1960, see note 4, p. 587, May 1964 Bulletin. and one through June 1962. Those banks are not included in insured 6 Figure takes into account the following changes beginning June 30, commercial banks. 1969: (1) inclusion of consolidated reports (including figures for all bank- Beginning June 30, 1969, commercial banks and member banks exclude premises subsidiaries and other significant majority-owned domestic a small national bank in the Virgin Islands; also, member banks exclude, subsidiaries) and (2) reporting of figures for total loans and for individual and noninsured commercial banks include, through June 30, 1970, a small categories of securities on a gross basis—that is, before deduction of member bank engaged exclusively in trust business. valuation reserves—rather than net as previously reported. Comparability of figures for classes of banks is affected somewhat by 7 Regarding reclassification as a reserve city, see Aug. 1962 Bulletin, changes in F.R. membership, deposit insurance status, and the reserve p. 993. For various changes between reserve city and country status in classifications of cities and individual banks, and by mergers, etc. 1960-63, see note 6, p. 587, May 1964 Bulletin. Data for national banks for Dec. 31, 1965, have been adjusted to make 8 Beginning Jan. 4, 1968, a country bank with deposits of $321 million them comparable with State bank data. was reclassified as a reserve city bank. Beginning Feb. 29, 1968, a reserve Figures are partly estimated except on call dates. city bank in Chicago with total deposits of $190 million was reclassified as For revisions in series before June 30, 1947, see July 1947 Bulletin, a country bank. pp. 870-71. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 24 COMMERCIAL BANKS a JULY 1971 LOANS AND INVESTMENTS BY CLASS OF BANK (In millions of dollars) Other loans 1 Investments b c C a a l n l a l k s d s a a o n te d f l i m o T n a a v o e n n e n t d a s s t t s l i ­ f s e F e u o t r e c n l a d . d d l 2 ­ , s T 3 o , t 4 al C m a c i o i n n e a m d ­ r l ­ ­ A c t a u u l g r r l ­ 5 i ­ - o p b T s r u r e o o r c c c ­ F u a h r o r a r i r t y s i i i e n n s g g in f s in ti a T tu n o t c i i o a n l s R t e a e s t a ­ e l O v t i d t h i n o i d e - - - r, Oth 5 er U B s . e S il c . l s u T ri r t e i a es s u 6 ry s S g l a o e o t n c c a v d a u t t e l ­ . r O s it e t i h c es u e r 5 ­ d tr u ia s l ­ k a e n r d s ot T he o rs BanksOthers uals3 Total ce a r n ti d fi­ Notes Bonds rities deal­ cates ers Total: 2 1947-Dec. 31. 116,284 38,057 18,167 1,660 8301,220 115 9,393 5,723 94769,221 9,982 6,03453,205 5,2763,729 1969—Dec. 31 io422,728 9,928286,750108.44310,3295,7394,027 2,488 15,06270,02063,2567,388 54,709 59,183 12,158 1970—June 30.. 424,18411,193285,843 108,361 11,2333,9723,565 2,522 14,39370,55064,1807,06851,569 62,975 12,604 Dec. 31..461,998 16,241297,897112,48611,1556,3323,536 2,660 15,85572,49265,8077,57461,742 69,637 16,481 All insured: 1941—Dec. 31.. 49,290 21,259 9,214 1,450 614 662 40 4,773 4,505 21,046 988 3,159 16,899 3,651 3,333 1945—Dec. 31.. 121,809 25,765 9,461 1.314 3,1643,606 49 4,677 2,361 1,132 88,91221,526 16,04551,342 3,8733,258 1947—Dec. 31.. 114,274 37,583 18,012 1,610 823 1,190 114 9,266 5,654 91467,941 9,676 5,91852,347 5,1293,621 1969—Dec. 31 *<>419,746 9,693284,945107,68510.314 5,6443,991 2,425 14,89069,66963,0087,319 54,399 58,84011,869 1970—June 30.. 421,141 10,867284,096107,56711,215 3,8863,541 2,457 14,24870,25263,921 7,00951,248 62,61912,311 Dec. 31..458,91915,942296,064111,54011,1416,2073,516 2,581 15,71372,30265,5567,50761,438 69,301 16,174 Member—Total: 1941—Dec. 31.. 43,521 18,021 8,671 972 594 598 39 3,494 3,653 19,539 971 3,00715,561 3,0902,871 1945—Dec. 31.. 107,183 22,775 8,949 8553,1333,378 47 3,455 1,900 1,057 78,338 19,260 14,27144,807 3,2542,815 1947—Dec. 31.. 97,846 32,628 16,9621,046 811 1,065 113 7,130 4,662 83957,914 7,803 4,81545,295 4,1993,105 1969—Dec. 31 io337,613 7,356235,63996,0956,1875,4083,286 2,258 14,03553,20748,3886,77639,833 47,2277,558 1970—June 30.. 336,266 8,267232,54895,1906,6263,7492,920 2,22813,45253,21548,7296,43937,324 50,1088,019 Dec. 31..366,520 12,677241,84097,9546,5385,9633,028 2,345 14,68854,60049,8296,89545,399 55,662 10,942 New York City: 1941—Dec. 31.. 12,896 4,072 2,807 412 169 32 123 522 7,265 311 1,623 5,331 729 830 1945—Dec. 31.. 26,143 7,334 3,044 2,453 1,172 26 80 287 272 17,574 3,910 3,325 10,339 606 629 1947—Dec. 31.. 20,393 7,179 5,361 545 267 93 111 564 23811,972 1,642 558 9,772 638 604 1969—Dec. 3110 60,333 802 47,50328.189 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 2,444 741 1,228 4,178 3,728 3,773 1,528 4,413 6,847 948 Dec. 31. 62,347 774 46,38627.189 4,174 686 1,169 3,741 3,883 3,907 1,622 6,009 7,757 1,420 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 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 Dec. 31.. 15,745 475 10,739 6,502 356 191 138 1,284 864 1,015 346 2,105 2,055 372 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 1,3421,053 1969—Dec. 31 io121,628 3,021 88,18037,701 1,386 878 1,300 876 6,006 19,70617,5692,757 11,944 16,6251,859 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 Dec. 31.. 133,861 6,007 90,29338,6271,428 909 1,322 798 7,015 19,848 17,3223,02414,700 19,771 3,089 Country: 1941—Dec. 31.. 12,518 5,890 1,676 659 20 183 1,823 1,528 4,377 110 481 3,787 1,2221,028 1945—Dec. 31.. 35,002 5,596 1,484 648 42 471 1,881 707 359 26.999 5,732 4,54416,722 1,3421,067 1947—Dec. 31.. 36,324 10,199 3,096 818 23 227 3,827 1,979 22422,857 3,063 2,108 17,687 2,0061,262 1969—Dec. 31 io141,286 3,318 89,401 23,7624,739 498 947 148 2,263 28,82426,362 1,85821,278 22,5724,718 1970—June 30.. 143,095 3,858 90,71624,361 5, 337 887 159 2,13929,12726,8581,75919.999 23,6674,855 Dec. 31.. 154,568 5,420 94,421 25,6375,052 524 828 239 2,648 30,00527,585 1,90322,586 26,0796,062 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 1969—Dec. 31 io 85,115 2,572 51,111 12,3484,141 329 741 231 1,02816,813 14,868 61214,875 11,9564,600 1970—June 30.. 87,919 2,926 53,296 13,171 4,606 223 645 294 941 17,33615,451 62914,245 12,8764,585 Dec. 31.. 95,478 3,564 56,058 14,5324,617 369 507 316 1,168 17,891 15,978 67916,342 13,9755,538 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-20—A-23. 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-Iniport 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-32. not entirely comparable with prior figures. See also note 10. For other notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 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 B s w F e R a r . i n v R e t k h e ­ . s s r C c e a o n n u i c d r n y ­ b m a a w B d n e n i c o a s t k e l t ­ h ­ i s s c 7 ju p m D s o a d a t d s e e e n i ­ ­ d t ­ d s 8 m D e I s n o t t ­ i e c r 7 ba e F n ig k o n r­ 9 G U o . v S t . . S g l a o o t n c a v d a t t e l . c C c h o a f e e i e f n e f r r c d d i t s k ­ i ’ ­ s, IPC I b n a t n e k r­ G P U S a o o a n . s S v v d t ­ t . a . l g S l a o o t n c a v a d t t e l . IPC 3 r B i o n o w g r s ­ ­ c C o a t a u a c p l n ­ i t ­ s 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 65 10,059 1969—Dec. 31 io.. 21,449 7,320 20,314172,079 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 Dec. 31.... 23,319 7,046 23,136 173,912 27,442 3,166 7,938 17,763 8,540 183,032 1,975 46323,225208,201 19,37542,958 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 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 1970—June 30----- 21,526 7,061 17,577 156,743 23,624 2,393 8,040 16,955 10,073 164,725 829 20217,088187,16618,21541,159 Dec. 31.... 23,319 7,028 22,332 172,351 27,235 2,998 7,898 17,636 8,352 182,048 1,874 46223,150207,519 19,14942,427 Member—Total: 1941_Dec. 31.... 12,396 1,087 6,246 33,754 9,714 671 1,709 3,066 1,009 33,061 140 50 418 11,878 4 5,886 1945—Dec. 31.... 15,811 1,438 7,117 64,184 12,333 1,24322,179 4,240 2,450 62,950 64 99 399 23,712 208 7,589 1947—Dec. 31.... 17,797 1,672 6,270 73,528 10,978 1,375 1,176 5,504 2,401 72,704 50 105 693 27,542 54 8,464 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 9,951 140,30817,39532,047 1970—June 30.... 21,526 5,476 10,617 121,562 22,809 2,313 6,957 12,930 9,179 133,807 691 16813,142144,233 17,50733,184 Dec. 31.... 23,319 5,445 13,744133,169 26,260 2,882 6,460 13,250 7,309 147,473 1,733 40618,406160,99818,57834,100 New York City: 1941—Dec. 31___ 5,105 93 141 10,761 3,595 607 866 319 450 11,282 6 29 778 1,648 1945—Dec. 31.... 4,015 111 78 15,065 3,535 1,105 6,940 237 1,338 15,712 17 10 20 1,206 * * i 95 2,120 1947—Dec. 31.... 4,639 151 70 16,653 3,236 1,217 267 290 1,105 17,646 12 12 14 1,418 30 2,259 1969—Dec. 31 io.. 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 Dec. 31.... 4,683 436 1,308 19,770 10,283 2,225 1,039 1,171 3,286 27,779 956 71 1,464 18,9134,500 6,486 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 1969—Dec. 3110.. 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 Dec. 31___ 1,148 126 160 5,120 1,853 77 282 240 210 6,213 49 568 5,549 1,851 1,586 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 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 Dec. 31.... 9,710 1,748 3,731 44,093 10,805 512 2,547 3,793 2,035 53,499 592 222 8,489 58,165 10,39112,221 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 1969—Dec. 3110.. 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 1,820 12,766 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 73,2072,164 13,377 Dec. 31.... 7,778 3,135 8,544 64,185 3,319 68 2,592 8,045 1,779 59,982 135 112 7,885 78,370 1,836 13,807 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 1969—Dec. 31 io 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 43,4801,038 8,523 Dec. 31 1,602 9,392 40,743 1,182 284 1,478 4,513 1,230 35,560 243 57 4,819 47,200 796 8,858 7 Beginning with 1942, excludes reciprocal bank balances. Note.—Data are for all commercial banks in the United States; member * 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. A small noninsured member bank engaged exclusively in trust business 1° Beginning June 30, 1969, reflects (1) inclusion of consolidated reports is treated as a noninsured bank and not as a member bank for the period (including figures for all bank-premises subsidiaries and other significant June 30, 1969—June 30, 1970. 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 □ JULY 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS (In millions of dollars) Federal funds sold, etc.] Other To brokers For pur •chasing and dealers or carryingI securities Total involving— To nonbank loans finan. Wednesday and Com­ To brokers To institutions invest­ To mer­ and dealers others ments com­ To cial Agri­ Total mer­ U.S. others Total and cul­ cial Treas­ Other indus­ tural Pers. banks ury trial U.S. U.S. and se­ curi- Treas­ Other Treas­ Other sales curi­ ties ury secs. ury secs. finan. Other ties secs. secs. COS., etc. Large banks— Total 1970 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 10.............. 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 17.............. 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 1971 May 5................ 262,300 8,214 7,467 392 258 97 177,782 81,433 2,109 556 4,092 110 2,321 7,305 6,446 12............... 264,516 9,709 8,520 528 262 399 179,186 81,769 2,121 718 4,244 108 2,361 7,363 6,582 19.............. 262,203 9,049 7,970 462 183 434 178,915 81,884 2,130 467 4,075 107 2,348 7,035 6,614 26.............. 259,789 6,974 6,071 405 139 359 178,382 81,560 2,155 565 3,721 122 2,344 6,830 6,671 June 2?............ 263,611 9,071 8,093 596 269 113 179,657 81,909 2,165 777 3,767 121 2,347 7,254 6,672 9p............. 262,322 8,923 8,067 542 141 173 178,297 81,516 2,176 634 3,644 111 2,350 6,775 6,597 16 p............ 266,381 9,126 8,311 424 235 156 181,637 82,802 2,174 800 3,932 113 2,356 7,415 6,799 23^............. 263,911 8,394 7,648 473 131 142 180,739 82,599 2,180 438 3,732 137 2,364 7,115 6,866 30^............ 266,676 7,926 7,218 498 29 181 182,618 82,577 2,178 895 4,182 116 2,390 7,555 7,124 New York City 1970 June 3.............. 54,279 2,144 2,092 20 40,778 24,890 14 376 2,066 12 684 1,853 1,598 10.............. 53,232 1,528 1,524 40,365 24,980 15 281 1,631 12 676 1,918 1,497 1 7 54,220 1,453 1,394 20 41,182 25,773 15 208 1,676 12 677 1,925 1,612 24.............. 54,487 2,236 1,969 248 41,195 25,583 15 269 1,839 12 669 1,895 1,613 1971 May 5................ 56,554 728 662 20 42,279 25,297 20 461 2,760 21 615 2,190 1,495 12............... 57,404 972 680 261 43,204 25,727 20 608 2,847 19 612 2,209 1,525 19............... 56,918 1,541 1,198 272 42,800 25,699 20 365 2,747 18 596 2,160 1,519 26............... 55,519 723 488 20 202 42,228 25,492 20 426 2,459 19 591 2,029 1,551 June 2v............ 57,106 1,574 1,529 18 42,920 25,571 19 643 2,480 19 572 2,205 1,602 9V.............. 55,924 1,142 1,044 73 42,112 25,483 19 491 2,430 19 579 1,995 1,569 16p............ 58,374 1,749 1,692 32 43,535 25,977 19 668 2,627 20 577 2,226 1,609 23 p............ 56,698 1,578 1,506 7 42,643 25,787 20 327 2,498 30 578 2,098 1,621 30 p............ 57,597 827 742 67 43,886 25,902 19 803 2,950 20 585 2,253 1,673 Outside New York City 1970 June 3.............. 180,330 4,149 3,749 239 96 65 126,966 53,196 2,030I 114 1,140 82 1,615 3,606 4,013 10.............. 181,079 5,074 4,680 260 100 34 127,014 53,287 2,033 112 1,097 79 1,608 3,626 4,004 17.............. 182,( 5,004 4,622 139 138 105 128,647 54,141 2,049 139 1,194 83 1,646 3,946 4,069 2 4 181,549 4,481 4,188 71 121 101 128,431 53,981 2,057 106 1,142 81 1 ,610 3,872 4,073 1971 ! May 5................ 205,746 7,486 6,805 346 258 77 135,503 56,136 2,089 95 1,332 89 1,706 5,115 4,951 12.............. 207,112 8,737 7,840 497 262 138 135,982 56,042 2,101 110 1,397 89 1,749 5,154 5,057 19.............. 205,285 7,508 6,772 391 183 162 136,115 56,185 2,110 102 1,328 89 1,752 4,875 5,095 26.............. 204,270 6,251 5,583 392 119 157 136,154 56,068 2,135 139 1,262 103 1,753 4,801 5,120 June 2p............ 206,505 7,497 6,564 569 269 95 136,737 56,338 2,146 134 1,287 102 1,775 5,049 5,070 9 p............ 206,398 7,781 7,023 517 141 100 136,185 56,033 2,157 143 1,214 92 1,771 4,780 5,028 16*............ 208,007 7; 377 6,619 399 235 124 138,102 56,825 2,155 132 1,305 93 1,779 5,189 5,190 23 p................. 207,213 6,816 6,142 408 131 135 138,096 56,812 2,160 111 1,234 107 1,786 5,017 5,245 30*............ 209,079 7,099 6,476 480 29 114 138,732 56,675 2,159 92 1,232 96 1,805 5,302 5,451 For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 a 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 estate12 instal­ eign other Total Bills icates Do­ For­ ment govts. 2 Within 1 to After mes­ eign 1 yr. 5 yrs. 5 yrs. tic Large banks— Total 1970 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 1971 34,749 561 1,384 21,846 767 14,103 26,506 4,211 3,258 15,081 3,956 .........................May 5 34,866 671 1,715 21,917 808 13,943 26,154 3,938 3,273 14,995 3,948 ...................................12 34,933 659 1,861 21,966 800 14,036 25,231 3,365 3,322 14,820 3,724 ...................................19 35,049 638 1,866 22,070 814 13,977 25,567 3,861 3,320 14,735 3,651 ...................................26 35,087 633 1,727 22,146 832 14,220 25,453 3,801 3.543 14,553 3,556 .........................June 2t> 35,187 580 1,742 22,180 834 13,971 25,566 3,986 3.543 14,496 3,541 ...........................................9p 35,364 553 1,949 22,289 819 14,272 25,586 4,056 3,660 14,330 3,540 ...................................16^ 35,508 611 1,863 22,376 812 14,138 25,052 3,574 3,631 14,371 3,476 ...................................23? 35,621 619 1,736 22,545 752 14,328 26,533 4,112 3,699 15,295 3,427 ...................................30? New York City 1970 3,400 279 813 1.672 610 2,511 4,555 850 339 3,017 349 .........................June 3 3,424 282 762 1.672 627 2,588 4,386 763 326 2,971 326 ...................................10 3,335 273 783 1,680 609 2,604 4,347 728 342 2,961 316 ...................................17 3,346 280 795 1,689 610 2,580 4,031 437 359 2,931 304 ...................................24 1971 3,660 138 706 1,816 488 2,612 5,079 1,018 457 2,914 690 .........................May 5 3,678 242 903 1,821 524 2,469 5,025 1,086 456 2,838 645 ...................................12 3,689 200 988 1,824 515 2,460 4,570 786 446 2,778 560 ...................................19 3,700 151 960 1,822 518 2,490 4,781 1,060 436 2,736 549 ...................................26 3,713 237 845 1,823 527 2,664 4,525 862 429 2,739 495 .........................June 2p 3,720 169 839 1,828 522 2,449 4,754 1,113 430 2,721 490 ................................................9 p 3,750 174 950 1,833 532 2,573 4,746 1,150 430 2,689 477 ...................................16p 3,750 198 863 1,840 520 2,513 4,382 790 424 2,726 442 ...................................23 p 3,680 170 822 1,864 494 2,651 4,879 963 442 3,085 389 ...................................30*> Outside New York City 1970 30,039 193 645 18,765 366 11,162 18,107 1,637 3,053 11,376 2,041 .........................June 3 30,090 199 650 18,773 367 11,089 17,906 1,534 3,063 11,295 2,014 ...................................10 30,175 199 656 18,807 370 11,173 17,877 1,538 3,079 11,252 2,008 ...................................17 30,213 208 663 18,861 363 11,201 17,624 1,376 3,084 11,199 1,965 ...................................24 1971 31,089 423 678 20,030 279 11,491 21,427 3,193 2,801 12,167 3,266 .........................May 5 31,188 429 812 20,096 284 11,474 21,129 2,852 2,817 12,157 3,303 ...................................12 31,244 459 873 20,142 285 11,576 20,661 2,579 2,876 12,042 3,164 ...................................19 31,349 487 906 20,248 296 11,487 20,786 2,801 2,884 11,999 3,102 ...................................26 31,374 396 882 20,323 305 11,556 20,928 2,939 3,114 11,814 3,061 .........................June 2p 31,467 411 903 20,352 312 11,522 20,812 2,873 3,113 11,775 3,051 .....................................9 p 31,614 379 999 20,456 287 11,699 20,840 2,906 3,230 11,641 3,063 ...................................16p 31,758 413 1,000 20,536 292 11,625 20,670 2,784 3,207 11,645 3,034 ...................................23 p 31,941 449 914 20,681 258 11,677 21,654 3,149 3,257 12,210 3,038 ...................................30p For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 28 WEEKLY REPORTING BANKS □ JULY 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 others pation4’12 Large banks— Total 1970 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 1971 May 5........................................ 49,798 7,849 34,866 1,172 5,911 33,651 21,038 3,127 6,738 757 15,641 343,252 12........................................ 49,467 7,709 34,666 1,201 5,891 32,277 17,961 3,436 7,268 757 15,734 341,949 19........................................ 49,008 7,360 34,673 1,159 5,816 32,059 19,461 3,455 6,333 760 15,609 339,880 26........................................ 48,866 7,389 34,593 1,175 5,709 28,465 19,688 3,569 5,958 757 15,556 333,782 June 2*....................................... 49,430 7,828 34,754 1,144 5,704 33,938 18,151 3,459 7,369 758 15,605 342,891 9*...................................... 49,536 7,868 34,822 1,124 5,722 31,081 18,851 3,422 6,401 761 15,317 338,155 16 *...................................... 50,032 7,865 35,262 1,128 5,777 35,328 18,291 3,483 6,877 761 15,386 346,507 23*....................................... 49,726 7,814 35,100 1,094 5,718 31,341 18,493 3,551 6,484 767 15,269 339,,816 30*...................................... 49,599 7,435 35,141 1,295 5,728 38,208 18,451 3,489 7,102 770 15,358 350,054 New York City 1970 6,802 1,330 4,585 84 803 17,576 4,164 414 932 314 5,146 82,825 10........................................ 6,953 1,465 4,546 83 859 14,167 3,950 427 818 314 5,325 78,233 17........................................ 7,238 1,725 4,626 82 805 13,239 4,775 401 896 314 5,080 78,925 24........................................ 7,025 1,555 4,559 84 827 15,026 3,089 419 396 317 5,214 78,948 1971 May 5........................................ 8,468 1,521 5,445 119 1,383 15,788 5,808 399 1,120 343 5,702 85,714 12......................................... 8,203 1,538 5,240 111 1,314 14,580 4,418 425 1,338 343 5,727 84,235 19........................................ 8,007 1,319 5,278 111 1,299 14,716 4,696 410 1,057 345 5,732 83,874 26......................................... 7,787 1,338 5,130 128 1,191 12,530 5,199 429 866 342 5,761 80,646 June 2 p....................................... 8,087 1,561 5,183 83 1,260 14,433 4,259 422 1,216 343 5,549 83,328 9 p 7,916 1,424 5,149 84 1,259 14,767 5,237 432 1,060 343 5,336 83,099 16*....................................... 8,344 1,413 5,557 78 1,296 16,104 3,641 411 999 343 5,384 85,256 23*...................................... 8,095 1,396 5,360 73 1,266 14,845 4,576 424 984 343 5,287 83,157 30*....................................... 8,005 1,217 5,344 188 1,256 19,547 4,511 415 1,191 344 5,411 89,016 Outside New York City 1970 June 3........................................ 31,108 3,498 24,441 922 2,247 16,101 12,995 2,657 4,050 381 8,988 225,502 10........................................ 31,085 3,519 24,432 933 2,201 14,795 12,253 2,762 4,028 385 8,933 224,235 17......................................... 31,132 3,528 24,471 926 2,207 17,044 12,280 2,856 4,603 386 8,961 228,790 24......................................... 31,013 3,463 24,359 914 2,277 14,979 12,441 2,949 4,123 385 8,976 225,402 1971 May 5......................................... 41,330 6,328 29,421 1,053 4,528 17,863 15,230 2,728 5,618 414 9,939 257,538 12......................................... 41,264 6,171 29,426 1,090 4,577 17,697 13,543 3,011 5,930 414 10,007 257,714 19......................................... 41,001 6,041 29,395 1,048 4,517 17,343 14,765 3,045 5,276 415 9,877 256,006 26........................................ 41,079 6,051 29,463 1,047 4,518 15,935 14,489 3,140 5,092 415 9,795 253,136 June 2*....................................... 41,343 6,267 29,571 1,061 4,444 19,505 13,892 3,037 6,153 415 10,056 259,563 9*...................................... 41,620 6,444 29,673 1,040 4,463 16,314 13,614 2,990 5,341 418 9,981 255,056 16*...................................... 41,688 6,452 29,705 1,050 4,481 19,224 14,650 3,072 5,878 418 10,002 261,251 23*...................................... 41,631 6,418 29,740 1,021 4,452 16,496 13,917 3,127 5,500 424 9,982 256,659 30*...................................... 41,594 6,218 29,797 1,107 4,472 18,661 13,940 3,074 5,911 426 9,947 261,038 For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ 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 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 3 127,279 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 1971 143,385 96,054 7,674 5,685 21,762 714 827 2,370 8,299 129,537 53,159 54,871 15,205 1,595 4,179 5 142,093 96,567 6,654 6,653 21,083 652 876 2,291 7,317 129,792 53,261 55,031 15,316 1,529 4,118 ,12 139,271 96,205 6,549 5,114 20,321 635 791 2,176 7,480 130,567 53,396 55,387 15,285 1,563 4,393 .19 136,096 95,926 6,249 5,317 18,616 841 762 2,214 6,171 131,115 53,433 55,657 15,384 1,577 4,554 .26 143,628100,703 7,228 2,718 22,045 677 811 2,327 7,119 131,127 53,533 55,733 15,234 1,570 4,537 2 p 136,509 96,515 6,014 1,517 20,952 646 803 2,236 7,826 131,810 53,523 56,478 15,157 1,612 4,533 . .9p 145,452100,430 6,801 4,717 21,984 628 802 2,262 7,828 130,795 53,474 55,568 14,926 1,633 4,680 .16* 138,626 97,155 6,558 3,280 20,459 594 752 2,384 7,444 131,411 53,429 56,165 14,949 1,682 4,687 .23 p 151,639 101,423 7,349 5,136 24,927 789 740 2,419 8,856 131,664 53,588 56,409 14,641 1,782 4,743 ,30 p New York City 1970 42,894 22,794 464 816 8,322 294 637 1,532 8,035 13,757 4,385 4,532 361 213 4,161 38,317 22,498 464 141 7,247 289 641 1,543 5,494 13,741 4,385 4,523 364 212 4,152 .10 39,135 22,800 631 1,693 7,063 266 645 1,468 4,569 13,552 4,383 4,489 343 212 4,019 .17 39,357 22,021 549 971 7,344 236 732 1,549 5,955 13,678 4,380 4,533 348 213 4,097 .24 1971 43,094 22,337 1,189 1,317 9,953 372 654 1,728 5,544 21,475 5,310 11,764 1,229 827 2,222 5 41,253 21,766 442 1,654 9,844 334 703 1,654 4,856 21,437 5,323 11,740 1,272 766 2,208 .12 40,735 22,150 587 1,140 9,346 332 601 1,528 5,051 21,635 5,342 11,789 1,286 767 2,320 .19 38,695 22,345 417 1,356 8,066 556 560 1,540 3,855 21,932 5,337 11,878 1,313 784 2,491 .26 41,566 23,362 788 548 9,959 347 612 1,597 4,353 22,068 5,330 11,999 1,343 782 2,484 2p 39,974 21,925 465 201 9,701 332 614 1,523 5,213 22,558 5,319 12,400 1,427 798 2,492 42,674 23,097 777 1,249 9,961 321 651 1,570 5,048 21,970 5,310 11,683 1,397 845 2,605 ,16* 40,473 22,314 501 496 9,690 308 601 1,665 4,898 22,350 5,286 11,957 1,523 845 2,613 ,23* 47,728 24,323 616 1,173 13,054 456 585 1,687 5,834 22,559 5,302 12,134 1,461 873 2,661 30* Outside New York City 1970 91,107 68,753 5,826 2,624 10,638 272 131 678 2,185 85,779 41,728 32,501 8,579 138 2,661 88,962 69,017 5,570 1,191 10,054 270 135 629 2,096 85,857 41,751 32,569 8,510 137 2,714 10 94,488 70,361 5,877 4,308 10,753 264 140 627 2,158 85,838 41,769 32,610 8,408 131 2,740 .17 91,153 68,098 6,058 4,104 9,838 256 141 629 2,029 85,997 41,785 32,786 8,365 130 2,748 .24 1971 100,291 73,717 6,485 4,368 11,809 342 173 642 2,755 108,062 47,849 43,107 13,976 768 1,957 5 100,840 74,801 6,212 4,999 11,239 318 173 637 2,461 108,355 47,938 43,291 14,044 763 1,910 12 98,536 74,055 5,962 3,974 10,975 303 190 648 2,429 108,932 48,054 43,598 13,999 796 2,073 19 97,401 73,581 5,832 3,961 10,550 285 202 674 2,316 109,183 48,096 43,779 14,071 793 2,063 26 102,062 77,341 6,440 2,170 12,086 330 199 730 2,766 109,059 48,203 43,734 13,891 788 2,053 Ip 96,535 74,590 5,549 1,316 11,251 314 189 713 2,613 109,252 48,204 44,078 13,730 814 2,041 102,778 77,333 6,024 3,468 12,023 307 151 692 2,780 108,825 48,164 43,885 13,529 788 2,075 16 p 98,153 74,841 6,057 2,784 10,769 286 151 719 2,546 109,061 48,143 44,208 13,426 837 2,074 23 * 103,911 77,100 6,733 3,963 11,873 333 155 732 3,022 109,105 48,286 44,275 13,180 909 2,082 30* For notes see p. A-30. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 30 WEEKLY REPORTING BANKS □ JULY 1971 ASSETS AND LIABILITIES OF LARGE COMMERCIAL BANKS—Continued (In millions of dollars) Borrowings Reserves Memoranda from— for— Lar*ie negotiia ble Fed­ Total time CD’s Gross eral Other Total loans incliu ded in t ime liabili­ Wednesday funds liabili­ capital Total and De­ and sa>rings deposits 11 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 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 12,959 6,125 6,834 12,172 1971 May 5....................... 22,448 748 985 16,459 4,048 85 25,557 177,968 254,272 82,287 27,127 17,009 10,118 2,004 12....................... 23,559 15 1,049 15,768 4,032 86 25,555 179,704 255,325 82,080 27,185 17,090 10,095 1,598 19...................... 22,380 920 983 16,170 4,030 85 25,474 179,335 253,574 81,777 27,606 17,256 10,350 1,628 26...................... 18,744 1,236 983 16,021 4,021 84 25,482 178,647 253,080 83,698 28,137 17,416 10,721 1,579 June 2v..................... 21,347 16 909 16,047 4,032 83 25,702 180,002 254,885 84,927 27,991 17,296 10,695 1,877 9 v 22,380 560 886 16,181 4,030 83 25,716 178,573 253,675 82,959 28,825 17,753 11,072 1,938 22,601 201 901 16,854 4,010 95 25,598 181,899 257,517 83,423 27,875 17,037 10,838 2,323 23»..................... 21,531 514 907 17,100 4,020 83 25,624 180,874 255,652 83,546 28,466 17,479 10,987 2,315 30^..................... 19,485 354 987 16,091 3,991 87 25,756 182,707 258,839 83,368 28,518 17,493 11,025 1,548 New York City 1970 June 3....................... 4,824 419 288 13,320 1,211 1 6,111 40,551 51,908 16,180 2,753 847 1,906 7,835 10....................... 5,119 151 275 13,305 1,212 1 6,112 40,087 51,426 16,762 2,720 830 1,890 7,817 17....................... 5,233 14 250 14,464 1,212 2 6,063 40,968 52,553 17,140 2,575 816 1,759 8,060 24....................... 4,479 80 234 13,871 1,207 2 6,040 41,182 52,238 16,016 2,719 903 1,816 8,089 1971 May 5....................... 6,180 319 57 6,872 1,204 3 6,510 42,207 55,754 16,036 9,309 6,628 2,681 1,180 12....................... 7,370 55 6,409 1,189 3 6,519 43,254 56,482 15,175 9,280 6,659 2,621 911 19....................... 6,484 620 51 6,647 1,190 2 6,510 42,943 55,520 15,533 9,435 6,646 2,789 1,028 26....................... 5,015 672 51 6,596 1,195 2 6,488 42,312 54,880 16,743 9,719 6,730 2,989 993 June ..................... 5,381 49 6,526 1,195 1 6,542 42,728 55,340 16,626 9,731 6,714 3,017 1,274 9 v ..................... 5,989 325 49 6,446 1,196 1 6,561 42,041 54,711 15,305 10,292 7,178 3,114 1,104 i6*\ 5,922 43 6,943 1,187 1 6,516 43,418 56,508 15,360 9,644 6,443 3,201 1,532 23^..................... 5,463 43 7,138 1,188 1 6,501 42,517 54,994 15,442 9,991 6,669 3,322 1,414 30p..................... 4,065 50 205 6,688 1,169 1 6,551 43,801 56,685 13,954 10,074 6,694 3,380 1,168 Outside New York City 1970 June 3....................... 13,524 644 1,825 11,914 2,828 74 17,807 127,173 176,388 61,744 10,211 5,137 5,074 4,120 10....................... 14,231 473 1,848 12,163 2,827 73 17,801 127,209 176,200 62,922 10,236 5,162 5,074 4,081 17....................... 13,469 259 1,796 12,292 2,828 73 17,747 128,830 177,839 62,383 10,166 5,168 4,998 3,975 24....................... 13,279 533 1,737 12,031 2,823 74 17,775 128,516 177,153 62,232 10,240 5,222 5,018 4,083 1971 May 5....................... 16,268 429 928 9,587 2,844 82 19,047 135,761 198,518 66,251 17,818 10,381 7,437 824 12....................... 16,189 15 994 9,359 2,843 83 19,036 136,450 198,843 66,905 17,905 10,431 7,474 687 19....................... 15,896 300 932 9,523 2,840 83 18,964 136,392 198,054 66,244 18,171 10,610 7,561 600 26....................... 13,729 564 932 9,425 2,826 82 18,994 136,335 198,200 66,955 18,418 10,686 7,732 586 June 2p....................... 15,966 16 860 9,521 2,837 82 19,160 137,274 199,545 68,301 18,260 10,582 7,678 603 9 v .................... 16,391 235 837 9,735 2,834 82 19,155 136,532 198,964 67,654 18,533 10,575 7,958 834 16?..................... 16,679 201 858 9,911 2,823 94 19,082 138,481 201,009 69,063 18,231 10,594 7,637 791 2335..................... 16,068 514 864 9,962 2,832 82 19,123 138,357 200,658 68,104 18,475 10,810 7,665 901 30*..................... 15,420 304 782 9,403 2,822 86 19,205 138,906 202,154 69,414 18,444 10,799 7,645 380 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. 10 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. n Certificates of deposit issued in denominations of $100,000 or more. 6 Includes U.S. Govt, and foreign bank deposits, not shown separately. 12 As of June 30, 1971, Farmers Home Administration insured notes 7 Includes securities sold under agreements to repurchase. will be classified as “Participation certificates in Federal agency loans.” 8 Includes minority interest in consolidated subsidiaries. These notes were previously classified as “Real estate loans.” The amount transferred to “Participation certificates . . .” for June 30, 1971, is $205 million. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 o BUSINESS LOANS OF BANKS A 31 COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during- 1971 1971 1971 1970 1970 1971 Industry June June June June June June May Apr. II I IV 2nd 1st 30v 23 16 9 2 half half Durable goods manufacturing: Primary metals................................. 2,297 2,372 2,418 2,362 2,316 -26 3 3 -20 169 -169 -20 149 Machinery......................................... 5,251 5,333 5,434 5,265 5,289 -84 9 113 38 -247 -595 -768 -209 Transportation equipment.............. 2,763 2,716 2,732 2,637 2,610 111 -5 -205 -99 -92 -69 169 -191 Other fabricated metal products. .. 2,130 2,124 2,126 2,050 2,044 86 2 44 132 68 -269 -344 200 Other durable goods........................ 2,813 2,806 2,847 2,773 2,744 74 38 112 149 -249 -198 261 Nondurable goods manufacturing: 2,392 2,369 2,314 2,260 2,331 80 -177 -66 -163 -537 549 350 -700 Textiles, apparel, and leather.......... 2,600 2,572 2,591 2,519 2,524 121 30 -36 115 166 -522 -395 281 Petroleum refining........................... 1,112 1,142 1,160 1,169 1,169 -62 -2 -64 -343 -105 -113 -407 Chemicals and rubber..................... 2,852 2,789 2,816 2,780 2,745 87 -57 14 44 32 -22 63 76 Other nondurable goods.................. 1,876 1,889 1,872 1,853 1,868 6 7 -43 -30 -105 -214 -113 -135 Mining, including crude petroleum and natural gas........................... 3,640 3,828 3,817 3,777 3,799 -204 -74 -278 -108 -181 -257 -386 Trade: Commodity dealers................. 1,149 1,168 1,179 1,162 1,178 14 -65 -123 -174 -57 375 481 -231 Other wholesale....................... 3,901 3,931 3,948 3,883 3,916 45 100 61 206 10 26 78 216 Retail........................................ 4,382 4,486 4,419 4,293 4,408 -10 138 57 185 162 -201 -308 347 Transportation..................................... 5,960 5,962 5,958 5,929 6,064 -96 -210 -306 286 119 366 -20 Communication. .................................. 1,555 1,517 1,483 1,423 1,451 98 19 67 184 49 46 19 233 2,218 2,133 2,077 2,053 2,081 240 -34 -21 185 -327 -240 -386 -142 Construction......................................... 3,657 3,837 3,845 3,798 3,779 -116 117 70 71 131 146 197 202 7,617 7,599 7,545 7,500 7,439 198 -52 241 387 -200 300 525 187 4,988 4,901 4,899 4,803 4,792 259 -35 66 290 -180 -52 96 110 Bankers’ acceptances...................... 1,150 1,171 1,249 1,327 1,357 -218 -99 -73 -390 -164 945 1,186 -554 Foreign commercial and industrial loans.............................................. 2,640 2,678 2,730 2,675 2,755 -48 168 -14 106 140 198 255 246 Total classified loans........................... 68,947 69,323 69,459 68,291 68,659 555 '105 -129 531 -998 -184 884 -467 Total commercial and industrial loans. 82,577 82,599 82,802 81,516 81,909 952 r369 -10 -1,311 r —473 372 1,979 -1,784 See Note to table below. “TERM” COMMERCIAL AND INDUSTRIAL LOANS OF LARGE COMMERCIAL BANKS (In millions of dollars) Outstanding Net change during— 1971 1970 1971 1970 1971 Industry June May Apr. Mar. Feb. Jan. Dec. Nov. Oct. II I IV III 1st 30 26 r 28 31 24 27 30 25 28 half Durable goods manufactur­ ing: Primary metals................... 1,587 1,667 1,622 1,630 1,564 1,544 1,527 1,535 1,548 -43 103 -150 157 60 Machinery.......................... 2,539 2,594 2,735 2,591 2,634 2,666 2,681 2,690 2,826 -52 -90 -243 140 -142 Transportation equipment. 1,559 1,440 1,515 1,613 1,633 1,647 1,633 1,621 1,627 -54 -20 -22 91 -74 Other fabricated metal products......................... 815 805 769 733 747 750 742 801 781 82 -9 -65 45 73 Other durable goods.......... 1,231 1,201 1,191 1,216 1,222 1,107 1,089 1,131 1,136 15 127 -52 9 142 Nondurable goods manufac­ turing : Food, liquor, and tobacco. 972 919 982 974 971 949 985 932 984 -2 -11 -23 1 -13 Textiles, apparel, and leather............................. 597 609 592 617 659 674 657 703 720 -20 -40 -94 -11 -60 Petroleum refining............. 892 920 932 915 1,142 1,191 1,213 1,220 1,230 -23 -298 -35 -18 -321 Chemicals and rubber....... 1,824 1,726 1,822 1,850 1,834 1,800 1,849 1,738 1,693 -26 1 69 71 -25 Other nondurable goods. . 1,021 1,058 1,062 1,100 1,116 1,116 1,171 1,159 1,171 -79 -71 -12 112 -150 Mining, including crude pe­ troleum and natural gas. 2,992 3,058 3,089 3,123 3,270 3,354 3,326 3,329 3,419 -131 -203 -135 -121 -334 Trade: Commodity dealers.. 97 88 81 80 79 79 79 83 73 17 1 -3 -6 18 Other wholesale........ 842 809 813 782 754 783 756 739 727 60 26 59 5 86 Retail......................... 1,421 1,423 1,404 1,417 1,459 1,450 1,399 1,371 1,351 4 18 39 52 22 Transportation....................... 4,614 4,681 4,757 4,867 4,763 4,731 4,564 4,453 4,443 -253 303 147 141 50 Communication..................... 468 439 426 402 398 398 415 415 386 66 -13 -33 40 53 Other public utilities............. 1,095 1,038 991 973 1,056 1,029 1,018 1,022 1,017 122 -45 -47 32 77 Construction.......................... 1,192 1,178 1,164 1,107 1,063 1,048 1,044 1,005 972 85 63 -87 46 148 Services................................... 3,269 3,192 3,249 3,142 3,154 3,186 3,209 3,208 3,069 127 -67 77 115 60 All other domestic loans .... 1,247 1,259 1,223 1,268 1,319 ol,346 1,285 1,716 1,241 -21 -17 60 -2 -38 Foreign commercial and in­ dustrial loans.................. 1,892 1,882 1,840 1,792 1,716 1,723 1,716 1,283 1,612 100 76 112 -16 176 Total loans............................. 32,166 31,986 32,259 32,192 32,553o32,571 32,358 32,205 32,026 -26 -166 -264 883 -192 Note.—About 160 weekly reporting banks are included in this series; Commercial and industrial “term” loans are all outstanding loans with these banks classify, by industry, commercial and industrial loans amount­ an original maturity of more than 1 year and all outstanding loans granted ing to about 90 per cent of such loans held by all weekly reporting banks under a formal agreement—revolving credit or standby—on which the and about 70 per cent of those held by all commercial banks. original maturity of the commitment was in excess of 1 year. For description of series see article “Revised Series on Commercial and Industrial Loans by Industry,” Feb. 1967 Bulletin, p. 209. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 32 DEMAND DEPOSIT OWNERSHIP □ JULY 1971 GROSS DEMAND DEPOSITS OF INDIVIDUALS, PARTNERSHIPS, AND CORPORATIONS1 (In billions of dollars) Type of holder Total Class of bank and month deposits, Financial Nonfinancial Consumer Foreign All IPC business business other All commercial banks: 1970—Jun e 16.6 85.8 49.9 1.4 9.6 163.4 Sept.................... 17.0 88.0 51.4 1.4 10.0 167.9 Dec.................... 17.3 92.7 53.6 1.3 10.3 175.1 1971—Ma r 18.2 r86.1 *'54.3 1.4 10.5 r170.4 Weekly reporting banks 1970—Jun e 12.8 53.0 21.0 1.3 5.2 93.3 July................... 13.6 52.8 20.6 1.4 5.3 93.7 Aug................... 12.7 52.8 20.6 1.2 4.9 92.2 Sept................... 13.4 53.8 21.2 1.3 5.5 95.1 Oct..................... 13.2 53.7 20.9 1.2 5.8 94.8 Nov................... 13.6 53.9 21.1 1.2 5.4 95.2 Dec.................... 13.5 56.1 23.3 1.2 5.6 99.7 1971—Ja.......................n 13.9 54.4 24.1 1.2 5.6 99.3 Feb.................... 13.8 52.3 23.1 1.2 5.5 95.8 Mar................... 14.1 52.4 23.9 1.3 5.7 97.3 Apr.................... 14.1 53.4 25.3 1.3 5.7 99.8 May................... 13.7 52.9 24.1 1.2 5.5 97.4 1 Including cash items in process of collection. description of the type of depositor in each category, see June 1971 Note:—Daily-average balances maintained during month as estimated Bulletin, p. 466. rom reports supplied by a sample of commercial banks. For a detailed DEPOSITS ACCUMULATED FOR PAYMENT OF PERSONAL LOANS (In millions of dollars) Class of Dec. 31, Dec. 31, June 30, Dec. 31, Class of Dec. 31, Dec. 31, June 30, Dec. 31, bank 1968 1969 1970 1970 bank 1968 1969 1970 1970 All commercial.... 1,216 1,131 945 804 All member—Cont. Insured................ 1,216 1,129 943 803 Other reserve city............... 332 304 222 143 National member 730 688 536 433 605 571 492 437 State member.... 207 188 178 147 All nonmember...................... 278 255 230 224 All member............ 937 876 714 580 278 253 229 223 Noninsured......................... 2 2 1 Note.—These hypothecated deposits are excluded from Time deposits resulted from a change in Federal Reserve regulations. See June 1966 and Loans at all commercial banks beginning with June 30, 1966, as Bulletin, p. 808. shown in the tables on pp. A-20, A-21, and A-26—A-30 (consumer instal­ These deposits have not been deducted from Time deposits and Loans ment loans), and in the table at the bottom of p. A-18. These changes for commercial banks as shown on pp. A-22 and A-23 and on pp. A-24 and A-25 (IPC only for time deposits). Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ LOAN SALES BY BANKS; OPEN MARKET PAPER A 33 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 Mar. 3......... 2,610 1,713 897 1,875 412 1,463 10......... 2,562 1,701 861 1,885 417 1,468 17.......... 2,472 1,636 836 1,868 421 1,447 24.......... 2,416 1,614 802 1,872 415 1,457 31.......... 2,560 1,556 1,004 1,866 415 1,451 Apr. 7.......... 2,375 1,472 903 1,855 421 1 ,434 14.......... 2,286 1,403 883 1,854 420 1 ,434 21.......... 2,320 1,469 851 1,877 424 1,453 28.......... 2,409 1,560 849 1,873 417 1,456 May 5.......... 2,574 1,619 955 1,892 417 1,475 12.......... 2,525 1,607 918 1,894 420 1,474 19.......... 2,520 1,626 894 1,890 410 1,480 26' ... 2,527 1,627 900 1,936 415 1,521 June 2.......... 2,866 1,827 1,039 1,926 414 1,512 9.......... 2,802 1,838 964 1,932 419 1,513 16.......... 2,757 1,807 950 1,937 422 1,515 23.......... 2,806 1,877 929 1,944 418 1,516 30.......... 3,060 1,970 1,090 1,963 435 1,528 Note.—Amounts sold under repurchase agreement are excluded. Figures include small amounts sold by banks other than large weekly reporting banks. COMMERCIAL AND FINANCE COMPANY PAPER AND BANKERS1 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 Im­ Ex­ Total Others ports ports All re B l a a n te k d Other1 re B l a a n le k d Other2 Total Own Bills Own e F i o gn r­ 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 1,153 2,408 1970—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 2,139 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 2,190 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—Mar. 31,223 355 13,215 1,337 16,316 7,174 2.953 2,276 678 138 255 3,827 2,681 1,519 2,974 Apr. 31,367 431 13,058 1,363 16,515 7,301 2,893 2,320 573 56 236 4,115 2,748 1,510 3,043 May 31,115 392 12,608 1,356 16,759 7,494 2,927 2,382 545 112 253 4,203 2.889 1,479 3,126 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 34 INTEREST RATES □ JULY 1971 PRIME RATE CHARGED BY BANKS (Per cent per annum) In effect during— Rate Effective date Rate Effective date Rate Effective date Rate 1929................................ 5V2-6 1951—Jan. 8.......... 21/2 1959—May 18.......... 41/2 1969—Jan. 7 7 Oct. 17.......... 2 y4 Sept. 1.......... 5 Mar. 17 7Vi 1 19 93 31 0. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 31 V /2 4 - - 6 5 Dec. 19.......... 3 1960—Aug. 23.......... 4i/i June 9 8 Vi 1 1 1 9 9 9 3 1 3 3 4 9 3 2 — 4 . . . . 7 . . . . . . ( . . . . N . . . . . . o . . . . v . . . . . . . . . ) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 l I V V 1/ i i 4 - - 4 4 1 1 1 9 9 9 5 5 5 4 3 5 — — — A O A M p u c a t r g r . . . . 2 1 1 4 7 7 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 3 3 3 1 1 1 / / / 4 4 2 1 1 9 9 6 6 5 6 — — J D M A u e u n a c g r e . . . 2 6 9. . . . . . . . . . . . . . . . . . . . 5 5 5 6 1 V / 4 2 1970— N N D S M e o o e a p c v v r t . . . . . 7 2 2 1 1 2 3 2. . . . . . . . . . . . . . . . . . . m 7 6 7 8 M V4 Effective date 1956— A A u p g r. . 2 1 1 3. . . . . . . . . . . . . . . . . . . . 3 4 Va 1967—J N M a o n a v . r . . 2 2 97 0 6-27... 5 5 6 1 V /i i -5 y4 1971 _ J j J a a a n n n . . . 1 1 5 6 8 . . . . . . . . . . . . . . . . . . . . 6 6 6 1 V 4 i Feb. 16.......... 5V4 1947—Dec. i............... m 1957—Aug. 6.......... 41/2 1968—Apr. 19. .. 61/2 Mar. 11 514-5 Vi Sept. 25.......... 6 -61,4 Mar. 19.......... 5V4 1948—Aug. i............... 2 I95 8_ Jan. 22.......... 4 Nov. 13.......... 6V4 Apr. 23.......... 5i/i-5i/2 Apr. 21.......... 31/2 Dec. 2.......... 61/2 May 11.......... 5 Vi 1950—Sept. 22.......... 2Va Sept. 11.......... 4 Dec. 18.......... 6V4 July 6.......... 5 Vi-6 1 Date of change not available. RATES ON 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 Center May Feb. May Feb. May Feb. May Feb. May Feb. May Feb. 1971 1971 1971 1971 1971 1971 1971 1971 1971 1971 1971 1971 Short-term 35 centers..................................... 6.00 6.58 7.47 8.05 6.94 7.49 6.37 6.91 6.04 6.64 5.76 6.35 New York City........................ 5.66 6.26 6.85 7.76 6.66 7.20 6.13 6.57 5.82 6.35 5.56 6.18 7 other Northeast.................... 6.25 6.80 7.69 8.27 7.18 7.75 6.58 7.11 6.22 6.97 5.88 6.40 8 North Central....................... 5.95 6.65 7.08 7.76 6.69 7.28 6.25 7.82 5.97 6.57 5.78 6.54 7 Southeast.............................. 6.37 6.88 7.67 8.23 7.20 7.72 6.54 7.00 6.12 6.69 6.05 6.55 8 Southwest............................. 6.17 6.59 7.35 7.83 6.76 7.22 6.33 6.82 6.19 6.63 5.87 6.25 4 West Coast........................... 6.12 6.63 7.84 8.38 7.14 7.77 6.43 7.16 6.10 6.77 5.91 6.32 Revolving credit 35 centers..................................... 5.74 6.34 6.62 7.51 6.53 7.06 5.90 6.70 5.83 6.43 5.71 6.30 New York City........................ 5.74 6.25 6.33 6.65 6.77 6.88 5.83 6.54 5.66 6.27 5.73 6.24 7 other Northeast.................... 5.86 6.57 7.62 8.53 6.54 7.95 5.84 6.56 5.74 6.28 5.87 6.60 8 North Central....................... 5.82 6.48 6.65 6.53 6.30 6.67 5.73 6.49 5.79 6.57 5.82 6.46 7 Southeast.............................. 6.29 6.62 6.24 8.00 6.76 7.91 6.66 7.22 6.18 6.28 6.08 6.12 8 Southwest.............................. 6.05 6.74 6.81 7.26 6.89 7.03 6.46 7.63 6.61 6.65 5.69 6.47 4 West Coast........................... 5.66 6.31 7.11 8.24 6.42 7.15 5.85 6.66 5.80 6.41 5.61 6.25 Long-term 35 centers..................................... 6.38 6.81 7.63 8.42 7.25 7.58 6.91 7.32 6.22 6.91 6.24 6.64 New York City........................ 6.35 6.81 5.65 7.08 6.35 6.75 6.53 6.80 6.53 6.56 6.29 6.83 7 other Northeast.................... 6.64 7.09 8.11 10.36 7.44 7.97 7.38 7.62 6.19 6.80 6.27 6.72 8 North Central....................... 6.49 6.92 7.44 7.56 7.06 7.39 6.88 7.28 6.34 7.52 6.41 6.77 7 Southeast.............................. 7.67 7.22 7.07 8.37 8.13 7.62 8.41 7.59 7.00 6.50 7.25 7.00 8 Southwest............................. 6.29 6.99 8.02 6.90 6.95 7.84 6.69 8.06 6.18 6.82 6.19 6.71 4 West Coast........................... 6.04 6.46 7.80 7.63 7.18 7.21 6.41 7.41 6.05 6.81 5.99 6.32 Note.—Beginning Feb. 1971 the Quarterly Survey of Interest Rates on Business Loans was revised. For description of revised series see pp. 468- 77 of the June 1971 Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INTEREST RATES A 35 MONEY MARKET RATES (Per cent per annum) Finance U.S. Government secutities (taxable)4 Prime CO. Prime Period m 4 p c - o o a t n m p o t e h l 6 r . s - 1 m d 3 p p i - o r l a a e t n p o c c t e t e h l 6 d r y s - , 2 9 b a 0 a a c n n d c c k e a e e p y s r t , s s ­ 1 ’ F f r e u a d n t e e d r 3 s al n R ew at 3 e i - s m o su n o e nth b M i y ll a i s e r 5 l k d et n R ew a 6 t e i - s m s o u n o e nth b M i y ll a i s e r 5 l k d et k B 9 e i - l t l t s y o i ( e m 1 l 2 d a - ) r m 5 ­ ont O h t i h ss e u r e 6 s 3 is - y s t e u o a e r s 5 7 - 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—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 Mar................. 4.19 4.05 3.80 3.71 3.323 3.38 3.431 3.50 3.61 3.66 4.74 Apr.................. 4.57 4.27 4.36 4.15 3.780 3.85 3.927 4.03 4.09 4.21 5.42 May................. 5.10 4.69 4.91 4.63 4.139 4.13 4.367 4.34 4.64 4.93 6.02 June................. 5.45 5.24 5.33 4.91 4.699 4.74 4.890 4.95 5.32 5.57 6.36 Week ending— 1971—Mar. 6......... 4.25 3.88 3.75 3.41 3.347 3.35 3.467 3.44 3.64 3.69 5.07 13......... 4.25 4.08 3.70 3.29 3.307 3.28 3.359 3.39 3.52 3.56 4.75 20......... 4.20 4.13 3.83 3.93 3.307 3.39 3.416 3.51 3.57 3.59 4.55 27, 4.05 4.13 3.80 3.70 3.331 3.37 3.481 3.54 3.63 3.68 4.56 Apr. 3.......... 4.23 4.08 4.00 4.02 3.521 3.61 3.695 3.72 3.70 3.89 4.85 10 4.28 4.13 4.13 3.98 3.703 3.78 3.754 3.85 3.79 4.02 5.08 17.......... 4.58 4.28 4.38 4.20 4.039 3.96 4.140 4.09 4.10 4.16 5.37 24 . 4.70 4.34 4.45 4.27 3.770 3.81 3.960 4.02 4.14 4.19 5.59 May 1.......... 4.80 4.39 4.60 4.14 3.865 3.93 4.087 4.22 4.44 4.53 5.77 8 5.00 4.50 4.83 4.41 3.865 3.84 4.182 4.20 4.46 4.69 5.92 15......... 5.00 4.51 4.88 4.59 3.861 3.96 4.178 4.23 4.58 4.75 5.98 22, . . 5.15 4.79 4.95 4.55 4.352 4.36 4.530 4.49 4.79 5.20 6.20 29......... 5.25 4.98 5.00 4.68 4.478 4.38 4.578 4.46 4.73 5.08 5.97 June 5.......... 5.38 5.13 5.00 4.82 4.344 4.28 4.508 4.52 4.78 4.99 5.92 12.......... 5.38 5.13 5.18 4.77 4.510 4.58 4.720 4.79 5.13 5.37 6.22 19 ....... 5.48 5.19 5.43 4.89 4.989 4.94 5.200 5.16 5.43 5.76 6.54 26.......... 5.50 5.39 5.50 4.96 4.953 4.86 5.133 5.06 5.56 5.74 6.46 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 36 INTEREST RATES □ JULY 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 ( S l t o a n te g s ­ Total1 term) Total i Aaa Baa Aaa Baa Indus­ Rail­ Public Pre­ Com­ Com­ trial road utility ferred mon mon 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 6.28 1970—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 5.48 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 Mar.................................... 5.71 5.26 5.00 5.56 7.84 7.21 8.46 7.36 8.39 8.08 6.48 3.10 Apr..................................... 5.75 5.49 5.22 5.85 7.86 7.25 8.45 7.43 8.37 8.05 6.59 2.99 May................................... 5.96 5.99 5.71 6.36 8.03 7.53 8.62 7.68 8.40 8.23 6.82 3.04 June................................... 5.94 5.98 5.65 6.36 8.14 7.64 8.75 7.80 8.43 8.39 6.99 3.10 Week ending— 1971—Apr. 3............................. 5.64 5.24 5.00 5.60 7.85 7.22 8.46 7.42 8.38 8.03 6.53 3.07 10............................. 5.66 5.33 5.10 5.70 7.84 7.23 8.45 7.42 8.35 8.02 6.54 3.02 17............................. 5.73 5.45 5.20 5.80 7.85 7.24 8.45 7.42 8.38 8.03 6.54 2.98 24............................. 5.82 5.61 5.30 6.00 7.86 7.24 8.42 7.43 8.37 8.05 6.62 2.99 May. 1............................. 5.81 5.80 5.50 6.15 7.89 7.30 8.47 7.46 8.38 8.10 6.64 2.95 8............................. 5.92 5.96 5.65 6.25 7.95 7.43 8.52 7.57 8.37 8.14 6.69 2.98 15............................. 5.96 6.08 5.80 6.40 7.99 7.48 8.59 7.64 8.38 8.17 6.74 3.01 22............................. 6.04 6.00 5.70 6.40 8.08 7.57 8.69 7.75 8.44 8.28 6.82 3.06 29............................. 5.90 6.00 5.70 6.40 8.12 7.66 8.66 7.77 8.43 8.35 7.03 3.11 June 5............................ 5.79 5.83 5.50 6.20 8.15 7.69 8.71 7.80 8.40 8.41 6.98 3.07 12............................ 5.89 5.90 5.60 6.25 8.13 7.66 8.73 7.79 8.37 8.42 7.03 3.09 19............................ 6.06 5.99 5.70 6.35 8.13 7.63 8.77 7.79 8.42 8.38 6.96 3.08 26............................ 5.98 6.19 5.80 6.65 8.14 7.62 8.78 7.79 8.49 8.37 6.99 3.14 Number of issues2....................... 7 20 5 5 119 20 30 40 29 40 14 500 500 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. Notes to tables on opposite page: Security Prices: Terms on Mortgages: i Begins June 30, 1965, at 10.90. On that day the average price of a share i Fees and charges—related to principal mortgage amount—include of stock listed on the American Stock Exchange was $10.90. loan commissions, fees, discounts, and other charges, which provide added income to the lender and are paid by the borrower. They exclude Note.—Annual data are averages of monthly figures. Monthly and any closing costs related solely to transfer of property ownership. weekly data are averages of daily figures unless otherwise noted and are computed as follows: U.S. Govt, bonds, derived from average market Note.—Compiled by Federal Home Loan Bank Board in cooperation yields in table on preceding page on basis of an assumed 3 per with Federal Deposit Insurance Corporation. Data are weighted averages cent, 20-year bond. Municipal and corporate bonds, derived from average based on probability sample survey of characteristics of mortgages yields as computed by Standard and Poor’s Corp., on basis of a 4 per cent, originated by major institutional lender groups (including mortgage 20-year bond; Wed. closing prices. Common stocks, derived from com­ companies) for purchase of single-family homes. Data exclude loans for ponent common stock prices. Average daily volume of trading, normally refinancing, reconditioning, or modernization; construction loans to conducted 5 days per week for 5 Vi hours per day, or 27 Vi hours per week. homebuilders; and permanent loans that are coupled with construction In recent years shorter days and/or weeks have cut total weekly trading loans to owner-builders. Series beginning 1965, not strictly comparable to the following number of hours: 1967—Aug. 8-20, 20; 1968—Jan. 22- with earlier data. See also the table on Home-Mortgage Yields, p. A-55. Mar. 1, 20; June 30-Dec. 31, 22; 1969—Jan. 3-July 3, 20; July 7-Dec. 31- 22.5; 1970—Jan. 2-May 1, 25. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ SECURITY MARKETS A 37 SECURITY PRICES Common stock prices Volume of Bond price 5S New York Stock Exchange trading in (per cent of ?ar) stocks Amer­ (thousands of Period Standard and Poor’s index New York Stock Exchange index ican shares) (1941-43= 10) (Dec. 31, 1965 = 50) Stoc Ex­ change ( G t l U e o o r . n m 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 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—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 Mar............... 67.94 82.8 65.8 99.60 109.59 39.70 62.42 54.89 58.43 41.71 41.60 70.66 25.88 16,955 5,570 Apr................ 67.57 80.4 65.1 103.04 113.68 42.29 62.06 56.81 60.65 45.35 41.73 73.91 26.43 19,126 5,685 May.............. 65.72 75.6 63.7 101.64 112.41 42.05 59.20 56.00 60.21 45.48 39.70 70.89 26.03 15,157 4,157 June.............. 65.84 74.8 63.5 99.70 109.95 41.97 59.96 55.06 59.25 44.90 38.71 70.01 25.61 13,802 3.488 Week ending— 1971—June 5........ 67.23 76.7 63.3 100.87 111.63 42.39 57.97 55.69 47.98 46.28 38.71 71.12 25.95 15,719 4,336 12........ 66.27 75.8 63.5 100.69 111.46 42.46 57.62 55.63 59.93 46.09 38.61 71.21 25.93 13,277 3,334 19........ 64.81 74.6 63.6 100.11 110.75 42.40 57.64 55.26 59.52 45.06 38.70 70.12 25.64 13,687 3,445 26........ 65.51 73.6 63.5 98.01 108.26 41.56 57.62 54.09 58.15 43.33 38.48 68.50 25.13 13,256 3,197 For notes see opposite page. TERMS ON CONVENTIONAL FIRST MORTGAGES New homes Existing homes Period c C t ( r r e p a o a n e t c n e t r ) t ­ c F c h e ( e a p e n r e s g t r ) e & 1 s M (y a e tu ar r s i ) ty L c p r ( a o e p r t i n a e i c t n o r e ) / (t d h c o p o P h l r u u l a i a s c r s r . e ­ e s o ) f (t a d h m L o o l o u o la a s u r . n n s o ) t f c C t ( r r e p a o a n e t c n e t r ) t ­ c F c h e ( e a p e n r e s t g ) r e & i s M (y a e t a u r r s i ) ty L c r p ( a o e p r t i n a e i c t n o r e ) / (t d h c o p o P h l r u u l a i a s c r s . r e ­ e s o ) f (t d h a L m o o l u o o l s a a u . r n n s o ) t f 196 4 5.78 .57 24.8 74.1 23.7 17.3 5.92 .55 20.0 71.3 18.9 13.4 196 5 5.74 .49 25.0 73.9 25.1 18.3 5.87 .55 21.8 72.7 21.6 15.6 196 6 6.14 .71 24.7 73.0 26.6 19.2 6.30 .72 21.7 72.0 22.2 15.9 196 7 6.33 .81 25.2 73.6 28.0 20.4 6.40 .76 22.5 72.7 24.1 17.4 196 8 6.83 .89 25.5 73.9 30.7 22.4 6.90 .83 22.7 73.0 25.6 18.5 196 9 7.66 .91 25.5 72.8 34.1 24.5 7.68 22.7 71.5 28.3 19.9 1970—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 25.8 73.8 35.3 25.8 8.12 .85 23.3 71.9 30.7 21.7 1971—Jan.. 8.03 .92 25.8 73.3 36.2 26.4 7.94 .82 23.5 72.5 30.7 22.0 Feb.. 7.74 1.00 26.2 73.9 37.0 26.2 7.67 .79 24.0 73.1 31.1 22.5 Mar. 7.52 .83 25.9 73.7 35.9 26.0 7.47 .77 24.1 73.5 31.7 23.0 Apr. 7.37 .73 26.3 73.6 36.0 26.2 7.34 .75 24.2 73.6 31.8 23.1 May 7.35 .71 26.0 73.6 36.8 26.6 7.34 .69 23.9 73.0 32.3 23.3 For notes see opposite page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 38 STOCK MARKET CREDIT □ JULY 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 Total margin customers by— tomers’tomers’ credit (per cent) ad­ End of period d n e e b t it f n r e ee t ten ex d ­ ed ju d s e t b e t d Bro l kers Ba 2 nks 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 2 d 0 er 20-29 30-39 40-49 50-59 6 m 0 o o re r ( li m o o n i f l s ­ dol­ Unrestricted Restricted * lars) 1970—May............... 4,160 2,290 6,450 5,433 2,222 3,211 June............... * \ / 3 4 , , 8 1 6 5 0 0 j \ 2,290 6,150 5,281 2,009 3,272 1970—May. 1.0 4.8 31.8 13.9 8.8 39.8 9,100 July................ 3,800 2,290 6,090 (4) 52,180 (4) June. 1.3 1.0 23.3 24.9 9.4 40.1 8,490 Aug................ 3,810 2,300 6,110 (4) 2,083 (4) July.. 1.1 1.0 32.7 16.7 9.0 39.5 8,610 Sept................ 3,920 2,330 6,250 (4) 2,236 (4) Aug.. .7 1.1 37.8 14.3 9.2 36.9 8,580 Oct................. 4,010 2,270 6,280 (4) 2,163 (4) Sept.. .6 1.1 45.5 12.0 8.9 31.9 8,900 Nov................ 4,010 2,320 6,332 (4) 2,197 (4) Oct... .7 1.0 38.4 18.0 9.2 32.6 8,780 Dec................ 4,030 2,330 6,360 (4) 2,286 (4) Nov.. 1.0 0.9 39.0 16.4 9.7 33.0 8,570 Dec.. .0 .3 47.0 13.7 9.5 29.4 8,140 1971—Jan................. 4,000 2,300 6,300 (4) 2,452 (4) Feb................. 4,090 2,330 6,420 (4) 2,743 (4) 1971—Jan. . .0 .4 55.1 12.5 8.4 23.6 8,180 Mar................ 4,300 2,360 6,660 (4) 2,798 (4) Feb. . .0 .4 56.2 13.2 7.7 22.5 8,410 4,530 2,340 6,870 (4) 2,660 (4) Mar.. .0 .5 58.4 12.7 6.7 21.6 8,820 May............... 4,620 2,340 6,960 (4) 2,550 (4) Apr.. .2 .4 60.6 12.1 6.0 20.7 9,200 May. .0 0.3 54.0 17.9 6.8 20.9 8,990 1 End-of-month data. Total amount of credit extended by member firms of the N.Y. Stock Exchange in margin accounts, excluding credit extended 1 Debt representing more than 30 per cent but less than 35 per cent of on convertible bonds and other debt instruments and in special subscrip­ collateral value is unrestricted as of May 6, 1970, but is not separable from tion accounts. the remainder of this category. 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 Note.—Adjusted debt is computed in accordance with requirements set for the purpose of purchasing or carrying securities. Excludes loans col­ forth in Regulation T and often differs from the same customer’s net debit lateralized by obligations of the U.S. Govt. balance mainly because of the inclusion of special miscellaneous accounts 3 Change in series. From Jan. 1966 to June 1970 the total of broker- in adjusted debt. Collateral in the margin accounts covered by these data extended margin credit was estimated by expanding the total of such now consists exclusively of stocks listed on a national securities exchange. credit extended by a small sample of N.Y. Stock Exchange member firms Unrestricted accounts are those in which adjusted debt does not exceed the according to the proportion of total Customers’ net debit balances ex­ loan value of collateral; accounts in all classes with higher ratios are tended by these firms. Beginning with June 30, 1970, total broker-extended restricted. margin credit is derived from reports by the majority of N.Y. Stock Ex­ change member firms that carry margin accounts for customers; these firms, as a group, account for nearly all such credit extended by members of that exchange. 4 Series discontinued. SPECIAL MISCELLANEOUS ACCOUNT BALANCES 5 Change in series. AT BROKERS, BY EQUITY STATUS OF ACCOUNTS Note.—Customers’ net debit and free credit balances are end-of-month ledger balances as reported to the New York Stock Exchange by all member firms that carry margin accounts. They exclude balances carried (Per cent of total, except as noted) 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 total debt owed by those customers whose combined accounts net to a Equity class of accounts debit. Free credit balances are in accounts of customers with no unfulfilled Net in debit status Total commitments to the broker and are subject to withdrawal on demand. Net End of period credit balance c a u r n n e d t d i l i f t r w e e e i x t t h c e d r n e r d a d e w i d t n b . b a y la b n r c o e k s e s r i s n c is e t t h h e e d la if t f t e e r r e n a c re e a b v e a tw ila e b en le c f u o s r t o th m e e b rs r ’ o n k e e t r s d ’ e u b s i e t status 60 o r p e m r o c r e e ntl 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 ) EQUITY STATUS OF MARGIN ACCOUNT DEBT 1970—May..................... 50.3 38.8 10.9 4,840 AT BROKERS 49.5 39.1 11.4 4,550 (Per cent of total debt, except as noted) July...................... 4 4 6 7. . 5 7 4 4 0 2 . . 5 6 1 1 1 0 . . 9 7 4 4, , 4 3 3 9 0 0 46.6 44.5 9.0 4,480 Total Equity class (per cent) 4 4 5 6 . . 5 2 4 4 3 3 . . 9 9 1 9 0 . . 9 6 4 4, , 2 4 4 3 0 0 debt 48.2 42.3 9.4 4,030 (mil­ E pe n r d i o o d f l d io 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 1971—J F a e n b . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 4 4 9 9 8 . . . 1 2 6 4 4 4 3 4 5 . . . 6 5 2 7 5 6 . . . 2 9 7 4 4 4 , , , 2 3 4 6 8 0 0 0 0 lars) 1 46.8 48.1 5.1 4,500 May...................... 46.5 47.1 6.4 4,400 1970—May. 4,160 9.6 15.8 18.3 14.2 13.5 28.6 J Ju u l n y e .. . 3 3, , 8 8 0 6 0 0 8 8. . 1 3 1 1 5 2 . . 1 4 2 1 1 8 . . 1 8 1 1 5 6 . . 7 0 1 13 3 . . 5 8 2 3 5 1 . . 8 4 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 in 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 al t Aug.. 3,810 10.7 15.1 22.9 16.6 13.6 21.1 purchases. Balances may arise as transfers based on loan values of other Sept.. 3,920 11.4 18.3 24.4 16.7 13.1 16.0 collateral in the customer’s margin account or deposits of cash (usually Oct... 4,010 9.9 15.2 25.5 16.9 14.3 18.2 sales proceeds) occur. Nov.. 4,010 10.4 14.8 26.1 17.5 14.1 17.2 Dec.. 4,030 11.0 16.1 27.1 16.8 13.5 15.5 1971—Jan. . 4,000 12.1 19.6 28.3 17.1 10.0 12.8 Feb.. 4,090 11.4 19.5 31.1 16.3 9.3 12.3 Mar.. 4,300 11.8 20.0 33.0 16.2 7.2 11.8 Apr.. 4,530 11.8 20.3 35.0 15.0 6.2 11.7 May. 4,620 10.6 15.7 36.7 18.0 7.4 11.6 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

JULY 1971 □ SAVINGS INSTITUTIONS A 39 MUTUAL SAVINGS BANKS (In millions of dollars) Loans Securities Total Mortgage loan assets— commitments 3 End of period M ga o g r e t­ Other G U o . v S t . . S l a o t n c a d a te l C r a o a n r t d e po­ Cash O as t s h e e ts r g li T e a a t n b o i n e e i t d s a l r i a l ­ l D i e t p s o 2 s­ l O ia t t i b h e i s e li r ­ G r c e o e s a u n e c e n r ­ v r t a s e l classi ( f i i n e d m b o y n t m hs a ) turity govt. other1 reserve accts. 3 or 3-6 6-9 Over Total less 9 1963............... 36,007 607 5,863 440 5,074 912 799 49,702 44,606 943 4,153 2,549 1964............... 40,328 739 5,791 391 5,099 1,004 886 54,238 48,849 989 4,400 2,820 1965............... 44,433 862 5,485 320 5,170 1,017 944 58,232 52,443 1,124 4,665 2,697 1966............... 47,193 1,078 4,764 251 5,719 953 1,024 60,982 55,006 1,114 4,863 2,010 1967............... 50,311 1,203 4,319 219 8,183 993 1,138 66,365 60,121 1,260 4,984 742 982 799 2,523 1968............... 53,286 1,407 3,834 194 10,180 996 1,256 71,152 64,507 1,372 5,273 811 1,034 1,166 3,011 1969............... 55,781 1,824 3,296 200 10,824 912 1,307 74,144 67,026 1,588 5,530 584 485 452 946 2,467 1970—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.r . 57,775 2,255 3,151 197 12,876 1,270 1,471 78,995 71,580 1,690 5,726 619 322 302 688 1,931 1971—Jan.... 58,014 2,365 3,196 206 13,457 1,129 1,564 79,930 72,441 1,739 5,750 638 322 285 705 1,950 Feb.... 58,194 2,592 3,328 222 13,919 1,270 1,575 81,100 73,366 1,926 5,809 723 352 283 790 2,148 Mar.. . 58,540 2,636 3,356 246 14,882 1,287 1,635 82,581 75,002 1,746 5,832 840 413 322 864 2,439 Apr.... 58,796 2,727 3,340 278 15,519 1,254 1,656 83,570 75,824 1,882 5,863 r993 r445 r360 rl ,005 2,804 May... 59,111 2,813 3,441 330 16,070 1,261 1,659 84,686 76,656 2,116 5,914 1,152 470 385 1,171 3,178 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 8, p. A-19. 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. 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: 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. 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—Mar.r........................... 199,708 10,962 4,528 3,235 3,199 85,554 71,702 13,852 72,673 6,004 14,544 9,971 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 15,674 10,053 Oct............................... 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 1971- 208,206 11,027 4,557 3,298 3,172 90,127 74,326 15,801 74,370 6,341 16,109 10,232 Feb............................... 209,885 11,126 4,632 3,319 3,175 91,038 74,696 16,342 74,437 6,453 16,220 10,611 Mar.............................. 211,500 11,023 4,540 3,335 3,148 92,629 75,192 17,437 74,516 6,485 16,293 10,554 1 Issues of foreign governments and their subdivisions and bonds of Year-end figures: Annual statement asset values, with bonds carried the International Bank for Reconstruction and Development. on an amortized basis and stocks at year-end market value. Month-end figures: Book value of ledger assets. Adjustments for interest due and Note.—Institute of Life Insurance data; figures are estimates for all accrued and for differences between market and book values are not made life insurance companies in the United States. on each item separately but are included in total, in “Other assets.” Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 40 SAVINGS INSTITUTIONS □ JULY 1971 SAVINGS AND LOAN ASSOCIATIONS (In millions of dollars) Mortgage loan Assets Liabilities commitments4 Total assets— End of period M ga o g r e t s ­ I s n i m e t v i c e e e u s n s r t i 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 r e y ­ d 3 p L ro o i c n a e n s s s Other d p M u er r a i i d o n e d g O e p u in n e t g s d ri t o a a o n d t f d ­ 196 1 68,834 5,211 3,315 4,775 82,135 70,885 5,708 2,856 1,550 1.136 1,872 196 2 78,770 5,563 3,926 5,346 93,605 80,236 6,520 3,629 1,999 1,221 2,193 196 3 90,944 6,445 3,979 6,191 107,559 91,308 7,209 5,015 2,528 1,499 2,572 196 4 101,333 6,966 4,015 7,041 119,355 101,887 7,899 5,601 2,239 1,729 2,549 196 5 110,306 7,414 3,900 7,960 129,580 110,385 8,704 6,444 2,198 1,849 2,707 196 6 114,427 7,762 3,366 8,378 133,933 113,969 9,096 7,462 1,270 2.136 1,482 196 7 121,805 9,180 3,442 9,107 143,534 124,531 9,546 4,738 2,257 2,462 3,004 196 8 130,802 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 1970 5—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.. 150,562 13,058 3,520 9,434 176,574 146,744 12,012 10,942 3,087 3,789 1,602 4,393 1971 —Jan... 151,503 15,506 2,930 9,386 179,325 149,298 12,056 10,494 3,055 4,422 1,665 4,565 Feb.. 152,665 16,805 3,249 9,524 182,243 151,742 12,062 10,097 3,161 5,181 2,069 5,225 Mar.. 154,430 18,335 3,376 9,668 185,809 155,845 12,044 9,838 3,500 4,577 3,130 6,445 Apr.r 156,574 18,302 3,146 9,831 187,853 158,061 12,031 8,631 3,877 5,253 3,370 7,359 Mayp 158,756 18,650 2,996 10,080 190,482 160,223 12,036 7,765 4,334 6,124 3,488 8,311 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. MAJOR BALANCE SHEET ITEMS OF SELECTED FEDERALLY SPONSORED CREDIT AGENCIES (In millions of dollars) Federal home loan banks Federal National Mortgage Assn. Banks Federal Federal (secondary market for intermediate land Assets Liabilities and capital operations) cooperatives credit banks banks End of period v m a b A t n e e o d c m rs ­ e ­ s I m nv e e n s ts t­ p C a o d a n s e s d i ­ h ts B n a o o n n te d d s s M po 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 s t­ D n t a e u ( o L n b r t e e d e ) s s n­ c L a o t ( o o i t A v o a p e ) n e s s r­ D t e u (L b re e ) s n­ c L o a d ( o u A n i a s n d n ) ­ t s s D t e u (L b re e ) s n­ M l g o ( a A a o g n r ) e t s ­ B ( o L n ) ds 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............. 10,614 3,864 105 10,183 2,332 1,607 15,502 15,206 2,030 1,755 4,974 4,799 7,186 6,395 1970—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... 10,539 2,658 84 10,090 1,499 1,598 14,702 14,702 1,973 1,601 4,972 4,818 7,137 6,395 Nov... 10,524 3,204 135 9,838 1,981 1,601 15,397 15,067 2,020 1,700 4,934 4,767 7,156 6,395 Dec... 10,614 3,864 105 10,183 2,332 1,607 15,502 15,206 2,030 1,755 4,974 4,799 7,186 6,395 1971—Jan. 10,326 4,101 112 9,836 2,751 1,599 15,619 15,311 2,119 1,786 5,055 4,845 7,210 6,395 Feb... 9,926 4,187 105 9,182 3,094 1,619 15,552 15,111 2,164 1,819 5,177 4,959 7,258 6,645 Mar. . 9,689 4,322 116 8,756 3,425 1,628 15,420 15,122 2,153 1,819 5,380 5,077 7,347 6,645 Apr... 8,269 4,235 192 7,876 2,828 1,627 15,308 15,477 2,113 1,900 5,568 5,336 7,426 6,700 May.. 7,268 4,400 96 7,419 2,379 1,620 15,242 15,142 2,056 1,830 5,729 5,468 7,502 6,640 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. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ FEDERALLY SPONSORED CREDIT AGENCIE iNDING ISSUES OF FEDERALLY SPONSORED AGENCIES, MAY 31, 1971 Cou­ Amount Cou­ Amount pon (millions Agency, and date of issue pon (millions Agency, and date of issue illioi of dollars) and maturity rate of dollars) and maturity iollai 8.05 250 282 8.45 586 4Vi 96 547 m 433 5% 350 584 7.65 583 8.45 500 412 7.35 338 6.85 350 423 8.20 250 6% 500 696 8.20 200 5H 98 623 8.20 300 6% 250 691 8.15 200 6% 200 583 m 250 4^ 100 203 8.35 350 8.70 300 200 5.70 400 8.40 400 224 4.20 400 7.40 200 7.20 450 8.00 200 8.40 300 7.20 400 8.40 250 7.30 450 72 7.65 184 8.30 250 270 8.05 233 4% 146 232 6.10 250 8.35 350 447 8.00 265 8.10 300 230 7.95 300 5.75 500 300 6.50 350 7.75 350 437 7.75 350 7.90 400 442 7.80 200 7.85 250 109 5.65 300 337 6.10 250 200 7.55 300 407 5.25 500 148 7.50 350 198 1,891 5.65 500 350 4Vi 198 300 6.00 250 6.38 250 155 8.00 200 6.50 150 354 7.25 250 300 6.65 250 220 8.13 150 6.75 200 200 7.50 400 6.25 200 123 8.38 250 150 8.63 200 150 5.70 371 285 5.25 340 224 6.85 250 4.50 420 8.60 400 3.70 331 4.45 268 7.30 100 00 Federal National Mortgage Federal intermediate Association—Cont. credit banks Debentures—Cont: Debentures: 7/10/70 - 8/10/71___ 9/1/70-6/1/71.......... 7.30 9/11/61 - 9/10/71.... 10/1/70 - 7/1/71. . .. 7.10 9/10/68 - 9/10/71.... 11/2/70 - 8/2/71___ 6.80 6/10/70 - 10/21/71. .. 12/1/70 - 9/1/71___ 5.70 5/10/69 - 11/10/71. .. 1/4/71 - 10/4/71.... 5.30 3/10/70 - 12/10/71... 2/1/71 - 11/1/71........ 4.55 2/10/60 - 2/10/72. 3/1/71 - 12/1/71........ 4.00 3/10/69 - 3/10/72.... 4/1/71 -1/3/72.......... 3.85 10/14/69 - 3/10/72... 5/3/71 -2/1/72.......... 4.60 12/11/61 - 6/12/72... 3/2/70 - 3/1/73........ 8.15 2/10/70 - 6/12/72.... 9/1/70-7/2/73.......... 7.75 5/11/70 - 9/11/72. 1/4/71 - 7/1/74........ 5.95 6/10/70 - 9/11/72.... 11/10/69 - 12/11/72.. Federal land banks 10/13/70 - 12/11/72.. Bonds: 11/10/70 - 3/12/73. .. 2/15/57 - 2/15/67-72 4H 12/12/69 - 3/12/73... 7/15/69 - 7/20/71... 8.15 6/12/61 - 6/12/73.... 10/20/69 - 7/20/71.. 8.45 7/10/70 - 6/12/73.... 10/20/68 - 10/20/71. 6.00 3/10/70 - 9/10/73.... 8/20/68 - 2/15/72... 5.70 12/10/70 - 12/10/73.. 2/23/71 - 4/20/72.... 4.45 4/10/70 - 3/11/74.. .. 4/20/71 -4/20/72... . 41/4 8/5/70 - 6/10/74....... 6/22/70 - 7/20/72... 8.20 9/10/69 - 9/10/74___ 9/14/56 - 9/15/72... 3^ 2/10/71 - 9/10/74........ 9/22/69 - 9/15/72... 8.35 5/10/71 - 12/10/74.... 10/23/72 - 10/23/72. 5% 11/10/70 - 3/10/75. .. 7/20/70 - 1 /22/73. . . 7.95 4/12/71 -6/10/75........ 2/20/63 - 2/20/73-78 4^S 10/13/70 - 9/10/75. .. 1/20/70 - 7/20/73... 8.45 3/11/71 - 3/10/76........ 8/20/73 - 7/20/73.... 7.95 2/13/62 - 2/10/77. 4/20/70 - 10/22/73.. 7.80 12/10/70 - 6/10/77. . . 2/20/72 - 2/20/74... 4Vi 5/10/71 -6/10/77........ 10/20/70 - 4/22/74. . 7.30 1/21/71 - 6/10/81.... 4/20/71 - 10/21/74... 5.30 2/10/71 - 6/10/82........ 2/20/70 - 1/20/75... 8^8 3/11/71 -6/10/83........ 4/20/65 - 4/21/75... 4M 4/12/71 -6/11/84........ 2/21/66 - 2/24/76... 5.00 Ba D nk e s b e fo n r t u c r o e o s p : eratives 7 5 / / 2 2 0 /6 /6 6 6 - - 4 7 /2 /2 0 0 /7 /7 8 6 .. . . . . . 5 5 H K 12/10/70 - 6/1/71.... 2/20/67 - 1/22/79... 5.00 1/4/71 - 7/1/71.......... 2/23/71 -4/20/81.... 6.70 2/1/71-8/2/71............ 4/1/71 - 10/4/71.......... 63 5/3/71 - 11/1/71.......... 200 10/1/70 - 10/1/73___ Nov. 1970 not yet available. 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 42 FEDERAL FINANCE □ JULY 1971 FEDERAL FISCAL OPERATIONS: SUMMARY (In millions of dollars) U.S. budget Means of financing Receipt-expend- Borrowings from the public 2 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 lays 1 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. 87,562 104,084 104,183 -16,621 18,240 -19 1,807 157 16,257 54 -952 -534 Month: 1970—May r.... 14,022 16,381 109 16,491 -2,469 3,893 -278 1,565 590 1,461 -1,008 -1,446 -1,446 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 Feb......... 15,130 16,717 -170 16,546 -1,417 2,324 -1,001 1,464 -382 240 -1,718 -193 -734 Mar........ 13,205 18,328 318 18,646 -5,441 1,003 518 522 324 675 -3,370 57 1,453 Apr......... 21,024 17,769 49 17,818 3,206 223 -345 221 -71 -271 4,365 527 1,957 May........ 13,190 16,882 270 17,152 -3,961 4,954 40 2,095 702 2,197 -1,973 -723 -931 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 i y es Sp G I e n c o v i v a e 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 t s c e s i s a : 3 l E p T h u q b o e b u y l t l d a a ic l l s: s c p p o G r o N r i n o v p o s v a s w o t . t — e . r - e 5 d issues Fiscal year: 1967........................ 1,311 4,272 112 5,695 326,221 18,455 56,155 17,663 3,328 267,529 9,220 1968........................ 1,074 4,113 111 5,298 347,578 24,399 59,374 19,766 2,209 290,629 10,041 1969........................ 1,258 4,525 112 5,894 353,720 14,249 66,738 20,923 825 279,483 24,991 1970........................ 1,005 6,929 111 8,045 370,919 12,510 76,124 21,599 825 284,880 35,789 Calendar year: 1969........................ 1,312 3,903 112 5,327 368,226 13,820 70,677 21,250 825 289,294 30,578 1970........................ 1,156 6,834 109 8,099 389,158 12,491 77,931 21,756 825 301,138 Month : 1970—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 38,693 Feb............. 1,064 6,725 109 7,898 390,664 12,503 78,843 21,461 825 302,038 38,183 Mar.............. 858 3,561 109 4,528 391,668 13,021 79,366 21,784 825 302,713 37,814 Apr.............. 1,322 7,462 109 8,893 391,891 12,676 79,586 21,714 825 302,442 38,694 May............. 874 5,938 109 6,920 396,845 12,716 81,681 22,417 825 304,638 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 debt of Federal home loan banks, Federal land banks, D.C. mainly by reductions in agency securities. The Federal National Mortgage Stadium Fund, FNMA (beginning Sept. 1968), FICB, and banks for Association (FNMA) was converted to private owership in Sept. 1968 and cooperatives (beginning Dec. 1968). the Federal Intermediate Credit Banks (FICB) and Banks for Coopera­ 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

JULY 1971 □ FEDERAL FINANCE A 43 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 Employment Total W he it l h d - 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 co P r t n o a a y l t x l r ­ i e b s u e a t S m i n e o d l p n f l - s . 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 7,84561,52634,918 94626,047 1,776 3,659 1,86733,349 13,719 1,901 2,978 2,108 196 8 153,671 57,301 20,951 9,52768,72629,897 1,23227,680 1,544 3,346 2,05234,62214,079 2,038 3,051 2,491 196 9 187,78470,18227,258 10,191 87,24938,338 1,66032,521 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 2,20837,190 1,942 3,465 2,70045,298 15,705 2,430 3,644 3,424 Half year: 1969—Jan.-June 104,88636,44621,743 9,71548,47422,844 876 17,577 1,584 2,039 1,17422,374 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 1,41625,558 7,464 1,168 2,148 1,615 July-Dee. 87,56237,445 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—Ma y r14,022 7,058 1,063 2,863 5,258 862 148 4,585 207 857 r232 r5,881 1,319 192 348 r311 June....... 22,561 6,014 3,797 458 9,353 7,517 188 3.294 127 70 278 3,769 1,367 207 328 207 July........ 12,609 6,040 477 236 6,281 1,071 234 2,745 186 255 3,185 1,439 218 293 356 Aug........ 15,172 6,985 333 100 7,219 666 182 4,494 587 249 5,330 1,309 223 224 382 Sept..... 18,725 5,907 3,623 81 9,449 4,543 265 2,521 123 47 270 2,962 1,272 218 234 313 Oct......... 11,493 5,667 497 55 6,110 1,089 420 2,311 106 280 2,697 1,237 231 262 288 Nov........ 14,134 7,007 216 42 7,181 711 187 3,474 374 259 4,107 1,549 207 239 327 Dec......... 15,429 5,838 422 50 6,209 4,664 179 2,222 "'g 50 265 2,545 1,346 220 285 339 1971—Ja............n 15,773 6,339 4,280 4010,579 1,085 558 2,178 113 165 264 2,720 1,195 199 269 286 Feb......... 15,130 7,246 654 1,407 6,493 683 310 4,835 141 721 248 5,944 1,505 175 280 361 Mar........ 13,205 6,605 1,392 4,631 3,366 3,887 363 3,472 152 77 288 3,990 1,443 226 329 328 Apr......... 21,024 5,939 7,951 4,261 9,630 4,360 345 3.294 1,085 301 290 4,970 1,351 221 589 248 May........ 13,190 6,224 735 3,114 3,846 878 255 4,893 209 1,005 258 6,366 1,459 204 379 313 Budget outlays4 Period Total t f i e N 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 c tu u g r r l e ­ i­ so N u u r r e a r a c ­ t l ­ es m t C r a a o e n n r m d c s e p ­ . d h e C o m a v u o n e u s m l d n i o n . - p g . E p m t d o a i n u w 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 c n n v r ­ a s t s , - ­ 5 Fiscal year: 1967.................................... 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 1968.................................... 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 1969.................................... 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 1970.................................... 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 1971................................ 212,755 76,443 3,586 3,368 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 3,151 5,804 4,243 10,937 4,495 8,808 76,749 10,644 19,687 4,970 -7,771 Half Year: 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 -4,015 104,183 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—May r....................... r16,491 6,534 296 285 144 r207 r718 98 694 5,207 806 1,563 r310 r —372 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 1,597 190 -234 Aug.......................... 17,495 6,253 285 282 720 371 885 259 680 5,289 766 1,705 346 -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 5,678 808 1,676 294 -2,157 1971—Jan........................... 17,115 6,153 184 262 632 -409 826 373 676 5,899 768 1,631 367 -247 Feb.......................... 16,546 5,851 236 295 -89 234 759 217 686 5,929 797 1,695 294 -357 Mar......................... 18,646 6,674 392 333 -52 230 1,000 206 912 6,139 964 1,709 399 -260 Apr.......................... 17,818 6,337 328 252 -21 250 1,015 286 683 6,093 883 1,683 323 -294 May......................... 17,152 6,043 358 274 94 255 707 230 752 5,858 877 1,667 361 -325 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 44 U.S. GOVERNMENT SECURITIES □ JULY 1971 GROSS PUBLIC DEBT, BY TYPE OF SECURITY (In billions of dollars) Public issues Total End of period p g u r b o l s i s c Marketable Con­ Nonmarketable i S ss p u e e c s ia 4 l debt i Total v ib e l r e t­ Sav­ Total Bills C c e a r t t e if s i­ Notes Bonds 2 bonds bo in n g d s s & notes 1941—Dec. 57.9 50.5 41.6 2.0 6.0 33.6 8.9 6.1 7.0 1946—Dec. 259.1 233.1 176.6 17.0 30.0 10.1 119.5 56.5 49.8 24.6 1962—Dec. 303.5 255.8 203.0 48.3 22.7 53.7 78.4 4.0 48.8 47.5 43.4 1963—Dec. 309.3 261.6 207.6 51.5 10.9 58.7 86.4 3.2 50.7 48.8 43.7 1964—Dec. 317.9 267.5 212.5 56.5 59.0 97.0 3.0 52.0 49.7 46.1 1965—Dec. 320.9 270.3 214.6 60.2 50.2 104.2 2.8 52.9 50.3 46.3 1966—Dec. 329.3 273.0 218.0 64.7 5.9 48.3 99.2 2.7 52.3 50.8 52.0 1967—Dec. 344.7 284.0 226.5 69.9 61.4 95.2 2.6 54.9 51.7 57.2 1968—Dec. 358.0 296.0 236.8 75.0 76.5 85.3 2.5 56.7 52.3 59.1 1969—Dec. 368.2 295.2 235.9 80.6 85.4 69.9 2.4 56.9 52.2 71.0 1970—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 Mar. 391.7 309.7 247.5 89.0 104.3 54.2 2.4 59.9 53.0 80.0 Apr.. 391.9 310.4 245.9 87.5 104.3 54.1 2.4 62.1 53.2 79.7 May. 396.8 313.2 245.6 89.1 102.5 54.0 2.3 65.2 53.4 81.7 June, 398.1 313.5 245.5 86.7 104.8 54.0 2.3 65.7 53.6 82.8 1 Includes non-interest-bearing debt (of which $627 million on June 30, 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 io o d f p T g d u r o e b o t b l s a i t s l c ag G t U e a r o n n u .S v c d s t i . t e . s B F a . n R k . s Total m C b e a o r n m c 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 n s m c u ie e r ­ s ­ r c O a o t t r i h o p e n o r s ­ g S l a o o t n c v a a d t ts e l . Savi I n n g d s ividu O al t s her n F a i o t n a i r t n o e e d i n r g ­ a n l1 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—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 Feb................ 390.7 98.0 62.5 230.2 62.1 2.8 7.2 10.2 23.8 52.3 28.8 22.9 20.1 Mar............... 391.7 98.8 64.2 228.7 61.2 2.8 6.8 11.0 22.6 52.5 27.5 25.4 18.9 Apr................ 391.9 99.1 63.7 229.1 60.2 2.8 6.8 10.0 22.0 52.8 26.5 29.2 19.0 May............... 396.8 101.8 64.8 230.2 59.0 2.9 6.8 9.8 21.9 53.0 25.3 33.6 18.1 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

JULY 1971 a U.S. GOVERNMENT SECURITIES A 45 OWNERSHIP OF MARKETABLE SECURITIES, BY MATURITY (Par value, in millions of dollars) Within 1 year Type of holder and date Total 1-5 5-10 10-20 Over years years years 20 years Total Bills Other All holders: 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—Apr. 30........................................................ 245,888 113,466 87,504 25,962 85,990 27,199 8,491 10,742 May 31........................................................ 245,635 113,959 89,096 24,863 88,003 24,501 8,472 10,699 U.S. Govt, agencies and trust funds: 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—Apr. 30................................................ 17,409 2,603 862 1,741 6,248 4,339 1,775 2,445 May 31................................................ 18,109 2,869 979 1,890 6,962 4,047 1,775 2,456 Federal Reserve Banks: 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—Apr. 30................................................ 63,721 32,964 26,321 6,643 23,735 6,141 316 564 May 31................................................ 64,764 34,344 27,237 7,107 23,645 5,896 316 564 Held by private investors: 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—Apr. 30................................................ 164,758 77,899 60,321 17,578 56,007 16,719 6,400 7,733 May 31................................................ 162,762 76,746 60,880 15,866 57,396 14,558 6,381 7,679 Commercial banks: 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—Apr. 30........................................ 48,713 14,697 8,146 6,551 26,914 6,495 355 252 May 31......................................... 47,059 13,977 7,364 6,613 26,785 5,696 359 243 Mutual savings banks: 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—Apr. 30......................................... 2,815 438 197 241 1,131 534 332 380 May 31......................................... 2,880 435 222 213 1,236 501 330 378 Insurance companies: 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—Apr. 30......................................... 5,848 699 375 324 1,577 999 1,395 1,178 May 31......................................... 5,851 683 439 244 1,653 945 1,410 1,161 Nonfinancial corporations: 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—Apr. 30........................................ 3,041 1,653 1,486 167 1,157 181 5 44 May 31........................................ 3,014 1,827 1,629 198 1,075 102 2 9 Savings and loan associations: 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—Apr. 30......................................... 3,321 679 450 229 1,692 519 205 226 May 31......................................... 3,266 667 449 218 1,689 484 203 222 State and local governments: 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—Apr. 30......................................... 11,353 5,635 4,621 1,014 2,280 910 1,067 1,461 May 31......................................... 11,411 5,712 4,796 916 2,403 826 1,027 1,444 All others: 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—Apr. 30......................................... 89,667 54,098 45,046 9,052 21,256 7,081 3,041 4,192 May 31......................................... 89,281 53,445 45,981 7,464 22,555 6,004 3,050 4,222 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 5,691 commercial banks, 491 mutual savings agencies and certain Govt, deposit accounts have been removed from U.S. banks, and 742 insurance companies combined; (2) about 50 per cent by Govt, agencies and trust funds and added to “All others.” Comparable data the 467 nonfinancial corporations and 487 savings and loan assns.; and are not available for earlier periods. (3) about 70 per cent by 502 State and local govts. Data complete for U.S. Govt, agencies and trust funds and F.R. Banks “AH 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 46 U.S. GOVERNMENT SECURITIES □ JULY 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 W 1 y it e h a in r y 1 e - a 5 rs y 5 e - a 1 r 0 s 10 O y v e e a r r s U s . e S c . u G rit o ie v s t, Other m b C e a o r n c m k ia s ­ l o A th l e l r 1970—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 Feb............................... 3,316 2,291 579 397 49 1,178 145 1,232 760 679 Mar.............................. 3,072 2,122 506 388 57 1,036 143 1,204 688 567 Apr.............................. 2,458 1,881 328 216 33 828 116 878 636 516 May............................. 2,322 1,695 406 192 29 837 100 742 643 480 Week ending— 1971—May 5....................... 3,111 2,211 671 192 37 1,104 127 952 929 448 12....................... 2,019 1,464 346 178 31 755 97 624 542 368 19....................... 2,232 1,539 386 282 27 778 109 703 643 474 26....................... 2,378 1,866 307 179 26 913 88 811 566 598 June 2....................... 2,460 2,048 257 127 29 888 114 767 692 569 9....................... 1,924 1,529 239 132 25 669 105 566 584 354 16....................... 1,865 1,560 211 72 23 632 101 537 595 437 23..................... 2,107 1,731 284 71 22 688 105 694 619 494 30....................... 2,645 2,164 365 78 38 785 119 890 851 358 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. Period m t A a i t e H u s 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 g t c e o ie u n v s r c t i . y ­ Period so A ur l c l es Y N C o e it w r y k w E h ls e e r ­ e C t o io rp n o s r i a­ o A th l e l r 1970—May............... 2,668 1,886 461 306 16 654 1970-May.......... 2,898 637 830 466 964 June............... 2,199 1,859 111 227 2 615 June.......... 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 Aug........... 4,900 1,526 1,168 834 1,373 Sept................ 4,020 3,326 246 433 16 724 Sept........... 4,220 1,164 1,456 449 1,152 Oct................. 3,963 3,449 103 379 33 1,001 Oct............. 4,233 1,370 1,232 392 1,240 Nov................ 4,760 3,399 617 682 62 1,066 Nov........... 5,149 1,517 1,527 416 1,689 Dec................ 5,571 4,399 612 485 76 1,049 Dec............ 5,949 1,868 1,960 379 1,742 1971—Jan.................. 5,634 4,626 525 403 80 966 1971—Jan............. 6,198 1,888 1,695 527 2,088 Feb................. 4,655 3,320 569 691 75 946 Feb............ 5,684 1,673 1,318 369 2,324 Mar................ 4,421 3,511 437 404 70 981 Mar............ 4,543 1,356 926 399 1,862 Apr................ 4,870 4,019 415 416 20 1,118 Apr............ 5,700 1,759 1,415 724 1,802 May............... 2,646 2,115 189 331 11 818 May........... 3,389 1,095 475 517 1,301 Week ending— Week ending— 1971—Apr. 7.......... 6,478 5,465 536 432 44 1,247 1971—Apr. 7.... 6,473 1,899 1,749 603 2,222 14.......... 5,123 4,310 417 385 13 1,141 14.... 6,706 2,083 2,074 703 1,847 21.......... 4,567 3,757 394 404 13 1,050 21.... 5,583 1,881 1,163 808 1,731 28.......... 3,878 3,060 382 424 12 1,108 28.... 4,347 1,178 831 810 1,529 May 5......... 3,322 2,687 192 427 16 875 May 5 . .. 4,292 1,456 723 574 1,540 12 2,854 2,124 319 394 17 833 12. .. 3,835 1,170 467 518 1,679 19......... 2,317 1,790 178 345 6 764 19. .. 3,423 1,074 452 560 1,337 26 2,356 1,994 109 249 4 828 26. .. 2,599 862 371 478 888 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

JULY 1971 □ GOVERNMENT SECURITIES A 47 U.S. GOVERNMENT MARKETABLE AND CONVERTIBLE SECURITIES, JUNE 30, 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 July 1, 1971 3.302 Dec. 9, 1971___ 1,400 Apr. 1, 1973 • 1 Vi 34 Sept.15, 1967-72..2 Vi 1,951 July 8, 1971 3.402 Dec. 16, 1971___ 1,400 May 15, 1973.....7% 5,844 Dec. 15, 1967-72..2i/i 2,561 July 15, 1971 3,408 Dec. 23, 1971 ___ 1,603 Aug. 15, 1973.....8^ 1,839 Aug. 15, 1971.... 4 2,806 July 22, 1971 3.402 Dec. 31, 1971 1,702 Oct. 1, 1973.....1% 30 Nov. 15, 1971..., .37/g 1,081 July 29, 1971 3.402 Jan. 31, 1972.. .. 1,700 Feb. 15, 1974.....73/4 3,141 Feb. 15, 1972.,. .4 980 July 31, 1971 1.703 Feb. 29, 1972.... 1,701 Apr. 1, 1974 ,., .1*4 34 Aug. 15, 1972 . .4 2,579 Aug. 5, 1971 3,406 Mar. 31, 1972... . 1,701 May 15, 1974.....7% 4,507 Aug. 15, 1973, , .4 3,894 Aug. 12, 1971 3.400 Apr. 30, 1972. .. . 1,201 Aug. 15, 1974 ... .55/s 10,284 Nov. 15, 1973....• 41/s 4,343 Aug. 19, 1971 3,404 May 31, 1972___ 1,201 Oct. 1, 1974....■ Wi 42 Feb. 15, 1974....• 41/s 3,126 Aug.26, 1971 3.503 June 30, 1972___ 1,200 Nov. 15, 1974 ... .5% 7,212 May 15, 1974,,.,.41/4 3,579 Aug. 31, 1971 1.704 Feb. 15, 1975 ,,, .5% 5,148 Nov. 15, 1974....• 37/8 2,238 Sept. 2, 1971 3.503 Apr. 1, 1975 , • 1 Vi 8 May 15, 1975-85..4% 1,212 Sept. 9, 1971 3.502 May 15, 1975 ... .6 6,760 June 15, 1978-83..314 1,535 Sept. 16, 1971 3.502 Aug. 15, 1975,, ,.5Vs 7,680 Feb. 15, 1980.... .4 2,591 Sept.23, 1971 3,805 Treasury notes Oct. 1, 1975....•1% 31 Nov. 15, 1980..., • 3!A 1,904 Sept.30, 1971 3.303 Aug. 15, 1971.........8M 2,257 Feb. 15, 1976.....6% 3,739 May 15, 1985.....3% 1,055 Oct. 7, 1971 1,601 Oct. 1, 1971.........\y2 72 Apr. 1, 1976.....iVi 3 Aug. 15, 1987-92..4% 3,804 Oct. 14, 1971 1,600 Nov. 15, 1971.........53/g 963 May 15, 1976.....61/2 2,697 Feb. 15, 1988-93..4 247 Oct. 21, 1971 1.401 Nov. 15, 1971.........iyA 5,836 Aug. 15, 1976.....71/2 4,194 May 15, 1989-94.•41/s 1,551 Oct. 28, 1971 1.401 Feb. 15, 1972.........4*4 800 Feb. 15, 1977,....8 5,163 Feb. 15, 1990,,..• 3 Vi 4,653 Oct. 31, 1971 1.701 Feb. 15, 1972.........iy2 2,688 Aug. 15, 1977, ,..734 2,264 Feb. 15, 1995,....3 1,193 Nov. 4, 1971 1.400 Apr. 1, 1972.........li/2 34 Feb. 15, 1978., • 614 8,388 Nov. 15, 1998... ..31/2 3,876 Nov. 11, 1971 1.400 May 15, 1972.........4y4 5,310 Nov. 18, 1971, 1.402 May 15, 1972.........6 y4 2,037 Nov.26, 1971, 1.400 Aug. 15, 1972.............5 3,452 Convertiblebonds Nov.30, 1971 1.702 Oct. 1, 1972.........iy2 33 Treasury bonds Investment Series B Dec. 2, 1971 1,395 Nov. 15, 1972.............6 2,286 June 15, 1967-72.•2% 1,232 Apr. 1, 1975-80..234 2,347 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 n l e i- r- R n e u v e e­ HAAi 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 Other2 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 ti t e i 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 s h 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—May. 996 674 315 7 254 311 433 987 298 30 367 11 . 281 June. 1,085 651 423 12 165 379 543 1,085 528 61 147 8 . 342 July. 1,348 1,055 288 4 388 229 730 1,348 268 130 142 4 . 803 Aug. 1,359 873 481 5 331 518 509 1,358 404 136 196 4 . 617 Sept.. 1,758 1,207 541 9 534 536 688 1,756 491 137 243 21 . 864 Oct.. 1,924 1,184 695 13 290 531 1,102 1,923 532 123 380 68 . 821 Nov.. 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 1971—Jan r. 2,702 1,611 968 2 577 1,135 990 2,691 508 390 428 373 . 992 Febr, 1,833 1,225 600 7 585 610 638 1,817 518 133 315 123 . 727 Mar.. 2,107 1,299 806 1 417 628 1,062 2.097 549 181 623 28 . 716 Apr. 1 ,r— 1,338 545 5 440 492 958 1,845 501 66 462 19 . 797 May. 2,106 1,085 816 197 486 1,046 575 2.098 594 447 427 211 . 419 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 48 SECURITY ISSUES □ JULY 1971 TOTAL NEW ISSUES (In millions of dollars) Gross proceeds, all issues1 Noncorporate Corporate Period Bonds Stock Total U.S. G U o .S vt . . an S d t a lo te c al Others Total Govt.2 agency3 (U.S.)4 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 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..................... 88,664 14,831 16,180 17,762 949 38,944 30,264 25,384 4,880 1,388 7,292 1970—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 10 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 1971—Jan........... 7,438 436 1,050 2,614 223 3,115 2,627 2,033 594 76 413 Feb........... 6,522 431 1,224 1,823 44 3,000 2,476 2,201 275 100 424 Mar.......... 11,069 517 1,300 2,104 1,073 6,075 4,782 4,135 647 311 982 Apr........... 7,640 467 1,137 1,859 172 4,007 2,591 2,118 473 573 878 i 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 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.............................................. 9,191 1,322 1,949 2,545 2,188 92 8,016 3,001 5,059 83 3,861 1,636 1970—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 56 118 228 145 904 337 443 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 1971_Jan..................................... 647 69 259 239 167 608 68 391 555 112 Feb..................................... 644 17 72 112 89 1 752 317 672 ii 248 66 Mar.................................... 2,123 294 289 186 160 1 895 557 481 52 834 204 Apr.................................... 800 315 246 131 280 67 605 660 243 26 471 106 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 I year sold for cash in the United States. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 o SECURITY ISSUES A 49 NET CHANGE IN OUTSTANDING CORPORATE SECURITIES (In millions of dollars) Derivation of change, all issuers1 Period All securities Bonds and notes Common and preferred stocks New issues Retirements Net change New issues Retirements Net change New issues Retirements Net change 196 6 19,799 7,541 12,258 15,629 4,542 11,088 4,169 3,000 1,169 196 7 25,964 7,735 18,229 21,299 5,340 15,960 4,664 2,397 2,267 196 8 25,439 12,377 13,062 19,381 5,418 13,962 6,057 6,959 -900 196 9 28,841 10,813 18,027 19,523 5,767 13,755 9,318 5,045 4,272 197 0 38,707 9,079 29,628 29,495 6,667 22,825 9,213 2,411 6,801 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 IV. 11,936 2,577 9,359 9,034 2,069 6,964 2,902 508 2,394 1971—1.. 11,849 2,015 9,833 9,399 1,776 7,623 2,450 239 2,211 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 nd te 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 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 1970....................... 6,641 870 853 1,778 1,104 36 6,861 2,917 4,806 94 2,564 1,107 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 21 -15 1,917 750 991 6 691 139 IV............... 2,054 374 407 404 428 58 1,777 1,189 1,135 51 1,165 318 1971—1.................. 2,587 495 324 416 271 33 1,897 948 1,194 65 1,349 255 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 Sales i Re ti d o e n m s p­ s N al e e t s Total 2 po C si a ti s o h n 3 Other Sales 1 Re ti d o e n m s p­ s N al e e t s Total 2 po C si a t s i h on3 Other 1958.............. 1,620 511 1,109 13,242 634 12,608 1970—May.. 304 300 4 39,824 4,042 35,782 1959.............. 2,280 786 1,494 15,818 860 14,958 June.. 364 197 167 38,459 4,396 34,230 1960.............. 2,097 842 1,255 17,026 973 16,053 July... 306 193 113 40,714 4,817 35,897 Aug... 311 167 144 42,452 4,794 37,658 1961.............. 2,951 1,160 1,791 22,789 980 21,809 Sept... 357 218 139 44,353 4,593 39,760 1962.............. 2,699 1,123 1,576 21,271 1,315 19,956 Oct.. . 420 243 177 43,567 4,377 39,190 1963.............. 2,460 1,504 952 25,214 1,341 23,873 Nov... 343 215 128 45,223 4,126 41,097 Dec... 467 307 160 47,618 3,649 43,969 1964.............. 3,404 1,875 1,528 29,116 1,329 27,787 1965.............. 4,359 1,962 2,395 35,220 1.803 33,417 1971—Jan.... 487 242 245 50,251 3,663 46,588 1966.............. 4,671 2,005 2,665 34,829 2,971 31,858 Feb.. . 349 322 27 51,300 3,600 47,700 Mar... 468 425 43 53,618 3,328 50,290 1967.............. 4,670 2,745 1,927 44,701 2,566 42,135 Apr... 547 394 153 55,883 3,046 52,837 1968.............. 6,820 3,841 2,979 52,677 3,187 49,490 May.. 307 428 -121 53,610 2,607 51,003 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 50 BUSINESS FINANCE □ JULY 1971 SALES, PROFITS, AND DIVIDENDS OF LARGE CORPORATIONS (In millions of dollars) 1968 19691 Industry 1965 1966 1967 1968 1969 I II III IV I II 111 IV Manufacturing Total (177 corps.): Sales...................................... 177,237195,738201,399225,740243,449 .53,633 57,732 53,987 60,388 57,613 61,392 61,061 63,383 Profits before taxes............... 22,046 23,487 20,898 25,375 25,622 5,985 6,878 5,580 6,932 6,565 6,887 5,851 6,319 Profits after taxes.................. 12,461 13,307 12,664 13,787 14,090 3,298 3,609 3,030 3,850 3,579 3,750 3,244 3,517 Dividends.............................. 6,527 6,920 6,989 7,271 7,757 1,716 1,731 1,746 2,078 1,838 1,916 1,885 2,118 Nondurable goods industries (78 corps.):2 Sales...................................... 64,897 73,643 77,969 84,861 92,033 20,156 21,025 21,551 22,129 21,764 23,198 23,445 23,626 Profits before taxes............... 7,846 9,181 9,039 9,866 10,333 2,387 2,492 2,545 2,442 2,524 2,664 2,641 2,504 Profits after taxes................. 4,786 5,473 5,379 5,799 6,103 1,428 1,411 1,471 1,489 1,492 1,559 1,529 1,523 Dividends...................................... 2,527 2,729 3,027 3,082 3,289 743 751 763 825 812 808 820 849 Durable goods industries (99 corps.):3 Sales....................................... 112,341 122,094123,429140,879151,416 33,477 36,707 32,435 38,259 35,849 38,195 37,616 39,756 Profits before taxes............... 14,200 14,307 11,822 15,510 15,290 3,598 4,386 3,036 4,490 4,041 4,224 3,210 3,815 Profits after taxes................. 7,675 7,834 6,352 7,989 7,989 1,871 2,198 1,559 2,361 2,087 2,190 1,715 1,997 Dividends.............................. 4,000 4,191 3,964 4,189 4,469 972 981 983 1,253 1,026 1,108 1,065 1,270 Selected industries: Foods and kindred products (25 corps.): Sales....................................... 16,427 19,038 20,134 22,109 24,593 5,184 5,389 5,737 5,799 5,714 5,923 6,631 6,325 Profits before taxes............... 1,710 1,916 1,967 2,227 2,425 498 563 590 576 534 581 666 644 Profits after taxes................. 896 1,008 1,041 1,093 1,171 255 260 285 293 261 275 314 321 Dividends...................................... 509 564 583 616 661 150 155 155 156 162 165 164 170 Chemical and allied products (20 corps.): Sales....................................... 18,158 20,007 20,561 22,808 24,494 5,436 5,697 5,782 5,893 5,845 6,230 6,236 6,183 Profits before taxes............... 2,891 3,073 2,731 3,117 3,258 760 807 806 744 844 875 818 721 Profits after taxes................. 1,630 1,737 1,579 1,618 1,773 390 419 412 398 448 473 441 411 Dividends.............................. 926 948 960 1,002 1,031 236 236 243 287 252 251 254 274 Petroleum refining (16 corps.): 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 1,962 2,681 3,004 2,866 2,941 767 692 740 667 726 728 750 737 Profits after taxes.................. 1,541 1,898 2,038 2,206 2,224 592 520 561 534 562 558 554 550 Dividends...................................... 737 817 1,079 1,039 1,123 253 255 258 273 282 273 282 286 Primary metals and products (34 corps.): Sales....................................... 26,548 28,558 26,532 30,171 33,674 7,150 8,427 7,461 7,133 7,671 8,612 8,448 8,943 2,931 3,277 2,487 2,921 3,052 669 915 601 735 691 828 715 818 Profits after taxes................. 1,689 1,903 1,506 1,750 1,912 376 550 343 482 431 504 435 542 Dividends.............................. 818 924 892 952 987 224 230 233 264 242 245 247 253 Machinery (24 corps.): Sales....................................... 25,364 29,512 32,721 35,660 38,719 8,371 8,864 8,907 9,517 8,957 9,757 10,542 9,463 Profits before taxes............... 3,107 3,612 3,482 4,134 4,377 936 1,008 1,112 1,079 1,071 1,167 1,141 998 Profits after taxes................. 1,626 1,875 1,789 2,014 2,147 448 499 537 531 526 576 568 477 Dividends.............................. 774 912 921 992 1,128 247 248 248 249 270 271 293 294 Automobiles and equipment (14 corps.): Sales....................................... 42,712 43,641 42,306 50,526 52,290 12,343 13,545 9,872 14,767 13,328 13,638 11,300 14,024 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 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: 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

JULY 1971 q BUSINESS FINANCE A 51 CORPORATE PROFITS, TAXES, AND DIVIDENDS (In billions of dollars) Corporate Corporate Year P b t e r a o f x o f e i r s t e s c ta o I x n m e ­ e s P t a r a f o x t f e e i r s ts d C d e i a n v s d i h ­ s t U r p i r b n o u d f t i i e t s s d ­ co c a n a l t l s i p o o u i n w t m a ­ l p­ Quarter P b t r e a o f x o f e i r s t e s c ta o I x n m e ­ s e P t a r a f o x t f e e i r s ts d C d e i a n v s d i h ­ s t U r p i r b n o u d fi t 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—III.. . 89.9 42.1 47.9 25.0 22.9 50.1 1964.............. 66.8 28.3 38.4 17.8 20.6 33.9 IV... 88.5 41.4 47.1 25.2 21.9 51.0 1965.............. 77.8 31.3 46.5 19.8 26.7 36.4 1966.............. 84.2 34.3 49.9 20.8 29.1 39.5 1970—1 ... 82.6 38.0 44.6 25.2 19.4 52.0 II.... 82.0 38.1 43.9 25.1 18.8 53.0 1967.............. 79.8 33.2 46.6 21.4 25.3 43.0 III... 84.4 38.9 45.4 25.4 20.0 54.0 1968.............. 88.7 40.6 48.2 23.3 24.9 46.5 IV... 76.3 34.8 41.4 25.1 16.3 55.0 1969.............. 91.2 42.7 48.5 24.7 23.9 49.8 1970.............. 81.3 37.5 43.8 25.2 18.6 53.5 1971—1. ... 86.5 39.1 47.5 25.8 21.7 56.2 i Includes depreciation, capital outlays charged to current accounts, and Note.—Dept, of Commerce estimates, Quarterly data are at seasonally accidental damages. adjusted annual rates. CURRENT ASSETS AND LIABILITIES OF CORPORATIONS (In billions of dollars) Current assets Current liabilities Net Notes and accts. Notes and accts. End of period working U.S. receivable payable Accrued capital Total Cash s G ec o u v r t i . ­ I t n o v ri e e n s ­ Other Total F in e c d o e m ra e l Other ties U.S. Other U.S. Other taxes Govt.1 Govt.1 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—III..................... 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 IV..................... 217.0 572.1 56.9 9.7 4.2 268.1 194.4 38.8 355.2 6.6 244.5 15.9 88.1 1971—1........................ 220.4 576.9 55.8 10.1 4.2 269.8 196.8 40.1 356.5 6.1 246.5 18.6 91.4 i Receivables from, and payables to, the U.S. Govt, exclude amounts Note.—Securities and Exchange Commission estimates; excludes offset against each other on corporations’ books. banks, savings and loan assns., insurance companies, and investment companies. BUSINESS EXPENDITURES ON NEW PLANT AND EQUIPMENT (In billions of dollars) Manufacturing Transportation 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 A T (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........ 81.85 14.67 15.93 1.99 1.73 1.82 1.45 12.89 2.43 11.23 17.71 1969—IV.. 21.46 4.59 4.53 .49 .55 .64 .44 2.61 .62 2.39 4.60 77.84 1970—I.. . 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—1. ., 17.68 3.11 3.58 .49 .34 .34 .28 2.70 .41 2.50 3.94 79.32 112. 20.80 3.68 3.98 .52 .50 .61 .41 3.30 .60 7.21 82.38 Ill 2 20.68 3.68 4.01 .49 .45 .36 .40 3.25 .77 7.26 82.83 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 52 REAL ESTATE CREDIT □ JULY 1971 MORTGAGE DEBT OUTSTANDING (In billions of dollars) All properties Farm Nonfarm Other 1- to 4-family houses4 Multifamily and Mortgage holders2 commercial properties5 type6 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 ­ t F u i t i n 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 t r h l s d e ­ r Total tu F i t n i i n o s a t n i n ­ s . 1 O h e o t r h l s d er ­ F w u H V n ri d A A t e te - — r n - t C i v o e o n n n a ­ ­ l 1941.......... 37.6 20.7 4.7 12.2 6.4 1.5 4.9 31.2 18.4 11.2 7.2 12.9 8.1 4.8 3.0 28.2 1945.......... 35.5 21.0 2.4 12.1 4.8 1.3 3.4 30.8 18.6 12.2 6.4 12.2 7.4 4.7 4.3 26.5 196 4 300.1 241.0 11.4 47.7 18.9 7.0 11.9 281.2 197.6 170.3 27.3 83.6 63.7 19.9 77.2 204.0 196 5 325.8 264.6 12.4 48.7 21.2 7.8 13.4 304.6 212.9 184.3 28.7 91.6 72.5 19.1 81.2 223.4 196 6 347.4 280.8 15.8 50.9 23.3 8.4 14.9 324.1 223.6 192.1 31.5 100.5 80.2 20.3 84.1 240.0 196 7 370.2 298.8 18.4 53.0 25.5 9.1 16.3 344.8 236.1 201.8 34.2 108.7 87.9 20.9 88.2 256.6 196 8 397.5 319.9 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—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... 429.4 340.8 28.6 60.0 29.8 9.8 20.0 399.6 268.5 223.8 44.7 131.0 107.1 23.9 101.9 297.9 n*-. 435.6 344.6 30.0 61.0 30.3 9.8 20.5 405.2 271.7 225.7 46.0 133.5 109.1 24.5 103.2 302.3 Ill' 443.1 349.8 31.3 62.0 30.8 10.0 20.9 412.3 275.8 228.5 47.3 136.5 111.4 25.1 106.8 305.5 IV ' 451.1 356.2 32.2 62.7 31.2 10.1 21.1 419.9 279.7 231.6 48.1 140.2 114.5 25.7 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-54. 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-54. 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 non­ Total non­ 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 24 196 4 43,976 28,933 7,315 2.742 18,876 12,405 2,638 40,556 36,487 12,287 11,121 13,079 4,016 53 196 5 49,675 32,387 7,702 2,688 21,997 14,377 2,911 44,617 40,096 13,791 11,408 14.897 4,469 52 196 6 54,380 34,876 7,544 2,599 24,733 16,366 3,138 47,337 42,242 14,500 11,471 16,272 5,041 53 196 7 59,019 37,642 7,709 2,696 27,237 17,931 3,446 50,490 44,641 15,074 11,795 17,772 5,732 117 196 8 65.696 41.433 7.926 2.708 30,800 20.505 3,758 53.456 46.748 15.569 12.033 19.146 6.592 117 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 11.. 61,967 39,113 7,678 2,648 28,787 19,098 3.756 51,793 45,570 15,246 11,918 18,406 6,108 115 111.. 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 11.. 69,079 43,532 8,060 2.743 32,729 21,459 4,088 54,844 47,818 15,769 12,151 19.898 6,908 117 III. 70,336 44,331 8,065 2,793 33,470 21,924 4,081 55,359 48,189 15,813 12,169 20,207 7,053 117 IV.. 70,705 44,573 7,960 2,663 33,950 22,113 4,019 56,138 48,682 15,862 12,166 20.654 7,342 114 1970—1... 70,854 44,568 7,1 2,496 34,184 22,248 4,038 56,394 48,874 15,865 12,105 20,904 7,413 107 IP. 71,291 44,845 7,800 2,575 34,469 22,392 4,054 56,880 49,260 15,931 12,092 21,237 7,519 101 Ill' 72,393 45,318 7,885 2,583 34,850 22,825 4,250 57,402 49,628 16,017 12,127 21.654 7,671 103 IV.. 73,275 45,640 7,919 2,589 35,131 23,284 4,351 *•57,948 '49,937 16,087 12,008 21,842 7,893 119 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

JULY 1971 □ REAL ESTATE CREDIT A 53 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 g V u A ar - - Other 1 Farm Total Total in F s H u A re - d g V u A ar - - Other Farm anteed anteed 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 r755 346 r6,052 nil 69,973 64,172 r12,469 5,954 r45,749 5,801 1969............................................... 7,531 6,943 663 220 6,108 537 72,027 66,254 12,271 5,701 48,282 5,773 1970—Mar.r................................. 563 494 26 10 497 30 72,673 66,998 11,651 5,636 49,711 5,675 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 Sept.................................... 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 1971—Jan..................................... 448 423 17 7 399 25 74,370 68,779 11,383 5,368 52,028 5,591 Feb..................................... 449 425 17 5 407 24 74,437 68,871 11,338 5,346 52,187 5,566 Mar.................................... 623 579 33 5 541 44 74,516 68,973 11,302 5,316 52,355 5,543 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) Period va A n d c ­ es R m e e p n a ts y­ M de e p m o b s e it r s s’ Period h N o e m w e Home FHA- VA- Con­ Total t S e h rm or t 1 ­ t L e o rm ng ­ 2 Total i con­ pur­ Total 2 in- guar- ven­ struc­ chase sured anteed tional tion 1945....................... 278 213 195 176 19 46 1963....................... 5,601 4,296 4,784 2,863 1,921 1,151 1945.............. 1,913 181 1,358 5,376 1964....................... 5,565 5,025 5,325 2,846 2,479 1,199 1965....................... 5,007 4,335 5,997 3,074 2,923 1,043 1963.............. 25,173 7,185 10,055 90,944 4,696 6,960 79,288 1966....................... 3,804 2,866 6,935 5,006 1,929 1,036 1964.............. 24,913 6,638 10,538 101,333 4,894 6,683 89,756 1965............. 24,192 6,013 10,830 110,306 5,145 6,398 98,763 1967....................... 1,527 4,076 4,386 3,985 401 1,432 1966.............. 16,924 3,653 7,828 114,427 5,269 6,157 103,001 1968....................... 2,734 1,861 5,259 4,867 392 1,382 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 1970....................... 3,256 1,929 10,615 3,081 7,534 2,331 1968.............. 21,983 4,916 11,215 130,802 6,658 7,012 117,132 1969.............. 21,847 4,757 11,254 140,347 7,917 7,658 124,772 1970—May........... 240 92 10,008 7,031 2,997 1,188 1970.............. 21,387 4,150 10,239 150,562 10,195 8,507 131,860 J J u u n ly e . . . . . . . . . . . . . . . . . . . . . . . 2 2 4 9 3 9 1 7 0 1 6 1 1 0 0 , , 3 2 7 3 3 6 4 7 , , 4 0 4 0 5 2 5 3 , ,2 92 3 7 4 1 1 , , 3 1 3 9 1 3 1970—Apr... 1,400 325 627 141,252 8,184 7,712 125,356 Aug............ 179 106 10,446 3,967 6,478 1,238 May.. 1,586 373 741 141,975 8,325 7,761 125,889 Sept............ 204 125 10,524 3,477 7,047 1,339 June. . 2,086 398 1,017 143,103 8,579 7,862126,662 134 119 10,539 3,265 7,274 1,496 July... 2,080 393 1,071 143,103 8,579 7,862 r127,403 Nov............ 112 126 10,524 3,156 7,368 1,978 Aug... 2,111 369 1,147 145,296 9,011 8,050 r128,234 224 134 10,615 3,081 7,534 2,331 Sept... 2,183 388 1,100 146,418 9,224 8,115 129,079 Oct.... 2,127 406 1,032 147,570 9,441 8,230129,903 1971—Jan............. 43 331 10,326 2,924 7,403 2,750 Nov... 1,972 355 919 148,896 9,226 8,336 130,794 Feb............. 27 428 9,926 2,697 7,230 3,093 Dec.. . 2,474 416 968 150,560 10,195 8,507 131,860 71 1,492 8,269 2,226 6,043 2,828 May............ 151 1,151 7,267 2,322 4,945 1971—Jan__ 1,667 307 752 151,503 10,473 8,673 132,357 Feb... 1,887 346 818 152,665 10,810 8,766 133,089 Mar.r. 2,795 521 1,143 154,43012,123 8,922 134,320 1 Secured or unsecured loans maturing in 1 year or less. Apr.p. 3,164 594 1,303 156,57411,560 9,128 135,886 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. Note.—Federal Home Loan Bank Board data. not shown separately. 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 54 REAL ESTATE CREDIT □ JULY 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 End of Finan­ Finan­ End of period Total ven­ period Total tu in c ti i s o a t l i n ­ s h O ol t d h e e r r s Total tu in c ti i s o a t l i n ­ s h O ol t d h e e r r s Total F su H in r A e ­ d - a g n V u te A a e r - - d 1 tional 1 1 1 9 9 9 4 4 6 1 5 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 1 4 4 1 . . . 3 2 2 1 1 7 1 4 6 5 . . . 9 7 7 3 9 8 4 . . . 5 4 6 2 5 5 9 . . . 9 7 0 2 3 3 0 . . . 6 5 7 2 2 8. . . 3 2 2 1 1 1 9 9 9 6 6 5 3 4 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 8 9 8 2 7 . . . 6 2 6 6 6 4 5 9 . . . 3 9 2 3 3 4 8 5 . . . 1 3 0 3 3 0 0 . . . 2 9 9 1 1 1 1 2 4 6 8 . . . 3 3 3 1964............... 231.1 195.4 35.7 33.6 25.1 8.5 1965............................... 212.9 73.1 42.0 31.1 139.8 1 1 1 9 9 9 6 6 6 7 6 5 * . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 5 6 8 0 4 0 . . . 1 0 0 2 2 2 2 1 3 3 3 6 . . . 2 7 6 4 4 3 0 3 6 . . . 3 9 4 4 4 3 0 3 7 . . . 3 9 2 2 3 3 1 9 4 . . . 5 7 0 9 8 8 . . . 8 2 2 1 1 1 9 9 9 6 6 6 6 7 8 . ? ? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 23 2 5 6 1 3 . . . 1 2 6 7 7 8 6 9 3 . . . 1 8 9 4 4 5 4 7 0 . . . 8 4 6 3 3 3 1 2 3 . . . 5 3 2 1 1 1 5 6 4 6 7 7 . . . 1 6 4 1968?............. 298.6 250.8 47.8 47.3 37.7 9.6 1968—1.......................... 239.1 81.0 48.1 32.9 158.1 1968—IV, , , , 298.6 250.8 47.8 47.3 37.7 9.6 I I I l . l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 24 4 3 7 . . 2 0 8 8 2 3 . . 1 2 4 4 8 9 . . 7 6 3 3 3 3 . . 6 4 1 16 61 3 . . 1 8 1969—1.......... 303.0 254.4 48.6 48.3 38.4 9.9 IV....................... 251.2 84.4 50.6 33.8 166.8 I I IV I ll . . . _ . . . . _ . . . . _ . . . . 3 3 3 0 1 1 4 8 9 . . . 1 9 0 2 2 2 5 6 6 9 2 5 . . . 3 7 0 5 4 5 9 4 1 . . . 6 4 0 5 4 5 2 0 9 . . . 2 6 4 4 4 39 1 0 . . . 3 3 2 1 1 10 0 0 . . . 1 9 4 1969— I 1 l .. l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .. . 2 2 2 5 5 63 4 9 . . . 5 8 5 8 8 8 5 7 8 . . . 3 1 8 5 5 5 3 1 2. . . 4 4 2 3 3 3 3 4 5 . . . 9 9 4 1 1 1 6 7 7 9 2 4 . . . 5 3 6 1970—1.......... 321.7 265.9 55.8 53.2 42.9 10.3 IV....................... 266.8 90.1 54.5 35.6 176.9 I I I V l I l . ® * ... . . .. . . . . . . . 3 3 3 2 3 3 6 1 7 . . . 3 8 6 2 2 2 7 6 7 2 8 7 . . . 8 9 3 5 6 5 0 9 7 . . . 3 0 4 5 5 5 6 4 7 . . . 1 5 9 4 4 4 3 4 5 . . .7 2 2 1 1 1 1 1 2 . . . 9 3 2 1970— I I 1 I I . I . . . . ? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 2 6 7 7 8 1 5 . . . 5 7 8 9 9 9 2 5 1 . . . 1 1 6 5 5 5 8 6 5 . . . 1 1 6 3 3 3 7 6 6 . . . 0 0 0 1 1 1 7 7 8 7 9 0 . . . 1 9 7 IV?...................... 279.7 i Structures of five or more units. sta N nd o i t n e g .— ” t B a a b s le ed ( 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 inv 1 e sto I r n s c u lu n d d e e s r o re u p ts u t r a c n h d a i s n e g a a g m re o em un e t n t o . f VA vendee accounts held by private Note.—For total debt outstanding, figures are FHLBB and F.R. estimates. For conventional, figures are derived. Based on data from 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 Period Prop­ Loans not in foreclosure Pro­ erty but delinquent for— Loans in Total h N o e m w es h is o E t m i x n ­ e g s jects i m p i r e m o n v ­ t e s ­ 2 Total3 h N om ew es h is o E t m i x n ­ e g s End of period Total 30 days 60 days 90 days cl f o o s r u e r ­ e or more 1945 .. 665 257 217 20 171 192 1964............ 8,130 1,608 4,965 895 663 2,846 1,023 1,821 1963............... 3.30 2.32 .60 .38 .34 1964............... 3.21 2.35 .55 .31 .38 1965............ 8,689 1,705 5,760 591 634 2,652 876 1,774 1966............ 7,320 1,729 4,366 583 641 2,600 980 1,618 1965............... 3.29 2.40 .55 .34 .40 1967............ 7,150 1,369 4,516 642 623 3,405 1,143 2,259 1966............... 3.40 2.54 .54 .32 .36 1968............ 8,275 1,572 4,924 1,123 656 3,774 1,430 2,343 1967............... 3.47 2.66 .54 .27 .32 1969............ 9,129 1,551 5,570 1,316 693 4,072 1,493 2,579 1968............... 3.17 2.43 .51 .23 .26 1969............... 3.22 2.43 .52 .27 .27 1970............ 11,908 2,667 5,447 3,178 617 3,442 1,311 2,131 1966—IV___ 3.40 2.54 .54 .32 .36 1970—May. 943 176 351 367 48 238 98 140 June. 1,097 218 478 336 64 263 99 164 1967—1.......... 3.04 2.17 .56 .31 .38 July.. 1,087 230 475 319 62 298 109 189 II........ 2.85 2.14 .45 .26 .34 Aug.. 1,030 247 504 228 49 306 107 199 Ill.... 3.15 2.36 .52 .27 .31 Sept.. 1,099 268 521 247 63 326 110 216 IV----- 3.47 2.66 .54 .27 .32 Oct... 1,218 304 564 292 57 341 117 224 Nov.. 1,055 273 497 240 45 318 106 212 1968—1.......... 2.84 2.11 .49 .24 .32 Dec.. 1,286 280 472 484 50 316 109 207 II........ 2.89 2.23 .44 .22 .28 III. 2.93 2.23 .48 .22 .26 1971—Jan.. 1,015 295 ?476 202 41 297 102 195 IV___ 3.17 2.43 .51 .23 .26 Feb.. 951 284 ?450 184 32 256 90 166 Mar.. 1,095 318 ?531 199 46 1969—1.......... 2.77 2.04 .49 .24 .26 Apr.? 1,136 293 ?467 330 47 II........ 2.68 2.06 .41 .21 .25 Ill.... 2.91 2.18 .47 .26 .25 IV___ 3.22 2.43 .52 .27 .27 1 Monthly figures do not reflect mortgage amendments included in annual totals. 1970—1......... 2.96 2.14 .52 .30 .31 2 Not ordinarily secured by mortgages. II........ 2.83 2.10 .45 .28 .31 3 Includes a small amount of alteration and repair loans, not shown separ­ Ill.... 3.10 2.26 .53 .31 .25 ately; only such loans in amounts of more than $1,000 need be secured. IV....... 3.64 2.67 .61 .36 .33 Note.—Federal Housing Admin, and Veterans Admin, data. FHA-insured loans represent gross amount of insurance written; VA-guaranteed loans, Note.—Mortgage Bankers Association of America data from gross amounts of loans closed. Figures do not take into account principal reports on 1- to 4-family FHA-insured, VA-guaranteed, and con­ repayments on previously insured or guaranteed loans. For VA-guaranteed ventional mortgages held by more than 400 respondents, including loans, amounts by type are derived from data on number and average mortgage bankers (chiefly), commercial banks, savings banks, and amount of loans closed. savings and loan associations. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ REAL ESTATE CREDIT A 55 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 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 ­ 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 3,539 197 0 5.184 4.634 550 621 897 738 197 0 15.502 11.071 4.431 5,078 8,047 5.202 1970-Apr.. 4,965 4,381 584 44 48 970 1970-Apr.. 12,949 9,069 3,880 485 592 4,152 May. 5,006 4,426 580 62 92 925 May. 13,287 9,324 3,962 374 817 4,510 June. 5,033 4,458 575 58 191 992 June. 13,658 9,610 4.047 434 712 4,709 July.. 5,070 4,499 571 55 172 966 July.. 14,084 9,936 4,148 470 532 4,684 Aug.. 5,102 4,535 567 54 123 802 Aug.. 14,452 10,218 4,234 413 718 4,834 Sept.. 5,109 4,546 563 27 57 795 Sept.. 14,807 10,499 4,308 406 650 4,849 Oct... 5,132 4,573 559 46 42 775 Oct... 15,152 10,780 4,372 397 535 4,805 Nov.. 5,141 4,587 554 35 42 776 Nov.. 15,396 10,981 4,416 294 541 4,930 Dec.. 5.184 4.634 550 70 37 738 Dec.. 15.502 11.071 4.431 165 600 5.203 1971-Jan... 5,188 4,641 546 35 27 705 1971-Jan... 15,520 11,092 4,428 75 139 5,092 Feb.. 5,213 4,670 543 38 21 682 Feb.. 15,448 11,057 4,391 61 80 4,865 Mar.. 5,241 4,703 538 56 100 707 Mar.. 15,420 11,012 4,408 76 312 4.318 Apr.. 5,244 4,710 534 39 120 786 Apr.. 15,308 10,933 4,375 57 457 4.318 Note.—Government National Mortgage Assn. data. Data prior to Note.—Federal National Mortgage Assn. data. Data prior to Sept. Sept. 1968 relate to Special Assistance and Management and Liquidating 1968 relate to secondary market portfolio of former FNMA. Mortgage portfolios of former FNMA and include mortgages subject to participation commitments made during the period include some multifamily and non­ pool of Government Mortgage Liquidation Trust, but exclude conven­ profit hospital loan commitments in addition to 1- to 4- family loan com­ tional mortgage loans acquired by former FNMA from the RFC Mortgage mitments accepted in FNMA’s free market auction system. Co., the Defense Homes Corp., the Public Housing Admin., and Com­ munity Facilities Admin. HOME-MORTGAGE YIELDS FEDERAL NATIONAL MORTGAGE ASSOCIATION (In per cent) ACTIVITY UNDER FREE MARKET SYSTEM Primary market Secondary Implicit yield, by (conventional loans) market Mortgage amounts commitment period (in months) FHA series FHLBB series Yield Date Accepted Period (effective rate) on FHA- of insured auction New Existing h N om ew es l h o n o a e m n w s e Offered Total p B er y io c d o m (in m m itm on e t n h t s ) 3 6 12-18 homes homes 3 6 12-18 1967....................... 6.46 6.52 6.53 6.55 1968....................... 6.97 7.03 7.12 7.21 In millions of dollars In per cent 1969....................... 7.81 7.82 7.99 8.26 1970....................... 8.44 8.35 8.52 9.05 1970—Nov. 2.. 341.5 181.2 100.0 62.4 18.7 8.90 8.93 8.93 1970—May........... 8.45 8.34 8.55 9.11 16.. 222.4 170.3 75.8 79.4 15.1 8.89 8.90 8.92 June........... 8.48 8.36 8.55 9.16 July............ 8.49 8.37 8.60 9.11 Dec. 7.. 166.5 127.8 54.7 60.9 12.2 8.56 8.54 8.57 Aug............ 8.52 8.41 8.60 9.07 14.. 165.1 124.7 42.1 72.1 10.5 8.51 8.43 8.47 Sept............ 8.48 8.42 8.50 9.01 Oct............. 8.51 8.35 8.50 8.97 1971—Jan. 25.. 44.1 35.5 9.9 25.6 7.82 7.96 8.40 Nov............ 8.43 8.32 8.45 8.90 Dec............. 8.38 8.26 8.30 8.40 Feb. 8.. 23.4 23.3 10.6 12.7 7.67 7.67 1971—jan.............. 8.18 8.08 7.95 Mar. 1.. 185.6 51.8 15.2 29.3 7.3 7.43 7.43 7.56 Feb............. 7.91 7.80 7.75 15.. 193.5 74.0 17.9 41.2 14.9 7.32 7.44 7.54 Mar............ 7.66 7.60 7.60 7.32 29.. 122.5 67.0 36.7 26.3 3.9 7.32 7.45 7.55 Apr.r.......... 7.49 7.47 7.55 7.37 MayP.......... 7.47 7.45 7.65 7.75 Apr. 12.. 126.9 54.6 39.8 9.4 5.4 7.32 7.45 7.53 26.. 687.2 313.9 154.0 126.6 33.4 7.43 7.54 7.57 Note.—Annual data are averages of monthly figures. The May 10.. 1,168.0 236.8 145.7 71.3 19.7 7.57 7.68 7.74 FHA data are based on opinion reports submitted by field offices 24.. 785.7 151.6 44.6 84.4 22.5 7.95 7.97 8.03 on prevailing local conditions as of the first of the succeeding month. Yields on FHA-insured mortgages are derived from June 1.. 322.4 146.6 77.1 57.8 11.6 8.05 8.18 8.16 weighted averages of private secondary market prices for Sec. June 14.. 638.2 191.2 133.7 47.3 10.2 7.91 8.15 8.22 203, 30-year mortgages with minimum downpayment and an 28.. 539.0 262.6 191.8 60.3 10.4 7.92 8.22 8.28 assumed prepayment at the end of 15 years. Gaps in data are due to periods of adjustment to changes in maximum permis­ sible contract interest rates. The FHA series on average contract Note.—Implicit secondary market yields are gross—before deduction of 38interest rates on conventional first mortgages in primary markets basis-point fee paid for mortgage servicing. They reflect the average accepted bid are unweighted and are rounded to the nearest 5 basis points. yield for Govt.-underwritten mortgages after adjustment by Federal Reserve Th3 FHLBB effective rate series reflects fees and charges as well to allow for FNMA commitment fees and FNMA stock purchase and holding as contract rates (as shown in the table on conventional first- requirements, assuming a prepayment period of 15 years for 30-year loans. Com­ mortgage terms, p. A-37) and an assumed prepayment at end mitments for 12-18 months are for new homes only. of 10 years Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 56 CONSUMER CREDIT □ JULY 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—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 6,960 123,866 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 Feb............................... 123,815 99,244 34,869 28,928 4,051 31,396 24,571 9,506 7,353 7,712 Mar.............................. 123,604 99,168 35,028 28,591 4,045 31,504 24,436 9,557 7,207 7,672 Apr............................... 125,047 100,028 35,496 28,682 4,077 31,773 25,019 9,676 7,689 7,654 May............................. 126,025 100,692 35,819 28,706 4,126 32,041 25,333 9,765 8,004 7,564 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 i 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—May................................................. 97,706 85,335 40,515 31,595 11,778 1,447 12,371 333 12,038 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 Feb................................................... 99,244 85,910 41,446 30,511 12,351 1,602 13,334 323 13,011 99,168 86,015 41,563 30,326 12,509 1,617 13,153 325 12,828 100,028 86,805 42,094 30,369 12,686 1,656 13,223 330 12,893 May.................................................. 100,692 87,491 42,482 30,441 12,874 1,694 13,201 334 12,867 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

JULY 1971 □ CONSUMER CREDIT A 57 INSTALMENT CREDIT HELD BY COMMERCIAL BANKS INSTALMENT CREDIT HELD BY FINANCE COMPANIES (In millions of dollars) (In millions of dollars) E p n er d i o o d f Total ch P a A u s r u e ­ d t p o a m pe o D r bi i l r e ect s g p O c u o a o t m p o h n d e e e ­ r s r r m i R z l o o a a e d a n t p i e n d a o r s i n n r ­ s l P o o a e n n r a ­ s l End of period Total m A pa o u p b t e i o l r ­ e s g O p c u o a o t m o p h n d e e e ­ r s r r m i R z lo o a e a a n d p ti n d e a o s r i n r n­ s l P o o a e n n r a ­ s l 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—May... 40,515 12,600 7,635 7,667 2,705 9,908 1970—May................... 31,595 10,990 6,505 99 14,001 June... 40,979 12,680 7,722 7,828 2,731 10,018 June.................... 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—Jan...................... 30,791 9,754 6,605 93 14,339 Feb__ 41,446 12,165 7,561 8,535 2,704 10,481 30,511 9,672 6,493 93 14,253 Mar__ 41,563 12,147 7,667 8,499 2,692 10,558 30,326 9,674 6,363 93 14,196 Apr.... 42,094 12,268 7,825 8,595 2,702 10,704 30,369 9,781 6,280 98 14,210 May... 42,482 12,361 7,942 8,676 2,729 10,774 May.................... 30,441 9,810 6,236 100 14,295 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 cards1 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 6,122 196 5 18,990 6,690 981 5,724 706 4,889 1970............................... 14,046 5,202 898 1,256 6,690 196 6 20,004 6,946 1,026 5,812 874 5,346 196 7 21,206 7,340 1,088 5,939 1,029 5,810 1970—May.................... 13,225 4,897 845 1,199 6,284 196 8 23,301 7,975 1,163 6,450 1,305 6,408 June.................... 13,470 4,998 863 1,211 6,398 196 9 24,300 7,900 1,196 6,650 1,584 6,970 July..................... 13,612 5,049 872 1,230 6,461 197 0 25,641 8.205 1.279 6.932 1.918 7.307 Aug..................... 13,793 5,110 881 1,240 6,562 Sept..................... 13,910 5,158 890 1,246 6,616 1970—May... 23.640 7,925 1.234 5,633 1,640 7,208 N Oc o t v .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 3 3 , , 9 9 9 2 9 4 5 5 , , 1 1 7 6 1 4 8 89 9 1 3 1 1 , , 2 24 6 7 0 6 6 , , 6 6 7 2 5 2 J J u u l n y e . . . . . . 2 2 3 3 , , 8 7 4 9 3 0 8 8 . .0 00 0 5 5 1 1, . 2 2 4 3 9 4 5 5 , , 7 7 2 65 7 1 1 , , 7 70 82 8 7 7 , , 0 13 2 1 7 Dec..................... 14,046 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 Feb...................... 13,953 5,148 889 1,254 6,662 Nov.... 24,125 8,071 1,274 5,884 1.873 7,023 Mar..................... 14,126 5,215 901 1,260 6,750 Dec__ 25.641 8.205 1.279 6.932 1.918 7.307 A M p a r y .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 4 4 , ,5 3 6 4 8 2 5 5 , , 2 3 9 7 2 2 9 9 1 27 4 1 1, ,2 27 9 7 7 6 6, ,9 85 7 9 2 1971—Jan.... 24,976 8,196 1,284 6,144 1,950 7,402 Feb.... 24,571 8.205 1,301 5,435 1.918 7,712 Mar__ 24,436 8,249 1,308 5,316 1,891 7,672 lan N eo o u t s e . l — en O d t e h rs e . r financial lenders consist of credit unions and miscel­ A M p a r y — ... 2 2 5 5 , , 3 0 3 1 3 9 8 8 , , 4 3 2 5 5 0 1 1 , , 3 3 2 4 6 0 5 6 , , 7 0 7 46 4 1 1 , , 9 9 1 5 5 8 7 7, ,6 56 5 4 4 1 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 58 CONSUMER CREDIT □ JULY 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 u e m r er mode R r e n p iz a a ir ti o a n n d l oans Personal loans Period S.A.1 N.S.A. S. A.1 N.S.A. S.A.i N.S.A. S. A.1 N.S.A. S.A.1 N.S.A. Extensions 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—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 Feb.. 9,081 7,489 2,687 2,336 3,204 2,431 197 155 2,993 2,567 Mar.. 9,533 9,575 2,897 3,074 3,210 3,076 209 197 3,217 3,228 Apr.. 9,751 10,079 2,872 3,100 3,415 3,363 205 219 3,259 3,397 May. 9,696 9,568 2,762 2,889 3,295 3.148 200 235 3,439 3,296 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—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 Feb.. 8,979 8,346 2,636 2,471 3,212 3,078 188 171 2,943 2,626 Mar.. 9,038 9,651 2,696 2,915 3,164 3,413 196 203 2,982 3,120 Apr.. 9,088 9,219 2,566 2,632 3,249 3,272 184 187 3,089 3,128 May. 9,203 8,904 2,646 2.566 3,211 3,124 188 186 3,158 3,028 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—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 2 -43 140 -157 Feb.. 102 -857 51 -135 -8 -647 9 -16 50 -59 Mar.. 495 -76 201 159 46 -337 13 -6 235 108 Apr.. 663 860 306 468 166 91 21 32 170 269 May. 493 664 116 323 84 24 12 49 281 268 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

JULY 1971 d CONSUMER CREDIT A 59 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.* 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—May. 9,004 8,857 3,291 3,341 2,639 2,503 1,252 1,309 822 1,704 June. 8,683 9,534 3,262 3,643 2,616 2,912 1,233 1,407 572 1,572 July.. 9,065 9,497 3,382 3,697 2,590 2,731 1,365 1.418 728 1,651 Aug.. 8,809 8,915 3,308 3,385 2,427 2,416 1,235 1,318 839 1,796 Sept.. 8,849 8,580 3,417 3,352 2,441 2,300 1,265 1,212 726 1,716 Oct.. 8,580 8,670 3,276 3,301 2,371 2,387 1,221 1,187 712 1,795 Nov.. 8,414 8,271 3,159 2.885 2,300 2,342 1,184 1,150 771 1,894 Dec.. 8,536 10,194 3,326 3,390 2,240 2,795 1,187 1,206 783 2,803 1971—Jan... 8,916 7,545 3,338 2.885 2,411 1,961 1,288 1,055 879 1,644 Feb.. 9,081 7,489 3,478 2,988 2,513 2,121 1,282 1,117 808 1,263 Mar.. 9,533 9,575 3,646 3,783 2,681 2,686 1,394 1.418 812 1,688 Apr.. 9,751 10,079 3,676 3,948 2,624 2,672 1,475 1,552 976 1,907 May. 9,696 9,568 3,600 3,671 2,804 2,661 1,441 1,493 851 1,743 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—May. 8,589 8,255 3,170 3,071 2,574 2,445 1,173 1,104 672 1,635 June. 8,242 8,541 3,041 3,179 2,548 2,645 1,087 1,162 566 1,555 July.. 8,622 8,894 3,264 3,388 2.580 2,617 1,184 1,276 594 1,613 Aug.. 8,577 8,357 3,185 3.154 2,507 2,389 1,158 1,137 727 1,677 Sept.. 8,490 8,298 3,249 3.235 2,482 2,378 1,127 1,095 632 1,590 Oct.. 8,662 8,853 3,258 3,342 2.551 2.588 1,165 1,173 688 1,750 Nov.. 8,716 8,440 3,276 3.155 2.552 2,570 1,135 1,075 753 1,640 Dec.. 8,515 8,823 3,262 3.235 2,465 2,753 1,113 1,159 675 1,676 1971—Jan... 8,829 8,605 3,385 3,169 2,486 2,293 1,199 1,195 759 1,948 Feb.. 8,979 8,346 3,369 3,153 2,656 2,401 1,186 1,070 768 1,722 Mar.. 9,038 9,651 3,387 3,666 2,674 2,871 1,207 1,245 770 1,869 Apr.. 9,088 9,219 3,332 3,417 2.580 2,629 1,315 1,336 861 1,837 May. 9,203 8,904 3,375 3,283 2,704 2.589 1,323 1,267 801 1,765 Net change in credit outstanding 2 1965. 8,629 3,865 2,641 1,126 997 1966. 6,215 2,357 1,809 1,025 1,024 1967. 3,387 1,381 643 742 621 1968. 8,964 4,252 2,364 1,351 997 1969. 8,279 3,353 2,636 1,536 754 1970. 2,992 1,590 -611 1,103 910 1970—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 Feb.. 102 -857 109 -165 -143 -280 96 47 40 -459 Mar.. 495 -76 259 117 7 -185 187 173 42 -181 Apr.. 663 860 344 531 44 43 160 216 115 70 May. 493 664 225 388 100 72 118 226 50 -22 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-56. 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 60 INDUSTRIAL PRODUCTION: S.A. □ JULY 1971 MARKET GROUPINGS (1957-59= 100) Grouping 19 p p 5 o r 7 o r - ­ ­ 59 a a 1 v g 9 e e 6 r P 9 - 1970 1971 tion May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Total index................................... 100.00 172.8 169.0 168.8 169.2 168.8 165.8 162.3 161.5 164.4 165.6 165.2 165.5 166.2 167.3 Final products, total......................... 47.35 170.8 167.7 167.1 166.8 166.5 163.1 159.8 159.4 162.9 163.4 163.0 163.4 163.4 164.7 Consumer goods.......................... 32.31 162.5 163.2 162.8 163.5 163.5 160.1 157.0 157.0 162.4 164.5 164.6 166.2 167.1 168.5 Equipment, including defense 15.04 188.6 177.3 176.3 173.7 173.0 169.6 165.9 164.5 164.2 161.3 159.4 157.3 155.6 156.6 Materials.......................................... 52.65 174.6 170.4 171.2 171.4 171.2 168.9 164.8 163.8 166.0 168.0 167.8 168.0 169.3 170.2 Consumer goods Automotive products......................... 3.21 173.2 166.4 170.3 172.8 167.5 133.1 110.1 112.2 145.9 166.3 174.4 176.0 171.2 179.7 Autos................................................ 1.82 162. 156.0 163.0 163.8 163.3 108.5 76.5 78.1 131.9 155.1 168.1 167.3 153.9 161.4 Auto parts and allied products.... 1.39 186. 180.1 179.9 184.7 173.1 165.6 154.5 157.0 164.3 181.1 182.8 187.4 194.0 203.8 Home goods and apparel.................. 10.00 159.3 153.0 153.2 155.4 156.4 153.4 153.9 150.3 150.9 151.4 150.5 153.4 154. 157.2 Home goods..................................... 4.59 184.0 178.4 177.7 182.5 183.7 179.0 180.2 180.0 174.0 176.6 175.9 180.2 184.4 188.0 Appliances,. TV, and radios........ 1.81 180.2 182.6 178.8 192.3 198.6 189.9 194.3 188.1 169.1 173.9 172.8 179.7 188.7 196.1 Appliances................................ 1.33 192.4 213.9 201.4 218.4 223.7 212.8 216.0 208.3 182.2 193.5 192.3 198.1 202.6 212.7 TV and home radios................ .47 145.6 94.2 115.2 118.8 127. 125.5 133.2 131.1 132.2 118.7 118.0 128.0 149.5 149.1 Furniture and rugs....................... 1.26 180.3 165.5 164.9 165.2 164.9 164.4 166.5 169.3 170.5 171.4 172.4 174.2 175.4 178.0 Miscellaneous home goods.......... 1.52 191.5 184.1 186.9 185.0 181.6 178.0 174.8 179.3 182.8 184.2 182.6 185.6 186.9 186.7 Apparel, knit goods, and shoes.... 5.41 138.5 131.4 132.4 132.4 133.2 131.7 131.6 125.2 131.3 130.0 129.0 130.7 129.6 Consumer staples.............................. 19.10 162.4 168.0 166.6 166.3 166.6 168.1 166.7 168.0 171.1 171.2 170.3 171.2 172.8 172.6 Processed foods............................... 8.43 136.6 141.1 137.9 138.7 139.4 139.3 135.2 138.3 141.0 141.4 138.4 140.3 141.0 142.8 Beverages and tobacco.................... 2.43 146.8 142.2 142.6 141.9 144.7 149.0 148.1 147.5 152.1 155.1 159.0 161.4 154.5 Drugs, soap, and toiletries.............. 2.97 209.0 219.6 217.4 217.4 213.9 215.5 215.0 220.1 226.8 222.2 220.7 222.3 228.0 226.0 Newspapers, magazines, and books 1.47 147.1 146.9 147.6 142.9 143.1 140.5 140.8 143.2 144.7 145.5 144.9 143.0 144.4 143.8 Consumer fuel and lighting............ 3.67 199.6 212.3 213.7 212.8 213.5 219.2 221.7 217.2 218.0 218.1 219.6 218.4 224.6 Fuel oil and gasoline................... 1.20 144.6 149.7 153.0 148.2 148.9 152.7 155.2 154.8 155.6 153.2 153.3 156.9 161.0 149.7 Residential utilities....................... 2.46 226.3 242.8 243.3 244.3 245.0 251.7 254.2 247.6 248.5 249.7 252.0 248.5 255.6 Electricity................................. 1.72 249.7 268.1 268.1 269.1 269.7 281.9 285.0 275.1 276.0 277.1 280.0 274.5 284.0 Gas............................................ .74 Equipment Business equipment........................... 11.63 195.6 188.7 188.0 186.1 185.9 182.3 178.9 177. 177.9 174.3 173.0 170.5 169.5 170.3 Industrial equipment....................... 6.85 179.1 175.8 175.2 174.6 173.3 170.5 169.7 167.9 166.8 164.4 162.3 160.3 159.3 160.4 Commercial equipment................... 2.42 220.0 220.4 220.4 218.3 214.2 210.5 207.0 205.7 204.3 200.7 199.3 198.3 197.6 199.1 Freight and passenger equipment. . 1.76 246.7 216.8 213. 207.3 214.3 206.5 193.7 194.6 202.3 203.6 196.4 191.1 188.9 188.8 Farm equipment.............................. .61 136.8 127.4 128.6 126.0 133.2 133.6 128.0 130.8 127.0 96.7 121.9 115.3 116.2 Defense equipment........................... 3.41 Materials Durable goods materials................... 26.73 165.5 157.5 157.8 158.4 157.4 151.9 144.3 141.9 147.0 149.7 150.3 151.4 152 154.2 Consumer durable........................... 3.43 163.9 146.0 155.4 156.0 161.3 143.6 110.9 111.2 139.0 151.3 153.0 150.6 148.5 149.9 Equipment........................................ 7.84 191.9 177.5 176.6 178.4 175.9 173.1 166.7 164.1 163.6 162. 160.9 161.2 156.8 159.3 Construction.................................... 9.17 152.4 146.8 145.1 146.3 147.3 146.1 144.2 140.6 142.0 148.6 148.3 149.1 149.6 150.0 Metal materials n.e.c....................... 6.29 152.8 146.8 150.0 152.6 147.2 140.1 136.2 133.7 143.3 147.0 148.9 150.1 150.2 149.2 Nondurable materials....................... 25.92 183.9 183.8 184.9 184.9 185.4 186.4 186.0 186.3 185.7 187.0 185.8 185.2 186.3 187.1 Business supplies............................. 9.11 166.6 162.1 163.4 164.9 165.0 161.2 159.5 160.7 162.2 163.9 160.1 155.2 158.2 160.6 Containers.................................... 3.03 168.6 168.2 166.0 161.9 167.5 163.1 164.1 164.2 166.5 174.4 166.2 153.1 157.1 163.9 General business supplies............ 6.07 165.5 159.1 162.1 166.4 163.7 160.3 157.2 158.9 160.0 158.7 157.1 156.3 158.8 159.0 Nondurable materials n.e.c............. 7.40 237 233.1 234.7 234.2 233.4 235.8 236.0 238.5 235.3 238.4 238.2 240.5 238.9 239.5 Business fuel and power................. 9.41 158.2 166.0 166.6 165.4 167.5 171.8 172.5 170.1 169.3 169.1 169.4 170.8 172.2 171.4 Mineral fuels................................ 6.07 134.9 142.0 142.4 140.2 144.4 147.5 148.0 146.6 145.0 143.5 141.8 144.9 146.8 145.8 Nonresidential utilities................ 2. 216.7 228.1 228.6 229.4 227.9 235.1 236.7 231.1 232.6 234.3 239.3 236.8 237.6 Electricity.................................. 2.32 220.6 233.8 234.3 235.0 233.0 238.7 240.8 233.9 235 237.9 243.7 240.4 241.1 General industrial................ 1.03 216.1 221.8 223.9 227.2 225.4 225.8 223.1 216.3 219.5 219.8 224.9 222.4 227.0 Commercial and other......... 1.21 236.1 256.7 255.9 254.8 252.7 263.0 268.6 261.2 262.1 265.8 272.6 268.5 265.9 Gas............................................ .54 Supplementary groups of consumer goods Automotive and home goods. 7. 179.5 173.5 172.7 178.5 177.0 160.1 151.4 152.1 162.5 172.4 175.3 178.4 179.0 184.6 Apparel and staples............... 24.51 157.1 159.9 159.0 158.8 159 160.1 158.9 158.6 162.3 162.1 161.2 162.3 163.3 For Note see p. A-63. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INDUSTRIAL PRODUCTION: S.A. A 61 INDUSTRY GROUPINGS (1957-59 = 100) Grouping 19 p p 5 r o 7 o r - ­ ­ 59 a 1 v 9 e 6 r 9 - 1970 1971 tion ageP May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Total index................................. 100.00 172.8 169.0 168.8 169.2 168.8 165.8 162.3 161.5 164.4 165.6 165.2 165.5 166.2 167.3 M M Ut a i D N i n n li o u i u t n n i r f e g a a d s . b c u . . t . l . r . u . e . . a . r . . . b . . i . . . n . . l . . . . e g . . . . . . . , . . . . . . . . t . . . . . o . . . . . . . . t . . . . a . . . . . . . . . l . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 4 3 8 5 8 6 8 . . . . . 2 3 0 3 4 3 8 2 7 5 2 1 1 1 1 2 7 3 7 7 1 6 3 0 0 . . . . . 5 2 6 2 9 2 1 1 1 1 3 6 6 6 3 4 8 7 8 4 . . . . . 1 9 7 6 8 2 1 1 1 1 3 6 6 3 6 7 5 5 8 8 . . . . . 3 5 4 9 0 . 2 1 1 1 1 3 6 3 7 6 6 3 8 0 7 . . . . . 3 8 5 0 4 2 1 1 1 1 3 3 6 6 6 7 5 6 9 7 . . . . . 1 8 7 0 7 2 1 1 1 1 4 3 6 6 6 2 8 7 3 0 . . . . . 8 9 7 4 7 2 1 1 1 1 4 3 6 5 5 4 9 6 3 9 . . . . . 8 9 5 9 4 2 1 1 1 1 3 3 6 5 5 8 9 8 1 9 . . . . . 7 6 4 4 0 2 1 1 1 1 4 6 3 6 5 0 6 8 2 9 . . . . . 1 8 7 0 1 2 1 1 1 1 4 7 3 6 5 1 0 7 7 3 . . . . . 5 9 9 8 6 2 1 1 1 1 4 3 6 6 5 5 3 6 9 7 . . . . . 3 2 1 9 6 2 1 1 1 1 4 3 6 5 7 2 8 3 7 0 . . . . . 2 7 7 7 5 2 1 1 1 1 4 6 5 7 3 6 3 8 2 7 . . . . . 8 0 0 4 9 2 1 1 1 1 4 6 3 5 7 7 5 9 2 6 . . . . . 3 3 7 2 4 Durable manufactures Primary and fabricated metals. . .. 12.32 162.5 155.2 155.6 157.1 157.1 154.2 145.6 142.1 146.1 148.7 151.0 152.6 153.4 155.5 Primary metals............................... 6.95 149.1 142.6 142.7 145.2 145.6 142.6 133.9 129.3 135.4 137.6 140.8 143.1 144.6 147.0 Iron and steel............................. 5.45 140.3 136.7 138-8 136.8 134.1 129.5 121.5 117.2 122.3 130.0 132.9 138.3 141.9 144.0 Nonferrous metals and products 1.50 181.1 174.4 169.2 172.6 169.7 172.1 161.5 162.9 177.1 171.7 173.4 174.9 169.7 172.3 Fabricated metal products............ 5.37 179.8 171.4 172.3 172.5 171.9 169.2 160.6 158.7 160.0 163.0 164.1 164.8 164.8 166.5 Structural metal parts................ 2.86 173.3 164.2 164.4 162.9 164.0 162.7 158.0 158.2 158.9 163.3 165.1 168.5 165.5 167.1 Machinery and related products. .. 27.98 188.4 177.6 178.0 177.4 176.0 167.2 158.9 156. 162.9 164.1 162. 162.0 160.6 162.3 Machinery...................................... 14.80 195.7 191.0 190.6 191.2 190.3 186.2 182.9 179.0 176.7 174.7 173.0 173.4 173 175.4 Nonelectrical machinery............ 8.43 194.6 187.1 185.2 185.2 183.0 180.0 176.1 172.7 170.4 166.2 165.5 165.0 162.4 163.5 Electrical machinery.................. 6.37 197.2 196.3 197.7 199.1 199.9 194.5 191.9 187.4 185.1 185.9 182.9 184.5 187.7 191.1 Transportation equipment............ 10.19 174.6 157.3 159.9 158.1 156.7 139.0 122.0 121.9 142.5 148.6 148.8 146.6 142.8 144.2 Motor vehicles and parts.......... 4.68 166.9 158.5 164.4 164.8 164.7 127.3 95.4 96.9 142.0 158.8 166.5 164.8 157.9 159.5 Aircraft and other equipment.. 5.26 177.8 153.0 153.3 149.7 147.1 145.7 141.1 139.5 139.3 136.1 129.5 126.1 124.5 124.7 Instruments and related products. 1.71 194.4 191.3 187.9 187.0 183.3 181.8 181.3 181.7 180.5 181.4 179.5 176.2 178.7 178.5 Ordnance and accessories............. 1.28 Clay, glass, and lumber.................. 4.72 142.5 139.2 134.1 134.7 136.9 133.8 135.0 133.3 135.4 138.7 138.4 139.1 140.9 143.3 Clay, glass, and stone products... 2.99 156.0 152.6 149.4 148.8 150.1 148.7 149.4 148.5 152.6 151.3 150.9 152.3 154.5 156.4 Lumber and products.................... 1.73 119.1 116.1 107.6 110.5 114.2 108.2 110.1 107.0 105.8 117.0 116.9 116.3 117.5 Furniture and miscellaneous........... 3.05 176.7 169.1 168.3 167.3 166.1 164.8 165.2 166.7 166.1 166.3 166.6 168.2 169.5 172.1 Furniture and fixtures................... 1.54 186.9 174.4 173.8 172.5 172.9 171.7 173.9 174.7 174.5 174.5 173.9 175.0 \11.4 181.0 Miscellaneous manufactures......... 1.51 166.4 163.6 162.6 162.0 159.1 157.7 156.3 158.5 157.5 158.0 159.1 161.2 161.5 163.0 Nondurable manufactures Textiles, apparel, and leather........ 7.60 144.2 136.7 135.8 135.9 135.9 135.2 135.7 133.0 135.6 137.0 135.1 136.5 138.8 140.4 Textile mill products..................... 2.90 154.2 147.8 145.9 145.3 146.1 145.7 146.7 145.1 143.9 149.1 151.7 153.5 155.7 158.6 Apparel products........................... 3.59 149.2 137.7 139.0 140.9 140.7 139.3 138.7 135.5 141.7 140.3 138.0 139.5 138.4 Leather and products.................... 1.11 101.9 104.5 99.3 95.6 93.6 94.6 97.2 93.1 94.2 94.7 82.2 82.3 96.2 Paper and printing......................... 8.17 164.4 163.0 161.7 161.9 162.1 157.6 157.7 160.5 159.7 159.9 159.9 159.5 159.9 160.4 Paper and products....................... 3.43 175.6 174.5 170.8 172.0 172.9 166.2 168.0 171.7 169.5 170.0 170.0 169.3 170.6 171.0 Printing and publishing................. 4.74 156.3 154.8 155.2 154.6 154.3 151.5 150.2 152.4 152.7 152.6 152.6 152.5 152.3 152.7 Newspapers................................. 1.53 142.7 136.9 137.5 140.0 138.7 137.4 134.5 137.2 136.6 134.9 139.3 135.5 134.0 133.3 Chemicals, petroleum, and rubber.. 11.54 222.6 220.2 224.3 226.8 223.5 222.0 221.5 224.1 225.2 225.9 224.0 225.4 228.9 229.8 Chemicals and products................ 7.58 239.0 241.4 243.2 243.3 239.8 240 240.7 243.7 243.9 245.3 243.8 244.7 246.3 249.1 Industrial chemicals................... 3.84 283.0 281.3 285.8 285.7 280.7 282.0 282.9 285.4 281.7 283.5 283.9 285.0 286.8 Petroleum products....................... 1.97 143.8 146.5 147.8 145.5 147.5 150.3 150.1 154.2 156.0 152.7 152.1 153.0 155.2 146.5 Rubber and plastics products....... 1.99 238.7 212.2 227.8 244.8 236.9 221.4 219.1 218.9 222.3 224.3 219.8 223.8 236.0 Foods, beverages, and tobacco....... 11.07 139.0 141.3 139.2 140.0 140.1 141.0 138.4 141.2 142.7 144.9 145.0 145.5 144.3 144.5 Foods and beverages................. 10.25 140.7 143.1 140.7 141.1 141.6 142.4 139.6 142.7 144.4 146.7 146.5 147.0 146.8 146.9 Food manufactures.................... 8.64 136.7 141.0 138.3 139.5 138.8 138.7 135.7 139.4 140.1 140.9 141.0 141.0 141.4 142.5 Beverages.................................... 1.61 161.9 154.6 153.7 149.6 156.4 162.2 160.3 160.7 167.6 178.1 175.9 179.3 176.0 Tobacco products.......................... .82 117.3 117.8 120.7 126.6 121.8 122.9 124.1 121.6 121.7 121.9 125.7 126.1 112.1 Mining Coal, oil, and gas........................... 6.80 127.4 132.3 133.3 131.0 135.1 138.2 139.2 137.1 136.2 134.8 133.2 135.7 136.0 134.7 Coal................................................ 1.16 117.7 134.2 124.3 127.5 128.5 127.9 128.1 127.3 130.1 136.3 129.5 138.1 142.5 134.7 Crude oil and natural gas............. 5.64 129.3 131.9 135.1 131.7 136.5 140.3 141.5 139.1 137.4 134.6 134.0 135.2 134.7 134.7 Oil and gas extraction............... 4.91 139.0 143.9 146.7 143.2 148.2 152.1 152.6 151.2 148.5 145.3 144.8 146.5 147.8 148.4 Crude oil................................. 4.25 132.0 135.8 137.5 134.4 139. 144.1 145.1 143.8 141.0 137.3 136.4 138.6 139.9 139.7 Gas and gas liquids............... .66 184.0 Oil and gas drilling.................... .73 64.2 Metal, stone, and earth minerals... 1.43 143.5 146.6 146.1 146. 146.6 142.2 143.3 150.1 151.4 152.5 151.0 153.0 152.0 144.8 Metal mining................................. .61 142.0 151.8 150.3 150.9 152.3 144.5 145.1 160.1 159.7 160.3 160.0 160.1 159.2 144.1 Stone and earth minerals.............. .82 144.7 142.8 143.0 143.8 142.3 140.5 142.0 142.7 145.2 146.7 144.4 147.8 146.7 145.3 Utilities Electric............................................ 4.04 233.0 248.4 248.7 249.5 248.6 257.1 259.6 251.5 253.0 254.6 259.1 254.9 259.4 Gas.................................................. 1.28 174.1 For Note see p. A-63. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 62 INDUSTRIAL PRODUCTION: N.S.A. □ JULY 1971 MARKET GROUPINGS (1957-59= 100) 19 p 5 r 7 o - ­ 59 1969 1970 1971 Grouping por­ aver­ tion age? May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Total index................................... 100.00 172.8 169.1 172.1 163.6 169.1 170.2 166.5 162.9 162.5 164.2 165.9 167.1 166.6 167.5 Final products, total......................... 47.35 170.8 165.8 169.9 161.8 167.1 168.8 164.7 160.2 160.0 162.7 163.4 164.0 161.7 163.1 Consumer goods........................... 32.31 162.5 160.3 165.7 157.6 165.3 168.1 164.0 158.0 157.0 163.4 165.5 166.5 164.6 166.1 Equipment, including defense... 15.04 188.6 177.7 179.0 170.9 170.9 170.4 166.1 164.8 166.4 161.2 159.1 158.4 155.7 156.7 Materials.......................................... 52.65 174.6 172.1 174.1 165.3 170.9 171.5 168.5 165.4 164.7 165.2 168.6 170.2 171.2 171.9 Consumer goods Automotive products......................... 3.21 173.2 173. 182.9 131.6 116.6 135.2 118.9 117.5 148. 174.8 183.5 184.3 178.3 188.8 Autos................................................ 1.82 162.8 173.2 185.0 98.3 68.9 108.5 88.0 87.5 137.6 169.1 184.9 184.0 167.7 179.1 Auto parts and allied products. ... 1.39 186.8 174.4 180.1 175.6 179.5 170.3 159.7 157.0 162.5 182.3 181. 184.7 192.2 201.5 Home goods and apparel................. 10.00 159.3 154.1 156.4 143.7 154.1 156.2 162.0 154.6 142.1 149.1 155.3 158.3 157.3 159.1 Home goods.................................... 4.59 184.0 177.5 180.0 168.7 174.1 182.9 190.9 184.5 171.2 174.0 180.3 186.3 185.9 188.7 Appliances, TV, and radios........ 1.81 180.2 185.7 186.0 172.3 170.1 189.9 205.7 188.2 156.1 176.1 187.5 198.5 198.0 203.6 Appliances................................ 1.33 192.4 219 213.0 200.6 182.8 208.3 223.0 202.1 168.8 197.0 208.7 221.7 218.1 225.6 TV and home radios............... .47 145.6 89.5 110.0 92.3 134.2 138.0 157.2 148.9 120.3 117.4 127.7 133.0 141.3 141.6 Furniture and rugs....................... 1.26 180.3 159.2 162.9 157.3 168.7 169.0 175.2 175.6 176. 167.6 170.3 172.1 170.5 171.2 Miscellaneous home goods......... 1.52 191.5 183.0 186.9 173.9 183.4 186.0 186.3 187.6 184.6 176.8 179.9 183.6 184.1 185.6 Apparel, knit goods, and shoes.... 5.41 138.5 134.4 136.4 122.5 137.2 133.7 137.5 129.3 117.5 128.1 134.2 134.6 133.1 Consumer staples............................. 19.10 162.4 161.2 167.7 169.2 179.4 179.8 172.6 166.6 166.3 168.9 167.8 167 166.1 166.0 Processed foods............................... 8.43 136.6 132.6 136.5 138.0 153.0 155.0 150.1 143.6 137.2 134.3 132.2 132.3 130.6 134.2 Beverages and tobacco.................... 2.43 146.8 152.8 163.3 148.7 156.7 152.7 152.4 139.8 131.7 138.6 144.8 157.7 159.2 Drugs, soap, and toiletries............. 2.97 209.0 215.2 225.0 216.3 218.2 222.0 220.2 221.2 221.6 217. 222.9 222.3 225.7 223.7 Newspapers, magazines, and books 1.47 147.1 146.5 145.5 142.9 144 141.8 140.7 141.3 144.4 144.2 144.3 145.1 145.0 143.4 Consumer fuel and lighting............ 3.67 199.6 193.7 203.6 226.3 236.7 236.2 211.1 202.6 219.8 236.9 228.0 220.5 211.2 Fuel oil and gasoline................... 1.20 144.6 144.8 151.3 151.0 153.3 156.2 151.2 153.9 160.9 157.9 156 155.2 152.6 144.7 Residential utilities...................... 2.46 226.3 Electricity................................. 1.72 249.7 231.9 247.9 296.0 316.1 315.7 265.1 244.8 276.0 314.0 295.4 280.0 261.3 Gas............................................ .74 Equipment Business equipment........................... 11.63 195.6 189.7 191.9 182.9 183.5 183.4 178.8 177.2 179.7 173.8 172.6 172.2 170.0 170.8 Industrial equipment....................... 6.85 179.1 176.0 178.7 172.9 172.8 172.0 168.7 167.9 169.3 164.7 161.5 160.5 159.3 160.6 Commercial equipment................... 2.42 220.0 217.8 221.1 213.9 214.2 213.7 209.1 208.2 208. 200.9 197.1 198.3 193.8 196.7 Freight and passenger equipment. . 1.76 246.7 223.3 222.4 203.2 207.9 204.4 193.7 190.7 200.3 197.5 196.4 196.8 194.6 192.6 Farm equipment.............................. .61 136.8 134.4 135.6 114.1 110.9 131.0 127 119.4 122.0 98.4 130.5 127.8 124.1 Defense equipment........................... 3.41 Materials Durable goods materials................... 26.73 165.5 159.5 162.0 153.2 156.0 154.9 147.1 143.6 146.9 146.6 150.5 153.4 153.6 155.9 Consumer durable........................... 3.43 163.9 150.4 158.5 142.7 147.6 140.7 111.5 114.5 146.0 156.6 155.3 155.1 153.0 154.4 Equipment........................................ 7.84 191.9 178.7 178.4 172.9 170.6 171.4 166.2 164.3 166.1 164.4 162.3 163.0 158.5 160.4 Construction................................... 9.17 152.4 149.6 154.1 150.1 155.7 153.4 149.4 142.7 137.7 134.6 138.8 144.3 148.9 152.9 Metal materials n.e.c....................... 6.29 152.8 154.9 154.8 138.9 142.9 144.3 139.5 134.8 137.0 143.2 150.2 153.7 156.2 157.4 Nondurable materials....................... 25.92 183.9 185.1 186.6 177.8 186.2 188.6 190.5 188.0 182.9 184.4 187.3 187.6 189.4 188.4 Business supplies............................. 9.11 166.6 164.8 165.1 154.7 165.0 165.2 167.4 164.4 156.6 158.1 159.4 158.1 162.8 163.3 Containers.................................... 3.03 168.6 169.9 171.1 157.9 177.6 173.1 176.8 164.2. 148.2 165.7 164.2 153.9 162.8 165.5 General business supplies............ 6.07 165.5 162.3 162.1 153.1 158.8 161.3 162.7 164.5 160.8 154.3 157.1 160.2 162.8 162.2 Nondurable materials n.e.c............. 7.40 237.8 236.6 238.5 226.0 231.1 235.8 241.6 240.9 232.9 234.8 243.0 245.3 246.1 243.1 Business fuel and power................. 9.41 158.2 164.3 166.5 162.3 171.3 174.0 172.7 169.2 169.1 170.1 170.4 170.8 170.4 169.6 Mineral fuels................................ 6.07 134.9 142.0 140.8 131.1 142.6 145.7 148.5 148.0 146.8 145.9 146.5 148.0 148.6 145.8 Nonresidential utilities................ 2.86 216.7 Electricity................................. 2.32 220.6 227.3 239.0 247.1 253.4 252.9 240.4 226.4 229.4 235.3 234.1 231.8 229.4 General industrial................ 1.03 216.1 222.9 228.4 226.1 229.9 229.2 223.5 216.3 217.3 218.7 219.3 220.0 224.0 Commercial and other......... 1.21 236.1 243.1 261.0 279.0 288.1 287.2 267.5 246.8 251.6 261.8 259.0 254.0 246.0 Gas............................................ .54 Supplementary groups of consumer goods Automotive and home goods. 7.80 179.5 176.0 181.2 153.5 150.4 163.2 161.3 156.9 161.8 174.3 181.6 185.5 182.7 188.8 Apparel and staples............... 24.51 157.1 155.3 160. 158.9 170.0 169.6 164.9 158.4 155.5 159.9 160.4 160.5 158.8 For Note see p. A-63. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INDUSTRIAL PRODUCTION: N.S.A. A 63 INDUSTRY GROUPINGS (1957-59= 100) Grouping 19 p 5 r 7 o - ­ 59 a 1 v 9 e 6 r 9 ­ 1970 1971 por­ age p tion May June July Aug. Sept. Oct. Nov. Dec, Jan. Feb. Mar. Apr. May Total index................................. 100.00 172.8 169.1 172.1 163.6 169.1 170.2 166.5 162.9 162.5 164.2 165.9 167.1 166.6 167.5 Manufacturing, total....................... 86.45 173.9 168.9 171.8 161.6 166.4 167.6 164.5 161.2 160.0 161.4 163. 165.4 165.0 166.2 Durable....................................... 48.07 176.5 169.4 171.3 159.8 161.0 162.3 156 153.3 156.7 157.2 159.0 161.0 159.5 161.2 Nondurable................................ 38.38 170.6 168.4 172.3 163.8 173.2 174.2 174.8 171.1 164.2 166.6 169.8 170.8 171.9 172.6 Mining............................................ 8.23 130.2 137.9 137.6 129.2 138.2 140.1 141.8 140.5 139.4 137.4 136.3 137.8 139.8 139.2 Utilities........................................... 5.32 221.2 Durable manufacture Primary and fabricated metals.... 12.32 162.5 158.3 159.9 148.0 153.9 155.1 146.7 142.8 145. 148.5 152 156.3 157.6 158.9 Primary metals............................... 6.95 149.1 149.0 147.6 131.1 137.2 137.9 132.2 128.0 131.2 140.4 147 152.0 154.0 153.6 Iron and steel............................. 5.45 140.3 139.4 138.8 124.5 128.7 128.2 123.3 118.4 120.5 132.6 139.5 145.2 147.6 144.0 Nonferrous metals and products 1.50 181.1 183.6 179.7 155.3 168.0 173.3 164.6 162.9 170.0 168.8 176.0 176.8 177.2 181.4 Fabricated metal products............ 5.37 179.8 170.5 175.7 169.9 175.3 177.3 165.4 162.0 164.8 159.1 159 161.8 162.3 165.7 Structural metal parts............... 2.86 173.3 163.4 167.7 162.9 168.1 169.2 162.7 160.6 160.5 160.0 158.5 161.9 160.5 166.3 Machinery and related products... 27.98 188.4 179.5 181.4 168.2 165.5 167.7 160.8 158.9 164.6 166 166.4 166.3 162.9 164.1 Machinery....................................... 14.80 195.7 192.1 193.6 185.3 184.5 187.0 184.2 180.2 177.7 175.9 176.7 178.6 175.8 176.3 Nonelectrical machinery............ 8.43 194.6 191.8 190.4 182.4 176.2 177.7 172.9 171.0 171.6 167.9 170.5 172.4 168.1 167.6 Electrical machinery.................. 6.37 197.2 192.4 197. 189.2 195.6 199.3 199.1 192.5 185.8 186.5 184 186 186.1 187.8 Transportation equipment............ 10.19 174.6 161.2 164.6 142.0 136.1 139.0 124.8 125.5 145.2 152.7 153.3 152.2 146.2 148.3 Motor vehicles and parts........... 4.68 166.9 167.7 176.4 134.0 123.0 128.4 100.8 102.5 144.8 166.7 174.4 172.7 164.4 168.8 Aircraft and other equipment.. . 5.26 177 152.4 151.2 146.1 144.5 145.1 141.8 141.6 142.1 137.5 131.4 129.8 125.1 124.2 Instruments and related products. 1.71 194.4 189.4 189. 185.1 184.8 183.8 183.3 183.2 182.7 179.2 176.8 177.1 176.0 176.7 Ordnance and accessories.............. 1.28 Clay, glass, and lumber................... 4.72 142.5 140.7 143.3 139.9 146.9 143.2 143.0 134. 128.2 123.5 129.9 135.6 140.5 145.0 Clay, glass, and stone products___ 2.99 156.0 155.0 159.7 157.0 161.8 157.2 157.6 150.0 144.5 134.7 139.1 146.4 153.9 158.9 Lumber and products..................... 1.73 119.1 116.1 115.1 110.5 121.1 119.0 117. 108.6 100.1 104.1 114.0 116.9 117.5 Furniture and miscellaneous............. 3.05 176.7 165.2 168.5 161.9 170.9 170.9 173.9 173.1 171.7 162.7 162.1 166.1 165.1 168.2 Furniture and fixtures..................... 1.54 186.9 169.2 173.5 168.2 177.7 176.8 180.5 179.6 181.1 172.8 171.3 174.9 172.6 175.6 Miscellaneous manufactures........... 1.51 166.4 161.1 163.4 155.5 163.9 164. 167.2 166.4 162.2 152.5 152.7 157.2 157.5 160.6 Nondurable manufactures Textiles, apparel, and leather.......... 7.60 144.2 139.5 139.3 124.9 139.0 137. 141.3 135.6 125.4 136.0 142.2 142.5 141.9 143.2 Textile mill products....................... 2.90 154.2 151.5 147.4 135.9 146.8 148.6 151.1 149.5 138.9 148.4 155.5 157.3 158.8 162.6 Apparel products............................. 3.59 149.2 142.5 145.3 128.2 144.9 142.1 146.3 138.2 126.1 138.9 148.3 148.0 143.0 Leather and products...................... 1.11 101.9 98.2 98.8 86.0 99.7 96.0 99.6 91.2 87.9 94.2 87.9 86.4 94.3 Paper and printing........................... 8.17 164.4 164.2 162.8 153.1 160.8 160.1 165.0 164.5 156.0 157.1 161.3 160.8 163.5 162.0 Paper and products......................... 3.43 175.6 175.4 174.7 159.1 174.6 168.7 178.9 174.3 155.9 170.0 176.0 171.0 176.6 172.9 Printing and publishing................... 4.74 156.3 156.1 154.3 148.8 150.8 153.8 155.0 157.4 156.1 147.8 150.8 153.4 154.1 154.0 Newspapers.................................. 1.53 142.7 145.9 138.2 125.3 126.9 138.1 144.3 150.9 140.0 123.4 133.7 137.5 142.7 142.1 Chemicals, petroleum, and rubber.., 11.54 222.6 220.1 229.2 219.3 223.3 227.5 226.6 225.9 222.1 222.1 226.8 227.5 230.2 229.8 Chemicals and products................. 7.58 239.0 241.4 248.5 237.5 239.3 244.6 245.0 244.8 241.4 240.2 247.2 246.8 250.4 249.1 Industrial chemicals..................... 3.84 283.0 281.3 287.2 276.0 276.5 284.8 288.5 289.7 284.5 279.2 289.6 287.9 292.5 Petroleum products......................... 1.97 143.8 145.0 152.2 153.2 155.3 156.3 151.6 152.2 152.3 148.1 149.1 147.6 149.0 i45.0 Rubber and plastics products........ 1.99 238.7 213.3 232.4 215.4 229.8 232.5 231.1 226.6 217.9 226.5 226.4 233.2 233.6 Foods, beverages, and tobacco......... 11.07 139.0 137.5 142.7 140.4 153.6 154.2 151.0 143.3 136.7 136.7 135.7 138.5 137.8 141.0 Foods and beverages....................... 10.25 140.7 138.7 143.8 142.7 155.4 156.3 152.2 144.9 139.7 137.3 136.6 139.7 139.9 142.8 Food manufactures..................... 8.64 136.7 133.2 136.9 138.1 152. 154.6 150.6 144.3 138.0 135.5 133.2 133.1 131.8 134.7 Beverages......................................... 1.61 161.9 168.5 180.7 167.3 169.4 165.4 161.1 147.8 148.3 148.5 154.8 174.8 183.2 Tobacco products............................ .82 117.3 122.0 129.1 112.0 131.8 127.7 135.1 124.0 99.1 129.2 125.1 124.2 111.9 Mining Coal, oil, and gas............................. 6.80 127.4 134.0 132.7 122.9 133.5 136.5 139.7 139.2 139.2 138.5 137.2 138.1 138.5 136.1 Coal.................................................. 1.16 117.7 135.5 127.2 94.7 135.2 135.3 139.6 132.5 127.8 133.6 131.1 139.2 143.5 136.0 Crude oil and natural gas............. 5.64 129.3 133.7 133.8 128.8 133.2 136.8 139.7 140.6 141.5 139.5 138.5 137.9 137.4 136.1 Oil and gas extraction................ 4.91 139.0 143.5 144.0 139.8 144.4 148.1 150.6 151.7 151.3 148.8 150.1 150.1 149.8 148.1 Crude oil................................. 4.25 132.0 136.5 136.1 131.7 137.0 141.2 143.6 143.8 142.4 139.4 140.5 141.4 142.1 140.4 Gas and gas liquids................. .66 184.0 Oil and gas drilling..................... .73 64.2 Metal stone, and earth minerals... 1.43 143.5 156.2 161.0 159.0 160.2 157.2 152.1 146.5 140.6 132.0 131.5 136.3 145.9 154.0 Metal mining................................. .61 142.0 167.0 169.8 161.5 164.5 163.3 155.3 148.9 143.7 141.1 144.0 142.5 148.1 158.5 Stone and earth minerals.............. .82 144.7 148.1 154.4 157.2 157.0 152.6 149.8 144.8 138.2 125.3 122.3 131.8 144.4 150.7 Utilities Electric............................................ 4.04 233.0 229.2 242.8 268.0 280.2 279.7 253.9 234.2 249.3 268.8 263.6 252.3 245.9 Gas.................................................. 1.28 74.1 Note.—Published groupings include some series and subtotals not Industrial Production—1957-59 Base. Figures for individual series and shown separately. A description and historical data are available in subtotals (N.S.A.) are published in the monthly Business Indexes release. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 64 BUSINESS ACTIVITY; CONSTRUCTION □ JULY 1971 SELECTED BUSINESS INDEXES (1957-59= 100, except as noted) Industrial production Manu­ Prices 4 facturing 2 Period Total M F a in jo a r l m pr a o r d k u e c t t g s roupi M ng a s te­ Ma g j r o o r u i p n i d n u g s s try i u p n c t ( t a C i e i p m c o l n e i a i n z f t t r ­ ) g a y ­ . s t C r c t t a r i o o u o c n n t n c s ­ ­ ­ N T m r p t i o e o u c l e n m o t r u n a a a y l t ­ l g l — - ­ i - p m E lo e m n y ­ t ­ P ro a l y ls ­ T s r a e o t l t a e a i s l l 3 s C um on e ­ r W c s o a h m l o e l ­ e­ Total g s C o u o o m n d e ­ s r E m q e u n ip t ­ rials Mfg. M in i g n­ U iti t e i s l­ = (1 1 9 0 6 0 7 ) m = (1 o 1 9 d 0 6 i 0 7 ty ) 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 195T. 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 1960. 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 86.1 108.0 99.7 117.9 120 91.7 94.5 1964. 132.3 131.8 131.7 132.0 132.8 133.1 111.5 151.3 85.7 89.4 111.1 101.5 124.3 128 92.9 94.7 1965. 143.4 142.5 140.3 147.0 144.2 145.0 114.8 160.9 88.5 93.2 115.8 106.7 136.6 138 94.5 96.6 1966. 156.3 155.5 147.5 172.6 157.0 158.6 120.5 173.9 90.5 94.8 121.8 113.5 151.7 148 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 1Q70 134.5 111.5 177.4 178 116.3 110.4 1970— J M un ay e. . . . . . . . . . . . . . . . . . 1 16 6 8 9 . . 8 0 1 16 6 7 7 . . 1 7 1 1 6 6 2 3 . .2 8 1 1 7 7 7 6. . 3 3 1 17 70 1. . 2 4 1 16 6 8 8 . . 1 0 1 1 3 3 5 4 . . 5 8 2 2 3 34 5 . . 9 4 578.0 1 1 2 1 0 0 . . 0 0 1 1 3 34 4 . . 5 9 1 1 1 1 2 2 . . 3 6 1 1 7 7 8 6 . . 6 7 1 1 7 7 8 8 1 1 1 1 6 5 . . 3 7 1 1 1 1 0 0 . . 1 3 July.......... 169.2 166.8 163.5 173.7 171.4 168.5 133.8 236.3 116.0 134.4 111.9 178.1 180 116.7 110.9 Aug.......... 168.8 166.5 163.5 173.0 171.2 167.7 137.1 235.8 76.2 135.0 134.1 110.9 179.0 180 116.9 110.5 Sept.......... 165.8 163.1 160.1 169.6 168 9 163.7 138.9 242.8 118.0 134.3 111.1 178.4 181 117.5 111.0 Oct........... 162.3 159.8 157.0 165.9 164.8 159.4 139.9 244.8 115.0 133.6 106.4 168.8 179 118.1 111.0 Nov.......... 161.5 159.4 157.0 164.5 163.8 159.0 139.4 238.7 72.4 130.0 133.4 105.5 168.5 177 118.5 110.9 Dec........... 164.4 162.9 162.4 164.2 166.0 162.1 138.8 240.0 132.0 133.9 108.1 176.8 179 119.1 111.0 1971-—Jan........... 165.6 163.4 164.5 161.3 168.0 163.6 137.9 241.5 117.0 134.5 107.9 179.1 182 119.2 111.8 Feb........... 165.2 163.0 164.6 159.4 167.8 163.1 136.3 245.2 r73.2 126.0 134.4 107.5 177.6 185 119.4 112.8 Mar.......... 165.5 163.4 166.2 157.3 168.0 163.5 138.7 242.2 141.0 134.5 107.1 178.8 189 119.8 113.0 Apr........... 166.2 163.4 167.1 155.6 169.3 63.9 138.8 246.0 161.0 r134.7 r107.4 r178. 7 r192 120.2 113.3 May......... 167.3 r164.7 M68.5 r156.6 r170.2 M65.2 r136.4 r247.3 *73.2 141.0 r135.0 r107.8 r180.7 r190 120.8 113.8 June*....... 167.9 165.3 169.5 156.2 170.6 165.9 137.4 248.0 134.4 107.1 181.8 193 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, 5 Figure is for second quarter 1970. 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 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May Total construction 1......................... 61,732 67,425 5,417 6,552 6,177 6,229 5,398 5,453 5,144 4,974 4,383 4,993 6,386 7,743 7,555 By type of ownership; Public........................................ 19,597 22,656 1,695 2,814 2,312 2,078 1,869 2,023 1,937 1,688 1,464 1,578 1,722 2,074 Private 1.................................... 42,135 44,769 3,722 3,738 3,865 4,151 3,529 3,430 3,208 3,286 2,919 3,415 4,663 5,669 By type of construction: Residential building 1.............. 24,838 25,219 2,122 2,347 2,347 2,349 2,176 2,301 1,947 2,045 1,631 1,819 2,729 3,168 3,310 Nonresidential building........... 22,512 25,667 1,749 2,469 2,469 2,331 1,943 1,862 1,701 1,693 1,711 1,654 2,199 2,080 2,263 Nonbuilding............................. 14,382 16,539 1,544 1,361 1,361 1,549 1,278 1,289 1,497 1,235 1,041 1,520 1,458 2,495 Private housing units authorized... 1,330 1,299 1,321 1,306 1,275 1,326 1,371 1,521 1,487 1,768 1,635 >■1,563 1,627 1,618 1,980 (In thousands, S.A., A.R.) l Because of improved collection procedures, data for 1-family homes Note.—Dollar value of construction contracts as reported by the F. W. beginning Jan. 1968 are not strictly comparable with those for earlier Dodge Co. does not include data for Alaska or Hawaii. Totals of monthly periods. To improve comparability, earlier levels may be raised by ap­ data exceed annual totals because adjustments—negative—are made into proximately 3 per cent for total and private construction, in each case, accumulated monthly data after original figures have been published. and by 8 per cent for residential building. Private housing units authorized are Census Bureau series for 13,000 reporting areas with local building permit systems. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ CONSTRUCTION A 65 VALUE OF NEW CONSTRUCTION ACTIVITY (In millions of dollars) Private Public Nonresidential Conser­ Period Total Total d N f r e a e n o r s t m n i i ­ a ­ l Total Indus­ Bu C il o d 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 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 1969........... 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............. 91,266 63,079 29,275 33,806 5,930 10,521 5,841 11,459 28,297 782 1970—May. 89,702 62,656 29,150 33.506 5,864 10,553 5,975 11,114 27,046 868 June. 90,063 61,652 27,698 33,954 5,892 10,903 5,878 11,281 28,411 830 July.. 89,084 60,675 27,014 33,661 5,915 10,027 5,932 11,787 28,409 592 Aug.. 89,987 61,493 27,536 33.957 6,241 10,188 5,959 11,569 28,494 845 Sept.. 91,012 62,725 28,768 33.957 5,741 10,375 5,686 12,155 28,287 738 Oct... '92,336 r64,476 '30,519 33.957 5,983 10,210 5,572 12,192 27,860 866 Nov.. r92,927 '64,585 '31,827 32,758 5,752 9,278 5,575 12,153 28,342 70 i Dec.., r99,194r66,984 '33,355 '33,629 5,358 10,372 5.739 12,160 '32,210 768 1971—Jan... '99,749 r69,651 '34,170 '35,481 5,904 11,558 6,083 11,936 '30,098 1,016 Feb... r102,024 r70,311 '35,114 '35,197 5,596 11,846 5.740 12,015 31,713 924 Mar.r 102,159 72,116 36,842 35,274 5,244 12,169 5,637 12,224 30,043 882 Apr.', 103,800 74,171 38,017 36,154 5,472 12,214 6,098 12,370 29,629 844 Mayp, 103,916 73,499 38,565 34,934 5,206 11,692 5,947 12,089 30,417 875 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.—Census Bureau data, monthly series at seasonally adjusted private nonresidential groups. annual rates. 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 N e o a r s t t h­ C N e o n r t t r h al South West fam 1- ily 2 fa - m to i l 4 y - f m 5 a - m o r o i e l r y - Total Private Public Total FHA VA 1962......................... 1,463 264 290 531 378 991 4‘71 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 '288 '237 '51 413 1970......................... 1,429 217 291 611 310 811 84.7 534 1,467 1,434 33 479 418 61 401 1970—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............... 1,693 262 355 737 339 934 111 648 128 127 1 39 34 5 30 Dec................ 2,054 234 427 916 477 1,240 102 712 124 121 3 69 63 6 27 1971—Jan................ 1,725 238 320 724 435 946 110 669 115 111 4 37 32 5 25 Feb................ 1,754 238 292 745 479 985 110 659 105 102 3 32 27 5 28 Mar.'............ 1,959 257 442 803 457 1,048 121 790 169 168 1 40 33 7 36 Apr............... 1,899 230 450 813 406 1,090 109 700 202 200 2 53 45 8 43 MayP............ 1,931 270 344 845 472 1,098 106 727 199 194 5 49 41 8 41 Note.—Starts are Census Bureau series (including farm starts) except units under FHA, based on field office reports of first compliance inspec­ for Govt.-underwritten, which are from Federal Housing Admin, and tions. Data may not add to totals because of rounding. Veterans Admin, and represent units started, including rehabilitation 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 66 EMPLOYMENT □ JULY 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 la ( b N N o . o r S t . f A i o n . r ) ce ( T l f a S o o b . r A t c o a e r . l ) Total Employed2 Unem­ U (p n m r e e a m r e c t n e p e t 1 l n o t y ; ­ Total In c n u o lt n u a r g al r i- In ployed S.A.) 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—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 Mar................ 141,885 56,286 86,405 83,475 78,475 75,079 3,396 5,000 6.0 142,088 56,308 86,665 83,783 78,698 75,140 3,558 5,085 6.1 May............... 142,285 56,331 87,028 84,178 78,961 75,503 3,458 5,217 6.2 June............... 142,482 54,698 85,948 83,132 78,443 75,149 3,294 4,689 5.6 1 Per cent of civilian labor force. Note.—Bureau of Labor Statistics. Information relating to persons 16 2 Includes self-employed, unpaid family, and domestic service workers. 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) Period Total M t a u n ri u n f g ac­ Mining c C o o n t n i s o t t r n r a u c c t ­ T t l i i o r c a n n u & s ti p l i o p ti r u e t b a s ­ ­ Trade Finance Service G m ov e e n r t n­ 1965......................................................... 60,815 18,062 632 3,186 4,036 12,716 3,023 9,087 10,074 1966......................................................... 63,955 19,214 627 3,275 4,151 13,245 3,100 9,551 10,792 1967......................................................... 65,857 19,447 613 3,208 4,261 13,606 3,225 10,099 11,398 1968......................................................... 67,915 19,781 606 3,285 4,310 14,084 3,382 10,623 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 1-970—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................................................ 70,652 18,807 625 3,241 4,499 15,133 3,746 11,778 12,823 Feb................................................ 70,590 18,728 623 3,198 4,521 15,141 3,745 11,785 12,849 Mar.............................................. 70,659 18,672 624 3,254 4,516 15,151 3,753 11,803 12,886 Apr.............................................. 70,735 18,690 623 3,289 4,491 15,158 3,764 11,800 12,920 May**............................................ 70,891 18,721 623 3,268 4,496 15,217 3,780 11,820 12,966 Junep............................................ 70,581 18,606 620 3,215 4,499 15,129 3,786 11,777 12,949 NOT SEASONALLY ADJUSTED 1970—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................................................ 69,622 18,622 611 2,910 4,427 14,899 3,701 11,554 12,898 Feb............................................... 69,533 18,568 606 2,833 4,444 14,757 3,708 11,608 13,009 Mar.............................................. 69,875 18,528 608 2,955 4,457 14,831 3,727 11,697 13,072 Apr.............................................. 70,391 18,525 617 3,154 4,455 15,017 3,749 11,800 13,074 May**............................................ 70,840 18,584 623 3,261 4,487 15,125 3,772 11,891 13,097 Junep............................................ 71,333 18,751 635 3,389 4,548 15,197 3,816 11,965 13,032 Note.—Bureau of Labor Statistics; data include all full- and part- Data on total and government employment have been revised back time employees who worked during, or received pay for, the pay pe­ to 1964 due to adjustment of State and local government series to riod that includes the 12th of the month. Proprietors, self-employed Oct. 1967 Census of Governments. persons, domestic servants, unpaid family workers, and members of Beginning with 1968, series has been adjusted to Mar. 1969 bench­ the Armed Forces are excluded. mark. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ EMPLOYMENT AND EARNINGS A 67 PRODUCTION WORKER EMPLOYMENT IN MANUFACTURING INDUSTRIES (In thousands of persons) Seasonallyadjusted1 Not seasonally adjusted1 Industry group 1970 1971 1970 1971 June Apr. May® June* June Apr. May® June® Total................................................................................ 14,140 13,532 13,573 13,494 14,261 13,389 13,460 13,612 Durable goods................................................................. 8,134 7,626 7,663 7,610 8,228 7,593 7,644 7,701 Ordnance and accessories...................................... 137 100 102 103 136 99 100 102 Lumber and wood products.................................. 495 495 497 496 516 485 495 517 Furniture and fixtures............................................ 372 372 376 379 373 368 371 379 Stone, clay, and glass products............................. 505 497 499 495 518 493 499 508 Primary metal industries........................................ 1,034 999 1,001 991 1,059 1,006 1,011 1,015 Fabricated metal products..................................... 1,057 1,020 1,023 1,010 1,068 1,012 1,017 1,021 Machinery............................................................... 1,321 19160 1,154 1,142 1,335 1,168 1,157 1,154 Electrical equipment and supplies......................... 1,297 1,181 1,188 1,180 1,291 1,166 1,170 1,176 1,309 1,232 1,250 1,244 1,321 1,234 1,255 1,255 Instruments and related products......................... 280 255 257 254 281 254 256 255 Miscellaneous manufacturing industries............... 327 315 316 316 330 308 313 319 Nondurable goods........................................................... 6,006 5,906 5,910 5,884 6,033 5,796 5,816 5,911 Food and kindred products................................... 1,214 1,190 1,191 1,196 1,203 1,113 1,126 1,186 67 64 64 63 58 55 54 55 Textile-mill products............................................... 842 827 828 825 853 823 825 836 Apparel and related products................................ 1,214 1,217 1,219 1,200 1,228 1,206 1,216 1,215 Paper and allied products...................................... 549 530 519 514 557 525 514 521 Printing, publishing, and allied industries........... 679 666 666 664 680 666 664 664 Chemicals and allied products............................... 603 591 595 594 608 596 596 599 Petroleum refining and related industries.............. 118 117 118 117 121 115 117 120 Rubber and misc. plastic products......................... 434 432 437 437 437 429 433 439 Leather and leather products................................. 286 272 273 274 288 268 271 276 i 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 June Apr. May® June® June Apr. May® June® June Apr. May® June® 39.8 39.8 39.9 40.0 134.40 139.83 141.65 143.51 3.36 3.54 3.55 3.57 40.4 40.2 40.5 40.6 144.94 150.40 153.50 155.04 3.57 3.76 3.79 3.80 Ordnance and accessories.......................... 40.6 41.6 41.4 41.9 146.11 156.94 157.73 160.86 3.59 3.80 3.81 3.83 Lumber and wood products...................... 39.6 40.2 39.9 40.0 119.50 123.82 125.74 128.79 2.98 3.08 3.12 3.18 Furniture and fixtures................................ 38.9 39.5 40.0 40.0 107.92 111.25 114.05 116.18 2.76 2.86 2.88 2.89 Stone, clay, and glass products................. 41.1 41.2 41.4 41.7 141.10 147.55 151.01 153.67 3.40 3.59 3.63 3.65 Primary metal industries............................ 40.4 40.8 40.9 40.9 159.54 171.39 170.98 172.22 3.92 4.17 4.16 4.18 Fabricated metal products......................... 40.9 40.1 40.6 40.9 145.49 147.26 152.22 153.71 3.54 3.70 3.74 3.74 41.1 40.0 40.4 40.6 155.32 158.00 160.39 162.39 3.77 3.95 3.97 3.99 Electrical equipment and supplies............. 39.5 39.8 39.9 40.1 130.68 136.72 139.30 141.10 3.30 3.47 3.50 3.51 Transportation equipment......................... 41.6 40.4 41.1 41.6 170.56 175.96 183.34 185.12 4.10 4.41 4.45 4.45 Instruments and related products............. 40.2 39.7 39.9 39.7 133.39 137.07 138.90 139.30 3.31 3.47 3.49 3.50 Miscellaneous manufacturing industries... 38.6 38.7 38.9 38.6 108.75 113.58 114.07 114.94 2.81 2.95 2.94 2.97 39.0 39.2 39.3 39.2 119.95 125.32 127.01 128.05 3.06 3.23 3.24 3.25 Food and kindred products....................... 40.3 40.5 40.4 40.2 127.58 134.52 135.88 136.55 3.15 3.38 3.38 3.38 Tobacco manufactures............................... 37.4 37.8 38.5 40.0 115.14 118.95 125.68 137.23 3.03 3.25 3.29 3.38 40.0 40.8 40.8 40.7 97.93 102.26 104.19 104.96 2.43 2.55 2.56 2.56 Apparel and related products................... 35.2 35.0 35.4 35.4 84.25 86.20 87.44 88.29 2.38 2.47 2.47 2.48 Paper and allied products.......................... 41.6 42.3 41.9 42.0 142.61 151.26 151.68 154.09 3.42 3.61 3.62 3.66 Printing, publishing, and allied industries. 37.7 37.5 37.7 37.7 147.03 154.42 156.79 157.59 3.90 4.14 4.17 4.18 Chemicals and allied products................... 41.5 41.7 41.4 41.4 152.72 162.15 161.44 163.12 3.68 3.87 3.89 3.94 Petroleum refining and related industries . 42.6 42.0 42.1 41.7 181.04 193.31 193.34 192.32 4.23 4.57 4.56 4.59 Rubber and misc. plastic products............ 40.4 40.3 40.5 40.5 127.26 133.67 136.55 136.49 3.15 3.35 3.38 3.37 Leather and leather products..................... 37.6 38.3 38.0 37.5 94.87 95.98 97.52 97.78 2.49 2.58 2.58 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 68 PRICES □ JULY 1971 CONSUMER PRICES (1967 = 100) Housing Health and recreation Period it A em ll s Food Total Rent H ow s o h m n ip e e r - - F c a o o u n i a e d l l l t e r a G i l n c e a i c d s t ­ y o n F i p a n i u n e s g r h d r s a ­ ­ ­ A up p a k p n e a d e re p l T p t o r i a o r n t n a s ­ ­ Total M c ic a e a r d e l ­ s c P o a e n r r a e ­ l r R e a i c e n n r a g d e d a ­ ­ g O s a o e t n o r h v d d e ­ s r 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—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 Feb................ 119.4 115.9 122.6 113.6 132.3 117.2 112.8 115.9 118.1 117.5 120.2 125.8 115.4 117.5 119.1 Mar............... 119.8 117.0 122.4 113.9 131.2 117.4 113.3 116.4 118.6 117.8 120.6 126.8 115.8 117.7 119.4 Apr............... 120.2 117.8 122.5 114.4 130.9 117.3 113.9 117.0 119.1 118.1 121.2 127.5 116.3 118.4 119.7 May.............. 120.8 118.2 123.2 114.7 131.6 117.2 114.4 118.1 120.2 118.8 121.6 128.1 116.5 118.9 119.9 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 d m s ­ c f f e o a e s n o 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 t e c m r . , ­ P e a t p c e . r, M e a t l e c s, . t­ e c M a q e h n r u i a y d n i ­ p ­ ­ F t e u u t r r c e n . , i­ N t m m a o l i e l n n i - c ­ - T e p t q r o i a o u r n n i t p a s­ ­ ­ n c M e e o l i l u s a ­ s ­ ment erals ment1 1960............................. 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—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.................... 111.8 108.9 111.8 112.2 106.9 111.7 113.5 103.8 108.4 112.2 109.0 116.5 114.2 109.3 118.8 109.5 112.3 Feb................... 112.8 113.9 113.3 112.5 106.7 112.4 113.0 104.2 109.1 117.5 109.3 116.4 114.6 109.7 119.0 109.7 112.6 Mar................... 113.0 113.0 113.7 112.8 106.9 112.5 112.8 104.5 109.1 123.4 109.3 116.5 114.9 109.6 120.9 109.5 112.8 Apr................... 113.3 113.0 113.5 113.3 107.5 114.0 113.0 104.5 109.0 124.6 109.6 117.8 115.0 109.7 121.6 109.7 112.7 May................. 113.8 114.0 114.5 113.7 107.8 114.4 114.2 104.3 108.7 124.9 109.9 118.5 115.3 109.9 121.8 109.8 112.5 June................. 114.3 116.0 114.9 113.9 108.5 114.2 114.4 104.4 108.7 126.1 110.2 118.5 115.5 109.8 122.2 110.0 112.6 1 For transportation equipment, Dec. 1968=100. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ PRICES A 69 WHOLESALE PRICES: DETAIL (1967=100) 1970 1971 1971 Group Group June Apr. May June June Apr. May June Farm products: Pulp, paper, and allied products: Fresh and dried produce. 120.3 120.8 127.5 136.1 Pulp, paper and products, excluding Grains.............................. 96.7 106.8 107.2 109.4 building paper and board........... 108.4 109.9 110.2 110.5 Livestock......................... 121.7 116.9 119.0 118.9 Woodpulp........................................ 107.1 112.2 112.4 112.4 Live poultry..................... 95.1 99.5 101.3 108.1 Wastepaper...................................... 126.8 107.7 107.6 112.3 Plant and animal fibers.. 91.1 89.4 90.3 92.3 Paper................................................ 110.6 114.3 114.2 114.3 Fluid milk........................ 114.5 119.7 118.7 119.1 Paperboard....................................... 100.5 103.0 102.6 102.8 Eggs.................................. 101.2 104.4 92.4 98.0 Converted paper and paperboard.. 108.3 108.8 109.4 109.8 Hay and seeds................. 97.6 104.8 106.8 109.9 Building paper and board............... 101.5 101.7 102.7 103.2 Other farm products....... 115.4 114.4 113.6 113.7 Processed foods and feeds: Metals and metal products: Cereal and bakery products.......... 106.4 111.5 111.5 111.5 Meat, poultry, and fish.................. 117.8 113.3 116.4 116.7 Iron and steel............................... 116.0 118.4 120.1 120.3 Dairy products............................... 111.1 115.5 116.2 116.1 Steelmill products........................ 115.2 118.5 120.7 121.1 Processed fruits and vegetables---- 110.5 113.0 114.0 115.4 Nonferrous metals....................... 128.2 117.2 117.2 116.4 Sugar and confectionery................ 115.4 118.6 119.2 119.0 Metal containers.......................... 111.7 123.1 123.1 123.0 Beverages and beverage materials. 113.0 115.6 115.7 115.7 Hardware..................................... 110.6 115.6 115.6 115.8 Animal fats and oils....................... 133.7 135.9 131.5 123.9 Plumbing equipment................... 112.9 114.9 115.8 116.8 Crude vegetable oils....................... 117.4 120.4 120.6 127.2 Heating equipment...................... 110.5 114.7 115.1 115.2 Refined vegetable oils..................... 111.4 125.2 128.3 131.6 Fabricated structural metal products 112.2 116.8 117.3 117.9 Vegetable oil end products............ 111.0 119.4 118.5 118.5 Miscellaneous metal products.......... 114.5 118.0 118.2 118.7 Miscellaneous processed foods---- 112.5 114.3 113.9 113.9 Manufactured animal feeds........... 98.6 104.4 104.6 107.4 Textile products and apparel: Machinery and equipment: C W M o a o t n o to m l n p a r d p o e r d o u f d i c u b t e c s r t . . s . t . . e . . . . x . . . . t . . i . . . l . . e . . . . . . . p . . . . r . . o . . . . . . d . . . . u . . . . c . . . . t . . s . . . . . 1 1 9 0 0 9 2 5 . . . 5 9 2 1 9 9 0 4 8 8 . . .9 6 4 1 9 9 0 9 3 9 . . . 5 7 6 1 1 9 1 0 3 0 1 . . . 4 9 4 C A M o g e n r t i a s c l t u w ru l o t c u r t r k i a o i l n n g m m a m a c a c h c h i h n in e in e ry e ry r y a a n a n d n d d e e q e q u q u i u p i i p . p . . . , . 1 1 11 1 1 4 2 4 . . . 5 0 4 1 1 1 1 1 20 6 6 . . . 9 7 6 1 1 1 2 1 1 1 7 6 . . . 1 4 6 1 1 1 1 1 2 6 7 1 . . . 9 9 2 T A e p x p ti a l r e e h l. o .. u ... s . e .. f . u ... r . n .. i . s .. h .. i . n .. g .. s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 0 0 3 . . 9 5 1 10 12 3. . 5 2 1 1 0 1 4 2 . . 3 2 1 1 1 0 2 4 . . 3 5 Ge e n q e u r i a p l m p en ur t. p .. o .. s . e .. .... m ... a .. c . h .. i .. n .. e .. r . y .. ... a .. n .. d ... 112.9 118.3 118.7 119.3 Miscellaneous textile products... 105.6 118.7 113.6 118.7 Sp e e q ci u a i l p m in e d n u t. s .. t . r . y .. .... m ... a .. c .. h .. i . n .. e .. r . y .. .... a .. n .. d .. 115.1 119.7 120.4 120.9 Hides, skins, leather, and products: Electrical machinery and equip........ 106.3 109.5 109.4 109.4 Miscellaneous machinery................. 112.6 117.0 117.2 117.2 Hides and skins........... 99.6 121.1 121.4 114.0 Leather......................... 108.6 111.0 113.0 114.4 O Fo th o e t r w l e e a a r t . h .. e . r .. . p .. r .. o .. d .. u .. c .. t .. s . . 1 1 0 1 6 2 . . 7 9 1 1 0 1 7 6 . . 7 6 1 1 1 07 6 . . 9 7 1 1 1 0 6 8 . . 8 2 Furniture and household durables: Fuels and related products, and power: H Co o m us m eh e o rc ld ia l f u fu rn rn it i u tu re r . e .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 4 1 . . 9 6 1 1 1 1 4 8. . 1 1 1 11 1 8 5 . . 1 0 1 11 1 8 5 . . 1 2 E C C G l o o a e s k a c t e l f r . . u . i . . c . e . . . . l . p . s . . . . o . . . . . . . w . . . . . . . . . . e . . . . . . r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 1 4 2 0 0 7 1 4 3 . . . . 9 9 6 6 1 1 1 1 4 0 1 8 5 5 2 4 . . . . 9 9 3 0 1 1 1 1 8 4 0 1 2 6 7 2 . . . . 8 9 6 6 1 1 1 1 5 0 1 8 0 7 3 2 . . . . 5 5 5 0 H H O Fl o o t o h u m o e s r r e e h c h e o o o le v l u d c e s t e r r a i o h n p o n g p i l s l c d i . a . e . d n . q . u c . u . r e . a i . s p . b . . . . m l . . e . . . . e . . g . . n . . . . o t . . . . . o . . . . . . d . . . . . . . s . . . . . . . . . . . . . . 1 1 9 9 0 1 9 3 5 5 . . . . 0 2 9 2 1 1 9 9 0 2 9 3 7 0 . . . . 8 1 1 7 1 1 9 9 0 2 9 3 7 0 . . . . 1 8 1 7 1 1 9 9 0 2 3 8 7 0 . . . . 1 1 6 4 Crude petroleum................... 106.0 113.2 113.2 113.2 Petroleum products, refined. 100.0 105.3 107.4 107.4 Nonmetallic mineral products: Chemicals and allied products: Flat glass.......................................... 115.9 126.2 124.4 122.5 I P P n r a d e in p u t a s t r m r e i d a a l t p e c a r h i i a e n l m t s .. . i . . . c . . . . a . . . . . l . . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 0 1 0 0 2 1 . . . 6 4 0 1 1 1 0 1 0 1 5 3 . . . 9 9 5 1 1 1 0 0 15 1 3 . . . 9 5 5 1 1 9 0 1 9 5 2 . . . 9 4 2 C S C t o o r n n u c c c r r tu e e t t r e e a l i p n r c g o la r d y e u d c p i t e r s n o .. t d .. s . u . . . . . . c . . . . t . . . . s . . . . . . . . . e . . . . . x . . . . . c . . . . . l . . u . . . . . . d . . . . i . . . . n . . . . g . . 1 1 1 1 5 2 . . 5 0 1 1 1 2 9 1 . . 4 0 1 11 2 9 1 . . 6 2 1 1 2 2 0 1 . . 1 5 Drugs and pharmaceuticals............... 100.9 102.0 101.9 102.3 refractories................................... 109.8 114.5 114.5 114.5 Fats and oils, inedible....................... 133.0 143.0 138.8 132.0 Refractories..................................... 119.8 126.7 126.7 126.9 Agricultural chemicals and products., 88.6 94.1 93.8 94.1 Asphalt roofing............................... 98.6 123.6 123.6 130.7 Plastic resins and materials............... 90.1 88.2 88.2 88.1 Gypsum products............................ 98.0 101.0 101.2 104.0 Other chemicals and products.......... 108.8 111.8 112.1 112.5 Glass containers.............................. 119.6 131.5 131.5 131.5 Other nonmetallic minerals............ 111.5 122.0 124.8 124.8 Rubber and plastic products: Crude rubber........................................ 101.9 99.8 100.6 99.4 Tires and tubes..................................... 105.9 107.5 107.5 107.5 Transportation equipment: Miscellaneous rubber products........... 112.7 116.3 116.3 117.0 Plastic construction products (Dec. Motor vehicles and equipment. 107.1 114.1 114.2 114.4 1969 = 100)........................................ 97.4 95.5 94.6 93.6 Railroad equipment................... 115.2 119.9 120.4 120.8 Unsupported plastic film and sheeting (Dec. 1970= 100)............................. 102.6 102.2 101.9 Laminated sheets, high pressure (Dec. 1970= 100).............................. 101.0 99.1 99.2 Miscellaneous products: Lumber and wood products: Toys, sporting goods, small arms, ammunition................................. 109.5 112.5 112.4 112.6 Lumber....................... 113.5 131.5 132.8 134.4 Tobacco products............................ 117.2 116.5 116.5 116.5 Millwork.................... 116.8 118.6 120.3 122.2 Notions............................................ 108.0 111.7 111.7 111.7 Plywood..................... 110.4 115.6 111.0 110.2 Photographic equipment and supplies 104.4 105.8 105.9 106.0 Other wood products. 117.2 119.3 119.2 119.1 Other miscellaneous products.... 108.0 112.2 111.6 111.9 1 Retitled to include the direct pricing of plastic construction products; continuity of the group index is not affected. Note.—Bureau of Labor Statistics indexes. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 70 NATIONAL PRODUCT AND INCOME □ JULY 1971 GROSS NATIONAL PRODUCT (In billions of dollars) 1970 1971 Item 1929 1933 1941 1950 1966 1967 1968 1969 1970 II III IV Gross national product. 103.1 55.6 124.5 284.8 749.9 793.9 865.0 931.4 976.5 959.5 971.1 985.5 989.91,020.7 Final purchases............. 101.4 57.2 120.1 278.0 735.1 785.7 857. 922.9 973.1 957.9 968.1 980.0 986.31,019.3 Personal consumption expenditures. 77.2 45.8 80.6 191.0 466.3 492.1 535.8 577.5 616.7 603.1 614.4 622.1 627.0 646.4 Durable goods............................. 9.2 3.5 9.6 30.5 70.8 73.1 84.0 90.0 89.4 89.1 91.9 91.2 85.3 97.5 Nondurable goods....................... 37.7 22.3 42.9 98.1 206.9 215.0 230.2 245 264.7 258.8 262.6 265.8 271.5 272.8 Services........................................ 30.3 20.1 28.1 62.4 188.6 204.0 221.6 241.6 262.6 255.2 259.9 265.1 270.2 276.1 Gross private domestic investment....... 16.2 1.4 17.9 54.1 121.4 116.6 126.5 139.8 135.7 133.2 134.3 138.3 137.1 142.4 Fixed investment............................... 14.5 3.0 13.4 47.3 106.6 108.4 118.9 131.4 132.3 131.6 131.2 132.7 133.5 141.0 Nonresidential.............................. 10.6 2.4 9.5 27.9 81.6 83.3 88.7 99.3 102.6 102.6 102.8 103.6 101.3 105.1 Structures.................................. 5.0 .9 2.9 9.2 28.5 28.0 29.6 33.8 35.2 35.7 35.3 35.0 34.7 36.1 Producers’ durable equipment. 5.6 1.5 6.6 18.7 53.1 55.3 59.1 65.5 67.4 66.9 67.5 68.6 66.6 69.0 Residential structures................... 4.0 .6 3.9 19.4 25.0 25.1 30.3 32.0 29.7 29.1 28.4 29.2 32.2 35.8 Nonfarm................................... 3. .5 3.7 18.6 24.5 24.5 29.7 31.5 29.1 28.4 27.8 28.6 31.6 35.2 Change in business inventories. 1.7 -1.6 4.5 6 14 8.2 7.6 8.5 3.5 1.6 3.1 5.5 3.6 1.4 Nonfarm...................................... 1 -1.4 4.0 6.0 15.0 7.5 7.5 8.0 2.9 .9 2.6 5.0 3.0 1.2 Net exports of goods and services. 1.1 .4 1.3 1.8 5.3 5.2 2.5 1.9 3.6 3.5 4.1 4.2 2.6 3.3 Exports....................................... 7.0 2.4 5. 13.8 43.4 46.2 50.6 55.5 62.2 61.1 62.8 62.8 62.0 64.6 Imports...................................... 5.9 2.0 4.6 12.0 38.1 41.0 48.1 53.6 58.6 57.6 58.7 58.6 59.3 61.3 Government purchases of goods and services. 8.5 8.0 24.8 37.9 156.8 180.1 200.2 212.2 220.5 219.6 218.4 221.0 223.2 228.7 Federal........................................................ 1.3 2.0 16.9 18.4 77.8 90.7 99.5 101.3 99.7 102.3 99.7 98.6 98.2 98.4 National defense..................................... 13. 14.1 60.7 72.4 78.0 78.8 76.6 79.3 76. 75. 74.6 74.0 Other....................................................... 3.1 4.3 17.1 18.4 21.5 22.6 23.1 23.0 22.9 22.9 23.5 24.5 State and local............................................ 7.2 6.0 7.9 19.5 79.0 89.4 100.7 110.8 120.9 117.4 118.7 122.4 125.0 130.2 Gross national product in constant (1958) dollars........................................................... 203.6 141.5 263.7 355.3 658.1 675.2 707.2 727.1 724.1 723.8 724.9 727.4 720.3 732.7 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) 1970 1971 1929 1933 1941 1950 19 66 1967 1968 1969 1970 Item I II III IV I National income................................................ 868 40.3 104.2 241.1 620.6 653.6 712.7 769.5 800.1 791.5 797.4 806.6 804.8 833.2 Compensation of employees............................. 51.1 29.5 64.8 154.6 435.5 467.2 514.1 564.2 599.8 592.2 596.4 603.8 606.7 625.2 50.4 29.0 62.1 146.8 394.5 423.1 464.8 509.0 540.1 534.4 537.4 543.4 545.2 560.6 45.5 23.9 51.9 124.4 316.8 337.3 369.1 404.9 426.1 422.6 424.0 428.9 429.1 440.7 Military..................................................... .3 .3 1.9 5.0 14.6 16.2 17.9 19.0 19.3 20.1 19.5 19.1 18.6 19.2 Government civilian................................. 4.6 4.9 8.3 17.4 63.1 69.5 77.8 85.1 94.6 91.7 93.9 95.4 97.5 100.6 Supplements to wages and salaries............... .7 .5 2.7 7.8 41.0 44.2 49.3 55.1 59.7 57.9 59.0 60.4 61.4 64.6 Employer contributions for social in­ surance .................................................. .1 .1 2.0 4.0 20.3 21.9 24.3 27.5 29.3 28.6 29.0 29.6 29.9 32.5 Other labor income.................................. .6 .4 .7 3.8 20.7 22.3 24.9 27.6 30.4 29.3 30.0 30.8 31.5 32.1 Proprietors’ income.......................................... 15.1 5.9 17.5 37.5 61.3 62.1 64.1 66.8 67.6 67.6 67.8 67.8 67.4 67.0 Business and professional............................ 9.0 3.3 11.1 24.0 45.2 47.3 49.1 50.5 51.4 50.6 51.2 51.7 52.0 52.2 Farm.............................................................. 6.2 2.6 6.4 13.5 16.1 14.8 15.0 16.4 16.2 17.0 16.5 16.1 15.3 14.7 5.4 2.0 3.5 9.4 20.0 21.1 21.3 22.0 22.7 22.5 22.6 22.7 23.0 23.1 Corporate profits and inventory valuation adjustment..................................................... 10.5 -1.2 15.2 37.7 82.4 78.7 85.4 85.8 76.5 76.7 77.5 78.4 73.3 82.8 Profits before tax......................................... 10.0 1.0 17.7 42.6 84.2 79.8 88.7 91.2 81.3 82.6 82.0 84.4 76.3 86.5 Profits tax liability.................................... 1.4 .5 7.6 17.8 34.3 33.2 40.6 42.7 37.5 38.0 38.1 38.9 34.8 39.1 Profits after tax........................................ 8.6 .4 10.1 24.9 49.9 46.6 48.2 48.5 43.8 44.6 43.9 45.4 41.4 47.5 Dividends.............................................. 5.8 2.0 4.4 8.8 20.8 21.4 23.3 24.1 25.2 25.2 25.1 25.4 25.1 25.8 Undistributed profits............................ 2.8 -1.6 5.7 16.0 29.1 25.3 24.9 23.9 18.6 19.4 18.8 20.0 16.3 21.7 Inventory valuation adjustment.................. .5 -2.1 -2.5 -5.0 -1.8 -1.1 -3.3 -5.4 -4.8 -5.8 -4.5 -5.9 -3.0 -3.7 4.7 4.1 3.2 2.0 21.4 24.4 27.8 30.7 33.5 32.4 33.1 33.8 34.5 35.2 Note.—Dept, of Commerce estimates. Quarterly data are seasonally adjusted totals at annual rates. See also Note to table above. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 o NATIONAL PRODUCT AND INCOME A 71 RELATION OF GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND PERSONAL INCOME AND SAVING (In billions of dollars) 1970 1971 Item 1929 1933 1941 1950 1966 1967 1968 1969 1970 I II III IV I Gross national product..................................... 103.1 55.6 124.5 284.8 749.9 793.9 865.0 931.4 976.5 959.5 971.1 985.5 989.91,020.7 Less: Capital consumption allowances......... 7.9 7.0 8.2 18.3 63.9 68.9 74.0 78.9 84.3 82.1 83.6 85.0 86.5 88.4 Indirect business tax and nontax lia­ bility .................................................. 7.0 7.1 11.3 23.3 65.7 70.4 78.1 85.2 92.1 89.3 91.1 93.3 94.5 97.9 Business transfer payments.................. .6 .7 .5 .8 3.0 3.1 3.3 3.5 3.6 3.6 3.6 3.6 3.7 3.7 Statistical discrepancy.......................... .7 .6 .4 1.5 -1.0 -.7 -2.4 -4.7 -1.8 -5.4 -3.1 -1.1 2.4 -0.6 Plus: Subsidies less current surplus of gov­ ernment enterprises........................... -.1 .1 .2 2.3 1.4 .7 1.0 1.8 1.6 1.5 1.8 2.1 2.0 Equals: National income.................................. 86.8 40.3 104.2 241.1 620.6 653.6 712.7 769.5 800.1 791.5 797.4 806.6 804.8 833.3 Less: Corporate profits and inventory valu­ ation adjustment............................... 10.5 -1.2 15.2 37.7 82.4 78.7 85.4 85.8 76.5 76.7 77.5 78.4 73.3 82.8 Contributions for social insurance---- .2 .3 2.8 6.9 38.0 42.4 47.1 53.6 57.1 56.0 56.7 57.6 58.1 63.2 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 66.3 75.8 75.1 78.5 82.3 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 31.0 31.4 32.2 32.5 32.5 Dividends.............................................. 5.8 2.0 4.4 8.8 20.8 21.4 23.3 24.7 25.2 25.2 25.1 25.4 25.1 25.8 Business transfer payments................. .6 .7 .5 .8 3.0 3.1 3.3 3.5 3.6 3.6 3.6 3.6 3.7 3.7 Equals: Personal income................................. 85.9 47.0 96.0 227.6 587.2 629.3 688.7 748.9 801.0 782.3 801.3 807.2 813.3 831.5 Less: Personal tax and nontax payments__ 2.6 1.5 3.3 20.7 75.4 83.0 97.5 117.3 116.3 117.0 117.7 114.2 116.1 116.4 Equals: Disposable personal income............... 83.3 45.5 92.7 206.9 511.9 546.3 591.2 631.6 684.8 665.3 683.6 693.0 697.2 715.1 Less: Personal outlays................................... 79.1 46.5 81.7 193.9 479.3 506.0 550.8 593.9 634.6 620.5 632.1 640.2 645.5 665.3 Personal consumption expenditures. 77.2 45.8 80.6 191.0 466.3 492.1 535.8 577.5 616.7 603.1 614.4 622.1 627.0 646.4 Consumer interest payments............ 1.5 .5 .9 2.4 12.4 13.2 14.3 15.7 17.0 16.4 16.8 17.2 17.5 17.9 Personal transfer payments to for­ eigners............................................ .3 .2 .2 .5 .6 .7 .7 .8 .9 .9 1.0 1.0 .9 1.0 Equals: Personal saving................................... 4.2 -.9 11.0 13.1 32.5 40.4 40.4 37.6 50.2 44.8 51.5 52.7 51.8 49.8 Disposable personal income in constant (1958) dollars............................................................ 150.6 112.2 190.3 249.6 458.9 477.5 499.0 511.5 529.8 522.9 532.0 534.2 530.0 538.3 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 May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May? Total personal income.......................... 748.9 801.0 799.7 798.2 803.3 806.4 811.9 809.9 812.6 817.5 827.4 830.4 836.8 841.4 847.4 Wage and salary disbursements.......... 509.0 540.1 540.5 538.1 541.5 543.2 546.6 541.8 544.1 549.8 557.8 559.8 564.2 566.9 571.2 Commodity-producing industries... 197.5 201.2 200.9 201.3 202.1 202.0 201.5 196.8 196.8 202.3 203.0 202.5 204.5 205.0 206.7 Manufacturing only...................... 157.5 158.9 159.2 159.5 160.1 159.6 159.5 154.3 153.6 158.9 160.2 159.8 160.8 160.7 162.1 Distributive industries..................... 119.8 128.4 127.2 127.9 129.1 129.7 130.2 130.6 131.4 130.5 133.4 134.2 135.4 136.5 137.8 Service industries............................. 87.7 96.6 95.5 95.7 96.8 97.3 97.9 98.8 99.8 100.4 102.2 103.1 103.9 104.5 105.4 Government..................................... 104.1 114.0 116.9 113.2 113.5 114.2 117.0 115.6 116.1 116.6 119.2 120.0 120.4 120.9 121.3 Other labor income............................. 27.6 30.4 30.0 30.3 30.6 30.8 31.1 31.3 31.5 31.7 31.9 32.1 32.3 32.5 32.7 Proprietors’ income............................. 66.8 67.6 67.8 67.7 67.8 67.8 67.8 67.6 67.3 67.1 67.1 66.8 67.0 67.1 67.3 Business and professional............... 50.5 51.4 51.3 51.5 51.6 51.7 51.8 51.9 52.0 52.1 52.2 52.1 52.3 52.4 52.5 Farm................................................. 16.4 16.2 16.5 16.2 16.2 16.1 16.0 15.7 15.3 15.0 14.9 14.7 14.7 14.7 14.8 Rental income...................................... 22.0 22.7 22.6 22.7 22.7 22.7 22.8 22.9 23.0 23.1 23.2 22.8 23.3 23.4 23.5 24.7 25.2 25.3 24.7 25.2 25.3 25.5 25.6 25.7 24.1 25.9 25.9 25.7 25.7 25.8 Personal interest income..................... 59.7 65.2 64.5 64.8 65.3 66.0 66.8 67.0 67.1 67.1 67.5 67.7 67.7 67.9 68.1 Transfer payments............................... 65.1 77.6 76.6 77.6 78.1 78.6 79.6 81.7 81.9 82.9 84.5 86.0 87.6 88.8 89.9 Less: Personal contributions for social insurance.......................................... 26.0 27.8 27.7 27.6 27.8 28.0 28.2 28.0 28.1 28.4 30.6 30.7 30.9 31.0 31.2 726.7 778.6 777.0 775.7 780.9 784.0 789.7 787.9 791.0 796.2 806.2 809.2 815.7 820.0 825.9 Agriculture income............................... 22.2 22.4 22.7 22.4 22.4 22.3 22.2 21.9 21.6 21.3 21.2 21.2 21.1 21.3 21.4 Note.—Dept, of Commerce estimates. Monthly data are seasonally adjusted totals at annual rates. See also Note to table opposite. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 72 FLOW OF FUNDS a JULY 1971 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 by nonfinancial sectors.................. 68.5 83.5 96.9 90.4 96.9 90.7 92.5 93.6 88.4 86.8 81.4 103.8 93.5 109.2 1 2 U.S. Government............................. 3.5 13.0 13.4 -3.6 12.8 -7.0 -5.4 -9.5 -.7 1.2 3.0 16.0 12.2 20.0 2 3 Public debt securities.................... 2.3 8.9 10.3 -1.3 12.9 -8.4 -5.8 -8.8 4.9 4.9 3.5 18.1 11.4 18.5 3 4 Budget agency issues..................... 1.2 4.1 3.1 -2.4 -.1 1.4 .5 -.7 -5.6 -3.7 -.5 -2.0 .8 1.5 4 5 All other nonfinancial sectors.. 64.9 70.5 83.5 94.1 84.1 97.7 97.9 103.0 89.1 85.7 78.3 87.7 81.4 89.2 5 6 Capital market instruments.......... 39.9 48.9 50.2 53.9 65.0 58.3 57.6 55.1 51.2 51.7 51.6 60.7 64.3 83.2 6 7 Corporate equity shares............ .9 2.4 -.7 4.8 6.8 -2.1 .3 3.6 6.0 9.2 5.9 6.0 5.4 9.9 7 8 Debt capital instruments.......... 39.0 46.6 50.9 49.1 58.1 60.4 57.3 51.5 45.2 42.5 45.6 54.7 59.0 73.3 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 21.1 16.3 15.8 13.3 12.1 11.1 15.0 22.4 22.2 24.8 10 11 Mortgages............................... 22.3 22.0 27.3 27.9 25.2 29.9 28.7 28.8 27.5 26.7 21.7 22.1 27.8 29.3 11 12 Home mortgages................ 11.4 11.6 15.2 15.7 12.3 16.1 16.5 16.6 15.7 13.9 10.7 11.1 14.2 13.2 12 13 Other residential................. 3.1 3.6 3.5 4.8 5.8 3.9 4.2 4.7 4.8 5.6 4.6 5.4 6.2 6.8 13 14 Commercial......................... 5.7 4.7 6.6 5.5 5.4 8.0 5.9 5.1 5.3 5.8 4.8 4.2 5.5 7.1 14 15 Farm................................... 2.1 2.1 2.1 1.9 1.8 1.9 2.2 2.3 1.8 1.5 1.5 1.4 2.0 2.2 15 16 Other private credit....................... 25.0 21.6 33.3 40.2 19.2 39.4 40.3 47.9 38.0 33.9 26.7 27.0 17.0 6.0 16 17 Bank loans n.e.c......................... 10.3 9.6 13.4 15.7 2.7 20.9 17.0 19.1 11.7 14.2 7.6 9.0 1.9 -7.6 17 18 Consumer credit........................ 7.2 4.6 11.1 9.3 4.3 12.1 10.2 10.8 8.9 7.5 4.8 6.1 6.2 .2 18 19 Open market paper................... 1.0 2.1 1.6 3.3 3.8 .7 4.9 4.7 2.7 1.0 5.0 2.2 .5 7.5 19 20 Other.......................................... 6.4 5.2 7.3 11.8 8.4 5.7 8.1 13.3 14.6 11.2 9.4 9.8 8.4 5.9 20 21 By borrowing sector—................ 64.9 70.5 83.5 94.1 84.1 97.7 97.9 103.0 89.1 85.7 78.3 87.7 81.4 89.2 21 22 Foreign........................................... 1.5 4.1 3.0 3.7 2.6 2.8 4.0 6.0 2.3 2.4 2.6 1.7 2.2 4.0 22 23 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 9.7 19.5 23 24 Households.................................... 23.2 19.7 31.8 32.2 21.1 34.7 33.0 36.0 31.5 28.2 22.9 21.4 23.8 16.4 24 25 33.8 37.9 38.8 49.7 48.1 45.6 47.4 51.3 49.4 49.9 43.4 54.3 45.6 49.4 25 26 Corporate................................... 24.9 29.3 30.3 39.1 38.7 35.0 37.1 41.1 37.4 41.0 35.8 45.1 34.3 39.4 26 27 Nonfarm noncorporate............... 5.5 5.0 5.8 7.4 6.2 8.0 7.1 6.6 8.7 6.4 4.6 5.4 8.1 6.9 27 28 Farm........................................... 3.5 3.5 2.7 3.2 3.2 2.6 3.3 3.6 3.3 2.5 3.0 3.8 3.2 3.1 28 Funds advanced directly in credit markets 1 Total funds raised............................. 68.5 83.5 96.9 90.4 96.9 90.7 92.5 93.6 88.4 86.8 81.4 103.8 93.5 109.2 1 Advanced directly by— 2 U.S. Government.......................... 4.9 4.6 4.9 2.5 3.2 3.1 2.5 1.7 3.7 2.3 3.9 3.6 3.4 1.9 2 3 U.S. Govt, credit agencies, net... .3 .5 -.2 .2 1.2 -.8 .4 -.8 -.1 1.5 -.7 1.6 .8 2.9 3 4 Funds advanced......................... 5.1 -.1 3.2 9.0 9.4 2.3 4.0 7.6 10.5 14.1 13.7 6.9 7.1 9.8 4 5 Less funds raised in cr. mkt.... 4.8 -.6 3.5 8.8 8.2 3.1 3.6 8.4 10.6 12.5 14.4 5.4 6.3 6.9 .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, Commercial banks, net................. 16.7 36.6 39.5 12.2 31.3 36.2 7.9 29.3 -.9 12.1 1.0 23.3 63.6 37.3 7 8 Funds advanced........................ 16.8 36.9 39.7 16.5 29.5 36.1 8.8 33.8 4.2 18.9 10.1 27.4 52.1 28.4 8 9 Less funds raised....................... .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 39.3 38.3 31.1 39.8 26.1 24.8 25.3 42.3 41.9 47.8 10 11 Savings institutions, net............ 7.8 16.8 14.6 10.4 14.7 16.4 15.9 13.3 6.8 5.6 4.7 15.3 18.0 20.7 11 12 Insurance................................... 19.3 18.7 22.0 21.8 24.9 25.2 19.8 27.5 20.6 19.5 23.2 27.1 24.1 25.3 12 13 Finance n.e.c., net..................... -1.3 -1.1 -2.4 -1.8 -.3 -3.2 -4.6 -1.0 -1.3 -.2 -2.6 -.1 -.1 1.7 13 14 Foreign........................................... -1.8 2.8 2.5 1.3 10.9 11.9 .2 1.0 5.1 -1.1 9.4 9.5 4.9 19.6 14 15 Private domestic nonfinancial---- 19.1 -.2 12.3 39.5 6.1 6.5 46.5 18.6 55.0 37.9 41.2 18.0 -28.9 -5.8 15 16 Business..................................... 3.6 -.2 7.4 13.8 -1.0 2.0 15.8 14.1 18.1 7.0 15.1 12.3 -28.5 -2.9 16 17 State and local governments... 3.4 2.1 .4 6.1 -3.8 3.7 8.1 2.9 7.7 5.6 -2.5 -5.3 -7.8 .4 17 18 Households................................ 11.9 * 5.8 18.0 9.5 4.1 19.8 1.5 25.9 24.9 24.8 8.9 7.2 -2.8 18 19 Less net security credit............. -.2 2.2 1.4 -1.6 -1.4 3.3 -2.7 -.2 -3.2 -.4 -3.8 -2.1 -.2 .6 19 Sources of funds supplied to credit markets Total borrowing by nonfinancial sectors................... 68.5 83.5 96.9 90.4 96.9 90.7 92.5 93.6 88.4 86.8 81.4 103.8 93.5 109.2 1 1 Supplied directly and indirectly by pvt. domestic nonfin. sectors: 2 42.8 51.3 60.8 44.2 67.2 58.1 58.9 26.8 47.1 43.8 55.1 72.1 68.3 73.6 2 3 Deposits..................................... 23.7 51.5 48.5 4.7 61.1 51.6 12.5 8.2 -7.9 5.9 13.9 54.1 97.1 79.4 3 4 Demand dep. and currency.. 4.0 12.4 14.8 7.1 6.2 13.1 5.9 6.6 7.6 8.2 2.0 7.0 7.3 8.6 4 5 Time and svgs. accounts.... 19.7 39.1 33.7 -2.4 54.9 38.5 6.6 1.6 -15.5 -2.3 11.9 47.1 89.9 70.8 5 6 At commercial banks. .. 12.5 22.5 20.8 -10.5 38.4 23.9 - 6.8 -7.4 —21.3 -6.4 7.4 31.9 68.2 46.3 6 7 At savings instit.............. 7.2 16.6 12.9 8.1 16.5 14.6 13.4 9.0 5.8 4.2 4.4 15.2 21.7 24.5 7 8 Credit mkt. instr., net............... 19.1 -.2 12.3 39.5 6.1 6.5 46.5 18.6 55.0 37.9 41.2 18.0 -28.9 -5.8 8 9 U.S. Govt, securities.............. 8.5 -1.7 7.7 15.0 -7.3 3.0 21.8 .9 23.2 14.1 6.5 - 8.2 -8.3 -19.3 9 10 Pvt. credit market instr.......... 11.4 7.8 13.4 26.9 14.9 15.9 27.2 23.6 29.4 27.3 37.4 23.8 - 21.8 20.2 10 11 Less security debt.................. -.2 2.2 1.4 -1.6 -1.4 3.3 -2.7 -.2 -3.2 -.4 -3.8 -2.1 -.2 .6 11 Other sources: 12 Foreign funds................................ .7 4.6 4.3 9.6 2.4 8.2 13.8 14.8 10.4 -.6 10.8 2.7 -4.5 .7 12 13 At banks.................................... 2.5 1.7 1.8 8.3 -8.4 -3.7 13.7 13.8 5.3 .5 1.3 -6.8 -9.4 -18.9 13 14 Direct......................................... -1.8 2.8 2.5 1.3 10.9 11.9 .2 1.0 5.1 -1.1 9.4 9.5 4.9 19.6 14 15 Chg. in U.S. Govt, cash bal......... -.4 1.2 -1.1 .4 2.6 -6.8 -5.8 1.7 1.6 3.9 1.0 2.1 1.4 6.1 15 16 U.S. Government loans............... 4.9 4.6 4.9 2.5 3.2 3.1 2.5 1.7 3.7 2.3 3.9 3.6 3.4 1.9 16 17 Pvt. insur. and pension res........... 16.7 17.5 18.5 18.7 21.0 20.0 14.9 22.4 18.7 18.9 18.7 22.7 19.8 22.8 17 18 Sources n.e.c.................................. 3.8 4.3 9.5 15.0 .4 8.2 8.2 26.2 6.8 18.6 -8.1 .6 5.2 4.1 18 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ FLOW OF FUNDS A 73 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 10.1 7.1 -1.0 10.3 11.0 13.2 5.1 9.8 8.9 16.9 1 2 U.S. Government deposits........... -.4 1.1 -1.2 .6 2.5 -6.9 -5.7 1.7 1.9 4.2 1.1 2.0 .7 6.0 2 3 Money supply............................... 3.0 13.7 16.0 7.9 7.7 14.0 4.7 8.6 9.1 9.0 4.0 7.8 8.2 10.8 3 4 Domestic sectors....................... 3.9 13.4 15.7 7.6 7.4 13.6 4.8 8.0 8.5 9.0 2.6 8.2 8.6 10.3 4 5 Households............................ 3.1 9.4 11.1 5.9 3.5 15.5 -.9 10.2 9.5 5.1 7.4 7.4 1.0 -1.8 5 6 .7 .8 1.8 -.8 .3 -5.4 3.9 -5.6 -4.3 3.0 -4.3 -2.7 4.7 3.9 6 7 State and local governments. -.1 -1.0 .7 3.2 1.2 .6 2.5 3.4 3.9 2.9 -.3 1.0 1.1 3.1 7 8 Financial sectors................... -.1 1.0 .9 .5 1.2 .5 -1.1 1.4 .9 .8 .5 1.2 1.4 1.7 8 9 Mail float............................... .3 3.2 1.2 -1.2 1.1 2.6 .3 -1.3 -1.5 -2.8 -.7 1.3 .5 3.3 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 53.9 38.0 5.9 -.2 -15.4 3.4 16.8 44.3 87.5 67.1 1 2 At commercial banks—Total.... 13.3 23.8 20.6 -9.7 36.7 24.2 -7.6 -9.0 -21.2 -1.1 11.6 28.5 65.6 41.3 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 9.9 3.5 -3.7 -5.0 -10.3 -4.6 6.4 10.3 13.4 9.6 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 Households................................ 11.9 17.1 15.7 5.2 15.8 16.5 11.3 7.1 * 2.4 .5 15.5 22.5 24.5 6 7 At savings institutions.................. 7.0 17.0 12.8 8.1 17.2 13.9 13.5 8.8 5.7 4.5 5.2 15.8 21.9 25.8 7 Liabilities— 8 Savings and loan assns.......... 3.6 10.6 7.5 4.1 11.1 8.1 8.0 4.8 2.9 .7 2.0 9.8 15.6 16.9 8 9 Mutual savings banks........... 2.6 5.1 4.2 2.6 4.4 4.5 3.8 2.7 1.5 2.2 1.6 4.4 4.7 7.0 9 10 Credit unions......................... .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 16.5 14.6 13.4 9.0 5.8 4.2 4.4 15.2 21.7 24.5 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 Total net issues................................. 8.7 12.5 16.7 5.5 21.1 -4.2 -.5 -1.0 10.0 13.8 17.5 21.5 18.6 26.9 1 2 Household savings bonds............ .6 1.0 .4 -.4 .3 .7 -.4 -.4 -.8 .1 -.9 -.2 .5 1.7 2 3 Direct excluding savings bonds... 1.8 7.9 9.9 -.9 12.6 -9.0 -5.4 -8.4 5.6 4.8 4.4 18.3 10.9 16.8 3 4 Budget agency issues..................... * .1 1.5 -.4 1.3 2.6 .8 -1.3 -.8 -.2 2.1 .2 1.0 1.7 4 5 Sponsored agency issues............... 5.1 -.6 3.2 9.1 8.2 2.7 4.8 8.4 10.6 12.5 14.4 5.4 6.3 6.9 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 21.1 -4.2 -.5 -1.0 10.0 13.8 17.5 21.5 18.6 26.9 7 8 U.S. Government (agency sec.)... 1.3 -.1 .1 -1.3 -.1 -1.0 -1.1 -2.2 -.8 -1.0 .1 * .1 -.6 8 9 Sponsored credit agencies............ 1.0 * -.1 -.2 1.7 .1 -2.0 .3 -.5 1.2 2.0 -.5 1.0 4.4 9 10 Direct marketable..................... .3 .9 -.1 -.5 1.9 .1 -2.0 .3 -.8 .4 2.8 -.8 1.2 4.3 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 7.9 5.6 12 13 Foreign.......................................... -2.4 2.1 -.5 -1.8 9.1 6.8 -4.5 -1.8 2.7 -3.7 8.0 8.2 4.7 15.5 13 14 Commercial banks........................ -3.6 9.3 3.4 -9.5 9.0 -4.1 -16.2 -7.2 -9.5 -5.2 .5 6.8 11.0 17.6 14 15 Direct......................................... -3.4 6.3 2.2 -9.3 5.8 -5.0 -14.4 -8.8 -7.6 -6.2 -.7 6.8 8.9 8.0 15 16 Agency issues............................. -.2 3.0 1.3 -.3 3.2 .9 -1.8 1.6 -1.9 1.0 1.3 * 2.1 9.6 16 17 .4 -1.9 2.2 -.8 3.7 -4.8 -2.4 4.8 -4.7 -.8 -.7 9.8 2.2 3.7 17 18 Direct......................................... -.2 -2.2 .4 -2.4 1.5 -6.5 -4.4 2.7 -7.3 -.6 -3.2 7.6 -.7 2.5 18 19 .5 .3 1.8 1.6 2.2 1.7 2.0 2.0 2.6 -.2 2.6 2.2 2.9 1.2 19 20 Pvt. domestic nonfin..................... 8.5 -1.7 7.7 15.0 -7.3 3.0 21.8 .9 23.2 14.1 6.5 -8.2 -8.3 -19.3 20 21 Savings bonds—Households... .6 1.0 .4 -.4 .3 .7 -.4 -.4 -.8 .1 -.9 -.2 .5 1.7 21 22 Direct excl. savings bonds........ 3.3 -3.0 4.1 8.7 -10.5 -.1 16.1 -5.1 18.8 5.0 -2.7 -9.2 -10.8 -19.2 22 23 Agency issues............................. 4.7 .4 3.2 6.7 2.9 2.4 6.2 6.4 5.2 9.1 10.1 1.3 2.0 -1.8 23 Private securities 1 Total net issues, by sector................ 18.5 28.2 23.9 27.7 42.3 29.3 30.4 28.8 25.1 26.3 31.3 41.0 39.3 57.7 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 27.0 12.2 14.7 14.9 16.1 19.8 20.2 28.9 25.7 33.4 3 4 Finance companies....................... .8 1.0 .8 1.6 2.5 1.0 1.4 2.2 1.4 1.3 1.3 2.3 2.8 3.8 4 5 Commercial banks........................ .1 .2 .2 .1 .1 -.1 .1 .3 * -.1 .2 * * * 5 6 Rest of the world.......................... .5 1.3 1.3 1.5 .9 2.0 1.5 2.0 2.0 .5 .7 -.4 2.0 1.3 6 7 Net purchases.................................... 18.5 28.2 23.9 27.7 42.3 29.3 30.4 28.8 25.1 26.3 31.3 41.0 39.3 57.7 7 8 3.2 -1.8 -1.2 2.7 7.7 3.8 3.4 -2.0 4.7 4.8 6.9 9.9 2.6 11.3 8 9 Nonfinancial corporations............ 1.0 -.2 -1.1 5.1 1.4 -.9 6.7 3.1 5.5 5.0 .6 2.0 1.6 1.2 9 10 State and local governments........ 1.1 1.9 -.4 2.6 .2 -1.8 4.9 3.0 .9 1.4 .4 .7 -.8 .6 10 11 Commercial banks........................ 1.9 9.8 8.9 .3 10.8 13.6 1.6 2.4 -1.1 -1.7 5.0 8.9 14.5 14.7 11 12 .3 2.3 1.6 .6 1.7 1.5 1.1 1.0 * .2 1.2 2.0 1.2 2.5 12 13 Insurance and pension funds....... 12.9 16.6 17.6 16.8 18.7 19.8 16.3 20.5 15.0 15.4 17.0 20.6 13.9 23.2 13 14 -2.2 -.9 -3.6 -2.5 .5 -10.3 -7.6 * -.6 -1.7 -.3 -3.6 4.2 1.8 14 15 Security brokers and dealers... .1 .2 -.9 .5 1.1 -9.2 .2 1.1 2.8 -2.2 .5 .6 5.6 -2.4 15 16 Investment companies, net....... -2.4 -1.1 -2.8 -3.0 -.6 -1.2 -7.8 -1.1 -3.4 .4 -.8 -4.2 -1.5 4.2 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 2.4 5.5 7.6 4.7 6.1 4.2 2.1 3.2 3.9 .4 18 19 .3 .6 2.3 2.1 1.4 3.7 3.9 .9 .7 2.9 .6 .5 2.1 2.3 19 Bank loans n.e.c. 1 Total net borrowing........................... 9.0 7.5 15.7 17.8 2.1 23.0 18.0 24.0 11.1 17.6 5.2 10.3 5.0 -11.8 1 2 .4 2.1 3.1 2.4 .8 4.3 2.9 4.2 .9 1.5 2.3 -1.1 1.2 1.0 2 3 Nonfinancial business................... 10.1 7.7 10.6 13.5 2.3 17.5 13.9 14.4 12.3 12.8 4.6 10.4 .9 -6.7 3 4 Rest of the world......................... -.2 -.2 -.3 -.2 -.4 -.9 .2 .6 -1.5 -.1 .6 -.3 -.2 -1.9 4 Digitized for FR5ASER -1.3 -2.1 2.3 2.1 -.5 2.1 .9 4.9 -.6 3.4 -2.3 1.2 3.0 -4.1 5 http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 74 U.S. BALANCE OF PAYMENTS .□ JULY 1971 1. U.S. BALANCE OF PAYMENTS (In millions of dollars) 1970 1971 Line Credits+; debits — 1968 1969 1970 I II III IV I p l Summary—Seasonally adjusted 1 Merchandise trade balance 1................................................... 624 660 2,110 513 751 704 142 272 2 Exports.............................................................................. 33,588 36,490 41,980 10,241 10,582 10,696 10,461 11,032 3 Imports.............................................................................. -32,964 -35,830 -39,870 -9,728 -9,831 -9,992 -10,319 -10,760 4 Military transactions, net......................................................... -3,140 -3,341 -3,371 -908 -808 -884 -770 -677 5 Travel and transportation, net................................................ -1,558 -1,780 -1,979 -448 -500 -553 -478 -484 6 Investment income, net 2......................................................... 6,220 5,975 6,242 1,577 1,469 1,571 1,626 1,727 7 U.S. direct investments abroad........................................ 6,519 7,340 7,906 2,039 1,905 1,973 1,988 1,984 8 Other U.S. investments abroad........................................ 2,714 3,199 3,503 886 886 882 851 861 9 Foreign investments in the United States....................... -3,013 -4,564 -5,167 -1,348 -1,322 -1,284 -1,213 -1,118 10 Other services, net..................................................................... 344 497 588 147 133 157 150 213 11 Balance on goods and services 3....................................................... 2,489 2,011 3,592 881 1,045 995 670 1,051 12 Remittances, pensions and other transfers............................. -1,168 -1,266 -1,410 -338 -362 -359 -351 -351 13 Balance on goods, services and remittances.................................... 1,321 745 2,182 543 683 636 319 700 14 U.S. Government grants (excluding military)......................... -1,707 -1,644 -1,739 -418 -391 -444 -485 -432 15 -386 -899 444 125 292 192 -166 268 16 U.S. Government capital flows excluding nonscheduled repayments, net 4.................................................................. -2,538 -2,106 -1,837 -511 -480 -396 -450 -603 17 Nonscheduled repayments of U.S. Government assets.......... 269 -87 244 88 114 2 40 4 18 U.S. Government nonliquid liabilities to other than foreign official reserve agencies......................................................... 107 263 -436 -30 -224 82 -263 -88 19 Long-term private capital flows, net....................................... 1,198 -50 -1,453 -969 -272 -220 7 -997 20 U.S. direct investments abroad........................................ -3,209 -3,254 -4,445 -1,358 -1,257 -897 -934 -1,357 21 Foreign direct investments in the United States............. 319 832 969 486 105 218 160 50 22 Foreign securities.............................................................. -1,226 -1,494 -942 -210 93 -488 -337 -362 23 U.S. securities other than Treasury issues....................... 4,389 3,112 2,190 304 374 720 792 628 24 Other, reported by U.S. banks........................................ 430 477 199 31 68 44 56 -114 25 Other, reported by U.S. nonbanking concerns............... 495 277 576 -222 345 183 270 158 26 Balance on current account and long-term capital 4........................ -1,349 -2,879 -3,038 -1,297 -570 -340 -832 -1,416 27 Nonliquid short-term private capital flows, net..................... 231 -602 -548 -107 -164 -121 -156 -100 28 Claims reported by U.S. banks........................................ -44 -658 -1,015 -162 -268 -189 -396 -85 29 Claims reported by U.S. nonbanking concerns.............. -484 -35 -363 -108 -47 -56 -152 -15 30 Liabilities reported by U.S. nonbanking concerns......... 759 91 830 163 151 124 392 31 Allocations of special drawing rights (SDR).......................... 867 217 217 217 216 180 32 Errors and omissions, net........................................................ -493 -2,603 -1,132 -62 -430 -433 -207 -1,268 33 -1,610 -6,084 -3,852 -1,250 -945 -679 -977 -2,604 34 Liquid private capital flows, net.............................................. 3,251 8,786 -5,969 -1,615 -457 -1,398 -2,499 -2,919 35 Liquid claims..................................................................... -559 124 273 257 -81 -15 112 -232 36 Reported by U.S. banks........................................... -61 -209 -119 140 -127 -53 -79 -72 37 Reported by U.S. nonbanking concerns................. -498 333 392 117 46 38 191 -160 38 3,810 8,662 -6,242 -1,872 -376 -1,383 -2,611 -2,687 39 To foreign commercial banks.................................. 3,387 9,166 -6,507 -1,863 -441 -1,315 -2,888 -3,025 40 To international and regional organizations........... 48 -63 179 142 -124 82 -79 268 41 To other foreigners................................................... 375 -441 86 -151 189 -150 198 70 42 1,641 2,702 -9,821 -2,865 -1,402 -2,077 -3,476 -5,523 Financed by changes in: 43 Nonliquid liabilities to foreign official reserve agencies reported by U.S. Government............................................. 1,806 -162 535 -266 735 -12 77 -8 44 Nonliquid liabilities to foreign official agencies reported by U.S. banks........................................................................ 534 -836 -810 -154 -235 -233 -188 -216 45 Liquid liabilities to foreign official agencies........................... -3,101 -517 7,619 3,021 97 1,738 2,763 5,065 46 U.S. official reserve assets, net................................................ -880 -1,187 2,477 264 805 584 824 682 47 Gold................................................................................... 1,173 -967 787 -44 14 395 422 109 48 SDR................................................................................... -851 -270 -254 -251 -76 -55 49 Convertible currencies...................................................... -1,183 814 2,152 831 818 34 469 373 50 Gold tranche position in IMF......................................... -870 -1,034 389 -253 227 406 9 255 Memoranda: 51 Transfers under military grant programs, (excluded from lines 2, 4, and 14................................................................... 804 756 613 137 191 116 169 191 52 Reinvested earnings of foreign incorporated affiliates of U.S. firms (excluded from lines 7 and 20).......................... 2,175 2,532 (5) (5) (5) (5) (5) (5) 53 Reinvested earnings of U.S. incorporated affiliates of foreign firms (excluded from lines 9 and 21)...................... 488 431 (5) (5) (5) (5) (5) (5) For notes see end of table. 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JULY 1971 □ U.S. BALANCE OF PAYMENTS AND FOREIGN TRADE A 75 1. U.S. BALANCE OF PAYMENTS-Continued (In millions of dollars) 1970 1971 Credits +, debits — 1968 1969 1970 I II III IV I p Balances excluding allocations of SDR’s—Seasonally adjusted Net liquidity balance..................................................................... -1,610 -6,084 -4,719 -1,467 -1,162 -896 -1,193 -2,784 Official reserve transactions balance............................................ 1,641 2,702 -10,688 -3,082 -1,619 -2,294 -3,692 -5,703 Balances not seasonally adjusted Balance on goods and services (line 11).................................. 2,489 2,011 3,592 1,234 1,300 -291 1,349 1,419 Balance on goods, services and remittances (line 13)............. 1,321 745 2,182 913 925 -657 1,002 1,085 Balance on current account (line 15)........................................ -386 -899 444 465 487 -1,060 552 624 Balance on current account and long-term capital 4 (line 26). -1,349 -2,879 -3,038 -1,310 -899 -1,535 706 -1,366 Balances including allocations of SDR’s: Net liquidity (line 33)......................................................... -1,610 -6,084 -3,852 -505 -1,783 -1,456 -107 -1,921 Official reserve transactions (line 42)................................ 1,641 2,702 -9,821 -1,965 -2,069 -2,612 -3,174 -4,686 Balances excluding allocations of SDR’s: Net liquidity....................................................................... -1,610 -6,084 -4,719 -1,372 -1,783 -1,456 -107 -2,638 Official reserve transactions............................................... 1,641 2,702 -10,688 -2,832 -2,069 -2,612 -3,174 -5,403 1 Adjusted to balance of payments basis; excludes transfers under 3 Equal to net exports of goods and services in national income and military grants, exports under U.S. military agency sales contracts and product accounts of the United States. imports of U.S. military agencies. 4 Includes some short-term U.S. Govt, assets. 2 Includes fees and royalties from U.S. direct investments abroad or 5 Not available. from foreign direct investments in the United States. Note.—Data are from U.S. Department of Commerce, Office of Busi­ ness Economics. 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 1968 1969 1970 1971 1968 1969 1970 1971 1968 1969 1970 1971 Month: Jan... 2,814 3 2,161 3,406 3,735 2,687 *2,002 3,223 3,686 127 159 183 49 Feb.. 2,775 32,266 3,547 3,690 2,592 5 2,672 3,278 3,553 184 -406 269 136 Mar.. 3 2,439 3 3,188 3,376 3,815 3 2,589 >2,982 3,218 3,569 -150 206 158 245 Apr.. 3 2,855 3 3,318 3,409 3,543 3 2,604 53,183 3,263 3,758 251 135 146 -215 May. 2,740 33,268 3,661 3,783 2,755 5 3,257 3,338 3,988 -15 11 323 -205 June. 2,870 3 3,179 3,730 2,792 53,152 3,266 78 27 465 July.. 2,858 3,182 3,699 2,725 3,074 3,255 133 108 444 Aug.. 3 2,950 3,366 3,592 2,872 3,163 3,346 78 203 246 Sept.. 3 3,211 3.341 3,553 2,951 3.078 3.428 261 263 125 Oct.. 3 2,631 3.342 3,689 2,736 3,192 3,501 -105 150 188 Nov.. 2,972 3,398 3,499 2,883 3,180 3.428 89 218 71 Dec.. 2,977 3,280 3,570 2,908 3.078 3,404 70 202 166 Quarter 1.... 8,028 7,615 10,328 11,240 7,867 7,655 9,719 10,808 161 -40 609 432 11... 8,465 9,765 10,800 8,151 9,591 9,867 314 174 933 111... 9,019 9,889 10,845 8,548 9,315 10,029 471 574 816 IV... 8,580 10,020 10,758 8,527 9,450 10,333 53 570 425 Year4.. 34,063 37,332 42,662 33,226 36,043 39,963 837 1,289 2,699 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 76 U.S. GOLD TRANSACTIONS □ JULY 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) 1970 1971 Area and country 1962 1963 1964 1965 1966 1967 1968 1969 1970 III IV Western Europe: Austria............................. -143 -82 -55 -100 -25 Belgium............................. -63 -40 -83 -58 France............................... -456 —5 i 8 -405 -884 -6oi 600 325 -129 -129 Germany, Fed. Rep. of.. -225 500 Ireland.............................. -1 -2 -2 -52 41 ‘ ' 2 Italy................................... 200 -80 -60 -209 -76 Netherlands..................... -60 -35 -19 -30 -25 Spain................................. —146 -130 -32 -180 Switzerland....................... 102 -81 -50 -2 -30 -50 -25 * -75 United Kingdom............. -387 *329 618 150 80 -879 -835 Bank for Intl. Settlements. 200 Other................................. -12 -35 -49 16 -47 U -29 -21 Total. -1,105 -399 -88 -1,299 -659 -980 -669 969 -204 -27 -180 -85 Canada ---- 190 200 150 50 Latin American republics: Argentina ..................... -39 -1 -25 -25 -28 -23 Brazil.............................. -3 -1 -23 -23 Colombia....................... 7 -1 Venezuela....................... Other............................... -9 -40 -29 -80 -9 -66 Total. 175 32 56 17 -41 -65 -54 -131 -7 -111 Asia: Iraq................ -10 -4 -42 Japan............. -56 -119 -119 Lebanon........ -11 -35 Malaysia........ Philippines. .. 25 40 -1 Saudi Arabia. Singapore Other............. -47 -13 -6 -14 -14 2 23 -1 -41 -71 21 Total................. -24 -86 -44 -366 42 -213 24 -197 -15 All other....................... -16 -22 3-166 3-68 -1 -81 -1 -75 -1 Total foreign countries. -833 -392 -36 -1,322 -608 -1,031 -1,118 957 -631 -14 -73 4-563 -102 Intl. Monetary Fund5.. 6-225 177 22 -3 10 -156 -322 4142 -7 Grand total -833 -392 -36 -1,547 -431 -1,009 -1,121 967 -787 -14 -395 -422 -109 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 1960) 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

JULY 1971 □ U.S. RESERVE ASSETS; POSITION IN THE IMF A 77 4. U.S. RESERVE ASSETS (In millions of dollars) ! E y n e d a r of Total To G ta o l 2 ld st T o r c e k a 1 sury v c fo e C u c r r r i o e t r e i i e n b s g n ­ l n e ­ p R I o e M s s i i n e t F i r o v 3 n e SDR’s 4 E m n o d n t o h f Total To G ta o l 2 ld st T o r c e k a 1 sury v c fo e u C c r r i r o e t e r i i e n s b g 5 n ­ l n e ­ p R I o e M s s i i n e t F i r o v 3 n e SDR’s4 1958... 22,540 20,582 20,534 1,958 1970 1959... 21,504 19,507 19,456 1,997 June... 16,328 11,889 11.367 1,132 2,350 957 1960... 19,359 17,804 17,767 1,555 July. . . 16,065 11,934 11.367 716 2,454 961 Aug— 15,796 11,817 11.367 695 2,323 961 1961. .. 18,753 16,947 16,889 116 1,690 Sept.... 15,527 11,494 11,117 1,098 1,944 991 1962... 17,220 16,057 15,978 99 1,064 Oct.. . . 15,120 11,495 11,117 811 1,823 991 1963... 16,843 15,596 15,513 212 1,035 Nov__ 14,891 11,478 11,117 640 1,812 961 1964... 16,672 15,471 15,388 432 769 Dec.... 14,487 11,072 10,732 629 1,935 851 1965. . . 15,450 613,806 613,733 781 6 863 1971 1966... 14,882 13,235 13,159 1,321 326 Jan.. .. 14,699 11,040 10,732 491 1,700 1 ,468 1967... 14,830 12,065 11,982 2,345 420 Feb... . 14,534 11,039 10,732 327 1,700 1,468 1968... 15,710 10,892 10,367 3,528 1,290 Mar— 14,342 10,963 10,732 256 1,680 1,443 1969... 7 16,964 11,859 10,367 72,781 2,324 Apr.. .. 14,307 10,925 10,732 257 1,682 1,443 1970... 14,487 11,072 10,732 629 1,935 851 May... M3,811 10,568 10,332 318 1,678 rl ,247 June. . . 13,504 10,507 10,332 322 1,428 1,247 1 Includes (a) gold sold to the United States by the International Mon­ 5 For holdings of F.R. Banks only, see pp. A-12 and A-13. etary Fund with the right of repurchase, and (b) gold deposited by the 6 Reserve position includes, and gold stock excludes, $259 million gold IMF to mitigate the impact on the U.S. gold stock of foreign purchases subscription to the IMF in June 1965 for a U.S. quota increase which for the purpose of making gold subscriptions to the IMF under quota became effective on Feb. 23, 1966. In figures published by the IMF from increases. For corresponding liabilities, see Table 6. June 1965 through Jan. 1966, this gold subscription was included in the 2 Includes gold in Exchange Stabilization Fund. U.S. gold stock and excluded from the reserve position. 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 Includes initial allocation by the IMF of $867 million of Special Draw­ Note.—See Table 23 for gold held under earmark at F.R. Banks for ing Rights on Jan. 1, 1970, and second allocation of $717 million of foreign and international accounts. Gold under earmark is not included SDR’s on Jan. 1, 1971, plus net transactions in SDR’s. in the gold stock of the United States. 5. U.S. POSITION IN THE INTERNATIONAL MONETARY FUND (In millions of dollars) Transactions affecting IMF holdings of dollars IMF holdings (during period) of dollars (end of period) U.S. transactions with IMF Transactions by re U se .S rv . e other countries position Period with IMF in IMF P s t u a d io y b o n m s o ll c s f a e r r i n i s p n t ­ s by s g N I a o M l e l e d t s F 1 T t c f i r c o u o a i r r n e n e r s s i s e g a n 2 i n n c ­ ­ I i M d n o c F i l o n l a m n rs e e t P d u o rc l o l h a f a r s s e 3 s pu d r o R c i l h n l e a a ­ r s s es 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 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 1,035 776 1,640 19644—5 1966..-..7..2..3.....................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—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 Mar.............................. * 20 20 5,020 75 1,680 Apr............................... -3 1 -2 5,018 75 1,682 May............................. -2 -1 7 4 5,022 75 1,678 June............................. 250 -1 1 250 5,272 79 1,428 For notes see opposite page. 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A 78 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 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 Non­ p E e o r n i f o d d Total Total p G o d s o e i l ­ t d 1 m in G e v o n e l t s d t 2 ­ Total i i p S t n b l i t i o e a h e a b r U s n r b o y t m k i e r . r l S t e s d ­ ­ . ­ M n b G o U a a o a t o b n n . e r S v l k d d s e t . e s , 4 t­ c m T b o U a a i o n u r a b b e n n v r . r l S l y a d k d e e e s . e r s ­ t t ­ - Total i i p S t b n l i t i o e a h e a b r U s n r b o y t m k e i r . r l S t s e d ­ ­ . ­ M n b G o U a a a o o t b n r n . e k S v l d d s e t e . s , t 4 ­ Total i i n p S t b l i t i o e h a e a U b r s n r b o y t . m k e i r S r l t d e s ­ . ­ ­ 6 M n b G o U a a a o t b o n r n . e S v k l d d s e t e . s , t 4 ­ notes 1957 .. .. 715,825 200 200 7,917 5,724 542 1958 . .. 716,845 200 200 8,665 5,950 552 1959 .. .. 19,428 500 500 10,12,0 9,154 966 7,618 7,077 541 1,190 530 660 1960 8........ \ f 2 2 1 0, ,0 9 2 9 7 4 8 8 0 0 0 0 8 8 0 0 0 0 1 1 1 1 , , 0 0 7 88 8 1 1 0 0 , , 2 21 12 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 79 7 1 5 1961 8........ \ /2 2 2 2 , , 8 9 5 3 3 6 8 8 0 0 0 0 8 8 0 0 0 0 1 1 1 1 , , 8 8 3 30 0 1 1 0 0, ,9 9 4 4 0 0 8 89 90 0 8 8, , 2 3 7 5 5 7 7 7, , 8 7 4 5 1 9 5 5 1 1 6 6 1 1 , , 9 9 4 4 8 9 7 70 0 3 4 1 1 ^ 2 2 4 4 5 5 1962 8........ \ f 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 1963 8 ........ / \ 2 2 6 6 , , 3 3 6 2 1 2 8 8 0 0 0 0 8 8 0 00 0 1 14 4 ,3 3 8 5 7 3 1 1 2 2 ,4 4 6 6 7 7 1 1 ,2 1 1 8 7 3 7 7 0 0 3 3 9 9 ,2 2 1 0 4 4 8 8 ,8 8 6 6 3 3 3 3 5 4 1 1 1 1 ,9 9 6 6 0 5 8 8 0 0 8 8 1 t1 , , 1 11 5 SJ 2 7/ 1964 8........ \ /2 2 8 9, , 0 95 0 1 2 8 8 0 0 0 0 8 8 0 0 0 0 1 1 5 5 , , 4 4 2 2 8 4 1 1 3 3 , , 2 2 2 2 4 0 1 1, , 1 1 2 2 5 5 1 1 , , 0 0 7 7 9 9 1 1 1 1 , , 0 0 0 5 1 6 1 1 0 0 , , 6 6 2 8 5 0 3 3 7 7 6 6 1 1 , , 7 7 2 2 2 2 8 8 1 1 8 8 9 90 04 4 1965........... 29,115 834 34 800 15,372 13,066 1,105 1,201 11,478 11,006 472 1,431 679 752 /29,904 1,011 211 800 13,600 12,484 860 256 14,387 13,859 528 906 581 325 1966 8........ \29,779 1,011 211 800 13,655 12,539 860 256 14,208 13,680 528 905 580 325 J33,271 1,033 233 800 15,653 14,034 908 711 15,894 15,336 558 691 487 204 1967 8........ \33,119 1,033 233 800 15,646 14.027 908 711 15,763 15,205 558 677 473 204 /33,828 1,030 230 800 12,548 11,318 529 701 19,525 18,916 609 725 683 42 1968 9........ \33,614 1,030 230 800 12,481 11,318 462 701 19,381 18,916 465 722 683 39 1969- /41,776 1,019 219 800 11,992 11,054 383 555 28,106 27,577 529 659 609 50 Dec. 8,1 0 \41,900 1,019 219 800 11,994 11,056 383 555 28,224 27,695 529 663 613 50 1970- Apr... 43,359 1,010 210 800 14,414 13,605 380 429 27,170 26,685 485 765 714 51 May.. 43,223 1,010 210 800 14,797 13,986 382 429 26,713 26,212 501 703 652 51 June.. 43,380 1,010 210 800 15,306 14,480 397 429 26,383 25,847 536 681 629 52 July... 43,509 1,010 210 800 16,602 15,756 417 429 25,139 24,597 542 758 705 53 Aug... 44,008 1,010 210 800 16,622 15,776 417 429 25,533 24,971 562 843 798 45 Sept... 44,216 587 187 400 17,778 16,932 417 429 25,088 24,521 567 763 717 46 Oct.. . 44,261 587 187 400 18,131 17,376 326 429 24,730 24,165 565 813 768 45 Nov... 44,488 579 179 400 19,965 19,210 326 429 23,159 22,573 586 785 738 47 Dec... 43,277 566 166 400 20,066 19,293 344 429 21,803 21,164 639 842 817 25 1971—Jan... 43,785 559 159 400 20,500 19,727 344 429 21,675 20,989 686 1,051 1,027 24 Feb.. 44,110 559 159 400 22,287 21,509 349 429 20,288 19,604 684 976 935 41 Mar.. 45,531 559 159 400 24,827 24,049 349 429 19,034 18,361 673 1,111 971 140 Apr.p 47,727 548 148 400 27,293 26,515 349 429 18,615 17,937 678 1,271 1,131 140 1 Represents liability on go’d 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

JULY 1971 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 79 7. U.S. LIQUID LIABILITIES TO OFFICIAL INSTITUTIONS OF FOREIGN COUNTRIES, BY AREA (Amounts outstanding; in millions of dollars) End of period fo T r o e t i a g l n E W u e ro st p e e r n 1 Canada Am La er ti i n can Asia Africa cou O n t t h ri e e r s 2 countries republics 15,646 9,872 996 1,131 3,145 249 253 / 12,548 7,009 533 1,354 3,168 259 225 \ 12,481 7,001 532 1,354 3,122 248 224 1969—Dec.............................................................................. 411,994 5,860 495 1,681 3,190 546 222 1970—Apr.............................................................................. 14,414 6,942 733 2,101 3,668 725 245 May............................................................................. 14,797 7,311 762 2,066 3,632 744 282 June............................................................................. 15,306 8,064 500 2,109 3,571 710 352 July.............................................................................. 16,602 9,569 527 2,102 3,331 691 382 16,622 9,674 690 1,987 3,189 692 390 17,778 11,171 620 1,738 3,254 661 334 Oct............................................................................... 18,131 11,589 575 1,767 3,336 526 338 19,965 13,254 637 1,646 3,639 449 340 Dec............................................................................... 20,066 13,046 662 1,536 4,060 407 355 1971—Jan................................................................................ 20,500 13,702 678 1,370 4,046 381 323 Feb............................................................................... 22,287 15,382 727 1,341 4,169 325 343 24,827 17,149 801 1,218 5,004 242 413 Apr.p........................................................................... 27,293 19,170 818 1,227 5,291 257 530 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 abilities resulting from revaluation of the German mark in Oct. 1969. SHORT TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) To all foreigners To nonmonetary international and regional organizations 5 Payable in dollars IMF Deposits End of period Total i Total Dem D an e d pos T it i s me 2 b T i c r l U e l e s r a . t S s i a f u . i n r ­ d y s O l t h i e a t o r h b m r e .3 t r ­ P f r a o e c y n r i u e n a c r i b i g ­ e l n s e i m n g v o e e l n s d t t­ 4 Total Demand Time2 b T i c r l c e U l e s a r a . t t S s i e a f u . s i n r ­ d y s l O t i h e a t r o h b m r e . t 3 r ­ cates 1968.............. 31,717 31,081 14,387 5,484 6,797 4,413 636 800 683 68 113 394 108 19696............ /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 6,967 5,015 7,317 429 800 613 62 83 244 223 1970—May. . 41,650 41,299 18,139 7,287 7,564 8,309 351 800 652 70 132 226 224 June.. 41,756 41,418 18,091 7,278 8,159 7,890 338 800 629 83 119 194 232 July.. . 41,858 41,514 17,220 7,187 9,103 8,004 344 800 705 73 131 218 284 Aug.. . 42,345 42,008 17,432 7,249 9,845 7,482 337 800 798 66 137 252 343 Sept... 42,570 42,213 17,234 7,248 10,856 6,875 357 400 717 73 135 179 330 Oct.... 42,709 42,359 17,041 7,082 11,665 6,571 350 400 768 68 144 188 368 Nov... 42,921 42,578 15,833 6,725 13,651 6,369 343 400 738 68 137 148 385 Dec.. . 41,674 41,306 15,793 5,897 14,110 5,506 368 400 817 69 156 211 381 1971—Jan.... 42,143 41,765 14,751 5,694 14,440 6,880 378 400 1,027 115 151 273 488 Feb.... 42,448 42,038 13,455 5,486 16,361 6,736 410 400 935 64 145 279 447 Mar... 43,781 43,129 11,803 5,165 18,664 7,497 652 400 971 73 165 242 491 Apr.p. 45,983 45,346 10,409 4,955 22,310 7,672 637 400 1,131 63 200 206 662 May*5. 50,181 49,562 9,961 4,903 26,983 7,715 619 4C0 1,191 52 220 209 710 For notes see the following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 80 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 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 b h m r . e 3 t 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 a r . t t S s e i a u f . s n i r ­ d y s O t l h e i t a o r h m b r e t . ­ r 3 c P u f a r o r y r e i e a n n i b g c 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 6..................... \ 38,751 20,373 6,884 3,971 7,094 429 11,056 1,919 2,951 3,844 2,140 202 1970—May............ 40,198 18,069 7,155 6,538 8,085 351 13,986 1,340 3,426 6,417 2,655 148 June............ 40,327 18,008 7,158 7,166 7,657 338 14,480 1,421 3,475 7,020 2,416 148 July............. 40,353 17,147 7,056 8,086 7,720 344 15,756 1,576 3,502 7,946 2,584 148 40,747 17,366 7,112 8,793 7,138 337 15,776 1,249 3,612 8,653 2,114 148 41,453 17,161 7,113 10,277 6,545 357 16,932 1,369 3,440 10,141 1,834 148 41,541 16,972 6,938 11,077 6,204 350 17,376 1,444 3,178 10,919 1,687 148 41,783 15,764 6,588 13,103 5,984 343 19,210 1,367 2,851 12,967 1,877 148 Dec............. 40,457 15,724 5,741 13,498 5,126 368 19,293 1,629 2,568 13,354 1,594 148 1971—Jan.............. 40,716 14,635 5.543 13,768 6,393 378 19,727 1,729 2,503 13,609 1,738 148 Feb.............. 41,113 13,391 5,341 15,682 6,289 410 21,509 1,646 2,440 15,507 1,766 150 Mar............. 42,410 11,730 5,000 18,022 7,006 652 24,049 1,560 2,246 17,863 1,980 400 Apr.p.......... 44,452 10,346 4,754 21,704 7,010 637 26,515 1,612 2,204 20,119 2,180 400 May?.......... 48,590 9,908 4,683 26,373 7,007 619 31,298 1,636 2,203 24,702 2,337 8420 To banks9 To other foreigners To banks Payable in dollars and other foreigners: End of period Total payable in Total Deposits T bi r l U e ls a . s S a u . n r d y s O t h e t o r h m r e t r ­ Total Deposits T bi r l U e ls a . s S a u . n r d y s O h t o h r e t r - f r o e c r n u e c r i i g ­ e n s Demand Time2 c c e a r t ti e f s i­ liab.3 Demand Time2 c c e a r t t e if s i­ liab. 3 1968....................... 18,916 14,299 10,374 1,273 30 2,621 4,444 1,797 2,199 86 362 173 1969 6..................... / \ 2 2 7 7 , , 5 6 7 95 7 2 2 3 3 , , 4 40 1 7 2 1 1 6 6 , , 7 7 4 4 5 4 1 1 , , 9 9 8 9 8 9 2 2 0 0 4 4, , 6 6 5 4 8 4 4 3 , , 0 93 6 9 2 1 1 , , 7 7 0 1 9 0 1 1 , ,8 9 1 3 1 4 1 1 0 0 7 7 3 31 12 2 2 2 2 2 6 6 1970—May............ 26,212 22,025 15,020 1,951 20 5,035 3,985 1,710 1,779 102 395 202 June............ 25,847 21,564 14,817 1,859 26 4,862 4,093 1,770 1,824 120 380 190 July............. 24,597 20,434 13,909 1,742 24 4,759 3,967 1,662 1,812 116 377 196 Aug............. 24,971 20,839 14,432 1,735 23 4,648 3,943 1,685 1,764 116 376 189 Sept............. 24,521 20,400 14,139 1,903 23 4,335 3,913 1,653 1,770 114 376 208 Oct.............. 24,165 20,055 13,921 1,964 32 4,139 3,908 1,607 1,796 127 378 202 Nov............. 22,573 18,428 12,747 1,917 21 3,743 3,950 1,651 1,820 115 364 195 Dec............. 21,164 16,906 12,360 1,335 14 3,197 4,038 1,734 1,839 131 334 220 1971—Jan.............. 20,989 16,711 11,218 1,194 29 4,271 4,048 1,689 1,845 130 385 230 Feb.............. 19,604 15,232 10,021 1,025 26 4,161 4,112 1,724 1,877 148 362 260 Mar............. 18,361 14,029 8,447 889 24 4,669 4,079 1,724 1,865 135 356 253 Apr.?.......... 17,937 13,568 6,933 660 1,469 4,506 4,131 1,801 1,890 116 324 238 May?.......... 17,292 13,047 6,539 595 1,540 4,374 4,046 1,734 1,885 131 296 199 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 Increase in valuation resulting from revaluation of Swiss franc. time certificates of deposit. 9 Excludes central banks, which are included in “Official institutions.” 4 U.S. Treasury bills and certificates obtained from proceeds of sales of gold by the IMF to the United States to acquire income-earning assets. Note.—“Short-term” refers to obligations payable on demand or having Upon termination of investment, the same quantity of gold can be re­ an original maturity of 1 year or less. For data on long-term liabilities acquired by the IMF. reported by banks, see Table 10. Data exclude the “holdings of dollars” 5 Principally the International Bank for Reconstruction and Develop­ of the International Monetary Fund; these obligations to the IMF consti­ ment and the Inter-American Development Bank. tute contingent liabilities, since they represent essentially the amount of Includes difference between cost value and face value of securities in dollars available for drawings from the IMF by other member countries. IMF gold investment account. Data exclude also U.S. Treasury letters of credit and non-negotiable, non- 6 Data on the two lines shown for this date differ because of changes in interest-bearing special U.S. notes held by the Inter-American Develop­ reporting coverage. Figures on the first line are comparable in coverage ment Bank and the International Development Association. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 81 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. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.*5 May*5 Europe: Austria...................................................... 314 287 273 263 236 185 204 198 194 191 185 Belgium-Luxembourg.............................. 530 581 614 742 709 596 760 766 769 779 903 Denmark.................................................. 153 189 195 193 187 189 196 216 220 219 148 Finland..................................................... 120 140 137 134 139 117 117 112 114 115 155 France....................................................... 1,581 2,282 2,286 2,311 2,417 2,267 2,354 2,263 2,344 2,297 2,227 Germany.................................................. 1,381 4,505 5,439 5,977 7,543 7,520 7,795 8,518 9,568 10,316 12,471 Greece....................................................... 207 199 204 212 198 184 162 176 140 145 146 Italy.......................................................... 627 839 909 1,104 1,162 1,317 1,579 1,629 1,766 1,903 1,823 Netherlands.............................................. 463 631 626 800 748 762 584 654 741 620 661 341 309 287 315 291 324 317 313 364 403 465 Portugal.................................................... 309 272 275 251 250 274 299 307 319 298 280 Spain......................................................... 202 416 391 299 234 198 205 203 184 201 231 Sweden...................................................... 412 431 389 378 449 503 519 541 577 631 625 Switzerland............................................... 2,005 2,032 2,015 1,985 1,914 1,947 1,936 2,011 2,021 2,144 2,375 Turkey...................................................... 28 28 34 34 37 46 53 51 32 25 43 United Kingdom..................................... 11,349 8,600 9,113 7,865 6,659 5,508 5,637 5,210 4,778 5,086 5,192 Yugoslavia................................................ 37 27 33 31 49 37 36 46 41 33 38 Other Western Europe1.......................... 1,553 1,154 850 747 828 594 460 377 368 339 727 U.S.S.R..................................................... 11 7 3 13 13 15 11 9 12 22 9 Other Eastern Europe............................. 50 41 46 43 48 54 63 56 53 45 51 Total.................................................. 21,674 22,971 24,118 23,694 24,112 22,637 23,284 23,656 24,605 25,812 28,755 Canada......................................................... 4,012 3,827 3,787 4,529 4,213 4,016 3,663 3,624 3,400 3,255 3,136 Latin America: 416 581 533 605 560 539 508 517 522 506 504 425 427 398 415 353 305 344 326 291 301 284 Chile.......................................................... 400 429 325 359 327 265 256 252 258 259 256 Colombia.................................................. 261 294 282 258 244 247 231 215 186 191 169 Cuba.......................................................... 7 7 7 6 7 7 7 8 8 7 7 849 915 846 814 876 820 828 829 824 861 797 Panama.................................................... 140 166 172 169 173 158 163 177 173 185 173 Peru.......................................................... 240 208 221 213 213 225 186 178 168 181 190 Uruguay.................................................... 111 108 107 104 108 117 125 125 119 120 112 Venezuela.................................................. 691 651 630 643 652 735 672 695 645 684 729 Other Latin American republics............. 576 638 633 619 604 620 617 614 609 601 582 Bahamas and Bermuda........................... 1,405 1,189 1,015 761 806 745 798 675 631 957 941 Netherlands Antilles and Surinam......... 80 88 95 91 96 98 92 95 101 105 105 Other Latin America............................... 34 37 33 37 42 39 37 38 49 48 56 Total.................................................. 5,636 5,736 5,295 5,095 5,060 4,918 4,866 4,743 4,582 5,008 4,906 Asia: China Mainland....................................... 36 41 41 38 35 33 36 36 34 34 33 Hong Kong.............................................. 213 245 235 250 274 258 305 322 298 281 313 India.......................................................... 260 356 366 401 426 302 236 229 188 211 245 Indonesia.................................................. 86 61 53 50 85 73 60 65 52 73 60 Israel......................................................... 146 115 121 118 107 135 121 128 122 155 125 Japan........................................................ 3,809 3,996 4,149 4,274 4,557 5,147 5,166 5,452 6,325 6,815 8,190 Korea........................................................ 236 280 263 195 185 199 193 178 191 184 193 Philippines................................................ 201 275 242 282 279 297 294 309 340 347 349 Taiwan...................................................... 196 212 228 247 260 275 292 278 288 296 293 628 591 585 549 511 508 489 469 443 381 306 Other........................................................ 606 780 769 728 680 708 722 735 674 601 585 Total.................................................. 6,417 6,952 7,053 7,134 7,401 7,936 7,913 8,201 8,954 9,375 10,693 Africa: Congo (Kinshasa).................................... 87 30 18 17 17 14 16 13 17 19 15 Morocco................................................... 21 21 14 14 10 11 7 7 8 9 9 South Africa............................................. 66 49 47 53 55 83 71 71 56 74 64 U.A.R. (Egypt)......................................... 23 19 19 19 20 17 16 18 15 15 14 Other........................................................ 505 684 677 566 471 395 469 334 278 268 291 Total.................................................. 701 802 776 668 573 521 580 443 373 384 392 Other countries: Australia................................................... 282 428 389 390 392 389 376 398 455 576 668 All other................................................... 29 31 34 31 33 39 34 46 43 41 40 Total.................................................. 311 459 423 421 425 428 410 444 497 617 708 Total foreign countries............................... 38,751 40,747 41,453 41,541 41,783 40,457 40,716 41,113 42,410 44,452 48,590 International and regional: International2........................................... 1,261 1,330 848 881 873 975 1,175 1,086 1,099 1,220 1,268 Latin American regional......................... 100 150 145 175 152 131 162 156 165 173 186 Other regional3........................................ 52 118 124 112 113 111 90 93 107 138 138 Total.................................................. 1,413 1,598 1,117 1,168 1,138 1,217 1,427 1,335 1,371 1,531 1,591 Grand total....................................... 40,164 42,345 42,570 42,709 42,921 41,674 42,143 42,448 43,781 45,983 50,181 For notes see the following page. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 82 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1971 9. SHORTTERM 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 1969 1970 1971 1969 1970 1971 Area or country Area or country Apr. Dec, Apr. Dec, Apr. Apr. Dec. Apr. Dec. Apr. Other Western Europe: Other Asia—Cont.: Cyprus..................................... 2 11 15 10 7 Jordan......................................... 4 17 30 14 3 Iceland.................................... 4 9 10 10 10 Kuwait........................................ 40 46 66 54 36 Ireland, Rep. of...................... 20 38 32 41 29 Laos............................................ 4 3 4 5 2 Lebanon..................................... 82 83 82 54 60 Other Latin American republics Malaysia..................................... 41 30 48 22 29 Bolivia..................................... 65 68 76 69 59 Pakistan...................................... 24 35 34 38 27 Costa Rica.............................. 61 52 43 41 43 Ryukyu Islands (incl. Okinawa) 20 25 26 18 (5) Dominican Republic.............. 59 78 96 99 90 Saudi Arabia.............................. 48 106 166 106 41 Ecuador.................................. 62 76 72 79 72 Singapore................................... 40 17 25 57 43 El Salvador............................. 89 69 79 75 80 Syria............................................ 4 4 6 7 3 Guatemala............................... 90 84 110 100 97 Vietnam...................................... 40 94 91 179 161 Haiti........................................ 18 17 19 16 19 Honduras................................ 37 29 29 34 44 Other Africa: Jamaica................................... 29 17 17 19 19 Algeria........................................ 6 14 13 17 13 Nicaragua............................... 78 63 76 59 47 Ethiopia (incl. Eritrea).............. 15 20 33 19 12 Paraguay................................. 18 13 17 16 15 Ghana........................................ 8 10 7 8 6 Trinidad & Tobago................ 8 8 11 10 14 Kenya......................................... 34 43 47 38 13 Liberia........................................ 28 23 41 22 21 Libya.......................................... 68 288 430 195 91 Ot B he ri r t i L sh a t W in e A st m In e d ri i c e a s : ................. 25 30 38 33 38 N So ig u e th ri e a r . n .. . R ... h .. o ... d .. e .. s . i .. a .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 2 0 11 2 11 2 17 1 (5 2 ) Sudan.......................................... 3 3 1 1 1 Other Asia: Tanzania..................................... 23 10 18 9 10 Afghanistan............................. 16 15 26 15 Tunisia........................................ 2 6 7 7 6 Burma...................................... 5 2 5 4 3 Uganda...................................... 9 5 7 8 5 Cambodia............................... 2 1 1 2 2 Zambia....................................... 19 20 38 10 (5) Ceylon..................................... 5 3 4 4 4 Iran.......................................... 44 35 41 32 50 All other: Iraq.......................................... 77 26 6 11 (5) New Zealand............................. 20 16 18 25 22 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”). 5 Not available. 10. LONG-TERM LIABILITIES TO FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES (Amounts outstanding; in millions of dollars) To foreign countries Country or area To End of period Total reg i a n i n o t d i n . al Total O in t f i s o f t i n i c t i s u a ­ l Banks1 fo O r e e t r h i s g e n r ­ A t r i g n e a n­ A O L m a t e h t r i e i n c r a Israel Japan Thailand O A t s h i e a r co o u A t n h 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 3,166 777 2,389 2,341 8 40 284 257 241 658 201 651 97 196 9 2,490 889 1,601 1,505 55 41 64 175 41 655 70 472 124 1970—May.. 2,211 856 1,355 1,241 64 50 25 217 6 619 28 328 132 June . 2,127 847 1,280 1,116 116 48 25 216 6 576 28 242 187 July . 2,033 826 1,208 1,036 118 54 25 198 7 523 28 237 191 Aug.. 1,936 838 1,097 928 118 51 25 145 7 499 22 204 194 Sept.. 1,916 862 1,054 883 119 53 25 147 7 477 11 190 197 Oct... 1,835 844 991 820 119 52 25 147 7 466 9 140 196 Nov.. 1,733 814 919 749 118 52 13 143 7 416 8 138 193 Dec... 1,696 787 909 695 160 54 13 138 6 385 122 236 1971—Jan... 1,569 717 852 635 157 60 13 144 6 340 107 233 Feb... 1,462 691 771 568 153 51 13 106 6 316 100 229 Mar.. 1,342 632 710 489 161 60 13 88 6 261 94 246 Apr.*7, 1,187 582 605 406 142 57 13 92 7 186 84 222 M^yP, 1,144 557 587 391 139 57 13 93 7 182 81 208 1 Excludes central banks, which are included with “Official institutions.” Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 83 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. May June July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.25 MayP Europe: Denmark...................... 9 6 6 6 6 6 5 5 3 3 3 3 3 3 France........................... 6 6 6 6 6 6 6 6 6 6 7 7 7 7 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 45 45 44 47 49 49 49 49 48 49 48 45 45 United Kingdom.......... 407 369 396 401 411 423 424 447 499 546 544 537 545 511 Other Western Europe. 24 24 24 24 24 24 24 24 24 25 30 30 30 30 Eastern Europe............ 7 7 7 7 7 7 7 6 6 6 6 6 6 6 Total. 538 501 529 532 545 560 559 582 632 679 683 675 680 645 Canada... 272 279 286 287 294 284 191 190 192 192 191 188 188 189 Latin America: Latin American republics., 2 2 2 2 2 2 2 2 2 2 2 2 2 2 Neth. Antilles & Surinam 12 12 12 12 12 12 12 12 12 12 12 12 12 12 Other Latin America........ 2 2 2 3 4 4 5 4 4 4 4 4 4 4 Total. 15 15 15 16 17 17 18 18 18 18 18 17 17 17 Asia: Japan......... 61 61 61 61 61 61 61 61 61 61 61 61 61 61 Other Asia. 18 19 19 19 19 19 19 18 38 38 38 38 38 38 Total................. 79 81 81 81 81 80 80 80 99 99 99 99 99 99 Other countries............ 7 7 22 42 42 42 42 42 42 42 42 42 42 42 Total foreign countries. 912 883 933 959 979 984 891 912 983 1,030 1,033 1,022 1,027 993 International and regional : International.................... 32 30 30 30 22 22 22 22 * * 16 114 114 114 Latin American regional. 18 21 21 22 23 23 23 24 24 25 25 26 26 27 Asian regional.................. Total............ 50 51 52 53 45 45 46 46 24 25 41 140 140 140 Grand total. 962 934 985 1,012 1,024 1,030 936 1 959 1,008 1,054 1,074 1,162 1,167 11,134 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 ­ m G a e n r y ­ Italy2 Korea S d w en e­ T w a a i n ­ T la h n a d i­ Total A tr u ia s­ m G a e n r y ­ 3 Italy S er w la i n tz d ­ 196 8 3,330 1,692 1,334 20 146 15 25 20 100 1,638 50 1,051 226 311 196 9 ^ 3,18i 1,431 1,129 135 15 20 100 4 1,750 4 1,084 125 541 1970—June. 3,511 2,428 2.229 32 15 20 100 1.083 542 541 July. 3.508 2.425 2.229 29 15 20 100 1.083 542 541 Aug. 3.508 2.425 2.229 29 15 20 100 1.083 542 541 Sept. 3.508 2.425 2.229 29 15 20 100 1.083 542 541 Oct.. 3,567 2,484 2.289 28 15 20 100 1.083 542 541 Nov.. 3,564 2,481 2.289 25 15 20 100 1.083 542 541 Dec., 3.563 2.480 2.289 25 15 20 100 1.083 542 541 1971—Jan.. 3.563 2.480 2.289 25 15 20 100 1.083 542 541 Feb.. 3.563 2.480 2.289 25 15 20 100 1.083 542 541 Mar. 3.563 2.480 2.289 25 15 20 100 1.083 542 541 Apr.. 3.563 2.480 2.289 25 15 20 100 1.083 542 541 May. 3.592 2.480 2.289 25 15 20 100 M,lll 542 5 569 June, 6.592 5.480 2.289 3,000 25 15 20 100 1,111 542 569 1 Includes bonds issued in 1964 to the Government of Canada in connec­ June 1968. The revaluation of the German mark in Oct. 1969 increased tion with transactions under the Columbia River treaty. Amounts out­ the dollar value of these notes by $10 million. standing end of 1967 through Oct. 1968, $114 million; Nov. 1968 through 4 Includes an increase in dollar value of $84 million resulting from Sept. 1969, $84 million; Oct. 1969 through Sept. 1970, $54 million; and revaluation of the German mark in Oct. 1969. Oct. 1970 through latest date, $24 million. 5 Increase in valuation resulted from redemption of outstanding Swiss 2 Bonds issued to the Government of Italy in connection with mili­ franc securities at old exchange rate and reissue of securities at new ex­ tary purchases in the United States. change rate with same maturity dates, at time of revaluation of Swiss 3 In addition, nonmarketable U.S. Treasury notes amounting to $125 franc. The new issues include some certificates of indebtedness issued to million equivalent were issued to a group of German commercial banks in replace notes which were within a year of maturity. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 84 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 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. Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr.p May p Europe: Austria...................................................... 7 7 4 5 8 6 4 4 5 17 6 Belgium-Luxembourg............................. 56 52 70 68 71 50 69 68 68 57 73 Denmark.................................................. 40 36 34 36 37 40 46 53 58 54 54 Finland..................................................... 68 63 63 56 55 66 103 110 123 128 139 France...................................................... 107 75 104 78 105 113 95 111 98 102 120 Germany.................................................. 205 169 181 182 184 184 142 171 190 211 356 Greece...................................................... 22 27 28 27 25 26 21 22 21 22 24 Italy.......................................................... 120 90 102 106 92 101 92 98 102 108 131 Netherlands.............................................. 51 46 67 52 57 61 74 68 70 76 81 Norway..................................................... 34 30 33 40 48 54 61 65 62 54 64 Portugal.................................................... 8 8 10 16 13 11 12 14 15 15 20 Spain......................................................... 70 51 59 58 54 52 49 56 59 65 76 67 103 112 123 110 97 102 100 104 124 129 99 123 100 115 98 100 121 114 174 130 163 Turkey...................................................... 19 10 6 4 4 9 3 4 5 8 30 United Kingdom..................................... 408 340 386 378 430 379 410 513 456 580 808 Yugoslavia................................................ 28 33 36 42 41 35 35 31 33 33 36 Other Western Europe............................. 9 6 7 8 12 13 10 11 9 12 15 U.S.S.R..................................................... 2 2 3 3 1 3 2 2 3 3 2 Other Eastern Europe............................. 34 43 40 43 41 45 36 41 47 51 50 Total.................................................. 1,454 1,315 1,446 1,437 1,487 1,448 1,487 1,657 1,701 1,849 2,379 Canada......................................................... 826 751 806 897 917 1,084 914 941 1,018 972 1,021 Latin America: Argentina.................................................. 309 297 306 303 306 324 326 337 346 317 318 Brazil........................................................ 317 296 316 323 322 322 309 320 360 387 381 Chile.......................................................... 188 210 205 199 189 199 186 184 179 165 158 Colombia.................................................. 225 256 265 267 272 284 288 296 300 303 294 Cuba.......................................................... 14 14 14 14 13 13 13 13 13 13 13 Mexico...................................................... 803 889 900 906 934 904 912 951 908 893 883 Panama..................................................... 68 68 83 94 84 95 82 105 100 105 99 161 142 132 136 141 147 143 135 131 150 153 Uruguay.................................................... 48 53 57 54 55 63 56 51 49 53 51 Venezuela.................................................. 240 251 267 284 284 281 276 275 243 242 230 Other Latin American republics............. 295 294 285 298 321 340 334 336 326 328 316 Bahamas and Bermuda........................... 93 64 78 133 105 179 178 157 200 190 239 Netherlands Antilles and Surinam......... 14 17 18 14 14 19 19 14 15 21 20 Other Latin America............................... 27 20 22 20 22 22 22 21 22 22 22 Total.................................................. 2,802 2,871 2,947 3,045 3,062 3,191 3,145 3,193 3,193 3,189 3,177 Asia: 1 1 1 2 1 2 1 1 2 1 1 Hong Kong.............................................. 36 35 46 36 36 39 40 41 49 60 56 India.......................................................... 10 11 10 12 12 13 16 13 15 24 20 Indonesia.................................................. 30 42 46 41 54 56 49 49 66 45 34 Israel......................................................... 108 80 82 105 110 120 99 130 97 110 112 Japan........................................................ 3,432 3,387 3,331 3,370 3,538 3,890 3,675 3,480 3,482 3,356 3,606 Korea........................................................ 158 228 227 218 197 196 196 194 221 243 247 Philippines................................................ 215 209 215 134 129 137 135 137 124 128 115 Taiwan...................................................... 49 81 81 82 82 95 101 113 119 117 127 Thailand................................................... 101 106 108 100 97 109 106 109 109 118 114 Other........................................................ 212 165 157 160 164 157 167 182 183 187 211 Total.................................................. 4,352 4,345 4,304 4,262 4,420 4,815 4,585 4,448 i 4,466 4,389 4,642 Africa: Congo (Kinshasa).................................... 6 4 6 4 5 4 7 4 6 5 6 Morocco................................................... 3 6 5 6 4 6 6 6 ; 6 5 6 South Africa............................................ 55 68 72 72 76 77 83 84 86 93 103 U.A.R. (Egypt)........................................ 11 14 13 12 10 13 16 14 14 17 16 Other........................................................ 86 65 63 63 72 79 78 85 101 103 104 Total.................................................. 162 157 159 157 166 180 190 194 213 223 235 Other countries: Australia................................................... 53 66 60 59 59 64 70 105 73 73 81 All other................................................... 16 16 17 15 16 16 17 19 18 18 17 Total.................................................. 69 82 77 75 75 80 87 124 91 91 98 Total foreign countries............................... 9,664 9,520 9,739 9,872 10,127 10,798 10,408 10,557 10,681 10,713 11,552 International and regional.......................... 2 2 2 1 2 3 2 2 2 2 2 Grand total....................................... 9,667 9,521 9,741 9,873 10,129 10,801 10,410 10,559 10,683 10,714 11,554 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

JULY 1971 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 85 14. SHORT-TERM CLAIMS ON FOREIGNERS REPORTED BY BANKS IN THE UNITED STATES, BY TYPE (Amounts outstanding; in millions of dollars) Payable in dollars Payable in foreign currencies End of period Total Total Total O in f s f L t i i c t o i u a a ­ l ns t B o a — nks1 Others C s t t o o i a o u l n l n t e d ­ s c ­ ­ f A o o a m c r f n c a a f c e d o c e p e c r s t ­ 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 F a o u c o n o v r r d i m t e t , i i e f l g s i . s e ­ n , ­ Other tions ing eigners nance paper 1968............. 8,711 8,261 3,165 247 1,697 1,221 1,733 2,854 509 450 336 40 73 19692............ / ( 9 9 , , 6 5 6 7 7 8 9 9 , , 1 0 5 6 1 3 3 3 , , 2 2 8 7 1 8 2 2 6 6 2 2 1 1 , ,9 94 4 3 6 1 1 . . 0 0 7 73 3 2 1 , , 0 9 1 5 5 4 3 3 , , 1 2 6 0 9 2 6 6 5 5 8 6 5 5 1 1 8 6 3 3 5 5 2 2 8 89 4 7 7 9 4 1970—May. 9,806 9,308 3,193 315 1,825 1,053 2,312 3,244 559 498 338 93 66 June. 10,010 9,543 3,316 305 1,932 1,079 2,344 3,287 595 467 314 83 69 July.. 9,727 9,306 3,191 256 1,873 1,063 2,350 3,234 531 421 296 66 59 Aug.. 9,521 9,058 2,975 178 1,711 1,087 2,354 3,171 557 463 354 50 59 Sept.. 9,741 9,261 3,231 186 1,936 1,109 2,381 3,056 593 479 366 40 74 Oct... 9,873 9,358 3,129 109 1,897 1,123 2,438 3,158 634 515 366 67 83 Nov.. 10,129 9,574 3,132 95 1,894 1,143 2,429 3,330 683 555 354 112 89 Dec.. 10,801 10,150 3,038 119 1,709 1,210 2,414 3,966 732 651 393 92 166 1971—Jan... 10,410 9,903 2,850 110 1,561 1,178 2,396 3,950 708 506 308 79 120 Feb... 10,559 10,024 2,937 88 1,578 1,270 2,389 3,972 726 535 334 111 90 Mar.. 10,683 10,119 2,996 100 1,589 1,307 2,376 4,026 721 564 365 102 96 Apr.? 10,714 10,182 3,091 107 1,731 1,253 2,320 4,086 685 533 338 92 103 Mayp, 11,554 10,924 3,373 150 1,921 1,302 2,391 4,117 1,042 631 438 78 114 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. LONGTERM 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 e ­ d E O u t r h o e p r e Canada A L m a e t r i i n ca Japan O A t s h i e a r co o u A t n h l t e l r r ies Official Other term cies Total institu­ Banks1 foreign­ claims tions ers 1968................. 3,567 3,158 528 237 2,393 394 16 68 479 428 1,375 122 617 479 1969................. 3,250 2,806 502 209 2,096 426 18 67 411 408 1,329 88 568 378 1970—May.... 3,232 2,822 511 211 2,100 380 30 67 426 427 1,348 89 530 345 June.... 3,177 2,788 499 209 2,080 362 27 67 425 416 1,341 92 517 319 July___ 3,127 2,745 486 215 2,044 354 29 69 396 417 1,337 100 502 307 Aug....... 3,131 2,719 470 225 2,023 383 29 64 398 411 1,324 106 515 312 Sept...... 3,155 2,750 460 244 2,046 377 28 65 395 416 1,357 108 499 314 Oct........ 3,229 2,839 531 256 2,053 359 30 67 407 409 1,342 109 582 312 Nov...... 3,216 2,825 515 247 2,064 364 26 66 387 398 1,362 113 583 307 Dec....... 3,067 2,691 504 230 1,957 352 25 71 411 312 1,318 115 548 292 1971—Jan........ 2,953 2,601 485 208 1,909 327 24 70 412 278 1,272 117 523 280 Feb....... 2,948 2,634 484 208 1,942 289 26 77 420 266 1,248 121 521 295 Mar.... 3,035 2,729 501 221 2,008 277 30 111 424 268 1,261 125 548 297 Apr.P... 3,072 2,763 504 218 2,042 276 33 117 439 275 1,262 120 554 305 May39... 3,241 2,926 523 241 2,163 279 36 107 502 255 1,275 208 548 345 1 Excludes central banks, which are included with “Official institutions.” Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 86 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 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 e p s s u o r r ­ c P ha u s r e ­ s Sales c N h s a e a s t l e e p s s u o r r ­ ch P a u s r e ­ s Sales N ch e s a t a s l e e p s s u o r r ­ regional Total Official Other 196 9 -4 11 -79 64 15,476 12,795 2,681 1,552 2,578 -1,026 1,519 2,037 -517 197 0 46 -25 -39 110 11,426 9,844 1,582 1,490 2,422 -932 1,033 995 38 1971—Jan.-MayP 126 116 6,708 6,264 444 704 1,182 -478 624 -170 1970—Ma y 18 18 2 16 769 929 -160 116 70 47 109 90 18 June......... 51 50 15 35 858 783 76 113 97 16 74 60 15 July.......... 27 26 20 6 783 649 134 126 263 -136 62 58 4 Aug.......... 13 21 21 656 514 142 143 380 -237 60 45 15 Sept.......... 5 5 5 1,034 703 331 110 93 17 76 90 -14 Oct........... -93 -94 -91 -3 1,187 938 249 109 256 -147 71 120 -50 Nov.......... 23 1 22 * 22 754 609 145 97 87 10 65 76 -11 Dec........... 49 -22 71 18 53 1,321 1,030 291 140 263 -123 83 86 -3 1971—Ja..............n 46 -1 47 47 1,242 1,022 220 116 425 -308 90 95 -5 Feb........... 20 17 3 -2 1,516 1,411 105 126 107 19 68 108 -41 Mar.......... 88 99 -11 -11 1,411 1,314 97 176 190 -14 85 121 -36 Apr.*........ 5 5 4 1,383 1,408 -25 174 241 -67 117 179 -63 Mayp........ -33 -34 -34 1,155 1,108 47 112 220 -108 94 120 -26 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 tr e i r es r I e n g t i l o . n & al 1969..................... 1,487 150 216 189 490 -245 295 1,094 125 136 90 7 -1 36 1970..................... 626 58 195 128 110 -33 24 482 -9 47 85 -1 1 22 1971-Jan.-MayP. 81 -45 57 46 1 -51 47 55 -47 29 17 -1 -1 29 1970—May.......... -200 1 -2 33 -46 -102 -32 -149 -30 -25 3 -1 * 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 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 * -1 Nov.......... 98 7 13 18 11 3 31 84 6 1 * * * 7 Dec........... 216 39 27 8 39 14 11 137 40 32 4 * * 3 1971—Jan............ 130 -13 27 14 26 7 46 107 11 6 -3 * -1 11 Feb........... -32 -23 28 9 -6 -23 21 7 -34 -5 * * * * Mar.......... -26 -26 11 2 -27 -11 -8 -59 1 18 9 * * 6 Apr.**....... -1 8 -10 8 -4 -18 -9 -24 -7 14 11 * -1 6 May?........ 10 9 * 13 10 -6 -3 24 -17 -4 1 -1 * 7 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ INTL. CAPITAL TRANSACTIONS OF THE U.S. A 87 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 1969..................... 1,195 97 200 14 169 251 83 815 32 14 -11 10 336 1970..................... 956 35 48 37 134 118 91 464 128 25 28 1 -12 324 1971—Jan.-MayP 363 17 34 2 74 74 50 251 34 11 -2 * -14 82 1970—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.......... 82 4 -2 -1 23 36 8 68 6 6 1 * — 1 1 Aug.......... 38 -1 -3 * -1 -1 1 -4 21 2 * * — 2 21 Sept.......... 106 1 25 * 3 -1 2 31 16 -6 1 * 64 Oct........... 91 -1 * 1 8 -8 43 43 14 1 6 * —2 29 Nov.......... 47 2 1 * 3 1 4 13 17 2 3 * * 13 Dec........... 75 2 7 -3 9 28 18 61 1 1 3 * 1 8 1971—Jan............ 89 * -6 * 15 2 * 12 28 -4 * * * 52 Feb........... 137 4 3 2 16 21 39 85 -4 1 1 * -12 65 Mar.......... 123 10 14 -1 32 32 5 92 11 6 3 * * 11 Apr.*........ -23 3 -3 * 7 7 5 19 -2 4 -6 * * -39 May*........ 37 -1 27 * 4 11 1 42 * 4 -1 * -2 -6 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 i o 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 ­ O c 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 1967...................................... 311 298 1969......................... -1,544 66-1,610 74-1,128 -98 -471 -6 20 636 508 1970.......................... -894 -254 -641 50 -569 -11 -125 -6 20 1969—Mar........................... 553 393 1971—Jan.-MayP... -648 -232 -416 -58 -122 -9 -233 -1 8 566 397 467 297 1970—May.............. 65 11 54 -1 42 3 8 2 434 278 June............. 30 5 25 1 39 -1 -15 1 July.............. -132 -38 -94 9 -78 -23 -1 * 1970—Mar........................... 368 220 Aug............... -222 -158 -64 4 -127 56 2 1 334 182 Sept............... 3 16 -13 5 22 -30 -12 2 291 203 Oct................ -197 -91 -106 -33 -51 3 -27 2 349 279 Nov............... -1 3 -4 -10 15 -2 -9 — l 1 Dec................ -125 4 -129 -22 -74 -5 -31 -1 4 1971— Mar.*........................ 511 314 1971—Jan................ -313 -197 -117 2 -82 -10 -29 2 M Fe a b r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . - - 2 5 1 0 - 1 4 1 - - 1 61 7 -21 6 -3 2 4 7 11 4 - - 2 4 9 4 — i 1 1 mo N n o ey t e d .— eb D it a b t a a l a r n e c p e r s e s a e p n p t e t a h r e in g m o o n n e t y h e c r b e o d o i k t s b a o l f a r n e c p e o s r t a i n n d g Apr.*............ -129 -46 -83 -34 29 -2 -79 1 brokers and dealers in the United States, in accounts of Mayp............ -134 4 -137 -12 -62 -13 -52 * 2 foreigners with them, and in their accounts carried by foreigners. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 88 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 1971 21. LIABILITIES OF U.S. BANKS TO THEIR FOREIGN BRANCHES 22. MATURITY OF EURO DOLLAR AND FOREIGN BRANCH HOLDINGS OF SPECIAL U.S. DEPOSITS IN FOREIGN GOVT. 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 1971 Maturity of liability 1966 1970 1971—Continued Feb. Mar. Apr. J M un ar e . 2 3 9 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 , , 9 8 5 7 1 9 J F a e n b . . 2 2 5 8 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 3 3, , 6 0 0 8 5 6 Feb. 1 3 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 7 , , 4 2 3 33 2 1.67 1.62 1.52 Sept. 28................. 3,472 Mar. 25................ 11,885 17................ 6,872 Call................................... 2.02 1.96 2.32 Dec. 28......................4,036 A M p a r y . 2 2 7 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 2 , ,3 94 46 4 24................ 6,666 Ot i h n e r f l o ia ll b o i w lit i i n e g s, m ca a l t e u n r d in a g r June 24................ 12,172 months after report 1967 J A u u ly g . 2 2 9 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 0 0 , , 6 4 2 6 9 9 Mar. 1 3 0. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 6 , , 5 3 1 0 6 6 date: 9.13 10.03 8.24 J S D M u e e n a p c e r t . . . 2 2 2 2 8 7 7 9 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 3 3 4 , , , , 0 4 1 2 5 6 1 4 9 6 2 1 S O e c p t. t . 2 2 1 3 7 1 4 8 0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 9 9 9 9 , , , , , 8 2 5 6 5 3 6 9 8 9 0 3 9 5 7 2 3 1 1 4 7 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 5 , , , 3 6 8 5 8 3 8 0 8 2 4 5 6 3 t n t t r h h h d d . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 2 1 1 1 . . . . . 9 9 8 7 4 3 5 8 4 2 2 3 3 1 1 . . . . . 0 5 7 5 3 8 7 2 0 2 4 5 1 1 1 . . . . . 2 8 2 4 5 1 7 0 7 2 Apr. 7................ 4,759 .28 .22 .32 Nov. 4................ 9,024 14............... 5,318 .21 .30 .38 1968 11................ 8,892 21............... 5,252 .29 .33 .27 18................ 8,766 28............... 5,166 10th.............................. .25 .20 .25 Mar. 27......................4,920 25............... 8,435 11th.............................. .17 .20 .28 J S D u e e n p c e t . . 2 3 2 1 6 5 . ( . . . . 1 . . . . / . . . 1 . . . . / . . . 6 . . . . 9 . . . . . ) . . . . . . . . . . . . . . . . . . . . . 6 7 6 , , , 2 0 1 0 3 0 2 9 4 Dec. 1 2 9 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 8 8 , , , 2 3 2 5 0 1 5 2 5 May 1 1 5 2 9 . . .. . . . . . . . . . . .. . . . . .. . . . . . . . . . . .. . . . . .. . . . . . . 4 4 5 , , , 6 6 0 0 3 1 6 2 6 Mat 1 u 2 r t i h ti . e .. s .. . o .. f . . m ... o .. r .. e .. t .. h .. a .. n .. . 1 .. . . 1 5 7 7 . . 2 7 6 0 . . 3 73 2 23................ 7,902 26............... 4,587 1969 30............... 7,676 27.66 28.01 28.91 1971 June 2............... 4,885 J M un ar e . 2 2 5 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 9, ,2 6 6 21 9 Jan. 1 6 3. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 7 , , 4 8 2 6 4 3 1 9 6 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5 , , 9 3 4 3 6 1 dep N o o s t it e s . — an I d n c d lu ir d e e c s t b i o n r t r e o re w s i t n -b g e s a o ri f n a g l l U br . a S n . ch d e o s ll a in r Sept. 24................. 14,349 20............... 7,823 23............... 5,331 the Bahamas and of all other foreign branches Dec. 31.................. 12,805 27............... 7,536 30............... 4,510 for which such deposits and direct borrowings amount to $50 million or more. Note.—The data represent gross liabilities of reporting banks to their branches in foreign Details may not add to totals due to rounding. countries and special U.S. Treasury and Export-Import Bank securities held by foreign branches as follows: $1,000 million, Jan. 27, 1971-Feb. 24; $1,500 million, Mar. 3-Apr. 7; and $3,008 million, Apr. 14 through latest date. 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 1968................... 1,638 1,219 87 272 60 979 280 1970-—June.. 168 10,888 12,240 1 r,™ o /1,319 952 116 174 76 610 469 July... 199 11,803 12,217 \1,454 1,025 161 183 86 663 519 Aug... 173 12,489 12,283 O S N e c o p t v . t . . . . . . . . . 1 1 1 3 4 3 6 2 6 1 1 1 6 4 3 , , , 1 4 9 5 9 8 6 3 8 1 1 1 2 2 2 , , , 6 6 6 1 1 4 1 7 4 1970— J M A u p n a r y e .. . . . . . . . . . . . . . . . . . . . . . . . 1 1 1 , , , 4 4 4 5 7 3 9 8 6 1 1 1 , , , 0 0 0 4 1 5 1 1 3 2 1 1 0 7 7 0 8 4 1 1 14 3 4 8 8 2 1 1 6 1 0 2 6 9 7 8 8 5 9 3 4 7 2 2 3 33 5 7 1 9 0 Dec... 148 16,226 12,926 July........ 1,423 1,009 181 159 74 752 309 Aug......... 1,276 868 164 151 94 662 297 1971-—Jan__ 129 16,206 12,958 Sept......... 1,375 889 183 177 126 668 382 F M e a b r . .. . . . 2 1 0 4 1 7 2 1 0 8 , , 5 0 3 33 4 1 1 2 3 , , 9 0 8 5 1 7 N O o ct v .. . . . . . . . . . . . . . . . . . 1 1 , ,4 4 1 3 8 6 9 9 0 2 5 4 1 17 7 1 7 1 1 7 7 5 7 1 1 6 5 6 9 6 64 2 1 8 4 4 7 4 2 0 Apr... 162 22,879 13,095 Dec......... 1,045 619 133 172 121 363 417 May.. 208 28,126 13,447 June.. 199 26,544 13,509 1971—Jan.......... 1,211 795 124 180 114 511 363 Feb......... 1,270 786 152 191 141 539 401 Mar.r__ 1,448 983 147 174 143 706 377 1 U.S. Treasury bills, certificates of indebtedness, Apr......... 1,465 967 163 199 136 687 387 notes, and bonds; includes securities payable in foreign currencies. 1 Negotiable and other readily transferable foreign obligations payable on demand hel N d 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 iti a e 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

JULY 1971 d INTL. CAPITAL TRANSACTIONS OF THE U.S. A 89 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 1970 1969 1970 Dec. Mar. June Sept. Dec. Dec. Mar. June Sept. Dec. Europe: Austria.................................. 4 3 4 6 8 5 7 8 9 10 Belgium-Luxembourg.......... 65 72 71 66 46 59 60 58 54 47 Denmark............................... 3 3 3 3 2 16 17 17 16 17 Finland.................................. 2 1 1 1 2 7 8 8 13 11 France................................... 137 127 156 141 127 122 155 176 154 150 Germany, Fed, Rep. of........ 218 193 164 166 139 219 172 174 192 209 Greece................................... 4 3 3 3 4 19 19 27 28 28 Italy...................................... 85 83 85 70 77 155 169 173 160 163 Netherlands........................... 90 110 116 121 128 64 72 72 62 62 Norway................................. 4 5 5 6 5 17 12 13 13 16 Portugal................................. 10 6 5 10 13 10 14 18 14 15 Spain..................................... 59 55 47 48 24 77 78 72 73 81 Sweden................................... 38 29 31 35 34 32 27 27 25 40 Switzerland............................ 129 157 157 183 159 45 47 37 45 47 Turkey................................... 3 2 2 3 4 12 12 11 13 8 United Kingdom.................. 431 556 635 641 787 999 1,198 1,081 1,010 689 Yugoslavia............................ 1 2 1 1 2 18 19 15 17 17 Other Western Europe........ 21 19 21 21 11 12 11 12 9 9 Eastern Europe..................... 1 2 3 5 4 22 17 20 24 24 Tota 1.............................. 1,304 1,428 1,509 1,532 1,573 1,909 2,111 2,020 1,932 1,643 Canada....................................... 226 204 204 213 215 819 635 683 696 751 Latin America: Argentina.............................. 9 11 15 10 11 54 55 62 61 61 Brazil..................................... 18 13 14 17 19 86 97 100 107 120 Chile....................................... 10 8 9 11 11 41 42 37 42 48 Colombia............................... 7 6 5 6 6 33 36 37 37 37 Cuba...................................... * * * * * 1 1 1 1 1 17 24 21 28 22 146 143 135 149 156 Panama.................................. 4 8 5 5 5 19 19 19 18 18 Peru....................................... 12 10 6 6 4 30 34 37 29 36 Uruguay................................ 5 5 5 5 4 7 8 6 5 6 Venezuela.............................. 16 13 19 14 18 58 69 65 72 68 Other L.A. republics............ 43 27 28 35 37 90 92 102 97 100 Bahamas and Bermuda........ 31 46 57 89 144 66 84 159 139 121 Neth. Antilles and Surinam. 2 4 38 24 23 6 7 8 10 9 Other Latin America............ 4 5 6 5 6 17 25 19 23 29 Total.............................. 179 178 229 255 310 655 713 786 790 809 Asia: Hong Kong........................... 7 7 7 8 9 11 14 17 19 17 India....................................... 20 27 37 1 41 38 37 36 41 42 34 Indonesia............................... 5 5 7 7 9 12 11 17 14 21 Israel...................................... 14 15 17 21 24 36 34 23 21 23 Japan..................................... 143 132 114 135 144 255 297 311 314 323 Korea..................................... 2 1 2 1 1 28 27 50 29 42 Philippines............................. 9 6 7 7 7 40 32 33 32 30 Taiwan................................... 3 4 4 8 9 19 23 29 27 33 Thailand................................ 3 3 3 4 4 15 15 15 13 11 27 26 28 47 50 119 113 125 145 145 Total.............................. 233 227 227 282 296 574 602 662 657 678 Africa: Congo (Kinshasa)................ 2 3 14 15 2 4 4 5 4 3 South Africa......................... 14 19 19 24 34 30 28 35 29 30 U.A.R. (Egypt)..................... 7 1 2 2 1 9 9 10 11 9 Other Africa......................... 29 33 37 51 40 46 47 49 48 50 Total.............................. 52 56 72 90 78 88 87 99 92 92 Other countries: Australia............................... 61 65 70 75 75 61 65 85 71 80 All other............................... 7 6 6 5 7 10 13 14 15 15 Total.............................. 68 71 76 80 82 71 78 100 86 94 International and regional.... * * ♦ * * * 1 2 1 1 Grand total................... 2,063 2,166 2,317 2,453 2,555 4,117 4,227 4,350 4,253 4,068 Note.—Reported by exporters, importers, and industrial and com- Data exclude claims held through U.S. banks, and intercompany accounts mercial concerns and other nonbanking institutions in the United States. between U.S. companies and their foreign affiliates. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 90 INTL. CAPITAL TRANSACTIONS OF THE U.S. □ JULY 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 cu P fo r a r r y e i e n a n i b g c l n i e es Total P d a o y i l n l a a b r l s e D ba e n p k o s s i a ts b r w o i a t d h in reporter’s Other name 1966—Dec...................... 1,089 827 262 2,628 2,225 167 236 1967—Mar..................... 1,148 864 285 2,689 2,245 192 252 June..................... 1,203 916 287 2,585 2,110 199 275 Sept..................... 1,353 1,029 324 2,555 2,116 192 246 Dec...................... ( 1,371 1,027 343 2,946 2,529 201 216 Dec.1................... I 1,386 1,039 347 3,011 2,599 203 209 1968—Mar..................... 1,358 991 367 3,369 2,936 211 222 June..................... 1,473 1,056 417 3,855 3,415 210 229 Sept..................... 1,678 1,271 407 3,907 3,292 422 193 Dec...................... 1,608 1,225 382 3,783 3,173 368 241 1969—Mar..................... 1,576 1,185 391 4,014 3,329 358 327 June..................... 1,613 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.................. I 2,063 1,627 435 4,117 3,494 244 379 1970—Mar...................... 2,166 1,687 479 4,227 3,695 219 313 June.................... 2,317 1,801 516 4,350 3,765 234 351 Sept...................... 2,453 1,928 525 4,253 3,653 297 303 Dec....................... 2,555 2,123 433 4,068 3,485 234 349 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 Total liabilities Total K U in n g i d te o d m E O u t r h o e p r e Canada Brazil Mexico A O L m a t e h t r i e i n c r a Japan O A t s h i e a r Africa o A th l e l r 1966—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........................ ( 1,725 2,215 152 433 496 172 73 388 141 249 69 42 Dec.1..................... \ 2,246 2,332 152 443 537 174 77 417 142 269 75 46 1970—Mar........................ 2,307 2,714 159 735 549 178 74 455 158 286 71 47 June....................... 2,561 2,727 161 712 557 175 65 475 166 286 76 54 Sept........................ 2,746 2,856 157 720 597 177 63 584 144 283 73 58 Dec........................ 3,085 2,907 146 708 645 181 60 603 140 290 71 64 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

JULY 1971 □ MONEY RATES A 91 FOREIGN EXCHANGE RATES (In cents per unit of foreign currency) Australia Period Ar ( g p e e n so ti ) na (s A ch u i s ll t i r n ia g) B (f e r l a g n iu c m ) C (d a o n ll a a d r a ) ( C ru ey p l e o e n ) D ( e k n ro m n a e r ) k ( F m i a n r l k a k n a d ) (pound) (dollar) 1966............................................................. .48690 223.41 t111.22 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 2 29.553 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............................................................. 326.589 111.36 3.8659 2.0139 95.802 16.774 13.334 23.742 1970—June................................................ 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 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 24.835 112.42 3.8670 2.0145 99.367 16.792 13.368 23.722 24.673 112.38 3.8696 2.0144 99.237 16.792 13.353 23.727 24.156 112.42 5 3.9676 2.0164 99.138 16.792 13.334 23.735 23.602 112.43 4.0023 2.0109 97.913 16.792 13.342 23.735 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 i a e l n t d h d e ­ r s ) 1966............................................................. 20.352 25.007 616.596 279.30 .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............................................................. 7 19.302 8 25.491 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—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 Aue..•. .•. .•. ....................................................................................... 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 Mar.................................................. 18.129 27.538 13.304 241.87 .16063 .27971 32.616 8.0056 27.816 Apr................................................... 18.126 27.516 13.315 241.74 .16070 .27972 32.604 8.0056 27.776 May.................................................. 18.094 9 28.144 13.330 241.87 .16059 .27979 32.642 8.0056 928.135 June.................................................. 18.092 28.474 13.346 241.87 .16009 .27979 32.720 8.0066 28.065 Period (pou N n e d w ) Zeal ( a d n o d llar) 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 u n ic t d 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 ­ ) ( U p K d o n i o u n i m t n g e d d ­ ) 1966............................................................. 276.54 13.984 3.4825 139.13 1.6651 19.358 23.114 279.30 1967............................................................. 276.69 10131.97 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—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 Mar.................................................. 112.54 14.010 3.5019 140.56 1.4290 19.369 23.254 241.87 Apr................................................... 112.50 14.028 3.5000 140.51 1.4291 19.368 23.263 241.79 May.................................................. 112.54 13.556 3.5013 140.56 1.4291 19.357 H24.253 241.87 June.................................................. 112.55 14.062 3.5027 140.57 1.4290 19.370 24.409 241.87 1 Effective Feb. 14, 1966, Australia adopted the decimal currency 8 Effective Oct. 26, 1969, the new par value of the German mark was system. The new unit, the dollar, replaces the pound and consists of 100 set at 3.66 per U.S. dollar. cents, equivalent to 10 shillings or one-half the former pound. 9 Effective May 10, 1971, the German mark and Netherlands guilder 2 Effective Oct. 12, 1967, the Finnish markka was devalued from 3.2 have been floated. to 4.2 markkaa per U.S. dollar. 10 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. In five steps the peso was devalued to 4.40 per U.S. dollar cents, equivalent to 10 shillings or one-half the former pound. effective June 25, 1971. 11 Effective May 10, 1971, the Swiss franc was revalued to 4.08 per 4 On June 1, 1970, the Canadian Government announced that, for the U.S. dollar. time being, Canada will not maintain the exchange rate of the Canadian dollar within the margins required by IMF rules. Note.—After the devaluation of the pound sterling on Nov. 18,1967, 5 Effective May 9, 1971, the Austrian schilling was revalued to 24.75 the following countries devalued their currency in relation to the U.S. per U.S. dollar. dollar: Ceylon, Denmark, Ireland, New Zealand, and Spain. 6 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,” 7 Effective Aug. 10, 1969, the French franc was devalued from 4.94 to Section 15 of Supplement to Banking and Monetary Statistics, 1962. 5.55 francs per U.S. dollar. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 92 MONEY RATES □ JULY 1971 BANK RATES F (Per cent per annum) Changes during the last 12 months Rate as of June 30, 1970 Rate Country 1970 1971 as of June 30, Per Month 1971 cent effective July Aug. Sept. Oct. Nov. Dec. Jan. Feb. Mar. Apr. May June Argentina. 6.0 Dec. 1957 6.0 Austria.... 5.0 Jan. 1970 5.0 Belgium... 7.5 Sept. 1969 7.0 6.5 6.0 6.0 Brazil........ 20.0 July 1969 20.0 Burma. ... 4.0 Feb. 1962 4.0 Canada....... 7.0 June 1970 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 June 1966 4.0 Denmark... 9.0 May 1969 8.0 7.5 7.5 Ecuador.... 8.0 Jan. 1970 8.0 El Salvador. 4.0 Aug. 1964 4.0 Finland.... 7.0 Apr. 1962 8.50 8.50 France........ 8.0 Oct. 1969 7.5 7.0 6.5 6.75 6.75 Germany, Fed. Rep. of.. 7.5 Mar. 1970 7.0 6.5 6.0 5.0 5.0 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. 6.0 May 1969 6.0 6.0 Iran......... 8.0 Aug. 1969 8.0 Ireland... 7.31 May 1970 7.31 Israel.... 6.0 Feb. 1955 6.0 Italy.... 5.5 Mar. 1970 5.0 5.0 Jamaica. 6.0 May 1969 5.5 5.5 Japan... 6.25 Sept. 1969 6.0 5.75 5.5 5.5 Korea... . 24.0 Apr. 1970 23.0 23.0 Mexico.. . 4.5 June 1942 4.5 Netherlands... 6.0 Aug. 1969 5.5 5.5 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................... 3.5 Apr. 1970 3.75 3.75 South Africa............ 5.5 Aug. 1968 6.5 6.5 Spain........................ 6.5 Mar. 1970 6.25 6.0 6.0 Sweden....... 7.0 July 1969 6.5 6.0 6.0 Switzerland. 3.75 Sept. 1969 3.75 Taiwan........ , 10.8 May 1969 9.8 9.25 9.25 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. (Egypt). 5.0 May 1962 5.0 United Kingdom................ 7.0 Apr. 1970 6.0 6.0 Venezuela............................ 5.5 June 1969 5.0 5.0 Vietnam............................... 7.0 Mar. 1970 18.0 18.0 Note.—Rates shown are mainly those at which the central bank either Ecuador—5 per cent for special advances and for bank acceptances for discounts or makes advances against eligible commercial paper and/or agricultural purposes, 7 per cent for bank acceptances for industrial govt, securities for commercial banks or brokers. For countries with purposes, and 10 per cent for advances to cover shortages in legal reserves; more than one rate applicable to such discounts or advances, the rate Honduras—Rate shown is for advances only. shown is the one at which it is understood the central bank transacts Indonesia—Various rates depending on type of paper, collateral, com­ the largest proportion of its credit operations. Other rates for some modity involved, etc.; of these countries follow: Japan—Penalty rates (exceeding the basic rate shown) for borrowings Argentina—3 and 5 per cent for certain rural and industrial paper, de­ from the central bank in excess of an individual bank’s quota; pending on type of transaction; Peru—3.5, 5, and 7 per cent for small credits to agricultural or fish produc­ Brazil—8 per cent for secured paper and 4 per cent for certain agricultural tion, import substitution industries and manufacture of exports; 8 per paper; cent for other agricultural, industrial and mining paper; Chile—1 per cent for loans to consumer cooperatives and to handicraft Philippines—6 per cent for financing the production, importation, and dis­ and small- and medium-sized industries; 6 per cent for industrial trans­ tribution of rice and corn and 7.75 per cent for credits to enterprises en­ formation loans; 8 per cent for preshipment loans, agricultural paper gaged in export activities. Preferential rates are also granted on credits to and loans to firms following prescribed policies; 17 per cent for construc­ rural banks; and tion paper beyond a basic rediscount period, personal loans, special Venezuela—2 per cent for rediscounts of certain agriculture paper, 4 Vi rediscounts, and cash position loans; and 18 per cent for selective redis­ per cent for advances against government bonds, and 5 Vi per cent for counts. A fluctuating rate applies to paper covering the acquisition of rediscounts of certain industrial paper and on advances against promissory capital goods. notes or securities of first-class Venezuelan companies. Colombia—5 per cent for warehouse receipts covering approved lists of Vietnam—10 per cent for export paper; treasury bonds are rediscounted products, 6 and 7 per cent for agricultural bonds, and 12 and 18 per cent at a rate 4 percentage points above the rate carried by the bond; and for rediscounts in excess of an individual bank’s quota; there is a penalty rate of 24 per cent for banks whose loans exceed quan­ Costa Rica—5 per cent for paper related to commercial transactions titative ceilings. (rate shown is for agricultural and industrial paper); Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ MONEY RATES; ARBITRAGE A 93 OPEN MARKET RATES (Per cent per annum) Germany, Switzer­ Canada United Kingdom Fed. Rep. of Netherlands land Month 3 T m r b e o i a l n s ls t u , h r s y i D m a o d y n a - y e t y o 2 - 3 B a a m a c n n c o c k e n e p e s t r t h , ­ s s ’ 3 T 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 - a B l d l e o a p n w o o k n a s e n i r t c s s e ’ D m a o d y n a - e y t y o - 3 T 6 r d b e 0 a i a y l - 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 m r b e i a o l s l n s u t , r h y s D m a d o y a n - y e 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—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 Oct.. 5.25 5.24 8.06 6.81 5.93 5.00 7.82 6.75 7.43 6.00 6.89 5.25 Nov. 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 6.46 5.75 7.61 5.60 4.46 5.25 Feb.. 4.51 4.90 8.06 6.75 6.08 5.00 6.00 5.75 7.32 ‘ 5.05 5.41 5.25 Mar. 3.30 3.48 8.06 6.66 6.12 5.00 5.77 5.75 7.36 4.49 3.27 5.25 Apr., 3.04 2.65 7.06 5.75 5.15 4.00 4.75 4.23 3.59 1.13 5.25 May, 3.06 2.76 7.06 5.65 5.36 4.00 4.75 2.31 3.88 1.84 June, 3.05 2.70 6.74 5.60 4.71 4.25 5.25 1 Based on average yield of weekly tenders during month. 5 Monthly averages based on daily quotations. 2 3 B R a a s te ed s h o o n w w n e i e s k l o y n a p v r e i r v a a g t e e s s o ec f u d r a it i i l e y s . closing rates. Se N cti o o t n e .— 15 F o o f r S d u e p s p c l r e ip m t e io n n t a to n d B a b n a k c i k n g d a a n ta d , M se o e n e “ ta In ry te r S n ta at ti i s o t n ic a s l , 1 F 9 in 62 a . nce,’ 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 Date K U in n g i d te o d m Spread P d ( r i e + sc m ) o i u o u n r m t in ( c f N e a n v e t o t iv r e Canada Spread P d ( ( r i + e - sc m ) ) o i o u o u n n r m 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 d v f o o n r ) f ( p o - o r ) w u n a o r d n d Lon o d f on) qu A i o n t s ed q A uo U d t j . a . S ti . t o o n U S n ta i t t e e s d C ( a f n a 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) Canada basis 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 Mar. 5............. 6.70 3.28 3.42 -3.61 -.19 3.98 3.86 3.28 .58 -.88 -.30 12.............. 6.70 3.16 3.54 -3.34 .20 3.30 3.23 3.16 .07 -.18 -.11 19.............. 6.57 3.30 3.27 -3.20 .07 3.01 2.95 3.30 -.35 .38 .03 26.............. 6.57 3.32 3.25 -2.85 .40 3.05 2.99 3.32 -.33 .14 -.19 Apr. 2............ 5.64 3.58 2.06 -2.25 -.19 3.13 3.06 3.58 -.52 .32 -.20 9............ 5.67 3.78 1.89 -2.61 -.72 3.03 2.98 3.78 -.80 .40 -.40 16............ 5.70 3.82 1.88 -2.79 -.91 3.12 3.05 3.82 -.77 .52 -.25 23............ 5.58 3.70 1.88 -2.32 -.35 3.03 2.97 3.70 -.73 .93 .20 30............ 5.55 3.93 1.62 -2.13 -.51 3.01 2.95 3.93 -.98 .81 -.17 May 7.............. 5.55 3.74 1.81 -1.14 .67 3.15 3.08 3.74 -.66 1.67 .61 14.............. 5.52 3.98 1.54 -1.11 .43 3.05 2.99 3.98 -.99 1.31 .32 21.............. 5.52 4.28 1.24 -1.17 .07 2.95 2.89 4.28 -1.39 1.21 -.18 28.............. 5.66 4.26 1.40 -.91 .49 3.03 2.97 4.26 -1.29 1.17 -.12 June 4.............. 5.52 4.18 1.34 -1.06 .28 3.05 2.99 4.18 -1.19 1.30 .11 11.............. 5.53 4.56 .97 -1.16 -.19 3.06 3.00 4.56 -1.56 1.27 -.29 18.............. 5.53 4.81 .72 -.92 -.20 3.09 3.02 4.81 -1.79 1.56 -.23 25.............. 5.53 4.76 .77 -.87 -.10 3.19 3.12 4.76 -1.64 1.56 -.08 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 94 GOLD RESERVES □ JULY 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 S n ta i t t e e s d r m es a t t e o d f Algeria A t r i g n e a n­ t A ra u l s ia ­ A tr u ia s­ g B iu e m l­ Brazil Burma Canada Chile world i Fund world 1964......................... 43,015 2,179 15,471 25,365 6 71 226 600 1,451 92 84 1,026 43 1965......................... 243,230 31,869 13,806 27,285 6 66 223 700 1,558 63 84 1 151 44 1966......................... 43,185 2,652 13,235 27,300 6 84 224 701 1,525 45 84 1*046 45 1967......................... 41,600 2,682 12,065 26,855 155 84 231 701 1,480 45 84 1 015 45 1968.......................... 40,905 2,288 10,892 27,725 205 109 257 714 1,524 45 84 *863 46 41,015 2,310 26,8451969..2..0..5.............1.3..5.... 263 715 1,51210,859 45 84 872 47 1970—May.............. 2,529 11 900 205 140 269 713 1,520 45 84 880 47 2,544 11,889 26,73541,170205 140 270 714 1.520 45 84 880 48 July............... 2,547 11,934 205 140 269 714 1.520 45 84 880 48 2,652 11,817 205 140 269 714 1 ,518 45 63 880 47 41,180 2,825 11.494 26,860 205 140 282 714 1,530 45 63 880 47 2,902 11.495 205 140 283 714 1,528 45 63 880 47 Nov............... 3,224 11,478 205 140 283 714 1,528 45 63 880 47 41,285 4,339 11,072 25,875 191 140 239 714 1.470 45 63 791 47 1971 Jan................. 4,380 11,040 191 140 240 714 1.470 45 63 791 47 Feb................ 4,400 11,039 191 140 240 714 1,468 45 42 791 *41,260 4,404 10,963 *25,895 191 140 239 714 1,466 45 42 791 4,338 10,925 191 140 253 728 1,502 46 42 791 4,448 10,568 191 254 740 1,592 22 792 Ger­ E pe n r d i o o d f lo C m o b ­ ia m D a e r n k ­ l F a i n n d ­ France m F a e n d y . , Greece India 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— 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 64 45 3,537 4.081 119 243 148 151 26 45 2.983 530 Nov............... 18 64 45 3,533 4.081 117 243 131 144 16 43 2,981 532 Dec............... 17 64 29 3.532 3,980 117 243 131 144 16 43 2,887 532 1971—jan................. 17 64 29 3.532 3,979 114 243 131 144 16 43 2,886 532 Feb................ 17 64 29 3,531 3,978 99 243 131 144 16 43 2,885 534 Mar............... 16 64 29 3.527 3,977 99 243 131 144 16 43 2,884 539 Apr................ 16 64 29 3.527 4,029 99 243 131 143 16 43 2.884 636 May23 16 64 29 3,523 4,035 130 143 16 43 2.884 641 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 M c e o xi­ Mo co roc­ N la e n th d e s r­ N w o ay r­ P s a ta k n i­ Peru P p h i i n l 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 7 169 34 1,688 31 53 67 23 523 78 1965......................... 52 182 68 2 158 21 1,756 31 53 67 38 576 73 1966......................... 67 193 68 1 109 21 1,730 18 53 65 44 643 69 1967......................... 136 193 68 31 166 21 1,711 18 53 20 60 699 69 1968.......................... 122 288 85 66 165 21 1,697 24 54 20 62 856 119 1969.......................... 86 288 85 63 169 21 1,720 25 54 25 45 876 119 1970—May.............. 86 288 85 63 171 21 1.730 27 54 40 50 890 119 June........ 86 288 85 63 171 21 1.730 27 54 40 50 890 119 July............... 86 288 85 63 171 21 1,750 27 54 40 53 890 119 Aug............... 86 288 85 63 171 21 1,751 27 54 40 54 901 119 Sept............... 86 288 85 63 176 21 1,801 34 54 40 56 902 119 Oct................ 86 288 85 63 176 21 1,801 33 54 40 59 902 119 Nov............... 86 288 85 63 176 21 1,832 23 54 40 59 902 119 Dec............... 86 288 85 48 176 21 1,787 23 54 40 56 902 119 1971—jan................. 86 288 85 48 176 21 1,812 23 54 58 902 119 Feb................ 86 322 85 48 176 21 1,812 23 54 59 902 119 Mar............... 86 322 85 48 176 21 1,812 23 54 60 902 119 Apr................ 86 322 85 48 21 1,863 31 54 61 902 119 May*.. ... 87 322 85 1,867 32 54 902 119 For notes see end of table. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ GOLD RESERVES AND PRODUCTION A 95 GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued (In millions of dollars) Bank E pe n r d i o o d f A So fr u i t c h a Spain Sweden Sw la i n tz d er­ Taiwan T la h n a d i­ Turkey ( U E . g A y . p R t) . U K d n i o n it m g ed ­ U gu r a u y ­ V zu e e n l e a ­ Y sl u av g i o a ­ S I e f n t o t t r l l e . ­ ments 4 196 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 1969............ 1,115 784 226 2,642 82 92 117 93 1,471 165 403 51 -480 1970—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 1,457 165 404 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 1.454 165 404 52 -308 Nov.. 788 534 225 2.720 82 92 126 93 1,354 161 384 52 -305 Dec.. 666 498 200 2,732 82 92 126 85 1,349 162 384 52 -282 1971—Jan... 632 498 200 2.731 82 92 126 85 1,246 162 384 32 -173 Feb... 632 498 200 2.731 82 82 126 85 1,224 162 384 32 -173 Mar.. 634 498 200 2,806 82 82 127 85 1,123 162 384 32 -73 Apr.., 630 498 200 2,806 84 81 127 85 152 389 52 13 May35, 630 200 2,807 81 127 389 52 118 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 1 ­ A So fr u ic th a Ghana C s ( h K o a n i s n g a ­ o ) U St n a i t t e e s d C ad an 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 li s a ­ o A th l e l r 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 1969p........................... 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 1970—Apr................... 92.8 6.6 .5 .6 .3 1.8 1.7 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 1.6 Aug................... 96.3 2.2 6.3 .7 .3 1.6 Sept................ 96.2 2.2 6.6 .7 .3 1.6 Oct................... 96.6 6.9 .6 .3 1.7 Nov.................. 6.5 .6 .3 1.7 Dec................... 6.8 .5 .3 2.0 1971—jan................... 7.0 .4 1.7 Feb................... 6.6 .6 1.6 Mar.................. 6.7 Apr................... 6.5 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 96 BANKS AND THE MONETARY SYSTEM □ JULY 1971 CONSOLIDATED CONDITION STATEMENT (In millions of dollars) Assets Liabilities and caoital Bank credit Total assets, Gold Treas­ net— stock ury IJ.S. Treasury securitie£ Total Capital Date and cur­ liabil­ Total and SDR rency ities deposits misc. certifi­ out­ Loans, Com­ Other and and ac­ cates 1 stand­ Total net2,3 mercial Federal secu­ capital, currency counts, ing Total and Reserve Other4 rities 3 net net savings Banks 1960—Dec. 31___ 17,767 5,398 266,782 144,704 95,461 67,242 27,384 835 26,617 289,947 263,165 26,783 1964—Dec. 31___ 15,388 5,405 365,366 214,254 106,825 68,779 37,044 1,002 44,287 386,159 352,964 33,193 1965—Dec. 31___ 13,733 5,575 399,799 242,706 106,716 65,016 40,768 932 50,357 419,087 383,727 35,359 1966—Dec. 31___ 13,159 6,317 422,676 261,459 106,472 60,916 44,316 1,240 54,745 442,152 400,999 41,150 1967—Dec. 30___ 11,982 6,784 468,943 282,040 117,064 66,752 49,112 1,200 69,839 487,709 444,043 43,670 1968—Dec. 31___ 10,367 6,795 514,427 311,334 121,273 68,285 52,937 51 81,820 531,589 484,212 47,379 1969—June 30 5... 10,367 6,736 522,058 326,725 111,793 57,667 54,095 31 83,540 539,162 470,457 68,705 Dec. 31___ 10,367 6,849 532,663 335,127 115,129 57,952 57,154 23 82,407 549,884 485,545 64,339 1970—Jan. 28.... 11,600 6,900 517,100 323,600 111,900 56,300 55,600 81,600 535,500 468,600 67,000 Feb. 25.... 11,700 6,900 515,500 323,200 110,400 54,700 55,700 81,900 534,100 466,200 67,900 Mar. 25.... 11,800 6,900 519,800 325,300 110,400 54,800 55,600 84,100 538,400 472,100 66,300 Apr. 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 7,100 554,500 341,400 119,700 60,400 59,300 93,400 573,100 505,500 67,600 Nov. 25.... 11,500 7,100 559,300 341,600 122,600 61,500 61,100 95,100 578,000 510,400 67,600 Dec. 31.... 11,132 7,149 580,899 354,447 127,207 64,814 62,142 251 99,245 599,180 535,157 64,020 DETAILS OF DEPOSITS AND CURRENCY Money supply Related deposits (not seasonally adjusted) Seasonally adjusted 6 Not seasonally adjusted Time U.S.Government Date For­ At Cur­ De­ Cur­ De­ Postal eign Treas­ com­ rency mand rency mand Com­ Mutual Savings net 9 ury mer­ At Total outside deposits Total outside deposits Total mercial savings Sys­ cash cial F.R. banks ad­ banks ad­ banks 2 banks 8 tem 4 hold­ and Banks justed 7 justed 7 ings savings banks 1960—Dec. 31.... 139,200 28,200 111,000 144,458 29,356 115,102 108,468 71,380 36,318 770 3,184 377 6,193 485 1964—Dec. 31 .... 159,300 33,500 125,800 167,140 34,882 132,258 175,898 126,447 49,065 386 1,724 612 6,770 820 1965—Dec. 31.... 167,100 35,400 131,700 175,314 36,999 138,315 199,427 146,433 52,686 309 1,780 760 5,778 668 1966—Dec. 31.... 170,400 37,600 132,800 178,304 39,003 139,301 213,961 158,568 55,271 122 1,904 1,176 5,238 416 1967—Dec. 30.... 181,500 39,600 141,900 191,232 41,071 150,161 242,657 182,243 60,414 2,179 1,344 5,508 1,123 1968—Dec. 31.... 199,600 42,600 157,000 207,347 43,527 163,820 267,627 202,786 64,841 2,455 695 5,385 703 1969—June 30 5... 195,300 43,700 151,600 193,996 44,478 149,518 266,171 199,516 66,655 2,402 633 5,997 1,258 Dec. 31.... 206,800 45,400 161,400 214,689 46,358 168,331 260,992 193,533 67,459 2,683 596 5,273 1,312 1970—Jan. 28... 196,400 45,300 151,100 198,900 44,700 154,300 258,700 191,600 67,100 2,500 600 6,500 1,300 Feb. 25... 195,000 45,300 149,700 194,100 44,800 149,300 260,400 193,000 67,400 2,600 600 7,600 900 Mar. 25... 200,000 45,900 154,100 196,900 45,400 151,600 264,100 196,200 68,000 2,700 600 6,300 1,500 Apr. 29. . . 198,400 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. 28... 201,800 47,400 154,400 202,500 47,300 155,300 292,100 221,900 70,200 2,600 500 6,600 1,300 Nov. 25... 202,300 47,600 154,700 205,500 48,900 156,600 294,900 224,400 70,500 2,500 500 6,200 800 Dec. 31... 209,400 47,800 161,600 219,422 49,779 169,643 302,591 230,622 71,969 3,148 431 8,409 1,156 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-32. million to demand deposits). 3 See note 2 on p. A-23. 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

JULY 1971 □ COMMERCIAL BANKS A 97 PRINCIPAL ASSETS AND LIABILITIES AND NUMBER, BY CLASS OF BANK (Amounts in millions of dollars) Loans and investments Deposits Total assets— Securities Total Interbank 3 Other Total Num­ Cash lia­ Bor­ capital ber Class of bank assets3 bilities row­ ac­ of and date Total Loans and Total 3 Demand ings counts banks i} 2 U.S. capital De­ Treas­ Other 2 ac­ mand Time Time 1 ury counts4 U.S. Govt. Other All commercial banks: 1960—Dec. 31___ 199,509 117,642 61,003 20,864 52,150257,552229,843 17,079 1,799 5,945 133,379 71,641 163 20,986 13,472 1964—Dec. 31___ 277,376 175,589 62,991 38,796 60,489346,921 307,170 17,938 819 6,510 155,184126,720 2,679 27,795 13,761 1965—Dec. 31___ 306,060201,658 59,547 44,855 60,899377,264332,436 18,426 1,008 5,525 160,780146,697 4,472 30,272 13,804 1966—Dec. 31___ 322,661 217,726 56,163 48,772 69,119403,368352,287 19,770 967 4,992 167,751 158,806 4,859 32,054 13,767 1967—Dec. 30___ 359,903235,954 62,473 61,477 77,928451,012395,008 21,883 1,314 5,234 184,066182,5111 5,777 34,384 13,722 1968—Dec. 31___ 401,262 165,259 64,466 71,537 83,752500,657434,023 24,747 1,211 5,010199,901203,154 8,899 37,006 13,679 1969—June 30 5... 410,279283,850 54,044 72,385 88,209516,752425,363 25,187 882 5,639 193,787199,868 14,740 38,823 13,673 Dec. 31___ 421,597295,547 54,709 71,341 89,984530,665435,577 27,174 735 5,054208,870 193,744 18,360 39,978 13,661 1970—Jan. 28___ 410,980287,330 52,960 70,600 77,400506,770406,380 21,550 620 6,320 186,130191,760 22,620 40,030 13,662 Feb. 25___ 408,890286,680 51,400 70,810 78,900506,780406,390 22,230 620 7,380 182,940193,220 22,620 40,230 13,665 Mar. 25___ 412,410288,230 51,520 72,660 76,360508,420407,980 21,810 580 6,140 183,090 196,360 22,840 40,370 13,664 Apr. 29___ 417,170290,550 52,330 74,290 78,410515,650413,780 21,600 660 6,230 185,620199,670 23,530 40,590 13,665 May 27___ 417,340290,370 52,640 74,330 78,930516,630413,720 22,180 690 5,960 183,740201,150 23,080 40,850 13,665 June 30___ 423,240296,091 51,569 75,579 85,631 529,679432,429 26,338 898 8,076 192,999204,118 18,546 41,708 13,671 July 29___ 425,530296,330 53,510 75,690 74,930520,800422,740 22,440 1,350 7,170181,540210,240 19,850 41,510 13,671 Aug. 26___ 430,080297,900 55,050 77,130 78,820529,640429,680 22,890 1,630 8,270 182,520214,370 20,160 41,720 13,675 Sept. 30___ 436,790301,530 55,750 79,510 85,760543,900447,320 26,480 1,710 8,470190,810219,850 18,170 42,040 13,678 Oct. 28___ 439,590301,460 57,180 80,950 78,310539,190440,030 24,780 1,740 6,250 185,030222,230 20,200 42,080 13,684 Nov. 25___ 442,970302,160 58,280 82,530 82,400546,950446,170 24,680 1,740 5,840 189,080224,830 21,680 42,270 13,687 Dec. 31___ 461,194313,334 61,742 86,118 93,643 576,242480,940 30,608 1,975 7,938209,335231,084 19,375 42,958 13,686 Members of F.R. System: I960—Dec. 31___ 165,619 99,933 49,106 16,579 45,756216,577193,029 16,436 1,639 5,287 112,393 57,272 130 17,398 6,174 1964—Dec. 31___ 228,497 147,690 48,717 32,089 52,737289,142255,724 17,007 664 5,838 128,539 103,676 2,481 22,901 6,225 1965—Dec. 31___ 251,577 169,800 44,992 36,785 52,814313,384275,517 17,454 840 4,890 132,131 120,202 4,234 24,926 6,221 1966—Dec. 31___ 263,687 182,802 41,924 38,960 60,738334,559291,063 18,788 794 4,432 138,218 128,831 4,618 26,278 6,150 1967—Dec. 30___ 293,120196,849 46,956 49,315 68,946373,584326,033 20,811 1,169 4,631 151,980147,442 5,370 28,098 6,071 1968—Dec. 31___ 325,086220,285 47,881 56,920 73,756412,541 355,414 23,519 1,061 4,309 163,920162,605 8,458 30,060 5,978 1969—June 30 5... 329,707233,960 39,382 56,364 78,615424,278344,466 24,097 722 4,874 158,287156,485 13,999 31,317 5,936 Dec. 31___ 336,738242,119 39,833 54,785 79,034432,270349,883 25,841 609 4,114 169,750149,569 17,395 32,047 5,869 1970—Jan. 28___ 327,368234,860 38,328 54,180 68,449411,828324,605 20,560 497 5,420 150,363 147,765 21,263 32,078 5,853 Feb. 25___ 325,777234,213 37,110 54,454 69,806412,036324,937 21,244 496 6,429 147,932 148,836 21,238 32,242 5,850 Mar. 25___ 328,556235,138 37,340 56,078 67,594413,148326,028 20,845 454 5,100148,270151,359 21,582 32,343 5,839 Apr. 29___ 332,097236,436 38,192 57,469 69,174418,597330,136 20,608 531 5,251 149,940153,806 22,376 32,528 5,828 May 27___ 331,389235,805 38,259 57,325 69,710418,609329,541 21,183 567 4,914 148,414154,463 21,749 32,733 5,816 June 30___ 335,551240,100 37,324 58,127 75,539428,975345,514 25,122 691 6,957 155,916156,829 17,507 33,184 5,803 July 29___ 337,377240,309 38,950 58,118 65,971 420,844336,818 21,371 1,139 6,181 146,003 162,124 18,675 33,047 5,795 Aug. 26___ 341,096241,594 40,305 59,197 69,769428,607342,995 21,825 1,423 7,054 146,996 165,697 19,059 33,223 5,785 Sept. 30___ 346,643244,769 40,779 61,095 75,853440,724358,433 25,339 1,500 7,258 153,951 170,385 17,169 33,479 5,784 Oct. 28___ 348,424244,377 41,872 62,175 68,978435,498350,996 23,643 1,535 5,169 148,472172,177 19,021 33,481 5,781 Nov. 25___ 350,746244,442 42,661 63,643 72,422441,486355,566 23,516 1,535 4,855 151,385174,275 20,538 33,629 5,773 Dec. 31___ 365,940253,936 45,399 66,604 81,500465,644384,596 29,142 1,733 6,460 168,032179,229 18,578 34,100 5,766 Reserve city member:6 New York City: 1960—Dec. 31----- 27,726 18,465 6,980 2,282 10,301 39,767 33,761 5,289 1,216 1,217 21,833 4,206 3,554 15 1964—Dec. 31___ 39,507 27,301 6,178 6,028 11,820 53,867 45,191 5,088 436 1,486 23,896 14,285 1,224 4,471 13 1965—Dec. 31___ 44,763 33,125 5,203 6,435 11,876 59,517 49,270 5,225 522 1,271 24,265 17,988 1,987 5,114 12 1966—Dec. 31___ 46,536 35,941 4,920 5,674 14,869 64,424 51,873 6,370 467 1,016 26,535 17,449 1,874 5,298 12 1967—Dec. 30___ 52,141 39,059 6,027 7,055 18,797 74,609 60,407 7,238 741 1,084 31,282 20,062 1,880 5,715 12 1968—Dec. 31___ 57,047 42,968 5,984 8,094 19,948 81,364 63,900 8,964 622 888 33,351 20,076 2,733 6,137 12 1969—June 30 5... 57,885 46,232 4,445 7,208 26,223 89,283 62,534 11,233 405 983 34,453 15,460 3,671 6,283 12 Dec. 31___ 60,333 48,305 5,048 6,980 22,349 87,753 62,381 10,349 268 693 36,126 14,944 4,405 6,301 12 1970—Jan. 28___ 57,069 45,722 4,794 6,553 20,535 82,673 56,240 8,697 236 1,140 31,730 14,437 4,930 6,248 12 Feb. 25___ 56,568 45,523 4,319 6,726 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 15,280 5,756 6,290 12 May 27___ 57,288 44,819 4,981 7,488 22,007 84,604 57,147 9,356 280 882 31,742 14,887 5,821 6,335 12 June 30___ 57,088 44,881 4,413 7,795 23,070 85,666 60,615 11,148 321 1,236 32,590 15,320 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 28,927 16,840 4,855 6,340 12 Aug. 26___ 58,468 45,208 5,458 7,802 20,982 84,893 58,959 9,668 729 1,214 29,943 17,405 5,243 6,405 12 Sept. 30___ 59,484 46,265 5,144 8,075 23,057 88,026 64,019 12,161 719 1,355 31,072 18,712 4,184 6,439 12 Oct. 28___ 59,215 45,990 5,337 7,888 19,175 83,785 59,297 10,738 776 658 28,024 19,101 5,038 6,385 12 Nov. 25___ 59,657 45,717 5,463 8,477 20,151 85,368 59,654 10,276 814 749 28,552 19,263 6,224 6,424 12 Dec. 31___ 62,347 47,161 6,009 9,177 21,715 89,384 67,186 12,508 956 1,039 32,235 20,448 4,500 6,486 12 For notes see p. A-99. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 98 COMMERCIAL BANKS □ JULY 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 Interbank 3 Other Total Num­ Cash lia­ Bor­ capital ber Class of bank assets3 bilities row­ ac­ of and date Total Loans and Total 3 Demand ings counts banks l, 2 U.S. capital De­ Treas­ Other 2 ac­ mand Time Time 1 ury counts4 U.S. Govt. Other Reserve city member: (cont.): City of Chicago:6, 7 1960—Dec. 31___ 7,050 4,485 1,882 683 2,046 9,219 8,197 1,380 61 327 4,899 1,530 35 822 10 1964—Dec. 31___ 10,562 7,102 1,873 1,578 2,366 13,289 11,807 1,448 22 396 5,362 4,578 204 1,056 12 1965—Dec. 31___ 11,455 8,219 1,700 1,536 2,426 14,290 12,475 1,437 39 345 5,656 4,999 355 1,132 11 1966—Dec. 31___ 11,802 8,756 1,545 1,502 2,638 14,935 12,673 1,433 25 310 6,008 4,898 484 1,199 11 1967—Dec. 30___ 12,744 9,223 1,574 1,947 2,947 16,296 13,985 1,434 21 267 6,250 6,013 383 1,346 10 1968—Dec. 31___ 14,274 10,286 1,863 2,125 3,008 18,099 14,526 1,535 21 257 6,542 6,171 682 1,433 9 1969—June 30 5... 14,321 10,573 1,616 2,132 2,716 17,869 13,035 1,368 25 274 6,192 5,176 1,230 1,492 9 Dec. 31___ 14,365 10,771 1,564 2,030 2,802 17,927 13,264 1,677 15 175 6,770 4,626 1,290 1,517 9 1970—Jan. 28___ 13,684 10,376 1,351 1,957 2,858 17,287 12,024 1,205 32 336 5,903 4,548 1,783 1,520 9 Feb. 25___ 14,102 10,388 1,578 2,136 3,039 17,966 12,205 1,280 42 442 5,831 4,610 2,297 1,522 9 Mar. 25___ 14,258 10,451 1,571 2,236 2,701 17,923 12,002 1,232 41 258 5,762 4,709 2,425 1,530 9 Apr. 29___ 14,522 10,530 1,688 2,304 2,760 18,154 12,299 1,234 41 233 5,999 4,792 2,503 1,535 9 May 27___ 14,178 10,341 1,616 2,221 2,658 17,736 12,218 1,265 41 232 5,952 4,728 2,233 1,550 9 June 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. 31___ 15,745 11,214 2,105 2,427 3,074 19,892 15,041 1,930 49 282 6,663 6,117 1,851 1,586 9 Other reserve city:6, 7 1960—Dec. 31___ 62,953 40,002 17,396 5,554 18,668 83,464 75,067 7,989 326 1,960 42,267 22,525 73 6,423 217 1964—Dec. 31___ 84,670 57,555 16,326 10,789 21,607 109,053 97,145 8,289 134 2,195 46,883 39,645 841 8,488 182 1965—Dec. 31___ 91,997 65,117 14,354 12,526 21,147 116,350 103,034 8,422 206 1,773 47,092 45,541 1,548 9,007 171 1966—Dec. 31___ 95,831 69,464 13,040 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—June 30 s. . . 119,789 88,582 11,635 19,572 27,265 152,827 125,157 9,028 159 2,171 54,079 59,721 7,311 11,166 159 Dec. 31___ 121,324 90,896 11,944 18,484 29,954 157,512 126,232 10,663 242 1,574 58,923 54,829 9,881 11,464 157 1970—Jan. 28___ 118,177 88,298 11,255 18,624 24,714 148,856 115,408 8,327 143 2,350 50,625 53,963 11,846 11,505 158 Feb. 25___ 117,265 87,839 10,775 18,651 24,467 147,785 115,117 8,231 152 2,823 49,823 54,088 11,104 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. 31___ 133,718 96,158 14,700 22,860 31,263 171,733 140,518 11,317 592 2,547 59,328 66,734 10,391 12,221 156 Country member:; 6 7 1960—Dec. 31____ 67,890 36,981 22,848 8,060 14,740 84,126 76,004 1,778 37 1,783 43,395 29,011 23 6,599 5,932 1964—Dec. 31___ 93,759 55,733 24,341 13,685 16,944 112,932 101,581 2,182 71 1,760 52,398 45,169 213 8,886 6,018 1965—Dec. 31___ 103,362 63,338 23,735 16,288 17,366 123,227110,738 2,371 74 1,501 55,118 51,675 343 9,673 6,027 1966—Dec. 31___ 109,518 68,641 22,419 18,458 19,004 131,338 117,749 2,392 69 1,474 56,672 57,144 308 10,309 5,958 1967—Dec. 30___ 122,511 74,995 24,689 22,826 20,334 146,052 131,156 2,766 96 1,564 61,161 65,569 552 11,005 5,886 1968—Dec. 31___ 134,759 83,397 24,998 26,364 22,664 161,122 144,682 2,839 111 1,281 66,578 73,873 804 11,807 5,796 1969—June 30 s. .. 137,711 88,573 21,686 27,452 22,410 164,299 143,739 2,515 86 1,448 63,562 76,129 1,787 12,376 5,756 Dec. 31___ 140,715 92,147 21,278 27,291 23,928 169,078 148,007 3,152 84 1,671 67,930 75,170 1,820 12,766 5,691 1970—Jan. 28___ 138,438 90,464 20,928 27,046 20,342 163,012 140,933 2,331 86 1,594 62,105 74,817 2,704 12,805 5,674 Feb. 25___ 137,842 90,463 20,438 26,941 20,492 162,686 140,364 2,340 86 1,680 60,781 75,477 2,769 12,867 5,671 Mar. 25___ 139,131 91,537 20,283 27,311 19,812 163,496 141,187 2,271 86 1,850 60,449 76,531 2,510 12,930 5,660 Apr. 29___ 140,326 92,501 20,115 27,710 20,594 165,624 143,183 2,334 86 1,746 61,519 77,498 2,303 12,988 5,649 May 27___ 140,921 92,612 20,375 27,934 20,652 166,453 143,231 2,349 86 1,855 60,730 78,211 2,670 13,068 5,638 June 30___ 142,603 94,081 19,999 28,522 22,741 170,129 147,960 2,763 81 2,259 63,907 78,951 2,164 13,377 5,626 July 29___ 143,314 94,149 20,455 28,710 20,667 168,633 146,110 2,438 84 1,993 61,266 80,329 2,354 13,280 5,618 Aug. 26___ 144,654 94,638 20,710 29,306 20,868 170,429 147,449 2,411 84 2,449 61,243 81,252 2,202 13,334 5,608 Sept. 30----- 146,519 95,398 21,030 30,091 22,640 174,262 151,404 2,591 84 2,441 63,723 82,565 2,007 13,438 5,607 Oct. 28___ 147,728 95,679 21,311 30,738 21,606 174,556151,062 2,572 81 2,123 62,818 83,468 2,350 13,499 5,604 Nov. 25___ 149,070 96,503 21,570 30,997 22,516 176,920153,125 2,652 81 1,879 64,353 84,160 2,273 13,572 5,596 Dec. 31___ 154,130 99,404 22,586 32,140 25,448 184,635 161,850 3,387 135 2,592 69,806 85,930 1,836 13,807 5,589 For notes see p. A-99. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

JULY 1971 □ COMMERCIAL BANKS A 99 Notes to pp. A-97—A-98. 1 Beginning with data for June 30, 1966, about $1.1 billion in “De­ 7 Beginning Jan. 4, 1968, a country bank with deposits of $321 million posits accumulated for payment of personal loans” were excluded from was reclassified as a reserve city bank. Beginning Feb. 29, 1968, a reserve “Time deposits” and deducted from “Loans” at all commercial banks. city bank in Chicago with total deposits of $190 million was reclassified These changes resulted from a change in Federal Reserve regulations. as a country bank. Amounts of these hypothecated deposits for June and December call dates appear regularly in the Bulletin in the table Deposits Accumulated for Payment of Personal Loans (p. A-32 of this issue). Note : Data are for all commercial banks in the United States (including 2 Beginning June 30, 1966, loans to farmers directly guaranteed by Alaska and Hawaii). Commercial banks represent all commercial banks, CCC were reclassified as securities, and Export-Import Bank portfolio both member and nonmember; stock savings banks; and nondeposit fund participations were reclassified from loans to securities. This re­ trust companies. duced “Total loans” and increased “Other securities” by about $1 billion. For the years before June 1962 member banks include mutual savings “Total loans” include Federal funds sold, and beginning with June 1967 banks as follows: three before Jan. 1960; two through Dec. 1960, and one securities purchased under resale agreements. through June 1962. Those banks are not included in insured commercial 3 Reciprocal balances excluded beginning with 1942. banks. 4 Includes items not shown separately. See also note 1. Beginning June 30, 1969, commercial banks and member banks exclude 5 Figure takes into account the following changes beginning June 30, a small national bank in the Virgin Islands; also, member banks exclude a 1969: (1) inclusion of consolidated reports (including figures for all bank- small member bank engaged exclusively in trust business. premises subsidiaries and other significant majority-owned domestic Comparability of figures for classes of banks is affected somewhat by subsidiaries) and (2) reporting of figures for total loans and for individual changes in F.R. membership, the reserve classifications of cities and categories of securities on a gross basis—that is, before deduction of individual banks, and by mergers, etc. valuation reserves—rather than net as previously reported. Figures are partly estimated except on call dates. 6 Regarding reclassification as a reserve city, see Aug. 1962 Bulletin, For revisions in series before Dec. 31, 1960, see earlier Bulletins. p. 993. For various changes between reserve city and country status in 1960-63, see note 6, p. 587, May 1964 Bulletin. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OPERATING RATIOS BY SIZE OF BANK AND BY RATIO OF TIME TO TOTAL DEPOSITS (Averages of individual ratios expressed as percentages) Size group—Total deposits Ratio of time deposits to (in thousands of dollars) total deposits (per cent) All groups 5,000 5,000- 10,GOO- 25,000- 50,000- 100,000- Over Under 60 and and 10,000 25, 000 50,000 100,000 500,000 500,000 40 40-49 50-59 over under Summary ratios: Pe I r n c c e o n m ta e g e a f o t f e r e q ta u x it e y s c a a n p d i t b a e l f p o lu re s s a e l c l u r r e i s ti e e r s v e g s a : ins (losses)1 10.83 9.50 10.64 11.29 11.57 11.34 11.27 11.49 11.01 11.11 11.16 10.25 Net income...................................................................... 10.99 9.71 10.86 11.41 11.68 11.69 11.16 11.19 11.16 11.32 11.29 10.38 Pe C rc a e s n h t a d g i e v i o de f n n d e s t p in a c i o d m ... e .. : ................................................... 28.57 24.60 25.79 28.21 31.33 33.48 38.68 45.91 32.60 28.60 26.91 28.20 Sources and disposition of income: Pe T rc o e t n a t l a o g p e e o ra f t t in o g ta l e x a p ss e e n t s s e : s.................................................. 4.97 4.88 4.97 4.97 5.04 5.07 5.02 4.97 4.43 4.94 5.11 5.12 Salaries, wages, and fringe benefits........................... 1.44 1.63 1.45 1.34 1.39 1.40 1.47 1.41 1.73 1.55 1.45 1.23 Interest on time and savings deposits......................... 2.15 1.90 2.18 2.29 2.25 2.24 1.97 1.71 1.13 1.87 2.27 2.73 Occupancy expense of bank premises, net............... .20 .18 .19 .20 .22 .23 .24 .22 .23 .22 .21 .17 All other operating expenses...................................... 1.18 1.17 1.15 1.14 1.18 1.20 1.34 1.63 1.34 1.30 1.18 .99 Total operating income.................................................. 6.29 6.22 6.30 6.28 6.36 6.34 6.37 6.35 6.08 6.33 6.41 6.26 Income after taxes and before securities gains (losses)1 .94 .95 .94 .93 .94 .92 .94 .92 1.11 .97 .94 .83 Net income...................................................................... .95 .97 .96 .94 .95 .94 .93 .90 1.12 .99 .95 .84 Pe I r n c t e e n r t e a s g t, e f o ee f s t , o a ta n l d o o p t e h r e a r ti n lo g a n in i c n o c m o e m : e2.................................. 64.80 61.45 63.99 65.31 66.34 67.14 68.61 71.40 62.61 64.68 64.78 65.96 Securities—Interest and dividends:3 O U t .S he . r T U re . a S s . u G ry o s v e t, c u se ri c t u ie r s it . i . e .. s .. . ( . a .. g .. e .. n .. c .. i . e .. s . . a .. n .. d .. .. c . o ... r . p .. o .. r .. a .. t . i . o .. n .. s .. ) . . 1 4 4 . . 0 9 3 6 2 5 1 . . 4 3 7 3 1 4 6 . . 6 3 0 2 1 3 3 . . 7 8 7 9 1 3 1 . . 4 3 7 2 1 2 0 . . 8 8 7 2 8 1. . 7 8 1 3 6. .7 5 5 0 1 3 5 . . 4 9 8 4 1 3 4 . . 5 51 9 1 4 4 . . 0 6 1 4 1 4 5 . . 6 0 2 8 (S O A er l b v l l i i o c g e t a h t c e i h o r a n s r s e g c o e u s f r S o it n t i a e d t s e e . s . p . . o a .. n s .. i d . t . . a . p . c . o . c . l . o i . t . u i . c . n . a . t . l s . . 4 s .. ) u .. b . . . . d . . . . i . . . v . . . . i . . . s . . i . . o . . . . . n . . . . s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ( 7 4 . . . 7 4 3 1 1 9) ( 4 4 . . . 5 5 0 0 0 9) ( 7 4 . . . 3 3 5 9 9 9) ( 8 4 . . . 8 3 6 3 9 7) ( 9 4 . . . 3 4 5 9 0 9) ( 9 3 . . . 1 3 9 1 9 9) ( 8 3 . . . 7 3 5 1 9 9 ) ( 7 2 . . . 5 3 6 8 5 9) ( 7 5 . . . 5 3 0 0 4 8) ( 7 5 . . . 5 3 2 5 4 1) ( 7 4 . . . 9 3 6 9 5 3) ( 7 3 . . . 6 5 2 7 6 6) A (T H r u o s th t e d r e p o a p r e t r m a e ti n n t g i n in c c o o m m e e 4 . ) .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ( 8 2 . . 0 0 9 7) ( 6 1 . . 7 4 5 7) ( 7 1 . . 3 0 1 9) ( 7 1 . . 8 1 1 2) ( 9 1 . . 0 9 8 8) ( 9 2 . . 6 4 7 2) 1 (3 1. . 7 5 5 6) 1 (4 3 . .4 8 2 0) 1 (3 0. . 1 5 3 4) ( 9 2 . . 3 1 3 8) ( 8 1 . . 2 8 3 6) ( 6 1 . . 1 3 1 1) Total operating income. 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 O Sa f l f a ic r e ie r s a a n n d d e m wa p g lo e y s e .. e .. . b .. e .. n .. e .. f . i . t .. s . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2 0 . . 5 38 4 2 2 4 . . 1 2 8 2 2 2 0 . . 4 4 5 7 1 2 8 . . 5 8 1 9 1 2 9 . . 8 0 1 8 1 2 9 . . 8 0 3 7 1 3 9 . . 1 8 5 2 1 3 8 . . 2 8 9 2 25 3 . . 5 0 2 0 2 2 1 . .7 6 3 4 2 2 0 . . 5 0 1 2 1 2 7 . . 2 3 8 0 Int T B e i r o m e r s r e t o w o an n e d d : s m av o i n n e g y s .. d .. e .. p .. o .. s .. i . t . s .. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34. . 5 6 6 7 30. .1 8 2 0 35 . . 1 1 9 0 36. . 8 33 3 35. . 8 5 8 8 35 1 . . 6 3 7 2 3 3 1 . . 3 0 9 6 2 8 7 . . 4 0 8 4 1 1 8 . . 5 7 6 7 29. .8 9 5 7 35. • 9 5 1 Q 44. . 0 3 5 0 P O A r c l o l c ( v C o u i t p a s h i a p o e n i r n t c a o y f l o p n e e r x o r l p t a o e e t s a i n n n a s g e n l o d e o s x f d s p e e b e b s a n . e n . s n . k e .. t s . u . p . . . r . r . . e . e . . s . m . . . 4 . . . . i ) . . s . . . . e . . . . . s . . . . . , . . . . . . . n . . . . . . . e . . . . . . . t . . . . 1 ( 2 3 1 5 . . . . 2 3 0 1 9 8 0 5) 1 ( 2 3 1 5 . . . . 6 2 0 6 5 2 2 8) 1 ( 2 3 1 4 . . . . 6 1 7 2 1 1 2 2 ) 1 ( 2 3 1 5 . . . . 1 3 0 1 7 3 0 5) 1 ( 3 1 1 5 . . . . 5 8 4 1 9 7 4 8) 1 ( 3 1 1 5 . . . . 7 8 2 1 2 9 4 5) 1 ( 3 1 1 5 . . . . 7 9 6 0 7 4 0 8) 1 3 1 5 (. . . . 7 9 5 1 5 0 4 9 ) 1 ( 2 3 1 7 . . . . 6 8 0 2 9 9 9 1) 1 ( 2 3 1 6 . . . . 6 6 3 1 6 3 6 3) 1 ( 2 3 5 1 . . . . 2 3 0 1 9 0 6 6) 1 ( 2 1 1 3 . . . . 8 8 2 1 0 4 4 3) Total operating expenses1 78.82 78.21 78.65 79.06 79.25 19.1 A 78.73 78.02 72.52 77.84 79.59 81.81 Income before taxes and securities gains (losses)......... 21.18 21.79 21.35 20.94 20.75 20.26 21.27 21.98 27.48 22.16 20.41 18.19 Income after taxes and before securities gains (losses). 15.38 16.02 15.48 15.21 15.18 14.81 15.01 14.82 18.89 15.91 15.06 13.64 Net securities gains or losses (—), after taxes.............. .05 .04 .08 .04 -.02 .17 -.13 -.34 .04 .07 .01 All other income (net).................................................... -.07 .02 .05 .17 .03 -.05 .04 .02 -.03 .02 Net income1. 15.43 15.99 15.58 15.25 15.21 15.15 14.91 14.43 18.93 15.97 15.10 13.67 A 100 MEMBER BANKS, 1970 □JULY 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Rates of return (per cent): On securities—Interest and dividends:3 1 U.S. Treasury securities.................................................................. 5.66 5.80 5.72 5.59 5.63 5.54 5.49 5.56 5.76 5.68 5.66 5.59 Other U.S. Govt, securities (agencies and corporations).............. 4.83 4.23 4.64 4.90 5.10 5.35 6.11 5.10 4.41 4.97 4.82 4.96 Obligations of States and political subdivisions............................ 4.11 4.08 4.10 4.12 4.16 4.06 4.10 4.24 4.08 4.11 4.12 4.10 All other securities.......................................................................... 5.82 5.66 5.68 5.81 6.09 5.99 6.11 6.02 5.66 5.75 5.85 5.92 On loans:2 Interest, fees, and other loan income............................................. 8.34 8.42 8.41 8.35 8.21 8.20 8.32 8.02 8.74 8.62 8.41 7.90 Net loan losses (—) or recoveries5................................................. -.25 -.16 -.26 -.28 -.25 -.25 -.33 -.35 -.28 -.32 -.28 -.17 Ratios on selected types of assets: Percentage of total assets : Securities:3 U.S. Treasury securities.............................................................. 16.02 22.01 17.34 15.13 12.53 12.07 10.01 7.40 16.08 15.41 15.98 16.46 Other U.S. Govt, securities (agencies and corporations).......... 3.75 5.01 4.34 3.50 3.21 2.69 1.68 .79 3.06 3.43 3.77 4.28 Obligations of States and political subdivisions........................ 11.49 6.62 10.83 13.23 13.98 13.92 13.34 11.15 10.63 11.34 12.10 11.42 All other securities...................................................................... .46 .53 .45 .45 .44 .44 .39 .37 .38 .35 .40 .62 Gross loans2.................................................................................... 52.27 49.23 51.91 52.69 53.96 54.12 54.49 56.83 47.88 51.11 52.43 55.05 Cash assets........................................................................................ 13.69 14.95 13.15 12.70 13.11 13.74 16.76 18.48 19.47 15.82 12.92 10.17 Real estate assets............................................................................. 1.63 1.29 1.58 1.73 1.81 1.88 1.82 1.66 1.65 1.78 1.71 1.45 Percentage of gross loans:2 Commercial and industrial loans................................................... 19.59 13.17 16.45 19.15 23.70 27.94 31.57 41.76 24.81 23.62 19.47 14.41 Loans to farmers............................................................................. 14.00 28.34 19.22 10.22 4.36 2.28 1.80 .93 17.92 15.09 14.74 10.65 Real estate loans.............................................................................. 28.30 23.75 27.10 30.96 31.94 31.57 26.06 19.35 15.23 21.20 27.70 40.07 Loans to individuals for personal expenditures............................ 27.56 24.00 26.68 29.77 30.68 28.36 26.75 18.63 27.50 28.36 28.44 26.21 All other loans2............................................................................... 10.55 10.74 10.55 9.90 9.32 9.85 13.82 19.33 14.54 11.73 9.65 8.66 Other ratios (per cent): Interest and fees on loans to loans.................................................... 7.81 7.81 7.79 7.79 7.78 7.83 7.99 8.01 8.00 8.03 7.93 7.46 Interest on time and savings deposits to time and savings deposits6, 4.60 4.42 4.55 4.62 4.69 4.76 4.81 5.13 4.50 4.66 4.64 4.57 Income taxes to net income plus income taxes................................. 22.50 22.98 22.32 22.38 21.08 22.31 24.36 26.46 27.68 23.33 22.39 19.54 Time and savings deposits to total deposits...................................... 52.74 48.18 53.64 55.55 54.53 53.73 47.79 41.67 28.68 45.47 55.13 67.08 Total capital accounts and reserves to total assets7........................ 9.02 10.43 9.03 8.54 8.51 8.47 8.72 8.66 10.46 9.11 8.80 8.47 Number of banks8..................................................................................... 5,678 1,066 1,423 1,693 724 340 326 106 876 1,257 1,725 1,820 For notes see p. A-105. JULY 1971 o MEMBER BANKS, 1970 A 101 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OPERATING RATIOS BY RATIO OF TIME TO TOTAL DEPOSITS, BY SIZE OF BANK (Averages of individual ratios expressed as percentages) Banks with ratios of time Banks with ratios of time Banks with ratios of time Banks with ratios of time to total deposits of to total deposits of to total deposits of to total deposits of under 40 percent 40-49 per cent 50-59 per cent 60 per cent and over Item All groups Size group—Total deposits (in thousands of dollars) 5,000 5,GOO- Over 5,000 5,000- Over 5,000 5,000- Over 5,000 5,000- Over and 25, 000 25,000 and 25,000 25,000 and 25,000 25,000 and 25,000 25,000 under under under under Summary ratios: Percentage of equity capital plus all reserves: Income after taxes and before securities gains (losses)1............. 10.83 10.20 11.25 11.47 9.52 11.60 11.23 9.85 11.30 11.69 8.51 10.29 11.34 Net income..................................................................................... 10.99 10.36 11.50 11.49 9.72 11.86 11.34 10.17 11.43 11.70 8.64 10.40 11.54 Percentage of net income: Cash dividends paid....................................................................... 28.57 31.97 29.62 37.50 24.87 26.31 35.07 20.37 25.67 33.62 22.12 28.01 32.97 Sources and disposition of income: Percentage of total assets: Total operating expenses............................................................... 4.97 4.22 4.42 4.64 4.90 4.93 4.97 5.12 5.09 5.14 5.20 5.07 5.22 Salaries, wages, and fringe benefits.......................................... 1.44 2.01 1.68 1.52 1.64 1.55 1.48 1.58 1.41 1.44 1.35 1.19 1.25 Interest on time and savings deposits...................................... 2.15 .81 1.22 1.33 1.82 1.87 1.88 2.19 2.28 2.28 2.66 2.75 2.75 Occupancy expense of bank premises, net.............................. .20 .20 .24 .24 .20 .23 .24 .18 .20 .23 .15 .16 .20 All other operating expenses..................................................... 1.18 1.20 1.28 1.55 1.24 1.28 1.37 1.17 1.20 1.19 1.04 .97 1.02 Total operating income................................................................. 6.29 5.92 6.08 6.23 6.20 6.36 6.35 6.42 6.40 6.43 6.29 6.22 6.35 Income after taxes and before securities gains (losses)1............. .94 1.20 1.09 1.03 .92 1.00 .95 .94 .94 .94 .77 .84 .85 Net income..................................................................................... .95 1.22 1.12 1.03 .95 1.02 .96 .96 .95 .94 .78 .85 .87 Percentage of total operating income: Interest, fees, and other loan income2......................................... 64.80 57.66 62.59 67.61 60.90 64.23 67.84 62.74 64.45 66.77 63.96 65.91 67.50 Securities—Interest and dividends:3 U.S. Treasury securities............................................................. 14.96 23.23 15.75 8.86 22.33 14.21 10.19 20.32 14.80 10.74 19.86 15.40 10.88 Other U.S. Govt, securities (agencies and corporations)........ 4.03 5.32 3.50 1.58 5.10 3.92 2.06 5.02 4.30 2.76 6.37 4.36 4.10 Obligations of States and political subdivisions...................... 7.71 5.48 8.44 8.18 4.12 8.16 8.60 4.66 8.27 9.49 3.78 8.01 9.48 All other securities..................................................................... .41 .44 .27 .34 .48 .31 .31 .45 .31 .36 .63 .55 .53 (Service charges on deposit accounts4)....................................... (4.39) (5.03) (6.09) (3.74) (4.56) (5.81) (4.49) (3.99) (4.91) (4.47) (2.97) (3.21) (3.56) (Trust department income4)........................................................ (2.07) (3.72) (1.68) (4.43) (1.12) (1.16) (2.85) (.91) (.97) (2.47) (.84) (.99) (1.63) All other operating income........................................................... 8.09 7.87 9.45 13.43 7.07 9.17 11.00 6.81 7.87 9.88 5.40 5.77 7.51 Total operating income..................................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Salaries and wages......................................................................... 20.38 31.50 24.59 20.83 24.37 21.62 20.29 22.41 19.59 19.41 19.45 16.82 17.08 Officer and employee benefits....................................................... 2.54 2.64 3.03 3.30 2.09 2.60 3.05 2.08 2.42 2.98 1.94 2.29 2.51 Interest on: Time and savings deposits......................................................... 34.56 13.69 20.25 21.78 29.87 29.97 30.04 34.85 36.25 35.87 42.69 44.59 43.52 Borrowed money........................................................................ .67 .10 .28 4.86 .08 .32 2.28 .18 .29 1.14 .12 .21 .65 (Capital notes and debentures4).............................................. (1.15) (1.57) (.72) (1.22) (3.54) (1.13) (1.05) (.91) (1.27) (l.U) (1.37) (1.13) (1.12) Occupancy expense of bank premises, net.................................. 3.30 3.52 4.10 3.98 3.24 3.63 3.87 2.92 3.20 3.70 2.49 2.73 3.23 Provision for loan losses............................................................... 2.29 2.66 2.98 2.29 3.06 2.70 2.32 2.49 2.52 1.70 2.38 1.85 1.40 All other operating expenses......................................................... 15.08 16.90 17.09 17.29 16.21 16.41 16.40 14.76 15.11 15.16 13.48 13.04 13.66 Total operating expenses1................................................. 78.82 71.01 72.32 74.33 78.92 77.25 78.25 79.69 79.38 79.96 82.55 81.53 82.05 Income before taxes and securities gains (losses)........................ 21.18 28.99 27.68 25.67 21.08 22.75 21.75 20.31 20.62 20.04 17.45 18.47 17.95 Income after taxes and before securities gains (losses)............... 15.38 21.19 18.72 16.81 15.55 16.34 15.36 15.10 15.11 14.93 12.72 13.83 13.76 Net securities gains or losses ( —), after taxes............................. .05 -.12 .13 -.08 .07 .07 -.06 .20 .06 -.01 -.01 .02 .03 All other income (net).................................................. -.07 .07 .13 —. 11 .05 .05 -.05 - .03 -.06 .12 Net income1................................................................................... 15.43 21.00 18.92 16.86 15.51 16.46 15.35 15.25 15.14 14.92 12.65 13.85 13.91 A 102 MEMBER BANKS, 1970 □JULY 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Rates of return (per cent): On securities—Interest and dividends :3 U.S. Treasury securities................................................................ 5.66 5.99 5.72 5.60 5.81 5.70 5.55 5.73 5.69 5.57 5.71 5.56 5.59 Other U.S. Govt, securities (agencies and corporations)............ 4.83 4.20 4.52 4.46 4.11 4.74 5.92 4.54 4.73 5.18 4.04 4.93 5.68 Obligations of States and political subdivisions.......................... 4.11 3.89 4.16 4.17 4.18 4.09 4.10 4.11 4.13 4.09 4.12 4.08 4.17 All other securities........................................................................ 5.82 6.07 5.14 5.98 5.48 5.64 6.12 5.47 5.96 5.85 5.64 5.84 6.31 On loans:2 Interest, fees, and other loan income........................................... 8.34 8.72 8.90 8.52 8.59 8.74 8.42 8.52 8.49 8.18 7.92 7.90 7.89 Net loan losses (—) or recoveries5............................................... -.25 -.09 -.35 -.36 -.23 -.32 -.35 -.26 -.30 -.25 -.07 -.19 -.18 Ratios on selected types of assets: Percentage of total assets: Securities:3 U.S. Treasury securities............................................................ 16.02 22.43 16.07 9.68 22.81 15.14 11.28 21.82 16.08 12.10 21.18 16.81 12.19 Other U.S. Govt, securities (agencies and corporations)........ 3.75 4.46 3.20 1.45 4.76 3.74 2.03 4.64 4.07 2.62 6.08 4.02 3.74 Obligations of States and political subdivisions...................... 11.49 7.65 11.98 11.72 6.23 12.16 13.03 7.18 12.42 14.56 5.42 11.91 14.29 All other securities.................................................................... .46 .41 .37 .37 .43 .34 .33 .52 .36 .41 .74 .61 .56 Gross loans2.................................................................................. 52.27 43.45 47.90 52.32 47.78 50.85 53.65 50.61 52.13 54.20 54.11 54.84 56.27 Cash assets..................................................................................... 13.69 20.08 18.19 20.70 16.27 15.39 16.31 13.46 12.66 13.11 10.85 9.92 10.37 Real estate assets.......................................................................... 1.63 1.15 1.86 1.87 1.35 1.80 2.01 1.36 1.72 1.89 1.32 1.45 1.55 Percentage of gross loans:2 Commercial and industrial loans................................................. 19.59 15.55 22.76 37.05 14.40 21.50 33.25 13.15 18.54 25.39 10.11 13.67 19.44 Loans to farmers........................................................................... 14.00 33.70 17.78 2.20 31.11 16.02 3.40 30.99 15.09 3.77 18.67 11.54 2.60 Real estate loans............................................................................ 28.30 13.02 15.90 16.49 19.55 20.89 22.80 22.62 27.38 31.58 37.79 40.02 41.80 Loans to individuals for personal expenditures.......................... 27.56 24.50 30.17 26.72 23.64 30.14 28.07 23.98 28.97 30.17 23.87 26.19 27.89 All other loans2............................................................................ 10.55 13.23 13.39 17.54 11.30 11.45 12.48 9.26 10.02 9.09 9.56 8.58 8.27 Other ratios (per cent): Interest and fees on loans to loans.................................................. 7.81 7.93 8.00 8.08 7.95 8.05 8.02 7.97 7.93 7.88 7.40 7.45 7.55 Interest on time and savings deposits to time and savings deposits6. 4.60 4.18 4.43 4.89 4.51 4.63 4.83 4.51 4.65 4.73 4.45 4.56 4.67 Income taxes to net income plus income taxes............................... 22.50 23.69 28.34 30.78 21.93 23.21 24.41 23.31 22.92 20.70 22.85 19.41 17.56 Time and savings deposits to total deposits.................................... 52.74 21.70 30.97 32.44 45.48 45.61 45.23 54.91 55.21 55.11 67.09 67.30 66.49 Total capital accounts and reserves to total assets7...................... 9.02 12.28 9.94 9.37 10.21 8.90 8.79 9.90 8.65 8.44 9.49 8.38 7.98 Number of banks 8.................................................................................. 5,678 257 364 255 228 664 365 293 968 464 288 1,120 412 I For notes see p. A-105. JULY 1971 o MEMBER BANKS, 1970 A 103 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

OPERATING RATIOS BY FEDERAL RESERVE DISTRICT (Averages of individual ratios expressed as percentages) Federal Reserve districts All districts Item New Phila­ Cleve­ Rich­ St. Minne­ Kansas San Boston York delphia land mond Atlanta Chicago Louis apolis City Dallas Fran­ cisco Summary ratios: Percentage of equity capital plus all reserves: 10.83 10.63 10.43 9.84 10.59 11.07 11.58 10.72 11.04 10.47 11.38 10.92 9.75 10.99 10.60 10.43 9.80 10.70 10.96 11.93 10.97 11.27 10.68 11.52 11.05 10.14 Percentage of net income: 28.57 38.47 32.28 32.72 30.96 31.86 25.40 27.47 26.71 28.39 25.7 4 27.07 26.42 Sources and disposition of income: Percentage of total assets: Total operating expenses............................................................... 4.97 5.15 5.06 4.71 4.70 4.86 5.20 4.92 4.52 5.14 5.00 5.03 6.10 Salaries, wages, and fringe benefits.......................................... 1.44 1.86 1.50 1.15 1.18 1.38 1.51 1.34 1.28 1.38 1.59 1.59 1.91 Interest on time and savings deposits...................................... 2.15 1.56 2.22 2.46 2.27 2.18 2.08 2.37 2.02 2.57 1.97 1.78 2.29 Occupancy expense of bank premises., net............................... .20 .29 .23 .16 .17 .19 .22 .19 .18 .17 .19 .24 .33 All other operating expenses..................................................... 1.18 1.44 1.11 .94 1.08 1.11 1.39 1.02 1.04 1.02 1.25 1.42 1.57 Total operating income................................................................. 6.29 6.62 6.31 5.95 5.97 6.29 6.55 6.15 5.90 6.30 6.46 6.41 7.29 Income after taxes and before securities gains (losses) *............. .94 1.00 .91 .89 .96 .98 .97 .87 .98 .82 1.02 .98 .82 Net income..................................................................................... .95 1.00 .90 .89 .97 .97 1.00 .89 1.00 .84 1.03 .99 .86 Percentage of total operating income: Interest, fees, and other loan income2.......................................... 64.80 69.27 67.22 68.90 65.20 66.58 62.60 62.98 61.33 62.41 65.04 66.46 67.15 Securities—Interest and dividends:3 U.S. Treasury securities............................................................. 14.96 10.14 11.57 13.51 17.19 14.23 13.01 17.22 19.30 15.88 16.02 12.04 10.91 Other U.S. Govt, securities (agencies and corporations)........ 4.03 1.57 2.70 3.48 2.48 4.48 4.78 4.07 5.32 6.26 3.22 4.62 3.71 Obligations of States and political subdivisions....................... 7.71 7.61 9.49 7.58 8.75 7.41 9.03 7.72 7.58 7.12 6.69 7.56 5.59 All other securities..................................................................... .41 .52 .66 1.04 .40 .27 .26 .60 .38 .26 .24 .26 .29 (iService charges on deposit accounts4)....................................... (4.39) (5.95) (4.48) (2.62) (3.09) (3.25) (5.73) (3.58) (3.12) (4.20) (5.26) (5.56) (7.04) (Trust department income4)........................................................ (2.07) (3.21) (2.56) (2.07) (2.23) (1.92) (2.18) (1.91) (1.71) (1.97) (1.68) (1.71) (2.30) All other operating income........................................................... 8.09 10.89 8.36 5.49 5.98 7.03 10.32 7.41 6.09 8.07 8.79 9.06 12.35 Total operating income...................................................... 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Salaries and wages......................................................................... 20.38 24.46 20.78 17.07 17.51 19.55 20.58 19.31 19.45 19.25 22.30 22.72 23.28 Officer and employee benefits........................................................ 2.54 3.61 3.00 2.41 2.34 2.44 2.56 2.54 2.34 2.63 2.49 2.24 2.78 Interest on: Time and savings deposits......................................................... 34.56 23.79 35.35 41.56 38.30 35.02 32.20 38.64 34.25 41.20 30.75 27.91 32.00 Borrowed money........................................................................ .67 1.10 1.17 .31 .41 .48 .82 .58 .54 .60 .67 .74 1.43 (Capital notes and debentures^).............................................. (1.15) (1-07) (1^07) (.92) (1.25) (1.19) (l.U) (1.24) (1.21) (1.07) (1.48) (1.15) (.83) Occupancy expense of bank premises, net.................................. 3.30 4.53 3.81 2.90 2.91 3.11 3.44 3.25 3.16 2.79 2.98 3.76 4.44 Provision for loan losses............................................................... 2.29 1.90 1.95 1.17 1.95 2.00 2.64 1.75 2.20 1.43 2.79 4.09 2.75 All other operating expenses......................................................... 15.08 18.26 14.02 13.95 15.22 14.52 17.02 13.84 14.48 13.61 15.15 16.72 16.50 Total operating expenses *................................................. 78.82 77.65 80.08 79.37 78.64 77.12 79.26 79.91 76.42 81.51 77.13 78.18 83.18 Income before taxes and securities gains (losses)........................ 21.18 22.35 19.92 20.63 21.36 22.88 20.74 20.09 23.58 18.49 22.87 21.82 16.82 Income after taxes and before securities gains (losses)............... 15.38 15.44 14.81 15.30 16.27 16.09 15.28 14.67 16.93 13.43 16.21 16.05 11.69 Net securities gains or losses (—), after taxes............................. .05 -.07 -.21 -.30 .14 -.11 .15 .19 .26 -.01 .07 -.19 .25 All other income (net)................................................................... — .10 .03 .06 -.15 .03 -.01 .01 .07 .03 -.01 .13 Net income1................................................................................... 15.43 15.27 14.60 15.03 16.47 15.83 15.46 14.85 17.20 13.49 16.31 15.85 12.07 A 104 MEMBER BANKS, 1970 □JULY 1971 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

Rates of return (per cent): On securities—Interest and dividends :3 U.S. Treasury securities................................................................ 5.66 5.67 5.45 5.39 5.62 5.75 5.86 5.62 5.75 5.49 5.77 5.66 5.75 Other U.S. Govt, securities (agencies and corporations)........... 4.83 3.86 5.06 4.67 4.38 4.71 5.31 4.35 5.22 5.51 4.63 5.17 5.58 Obligations of States and political subdivisions.......................... 4.11 4.51 4.21 3.80 4.19 3.84 4.32 3.97 4.05 4.27 4.10 4.09 4.12 5.82 6.48 6.29 6.25 5.98 5.94 6.10 5.78 5.12 5.79 6.00 4.91 6.25 On loans:2 Interest, fees, and other loan income........................................... 8.34 8.65 8.06 7.71 7.78 8.06 9.06 7.98 8.06 7.79 8.68 9.29 9.09 -.25 -.19 -.27 -.11 -.16 -.22 -.37 -.23 -.29 -.18 -.25 -.36 -.40 Ratios on selected types of assets: Percentage of total assets: Securities:3 16.02 11.37 13.08 14.65 17.80 15.08 14.02 18.13 19.39 17.91 17.34 12.92 12.95 Other U.S. Govt, securities (agencies and corporations)........ 3.75 1.57 2.56 3.14 2.14 4.18 4.62 3.81 4.77 5.82 2.99 4.24 4.02 Obligations of States and political subdivisions...................... 11.49 11.05 13.85 11.37 12.47 11.42 13.38 11.33 11.04 10.68 10.26 11.52 9.12 .46 .62 .65 1.17 .43 .33 .28 .66 .39 .25 .25 .36 .34 52.27 57.71 55.66 57.72 53.69 53.94 49.57 51.41 47.90 51.98 51.69 50.31 56.37 13.69 15.12 11.77 10.09 11.51 12.62 15.07 12.46 14.45 11.37 15.47 18.04 13.40 1.63 1.91 1.47 1.43 1.50 1.81 2.24 1.47 1.52 1.37 1.38 1.88 2.37 Percentage of gross loans:2 Commercial and industrial loans................................................. 19.59 27.01 20.29 15.15 14.05 16.32 24.85 17.04 17.52 17.01 18.63 27.29 26.33 14.00 1.48 3.36 3.91 6.01 3.85 3.65 14.83 14.25 24.46 33.14 17.29 7.81 28.30 27.62 36.17 43.69 37.78 33.62 23.38 34.19 31.39 31.54 15.54 13.66 26.41 Loans to individuals for personal expenditures.......................... 27.56 32.82 27.89 25.34 32.20 34.60 34.09 24.38 27.04 21.56 22.83 29.33 28.55 10.55 11.07 12.29 11.91 9.96 11.61 14.03 9.56 9.80 5.43 9.86 12.43 10.90 Other ratics (per cent): Interest and fees on loans to loans.................................................. 7.81 8.04 7.59 7.11 7.22 7.82 8.25 7.48 7.58 7.56 8.13 8.52 8.68 Interest on time and savings deposits to time and savings deposits6. 4.60 4.43 4.51 4.33 4.26 4.52 4.78 4.60 4.62 4.76 4.67 4.74 4.86 Income taxes to net income plus income taxes............................... 22.50 26.73 16.12 21.72 19.90 24.05 21.57 22.80 24.35 22.27 25.55 20.66 24.35 Time and savings deposits to total deposits.................................... 52.74 41.01 56.79 64.23 60.12 54.45 49.41 57.26 48.51 60.66 47.29 42.04 54.47 Total capital accounts and reserves to total assets7....................... 9.02 9.71 9.40 9.56 9.24 9.12 8.77 8.51 9.09 8.18 9.33 9.29 8.82 5,678 230 342 319 467 354 515 929 457 485 800 625 155 1 Excludes minority interest in operating income, if any. 8 The ratios for 89 member banks in operation at the end studying the financial results of operations of individual banks, 2 Loans include Federal funds sold and securities purchased of 1970 were excluded from the compilations because of un­ while ratios based on aggregates show combined results for under agreements to resell. availability of data covering the complete year’s operations, the banking system as a whole and, broadly speaking, are the 3 Excludes trading-account securities. certain accounting adjustments, lack of comparability, and more significant for purposes of general analyses of credit 4 Averages exclude banks not reporting these items, or re­ so forth. and monetary problems. porting negligible amounts. Figures of revenue, expenses, and so forth, used in the 5 Net losses for banks on a valuation-reserve basis are the Note.—These ratios, being arithmetic averages of the calculations were taken from the annual income and dividends excess of actual losses over actual recoveries credited and operating ratios of individual member banks, differ in many reports for 1970. Balance sheet figures used in the compila­ charged to valuation reserves; net recoveries are the reverse. cases from corresponding ratios computed from aggregate tions were obtained by averaging the amounts shown in each For all other banks, net losses are the amount deducted from dollar amounts shown in the June 1971 issue of the Bulletin. bank’s official condition reports submitted for Dec. 31, 1969, operating income as an operating expense. Such differences result from the fact that each bank’s figures June 30, 1970, and Dec. 31, 1970. Savings deposits are in­ 6 Banks reporting no interest paid on time deposits were have an equal weight in calculation of the averages, whereas cluded in the time deposits figures used in these tables. excluded in computing this average. the figures of the many small and medium-sized banks have For details concerning comparability of income and related res 7 e r I v n e c s l . udes capital notes and debentures and all valuation i l n it d tl i e v i i d n u fl a u l e n ra c t e i o o s n a t r h e e u a s g e g f r u e l g p at r e im d a o r l i l l a y r t a o m t o h u o n s t e s . i A nt v e e re ra s g te e d s o in f d pp at . a 5 6 fo 4 r - 7 1 2 9 . 69 and earlier years, see Bulletin for July 1970, JULY 1971 o MEMBER BANKS, 1970 A 105 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 106 BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM Arthur F. Burns, Chairman J. L. Robertson, Vice Chairman George W. M itchell J. Dewey Daane Sherman J. Maisel Andrew F. Brimmer William W. Sherrill Robert C. Holland, Secretary of the Board J. Charles Partee, Adviser to the Board Robert Solomon, Adviser to the Board Howard H. Hackley, Assistant to the Board Charles Molony, Assistant to the Board Robert L. Cardon, Assistant to the Board 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 Robert C. Holland, Secretary OPERATIONS 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 Norm and R. V. Bernard, Assistant Secretary Donald G. Barnes, Assistant Director Gordon B. Grim wood, 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 Murray Altmann, Assistant Secretary Lloyd M. Schaeffer, Chief Federal Reserve William W. Layton, Director of Equal Em­ Examiner ployment Opportunity DIVISION OF SUPERVISION AND REGULATION LEGAL DIVISION Frederic Solomon, Director Thomas J. O’Connell, General Counsel Robert F. Sanders, Deputy General Counsel JBrenton C. Leavitt, Deputy Director Frederick R. Dahl, Assistant Director Lawrence F. Noble, Assistant General Counsel Pauline B. Heller, Adviser Jack M. Egertson, Assistant Director John P. Flaherty, 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 Samuel B. Chase, Associate 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 James B. Eckert, Associate Adviser Peter M. Keir, Associate Adviser DIVISION OF ADMINISTRATIVE SERVICES James L. Pierce, Associate 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 OFFICE OF THE CONTROLLER Joseph S. Zeisel, Assistant Adviser Levon H. Garabedian, Assistant Director John Kakalec, Controller § Harry J. Halley, Deputy Controller DIVISION OF INTERNATIONAL FINANCE Robert Solomon, Director DIVISION OF DATA PROCESSING tRoBERT L. Sammons, Associate Director Jerold E. Slocum, Director John E. Reynolds, Associate Director Charles L. Hampton, Associate Director John F. L. Ghiardi, Adviser Glenn L. Cummins, Assistant Director A. B. Hersey, Adviser Joe M. Jackson, Assistant Director Reed J. Irvine, Adviser Henry W. Meetze, Assistant Director Samuel I. Katz, Adviser Richard S. Watt, Assistant Director Bernard Norwood, Adviser Ralph C. Wood, Adviser *On leave from the Federal Reserve Bank of St. Louis. Ralph C. Bryant, Associate Adviser tOn leave of absence. Digitized for FRASER JServes also as Program Director for Banking Structure in http://fraser.stlouisfed.orgR/ obert F. Gemmill, Associate Adviser the Office of the Secretary. Federal Reserve Bank of SSat.m Louueisl Pizer, Associate Adviser §Also serves as Program Director for Management Systems.

A 107 FEDERAL OPEN MARKET COMMITTEE Arthur F. Burns, Chairman A lfred Hayes, Vice Chairman A ndrew F. Brimmer Monroe Kimbrel Frank E. Morris George H. Clay Sherman J. Maisel J. L. Robertson J. D ewey 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 108 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 Yarnall, 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 James H. Campbell Richmond......................23261 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..............32203 Castle W. Jordan Edward C. Rainey Nashville...................37203 Edward J. Boling Jeffrey J. Wells New Orleans______70160 D. Ben Kleinpeter Arthur H. Kantner Chicago.........................60690 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 K. MacLaury 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 109 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 more sent to one address, $.40 each. address, $.50 each. Elsewhere, $.70 a copy. 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 110 FEDERAL RESERVE BULLETIN □ JULY 1971 BANK CREDIT-CARD AND CHECK-CREDIT PLANS. THE REDESIGNED DISCOUNT MECHANISM AND 1968. 102 pp. $1.00 a copy; 10 or more sent to THE MONEY MARKET. 1968. 29 pp. one address, $.85 each. SUMMARY OF THE ISSUES RAISED AT THE ACA­ DEMIC SEMINAR ON DISCOUNTING. 1968. INTEREST RATE EXPECTATIONS: TESTS ON YIELD SPREADS AMONG SHORT-TERM GOVERNMENT 16 pp. SECURITIES. 1968. 83 pp. $.50 a copy; 10 or A REVIEW OF RECENT ACADEMIC LITERATURE more sent to one address, $.40 each. ON THE DISCOUNT MECHANISM. 1968. 40 pp. SURVEY OF FINANCIAL CHARACTERISTICS OF DISCOUNT POLICY AND BANK SUPERVISION. CONSUMERS. 1966. 166 pp. $1.00 a copy; 10 or 1968. 72 pp. more sent to one address, $.85 each. THE LEGITIMACY OF CENTRAL BANKS. 1969. SURVEY OF CHANGES IN FAMILY FINANCES. 1968. 24 pp. 321 pp. $1.00 a copy; 10 or more sent to one SELECTIVE CREDIT CONTROL 1969. 9 pp. address, $.85 each. SOME PROPOSALS FOR A REFORM OF THE DIS­ REPORT OF THE JOINT TREASURY-FEDERAL RE­ COUNT WINDOW. 1969. 40 pp. SERVE STUDY OF THE U.S. GOVERNMENT SECURITIES MARKET. 1969. 48 pp. $.25 a copy; AN EVALUATION OF SOME DETERMINANTS OF 10 or more sent to one address, $.20 each. MEMBER BANK BORROWING. 1969. 29 pp. JOINT TREASURY-FEDERAL RESERVE STUDY OF ACADEMIC VIEWS ON IMPROVING THE FEDERAL RESERVE DISCOUNT MECHANISM. 1970. THE GOVERNMENT SECURITIES MARKET: STAFF 172 pp. STUDIES—PART 1 (papers by Cooper, Bernard, and Scherer). 1970. 86 pp. $.50 a copy; 10 or CAPITAL AND CREDIT REQUIREMENTS OF AGRI­ more sent to one address, $.40 each. CULTURE, AND PROPOSALS TO INCREASE AVAILABILITY OF BANK CREDIT. 1970. 160 pp. (Limited supplies, in mimeographed or similar form, of staff papers other than those con­ FINANCIAL INSTABILITY REVISITED: THE ECO­ tained in Part 1 are available upon request for NOMICS OF DISASTER. 1970. 87 pp. single copies. See p. 48 of main report for a list of such papers.) STAFF ECONOMIC STUDIES REAPPRAISAL OF THE FEDERAL RESERVE DIS­ Studies and papers on economic and financial sub­ COUNT MECHANISM: jects that are of general interest in the field of economic research. REPORT OF A SYSTEM COMMITTEE. 1968. 23 pp. $.25 a copy; 10 or more sent to one ad­ Summaries only printed in the Bulletin. dress, $.20 each. (Limited supply of mimeographed copies of full text available upon request for single copies.) REPORT ON RESEARCH UNDERTAKEN IN CON­ MEASURES OF INDUSTRIAL PRODUCTION AND NECTION WITH A SYSTEM STUDY. 1968. 47 FINAL DEMAND, by Clayton Gehman and Cor­ pp. $.25 a copy; 10 or more sent to one nelia Motheral. Jan. 1967. 57 pp. address, $.20 each. OPTIMAL CHOICE OF MONETARY POLICY INSTRU­ Limited supply of the following papers relating to MENTS IN A SIMPLE STOCHASTIC MACRO the Discount Study, in mimeographed or similar MODEL, by William Poole. Sept. 1970. 20 pp. form, available upon request for single copies: UNCERTAINTY AND STABILIZATION POLICIES FOR A STUDY OF THE MARKET FOR FEDERAL FUNDS. A NONLINEAR MACROECONOMIC MODEL, by 1968. 47 pp. Franklin R. Shupp. Dec. 1970. 23 pp. THE SECONDARY MARKET FOR NEGOTIABLE OPERATING POLICIES OF BANK HOLDING COM­ CERTIFICATES OF DEPOSIT. 1968. 89 pp. PANIES—PART 1, by Robert J. Lawrence. Apr. RESERVE ADJUSTMENTS OF THE EIGHT MAJOR 1971. 82 pp. NEW YORK CITY BANKS DURING 1966. 1968. THE RELATIVE IMPORTANCE OF MONETARY AND 29 pp. FISCAL VARIABLES IN DETERMINING PRICE DISCOUNT POLICY AND OPEN MARKET OPERA­ LEVEL MOVEMENTS: A NOTE, by Peter S. Rose TIONS. 1968. 23 pp. and Lacy H. Hunt II. June 1971. 7 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

FEDERAL RESERVE BOARD PUBLICATIONS A 111 ESTIMATION OF THE INVESTMENT AND PRICE AUTO LOAN CHARACTERISTICS AT MAJOR SALES EQUATIONS OF A MACROECONOMETRIC MODEL, FINANCE COMPANIES. Feb. 1967. 5 pp. by Robert J. Shiller. June 1971. 65 pp. SURVEY OF FINANCE COMPANIES, MID-1965. Apr. ADJUSTMENT AND DISEQUILIBRIUM COSTS AND 1967. 26 pp. THE ESTIMATED BRAINARD—TOBIN MODEL, by Joseph Bisignano. July 1971. 108 pp. EVIDENCE ON CONCENTRATION IN BANKING MARKETS AND INTEREST RATES, Staff Eco­ Printed in full in the Bulletin. nomic Study by Almarin Phillips. June 1967. 11 pp. (Reprints available as shown in following list.) NEW BENCHMARK PRODUCTION MEASURES, 1958 AND 1963. June 1967. 4 pp. REPRINTS REVISED INDEXES OF MANUFACTURING CAPACITY AND CAPACITY UTILIZATION. July 1967. 3 pp. ADJUSTMENT FOR SEASONAL VARIATION. June 1941. 11 pp. THE PUBLIC INFORMATION ACT—ITS EFFECT ON MEMBER BANKS. July 1967. 6 pp. SEASONAL FACTORS AFFECTING BANK RESERVES. Feb. 1958. 12 pp. INTEREST COST EFFECTS OF COMMERCIAL BANK LIQUIDITY AND PUBLIC POLICY, Staff Paper by UNDERWRITING OF MUNICIPAL REVENUE Stephen H. Axilrod. Oct. 1961. 17 pp. BONDS. Aug. 1967. 16 pp. SEASONALLY ADJUSTED SERIES FOR BANK THE FEDERAL RESERVE-MIT ECONOMETRIC CREDIT. July 1962. 6 pp. MODEL, Staff Economic Study by Frank de Leeuw and Edward Gramlich. Jan. 1968. 30 pp. INTEREST RATES AND MONETARY POLICY, Staff Paper by Stephen H. Axilrod. Sept. 1962. 28 pp. THE PRICE OF GOLD IS NOT THE PROBLEM. Feb. MEASURES OF MEMBER BANK RESERVES. July 1968. 7 pp. 1963. 14 pp. U.S. INTERNATIONAL TRANSACTIONS: TRENDS IN CHANGES IN BANKING STRUCTURE, 1953-62. 1960-67. Apr. 1968. 23 pp. Sept. 1963. 8 pp. MONETARY RESTRAINT AND BORROWING AND REVISION OF BANK DEBITS AND DEPOSIT TURN- CAPITAL SPENDING BY LARGE STATE AND OVER SERIES. Mar. 1965. 4 pp. LOCAL GOVERNMENTS IN 1966. July 1968. 30 pp. TIME DEPOSITS IN MONETARY ANALYSIS, Staff Economic Study by Lyle E. Gramley and REVISED SERIES ON BANK CREDIT. Aug. 1968. Samuel B. Chase, Jr. Oct. 1965. 25 pp. 4 pp. RESEARCH ON BANKING STRUCTURE AND PER­ FEDERAL FISCAL POLICY IN THE 1960's. Sept. FORMANCE, Staff Economic Study by Tynan 1968. 18 pp. Smith. Apr. 1966. 11 pp. COMMERCIAL BANK LIQUIDITY, Staff Economic BUSINESS FINANCING BY BUSINESS FINANCE Study by James Pierce. Aug. 1966. 9 pp. COMPANIES. Oct. 1968. 13 pp. A REVISED INDEX OF MANUFACTURING CAPACITY, MANUFACTURING CAPACITY: A COMPARISON OF Staff Economic Study by Frank de Leeuw with TWO SOURCES OF INFORMATION, Staff Eco­ Frank E. Hopkins and Michael D. Sherman. nomic Study by Jared J. Enzler. Nov. 1968. Nov. 1966. 11 pp. 5 pp. THE ROLE OF FINANCIAL INTERMEDIARIES IN MONETARY RESTRAINT, BORROWING, AND CAP­ U.S. CAPITAL MARKETS, Staff Economic Study ITAL SPENDING BY SMALL LOCAL GOVERN­ by Daniel H. Brill with Ann P. Ulrey. Jan. MENTS AND STATE COLLEGES IN 1966. Dec. 1967. 14 pp. 1968. 30 pp. REVISED SERIES ON COMMERCIAL AND INDUS­ REVISION OF CONSUMER CREDIT STATISTICS. TRIAL LOANS BY INDUSTRY. Feb. 1967. 2 pp. Dec. 1968. 21 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 112 FEDERAL RESERVE BULLETIN □ JULY 1971 HOUSING PRODUCTION AND FINANCE. Mar. 1969. BANK FINANCING OF MOBILE HOMES. Mar. 1971. 7 pp. 4 pp. OUR PROBLEM OF INFLATION. June 1969. 15 pp. TREASURY AND FEDERAL RESERVE FOREIGN EX­ CHANGE OPERATIONS. Mar. 1971. 19 pp. THE CHANNELS OF MONETARY POLICY, Staff Eco­ nomic Study by Frank de Leeuw and Edward RESPONSE OF STATE AND LOCAL GOVERNMENTS Gramlich. June 1969. 20 pp. TO VARYING CREDIT CONDITIONS. Mar. 1971. 24 pp. REVISION OF WEEKLY SERIES FOR COMMERCIAL BANKS. Aug. 1969. 5 pp. CHANGES IN BANK LENDING PRACTICES, 1970. EURO DOLLARS: A CHANGING MARKET. Oct. 1969. Apr. 1971.5 pp. 20 pp. U.S. BALANCE OF PAYMENTS AND INVESTMENT RECENT CHANGES IN STRUCTURE OF COMMER­ POSITION. Apr., 1971. 14 pp. CIAL BANKING. Mar. 1970. 16 pp. SDR’s IN FEDERAL RESERVE OPERATIONS AND FINANCIAL DEVELOPMENTS IN THE FIRST QUAR­ STATISTICS. May 1970. 4 pp. TER OF 1971. May 1971. 10 pp. BANKING AND MONETARY STATISTICS, 1969. INTEREST RATES, CREDIT FLOWS, AND MON­ Selected series of banking and monetary statistics ETARY AGGREGATES SINCE 1964. June 1971. for 1969 only. Mar. and July 1970. 18 pp. 16 pp. INFLATION IN WESTERN EUROPE AND JAPAN. TWO KEY ISSUES OF MONETARY POLICY. June Oct. 1970. 13 pp. 1971.4 pp. REVISION OF THE MONEY STOCK. Dec. 1970. 23 pp. SURVEY OF DEMAND DEPOSIT OWNERSHIP. June 1971. 12 pp. MEASURES OF SECURITY CREDIT. Dec. 1970. 11 pp. BANK RATES ON BUSINESS LOANS—REVISED SERIES. June 1971. 10 pp. BALANCE OF PAYMENTS PROGRAM: REVISED GUIDELINES FOR BANKS AND NONBANK FINAN­ INDUSTRIAL PRODUCTION—REVISED AND NEW CIAL INSTITUTIONS. Jan. 1971. 12 pp. MEASURES. July 1971. 26 pp. MONETARY AGGREGATES AND MONEY MARKET CONDITIONS IN OPEN MARKET POLICY. Feb. CHANGES IN TIME AND SAVINGS DEPOSITS, 1971. 26 pp. JANUARY—APRIL 1971, July 1971. 13 pp. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

A 113 INDEX TO STATISTICAL TABLES (For list of tables published periodically, but not monthly, see page A-3.) Acceptances, bankers’, 14, 33, 35 Deposits (See also specific types of deposits): Agricultural loans of commercial banks, 24, 26 Accumulated at commercial banks for payment of Arbitrage, 93 personal loans, 32 Assets and liabilities (See also Foreigners): Adjusted, and currency, 19, 96 Banks, by classes, 20, 24, 25, 26, 39, 97-99 Banks, by classes, 11, 20, 25, 29, 39, 97-99 Banks and the monetary system, 19, 96 Euro-dollars, 88 Corporate, current, 51 Federal Reserve Banks, 12, 88 Federal Reserve Banks, 12 Postal savings, 19, 25, 96 Automobiles: Subject to reserve requirements, 18 Consumer instalment credit, 56, 57, 58 Discount rates (See Interest rates) Production index, 60, 61 Discounts and advances by Reserve Banks, 4, 12, 13, 15 Bank credit proxy, 18 Dividends, corporate, 50, 51 Bankers’ balances, 25, 28 (See also Foreigners, claims on, and liabilities to) Dollar assets, foreign, 77, 83 Banking and monetary statistics for 1970, 96 Earnings and hours, manufacturing industries, 67 Banks and the monetary system, 19 Employment, 64, 66, 67 Banks for cooperatives, 40 Euro-dollar deposits in foreign branches of Bonds (See also U.S. Govt, securities): U.S. banks, 88 New issues, 47, 48, 49 Yields and prices, 36, 37 Farm mortgage loans, 52, 53 Branch banks, liabilities of U.S. banks to their foreign Federal finance: branches, 30, 88 Cash transactions, 42 Brokerage balances, 87 Receipts and expenditures, 43 Business expenditures on new plant and equipment, 51 Treasury operating balance, 42 Business indexes, 64 Federal funds, 8, 24, 26, 30, 35 Business loans (See Commercial and industrial loans) Federal home loan banks, 40, 41, 53 Capacity utilization, 64 Federal Housing Administration, 52, 53, 54, 55 Capital accounts: Federal intermediate credit banks, 40, 41 Banks, by classes, 20, 25, 30, 97-99 Federal land banks, 40, 41 Federal Reserve Banks, 12 Federal National Mortgage Assn., 40, 41, 55 Central banks, 92, 94 Federal Reserve Banks: Certificates of deposit, 30 Condition statement, 12 Coins, circulation, 16 U.S. Govt, securities held, 4, 12, 15, 44, 45 Commercial and industrial loans: Federal Reserve credit, 4, 6, 12, 15 Commercial banks, 24, 33 Federal Reserve notes, 12, 16 Weekly reporting banks, 26, 31 Federally sponsored credit agencies, 40, 41 Commercial banks: Finance companies: Assets and liabilities, 20, 24, 25, 26, 97-99 Loans, 26, 56, 57, 59 Consumer loans held, by type, 57 Paper, 33, 35 Deposits at, for payment of personal loans, 32 Financial institutions, loans to, 24, 26 Loans sold outright, 33 Float, 4 Number, by classes, 20, 97-99 Flow of funds, 72 Real estate mortgages held, by type, 52 Foreign: Commercial paper, 33, 35 Currency operations, 12, 14, 77, 83 Condition statements (See Assets and liabilities) Deposits in U.S. banks, 5, 12, 19, 25, 29, 88, 96 Construction, 64, 65 Exchange rates, 91 Consumer credit: Trade, 75 Instalment credit, 56, 57, 58, 59 Foreigners: Noninstalment credit, by holder, 57 Claims on, 84, 85, 88, 89, 90 Consumer price indexes, 64, 68 Liabilities to, 30, 78, 79, 81, 82, 83, 88, 89, 90 Consumption expenditures, 70, 71 Corporations: Gold: Sales, profits, taxes, and dividends, 50, 51 Certificates, 12, 13, 16 Security issues, 48, 49 Earmarked, 88 Security yields and prices, 36, 37 Net purchases by U.S., 76 Cost of living (See Consumer price indexes) Production, 95 Currency and coin, 5, 10, 25 Reserves of central banks and govts., 94 Currency in circulation, 5, 16, 17 Stock, 4, 19, 77, 96 Customer credit, stock market, 38 Government National Mortgage Association, 55 Debits to deposit accounts, 15 Gross national product, 70, 71 Debt (See specific types of debt or securities) Hours and earnings, manufacturing industries, 67 Demand deposits: Housing permits, 64 Adjusted, banks and the monetary system, 19, 96 Housing starts, 65 Adjusted, commercial banks, 15, 18, 25 Banks, by classes, 11, 20, 25, 29, 39, 97-99 Income, national and personal, 70, 71 Ownership by individuals, partnerships, and Industrial production index, 60-63, 64 corporations, 32 Instalment loans, 56, 57, 58, 59 Subject to reserve requirements, 18 Insurance companies, 39, 44, 45, 53 Turnover, 15 Insured commercial banks, 22, 24, 32 )xedni siht n i dettimo si ” A“ xiferp eht hguohtla 501-A hguorht 4-A segap o t era secnerefeR( Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

)xedni siht n i dettimo si ” A“ xiferp eht hguohtla 501-A hguorht 4-A segap o t era secnerefeR( A 114 FEDERAL RESERVE BULLETIN □ JULY 1971 Interbank deposits, 11, 20, 25, 97-99 Real estate loans: Interest rates: Banks, by classes, 24, 27, 39, 52 Business loans by banks, 34 Delinquency rates on home mortgages, 54 Federal Reserve Banks, 9 Mortgage yields, 55 Foreign countries, 92, 93 Type of holder and property mortgaged, 52, 53, Money market rates, 35 54, 55 Mortgage yields, 55 Reserve position, basic, member banks, 8 Prime rate, commercial banks, 34 Reserve requirements, member banks, 10 Time and savings deposits, maximum rates, 11 Reserves: Yields, bond and stock, 36 Central banks and govts., 94 International capital transactions of the U.S., 78-90 Commercial banks, 25, 28, 30 International institutions, 76, 77, 92, 94 Federal Reserve Banks, 12 Inventories, 70 Member banks, 5, 6, 11, 18, 25 Investment companies, issues and assets, 49 U.S. reserve assets, 77 Investments (See also specific types of investments): Residential mortgage loans, 37, 52, 53, 54 Banks, by classes, 20, 24, 27, 28, 39, 97-99 Retail credit, 56 Commercial banks, 18 Retail sales, 64 Federal Reserve Banks, 12, 15 Life insurance companies, 39 Savings and loan assns., 40 Saving: Flow of funds series, 72 National income series, 71 Savings and loan assns., 40, 45, 53 Labor force, 66 Savings deposits (See Time deposits) Loans (See also specific types of loans): Savings institutions, principal assets, 39, 40 Banks, by classes, 20, 24, 26, 27, 39, 97-99 Securities (See also U.S. Govt, securities): Commercial banks, 18, 20, 24, 26, 27, 31, 33, 34 Federally sponsored agencies, 40, 41 Federal Reserve Banks, 4, 6, 12, 15 International transactions, 86, 87 Insurance companies, 39, 53 New issues, 47, 48, 49 Insured or guaranteed by U.S., 52, 53, 54, 55 Silver coin and silver certificates, 16 Savings and loan assns., 40, 53 Special Drawing Rights, 4, 12, 13, 19, 74, 77, 96 State and local govts.: Deposits, 25, 29 Holdings of U.S. Govt, securities, 44, 45 Manufacturers: New security issues, 47, 48 Capacity utilization, 64 Ownership of securities of, 24, 28, 39 Production index, 61, 64 Yields and prices of securities, 36, 37 Margin requirements, 10 State member banks, 22, 32 Member banks: Stock market credit, 38 Assets and liabilities, by classes, 20, 24, 97-99 Stocks: Borrowings at Reserve Banks, 6, 12 New issues, 48, 49 Deposits, by classes, 11 Yields and prices, 36, 37 Number, by classes, 20, 97-99 Operating ratios, 100-05 Reserve position, basic, 8 Tax receipts, Federal, 43 Reserve requirements, 10 Time deposits, 11, 18, 19, 20, 25, 29, 96, 97-99 Reserves and related items, 4, 18 Treasury cash, Treasury currency, 4, 5, 16, 19, 96 Mining, production index, 61, 64 Treasury deposits, 5, 12, 42 Mobile home shipments, 65 Treasury operating balance, 42 Money rates (See Interest rates) Money stock and related data, 17, 19 Mortgages (See Real estate loans and Residential Unemployment, 66 mortgage loans) U.S. balance of payments, 74 Mutual funds (See Investment companies) U.S. Govt, balances: Mutual savings banks, 19, 29, 39, 44, 45, 52, 96 Commercial bank holdings, 25, 29 Consolidated condition statement, 19, 96 Member bank holdings, 18 Treasury deposits at Reserve Banks, 5, 12, 42 National banks, 22, 32 U.S. Govt, securities: National income, 70, 71 Bank holdings, 19, 20, 24, 27, 39, 44, 45, 96, National security expenditures, 43, 70 97-99 Nonmember banks, 22, 24, 25, 32 Dealer transactions, positions, and financing, 46 Federal Reserve Bank holdings, 4, 12, 15, 44, 45 Foreign and international holdings, 12, 83, 86, 88 International transactions, 83, 86 Open market transactions, 14 New issues, gross proceeds, 48 Operating ratios, member banks, 100-05 Open market transactions, 14 Outstanding, by type of security, 44, 45, 47 Ownership of, 44, 45 Payrolls, manufacturing index, 64 Yields and prices, 36, 37 Personal income, 71 United States notes, 16 Postal savings, 19, 25, 96 Utilities, production index, 61, 63, 64 Prices: Consumer and wholesale commodity, 64, 68 Veterans Administration, 52, 53, 54, 55 Security, 37 Prime rate, commercial banks, 34 Weekly reporting banks, 26 Production, 60-63, 64 Profits, corporate, 50, 51 Yields (See Interest rates) Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis