FOMC Minutes

Meeting of Federal Open Market Committee

August 19, 1968

MINUTES OF ACTIONS

A meeting of the Federal Open Market Committee was held on

Monday, August 19, 1968, at 11:10 a.m., at the call of Mr. Hayes,

Vice Chairman of the Committee.

This was a telephone conference

meeting, and each individual was in Washington, D. C., except as

otherwise indicated in parentheses in the following list of those

participating:

PARTICIPATING:

Mr.

Mr.

Mr.

Mr.

Mr.

Mr.

Mr.

Mr.

Mr.

Mr.

Hayes, Vice Chairman, presiding (New York)

Brimmer

Daane

(Minneapolis)

Galusha

Hickman

(Wheeling, W. Virginia)

(Atlanta)

Kimbrel

Maisel

Robertson

Sherrill

(Philadelphia)

Bopp, Alternate

Mr. Treiber, Alternate Member of the

(New York)

Federal Open Market Committee

Mr. Holland, Secretary

Mr. Sherman, Assistant Secretary

Mr. Broida, Assistant Secretary

Mr. Molony, Assistant Secretary

Mr. Hackley, General Counsel

Mr. Hexter, Assistant General Counsel

Messrs. Partee, Solomon, and Taylor

(Atlanta), Associate Economists

Mr. Forrestal, Assistant Secretary, Office

of the Secretary, Board of Governors

Mr. Cardon, Assistant to the Board of

Governors

8/19/68

Mr. Wernick, Associate Adviser, Division

of Research and Statistics, Board of

Governors

Mr. Keir, Assistant Adviser, Division

of Research and Statistics, Board

of Governors

Mr. Bernard, Special Assistant, Office

of the Secretary, Board of Governors

Miss Eaton, Open Market Secretariat

Assistant, Office of the Secretary,

Board of Governors

Messrs. Baker and Beck, Economists,

Division of Research and Statistics,

Board of Governors

Messrs. Bilby, MacLaury, and Sternlight,

Vice Presidents of the Federal

Reserve Bank of New York (New York)

By unanimous vote, the Federal Reserve Bank of New York was

authorized and directed, until otherwise directed by the Committee,

to execute transactions in the System Account in accordance with the

following current economic policy directive:

System open market operations until the next meeting of

the Committee shall be conducted with a view to facilitating

orderly adjustments in money market conditions to reductions

in Federal Reserve Bank discount rates; provided, however,

that operations shall be modified if bank credit appears to

be deviating significantly from current projections.

It was agreed that the next meeting of the Committee would

be held on September 10, 1968.

The meeting adjourned.

Secretary