FOMC Minutes

Meeting of Federal Open Market Committee

May 5, 1978

MINUTES OF ACTIONS

A meeting of the Federal Open Market Committee was held on

Friday, May 5, 1978, at 9:30 a.m.

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. Miller

Mr. Baughman

Mr. Gardner

Mr, Jackson

Mr. Partee

Mr. Wallich

Mr. Willes

Mr. Winn

Mr. Volcker

Mr. Black, Alternate for

Mr. Eastburn

(Dallas)

(Minneapolis)

(Plattsburg, Missouri)

(New York)

(Richmond)

Mr. Broida, Secretary

Mr. Altmann, Deputy Secretary

Mr. O'Connell, General Counsel

Mr. Axilrod, Economist

Messrs. Burns (Dallas), R. Davis (New York),

Kichline, Paulus (Minneapolis), and Truman,

Associate Economists

Mr. Holmes, Manager for System Open Market

Account (New York)

Mr. Pardee, Deputy Manager for Foreign

Operations (New York)

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5/5/78

Mr. Sternlight, Deputy Manager for Domestic

Operations (New York)

Mr.

Coyne, Assistant to the Board of

Governors

Mrs. Deck, Staff Assistant, Open Market

Secretariat, Board of Governors

Mr. Broaddus (Richmond), Vice President,

Federal Reserve Bank of Richmond

With Messrs. Black and Willes dissenting, the Committee

directed the Desk, until further instructed, to seek to maintain the

weekly-average Federal funds rate at about the prevailing level of

7-1/4 per cent, with any deviations tending to be in the direction of

higher rather than lower funds rates.

The meeting adjourned.

Secretary

Secretary