H.4.1 Factors Affecting Reserve Balances of Depository Institutions

BOARD OF GOVERNORS OF THE FEDERA LRESERVE SYSTEM H.4.1 (For Immediate Release) September 3, 1953 CONDITION OF THE FEDERA LRESERVE BANKS Member Bank Reserves and Related Items During the week ended September 2, Member bank reserves decreased $115 million. The principal changes reducing reserves were increases of $135 million in Money in circulation and $20 million in Foreign deposits with Federal Reserve Banks, and decreases of $60 million in Reserve Bank credit and $50 million in Gold stock. The principal offsetting changes were decreases of $128 million in Treasury deposits with Federal Reserve Banks and $21 million in Other deposits with Federal Reserve Banks. The decrease of $60 million in Reserve Bank credit resulted from increases of $25 million in U. S. Government securities bought outright, $25 million in U. S. Government securities held under repurchase agreement, and $23 million in Float, and a decrease of $133 million in Loans, discounts and advances. Holdings of U. S. Government securities bought outright reflected an increase of $25 million in bills. Change since Member Bank Reserves September 2 August 26 September 3 and Related Items 1953 1953 1952 (In millions of dollars) Reserve Bank credit: U. S. Government securities-- Bought outright 25,014 + 25 +1,898 Held under repurchase agreement 53 + 25 - 13 Loans, discounts and advances 394 -133 - 579 Float 610 + 23 - 51 Total 26,071 - 60 +1,255 Gold stock 22,178 - 50 -1,166 Treasury currency outstanding 4,865 + 3 + 91 Money in circulation 30,240 +135 + 849 Treasury cash holdings 1,278 + 5 7 Treasury deposits with F. R. Banks 541 -128 - 174 Foreign deposits with F. R. Banks 538 + 20 - 277 Other deposits with F. R. Banks 333 - 21 + 82 Other F. R. account s(net) 859 - 3 + 142 Member bank reserves 19,325 -115 - 435 f4 Required reserves (estimated) 18,896 + 25 - 615 Excess reserves (estimated) 4S& -140 + 180 ¥/ Daily averages for period-- Estimated excess reserves of member b 586 - 23 1 Member bank borrowings at F. R. Banks 506 + 17 - 662 U. S. Government securities held in custody by the Federal Reserve Banks for foreign account were $2,592 million, an increase of $12 million for the week and an increase of $488 million from the comparable date a year ago. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

H.4.1(a) STATEMENT OF CONDITION OF THE TWELVE FEDERA LRESERVE BANKS COMBINED (in thousands of dollars) Change since September 2, August 26, September 3, 1953 1953 1952 A S S E TS Gold certificates 20,130,102 115,000 1,318,399 Redemption fund for F, R, notes 862,665 + 65,000 + 164,412 Total gold certificate reserves 20,992,767 50,000 1,153,987 - - Other cash 334,941 — 10,063 + 20,105 Discounts and advances 391,434 - 132,704 - 576,619 Industrial loans 2,710 141 2,022 U. S. Government securities: Bought outright— Bills 1,722,304 + 25,000 + 1,263,304 Certificates 4,995,716 6,857,500 — - Notes 13,773,671 + 8,205,598 Bonds 4,521,975 —— - 713,848 Total bought outright 25,013,666 + 25,000 + 1,897,554 Held under repurchase agreement 53,000 + 24,600 - 12,800 Total U. S. Government securities 25,066,666 + 49,600 + 1,884,754 Total loans and securities 25,460,810 - 83,245 + 1,306,113 Due from foreign banks 22 — - 1 F, R. note sof other banks 172,901 - 11,800 - 8,658 Uncollected cash items 3,426,101 - 6,265 + 104,605 Bank premises 49,968 - 56 + 4,684 Other assets 180,595 + 9,997 - 68,018 TOTAL ASSETS 50,618,105 — 151,432 + 204,843 L I A B I L I T I ES Federal Reserve notes 25,975,399 + 115,435 + 774,937 Deposits: Member bank—reserve accounts 19,325,147 — 115,283 — 435,139 U, S, Treasurer—general account 540,684 - 128,558 - 174,729 Foreign 538,257 + 20,619 - 276,477 Other 332,915 - 20,790 + 82,253 Total deposits 20,737,003 - 244,012 - 804,092 Deferred availability cash items 2,816,193 - 29,504 + 155,663 Other liabilities and accrued dividends 18.621 - 1,130 + 2.177 TOTAL LIABILITIES 49,547,216 159,211 + 128,685 C A P I T AL A C C O U N TS Capital paid in 261,267 + 75 + 14,852 Surplus (Section 7) 584,676 + 46,334 Surplus (Section 13b) 27,543 —— — Other capital accounts 197.403 + 7.704 + 14,972 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 50,618,105 151,432 + 204,843 Ratio of gold certificat ereserves to deposit and F. R. not eliabilities combined 44.9$ 2.5% —— - Contingent liability on acceptances purchased for foreign correspondents 25,323 + 32 + 16,243 Industrial loan commitments 3,450 - 146 - 2,598 MATURITY DISTRIBUTION OF LOANS AND SECURITIES. SEPTEMBER 2. 1953 (Securities held under repurchase agreement are classified as maturing within 15 days in accordance with maximum maturity of the agreements») Discounts and Industrial U, S. Government advances loans securities Within 15 days 368,600 637 1,225,825 16 to 90 days 22,729 710 8,897,054 91 days to 1 year 105 1,002 5,702,266 Over 1 year to 5 years 361 6,452,264 Over 5 years to 10 years 1,374,400 Over 10 years 1.414.857 Total 391,434 2,710 25,066,666 Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS ON SEPTEMBER 2, 1953 H.4.1(b) (In thousands of dollars) A S S E TS Total Boston New York Phila. Cleve. Rich. Atlanta Chicago St.Louis Mpls. Kans.Cy. Dallas SanFran. Gold certificates 20,130,102 1027,282 5,342,692 1237,874 1781,433 1056,140 870,506 3771,067 792,660 475,592 783,738 659,724 2331,394 Redemption fund for F. R. notes 862.665 64.918 140.694 60.889 84.999 82.885 60.714 134.232 50.276 25.896 40.053 31.095 86.014 Total gold certificate reserves 20,992,767 1092,200 5,483,386 1298,763 1866,432 1139,025 931,220 3905,299 842,936 501,488 823,791 690,819 2417,408 Other cash 334,941 29,478 64,778 21,925 22,393 15,775 26,883 70,429 16,397 5,593 11,253 11,702 38,335 Discounts and advances 391,434 6,730 43,150 14,172 27,821 26,988 39,520 80,185 5,700 17,000 55,242 29,241 45,685 Industrial loans . 2,710 - - 1,988 - 100 517 - - 105 - - - U. S. Govt, securities:= 1/ Bought outright— Bills 1,722,304 94,838 443,369 103,775 146,205 102,132 88,094 297,669 72,459 42,508 75,064 68,415 187,776 Certificates 4,995,716 275,084 1,286,037 301,012 424,081 296,246 255,526 863,420 210,175 123,299 217,728 198,445 544,663 Notes 13,773,671 758,433 3,545,729 829,919 1169,233 816,779 704,509 2380,531 579,472 339,948 600,298 547,132 1501,688 Bonds 4.521.975 248.998 1.164.083 272.467 383.866 268.153 231.295 781.542 190.244 111.607 197.081 179.626 493.013 Total 25,013,666 1377,353 6,439,218 1507,173 2123,385 1483,310 1279,424 4323,162 1052,350 617,362 1090,171 993,618 2727,140 Held under repurchase agreement 53,000 — 53,000 — — ~ •— — ~ — — — — Total U. S. Government securities , 25,066,666 1377,353 6,492,218 1507,173 2123,385 1483,310 1279,424 4323,162 1052,350 617,362 1090,171 993,618 2727,140 Total loans and securities 25,460,810 1384,083 6,535,368 1523,333 2151,206 1510,398 1319,461 4403,347 1058,050 634,467 1145,413 1022,859 2772,825 Due from foreign banks 22 1 2/ 6 2 2 1 1 3 1 1 1 1 2 F.R.notes of other banks 172,901 6,184 24,527 11,315 6,890 20,080 18,918 19,693 9,005 16,834 6,784 7,882 24,789 Uncollected cash items 3,426,101 268,544 667,598 222,138 307,128 281,782 225,053 553,189 144,381 102,154 173,915 145,562 334,657 Bank premises 49,968 5,059 7,109 4,338 4,552 4,803 3,634 6,749 2,919 1,033 2,167 602 7,003 Other assets 180,595 10,716 44,965 10,731 16,057 10,673 9,922 30,155 7,274 4,453 8,495 7,647 19,507 TOTAL ASSETS 50,618,105 2796,265 12,827,737 3092,545 4374,660 2982,537 2535,092 8988,864 2080,963 1266,023 2171,819 1887,074 5614,526 l/ Note on following page relates to allocation of securities in the Open Market Account. Digitized for FRASER 2/ After deducting $16,000 participations of other Federal Reserve Banks. http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

H.U.l(b)-2 Allocation of Securities in the Open Market Account The statements of condition of th eFederal Reserve Banks reflect a reallocation effective September 1, 1953 of securities held in the System Open Market Account. Under the reallocation, participations in the account are "based on the size of the Federal Reserve Bank as measured b yaverage total assets. Previously, securities were allocated primarily on the basis of expense sand dividend requirements of the Federal Reserve Banks. Settlement for shifts in participation sin the open market account between the Federal Reserve Banks is made through the Interdistrict Settlement (Gold Certificate) Fund. The reallocation, therefore, resulted in some change sin reserve ratios of individual Reserve Banks. It did not, of course, affect the reserve ratio of the twelve Reserve Banks combined or the total amount of assets of an yFederal Reserve Bank. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis

H.4.1(c) STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS ON SEPTEMBER 2, 1953 (In thousands of dollars) L I A B I L I T I ES Total Boston New York Phila. Cleve. Rich. Atlanta Chicago St. Louis Mpls. Kans.Cy. Dallas SanFran. Federal Reserve notes 25,975,399 1588,897 5,705,585 l84l,54o 2420,336 1805,521 1376,512 5019,511 1176,095 634,563 1017,053 738,475 2651,311 Deposits: Member bank-reserve accts.19,325,147 824,581 5,773,787 899,333 1510,422 807,006 847,122 3230,062 690,290 458,650 918,118 925,124 2440,652 U.S.Treasurer-general acct. 540,684 38,104 92,337 36,452 44,838 45,891 46,647 76,750 26,767 38,510 30,850 18,894 44,644 Foreign 538,257 32,647 1/160,922 4o,l4o 49,238 26,760 23,014 73,322 20,338 13,380 20,338 24,084 54,074 Other 332,915 4,553 267,762 2,637 5,436 3,613 929 706 8,641 1,509 2,212 723 34,194 Total deposits 20,737,003 899,885 6,294,808 978,562 1609,934 883,270 917,712 3380,840 746,036 512,049 971,518 968,825 2573,564 Deferred avail, cash items 2,816,193 238,929 522,641 191,997 243,857 235,093 190,559 437,848 114,339 89,841 l4o,446 129,582 281,061 Other liabilities and accrued dividends 18,621 1,112 5,652 1,002 1,956 872 8l4 3,026 651 505 694 664 1,633 TOTAL LIABILITIES 49,547,216 2728,823 12,528,686 3013,101 4276,123 2924,756 2485,597 8841,225 2037,121 1236,958 2129,711 1837,546 5507,569 Capital paid in 261,267 14,235 81,519 17,794 24,803 11,376 10,997 33,670 8,970 5,842 10,015 13,164 28,882 Surplus (Section 7) 584,676 36,462 167,503 43,578 54,064 29,248 25,803 84,628 23,628 15,131 21,925 25,381 57,325 Surplus (Section 13b) 27,543 3,011 7,319 4,489 1,006 3,349 762 1,429 521 1,073 1,137 1,307 2,140 Other capital accounts 197,403 13,734 42,710 13,583 18,6&4 13,808 11,933 27,912 10,723 7,019 9,031 9,676 l8,6lO TOTAL LIABILITIES AND CAPITAL ACCOUNTS 50,618,105 2796,265 12,827,737 3092,545 4374,660 2982,537 2535,092 8988,864 2080,963 1266,023 2171,819 1887,074 5614,526 Contingent liability on acceptances purchased for foreign correspondents 25,323 1,545 2/7,464 1,900 2,331 1,267 1,089 3,470 963 633 963 l,l4o 2,558 Industrial loan commitments 3,450 1,723 749 52 4o 886 FEDERAL RESERVE AGENTS' ACCOUNTS F. R. notes outstanding 26,928,452 1652,897 5,900,943 1901,450 2504,481 1887,338 1440,333 5134,854 1223,438 648,134 1044,810 770,123 2819,651 Collateral for F.R. notes: . Gold certificates 11,193,000 390,000 3,220,000 745,000 1000,000 580,000 360,000 2500,000 280,000 175,000 280,000 283,000 1380,000 Eligible paper 212,967 6,730 41,650 14,172 — 26,988 — — 5,500 17,000 55,242 45,685 U. S. Govt, securities 16,410,000 1300,000 2,800,000 1200,000 1550,000 1350,000 1100,000 2700,000 965,000 500,000 800,000 525,000 1620,000 Total collateral 27,815,967 1696,730 6,061,650 1959,172 2550,000 1956,988 1460,000 5200,000 1250,500 692,000 1135,242 808,000 3045,685 1/ After deducting $377,316,000 participations of other Federal Reserve Banks. 2/ After deducting $17,859,000 participations of other Federal Reserve Banks. Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis