H.4.1 Factors Affecting Reserve Balances of Depository Institutions

BOARD OF GOVERNORS For Immediate Release H.4.1 OF THE FEDERAL RESERVE SYSTEM May 26, i960 WEEKLY AVERAGES OF MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS and STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS The average of daily figures of total member tank reserves held during the week ended May 25 decreased a net of $89 million to $18,146 million, which reflected in part a decrease of $93 million in member bank reserve balances at the Federal Reserve Banks. Estimated required reserves decreased $49 million; and estimated excess reserves decreased $40 million to $423 million. Excess reserves exceeded member bank borrowings at the Federal Reserve Banks by $21 million; the week before they were $92 million less than member bank borrowings. The principal changes reducing average reserve balances with Federal Reserve Banks were decreases of $153 million in member bank borrowings and $107 million in U. S. Government securities held under repurchase agreement, and an increase of $147 million in "other" F. R. accounts (net). The principal offsetting changes were increases of $91 million in U. S. Government securities bought outright and $28 million in Federal Reserve float, and decreases of $90 million in currency in circulation, $6l million in Treasury deposits with Federal Reserve Banks, and $59 million in "other" deposits with Federal Reserve Banks. Total Reserve Bank credit decreased $142 million. As of Wednesday, May 25, holdings of U. S. Government securities bought outright were $63 million higher than a week earlier, U. S. Government securities held under repurchase agreement were $58 million lower, and member bank borrowings were $109 million higher Averages of daily figures Member bank reserves, Week ended Change from week ended Wednesday Reserve Bank credit, May 25, May 18, j May 27, May 25, and related items i960 i960 1 1959 I960 (In millions of dollars) Reserve Bank credit: U. S. Government securities— Bought outright--System account 25,718 + 91 - 187 25,718 Held under repurchase agreement 27 -107 + 27 * Acceptances—bought outright 30 - 1 + 2 29 Loans, discounts, and advances— Member bank borrowings 402 -153 - 256 375 Other 1 + 1 - 16 »- Float 1,161 + 28 + 221 850 Total Reserve Bank credit 27, 338 -142 — 210 26,972 Gold stock 19,353 6 - 835 19,352 Treasury currency outstanding 5,350 + 1 + 82 5,350 52,041 -146 - 964 51,674 Currency in circulation 31,684 - 90 + 211 31,660 Treasury cash holdings 415 + 2 - 293 4i4 Treasury deposits with F. R. Banks 547 - 6l + 4 504 Foreign deposits with F. R. Banks 202 + 7 - 79 217 Other deposits with F. R. Banks 290 - 59 - 73 292 Other F. R. accounts (net) 1,034 +147 - 210 l, 033 34,173 - 53 - 439 34,120 Member bank reserves: With Federal Reserve Banks 17,868 - 93 - 525 1177,,555544 Cash allowed as reserves (estimated) 278 + 4 + 278 278 Total reserves held 18,146 - 89 - 247 17,832 Required reserves (estimated) 17,723 - 49 - 340 17,698 Excess reserves (estimated) 423 - 40 + 93 134 * Less than $500,000. On May 25, I960, U. S. Government securities held in custody by the Federal Reserve Banks for foreign account were $4,821 million, an increase of $31 million for the week and an increase of $1,117 million from the comparable date a year ago.

H.4.1(a) STATEMENT OF CONDITION OF THE TWELVE FEDERAL RESERVE BANKS COMBINED (In thousands of dollars) Change since May 25, May 18, May 27, I960 I960 1959 A S S E TS Gold certificate account 18,115,643 - 5,000 - 576,251 Redemption fund for F. R. notes 943,060 - 2,857 + 30,010 Total gold certificate reserves 19,058,703 - 7,857 - 546,241 F. R. notes of other Banks 404,859 1,195 + 58,066 - Other cash 375,881 + 4,730 + 11,838 Discounts and advances 374,870 + 109,254 178,662 - Industrial loans — <•» «•» ** 2 Acceptances—bought outright 28,866 - 500 + 1,975 U. S. Government securities: Bought outright— Bills 1,716,867 4* 63,200 186,633 • Certificates 8,506,993 -10,142,733 —— Notes 13,010,298 +10,142,733 «"— Bonds 2,483,771 —— — «" Total bought outright 25,717,929 + 63,200 166,633 - Held under repurchase agreement 300 58,300 + 300 ~ Total U. S. Government securities 25,718,229 + 4,900 - 186,333 Total loans and securities 26,121,965 + 113,654 363,022 Due from foreign banks 15 —* «• m Cash items in process of collection 5,257,171 .1,106,072 + 159,252 Bank premises 104,466 + 818 4- 8,729 Other assets 165,795 + 19,386 4. 23,700 TOTAL ASSETS 51,488,855 976,536 647,678 - - L I A B I L I T I ES Federal Reserve notes 27,210,752 - 4466,,335500 + 113355,,883388 Deposits: Member bank reserves 17,554,032 12,334 507,620 - - U. S. Treasurer—general account 503,992 - 89,899 - 20,827 Foreign 216,942 18,297 71,650 - - Other 292,182 - 10,485 - 61,195 Total deposits 18,567,148 131,015 661,292 - ~ Deferred availability cash items 4,407,615 818,442 + 30,909 Other liabilities and accrued dividends 43,486 + 809 + 5,067 TOTAL LIABILITIES 50,229,001 994,998 489,478 - - C A P I T AL A C C O U N TS Capital paid in 397,931 + 12 + 19,702 Surplus 774,808 — «• • 93,602 Other capital accounts 87,115 + 18,450 84,300 • TOTAL LIABILITIES AND CAPITAL ACCOUNTS 51,488,855 976,536 647,678 - - Ratio of gold certificate reserves to deposit and F. R. note liabilities combined 41.6# + .1# 7$ Contingent liability on acceptances purchased for foreign correspondents 116688,,661166 + 7,399 + 91,545 Industrial loan commitments 360 -- — - MATURITY DISTRIBUTION OF LOANS AND SECURITIES, MAY 25, I960 (Acceptances and securities held under repurchase agreement are classified as maturing within 15 days in accordance with maximum maturity of the agreements.) Discounts and U. S. Government advances Acceptances securities Within 15 days 365,523 10,955 294,921 16 days to 90 days 9,229 17,911 6,422,246 91 days to 1 year 118 — 11,864,558 Over 1 year to 5 years — — 5,686,64? Over 5 years to 10 years __ 1,178,574 Over 10 years -- -- 271,283 Total 374,870 28,866 25,718,229

E.4.l(b) STATEMENT OF CONDITION OF EACH FEDERAL RESERVE Phila- Cleve- St. Minne- Kansas San Total Boston New York delphia land Richmond AAttllaannttaa CChhiiccaaggoo Louis apolis City Dallas Francisco (In thousands A S S E TS Gold certificate account 18,115,643 847,646 5,041,581 1064,248 1540,515 970,891 836,706 3318,866 653,433 305,615 675,446 612,405 2248,291 Redemption fund for F. R. notes 943,060 56,837 200,502 58,335 83,326 80,659 60,215 177,298 44,860 23,294 44,016 32,128 81,590 Total gold certificate reserves 19,058,703 904,483 5,242,083 1122,583 1623,84i 1051,550 896,921 3496,164 698,293 328,909 719,462 644,533 2329,881 F.R. notes of other Banks 404,859 26,936 110,557 21,297 24,269 29,980 75,209 19,868 11,800 8,534 18,248 21,538 36,623 Other cash 375,881 22,950 72,765 15,245 35,528 20,723 31,847 6l,06l 20,939 9,315 13,809 15,443 56,256 Discounts and advances 374,870 19,420 21,465 16,880 19,420 40,218 44,200 45,545 14,219 50,425 56,176 33,202 13,700 Acceptances: Bought outright 28,866 28,866 U. S. Govt, securities: Bought outright— Bills 1,716,867 92,264 428,241 98,301 147,508 108,669 94,137 293,856 69,392 39,840 73,689 69,190 201,780 Certificates 8,506,993 457,166 2,121,916 487,076 730,895 538,450 466,447 1456,040 343,827 197,405 365,129 342,832 999,810 Notes 13,010,298 699,173 3,245,185 744,918 1117,806 823,487 713,368 2226,816 525,837 301,904 558,415 524,315 1529,074 Bonds 2,483,771 133,478 619,532 142,211 213,398 157,210 136,188 425,117 100,386 57,636 106,606 100,096 291,913 Total 25,717,929 1382,081 6,414,874 1472,506 2209,607 1627,816 1410,140 4401,829 1039,442 596,785 1103,839 1036,^33 3022^577 Held under repurchase agreement 300 Total U. S. Govt, sees. 25,718,229 1382,081 6,415,174 1472,506 2209,607 1627,816 1410,140 4401,829 1039,442 596,785 1103,839 1036,433 3022,577 Total loans & securities 26,121,965 1401,501 6,465,505 1489,386 2229,027 1668,0341 454,340 4447,374 1053,661 647,210 1160,015 1069,635 3036,277 Due from foreign banks 15 1 3/ 4 l l 1 1 2 (2) (2) 1 1 2 Cash items in process of collection 5,257,171 364,948 1,002,428 338,396 445,103 4o4,378 431,027 842,840 216,914 147,013 280,824 259,531 523,769 Bank premises 104,466 4,155 9,702 3,923 9,067 6,443 10,4l8 19,637 6,892 4,969 4,566 12,809 11,885 Other assets 165,795 8,834 40,476 9,356 14,623 10,445 9,742 27,456 6,547 3,839 7,972 6,918 19,587 TOTAL ASSETS 51,488,855 2733,808 12,943,520 3000,187 4381,459 3191,554 2909,505 8914,402 2015,046 1149,789 2204,897 2030,4o8 6014,280 l/ After deducting $11,000 participations of other Federal Reserve Banks. 2/ Less than $500.

1.4.1(c) STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON MAY 25, I960 Phila- Cleve- St. Minne- Kansas San Total Boston New York Richmond Atlanta Chicago Dallas delphia land Louis apolis City Francisco (In thousands of dollars) L I A B I L I T I ES ederal Reserve notes 27,210,752 1570,013 6,370,844 1770,265 2482,664 2018,655 1536,208 5158,4l4 1178,983 603,802 1092,394 772,965 2655,545 Deposits: Member bank reserves 17,554,032 724,604 5,021,882 831,644 1356,143 733,351 895,834 2745,219 582,798 365,374 793,747 905,849 2597,587 U.S.Treas.-gen.acct. 503,992 23,453 108,129 26,005 30,754 28,696 18,500 74,591 26,853 22,052 38,270 45,132 61,557 MM. Foreign 216,942 10,045 1/70,367 12,095 19,270 9,225 10,660 28,290 6,765 4,715 8,405 Other 607 ~ 241,519 1,741 740 1,997 1,066 571 621 215 786 Total deposits 18,567,148 758,709 5,441,897 871,485 1406,907 773,269 926,060 2848,671 617,037 392,356 841,208 963,714 2725,835 Deferred availability cash items 4,407,615 340,807 762,089 282,786 372,270 339,782 378,680 723,153 174,929 123,210 216,589 220,202 473,118 Dther liabilities and accrued dividends 43,486 2,,3 0.0 10,663 2,171 . ,3,990 2,396 2,351 17,,302957 1*638 1,810 2,019 5,726 TOTAL LIABILITIES 50,229,001 2671,829 12,585,493 2926,707 4265,831 3134,102 2843,299 8737,335 1972,587 1120,693 2152,001 1958,900 5860,224 CAPITAL ACCOUNTS Capital paid in 397,931 19,521 113,719 23,263 36,661 17,832 20,892 55,100 13,311 9,185 16,653 22,976 48,818 Surplus 774,808 38,332 220,905 45,638 72,530 34,566 40,306 107,334 25,862 17,580 31,720 44,645 95,390 Other capital accounts 87,115 4,126 23,403 4,579 6,437 5,054 5,008 14,633 3,286 2,331 4,523 3,887 9,848 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 51,488,855 2733,808 12,943,520 3000,187 4381,459 3191,554 2909,505 8914,402 2015,046 1149,789 2204,897 2030,408 6014,280 Conting. liab. on acceptances purchased for foreign correspondents 168,616 8,261 j/48,067 9,947 15,848 7,587 8,767 23,267 5,564 3,878 6,913 9,779 20,738 FEDERAL RESERVE AGENTS' ACCOUNTS F. R. notes outstanding 28,249,120 1625,360 6,691,468 1816,231 2542,348 2085,911 1603,081 5270,610 1226,306 613,245 1125,914 820,269 2828,377 Collat. for F. R. notes: Gold certificate acct. 10,565,000 530,000 2,900,000 700,000 920,000 675,000 500,000 1900,000 410,000 180,000 300,000 250,000 1300,000 Eligible paper 87,275 —— —— 16,880 —— —— —— —— 14,219 - 56,176 U. S. Govt, securities 19,145,000 1250,000 3.900,000 1200,000 1750,000 1465,000 1200,000 3700,000 935,000 450,000 870,000 625,000 1800,000 Total collateral 29,797,275 1780,000 6,800,000 1916,880 2670,000 2i4o, 000 1700,000 5600,000 1359,219 630,000 1226,176 875,000 3100,000 1/ After deducting $146,575,000 participations of other Federal Reserve Banks. 2/ After deducting $120,549,000 participations of other Federal Reserve Banks