H.4.1 Factors Affecting Reserve Balances of Depository Institutions

BOARD OF GOVERNORS For Immediate Release H.4.1 OF THE FEDERAL RESERVE SYSTEM October 27, 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 bank reserves held during the week ended October 26 decreased a net of $89 million to $18,723 million, which reflected in part a decrease of $120 million in member bank reserve balances at the Federal Reserve Banks. Estimated required reserves increased $173 million; and estimated excess reserves decreased $262 million to $588 million. Excess reserves exceeded member bank borrowings at the Federal Reserve Banks by $348 million, compared with the revised figure of $776 million the week "before. The principal changes reducing average reserve balances with Federal Reserve Banks were decreases of $276 million in Federal Reserve holdings of U.S. Government securities, $96 million in Federal Reserve float, and $34 million in gold stock, and increases of $57 million in Treasury deposits with Federal Reserve Banke and $42 million in foreign deposits with Federal Reserve Banks. The principal offsetting changes were a decrease of $184 million in currency in circulation and an increase of $166 million in member bank borrowings. Total Reserve Bank credit decreased $204 million. As of Wednesday, October 26, holdings of U. S. Government securities bought outright were $118 million lower than a week earlier, U. S. Government securities held under repurchase agreement were $295 million higher, and member bank borrowings were $863 million higher. Averages of daily figures Member bank reserves, Week ended Change from week : ended Reserve Bank credit, Oct. 26, Oct. 19, Oct. 28, and related items I960 i960 1959 (In millions of dollars) Reserve Bank credit: U. S. Government securities-- Bought outright—System account 26,681 355 + 317 Held under repurchase agreement 79 + 79 + 58 Acceptances--bought outright 38 + 16 Loans, discounts, and advances- Member hank borrowings 240 + 166 550 - Other 22 + 1 + 15 Float 1,357 - 96 + 208 Total Reserve Bank credit 28,417 - 204 + 64 Gold stock 18,552 - 34 - 934 Treasury currency outstanding 5,383 + 1 86 52,352 237 784 - - Currency in circulation 32,120 184 + 247 Treasury cash holdings 403 10 + 7 - Treasury deposits with F. R. Banks 546 + 57 + 16 Foreign deposits with F. R. Banks 257 + 42 - 40 Other deposits with F. R. Banks 375 - 18 4o Other F. R. accounts (net) 862 - 2 274 34,563 - 117 - 5 Member bank reserves: With Federal Reserve Banks 17,789 - 120 - 779 Cash allowed as reserves (estimated) 934 + 31 + 934 Total reserves held 18,723 - 89 + 155 Required reserves (estimated) 18,135 + 173 - 131 Excess reserves (estimated) 588 262 + 286 - On October 26, i960, U. S. Government securities held in custody by the Federal Reserve Banks for foreign account were $5,708 million, an increase of $157 million for the week and an increase of $1,108 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 Oct. 26, Oct. 19, Oct. 28, I960 i960 1959 A S S E TS Gold certificate account 17,195,642 - 110,002 -1,046,001 Redemption fund for F. R. notes 980,991 + 584 + 32,828 Total gold certificate reserves 18,176,633 - 109,418 -1,013,173 F. R. notes of other Banks 456,131 + 40,875 - 21,246 Other cash 4o4,277 + 15;56l + 17,213 Discounts and advances 950,012 + 863,4o8 + 13,464 Acceptances--bought outright 38,110 + 999 + 15,572 U.S. Government securities: Bought outright— Bills 22,,665555,,665500 - 117,900 + 292,700 Certificates 14,006,993 -— +3;r 500,000 Notes 7,510,298 -3, 500,000 Bonds 2,483,771 " Total bought outright 26,656,712 - 117,900 + 292,700 Held under repurchase agreement 295,600 + 295,600 + 295,600 Total U. S. Government securities 26,952,312 + 177,700 + 588,300 Total loans and securities 27,940,434 +1,042,107 + 617,336 Due frcm foreign banks 15 - - Cash items in process of collection 5,610,159 - 989,478 + 315,297 Bank premises 106,785 - 64 + 8,266 Other assets 346,692 + 16,829 + 55,973 TOTAL ASSETS 53,041,126 + 16,412 - 20,334 L I A B I L I T I ES Federal Reserve notes ~~ 2277,,662211,,888844 - 113,238 + 116,112 Deposits: Member bank reserves 18,353,843 + 685,979 - 49,529 U. S. Treasurer--general account 519,199 + 19,870 - 17,039 Foreign 268,824 + 30,301 - 44,919 Other 375,108 1,431 + 47,575 Total deposits 19,516,974 + 734,719 - 63,912 Deferred availability cash items 4,584,567 - 623,912 + 124,853 Other liabilities and accrued dividends 44,502 + 1,504 + 7,499 TOTAL LIABILITIES 51,767,927 927 + 184,552 * C A P I T AL A C C O U N TS Capital paid in 404,394 + 445 + 20,541 Surplus 774,808 93,602 - Other capital accounts 93,997 + 16,894 - 131,825 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 53,041,126 + 16,412 - 20,334 Ratio of gold certificate reserves to deposit and F. R. note liabilities combined 38.6# .7# - 2.2$ Contingent liability on acceptances purchased for foreign correspondents 196,991 3,930 + 134,612 MATURITY DISTRIBUTION OF LOANS AND SECURITIES, OCTOBER 26, 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 923,475 11,363 815,090 16 days to 90 days 26,477 26,747 6,271,150 91 days to 1 year 60 12,729, 568 Over 1 year to 5 years 5,686,647 Over 5 years to 10 years 1,178,574 Over 10 years 271,283 Total 950,012 38,110 26,952,312

B. 4.1(b) STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON OCTOBER 26, i960 Phila- Cleve St. Minne- Kansas San Total Boston New York delphia land . Richmond Atlanta Chicago Louis apolis City Dallas Francisco (In thousands of dollars) A S S E TS Gold certificate account 17,195,642 797,750 4,632,700 982,869 1453,232 1040,553 858,413 2964,603 696,974 363,636 752,731 670,139 1982,042 Redemption fund for F. R. notes 980,991 58,426 210,032 58,859 87,806 85x535 60,010 180,861 43,151 26,296 44,674 32,051 93,290 Total gold certificate reserves 18,176,633 856,176 4,842,732 1041,728 1541,038 1126,088 918,423 3145,464 740,125 389,932 797,405 702,190 2075,332 F.R. notes of other Banks 456,131 58,356 108,316 39,185 19,126 23,133 56,440 27,863 15,022 20,911 16,631 18,981 52,167 Other cash 4o4,277 28,609 76,403 19,178 33,423 23,779 31,933 62,722 19,278 9,708 l4,146 16,778 68,320 Discounts and advances 950,012 1,678 377,070 19,333 67,748 36,300 53,244 282,417 726 2,006 4o,526 10,828 58,136 Acceptances: Bought outright 38,110 -- 38,110 -- -- - - -- -- -- -- -- U. S. Govt, securities: Bought outright— Bills 2,655,650 142,715 662,404 152,052 228,166 168,090 145,611 454,536 107,334 61,624 113,983 107,022 312,113 Certificates 14,006,993 752,736 3,493,792 801,984 1203,439 886,573 768,017 2397,409 566,121 325,032 601,194 564,482 1646,214 Notes 7,510,298 403,603 1,873,309 430,010 645,262 475,364 411,798 1285,447 303,543 174,277 322,350 302,665 882,670 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 26,656,712 1432,532 6,649,037 1526,257 2290,265 1687,237 l46l, 6l4 4562,509 1077,384 618,569 1144,133 1074,265 3132,910 Held under repurchase agreement 295.600 295$ 500 — — —— —— - — — — — — —— —•» — — —— Total U. S. Govt, sees. 26,952.312 1432.532 6.944.637 1526.257 2290.26s 1687.237 l46l,6l4 4562.509 1077.384 618.569 1144.133 1074.265 3132.910 Total loans & securities 27,940,434 1434,210 7,359,817 1545,590 2358,013 1723,537 1514,858 4844,926 1078,110 620,575 1184,659 1085,093 3191,046 Due from foreign banks 15 1 1 /4 1 1 1 1 2 (2) (2) 11 2 Cash items in process of collection 5,610,159 379,744 966,684 344,051 423,474 418,993 435,054 885,827 257,427 173,711 301,742 285,582 737,870 Bank premises 106,785 3,982 9,506 3,816 8,756 6,216 10,982 21,418 6,713 4,947 5,110 13,719 11,620 Other assets 346.692 18.719 86.158 19.612 30.368 21.826 19.748 58.265 13.897 8.005 15.156 14.268 40,670 TOTAL ASSETS 53,041,126 2779,797 13,449,620 3013,161 4414,199 3343,573 2987,439 9046,487 2130,572 1227,789 2334,850 2136,612 6177,027 1/ After deducting $11,000 participations of other Federal Reserve Banks. 2/ Less than $500.

H.4.l(e) STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON OCTOBER 26, I960 Phila- Cleve- St. Minne- Kansas San Total Boston New York delphia land Richmond Atlanta Chicago Louis apolis City Dallas Francisco (In thousands of dollars) ~ L I A B I L I T I ES Federal Reserve notes 27,621,884 1582,134 6,395,524 1782,397 2514,638 2134,139 1562,762 5218,351 1193,196 590,048 1121,890 812,979 2713,826 Deposits: Member bank reserves 18,353,843 732,344 5,435,478 805,225 1353,770 753,774 915,890 2790,473 651,840 425,266 871,433 958,185 2660,165 U.S.Treas.-gen.acct. 519A99 36,712 78,600 40,505 33,782 22,691 45,761 70,180 28,760 26,387 38,570 33,740 63,511 Foreign 268,824 12,593 1/85,069 11,565 13,364 35,466 8,481 Other 375,108 733 -306,720 3,297 2,076 790 955 5' Si Total deposits 19,516,974 782,382 5,905,867 862,687 1412,054 791,327 977,091 2896,909 690,03b 457,745 921,914 1007,487 2011,475 Deferred availability cash items 4,584,567 350,213 776,123 291,736 366,037 356,555 377,431 744,893 202,934 149,670 235,253 242,315 491,407 Other liabilities and accrued dividends 44,502 1,959 13,585 2,170 4,058 2,286 2,192 6,632 1,584 1,183 1,746 1,825 5,282 TOTAL LIABILITIES 51,767,927 2716^688 13,091^099 2938^990 4296^787 3284^307 2919^476 8866^785 2087,750 1190,646 2280,803 2064,606 6021,990 - CAPITAL ACCOUNTS x m ^ m Capital paid in 404,394 20,004 114,068 23,555 37,392 18,590 21,624 56,664 13,519 9,278 17,169 23,249 49,282 ^ Surplus 774,808 38,332 72,530 Other capital accounts -93, m 4,773 7,490 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 53,041,126 2779,797 13,449,620 3013,161 4414,199 3343,573 2987,439 9046,487 2130,572 1227,789 2334,850 2136,612 6177,027 Coating. liafcu on acceptforeign correspondents ±yb,99i <z/yo,x.-io XX,OO xo,;>x<-> u,u<-y < - 1 , ~ , ~i t —,— FEDERAL RESERVE AGENTS' ACCOUNTS FF.. RR.. nnootteess oouuttssttaannddiinngg 28,852,976 1668,474 6,708,109 1842,425 2650,028 2203,955 1638,253 5344,970 1239,511 668,140 1158,362 862,441 2868,308 CCoollllaatt.. ffoorr FF.. RR.. nnootteess:: 530,000 2,800,000 700,000 920,000 700,000 500,000 1900,000 410,000 180,000 300,000 260,000 1100,000 GGoolldd cceerrttiiffiiccaattee aacccctt.. 10,300,000 5,035 — — — — -- — 39,624 EElliiggiibbllee ppaappeerr 44,659 1250,000 4,000,000 1200,000 1830,000 1550,000 1200,000 3700,000 935,000 510,000 870,000 625,000 2000,000 UU.. SS.. GGoovvtt,, sseeccuurriittiieess 19,670,000 TToottaall ccoollllaatteerraall 30,014,659 1780,000 6,800,000 1905,035 2750,000 2250,000 1700,000 5600,000 1345,000 690,000 1209,624 885,000 3100,000 2/ After deducting $140,855,000 participations of other Federal Reserve Banks.