H.4.1 Factors Affecting Reserve Balances of Depository Institutions

BOARD Of GOVERNORS For Immediate Release H.4.1 OF THE FEDERAL RESERVE SYSTEM December 29, 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 December 28 decreased a net of $13 million to $19, 436 million; cash allowed as reserves decreased $59 million and member bank reserve balances at the Federal Reserve Banks increased $46 million. Estimated required reserves increased $26 million; and estimated excess reserves decreased $39 million to $708 million. Excess reserves exceeded member bank borrowings at the Federal Reserve Banks by $659 million, compared with the revised figure of $673 million the week before. The principal changes supplying average reserve balances with Federal Reserve Banks were increases of $104 million in U. S. Government securities held under repurchase agreement and $21 million in Federal Reserve float, and decreases of $70 million in Treasury deposits with Federal Reserve Banks and $31 million in "other" deposits with Federal Reserve Banks. The principal offsetting changes were decreases of $64 million in U. S. Government securities bought outright, $25 million in member bank borrowings, and $75 million in gold stock. Total Reserve Bank credit increased $42 million. As of Wednesday, December 28, holdings of U. S. Government securities bought outright were $23 million higher than a week earlier, U. S. Government securities held under repurchase agreement were $142 million higher, and member bank borrowings were $3 million lower. Averages of daily figures Member bank reserves, Week ended Change from week ended Wednesday Reserve Bank credit, Dec. 28, Dec. 21, Dec. 30, Dec. 28, and related items I960 I960 1959 I960 (In millions of dollars) Reserve Bank credit: U. S. Government securities— Bought outright--System account 26,946 64 + 159 26,948 - Held under repurchase agreement 128 +104 + 86 277 Acceptances-- Bought outright 50 + 6 48 Held under repurchase agreement 5 + 4 - 29 17 Loans, discounts, and advances-- Member bank borrowings 49 - 25 - 879 71 Other 7 + 1 + 2 7 Float 2,172 + 21 + 384 1,616 Total Reserve Bank credit 29; 358 + 42 - 271 28,984 Gold stock 17,882 - 75 -1,574 17,837 Treasury currency outstanding 5,398 + 2 + 85 5,398 52,637 32 -1,761 52,219 - Currency in circulation 33,195 + 21 + 302 33, Hi Treasury cash holdings 401 - 13 + 8 403 Treasury deposits with F. R. Banks 522 - 70 - 15 4i6 Foreign deposits with F. R. Banks 260 + 14 - 127 265 Other deposits with F. R. Banks 412 - 31 + 79 421 Other F. R. accounts (net) 1,019 + 1 - 176 1,019 35,809 - 78 + 71 35,635 Member bank reserves: With Federal Reserve Banks 16,828 + 46 -l,832 16,584 Cash allowed as reserves (estimated) 2, 608 - 59 +2, 271 2,962 Total reserves held 19753S - 13 + 439 19,546 Required reserves (estimated) 18,728 + 26 + 195 18,729 Excess reserves (estimated) 708 - 39 + 244 817 On December 28, i960, U. S. Government securities held in custody by the Federal Reserve Banks for foreign account were $5,861 million, a decrease of $59 million for the week and an increase of $1,218 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 beci 28, Dec. 21, Dec. 30, I960 i960 1959 A S S E TS Gold certificate account 16,508,643 85,000 --11,,667777,,000000 - Redemption fund for F. R. notes 1,040,793 1 + 62,709 - Total gold certificate reserves 17,549,436 85,001 - F. R. notes of other Banks 428,372 + 66,904 - 53,624 Other cash 318,616 + 14,348 - 17,318 Discounts and advances 77,778 - 2,681 - 293,402 Acceptances: Bought outright 4488,,110044 1 ++ 44,,660000 - Held under repurchase agreement 16,965 + 12,464 - 14,208 U. S. Government securities: Bought outright— Bills 2,864,173 + 2222,,880000 ++ 111177,,110088 Certificates 9,059,743 - •» -1,447,250 Notes 12,481,298 +1,471,000 - - Bonds 2,543,071 - - + 59,300 Total bought outright 26,948,285 + 22,800 + 200,158 Held under repurchase agreement 277,100 + 142,100 + 247,100 Total U. S. Government securities 27,225,385 + 164,900 + 447,258 Total loans and securities 27,368,232 + 174,682 + 144,248 Due from foreign banks 15 " Cash items in process of collection 6,468,348 -1,474,945 + 50,535 Bank premises 107,850 + 6ll + 7,933 Other assets 202,252 + 17,161 - 57,664 TOTAL ASSETS 527443,121 L, 286,240 -1,540,181 L I A B I L I T I ES Federal Reserve notes 28,575,183 44,436 + 260,798 Deposits: Member bank reserves 16,584,347 - 442233,,666644 --11,,337755,,774499 U. S. Treasurer--general account 4l6,463 - 75,178 - 102,034 Foreign 264,943 - 10,490 - 117,990 Other 420,801 ~ 9,564 + 78,197 Total deposits 17,686,554 518,896 -1,517,576 - Deferred availability cash items 4,852,321 741,598 - 56,859 - Other liabilities and accrued dividends 44,661 + 3,050 903 TOTAL LIABILITIES 51,158,719 1,301,000 -1, 314,540 C A P I T AL A C C O U N TS Capital paid in 4o8,516 + 532 + 21,199 Surplus 774,808 - 93,602 - - Other capital accounts 101,078 4* 15,108 - 153,238 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 52,443,121 1,286,240 -1,540,181 Ratio of gold certificate reserves to deposit and F. R. note liabilities combined 37.9% + .2 <fo 2.4$ Contingent liability on acceptances purchased for foreign correspondents 223322,,118844 3,310 ++ 114499,,888866 - MATURITY DISTRIBUTION OF LOANS AND SECURITIES, DECEMBER 28, 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 70,713 33,141 777,226 16 days to 90 days 7,065 31,928 5,106,890 91 days to 1 year 9,211,765 Over 1 year to 5 years 10,679,647 Over 5 years to 10 years 1,178,574 Over 10 years 271,283 Total 77,778 65,069 27,225,3^5

STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON DECEMBER 28, 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 16,508,643 816,100 4,035,382 994,542 1518,526 1027,540 876,682 2819,674 665,190 327,430 707,645 599,711 2120,221 Redemption fund for 1,040,793 62,354 229,584 66,251 92,224 81,220 63,625 188,793 46,646 26,033 49,236 32,693 102,134 F. R. notes Total gold certificate 17,549,436 878,454 4,264,966 1060,793 1610,750 1108,760 940,307 3008,467 711,836 353,463 756,881 632,4o4 2222,355 reserves 428,372 37,380 120,471 27,166 18,4ll 25,333 50,447 33,887 18,613 16,096 17,951 19,524 43,093 F.R. notes of other Banks Other cash 318,616 21,475 52,740 8,890 26,827 18,615 24,316 56,523 19,000 7,674 14,065 14,089 54,402 Discounts and advances 77,778 9,428 5,425 3,103 1,558 15,804 9,214 7,136 6,631 4,601 13,061 656 l,l6l Acceptances: 48,104 48,104 Bought outright Held under rep. agree. 16,965 16,965 U. S- Govt, securities: Bought outright-- Bills 2,864,173 153,921 714,4l6 163,991 246,081 181,288 157,045 490,226 115,762 66,463 122,933 115,426 336,621 Certificates 9,059,743 486,870 2,259,790 518,725 778,386 573,437 496,754 1550,648 366,167 210,231 388,854 365,108 1064,773 12,481,298 670,745 3,113,235 714,629 1072,356 790,004 684,362 2136,274 504,457 289,628 535,710 502,996 1466,902 Notes Bonds 2,543,071 — 136 - ,665 16453,46,03624 218,493 ..160,9 .63 - 13 9-,440 435,266 102,783 59,013 109,150 102,486 298,882 Total 26,948,285 1448,201 6,721,765 1542,951 2315,31^1705,692 1477,601 4612,414 1089,169 625,335 1156,647 1086,016 3167,178 Held under rep. agree. 277,100 -- 277,100 — — II II — Total U. S. Govt, sees. 27,225,385 1448.201 6,998,865 1542,951 2315,316 1705,692 1477,601 4612,4l4 1089,169 625,335 1156,64? 1086,016 3167,178 1095,800 629,936 1169,708 1086,672 3168,339 Total loans & securities 27,368,232 1457,629 7,069,359 1546,054 2316,874 1721,496 i486,815 4619,550 Due from foreign "banks 15 1 1 /4 1 1 1 1 2 (2) (2) 1 1 2 Cash items in process of collection 6,468,348 424,291 1,377,346 375,873 557,685 532,658 546,755 1024,913 264,355 163,799 295,214 232,289 673,170 Bank premises 107,850 3,913 9,425 3,791 8,627 6,113 11,424 22,210 6,648 5,017 5,147 13,922 11,613 Other assets 202.252 10.611 49.918 11.778 17.766 12.848 11,786 33,550 8,017 4.641 8,990 8,482 23,823 TOTAL ASSETS 52, 443,121 2833,776 12,944,249 3034,346 4556,941 3425,824 3071,851 8799,102 2124,269 1180,626 2267,957 2007,383 6196,797 1/ After deducting $11,000 participations of other Federal Reserve Banks. 2/ Less than $500.

H . 1 ( c) STATEMENT OF ;''(XTOITXON'SOF'''1!A'CH"''"FEIIERAL RESERVE BA1# OB DECEMBEP 28, i960 Phila- Cleve- I St. Minne- Kansas I San Total Boston New York delphia land j Richmond Atlanta CChhiiccaaggoo Louis apolis City Dallas jpreu%cisco {Tn thousands of dollars) L I A B I L I T I ES Federal Reserve notes 28,575,183 1642,308 6,675,698 1879,853 2591,401 2198,293 1648,592 5321,761 1235,053 597,715 1154,692 840,413 2789,4o4 Deposits: Member "bank reserves 16, 584, 3^7 724,704 4,532,736 743,869 1295,008 679,849 835,204 2483,228 597,5^1 391,419 781,534 868,067 2651,188 U. S.Treas.-gen.acct. 4l6,463 18,148 21, 583 40,991 50,566 37,682 31,674 44,460 23,144 23,836 38,879 32,778 52,722 Foreign 264,943 11,956 1/90,483 14,396 22,936 10,980 12,688 33,672 8,052 5,612 10,004 l4,152 30,012 Other 420,801 493 367,911 2,661 864 2,018 896 1,320 274 342 893 565 42,564 Total deposits 17,686,554 755, 301 5,012,713 801,917 1369,374 730,529 880,462 2562,680 629,011 421,209 831,310 915,562 2776,486 Deferred availability cash items 4,852,321 370,618 884,193 275,406 473,674 434,681 472,065 723,726 215,402 131,016 225,664 176,652 469,224 Other liabilities and accrued dividends 44,661 2,063 12,4i4 2,426 4,089 2,445 2,237 7,046 1,552 1,413 1,726 2,130 5,120 TOTAL LIABILITIES 517158/719 2770,290T2,'5H5," 018 2959,602 4438,53B" 3365, 955 3003,356 8615,213 20B17018" 1151, 353 2213,392 19357757"6040,234 CAPITAL ACCOUNTS Capital paid in 408,516 20,132 114,543 23,874 37,8C0 18,730 21,838 57,821 13,653 9,401 17,420 23,488 49,816 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 101,078 5,022 23,783 5,232 8,073 6,580 6,351 18,734 3,736 2,292 5,425 4,493 11,357 TOTAL LIABILITIES AM) CAPITAL ACCOUNTS 52,443,121 2833,776 12,944,249 3034,346 4556,941 3425,824 3071,851 8799,102 2124,269 1180,626 2267,957 2007,383 6196,797 Conting. liab. on acceptances purchased for foreign correspondents 232,184 11,378 2/66,161 13,700 21,827 10,449 12,074 32,044 7,663 5,3^1 9,520 13,467 28,560 FEDERAL RESERVE AGENTS' ACCOUNTS F. R. notes outstanding 29,762,821 1693^921 7,000,868 1938,'573 2724,800 2271,728 1721,885 5 % 9 13 1278, 538 674,817 1186,"ST 885,932 2928,630 Collat. for F. R. notes: Gold certificate acct. 9,885,000 500,000 2,500,000 650,000 920,000 700,000 550,000 1800,000 410,000 180,000 300,000 275,000 1100,000 Eligible paper 21,864 —— — — 2,690 — — —— — — 6,4co — — 12,774 — — U. S. Govt, securities 20,565,000 1250,000_ 4,600,000 1325,000 1830,000 1590,000 1200,000 3800,000 935,000 510,000 900,000 625,000 2000,000 Total collateral 30,471,864 1750, 000 7,100,000 1977, 690 2750,000 2290,000 1750,000 5600,000 1351,400 690,000 1212,774 900,000 3100,000 1/ After deducting $174,460,000 participations of other Federal Reserve Banks. 2/ After deducting $166,023,000 participations of other Federal Reserve Banks.