H.4.1 Factors Affecting Reserve Balances of Depository Institutions

F E D E R AL R E S E R VE Factors Affecting Bank Reserves and Condition Statement of F.R. Banks For immediate release H.4.1 August 3, 1961 The average of daily figures of total member bank reserves held during the week ended August 2 increased $229 million to $19,235 million. Estimated required reserves increased $383 million; and estimated excess reserves decreased $154 million to $495 million. Excess reserves exceeded member bank borrowings at the Federal Reserve Banks by $420 million, compared with the revised figure of $599 million for the week before. Average reserve balances with Federal Reserve Banks increased $287 million, largely reflecting an increase of $588 million in holdings of U. S. Government securities, partly offset by a decrease of $395 million in Federal Reserve float. As of Wednesday, August 2, holdings of U. S. Government securities bought outright were $501 million higher than a week earlier, U. S. Government securities held under repurchase agreement were $144 million higher, and member bank borrowings were $109 million higher. Outright holdings of bills, notes, and bonds increased $203 million, $5,004 million, and $83 million, respectively; and certificates decreased $4,789 million. These changes included an exchange of $4,800 million of certificates, $21 million of notes, and $l4 million of bonds for new issues of notes, $3,235 million due November 15, 1962 and $1,600 million due August 15, 1964. Transactions incident to the Old Series Currency Adjustment Act include an increase of $36 million in Treasury deposits with F. R. Banks for old series (large size) Federal Reserve notes and an increase in Treasury cash holdings of $6l million, representing increases in the gold and silver balances in the general fund. Averages of daily figures Member "bank reserves, Week ended Change from week ended Wednesday, Reserve Bank credit, Aug. 2, July 26, Aug. 3, Aug. 2, and related items 1961 1961 I960 1961 (In millions of dollars) Reserve Bank credit: U. S. Government securities-- Bought outright --System account 27,229 +509 + 469 27,425 Held under repurchase agreement 90 + 79 - 80 144 Acceptances--bought outright 3333 + 4 3333 Discounts and advances-- Member bank borrowings 75 + 25 240 168 Other Float 1,081 -395 4- 204 995 Total Reserve Bank credit 28,508 +219 + 357 28,765 Gold stock 17,527 + 2 -1; 620 17,527 Treasury currency outstanding 5,527 + 87 + 169 5,5^2 51,562 +308 -1,094 51,834 Currency in circulation 32,4Wb ' - 27 + 403 32,490 Treasury cash holdings kkgr * + 46 + 37 426 Treasury deposits with F. R. Banks 456 - 42 10 546 Foreign deposits with F. R. Banks 238 - 13 + 17 211 Other deposits with F. R. Banks 306 + 32 - 52 333 Other F. R. accounts (net) 969 + 25 4- 85 1,025 34,863 + 21 + 479 3355,,003311 Member bank reserves: With Federal Reserve Banks 16,699 +287 -1,573 16,803 Cash allowed as reserves (estimated) 2,536 - 58 +2, 216 2,623 Total reserves held 19,235 +229 + 643 19,426 Required reserves (estimated) 18, ?4o +383 4* 663366 18,795 Excess reserves (estimated) 495 -154 + 77 631 On August 2, 1961, U. S. Government securities held in custody by the Federal Reserve Banks for foreign account were $5,720 million, an increase of $25 million for the week and an increase of $407 million from the comparable date a year ago.

H.4.1(a) CONSOLIDATED STATEMENT OF CONDITION OF THE TWELVE FEDERAL RESERVE BANKS (in millions of dollars) Change since Aug. 2, Jul^ /- 26, Aug. 3, 1961 1961 i960 A S S E TS Gold certificate account 16,225 + 50 -l,656 Redemption fund for F. R. notes 1,043 5 + 88 - Total gold certificate reserves 17,268 4- 45 -1,568 Cash (415) 395 4- 2 12 Discounts and advances 168 4- 109 - 119 Acceptances--bought out right 33 -- + 4 U. S. Government securities: Bought outright-- Bills 2,369 4- 203 -- 44oooo Certificates 1,722 -4,789 -6,785 Notes 19,84o +5, oo4 +6,830 Bonds 3,494 4- 83 +1,010 Total bought outright 27,425 + 501 + 655 Held under repurchase agreement 144 4* ikk - 160 Total U. S. Government securities 27,569 4- 645 + 495 Total loans and securities 27,770 4- 754 + 380 Cash items in process of collection (972) 4,425 + 89 + 445 Bank premises ill + 6 -- Other assets 263 - 61 - 85 TOTAL ASSETS (1,387) 50,232 4- 829 - 834" L I A B I L I T I ES Federal Reserve notes (415) 27,510 4* 44 + 293 Deposits: Member bank reserves 1166,,880033 4- 517 -1,505 U. S. Treasurer--general account 546 + 9 + 168 Foreign 211 47 - 19 - Other 333 4- 71 - 25 Total deposits 17,893 + 550 -1,381 Deferred availability cash items (972) 3,430 + 218 + 193 Other liabilities and accrued dividends 52 4- 4 + 6 TOTAL LIABILITIES (1,387) 48,885 + 816 - 889 C A P I T AL A C C O U N TS Capital paid in 429 4- 1 + 28 Surplus 817 + 42 -- Other capital accounts 101 4- 12 - 15 TOTAL LIABILITIES AND CAPITAL ACCOUNTS (1,387) 50,232 4- 829 - 834 Ratio of gold certificate reserves to deposit and F. R. note liabilities combined (computed from figures as shorn on the following pages--not consolidated) 3377--77$$ - ..44ffoo - 2.5% Contingent liability on acceptances purchased for foreign correspondents 114433 - 4 44oo * Figures in parentheses are the eliminations made in the consolidating process; see comparable figures on combined basis on following pages. MATURITY DISTRIBUTION OF LOANS AND SECURITIES, AUGUST 2, 1961 (Acceptances and securities held under repurchase agreement are classified as maturing within 15 days in accordance with maximum maturity of the agreements.) U. S. Government securities Discounts and Changes advances Acceptances Holdings during week Within 15 days 165 10 631 -4,569 16 days to 90 days 3 23 984 82 91 days to 1 year * — — 8,024 + 287 Over 1 year to 5 years 15,487 +4,976 - — «"* — Over 5 years to 10 years 2,229 + 19 — — — — Over 10 years 214 + l4 •*» mm — — Total m 33 27, 569 + 645 * Less than $500,000.

H.4.1(b) STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON AUGUST 2, 1961 San Total Boston New Phila- Cleve- Rich- Atlanta Chicago St. Minne- Kansas Dallas Fran- York delphia land mond Louis apolis City cisco (In millions of dollar s7 A S S E TS Gold certificate account 16,225 783 3,850 951 1,393 1,010 815 2 98I 635 314 802 658 2,033 Redemption fund for F. R. notes 1 043 63 240 63 90 83 60 189 46 27 47 34 101 Total gold certificate reserve: 17,258" d4b 1,014 1,463 1,093 675 3,170 681 341 64 9 —692— ' 2,134 F. R. notes of other Banks 415 35 118 34 16 20 58 24 11 23 16 17 43 Other cash 395 24 76 19 38 17 33 69 19 11 11 21 57 Discounts and advances 168 99 3 7 6 11 7 6 3 6 3 14 Acceptances: Bought outright 33 U. S. Government securities: Bought outright— Bills 2,369 12 6 585 137 201 150 130 405 96 55 104 96 284 Certificates 1> 722 92 426 99 146 109 95 294 69 4o 75 70 207 Note s 19,840 1,056 4,907 1,146 1,682 1.256 1,091 3,390 798 464 865 806 2,379 Bonds 3,494 186 864 202 296 221 3.92 597 l4i 82 152 142 419 Total 1/560 6,'{b'd 1.-, 584 ^,3^5 -1, fjO l,>UO 4,686 i,io4 o4i l", 196 1,114 3,^9 Held under repurchase agreement ikk Total U. S. Government securities 27,569 i,46o 6,926 1,584 2,325 1,736 1,508 4,686 1, io4 641 1,196 i,ll4 3,289 Total loans and securities 27,770 1,463 7,058 1,587 2,332 1,742 1,519 4,693 1,110 644 1,202 l,H7 3,303 Cash items in process of collection 5,397 378 994 329 435 394 415 878 237 156 120 226 635 Bank premises ill 4 9 4 8 6 13 24 7 5 6 l4 11 Other assets 263 14 64 15 22 17 15 45 11 5 11 11 33 TOTAL ASSETS 51,619 2/764 12,409 3,002 4,334 3,289 2,928 8,903 2,076 1,185 2,415 2,098 6,2l6

STATEMENT OF CONDITION OF EACH FEDERAL RESERVE BANK ON AUGUST 2, 1961 San Total Boston New Phila- Cleve- Rich- Atlanta CChhiiccaaggoo St. Minne- Kansas DDaallllaass Fran- York delphia land mond Louis apolis City cisco (In millions of dollars) L I A B I L I T I ES Federal Reserve notes 27,925 1,634 6,409 1,826 2,507 2,182 1,602 5,177 1,194 584 11,, ll66ll 883399 22,,881100 Deposits: Member bank reserves 1166,,880033 662 4,462 794 1,277 683 856 2,705 615 413 834 939 2,563 U.S. Treasurer-general account 546 30 65 17 27 34 25 64 28 16 135 39 66 Foreign 211 10 1/60 12 19 10 11 30 7 5 9 12 26 Other 333 * 282 1 2 3 1 1 1 1 1 1 39 Total deposits 17,093 702 4,069 024 1,325 730 093 2,000 651 435 979 991 2,694 Deferred availability cash items 4,402 359 747 272 374 312 357 725 184 134 216 119911 553311 Other liabilities and accrued dividends 52 3 16 2 4 3 3 8 2 1 2 2 6 TOTAL LIABILITIES 50,272 2,690 12,04l 2,924 4,210 3,227 2,055 0,710 2, 031 l, 154 2,350 2,023 6, 04l CAPITAL ACCOUNTS Capital paid in 429 21 117 25 40 20 23 60 14 10 18 25 56 Surplus 817 40 229 48 75 37 44 116 27 19 35 47 100 Other capital accounts 101 5 22 5 9 5 6 17 4 2 4 3 19 TOTAL LIABILITIES AND CAPITAL ACCOUNTS 51,619 2,764 12,409 3,002 4,334 3,289 2,928 8,903 2,076 1,185 2,415 2,098 6,216 Contingent liability on acceptances purchased for foreign c orre spondent s 143 7 22//4400 8 13 7 8 20 5 3 6 8 18 FEDERAL RESERVE AGENTS' ACCOUNTS F. R. notes outstanding 29,093 1,695 6,720 1,890 2,644 2,261 1,665 5,275 11,,224455 664 11,,119933 888877 22,,995544 Collateral for F. R. notes: Gold certificate account 9,075 495 2,000 650 870 735 475 1,700 380 170 325 275 1,000 Eligible paper 15 ~ - 3 - - - - - - — — 6 * m. 6 tm mm U. S. Government securities 21,335 1,275 5,100 1,325 1,880 1,560 1,300 3,800 935 510 900 650 2,100 Total collateral 30,425 1,770 7,100 1,978 2,750 2,295 1,775 5,500 1,321 680 1,231 925 3,100 1/ After deducting $151 million participations of other Federal Reserve Banks. 2/ After deducting $103 million participations of other Federal Reserve Banks. * ^ess *han $500,000.