The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
• OARD OF aOVERNORS H. 13 No. 364 August 27, 1968. CAPITAL MARKET DEVELOPMENTS ABROAD LIBRAAY l£. : AUL 4 Ten Charts on Financial Markets Abroad Latest Figures Plotted in H.13 Chart Series, 1968 n I. o c . ^ f n < ; > Ten Charts on Financial Markets Abroad Chart Chart Chart Chart Chart Chart Chart Chart Chart Chart 1 - New York, London: Yields on U.S„ Dollar Funds 2 - London: Yields for U.S. Dollar Investors on 3-Month Funds 3 - Interest Arbitrage: Fraikfurt/London, Zurich/London 4 - Interest Arbitrage: New York/Canada 5 - Interest Arbitrage: New York/London 6 - Short-Term Interest Rates 7 - Long-Term Bond Yields 8 - Spot Exchange Rates--Major Currencies Against U.S. Dollar 9 - 3-Month Forward Exchange Rates 10 - Industrial Stock Indices Europe and British Commonwealth Section. NOT FOR PUBLICATION DECONTROLLED AFTER SIX MONTHS NEW Y O R K - L O N D O N : YIELDS O N U . S . 3 - M O N T H DOLLAR D E P O S I T RATES DOLLAR FUNDS Wednssdoy ligurei DEPOSIT C E R T I F I C A T E OF D E P O S I T EURO-DOLLAR OVER U . S . C E R T I F I C A T E OF D E P O S I T i I i i 1 ii 1 M CALL EURO DOLLAR DEPOSIT RATE V S . U.S. 1 i i 1 ii i i i I i i 1 ii FEDERAL FUNDS RATE CALL EURO-DOLLAR D E P O S I T S FEDERAL F U N I S Mar. Jan. Sept. Dec. 1965 Mar. Jan. 1986 Sept. lee. Mar. Jae. 1967 Sept. tec. Mar. lea. 1966 Sept. lee. LONDON: YIELDS EURO DOLLAR Fridoy figures FOR DEPOSIT U.S. DOLLAR INVESTORS ON 3-MONTH FUNDS RATES Per cenr per 1 1 1 DAY 1 0 DAY M J S D M 1965 J 1966 $ I N J 1967 $ I J 1961 $ 0 H LONDON: YIELDS FOR U . S . HIRE P U R C H A S E A N D Fridoy figures DOLLAR LOCAL INVESTORS O N AUTHORITY DEPOSIT 3-MONTH RATES FUNDS (covered) Per cent per annum 8 EURO DOLLAR DEPOSIT, 6 4 HIRE PURCHASE 2 0 FAVOR HIRE P U R C H A S E 0 2 4 DIFFERENTIAL FAVOR EURO-DOLLAR 6 8 EURO DOLLAR DEPOSIT 6 4 'OSIT 2 0 F A V M LOCAL AUTHORITY 0 2 4 DIFFERENTIAL 1965 F##R 1966 1967 EURO DOLLAR 1MI 6 £ I INTEREST ARBITRAGE: F R A N K F U R T / L O N D O N , FRANKFURT INTERBANK LOAN RATE VS. ZURICH/LONDON LONDON EURO-DOLLAR RATE (COVERED) 1 IN TEIRMS J - A T X \ EURI J-DOLLJ IR V R 'v-x/z V I LO AN RA1FE I NTERBi INK 1 1 1 I 1 i i FAVOR FRANKFURT D I F F I E R E N T I 1A L A , 1 / x w i ,, ZURICH / V i i / V A 1 1 DEPOSIT 1 1 I RATE V S . 1 1 1 LONDON 1 1 1 I V l EURO-DOLLAR 1 T T ^ i 1 RATE ! I A i V/7 i 1! I I i I I 1 1 1 1 \ . r H 1 1 PRICE OF G O L D IN 1 1 1 I VNy n i I 1 I l 1 FAVOR E U R O - D O L L A R 1 AA V R1 - ./A F A V O R ZURICH - j 1 1 ! I 1 1 1 1 1 1 1 i 1 EURODOLLAR iT! LONDON 1965 I cloied March 15 April 1, 1968 FRANCS - D I F F I ERENTI A L V | v IN TE R M S CIF S W I S S \v*\ L / V Z^l " S W I S S DEPOSIT RATE - n i (COVERED) ! ! i J M E O R O - I DOLLAR i A A v 1 O^F DM 196# I.I 1 1 1 I INTERS! ARBITRAGE, Fridoy figures 3-MONTH TREASURY UNITED BILL STATES / C A N A D A RATES CAN. FIN. CO PAPER UNITED STATES ,Vx,X /V CANADA BILL i RATE 1 1 1 DIFFERENTIAL 1 AND r T, T FORWARD CANADIAN T DOLLAR S P R E A D IN FAVOR OF CANADA FORWARD RATE DISCOUNT 3-MONTH COVERED RATE DIFFERENTIALS (NET INCENTIVES) FAVOR C A N A D A TREASURY BILLS | PRIME FINANCE PAPER FAVOR CANADA FAVOR U . S . 1965 1966 1M7 1HI 2 INTEREST ARBITRAGE, 3-MONTH TREASURY NEW YORK/LONDON BILL R A T E S U. K. LOCAL AUTHORITY D E P O S I T S / V M v U LONDON NEW YORK 1965 1966 1967 1968 1 INTEREST RATE ARBITRAGE, DIFFERENTIAL NEW AND Y O R K / L O N D O N 3-MONTH FORWARD 4 STERLING S P R E A D IN FAVOR OF LONDON 2 PREMIUM 0 DISCOUNT FORWARD RATE 2 V\ 4 6 8 10 2 T 0 IN FAVOR OF NEW YORK 2 4 6 DIFFERENTIAL WITH FORWARD 1965 1966 EXCHANGE COVER (NET 1117 INCENTIVE) 6 1111 °\ S H O R T - T E R M INTEREST RATES EURO-DOLLAR - L O N D O N t TU.K. /"•S. yy-V1 SWITZERLAND- 9 JAPAN CANADA I GERMANY— 1964 IHI 1965 > 3 month Ireoiury bill ralei for oil counlriei except Japan (Average rale on bank team and diicaenti) Switzerland (3-month deposit role) and Germany 3-month role lor U S dollar deposits in London (interbank loan *ole) 1117 1118 w LONG-TERM Weekly figures B O N D YIELDS ' Per cent per annum NETHERLANDS CANADA U.S. SWITZERLAND 9 GERMANY «f "V U.K. 8 U.S. EUI U.S. 1964 1965 * * New series for Germany starts 7-9 65 * * » New series for Switzerland starts 3 3-67 * * * * New series for Netherlands starts 1 7-66 1917 111! ' \\ S P O T E X C H A N G E RATES - M A J O R C U R R E N C I E S A G A I N S T U . S . D O L L A R SWISS FIANC GERMAN M A R K — V A j U.K. S T E R L I N G BELGIAN FRANC DUTCH GUILDER FRENCH F R A N C CANADIAN DOLLAR ITALIAN LIRA J A P A N E S E YEN 1965 * Devaluation of 1918 1117 111! 3 - M O N T H A G A I N S T F O R W A R D U.S. EXCHANGE DOLLARS — N E W RATES YORK Per cent per annum Friday figures GERMAN MARK S W I S S FRANC POUND S T E R L I N G DISCOUNT- I DUTCH GUILDER FRENCH F R A N C A CANADIAN DOLLAR AGAINST POUND STERLING — L O N D O N GERMAN MARK S W I S S FRANC U.S. DILLAR •ISCtVRT- 1965 1967 1961 1111 INDUSTRIAL STOCK INDICES Ratio scale 360 320 280 240 SWITZERLAND U.S. 200 GERMANY 160 U.K. 120 T 360 320 280 JAPAN 240 CANAIA I ^/~V 200 U.S. 160 120 1965 # ## III Swiss Bank Corporation industrial sleek index. Japanr index of 225 industrial and other stacks traded en the Tekye e*th#*#e 1117 III H. 13 No. 364 August 27, II.a Latest Figures Plotted in H.13 Chart Series, 1968 (all figures per cent per annum) Chart 1 (Wednesday, Upper Panels Aug. 14 Euro-$ deposit 5.94 U.S. certif. of deposit 5.93 Lower Panels (Wednesday, Aug. 14 Chart 4 (Friday, Aug. 16 ) Treasury bills : Canada U.S. ) 5. 67 5.07 Spread favor Canada +0.60 Call Euro-$ deposit 5,78 Forward Canadian dollar -1.19 Federal Funds 6.12 Net incentive (Canada +) -0« 59 Canadian Finance paper Chart 2 (Friday, Aug. 16 n. a. Chart 5 (Friday, Aug. 16 ) ^ ) Upper Panel - Euro-$ deposits: Call 30-day 5.75 6^8 90-day 180-day Treasury bills: U.K. 6.75 U.S. 5.07 6.00 6.18 Middle Panel Spread favor U.K. Hire-purchase paper (Aug. 9) 5.84 Euro-$ deposit (Aug. 9) 6.00 U.K. local authority deposit Treasury bills: U.S. Local-authority deposit (Aug. 9) 5.59 I. (Aug. 9) n.a. Chart 6 (Friday, Aug. 16 Lower Panel Euro-$ deposit +1.68 5. 07 U.K. 6.75 Canada 5.67 6.00 Chart 3 Upper panel (Period: AUH. 8-15 Interbank Loan (mid-point) 3. 50 Euro-$ deposits 3. 54 ) Interbank loan rate (German) ( Aug. 8-15 ) Euro-$ deposit (London) (average) 3.50 6.00 Zurich 3-month deposit Lower Panel (date June 15 Zurich 3-month deposit ) 3.75 (Date: June 15 Japan Composite rate Euro-$ rate (covered) Price of gold (Friday, A „ g . 16 ) 3.7S 4. 23 (Date: II. ) - 38.95 June 30 ) 7.52 ) H. 13 No. 364 - II. b - August 27, 1968. Chart 7 U.S. Gov't. (Wed. , Aug. 14 Chart 9 ) ) 5.12 U.K. War Loan (Thurs., Aug. 15) 7.55 Against U.S. dollars ) 6.27 Swiss francs +1.88 Dutch Glds., +1.30 Swiss Confed. (Fri, ) n.a. German marks +2.37 Fr. Francs -3. 36 Canadian Gov't. (Wed., ) n. a £ Sterling Can. $ -1. 19 German Fed. (Fri., Aug. 9 Netherlands Gov't. (Friday,, (Friday, A.ie. 1ft -2.42 Against pound sterling: Aug,. 9 ) n.a. Euro-$ bonds (Fri.,» Aug. 16 ) 7.60 U.S. Euro-bonds ( ) 7. 29 ' July 31 Swiss francs +3. 64 Chart 10 U. S. ( Aue. 16 ) Japan ( Aue. 16 ) 2§3,r<? U.K. (Fri. , Aug. 16 ) Swiss francs 4-1.48 Dutch Glds. -0.20 German marks -0.53 Can. $ +0. 78 Switzerland (Fri, U.K. £ Ster. -0.32 It. Lire +0.59 Germany ( Aue. 2 ) +0. 10 Canada ( ) Belgian francs -0.03 Jap. Yens Aug. 8 Aua. 16 276, 5 ) French francs -p. 74 For descriptions and sources of data, see Special Supplement No. 343-S dated March 2 /, 1958. +4, 76 U.S. dollars +2.05 U. S. Corporate Aaa ( July 31 ) 6.24 Chart 8 (Friday, Aug. 16 ) Ger. marks 326,
@FedFRASER