Full text of H.16 Capital Market Developments : November 21, 1957

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Not for Publication DECONTROLLED AFTER SIX MONTHS
H.lii

November 21, 1957

CAPITAL MARKET DEVELOPMENTS
(Including Monthly Review of Sources and Uses
of Funds of Financial Intermediaries)

The volume of public security financing continues to be
substantial. Last week, corporations sold large issues totaling
$103 million and State and local governments offered issues with
aggregate proceeds of $155 million.. The calendar for this week
includes corporate offerings totaling $195 million and State and
local government issues amounting to $109 million. Another State
and local government issue originally scheduled for sale this week
was postponed indefinitely, when the New York State Thruway Authority
rejected the only bid received (naming a 3»1i5 per cent net interest
cost) for its Aaa-rated bonds.
Bond yields - Changes in yields on outstanding bonds were
mixed last week. Yields on Baa-rated corporate and State and local
government bonds increased slightly, while the corporate Aaa's remained stable and yields on U. S. Government obligations and State
and local government Aaa's declined.
Since the change in the discount rate, bond yields have
declined sharply. For example, corporate Aaa yields through Tuesday
of this week had declined five basis points and the decline for the
Baa's was three points. The decline in yields was 16 basis points
for the U. S. Government (old series) and 8 points for new series
bonds from Thursday to this Tuesday. There are no daily figures
available for the yields on State and local government bonds. Over
the week ending last Thursday 5 Moody's composite series went up 2
basis points. For the week ending Friday, the Dow Jones municipal
bond yield series dropped eight basis points.
Declining yields on new corporate issues also reflect
changed market interpretation of credit conditions. An Aa-rated,
first mortgage public utility bond issue was offered "to investors
on Wednesday (November 20) to yield U.82 per cent — U basis points
below that for the last comparable issue, an offering made on
November 8. (The earlier issue, however, carried a 5-year, no-call
provision, whereas the issue this week had. no such restriction.)
The next day, November 21, another Aa-rated utility issue was
offered to the public to yield i±.65 per cent — 17 basis points
below the yield for the previous comparable offering.




H.lU

— 2 —

Stock market credit - Customer credit in the stock market
(excluding that extended on U. S. Government securities) declined
substantially during October, reaching a level of $3,61*3 million at
the end of the month. This is the smallest amount outstanding since
February 1955® The decline of $239 million occurred largely in net
debit balances, Borrowing by member firms of the NYSE maintaining
margin accounts (except borrowings on U. S. Government securities)
declined sharply during October, principally in borrowing on customer
collateral. Customers' net free credit balances increased, totaling
#879 million at the end of the month. These and other data on stock
market credit for October and September are shown in the following
table.

• End of month
Oct.

Sept.

Change

. (Millions of dollars)
Customer credit
Excluding U.S. Govt, securities - total
Net debit balances
Bank loans to "others"
Net debit balances secured by U.S. Govt, securities
' Bank loans to others for purchasing or carrying
U.S. Government securities
Broker and dealer credit
Money borrowed except on U.S. Govt, securities
On customer collateral
Money borrowed on U.S. Government securities
Customers' net free credit balances

3,643
2,568
1,075
39

3,882
2,789
1,093
35

31

21

+10

1,708
1,520
72
879

2*016
r/1,800
63
. 838

-338
-280
+ 9
+ la

r/ Revised.

Stock prices - The Standard and Poor's index of 500 common
stock increased slightly last week, closing at W o 3 7 on November 15.
Daily figures for the first three days of this week indicate a decline
on balance in prices with the index reaching a level of 39.92 on
Wednesday.
.
Institutional investors - Over the first nine months of
this year, the combined growth in savings at three major savings
institutions was six per cent smaller than during the corresponding




-239
-221
- 18
+ h

H.lU

-3

-

period of 1956. This growth — -measured by the net increases in life
insurance company assets, savings capital at savings %nd loan associations, and deposits at mutual savings banks — amounted to $8,314
million this year, as compared to $8,838 million a year earlier.
Savings lagged behind 1956 rates at each of the institutions, with
mutual savings banks showing the largest percentage decline. (In
contrast, time and savings deposits at commercial banks increased much
more rapidly this year than in the first nine months of last year.)
The increase in life insurance company assets during the
first nine months of 1957 amounted to $3,968 million, about li per
cent less than a year earlier. Net liquidation of U. S. Government
securities was nearly two-thirds less than in the first nine months
of 1956. The increase in life insurance company holdings of mortgages has been smaller in each month this year than in the corresponding period last year — with the increase over the nine months
being 35 per cent smaller. At the beginning of 1957, business
security holdings increased less rapidly than in 1956. Sifice March,
however, the increase has been more rapid and over the first nine
months net acquisition of business securities -was lii per cent greater
than last year.
The net increase in savings capital at sayings and loan
associations in the first nine months was $3,158 million, six per
cent smaller than a year earlier. Funds invested in mortgages
were slightly smaller than a year ago, while holdings of U. S.
Government securities increased, about 15 per cent more from January
through September than a year ago.
The growth in deposits at mutual savings banks was $1,188,
about 11 per cent below last year. Net liquidation of U. S. Government securities was about half as large as in the first three quarters
of 1956. Net acquisition of mortgages was also half as large as in
1956, but net purchase of business securities was over three times
larger than last year.
Although the rate of growth in savings at these institutions for the full nine month period has lagged behind the corresponding period of 1956, in September savings inflow was larger than
in September a year ago by a margin of about 15 per cent. March
and June are the only other months this year when the combined growth
was larger than in corresponding periods of last year, and the
increase was about U per cent greater, in each of these months.
The increase over last year's rate occurred it all the institutions,




but was particularly large at mutual savings banks and savings and loan
associations. The investment pattern of the respective institutions
showed little deviation in September from that of other recent months.
More detailed information concerning the recent capital market
developments is presented in the attached exhibits.

Business Finance and Capital Markets Section,
Division of Research and Statistics,
Board of Governors of the Federal Reserve System




HIGH-GRADE

BOND

YIELDS

it. s. Govt., long-term %/
Corporate
Aaa 1/

Old series

New series

Spread between
U. S. Govt,
State and
local govt. (old series) and
CorporatelState and
Aaa 3/
Aaa
1 local Aaa

(Per cent)
1953 - High
Low
195U - High
Low
1955 - High
Low
1956 - High
1957 - High
October 18
October 25
November 1
November 8
November 15

3.1*2
2.99
3.09
2.85
3.17
2.91

(6/19)
(1/9)
(1/8)
U/23)
(12/23)
(1/7)

3.79 (12/28)
3.07 (3/2)
L.lli (9/27)
3.66 (h/12)
UJ07

U.ll
a.12

U.12

It. 12

3.15 (6/6)
2.78 (12/26)
2.71 (1/9)

n.a.
n.a.
n.a.

2'.9h (8/5) 3.03T8/5)
2.80 (2/17) 2.92 (2/3)

2.73 (6/25)

.8L1

1.90 (9/2)

.29
.70

1.98 (1/8)
2.21 (6/10)
! : M ,

•M

3.05 (12/27)
2.17 (2/23)
(8/29)
2.76 (2/21)

.32

3.87 (10/18)3.66 (10/18) 3.b5
3.15 (2/8) 3.22 (2/8)

3.87
3.85
3.85
3.77
• 3.70

ywe"el!ly av&rage^of daily figures.

3.29

1 si!
3.28

:8
.27
.35

.12

I
;U2

Average tern of bonds included is 25-26

i t i t i e S l F
= d lava .1. tor l=dlvld».l ..ties «=d
for different aeries.




b . on different detee'

EXHIBIT B
LOWER-GRADE

BOND

YIELDS

I,

.

1953

1954

Date

1955

Cornorate
Baa 1/

1956

State and'
local govt.
Baa 2/

1957

State and •
local govt,
rev. y

(Per cent)
1953 - High

1957 - High
Low

3.89
3.50
3.7k
3.kk
3.63
3.k5
k.kl
3. $8
5.10
k.k2

October 18
October 25
November 1
November 8
November 15

U.98
5.01
5.0k
5.09
5.10

195k - High
1955 - High
1956 - High

(9/18)
(1/2)
(1/8)
(12/31)
(12/30)
(1/lk)
(12/28)
(3/9)
(11/15)
(k/12)

3.79
2.96
3.32
2.93
3.26
3.02
k.22
3.20
k.5l
3.90
k.33
k.36
k.37
k.37
k.39

(6/25)
(1/8)
(1/7)
(8/5)
(12/29)
(1/6)
(12/27)
(3/8)
(8/29)
(2/21)

3.27
2.71
3.00
2.72
2.99
2.76
3.98
2.89
3.98
3.70

(6/26)
(1/2)
(1/1)
(8/13)
(12/30)
(1/7)
(12/28)
(2/2k)
(1/k)
(2/22)

y

1/ Weekly average of daily figures. Average terra of bonds
included is 25-26 years.
2/ Thursday figures. Only general obligation bonds are included j average term is 20 years.
3/ Friday figures. Average rating of bonds included is
between Baa and A; average term is 20 years.
k/ Series discontinued, as of March 15. .
Note.—Highs and lows are for individual series and may
be on different dates for different series.




STOCK M A R K E T

Stock price

Common
Stock market customer credit
Trading
Customers1
Bank
volume 2/
(millions yields y
Total debit bal- loans to
of shares) (per cent)
ances h/ "others" g/
(Millions of dollars)

1953 - High.
Low
195U - High

1956 - High
Low
1957 - High
September
October
November 1
November 8
November 15

26.51* (1/2)
22.95 (9/18)
35.98 (12/31)
21*. 93 (l/8>
15.89 (12/9)

fci
1.5

hs'.lh (8/3)1
U
& s m

hO. 19 (11/8)

U--U2
3.61*
5:8

til
3.91

il

1*3.98
1*0.1*3

1*0.1*1* ,

1*0.19 i
10.33 -

!:1

2.3

ts-

it

2,1*05

1*,030

£8?
I

3,61*3
3,61*3

1,665
1,312*

B

2,517
2,823
2,71*0
2,568

780

661,
1,01*8
71*6
1,21*1
1,018
1,267

1A63

• 1,071
1,093

^ ' 1

n.a.—Not available!
tJ F
\J Standard and Poor's composite index of 500 common stocks, weekly closing
prices, 191*1-1*3-10. Monthly data are averages of daily figures rather than of
Fridays1 only, highs and lows are for Friday1 a data only.
2/ Averages of daily trading volume on the New York Stock Exchange.
2/ Standard and Poor's composite stock yield based on Wednesday data converted to weekly closing prices by Federal Reserve.
J*/ End of month figures for member firms of the New York Stock Exchange which
carry margin accounts; excludes balances secured by U.S. Government obligations.
£/ Wednesday figures for weekly reporting member banks. Excludes loans for
purchasing or carrying U.S. Government securities at banks in New York and
Chicago. Weekly reporting banks account, for about 70 per cent of loans to others.
For further detail see Bulletin.
Note.—Highs and lows are for individual series and may be on different dates
for different series.




Exhibit D

H.lh

Corporate and State and local Government
Security Offerings and Placements
(In millions of dollarsJ
New capital
1957

1

Corporate
1956
|

livli
6c/6
390

535
312
538

1.78
866
687

765
51*6
395

376
1*90
735

1,27
350
6L2

1,063

597

838

670

529
581*
1*30

1*06
206
357

L06

1,162-/
632
900

672

6#
31.7
1*09

919
658
1,08

1,190
1,6U3
971
1,395

1,365
1,1*16
1,12U
1,98b

3,093
h,o6U
5,1*59

2,802
3,927
5,911

Aoril
May
June

921
771
1,189

818
1,1L6
81,1

991
91l*
973

573 *
712
817

6Sh

61,L

October
November
December

e/950
e/850

7L5;/
1,08^
1,088

1st
2nd
3rd
lith

3,1:79
3,181
2,878

2,102
2,805
2,556
2,922

2,165
2,052
1,911
. 2,695

1,820
1,706
1,51*3

6,663
9,511

1,907
7,1,63
10,38k

l*,2l6
6,127
8,821

3,526
5,056

ouarter
quarter
Quarter
ouarter

1st half
Three quarters
Year

State nnu loc:al 1 /
1
IS'!):,
1
1V56

71*2
572
506

1,063
1,071
1,314*

July
August
September

1957

535
ho?
1,223

January
February
arch

M

1955

e/550

'
'

.

1,70
2L9

.

Excluding finance companies h/
1st
2nd
3rd
Lth

quarter
quarter
quarter
quarter

3,268

2,92k
2,578

Year

1,61.7
2,51*1
2,216
2,826

1,727
1,870
1,LLL
2,51*1*

9,259

, 7,595

e/ Estimated.
'
~t
'
~
1/ Data through June 1956 are Bond Buyer data classified as new capital by
Federal Peserve; later data are from the Investment Bankers Association of America
and are somewhat more complete as to coverage- than the earlier data, particularly
for Federal Government loans.
2/ Includes #637*2 million AT&T convertible debenture issue .
1 / Jncludes $571.5 million AT&T common stock issue .
t / Total new capital issues excluding offerings of sales and consumer finance
companies.
Note.—Details may not add to totals due to rounding.




Large Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds of Large Issues Offered
(Millions of dollars)

Month

Corporate

1956 - October
November
December
1957 - January
February
March
April
May
June
July
August
September
October

State and
local government

386
701
U30
567
671
788
1*77
329
877
525
526
537
57k

Other 2/

383
135
201
386
306
191
199
2U8
176
265
357
185
135

35
100
50
125
25
39
25
30
75

Large Individual Issues Offered November 1 through 15

Issuer

T^pe 3/

Coupon
Amount
(millions Maturity rate or
Offering
net interyield
of
est cost
dollar*)

Rating

CORPORATE
Consumers Power Co.
Conv. deb.
35*2
1st mtg. bds. 25.0 .
Dayton Power & Light Co.
Common stk. 27.U
So. New England Tel. Co.
Beneficial Finance Co.
Deb.
Caterpillar Tractor Co.
S. F. deb.
65.0
Transcontinental Gas Pipe
S. F. deb.
Line Corp.
Trans. Gas Pipe Line Corp. Common stk. m
STATE AND LOCAL GOVERNMENT

$0.0

Fairfax Co., Virginia
Hamilton City S. D., Ohio
Jacksonville, Fla.
Port of New York Auth.
Cook Co., Illinois
State of Kentucky

1972
1987

It 5/8
5

It.63
It .97

Aa
Aa

1977
1977

5
It 1/2

5.2U
U.5U

Aa

1978

6 1/8

6.17

Ba

it. 21
3.78

3.00-5.00
2.80-3.80
3.20-4.60
- 3.78
2.60-3.60
2.30-3.00

Bat
A
A
A
A
Aa

G.O.
5.5 1959-83
G.o.
5.5 1959-80
Utilities Rev.30.0 1959-95/68
Rev.
30;0 1987/67
G.O.
20.7 1958-77
G.O.
35.0 1959-72/68




k.6h
3.83
3.58

2r97

mm

H.Hi

E-2
Large Individual Issues Offered•November 1 through 15 (Cont'd)

Issuer

Type 1/

Coupon
Amount
Offering•
(millions
rate or
Maturity
Rating
net inter- yield
of
dollars)
est cost

STATE AND LOCAL GOVERNMENT
(Cont'd!
Los, Angeles Co. Flood Control Dist., Calif.
Rev.
State of Maryland
G.O.
New York, New York
G.O.
Springfield, Missouri
Water rev.
Chicago, Illinois
Water rev.
Lincoln Park S. D., Mich.
G.O.

20.0
1 W
36.5
22.0
20.0
6.8

1958-83
1960-72
1958-72
1961-97/67
1963-82
1960-86/68

3.72
2.99
3.5U
U.U7
3.97
U.7.7

2.50-3.00
2.50-3.00
2.60-3.55
3.30-U.50
3.1tO-U.OO
3.25-1.75

Aa
Aaa
A
A
A
.Baa

OTHER
None
n.a.—Not available.
1/ Includes corporate and other security offerings of $15 million and over;
State and local government security offerings of #5 million and over.
2/ Includes foreign government and International Bank for Reconstruction and
Development issues.
jy In the case of State and local government securities, G. 0. denotes general
obligation; Rev., revenue bonds; G. R., general obligations additionally secured by
facilities revenues; L.L., limited liability obligations secured by pledge of
designated revenues.




Exhibit F

H.Ik

Forthcoming Larpe Public Security Offerings for New Capital
(Other than U. S. Treasury) 1/
Expected Proceeds from Forthcoming Large Issues
During month following
date shown
State and
Other 2/
Corporate
local govt.

Date of
computation

1956 - Oct. 31
Nov. 30
Dec. 31
1957 - Jan. 31
Feb. 28
Mar. 29
Apr. 30
May 31
June 28
July 31
Aug. 30
Sept. 30
Oct. 31

683
U36
li?6
591
7U0
L61
187
525
370
526
578
576
U58

162
ii8
280
153
153
290
179
97
172
252
2lt3
370
369

Subsequent to
date shown
State and Other 2/
Corporate
local govt.
990
181
796
966
795
186
258
525
U15
811
815
617
815

23
100
35
25
25
25
30
30

955
979
763
6U8
631
862
396
388
198
5Ht
139
587
573

23
100
35
25
25
25
30
15
U5

Forthcoming Large Offerings, as of November 15
Type

Amount
(millions Approximate date
of offering
of dollars)

CORPORATE
Michigan Bell Telephone Co.
Florida Power & Light Co.
Ohio Power Co.
Olin Mathieson Chemical Corp.
Houston Lighting & Power Co.
Idaho Power Co.
Virginia Electric & Power Co.
•Chesapeake & Potomac Telephone Co.
Commonwealth Oil Refining Co.
Standard Oil Co. of New Jersey
Commercial Credit Co.
National Cylinder Gas Co.




Deb.
Common stk.
1st mtg. bds.
Conv. sub. deb.
1st mtg. bds.
1st mtg. bds.
lst&ref.mtg.bds.
Deb.
Conv. sub. deb.
Common stk.
Notes
Conv. sub. deb.

UO.O

15.0
25.0
60.0
iiO.O

15.0

20.0
30.0
20.0

288.2
50.0
17.5

Nov. 19
Nov. 20
Nov. 20
Nov. 20
' Nov. 21
. Nov. 22
Dec. U
Dec. 10
Dec. 11
Dec. 18
(rights expire)
Winter
Winter

H.1U
Forthcoming Large Offerings, as of November 15 (Cont'd)

Type

Amount
Approximate date
(millions
of offering
of dollars)

STATE AND LOCAL GOVERNMENT
State of Ohio
Territory of Hawaii
Oklahoma Co., Okla.
ttState of Connecticut
Washington Toll Bridge Auth.
State of So. Carolina
-*Bethel Municipal Auth., Pa.
•sAkron, Ohio
Los Angeles Sch. Dists., Calif.
State of Ohio
Greater Baton Rouge Port Comm., La.
Chicago Bd. of Education^ 111.
Caddo Parish Sch. JDist., La.
Penna. State Highway & Bridge Auth.
State of Missouri
State of Texas
Pennsylvania Turnpike Commission
"Inter-American Center Auth., Fla.

Thoroughfare rev.
G.O.
G.O.
Expressway rev.
Rev.
G.O. . .
Sewer rev.
Water works rev.
G.O.
G.O.
Rev.
G.O.
G.O.
Rev. .
G.O.
G.O.
Rev.
Rev.

30.0
7.0
6.0
35.0
30.5
5.0
6.1*
5.0
15.0
25.0
19. k
25.0
7.5
20.0
30.0
12.5
62.0
20.0

Nov. 19
Nov. 19
Nov. 19
Nov. 19
Nov. 20
Nov. 26
• Nov. 26
Dec. 2
Dec. 3
Dec. U
Dec. 11
Dec. 17
Jan. 7
Jan. 17
Winter
Winter
Winter
Winter

30.0
15.0

Winter
Winter

OTHER
Pacific Great Eastern Ry. Co.
Union of South Africa

S. F. deb.
Ext. loan bds.

*—Included in table for first time.
1/ Includes corporate and other issues of $15 million and over; State and
local government issues of $5 million and over.
2/ Includes foreign government and International Bank for Reconstruction
and Development issues.
Note. —Deletions for reasons other than sale of issue: Texas Eastern Transmission Corporation's $20 million preferred stock issue — reduced to less than
$15 million.




H.lit

Exhibit G
Yields on New and Outstanding
Electric Power Bonds, Rated Aa and A 1/

Aa-rated offering, yields
A-rated offering yields
Amount above
Amount above
Actual
Actual
seasoned
yields
(per cent)
(per cent) seasoned yields
(basis points)
(basis points)

Date

1952 - 1956
High
Low

L30(12/12/56)
2.93(3/31/51)

1957 - January
February
March
April 3
10
—
12
May 10
15
16
21
23
29
June 5
7
11
July 3
10
11
16
17
August lit
September 5
6
25
October 1
15

"

k.hk

1.25
None
U. 2 9

62
- 3
57

hk

lt.62
None
. it.50

It. 5 0
it.38 2/

65
51

4.63

75

it.78

87

5.25

5.10
it8
68
56

5.oo
it. 8 0
It. 85

75
51
56

ii.78

US

y

63
52

6it

7k

it.90

71

5.10

51

5.00

39
3it
67

It. 95

It .97
,
It.86 2 /

52

69

106" '
2/

it. 88

59
it9
52

98
123

5.00

it.57
U.77
1.65

5.30
5.50
5.05

.

U5

it. 6 0
lt.50
it.53
h.53 2/
it. 70

a.80

70
-15
6it

50

11
2h
November .7
8
15

it.58 (12/6/56)
3.00(3/17/51)

88

y

it3

1/ Covers only 30-year first mortgage bonds, as reported in Moody's Bond"
Survey. Except where indicated, the actual yield figure and the amount above
seasoned yields are averages of offerings during the indicated period and of the
differences between these new offering yields and yields on seasoned issues of
similar quality for the same day. Average maturity for the seasoned issues varies
from 26 to 28 years.
2/ Provides for a 5-year period during which issue may not be called for
refunding at a lower coupon rate. Other issues have no such provision.




H.lU

Exhibit H
Sources and Uses -of Funds by Life
Insurance Companies
Monthly

Cash

1955 - May
.

July
Aug.
Sept.
Oct.
Nov.
Dec.

Value of Assets
at End of Year
1956

- Jan.
Feb.
Mar.
Apr.
May
July
• Aug.
Sept.
Oct.
Nov..
Dec.

Value of Assets
at End of Year
1957 - J a n .
Feb.
Mar.
Apr.
-May
June
July
Aug.
Sept.

liO
-3
30
75
-27
-9
67
55

(In millions of dollars)
Uses of Funds 1/
State and
local
U.S. - Busigovt.
ness
Govt.
securities ities
ities
-li7
-12
50
8b
-51
-102
-136
-3b6

168
lbb
251
-9
209
261
153
293

b
7
-3
11

-9
1
22

.

Mortgages

Other

266
267
26b
253
2b9
313
30b
558

3b
5b
51
b6
58
17
9b
201

b5b
b5l
668
bb9
bb2
b87
b79
772
90,267

1,255

8,515

37,580

1,996

29,b25

-88
-113
-lb
27
19
-9
16
-29
11
16
16
166

-152
-157
-191
ho
-99
-66
-36
-109
2b
b7
-101
-226

27b
230
169
116
153
106
297
Uj2
71
108
98
208

125
20
10
-lb
8
bb
16
5
b
12
6

373
30b
280
269
3b0
293
329
282
215
289
307
288

39,552

2,23b

32,99li

12,272

95,8bb

33;
10

'265
200
193
168
. 162
137
197
191

60
liib
108
bl
119
72
91
62

b72
b22
336
bib
380
371
766
369

7

150

92

b38

1,273

7,519

-132
-38
-b7
2b
-22
60
-5
-30

69
-I4I1
-117
3
-90
-70

45

-bb

-38

' 172
160
192
165
165
172
bib
15b
188

'

lb
7
13
26

H,b6b

Total
sources

85
93
57
8
55 ,
65
56
109
93
-1
73
115'

,

617
377
311
b60
b5b
397
706
bll
bl9
b63
bo5
557

1/ Uses of funds represent net changes in assets and therefore reflect net,
rather than gross, uses.
_
Source: Institute of Life Insurance.




.

Exhibit I

.H.lU

Sources and Uses of Funds
by Savings and Loan Associations
Monthly
(In millions of dollars)
Uses of Funds 1/
Sources of Funds
U.S.
Net
BorrowTotal
change
Govt,
Mort- Other
Cash
Other
sources savings
secur- gages
ing 2/
capital
ities
- May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

3
126
-21*1*
-66
-1*1
117
67
268

of Assets 2,067
2nd of Year
1956
)

- Jan.
Feb. Mar.
Apr.
May
July
Aug.
Sept.
Oct.
Nov.
Dec.

Value of Assets
at End of Year
Jan.
Feb.
Mar.
Apr.
May
July
Aug.
Sept.

—1*8

-1*
-1*7
-62
12
122

-178
-96
-h3
36
58
302

25
18
57
15
-19
l
11
3

551
611
531*
581
1*83
336
21*6
218

93
12
-71
1*0
13
1*6
97
15

671
766
275
569
1*35
499
1*20
503

1*15
715
122
291*
270
1*16
386
781*

2,312

31,1*61

1,791

37,719

32,192

1,558

3,969

110
73
57
55
1*3
-3h
31*
39
13
11*
25
11

21k
296
397
1|08
1*36
1*1*0
1*11*
1*1*7
351*
356
271*
232

-2?
. 56
UU
. 88
127
12
-81*
9
51*
68
81
-21

21*8
1*20
1*50
1*88
617

-200
-75
-51
-5
-2
51*
-59

U73
1*37
523

to
316
31*7
319
1*62
769
11*2
287
267
1*05
377
822

or
398

2,119

2,782

35,729

2,199

1*2,875

37,11*8

-172
-1*0
-23
-1*8
38
187
-320
-106
8

11*2
117
91
30
18
-1*1
1*1
23
26

200
266
361*
1*01*
1*58
1*65
39k
1*63
161

-21*
57
81*
112
11*1
1*1
-100
59
55

lit5
399
515
1*97
651*
651
lU
1*38

336
315
359
313
1*68
859
-68
252
12b

153

73
207
62
129
111
73
18
51*

183
-156
91
11*6
51*
10
16
-335

2

35
11*9
15U
171*
157
-281*
103
95
82
66

81

-380

1,347

1*,000

16
28

-215
• -70
-21
lit
19
106
-3k
39
1*7

60

21*
15U
177
170
167
-31k
116.
11*7
80

1/ Uses of funds represent net changes in assets and therefore reflect net,
rather than gross, uses. Savings and loan associations do not hold business securities and data on holdings of State and local government bonds, presumed to be small,
are not available.
2/ Advances from Home Loan Banks and other borrowing.
Source: Federal Savings and Loan Insurance Corporation.




Exhibit J
Sources and Uses of Funds by
Mutual Savings Banks
Monthly

Cash

(In millions of dollars)
Uses of Funds l/
State and
local
BusiMortgovt.
ness
secur- gages
ities I ities

U.S.
Govt.
ities

- May
. July
Aug.
Sept;
Oct.
Nov.
be c.
Value of Assets
at End of Year
1956 - Jan.
Feb.
.Mar.
Apr.
Hay
July
Aug.
Sept.
Oct.
Nov.
Dec.

.

-111
-73
-13

965

8,k6o

3,316

-52

21
-8
8
-52

13

-lk

-13
-56
-2
69
! -63
-19
-33
-22
110

Value of A ssets
920
at End of Year
1957 - Jan.
Feb.
Mar.
Apr.
May
July
Aug.
Sept.

-Ik
-53
3k

16
36
-65
9
-10
-25
-6
73

-89
13
-56
12
71
-73

-k2
27

-36
-10
-32
-L0
-23
-10
-35

-7

-45

5

2
19
-3

-20 -

-5

-12
2

637 -17,2145

-78
-10

13
-7
5

25
2
16
-3
-5
-5
1
2
-5
-5
- l
8

7,971

3,#3

669

5k

68

6
1

55

2
2
-1
7
-3
2

3k

3
2
19

-k2

k$
3k

-90
-7
-U7
-37

lk

-lk7

21
20
18
-76
-19
-72
-7
11
-17

83
63
62
72
62
61

192
229
~ 213
231
2#
221
177
200

Sources of Funds
Total
sources
or uses

30
-3
-23
11
• 21,
-16
36 .
-15

19,529

191
19U
lh6
201
158

6 9 8 33,311

136
-5
27
92
127
32
121 . -20
62
127
. 116
-3-3
122
-29
111 . 28
103
18

137
19ii
273

3k
2i 1.6
I5v
82
166
188

•hi
k9

97

13k

182
35
27
320

Sk

179
222
251
79
226
190
1#
181
183
18
122
2h7

66

125

2k0

87 .
2L6

621 31,27b

-20
192
13
190
205
32
183
5
62
19U
183. -32
198 - -2k
16
227
186
' 25 205
-15
175 . 53
11(6
-k2

Net
change
in
deposits

28,187
.

139
135
238

k$

67

-

-2k
-31
60
-82
3,037
iiO
87
13

3k
6k

162
278
76
102
159
62
50
399

72
-152

30,032

3,279

85
112
238
7
169
265
16
90
206

52
82
35
27
77
-lib
66
76
-13

-88
63
79

2k
-Uh

rather than gross, uses.
2/ Source: National Association of Mutual Savings Banks and Federal Deposit
usurance Corporation.