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Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6 .

Form P. R. 567

{

EN D
K IN D

OF M A T E R I A L OR NUMBER

NAME OR S U B J E C T

DATES

(In c lu s iv e ’

PA R T NUMBER




C

SH EET

3 3 3 •-'b -2

Open M arket Investm ent Committee
M eetings
Open M arket O perations

Jan - Mar 1930

Part 6

w

Reproduced from the Unclassified I Declassified Holdings of the National Archives

d e c l a s s if ie d

Authority E .6 . U3Sfc

t

F o r m N o . 181

Office Corresponaetice
To

Federal Reserve Board______ _____

From

Mr. M cClelland.

FEDERAL RESERVE
BOARD

FW

u

A p r il 4 , 1930

Subjects

•t •

» —8486

At the meeting t h is morning there was ordered c irc u la te d the attached
copy o f the a c tin g secreta ry *a minutes o f the recent open market conference
o f the Federal Reserve Board with the V ep resen ta t iv es o f the Federal reserve

bankB'

J&. 2 ^ 7 /
m .
Mr.
yJtofa
^ ifr .
Mr.
Mr.

y~ J

p ia t v i/,
Hamlin,
James,
Cunningham,
M i l le r ,'
P o le.

P lease c ir c u la te promptly and return to t h is o f f i c e .




3 3 5 . ' (f ’X-fo
7 K ^ ,w .;

Reproduced from the unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E.G. IBSfe
TV

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3 3 3 , - i ■;>

Reproduced from the Unclassified I Declassified Holdings of the National Archives




d e c l a s s if ie d

Authority E.6.1235£,

Fe d e r a l R e s e r v e Ba n k
of

Ne w Yo r k

9 9,1930

CONFIDENTIAL

March 2 7 , 1950

Dear Mr* Young:
There i s enclosed herewith fo r your i j i f o r 3 -2 Y - z d L l U 3 3 3 .- 4 £ r 'X
mation the minutes ^of the meeting o f the Open Market
Investment Committee held in Washington on March 24
and 25 , 1950*
Very t r u ly you rs,

V . Randolph Burgess
A cting Secretary, Open
Market Investment Committee

Honorable R* A, Young,
Governor, Federal Reserve Board,
Washington, D. C.
%
Enc. ( l )

i$a J

ju aA

1

BOARD MEETING.

APR 4-

/b e t .

tk + c o

r

1930
_

*

* ),

*

.

Reproduced from the Unclassified / Declassified Holdings of the National Archives

m
d e c l a s s if ie d

Authority E .6 . U3Sfe

*

3

COrFIDirrlAL

REPORT OF THE SECRETARY OF THE OPEN MARKET INVESTIENT COMMITTEE
TO TEE MESTTNS OF THE COMCTTTEE AT WASHINGTON ON I&RCH 24 , 1950
At the time o f the l a s t meeting of the Open Market Investment Committee,
which was held at Y/ashington on January 28 and 2 9 , 1930* the t o t a l holdings of
government s e c u r itie s in the System S p e cia l Investment Account amounted
t o __________________________________________________________________ __ __________$ 2 7 7 ,5 0 0 ,0 0 0
There was po/change in the to t a l amount o f holdings in the System
Account during the period January 28 to March 5 , 1 9 30.

In view

o f d e clin es in the b i l l p o r tfo lio o f the System and pending a
meeting o f the Open Market Committee, the Federal Reserve Bank of
New York, with the approval o f the Federal Reserve Board, purchased
approximately $ 5 0 ,0 0 0 ,0 0 0 o f government se c u r itie s which have been
a llo t t e d to such reserve banks as desired to p a r tic ip a te , and made
k: part o f the sp e c ia l investment account*

These purchases were

made during the fo llo w in g statoment weeks.
Weak ending Y/ednesday, March 1 2 , 1930 - - - - - i
*»
"
"
”
1 9 , 1930 -----------------------T otal amount o f holdings clo se o f
business Wednesday, March 1 9 , 1930 - - - - -

26^750*000
2 3 i0 0 0 i0 0 0
$ 3 2 7 ,2 5 0 ,0 0 0

The Federal Reserve Bank o f San F rancisco, a t i t s re q u e st, was appor­
tioned a s u f f ic ie n t amount of the new purchases of governments to increase i t s
p a rtic ip a tio n in the System Account to approximately i t s proportionate share of
the t o t a l holdings in the Account*

The resorve banks that expressed a d e sire to

p a rtic ip a te in these purchases and the amount that each bank received were as
fo llo w s i




Boston
New York
Philadelphia
Cleveland
Richmond
Minneapolis
Kansas C ity
San Francisco
T otal

$ 3 ,4 8 2 ,5 0 0
6*219*000
3 ,2 3 4 ,0 0 0
4 ,7 2 6 ,0 0 0
2 ,7 3 6 ,0 0 0
1 ,6 1 7 ,0 0 0
2 ,8 6 0 ,5 0 0
2 4 ,8 7 5 ,0 0 0
$ 4 9 ,7 5 0 ,0 0 0

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E.6.1235k

Tho principal changes in tho make-up of tho government securities in
tho System Account since January 28, 1930, none of which affected the total amount
of holdings, were as follows:
February

On February 18, the Federal Reserve Bank of
Dallas asked to be relieved temporarily of
$5*000*000 of its participation of govern­
ment securities in the System Account.
These securities were taken over temporar­
ily by the Federal Reserve Bank of New York
on February 18 and apportioned on February
19 to the other reserve banks which cared
to participate, with the understanding that
the Federal Reserve Bank of Dallas would re­
purchase these securities within sixty days.

February
:

Exchange in the market of $15,000,000 5 1/8%
Treasury certificates due March 15, 1930,
for a like amount of 3 1/2$ Treasury notes
due 1930-32, anticipating the maturity of
the certificates.

February

Exchange in the market of ^25,250,000 of
the $50,250r000 Treasury Bills due March
17, 1930, held in the Account for a like
amount of 3 1/2% Treasury notes due 1930-32,
in anticipation of the b ill maturity.

March 15

Exchange of $14,000,000 - 5 1/8$ Treasury
certificates due March 15, 1930, for a like
amount of the new Treasury 3 1/4$ certificates,
pursuant to the terms of the TreasuryTs
offerings

March 17

Redemption of the balance of ^25,000,000
Treasury Bills due March 17, 19.20, which was
offset by purchase in the market of a like
amount of short-term governments.

There were also changes in the issues of governments which have had the
■affect of decreasing the amount of the longer maturities and increasing the
amount of the shorter maturities.
The Federal Reserve Bank of Few York is s t ill holding in its invest­
ment account approximately $112*000,000 of short-term governments which were pur­
chased in the market last fall as previously reported.
these securities consist of the following issues:



At the present time

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . U35k

U* S * Treasury B i l l s due
4 7/Q% C ert, o f Ind. ”
3 l/Q%> ”
n
n
”
3 1 /4 $ M
”
M
”
3 1/2% Treasury Notes ”
3 1 /2 $ "
”

May JL5,
June 16,
S e p t,15,
Dec* 15*
Mar* 15,
S e p t.15,

1930
1930
1930
1930
1930-32
1930-32

Total

$ 1 1 ,0 0 0 ,0 0 0
1 0 ,3 0 1 ,0 0 0
28., 463,000
1 ,6 1 5 ,0 0 0
3 0 ,9 4 1 ,9 0 0
2 9 ,8 5 1 ,7 5 0
§ 1 1 2 ,1 7 2 ,6 5 0

In addition to the foregoing the Federal Reserve Bank o f New York has purchased
$50,000*000 short-term governments, con sistin g p r in c ip a lly o f June, September
and December 15 c e r t i f i c a t e s ,
account Sinking

to replace a sa le to be made to the Treasury,

Fund, during the la t t e r part o f March and e a rly part of A p r il of

$ 5 0 ,0 0 0 ,0 0 0 3 1/2% Treasury n o te s, S eries A -1 9 3 0 -3 2 ; $ 2 5 ,0 0 0 ,0 0 0

o f which notes

are in the System Account and the balance o f § 2 5 ,0 0 0 ,0 0 0 in the investment
account of the Federal Reserve Bank o f New York.
TRANSACTIONS RELATING TO
SY5T5M PURCHASES OF BANKERS ACCEPTANCES
On February 2 1 , the Federal Reserve Bank of Kansas C ity resumed par­
tic ip a t io n in System purchases o f b i l l s and asked to be a llo t t e d $>5,000^000
ad d ition al b i l l s .

At i t s req u est, $5>000,000 o f b i l l s were sold to the Kansas

C ity Reserve Bank frcm the p o r t fo lio o f tiie New York Reserve Bank, and again on
March 1 5 , by requ est, a sim ila r s a le was made in the amount o f $ 3 ,0 0 0 ,0 0 0 .
On March 4 r owing to i t s low earnings, the Federal Reserve Bank Of
Minneapolis asked fo r a la rg er allotm ent of b i l l s .

As i t seemed u n lik e ly that

the System’ s purchases o f b i l l s would be s u f fic ie n t in the near future to in ­
crease the Kansas C ity Reserve Bankfs a llotm en t, i t was sold $ 5 ,0 0 0 /0 0 0 o f b i l l s
from the p o r t fo lio o f the New York Reserve Bank.
The Federal reserve banks that are p a rtic ip a tin g at present in the
System purchases o f b i l l s are as fo llo w s !




*Boston
New York
♦Philadelphia
Cleveland
Richmond
Atlanta

Chicago
S t, Louis
Minneapolis
Kansas C ity
D allas
San Francisco

* P a rtic ip a tio n s a t present confined to purchases in own
d is tr ic t.

Reproduced from the Unclassified I Declassified Holdings of the National Archives




d e c l a s s if ie d

Authority E .6 . IBSfe

4
Attached are statements showing:
E xh ibit nA” -» Outright holdings o f government s e c u r itie s
by in d ivid ual Federal reserve banks, a lso
th e ir p a rtic ip a tio n in the System Special
Investment Account, and c la s s if ic a t io n o f
issu e s held in the System Account by m aturi­
t i e s , a l l as of close o f business March 19,
1930.
E xh ibit ” B" - B i l l s purchased outright by the System by
weeks from January 3, 1929 to March 19, 1930.
E xh ibit wCn - Earning a sse t holdings o f a l l Federal
reserve banks March 19, 1930, as compared
with previous week and March 20, 1929, a lso
weekly average o f earning a ss e ts from
January 2 , 1930 to March 1 9 , 1930, as com­
pared with corresponding period 1929 and
en tire year 1929.
E xh ibit "B " - A ctual net earnings o f a l l Federal reserve
banks fo r the months o f January and February
1930.

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 .

EXHIBIT "A”

STATEMENT SHOWING HOLDINGS OF GOVERNMENT SECURITIES BY FEDERAL RESERVE BANKS
(Excluding S ales Contracts)

Outright Holdings of
Government S e c u r itie s
by Federal reserve
banks as at the close
o f business March 1 9 , 1930
Boston
New York

$

706,600
1 1 6 ,4 0 2 ,6 0 0 *

P a rtic ip a tio n by Federal
reserve banks in system
Special Investment A cct.
Government S e c u ritie s
as a t the c lo se of
Business March 1 9 , 1930

T otal

$ 3 0 ,1 6 2 ,5 0 0

$ 3 0 ,8 6 9 ,1 0 0

1 0 5 ,5 7 1 ,0 0 0

2 2 1 ,9 7 3 ,6 0 0

P hiladelphia

1 5 ,0 1 0 ,1 0 0

3 1 ,6 9 7 ,5 0 0

4 6 ,7 0 7 ,6 0 0

Cleveland

1 0 ,1 6 4 ,8 0 0

2 5 ,2 5 1 ,0 0 0

3 5 ,4 1 5 ,8 0 0

Richmond

1 ,1 5 2 ,1 0 0

1 1 ,6 7 0 ,0 0 0

1 2 ,8 2 2 ,1 0 0

Atlanta

2 ,5 9 9 ,5 0 0

6 ,2 2 6 ,0 0 0

8 ,8 2 5 ,5 0 0

Chicago

1 9 ,9 2 7 ,4 0 0

5 1 ,4 1 2 ,0 0 0

7 1 ,3 3 9 ,4 0 0

S t. Louis

8 ,6 2 5 ,0 0 0

1 0 ,6 4 1 ,0 0 0

1 9 ,2 6 6 ,0 0 0

Minneapolis

7 ,7 9 0 ,2 5 0

1 0 ,9 5 7 ,0 0 0

1 8 ,7 4 7 ,2 5 0

Kansas C ity

3,000

5 ,9 2 0 ,5 0 0

5 ,9 2 3 ,5 0 0

D alla s

9 ,9 8 7 ,8 0 0

10 ,6 4 7 ,9 0 0

2 0 ,6 3 5 ,3 0 0

flan Francisco

9 ,6 4 2 ,6 5 0

2 7 ,0 9 4 ,0 0 0

3 6 ,7 3 6 ,6 5 0

#202,0 1 1 ,8 0 0

#327,2 5 0 ,0 0 0

§5 2 9 ,2 6 1 ,8 0 0

T o ta ls

* Exclusive o f Special one-day C e r tific a te o f Indebtedness issued to cover
the o v e rd ra ft, and includes $ 4 ,0 0 0 ,0 0 0 held tem porarily fo r r e sa le to
Treasury.
CLASSIFICATION OF ISSUES OF GOVERNMENT SECURITIES
HELD IN THE SYSTEM SPECIAL INVESTMENT ACCOUNT
CLOSE OF BUSINESS MARCH 1 9 , 19 5 0 _________
U. S. T reas. B i l l s due May 19 , 1930
4 7/8% C /l due June 1 6 , 1930
3 1/8% "
" Sept. 1 5 , 1930
3 1/4% M
" Dec.
1 5 , 1930
3 1/2% T/N
" March 1 5 , 1932
3 1/2% M
" Sept. 1 5 , 1932
3 1/2% "
" Dec. 1 5 , 1932
4 1/4% 4th L/L bonds Oct. 1 5 , 1938




T otal

| 2 6 ,0 0 0 ,0 0 0
6 0 ,6 1 0 ,0 0 0
8 0 .0 7 5 .0 0 0
3 6 ,0 0 0 ,0 0 0
3 7 .5 5 5 .0 0 0
3 1 .6 3 5 .0 0 0
3 4 .9 2 5 .0 0 0
2 0 .4 5 0 .0 0 0
| 3 2 7 ,2 5 0 ,0 0 0

BILLS PURCHASE OOTRIGHT BT SYSTEM BT WEEKS
92? A" FRO* J-AVUART 2 TO MARCH 19, 1930, I1SUTSIYI
FROM JANUARY 3 TO IflCff'BSR

V

3 ,1 5 5
1 ,1 2 9
553
969

717
1 ,3 0 3
476
253

75
568
250
-0 -

112
1 25
201
1 ,2 0 1

9 ,7 5 2
5 ,6 4 8

2 ,2 4 4
5 ,5 6 7
7 ,5 0 8
1 2 ,0 9 7

1 5 ,5 0 0
7 ,5 8 5
1 7 ,2 6 0
1 7 ,7 4 5

3 ,3 1 1
2 ,1 2 4
1 ,2 2 7
516

418
1 ,5 1 0
863
1 ,4 2 4

515
150
469
1 ,3 0 5

929
1 ,6 6 5
4 ,2 8 1
2 ,4 9 6

9 ,0 7 3
6 ,7 3 2
3 ,5 2 5
8 ,3 2 1

6 ,5 8 4
2 ,5 3 1
2 ,5 0 4
416

1 5 ,6 5 7
9 ,2 6 3
6 ,0 2 9
8 ,7 3 7

1 ,4 1 0
1 ,6 3 9
1 ,5 9 4
2 ,5 5 4

498
-0 2 ,0 4 2
-0 -

3 .0 5 0
1 ,4 4 2
3 ,2 3 0
1 ,7 4 2
1 ,4 4 2

1 3 ,8 4 3
7 ,4 0 8
4 ,3 8 5
6 ,3 8 2
3 ,8 3 4

8 ,6 5 4

2 2 ,4 9 7

2 ,3 8 7

-o -

191
9 ,6 3 4
1 1 ,8 9 8
6 ,3 9 0

7 ,5 9 9
1 4 ,0 1 9
1 8 ,2 8 0
1 0 ,2 2 4

1 ,6 8 9
1 ,3 9 9
1 ,6 2 3
1 ,9 4 6

2 ,9 0 2
1 ,3 5 5
2 ,8 8 3
945

7 ,7 5 8
5 ,3 6 3
5 ,6 9 3
5 ,3 1 9

2 ,1 1 3
2 ,1 7 7
991
977

-0 -0 -

6,606

6 ,6 2 1
1 ,2 7 0
847
1 0 ,2 2 9
4 ,8 3 1

1 ,3 0 5

3 ,0 3 1
8 ,7 4 5
6 ,7 4 8
1 2 ,5 1 1

1 3 ,2 5 6

3
10
IT
24
i
8
15
22
29

M «r

1 ,5 9 4
1 ,0 4 0
1 14
339

3
10
IT
24
31

1 ,6 8 6
-0 6 04
598
8 64

T
14
21
28

720
4 .8 5 T
2 ,2 8 1
2 ,6 8 6
1 ,4 1 1
1 ,3 3 4
1 ,1 3 1
357

25

Oct.

2
9

16
23
30
Mot .

D oe.

6
13
20
27

TOfALS

2,810
4 ,3 7 4
15
-0 847
1 ,5 7 5
4 ,3 3 1

1 ,2 7 0
-0 3 ,6 5 4
-0 -

3 ,0 3 1
2 ,0 3 8

-0 6 ,7 0 7

3 ,9 2 9
6 ,5 8 5
2 ,9 1 9
1 6 ,7 7 9
1 3 ,0 9 0
1 6 ,5 5 6

2 ,8 1 9
5 ,9 2 6
8 ,2 6 5
2 1 ,4 3 1
1 3 ,9 7 4
5 ,1 5 1

# 7 ,^ 5 8 4 ,1 3 9 +
2 7 ,0 2 1 1 3 ,6 0 9 -

505
1 ,0 6 9
1 ,5 1 7
983

1 ,2 9 8
5 ,5 8 2
2 ,7 0 4
263

2 7 ,0 3 5
2 5,6 31
3 7 ,9 9 7
1 5 ,7 4 4

1 7 ,9 5 6 1 8 ,4 4 8 2 5 ,7 3 8 1 5 ,2 7 3 -

2 4 ,8 6 7 1 9 ,6 8 4 3 5 ,4 2 2 2 1 ,5 6 1 -

2 ,0 1 0
327
903
3 ,4 4 1

2 .0 U
5 ,5 8 2

1 ,3 4 9

-0 -0 -0 -0 -

405
200
1 ,3 0 2
657

592
623
25
621

-0 -0 -0 -0 -

729
1 ,0 9 3
602

1 ,9 3 5
2 ,5 3 9
3 ,2 9 4
3 ,4 0 0

2 4 ,9 8 4
2 2 ,2 1 3
2 6 ,5 7 4
3 0 ,9 7 1

1 4 ,3 9 8 1 2 ,8 2 3 3 5 ,5 2 0 1 7 ,4 6 4 -

2 9 ,4 3 1 2 1 ,5 4 3 4 6 ,2 6 3 2 8 ,4 1 1 -

2 ,5 2 1
3 ,5 9 1
2 ,5 5 4
1 ,8 6 6

4 ,9 2 0
5 ,2 4 9
5 ,4 5 9
1 7 ,5 1 0

275
228
134
25

340
403
778
1 ,2 1 4

95
14
20
218

-0 -0 -0 -0 -

1 ,0 1 2
1 ,4 9 0
642
722

353
9 52
241
338

20,5 69
1 5 ,2 9 4
1 5 ,7 6 1
1 6 ,3 0 4

1 8 ,5 7 3 1 3 ,8 6 2 1 3 ,7 7 2 2 ,ll6 «

3 3 ,7 2 4 1 7 ,3 8 6 1 6 ,2 9 0 148+

3 ,4 9 0
3 ,4 3 6
4 ,7 1 9
2 ,4 2 1

4 ,m % ’
2 ,8 5 1
3 ,9 4 4
3 ,5 J f

-0 278
101
400
100

524
1 ,2 8 7
761
650

- 0-0 -0 ”
-0 -0 -

714
1 ,1 3 2
1 ,6 8 2
1 ,3 0 8
1 ,1 0 1

1 ,0 3 6
1 ,6 9 8
323
1 ,6 2 4
1 ,7 4 *

3 0 ,7 4 7
1 5 ,5 6 7
2 2 ,2 5 1
2 6 ,4 59
1 9 ,3 4 3

2 0 ,8 4 ?♦
1 3 ,1 3 2 8 ,7 5 9 5 ,0 6 3 1 5 ,9 8 3 -

2 9 ,2 4 6 +
1 3 ,2 4 0 1 1 ,0 7 4 8 ,1 2 1 2 0 ,0 6 7 -

1 ,9 0 4
2 ,3 1 1
2*® l0
1 ,1 8 4
4 ,M *

3 ,4 5 3
I ,ff5

806

539
192
728
830
1 ,4 8 0

792
1,0 50

200
225
-0 313

1 ,1 4 5
991
303
178

204
271
450
648

-0 -0 -0 -0 -

518
969
654
874

84f
74#
1 ,7 6 ?
76J

1 4 ,3 7 9
1 1 ,8 8 4
1 0 ,7 6 6
1 0 ,3 6 7

4 ,5 6 6 +
6 ,4 0 2 +
2 2 ,8 2 2 T62-

5 ,1 7 2 1 ,3 7 0 +
2 7 ,0 8 5 4 ,1 9 3 -

5# 083
6 ,2 1 2
3 ,0 0 0
2 ,5 4 7

3 ,2 0 3
2 ,« I K 4^900

-0 -0 -0 -0 -0 -

-0 -0 -0 458
147

531
851
729
575
298

629
50
30
526
61

-0 —
-0 -0 -

618
720
1 ,2 1 0
1 ,1 2 5
500

354
-0 700
869
898

1 1 ,7 4 4
2 ,9 3 6
4 ,2 4 4
1 5 ,1 5 1
8 ,1 8 7

3 ,2 8 2 2 ,1 3 7 1 ,7 9 3 +
1 ,4 2 6 6 ,1 9 7 +

8 ,9 1 7 7 ,9 4 * 1 ,6 6 2 +
1 ,2 0 4 +
5 ,7 2 5 +

2 ,0 8 0
3 ,8 3 6
T ,* 2 f
2 ,4 4 4
4 ,7 8 5

1 0 ,4 4 *
29T
2 ,9 9 3
4 ,8 1 8

1 ,0 9 0
1 ,3 5 6
1 ,5 5 8
3 ,6 4 4

-0 -0 104
598

-0 380
-0 85

143
365
3 54
1 ,0 6 0

470
1 ,3 2 6
1 ,8 3 0
217

-0 -0 -0 -0 -

390
738

5 ,9 1 2
1 9 ,5 0 4
1 6 ,4 1 0
2 3 ,8 0 7

2,3 6 1+
3 2 ,8 77 +

4,5 9 1+
3 8 ,7 2 7 +

891
2 ,9 * 8

2 ,0 8 8
4 .U 3

825
5 14

68
1 ,7 3 7
2 ,7 1 0
2 ,4 9 2

3 ,9 4 9 +
1 7 ,5 1 5 +

1 4 ,2 5 2 +
24.3T T +

1 1 ,1 8 4
3 8 ,2 1 0
2 7 ,0 6 4
2 1 ,7 0 7

1 ,8 5 6
2 ,0 2 3
2 ,2 0 2
2 ,3 0 4

1 ,1 9 0
-0 200
75

100

1 ,5 6 3
2 ,0 8 9
1 ,1 4 0

324
425
631
614

-0 -0 -0 -0 -

993
814
501
1 ,0 4 1

2,0 6 9
868
1 ,8 3 9
2 ,3 1 4

2 0 ,6 9 0
4 6 ,1 13
3 4 ,8 6 8
2 8 ,9 7 8

2 1 ,2 32 +
3 2 ,2 3 1 +
1 7 ,4 0 8 +
2 0 ,2 67 +

2 6 ,4 0 2 +
3 9 ,3 1 3 +
1 8 ,8 7 4 +
22,8 31 +

6 7 ,0 9 9
5 1,2 91
3 2 ,9 2 9
3 2 ,4 1 5
6 ,0 5 3

2 ,9 3 8
1 ,9 8 1
1 ,9 4 3
952
284

479
-0 -

A5

476
1 ,9 7 0
551

-0 -0 -0 -

866
686
371

343
746

-0 -n -

757

2 ,3 1 7
2 ,7 8 9
2 ,3 3 4
933
1 ,0 1 3

7 5 ,9 3 6
6 2 ,3 0 0
4 1 ,2 9 7
3 9 ,4 3 4
9 ,8 6 0

5 4 ,2 63 +
4 ,0 6 5 +
2 4 ,8 96 +
2 2 ,8 4 6 +
2 9 ,9 9 3 -

5 8 ,8 8 4 +
1 0 ,3 3 3 +
2 6,9 59 +
1 9 ,2 7 3 +
3 9 ,4 9 8 -

161

-0 -0 -0 -0 -

752
217
421
383

250

1 5 ,4 2 1
4 ,5 2 4
6 ,1 9 8
4 ,2 3 2

4 ,6 9 8 2 5 ,2 3 0 9 ,9 9 4 2 5 ,9 0 6 -

-0 -0 -0 -

400
362
654
387

7 ,3 0 8
3 2 ,3 6 0
42 ,940
1 6 ,3 2 6

1 2 ,3 6 2
775
311
-0 -

-0 200
1 ,7 8 5
-0 -

1 2 ,8 6 2
975
2 ,0 9 6
-0 -

1 ,3 5 1
1 1 ,6 5 0
1 7 ,6 3 0
8 ,9 7 4
7 .9 9 5

2 ,8 2 0
9 ,9 4 4
1 9 ,7 5 0
297
* 3 .2 9 8

4 ,1 7 1
2 1 ,5 9 4
3 7 ,3 8 0
9 ,2 7 1
41 .293

2,359
3,359
1,627
563

#406,402

25,nt
2 0,5 39
9 ,3 9 8
1 0,7 4 C

#416,010

7 ,3 3 8
3 0 ,9 0 0
1 4 ,1 8 7
4 , 834

45
124
771
588

707
338
573

141
1 ,2 8 5
1 ,2 2 0
565
2 .6 2 9

# 8 2 2 ,4 1 2

# 8 0 ,6 1 7

>.SlC4
2 o ,5 f5

1,385
1 ,83c
1,603

1 5 ,5 7 4

1 ,1 6 0

5 1 ,4 .9

172
-C 613
2,175

3 7 ,9 7 0
6 ,0 7 3
3 7 ,8 5 2
3 0 ,3 8 1

1 4 ,2 9 4
8 ,9 7 3
1 2 ,4 3 1
1 5 ,6 7 7

5 2 ,2 6 4
1 5 ,0 4 6
5 0 ,2 8 3
4 6 ,0 5 8

1 ,8 1 3

900
301
.85

2^,464

J.856
2,387

0 2 , 3 22
11,101

1 ,1 5C
2 7g

$12,154
 ro x AL!


$ 229,547

Feb.

Mar.

5
11
19
26
t
12
19

.

6, n 4

.1 J 6 7

#119,446

■■■ II H U U a iMHWi U
2SB

# 2 6 ,6 3 3 1 0 ,2 8 3 2 6 ,0 1 4 1 5 ,6 2 0 -

544
878

2,5e5

1 6 .2 1 7

# j 48,993

,-:.c

250
8
-0 -

502

460

351
-0 -0 -0 -0 -0 -0 -0 -0 -0 -0 * 1 7 ,3 5 3

-0 -c-0 - 0-0 -e -

- 0- 0-

350
160
358

208

166

632
2 ,7 9 2

-0 316

1,847
1,610

995

560

-0 -

1,0 44

349

-0 -

1 ,4 6 0

387

-0 -

-o -0 -

50
100

1,210

579

364

328

715
-0 177

645
737
770
; , 133

1,415
2,128

135

3 .1 4 8

•>,392

- 0-0 -

# 1 2 ,6 5 3

# 4 3 ,05 6

* 4 1 ,9 0 9

599
650

1 ,7 9 0

615
975
1 ,1 0 7

97

303

47o
-C ”

965
542

-0 -0 50

-c -c-c-

1 ,088

-.14
1'V'
i->,072

550
3 ,6 5 7

137

808

204

760
1 ,4 9 2
2,151
686

o,210

1

j
1

1 ,5 5 *
5 ,5 7 4
2 ,5 T »

♦

9 t 808

t,m

5 ,4 0 4
8 ,0 4 6

3 ,5 »J f

M#

i,n j

1 .M 8

1.X95

1 ,4 8 8
3 ,« *

4 ,0 7 0
1 ,5 1 4
3 ,4 * T
1 0 , 04 T

3 ,1 1 1

4,4(29

9 ,5 1 1 3 0 ,8 6 2 1 5 ,6 8 1 2 6 ,5 1 6 -

3 ,4 9 5
3,5TT
4 ,4 1 2
6 ,9 4 3

M 5 f
1 ,0 5 «
2 ,8 f9
2 ,0 8 4

6625 7 ,1 7 9 +
1 5 ,5 3 8 38 ,6 0 2 +
1 3 .3 8 3 +

797 6 5 ,3 22 +
1 2 ,4 2 9 45,5 32 +
3 7 .2 6 6 +

4 ,8 8 5
3 ,2 1 7
4 ,6 9 4
3 ,2 9 4

2 ,5 9 9
3 ,0 3 7
3 ,2 5 4
3,0X1

423

1 ,4 1 7
1 ,4 7 8
2 ,0 9 3

-0 -

# 39 ,43 0

# 88 ,85 0

#1,246,754

#62,778-

#92,149-

-0 -

661

-0 -

483
592
356

2 ,2 4 8
4 ,? t l
3 ,7 6 1
1 ,9 1 3

42,7 61
6 4 ,0 0 8
3 3 ,7 1 8
2 0 ,6 4 5

5 4 ,5 3 4 5 ,1 4 9 +
2 3 ,7 7 4 3 0 ,5 5 5 -

7 3 ,0 4 2 4 , l3 0 +
2 4 ,9 5 8 3 9 ,9 1 7 -

1 3 ,0 4 8
3 ,1 7 9
5 ,0 7 5
3 ,8 1 9

5 8,2 11
1 7 ,2 0 9
5 7 ,1 6 3
5 4 ,4 6 7

3 6 ,2 5 7 +
1 9 ,3 1 8 7,701+
1 2 ,0 31 +

3 7 ,3 1 9 +
1 9 ,7 0 7 4,9 6 3+
1 8 ,2 4 9 +

7 ,1 5 4
2 ,6 1 5
4 ,8 8 7
5 ,3 1 4

1 ,8 3 7
1 0 ,5 8 2

- 0-0 -

JVM

— W U

#185,445 #204,415

7 ,1 1 3
8T4
3 ,4 4 0
3 ,5 5 0

769

469

-0 -

595

426
96
j 2.J

Jbl

402

430

73C
369

-0 708
547

550

410

2.9C2
1 ,?30

4H>
^^j

721
* , 910

6 ;;4
-0 -

j!

6

5 ,4 :7

42,46-9

2 4 ,5 7 8 —

2 8 ,1 0 4 -

1 1 ,3 4 6

5 ,9 3 9

44j

984

16 , 5c5

281

152

20,3 23

1 4 ,6 6 4 6 0 .9 0 4 -

8 ,6 4 0

-c -

1 0 ,9 7 1 6 2 ,0 3 1 -

3 ,5 1 8
8 .0 2 4

,*2,109

# 5,0 8 9

$26,037

4 2 7 ,5 7 9

# 1 7 1 ,6 2 3 -

# 2 0 6 ,5 8 5 -

# 7 2 ,8 5 0

# 4 8 ,1 1 0

i 9 ,0 5 4

'

iZ
< S o
5 ,8 9 9
3 ,9 5 *

|

i'- .

2 ,4 0 3

3 ,lj»

5 ,4 4 5
5 ,9 3 3
6 ,2 9 0

J ”-

t,tu

2,129

__ 2 2 5
» 6,

*

Totals
4 8 ,3 2 9
4 4 ,6 8 4
3 6,5 59
2 4 ,1 7 0

3

#100,474

San Fran*

D a lla s

Dealers

Operationa
With Other

# 1 0 ,0 5 9
3 ,2 9 7 '
1 ,6 8 4
972

6 ,0 5 3

JLJtM

8
15
22
29

4 ,8 5 6
4 ,0 0 8

#

Winn.

INCREASE or DKCHKASS
in Holding*
Including SaleaCcBtracta
Now Tork
Sjreteis""
Operations Operations

504
747
509
672

5

-1 9 3 0 -

Jan.

2,018

#

5 2 ,9 8 6
4 1 ,4 6 3
1 8 ,9 6 3
3 0 ,0 9 2
-0 -

-0 1 ,4 1 8
84
1 ,1 8 7

24
31

8 ,6 2 4
1 8 ,0 8 9
1 4 ,5 «
1 4 ,8 9 3

1 4 ,1 1 3
9 ,8 2 8
1 3 ,9 6 6
2 ,3 2 3

12
383

18

I

1 ,0 1 4
1 ,1 2 5
962
1 ,7 4 4

18

4
11

883
577

1 8 ,5 6 4
1 4 ,7 2 8
3 0 ,3 9 2
9 ,1 6 2

1 ,5 7 9
6 ,3 8 9
1 ,5 0 6
4 ,7 0 1

18

-0 -0 -0 -0 -

1 ,6 9 4
5 ,3 4 6
5 ,0 9 9
705

1 6 ,8 7 0
9 ,3 8 2
2 5 ,2 9 3
8 ,4 5 7

4
11

# 2 ,7 8 2
1 ,7 2 7
1 ,5 5 4
290

1 ,1 3 4

April

8opt.

150
547
357

Chicago

16,000

13
20
27

Aug.

-0 -

A tla n ta
-0 127
-0 1 ,4 3 0

March 6

July

C leveland

1 ,2 5 1
539
-0 -

1 ,7 2 6
550
8 l6
1 ,5 6 4

5
12
19
26

P h il a.
# 2 ,9 2 5
3 ,0 5 8
2 ,1 4 4
2 ,5 2 4

6
13
20
27

J«M

" " T o ’ tV f
# 1 6 ,3 0 8
2 5 ,1 3 6
2 5 ,1 6 7

I 1 5 ,6 0 1
8 ,7 9 2
4 ,6 0 5
1 ,1 4 8

r«b .

Tort

7 ,6 8 4
7 ,0 4 7
1 0 ,6 2 4
1 ,1 0 7

9
1#
23
30

ia n T

t S5

0
0
s
0

ISE

Boston

SRIttMT--------------------- -------

Reproduced from the Unclassified / Declassified Holdings of the National Archives

leeks

ilttUA&

BCHIWT " ■ *

2 ,1 4 3

1,0 86

. . <■
>
c
&

o

S!

m O!
n
o >
_ C
fli
<Z5
B £
cst N*
Mr Hi
&

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 .

EXHIBIT "B " (a)

CLASSIFICATION BY MATURITIES OF BILLS PURCHASED
BY FEDERAL RESERVE BANKS IN THEIR RESPECTIVE DISTRICTS
DURING TEDS PERIOD FROM JANUARY 3 TO DECEMBER 31, 1929
AND FROM JANUARY 2 TO MARCH 1 9 , 1930
___________
(EXCLUDING SALES CONTRACTS)____________ __
—
— (ooo Omitted)

1 -3 0 days

January 3 to December 31 , 1929
Over 90-days
61-90 days
31-60 days

Boston
New York
Philadelphia
Cleveland
Richmond
A tlan ta
Chicago
D allas
San Francisco

$ 24,4 6 1
362,67 5
28,019
6 ,0 6 5
2 ,8 5 8
29^.939
21,690
1 3 ,2 5 4
1 7 ,2 7 5

$ 27,309
178,190
1 9 ,5 3 5
3 ,8 4 8
4 ,2 2 2
5,387
1 2 ,8 3 8
14,709
3 4 ,3 4 3

$ 45,645
261,554
33,063
7,440
5,573
7,356
7,381
7,035
34,454

$ 3,059
19,993
0
0
0
374
0
4,432
2,778

T o ta ls

$>506,236

#300,381

$409,501

^30,636

___________
1 -3 0 days
Boston
New York
Philadelphia
Oleveland
Richmond
Atlanta
Chicago
Minneapolis
D allas
San Francisco
T o ta ls




$

2 ,5 1 2
182,869
1 ,7 7 8
0
949
3,621
2,551
625
2 ,5 2 4
4 ,7 0 2

$202,131

T otal

$ 100,474
822,412
80,617
17,353
12,653
43,056
41,909
39,430
88,850
$1,246,754

January 2 to March 1 9 , 1930
_______________ ..
31-60 days
61-90 days
Over 9 0 - d a y i T o t a l
4 ,5 9 3
1 0 3,884
5,267
0
1 ,0 3 8
1 ,1 4 7
6 ,300
1 ,0 0 5
1 ,6 8 2
14,211

$ 4,306
4 4 ,6 2 3
6 ,8 9 3
0
1 ,0 8 5
1 ,5 6 5
20 3
479
543
7»639

$139,127

#67,336

$

$ 743
1 ,0 6 3
0
0
0
0
0
0
340
285
$ 2 ,4 3 1

§

1 2 ,1 5 4
332,439
1 3 ,9 3 8
0
3 ,072
6 ,3 3 3
9 ,0 5 4
2,109
5,089
26,837

$

411,025

Reproduced from the Unclassified I Declassified Holdings of the National Archives

V I
EXHIBIT MCM

*11

S X A T ^ N r SHOWING CARTING ASSET L O L D IN ^ OF ALL
.RAL RKSESVK 'U "K S f'AKCK 1 9 , 1 9 3 0 COJTAH J>
?H P r ^ I OUS ' ^ K
EARNING ASSExS FROt; JANUARY 2 , 1 9 3 0 TO VAKCH 1 9 , 1 ? 3 0 , INCLT
J 3 I VK > CO’ 'PARK'D .<1 Til CORR SPO P I - ' (0 0 0

B oston
- M a rc h 1 2

B i l l * Die counted
H

N

*

1?

Nat Chang*

-

M a r c h 12
.
19

m

Net Chang*

739-

«

* * 1 9

la m in g Asset*

M a rc h 1 2
"

if

Met Ghang*

C o m p a r is o n o f

w e a k ly A v e r n g e

-------------------------------

N e t C h a n ge
"
*

3 0 ,8 6 9

6 1 ,6 3 6
5 5 ,9 8 4
5 ,6 5 2 -

jgalBK A ff

J a n . 2 , 1 9 3 0 t o M »r.
Sana p e r i o d 1 9 2 9
E n t ir e y e a r 1929

2 7 ,4 4 2

3 ,4 2 7 +

N «tC h en ge

Total

1 0 ,4 8 9
750

| 3 3 ,1 4 8
3 0 ,8 1 0
2 ,3 3 8 -

6 0 ,5 5 8
7 ,4 3 1
5 3 ,1 2 7 -

*1

CtarerBMnt Secu rities - M a rch 1 2
*

18^365
4 ,3 4 0 -

B i l l * Purehaaed

m

*22^705

New Y ork

19,

2 3 3 ,4 3 0
2 5 2 ,9 7 4
1 9 ,5 4 4 *

3 3 7 ,1 8 6
2 9 7 ,9 6 5
3 9 ,2 2 1 -

Phi l a .
$ 3 8 ,4 2 4
3 2 ,4 9 2
5 ,9 3 ? -

1 0 ,2 3 2
9 ,4 0 4

82 8 -

4 5 ,2 2 4
4 6 ,7 0 7
1 ,4 8 3 *

9 4 ,8 8 0
8 9 ,6 0 3
5 ,2 7 7 -

R i c h : ’ on J

A tla n ta

1:iiC T F 0

G t .I .c u ls

$ 3 4 ,3 1 6
2 5 ,2 6 3

$ 1 6 , 6 83
1 4 ,7 0 7

124,319

4 3 8 ,3 5 8
2 4 ,1 7 9

* 1 4 ,4 5 0
1 2 ,3 4 1

1 ,9 7 6 -

1 2 ,7 2 .4
1 2 ,0 0 7

2 8 ,0 2 4
2 5 ,8 2 8

2,196-

717-

3 3 ,2 3 1
3 5 ,4 1 6

1 7 ,7 6 5

6,554-

95,571

8 , 7 77

1 2 ,8 2 2

8,8 26

3 ,4 3 4 -

7 1 ,4 5 9
7 2 ,5 1 9

1 ,060*

49+

4 9 ,8 7 5
4 1 ,7 4 5

1 3 9 ,5 7 9
1 2 3 ,0 2 6

8 ,1 3 0 -

43*

9 ,0 6 4 -

2 9 ,7 6 2
2 6 ,3 2 8

1 ,6 2 5 -

10,086

3 9 ,4 9 3
3 9 ,5 3 6

8 6 ,5 0 7

1 4 ,1 7 9 -

1 6 ,^ 7 9
1 5 ,1 5 4

2 ,7 3 6 *

2 ,1 8 5 *

, A ?..
.s

19 29;; ALSO tfSEKl.Y AVERAGE OF
,-ffAh- 1 ? 2?
..■ ■ ■—

Orni tterJ)

Jlevelund

9 ,0 5 3 -

AKD WARCH 2 0 ,

1 6 ,5 5 3 -

2 ,1 0 9 -

1 5 ,1 8 7
1 3 ,6 5 6
1 ,5 3 1 -

19,266
19,266
-0 -

4 8 ,9 3 3
4 5 ,2 9 3

3,640-

11122,*
1 2 ,1 9 0

2 ,2 5 2

K a n .C ity

D a lla a

San F r a n ,

$ 1 4 ,7 2 2
1 3 ,2 7 4

1 9 ,6 3 4
5 ,8 9 2

♦ 1 7 ,3 8 9
8 ,2 9 4

1 ,4 4 8 -

62*

1 0 ,3 1 6
1 1 ,7 6 0

1 3 ,9 1 7
1 2 ,9 2 5
992-

1 ,4 4 4 *

3 ,0 6 3
5 ,9 2 3

1 7 ,2 6 4
1 8 ,7 4 6

1,482*

3 0 ,9 5 7

552+

1 2 ,5 9 1
1 0 ,7 4 7
1 ,8 4 4 -

2 0 .6 3 5
2 0 .6 3 5

2 ,8 5 6 +

9 ,0 9 5 -

4 2 ,8 6 0
3 7 ,2 7 4
5 ,5 8 6 -

#

2 6 6 ,3 3 8
2 0 5 ,6 3 4
6 0 ,7 0 4 -

3 5 ,9 5 9

256,538

34,027

1 8 5 ,0 1 7

ii3 2 -

7 1 ,5 2 1 -

2 4 ,2 3 6

ft4 ,n *

36,736

5*1,4**

12,500*

2, 860*

28,101

3 3 ,3 7 1
3 3 ,9 2 3

3 ,7 4 2 -

T o ta l*

r r ,5 « 4
7 9 ,0 5 7
1 ,4 7 3 +

47,326*

l,04*,04f

960,870
8 8 ,I f f -

of

1930

fr o m same p e r i o d 192 9
M e n t i r e y e a r 1 92 9

6 4 ,8 1 1
1 1 6 ,8 4 8
9 9 ,6 9 5
5 2 ,0 3 7 3 4 ,8 8 4 -

3 8 7 ,8 6 7

100,^65

34 2 ,0 4 0
3 7 1 ,2 4 8

1 2 5 ,3 0 8
1 2 0 ,2 3 6

4 5 ,5 2 7 *
1 6 ,6 1 9 *

2 4 ,5 2 3 1 9 ,4 5 1 *

111 , 1 1 4
1 4 5 ,0 9 5
138 ,3 8 3
33 , 9 ? i 27 , 269“

4j ,443
5 9,731
6o ,530

, 0 , •' 1 0
S i , 121
tC; , I 05

1 4 , 2881 % 0 £ r/ -

2'7, ^ : i 26, 495-

1 6 3 ,8 9 5
2 4 5 , 23 j
194,lo 5
8 l,o 4 8o O ,250-

5r 979
6 8 ^ 427
6 6 , 041
17,4481 5 ,0 6 2-

3 0,813
39 ,5 6 8

3 0 ,2 2 9
5 2 ,7 2 5
5 5 ,4 2 0

4 0 ,0 1 6

8,775-

2 2 ,4 9 6 -

9 ,2 0 3 -

2 5 ,1 9 1 -

4 7 ,2 1 7
5 4 ,0 2 6
5 1 ,6 5 5
6 ,8 0 9 4, 4 ^ 8 -

6 9 ,2 2 5
1 3 7 ,e*7
1 1 4 ,4 8 6
6 8 ,6 4 2 4 5 ,2 6 1 -

1 ,1 5 5 ,9 7 8
1 ,4 6 8 ^ 0 0 9
1 ,3 9 4 ,9 5 0
3 1 2 ,0 3 1 2 3 8 ,9 7 2 -

>
o
i-i

S o M P a r ls o n o f E a r n i n g A s s e t s
m

March 1 9 , 1 9 3 0
*

2 0 , 1929
N et

C h a n ge




5 5 ,9 8 4
8 5 ,4 1 9
2 9 ,4 3 5 *

2 9 7 ,9 6 5

290,218
7 ,7 4 7 +

8 9 ,6 0 3

86,507

1 3 7 ,0 1 2

i o l ,0 9 9

4 7 ,4 0 9 -

4 4 ,5 9 2 -

j9 , 536

41 ,7 4 5

> 4 ,9 9 9

jj

1 5 ,4 6 3 -

2 2 , 235-

, 9 iC

12J.026
2S4, ?; 5

4 5 ,2 9 3

33,923

3 0 ,9 5 7

3 7 ,2 7 4

7 9 ,0 5 7

7 3 ,0 0 0

3 6 ,9 1 3

5 4 ,9 1 4

3 7 ,4 1 0

1 1 6 ,8 5 2

1 6 1 , 929-

j

2 , 70 7 -

2 ,9 9 0 -

2 3 ,9 5 7 -

136-

3 7 ,7 9 5 -.

9 6 0 ,8 7 0
1 ,3 7 1 ,7 7 1

o

4 1 0 ,9 0 1 d

g ’.*1 ?'ARV FOR 3 Y S 2E?'
s i l l s D i s c o u n t e d f o r *eelc
B i l l s ; P u r ' i . u B e d f o r week
G o v » r n i r a nt s e c u r i t i e s f o r week
T o t a l K i i r n m - - “ SBclp. f o r rePk
C o m p a r i s o n o f V'.'eekly i . v- \ r ur t - o f

$ 6 0 ,7 0 4 7 1 ,5 2 1 4 7 ,3 2 6 *

88,199m ir .'

A ssets

J

?,

1 9 3 0 t o ! ' s r =h 1 9 , 1 9 3 0

w i t h sar.e r ^ r i o - J 1929
2 , I ' 1.:.'-' t o ’ ’ n r o h 1 9 , I 0 30
C o m p a r i s o r o f . / e e k ' y A v e r a g e o f £: m ir, -* A:~?>X b J
w i t h e n t i r e y e n r 1929
C o r . p & r i s o n o f H u r n i n e A s s e t s ! ,' a r « h 1 9 , 1 9 3 * w i t h M a rc h 2 0 , 1929

3 1 2 ,0 3 1 2 3 8 ,9 7 2 4 1 0 ,9 0 1 -

Reproduced from the Unclassified I Declassified Holdings of the National Archives

,— „ -------------------------

DECLASSIFIED
I Authority

E.6.

E xhibit "Dn

STATELUNT SHOWING EARNINGS
OF ALL FSDEriAL RESERVE BANKS
FOR JANUARY AND FEBRUARY 1930
R atios Based
on Each Bank's
Expenses and
Dividends fo r
Year 1929
Boston

7

$

Gross Earnings
January and
February 1930
$

Percentage o f
Each Bank’ s Gross
Earnings to T otal
Gross Earnings

4 4 5,949

5 .2 1

Actual Net Earnings
A vailab le fo r De­
p recia tio n Allowances,
R eserves, Surplus and
Franchise Tax
$

38,5 5 3 (A)

York

20 1 /2 $

2 ,8 0 7 ,2 6 2

3 2 .7 8

1 ,0 4 8 ,7 9 7

P hiladelphia

6 1 /2 $

738 ,3 5 4

8 .6 2

224,090

Cleveland

9 1 /2 $

8 9 7 ,0 5 2

1 0 .48

279,050

Richmond

5 1 /2 $

361,695

4 .2 2

19,4 3 1

A tlanta

7 3 /4 $

406,830

4 .7 5

1 3 6,796

$

1 ,2 5 3 ,8 1 6

1 4 .6 4

3 54,478

S t . Louis

6 3 /4 $

3 68,754

4 .3 1

7 6,3 8 0

Minneapolis

3 1 /4 $

216,516

2 .5 3

18,810

Kansas C ity

5 3 /4 $

287,316

3 .3 6

61,488 (A)

D allas

5

$

335,257

3 .9 1

71,816

San Francisco

9 l/2 $

444,679

5 .1 9

71,795 (A)

^ 8 ,5 6 3 ,4 8 0

100$

kgw

Chicago

T otals

13

100

$

,>2,057,811

Total for same period 1929 - - - - - 3 5 ,6 2 3 ,1 8 3

D e fic it




\ /^

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . U35k

STATEMENT SH07/XNG APPROXIMATE AMOUNT OF NET PROFIT THAT WAS REALIZED ON VARIOUS
SALES OF UNITED STATES GOVERNMENT SECURITIES HELD IN THE SYSTEM ACCOUNT AND
IN THE FEDERAL RESERVE BANK OF NEW YORK INVESTTIENT ACCOUNT
__________________DfTHING PERIOD OCTOBER 31, 1929, TO MARCH 2 0 , 1950.__________________

System
Account
Net P r o fit on Sales During
Period Oct. 31, 1929, to Mar. 2 0 , 1930
on Various Amount of Holdings

Approximate Amount o f P r o fit to be
Realized on Sale to Treasury in the
Near Future of $ 5 0 ,0 0 0 ,0 0 0 “ 3 1 /2 $
Treasury Notes at Par

$>180,126.83*

9 7 ,4 6 0 .8 5

Investment
Account
F .R .B , N. Y.

$ 5 4 0 ,2 0 4 .0 6

1 1 3 ,9 6 2 ,5 0

* $ 1 7 4 ,4 0 3 .5 3 o f th is amount i s being held by the Federal Reserve Bank of New
York in Suspense Account, to be d istrib u ted at the end o f the current year.




Reproduced from the Unclassified / Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6 . IBSfc

'4 ^

^

^

(Match SO* 1930*)
PRELIMINARY MEMORANDUMFOR THE
OPEN MARKET INVESTMENT, C(M€ETTEE
The most important development in the credit situation since the last
meeting of the Open Market Investment Committee on January 28 and 29* is that

The January figures for business and trade were slightly better than those for
December, and February in turn was very slightly better than January*

But the

improvement in both months was so small as to leave the total volume of produc­
tion and trade below the corresponding period in any recent year.
appears to have been more severe than in either 1924 orIS27*

The recession

Accompanying the

business recession unemployment has become serious, probably more so than in any
year' since 1921.

In both 1924 and 1927 business was supported in recessions by

a continued substantial volume of building construction, but in the past few months
building has continued at a low ebb without any indication yet of substantial
recovery*
money rates

The trend toward easier money conditions which was observed at the time
of the last meeting has continued even more rapidly than was then anticipated,
partly due to a reduced demand for credit and currency for business, but more
largely to a heavy flow of gold imports, mostly from Japan and Brazil, which has
totaled about ^100,000*000 in the period.

In the past two weeks Treasury opera­

tions in connection with the March 15 tax period have been an additional important
factor toward ease..

For ten days before "the tax period the Treasury balance at

the Reserve banks was draip. down to exceptionally low figures, thus putting funds
into the market* and at the time of tho tax period the excess of funds in the
market as a result of large Treasury disbursements covered by anoverdraft could
not be absorbed in tho usual way by a reduction in member bank indebtedness.

And

as a consequence there was a considerable volume of free funds available in the



Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6 . IBSfe

market YJhich tended to depress money rates rapidly.

On March 19 total hills dis­

counted for the Federal Reserve System were 0206,000,000
.3497,000,000 on January 29.

as compared with

The decline in money rates in this period is in­

dicated in the accompanying table:
January 29, 1930
Rates for Commercial paper

4 3/4-5

90 day bills (offered )

4

Call money (renewal)

4 1/2

Time money
-Bank
p, , rates
, to
, customors
. .
.
m
New York

4 1/2 (nominal)
Jan. 15
Feb. 15
5.41
.
5.09

March 21, 1930
4
£ 1/2
3
3 3/4
Mar.
y, 15
0/4

On March 18 the NGw York Clearing House reduced deposit rates by 1/2
of one per cent except for the rate on bank deposits which remained unchanged.
In the early part of this period rates tended to move rather sluggishly
and to reflect rather slowly the fundamental changes In tho credit position, but
during the latter part of tho period the docline became precipitous and during
thu tax period ev^n more rapid than th^ fundamental credit situation appeared to
justify.
BOND AND STOCK MARKETS
The effects of easy money and freely available credit have been in the
first place to stimulate a vigorous recovery in the bond market. Bond prices
have risen to the highest points in more than a year, and the bond market has
been opened to new issues; so that bond financing is now in substantial volume
and well absorbed. This is of particular importance with relatjois

to the busi­

ness situation beeause it makes possible the carrying forvrard of many business
undertakings which had been postponed because of the condition of the bond market.
The stock iiarket remained irregular until the past week when it made a
considerable recovery with more active trading than for some time* Brokers loans
as reported to the Federal reserve banks have risen $500,000^300 since the last



Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . 1235!o

3
meeting of the committee*

This probably represents in part an increase in loans

by banks to replace loans withdrawn bec&use of low rates by lenders vrtiose opera­
tions do not appear in the Federal reserve reports, but it reflected in part also
th.. recent recovery in stock prices.
BANK CREDIT

The total volume of bank credit continued to decline until the end of
February but since that time has risen about $300,000,000 and is now about as
large as at the middle of January. The increase has been mostly in security
loans, as so-called commercial loans have remained close to the lowest point of
the year.

In the week ended March 19 bank investments shov^cd their first sizable

increase, part of which resulted from subscription to the new Treasury issue.
F3D5RAL R3S5PT5 POSITION
In the face of continued business depression and a rapid downward move­
ment of money rates changes in Federal reserve bank discount rates have taken
place more rapidly than was anticipated at the time of the last meeting# Since
that time two changes have been made in the rates of the New York and Cleveland
banks and one change in the cases of Boston, Philadelphia, Richmond* Chicago,
St. Louis, Minneapolis, Kansas City and Dallas*
Du: ing the early part of the period the Reserve banks weru successful
in pursuing the policy adopted at the January meeting of holding their bill
portfolio at a level close to the level of the latter part of January* which was
b^twuon ^275,000,000 and ^300,000,000.

Early in March, however, it became clear

that, with a decline in the total volume of bills in the market, and an increasing
demand for bills from banks and others seeking short term investments, it would
be impossible to maintain the bill portfolio.

In these circumstances and in

view of the unfavorable business situation the New York reserve bank, after
consultation with the Federal Reserve Board, undertook to purchase $50,000,000
of Government securities,



All reserve banks were advised of this operation

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6 . U35fe

and offered participations in the purchase, and eight of the reserve banks took
participations.
The following table compares system figures for March 19 with those
for January 22*

March 19 figures are distorted somewhat by the Treasury

overdraft. More normal figures for this week will show an increase in bills
and discounts, replacing the overdraft.
(In millions of diollars)

Bills
Bills
U. S.
Other

discounted
bought
securities
securities

January 22

March 19

433

206
185
561*
9

298

477
15

Total bills and securities 1,223

961

* Includes $29,000,000 of the $44,000,000 special one-day Treasury certificate
of indebtedness to cover overdraft on that date; a :)15,000,000 participation
in the certificate was held by a Hew York Member bank.




Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6.

TELEGRAM

3

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

18* B
RECEIVED AT WASHINGTON, D. C.

P h ila d e lp h ia 1 0 3 0 * M a r 1 8

Washn
I w i l l r e p r e s e n t %hIs lank a t S e a tin g of ©pen market committee

H o rrta

/Z L jU ^


a—11901


3/ ' *

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . U354>

TELEGRAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

'h J ? r Z P r f '
RECEIVED AT WASHINGTON, D. C.

Kansasoity Mar 14 120 2p

/f 3 ^

Young
Trashing ton
Referring wire 12th \ this hexOc expects to tie represented at
open market meeting march 24


S. 8. GOVERNMENT PHIHTINO OFFICE 19S8


'

.

$9*4 iiington
132p

2—11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . IBSk

TELEGRAM

-----------

33

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

169 bfa
Boston 220p Mar 13

d

^oung

Washn
■^his bank expects to be represented at open market meeting called
for monday March 24.


V. 8. AOVBRKrVBKTFUNTBfeMTIOI 1M1


Harding
235pm

a—utoi

Reproduced from the Unclassified I Declassified Holdings of the National Archives

__

d e c l a s s if ie d

Authority E .6 .1 2 3 5 k

TELEGRAM
1
FEDERAL RESERVE SYSTEM

„
3 'J 5 ,

j
~

> -v

(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

jj

194bfa

NewYork NY Mar 12

317pm

Young
Washn

In the absence of governor Harrison I acknowledge Your,,
^

telegram (stating that meeting of open market committee lias been
called -for monday March 24 this bank will be represented at the
meeting
Case


S. B. ©OVSWNHBNT PRINTING 077101 IMS


324pm

2— 11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives

------------------- -----------------

---

declassified
Authority E .6 .1 2 3 5 fc

7%

'

TELEGRAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

78omr20

^ .
■^hila 3k tiar 12

/ * 3 0

Young

Digitized
for
6 S. OO
TKBNFRASER
XKMTPBtXTXKOWTOl Ittft


Washington
Twill 1174 March XZ) This hank will he represented
at open market meeting March twenty-fourth
Hutt
303p

2—11901

Reproduced from the Unclassified / Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . IBSfe

Ite p a r txn vn t
WESTERN UNION TELEGRAM

a—1786

ara

2 9 i FN15
SARASOTA FLO MAR 12 193Q
ROY A YOUNG
WASHINGTON
REFERRING YOUR WIRE T H I S DAT e I

EXPECT TO ATTEND MEETING OPEN

MARKET COMMITTEE MARCH 2 4

.B



E R FANCHER
A mar

13

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 .

TELEGRAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

Ii
RECEIVED AT WASHINGTON, D. C.

163dea
Cleveland 251pm Moh IS
Governor

Young
Wasbn

Twill number 1174
at Florida*

9. ft. Ofor
OVSBKFRASER
MKNTPRWTINO017101 1MI
Digitized


wire transmitted to Governor Fancher

.
I M Bagley,
Secretary
259pm

2—11901

[BSto

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6.

TE LEG RAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

54rhta
Hiohmond
Governor

137pa mar

12

/? $

^

young
Washington

T w ill


n» s. eoTWNttiKTpRumNO•mca in*


Mo 1 1 7 4 , w i l l attend open market meeting March 2 4 .
Saay

138pm

2—11001

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . IBSfe

ELEGRAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

118 fy 22
Atlanta 152p March•12

JfS $

Young
Washn
Twill 1174.^ Governor Black will represent this Bank at open
market meeting called for Monday, March 24th

DigitizedOOYUNM1MT
for FRASER
PRWTIKa OVrXCBr IMS


Taylor

256p

2— 11801

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . U35k

~rELEGRAM
-,0^ if*

FEDERAL RESERVE SYSTEM
(LEADED W IR E SERVICE)

165gb

RECEIVED AT WASHINGTON, D. C.

Chicago Mar 12 1252p
Young

..

/ / ? Y ' l - n - z 11

Washn
Replying your wire /this bank will be represented at
t--------------------

*

open market meeting called for monday march twenty fourth
While governor McDougal is away at present he is expected
to return in time to attend the meeting


S. & ©OTttNMtHTPRINTINGOFTICS IIH


Mckay
157p

3— 11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E . 6 . 12354,

■’"ELEGRAM

3 3 ^ .-^ ^

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

223go
Stlouis 254p Mar 12

M %d

Young
Washn
Will "be present at open market meeting mon&ay march 24th

r 8. &for
0VDXXFRASER
M1NTWUKTDMIWR«: IMS
Digitized


Martin
4p

2—11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority

ELEGRAM

E . 6 . 1235k

3 33.-1>

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

RECEIVED AT WASHINGTON, D. C.

142gb
Minneapolis

Mar.12 1219p

/f5d

Young
fashn
Referring trans ll?4yfehis bank will be represented at meeting
march 24


http://fraser.stlouisfed.org/
0 S. eOVtBNkfKNTWtDfTCTOSHIM »M®
Federal Reserve Bank of St. Louis

Geer y
lSlp

|
2—11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . 1235k

HELEGRAM
------------------

W

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

222gb 15

RECEIVED AT WASHINGTON, D. C.

Dallas 255p Mar 12 ./f 3 d
Young
Washn
Twill 1174 expect to attend open market
monday marcii 24


r s. eovnmwrrnmon«rno*: ims


Talley
35 7p

meeting

r

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E .6 .

TELEGRAM

33

FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

167gb

4

RECEIVED AT WASHINGTON, D. C.

Sanfrancisco Mar 12 1050am / ' ^
Governor Young
Washington.
I will attend open market meeting mondaj march twenty fourth

«. 0. flOVEHNMENTPRINTINGomCW 1B3S



Galkins
158p

2—*11901

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 .

o )
*?■>
Date:
FOR ANSWERS SEE:
1.

■ 3 //

3£>

g.

hfI? / 3 0

5.

3/ 1 2.J 5

0

4.

i /f l J l O

5.

3 /n /$ Q

6.

s j / z j z o

7.

z h t j

20

8.

3 / , S l/

9.

i j l l / l O

10.
11.
IE .




/

t. O

3/ z y / 3 ^

V/r/

V '

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED"
Authority

E.6.

-^r
i iiift

TELEGRAM

I

F E D E R A L R E S E R V E BOA^D

"

LEASED WIRE SERVICE
W A SH IN G T O N

W#%mm - l i i r Torfc
M

* VHtMtafo'hta

Opm
W m * Mm




I Vtm m

ifcrfca*

bm- bwm

§m

If fm* tfts& «JU1 be

&

£

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . 12354,

Form N o. 131

Office Correspon ^ei ;e
To_

Federal Reserve Board

FEDERAL RESERVE
BOARD

_____ _

j_Lte Ft. ^uary 20 r 1950

Subject:.

From _ Mr . MeG1 e11cind.<

(i

2—

v

xi

r

'

y

*

At the meeting of the Board this morning theije was ordered* circu­
lated the attached copy of the acting secretary's minuteg of the meeting of
the Open M arket Policy Conference, held in Washington on J^uary^28 and 29. \




, Young,

__ Platt,
Vftr* Hamlin,
James,
Gunningiham,
Miller,
K Pole.
Please circulate promptly and return to this office.

^

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . U35fe

- f ■. 4»

$

Boor Mr. Burgoo*:
I ookaovlodco recolpt of and tfcMk you for /oar
lotto* Of *o»iMB 3*. ogclotlag * oopgr of
111

1

rt*»too\, f !

."

of tfco oooU— of tho Opoo Kftikil Xnvottaoat Gooolttoo
bold la fao&iictoti mi January 28 oat 20*
Tory Iralj year*,

ft* A. Towkg*

Oovomor.

Hr. V. Boa&olph largooo*
Actiog Socrotory* 0po& Morkot
7odor&I iosorro Bonk*
loo Toxic* Bow Toxic*




Cosaaitfcoo,

T

' f'u u : ; -:

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . U3S&>

RECEIVED .

Fe d e r a l R e s e r v e B a n k

FEB T9 193(|
of

Ne w Yo r k

OFFlOE 05*
TH® 0 0 V T O N Q R

CONFIDENTIAL

Februaiy 18, 1930

Dear Governor Youngs
I

There
fh
e re i s e
enclosed herewith f o r your info rm atio n the
h0
3 2 3 , * <6r * X
minutest or the ^meeting o f the Open Market Investment
Inv<
Committee
I

held in Washington on January 28 and 29, 1930
Very t r u ly yo u rs,

W. Randolph Burgess
A cting S ecretary
Open Market Investment Committee

Honorable Roy A. Young,
Governor, Federal Reserve Board,
Washington, D. C.

E n cl.




M

fr u J ( h r u & t r t c j'
A F io i^ B W m N a .

FEB 20 1930

/ZJtJL

'

Reproduced from the Unclassified I Declassified Holdings of the National Archives




d e c l a s s if ie d

Authority E .6 .1 2 3 5 k

R ECEIV ED
F e d e ra l R e se rv e B an k
of

FEB l 9 1930
OFFICE OF

Ne w Yo r k

THE aOVBJENOR

February IB , 1950

PE RS ONAL

Dear Governor Young:
We are e n clo sin g , f o r your f i l e s , a copy o f the
%<5 L^m-4 3 3
~ tr * Du nfm inu tes\o f the meeting o f the Open Market Investment Com­

1j >-

m ittee held in Washington on January 28 and 29 \
Very t r u ly yours,
A .

W. Randolph Burgess
A cting S ecretary
Open Market Investment Committee

Honorable Roy A. Young,
Governor, F ed eral Reserve Board,
Washington, D. G»

E n cl.

z^ee

Qa a j o

J(

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED

Authority E.6.

F e d e r a l R e s e r v e Ba n k o f P h i l a d e l p h i a
9 2 5

CHESTNUT

STREET

RICHARD L.A U S TIN

GEORGE W. NORRIS, G O VERN O R
Wl LLIAM H. H U TT , D EPU TY G O V ER N O R
C.A. MS ILH EN N Y , c a s h i e r

CH AIRM AN O F T H E B O A RD AN D
FEDERAL RESERVE AGENT

ALBA B. JO H N SO N

A S S IS T A N T C A S H IE R S

D E PU TY CH AIRM AN O F T H E B O A R D

W .J.D A V IS
JAMES M .TO Y
R .M .M IL L E R ,J R .
FRANK W. LA BOLD
S.R .E A R L




ARTHUR E .P O S T
AS S IS TAN T

FEDERAL RESERVE AGENT

ER N EST C. H IL L
AS S IS TAN T

FEDERAL RESERVE AGENT

February 1st, 1930.

My dear Mr. McClelland
I
have this morning your letter of January- 51st\
enclosing copy of the statement that T'lnade,*o^^iSSre5aay
last in explanation of the report of the Open Market Committee, which I return herewith. I had supposed that Mr.
Harrison would make this explanatory statement, and was
taken completely by surprise when I was called upon. Under
these circumstances, I do not have a very clear recollection
of what I said, but I presume that your report of it is made
up from shorthand notes, and I have no doubt that it is cor­
rect. I am quite sure that you have not included anything
that I did not say, and it seems to me that you have very well
covered what I probably did say. I have therefore no cor­
rections to make. I am,
Very truly

Governor
Mr. E. M. McClelland, Asst. Secretary,
Federal Reserve Board,
Washington, D. C.

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

j
|
j

tho System to do anything l ik e ly to have th at e f f e c t .

E.O. U35fc>

The m a jo rity opinion

was th at what has alrea d y been done has set in motion a trend which should

j
r e s u lt in lower rates#

Between a reduction o f discounts and la rg e purchases

t
o f s e c u r it ie s , and a reduction o f rates to b usin ess there i s always a lag and
th at lag i s l ik e ly to be g re ate r at t h is time because the ap p etite o f the
bankers has been whetted during recent months and they are slow er about coming
down.

There i s every reason to a n tic ip a te th at the reduction w i l l occur, so

that i t i s b elie ve d the cu rre n t i s se t in the d ire c t io n of e a s ie r rates*
We (speaking here fo r the m a jo rity o p in io n ) f e e l we should not in t e r fe r e
in that movement e it h e r in the d ire c t io n of h a ltin g i t or attempting to expe­
d ite i t , u n less the s itu a t io n c le a r ly c a l l s f o r some a ctio n and we cannot see
th at i t does.

On the co n tra ry , we f e e l i t i s b e tte r that the s itu a tio n should

c le a r up fu rth e r, th a t the extent and duration o f t h is re ce ssio n should be more
’ a sce rta in a b le than a t the present moment, and th a t i t i s in expedient far.jag.JM3
exhaust a t the present time any p art o f our ammunition in an a tte ^ i ^ l ^ s ^ 1^ "
la t e business when i t i s perhaps on a downward curve and we had b e tte r w ait
u n t il we fe e l that we have reached a sta b le b asis where the a d m in istra tio n o f
some stim ulant may hsve a d is t in c t and good e ffe c t rath e r than to exhaust our
ammunition now in what may be perhaps a v a in attempt to stem an in e v it a b le re ­
ce ssio n .

Therefore, the recommendation i s made that we see no n e c e s s ity fo r

open market operations in Government s e c u r it ie s a t t h is time e it h e r to h a lt or
to expedite the present trend of c r e d it .




The m a jo rity o f the Committee i s not

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

E.G. (£&£>

- 2 in fa y o r o f any ra d ic a l red u ctio n in the b i l l rate o r r a d ic a l buying o f
b i l l s which would create an a r t i f i c i a l ease or n e ce ssita te a redu ctio n
in the d iscoun t ra t e .

I f th a t reductio n comes about n a t u ra lly from

fu rth e r liq u id a t io n o r reduced demand, a l l w e ll and good, but we do not
f e e l th a t we should make any a c t iv e e ff o r t to b rin g that about.

There­

fo re , we have lim ite d t h is recommendation to the maintenance o f the present
p o r t fo lio and such in cre a se as may be n e ce ssa ry ,!n o t to avoid some in cre a se
i n d is c ou nts. but i f any co n d itio n s lik e ly to b rin g about a hardening of rates
uta iioi 4axta

. —x _ .

eninp' should be prevented by in cre a sin g Uie

b i l l p o r t f o lio .
We do not b e lie v e th at in the present temper o f the p u b lic there i s any
danger of a re v iv a l o f a c tiv e sp ecu la tio n in the market.
lie do not fa v o r any such o perations in b i l l s as w i l l n e c e ssita te a reduc­

tio n in the d iscount ra t e , but i f i t should come as the r e s u lt o f the general
trend o f events, th at i s a matter between the bank and the Board.

The seasonal

demand during the sp rin g may not be as la rg e as usual and may not reach more
than $75,000,000 and th at probably could be taken care o f by an in cre a se in re ­
discounts without hardening of r a t e s .

A g re a te r demand might have a hardening

e ffe c t which should be presented by the purchase o f b i l l s , but we d is t in c t ly
fe e l that no operation in b i l l s should be undertaken f o r the purpose of e it h e r
fo rc in g or f a c i l it a t i n g a reduction in discount ra te s by any bank.




Reproduced from the Unclassified I Declassified Holdings of the National Archives




January 51, 1930#

Bear Governor N o rris :
In ' subm itting' th e re p o rt o f the Open- Mar­
k et P o lic y Conference to the F ed eral Reserve Board
a t tli® jo in t m eeting on January 29 you made a s ta te ­
sman* in e x p la n a tio n o f tlie re p o rt, b u t as i t was neces­

sa ry f o r you to leave th e m eeting b e fo re i t adjourned!
tfcsre was no o p p o rtu n ity to check w ith you th e reco rd
There is , th e re fo re , enclosed herewith a
copy o f your statem ent and i t would be ap p re cia ted i f
you would nake such c o rre c tio n s th e re in aa you aee f i t
and re tu rn sane to th is o ffic e so th a t i t aaay be in c lu d ­
ed ia th e Board’ s o f f i c i a l reco rd o f th e proceedings
o f th e m eeting*
V ery tr u ly yo urs,

I . M* M cC lellan d ,
A s s is ta n t S e cretary ,

H r. Geo* W* H o rris , Governor,
Fed eral Reserve Bank,
P h ila d e lp h ia , Pa*

from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E . 6 . U 3S io

There were differences of opinion regarding the witter before the
conference, the representatives of two of the banks feeling it is desira­
ble to have a distinot easing of rates and that it would be advisable for
the System to do anything likely to have that effect*

The majority opinion

was that what has already been done has set In notion a trend whioh should
result in lower rates*

Between a reduction of discounts and large purchases

of securities, and a reduction of rates to business there is always a lag and
that lag is likely to be greater at this tim® because the appetite of the
bankers has been whetted during recent months and they are slower about coming
down* There is every reason to anticipate that the reduction w ill occur so
that it is believed the current Is set in the direction of easier rates.
We (speaking here for the Majority opinion) feel we should not interfere
in that movement either in the direction of halting it or attempting to expe­
dite i t , unless the situation clearly calls for sons action and we cannot see
that i t does*

On the contrary, we feel It is better that the situation should

dear up further, that the extent and duration of this recession should be more
ascertainable than at the present moment, and that It Is inexpedient for us to
exhaust at the present time any part of our ammunition In an attempt to stimu­
late business when it is perhaps on a downward curve and we had better wait
until we feel that we have reached a stable toasls where the administration of
some stimulant my *rve a distinot and good effeet rather than to exhaust our
ammunition now in what may be perhaps a vain attempt to stem an inevitable re­
cession*

Therefore, the recommendation is made that we see no necessity for

open market operations in Government securities at this time either to halt or
to expedite the present trend of credit*




The majority of the Committee Is not

Keproauced from the Unclassified / Declassified Holdings of the National Archives

declassified
Authority

- 2 -

E.6.1235k

'- • - '^ r a ­

in fa v o r o f any ra d ic a l re d u c tio n In th e b i l l r a t * o r ra d io a l buying o f
b i l ls which would c re a te an
in th e disco u n t r a ta *

m

«« o r n e c e s s ita te a red u c tio n

I f th a t red u c tio n comes about a » tu r a lly from

fu rth a r liq u id a tio n o r reduced dewand, a l l w e ll and good* but we do n o t
fa a l th a t wa ahould wake any a c tiv e e f f o r t to b rin g th a t ab o u t.

There­

fo re * wa have lin it a d th is raooaaendation to th a M aintenance o t th a p reaent
p o r tfo lio and auoh inoraaaa aa any ba necessary, n o t to avoid lo a e ln sraaaa
in discounts , b u t i f any c o n d itio n s lik e ly to b rin g about a hardening o f ra te s
a r ia s , th an wa b e ll ere th a t hardening should be prevented by in crea sin g tha
b i l l p o r tfo lio *
Ha do n o t b e lie v e th a t in th a present tam per o f th e p u b lic th e ra is any
dsnger o f a r e v iv a l o f a c tiv e s p ec u latio n in th a a a rk e t*
r;e do n o t fa v o r any such o p e ra tio n s in b ills aa w ill n a o a s a ita ta a reduo*
tlo n in tha d iscoun t r a te , b u t i f i t should coad as th e re s u lt o f th a g en eral
tre n d o f e v e n ts , th a t is a a a tte r between th e bank and th a Board.

Tha seasonal

denand d u rin g th e sp rin g way no t ba aa la rg e aa usual and say n o t reach More
than 17 5,0 00,0 00 and th a t probably oould ba taken care o f by an in crea se in re­
discounts w ith o u t hardening o f ra te s *

A g re a te r dewand w ight have a hardening

e ffe c t whioh should be precanted by th e purchase o f b ills * b u t we d is tin c tly
fe e l th a t no o p eratio n in b ills should be undertaken fo r th e purpose o f e ith e r
fo rc in g o r f a c ilit a t in g a red u ctio n in discount ra te s by any bank*




Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

E.6. 1235k

W

""inhere were d iffe re n c e s or opinion regard­
ing the m atter before the conference, the re p re se n ta tiv e s o f two o f the banks f e e l­
ing i t i s d e s ira b le to have a d is t in c t easing o f ra te s and that i t would be a d v is­
able fo r the System to do a n y th in g ^ lik e ly to have that e ff e c t . The m a jo rity opinion
was that what has a lrea d y been done has se t in motion a trend which should r e s u lt
in lower ra t e s . Urn
fie tween a re d u ctio n o f discounts WKHm and la rg e
purchases o f s e c u r it ie s , and a red u ctio n o f ra te s to b usin ess there i s always a
la g and that la g i s l i k e l y to be g re a te r at t h is time because the ap p etite o f the
bankers has been whetted during recent months and they are slow er about coming downy*
_______ ^ __ _________ _ ___________

MPhere i s every reason to a n t ic ip a t e that the red u ctio n w i l l occur
so that i t i s b e lie v e d the cu rre n t i s se t in the d ire c t io n o f e a s ie r ra te s .]f We
(speaking here f o r the m a jo rity opinion) f e e l we should not in t e rfe re in that move­
ment e it h e r in the d ire c t io n o f h a ltin g i t or attempting to expedite i t , u n less the
s it u a t io n c le a r ly c a l l s fo r some a c tio n and we cannot see that i t d o e s .^
<Ton the co n trary, we f e e l t & t i s b e tte r that the s it u a t io n should
c le a r up fu rth e r, that the extent and d u ra tio n o f t h is re c e ssio n should be moreasc e rta in a b le than a t the present moment,and that i t i s inexpedient f o r u s to exhaust
at the present time any p a rt o f our anam ition in an attempt to stim u late b usiness
when i t i s perhaps on a downward curve and we had b e tte r w ait u n t i l we f e e l that
we have reached a sta b le b a s is where the ad m in istra tio n o f some stim ulan t may have
a d is t in c t and good e ffe c t ra th e r than to exchaust our am unition now in what may
be perhaps a v a in attempt to stem a in e v it a b le recession* Th erefore, the recommen­
d atio n i s made th at we see no n e c e s s ity $ read from recommendation) • The m a jo rity
o f the Committee i s not in fa v o r o f any r a d ic a l re d u ctio n in the b i l l rate o r r a d i­
c a l buying o f b i l l s which would create an a r t i f i c i a l ease o r n e c e ssita te a reduc­
tio n in the d iscou nt rate* I f th a t re d u ctio n comes about n a t u r a lly from fu rth e r
liq u id a t io n o r reduced demand, a l l w e ll and good, but we do not f e e l that we should
make any a c t iv e e f f o r t to b rin g that about. Th erefo re, we have lim ite d t h is re ­
commendation to the maintenance o f the present p o r t fo lio and such in cre a se as may
be necessary, not to avoid some in cre a se in d isco u n ts, but i f any co n d itio n s l i k e l y
to b rin g about a hardening o f ra te s a r is e , then we b e lie v e that hardening should be
prevented by in cre a d in g the b i l l p o r t f o lio .
We do not b e lie v e that in the present temper o f the p u b lic there is
any danger o f a r e v iv a l o f a c t iv e sp e cu la tio n in the market.
We do not fa v o r any such operations in b i l l s as w i l l n e c e ssita te a
red uctio n in the discount ra t e , but i f i t should come as the r e s u lt o f the general
trend of events, th at i s a m § t j f c £ E . t h e b a ^ ajid the Board.
: -T h e seasonal demand during the sp rin g may not be as la rg e as u su a ljjr
and may not reach more than $75,000,000 and th a t/co u ld be taken care o f by an in ­
crease in re d isco u n ts w ithout hardening o f ra t e s . A g re ate r demand might have a
hardening e ffe c t which should be prevented by the purchase of b i l l s , but we d is t in c ­
t l y f e e l that no operation in b i l l s should be undertaken f o r the purpose o f e it h e r
fo rc in g or f a c i l it a t i n g a red u ctio n in discount ra te s by any ban k.V
Ilo la tc iT

jottUT. w * U-fc M j u M b



—»T "h

t"""1p Am tlin ^ninnwm:d..ABfmi1 nhnwM

U a

if HAidLt .

Keproduced from the Unclassified / Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 . 1235k

The Open M arket C o iaaittee, in c lu d in g in fo rm a lly the Governors o r Deputy
Governors from eleven o f th e F ed eral rese rv e banks, has considered the re p o rt o f
th e s e c re ta ry o f th e Open M arket Consnittee, the p re lim in a ry memorandum, and. the
d ata subm itted by th e F e d eral Reserve Board and by re p re s e n ta tiv e s o f th e sever­
a l reserve banks, and has reached the fo llo w in g conclusions upon the m atters
th e re in re fe rre d to and upon th e s p e c ific questions asked by th e F e d e ra l Reserve
Board*
The fa c ts appear to be;
1*

The panicky fe e lin g has subsidedo

2*

A business recessio n has taken p la c e , th e e x te n t o r d u ra tio n o f which
is n o t y e t p o s sib le to determ ine*

3*

Money has been made a v a ila b & i to caumerce and in d u s try a t more re a ­
sonable ra te s *
L iq u id a tio n is progressing in an o rd e rly fash io n *

O

5*

Rediscounts have been reduced to under # 4 50 ,000 ,00 0*

■:;mk

JS
^

However, th e re is a la rg e volume o f s e c u rity loans in member banks
which th ey a re anxious to g et reduced*
?*

L iq u id a tio n has been slow er in country banks than in th e c ity banks*

Under these circum stances i t is th e judgment o f the Committee th a t no open
m arket o p eratio n s in Government s e c u ritie s a re necessary a t th is tim e e ith e r
to h a lt o r to exp ed ite th e presen t tren d o f c re d it*
The Committee b e lie v e s however, th a t i t would have an u n fo rtu n a te e ffe c t up­

on business i f the demand fo r a d d itio n a l c r e d it fo r sp rin g business, concurrent­
ly w ith th e running o f f o f the present b i l l p o r tfo lio o f the System should re ­
s u lt in a hardening o f ra te s *
I t th e re fo re recommends th a t the minimum buying ra te fo r b i l l s , fix e d by th e
F e d e ra l Reserve Board, be reduced so th a t th e F ed eral reserve banks may have such
f l e x i b i l i t y in th e ir b i l l op eratio n s th a t the p resen t p o r tfo lio may be not only
m aintained b u t m y i f necessary be increased to such e x te n t as to avoid the h a rd „ ______ demaal fo r a d d itio n a l reserve
-r.-iT'g o f ra te s whioh m ight re s u lt frcm a seasonal awna
c re d it*



Reproduced from the Unclassified / Declassified Holdings of the National Archives

Tho BooiA 1m eo&#i<!or«A tho roport of tlao Opm mrisst Polity
Conforonoo oad notes
(1) *Hiot it is th« JadipMmt of tho Coaforoaoo that ‘♦ao MAttost
rperttioM in Ooitraml $t«KriUfl« « n aootooofy *t M i tta«$
(2) Hint 11 *otdUi hovo on wfortoaatto offoot w>oo

if ^i»

donand for uddlttsnAl «ndlt for fjfflar ktiiw tt oM w m ilV «rlth
n m l^ off la tho pvoooat M il'portfolio of tho System shoald fom li
ia tho hrtdoalae of f»tH| mA

{2) ifot tlio Conforonoo forthor roeog&lso thot/*fnlnla«i taqr&ag rato
fo r M i l * flstft hy tho ?*6oy*1 $ 000*00 £o*»id ho rodueod oo th o t tho

Tedorol rooono honks asp Hr-vo ««#) flexibility la their oporotloao that
tho p r o m t portfolioo may aot «aljr ho aoiatolaoA hat If s o o itm s y ho S»*
erooood to i« h *n oxtont «*o to ovoM tho hrtTdonlar of rates «hleh » y i t
result fwm m wmmml Amumfr for iM ltiouil roooroo efadil*4

19m t«sri hits am lalty coaaldorod tho rsport of tho cooforonoo
sttpploaaatMl oo it mi hy ■ dotollod orol qoootictto on& disoaooiofto ot
tho

m& '$s6no*dfqrt Imiiirxt 38th. mid ?9ttu

noottsi^o of

^%o $ooi4

opiates that o hr itiooiar of rotoo ohstbor imeh h^rdoaliy? Aod4

1® of tho

rooult frois domaod for wddltloftat
reduction of tho

credit for Spring1hiisiaooo or that o

total *olm» of m on o credit should ho &w$M, mb is

thoroforo ntopafod ot say tlao to coasldor a yefaetlQa la the offfcotloo
hggrtaf roto for M ilo oo
owoorolol
o tttatnvm

rotoo,

fi^

a l# t ho aooooooxy to prsvont o hsidontag of
this la bImS Dm Board io aow yu giwd to opm-OfO

effoctirfr taqrta# roto of 3?/8$ for oagr lodaral toooroo hock

w ishing to «ot*%htt«fe sue^h roto,




Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority E . 6 . UZSIo

'

A

y

?

o

The Open M arket CcmBiittee, in c lu d in g in fo rm a lly th e Governors or
Deputy Governors from eleven o f th e F e d eral rese rv e banks, has considered th e re ­
p o rt o f th e s e c re ta ry o f the Open M arket Com m ittee, th e p re lim in a ry memorandum, and
th e d ata subm itted by th e F e d eral Reserve Board and by re p re s e n ta tiv e s o f th e s e v e ra l
reserve basks, and has reached th e fo llo w in g conclusions upon th e m atte rs th e re in
re fe rre d to and upon th e s p e c ific questions asked by th e F e d eral Reserve Board*
The fa c ts appear to be:
1*

The panicky fe e lin g has subsided*

2* A business recessio n has taken p la c e , th e e x te n t o r dura­
tio n o f which is not y e t p o s s ib le to determ ine*
3* Honey has been made a v a ila b le to commerce and in d u s try a t
more reasonable ra te s *
4*

L iq u id a tio n is progressing In an o rd e rly fa s h io n .

5«

Rediscounts have been reduced to under #460 ,000 ,00 0*

6» However, th e re is a la rg e volume o f s e c u rity loans In member
banks which they are anxious to g e t reduced*
7 . L iq u id a tio n has been slow er in country banks than in th e
c it y banks*
Under these circum stances i t is th e judgment o f th e Committee th a t
no open m arket o p eratio n s In Government s e c u ritie s a re necessary a t th is tim e e ith e r
to h a lt o r to exp ed ite th e p resen t tre n d o f c re d it*
The Committee b e lie v e s however, th a t i t would have an u n fo rtu n a te
e ffe c t upon business i f th e demand fo r a d d itio n a l c re d it fo r sp rin g business, con­
c u rre n tly w ith th e running o f f o f the present b i l l p o r tfo lio o f th e System should
r e s u lt in a hardening o f ra te s *
I t th e re fo re recommends th a t th e minimum buying ra te fo r b i l l s ,
fix e d by th e F e d eral Reserve Board, be reduced so th a t th e F e d eral reserve banks may
have such f l e x i b i l i t y In t h e ir b i l l o p eratio n s th a t th e present p o r tfo lio may be not
o n ly m aintained b u t may i f necessary be increased to such e x te n t as to avo id th e
hardening o f ra te s w hich w ig h t r e s u lt from a seasonal demand fo r a d d itio n a l



Reproduced from the Unclassified / Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . IB54>

-S -

re s e rre o re & it*




Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

fow w em t E o rris s ta te d th a t s o l? I«d o f th e Governors favored
* p o « itiv « p o lic y o f easing co n d itio n s is the m arket*
/

E.6. U35fe

2 ■'/

She n & jo rity fe e l th a t H i# satis tin g tendency is toward lo w er d is c e rn *
ra te s and low er oaaejero ial ra te s *
f e shomLd n o t in te r fe r e e ith e r to m to re e o r e x p e d ite H i t *
S x is tla ^ o o n d itlo a s sho& d <&#&r mp fa r th e r > *fo re
is ta k en *

any

wmtik a c tio n

f« should n o t tr y to s tim u la te 'b m im m now n n t il a s ta b le c o n d itio n
o f business is re&ofeeA, and th * d e c lin in g co ndition s have ended*
¥ • do n o t fa v o r o r e a tin g a r t i f i c i a l co n d itio n s e ith e r by b i l l
pini1uiha8es o r tgr lo n e r diseoon t ra te s *
»e fa v o r keeping th e s ta tu e <po w ith sndi in crea se in b i n purchases
as w iH p rev en t hardening o f or e d it*
Ho not b e lie f# that there is any danger o f the recn rreon e o f
s p e c u la tiv e a c tiv it y *
Ve do not fa v o r an in crease in M i l purchases in o rd e r to b rin g aboni
a lo w e r d isco u n t ra ta *
f t do not fa v o r the lew Xoile reoOMaendation o f easing th ro n g b i l l
purchases w ith a view to lo w e r discount ra te s *




W 5

Reproduced from the Unclassified I Declassified Holdings of the National Archives

d e c l a s s if ie d

Authority E .6 .

'A

? / ?

o

Governor McDougal, a f t e r expressing the a ttitu d e of the Chicago
board which has had under co n sid e ra tio n the low ering o f the discount ra t e , s a id
he b e lie v e d t h is a ctio n might be taken in the near fu tu re i f the d ir e c t o r s could
agree that i t would be a stim ulus to le g itim a te b u sin e ss.

In regard to the propose

ed red uctio n in the b i l l cate, he stated he could not q u ite see the p ro p rie ty o f
such a c t io \ a t the moment but th at he c e r t a in ly would not fa v o r any a c tio n which
\
/
would tightek, the s it u a t io n .
Governor N o rris expressed the opinio n that the program adopted in
November has been accomplished and that no fu rth e r easing should be e ffe c te d . He
COl
i
stated he would not fa v o r a reduction' in the discount ra te - although he would approve
h

/

a sm all red u ctio n in the t i l l rat<r MWPBi y i a » * iig to keep the System in the b i l l market and not fo r the purpose o f/In c re a s in g
A

h o ld in g s.

Deputy Governor Paddock stated that the s it u a t io n in the F i r s t D ist­

r i c t has cleaned up b e tte r and more .r a p id ly than was expected but there are s t i l l
sane c o lla t e r a l loans which should be liq u id a te d .

He stated h is bank would l ik e to

see a p o lic y o f marking time f o r th4j>per£ent u n t i l something more d e f in it e develops,
and then probably begin w ith a red u ctio n in the b i l l ra te .
Governor Fancher stated that he thought the System p o lic y should be
to keep money f a i r l y com fortable ahd that he would fa v o r a re d u ctio n in the b i l l ra t e .
With regard to a re d u ctio n in the discou n t ratti, he stated h is bank i s s t i l l at
and though i t may la t e r - toward the e n d ^ f February - reduce to 4 -1 /2 $ , he thought
i t would stay at that rate f o r some time.
Governor T a lle y stated that up to this, time h is bank has been in f a v o r o f the Systpm p o lic y , but he would ^ot’ tiow approve a re d u ctio n in the b i l l or d is —

A
count ra te s .

He

exp ressed

jthe opinio n that the System can e r r more r e a d ily at the

present time by e asin g than by doing nothing, and he would be opposed to any s p e c if ic
mojeiagn^
ease^
6H$©Hv yfco
jvQ DdoOr
™ JUAAC&-W



I

Mwo.

M,

,

^
0
J~
*. lAAfvwU MhyAXS Th

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . U35&>

w p/

i i W

^
A -fiM CWw - A/ /U J/M

■YV^XygJ,

.

^

-2 Governor M artin expressed the opin io n that the r e s u lt s sought in the
November p o lic y have been obtained*

He stated he thought j i re d u ctio n in the discount

\
.
. G>
rate r ig h t now would be a movement in the w rongNlire^tion^

He a ls o stated that i f a

re d u ctio n in the b i l l ra te would r e s u lt in a f a i r l y immediate.

low ering of the d is -

count ra te , he would not fa vo r that at the present time*
Governor B lack expressed the opinio n that a p o lic y o f ease should be
^ continued.

He stated h is bank would fa v o r a re d u ctio n in t h r i l l ra te , and, i f i t

had an opportunity, would probably reduce i t s own ^ s c o p i ^ r a t e o f 4 -1 /2 $ , in an e f­
f o r t to obtain reasonable ra te s fo r business*
Governor Geery stated that h is bank m aintains a % discount ra te ,
which i s below the commercial ra te in Isije d is t r ic t *

I f a re d u ctio n in the b i l l ra te

were to be made to a p o in t where i t wouldS^interfere w ith the normal d is t r ib u t io n o f
3 acceptances, he stated he would be opposed\to i t , but M thought i t would be a wise
/
\
/
move i f i t were s imply a step to conform to the market and take on as o u trig h t hold—
^ ings such b i l l s as are now c a rrie d under repui^hase/igreem ents.
\^,y

Governor Seay expressed the opin io n that the System should m aintain
the present s it u a t io n ra th e r than ease fu rt h e r.

He s a id he thought the System should

proceed c a u tio u sly in o rder to see that hardening o f ra te s does not r e s u lt from the
sp rin g demands and to prevent any hardening i t might be w e ll, to

through the ac­

ceptance ra te o r p o s s ib ly by sm all purchases o iA ,& o v e ra m e ^ se cu ritie s, although he
would d is lik e very much to see the la t t e r done.

\

Governor G alkins expressed the opinion that the o b je c tiv e o f the Sys
t©mrs p o lic y , as he understood i t , seems to have been achieved and t h e r e ]is no occa< s io n to go fa rt h e r at the present tim e.

He stated that i f i t should la t e r appear de-

\ s ir a b le to b rin g about a co n d itio n o f g re a te r ease i t should be dpiie through some

/

'
\
M\AVW
/
s lig h t v a r ia t io n in the b i l l ra t e , as the System can<r e v e r s e i / s e l f w ithout embar­
rassment, ifhich i t cannot do aa ujjluiii 11* " * ’ the discount ? irie l




Reproduced from the Unclassified / Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 .1 2 3 5 k

#

a

^

“

#

3

3?)

•

^ £-'2 —

RSPORT Of TH3 ®5Crij£TARY OF TH3 QP'M .MARKET Bf/l&frOTT COMMITTEE
TO THE TOTING Q3T TH5 COMMITTSS AT WASHINGTON ON JANUARY 28, 1930
At the time o f the l a s t meetj^
t h | Open Market Inveatment Committee,
I
W 2 ^ f93p I
which was held a t Washington onjhsfoyember 12, i l ^ 9 , the to ta l holdings o f Government
n®*«^i£aa3liaKj
s e c u r it ie s in the System s p e c ia l Investment Account amounted to - - - - $ 97,500,000
Since that time purchases o f United States Government s e c u r it ie s have
been made fo r the System Account as fo llo w s:
During P eriod November 13 to November 20, 1929
Y/ith the approval o f the Open Market Investment Committee there
was tra n sfe rre d to the System Account from the purchases which had
been made by the Federal Reserve Bank o f New York - - - - - - - - -

25,000,000

T h is made a t o t a l of #75,000,000 which had been tra n sfe rre d to the
System Account from the purchases by the Federal Reserve Bank o f New
York during the perio d October 30, 1929 to November 20, 1929*
During P eriod Nov amber 27 to December 31, 1929
Purchased pursuant to the recommendation contained in the re p o rt
of the Open Market Investment Committee dated November 12, 1929 and
the approval of the Federal Reserve Board o f November 25, 1929 to
purchase not to exceed in the aggregate §200,000,000 o f Goveramenta -155§000>000
There have been no fu rth e r purchases o f Government s e c u r it ie s fo r
the System Account sin ce December 31, 1929, the t o t a l ho ld in gs
remaining at
-5277,500,000
Other Government s e c u rity tra n sa c tio n s in the System Account since
Nov saber 12* 1929, which d id not a ff e c t the to ta l amount of hold ings in the Account,
were as fo llo w s:




On December 15, 1929 an exchange was made in the System
Account o f $53,050,000 par value o f Treasury c e r t if ic a t e s which
matured on that date fo r a l ik e amount o f Treasury 3 \/&% c e r t i ­
f ic a t e s dated December 16# 1929, due September 15, 1930, pursuant
to the o ffe rin g o f the S ecretary of the Treasury dated December 6#
1929.
On January 10, 1930 the Open Market Investment Committee
took over from the Federal Reserve Bank o f St, L o u is $10»000#000 of
i t s p a rt ic ip a t io n o f Government s e c u r it ie s in

the

System

A ccount

and

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . U 35k

2
ap p ortion ed them t o the oth er p a r t ic ip a t in g bani:s which agreed
to take t h e ir share*

These s e c u r it ie s were taken over a t the

market p r ic e s a t the req u est o f the F ederal R eserve Bank o f S t.
Louis owin ; to i t s rea ch in g a p o in t where i t may have d i f f i c u l t y
in p ro v id in g c o l l a t e r a l a g a in s t notes*

During the l a t t e r p a rt o f O ctober and the fo r e p a r t

o f Novemberr 1929 f the

purchases o f Government s e c u r it ie s made by the Federal R eserve Bank o f New York (
aggregated £ 1 3 6 ,9 6 9 ,9 5 0 .

As s ta te d above, £75,000*000 o f the t o t a l s e c u r it ie s pur­

chased were t r a n s fe r r e d to th e System Account and d is t r ib u t e d among the p a r t ic ip a t in g
F ederal re s e r v e banks, le a v in g a balance o f such purchases which are s t i l l b ein g h eld
by the Federal R eserve Bank o f New York o f £11 1,969,650 made up as f o llo w s :
$11*200,000
1 8 ,051 ,0 00
20,150 , 000
33,466 ,9 00
2 9 ,101 ,7 50

U.
”
”
"
**

S.
,?
*
«
>'

Treasury B i l l s
dated Dec*
4 7 /8 # C ert, o f Ind. "
S ept,
3 1/6%
v
"
”
Dec.
3 1 /2 $ T reas. N otes
"
Mar.
3 1/2%
”
w
”
S ep t.

17,
16,
16,
15,
15,

1929
1929
1929
1927
1927

due March 17,
♦' June 16,
« S ep t. 15,
»» March 15,
" Sept. 15,

1930
1950
1930
1932
1932

£111*969,650

Changes in P a r t ic ip a t io n s in System Purchases o f
Bankers A ccep tan ces and Government S e c u r it ie s
S ince November 12, 1929 the F ederal R eserve Banks o f C lev elan d , Richmond
and M inneapolis resumed p a r t ic ip a t io n , and the F ederal R eserve Bank o f A tla n ta d is ­
con tin u ed p a r t ic ip a t io n in System purchases o f Governments; and the F ederal R eserve
Bank o f S t. L ou is resumed p a r t ic ip a t io n in the System’ s purchases o f b i l l s .

The

F ederal r e se r v e banks which p a r t ic ip a t e d in the r e ce n t purchases o f Governments, and
the banks that are p a r t ic ip a t in g a t p resen t in the purchases o f b i l l s a re as fo llo w s ;




Governments
B oston
New York
■P h ila d e lp h ia
C leveland
Richmond
Chicago
S t. L ou is
M in n eap olis
D anas

B ills

.

Boston
NeW y 0rk
C leveland
Richmond
A tla n ta
Chicago
s i , L ou is
M inneapolis
D a lla s
San F ra n cisco

Reproduced from the Unclassified I Declassified Holdings of the National Archives




d e c l a s s if ie d

Authority E . 6 . 1235k

Attached are statements showing:
Exhibit "A" - Outright holdings of Government securities by
individual Federal reserve banks as of
January 22, 1950, also their participation
in the System Special Investment Account and
classification of issues held in System
Account by maturities as of the close of busi­
ness January 24, 1930.
Exhibit ”Bn - Bills purchased outright by the System by
weeks from January 3, 1929 to January 22, 1930.
Exhibit ”C,f - Statement showing earning asset holdings of all
Federal reserve banks January 22, 1930, as com­
pared with previous week and January 23, 1929,
also weekly average of earning assets from
January 2* 1930 to January 22, 1930, as compared
With corresponding period 1929 and entire year
1929.

Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

E.6. QSSfe

EXHIBIT "A”

*
STATEMENT SHOWING HOLDINGS OF GOVERNMENT SECURITIES BY FEDERAL HESERVE BANKS
(E xclu d in g Sal es C on tracts)

O utright H oldings o f
Government S e c u r it ie s
by Federal R eserve
Banks as a t the c lo s e
o f B usiness Jan. 22, 1950

P a r t ic ip a t io n by F ederal
R eserve Banks in System
S p e c ia l Investment Acct#
Government S e c u r it ie s
as a t the c lo s e o f
B usiness Jan. 2 4 , 1950

T ota l

744,000

§ 26,12-9,000

§ 26,875,000

115,499,500

97,500 ,5 00

2 10,800,000

P h ila d e lp h ia

15,022 ,0 00

2 7,876 ,0 00

42 ,898*000

C leveland

10,165 ,0 00

20,101,000

50-,266,000

Richmond

1,1 5 2 ,5 0 0

8 ,7 4 9 ,5 0 0

9 ,9 0 2 ,0 0 0

A tla n ta

2 ,6 2 4 ,0 0 0

6,22 6-, 000

8 ,8 5 0 ,0 0 0

Chicago

19,927 ,5 00

50,448 ,5 00

70,576,000

S t. L ou is

8 j 625,000

10,641,000-

19,266 ,0 00

M inneapolis

7,769,50 0

9 ,147,50 0

1 6 ,917 ,0 00

i.ansas C ity

5,000

5,06.0 ,000

5,0 6 5 ,0 0 0

D a lla s

9'4987,500

15,647 ,5 00

25,655,000

San F ra n cisco

9,6 4 2 ,5 0 0

2 ,1 7 5 ,5 0 0

11,816 ,0 00

$199,162,000

$277,500,000

$476>662,000

Boston
New York

T o ta ls




$

CLASSIFICATION OF IS,SUES OF GOVERNMENT SEC1TRITIES
HELD IN THE SYSTEM SPECIAL INVESTMENT ACCOUNT
CLOSE OF BUSINESS JANUARY 24, 1950
5 1 /8 # C /I due
U. S. T reas. B
4 7 /8 % C /I due
5 1 /8 c]o "
”
5 1 /2 $ T/N w
5 1 /2 $ "
tt
5 1/2% ”
”
4 1/4% 4th L/L

Mar. 15, 1950
i l l s due Mar. 17, 1950
June 16, 1950
S ep t. 15, 1950
Mar, 15, 1952
S ep t. 15, 1952
Dec,. 15, 1952
Bonds O ct. 15, 1958
T ota l

$ 15,000,000
50 , 250 *000
50.110.000
64.825.000
1 2.560.000
12,225 ,0 00
58,780,000
55,950,000
$277,500,000

I X H IW T " B "

B IL LS PURCHASE? Ol'TRISHT BY SYSTLT PY WEEKS
ARP

FROM JAXUAK’-- 3 TO SECBTSER 3 1 .

(0 0

B >rtw

I 15.601

1 5 ,5 0 0

5 ,5 6 7

7 ,5 0 8
1 2 ,0 9 7

7 ,5 8 5
1 7 ,2 6 0
1 7 ,7 4 5

3 ,3 1 1
2 ,1 2 4
1 ,2 2 7
516

418
1 ,5 1 0
863
1 ,4 2 4

9 .0 T 3
6 ,T 3 2
3 ,5 2 5
8 ,3 2 1

6 ,5 8 4
2 ,5 3 1
2 ,5 0 4
416

1 5 ,6 5 7
9 ,2 6 3
6 ,0 2 9
8 ,7 3 7

1 ,4 1 0
1 ,6 3 9
1 ,5 9 4
2 ,5 5 4

498
-0 2 ,0 4 2
- 0-

1 3 ,8 4 3
7 ,4 0 8
4 ,3 8 5
6 ,3 8 2
3 ,8 3 4

8 ,6 5 4
191
9 ,6 3 4
1 1 ,8 9 8
6 ,3 9 0

2 2 ,4 9 7
7 ,5 9 9
1 4 ,0 1 9
1 8 ,2 8 0 .
1 0 ,2 2 4

2 ,3 8 7
1 ,6 8 9
1 ,3 9 9
1 ,6 2 3
1 ,9 4 6

929
1,665
4.281
2,4»6

1

3,050
1.442
3,210
1.T42
1.442

3
IT
24

31
T
21
28

-

0502

# 2 ,7 8 2
1 ,7 2 7
1 ,5 5 4
2 90

#

#

75
568
250
-0 -

112

515
150
469
1 ,3 0 5
275

228
134
25
- 0278

125
201
1 ,2 0 1
405

200
l , o 02
657
34C
403
778
1 ,2 1 4

400

524
1 ,2 8 7
761
650

100

806

101

18
25

1,131
357

2
9

1 ,0 1 4

23
30

1 ,T 4 4

1 ,1 2 5

16

962
5

6
13

20

12

27

383

4

1 ,3 0 5
45
124
771
588

- 0-0 - 0-0 -0 -

3 ,0 3 1
2 ,0 3 8

-0 6 ,7 0 7

3 ,0 3 1
8 ,7 4 5

3 ,9 2 9
6 ,5 8 5

2 ,8 1 9
5 ,9 2 6

-0 -0 1C4

1 2 ,5 1 1

1 ,0 9 0
1 ,^ 5 6
1 ,5 5 8
0 ,6 4 4

-0 08O
-0 85

18

84

24
31

1 ,1 8 7

I lMSL

1 ,3 5 5
2 ,8 8 3

6 ,7 4 8

792
1 ,0 5 0

598

5 ,1 5 1

1 1 ,1 8 4
3 8 ,2 1 0
2 7 ,0 6 4
2 1 ,7 0 7

1 ,8 5 6
2 ,0 2 3
2 ,2 0 2
2 ,3 0 4

1 ,1 9 0
-0 200
75

5 2 ,9 8 6
4 1 ,4 6 3
1 8 ,9 6 3
3 0 ,0 9 2
-0 -

6 7 ,0 9 9
5 1 ,2 9 1
3 2 ,9 2 9
3 2 ,4 1 5
6 ,0 5 3

2 ,9 3 8
1 ,9 9 1
1 ,9 4 3
952
284

479
-0 460
o51
-0 -

—
C—

1 2 ,8 6 2

200
1 ,7 8 5
-0 -

975
2 ,0 9 6
- 0-

161
707

2 ,9 1 9
1 6 ,7 7 9
1 3 ,0 9 0
1 6 ,5 5 6

8 ,2 6 5
2 1 ,4 3 1
1 3 ,9 7 4

1 4 ,1 1 3
9 ,8 2 8
1 3 ,9 6 6
2 ,3 2 3
6 ,0 5 3

1 ,3 5 1
1 1 ,6 5 0
1 7 ,6 3 0
8 ,9 7 4
7 .9 9 5

1 ,*18

—

6 ,6 2 1
1 ,2 7 0
847
1 0 ,2 2 9
4 ,8 3 1

- 0-0 -0 -

1 .5 T 5
4 ,8 3 1

6 ,6 0 6
1 ,2 7 0
-0 8 ,6 5 4
-0 -

1 2 ,8 6 2
7 75
311
-0 -

3

18

11

945

15
-0 847

1 ,3 3 4

rcu’ivLs

250
8

1 50
5 47
3 57
1 ,1 3 4

-0 127
-0 1 ,4 3 0

- 0—
- 0-

1,686
-0 604
598
864

1,411

22

—
0—

D a lla s

2 ,1 1 3
2 ,1 7 7
991
877

2 ,9 0 2

4

15

25 0

C h ic a g o

7 ,7 5 8
5 ,3 6 3
5 ,6 9 3
5 ,3 1 9

4 ,8 5 6
4 ,0 0 8
2 ,8 1 0
4 ,3 T 4

11

8

#

1,5*4
1,040
114
339

T20
4,857
2.281
2,686

14

iXJTALS

8 ,6 2 4
1 8 ,0 8 9
1 4 ,5 4 3

A tla n ta

Richm ond

San F ra n .

297
. 298

4 ,1 7 1
2 1 ,5 9 4
j7 ,3 « C
9 ,2 7 1
41 ,2 9 3

2 ,8 2 0
9 ,9 4 4
1 9 ,7 5 0
jo

008
S73
141
1 ,2 6 5
1 ,2 20
5^5

’ .*29

4 3 0 ,6 1 7

-0 -0 -0 -0 -

15,620-|

2 7 ,0 3 5
2 5 ,6 3 1
3 7 ,9 9 7
1 5 ,7 4 4

1 7 ,9 5 6 -!
1 8 ,4 4 8 2 5 ,7 3 8 -f
1 5 ,2 7 3 - ;

24,86719,68435,42221,561-

2,010
327
903
3,641

2.031
5,582
6.25T
3.5T5

1 ,9 3 5
2 ,5 3 9
3 ,2 9 4
3 ,4 0 0

2 4 ,9 8 4
2 2 ,2 1 3
2 6 ,7 5 4
3 0 ,9 7 1

1 4 ,3 9 8 -

29,43121,54346,26328,411-

2,521
3,5T5
2,556

1,866

4*920
5,243
5,459
IT,510

353
952
241
338

2 0 ,5 6 9
• 1 5 ,2 9 4
1 5 ,7 6 1
1 6 ,3 0 4

33,T24—
IT ,386-

3,490
3,436
4, T39
2,421

6,2T4
2.853
3,T44
J.55T

29,246+
13,24011,074-

1 ,3 0 8

1,626

8 121

1,10 1

1 ,7 4 2

3 0 ,7 4 7
1 5 ,5 6 7
2 2 ,2 5 1
2 6 ,4 5 9
1 9 ,3 4 3

1,904
2,311

1,682

1 ,0 3 6
1 ,6 9 8
323

1.884
4,747

3,653
1.TT5
2,904
2,211
2.403

5,083

3,203

883
577
1 ,0 8 8
1 ,^ 4 9

505
1 ,0 6 9
1 ,5 1 7
983

1 ,2 9 8
5 ,5 8 2
2 ,7 0 4
263

592
623

729
1 ,0 9 3

25
621

808
602

95
14

1,012
1 ,4 9 0
642
722
714
1 ,1 3 2

4 8 ,3 2 9
4 4 ,6 8 4
3 6 ,5 5 9
2 4 ,1 7 0

# 2 6 ,6 3 3 1 0 ,2 8 3 2 6 ,0 1 4 -/

12,823^h
3 5 ,5 2 0 —;«
1 7 ,4 6 4 - /1

il

1 4 ,3 7 9
1 1 ,8 8 4
1 0 ,7 6 6
1 0 ,3 6 7

1 8 .5 T 3 - I
1 3 ,8 6 2 -i
1 3 ,T 7 2 -|

, -

16 290

2,116*(

148+

2 0 ,8 4 7 +
1 3 ,1 3 2

-h

8,759-‘S

, -

5 ,0 6 3 - !
1 5 ,9 8 3 -

20,067-

5ol
951
729
575
298

629
50
30
5 26
61

618
720
1 ,2 1 0
1 ,1 2 5
500

3 54
-0 700
869
8 98

1 1 ,7 4 4
2 ,9 3 6
4 ,2 4 4

1 4o
o65
o54

470
1 ,o 2 6
l .d o O
217

o90
7j 8
325
514

68
1 ,7 3 7
2 ,7 1 0
2 ,4 9 2

5 ,9 1 2
1 9 ,5 0 4
1 6 ,4 1 0
2 3 ,8 0 7

3 24

993
814

2 ,0 6 9
368
1 ,3 3 9
2 ,3 1 4

2 0 ,6 9 0
4 6 ,1 1 3
3 4 ,8 6 8
2 8 ,9 7 8

866
686
371
757
204

2, o l7

?5 0
760
1 ,4 9 2

o28

75?
’ 17
421
o83
4T0
0^2
654
oS7
42o

686
3 ,2 1 0
1 ,4 1 7
1 ,4 7 8
2 ,0 ? o

458
1 47

1,060

160

1 ,5 6 3
2 ,0 8 9
1 ,1 4 0

3 58

208

ICO
o50

'■5

682

166
- 0-

2,792

o i6
9 95

—
-

0-

l^O

1 ,8 4 7
1 ,6 1 8
5 60
1 ,0 4 4
1 ,4 6 0
1 ,2 1 0
364

425
631
6 14
476
1 ,9 7 0
551
046

746
349
087
579

501
1 ,0 4 1

2,082

3,000
2,54T

4,900
4,945

8 ,9 1 7 -

2,080

7,9461,662+
5 ,7 2 5 +

3,836
T,22T
2,646
4,T85

10,463
297
2.9T3
6,818
1.T15

4 ,5 9 1 +
3 8 ,7 2 7 +
1 4 ,2 5 2 +
2 4 ,3 7 7 +

891
2,938
2,003
3,824

2,083
4.853
4,12^
1,323

2 1 ,2 3 2 +
3 2 ,2 3 1 +
1 7 ,4 0 8 + ]
2 0 ,2 6 7 + |

2 6 ,4 0 2 +
3 9 ,3 1 3 +
1 8 ,8 7 4 +
2 2 ,8 3 1 +

1,125
5,645
5,733

1.403
3,252
3,098

6,220

2,860

7 5 ,9 3 6
6 2 ,8 0 0
4 1 ,2 9 7
3 9 ,4 3 4
9 .B 6 0

5 4 ,2 6 3 +

5 8 ,8 8 4 +
1 C ,3 3 3 +
2 6 ,9 5 9 +
1 9 ,2 7 3 +
3 9 ,4 9 8 -

4,070
1,516
3,457
6,629

3,129
1,53T
4,310
5,299
3,T54

1 5 ,4 2 1
4 ,5 2 4
6 ,1 9 8
4 ,2 8 2

4 ,6 9 8 -!
2 5 ,? 3 0 -|
9 ,9 9 4 -j
2 5 ,9 0 6 -

9 ,5 1 1 3 n ,8 6 2 -

3,495
3.5TT
4,412
6,963

1,155
1,058
2.29T
2,024

4.885
3,217
4,696

o3,602+ i

7976 5 ,3 2 2 +
1 2 ,4 2 9 4 5 ,5 3 2 *

I 3 ,o 8 3 + i

37.266+

3 ,2 9 6
2 ,6 0 3

2.5T9
3.03T
3,254
3.031

9 2 ,1 4 9 -

# 1 8 5 ,6 4 5

# 2 0 4 ,4 1 5

7 3 ,0 4 2 -

1 3 ,0 6 8

7 ,1 1 3

29,774-

4,180+
2 4 .9 5 8 -

3 ,1 7 9

# 8 0 ,1 5 9 -

#9o,820-

1 5 ,1 5 1
3 ,1 8 7

2 ,7 8 9
2 ,3 3 4
9o3
1 ,0 1 3

2 ,1 5 1

135

l.l.-J
0 ,1 4 3

*1 2,,6 5 o

# 4 3 ,0 5 6

J 4 1 ,^ 9

« 3 9 ,4 3 0

i 8 8 ,3 5 0

# 1 ,2 4 6 ,7 5 4

,790

A15

fcc-1

2 ,2 4 s

0^

975

4 ’53

4 ,9 H

4 2 ,7 6 1
6 4 ,0 0 8

I ,1 0 7

____ : J 2

•>,761

oJ,

♦ 1 7 ,353

7 ,3 3 8
o " ,9 0 0

3 3 , 1C4
5 1 , 4o9

1 , o?>
1 .’ o3

-0 -r-

1 4 .1 a7

’ o ,5 c5

1 ,6 C ?

-

# 5 2 ,4 2 5

♦ 1 0 3 ,1 2 5

# 4 , 801

645
737
770

97

177

599

0-

j

_n-

;i , 7 ^ ;

1

9's

* 2 ,-9 7

#1,7^6

4 1 0 ,9 7 0

_

5,1T21.3T0+
27,085-

4 ,5 6 6 + 1
6 ,4 0 2 + j

2,080

7,422
5,604
3,060

6,212

-0 -

2 5 ,7 6 6

j

847
7 48
1 ,7 6 9
769

-0 —0 -

2 .3 5 9
3 .3 5 9

# 5 5 ,7 0

518
969
654
8 74

—

# 4 1 6 ,0 1 0

$ 7 ,3 4 5

2 04
271
450
6 48

550
o ,6 5 7
1 ,4 1 5
2 ,1 2 3
o ,o 9 2

# 4 0 6 ,4 0 2




1 ,1 4 5
991
303
1 78

715

# 1 0 0 ,4 7 4

l& l

225
- 0313

M l

9,8oe

#

-0 -

-c-

# 0 2 2 ,4 1 2

2 0 ,5 3 9
9 .3 9 2

200

R a c a lT a a '

♦ 1.55T
5.5T4
2,5T3
2,852

# 1 0 ,0 5 9
3 ,2 9 7
1 ,6 8 4
972

539
192
728
830
1 ,4 8 0

Daalara
Oporatioao
With Other
Diatrlata

T,2584,139+
27,02118,609-

504
747
509
672

20
218

T o ta ls

1

10

1930
Jan.

2 ,2 4 4

3
10
IT
24

19
26

D ae.

717
1 ,3 0 3
476

1 3 ,2 5 6
2 ,0 1 8
9 .T 5 2
5 ,6 4 8

5

No t .

3 ,1 5 5
1 ,1 2 9
553
969

1.5T9
6,38*
1,506
4,TW

12

Oct.

1 8 ,5 6 4
1 4 ,7 2 8
3 0 ,3 9 2
9 ,1 6 2

6
13
20
2T

816

15
22
2f

5 «p t.

1 ,6 9 4
5 ,3 4 6
5 ,0 9 $
705

1*564

1,T26
550

8

4*.

1 6 ,0 0 0

1 6 ,8 7 0
9 ,3 8 2
2 5 ,2 9 3
8 ,4 5 7

6

U
20
2T

C le v e la n d
- 01 ,2 5 1
539
-0 -

1 4 ,8 9 3

SO

P h il a.
# 2 ,9 2 5
3 ,0 5 8
2 ,1 4 4
2 ,5 2 4

# 1 6 ,3 0 8
2 5 ,1 3 6
2 5 ,1 6 7

1

8,T*2
4,605
1,148

23

Jtiljr

fo ta l

T .6 8 4
7 ,0 4 7
1 0 ,6 2 4
1 ,1 0 7

9

16

Apr.

N ov Y ork
D t o lo r a

B osk *

INCREASE o r DECREASE
i n H o ld in g a
I n c lu d in g S o le * C o n tr a c ts
New York; ;
S y a te n
Opa r a t l o n f t ; O p e r a t i o n a

7 ,3 0 8
3 2 ,3 6 0
4 2 ,? 4 0
1 6 ,3 2 6
5 4 ,7 6 2

718

J 1 4 0 , 487

22,822^1

4 ,1 9 3 -

V

3 ,2 8 2 2 ,1 3 7 -|
1 ,7 9 3 +
1 ,4 2 6 - |

1 ,2 0 4 +

6,197+1

2 ,3 6 1 + 1
3 2 ,8 7 7 + |

^3,949+ t
1 7 ,5 1 5 +

j

4 ,0 6 5 + 1
2 4 ,8 9 6
2 2 ,8 4 6 + 5
2 9 , 9 9 3 - jj

+t

662 -

15,68126 ,516-

'

5 7 ,1 7 9 + ]
1 5 , 538 - ; :

| 6 2 ,7 7 8 -4

>6,534-i
5,149+

#

1 0 ,0 6 7

.hJM

8T6

jLtias
# 2 1 ,3 2 2

# 1 1 ,4 2 9

Reproduced from the Unclassified I Declassified Holdings of the National Archives

iN k i

|^ y y n

2 TO JANUARY 2 2 , 1 9 3 0 . INCLUSIVE
L tt e d )

S1
Im n i
F*!
1*0 ►
i
C/3
0
5
6 km*
in
<r W
0

nr

*W

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E .6 .1 2 3 5 k

EXHIBIT "B”

4a)

CLASSIFICATION BY MATURITIES OF BILLS PURCHASED
BY FEDERAL RESERVE RAI'IKS IN THEIR RESPECTIVE DISTRICTS
DURING THE PERIOD FROM JANUARY 3 TO DECEMBER 31, 1929
AND FROM JANUARY 2 TO JANUARY 22, 1930
(EXCLUDING SALES CONTRACTS)_________________
(000 Omitted)

1-30 days
Boston
New York
P h ila d e lp h ia
C leveland
Richmond
A tla n ta
Chicago
D allas
San F ra n cis co
T o ta ls

T o ta ls




T ota l

§ 24,461
362,675
28,019
6,065
2,858
29,939
21,690
13*254
17,275

§ 27,309
178,190
19,535
3,848
4,222
5,387
12,838
14,709
34,343

$ 45,645
261,554
33,063
7,440
5 ,573
7,356
7,381
7 ,0 3 5
34,454

$ 3,059
19,993

4 ,432
2 ,7 7 8

100,474
822,412
80,617
17,353
1 2,653
43,056
41,909
39,430
88,850

$506,236

f 300,381

$409,501

$30,636

$ 1 ,2 4 6 ,7 5 4

1-30 days
Boston
New York
P h ila d e lp h ia
C leveland
Richmond
A tla n ta
Chicago
D a lla s
Gan F ra n cis co

Januars^ 5 t o December 51, 1929
Over 90-days
61-90 days
31-60 days
$

0
0
0
374

0

January 2 to January 22, 1930
Over 90-days
61-90 days
31-60 days

T ota l

985
53,762
479
0
693
1 ,258
631
896
1,503

$ 3,738
38,295
1,246
0
594
609
1,969
554
5,580

$ 1,936
15,601
3,106
0
435
1,191
97
190
3,820

$

96
67

7,345
108,128
4,831
0
1,722
3,058
2,697
1,736
10,970

$60,207

$52,585

$26,376

$1,319

$140,487

§

686
470
0
0
0
0
0

$

EJUUBXT
SiiO ulN ^

-?

A i £ F ^ .:.. m«L

H .S £ a . . . ? * • '» «

-

a

'UAHY 2 2 ,

1 9 3 0 O O fT A R O

. ! > . PREVIOUS

£SR

AJID

JANUARY

23,

1929;

ALSO O d T

Reproduced from the Unclassified I Declassified Holdings of the National Archives

S rA E a ^ ;

"C *

Ib WTOrr.lvi)

B illa Oiacounted

-

m

•

Jan.
"

PttllgJB

:;#w York

Phi la.

15

♦ 1 9 ,1 8 0

# 7 0 ,6 2 6

# 4 9 ,8 1 ?

22

2 2 ,4 4 0

8 9 ,6 5 5

5 0 ,? 2 7

Net Change

3 ,2 6 0 +

B i l l * Purchased

- Jan. 15
"
22

M

•

Net Change

545+

OoTenueent Securities - Jan. 15
*>

«

22

m

Total Xarning Assets

«

26.873
26.873
«*Qaa

Not Change

*

17,876
18,421

m

- Jan. 15
"
22

Ret Change

64,929
68,734
3,805*

19,029+

1 5 0 ,7C4
117,264
3 3 ,4 4 0 -

213,181

210,800
2 ,3 8 1 -

444,361
427,219
17 ,1 4 2 -

Rici-: onJ

Azlttx.

J i j . CUi'.O

*>t. Louis

Minn.

♦ 7 7 ,6 6 9

# 2 9 ,9 1 0

♦ o 2 ,004

#86,365

6 5 .5 9 0

2 4 ,6 1 0

2 d ,6 6 8

7 3 ,7 0 4

^16,448
16,348

#4,236
5,613

Cl a ve I ur. •:

1 ,1 1 0 +

1 2 ,0 7 9 -

9,585
8,311

19,334

274-

42,898
42,893
—0 -

1C2,300
103,136
836+

2 2 ,5 5 6

3,222+

30.266
30.266
-0 -

128,769
119,912
8 ,8 5 7 -

5 ,3 0 8 -

1 1 ,^ 3 6
1 1 ,5 3 7

199-

9.902
9.902
—0 —

51,556
46,049
5 ,5 0 7 -

4 ,2 1 6 -

18,699
1 8 ,7 1 4

15+

8,833
8,850
17+

60,416
56,232

4 , 184-

1 3 ,1 6 1 -

32,235
29,539

2 , 696-

70,556
70,376
180-

191,156
175,119
1 6 ,0 3 7 -

100-

12,701
13,208
507+

Kan. City
#25,811
23,687

1,375+

2 ,1 2 4 -

7,414
8,421

1,919
949

1,007+

. 970-

16,771
16,917

19,266
19,266

3.063
3.063

146+

-0 -

30,793

28,423
30,951

48,445
48,852

407+

-0-

27,699

2,528*

3 ,0 9 4 -

DaUas
#12,945
11,407

.

1,538-

10,054
11,297
1,243*

25.635
25.635

fra tk

♦15,935

20,574
4,639*

32,090
38,172
6,082*

11,816
11,816

—
0—

48,634
48,339
295-

T ta ls

# 442,336
433,223
9,11*-

323,347
298,Hi
24.9J8-

m.m
496,642

t»8^

59.841
70,562
10,721*

I,*f9,tt3
i,ta2,to*
3 6 ,8 1 9 -

Ooapari eon of Weakly Average

Jan. 2 , 1930 to Jan. 22, 1930
t a M period 1929
h t i r e year 1929
Mot Change f r o * eane period 1929
*
"
* e n t ir e year 1929

Jan. 2 2 , 1930

"

23, 1929
Mot Change




66,473
132,526
99,695
66,053*
33 ,222-

68,734
141,816
73 ,0 8 2 -

459.300
399,295
371,248
60,005*
88,052+

427,219
300,885
126,334+

104,099
113,625
120,236
9 ,5 2 6 1 6 ,1 3 7 -

103,136
111,202
8,066—

125,443
158,763
138,383
^ 3 ,3 2 0 1 2 ,9 4 0 -

119,912
151,477
3 1 ,5 6 5 -

50,313
64,240
64,530

59,864
92,031
80,105

1 3 ,9 2 7 13 ,217-

o 2 ,l6 7 20,241-

46,049
63,086

56,232
90,912

1 7 ,0 3 7 -

3 4 ,6 8 0 -

188,496
221,294
194,135

32 , 7985 , 639-

175,119
295,283

60 , 164-

49,017
58,570
51,655

51,921
67,410
66,041

30,807
44,402
40,016

32,750
51,424
55,420

1 5 ,4 8 9 1 4 ,1 2 0 -

1 3 ,5 9 5 9 ,2 0 9 -

1 8 ,6 7 4 2 2 ,670-

48,852
71,365

30,951
43,460

27,699
52,311

48,339
59,698

2 2 ,5 1 3 -

1 2 ,5 0 9 -

2 4 ,6 1 2 -

1 1 ,359-

9 ,5 5 3 2 ,6 3 8 -

70,434
130,199
114,486
5 9 ,7 6 5 4 4 ,0 5 2 -

70^562
125,896
55 ,3 3 4 -

1,288,917
1,533,799
1,394,950
24 4,86210 6 ,0 3 3 -

1 ,2 2 2 ,8 0 4
1,447,191

c>
&
o

224,587-

m n
o

SUMMARY FOR STSIP?
B i l l s Discounted fo r week
B il l s Purchased for week
GoTemoent Securities for week
Total £arniog Assets fo r week
Cosparison of VsOkly At *rags of Xarniag Assets Jan. 2 , 1930
Jan. 2 2, 1930 with sans period 1929
CoBparison of Weekly At*rags of Earning Assets Jan. 2, 1930 to
Jan. 22, 1930 with ontire year 1929
Comparison of Saming Assets Jan. 22, 1930 to Jan. 23, 1929

f

I 9 tU * f

36 , 819—
244,8621 0 6 ,0 3 3 2 2 4 ,5 8 9 -

5

ot ft)
23

1

------- ----------------------------------------------- 1--------^
Reproduced from the Unclassified I Declassified Holdings of the National Archives

p

K ^h,

DECLASSIFIED
Authority E .6 .

January 25, 1930.
fks & im in a r y memorandom
TO THE OPEN MARKET INVESTMENT COMMITTEE

January 28, 1930.
At the la s t meeting of the Open Market In vestment Committee on November

12 the re so lu tio n s adopted included tfie mtl^WiSfe statement of p o lic y :
j | JAM 2 0 I93q |
u
wSince the meetlite .fif the Committee on September 24,
the c r e d it s i t u a t i ng frgg p h a n S S E M ^ . !
There has been a
m a v fi liq u id a t ion of c r e d it ag ain st s e c u r it ie s under circum ^
stances which co n stitu te a s$£io u s th re a t^ Jo ^ ^
at a time when there were a j^ a & y lim it a t io n s of a business^
re ce ssio n .
Th is seems c le a r ly to in d ic a te the need of having
the Fed eral Reserve S y s t ^ ^,0
^
^,|s
towards
\/
a ssu rin g t h e T e s S y " ^ ® ^ !® ^ lit y of money f o r b usin ess, at
reasonable ra t e s .
■ M j
" In view of these circum stances and f o r the purpose
of avoiding any in crea se , and i f p o ssib le facilitatin g ^ jso m e
r eduction, in the t o t a l volume of member bank d i s count s / t h e
Committee b e lie v e s that the System should be prepared to JLn*
crease the open market ho ld ings of the Federal resorvo banks
tfirSTfjipr”^ ^
*i f they can bo acquired in
s u f f ic io n t amounts v/ithout in t e r f e r in g with t h e ir present
d e s ira b le d is t r ib u t io n , and i f not, through the purchase of
Government s e c u r it ie s ."
Tho committee recommended that to accom plish these purposes i t be granted
a u th o rity to purchase {So t) to exceed,..§800^000^000of Government se cu j^ JJo s.
The Fed eral Reserve Board approved t h is program on November 25, and i t
was a lso approved by a m a jo rity vote of the Governors' Conference on December 11*
Since November 27 purchases have boon made under th is a u th o rity to ta lin g
$155,000,000, b rin g in g tho ho ld ing s in the open market account up to $277,000*000
and the t o t a l s e c u rit y h o ld in gs of tho System up to $477,000,000.

The purchases

were a l l made p r io r to the f i r s t of the year.
R e su lts A ccomplished
The purchase of s e c u r it ie s appears to have accomplished a co n sid erab le
p art of the re s u lt s which the committee hoped for*

During December, when there

i s o r d in a r ily a co n sid erab le in crea se in re d isco u n ts, no in crea se took p la ce , but
on the co n trary there was some decrease, f a c ilit a t e d by the retirem ent of c r e d it
c a lle d into use in connection with the stock market break.

A fte r the f i r s t of

the year the seasonal retirem ent of currency and c re d it , together w ith a continued




Reproduced from the Unclassified I Declassified Holdings of the National Archives




>
c

&
o

»-*

©
$ w
n
m

Member Bank Indebtedness at F e d e ra l Resei've Banks tnd Open Market Rate f o r
Corarr.ercial Pa le r (Monthly Data)

yf,

r
V> ►
C
/31
05'
i * 5:
ET ftl
CJl




R" t e o f Grov.’th i r Mcr.'hrr Bank

C r e d i t Compared With Meofcer Bank

b o r r o w in g a t F e d e r a l R e se rv e Banks (M onthly Data) .

o f 1».

Y . 1:

Reports
1 ± J$O 0i

Reproduced from the Unclassified / Declassified Holdings of the National Archives

te a e r a i I eser-ve ZM/wt
c f Ntw "i'c-

Reports Depurtja^ub
v j f 19d^»,

RATE
8 , --------




>

c

&
o
m
o
5

u l
n ‘
>1

05 ,
03

bm

LA
IT

&

Rate Charged Customers by New York City Banks Coopered with
Discount Rate of Federal Reeerre Bank of Nev York

PER CENT.

£50

Reproduced from the Unclassified I Declassified Holdings of the National Archives

BUILDING PERMITS

COMML- PAPER.
INDEX

aoo

i

180

220

e>
&
o
w!
m O!
o t\
— .

B u ild in g A c tiv ity in term s o f percentage change from th e lin e o f norm al grow th, allow ance bein g
mad6 fo r changes in b u ild in g c o s ts , compared w ith th e course o f in te r e s t ra te s on com m ercial
p ap er, in term s o f percentage changes f r o m th e average r a te o f th e la s t h a lf c e n tu ry *
L a te s t fig u r e s , November




of

York
mo!

™

tfl s ,
5^ isj
O1

------- ----------------------------------------------- ---------- 1
--------------------------------------------------------------------------------------------------------p — "« ? ■
Reproduced from the Unclassified I Declassified Holdings of the National Archives

d e c l a s s if ie d
Authority E .6 . U35fe

,
I
5
/
liq u id a t io n of s e c u rity loans enabled the member ban^^o^decrefe^?. t h e ir indebted-

ness s t i l l fu rth e r, and the System’ s t o t a l d iscounts f o r the pafe*M^o weeks have
been ju s t under $450,000,000.
comfortable money p o s itio n .

Th is is an amount o f d iscou n ts conducive to a
The accompanying chart in d ic a te s that -,with th is

le v e l of d isco u n ts, commercial paper ra te s might be expected to range from 4 to
4 l / 2 per cent, other things being equal.

The re la t io n s h ip between d iscou n ts and

coranercial paper ra te s has been remarkably clo se in the p ast, though ra te s are
fre q u e n tly a l i t t l e slu g g ish in responding to a decrease in d isco u n ts.

The second

chart in d ic a te s also that w ith something- lik e the present amount o f d isco u n ts the
volume o f bank c re d it u s u a lly tends to in crea se at a ra te co n siste n t w ith the
|usua^ j 3 ^ ^ f . growSi* of i th e„,

p

While d iscounts have been reduced, i t cannox yet be sa id that money is
■>.111
r e a d ily a v a ila b le f o r b usiness at such reasonable ra te s as would encourage b u s iness e n te rp ris e .

1L
^

Commercial paper ra te s in the open market are s t i l l 4 3/4 to 5

per cent, and the ra te which the banks are charging customers on prime commercial
paper in New York C it y is s t i l l 5 1 /4 and 5 1 /2 per cent.

These r e la t iv e ly high

in t e re s t ra te s r e f le c t in p a rt the slowness of ra te s to ad ju st thomselves to a
changed monetary co n d itio n , in p art g reat caution and conservatism of the banks,
and in p art the discount ra te s of the Federal Reserve System which are higher than
has u s u a lly been the case w ith the present volume of re d isco u n ts.

Mortgage money

in p a r t ic u la r i s not yet f r e e ly a v a ila b le and the bond market s t i l l has lim ite d
absorptive power.
Volume of C re d it
The t o t a l volume of bank c r e d it has d eclin ed by n e a rly 2 b i l l i o n d o lla r s
sin c e the f i r s t of November, and the loans and investments of the re p o rtin g member
oanks are now le s s than one per cent h ig h e r than at th is time in 1929, a year to
A.

year in crease which i s le s s than the u su a l growth of c r e d it re q u ire d by the cou n try ^ A
.b usiness.




'

m

Reproduced from the Unclassified I Declassified Holdings of the National Archives

'«!*
d e c l a s s if ie d

Authority E . 6 . [23>Sio

3
Condition of Business
The re ce ssio n in business a c t iv it y which began in the la t e summer bacame
more p re c ip it a t e in

of the year, and the December fig u re s

showed a d e clin e g re a te r than had occurred in any year sin ce 1924.

The meagre

fig u re s so f a r a v a ila b le f o r January show a seasonal recovery from the low po int
in December in the automobile, s t e e l, and a number of other lin e s of business * but
i t i s too e a rly to judge whether the recovery has been moro than the u su al seasonal
gain*

Commodity p ric e s have continued to be weak and in the United States show a

d e clin e of 2.6 per cent from a year ago.

World p r ic e s as judged by the B r it is h

index, show a d e clin e of 4 per cent.Tho Seasonal Expectation
O rd in a rily the sp rin g in cre a se in business g ives r is e to an in crea se in
the demand f o r F e d eral reserve c re d it o f scsnething in the neighborhood of
#90,000,000 from the lowest poin t at the end of January to the h ig h est p o in t e a rly
in A p r il.

The b i l l ho ld ings of the System u s u a lly d e c lin e in th is p erio d because

of a seasonal d e clin e in the volume of b i l l s outstanding, and as a consequence
there i s u s u a lly some in crea se in the d iscounts of the System and some fin n in g in
money co n d itio n s.
C »n*iti»n »f the l i l l Market
The volume of b i l l s outstanding increased to a new high fig u re of
$1,700,000>000 at the end of December.

The b i l l ho ld in gs of the Fed eral Reserve

System, however, amounting to $392,000,000, co n stitu te d a much sm a lle r p roportion
of the t o t a l b i l l s outstanding than usual.,

T h is was due p r im a r ily to an e x tra ­

ord in ary demand f o r liq u id sh o rt term investments f o r the employment o f funds
withdrawn from the s e c u rit y markets in November.

Th is demand was so con siderab le

that duri'ng November and December the b i l l holdings of the Reserve System showed
nothing lik e the u su a l seasonal in cre a se , nor would i t have been p o ssib le to a c­
q u ire any considerab le volume of b i l l s during the p erio d without d riv in g ra te s to
v e ry low le v e l af



w- u

,m

1

...............

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 .

U35fe

4
Near the end of the year, however, funds began to be d is trib u te d more
norm ally, and a considerable volume of b i l l s was thrown in to the m arket, w ith the
consequence that d ea le rs p o rt fo lio s became congested and b i l l ra te s were increased
by 1/8 of one per cen t.

Th is s itu a t io n is g ra d u a lly being corrected as the

volume of b i l l s outstanding i s s lig h t ly reduced and d is t r ib u t io n is g ra d u a lly
taking p la c e .

Under these circum stances i t seems p o ssib le , however, that the

sp rin g liq u id a t io n of the System1s p o r t fo lio may be somewhat slow er than u su a l,
dependent somewhat upon the System’ s buying ra te f o r b i l l s .
Foreign Exchanges and Gold Movement
During November and December when co n sid e rab le amounts of fo re ig n funds
were being withdrawn from New York the fo re ig n exchanges were v e ry strong and more
than 100 m illio n d o lla rs of gold was exported.

In January t h is s itu a t io n has be­

come adjusted, in te re s t ra te s have d eclin e d in Europe, fo re ig n exchanges have
weakened, and gold exports have ceased.

Most of the exchanges are so f a r below

the export p o in ts that co n sid erab le reco very would be necessary before gold moved.
In the next two weeks more than $15,000,000 of gold i s expected to a r r iv e from
Japan and South America,




Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority E . 6 . U 3 5 k

TELEGRAM
FEDERAL RESERVE SYSTEM

335 .

(LE A S E D W IR E S E R V IC E )

R E C E IV E D A T W A S H I N G T O N , D . C .

48‘bmr
Bos ton Jan <37 1126a
Young
W a s h in g to n .
My doetor objects to my taking train trip at present
but this bank will be represented at meeting tomorrow.

6. a for
aeVtKS
tMBM? PRINTINGomci 1938
Digitized
FRASER


Harding
1146a

JLS&
2 — 1 19 01

/ U l

Reproduced from the Unclassified I Declassified Holdings of the National Archives

^
d e c l a s s if ie d

Authority E. G.

TELEGRAM
FEDERAL RESERVE SYSTEM
(L E A S E D W IR E S E R V IC E )

R E C E IV E D A T W A S H I N G T O N , D . C .

28 e fa
P h ila d e lp h ia 1107a Jan 27
Young

Washn
Will attend meeting tomorrow


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arriving Washington about ten twenty
Sorris
1108am

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TELEGRAM
FEDERAL RESERVE SYSTEM
(LEASED W IR E SERVICE)

R E C E IV E D A T W A S H I N G T O N , D . C .

69D0T
Cleveland 1115a January 2§ 1950
Young
W a s h in g to n
I am planning to attend meeting open market investment committee
to-morrow.
FANCHER

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1116am

E.G. 1235k

Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority

F E D E R A L R E S E R V E BOARD
LEASED WIRE SERVICE
W A SH IN G T O N

January 27*
Harding - Ho b t o n Ti irrla - J t a l . d e l p h U ' - ^ ^ V ,

Fanoher - C leveland - * * * * * * * 7

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DECLASSIFIED
Authority

Form 118

F E D E R A L R E S E R V E BOARD
LEASED W IRE SERVICE
W

A S H I N G T O N

2 -9 4 6 4

0P0

JTcnu&ry 25* 1030*
k

.orUiJUiijttm - Kansas U ty

Im o b ju o iio a to your n o t o ein a rep resen ted a t o o e tin s Tu@«$ay, i f
ln o a iw e n le n t.




Young*

E.6. U35fe

Reproduced from the Unclassified I Declassified Holdings of the National Archives

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TELEGRAM
FEDERAL RESERVE SYSTEM
(L E A S E D W IR E SER V IC E )

R E C E IV E D A T W A S H I N G T O N , D . C .

178gea
KasCity Jan 25 1257pm

3 d

Young
Washn
Referring, your wire 21st calling open market conference
for tuesday January 28, it is

for representatives

of this bank to attend on account of governors illness
and

our recent necessary absences. Therefore, unless

you deem it desirable we will not be represented


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Worthington
205pm

3—11001

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Reproduced from the Unclassified I Declassified Holdings of the National Archives
d e c l a s s if ie d

Authority

TELEGRAM
FEDERAL RESERVE SYSTEM
(LE A S E D W IR E S E R V IC E )

R E C E IV E D A T W A S H I N G T O N , D . C .

267gb
S tlo u is Ja s 24 325p

/1 3 $

Toimg
Washington.
W ill be p re sen t fo r meeting open market committee January 28th p le a se ask
m co lellaad to ma&e re se rv a tio n h o te l Washington evening monday 2 7 th

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Authority E . 6 .

FEDERAL RESERVE SYSTEM
(L E A S E D W IR E SER V IC E )

^ *8

R E C E IV E D A T W A S H I N G T O N , D . C .

271gy

D a lla s

an 24 331p
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So ©11
Washa
ple a se mnkfl re se rv a tio n fo r MQ at C arlto n f o r Monday* Ass ita n t Lanager Moore would
probably be h e lp fu l in o b tain in g a q u iet room.

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FEDERAL RESERVE SYSTEM
(LE A SE D W IR E SER V IC E )

6rhta

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1045am jan

Wa s h in g t o n , d . c .

22
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Governor younf
' | x | ^ Washn

T w ill 1 1 4 w i l l atte n d th e m eeting on the 28th




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FEDERAL RESERVE SYSTEM
(L E A S E D W IR E SE R V IC E )

105fy 22

R E C E IV E D A T W A S H I N G T O N , D . C .

Atlanta Jan 22

103p

/f 3 ^
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Young

R§plying your wire yesterday!this bank will be represented at
meeting of open market investment committee on tuesday January 28th

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210p

8—41001

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telegram
FEDERAL RESERVE SYSTEM
(L E A S E D W IR E SE R V IC E )

R E C E IV E D A T W A S H I N G T O N , D . C .

263gy
Chieago Jan 22 420p
Young
Washn

, .
.

Subject your telegram^calling open market investment committee meetiig
w ill arrange accordingly

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548p

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TELEGRAM
FEDERAL RESERVE SYSTEM
(LE A S E D W IR E SE R V IC E )

-

,
137gb

v

R E C E IV E D A T W A S H I N G T O N , D . C .

Minneapolis 12p Jan BB

if

Y oung

Wasbn
Will be at meeting January 28


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Geery
103p

a—nm

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d e c l a s s if ie d

Authority E . O . 1235k

TELEGRAM
FEDERAL RESERVE SYSTEM
(LE ASE D W IR E SER V IC E )

R E C E IV E D A T W A S H IN G T O N , D . C .

205bot
Newyork NY 509pm January SI 1950
YOUNGWASHINGTON
Twill 1145 to-day


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TELEGRAM

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FEDERAL RESERVE SYSTEM
(LE A SE D W IR E SER V IC E )

R E C E IV E D A T W A S H IN G T O N ,
18gb 10
Dallas Jan 21 855am 22nd / 1 i- &

D . C.

Young
Washington,
i'

Twill 11*


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Shall make effort to attend.
Talley.
1002am

2—11B01

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d e c l a s s if ie d

Authority E . 6 . 1235to

~*~ELEGRAM
FEDERAL RESERVE SYSTEM
(LE A SE D W IR E S E R V IC E )

_

,

R E C E IV E D A T W A S H I N G T O N , D . C .

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f f 3 $

Sanfrancisco 34Sp Jan
Governor Young
Washington.

Will arrive Washington Monday January twenty seventh,


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Reproduced from the Unclassified I Declassified Holdings of the National Archives

DECLASSIFIED
Authority

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Date:

FOR ANSWERS SEE;

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Form 148

TELEGRAM
F E D E R A L RESERVE BOARD
LEASED WIRE SERVICE
W A S H IN G T O N

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JAN I t 1930

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d e c l a s s if ie d

Authority E . 6 . 1235k

TELEGRAM

1—

^D E R A L RESERVE SYSTEM
j

/

(L E A S ^ f) WIRE! SERVICE^

Washn
Mr H^ton and i both understood yon to say at joint conference
that the Board had voted to enlarge the open market committee
to include representatives of

a ll hanks but having received no

confirmation we are in some doubt, i f proposed meeting is to be
a meeting of the enlarged committee I shall of course be veiy
glad to attend, i f However i t is to be meeting of the former
committee of fiv e and representatives of other banks are invited
to s it in as unofficial observers i t cioes not appear to me that
i t would be of sufficient importance to justify the trip. I w ill
of course attend upon notice sufficient to cover four days travel
but woula like one or two additional days for preparation

9. a. efor
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Galkins

415pm