Full text of H.16 Capital Market Developments : May 28, 1962
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Not for I^K.ica\ioil)ECONTBOLLED AFTER SIX MONTHS May 28, 1962. 'HAPTTft], MflPVRT DEVELOPMENTS IN THE UNITED STATES v c V O- (j^cluditfg Seasonally Adjusted Savings flows to Savings and Loan Associations and Mutual Savings Banks in April) The volume of public security financing to obtain new capital was substantial l a s t week but i s expected to be_,quite small t h i s holiday-shortened week. During the week ending May 25, two corporations sold large security issues amounting to $5>1 million and f i v e State and local government bond issues with par value of $200 million were offered. This week, ending June 1, two large corporate issues totaling $32 million are scheduled while no large State and local issues are on the calendar. Bond yields. Yields on, seasoned, long-term corporate bonds declined slightly f u r t h e r l a s t week while yields on government bonds increased somewhat f u r t h e r . Yields on both Aaa- and Baa-rated corporate bonds declined one basis point t o lib27 and I1.98 per cent, respectively. Yields on Aaa- and Baa-rated State and local government bonds increased 6 basis points each to 3=00 and 3=58 per cent, respectively; U, S„ Government bond yields rose 3 basis points to 3«90 per cent. Average yields on new corporate bonds, adjusted to an Aaa basis, were U.08 per cent l a s t week, 6 basis points above t h i s y e a r ' s low reached the previous week. Short- and intermediate-term i n t e r e s t rates. Yields on 3-month Treasury b i l l s and on 3-5 year U. S. Government obligations increased 2 basis points each l a s t week, while yields on 6-month Treasury b i l l s were stable. The average r a t e of i n t e r e s t on directly-placed finance company paper with 90-179 day maturity declined 8 basis points to a new low f o r the year of 2.88 per cent, reflecting the f u l l e f f e c t of the rate reduction announced the middle of the previous week. The Federal funds r a t e declined 10 basis points to average 2.1i5 per cent. Other short- and intermediate-term i n t e r e s t rates were unchanged. Mortgage yields. Secondary market yields on 5-1A per cent FHA mortgages declined in April f o r the t h i r d consecutive month. At 5.65 per cent, such yields were down 7 basis points from the January average and 5 basis points below the average f o r mid-1961 when the 5-1/% per cent maximum was reestablished. Offering yields on new corporate bonds—adjusted to an Aaa basis—continued to decline more sharply than mortgage yields. Consequently, the spread between mortgage and bond yields widened f u r t h e r in April to lli8 basis points. This compared with a low of 108 l a s t July. Savings flow to savings and loan associations and mutual savings banks in April. The seasonally adjusted net inflow of funds to both savings and loan associations and mutual savings banks in April was about 30 per cent l e s s than the record March inflow, as shown in the following table and charts. The net increase in time and savings deposits a t commercial banks in April was also sharply smaller than e a r l i e r i n the year. The net rise in savings capital a t savings and loan associations in April was $682 million, a f t e r allowance for seasonal f a c t o r s , 27 per cent l e s s than in March and smaller than in most recent months. The March increase in savings capital had been unusually sharp, in part because of an increase in the number of associations crediting dividends quarterly (and therefore in March). The smaller April inflow reflected primarily a r i s e in withdrawals which tend to be large following the crediting of dividends. Regular deposits at a f t e r adjustment f o r seasonal This was one-fourth l e s s than but larger than in nearly a l l mutual savings declined as usual in Aprilj variation, however, they rose *177 million. the monthly average f o r the f i r s t quarter months of l a s t year. ( Stock prices. Common stock prices had t h e i r sharpest weekly decline in recent years l a s t week in veiy substantial trading volume. Prices, as measured by Standard and Poor's composite index of 500 stocks, declined almost 7 per cent to a new low for the year, closing a t 59.^7 on May 25. Trading volume averaged U.6 million shares a day, the highest weekly average since l a s t November. More detailed information concerning recent capital market developments i s presented in the attached exhibits. Capital Markets Section, Division of Research and S t a t i s t i c s , Board of Governors of the/Federal Reserve System. Talrlv. 1 - Selected I n s t i t u t i o n a l Savings J low -3- ixtvinps find Loan Ausociations 1/ Date 1961 - April May June • July August •September October November December 1962 - Janua iy iebruray 1'ia rch r / April Nuw savings canitul withdrawals of wet new (inducting uiv iu und s savings capital savinps c a p i t a l credited) Unadjusted Seasonally Unadjusted Seasonally Unadjusted Seasonally adjusted adjusted adjusted (In millions of dollars) 1,978 1,877 2,758 2,971 2,008 1,965 2,2lll 1,87k 2,73b 3,9 U6 1,916 2,305 2,367 1,562 2,235 2,358 2,335 1,075 1,395 2.3U5 2,455 1,518 1,30k 1,517 2,kk8 2,1)65 " 2,337 2,56k 2,675 3,k58 1,338 1,371 1,995 2,218 2,308 2,512 2,866 1,100 1,226 1,570 1,609 1,665 1,550 1,610 : 1,590 1,68k 1,679 1,708 1,796 1,578 1,626 1,993 1*16 802 1,363 108 190 661 721* Ilk 1,508 1,88 578 931* 372 665 71*9 670 668 . 698 755 771 833 7L0 669 759 938 682 1/ Net new savings capital Is derived as the difference between new savings capital and withdrawals. TTTe ~ unadjusted net new savings capital series dlfferu (Von the net change in savings capital series shown in Exhibit N because of s t a t i s t leal di screrancles between the flow series from which the farmer Is derived and the balance sheet series from which the l a t t e r i s computed. The t o t a l s of the seasonally adjuuted and unadjusted data for any 12- month period will not necessarily be identical because of the nature of the adjustment procedure. Source .—Federal Savings and Loan Insu-ance Corporation; seasonal adjustment by Federal Reserve, Mutual Savings Banks 1/ Date - April May June July August September October November December - January February March April New regular deposit* Withdrawals of Net new (including i n t e r e s t regular deposits regular deposits credited) Unadjusted Seasonally Unadjusted Seasonally Unadjusted Seasonally adjusted adjusted adjusted (In millions of dollars) 950 995 1,011* 898 1,101 " 983 1,053 957 818 965 950 9# 1,021 • 982 1,011* 859 1,081 • 1,007 1,101 1,356 7U5 975 1,111 1,01*3 1,078 1,030 1,083 793 822. 1,010 71*0 661 1,029 682 61*5 1,203 595 659 1,129 821* 881 821 796 827 797 81*7 851 827 879 760 785 853 -88 105 279 1*3 78 289 -8 177 1*36 153 150 1*52 -51 126 133 162 161 138 166" 135 163 180 222 215 258 177 Regular deposits eomfriae 99 per oent of mutual, savings bank deposits, but exclude Christmas and other olub, Industrial (payroll), and school savings deposits. Net new deposits are derived as the difference between the new deposit and withdrawal series. The unadjusted net new deposit series d i f f e r s from the net change In deposit series shown in Exhibit 0 because of the exclusion of f e c i a l deposits. The t o t a l s of the seasonally adjustsd and unadjusted data for any 12-month period will not necessarily be identical because of the nature of -the adjustmsnt procedure. Sowoe,«-Hattowl for FRASER Association of Mutual Savings Banks; seasonal adjustment by Federal Reserve, 1f Digitized 6 DEPOSITS AND WITHDRAWALS — MUTUAL S A V I N G S BANK* l i d a l i i litarait Crtdlltd Jj\ L O N G - T E R M B O N D YIELDS, H I G H - G R A D E Weekly V U.S. COVEINMfHI E x h i b i t A - Part I I Date Corporate Aaa y U« S. Govt. long-term 2 / S t a t e and . local government Aaa 3 / Spread between U. S. Govt, and Corporate S t a t e and Aaa l o c a l Aaa (per cent) 1957 - High 1958 - Low 1959-60 - High 1960-61 Low 1961 - High 1962 - High Low Apr. 27 May l* May 11 May 18 v May 25 £/ k . l k (9/27) 3.55 (5/2) l i . 6 l (3/29/60) 4 . 2 1 (3/17/61 It. 1*6 (9/15) 3 . 7 6 (10/lfl) 3 . 0 7 (4/25) it.it2 (1/8/60) 3 . 7 0 (5/12/61) 4.43 (2/16) it. 27 (5/25) it.O? (12/29) it. 12 (2/23) 3.85 (5/11) It. 31 it. 30 it. 29 it. 28 it. 27 „ 3.90 3.87 3.85 3.87 3.90 Note: For footnotes see Exhibit B. 3.45(8/29) 2.61* (5/1) 3 . 6 5 (9/24/59) 2 . 9 9 (9/3/60) 3.37 (7/6) 3.26 (i/lt) 2.92 (5/3) .60 .22 .59 .19 .57 .it? .30 2.93 2.92 2.93 2.94 3.00 •itl .43 .44 .41 .37 .50 .34 .92 .46 .76 1.04 .80 . .97 .95 .92 .93 .90 1 EXHIBIT B. Port I LONG-TERM BOND YIELDS, LOWER-GRADE COIf 0 KATE la« STATI AND 10CAI COVtlNMfNI I 1958 1959 19*0 Exhibit B - Part I I Ifete - Corporate Baa 1/ S t a t e and local govt. Baa y Spread b e t w e e n Aaa and Baa S t a t e and Corporate local govt. (per cent) 1957 - High 1958 - low 1959-60 - High 1960-61 Low 1961 - High 1962 - High Low Apr. 27 Hay h May 11 May 18 May 25 V 3 . 9 3 (11/9/6I) 5.11 (1/5) L 9 8 (5/25) I4..I6 (3/23) U.Olt (1/11) 3.52 (5/17) .66 .81 .72 .63 1.21 .93 1.08 .57 .93 .82 .56 5.oi 5.02 5.00 ii.99 L98- 3.52 3.52 3.52 3.52 3.58 .70 .72 .71 .71 .71 .59 .60 .59 .58 .58 5 . 1 0 (11/29) ii.5L (7/11) 5 . 3 6 (2/12/60) U . 9 8 (9/9/60) 5 . 1 3 (10/27) 4 . 5 1 (8/29) 3.6k (5/1) Lll6 (2/7/60) 1.27 ' .77 .814 jy Preliminary. 1 / Weekly average of d a i l y f i g u r e s . Average term of bonds included in 23-26 y e a r s . 2 / Weekly average of d a i l y f i g u r e s . The s e r i e s includes bonds due o r c a l l a b l e in 10 years or more, 3 / Thursday f i g u r e s * Only g e n e r a l o b l i g a t i o n bonds are included} average term i s 20 y e a r s . Note.-—Highs and loirs are f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t dates f o r d i f f e r e n t Digitized fors eFRASER r i e s . For spreads, high refers t o widest, and low to narrowest. SHORT- AND INTERMEDIATE- TERM INTEREST RATES, G O V E R N M E N T i - MONTH I I U S 3 - $ YIAI ISSUES DISCOUNT BATE 1 - MONTH I I U S I.J 1.1 J I L L U - L i l - L I LI I I I I 1 I II I 1111 I 1 I 11. 11I I I I I I I I I I I 1141 Exhibit C - Part I I 1% Date 1957 - High 1958 - Low 1959-60 - H 1960-61 Low 1961 - High 19 62 - High Low Apr May May May .May 27 k 11 18 25 £ / Discount rate V 3—month ' b i l l s 2/ 3.50 1.75 LOO 3.00 3.00 3.00 3.00 3.6k .58 4.59 2.11 2.66 3.00 3.00 3.00 3.00 3.00 2.73 2.74 2.67 2.67 2.69 - (10/I8) (5/29) (1/8/60) (10/28/60 ) (12/29) 2.81 (2/16) 2.67 (5/18) Yields 6-month b i l l s 2/ (per cent) 3. 02 5.07 2.35 2.90 3.02 (12/26) (1/8/60) (4/28/61) (12/29) (1/12) 2.77 (5/25) 2.83 2.83 2.77 2.77 2.77 3-5 year issues 2/ Spread between yields on 3month b i l l s and yields on 6-mo. b i l l s l 3 - 5 yr. issues U. Oil (10/18) 2.14(6/6) 5 . 0 0 (12/24/59) 3 . 1 5 (5/12/61) 3.86(8/11) 3.88 ( 2 / 2 ) .26 ,79 .12 3.13 (4/6) .44 .24 .08 3.52 3.51 3.48 3.55 3.57 .10 .09 .10 .10 .08 .86 .04 1.81 .38 1.51 1.19 .71 '' .79 .77 .81 .88 .88 2/ Market yield) weekly averages computed from daily closing bid p r i c e s . Series of 3-5 year issues consists of selected notes and bonds. Note.—Highs and loirs are f o r individual s e r i e s and may be on d i f f e r e n t dates f o r d i f f e r e n t s e r i e s . For spreads, high r e f e r s to widest,.and low t o narrowest. EXHIBIT D, Pari I SHORT- AND BANKS AND W.ekly INTERMEDIATE-TERM OTHER INTEREST RATES, PRIVATE BORROWERS HIMI Bill DISC0UW1 LLJ j I 11111 L u j 11 N 11 I.I ! 11111111111! 11111111111 1 1940 Exhibit D - Part I I Stock Exchange c a l l loan 1 / 1957 - High 1958 - Low 1959-60 - High 1960-61 Low 1961 - High 1962 - High Low Apr. 27 May h May 11 May 18 May 25 &/ 37 L5o 3.50 5.50 a. 50 L5o It. 5o L.5o a. 50 a. 50 a.50 b. 50 L50 1941 m i Finance company- Federal Prime funds 3/ paper 2/ rate 1 / (per cent) li.5o 3.50 . 5.00 L5o a. 5o a.5o a. 50 a.50 a. 50 a.50 a.50 a.50 3 . 8 8 (11/15) 1.13 (8/8) 5 . 1 3 (1/22/60) 2 . 5 0 (8/5/61) 3 . 0 0 (12/29) 3.13 (a/13) 2.88 (5/25) 3.06 3.00 3.00 2.96 '2.88 3.50 .13 a.00 ,a3 2,88 Spread between 3-mo. b i l l s and finance Co. paper .63 -.35 1.02 .11 .56 .ai (11/8) (5/29) (5/13/60) (1/27/61) (12/29) 2.95 (3/23) 1.30 (1/26) 2.85 2.65 2.60 2.55 2.a5 .19 .33 . .26 .33 .29 .19 Weekly r a t a shown i s t h a t i n e f f e c t a t end of p e r i o d . Stock Exchange c a l l loan r a t e i s going r a t e on c a l l loans secured by customers 1 stock exchange c o l l a t e r a l a t New York City bank's. Prime r a t e i s t h a t charged by l a r g e banks on short-term loans to business borrcn/ers of the highest o r e d i t 2/ Average^of d a i l y r a t e s published by finance companies f o r d i r e c t l y placed paper f o r varying m a t u r i t i e s i n the 90-179 day range, ' Weekly average of d a i l y e f f e c t i v e r a t e , which i s the rate f o r the heaviest volume"of.purchase and s a l o t r a n s a c t i o n s as reported to the Federal Reserve Bank of New York. Note.—Highs and lows are f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t dates f o r d i f f e i e n t s e r i e s . For spreads, high r e f e r s t o w i d e s t , and low to narrowest. 3/ STOCK MARKET 7«-ctE.$ n s of D o l l a r s - . - - 1 / ^ ^ S ! ( y — CK MAIIil CI ED •Xr Exhibit F - Part I I FHA mortgages 2/ 1953-58 - High Low 1959-60 - High 1960-61 - Low 5.63 (11/57) 4.56(2/55) 6.21* (1/60) 5.70 (7/61) 1961 - December 1962 - January February March April 5.71 5.72 5.70 5.68 5.65 l7 3/ 4/ c h a NOE IN SERIES i zxr M i l l i o n s ol Sha ' Spread between new Aaa corporate corporate bonds and bondsMT New 3/ | Seasoned U/lFHA mortgages I Seasoned bonds 2.74 (3/54) 4.12 2.84 4.61 4.22 It. 39 4.45 4.50 4.23 4.17 4.41 4.4? 4.42 4.39 4.33 (9/57) (4/54) (I/60) (3/61) 1.96 .54 1.76 1.08 .90 -.12 .77 -.16 1.32 1.27 1.20 ; 1.45 1.48 -.02 .03 .08 -.16 -.16 N e i t h e r mortgage nor bond y i e l d s t a k e i n t o aooount s e r v i c i n g c o s t s which a r e much h i | h e r f o r mortgages than bonds. G e n e r a l l y , bonds pay i n t e r e s t semi-annually} mortgages, monthly. Mortgage y i e l d s , i f computed as e q u i v a l e n t t o a semiannual i n t e r e s t investment, would be s l i g h t l y h i g h e r p e r i o d s of adjustment t o changes in the c o n t r a c t u a l i n t e r e s t r a t e . See note f o r E x h i b i t G. Moody's I n v e s t o r s S e r v i c e . Monthly averages of d a i l y d a t a . See E x h i b i t B. EX HI HT f . f o r t I M O R T G A G E A N D B O N D YIELDS - NOME M0IT6A6ES- FHA Aee COIrOIATI- I0NDS: V* 1157 1151 1151 Exhibit E - Part I I Stock price index 1/ 1960-61 - High Low 1962 - High Low March April May 11 May 18 May.25 £ / 72.04 (12/8/61) 5 3 . 3 2 (10/23/60) 70.94 (3/16) 59.47 (5/25) 70.29 68.05 62.65 63.82 59.47 Trading Common stock volume 3/ yields 2/ (millions (per cent) of shares) Stock market customer credit Customers1 Bank debit b a l - loans t o ances 4 / "others" 5/ (In millions of d o l l a r s ) Total 2.82 3.62 2.93 3.48 5.8 2.2 4.6 3.0 5 , 6 0 2 (12/61)4,259 (12/61) 1 , 3 7 7 (8/30/61) L H | 2 (5/60) 3 , 0 0 4 (7/60) 1 , 1 2 1 (5/25/60) 2.95 3.05 3.31 3.25 3.48 3.1 3.5 3.7 5,457 5,491 n.a. n.a. n.a. £2 J,k91 (4) 4,111 (1) 5,429 (2) 4,066 (2) 4,083 4,079 1,418 (5/9) 1,348 (1/24) 1,374 1,412 1,418 1,416 n.a. n.a.—Not a v a i l a b l e . 2 / Preliminary. 1 / Standard and,Poor's composite index of 500 conmon stocks, weekly closing p r i c e s ,. 1941-43*10. Monthly data are averages of daily figures r a t h e r than of Friday's only. Highs "* " and lows are f o r F r i d a y ' s data only, 2 j Standard and Poor's composite stook yield baaed on Wednesday data converted to weekly closing p r i c e s by Federal Reserve. Yields shown are f o r dates on which price index reached i t s high 3/ 4/ Averages of . d a i l y trading volume on the New York Stock Exchange. End of month f i g u r e s f o r member firms of the New York Stock Exchange which carry margin accounts 1 excludes balances secured by U« S. Government o b l i g a t i o n s . 5 / Wednesday f i g u r e s f o r weekly reporting member banks. Excludes loans f o r purchasing or carrying U. S, Government s e c u r i t i e s . P r i o r t o July 1, 1959, such loans are excluded only a t banks in New York and Chicago. Weekly reporting banks account f o r about 70 per cent of loans to others. For f u r t h e r d e t a i l see B u l l e t i n . Exhibit G Yields on New Corporate bond Issues Adjusted to an Aaa basis Number of issues included Monthly averages: 1961 - July August September October November December. 1962 - January February March April May June 273.0 115.0 78.8 200.0 229.0 115.0 130.0 , 391*. 5 2 7 9 3 1* 5 6 7 21*0.0 299.0 8.0 1 1 2 2 1 11* 21 28 August it 11 18 200.0 65.0 1 55.0 20.0 1*0.0 1 18.0 1 2 60.8 25 September 1 8 15 22 29. October 6 13 20 27 November 3 10 a December 1 8 Number of issues included December 15 1* k Weekly averages: 1961 - July 7 Amount of issues Average yield included (per (millions cent) of dollars) 1*. 62 1*.59 1*.38 14.26 1*.32 1*.39 1*.1*5 l*.5d 1*,23 1*.17 60.0 2 95.0 3 1*5.0 3 1 1 1 2 . 91*.0 60.0 30.0 75.0 • 1*0.0 1 it.55* 22 29 1961 - high Low 1962 January 5 12 19 26 February 2 9 16 23 I4.60 March 2 U.t>h ' 16 1*.1*6 23 It. 51* 30 1*.73* 1*.60 April 6 13 20 4*5.0 Amount Average of issues yield included (per (millions cent) of dollars) 27 . Ll*6 hay L 11 18 1*. 36 25 • 1*.25 June 1 8 i.21 15 2<. 28 22 . 1*. 21 29 U.68 ( 6 / 1 6 ) . 1*.21 ( 1 1 / 3 ) 1 60.0 £.50 3 70.0 U*0 2 1 1 1 I 1 2 2 2 2 2 19.5 300.0 50.0 25.0 30.0 65.0 2 2 2 2 60.0 85.0 98.0 26.0 100.0 . T.h 0 ij.52* 21.50 i». 37 1*.29 U.23 1*.21 1*.22 1*. 21 i*.12 1*> 17*. .115.0 V.i1* 28.0 1*1 0 39 0 1* 02 h oa Uc 21- £.29 1*.35 h.ho It. 29 Note and A by Moody's Investors Service (except serial, equipment t r u s t and convertible issues, offerings of natural gas pipeline and foreign companies, and issues guaranteed by the Federal Government) weighted by size of issues. Yields on Aa- ana A-rated bonds are f i r s t adjusted to an Aaa basis, using the comparable spreads in yields on seasoned bonds (Moody's averages). Averages reflect changes in industrial composition, type, maturity, and c a l l provisions of new offerings. Weekly averages considered unusually unreliable as indicators of interest rates on new issues because of the small number or special characteristics of offerings included etc. are marked with an asterisk. Source: weekly data, Federal Reserves monthly data, First National City Bank of New York. H.lli Long-term Corporate and State and Local Government Security Offerings and Placements (In millions of dollars) 1962 New capital State and local 2/ Corporate 1/ \ 19 to 1 1961 1962 1 1961 | I960 580 667 562 570 715 860 e/850 eTlOOO e/625 713 689 76I4 700 611 560 2,118 1,259 1,318 761 577 1,01*1* e/850 e/750 723 61*1 1,03k 991 July August September 1,028 762 61+7 736 9 67 726 1*85 601* 733 1*92 606 663 October November December 1,090 9k8 1,000 890 956 852 677 788 j>/58U 3)48 501 1*91 2,166 2,397 1,823 2/2,01*9 1,800 2,256 1,700 l,3li0 k,563 it, 136 5,916 7,257 January February March April Hay $92 . 8# 807 ' 1st quarter 2nd quarter 3rd quarter kth quarter 1,809 L,#5 2,1*37 3,038 L 2,258 1 s t half Three quarters Year 2,115 2,382 2,1*28 2,698 it, 527 6,955 9,653 6,50k 8,9k! 11,979 e/2,l*75 6,386 f/8,l*35 719 Excluding finance companies 3/ lat 2nd 3rd l*th quarter quarter quarter quarter e/2,156 Year 6/ 1/ 2/ ~y I'll 2,337 2,807 11,253 ' 1,716 2,165 2,018 2,317 8,2# Estimated. . . Securities and Exchange Commission estimates of net proceeds. Investment Bankers Association of America estimates of principal amounts. Total new capital issues excluding offerings of sales and consuner finance companies. '5 Exhibit I H.Ik New Corporate Security Issues, Type of Issue and Issuer (In millions of dollars) * Quarter or month Gross proceeds for n<sv capital and refunding 1 / Common Bonds and Total Publicly Privately pfd. Mfg. offered offered stock I960 - I II HI IV 2,2# 2,537 2,520 2,832 93k 1,07k 1,336 1,462 795 770 75k 955 1 1961 - I II III IV 1,992 5,3# 2,566 3,236 662 2,303 772 967 880 1,275 1,139 l,k2k i 1962 - I 2,378 1,155 716 507 655 1961 - Jan. Feb. Mar. Apr. May June July Aug, Sept. Oct. Nov. Dec. 601 695 696 2,231 1,342 1,779 1,075 813 678 1,155 987 1,09k 178 273 211 713 666 92k k2k 225 123 336 klk 217 29k 255 331 3k8 355 572 392 kll 336 509 3k8 567 129 167 15k 1,170 320 283 259 177 2L8 310 225 310 1962 - Jan. Feb. Mar. Apr. e/ May June July Aug. Sept. Oct. Nov. Dec. 6k7 88k 81*7 1,300 273 k97 386 650 232 232 253 325 lk3 155 209 325 * 1 % 1 { i 1 | I 1 | l ! j 1 I Net proceeds f o r new capital 1/ 2/ Public Communi- Other u t i l i t y cations issuers 598 808 652 696 189 lk9 317 381 1,059 913 896 997 381 515 kk9 1,77k l,k66 1,081 65k 595 595 836 836 8k5 81 1,095 10k lk7 832 1,052 803 1,263 k30 k56 717 169 99 2k8 57k kk7 kk6 k28 255 252 271 215 306 137 160 8k 25k k39 389 369 215 111 306 362 168 21 kl 19 99k 85 16 16 13 75 25 80 k2 253 368 211 297 289 k67 315 279 209 k87 291 k85 205 131 - 318 kko 89 lk8 193 380 73 362 21 80 225 218 275 300 536 692 k29 kl6 298 511 562 625 III IV £7 Preliminary, e/ Estimated. Gross proceeds exceed net proceeds . by the cost of f l o t a t i o n . 2/ F 0 r t o t a l see Exhibit Hj other issuers are extractive, railroad and other transportation, real estate and finance and commercial and other.. Source. —Securities and Exchange Commission. H.lU Exhibit J Other Security Offerings (In m i l l i o n s of d o l l a r s ) Gross long-term 1 / ~ Foreign government 2/ [ Federal agency 3/ 1962 1962 | 1961 | l W 1961 I960 Januaiy FebruaryMarch Aprils Tfey 6 29 20 ll*2 10 35 e / 10 2 175 156 2 3U e/U60 5 1*0 25 1 66 29 July August September October November December 72 2 Year Jan. -April e/196 2 hi 2.36 533 57 281 252 100 11*9 278 250 193 36 3k £ 182 150 150 11*8 35k 2U6 e/862 199 225 160 11*9 181 1,1*8 1,672 352 630 Net short-term k7~ State and Local government 5 / Federal agency 3/ January February March April May June July AugustSeptember October November December 18 1*66 -21*8 £/i*0 Year 160 195 -8 =103 =1*2 =155 109 518 -86 =6 5k .116 520" Jan0-April ! 2/276 58 1U0 -80 70 -11*6 -157 1*8 1<15 -175 -16 50 -189 21*7 -156 226 -31*6 -11*1* -162 -171* -79 -87 207 22 193 108 98 56 -111* -76 -633 -1*7 -559 -731* 18 188 j I -196 -202 -59 -277 170 320 95 23 -201 -23 -33 -250 ]d7 Preliminary = Estimated by Federal Reserve. 1 / These data d i f f e r from those in Exhibit H in t h a t refunding i s s u e s , as well as new c a p i t a l i s sue 85, a r e included „ Long-tern s e c u r i t i e s are defined as those maturing in more than one year. 2 / Includes s e c u r i t i e s o f f e r e d in the United States by foreign governments and t h e i r i n t e r n a t i o n a l organizations. Source; S e c u r i t i e s and Exchange Commission. 3 / I s s u e s not guaranteed by the U0 S. Government. Sources long-term, S e c u r i t i e s and Exchange Commission5 short-term, Treasury Department and Federal Reserve. h / These data d i f f e r from those in Exhibit H and above in t h a t they represent new o f f e r i n g s l e s s retirements, whether from the proceeds of refunding issues or from other funds0 Data include only issues with o r i g i n a l maturity of one year or l e s s . 5 / P n c i pFRASER a l l y t a x and bond a n t i c i p a t i o n n o t e s , warrants or c e r t i f i c a t e s and Public Digitizedr ifor Housing Authority notes. In some instances PHA notes included may have a somehttp://fraser.stlouisfed.org/ what longer than one year 0 Source; .Bond Buyer and Federal Reserve. Federal Reserve Bank of St. Louis Exhibit K H.ll* Large Long-term Public Security Issues f o r New Capital (Other than U. S. Treasury) 1/ Proceeds of Large Issues Offered (In millions of d o l l a r s ) Total Month 1961 - A p r i l May j June 1 July ; August i September October November December 1962 - January February March April Corporate Bonds Convertible (other than bonds convertibles) 560 1*80 1*35 285 165 78 205 320 125 170 1*25 330 1*30 1,572 557 532 1*75 185 168 351* 391 255 195 1*25 366 6U8 15 75 33 67 26 Stocks 1,010 62 97 115 20 58 81 1*5 . 130 25 21 167 15 51 State and local government 383 256 616 179 281 1*35 326 1*80 307 561 662 259 1*23 Other 2/ __ 25 151 100 73 1*0 250 11*5 61* 30 55 Large Individual Issues Offered May 1 through 25 Issuer Type 3/ Coupon Amount (millions r a t e or Offering Maturity Racing of net i n t e r - y i e l d dollars) e s t cost CORPORATE ^ P a c i f i c Power & Light Co, Southern C a l i f , Edison Co, Wisconsin Telephone Co, Milwaukee Gas Light Co, Columbus & Southern Ohio E l e c t r i c Co, Florida Power Corp. Gulf S t a t e U t i l i t i e s Co, Utah Power & Light Co, Utah Power & Light Co. Com.stk. 18.3 Ist&ref. mtg.bds. 1*0.0 Deb. 20.0 1 s t mtg. bds. 15.0 1st mtg. bds. 1 s t mtg. bds. 1st mtg. bds. 1st mtg. bds. Pfd.stk. 16.0 25.0 17o0 22.0 12.0 1987 2002 1987 1992 1992 1992 1992 U-i/U U-3/8 U-5/8 U-3/8 U-VU U-3/8 U-l/2 1*.25 U.27 l*.5o Aa ' Aaa Baa It. 30 1*.20 1*.29 1*.35 A Aa Aa A A A STATE AND LOCAL GOVERNMENT Port of New York Auth. State of Hawaii Wash. Sub. Sanitation Dist.j Md. Cincinnati s Ohio Georgia State Sch. Bldg. Auth. Rev.-Ut. G.O. 35.0 10.0 1993 1965-82 3.36 2.71 3.33 1.90-2.90 15.0 10.0 196U-89 1963-87 3.02 2.77 1.85-3.305/ A Aaa 1.50-3.00 Rev.-Rent . . 26.5 1963-83 3.09 1.60-3.1*0 G.0~ G.O. A K»2 ti.lit Large Individual Issues Offered May 1 through 25 (Cont'd) Issuer Type 3/ Coupon — Amount ' (millions r a t e or Offering Maturity net i n t e r - yield of dollars) e s t cost Rating STATE AND L0G6.L GOVERNMENT ~ (Cont'd) Austin > Texas Port of New Orleans Board of Comm,j La. Salt Lake City, Utah Metropolitan S e a t t l e , Wash. Sacramento Mun= U t i l i t y D i s t . , Cal: State of I l l i n o i s Wayne Co., Mich, State of Mississippi State of New York Salt River P r o j e c t , Agri. Imp0 Pwr. D i s t , , Arizona 3.0U 1,60-3.20 Aa Rev.-Uto iLo 1963-87 GoOo G.Oo Rev.-Ut. 25-0 11=5 16.0 1972-97 3.34 1965-80 2.69 1964-2000 3.63 2.70-3.50^ A 1.90-2.80 Aaa 2.00-3.70 — Rev.-Ut. G.Oo G.O. G.Oo G.O. 10c 0 95.0 18.3 19,5 57.3 1966-82 1963-87 1967-2002 1963-82 1961-2012 2.96 2.96 3.66 3-12 3.22 2.10-3.15 1.55-3.15,, 2.1iO-3.75S/ 1.60-3.20 1.70-3.75 G.O. 10,0 1965-9U 3.35 2.05-3.551/ A -- Bonds Bonds 20,0 25.0 1977 1997 5-1A 5-1A Bonds Bonds 25.0 17.5 1982 1977 6 Aa Aaa A Aa Aaa OTHER Kingdom of Denmark Govt, of New Zealand European Coal and Steel Community Japan Development Bank I 5-iA 5.47 5.50 5.33 6.1a -Rights o f f e r i n g . Includes corporate and other security offerings of $15 million and over; State and l o c a l government security offerings of $10 million and over. . Includes f o r e i g n government and International Bank f o r Reconstruction and Development issues and non-guaranteed issues by Federal agencies. In t h e case of State and l o c a l government s e c u r i t i e s , G. o. denotes general obligations; Rev.-Ut., revenue obligations secured only by income from public u t i l i t i e s ; Rev.-Q.Ut., revenue bonds secured only by revenue from q u a s i - u t i l i t i e s ; Rev=-S«T=, revenue bonds secured by revenue f rom s p e c i f i c taxes only; Rev.-Rent., revenue bonds secured solely by lease payments. l/lO per cent bonds maturing 1990-93 reoffered t o yield L W per cent. 1-1/2 per cent bonds maturing 1996-97 r e o f f e r e d t o y i e l d iuOO per cent. 3-1/2 per cent bonds maturing 2001-02 not r e o f f e r e d . 1 per cent bonds maturing 19 9U r e o f f e r e d to yield 4.00 per cent. A Bi - H.l4 Exhibit L Forthcoming Large Long-term Public Security Offerings f o r New Capital (Other than U. S. Treasury) 1/ Expected Proceeds from Forthcoming Large Issues Date of computation 1961 - Apr. 28 May 31 June 30 July 31 Aug, 31 Sept. 29 Oct. 31 Nov, 30 Dec. 29 1962 - Jan. 31 Feb. 28 Mar. 30 Apr. 30 During month following date shown Coiporate ^.Jptherg/ 242 U87 521 170 172 328 3U6 326 161 480 236 431 .192 4o6 399 221 297 292 223 462 64 628 182 $ 333 92 222 12 72 73 32 Subsequent to date shown State and Corporate local govt. 687 611 666 . 222 240 204 411 421 291 222 341 693 298 279 771 291 237 230 424 693 498 412 267 239 239 422 Other 2/ 12 72 73 32 64 92 Forthcoming Large Offerings, as of May 22 Amount (mill ions of dollars) Approximate date of offering CORPORATE Copenhagen Telephone Co, Alabama Power Co, Mountain State Tel„ & Tel. Co. Virginia Electric & Power Co. United Gas Corp. Columbia Gas System, Inc. Northern States Power Co. New England Electric System xTexas Gas Transmission Co.Air Reduction Co.5 Inc. Consolidated Edison Co, Cincinnati Gas & Elec, Co, *Puget Sound Power & Light Co; P h i l l i p s , No V. ^Houston Lighting & Power Co, Commerce Oil Refining Corp, S«F. deb. 12.0 1st mtg. bds. 17oO ' Deb. 20.0 Com. stko 40o0 lstmfcg.&coll.tl*. bds. 40„0 Deb. 22.0 1st mtg. bds. 12.0 Com. stk. 20.9 Deb. Conv.sub.deb, 1st mtg. bds. 1st mtg. bds, Pfd. stk. Com, stk , 1st mtg. bds.. Debc, bds. & com. 40 = 0 34,2 100,0 22,0 12,0 77 = 0 30.0 42.0 May 28 June 1 June 6 June 6 June 7 June 8 . June 13 June 14 (rights expire) June 14 June 20 (rights expire) June 20 June 22 June 27 (rights expire) June Indefinite L-2 h.lit F o r t h c o m i n g L a r g e O f f e r i n g s , a s of May 25 ( C o n t ' d ) Issuer Type Amount Approximate d a t e (millions of o f f e r i n g of d o l l a r s ) STATE AND LOCAL GOVERNMENT Maricopa C o , , Arizona De Kalb C o . , Georgia xMonroe C o , , N. Y, State of California Houston Ind. Sch. D i s t . , Tex. Georgia S t a t e Highway Auth. K-Dallas Ind. Sch, D i s t . , Texas •::-Texas U n i v . / T e x a s A&M, Texas P i t t s b u r g h , Penna. J e f f e r s o n County, Colorado Tarrant County, Texas Dade County 5 F l o r i d a J a c k s o n v i l l e Expressway A u t h . , F'la. G.O. 0.0. G.O. G.O. G.O. Rev.-Rent, G.O. Rev.-Rent. G.O. G.O. G.O. G.O. Rev.-Ut, 11.2 1U.0 10.8 100,0 12.5 15.0 10,0 10.0 35.0 19 0 2 13.5 ii6.0 iiO.O June 5 June 1 2 June 1 2 June lit June 26 June 27 June 27 June 28 Indefinite Indefinite Indefinite Indefinite Indefinite OTHER None Included in t a b l e f o r f i r s t time. I n c l u d e s c o r p o r a t e and o t h e r i s s u e s of $ 1 5 m i l l i o n a n d over5 S t a t e a n d l o c a l g o v e r n m e n t i s s u e s of $10 m i l l i o n and o v e r . 2 / I n c l u d e s f o r e i g n g o v e r n m e n t a n d I n t e r n a t i o n a l Bank f o r R e c o n s t r u c t i o n and Development i s s u e s and n o n - g u a r a n t e e d i s s u e s by F e d e r a l a g e n c i e s . N o t e , — D e l e t i o n s f o r r e a s o n s o t h e r t h a n s a l e of i s s u e : None, 1/