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Ninth Annual Report of
the Federal Reserve Bank
of Boston for the year ended
°% December 31, 1923 °$

'Boston,



NINTH ANNUAL REPORT
— OF THE —

Federal Reserve Bank
of Boston
For the year ended
December 31, 1923

BOSTON, MASSACHUSETTS




LETTER OF TEANSMITTAL
BOSTON, MASS., February 19, 1924.
SIR:

I have the honor to submit herewith the Ninth Annual Report of the
Federal Reserve Bank of Boston covering the operations of that bank for the
period from January 1, 1923, to December 31, 1923.
Respectfully yours,
FREDERIC H. CURTISS,

Chairman and Federal Reserve Agent.
HON. D. R. CRISSINGER,

Governor, Federal Reserve Board,
Washington, D. C.




TABLE OF CONTENTS
Page
OFFICERS AND DIRECTORS
CHART OF NEW ENGLAND TRADE AND BANK CREDIT
BUSINESS AND CREDIT CONDITIONS IN NEW ENGLAND DURING 1923:—

The Business Situation
Member Bank Credit
Chart, Member Bank Credit Situation
Reserve Bank Credit

5
6

7
9
10
11

BANK OPERATIONS:—

Statement of Condition
Income and Disbursements
Volume of Transactions.
Earning Assets
Loans and Discounts
Bankers' Acceptances
Government Securities
Federal Reserve Notes
Discount and Money Rates
Reserves and Reserve Ratio
Fiscal Agency Operations
Havana Agency
Monthly Review
Operating Costs of Member Banks

:
'

15
16
17
19
19
19
20
21
21
21
22
23
23
23

ORGANIZATION OF THE BANK:—

Board of Directors
Member of Advisory Council
Officers and Staff
Changes in Membership
Stockholders' Meeting

23
24
24
24
25
APPENDIX

SCHEDULES :—

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.

11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
22.

Comparative statement of condition
Earnings and expenses
Profit and loss account
Movement of principal assets and liabilities during 1923
Gold Settlement Fund transactions, 1923
Volume of discount and open market operations
Volume of bills discounted for member banks in each State
Statement of aggregate earning assets, showing holdings, earnings and average
rates, by months
Open market purchases of bankers' acceptances by classes
Amount of Federal Reserve notes issued to the Federal Reserve Bank of
Boston by the Federal Reserve Agent, amount retired and outstanding, and
amount of collateral held by the Federal Reserve Agent against notes outstanding
Principal assets and liabilities of member banks in selected cities, monthly
averages, 1923
Charges to depositors' accounts in leading New England cities
Acceptance liability of all banks in Federal Reserve District No. 1
Operations of Federal Reserve clearing system, Boston
State member banks as of December 31, 1923
Changes in membership in District No. 1, 1923
Resources of member and non-member eligible State banks
Member banks authorized to accept drafts and bills of exchange up to 100
per cent of their capital and surplus
Banks authorized to exercise fiduciary powers under the Federal Reserve Act
Chart of Money Rates in Boston
Money rates in Boston, 1922 and 1923
Discount rates, Federal Reserve Bank of Boston, 1914-1923
Number of officers and employees classified by departmental functions,
December 31, 1923, and December 30, 1922




29
30
31
32
34
35
36
37
38

38
39
40
41
41
42
43
44
44
45
48
49
50
51




FEDERAL RESERVE BANK OF BOSTON
OFFICERS AND DIRECTORS
As of December 31, 1923

Officers
W. P. G.
CHESTER
WILLIAM
WILLIAM
KRICKEL

HARDING, Governor.
C. BULLEN, Deputy Governor.
W. PADDOCK, Deputy Governor.
WILLETT, Cashier.
K. CARRICK, Secretary.

FREDERIC H. CURTISS, Federal Reserve

Agent.
CHARLES F. GETTEMY, Assistant Federal

Reserve Agent.
HARRY F. CURRIER, Auditor.

FRANK W. CHASE, Assistant Cashier.
ELLIS G. HULT, Assistant" Cashier.
WILLIAM N. KENYON, Assistant Cashier.
ERNEST M. LEAVITT, Assistant Cashier.
L. WALLACE SWEETSER, Assistant Cashier.
Class
and
Group

Term
Expires
Dec. 31

Directors

President, Merchants National
Bank,
A 2 F. S. CHAMBERLAIN,
Vice-President and Cashier, New
Britain National Bank,
A 3 EDWARD S. KENNARD, Vice-President and Cashier,
Rumford National Bank,
B 1 PHILIP R. ALLEN,
Paper Manufacturer,
Vice-President, Bird & Sons,
B 2 EDMUND R. MORSE,
Treasurer, Vermont Marble Co.,
B 3 CHAS. G. WASHBURN,
Director, The Washburn Co.,
C FREDERIC H. CURTISS,
Chairman,
C ALLEN HOLLIS,
Deputy-Chairman, Lawyer,
C JESSE H. METCALF,
President, Wanskuck Co.,
A 1 ALFRED L. RIPLEY,

Boston, Mass.

New Britain, Ct. 1925
Rumford, Me.

1924

E. Walpole, Mass. 1926
Proctor, Vt.
1925
Worcester, Mass. 1924
Boston, Mass. , 1926
Concord, N. H. 1924
Providence, R. I. 1925

Counsel
ARTHUR H. WEED.
Member of Adoisory Council
ALFRED L. AIKEN,

Chairman, National Shawmut Bank, Boston.




1926

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

TRADE

AND
NEW

19 2 1

120

BANK

CREDIT

ENGLAND
19 2 3

19 2 2

II 0
100

VALUE

or

TRADE

INDEX

Boatoru
i

80 Other New England Cities'
15
.
\A
1.3
1.2 ^

VOLUME OF MEMBER 3ANK CREDIT IN USE

A

r—

^

—.

I.I

«—.

y

1.0
200

175
\ VOLUME OF RESERVE BANK CREDIT IN USE

150

25

o 100
90
60

70

60

V
\V

AAi

w

50
The value of trade index is compiled by eliminating the usual seasonal fluctuations from the volume of
check transactions. The volume of member bank credit in use is represented by loans and investments of
member banks in nine leading New England cities. The volume of Reserve bank credit in use is represented
by the earning assets of the Federal Reserve Bank of Boston.



NINTH

ANNUAL REPORT OF THE FEDERAL
RESERVE BANK OF BOSTON

BUSINESS AND CREDIT CONDITIONS IN NEW ENGLAND DURING 1923

The rapid changes which took place in 1923 in the business situation
in this Federal Reserve District, as well as in the United States generally,
are without exact parallel in recent years. When the year 1923 opened,
production in the leading industries was almost as high as at the peak
of activity in 1920, and continued to expand at a rapid rate during the
early months of the year, accompanied by a sharp increase in commodity
prices and in the volume of credit extended by member banks for commercial purposes. Before the end of the first half of the year, both wholesale commodity prices and security prices were falling rapidly, and production and trade followed similar trends. The expansion in the first
few months of the year, was rapid and so was the subsequent contraction.
The volume of member bank credit in use in this district did not decline
coincidently with business activity in the spring and summer of 1923,
but continued to increase almost until the end of the year. There usually
elapses a period of six months or even a year or more between marked
changes in the trends of production and of the volume of credit in use,
so the experience of 1923 in this respect was normal. The trend of money
rates corresponded closely to that of the volume of credit, increasing
steadily up to the high point for the year reached in October. Both
the volume of credit and money rates declined slightly during the last
few weeks of 1923, probably in response to the declines in business activity
and commodity prices which had taken place earlier in the year.
The Business Situation:—Production during the first two or three
months of 1923 was probably maintained at as high a proportion of normal factory capacity in New England as anywhere else in the country.
Approximately 90 per cent of the manufacturers of Massachusetts were
then operating at normal full-time capacity. There were numerous wage
increases and comparatively little unemployment. Before spring had



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

8

come, a reaction had started in several of the largest industries of New
England, boots and shoes and cotton textiles among others. The building
industry had already experienced some resistance to high prices, even
in the latter part of 1922. Several times in the past, as at the beginning
of the recovery in 1921, New England has been one of the first sections
of the country to feel a change in business conditions. This is probably
because of the nature of the leading industries in this district. The
slowing down in business activity was hastened by a severe winter and
many snowstorms, which temporarily hampered the railway transportation system of this section, causing merchandise to "back up" and
remain in the hands of manufacturers and jobbers. This experience was
similar to that of 1920.
PROPORTION

OF

CONCERNS

OPERATING

MASSACHUSETTS
100 Jan

Feb M<

1923

FULL

TIME

SHIPMENTS

OF

NEW ENGLAND

MERCHANDISE
RAILROADS
uq. 5epl OcT

Nov

De

The decline in the proportion of manufacturing concerns operating full time, which began in April, was
accompanied by a similar contraction in factory output. Shipments of merchandise, as a result, were
smaller in 1923 than in 1922.
Sources of data—Massachusetts Department of Labor and Industries and American Railway

Association.

Shipments of merchandise by New England railroads were actually
smaller in the first few months of 1923 than in the corresponding period
of 1922, although business activity was probably greater.
Retail trade, as reported by the leading department stores of New
England, was not much larger in the spring of 1923 than in the previous
year, and merchants generally thought that there might be difficulty
later on in marking up the retail prices of merchandise to correspond with
the higher wholesale prices which were quoted at that time. Accordingly,
they were rather slow to buy, and this, with other circumstances, accelerated the falling off in wholesale commodity prices first noticeable in
April, and which became rapid in June and July.
When there is a sudden contraction in the volume of orders for merchandise, as there was in the spring of 1923, it is very difficult to reduce manufacturing output proportionately. There was nothing unusual, therefore,
in the circumstance that stocks in the hands of jobbers and manufacturers
increased in 1923 for several months after commodity prices had started



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

9

to decline. These larger inventories naturally required more bank credit
to carry them, and the "commercial" loans of member banks to their
customers accordingly expanded for several months after business activity
had passed its highest point of the year. On the other hand, the credit
situation did not become overextended, as had been the case in 1920.
Failures were not numerous, and, in fact, were fewer during the first half
of the year than is customary at that time.
In the first six or seven months of the year, to summarize, business
passed through two sharp movements, first expansion and then contraction.
During the autumn and early winter months of 1923, commodity prices
as a whole became practically stabilized, and the volume of production
did not decline as rapidly as in the few preceding months. Retail trade
continued at about a normal level, and stocks of merchandise in the hands
of manufacturers and jobbers did not increase much, if any, further.
This reduced the need for bank credit to carry inventories, and the "commercial" loans of New England member banks reached their maximum
for the year in October.
Collections had been relatively slow since at least the beginning of
1923, and an increasing number of concerns failed during the last half of
the year, among them many which had barely weathered the 1920—21
depression. The number of failures in New England increased during
the last half of 1923 at a somewhat faster rate than is usual at that time
of the year.
NUMBER OF COMMERCIAL

D E P A R T M E N T STORE
SALES
TWENTY-FOUR NEW ENGLAND STORES

NEW

FAILURES

ENGLAND

\l?22
^200

200

!

|

}^

^

j

*

150

\

•-"

/

{
*

\J2Z

100

%
o
5

j 50

50

*

*

o

0

Retail trade in New England during 1923 as a whole was in larger volume than in 1922, although at times
the increase was no larger than the normal rate of growth. The number of commercial failures was comparatively low in the first half of 1923, but the seasonal increase in the latter half of the year was more
rapid than usual.
Sources of data of failures—R. G. Dun & Company, Bradstreet's.

Member Bank Credit:—The volume of member bank credit in use in
this district expanded more in the last half of 1922 than in all of 1923.
Total loans at the opening of 1923 were already at a high level, higher,
in fact, than at any time since January, 1921. Broadly speaking, com


10

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

MEMBER

BANK

REPRESENTATIVE

BANKS

19 2 1

1500

CREDIT
IN

NINE

SITUATION
NEW

ENGLAND

19 2 2

CITIES

19 2 3

1400

1300

1200

I 100

1000
*•. Total Loans
• 900
5
VNet
^600

° 700
<n
c;

•5 600

'All Other" Loans
(Commercial)

-v.

^ 500
400
nvestments

300
200
100

Federal Reserve Bank of Boston

0
The curves are based on reports from representative banks in Boston, Fall River, Hartford, New,Bedford,
New Haven, Portland, Providence, Springfield and Worcester. These banks extend nearly two-thirds of
all the bank credit in use through the member banks of Federal Reserve District Number 1.



11

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

mercial banks extend credit for two purposes,—first, on loans for commercial transactions, and second, on loans to carry investments. As has
been previously stated, the trend of bank loans made for commercial
purposes responded closely to the needs of business during 1923, increasing continuously from the beginning of the year until October, then
declining slightly. Bank loans based on collateral, however, followed a
different course. They declined, with only seasonal interruptions, from
the beginning of the year to the end. The volume of "commercial" loans
was about double that of collateral loans, and they increased more than
collateral loans declined. Therefore, the total volume of member bank
credit extended to customers also increased during the same period that
"commercial" loans increased, namely, from the first of the year until
October. The maximum fluctuation in member bank loans from the
lowest to the highest volume of the year was very much less than in 1922.
There was another essential difference between the member bank credit
situations of 1922 and 1923. In 1922, commercial deposits were built up
very rapidly, because then business was expanding, prices were rising,
and inventories were not abnormal, so that business funds were circulating rapidly. By contrast, in 1923, commercial deposits in the member
banks did not increase, but remained practically stationary, barring the
usual seasonal fluctuations.
With loans expanding almost throughout the year and commercial
deposits remaining unchanged, it was almost inevitable that money rates
should increase. In fact, both the volume of bank loans and the rates on
commercial paper did increase until October. Although loans amounted
to more than commercial deposits throughout the year, member banks
liquidated some of their security holdings and also made use of a continually increasing volume of time deposits to take care of their customers'
requirements. They also borrowed more from the Federal Reserve Bank
than they had averaged in 1922.
Reserve Bank Credit:—Most of the expansion of member bank credit
resulting from the recovery of trade activity from the depression of 1921
took place in 1922, rather than in
LOANS TO MEMBER BANKS
1923, as has already been pointed
FEDERAL RESERVE BANK OF BOSTO
out. Therefore, it is not surprising
that member banks increased their
borrowings from the Federal Reserve Bank of Boston in the last
half of 1922 to such an extent that,
practically speaking, no further
increase was necessary in 1923
in order to take care of the requirements of customers without



15 0

'919

I 9 a O

1921

1923

.1953

12

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

undue strain. While member banks' borrowings from the Reserve
bank in 1923 averaged larger than in 1922, there were only three days
in 1923 when they were higher than at the first of December in 1922.
The means by which the member banks were able to increase their loans
to customers without increasing their borrowings from the Federal
Reserve Bank of Boston was, as previously mentioned, by liquidating
some of their investments in securities and by a material increase in time
deposits.
The average volume of bankers' acceptances owned by the Reserve
bank in 1923 was somewhat larger than in 1922, and therefore relieved
the member banks, to some extent, of additional burden. As in former
years, the investment of the Reserve bank in bankers' acceptances was
governed for the most part by the needs of the open market, preference
being given to acceptances of short maturities. With the reduction in
member banks' borrowings in October, holdings of bankers' acceptances
were increased largely through the purchases of those maturing in 1924.
Investments in government securities were much smaller in volume than
in the previous two years, the aggregate steadily decreasing from the
first of the year,.as the obligations matured, until June 15, from which
time a small amount was carried until the end of the year.
The volume of Federal Reserve notes in circulation in this district in
1923 was larger on the average than in 1922 and increased throughout
the year until in December it was larger than at any time since the close
of 1921. The volume of money in circulation responds to fluctuations in
DEVELOPMENT

The Federal Reserve Bank of Boston was in a strong position during 1923. Reserves at one time were
larger than ever before, and earning assets (volume of Reserve bank credit in use) were lower on the average
than for several years.



13

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

the volume of business and of credit in use. Accordingly, the greater
portion of the increase in Federal Reserve note circulation accompanying
the recovery in business activity occurred in 1922 rather than in 1923,
just as had been the case in the loans of member banks to their customers.
This movement was exaggerated in the case of Federal Reserve notes,
however, mainly because the circulation of payroll and pocket money
was greatly reduced by unemployment during the spring and summer
of 1922 at the time of the widespread cotton textile strike. Even in 1923
the trend of Federal Reserve note circulation was not entirely governed
by requirements of trade activity, but was under the influence of the
continual increase in the volume of other kinds of currency in circulation, largely gold certificates.
Deposits in the Federal Reserve Bank are composed almost entirely of
member banks' deposits,—Government and other deposits amounting
to only a small proportion of the total. Member banks' deposits in the
Reserve bank are always approximately equal to the amount required
by law to be maintained as reserves at the Reserve bank. Inasmuch
as this required reserve is a definite percentage of customers' deposits
in member banks, the trends of
deposits in both member banks and
Reserve banks are almost parallel.
Deposits in the member banks of
New England increased throughout
1922, and remained almost stationary in 1923. A similar trend was
followed by member banks' deposits in the Federal Reserve Bank of
Boston.
During the period of war financing, the Reserve banks' rediscount
rate was governed largely by the needs of the United States Treasury,
but since the latter part of 1919, this rate has followed more closely the
rates on commercial loans and the general credit situation. Money rates
declined during all of 1921 and the first half of 1922, and the rediscount
rate of the Federal Reserve Bank of Boston was progressively lowered
until it stood at four per cent in the summer of 1922, and total loans of
member banks were low. Commercial paper rates then ranged from 3%
to 4 per cent. Beginning in September, 1922, however, both commercial
paper rates and total loans of member banks rose under the stimulus
of the continued increase in business activity. By February, 1923, rates
on commercial paper were 4}4 per cent in the East and even higher in
the Middle West. All but three of the Federal Reserve banks had at
that time a rediscount rate of 4 ^ per cent. The large increase in loans
of member banks and the stiffening of money rates were factors which led



MEMBER

75

BANK

RESERVE

FEDERAL RESERVE ' B A N K
1919
I 3 2 O
921

DEPOSITS

OF BOSTON
922

1923

14

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

the directors of this bank to raise the rediscount rate to 4^2 per cent on
February 23, 1923. This discount rate was continued during the remainder of the year, even though commercial paper rates reached a
5-5 x/2 per cent basis in September and October. The amendments to
the Federal Reserve Act contained in the Agricultural Credits Act of
1923 made agricultural and live-stock loans of over six but less than
nine months' maturity eligible for rediscount at the Federal Reserve
Bank on April 7, 1923. Prior to that time no loans of longer than six
months' maturity were eligible for rediscount.
The amount of gold held as reserves by the Federal Reserve Bank of
Boston has fluctuated widely during the past few years, more as a result
of the changes in business activity of this district than because of nationwide banking conditions. There is little apparent relationship between
the steady increase in the monetary gold stocks of this country during
1921, 1922 and 1923, on the one hand, and, on the other, the increase
in gold holdings of the Federal Reserve Bank of Boston in 1921, the sharp
contraction in 1922, and the renewed expansion in 1923. Industry was
generally more active in New England during 1921 than elsewhere in
the United States, and it may be presumed that at that time New England
was selling more goods to other parts of the country than she was buying.
Under those circumstances, a flow of gold credits into this district was
to be expected. Conditions were somewhat reversed in 1922, when
production in New England was curtailed by a widespread cotton strike,
localized in this district, and New England had then to buy more than
she sold, and had to pay for the excess partly by transferring gold credits
to other districts. Furthermore, New England investors and bankers
extended large sums of credit to industry in the West during 1922, and
this called for further transfers of gold credits. When business generally
contracted during the latter part of 1923, much of this credit was returned to New England, thereby bringing back gold. This increase in
gold holdings, notwithstanding increased borrowings of member banks
and a larger volume of Federal Reserve notes outstanding, resulted in
a higher average reserve ratio for the bank in 1923 than for several
years.
Summarizing the Reserve bank credit situation for 1923, it is seen that
changes were not so marked as in 1922. Federal Reserve note circulation
increased steadily throughout the year after January. The fluctuations
in deposits and in loans to member banks were more the result of seasonal
influences than of clearly defined cyclical trends, and holdings of Government securities were largely disposed of early in the year. Holdings of
acceptances, however, were subject to more than the usual seasonal
variations. The average amount of earning assets of the Federal Reserve
Bank of Boston during 1923 was lower than in 1922, and earnings were
approximately the same.



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

15

BANK OPERATIONS

Statement of Condition:—The comparative statement of condition of
the Federal Reserve Bank of Boston as of December 31, 1923, and
December 30, 1922, is given in brief form below. A statement in greater
detail, and with notes explanatory of the various items, appears in the
Appendix, page 29.
RESOURCES
[000 omitted]
December
31, IQ23

December
30, IQ22

$234,758
8,266
243,024

$208,147
12,730
220,877

CASH RESERVES:—

Gold
Legal tender notes, silver, etc
Total reserves
NON-RESERVE CASH

3,520

LOANS AND INVESTMENTS:—

Loans to member banks:—
Secured by Government obligations
.Secured by discount of commercial paper or agricultural paper or acceptances
Bills and securities purchased:— ,
Acceptances
United States securities
Total loans and investments (or earning assets)
ALL OTHER RESOURCES (mostly uncollected checks)
Total resources

21,744

23,675

45,957

37,909

38,802
9,862
116,365
59,477
422,386

25,407
29,593
116,584
64,295
401,756

$220,115

$201,314

220,115

201,314

123,637
2,356
117
126,110
51,881

126,342
534
980
127,856
48,148

LIABILITIES
[000 omitted]
CURRENCY IN CIRCULATION:—

Federal Reserve notes
Federal Reserve Bank notes
Total currency in circulation
DEPOSITS :—

Reserve deposits of member banks
Government deposits
All other deposits
Total deposits
MISCELLANEOUS LIABILITIES (mostly checks on deferred credit)
CAPITAL

SURPLUS
Total liabilities




7,890

8,126

16,390
422,386

16,312
401,756

16

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

Income and Disbursements:—The principal sources of income of the
Federal Reserve Bank of Boston, the payments for current expenses and
the manner in which the net income was distributed are shown below
for the year 1923, in comparison with the corresponding items for 1922.
Increase ( +)
or
iQ2j

Income from:—
Loans to member banks
Investments in acceptances
Investments in Government securities
Other sources
Total
Current Expenses:—
Salaries
All other expenses

IQ22

Decrease (—)

$2,320,839
741,384
419,739
24,721

$1,543,539
591,647
1,391,691
14,436

+$777,300
+ 149,737
- 971,952
+ 10,285

$3,506,683

$3,541,313

- $34,630

$1,169,610
964,644

$1,201,434
820,966

- $31,824
+ 143,678

Total
$2,134,254 $2,022,400 +$111,854
Current net income
$1,372,429 $1,518,913 -$146,484
Net deductions from net income
120,294
421,511 - 301,217
Balance available for dividends, surplus and franchise tax
$1,252,135 $1,097,402 +$154,733
Dividends paid
,480,267
481,951
1,684
Transferred to surplus account
77,187
76,568' +
619
Franchise tax paid United States Government
694,681
538,883i + 155,798
1
Bank also charged its surplus account and paid the United States Government $247,350 as an additional
franchise tax for 1921.

The gross income from all sources for the year 1923 was $3,506,683, or
some $35,000 less than in 1922. Earnings from loans to member banks
were about 50 per cent higher than in 1922, due largely to their increased
volume and also to the higher discount rate. Income from bankers'
acceptances was also higher than during the previous year, largely on
account of the higher rate of return. On the other hand, income from
investments in Government securities was less than one-third of that of
1922, the average holdings having been greatly reduced.
Although the earnings were only slightly lower than in 1922, the cost
of operation was somewhat higher. This was due to the increased cost
of printing Federal Reserve notes, amounting to $171,193 over the previous year, and to the increase in the volume of work handled by the
non-income producing departments of the bank, such as the Money and
Transit Departments. The cost of Federal Reserve notes chargeable to
any one year varies with the amount printed in that particular year,
and not with the actual amount in circulation. While the volume of
checks, currency and other items varies to a large extent with the volume
of general business, in this instance there is also evidence of increased
use of the Reserve bank's facilities by its member banks. Administrative
efforts were concentrated on the necessity of keeping expenses down
without decreasing the operating efficiency of the bank, with the result
that the total number of employes in all departments of the bank was



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

17

reduced by 30. The effect of this policy is partly reflected in a decrease
of $31,824 in the salary account for the year, which, with other curtailments, caused the total expenses for the year, notwithstanding the heavy
cost of Federal Reserve notes and the increased volume of business, to
be but $111,854 above those of 1922, while they were less by $104,753
than in 1921. It was items of expense beyond the control of the management of the bank, such as postage and expressage and the original costs
and shipping charges in connection with currency, which contributed
most of the gross increase in cost of operation.
While current net earnings in 1923 were $146,484 less than in 1922,
a larger balance was available for dividends, surplus and franchise tax,
inasmuch as the deductions from current net earnings for such items as
furniture and equipment and depreciation on bank premises (made in
accordance with instructions from the Federal Reserve Board) were
considerably less in 1923 than in the previous year. These surplus earnings were $1,252,135, as compared with $1,097,402 in 1922. Disbursements of dividends amounted to $480,267, and $77,187 was added to
surplus, while $694,681 was paid to the United States Government as a
franchise tax. This compares with a similar franchise payment in 1922
of only $538,883. Earnings for the year 1923 amounted to 15.64 per
cent of the average paid-in capital, to 5.14 per cent of the combined average capital and surplus, and to .83 per cent of the combined average
capital, surplus and member bank reserve deposits.
The distribution of net earnings for dividends, surplus and franchise
tax of the Federal Reserve Bank of Boston since 1916 has been as follows:
Year
1916.
1917.
1918.
1919.
1920.
1921.
1922.
1923.

Total 1916-1923.

Dividends
paid
$249,735'
601,755 2
384,180
414,447
447,266
473,109
481,951
480,267
$3,532,710

Transferred
to surplus
account

$75,100
2,921,000
5,362,934
7,351,799
772,324
-17O,782»
77,187
$16,389,562

Franchise tax
paid to
United States

$75,100
2,473,499
3,035,920
786,233*
694,681
$7,065,433

Total
$249,735
751,955
3,305,180
5,777,381
10,272,564
4,281,353
1,097,402
1,252,135
$26,987,705

1

Dividends accumulated in 1914-1915, inclusive.
'Dividends accumulated in 1916-1917, inclusive.
1
Against the $76,568 surplus for the year was charged $247,350 on account of franchise tax payment
for 1921.
« Includes $247,350 for year 1921.

Volume of Transactions:—Probably few people, even among those who
understand something of the functions of a Federal Reserve bank, have
any adequate conception of the magnitude of its transactions either with
respect to their physical volume or the aggregate in dollars involved.
During the year 1923 the Federal Reserve Bank of Boston handled



18

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

nearly 207,000,000 pieces of paper currency, over 196,000,000 gold, silver
and other coins, over 63,000,000 checks, over 6,200,000 government
coupons and other items for collection, and distributed, redeemed or
exchanged nearly 7,600,000 pieces of government securities, the latter
item alone representing face values aggregating nearly $800,000,000,
while the total amount represented in these transactions was over
$18,000,000,000. If to these figures be added the number and amount of
bills discounted for member banks and the number and amount of telegraphic transfers of funds, the operating transactions of this bank during
the year 1923 may be measured by the statement that they involved
the handling of over 482,000,000 items, totaling in amount over 26
billion dollars. A summary of the physical volume of and the aggregate
dollar amount involved in operations of the principal departments of
the bank during 1922 and 1923 appears in the following table:—
VOLUME OF OPERATIONS IN PRINCIPAL DEPARTMENTS
Number of pieces handled
Bills discounted:—
Applications
..
Notes discounted
Bills purchased for own account

1923
3,610
55,601

.

1922
3,711
51,085

1921
No record kept
70,398

19,165

17,351

Currency received and counted

206,665,102

176,617,814

142,316,0001

Coin received and counted

196,500,899

174,137,763

159,331,2922

63,157,836

55,123,091

50,829,717

5,477,976
728,535

6,924,719
487,798

7,767,169
319,163

7,593,834

1,558,517

3,823,238

49,944

47,303

38,069

Checks handled
Collection items handled:—
U. S. Government coupons paid
All other
U. S. securities—issues, redemptions, and exchanges
by Fiscal Agency Department, including War
Savings stamps
Telegraphic transfers of funds
Envelopes received and dispatched

13,973

2,011,0002 No record kept No record kept

Amounts handled
Bills discounted
Bills purchased for own account
Currency received and counted
Coin received and counted
Checks handled
Collection items handled:—
U. S. Government coupons paid
All other
U. S. securities—issues, redemptions, and exchanges
by Fiscal Agency Department
Transfers of funds
x
2Round numbers.
Estimated.



$3,652,775,006 $2,262,087,163

$4,454,760,240

302,082,837

261,690,755

211,702,557

1,259,322,675

1,022,617,000"

862,200,000i

20,170,206

18,442,0001

15,169,482,861 12,082,662,868
69,761,373
722,651,631
797,104,298
4,186,429,832

67,776,878
515,596,876

15,910,000!
11,651,344,832
66,757,308
552,656,534

1,184,543,120

1,710,904,070

3,033,806,0001

1,963,283,0001

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

19

Earning Assets:—Total earning assets were, on the average, at a
somewhat lower level than in 1922, the volume being reduced by the
smaller average investment in Government securities, although this
reduction was offset to some extent by increased holdings of bills discounted, especially in the last two months of the year. On December
31, 1923, the earning assets were $116,365,000, as compared with $116,584,000 in 1922, or approximately the same amount.
Loans and Discounts:—The year 1923 opened with loans to member
banks of $61,584,000 and closed with loans at $67,701,000. These
combined borrowings of Boston and outside banks averaged higher than
in 1922 by $16,000,000. The high point reported in 1923 was $79,262,000
on December 26, and the low point $30,879,000 on October 24. Throughout the entire year a larger proportion of the loans was secured by commercial paper than by Government obligations. About the same proportion of member banks borrowed of the Reserve bank as in the previous
year.
LOANS

AND

INVESTMENTS

FEDERAL RESERVE BANK OF BOSTON

A

\

/

\ r\

k

...

.

.•••'

/

\

\

Banks
Med)-

V

zero l i n e )

Bankers1 Acceptances:—The bank's holdings of bankers' acceptances
were larger, on the average, in 1923 than in 1922, mainly because the
acceptance market needed more support. The policy of the Federal
Reserve Bank of Boston toward the open market in bankers' acceptances
is a flexible one, responding more to the general credit and business situations than adhering to any definite program. There was also a tendency
on the part of the bank to make investments in bankers' acceptances,
replacing Government securities as the latter matured. This was especially the case during the last two months of the year, when the borrowings



20

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

MEMBER
19 15

BANK

19 16

BANKERS' ACCEPTANCES
LIABILITY AND FEDERAL RESERVE
1917

(Federal
19 10

B . s . r v . D i s t r i c t I)
1919
19 2 O

BANKS'
l_9_2 I

HOLDINGS
19 2 2

19 2.3

of member banks declined. The bank then invested in bankers' acceptances, preference being given to those maturing early in 1924. The
volume of bankers' acceptances created by member banks was larger, on
the average, in 1923 than in the previous year. A large volume was
created in the spring in connection with financing wool imports and
cotton exports, and again in the autumn through financing the marketing
of cotton and other agricultural products. Of the acceptances carried
by the bank, about 61 per cent were in connection with financing foreign
trade, and of this proportion approximately 75 per cent were drawn in
connection with imports of goods, and the balance with exports. The
prevailing rates on bankers' acceptances, both the open market rate and
the purchase rates of the Federal Reserve Bank, were higher than during
the previous year, and the investment demand was seldom sufficient
to force a reduction in the asking rate of 43^ per cent, the quotation
prevailing for 90-day acceptances during the greater part of the year.
The competition between Treasury Certificates and acceptances was
keen, especially in Massachusetts, owing to taxable features, and the
investment demand came more from corporations, insurance companies
and others having idle funds, and less from savings and commercial
banks than during past years.
Government Securities:—Holdings of United States Government securities by this bank during 1923 were much smaller than in 1922, when, in
order to maintain a fair volume of earnings, short-term Government
securities had been purchased. The increased borrowings of member
banks in 1923 produced earnings sufficiently large to make it unnecessary



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

21

to enter the market to increase earnings. At the opening of the year, the
investment holdings in Government securities were $30,000,000, and the
volume steadily declined to about $4,000,000 in June, an amount which
was maintained until the last two weeks of the year. At that time this
bank, in conjunction with other Federal Reserve banks, began slowly
to increase these holdings until, on December 31, there was held $9,862,000 of Government securities. There was less demand from discount
houses and dealers for temporary advances through repurchase agreements in connection with short-term Government securities than in
1922, inasmuch as these and long-term Government securities tended to
find their way into the hands of private investors and savings institutions,
and apparently played a far less important part in commercial banking
than in 1922. This is evidenced also by the change in the character of
member banks' borrowings, the proportion of discounts secured by commercial paper being much greater in 1923 than in 1922, especially in the
borrowings of Boston banks. On the other hand, there was little change
in the investment holdings of Government securities by the member
banks during the year, although a slightly increased volume was shown
in the reports of the banks outside of Boston.
Federal Reserve Notes:—The circulating volume of Federal Reserve
notes of this bank showed a steady increase after the usual seasonal
decline in January. On January 1 there were in circulation $201,314,000
of these notes, but by the end of the month the volume had declined to
$192,349,000, which was the low point of the year. From then until
December 26, there was a gradual increase, until on that date there was
outstanding $234,830,000, and at the close of the year $220,115,000.
Discount and Money Rates:—The discount rate of four per cent, which
went into effect in June, 1922, was changed to 4 ^ per cent, effective
February 23, 1923. A similar increase by the Federal Reserve banks of
New York and San Francisco at that time made the rates uniform throughout the entire Reserve system. A special rate of five per cent on discounts
on agricultural and live-stock loans of more than six but less than nine
months' maturity was put into effect on April 7, 1923. The rediscount
rate was lower than the rate on commercial paper throughout the year,
and during September and October there was a difference of from onehalf to one per cent, when the rate on commercial paper reached a level
of 5-5}4 per cent, as against the rediscount rate of 4>^ per cent. There
was an easier tendency in the Boston money market at the close of the
year.
Reserves and Reserve Ratio:—The total cash reserves of this bank at
the opening of 1923 were $220,877,000, consisting almost entirely of gold,



22

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

FEDERAL

RESERVE RATIOS
SYSTEM AND FEDERAL RESERVE

RESERVE

(Monthly
1915

1 9 1 6

O

O

O

IOO

\

1 9 1 7

1 9 2 0

OF BOSTON

1 9 2 1

1 9 2 2

1 9 2 3

S se
y t m

i
\
\

1

^

/V /

O

\

\

r

1

/

/''
V
> v^

•*

j

^X

O

O

O

O

O

O

Cent

BANK

Averages)
1 9 1 9

xP V
\

Per-

1 9 1 6

or slightly above the average for 1922, but they increased rapidly from
January until October, when they were $314,829,000, or the largest
amount in the history of the bank. There was a rapid decline in the cash
reserves between the middle of October and the last of December, when
total reserves were $243,024,000, or only $22,147,000 more than at the
beginning of the year. A decline in the reserve holdings of this bank
usually occurs in the closing weeks of the year.
Although both the circulating volume of Federal Reserve notes in this
district and member banks' deposits in the Reserve bank were larger,
on the average, in 1923 than in the previous year, the gold reserves
were so much larger than in 1922 that the ratio of reserves to the combined deposit and Federal Reserve note liability reached a point in 1923
higher than at any time since 1915, when the bank's operations first
began to expand.
Fiscal Agency Operations:—The bank continued to act as the fiscal
agent of the Government, but the volume of operations connected with
these duties was somewhat less in 1923 than in 1922. Issues of Treasury
Notes and Certificates of Indebtedness were not only fewer in number
than in 1922, but of a much smaller volume. The investment demand
was such that subscriptions were readily placed and current issues soon
sold at slight premiums. The issues of Treasury Notes and Certificates
were as follows:—




ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
Description
A-1927
TS-2-1923
TM-1924
B-1927
TD2-1923
TM2-1924
TJ-1924
TD-1924

Dale of issue

Date of maturity

January 15, 1923
March 15, 1923
March 15, 1923
May 15, 1923
June 15, 1923
September 15, 1923
December 15, 1923
December 15, 1923

December 15, 1927
September 15, 1923
March 15, 1924
March 15, 1927
December 15, 1923
March 15, 1924
June 15, 1924
December 15, 1924

Total, 1923
Total, 1922

23

Allotment
U.S.

Allotment
First District

$366,982,000
154,252,000
321,196,000
668,201,000
189,833,000
249,750,000
135,129,000
214,149,000

$32,151,000
10,366,000
18,042,000
58,654,000
22,480,000
30,693,000
8,030,000
17,847,000

$2,299,492,000
4,697,006,000

$198,263,000
373,777,000

Rale

4K%

4X
4^

4^
4
4

4K
,

Government coupons paid by the bank in 1923, while of a larger amount,
were fewer in number. On the other hand, there was quite a material
increase over 1922 in the number and value of security issues redeemed
and exchanged in the Fiscal Agency Department.
Havana Agency:—The Federal Reserve Board adopted a resolution
on June 27, 1923, authorizing the establishment of an agency of this
bank in Havana, Cuba, for the purpose of handling cable transfers of
funds between that country and the United States. The agency was
opened for business on September 1, and in the subsequent four months
effected 78 cable transfers, amounting to $24,469,000. The operations
of the agency have tended to stabilize exchange rates between the United
States and Cuba.
Monthly Review:—The Federal Reserve Agent published for the fifth
year his Monthly Review of Industrial and Financial Conditions in the
First Federal Reserve District. The circulation of this publication
increased by about 700 copies during the year, and stood at 11,755 for
the December issue. The Review, which is distributed free upon request,
is one of the important contacts which this bank has with its member
banks and with the public.
Operating Costs of Member Banks:—A study was made of the operating
costs and profits during 1922 of the member banks in this district similar
to the one made for 1921. Member banks are enabled through these
analyses to compare their own operating costs and profits with those of
comparable banks in this district. In addition to the general study made
on the basis of all member banks, a more detailed analysis was carried
on with the assistance of 40 of the larger member banks in this district.
ORGANIZATION OF THE BANK
Board of Directors:—During the year the bank suffered a distinct loss
in the death of Mr. Thomas P. Beal, Class A director in Group I. Mr.
Beal had been a member of the Board since the organization of the bank
in 1914, and had been for many years prior to his decease President of



24

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

the Second National Bank of Boston. He had been a prominent figure
in the banking and business activities of Boston during his entire maturity, and was universally held in the highest esteem as a man of keen
and ripe judgment, whose decisions in all banking matters were based
upon a thorough comprehension of sound financial principles. He was
held in affection by a large circle of personal friends, who loved him for
his many high traits of character. Mr. Beal's term as Class A director
would have expired December 31, 1923, and the voting member banks
which had elected him in Group I elected Mr. Alfred L. Ripley, President
of the Merchants National Bank of Boston, to fill out the unexpired
term. At the annual election in November, Mr. Ripley was elected as
his own successor, and Mr. Philip L. Allen was re-elected Class B director, both for terms of three years.
The Federal Reserve Board reappointed Mr. Frederic H. Curtiss of
Boston Class C director for a term of three years, and redesignated him
Chairman of the Board and Federal Reserve Agent for 1924.
Member of Advisory Council:—At the meeting of the Board of Directors
held January 11, 1924, Mr. Alfred L. Aiken was reappointed member of
the Federal Advisory Council to represent the First Federal Reserve
District for the year 1924.
Officers and Staff:—In October, 1922, Mr. Charles A. Morss had signified his intention of resigning as Governor of the bank, and his resignation was received with reluctance by the directors as of December 31,
1922. Mr. W. P. G. Harding, formerly Governor of the Federal Reserve
Board, was chosen as his successor and assumed his duties as Governor
of the bank on January 16, 1923.
The only other change in the list of officers of the bank was caused by
the resignation of Mr. Harry A. Saunders, one of the assistant cashiers,
who resigned to pursue a course of studies»at Harvard University. Mr.
Saunders had been in the employ of the bank since November 16, 1914.
It was not deemed necessary to fill the vacancy caused by this resignation.
The total personnel of the bank, including officers, was 759 on December
31, 1923, or a net reduction of 30, as compared with the close of the
preceding year.
Changes in Membership:—There were several changes in the membership of the Federal Reserve Bank of Boston during 1923, one new State
bank being admitted, the Union Trust Company of Ellsworth, Maine,
and the changes during the year resulting in a net reduction of three in
the total membership. Among the important changes were the consolidations brought about in connection with the Commonwealth-Atlantic
National Bank of Boston. This was a union of the Fourth-Atlantic



ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

25

National Bank with the Commonwealth Trust Company on June 30,
both banks having branches, the new institution later absorbing the
Boylston National Bank and continuing the office of the latter in the
wholesale dry goods district. On August 17 the First National Bank of
Boston consolidated with the International National Bank, which had a
few months before converted from the International Trust Company, a
State bank having several branches. The changes during the year are
summarized below.
National and Slate bank membership in district, December 30, IQ22
New National banks established during year
New State member banks admitted during year
Total additions
National banks consolidated with other National banks under the Act of November 7,
1918
Voluntary liquidations:—
Succeeded by another National bank
1
Absorbed by other National banks
2
Not absorbed or succeeded by any other bank
1
Insolvent
State member banks converted into or absorbed by National banks, including one member
bank which was absorbed by a non-member bank and which was succeeded in turn
by a National bank
Total withdrawals
Net withdrawals
Total number of member banks in district, December 31,1923

431

8
1
9
5

4
1
5
15
6
425

Stockholders' Meeting:—A meeting of the stockholders of the Federal
Reserve Bank of Boston, the first of its kind to be held since the establishment of the Federal Reserve system, was held at the bank on December 5. Out of a membership of 423 banks, 326 sent delegates to the
meeting. The meeting was the outgrowth of suggestions made by a
temporary committee of stockholders which had been appointed during
the summer for the purpose of representing New England bankers at the
hearing of the Joint Congressional Committee, inasmuch as it was believed that such a meeting would be conducive to a better understanding
of the Federal Reserve system on the part of the member banks, and
promote and develop that accord of interest and spirit of co-operation
which grows out of a feeling of proprietorship. Resolutions were passed
expressive of the views of the stockholding banks in this district with
regard to certain Federal Reserve problems which were receiving public
attention.
The meeting proved to be of great interest and instructive value to
those present, and the following persons were elected as a Stockholders'
Advisory Committee: Messrs. I. W. Cook, President of the First National Bank of New Bedford, Massachusetts; Henry W. Cushman,
President of the Merrill Trust Company of Bangor, Maine; Arthur M.
Heard, President of the Amoskeag National Bank of Manchester, New



26

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

Hampshire; H. T. Holt, Vice-President of the Hartford-Aetna National
Bank of Hartford, Connecticut; E. A. Onthank, President of the Safety
Fund National Bank of Fitchburg, Massachusetts; C. L. Stickney,
Assistant Cashier of the Vermont-Peoples National Bank of Brattleboro,
Vermont; Thomas H. West, Jr., President of the Rhode Island Hospital
Trust Company, Providence, Rhode Island. A stenographic report of
the proceedings of the meeting has been published by this bank.







APPENDIX




29

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
Comparative statement of condition.

SCHEDULE 1.

[000 omitted]
Dec. 31, 1923 Dec. 30, 1922 Dec. 31, 1921

RESOURCES

$168,271
13,527

$154,613
9,421

$159,910
27,746

Gold held exclusively against Federal Reserve n o t e s . . . .
Gold settlement fund with Federal Reserve Board
Gold and gold certificates held by banks

181,798
32,882
20,078

164,034
28,077
16,036

187,656
42,312
7,117

Total gold reserves
Reserves other than gold

234,758
8,266

208,147
12,730

237,085
14,675

243,024

220,877

251,760

Gold with Federal Reserve Agents
Gold redemption fund with U. S. Treasury

Total reserves
Non-reserve cash

3,520

Bills discounted:—
Secured by U. 8. Government obligations
Other bills discounted
Total bills discounted. .
Bills bought in open market
U. S. Government securities:—
Bonds
Treasury notes.
Certificates of indebtedness
Total U. S. Government securities
Total earning assets
5 per cent redemption fund—Federal Reserve Bank notes
Uncollected items.
Bank p r e m i s e s . . . .
All other resources
Total resources. .

I

i

21,744
45,957

23,675
37,909

21,533
37,638

67,701
38,802

61,584
25,407

59,171
13,149

529
6,697
2,636
9,862

529
6,610
22,454
29,593

539
949 2
9,818
11,306

116,365

116,584

83,626

55,034
4,312
131

422
59,142
4,434
297

422
52,812
4,740
359

422,386

401,756

393,719

$220,115

$201,314

$202,535
6,277

123,637
2,356
117

126,342
534
980

110,760
8,368
1,086

126,110

127,856

120,214

51,609
7,890
16,390
272

47,906
8,126
16,312
242

39,502
'7,936
16,483
772

422,386

401,756

393,719

67.1%

78.0%

$2,511

$2,336

LIABILITIES

Federal Reserve notes in actual circulation
Federal Reserve Banknotes in circulation—net
Deposits:—
Member bank—reserve account
Government
Other deposits
Total deposits
Deferred availability items
Capital paid in
Surplus
All other liabilities
Total liabilities
Ratio of total reserves to deposit and Federal Reserve
note liabilities combined
Contingent liability on bills purchased for foreign

l

Not shown separately prior to 1923.
including Victory Notes.




70.2%

30

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 2.

Earnings and expenses.

1923

1922

1921

$2,320,839
741,384
419,739
9,172
15,549

$1,543,539
591,647
1,391,691
9,777
4,659

$6,007,117
515,192
415,931
13,778
16,644

3,506,683

3,541,313

6,968,662

137,500
895,768
33,323
103,019
378
176
478
6,173
10,022
52,474
1,978

141,000
925,072
34,430
100,932
411
426
250
7,367
9,820
55,241
775

135,500
905,811
31,648
35,233
461
118
200
9,263
8,436
57,218
1,200

26,967
71,248
108,063
25,532
7,258
29,640
28,462
61,784
20,427
8,233
167,097)
33.827J

31,534
49,271
90,900
25,489
1,767
52,772
26,539
74,588
21,169
7,977
186,990

25,220
26,297
47,336
3,110

159,649

236,694
31,439

302,264
88,526
56,749
122,5422

EARNINGS:—

Discounted bills
Purchased bills
United States securities. . .
Deficient reserve penalties.
Miscellaneous
Total earnings.

CURRENT EXPENSES:—

Salaries:—
Bank officers
Clerical staff
Special officers and watchmen
All other
Governors' conferences
Federal Reserve Agents' conferences
Federal Advisory Council
Directors' meetings
Traveling expenses1
Assessments for Federal Reserve Board expenses... .
Legal fees
Insurance (other than on currency and security
shipments)
Insurance on currency and security shipments
Taxes on banking house
Light, heat and power
Repairs and alterations, banking house
Rent
Office and other supplies.
Printing and stationery
Telephone
Telegraph
Postage
Expressage
Federal Reserve currency:—
Original cost, including shipping charges
Cost of redemption, including shipping charges
Taxes on Federal Reserve bank-note circulation
All other expenses
Total current expenses. .

CURRENT NET EARNINGS:—

95,637
22,123
77,141
16,365
10,960

36,294

65,501
38,792
23,871
49,516

2,134,254

2,022,400

2,239,007

1,372,429

1,518,913

4,729,655

x
Other than those connected with Governors' and Agents' conferences and meetings of the
Directors and of the Advisory Council.
includes $73,692 for furniture and equipment, which since 1921 has been charged direct to
profit and loss.




31

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
SCHEDULE 3.

Profit and loss account.
1923

Earnings
Current expenses
Current net earnings
Additions to current net earnings:—
Amounts deducted from reserve for depreciation on
U. S. bonds. . .
All other
Total additions
Deductions from current net earnings:—
Depreciation allowances on bank premises
Furniture and equipment
All other
Total deductions
Net deductions from current net earnings
Net earnings available for dividends, surplus and
franchise tax
Dividends paid
Transferred to surplus account
Franchise tax paid U. S. Government. . .

1922

1921

$3,506,683
2,134,254

$3,541,313
2,022,400

$6,968,662
2,239,007

1,372,429

1,518,913

4,729,655

5,290
20,559

32,100
9,494

43,681
3,894

25,849

41,594

47,575

122,048
20,309
3,786

328,215
133,106
1,784

489,000

146,143

463,105

495,877

120,294

421,511

448,302

1,252,135

1,097,402

4,281,353

480 267
77,187
694,681

481 951
76,568 2
538,8832

I

6,877

473,109
772,324
3,035,920

ilncluded with current expenses prior to 1922.
2
Bank also charged its surplus account and paid the U. S. Government $247,350 as an additional franchise tax for 1921.




32

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 4.

Movement of principal assets and
[000

Bills discounted for member banks
Total
earning
assets

Date

January 3 . .
January 10. .
January 17. .
January 24. .
January 3 1 . .
February 7.
February 14.
February 2 1 .
February 28.
March 7 . . .
March 1 4 . . .
March 2 1 . . .
March 2 8 . . .
April 4 . . . .
April 11
April 18
April 25
May 2
May 9
May 16
May 23
May 29
June 6
June 13
June 20
June 27
July 3
July 11
July 18
July 25
August 1. . .
August 8. . .
August 15. . .
August 22. . .
August 2 9 . . .
September 5
September 12
September 19
September 26
October 3 . . .
October 1 0 . . .
October 17. . ,
October 2 4 . . .
October 3 1 . . .
November 7.
November 14.
November 21.
November 28.
December 5.
December 12.
December 19.
December 26.
Daily average




(2+5+6)

$116,093
96,834
89,276
96,787
95,262
96,830
93,218
101,140
89,302
81,890
94,485
81,489
84,648
74,556
74,397
80,307
60,552
72,168
61,248
70,765
64,384
83,400
65,703
70,910
76,511
71,067
78,205
76,490
65,054
65,725
65,507
71,402
68,525
75,725
83,724
84,711
84,192
69,871
64,846
66,592
62,388
60,026
45,180
59,277
65,420
84,290
85,597
106,760
94,781
107,859
95,167
120,709
81,267

Total

$51,660
38,232
44,994
49,290
51,342
54,133
50,814
59,646
48,565
41,589
49,931
50,112
56,760
47,354
46,796
50,330
34,145
44,687
35,740
44,893
38,127
56,842
42,122
48,704
54,374
48,342
55,207
52,507
43,608
45,322
46,349
53,896
52,479
60,706
69,959
70,200
69,915
56,921
53,215
54,011
49,667
46,042
30,879
40,481
35,630
49,647
50,786
70,235
58,215
70,588
58,545
79,262
52,633

Bills secured
by U. S.
Government
obligations

$20,885
15,334
14,352
20,985
23,857
27,350
27,721
22,774
20,086
19,707
22,072
22,947
24,356
19,670
16,821
15,825
16,695
18,466
17,495
18,863
21,607
26,586
20,802
21,700
20,232
20,713
21,264
21,507
19,888
18,449
18,986
20,443
22,232
23,211
24,286
21,264
20,556
18,225
21,181
19,489
18,900
17,367
14,602
18,249
18,771
19,286
19,468
25,895
23,998
25,586
25,462
27,180

Other
bills
discounted

$30,775
22,898
30,642
28,305
27,485
26,783
23,093
36,872
28,479
21,882
27,859
27,165
32,404
27,684
29,975
34,505
17,450
26,221
18,245
26,030
16,520
30,256
21,320
27,004
34,142
27,629
33,943
31,000
23,720
26,873
27,363
33,453
30,247
37,495
45,673
48,936
49,359
38,696
32,034
34,522
30,767
28,675
16,277
22,232
16,859
30,361
31,318
44,340
34,217
45,002
33,083
52,082

Bills
bought in
open
market

$23,627
19,906
16,183
18,319
14,851
14,585
14,160
12,796
12,545
12,854
17,111
17,196
17,482
17,065
17,428
19,595
20,979
21,911
19,620
20,102
20,318
21,024
19,818
18,267
18,028
18,564
19,166
19,543
16,773
16,512
14,814
12,870
11,771
10,323
10,126
10,748
10,330
9,381
7,578
8,021
8,903
10,247
10,734
14,151
26,185
30,232
30,675
31,910
32,116
32,078
32,095
33,973
17,966

33

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
liabilities during 1923.
omitted]

United
States
securities

Total
cash
reserves

Member
banks'
reserve
deposits

Total
deposits

6

7

8

9

$40,806
38,696
28,099
29,178
29,069
28,112
28,244
28,698
28,192
27,447
27,443
14,181
10,406
10,137
10,173
10,382
5,428
5,570
5,888
5,770
5,939
5,534
3,763
3,939
4,109
4,161
3,832
4,440
4,673
3,891
4,344
4,636
4,275
4,696
3,639
3,763
3,947
3,569
4,053
4,560
3,818
3,737
3,567
4,645
3,605
4,411
4,136
4,615
4,450
5,193
4,527
7,474
10,668

$226,887
232,036
244,102
237,130
238,761
234,504
241,026
236,775
245,861
247,054
242,959
258,240
255,612
264,825
261,314
260,968
273,604
264,502
271,673
267,663
280,487
266,614
280,146
275,987
271,892
276,679
274,142
271,987
283,257
279,896
284,506
281,853
283,866
276,157
271,042
273,351
272,432
281,087
296,906
296,743
297,124
305,474
314,829
309,885
291,403
275,194
264,499
252,761
257,763
248,441
263,938
243,670
267,337




$127,649
129,267
128,061
127,214
125,148
124,649
127,504
121,258
118,175
123,700
123,303
120,424
120,433
123,450
122,921
127,962
124,533
124,822
120,378
126,197
127,730
125,395
124,333
128,854
129,099
122,546
126,991
126,336
129,311
125,056
125,588
123,453
124,741
125,380
125,581
122,361
126,597
122,629
125,504
129,472
123,607
135,624
128,719
133,498
131,139
131,550
124,429
125,791
124,033
127,318
124,219
121,784
125,822

$137,297
133,095
130,458
132,588
128,470
129,076
133,134
129,023
123,666
126,144
128,908
129,700
128,649
130,474
128,772
131,064
126,077
128,227
122,239
127,658
129,751
130,266
128,445
129,876
129,817
126,705
127,324
127,268
130,952
126,207
127,886
125,350
126,416
126,997
129,230
126,340
130,375
127,221
132,895
131,724
125,315
136,836
131,714
135,286
131,989
136,057
126,743
128,508
125,175
128,770
125,109
126,015
129,377

Federal
Reserve
notes in
circulation

10

$207,208
201,717
197,663
195,086
192,349
197,381
198,457
201,331
198,080
202,499
202,290
202,940
203,836
204,987
202,916
203,780
205,295
204,873
205,214
205,230
207,219
211,291
214,846
213,763
214,194
216,027
221,837
222,514
217,089
216,489
219,631
223,142
223,409
222,851
222,895
228,297
227,148
228,208
224,640
229,712
232,514
231,872
226,597
219,718
225,290
222,190
220,369
224,516
228,186
226,417
234,108
234,830
214,619

Reserve
percentages

11

65.9
69.3
74.4
72.4
74.4
71.8
72.7
71.7
76.4
75.2
73.4
77.6
76.9
78.9
78.8
77.9
82.6
79.4
83.0
80.4
83.2
78.1
81.6
80.3
79.0
80.7
78.5
77.8
81.4
81.7
81.9
80.9
81.1
78.9
77.0
77.1
76.2
79.1
83.0
82.1
83.0
82.8
87.9
87.3
81.6
76.8
76.2
71.6
72.9
69.9
73.5
67.5
77.7

34

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 5.

Gold Settlement Fund transactions, 1923.
A

BY MONTHS

Received

Months
January. . .
February. .
March. . . .
April
May
June
July
August
September.
October. . .
November.
December.

$670,649,440.90
552,704,364.85
724,147,000.13
711,740,556.14
737,692,239.88
737,815,770.81
672,471,440.15
605,382,397.92
619,563,128.47
683,427,780.44
708,888,396.41
718,472,430.73

$656,842,567.77
553,603,446.07
720,874,151.69
695,621,492.81
739,700,460.00
747,924,220.43
663,669,051.95
606,735,453.21
605,673,380.07
694,178,818.66
705,302,525.38
748,024,409.11

Total.

8,142,954,946.83

8,138,149,977.15

B

Federal Reserve Banks and others
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
'
San Francisco
Treasurer of the United States.
Federal Reserve Agent
Gold Redemption Fund
Total.




Gain ( + )
Loss (—)

Paid

+$13,806,873.13
—
899,081.22
+ 3,272,848.44
+ 16,119,063.33
— 2,008,220.12
— 10,108,449.62
+ 8,802,388.20
— 1,353,055.29
+ 13,889,748.40
— 10,751,038.22
+ 3,585,871.03
— 29,551,978.38
+

4,804,969.68

BY ACCOUNTS

Received

Paid

Gain ( + )
Loss (—)

$6,012,832,728.43
539,968,042.33
252,462,437.30
154,237,672.27
88,448,784.23
584,139,222.23
139,803,622.50
40,734,499.94
52,532,100.60
43,655,653.13
122,918,383.87
41,221,800.00
25,000,000.00
45,000,000.00

Bo.930,856,168.91
495,012,358.24
267,386,046.15
142,975,103.36
114,843,550.61
511,225,110.17
159,875,528.16
36,240,986.18
47,074,068.61
58,213,535.75
123,735,021.01
140,712,500.00
110,000,000.00

+$81,976,559.52
+ 44,955,684.09
— 14,923,608.85
+ 11,262,568.91
— 26,394,766.38
+ 72,914,112.06
— 20,071,905.66
+ 4,493,513.76
+ 5,458,031.99
— 14,557,882.62
—
816,637.14
— 99,490,700.00
— 85,000,000.00
+ 45,000,000.00

8,142,954,946.83

8,138,149,977.15

4,804,969.68

Volume of discount and open market operations.

SCHEDULE 6.

[000 omitted]

Bills discounted

Months
Total

January.. . .
February...
March
April
May
June
July
August
September..
October. . . .
November..
December. .
Total:—
1923
1922
1921

Secured by
U. 8. Govt. Bankers' Trade
accept- acceptobliances
ances
gations

$261,832
391,595
330,904
235,275
248,762
263,488
295,671
359,755
292,654
231,352
310,025
431,462
3,652,775
2,262,087
4,454,760

1,489,573
714,537
2,361,087




Agricultural
and
livestock
paper

All
other

Total

Bankers' Dollar
exacceptances change

$58
113
124
44
64
206
83
53
124
104
182
1,006

$110,162
170,579
183,554
81,453
107,234
88,068
113,288
180,290
101,525
91,697
111,703
150,020

$152

U. S. securities
purchased

Rills bought in open market

$321
379
330
383
249
360
453
415
387
377
350
335

$151,291 $28,496 $27,586
220,524
25,277
26,062
146,896
31,748
33,236
153,395 25,450
24,743
141,215
16,929
17,769
174,854
25,321
26,146
181,847 22,666
21,391
178,997
13,655
14,555
190,618
13,276
14,771
139,174
22,209
24,304
197,790
32,507
33,892
280,101
34,736
31,065

2,161
1,187
1,905

4,339
4,371
4,027

2,156,702 302,083
1,541,992 261,691
2,087,589 211,703

285,707
253,485
192,643

$910
785
1,488
707
840
825
1,275
900
1,495
2,095
1,385
3,595
16,300
8,206
19,060

Trade
acceptances

$76
76

Bonds
and
notes

Certificates
of indebtedness

1923

1922

1921

$412,511
421,270
381,325
262,317
269,050
299,379
321,388
377,473
321,062
259,512
348,212
487,785

$191,714
325,952
304,764
167,170
129,425
163,809
129,735
184,130
202,769
267,172
365,231
301,980

$521,894
548,590
772,882
384,035
446,190
333,569
209,064
311,774
361,689
269,926
348,528
356,637

176,976 4,161,284
180,936
190,517

2,733,851

$5,637 $116,540
698
2,915
16,666
519
767
825
895
1,624
7,935
1,810
1,292
1,759
1,306
1,857
12,482
1,155
2,642
1,214
1,871
2,424
7,711
13,876
29,450
29,137
7,798

Total discount and
open market operations

4,864,778

Volume of bills discounted for member banks in each State.
Federal Reserve Bank of Boston.

SCHEDULE 7.

(Amounts in thousands of dollars)

Months

January
February
March
April
May
June
July
August
September
October
November
December
Total:—
1923
1922
1921

Number of member banks at end of year:—
1923
1922
1921
Number of member banks accommodated:—
1923
1922
1921
l

Maine

N. H.

Vermont

It. I.

Conn.

Total

$2,596
2,109
4,419
4,072
3,840
5,724
4,266
3,679
2,965
4,700
4,791
5,841

$3,494
3,551
6,306
6,010
6,347
5,858
5,772
4,858
3,999
4,176
5,059
5,292

$1,631
2,039
2,068
2,063
2,525
2,670
2,399
2,191
2,029
2,356
2,671
2,476

$247,757
378,143
310,269
216,482
222,796
233,539
272,868
338,756
273,442
208,464
287,341
405,705

$827
1,394
1,555
1,281
4,448
3,358
1,544
1,391
1,942
2,669
4,551
5,063

$5,527
4,357
6,287
5,367
8,806
12,339
8,822
8,880
8,277
8,987
5,612
7,085

$261,832
391,595
330,904
235,275
248,762
263,488
295,671
359,755
292,654
231,352
310,025
431,462

49,002
42,621
52,765

60,722
40,246
48,790

27,118
21,409
26,739

3,395,562
2,068,564
4,170,612

30,023
16,392
20,649

90,348
72,855
135,205

3,652,775
2,262,087
4,454,760

64
63
63

55
56
50

47
48
49

183
185
192

20
20
20

55
55
56

424
427
436

40
41
40

42
43
46

29
34
36

153
164
166

13
11
13

36
37
40

313
330
341

Figures in this column relate only to that part of the State located in the first district.




Mass.

1

No. of
member
banks in
district
at end of
month

No. of
member
banks
accommodated
during the
month

427
427
428
429
429
427
424
424
423
423
423
424

182
194
223
220
238
244
212
190
199
190
203
225

SCHEDULE 8.

Statement of aggregate earning assets, showing holdings, earnings and average rales, by months.
Investments
(U. S. securities)

Bills purchased

Bills discounted

Aggregate

Months
Actual
monthly
earnings

Average
rate

Average
daily
holdings

Actual
monthly
earnings

Average
rate

Average
daily
holdings

January. .
February.
March
April
May
June
July
August. . .
September
October. .
November
December.

$45,159,041
57,621,860
50,566,899
47,602,692
42,648,187
50,626,487
52,532,749.
56,799,641
63,561,356
47,179,026
50,092,672
67,727,972

$153,548
175,888
188,120
174,367
163,241
187,357
200,857
217,128
235,170
180,542
185,562
259,059

4.00
3.98
4.38
4.46
4.50
4.50
4.50
4.50
4.50
4.50
4.50
4.50

$18,957,950
13,740,821
16,187,595
18,553,524
20,534,917
18,657,628
17,660,274
11,947,885
9,279,60S
10,053,197
27,067,966
32,597,471

$63,971
42,599
55,685
62,051
71,650
63,655
62,766
42,460
31,918
35,741
93,089
115,799

632,118,582

2,320,839

4.41

215,238,836

741,384

4.13

52,632,677
36,393,000
99,581,000
169,926,000

193,403
129,000
501,000
830,000

4.41
4.24
6.03
5.89

17,966,090
16,805,000
9,187,000
27,096,000

01,782
49,000
43,000
134,000

4.13
3.52
5.61
5.81

Actual
monthly
earnings

Average
rate

$101,522
82,535
66,633
31,438
21,022
16,059
15,825
15,726
14,807
15,929
15,060
22,582
129,689,972

419,738

3.93

Average for year:—
1923
1922
1921
1920

10,068,208
37,961,000
19,213,000
25,157,000

34,978
116,000
35,000
46,000

3.93
3.67
2.10
2.20




Average
daily
holdings

Actual
monthly
earnings

Average
rate

$319,041
301,021
310,438
267,856
255,913
267,072
279,447
275,315
281,894
232,213
294,312
397,439

3.87
3.93
4.17
4.32
4.38
4.40
4.42
4.45
4.43
4.46
4.40
4.39

970,447,390

3,481,901

4.28

81,266,975
91,159,000
127,981,000
222,779,000

290,163

4.28
3.87
5.42
5.46

3.62
3.79
3.75
4.12
4.39
4.35
4.46
4.46
3.92
4.67
4.48
4.31

3.97
4.04
4.05
4.07
4.12
4.15
4.18
4.18
4.18
4.19
4.18
4.18

Total.

Average
daily
holdings

294,000

579,000
1,016,000

OJ

38

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 9.

Open market purchases of bankers1 acceptances by classes.

Months

January. . .
February. .
March....
April
May
June
July. .
August. . .
September.
October. . .
November.
December.
Total.

Imports

Exports

Domestic

Dollar
exchange

Total

$9,769,706
12,899,479
17,616,507
12,267,883
8,100,059
14,499,068
10,362,850
5,887,604
6,359,970
8,577,578
16,309,174
10,012,252

$6,822,842
4,531,691
5,907,166
4,735,528
1,872,339
1,849,733
3,226,928
1,219,427
1,193,573
4,763,786
11,617,713
7,347,928

$10,993,424
7,845,422
8,224,499
7,739,031
6,956,351
8,972,211
7,800,973
6,547,927
5,722,987
8,868,176
13,570,827
13,705,023

$910,000
785,000
1,488,440
706,860
840,000
825,000
1,275,000
900,000
1,495,000
2,095,000
2,484,000
3,595,000

$28,495,972
26,061,592
33,236,612
25,449,302
17,768,749
26,146,012
22,665,751
14,554,958
14,771,530
24,304,540
43,981,714'
34,660,203

132,662,130

55,088,654

106,946,851

17,399,300

312,096,9351

includes $10,089,581.37 purchased from Federal Reserve Bank of New York.

SCHEDULE 10.—Amount of Federal Reserve notes issued to the Federal Reserve
Bank of Boston by the Federal Reserve Agent, amount retired and outstanding, and
amount of collateral held by the Federal Reserve Agent against notes outstanding.
Issued to the bank:—
November 16, 1914, to December 31, 1920, inclusive
During 1921
During 1922
During 1923

.

$677,900,000
190,900,000
179,290,000
195,650,000

Total
Retired, unfit for circulation:—
November 16, 1914, to December 31, 1920, inclusive
During 1921
During 1922
During 1923
Returned by bank to Agent Nov., 1914, to Dec. 31, 1923, inclusive

$1,243,740,000
337,265,955
239,837,240
132,996,775
141,342,320
137,190,000

Total
Amount outstanding December 31, 1923:—
In actual circulation
Held by Federal Reserve Bank

988,632,290
220,114,830
34,992,880
255.107.7101

Total
Amount of collateral held by Federal Reserve Agent December 31, 1923,
against Federal Reserve notes outstanding:—•
Gold and gold certificates on hand
In Gold Redemption Fund
With Federal Reserve Board
Eligible paper
Total
Excess of collateral held by Federal Reserve Agent December 31, 1923,
against Federal Reserve notes outstanding:—

35,300,000
14,970,710
118,000,000
168,270,710
106,503,423
274,774,133
19,666,423

l
Does not include $24,700 of fit Federal Reserve notes returned to the Federal Reserve Agent by
the Treasurer of the United States and subsequently reissued to the bank.




Principal assets and liabilities of member banks in selected cities, monthly averages, 1923.

SCHEDULE 11.

[Amounts in thousands of dollars]

Member banks in Springfield, Providence!, New Haven, Hartford, Portland, Fall River, New Bedford and Worcester
Loans and discounts

Bonds and stocks

Secured by
1923

January...
February..
March....
April
May
June
July
August....
September.
October...
November.
December .

United
States
Government
obligations

$6,331
5,874
5,767
5,815
5,324
5,287
5,307
5,074
5,134
5,774
6,206
6,366

Other
bonds
and
stocks

United
Total
States
All other loans
and
obliloans
discounts gations
and
discounts

Total
Other
bonds
and
stocks

Total
bonds
and
stocks

and
investments

Reserve
with
Cash
Net
Fedin
demand
eral
vaults
deposits
Reserve
Bank

Ratio of
Borrow- borrowings
Ratio
r\t
Govern™ Total
lngs to
UI
total
Time
ment
net
Fed?
borrowloans
deposits deposits deposits
eral
ings to
and
Reserve
invest- reserves
Banks
ments

$83,871 $216,158 $306,360 $89,597 $112,094 $201,691 $508,051 $15,613 $25,338 $284,421 $182,988
82,048 220,679 308,601 93,768 111,719 205,487 514,088 15,008 25,186 278,346 187,041
84,132 221,257 311,156 88,074 110,831 198,905 510,061 15,445 24,929 274,499 189,441
86,447 223,862 316,124 88,848 111,038 199,886 516,010 15,825 25,061 280,652 191,641
91,894 220,992 318,210 90,255 112,377 202,632 520,842 15,535 25,002 285,046 194,152
88,523 221,612 315,422 90,679 114,714 205,393 520,815 15,815 25,884 280,786 195,866
87,033 226,731 319,071 90,088 113,365 203,453 522,524 15,760 25,097 281,553 197,739
88,726 227,569 321,369 89,812 112,361 202,173 523,542 15,563 25,475 280,392 200,412
87,465 230,724 323,323 89,373 114,145 203,518 526,841 15,439 26,090 281,226 201,198
88,930 231,371 326,075 90,358 114,294 204,652 530,727 16,276 24,880 285,911 201,916
88,339 229,680 324,225 88,938 117,569 206,507 530,732 16,015 26,264 285,303 201,860
87,030 227,822 321,218 88,739 117,144 205,883 527,101 18,219 25,596 283,423 201,288

$4,302 $471,711
2,237 467,624
3,920 467,860
5,387 477,680
6,614 485,812
5,285 481,937
3,566 482,858
2,276 483,080
2,784 485,208
3,035 490,862
1,433 488,596
1,569 486,280

$8,716
10,161
8,073
7,220
8,589
10,751
10,259
10,450
10,752
9,553
10,714
13,614

1-7%
2.0
1.6
1.41.6
2.1
2.0
2.0
2.0
1.8
2.0
2.6

34.4%
40.3
32.4
28.8
33.5
41.5
40.9
41.0
41.2
38.4
40.8
53.2

$9,194 $70,738 $665,733 $110,995 $11,216 $787,944 $27,604
8,605 (17,260 644,621 111,203
6,913 762,737 32.834
8,313 66,631 624,776 112,734 10,396 747,906 29,391
8,337 67,791 632,179 114,657 13,738 760,574 24,482
8,208 67,830 636,071 116,699 16,405 769,175 21,508
8,817 68,954 642,776 118,663 20,267 781,706 22,821
8,603 69,705 643,701 124,267 23,313 791,281 25,482
8,653 67,120 625,539 128,046 20,240 773,825 32,856
8,322 65,910 621,850 129,561 28,446 779,857 39,005
9,033 70,771 652,434 128,178 26,345 806,957 23,491
8,756 69,698 639,521 128,590 11,600 779,711 28,090
10,757 66,602 620,718 126,809 12,649 760,176 38,554

3.3%
4.0
3.6
3.0
2.6
2.7
3.0
3.9
4.6
2.8
3.4
4.6

39.0%
48.8
44.1
36.1
31.7
33.1
36.6
49.0
59.2
33.2
40.3
57.9

Member banks in Boston
January. . . $13,214 $200,694 $461,636 $675,544 $74,838 $83,172 $158,010 $833,554
February..
11,931 198,006 467,238 677,175 63,916 83,735 147,651 824,826
March....
12,082 190,415 471,105 673,602 60,614 82,961 143,575 817,177
April
10,611 191,277 476,918 678,806 59,846 84,400 144,246 823,052
May
10,595 189,006 485,971 685,572 63,168 84,178 147,346 832,91£
June
10,703 192,756 486,551 690,010 69,964 83,647 153,611 843,621
July
10,831 200,479 492,303 703,613 65,611 78,768 144,379 847,992
August.. . .
9,838 188,168 494,627 692,633 63,709 79,563 143,272 835,905
September.
9,653 185,922 503,198 698,773 67,962 79,644 147,606 846,379
October...
9,937 183,189 504,039 697,165 70,396 81,547 151,943 849,108
November
10,111 175,695 504,067 689,873 65,634 80,798 146,432 836,305
December. 10,204 176,272 504,963 691,439 63,626 75,630 139,256 830,695




Charges to depositors1 accounts in leading New England cities.1

SCHEDULE 12.

[Amounts in thousands of dollars]

1923

Jan.

Feb.

Mar.

April

Bangor
Brockton . . . .
Fall River
Hartford
Holyoke
Lowell
Lynn
Manchester . .
New Bedford.
New Haven. .
Portland
Providence. . .
Springfield. . .
Waterbury. . .
Worcester....

$15,053
21,274
36,650
111,977
17,716
21,819
22,224
19,472
31,147
88,448
37,180
159,503
72,904
32,306
72,631

$12,574
18,931
30,385
99,351
14,656
18,590
19,210
17,240
30,184
74,098
35,255
136,280
61,613
28,325
58,530

$14,552
22,148
32,461
106,385
17,799
22,764
27,845
20,681
33,545
82,609
39,140
151,268
74,143
30,491
70,021

$13,463
22,273
33,734
113,103
18,209
22,916
28,653
21,103
31,730
81,258
36,811
152,708
72,611
37,238
70,719

$14,223
21,200
33,385
113,296
18,657
25,334
28,883
21,430
32,241
92,439
42,854
154,009
77,899
35,527
76,644

Total 2

739,030

636,291

723,704

734,256

766,821

May

Total
1923

Total
1922

July

Aug.

Sept.

Oct.

Nov.

Dec.

$16,121
21,626
32,204
113,833
20,307
25,502
26,774
22,410
34,105
94,274
44,666
162,329
80,530
38,785
80,269

$15,311
17,973
29,163
111,868
17,086
21,768
22,582
21,099
31,114
90,545
42,627
143,654
70,562
32,640
72,134

$14,919
19,810
28,522
99,916
15,567
21,467
28,116
19,625
28,742
87,533
38,783
134,111
65,460
31,082
68,239

$15,015
21,064
31,742
98,234
15,410
20,597
25,569
18,827
26,548
81,601
38,730
127,659
61,471
29,046
62,766

$18,446
25,075
41,453
111,759
19,403
24,230
31,136
20,570
32,132
95,787
46,195
176,754
76,601
33,372
76,075

$14,352
23,883
46,201
110,831
18,222
25,365
28,897
18,257
36,550
87,582
43,438
158,803
69,012
30,213
75,095

$15,837
22,470
37,539
123,901
17,514
21,141
27,389
22,785
34,635
93,899
42,733
169,305
71,097
35,807
76,293

$179,866 $168,193
257,727
362,698
413,499
1,314,454 1,144,067
171,058
210,546
243,704
271,493
296,414
317,278
215,813
243,499
339,760
382,673"
901,221
1,050,073
408,903
488,412
1,826,383 1,638,782
760,804
853,903
340,146
394,832
751,203
859,416

792,169

722,153

682,082

653,215

803,913

762,818

789,875

8,806,3272 7,742,766-'

June

Boston total. . 1,010,748 1,386,926 1,660,192 1,544,707 1,543,889 1,555,083 1,417,938 1,241,476 1,252,337 1,525,206 1,547,452 1,662,039 17,947,993 16,331,158
Grand total 2 . . 2,349,778 2,023,217 2,383,896 2,278,963 2,310,710 2,347,252 2,140,091 1,923,558 1,905,552 2,329,119 2,310,270 2,451,914 26,754,3202 24,073,924=
!The figures as here given have been adjusted from those of weekly reporting periods so as to cover actual calendar months.
Brockton not included in total.

2




ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

41

SCHEDULE 13.— Acceptance liability of all banks in Federal Reserve District No. 1.
Accepted by:—

Dec. 31, 1923 Dec. 29, 1922 Dec. 31, 1921 Nov. 15, 1920 Nov. 17, 1919

$36,753,000
National banks
8,891,000
Other member banks
75,000
Non-member banks
Acceptance corporations
and private b a n k e r s . . . . 17,065,000
Total

$45,311,000
12,519,000

SCHEDULE 14.

$53,479,000
22,280,000
2,172,000

10,803,000

6,049,000

10,193,000

21,338,000

68,633,000

62,784,000

$37,558,000
10,026,000
754,000

$62,276,000
16,102,000
4,627,000

54,387,000

3,124,000

104,343,000

Operations of Federal Reserve clearing system, Boston.
(Figures include cash items only)
[Numbers in thousands; amounts in thousands of dollars]

Months

Items drawn
on
banks
in own district
Amount

No.

Items forwarded
to other F. R.
banks and their
branches
No.

Amount

Items drawn
on
Treasurer of
United States
No.

Amount

Total

No.

Amount

January
February....
March
April
May
June
July
August
September. . .
October
November. . .
December... .

4,621
3,987
4,718
4,612
5,110
5,173
5,190
4,845
4,499
5,388
5,023
5,395

$1,124,629
949,858
1,214,641
1,199,176
1,271,650
1,325,292
1,208,965
1,124,732
1,129,315
1,256,070
1,232,934
1,291,327

232
192
231
223
238
234
239
251
223
241
223
246

$52,890
46,739
63,131
53,901
55,429
55,074
52,122
52,894
54,144
54,334
48,080
51,202

146
131
159
170
169
154
131
131
145
171
166
151

$20,949
14,624
15,702
19,856
16,515
15,649
14,636
15,249
14,359
21,485
15,657
16,273

4,999
4,310
5,108
5,005
5,517
5,561
5,560
5,227
4,867
5,800
5,412
5,792

$1,198,468
1,011,221
1,293,474
1,272,933
1,343,594
1,396,015
1,275,723
1,192,875
1,197,818
1,331,889
1,296,671
1,358,802

Total:—
1923...
1922...
1921...

58,561
50,906
47,164

14,328,589
11,292,190
10,814,383

2,772
2,429
1,978

639,940
573,260
590,863

1,825
1,788
1,688

200,954
217,213
246,099

63,158
55,123
50,830

15,169,483
12,082,663
11,651,345




42

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 15.
City or town

State member banks as of December 31, 1923.
Bank

Date admitted

Connecticut
New Britain
New Haven
South Manchester
Waterbury

New Britain Trust Company
Union and New Haven Trust Company
Manchester Trust Company
Colonial Trust Company

August
December
December
April

Maine
Bangor
Ellsworth
Portland
Sanf ord

Merrill Trust Company.
Union Trust Company. .
Fidelity Trust Company.
Sanford Trust Company.

March
14, 1918
January
8, 1923
March
18, 1918
September 9, 1920

Massachusetts
Arlington
Boston
Do
Do
Do
Do
Do
Do
Do
Do
Do
Cambridge
Do
Fitchburg
Gloucester
Greenfield
Holyoke
Lawrence
Lynn
Newton
Norwood
Salem
Waltham
Winchester
Worcester

Menotomy Trust Company
American Trust Company
Bank of Commerce & Trust Company.
Beacon Trust Company
Exchange Trust Company
Liberty Trust Company. .
Massachusetts Trust Company
New England Trust Company
Old Colony Trust Company
State Street Trust Company
United States Trust Company
Harvard Trust Company
Inman Trust Company
Fitchburg Bank & Trust Company
Gloucester Safe Deposit & Trust Company
Franklin County Trust Company
Hadley Falls Trust Company
Merchants Trust Company
Security Trust Company.
Newton Trust Company
Norwood Trust Company
Naumkeag Trust Company
Waltham Trust Company
Winchester Trust Company
Worcester Bank & Trust Company. . . ,

November
August
January
January
September

8, 1918
31, 1917
21, 1921
15, 1918
14, 1920
May
1, 1918
December 10, 1920
December 10, 1918
August
24, 1915
January
26, 1918
April
9, 1918
March
6, 1918
May
10, 1921
July
26, 1917
June
4, 1919
April
21, 1919
January
19, 1918
February 27, 1918
September 25, 1918
November 5, 1917
August11, 1917
September 25, 1918
April
3, 1919
May
29, 1917
December 26, 1917

Rhode Island
Providence.
Do. . . .
Do. . . .

Industrial Trust Company
Rhode Island Hospital Trust Company
Union Trust Company

November 9, 1917
March
13, 1918
September 13, 1918




21, 1918
8, 1917
30, 1918
6, 1918

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
SCHEDULE 16.

Changes in membership in District No. 1, 1923.

City

Name of bank

Date of change
1923

Waterbury, Conn

Citizens National Bank. . January 3
Manufacturers Nat. Bank

Ellsworth, Me
Lyndonville, Vt
Boston, Mass

Union Trust Company.. . January 8
Lyndonville Nat. Bank . . January 15
National Security Bank.. February 1

Brattleboro, Vt

Peoples National Bank... February 2
Vermont National Bank..

New Haven, Conn

Nat. Tradesmens Bank. . March 19

Boston, Mass

Federal National Bank. . . March 20

Lowell, Mass

Middlesex National Bank March 31

Lynn, Mass
Boston, Mass

State Nat. Bank in Lynn. April 21
So. Boston National Bank April 20

Boston, Mass
"Warren, Mass

Metropolitan Trust Co.. . April 28
First National Bank
May 15

Boston, Mass

Commonwealth Nat. Bank May 21

Boston, Mass

Commonwealth National June 30
Bank
Fourth-Atlantic National
Bank
International Nat. Bank. June 15

Boston, Mass

New Bedford, Mass.. . . Safe Deposit Nat. Bank. . July 2
Boston, Mass

43

South Boston National July 28
Bank
Federal National Bank..

Lynn, Mass
State Nat. Bank of Lynn. July 28
Boston, Mass. . . . . . . . International Nat Bank \ugust 17.
First National Bank
Boston, Mass

Boylston National Bank. . August 17

Boston, Mass

Hub Trust Company. . . . December 7

Springfield, Mass

Atlas National Bank




December 31

Reason

Banks consolidated,
forming Citizens and
Manufacturers National Bank.
New member.
In liquidation.
Absorbed by Commercial National Bank.
New title, Commercial Security National Bank.
Banks consolidated,
forming VermontPeoples
National
Bank.
Title changed to National and Trust
Bank Tradesmens
Company.
Conversion of Federal
Trust Company.
Conversion of Middlesex Safe Deposit and
Trust Company.
New bank.
Conversion of South
Boston Trust Company.
Absorbed by Federal
Trust Company.
Being liquidated by the
Comptroller of the
Currency.
Conversion of Trust
Commonwealth
Company.
Banks consolidated,
forming Commonwealth-Atlantic National Bank of Boston.
Conversion of International Trust Company.
Conversion of New
Bedford Safe Deposit
& Trust Company.
Banks
consolidated
under name of Federal National Bank
of Boston.
In liquidation.
Banks
consolidated
under name of The
First National Bank
of Boston.
Absorbed by Commonw e a i oh -a l t lBank,
N a t l t n A a n t ic
Boston.
Title changed to Bank
of Commerce and
Trust Company.
Conversion of Atlas
Trust Company.

44

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON
Resources of member and non-member eligible State banks.1

SCHEDULE 17.

Member State banks

Non-member State banks

States
No. Capital
Connecticut
Maine
Massachusetts. . .
New Hampshire. .
Rhode Island
Vermont
Total.
J

Surplus

Resources

$1,850,000 $1,550,000 $26,905,000
1,100,000 950,000 31,922,000
22,400,000 24,780,000 485,886,000
8,000,000 11,000,000 216,992,000
33,350,000 38,280,000 761,705,000

No. Capital

Surplus

Resources

32 $7,505,000 $5,337,000 $106,909,000
3,420,000 2,488,000 78,242,000
39
55 10,900,000 10,175,000 182,881,000
16,782,000
10
705,000
851,000
14,508,000
5
875,000
863,000
30 2,251,000 2,093,000 59,679,000
171 25,656,000 21,807,000 459,001,000

Data compiled from latest available reports of State Bank Commissioners.

SCHEDULE 18. — Member banks authorized to accept drafts and bills of exchange up to
100 per cent of their capital and surplus.
City or town

Connecticut
Hartford
Do
New Haven
Norwich

Bank

Hartford-Aetna National Bank
Phoenix National Bank
First National Bank
Thames National Bank

Maine
Portland
Do
Massachusetts
Boston
Do
Do
Do
Do
Do
Do
Do
Do
Do
Do
Do
Dedham
Fall River
Fitchburg
New Bedford....
Do
Springfield
Worcester

American Trust Company
Beacon Trust Company
Citizens National Bank
Commonwealth-Atlantic National Bank
First National Bank
Merchants National Bank
National Shawmut Bank
National Union Bank
Old Colony Trust Company
Second National Bank
State Street Trust Company
Webster & Atlas National Bank
Dedham National Bank
Massasoit-Pocasset National Bank
Safety Fund National Bank
First National Bank
Safe Deposit National Bank
Springfield National Bank
Merchants National Bank

Rhode Island
Providence
Do
Do
Do

Blackstone Canal National Bank
Merchants National Bank
National Bank of Commerce
Providence National Bank

Canal National Bank
Portland National Bank




Capital and
surplus
as of
Dec. 31, 1923
$4,000,000
2,000,000
1,700,000
1,600,000
1,000,000
600,000

Date of
authorization

October
July
August
August

29, 1917
1, 1918
3, 1920
5, 1919

July
June

3, 1919
24,1919

3,500,000 June
2,800,000 May
1,125,000 May
7,500,000 June
30,000,000 April
5,000,000 March
16,000,000 June
2,000,000 December
16,000,000 May
5,000,000 January
4,500,000 January
2,000,000 July
300,000 April
1,000,000 November
1,000,000 October
1,000,000 December
800,000 July
1,000,000 Januarv
2,500,000 May
1,000,000
2,000,000
1,700,000
1,000,000

July
November
December
December

8, 1921
8, 1918
2, 1923
30, 1923
14. 1915
30, 1916
7, 1915
11, 1917
25, 1916
27, 1916
25, 1918
28, 1916
11, 1918
13, 1917
5, 1917
18, 1919
2, 1923
25, 1918
4, 1916
12, 1917
7, 1918
24, 1919
17, 1918

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

45

SCHEDULE 19. — Banks authorized to exercise fiduciary powers under the Federal
Reserve Act.
[As of December 31, 1923]
NOTE.—The Federal Reserve Board has authorized the National banks of this district
listed below to exercise one or more fiduciary powers as follows:
(1) Trustee.
(2) Executor.
(3) Administrator.
(4) Registrar of Stocks and Bonds.
(5) Guardian of Estates.
(6) Assignee.
(7) Receiver.
(8) Committee of Estates of Lunatics.
(9) Any other fiduciary capacity in which State banks, trust companies or other corporations which come into competition with National banks are permitted to act under the
laws of the State in which the National bank is located.
The numerals opposite the name of each bank, which refer to the list given above, indicate
the power or powers it is authorized to exercise.
City or town

Bank

Powers granted

Connecticut
Ansonia
Bristol
Hartford
Do
Do
Meriden
Middletown. . . .
Naugatuck
New Britain. . . .
New Haven. . . .
Do
Do
Do
Do
New L o n d o n . . .
Do
Norwich
Rockville
Do
Torrington
Wallingford. . . .
Waterbury
Do

Ansonia National Bank
Bristol National Bank
First National Bank
Hartford-Aetna National Bank
Phoenix National Bank
Home National Bank
Middletown National Bank
Naugatuck National Bank
New Britain National Bank
First National Bank
Merchants National Bank
National Tradesmen's Bank
New Haven Bank, N. B. A
Second National Bank
National Bank of Commerce
New London City National Bank
Thames National Bank
First National Bank
Rockville National Bank
Torrington National Bank
First National Bank
Citizens and Manufacturers National Bank
Waterbury National Bank

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

Maine
Auburn
Bangor
Bar H a r b o r . . . .
Bath
Belfast
Biddeford
Damariscotta. . .
Lewiston
Norway
Portland
Do
Do
Waterville

National Shoe and Leather Bank
First National Bank
First National Bank
Bath National Bank
City National Bank
First National Bank
First National Bank
Manufacturers National Bank
Norway National Bank
Canal National Bank
First National Bank
Portland National Bank
Ticonic National Bank

Ito7
1, 2, 4
1 to 4
1 to 8
1 to 8
1 to 9
1, 2, 3, 5, 6
1 to 5, 9
1 to 8
1 to 9 •
1, 2, 4
It 2, 4
1 to 4

Massachusetts
Adams
Do
Amherst
Attleboro
Beverly
Boston
Do
Do
Do
Do
Do

First National Bank
Greylock National Bank
First National Bank
First National Bank
Beverly National Bank
Citizens National Bank
Commonwealth-Atlantic National Bank. . . ,
Federal National Bank
First National Bank
Merchants National Bank
National Shawmut Bank

1 to 8
1 to 7, 9
1 to 9
1 to 9
1 to 4
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9




46

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 19, Continued. — Banks authorized to exercisefiduciarypowers under the
Federal Reserve Act.
[As of December 31, 1923]
City or town
Massachusetts—Con tinued

Boston
Do
Do
Brockton
Do
Edgartown
Fall River
Do
Do
Fitchburg
Foxboro
Gardner
Gloucester
Great Barrington
Greenfield
Haverhill
Do
Do
Holyoke
Do
Hudson
Lawrence
Leominster
Do
Lowell
Do
Lynn
Do
Do
Marlboro
Do
Methuen
Milford
Nantucket
New Bedford
Do
Do
Newburyport
North Adams
Northampton
Do
Pittsfield
Do
Plymouth
Do
Provincetown
Reading
Salem
Shelburne Falls
Southbridge
Springfield
Do
Do
Do
Tisbury
Turners Falls
Uxbridge
Wareham
Watertown
Webster
West Newton
Woburn
Worcester
Do
Yarmouthport

New Hampshire
Berlin
Claremont
Do
Concord




Bank

Powers granted

National Union Bank
Second National Bank
Webster & Atlas National Bank. .
Brockton National Bank
Home National Bank
Edgartown National Bank
Fall River National Bank
Massasoit-Pocasset National Bank
Metacomet National Bank
Safety Fund National Bank
Foxboro National Bank
First National Bank
Cape Ann National Bank
National Mahaiwe Bank
First National Bank
Essex National Bank
First National Bank
Merrimack National Bank
City National Bank
Holyoke National Bank
Hudson National Bank
Bay State National Bank
Leominster National Bank
Merchants National Bank
Appleton National Bank
Old Lowell National Bank
Central National Bank
Manufacturers National Bank . . .
National City Bank
First National Bank
Peoples National Bank
National Bank of Methuen
Home National Bank
Pacific National Bank
First National Bank
Merchants National Bank
Safe Deposit National Bank
Merchants National Bank
North Adams National Bank
First National Bank
Northampton National Bank
Agricultural National Bank
Pittsfield National Bank
Old Colony National Bank
Plymouth National Bank
First National Bank
First National Bank
Merchants National Bank
Shelburne Falls National Bank. . .
Southbridge National Bank
Chapin National Bank
Chicopee National Bank
Springfield National Bank
Third National Bank
Martha's Vineyard National Bank
Crocker National Bank
Blackstone National Bank
National Bank of Wareham
Union Market National Bank. . . .
First National Bank
First National Bank
Woburn National Bank
Mechanics National Bank
Merchants National Bank
First National Bank of Yarmouth .

1 to 9
1 to 9
1 to 9
1 to 9
1 to 4
1 to 3
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
1 to 9
4
1 to 4
1 to 4
1 to 4
1 to 4
1 to 9
1 to 9
1 to 4
1 to 7, 9
1 to 9
1
1 to 8
Ito9
1 to 5, 7
1 to 4
1 to 9
1 to 8
1 to 4
1 to 9
1 to 9
1 to 9
1 to 9
1 to 8
1 to 9
1 to 9
1 to 9
1 to 9
1 to 7, 9
1 to 5
1 to 4
1 to 9
1 to 4
1 to 9
1 to 7, 9
1 to 9
1 to 9
1 to 9
1 to 8
1 to 9
1 to 8
1 to 7, 9
1 to 4
1 to 4
1 to 4
1 to 4
1 to 9
1, 2, 3, 6, 7, 9
1 to 4
1 to 9
1 to 9

City National Bank
Claremont National Bank
Peoples National Bank
First National Bank

1
1 to 4
1
1 to 9

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

47

SCHEDULE 19, Concluded. — Banks authorized to exercisefiduciarypowers under the
Federal Reserve Act.
[As of December 31, 1923]
City or town

Bank

Powers granted

New Hampshire—Continued
Concord
Do
Dover
Do
Keene
Do
Laconia
Manchester
Do
Do
Milford
Nashua
Do
Newport
Wolfeboro

Mechanicks National Bank. .
National State Capital Bank.
Merchants National Bank. . .
Straff ord National B a n k . . . .
Ashuelot National B a n k . . . .
Keene National Bank
Peoples National Bank
Amoskeag National Bank. . .
Manchester National Bank .
Merchants National Bank. .
Souhegan National Bank. . .
Indian Head National Bank .
Second National Bank
Citizens National Bank. . . .
Wolfeboro National Bank. .

4
4
to 3
to 4
4
to 4
4
4

Rhode Island
Newport. .
Providence.

Aquidneck National Bank. . .
National Bank of Commerce.

1 to 9
1 to 9

Vermont
Barre
Bellows Falls
Bennington
Do
Brandon
Brattleboro
Montpelier
Poultney
.Rutland
N
Do
Springfield
St. Albans
St. Johnsbury
Windsor

Peoples National Bank
National Bank of Bellows Falls. ,
County National Bank
First National Bank
First National Bank
Vermont-Peoples National Bank.
First National Bank
Citizens National Bank
Baxter National Bank.
Clement National Bank.
First National Bank
Welden National Bank.
First National Bank.
State National Bank.

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

,




4
4
to 3
4
4
4

BOSTON

MONEY

NINETY

DAY

1917

19 16

( P r e v a i l i n g

1 9




9 I 5

19 16

MARKET

MATURITIES

M o n t h l y

R a t e )

1919

19 2 0

I 92

19 2 2

19 2 3

B r o k e r s ' C o m m e r c i a l Paper
Di scou nt - Federal Reserve Bank of Boston
Bankers' Acceptances
U.S.Certificates of Indebtedness
*(Yield at par previous to development of open market
in May, 1920)

Money rates in Boston, 1922 and 1923.1

SCHEDULE 20.

Months
1922

Brokers'
demand
loans

90 days
or under

January. .
February.
March. . .
April. . . .
May

41-5

June.

41
44
41
41

July
August. . .
September
October. .
November
December.

5 -51
5 -51
51

Over
90 days

51-6
51-6

5
5
5

Commercial paper

Time
paper
secured

5J-6
51-61
51-61
5 -54
51-61
44-54
44-54
5 -54
5 -54
5 -54
5 -6
5 -6

5i-6
4J-5
5 -6
44-5|
44-54
41-54
5 -54
5 -54
5 -0
5 -6

Discounted
90 days
or under

4

5 -6
5 -6

44-5J
41-5
4i-54
44-51
4J-5
41-5
44-54
41-54
41-54

Purchased

Over
90 days

90 days
or under

4f-5|
4|-5
41-5
41-5
4i-4f
4 -44
4 -41
4 -41
4 -44
41-44
44-4i
44-5

4J-51
4|-5
44-51
4i-4|
4 -44
4 -44
4 -44
1H
Mi

4J-5
4f-54
51-5}
5 -54
5 -54
5 -54
5 -54
5 -54
5 -54
51-54
5 -54
5 -51

41-5
41-4J
4$-5
5 -51
4J-5
4f-51
5 -51
5 -51
5 -54
5 -54
5 -5}
4}-5

Year
money

Town
notes

Over
90 days

54-6
51-61
5 -6
5 -54
44-5
41-54
41-54
44-5
41-5
44-54
5 -54
5 -54

Bankers'
Bank
acceptances un- borrowings
endorsed

5 -6

44-41
44-5

1-41
1-41

3Hi

34-31
f
|

-31
-3|
i-3f
4-4 i

54-54
5 -54
5 -54
44-5
44-5
41-51
44-5
4J-4f

44-5
44-51
5
41-51

Loans
secured
by U. S.
war
obligations

5 -54
5 -51
5
44-5
44-5
44-5
44-5
4i-4|
44-5
44-5
4|-5
4f-5i

51
51
5 -51
5
4f-5
4|-5
4J-5
44-5
5
51
51
5 -51

1923
January. .
February.
March. . .
April. . . .
May
June
July
August. . .
September
October. .
November
December.

5
5
5
5
5
5
5
5
5
5
5
5

-54
-54
-54
-54
-54

'Period ending the 15th of each month.




5 -54
5 -6
54—6
54-6
5|-6

54-6
54-6
5i-5|
54-6
5i-5|
51-6
54-0

5 -54
5 -6
54-6
54-6
54-6
54-6
54-6
5i-5|
54-6
51-6
51-6
61-6

4|-5
4|-54
5 -54
5 -54
5 -54
5 -54
5 -5}
5 -54

5
5
5
5

—54
-54
-54
-51

ii

4 -4|
4 ~4|
4 -41

4Ml
4 -4J
4*
4Ml
4M1
4 -41
4MJ

44-5

41-5
5 -54
5
5
5 -54
5
5 -54
5 -54
5 -54
5 -51
5

5
51
51

51
51
51
51

4i-44
4 -4|
31-41
4 -4 f
4Mf

4 Ml
4Mt
4i-4|
4MI
41-4f

41-41
41-41

41
44-4}
51
51
5
5
4|-5

51
6*
51
51
51

50

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

SCHEDULE 21.

Discount rates, Federal Reserve Bank of Boston, 1914-1923.

AgriCommercial cultura Trade
paper, member and livi accept
banks' collatstock
ances
eral notes
paper

Commodity
paper

Secured by
Government
war
obligations

Secured by
United States
certificates of
indebtedness

15
days

15
days

Bankers' ac
ceptances

Date

91 days
15 days 16 to to six 90 days 90 days
or less 90 days months or less or less

1914
Nov.
Nov.
Dec.
Dec.

16 to
90 day

16 to 90 days
90 days or less

16
20
17
31

1915
Feb.
3
June
18
July
3
Aug.
9
Sept.
Sept.

31
Si

1916

Jan.
Feb.
July
Sept.
Dec.

13
21
20
18
7

1917
March
June
June
Dec.
Dec.

21
12
26
5
12

i
31 5
31'
49

46
46
46
4s
410

31
3
Si
31

3?

4
4
4
4-1
5

1918
Jan.
7
April
8
Oct.
1

31

4

3*
3J
31

4
4 ?,'•-

i
41

4
4J

41

4i
4J-41"
41-41"

4;

41

41

4!
51
5}
6

4|
6
6
7

1921
April
15
July
21
Sept.
23
Nov.
4

6
51"
516

1922
June
23

4

1923
Feb.
23

41^

1
Paper
2
Paper
3

3'
aj
4
4

4i
4-4113

5
4|

1919
Feb.
15
Nov.
4
Dec.
12
1920
Jan.
3
Jan.
23
Feb.
27
June
4

31
Si
Si

416

41

6
516

416

41"

maturing up to 30 days, 51 per cent.
of maturity, 16-30 days, 5 per cent; 31-60 days, 51 per cent.
Paper maturing up to 30 days, 41 per cent.
fPaper of maturity, 16-60 days, 4 per cent.
6
Paper of maturity within 10 days, 3 per cent.
6
Paper maturing up to 30 days, 31 per cent.
'Applies only to member banks' collateral notes; paper of maturity within 10 days, 3 per cent.
8
Paper of maturity, 11-30 days, 31 per cent.
'Applies only to member banks' collateral notes; paper of maturity within 10 days, 31 per cent.
10
Paper of maturity, 11-30 days, 4 per cent.
uRates merged with those applicable to commercial paper of corresponding maturity.
12
Within 15 days, 4 per cent.
13
October 1, 1918, to February 15, 1919, 4 per cent on customers' notes carrying coupon rate of
interest and secured by Fourth Liberty Loan bonds.
"Discount rate corresponds with interest rate borne by certificates of indebtedness, pledged as
collateral within limits shown.
l6
Rate discontinued.
16
 apply on loans secured by United States Treasury notes.
Rate to
"Special rate of 5 per cent on 6-9 months' paper inaugurated on April 7, 1923.
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

51

ANNUAL REPORT OF FEDERAL RESERVE BANK OF BOSTON

S C H E D U L E 22. — Number of officers and employees classified by departmental functions,
December 31, 1923, and December 30, 1922.
Employees
General departmental
functions

Officers

Federal Reserve Agent's functions. .

General executive and overhead
Note i s s u e . . . .
Bank examination
Financial statistics

Operating

....

Total
1922

....

380

364

744

759

789

2

18

13

31

33

36

2

1
1
5
2
4
5

2
1

5
2

5
2

4
1
1
2

3
2
7
6
5
6
2

6
5
6
2

9
5
6
2

....
functions

....

Money.
Transit...
Discount
Collateral
Collection
Wire transfer. .

Total
1923

15

ALL DEPARTMENTS

Credit
Library

FeMales males Total

....

2

7

7

9

325

315

640

649

609

5
1

119
20

41
108

160
128

165
129

152
139

135
6

105
10

240
16

241
17

193
19

40
10

42
11

1
1
1

22
5

17
5

39
10

.

25
4

41
6

41
6

45
8

1

*>4

33

57

58

124

1

Fiscal Agency functions

....

16
2

3
21

3

4

3

33

54

54

121

13

3

16

19

20

...

All other. .
3
3
All other




3
13

3

16

3

16

17