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Jn% tsIssue: Monetary Pottcy and the Economy District Business Highlights SixtfiDiStnd'Statistics: Condition of 27 Member Banks in Leading Cities Debits to Individual Demand Deposit Accounts Department Store Sales and Inventories Instalment Cash Loans Retail Furniture Store Operations Wholesale Sales and Inventories SixthV&ritfIndexes: Construction Contracts Cotton Consumption Department Store Sales and Stocks Electric Power Production Furniture Store Sales and Stocks Manufacturing Employment Manufacturing Payrolls Nonfarm Employment Petroleum Production Turnover of Demand Deposits DISTRICT BUSINESS HIGHLIGHTS Personal income in the first quarter exceeded both that of the preceding quarter and a year earlier, although manufacturing employment did not increase. Consumer spending is continuing high. Bank loans and deposits have increased further, and as reserve positions of member banks eased somewhat, their borrowings from the Reserve Bank declined. Personal income is running ahead of last year in each District state. Nonfarm employment changed little in March from the record of the preceding two months. Manufacturing employment showed a slight decline. Manufacturing payrolls declined slightly further in March. Production of crude oil in coastal Louisiana and Mississippi rose to a new high in March, and activity in District steel mills continues to hold at near capacity. Construction contracts awarded rose further in February but changed little in March. Both residential and nonresidential awards in the first three months of this year were above the same period last year. New and expanded manufacturing plants were announced in record number in the first three months of this year, but the value of the projects was the lowest in two years. Textile activity, as measured by seasonally adjusted cotton consumption, changed little in March from February’s low. Mill employment declined, and the average work-week was reduced further. Income payments to agriculture in the first quarter were slightly below those in the like period of 1956, largely because of declines in Florida and Mississippi. Output of vegetables is lower than last year, but citrus output is slightly greater. Prices of eggs and broilers declined during April and are below those of last April; prices of beef and pork are higher. The peach crop is forming well and probably will top last year’s by a large margin. Fewer acres of cash crops will be planted this year, largely because of the acre age farmers placed in the soil bank. Wet weather slowed field work and planting but promoted growth of pastures and early vegetables. Farm real-estate values increased between July and November last year, espe cially in Florida; year-to-year gains for November were substantial. Spending by check, as measured by seasonally adjusted bank debits, declined in March from the all-time record reached in February. Department store sales in April, after adjustment for the changing date of Easter and trading day differences, exceeded both the previous month and the same month a year earlier. Furniture store sales, seasonally adjusted, were below those of February as well as those of March 1956. Consumer instalment credit outstanding grew throughout the first quarter and at the end of March was somewhat above a year ago. New car registrations in February were slightly below the January number but considerably above February 1956. Total loans at commercial banks rose a little more than seasonally in March. Seasonally adjusted deposits at member banks increased during March and apparently rose further in April. Interest rates charged by selected banks in Atlanta and New Orleans on short term business loans increased slightly between December and March. Reserve positions of member banks during April eased somewhat, and bor rowings from the Federal Reserve Bank of Atlanta declined to levels below that of excess reserves. . 2 • Monetary Policy and the Economy Monetary policy decisions in 1956 were made against a background of an economy pressing against capacity. Spending in many sectors increased more than goods and services did, forcing prices to rise, and demands for credit, which further boosted spending, were greater than savings could supply. More credit, however, would have produced little more goods and would have pushed prices up even further. Actions of the Federal Reserve System, there fore, were designed to keep money and credit from ex panding too rapidly by restricting the supply of bank reserves. Federal Reserve Policy in 1956 Although monetary actions in 1956 were continually di rected toward credit restraint, the Federal Reserve System modified its policy from time to time. Whenever uncer tainties developed in the economic outlook, the System moderated the degree of restraint somewhat. On the other hand, it tightened the reins whenever it appeared that the economy was becoming too exuberant. Last spring, businessmen revealed that they were going to spend more for plant and equipment than they had previously indicated, and they began borrowing more heavily from commercial banks. Moreover, there were indications of a future increase in consumer spending; and prices were moving upward. Ten Federal Reserve Banks, therefore, including the Atlanta Bank, increased the discount rate in April from 2y2 to 2% percent; the other two raised it from 2 ^ to 3 percent. Production and employment, which had slackened somewhat in early summer, picked up again sharply after the steel strike was settled in July. Interest rates likewise advanced, and credit demands continued large. Higher wages and prices of steel and machinery led some ob servers to fear that a wage-price-spiral might be develop ing. In this environment, the ten Reserve Banks that still had a 2% percent discount rate in August increased it to 3 percent. For the year as a whole, open market operations re sulted in a slight increase in reserves. From time to time, however, the System sold securities, which had the effect of absorbing reserves that banks had gained from seasonal and other factors; on other occasions, the Sys tem helped meet seasonal needs by purchasing securities. Impact on Commercial Banks In adjusting to Federal Reserve policies, some member banks continued to borrow from the Federal Reserve Banks in 1956. Throughout the nation, these borrowings averaged greater than the year before, but in this District, they were no greater than in 1955. In general, however, member banks had to satisfy the strong loan demand largely by selling securities. Nevertheless, bankers sold less securities than in 1955, partly because they felt that the securities they had already sold had reduced their liquidity as much as they deemed desirable. In 1954, member banks throughout the nation had, on the average, 55 percent of their total assets in cash, balances with other banks, or Government issues that can be quickly turned into cash. By mid-1956, such assets had declined to 47 percent of the total, and loans made up a larger proportion than in 1954. District banks showed a more favorable liquidity position in mid-1956 than banks throughout the nation. Banks’ increasing reluctance to sell investments was influenced by the behavior of security prices. Between the summer of 1954 and end of 1956, prices of Treasury issues, especially the longer maturity issues, declined almost steadily. Since many banks had exhausted their short-term obligations by late 1955, they realized in creasingly greater losses on sales of their relatively longer Treasury issues. The narrowing in differentials between yields on investments and interest rates on loans also diminished the incentive to shift to loans, especially since loans frequently involve greater credit risks. Bankers, therefore, probably scrutinized more carefully the loan requests of their regular customers and were increasingly reluctant to accommodate new ones. Accompanying the slackening in the loan expansion and security liquidation was a slowing down in the growth of the money supply. Demand deposits plus cur rency outside banks rose slightly less than one percent last year, compared with about 3 percent in the two pre ceding years. Other Effects of Tight M oney While the growth in the money supply slackened, the public used its money more actively; that is, the same deposits did more work. Many businessmen found it in creasingly attractive to keep their bank balances to a minimum because of the yields available on short-term securities. Others managed with less borrowing by drawing down their bank accounts. Corporations needed a great deal more money to finance inventories, receivables, and plant and equipment than they could get by economizing cash or by using funds set aside for such purposes or by borrowing from banks. They obtained over 10 billion dollars from selling securities last year, which was appreciably more than in any previous year. With demands for credit greater than savings could supply, interest costs increased almost steadily throughout 1956 and, as a consequence, some would-be borrowers decided to postpone or forego their financing plans. The amount of proposed security issues that was postponed was apparently larger for state and local governments than for corporations, partly because administrative limita tions kept would-be state and local government bor rowers from paying the rates set by the market. A sizable number of previously postponed issues, however, was sold, and state and local governments still spent more money for schools and other facilities in 1956 than in 1955. • 3 • How System Policy Affected Banks in 1956 and 1957 Mortgage lenders reduced the flow of funds into Fed erally insured or guaranteed mortgages carrying rela tively lower fixed interest rates and increased their ac quisitions of conventional mortgages on which yields were growing increasingly attractive. Conditions in 1957 Bank Reserves Rose Only Slightly, After Sea^ sonal Adjustment . . . And Liquidity Positions Continued to Weaken. To Meet the Increased Loan Demand, Banks Had to Sell Government Securities . . . 1954 1955 1956 1957 But This Became Somewhat Less Profitable. Economic conditions thus far in 1957 have in many ways been similar to those in late 1956. Consumer prices, employment, output, and spending have reached or stayed near record highs, and a few economic sectors that were weak last year have continued so. Some additional soft spots appeared, notably cutbacks in appliance production and reductions in raw material prices to pre-Suez levels. Advances in inventories and plant and equipment expendi tures have slowed down and retail sales have declined slightly, which have caused some observers to conclude that the economic expansion has stopped. Mindful of rising wages and Government spending, others are still worried about inflation. There is also disagreement over what the behavior of bank loans means. In the first quarter of 1956 business loans at all commercial banks increased 1.3 billion dollars; in 1957, they rose only 300 million. At that time of year, however, loans have declined more often than they have increased. Interest rates charged by banks on business loans have stabilized and money rates have shown a declining trend since late December. Some persons say that reduced liquidity positions made banks increasingly reluctant to make new loans. Others explain that the inventory slow-down and less buoyant economic condi tions brought about the decline in the rate of loan growth. What the easier tone in the capital market means has also been interpreted in various ways. Despite a record-breaking volume of capital issues for this time of year, yields on outstanding corporate, municipal, and Treasury obligations so far in 1957 have been somewhat lower than in late 1956. It has also become somewhat easier to sell corporate and municipal issues than it was last winter. Greater uncertainty about the economic outlook was responsible for the change in bond markets and the somewhat less enthusiastic behavior of stock prices, according to some observers. Others view these events merely as a technical correction between yields of bonds and stocks. Discount rates, which when changed are often heralded as the Reserve System’s way of recognizing a fundamental change ifl business or credit conditions, have not been changed further in 1957. Open-market operations, mean while, have been carried on in the light of seasonal factors and other circumstances. During January and February, the System reduced its holdings of total Government securities by 2 billion dollars. In March and early April, open-market operations did not supply enough reserves to take care of the increase in required reserves accom panying the growth in bank credit and the drain on re serves from other factors. As of late April, reserve posi tions of banks were roughly comparable to those pre vailing in early autumn 1956. H arry B ran dt • 4 • Bankers Finance Intermediate-Term Farm Investments District farmers are finding that they need more credit as they change their farming methods. Expenditures for current production costs as well as farm investments have grown rapidly in recent years. From 1949 to 1955, for example, annual farm expenses increased from 1.2 billion dollars to 1.6 billion dollars, and in the same period farm capital depreciation, or capital consumption, moved up from 200 million to 350 million dollars annually—a gain of 75 percent. Those gains have prompted farmers to ask credit institutions for an increasing volume of loans even though they have been able to maintain compara tively high equities in their businesses. Furthermore, they are requesting a different type of credit than formerly. The growth in use of machinery and equipment and in livestock enterprises has brought an expansion in the need for credit to finance intermediate-term investments. Farmers, agricultural research and extension workers, and others concerned with the progress of agriculture have frequently criticized the credit policies of commercial banks, especially those relating to financing intermediateterm farm investments. Those critics readily acknowledge the effectiveness of lending practices with respect to both short- and long-term loans, but they suggest that com mercial bankers do not provide intermediate-term loans of adequate size and maturity to finance purchases of livestock and machinery and other capital equipment needed in modern fanning. Despite the criticism, however, bankers are extending a substantial proportion of their farm credit to finance intermediate-term investments. Information obtained in a survey of bank loans outstanding to farmers on June 30, 1956, shows that commercial bankers in the Sixth Dis trict had 336 million dollars in loans to 220,000 farmers. Although a large share of those loans was made to finance current farm expenses, banks had extended credit amount ing to 104 million dollars to 38 percent of their farm borrowers to finance capital item purchases like tractors, trucks, and livestock—items that have a productive life beyond the crop season. Notes made for those intermediate-term purposes amounted to nearly one-third of the outstanding farm loans at commercial banks in mid-1956—a time when farm loans for production purposes were near their annual peak. Of the 301,000 .farm notes outstanding at insured commercial banks in mid-1956, 16 percent were made to finance machinery and equipment purchases; 5 percent were made to finance livestock purchases for establishing or adding to brood herds; 6 percent were made to finance automobile or other consumer durable good purchases; and 5 percent were made to finance land and building improvements. The original size of the average loan made to finance intermediate-term investments, however, was generally smaller than the average loan made to farmers—1,068 dollars compared with 1,118 dollars. Notes made to fi nance automobiles and other consumer durable purchases were substantially smaller than the average of all notes. Notes made to finance machinery and equipment averaged 927 dollars, only about 200 dollars smaller than the average size note for all purposes. Notes made for other intermediate-term purposes were substantially larger than the average. Forty percent of the notes made to finance intermediateterm investments had maturities of 15 months or more, compared with only 27 percent for all notes, including those made to finance purchases of real estate. Among the intermediate-term investment notes, those made to finance machinery and equipment purchases had sub stantially longer maturities than others: 50 percent had maturities of 15 months or more. Loans to Finance Intermediate-Term Investments, Compared with AH Farm Loans All Insured Commercial Banks, Sixth District, June 30, 1956 Number of Purpose All Intermediate-term Investment Purposes Purchase of Mach. and Equipment . . Purchase of Other Than Feeder Livestock . . Purchase of Autos and Other Consumer Durable Goods . . Improvement of Land and Buildings . . . All Other Purposes . . All Purposes . . . . . Average Size (Dollars) of Borrowers Notes Borrowers Notes Thousand Dollars 83,821 97,306 38.1 32.3 103,910 30.9 1,240 1,068 __ 49,419 __ 16.4 45,826 13.6 __ 927 __ 14,723 __ 4.9 22,437 6.7 __ 1,524 6.1 8,242 2.4 4.9 67.7 100.0 27,405 232,337 336,247 8.2 69.1 100.0 18,328 __ . 136,076 . 219,897 Total Amount Outstanding Percent of 14,836 203,485 300,791 __ 61.9 100.0 Percent Debt per Borrower Note 450 __ 1,707 1,529 • 5 • 1,847 1,142 1,118 In practice, renewals were used to further lengthen maturities on loans made for intermediate-term purposes. Nearly 14 percent of such loans were renewed in accord ance with previous agreements, compared with 11 percent for all farm loans. Loans for intermediate-term purposes, however, were renewed without previous agreements more frequently than all loans, indicating, perhaps, that the former more often had inadequate maturities or that the borrowers were unable to meet scheduled payments. Interest Rates on Notes to Finance Intermediate-Term Investments By Size of Note and Repaym ent Method, June 30, 1956 All Insured Commercial Banks, Sixth District Repayment Method All Under Loans 250 All Repayment Methods . 6.8 Single Pay ment . . 6.2 Instalment with Int. on Unpaid Bal. 6.3 Instalment with Int. on Orig.Amt. 8.8 Original Size of Note (Dollars) 500- 1,000- 2,000- 5,000- 10,000 250999 1,999 4,999 9,999 & Over 499 (Avg. Annual Rate in Percent) 8.2 8.0 7.6 7.4 7.0 5.9 5.2 7.4 7.1 7.0 6.7 6.4 5.6 5.1 7.8 7.5 7.1 6.8 6.6 6.0 5.3 10.0 9.9 9.2 8.9 8.9 6.7 6.0 Chattel mortgages were the predominant security for intermediate-term investment loans. Two-thirds of all notes and four-fifths of the notes made to finance ma chinery and equipment purchases were secured by chattel mortgages, presumably on the specific item purchased. Nearly one-half of the intermediate-term loans were repaid in instalments, compared with only 12 percent of all other farm loans. Repayments were made in instal ments more frequently in the longer maturities both for intermediate-term and all other loans. Bankers extend credit for financing intermediate-term investments through merchants and dealers about as often as they make direct loans to farmers for those purposes. Much of the credit for purchasing machinery and equip ment, as well as that for automobiles and other consumer durable goods was extended indirectly: At banks with deMaturities of Outstanding Bank Loans to Farmers By Purpose of Loan All Insured Comm ercial Banks, Sixth District, June 30, 1956 P ercen t of Am ount Outstanding 4-5 yrs. 0 ver5yrs. posits of over 3 million dollars, about three-fourths of the notes on intermediate-term investment loans were ac quired from dealers or merchants. At smaller banks, however, less than one-half the notes were so acquired. Interest rates on loans made to finance intermediateterm investments averaged 6.8 percent. Rates showed a marked tendency to decline as size of note increased. Notes under 250 dollars had an average interest of 8.2 percent, and notes of 10,000 dollars and over were made at an average annual rate of 5.2 percent. The annual interest rate, furthermore, varied according to the method of repayment. Single payment loans, for example, had an average annual interest rate of 6.2 percent, whereas the average annual rate was 8.8 percent for loans repaid in instalments with interest charged on the original amount. The information provided by the farm loan survey indicates that many bankers are adapting their lending policies to meet the changing credit needs of farmers. The substantial proportion of loans made to finance intermediate-term investments reveals bankers’ willingness to accommodate the increased demand for credit arising from the greater capital use in farming. The longer-thanaverage loan maturities and higher proportionate use of chattels as security for intermediate-term investment loans suggest that bankers recognize the need for substantially different terms when lending for such purposes than when making traditional crop loans. In addition, the prevalence of loans acquired through merchants and dealers and the rather general use of instalment repayment indicate that bankers have flexible farm lending policies, and that they are adapting their lending practices to the needs of farmers in their trade areas. Farmers with opportunities to use additional capital in their businesses can usually obtain adequate credit tailored to their needs at com mercial banks. J0HN T. H arris and A rthur H . K antner Bank Announcements On April 8, the Bank of Tavares, Tavares, Florida, a nonmember bank, began remitting at par for checks drawn on it when received from the Federal Reserve Bank. The bank’s officers are J. B. Prevatt, President; W. J. Rogers, Executive Vice President; Osier Adams, Cashier; and J. D. Duncan, Assistant Cashier. Capital amounts to $100,000 and surplus and undivided profits $146,497. On April 22, the Citizens Bank and Trust Co., Plaquemine, Lousiana, a nonmember bank, began to remit at par. Officers are W. B. Middleton, Jr, President; V. J. Kurzweg, Vice President; C. E. Postell, Cashier; and J. Melvin Marque, Assistant Cashier. Capital totals $50,000 and surplus and undivided profits $319,434. On May 13, the Warrior Savings Bank, Warrior, Alabama, will open for business as a nonmember, parremitting bank. Officers are Julius S. Pilgreen, President and Cashier, and Carl Jolly, Vice President. Capital amounts to $50,000 and surplus and undivided profits to $25,000. • 6 • Sixth District Statistics Instalment Cash Loans Wholesale Sales and Inventories* Percent Change Percent Change Volume No. of Lenders Lender Federal credit unions . State credit unions . . Industrial banks . . . . Industrial loan companies Small loan companies . Commercial banks . . . . . . . . . . . . . . . . . . . 37 16 7 12 22 38 Outstandings Mar. 1957 from Feb. Mar. 1957 1956 +6 + 16 + 13 +2 +8 +0 + 57 +7 +6 —5 + 14 Mar. 1957 from Feb. Mar. 1957 1956 —0 +4 +0 +0 —0 +1 + 15 + 18 +7 +4 +8 + 11 Condition of 27 Member Banks in Leading Cities Percent Change April 17,1957 from Loans and investments— T o t a l .............................. Loans— N e t ......................... Loans— G r o s s .................... Commercial, industrial and agricultural loans . Loans to brokers and dealers in securities . . Other loans for purchasing or carrying securities . Real estate loans . . . Loans to banks . . . . Other l o a n s .................... Investments— Total . . . Bills, certificates, and notes .................... U. S. bonds .................... Other securities . . . . Reserve with F. R. Bank . . Cash in v a u l t .................... Balances with domestic banks Demand deposits adjusted . Time d e p o s its .................... U. S. Govt deposits . . . Deposits of domestic banks . Borrowings......................... April 17, 1957 March 20, 1957 3,407,015 1,879,459 1,913,832 3,412,305 1,890,760 1,924,770 1,035,560 April 18, March 20, 1957 1956 April 18, 1956 3,354,976 1,752,857 1,780,835 —0 —1 —1 +2 +7 +7 1,048,633 964,788 —1 +7 36,482 37,535 38,733 —3 —6 49,941 172,655 24,374 594,820 1,527,556 49,524 170,531 25,347 593,200 1,521,545 48,807 154,663 17,145 556,699 1,602,119 +1 +1 —4 +0 +0 +2 + 12 + 42 +7 —5 482,979 746,070 298,507 507,796 50,465 301,139 2,318,269 738,131 83,036 775,844 15,500 478,084 750,192 293,269 473,860 50,474 283,840 2,263,152 726,922 106,295 739,358 55,050 569,042 722,582 310,495 531,293 49,301 311,011 2,424,952 623,407 80,655 765,571 46,100 + 1 —1 +2 +7 —0 +6 +2 +2 — 22 +5 — 72 — 15 +3 —4 —4 +2 —3 —4 + 18 +3 +1 — 66 Department Store Sales and Inventories* Percent Change______________ Sales Mar. 1957 from Feb. Place ALABAMA ........................ ■ Birmingham..................... M obile......................... , . Montgomery.................... . FLO RID A..............................■ Jacksonville . . . . ,. O r la n d o ......................... . St. Ptrsbg-Tampa Area . St. Petersburg . . ,. T a m p a .................... ■ GEORGIA......................... • Atlanta**.................... ■ A u g u s t a .................... . Columbus.................... • M aco n ......................... . R o m e * * .................... . Savannah .................... . LO U ISIA N A .................... . Baton Rouge . . . . • New Orleans . . . . • . MISSISSIPPI . . . . J a c k s o n .................... . . Meridian** . . . . TENNESSEE . . . . . Bristol (Tenn. & Va.)** . Bristol-KingsportJohnson City** . . . . Chattanooga . . . . Knoxville.................... . N ashville.................... . D I S T R I C T .................... . 1957 +27 +26 +38 +17 +16 +23 +16 +12 +8 +16 +26 +26 +32 +18 +22 +27 +29 +14 +18 +12 +20 +23 + 16 + 28 +27 +26 +27 +24 + 34 + 21 Mar. 1956 —8 —9 +3 —19 —5 —16 —6 —6 —1 —12 —12 —9 —20 —22 —16 —32 —16 —18 —6 —22 — 18 — 15 — 22 — 13 — 15 — 16 — 15 — 19 —6 — 10 Inventories 3 Months 1957 from 1956 —2 —4 +7 —10 +2 —7 —0 +1 +5 —3 —5 —2 —12 —16 —7 —17 —9 —6 + 10 — 10 —8 —7 — 11 —3 —5 —6 —5 —7 +3 —3 31,1957, from Feb. 28 Mar. 31 1957 1956 +15 +1 +27 +4 Mar. —i +6 +2 +5 +6 +5 +io +10 +io +1 +8 +9 +8 +10 +11 +7 +9 +9 +6 +6 +3 +3 —i4 +5 +14 +37 +11 —2 —4 —0 +6 —9 +3 +3 * Reporting stores account for over 90 percent of total District department store sales. ** In order to permit publication of figures for this city, a special sample has been constructed that is not confined exclusively to department stores. Figures for non department stores, however, are not used in computing the District percent changes. Inventories March 1957 from March 1957 from Type of Wholesaler Grocery, confectionery, meats . Edible farm products . . . No. of Firms . . . Dry goods, apparel . . . . . Furniture, home furnishings . Paper, allied products . . . . . . Machinery: equip, and supplies . 22 8 7 7 7 29 45 10 15 Feb. 1957 March 1956 No. of Firms Feb. 1957 March 1956 + 10 — 14 —7 +9 — 13 +9 —4 — 18 —3 —5 —9 —1 +2 — 10 +9 + 10 —7 + 14 19 5 7 5 5 26 45 10 15 + 18 —7 +0 —2 —1 +3 —2 +3 — 12 — 24 +0 +4 1 — 14 +8 +8 —5 + 18 * Based on information submitted by wholesalers participating in the Monthly Wholesale Trade Report issued by the Bureau of the Census. In Thousands of Dollars) Item Sales Retail Furniture Store Operations Percent Change March 1957 from February 1957 March 1956 Total s a l e s ......................... ....................................... ........................... + 0 Cash s a l e s ..........................................................................................+ 6 Instalment and other credit sales ..................................................— 0 Accounts receivable, end of m o n t h ..................................................— 3 Collections during m o n t h ................................................................. + 6 ■6 +6 —7 +2 —1 Debits to Individual Demand Deposit Accounts (In Thousands of Dollars) Percent Change Mir. 1957 from Mar. 1957 Feb. 1957 Mar. 1956 ALABAMA 35,091 32,175 38,815 Anniston . . . . 690,082 702,283 709,670 Birmingham . . . 25,802 22,118 24,097 Dothan . . . . 31,262 28,711 28,581 Gadsden . . . . 296,171 294,414 235,422 Mobile . . . . 131,428 122,182 123,600 Montgomery . . . 40,242 40,462 39,055 Tuscaloosa* . . . FLORIDA 584,381 638,540 651,018 Jacksonville . . 712,146 711,663 654,598 Miami . . . . 1,126,112 1,102,592 1,018,803 Greater Miami* 160,752 155,483 137,313 Orlando . . . 84,342 75,259 75,431 Pensacola . . 147,382 169,625 143,107 St. Petersburg . 324,600 277,567 297,938 Tampa . . • 104,024 94,595 100,719 West Palm Beach* GEORGIA 48,370 53,137 52,689 Albany . . . 1,553,551 1,457,373 1,548,630 Atlanta . . . 83,657 83,278 98,963 Augusta . . . 18,530 17,272 17,412 Brunswick . . 92,707 88,180 101,716 Columbus . . 7,224 6,132 6,833 Elberton . . . 43,215 40,763 44,310 Gainesville* . . 15,263 14,002 16,539 Griffin* . . . 105,939 92,295 104,464 Macon . . • 14,978 15,303 14,786 Newnan . . . 35,728 35,250 39,857 Rome* . . . 177,233 157,495 155,709 Savannah . . 27,565 22,723 24,104 Valdosta . . . LOUISIANA 65,388 61,423 Alexandria* . . 57,285 173,925 163,017 153,960 Baton Rouge 80,857 74,025 Lake Charles 75,673 1,241,701 1,222,617 New Orleans . . 1,223,887 MISSISSIPPI 30,489 28,304 28,312 Hattiesburg . . 193,317 177,178 203,220 Jackson . . . 35,544 31,748 34,028 Meridian . . . 16,489 18,455 Vicksburg . . 16,618 TENNESSEE 39,207 32,920 35,707 Bristol* . . . 269,296 243,801 Chattanooga . . 262,688 36,850 33,471 Johnson City* . 36,490 77,418 Kingsport* . . 59,667 73,161 153,407 Knoxville . . 147,912 158,253 560,765 Nashville . . . 518,547 544,082 SIXTH DISTRICT 32 Cities . . . 8,201,905 7,795,401 7,906,106 UNITED STATES 197,024,000 177,343,000 189,793,000 344 Cities . . Feb. 1957 Mar. 1956 1957 from 1956 +9 —1 +17 +9 +1 +8 +3 — 10 +2 +7 +9 +26 +6 —1 —5 +9 +5 +9 + 27 +9 +1 +9 +0 +2 +3 + 12 +15 +9 + 10 —2 +9 + 11 +17 +12 + 19 + 17 +3 +7 + 17 +17 + 21 +13 +20 +15 +10 +9 +7 +0 +7 +5 + 18 +6 +9 + 15 —2 +1 + 13 + 21 —1 +0 — 15 +6 —9 +6 —2 —8 +1 +1 — 10 + 14 +14 +4 +3 —5 +7 —5 + 20 +6 —2 —2 +9 —3 + 19 +8 +6 +7 +9 +2 + 14 + 13 +7 +1 + 13 +14 +8 +9 +8 +9 + 12 — 11 +8 —5 +4 —1 +9 —2 +4 +7 + 19 + 10 + 10 + 30 +4 +8 +10 +3 +1 +6 —3 +3 + 13 +4 +3 +6 —2 +5 +5 +4 +8 +11 +4 +7 * Not included in Sixth District totals. • 7 • Sixth District Indexes Nonfarm Employment SEASONALLY ADJUSTED District T o t a l ....................... A lab am a............................. Florida.................................. G e o r g ia ............................. Louisiana............................. M ississip p i....................... Tennessee............................. UNADJUSTED District T o t a l ....................... A lab am a............................. Florida.................................. G e o r g ia ............................. Louisiana............................ M ississip p i....................... Tennessee............................ 1947-49 Manufacturing Employment Feb. 1957 Jan. 1957 Feb. 1956 Feb. 1957 134 122 169 131 131 126 120 134 123 167 131 130r 126 121r 130r 119r 157r 129r 124r 124r 120 121 109 167 122 103 126 117 134 122 178 129 129 124 119 134 122 177r 129 129 124 119 129r 118r 164r 128r 122r 122r 119 121 111 180 122 100 124 118 Jan. 1957 Department Store Sales and Stocks * Mar. 1957 DISTRICT SALES* . . . 149 Atlanta1 ................................ 153 Baton Rouge....................... ...137 Birmingham.......................... 138 Chattanooga..........................133 J a c k s o n .............................110 Jacksonville.......................116 Kn o xville................................ 140 Macon.................................. ...145 Nashville................................131 New O rleans....................... ...127 St.Ptrsbg-TampaArea . . 152 Tam pa......................................120 DISTRICT STOCKS* . . . 166 Adjusted Feb. 1957 153r 150 149r 128 133 115 127r 140 144 137 142 162 136 165r Mar. 1956 144r 140 120r 128r 134 112r 121r 148 132r 133 138 151 126 163r Mar. 1957 137 134 120 123 117 100 104 122 120 127 115 157 116 174 Feb. 1956 Feb. 1957 Jan. 1957 Feb. 1956 121 110 166 123 102 125r 119 121r llO r 155r 124r 102r 125r 120r 192 177 267 193 178 213 188 193r 180 257 198 172 207r 189 177r 163r 224r 184 r 160r 188r 180 121 112 177 123 100 123r 118 121r lllr 166r 124r 99r 123r 120r 194 177 286 195 171 209 186 195r 182r 278 200 167 201 r 187 179r 163r 240r 186r 154r 184r 178 * Unadjusted Feb. 1957 122r 115 111 105 100 88 92 107 106 103 112 152 109 163r • R e se rv e Bank C itie s Branch Bank C itie s mm D istric t B oundaries — Branch T e rrito ry B oundaries B o a rd o f G o v e rn o rs o f th e F e d e ra l R e se rv e System Construction Contracts Mar. 1957 320 372 348 332 453 226 Feb. 1957 320 362 245 689 198 119 Mar. 1956 Furniture Store Sales */* Mar. 1957 Feb. 1957 Mar. 1956 102 117 103 105 118 89 83 116 126 117 118 122 100 91 104 114 107 109 116 95 83 90 101 92 92 101 77 70 97 106 97 106 105 82 75 92 99 95 96 98 82 70 279 330 396 334 258 250 Other District Indexes Mar. 1956 147r 142 123r 129r 132 114r 120r 144 138r 130 141 161 127 169r JTo permit publication of figures for this city, a special sample has been constructed that is not confined exclusively to department stores. Figures for nondepartment stores, however, are not used in computing the District index. ♦For Sixth District area only. Other totals for entire six states. ♦♦Daily average basis. Sources: Nonfarm and mfg. emp. and payrolls, state depts. of labor; cotton consumption, U. S. Bureau Census; construction contracts, F. W. Dodge Corp.; furn. sales, dept, store sales, turnover of dem. dep., FRB Atlanta; petrol, prod., U. S. Bureau of Mines; elec. power prod., Fed. Power Comm. All indexes calculated by this Bank. O 100 Manufacturing Payrolls = Mar. 1957 Adjusted Mar. Feb. 1957 1956 Construction contracts^ . . Residential............................. Petrol, prod, in Coastal Louisiana and Mississippi** Cotton consumption^* . . . Furniture store stocks* . . . Turnover of demand deposits* . 10 leading cities . . . . Outside 10 leading cities . Mar. 1957 n.a. n.a. n.a. Unadjusted Feb. 1957 345 454 263 Mar. 1956 331 317 341 208 86 197 86 167r 96 208 91 200 91 167r 101 22.7 23.9 19.2 Feb. 1957 23.4 24.9 19.0 Jan. 1957 21.0 22.1 17.7 Feb. 1956 22.9 24.5 18.8 Feb. 1957 294 23.2 25.1 18.4 Jan. 1957 312 21.2 22.7 17.3 Feb. 1956 297 171 133 169 116 82 162 108 91 212 170 133 167 115 83r 164 109 92 213 170r 131 161 r 112 87 r 160r llO r 97r 194r Elec. power prod., total** Mfg. emp. by type . 172 132 C hem icals............................. . 166 Fabricated metals 117 Fo o d ........................................ Lbr.( wood prod., furn. & fix. 83 161 Paper and allied prod. . . 107 Primary metals . . . . 91 Trans, equip............................. 206 n.a. p Preliminary r Revised 172r 171r 132 130r 165 159r 117 113 83r 88r 164 159r 108 109r 97 92 188 r 213 Not available