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MONTHLY REVIEW TWELFTH FEDERAL RESERVE DISTRICT F ed e r a l R e se r v e B a n k o f S a n F r a n c is c o A pril 1952 FARMERS’ INTENTIONS FALL SHORT OF PLANNERS’ GOALS a r m e r s a re b e in g a sk e d to b r e a k all p r o d u c tio n re c F o r d s fo r th e s e c o n d su c c e s s iv e y e a r . I f th e y ca n m e e t th e D e p a r tm e n t of A g r ic u lt u r e 's recom m en d ed g o a ls , a b o u t b y th e p u b lic a tio n o f th e in te n tio n s re p o r t itse lf c o u ld lea d to ra th e r d ra stic c h a n g e s in th e final a c re a g e s p la n te d . c r o p p r o d u c tio n w ill be 6 p e r c e n t la r g e r th a n in 1 9 5 1 . B e T h e n a tio n ’ s fa r m e r s w ill p r o b a b ly c r o p a b o u t 3 6 1 m il ca u se th e s u p p ly o f a d d itio n a l c r o p la n d a c re a g e is lim ite d , lio n a c re s th is y e a r . T h i s is o n e m illio n le ss th a n la st y e a r in c r e a s e d p r o d u c tio n p e r ac re a n d m o r e efficien t u se o f a n d se v e n m illio n a c re s s h o r t o f th e g o a l se t b y the D e a v a ila b le r e so u rc e s w ill be str e s s e d . A h ig h , b u t b a la n ce d , p a r tm e n t o f A g r ic u lt u r e . B e c a u se o f th e sh o r ta g e o f fe e d le v e l o f p r o d u c tio n is n e ed e d n o t o n ly f o r 1 9 5 2 b u t f o r th e g r a in s re la tiv e to liv e sto c k in v e n to r ie s, f a r m e r s ’ p la n s f o r lo n g p u ll a h e a d . c o rn , b a rle y , a n d s o r g h u m s a re p a r tic u la rly d is a p p o in t O n e o f th e m a jo r a im s o f th e p r o d u c tio n g o a ls p r o g r a m in g w h e n c o m p a r e d w ith , th e g o a ls . T h e a n ticip a ted in is to a s s u r e fee d g r a in su p p lie s in 1 9 5 2 w h ic h w ill be a d e c rea se in p la n tin g s o f h a y a n d o a ts, h o w e v e r , w o u ld te n d q u a te to m a in ta in the p re s e n t h ig h ra te o f liv e s to c k fe e d to o ffs e t th e se re d u ce d fe e d g r a in a c re a g e s. N o d ec re a se in g . T h e G r a s s la n d s P r o g r a m , s p o n s o r e d b y th e U n it e d in fe e d g r a in p r o d u c tio n p r o p o r tio n a te to th e d ec re a se in S ta te s D e p a r tm e n t o f A g r ic u lt u r e a n d th e L a n d -G r a n t ac re a g e is e x p e c te d sin ce a c re a g e s p la n te d to fe e d g r a in s C o lle g e s , is an in te g ra l p a r t o f th is a im sin ce g r a s s a n d h a v e be e n re d u ce d in th e lo w e r y ie ld in g a re a s a n d in r o u g h a g e m a k e u p h a lf o f o u r fe e d su p p lie s . T h e p r o b crea sed in th e h ig h e r y ie ld in g a re a s. O n th e b a sis o f a v e r le m o f d e c re a s in g fee d su p p lie s is n o lo n g e r a th re a t b u t a g e y ie ld s p er a c re , fe e d g r a in p r o d u c tio n in 1 9 5 2 sh o u ld a n a c tu a lity . F o r tw o s u c c e s s iv e y e a r s , fe e d g r a in c o n e x c e e d last y e a r b y m o r e th a n 6 p erce n t. E v e n so , th is s u m p tio n h as e x c e e d e d p r o d u c tio n . U n le s s re s e rv e s u p m a y n o t b e e n o u g h to p e r m it sto c k s to be re b u ilt. p lies are re p le n ish e d , liv e s to c k n u m b e r s w ill h a v e to be re d u ce d . A lim itin g fa c to r in th e a c re a g e a v a ila b le fo r s p r in g p la n tin g is th e la r g e a c re a g e s o w n to w in te r w h e a t la st J u d g in g b y f a r m e r s ’ in te n tio n s, to ta l p la n tin g s in 1 9 5 2 fall, o f w h ic h little h a s b e e n a b a n d o n e d . A lt h o u g h it is w ill v a r y little f r o m 1 9 5 1 , b u t w ill b e c o n s id e r a b ly sh o r t still to o e a r ly to p re d ict c o tto n a c re a g e , if the tren d fr o m o f r e c o m m e n d e d g o a ls . P r o s p e c tiv e a c re a g e o f th e s i x cr o p s w ith h ig h la b o r r e q u ire m e n ts c o n tin u e s, th e 2 8 m il te e n c r o p s e s tim a te d as o f M a r c h 1 is a b o u t o n e m illio n less th a n 1 9 5 1 p la n tin g s . F o r in d iv id u a l c r o p s , h o w e v e r , th e r e is a te n d e n c y to sh ift f r o m c r o p s w ith h ig h la b o r re lio n acre g o a l m a y n o t b e m e t. U n le s s w e s t T e x a s a n d O k la h o m a re ce iv e s o m e ra in so o n , h o w e v e r , o n e m illio n a cre s o f w in te r w h e a t w ill be re le a se d fo r co tto n p la n tin g . q u ir e m e n ts to th o s e o f a le ss in te n s iv e n a tu re . W e a t h e r T h e p r o sp e c tiv e p la n tin g s re p o r t re v e a ls tw o th in g s. d u r in g th e s p r in g p la n tin g s e a s o n a n d c h a n g e s b r o u g h t F a r m e r s a re w a r y o f u p se ttin g th e ir lo n g -r a n g e G r a s s la n d s P r o g r a m s fo r th e sak e o f im m e d ia te ca sh re tu rn s. 1952 INDICATED ACREAGES AS A PERCENTAGE OF 1952 GOALS TWELFTH DISTRICT AND UNITED STATES S e c o n d ly , th e y a re s h iftin g a w a y f r o m c r o p s r e q u ir in g m u c h la b o r in fa v o r o f le ss in te n siv e c r o p s. T h e p rin c ip a l re a so n f o r th e se d e c isio n s is p r o b a b ly th e re ce n t e a sin g Twelfth District in fa r m c o m m o d it y p ric e s. In c r e a s e d m a r k e t su p p lie s a n d United Sfato* so m e w e a k e n in g in d e m a n d re su lte d in p ric e d eclin es fo r th e first th re e m o n th s o f th is y e a r . T h o u g h p ric es a d v a n c e d slig h tly in A p r i l , th e m i d -A p r i l a v e r a g e o f all fa rm Also in This Issue Changes in Banks and BranchesTwelfth District, 1 9 5 0 -5 1 Rice W heat H ay Com Bean* O at* Barley Sorghums Potatoes F a x se e d 42 FEDERAL RESERVE B A N K OF SAN FRANCISCO p ric e s w a s 6 p e r c e n t le ss th a n in A p r i l 1 9 5 1 . I n a d d itio n to th is u n c e r ta in p ric e s itu a tio n , fa r m e r s a r e co n c e rn e d April 1952 I ndicated P l a n t in g s of F ield C rops a s of M a r c h 1— T w e l f t h D istrict a n d U nited S tates a b o u t th e tig h t la b o r situ a tio n a n d th e c o n tin u in g in cre a se Twelfth District 1952 in p r o d u c tio n c o s ts . (000acres) District plantings short of goals F a r m e r s in th e D is t r ic t, lik e fa r m e r s in th e re st o f th e n a tio n , w ill p la n t a b o u t th e sa m e n u m b e r o f a c re s in 1 9 5 2 a s in 1 9 5 1 . I f p r e s e n t in te n tio n s a r e c a rr ie d o u t, h o w e v e r , th e r e w ill b e v a r io u s s h ifts in th e a c re a g e s o f d iffe r e n t c r o p s . O n l y th e g o a ls f o r rice a n d w h e a t w ill b e re a liz e d . C a lifo r n ia fa r m e r s p la n to e x c e e d th e ir r e c o rd s e e d in g o f rice in 1 9 5 1 b y 5 p e r c e n t. A lt h o u g h S a c r a m e n to V a l l e y g r o w e r s p la n n o c h a n g e , th o s e in th e S a n J o a q u in in te n d to in cr e a se a c re a g e c o n s id e r a b ly . T h e h ig h s u p p o r t p ric e m a k e s f o r a fa v o r a b le p ric e o u tlo o k a n d w a te r su p p lie s T otal................................................ s e e m a m p le f o r ir r ig a tio n . B e c a u s e o f th e lo w Barley ................................................ Beans, dry edible.............................. Corn .................................................... Flaxseed.............................................. Hay, all1 ............................................ Oats .................................................... Peas, dry edible................................ Potatoes.............................................. Rice .................................................... R y e .................................................. , . Sorghums............................................ Sweet potatoes .................................. Sugar beets........................................ Wheat, spring .................................. Wheat, winter .................................. Wheat, a l l .......................................... ra te o f a b a n d o n m e n t o f w in te r w h e a t, s p r in g w h e a t p la n tin g s w ill b e re d u c e d . T h e d eficit 2,988 471 238 47 5,930 1,481 221 238 335 201 134 10 250 1,374 5,640 7,014 Percentage change ,----------- 1951-52----------- * Twelfth United District States + 1 — 10 — 11 — 7 + 8 0 — 30 — 4 + 3 + 1 + 3 + 3 — 24 —>17 + 2 0 + 5 0 — 7 — 12 +17 — 11 0 + 5 + 1 + 2 — 24 — 1 + 8 + 1 0 0 19,558 + 1 0 1Harvested acreage. Source : United States Department of Agriculture, Bureau of Agricultural Economics, C rop P r o d u c tio n , March 19, 1952. in s p r in g w h e a t, h o w e v e r , w ill b e m a d e u p b y a n e q u a l fo r n ia is d e v e lo p in g ra th e r s lo w ly b e c a u se o f a la c k o f in cr e a se in w in te r w h e a t p la n tin g s . F a ll s o w n w h e a t in g o o d g r o w in g w e a th e r. I n th e s o u th e r n e n d o f th e S a n W a s h i n g t o n , O r e g o n , a n d I d a h o is s u r v iv in g in e x c e lle n t J o a q u in V a l l e y a n d in so u th e r n c o n d itio n . L it t le la n d in th o s e sta te s w ill be p la n te d to v e lo p in g v e r y w e ll. A d d it io n a l ra in s re c e n tly in all p a r ts s p r in g w h e a t in c o n tr a s t to 1 9 5 1 w h e n th e r e w a s h e a v y a b a n d o n m e n t o f fa ll w h e a t d u e to w in te r k ill. . C a lifo r n ia fe e d is d e o f th e sta te a n d th e v e r y h e a v y s n o w -p a c k in th e m o u n ta in s g iv e p r o m is e o f e x c e lle n t s p r in g fe e d in g . C a lifo r n ia A p p r o x im a t e l y o n e -t h ir d o f th e n a tio n a l b a r le y a c re h a s fa v o r a b le p r o sp e c ts f o r fin is h in g ca ttle o n g r a s s . I n a g e is p la n te d in th e D is t r ic t. A lt h o u g h D is t r ic t fa r m e r s c o n tr a st, in te n d to in cr e a se p la n tin g s o v e r la st y e a r , th e a c re a g e a b o u t 7 8 p e r c e n t o f n o r m a l. M a n y h ig h ra n g e s w e r e in w o u ld still be s h o r t o f th e D is t r ic t g o a l. W a s h i n g t o n a n d O r e g o n fa r m e r s p la n to re d u ce b a r le y a c re a g e b e ca u se o f a p re fe r e n c e f o r s p r in g w h e a t a n d th e le s s -th a n -u s u a l w in te r k ill o f w in te r w h e a t. I n c o n tr a s t, C a lifo r n ia a n d U t a h fa r m e r s w ill e x p a n d th e ir a c re a g e s b e ca u se o f u n u s u a lly fa v o r a b le m o is tu r e co n d itio n s . W a s h in g to n range c o n d itio n s a re re p o r te d a c ce ssib le as o f A p r i l 1 a n d m o s t la n d in th e n o r th e r n c o u n tie s w a s b la n k e te d w ith tw o fe e t o f s n o w . I n th e c e n tra l a re a s o f th e sta te s o m e r a n g e s a n d p a stu r e s w e r e p a r tia lly b la n k e te d b u t th e re w a s s o m e g r a z in g in o p e n a r e a s. S o il m o is tu r e is a b u n d a n t th r o u g h o u t th e sta te w ith e x c e lle n t p r o sp e c ts fo r s p r in g g r o w t h . F r o s t d a m a g e h as A lt h o u g h p o ta to p la n tin g s in th e D is t r ic t a r e c lo se to la s t y e a r , in te n tio n s a r e fa r s h o r t o f th e g o a l. P o ta to p ric e s h a v e b e e n a t c e ilin g le v e ls sin ce la s t fa ll, b u t th e se r e la tiv e ly fa v o r a b le p ric e s h a v e n o t in d u c e d fa r m e r s to e x p a n d p r o d u c tio n as m ig h t b e e x p e c te d . S u r p lu s c r o p s o f re ce n t y e a r s , h ig h se ed p o ta to p ric e s, a n d th e sc a rc ity o f la b o r h a v e a c te d as c h e ck s o n in cre a se d p o ta to a c re a g e . O n c e a g a in th e D e p a r tm e n t o f A g r ic u lt u r e is re ly in g n o t b e e n e x c e s s iv e b e ca u se o f th e m ild w in te r te m p e r a tu r e s. S n o w a lso c o v e r e d m u c h o f th e g r a z in g a r e a s o f I d a h o , N e v a d a , a n d U t a h , th u s a c c o u n tin g f o r th e ir b e lo w -n o r m a l c o n d itio n . I f th e s n o w -p a c k s d o n o t th a w to o r a p id ly , m o is tu r e c o n d itio n s a re e x c e lle n t fo r s p r in g p r o sp e c ts in m o s t o f th is g r a z in g a re a . A lt h o u g h th e 1 9 5 2 e a r ly la m b c r o p is e stim a te d to be a b o u t 5 p e r ce n t lo w e r th a n la st y e a r , sh e ep a r e re p o r te d h e a v ily o n th e T w e l f t h D is t r ic t f o r m e e tin g th e n a tio n ’ s in g o o d c o tto n n e e d s . I n 1 9 5 1 , c o tto n a c re a g e in th e D is t r ic t e x g r o w th w ith lo sse s q u ite lo w . I n C a lifo r n ia , A r i z o n a , a n d c o n d itio n and la m b s a r e m a k in g sa tis fa c to r y c e e d e d th e g o a l se t b y th e D e p a r tm e n t o f A g r ic u lt u r e b y th e P a c ific N o r t h w e s t , w e a th e r a n d fe e d su p p lie s h a v e 11 p e r c e n t. T h i s y e a r th e g o a l f o r C a lifo r n ia a n d A r i z o n a b e e n sa tisfa c to ry . T h e e a r ly la m b c r o p w ill b e s o m e w h a t c a lls fo r a 2 p e r c e n t in c r e a s e o v e r th e r e c o rd a c re a g e la r g e r th is y e a r in W a s h i n g t o n a n d C a lifo r n ia . p la n te d to c o tto n la st y e a r . I n c o n tr a s t, th e n a tio n a l g o a l h a s b e e n re d u ce d 2 p e r ce n t. Weather plagues District citrus P r o d u c tio n o f all c itru s fr u its w ill b e d o w n in th e D i s Range conditions variable tr ict th is y e a r . A r i z o n a c itr u s g r o w e r s s u ffe r e d f r o m a A lt h o u g h c u r r e n t ra n g e fe e d a n d g r a z in g co n d itio n s in v e r y lig h t se t o f fr u it a n d ir r ig a tio n w a te r w a s sh o r t. A s t h e W e s t a re g e n e r a lly b e lo w th o s e o f a y e a r a g o a n d a lso a re su lt th e A r i z o n a o r a n g e c r o p is e x p e c te d to b e d o w n th e 4 6 p e r c e n t f r o m la st y e a r a n d g r a p e fr u it p r o d u c tio n d o w n t e n -y e a r average, s p r in g p r o s p e c ts are fa v o r a b le . R a n g e s a r e b e tte r th a n a v e r a g e in A r i z o n a a n d C a lifo r abou t n ia D is t r ic t N a v e ls is lo w e r in C a lifo r n ia , a n d to ta l o r a n g e p r o d u c s ta te s. P a s tu r e a n d r a n g e fe e d o v e r m o s t o f n o r th e r n C a li- tio n m a y b e a b o u t 1 0 p e r c e n t le ss th a n la s t y e a r . T h i s is b u t b e lo w a v e r a g e c o n d itio n in a ll o th e r 36 p e r c e n t. P r o d u c tio n of b o th V a le n c ia s and April 1952 43 M O N T H L Y REVIEW in c o n tr a s t to a n a tio n a l in cr e a se b r o u g h t a b o u t b y th e e a r lie r h u g e p ro d u c tio n in F lo r id a . C itru s g r o w e r s in T e x a s a n d ch ic k e n c r o p th is y e a r . T h e p re se n t u n fa v o r a b le e g g -fe e d h a tc h in g se a s o n and not n e c e ssa r ily a la r g e r L o u is ia n a su s ta in e d h e a v y lo s s e s f r o m a fre e z e a r o u n d p ric e ra tio a n d f a r m e r s ’ F e b r u a r y 1 in te n tio n s to ra ise th e first o f F e b r u a r y , le a v in g F lo r id a th e o n ly sta te to e x 1 0 p e r c e n t fe w e r ch ic k s w o u ld in d ica te re d u ce d h a tc h in g s ceed la st y e a r 's p ro d u c tio n . fo r flo ck re p la c e m e n ts d u r in g th e re st o f th e se a so n . T h i s P o o r w e a th e r is a ls o m a in ly re s p o n s ib le fo r th e p o o r in ten d e d re d u c tio n is in lin e w ith th e e x p e r ie n c e o f oth er citru s p r o s p e c ts in C a lifo r n ia th is y e a r . A v e r a g e g r o w th y e a r s w h e n d e c lin e s in th e e g g -fe e d p ric e ra tio h a v e been o f fr u it d u r in g th e w in te r w a s less th a n u s u a lly e x p e c te d fo llo w e d b y d ec lin es in th e n u m b e r o f ch ic k e n s b r o o d e d . d u r in g th a t p e r io d . C a lifo r n ia w e a th e r w a s g e n e r a lly f a v F e e d p ric es h a v e rise n s te a d ily th e p a st tw o y e a r s w h ile o r a b le d u r in g N o v e m b e r fo r c itru s fru its w ith S a n ta B a r e g g p ric e s so fa r th is y e a r h a v e be e n c o n sid e r a b ly b e lo w b a ra , V e n t u r a , a n d S a n D ie g o c o u n tie s re c e iv in g m u c h - y e a r -a g o le v e ls. T h e A p r i l a v e r a g e fa r m p rice w a s 8 cen ts n e e d e d ra in s. I n th e first p a r t o f D e c e m b e r , h o w e v e r , se a d o z e n less th a n in A p r i l 1 9 5 1 . v e r e w in d s a n d fr e e z in g te m p e r a tu r e s c a u se d s o m e d a m I n th e D is t r ic t th e e g g situ a tio n is n o t m u c h d iffe r e n t a g e . T h e u n u s u a lly w e t w e a th e r d u r in g th e la tte r p a r t o f f r o m th a t in th e c o u n tr y a s a w h o le . T h e la y in g flo c k o n D e c e m b e r a n d th e first p a r t o f J a n u a r y sta rted b r o w n D is t r ic t p o u ltr y fa r m s is c u r re n tly 5 p e r ce n t la r g e r th a n a n d w a te r ro t w h ic h m a te r ia lly re d u ce d p r o d u c tio n p r o s la st y e a r a n d o u tp u t h a s b e e n r u n n in g 9 p erce n t g r e a te r. p ects f o r N a v e l o r a n g e s . G e n e r a lly s p e a k in g , h o w e v e r , W i t h c u r re n t e g g p ric e s in th e D is t r ic t a b o u t 15 p erce n t th e fre q u e n t ra in s lo w e r th a n a y e a r a g o , h o w e v e r , fa r m e r s h a v e in d ica ted d u r in g F ebru ary and M arch w ere ben eficial f o r c itru s g r o v e s . th e y w ill ra ise f e w e r re p la ce m e n ts. I n th e th re e P a c ific C o a s t sta te s, w h e r e m o s t o f th e D is t r ic t ’ s e g g s are la id , Poultry products should be plentiful a d d itio n s to la y in g flo c k s are e x p e c te d to b e 15 p e rce n t F o r th e y e a r as a w h o le , n a tio n a l e g g p r o d u c tio n w ill p r o b a b ly e x c e e d th e re c o rd le v e l o f 1 9 5 1 . P r e s e n t e g g b e lo w la st y e a r ’ s le v e l. D e c lin e s in p o u ltr y m e a t f r o m fa r m ch ic k e n s w ill b e su p p lie s are c o m in g f r o m a la y in g flo c k w h ic h is 2 p e r o ffs e t c e n t la r g e r th a n th a t o f la st M a r c h . F o r th e first 3 m o n th s B r o ile r re p la c e m e n ts a r e c u r re n tly 2 5 p e rce n t a b o v e a o f 1 9 5 2 , n a tio n a l o u tp u t w a s 7 p e r c e n t g r e a te r th a n in y e a r a g o , a n d tu r k e y p r o d u c e r s in te n d to in cr e a se re 1 9 5 1 a n d it is lik e ly to c o n tin u e la r g e r u n til th e la s t q u a r p la c e m e n ts 11 p e r ce n t o v e r la st y e a r . T h e P a c ific C o a s t by in cr e a se s in tu r k e y and b r o ile r p r o d u c tio n . te r o f th is y e a r . T h o u g h th e n u m b e r o f y o u n g ch ic k s o n is e x p e c te d to s h o w th e la r g e s t in cre a se in p o u ltr y m e a t fa r m s A p r i l 1 w a s a b o v e a y e a r a g o , th is in d ica te s an o u tp u t. CHANGES IN BANKS AND BRANCHES—TWELFTH DISTRICT, 19 5 0 -5 1 th e en d o f 1 9 5 1 r e sid e n ts o f th e T w e l f t h D is t r ic t h a d offices a lto g e th e r . O f th e se n in e n e w b r a n ch sy s te m s , fo u r -TiL 1 ,9 0 9 b a n k in g offices in w h ic h to d o th e ir b a n k in g , are in C a lifo r n ia , o n e in I d a h o , o n e in U t a h , a n d th re e in an in cre a se o f 3 p erce n t o v e r th e p r e v io u s y e a r a n d a n W a s h i n g t o n . S e v e n a re m e m b e r s o f th e F e d e r a l R e s e r v e in cre a se o f m o r e th a n 15 p e r c e n t sin ce 1 9 4 0 . T h e in cre a se S y s te m . A t o f 5 0 a d d itio n a l offices in 1 9 5 1 w a s a lm o s t e n tir e ly a c c o u n te d fo r b y th e e s ta b lis h m e n t o f n e w b r a n c h b a n k in g offices as th e re w e r e o n ly tw o m o r e b a n k s in th e D is t r ic t th a n th e y e a r b e fo re . T h e n u m b e r o f u n it b a n k s in th e D is t r ic t d ec lin ed b y se v e n d u r in g th e y e a r . N i n e u n it b a n k s b e c a m e b r a n ch s y s t e m s , se v e n w e r e a b so r b e d b y e x is t in g b r a n c h b a n k s, a n d n in e n e w u n it b a n k s w e r e e sta b lish e d . F o u r o f th e A t th e en d o f 1 9 5 1 th e re w e r e 5 7 m o r e b r a n c h b a n k in g offices th a n a t th e en d o f th e p r e v io u s y e a r . E x i s t i n g b r a n ch banks opened 31 new bran ch es and se v e n u n it b a n k s . N i n e u n it b a n k s b e c a m e b r a n ch s y s te m s f o r th e first tim e d u r in g th e y e a r a n d e sta b lish ed te n n e w offices, th u s a c c o u n tin g f o r 1 9 n e w b r a n c h b a n k in g N umber of B a n k i n g O ffices — T w e l f t h D istrict December 31, 1940-51 1940 33 1,076 87 21 140 72 224 Arizona.......................... California ...................... Idaho.............................. Nevada.......................... Oregon .......................... Utah .............................. Washington.................. Twelfth District . . . . 1,653 1947 42 1,092 93 25 152 74 243 1,721 1948 50 1,115 95 25 159 76 247 1,767 1949 52 1,145 96 26 167 77 255 1,818 N um ber of B r a n c h B a n k s — T w e l f t h D istrict December 31, 1950 and 1951 absorbed 1950 55 1,167 98 26 173 78 262 1,859 1951 65 1,187 100 28 175 81 273 1,909 Number of branches Banks ,--------- operated by----------\ ,---- operating branches---- \ NonMemNonmemMember member r---- ber-----\ r -— ber---- \ f----- banks----- \ r - banks—% 1951 1950 1951 1950 1951 1950 1951 1950 2 2 431 2 2 362 12s 11s 27 20 19 922 908* 54 50 California ................ . 30 7 6 2 2 53 50 5 5 1 1 18 17 2 1 3 4 10 89 89 14 12 4 10 2 2 25 Utah ........................ . . 4 21 2 2 5 5 139 129 13 12 Washington ............ , . 12 6 10 Twelfth District . .. 1 Includes 2 Includes 3 Includes 4 Includes 63 56 43 41 1,289 1,250 102 10 Eleventh District branches of Twelfth District banks. 9 Eleventh District branches of Twelfth District banks. 4 Eleventh District branches of Twelfth District banks. 3 out-of-state branches. 93 44 FEDERAL RESERVE B A N K OF SAN FRANCISCO A pril 1952 N u m ber a n d T otal A ssets of A ll B a n k s — T w e l f t h D istrict December 31, 1950 and 1951 (assets in thousands) -All banks---------Number—N t------------ Assets— 1951 1950 1951 1950 Arizona .............. 8 $ 502,956 $ 436,469 California1 .......... 209 16,508,097 15,326,690 Idaho .............. 43 469,540 504,235 Nevada................ 8 215,680 190,878 O regon................ 72 1,625,910 1,538,768 Utah .................... .. 54 55 698,764 632,207 Washington........ 121 2,468,206 2,352,192 Twelfth District . . . 518 516 $22,523,848 $20,946,744 t----------------- Member banks----/'-Number-'v ,------------ Assets— 1951 1950 1951 4 4 $ 413,554 15,116,012 119 120 24 23 427,608 6 6 194,155 30 30 1,454,596 30 31 598,641 52 2,071,074 51 263 267 $20,275,640 $ 1950 374,988 14,009,068 400,484 173,915 1,382,262 538,375 1,975,402 $18,854,494 Member bank as percent ------------ Nonmember banks— of all bank k f— assets— > -Number—x /------------Assets1951 1950 1951 1950 1951 1950 6 4 82.2 85.9 $ 89,402 $ 61,481 92 89 1,317,622 91.6 91.4 1,392,085 19 19 76,627 69,056 84.8 85.3 2 *2 16,963 90.0 91.1 21,525 42 42 171,314 89.5 89.8 156,506 24 93,832 85.7 85.2 24 100,123 69 397,132 376,790 83.9 84.0 70 255 249 $2,248,208 $2,092,250 90.0 90.0 1 Includes 3 out-of-state branches, n e w b a n k s a r e in C a lifo r n ia , tw o in A r i z o n a , a n d th re e in W a s h i n g t o n , o f w h ic h o n e is a f o r m e r s a v in g s a n d T otal A ssets of M ember a n d N o nm em b er B r a n c h B a n k s — T w e l f t h D istrict , D ecember 31, 1950 a n d 1951 o f th e F e d e r a l R e s e r v e S y s t e m . T o t a l a s s e ts o f b r a n ch (in thousands) Branch bank as percent Member Nonmember of all bank t----- branch banks------\ f----- branch banks------ \ /—assets—\ 1951 1951 1950 1951 1950 . .$ 406,137 $ 367,787 $ 66,658 $ 55,442 94.0 893,834 839,080 89.9 California1 .. . . 13,940,083 12,897,388 31,846 28,195 80.3 333,115 175,478 156,778 16,316 12,591 88.9 62,323 1,254,309 55,920 84.8 7,689 53.6 8,385 U ta h ............ 366,230 248,375 226,826 81.5 Washington . . . 1,772,724 1,656,625 237,670 b a n k s r e la tiv e to a ll b a n k a s s e ts in cre a se d f r o m 8 6 .6 p e r Twelfth * ’ District ___ $18,349,518 $16,914,377 $1,317,032 $1,225,743 ce n t to 8 7 .3 p e r c e n t d u r in g th e y e a r . 1 Includes 3 out-of-state branches. lo a n a s s o c ia tio n w h ic h b e c a m e a m u tu a l s a v in g s b a n k . T o t a l a s s e ts o f all b a n k s c o n tin u e d to g r o w in e v e r y D is t r ic t sta te d u r in g 1 9 5 1 , w ith a n a g g r e g a t e in c r e a se o f 7 .5 p e r c e n t o v e r th e p r e v io u s y e a r . A s s e t s o f m e m b e r b a n k s r e m a in e d a t 9 0 p e r c e n t o f to ta l b a n k a sse ts a l th o u g h th e n u m b e r o f m e m b e r b a n k s d e c lin e d b y fo u r . S lig h t ly o v e r h a lf th e b a n k s in th e D is t r ic t a r e m e m b e r s TERMS O F UNITED STATES S A V IN G S BO N D S REVISED Secretary Snyder announced on April 29, 1952 a number of changes in United States Savings Bonds to go into effect on M ay 1. A brief summary of the changes is given below. Further details may be obtained upon request. The revised Series E bond will yield a much higher return in the earlier years than its predecessor. Interest will start at the end of 6 months instead of at the end of one year as formerly. The rate of interest accrued at the end of 6 months will be 1.07 per cent ; at the end of one year, 1.59 percent; at the end of 2 years, 2.10 percent; at the end of 3 years, 2.25 percent; at the end of 5 years, 2.52 percent; and so on. The over-all interest rate on Series E bonds has also been raised— from 2.9 percent to 3 percent com pounded semi-annually. The annual limit on Series E bond pur chases has been raised from the $10,000 maturity value that had been in effect to $20,000 maturity value. Series F and G bonds are being withdrawn from sale effective M ay 1, and will be replaced by two new series to be known as Series J and K . Series J will be a revised Series F bond and Series K will be a revised Series G bond. The new series will differ from the old series primarily in their higher interest rate schedules. They will pay 2.75 percent if held 12 years to maturity and will pay much higher intermediate yields than F and G bonds. The combined annual purchase limit for Series J and K bonds will be $200,000, as compared with $100,000 for Series F and G bonds. A new current income bond, Series H , will be placed on sale June 1. This bond will be a companion to the discount Series E bond and will be promoted along with the E bond. It will be is sued and redeemable at par. Interest will be paid by check semi annually on a graduated scale of rates very similar to the revised E bond scale. It will have the same maturity as the new Series E bond— 9 years, 8 months— and the same annual purchase limit of 1 87.3 86.6 $20,000 maturity value. It will be offered with a minimum de nomination of $500 and may be issued only to individuals. RECENT A M E N D M E N T S T O R E G U LA T IO N W On M arch 24 the Board of Governors of the Federal Reserve System issued the following statement to the press concerning changes in Regulation W : “ The Board of Governors announced today that effective im mediately Regulation W — Consumer Credit no longer requires down payments in connection with home repair and moderniza tion credits. The maximum permissible maturity for this type of instalment credit remains, however, at 36 months. “ This change is not expected to have significant effect upon the outstanding amount of home repair and modernization credit.” * * * On April 8 the Board of Governors of the Federal Reserve System issued the following statement to the press concerning Amendment N o. 8 to Regulation W : “ The Board of Governors has amended Regulation W effective immediately to exempt from down payment requirements all reg ulated articles costing less than $100. The exemption previously applied to articles costing less than $50. “ This change will simplify administration of the regulation without substantially affecting the volume of consumer instalment credit outstanding.” IND EX O F T O T A L N O N A G R IC U L T U R A L E M P L O Y M E N T Starting with this issue, the M o n t h l y R e v i e w indexes will in clude an index of total nonagricultural employment in the Twelfth Federal Reserve District. A descriptive article on this index will be published in the M ay M o n t h l y R e v i e w . April 1952 44A F E D E R A L R E SE R V E B A N K OF S A N F R A N C IS C O B U S I N E S S I N D E X E S — T W E L F T H D IS T R IC T * (1947-49 average — 100) Year and month 1929 1931 1933 1934 1935 1936 1937 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951 Petroleum8 Lumber Crude Refined Cement 87 78 54 97 57 55 51 36 52 50 27 41 35 44 52 50 54 62 56 33 64 61 58 70 65 74 71 56 75 64 45 58 67 63 72 56 67 63 61 79 69 68 81 93 74 71 96 93 85 83 79 90 93 63 90 93 65 97 98 72 91 94 85 81 97 100 98 96 100 104 104 101 103 100 99 99 112 98 103 112 112 128 114 106 1951 February M arch April M ay June July August September October Novem ber December Lead8 165 100 72 76 86 96 114 92 93 108 109 114 100 90 78 70 94 105 101 109 89 105 49 17 24 37 64 88 58 80 94 107 123 125 112 90 71 106 101 93 115 115 90 86 75 81 87 81 84 81 91 87 87 88 98 101 112 108 113 98 88 86 95 29 29 26 28 30 34 38 36 40 43 49 60 76 82 78 78 90 101 108 119 136 30 25 18 21 24 28 30 28 31 33 40 49 59 65 72 91 99 104 98 105 108 64 50 42 45 48 48 50 48 47 47 52 63 69 68 70 80 96 103 100 100 113 190 138 110 132 135 131 170 164 163 132 124 80 72 78 109 116 119 87 95 101 ‘ ioo 101 96 95 99 102 99 103 110 ‘ *47 54 60 51 55 63 83 121 164 158 122 104 100 102 98 105 119 102 68 52 60 66 77 81 72 77 82 95 102 99 105 100 101 106 100 94 97 100 ” 89 129 86 85 91 185 "5 7 81 98 121 137 156 150 168 187 192 196 201 240 215 187 182 192 167 178 183 140 166 147 142 155 172 144 130 112 110 124 131 124 101 114 105 118 109 99 105 105 105 105 106 107 107 107 107 107 106 115 110 111 110 110 112 115 116 114 116 109 126 122 122 138 132 142 138 129 130 124 119 103 101 102 95 91 84 67 74 80 85 88 116 118 127 119 114 112 98 108 116 114 118 102 94 93 90 81 83 90 96 96 99 101 129 135 135 135 135 140 141 135 141 140 136 109 109 110 110 110 111 111 110 111 111 111 117 118 118 120 120 120 120 118 120 121 120 92 99 113 106 107 92 94 104 101 101 100 112 102 102 104 103 108 106 108 106 114 110 110 112 112 113 112 113 112 112 113 114 117 93 107 106 106 111 113 94 112 89 101 109 109 112 105 142 139 113 113 122 124 86 101 105 103 116 113 1952 January February Total Waterborne nonagri Total Car Dep't foreign cultural m f’g loadings store Retail trade*»® Wheat Electric employ employ (num sales food Copper3 flour* ber)2 power ment (value)2 prices*»6 Exports Imports ment4 Industrial production (physical volume)2 146 B A N K I N G A N D C R E D IT S T A T IS T IC S — T W E L F T H D IS T R IC T (amounts in millions of dollars) Year and month 1929 1931 1933 1934 1935 1936 1937 1938 1939 1940 1941 1942 1943 1944 1945 1946 1947 1948 1949 1950 1951 Condition items of all member banks7 Bank rates on U.S. Demand Total short-term Loans and deposits Gov’t time business discounts securities adjusted8 deposits loans9 2,239 1,898 1,486 1,469 1,537 1,682 1,871 1,869 1,967 2,130 2,451 2,170 2,106 2,254 2,663 4,068 5,358 6,032 5,925 7,105 7,907 495 547 720 1,064 1,275 1,334 1,270 1,323 1,450 1,482 1,738 3,630 6,235 8,263 10,450 8,426 7,247 6,366 7,016 6,392 6,533 1,234 984 951 1,201 1,389 1,791 1,740 1,781 1,983 2,390 2,893 4,356 5,998 6,950 8,203 8,821 8,922 8,655 8,536 9,244 9,940 1,790 1,727 1,609 1,875 2,064 2,101 2,187 2,221 2,267 2,360 2,425 2,609 3,226 4,144 5,211 5,797 6,006 6,087 6,255 6,256 6,720 7,293 7,367 7,422 7,509 7,473 7,630 7,704 7,791 7,885 7,907 5,734 5,696 5,685 5,708 6,005 6,000 5,998 6,204 6,356 6,533 8,809 8,818 8,834 8,862 9,052 9,058 9,235 9,485 9,584 9,940 6,338 6,332 6,357 6,448 6,510 6,547 6,576 6,642 6,625 6,720 7,806 7,760 7,787 6,543 6,413 6,378 9,951 9,420 9,426 6,806 6,900 6,915 1951 M arch April M ay June July August September October November December Member bank reserves and related items10 Reserve bank credit11 — + — + + — + + + + + + + 3.20 3.35 3.66 3.48 3.67 + + + — — + + — 3.65 + — 3.82 + Coin and Commercial Treasury currency in operations12 operations12 circulation11 34 21 2 7 2 6 1 3 2 2 4 107 214 98 76 9 302 17 13 39 21 0 - 154 - 110 - 198 - 163 - 227 90 - 240 - 192 - 148 - 596 -1,980 -3,751 -3,534 -3,743 -1,607 - 510 + 472 - 930 -1,141 -1,582 23 + + 154 + 150 + 257 + 219 + 454 + 157 + 276 + 245 + 420 +1 ,000 +2 ,826 +4 ,486 +4 ,483 +4 ,682 +1 ,329 + 698 482 + 378 ,198 +1 +1 ,983 3 45 13 73 14 159 43 121 236 276 + - 124 200 162 113 342 80 18 143 239 102 + + + + + + + + + + 130 226 150 199 298 86 42 283 118 279 84 180 309 - 228 109 17 + 194 111 272 + + + + + + + + + + + + — — — — + — + + + + + + + + + Reserves Bank debits Index 31 cities*»18 (1947-49 =» 100)2 6 48 18 4 14 38 3 20 31 96 227 643 708 789 545 326 206 209 65 14 189 175 147 185 242 287 479 549 565 584 754 930 1,232 1,462 1,706 2,033 2,094 2,202 2,420 1,924 2,026 2,269 42 28 18 21 25 30 32 29 30 32 39 48 61 69 76 87 95 103 102 115 132 8 26 36 39 19 41 32 17 18 14 2,186 2,180 2,149 2,217 2,186 2,312 2,293 2,291 2,392 2,269 134 125 131 134 125 129 129 134 137 141 86 20 7 2,416 2,365 2,313 134 138 139 1952 January February March 3.94 + + + _ + 1 Adjusted for seasonal variation, except where indicated. Except for department store statistics, all indexes are based upon data from outside sources, as follows: lumber, various lumber trade associations; petroleum, cement, copper, and lead, U.S. Bureau of Mines; wheat flour, U.S. Bureau of the Census; electric power, Federal Power Commission; nonagricultural and manufacturing employment, U.S. Bureau of Labor Statistics and cooperating state agencies; retail food prices, U.S. Bureau of Labor Statistics; carloadings, various railroads and railroad associations; and foreign trade, U.S. Bureau of the Census. a Daily average. 3 N ot adjusted for seasonal variation. 4 Excludes fish, fruit, and vegetable canning. 6 Los Angeles, San Francisco, and Seattle indexes combined. 6 Commercial cargo only, in physical volume, for Los Angeles, San Francisco, San Diego, Oregon, and Washington customs districts; starting with July 1950, “ special category” exports are excluded because of security reasons. 7 Annual figures are as of end of year, monthly figures as of last Wednesday in month or, where applicable, as of call report date. 8 Demand deposits, excluding interbank and U.S. G o v’t deposits, less cash items in process of collection. M onthly data partly estimated. 9 Average rates on loans made in five major cities during the first 15 days of the month. 10 End of year and end of month figures. 11 Changes from end of previous month or year. 12 Minus sign indicates flow of funds out of the District in the case of commercial operations, and excess of receipts over disbursements in the case of Treasury operations. 13 Debits to total deposit accounts, excluding inter-bank deposits. r— revised.
@FedFRASER