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The meeting of the executive committee of the Federal Open Market Committee was reconvened in the offices of the Board of Gover nors of the Federal Reserve System in Washington on Tuesday, January 26, 1943, at 12:20 p.m. PRESENT: Mr. Mr. Mr. Mr. Mr. Eccles, Chairman Sproul, Vice Chairman Szymczak Draper Alfred H. Williams Mr. Morrill, Secretary Mr. Carpenter, Assistant Secretary Mr. Goldenweiser, Economist Mr. John H. Williams, Associate Economist Mr. Wyatt, General Counsel Mr. Dreibelbis, Assistant General Counsel Mr. Rouse, Manager of the System Open Market Account Mr. Clayton, Assistant to the Chairman of the Board of Governors Mr. Piser, Chief, Government Securities Section, Division of Research and Sta tistics of the Board of Governors Mr. Berntson, Clerk in the Office of the Secretary of the Board of Governors Messrs. McKee, Ransom, Evans, Gilbert, Young, and Leedy, members of the Federal Open Market Committee Messrs. Paddock, Fleming, McLarin, Davis, and Day, alternate members of the Federal Open Market Committee Messrs. Leach and Peyton, Presidents of the Federal Reserve Banks of Richmond and Minneapolis, respectively Mr. Sienkiewicz, Conference Secretary of the Presidents' Reference was made to the instructions to be issued to the Federal Reserve Bank of New York to effect transactions in the System 1/26/43 open market account and it was agreed that, inasmuch as another meeting would be held on March 1, 1943, a renewal of the existing authority was all that was required at this time. Thereupon, upon motion duly made and seconded, and by unan imous vote, the executive committee directed the Federal Reserve Bank of New York, until otherwise directed by the executive com mittee, (1) To make such purchases, sales, or exchanges (including replacement of maturing securities and allowing maturities to run off without replacement) for the System account, either in the open market or directly from, to, or with the Treasury, as may be necessary in the practical administration of the account, or for the purpose of maintaining about the present general level of prices and yields of Government securities, or of maintaining an adequate supply of funds in the market; provided (a) that the to tal amount of securities in the account at the close of January 26, 1943, shall not be increased or decreased by more than $500,000,000 (exclusive of special short-term certificates of in debtedness purchased for the temporary accommodation ofthe Treas ury pursuant to paragraph (2) of this direction), and (b) that this paragraph shall not limit the amount of Treasury bills purchased pursuant to the direction of the Federal Open Market Committee is sued under date of September 28, 1942, or the redemption of such bills; (2) To purchase direct from the Treasury for the System open market account such amounts of special short-term certificates of indebtedness as may be necessary from time to time for the tempo rary accommodation of the Treasury; provided that the total amount of such certificates held in the account at any one time shall not exceed $1,000,000,000; and (3) Upon approval by a majority of the members of the execu tive committee, which may be obtained by telephone, telegraph, or mail, to make such other purchases, sales, or exchanges for the account as may be found to be desirable within the limits of the authority granted to the executive committee by the Federal Open Market Conmittee. Thereupon the meeting adjourned. Secretary. Approved: Chairman.
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