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R ep rod uced from the U ncla ssified / D e cla ssified H o ld in g s o f the N a tio n a l A rch ive s

d e c l a s s if ie d

Au*orit y d c D a k a m a e '

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MINUTES OF THE MEETING OF EXECUTIVE COMMITTEE OF THE
FEDERAL OPEN MARKET COMMITTEE
H M D AT WASHINGTON, B. C.,

_______

MAY 23, 1934

the meeting was called to order at 10:15 a. m., the following being
present:
Governor Harrison, chairman, Governors Young, Horris, and Schaller
and Deputy Governor Burgess, secretary.
Governor Black was also present
©i© secretary presented a report of operations which was carefully
reviewed.

There ensued a discussion of the proper balance of maturities in the

System account*

was called to the reduction in yield on the securities

in the account and the need of some of the Reserve banks for additional earnings,

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There was discussion as to whether some shift into longer maturities might exert
a wholesome influence toward a reduction in the long term rate of interest^/
Question was also raised whether there was a possibility of a purchase of govern­
ment securities from the Federal Reserve System by the Treasury for the account
of the stabilization fund.

These questions were discussed wholly tentatively

without any conclusion being reached.
At 18:20 Secretary Morgenthau, Under Secretary Coolidge, Dr. Viner, and
Mr. Bell, joined the meeting.

There ensued an extended informal discussion with

regard to Treasury financing on June 15*




The meeting adjourned at 1:30 p* su

W* Randolph Burgess,
S e c re to ry

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