Full text of Federal Reserve Bulletin : January 1920
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FEDERAL RESERVE BULLETIN ISSUED BY THE FEDERAL RESERVE BOARD AT WASHINGTON JANUARY, 1920 WASHINGTON GOVERNMENT PRINTING OFFICE 1920 FEDERAL RESERVE BOARD. EX OFPICIO MEMBERS. W. P. G. HARDING, Governor. ALBERT STRAUSS, Vice Governor. CARTER GLASS, Secretary of the Treasury, Chairman, ADOLPH C. MILLER, CHARLES S. HAMLIN. JOHN SKELTON WILLIAMS, Comptroller of the Currency. H E N R Y A. MOEHLENPAH. GEORGE L. HARRISON, General Counsel, W. T. CHAPMAN, Secretary. W. W. HOXTON, Executive Secretary. R. G. EMERSON, Assistant Secretary. H. PARKER WILLIS, W. M. IMLAY, Fiscal Agent. W. W. PADDOCK, Chief, Division of Operations and Examination. Director, Division of Analysis and Research. M. JACOBSON, Statistician. J. E. CRANE, Acting Director, Division of Foreign Exchange. TABLE OF CONTENTS. Page. Review of the month Business and financial conditions: Summary Special reports by Federal Reserve agents Federal Reserve banking in 1919 International price index Gold policy and foreign commerce of the Scandinavian countries, 1914-1919 The French National Bank of Foreign Commerce Movement of foreign exchange rates in New York Official: State banks and trust companies admitted to the system Charters issued to national banks Banks granted authority to accept up to 100 per cent of capital and surplus Foreign branches of American banks Fiduciary powers granted to national banks Rulings of the Federal Reserve Board Law department: Renewal of drafts drawn by the purchaser of goods and secured at the time of original acceptance by warehouse receipts or bills of lading Miscellaneous: Adjustment of salaries in the Federal Reserve Banks Retail trade index The Edge Act, providing for the incorporation of institutions to engage in foreign banking Act making gold certificates legal tender '. Change in boundaries of districts Nos. 6 and 8 Election of directors of Federal Reserve Banks Los Angeles branch opened Directors of branch banks Branch at Oklahoma City approved Commercial failures reported Statistical: Wholesale prices in the United States Discount and interest rates prevailing in various centers k Physical volume of trade Debits to individual account, November-December Discount and open-market operations of the Federal Reserve Banks Operation of the Federal Reserve clearing system. Resources and liabilities of the Federal Reserve Banks Federal Reserve note account Condition of member banks in selected cities Imports and exports of gold and silver Estimated stock of money in the United States Foreign exchange rates in New York during three months ending December, 1919 Discount rates approved by the Federal Reserve Board Diagrams: Movement of foreign exchange rates at Stockholm Movement of foreign exchange rates at Copenhagen Exchange rates at New York on principal allied and neutral countries Exchange rates at New York on principal silver-standard countries Par point map in 1 13 19 11 26 35 46 49 62 62 60 63 64 65 66 54 53 56 60 59 60 60 61 63 63 68 72 74 84 88 94 95 100 102 108 109 Ill 110 40 41 51 52 94 OFFICERS OF FEDERAL RESERVE BANKS. Federal Reserve Bank Of- Chairman. Deputy governor. Governor. Boston Frederic H. Curtlss... Chas. A. Motes.. New York. Pierre Jay Benj. Strong, jr. Philadelphia... Cleveland R. L. Austin D.C.Wills E. P. Passmore. E. R. Fancher. Richmond Caldwell Hardy. - George J. Seay.. Atlanta Chicago Joseph A. McCord Wm. A. Heath... M. B. Wellborn. J. B. McDougal. St. Louis Minneapolis Kansas City Dallas San Francisco.. Wm. Me. Martin.. JohnH. Rich AsaE. Ramsay... Wm. F. Ramsey.. John Perria D. C. Biggs R. A. Young J. Z. Miller, j r . . . R. L. Van Zandt. J. U. Calkins 1 Controller. *Assistant to governor. Cashier. Chas. E. Spencer, jr. C. C. Bullen J. H. Case. L. F. Sailer. Wm. H. Hutt, jr M.J.Fleming 3 Frank J. Zurlinden 3 . 0. A. Peple R. H. Broaddus...... L. C. Adelson C. R. McKay 2 B. G.McCloud 0. M. Attebery 8 C. A. Worthington . Lynn P. Talley Wm. A. Day Ira Clerk.* «Acting cashier. W. Willett. 1 L. H. Hendricks. E. R. Kenzel.11 J. D. Higgms. 1 Channing Rudd. A. W. Gilbart.1 W. A. Dyer. H. G. Davis. Geo. H. Keesee. M. W. Bell. S. B. Cramer. J. W. White. S. S. Cook. J. W. Helm.8 Lynn P. Talley. W. N. Ambrose. * Assistant deputy governor. MANAGERS OF BRANCHES OF FEDERAL RESERVE BANKS. Federal Reserve Bank of— Manager. New York: Buffalo branch Ray M, Gidney. Cleveland: Cincinnati branch Pittsburgh branch L. W. Manning. Geo. De Camp. Richmond: Baltimore branch Morton M. Prentis. Atlanta: New Orleans branch Jacksonville branch Birmingham branch Nashville branch Marcus Walker. Geo. R. De Saussure. A. E. Walker. Bradley Curry. Chicago: Detroit branch R. B. Locke. Manager. Federal Reserve Bank of— St. Louis: Louisville branch Memphis branch Little Rock branch — W. P. Kincheloe. J. J. Heflin. A. F. Bailey. Kansas City: Omaha branch Denver branch 0. T. Eastman. C. A. Burkhardt. Dallas: El Paso branch Houston branch R. R. Gilbert. Sam R. Lawder. San Francisco: Los Angeles branch Portland branch Salt Lake City branch... Seattle branch Spokane branch Ira Clerk. C. L. Lamping. C. H. Stewart. C. J. Shepherd. C. A. McLean. SUBSCRIPTION PRICE OF BULLETIN. The FEDERAL RESERVE BULLETIN is distributed without charge to member banks of the system and to the officers and directors of Federal Reserve Banks. In sending the BULLETIN to others the Board feels that a subscription should be required. It has accordingly fixed a subscription price of $2 per annum. Single copies will be sold at 20 cents. Foreign postage should be added when it will be required. Remittances should be made to the Federal Reserve Board. Member banks desiring to have the BULLETIN supplied to their officers and directors may have it sent to not less than 10 names at a subscription price of $1 per annum. No complete sets of the BULLETIN for 1915,1916, or 1917 are available* FEDERAL RESERVE VOL. 6 JANUARY, 1920REVIEW OF THE MONTH. Treasury operations during the month of December have continued to Public finance. follow the same general course which had been reported during the autumn months. On the basis of the daily Treasury statements, the total receipts for December, exclusive of transactions in the public debt, aggregated $1,092,691,597.63, of which amount $905,307,590.08 represents receipts on account of income and profits taxes, while expenditures on the same basis aggregated $492,410,665.02, leaving a net current surplus for the month of $600,280,932.61. The total amount of income and profits taxes deposited with the Federal Reserve Bank of New York and its Buffalo branch for the period from December 1 to December 31 was $270,133,737.42. Sales of certificates of indebtedness under the offering of December 15 aggregated $728,130,000, of which amount $281,882,500 were in the New York district. The total amount of Treasury certificates maturing December 15 was $662,752,000, of which amount $294,189,500 were outstanding in the New York district. The net disbursements by the Treasury for interest on the public debt, on the basis of the daily Treasury statements, for the month of December were $140,566,811.57. Receipts in New York and at other points only partially offset the disbursements of the Treasury, and the result was a corresponding increase in funds momentarily available at the banks in those districts. Subsequent income-tax receipts and payments of loans by the banks out of the proceeds of redeemed certificates of indebtedness combined to reduce the earning investments of the Federal Reserve system, which fell to $2,891,836,000 on December 19. At the New York Federal Reserve Bank the level of earning assets on December 19 was the lowest since October 23. BULLETIN No. 1 The relations between public finance operations and the condition of the banks have thus been especially noteworthy during December, producing as they have a somewhat complex situation in the earning investments of the system. On 14 business days during the month of December the total investments of the Federal Reserve Bank of New York were more than $1,000,000,000. Since the middle of November Government deposits have been withdrawn with fair regularity. These deposits, created chiefly by the sale of certificates of indebtedness during August and September, resulted, when the Government called for the funds, in a momentary rise not only in rates on the stock exchange money market, but in the loans and discounts of the Federal Reserve Banks. This amounts to saying that the deposits resulting from the sale of certificates consist for the most part only of entries on the books of the banks showing credits to the account of the United States. I t is not until the Government demands deposits that the bank has to find the funds with which to pay. Recourse, if necessary, is then had to the Federal Reserve Bank where the purchased certificates or other collateral were put up as security for loans, and these are normally liquidated when the withdrawn deposits return to the banks as Government checks. The reserve percentages for the different banks of the Federal Reserve ****" s y s t e m ^ a v e continued during the month to show more or less fluctuation as between the several banks, but comparatively little fluctuation for the system as a whole. In the following table are given for November and December the reserve percentages obtaining for all Federal Reserve Banks combined. From this it will be seen that the combined reserve percentage of the system has decreased during the month of December about 1.6 per cent. 1 FEDERAL RESERVE BULLETIN. Per cent. November 7 N ovemb er 14 November 21 November 28 December 5 December 12 December 19... December 26 JANUARY, 1920. ities has not as yet been fully paralleled by 46. 8 rates in the southern and western parts of the 47.1 46.9 ountry. Conditions not only at Federal Reserve 45. 5 46.4 Banks, but throughout the New discount 46. 0 member banks of the system, 46.8 rates. as thus indicated, led the Board 44.8 on December 11 to authorize an advance in discount rates, while by a readjustment of rates the differential in favor of paper secured by Government obligations other than Treasury certificates of indebtedness was eliminated. The following table shows the new discount rates just referred to, and indicates a general level for 90-day commercial rediscounts amounting to 4f to 5 per cent. At the corresponding date last year the rates were generally \ to f per cent lower for Government secured paper, commercial discounts being about as at present. Upon the present basis the rate is substantially the same throughout the system, varying in Loans, discounts, and investments of reporting member banks the case of most of the banks not more than in leading cities. about one-fourth of 1 per cent, irrespective of [Amounts in millions of dollars.] whether the paper is commercial in character or is secured by Government obligations. During the same period the total of loans in the system and at the different banks has substantially been unchanged, there being only a minor reduction. This maintenance of the outstanding loans of the banks has been due to the fact that while some banks in the commercial centers have reduced their commitments very materially, partly as a result of high rates for call money, banks elsewhere have almost correspondingly increased their loans. The following table shows the movement of loans, discounts, and investments during the month of November and December: New York City. All Federal Reserve Bank cities. Leading cities in all Federal Reserve districts. Discount rates approved by Federal Reserve Board up to Dec. 31, 1919. Number Number Number of banks. Amount. of banks. Amount. of banks. Amount. Oct. 31 Nov. 7 14 21 28 Dec. 5 12 19 26 5,789 5,688 5,570 5,487 5,467 5,374 5,394 5,473 5,460 268 268 274 275 276 276 276 276 276 10,420 10,361 10,334 10,233 10,216 10,155 10,177 10,309 10,323 784 783 790 794 795 796 796 796 797 15,611 15,570 15,582 15,463 15,451 15,439 15,459 15,614 15,621 As a result of the continued maintenance of the volume of bank credit outstanding, interest rates have continued very high and have shown a marked rising tendency. The commercial rate of interest is now 6 per cent or higher, while call rates during the month ran as high as 18 per cent and were only temporarily reduced to moderate levels. These rates represent conservative tendencies in the loan policies of banks, but as the reports of the Board from the various Federal Reserve districts show, the higher trend in interest rates in the Federal Reserve Bank. Discounted bills maturing within 90 days (including member banks' Agricul15-day collateral notes) Trade ac- tural and secured by— ceptances live-stock maturing paper within maturing Treasury 90 days.* within 91 Otherwise certificates secured to 180 days. of indebtand unedness,. secured.1 Boston New York Philadelphia... Cleveand Richmond At'anta Chicago St. Louis Minneapolis Kansas City.... Dallas San Francisco.. 1 Rate on paper secured by War Finance Corporation bonds, 1 per cent higher. 2 Rate also applies to bankers' acceptances discounted by the New York and Cleveland banks. 3 Rate of 4i per cent on paper secured by 4J per cent certificates. < Rate of 4i per cent on member banks' collateral notes secured by 4J6 per cent certificates. Rate of 5 per cent for maturities 61 to 90 days. NOTE.—Acceptances purchased in open market, minimum rate 4 per cent. . JANUARY, 1920. FEDERAL RESERVE BUIiLETIK. It is thus seen that, with the exception of especially in the case of those banks which Minneapolis, all the banks have adopted a have been carrying a relatively large "float." uniform rate for all commercial paper maturing Early in 1918 the Federal Reserve Board within 90 days, the rate in the Minneapolis was informed of a disposition , - i i i district being 5 per cent for paper maturing Increased rates O n t ,-, he on bank balances. P a r t °f l a r S e b a n k s within 61 to 90 days, as against 4 | per cent throughout the country to infor shorter maturities. The differential estabdulge in sharp competition for bank balances lished during November between rates on and to offer inducements in the way of increased paper secured by 4J per cent Treasury cer- rates of interest. At that time the Board was tificates and paper secured by 4^ per cent consulted by representative bankers and an certificates has also been eliminated by most adjustment was arrived at. Upon the underof the banks through the adoption of a uniform standing then reached, the Clearing House 4$ per cent rate for paper secured by all classes banks of New York agreed to fix a rate of 2 | of Treasury certificates. These changes have per cent on bank balances payable on demand, brought about a great simplification in the with the proviso that the interest rate would Federal Eeserve System's rate structure. be automatically advanced or reduced oneThe effect of this advance in discount rates quarter of 1 per cent with each advance or was decidedly less than was the influence of decline of one-half of 1 per cent in the 90-day that which had been authorized on November rate at the Federal Reserve Bank of New York. 4, due to the fact that the influence of the This rate is now 4f per cent, and should it be second increase of December 11 was directly advanced at any time to 5 per cent the rate in line with the policy which had already been of interest paid by New York banks for outinitiated on November 4. In New York the of-town bank balances would advance autoannouncement of the new rates was followed matically to 2J per cent, and a 5^ per cent by a day or two of high call interest charges rate at the New York reserve bank would and of active liquidation, while a similar effect, advance the interest rate on bank balances although in less pronounced degree, was automatically to 2 | per cent. observable at other points throughout the The Board wishes to be free to approve country. such discount rates as conditions may make In this connection reference may be made necessary or desirable, but it is anxious at the to a letter transmitted by the Board to Federal same time to avoid a disturbance of the Reserve Banks under date of December 19 whole banking situation such as would most in which a new method of figuring deposits likely result from an advance in the interest upon which reserve is to be computed was laid rate allowed on out-of-town balances by the down. In accordance with an opinion of New York Clearing House banks, or banks counsel the Board now rules that beginning in other large centers. with February 12, 1920, the reserve to be car- The Board has decided, therefore, to invite ried by Federal Reserve Banks against deposits representatives of the clearing houses from will be computed against immediately avail- all parts of the country to meet together in able deposits only. Items on the liability side Washington on Tuesday, January 6, 1920, whose availability is deferred and uncollected for the purpose of discussing this matter in items on the resource side of the bank state- the hope that some way will be found of ment of condition will be disregarded in deter- abrogating the existing entangling alliance mining the deposit liability upon which reserve between Federal Reserve Bank discount rates is computed. This action will tend to apply and interest rates on deposits without endana more severe standard of computation, gering existing banking relationships. JANUARY, 1920. FEDERAL RESERVE BULLETIN. The month of December has been a period of unusual uncertainty and disForeign ex- organization in the foreign exchange and for- c h remarkmarket. A eign credits. _a °, .. . , , . „ ^ able decline in the chief European quotations occurred between the beginning and the 14th of the month, directly ascribable to the excess of our exports to, over imports from, the countries which were primarily affected. Generally abnormal conditions now exist in the exchange market. Current items are not being settled continuously as before the war, while many exporters are " carrying" their foreign customers upon open account. In the following table are furnished figures designed to set forth some of the more interesting movements occurring during the month at selected dates. In each case the low quotation for the day mentioned has been cited. England France Italy Spain Argentina Hongkong China (Shanghai). Japan Nov. 29. Dec. 6. Dec. 13. 3.99f 9.84 12.28 19.60 43.125 100.00 150.00 50.31J 3.84} 10.75 12.77 19.65 43.25 101.75 150.00 50.50 3.65i 11.87 13.60 19.50 43.15 100.50 159.00 50.50 Dec. 20. 3.71* 11.35 13.22 18.70 43.125 99.00 164.00 50.50 Canadian exchange has also been quoted as low as 11 per cent off, although during the latter part of the month there was recovery. These conditions in the exchange market have been the subject of close scrutiny and continuous discussion on the part of both domestic and foreign authorities. Public statements made by various British economists and publicists have been based upon what was considered to be the necessity of obtaining from the United States definite action designed to alleviate what they thought to be a wholly abnormal and distressing condition. In several countries, notably in the Central Empires, the exceedingly low value of the currency has been such as to make importation from the United States very difficult. The abnormal exchange situation is in part due to the extreme depreciation of many foreign currencies as compared with gold in their home markets, and is not entirely assignable to the derangement of imports and exports between the United States and other countries. According to the reports made public by the Bureau of Foreign and Domestic Commerce, November foreign trade figures (issued on Dec. 23), show a continuously increasing balance of trade in favor of the United States. This balance for the whole of the year 1919, it is now estimated, will run well up toward $4,000,000,000. The November figures not only show no sign of slackening in the movement of goods but even indicate an increase, though it should be noted that there has also been a marked increase of importations. The net excess of exports over imports for the month is, however, $311,710,086, a figure in excess of the balance for the preceding month. While, however, figures for the volume of United States exports are thus very large, it is to be recalled that they have attained this great size largely as a result of the high prices of commodities and that they do not represent a corresponding increase in the number of units of goods exported. Indeed, in some branches of business there has been a distinct falling off in the actual volume of goods shipped. The following condensed table shows the export trade situation as indicated by the figures made public on December 23—an 11month showing. November— 1919 Free of d u t y . Dutiable 1918 $302,136,620 127,074,457 Total.. $204,274,453 46,733,584 429,211,077 Domestic.. Foreign... Total Excess of exports. 729,807,707 11,113,456 513,180,250 9,056,344 740,921,163 522,236,594 311,710,086 271,228,557 11 MONTHS ENDING NOVEMBER— Free of duty. Dutiable Total 1919 1918 $2,428,838,518 1,099,293,791 $2,066,896,344 753,429,849 $361,942,174 345,863,942 3,528,132,309 2,820,326,193 707,806,116 7,084,005,090 158,040,708 5,492,495,386 90,706,047 1,591,509,704 67,334,661 1,658,844,365 Increase. EXPORTS. Domestic Foreign. Total 7,242,045,798 5,583,201,433 Excess of exports. 3,713,913,489 2,762,875,240 JANUARY, 1920. FEDERAL, RESERVE BULLETIN. The problem thus presented by our export trade situation is one of the utmost importance in connection with international trade and with the continuance of active business conditions in the United States. For several months past it has been the belief of foreign trade authorities that the growingly unfavorable rates of exchange would form an impenetrable obstacle and that as a result of the lack of systematic foreign credits a considerable falling off in our shipments would take place. In considering this prediction and its apparent nonfulfillment, there is, however, to be borne in mind the fact that the growing volume of exports to which reference is made is in terms of money and not in volume of goods, foreign countries now being obliged to pay far higher values for raw materials than they did even a few months ago. On the other hand, it should be remembered that as yet time has not been afforded for establishing the results of the present credit situation in foreign trade. Whatever the amount of credit extended through the efforts of banks and commercial houses to European buyers may be, it is different in its character and effect as well as in its volume from the credit extended through the use of Government funds up to a period shortly after the conclusion of the armistice at the end of 1918. Some American export houses have been financing their foreign customers to a considerable extent either by carrying them on open account or by leaving credit balances due themselves on deposit with foreign banks. Such houses are of course obliged to resort to their own banks for larger accommodation than they would otherwise need, so that the indirect extension of credit from banking sources in support of foreign trade may be very considerable, although it does not result in an immediate and complete cancellation of indebtedness such as occurred when the Treasury advanced the proceeds of public loans for the use of buyers representing European nations. In view of the continuance of very high exports to European countries, Foreign financing. trade ^ acti(m of . Co , . sg a n d the ... President in definitely placing the so-called "Edge Act" upon the statute books becomes a matter of moment. Action upon the conference committee's report regarding this measure having been taken by the Senate on December 15, the President on December 24 signed the measure, thus enacting it into law. The provisions of the bill have been fully set forth in general terms in past issues of the BULLETIN and do not need detailed review at this time. It is, however, important to note that the measure in the form in which it has been enacted calls for action by the Federal Reserve Board in order to carry its terms fully into effect. The Board has jurisdiction of the procedure relating to the organization of corporations under the act and is also required to regulate the conditions under which the corporations may operate in numerous important respects, including the terms and conditions upon which bills and drafts may be accepted and those upon which debentures, bonds, and promissory notes may be issued, while the Board is given general authority to determine what powers the concerns may exercise as incidental to the powers conferred by the act or as usually exercised by similar corporations. Whenever an Edge Act corporation receives deposits in the United States it is required to carry reserves in such amount as the Board may prescribe, but in no event less than 10 per cent of those deposits. To the Board also is assigned the duty of passing upon applications made by any such corporation to purchase and hold stock in other corporations organized under the terms of the Edge Act, under the terms of any State law, or under the laws of any foreign country. Other functions in connection with the eligibility of directors on the boards of the new corporations are intrusted to the Federal Reserve Board, to which the various corporations are FEDERAL RESERVE BULLETIN. required to report and by whose examiners they are to be examined. These numerous details in connection with the organization and operation of the proposed corporations will require the issue of regulations or instructions designed fully to cover the points specified in the law. Such regulations are already under advisement and the Board expects to make them public without delay to the end that there may be no further postponement of action under the terms of the law by those who desire to take advantage of its provisions. The question how far the proposed organization will be able to furnish effective aid under existing conditions to European countries is one upon which no definite opinion can be expressed; but which will depend not only upon the number and scope of the new concerns, but also upon the extent to which investors all over the United States respond to the offer of debentures to be issued by them. The fact already referred to that low quotations of foreign currencies are Currency in no small degree merely a changes. reflection of the fact that these currencies are depreciated at home is clearly realized by foreign banking authorities. This is shown by the action of the British Exchequer, announced on December 18, in fixing the volume of British secured circulating currency notes at a figure identical with the maximum which has existed during the past year. This circulation has increased during 1919 about £38,000,000. It will be remembered that the so-called "Cunliffe Committee/7 which reported in 1918 and whose report was then published in the FEDERAL RESERVE BULLETIN, pointed to a limitation of the volume of Government issues of all kinds as a cardinal principle in the restoration of sound financial conditions in England. The action now taken would seem to be an acceptance of this view then expressed. If adhered to, the policy would mean a distinct limit to further currency inflation in Great Britain, as any further demands for circulation would have to be met from bank reserves as they were when England was on a gold basis. In this connection it is JANUARY, 1920. interesting to note an increase in the volume of Bank of France notes of 1,433,671,000 francs, while the increase of Federal Reserve notes during the past year amounts to nearly $372,000,000. In all such cases the real question to be determined is whether the increase of notes issued represents a corresponding growth of business transactions which carry with them their own power of "liquidation/' or whether they are in effect a conversion of Government bonds or other obligations into terms of money. The action taken by Great Britain parallels the policy adopted by Congress after the close of the Civil War in fixing the volume of greenbacks at a specified maximum which could not be exceeded. Contraction of currency or of credit in general may be effected through change in the backing or protection which supports the issues or in lieu of such far-reaching action, a first step may be taken through the policy of maximum limitation which the British Government is now reported to have adopted. In the United States the question to be considered in connection with the currency would naturally be how far the growth in its volume corresponds to a growth in the volume of current production and business. Indices of the physical volume of trade, which have been collected by the Board during the past year, point to a shrinkage in production. As has often been stated in the BULLETIN, these indices are as yet incomplete. The conclusion to be drawn from them as they stand is, however, supported by the comparison of ton-mile freight movements on American railroads. Such a comparison tends to show an even heavier falling off, although here it should be remembered that during the war the high movement of war freight to export points produced an artificial level of comparison. The indications at all events are clearly to the effect that there has been some decrease rather than an increase in the country's general output. While the question of private action in the financing of European needs Aid for Europe. , ,-, • , .• n has thus been practically referred to the bankers and investors of the JANUARY, 1920. FEDERAL RESERVE BULLETIN. country, the question of governmental inter- December 18, Mr. Glass said that "in order to vention is still under discussion in the press. meet the urgent necessity of keeping the destiThe Secretary of the Treasury in his annual tute populations of Europe alive^through this report to Congress, transmitted at the opening winter, there must be taken at once measures of the session, calls attention to the situation for their relief. The resources and efficiency of and expresses the opinion that—the private charities of this country are not " inequalities of exchange reflect not only the adequate to the necessities which can not in trade and financial balance between two coun- the nature of the case be financed through orditries, but, particularly after a great war such nary private channels." Congress had already as that we have been through, the inequalities been advised that it was the desire of the of domestic finance. The United States has met a greater proportion of the cost of the war department to fund the maturing interest oblifrom taxes and bond issues than any other gations of allied Governments to which we country. Largely as a consequence of this had made loans during the war, in so far as policy, the buying power of the dollar at home such Governments might deem action of the kind has been better sustained than has the buying necessary and in so far as it might be deemed wise power at home of the currency of any European belligerent. For the United States to deter- by Treasury authorities to make this concession mine by governmental action to depress the to them. The Treasury is considering with dollar as measured in terms of foreign exchange representatives of the Governments of the and to improve the position of other currencies Allies the funding of the demand obligations as measured in terms of dollars would be to which the United States holds into long-time shift to the American people the tax and loan burdens of foreign countries. This shifted obligations, and at the same time the funding burden would be measured by the taxes to during the reconstruction period, or, say, for a be imposed and the further loans to be ab- period of two or three years, of the interest on sorbed by our people as a consequence and by the obligations of foreign Governments acquired increased domestic prices. United States Gov- by the United States under the Liberty loan ernment action at this time to prevent in respect to foreign exchange the ordinary opera- acts. The relief thus furnished by the action tion of the law of supply and demand, which of the department should in an important automatically sets in action corrective causes, degree alleviate the necessities of the European and to prevent the dollar from going to a financial situation by relieving European Govpremium when its natural tendency is to do so, ernments of the necessity of providing a volume would artificially stimulate our exports, and through the competition of export demand of exchange which may be roughly estimated as with domestic demand, maintain or increase $500,000,000 per annum in order to meet their domestic prices." current indebtedness to the United States. One of the important phenomena of the Although thus expressing in unmistakable past month has been the rapid language the general view of our financial Silver situation. advance in the price of silver, relations to Europe which has been the conboth in the London and New York markets. sistent policy of the Treasury ever since the This advance has carried the value of the metal conclusion of the armistice and which is as high as $1.3575 in the United States. In generally accepted as the sound one, the the following table the course of silver prices Secretary of the Treasury is disposed for humanitarian reasons to modify his attitude in during the past few years is briefly sketched, so far as relates to the relief of immediate with more detailed figures covering the years suffering. In a letter to Congress dated 1918 and 1919. 8 FEDERAL RESERVE BULLETIN. JANUARY, 1920. December 10, 1919, showing a net excess of exports of about $145,000,000. In view of the conditions thus indicated by the movement of silver bullion out of the country to the Orient, announcement was made on December 6 that [Data furnished by the Director of the Mint.] under arrangements made between the Treasury and the Federal Reserve Board standard Average Value of annual pure silver silver dollars that are free in the Treasury will Year. price a silver of ounce in dollar. until further notice be delivered against other of silver forms of money to the Division of Foreign $0.41825 Exchange of the Federal Reserve Board, which $0.54077 1910 . . . . 1911 .41709 .53928 .47543 will through the Federal Reserve Bank of New .61470 1912 . . . 1913 .46760 .60458 .55312 .42780 York, cooperating with the branches of Ameri1914 1915 .40135 .51892 .53094 can banks in the Orient, employ such dollars .68647 1916 .69242 .89525 1917 .76142 in regulating our exchanges with silver stand1918 .98446 1.12085 .86691 1919 ard countries. I t was noted that the arrangement referred to can not of course affect the Average monthly .New York prices oj* fine bar silver per ounce. redemption of outstanding silver certificates in standard silver dollars. Average Average Further changes in the price level have ocNew York New York price of price of Year and month. Year and month. curred during the month of fine bar fine bar silver per silver per 8 December. The index number ounce. ounce. priceievel *" of the Bureau of Labor for the IS 19. 1918. $1.01558 month of November showed an upward move$0.93927 January.. January 1.01500 ment of 7 points, while Sauerbeck's index num.89514 February February 1.01475 .92728 March... March 1.01500 ber for Great Britain shows a parallel movement .98394 April April.. May 1.08020 1.00003 May 1.11402 of 8 points as compared with 1913 as a base, 1.00010 June June - ... 1.07332 1.00000 July July 1.00692 August... 1.12386 or 7 points compared with its original base. August • 1.01492 September September 1.15636 1.20692 These changes continue to be of large impor1.01500 October.. October 1.01500 November 1.30446 November 1.01587 December 1.33072 tance, as has been noted by the BULLETIN in December Average for year Average for year... .98446 1.12085 the past, in their bearing upon both economic and social conditions through their influence The situation has been such as to tend to on wages and other forms of income. They stimulate the movement of our exports to are also exercising an influence upon investoriental countries in precisely the same way ment conditions. As prices advance and that the unfavorable conditions of exchange in money loses in its purchasing power, the marrelation to Europe have tended to hamper the ket tendency is to increase the rate of interest sale of our goods in those countries in which to be required for the use of capital. There has the dollar was at a premium. The brief table been some indication of changes in this regard already furnished at an earlier point in this as evidenced in the lowered value of investment issue shows how the dollar in trade with ori- securities. Careful analysis of the situation, ental nations has tended to fall below par, just however, shows that the change in the cost of as exchanges upon the European belligerents capital which has occurred during the past few have shown the dollar at a quotation very far months has been far less than that which has above par. At the same time there has been taken place in the value of goods. A survey of heavy exportation of silver from the United the situation recently made for the Federal States to oriental countries, the aggregate ship- Reserve Board would indicate the following ments of the metal between January 1 and results: Annual average price of a fine ounce of silver, 1910-1919, based upon London quotations at par rate of exchange for ike years 1910 to 1917, inclusive, and on New York quotations thereafter; also bullion value of Sll\ grains of pure silver (contents of silver dollar) at the average annual prices quoted. JANUARY, 1920. FEDERAL RESERVE BULLETIN. Mexico. Of the gold exports, amounting to $57,797,769, $21,050,000 were consigned to Argentina, $19,035,474 to Japan, $4,494,415 to Per cent. Per cent. Per cent. 4.62 4.62 Hongkong, $3,953,780 to British India, $1,986,Municipals 4.28 5.96 5.24 4.92 Railroad bonds 6.63 5.84 453 to China, and $1,200,000 to Spain, the re6.71 Industrial bonds 6.51 5.73 6.21 Industrial notes 7.25 6.81 mainder going principally to Mexico, Straits 6.88 Industrial preferreds Settlements, Panama, Canada, and Dutch These net yields after taxes were obtained East Indies. Since the removal of the gold by deducting 12 per cent from the bond and embargo on June 7 total gold exports have note yields, except municipals (which are not amounted to approximately $331,673,000. Of subject to Federal tax), and 6 per cent from the this total about $92,635,000 were shipped to Japan, $54,050,000 to Argentina, $34,686,000 yield of preferred stocks. It is worthy of note that upon the basis of to China, $36,094,000 to Hongkong, $31,954,these estimates the gross price of capital ob- 000 to British India, and $29,200,000 to Spain, tained through the issue of industrial bonds and the remainder largely to Uruguay, Venehas gone up 0.92 per cent; and of this, the war zuela, Dutch East Indies, Mexico, and Canada. taxes account for 0.79 per cent, while the rise The net outward movement of gold since the in the price of capital, meaning net to the in- removal of the embargo was approximately vestor, accounts for only 0.13 per cent. So $308,946,000. During the same monthly period the net outgreat has been the effect of the enlarged earning power of the industrial companies upon the ward movement of silver was $29,168,000, as credit of the companies that industrial notes compared with a net outward movement of and preferred stocks apparently yielded at the $1,688,000 for the month ending November 10. time of this estimate actually less in the net Net exports of silver since August 1, 1914, were $424, 603,000, as may be seen from the followthan they did in 1913. ing exhibit: During the month ending December 10 the net outward movement of gold [In thousands of dollars, i. e., 000 omitted,] Security. JOHSL'*'*™s Yield 1913. Yield now. After taxes. $54,688,000, as compared with a net outward movement of $44,950,000 for the month ending November 10. Net imports of gold since August 1, 1914, were $792,073,000, as may be seen from the following exhibit: [In thousands of dollars, i. e., 000 omitted.] Imports. Exports. Excess of imports over exports. Aug. 1 to Dec. 31,1914 Jan. 1 to Dec. 31,1915 Jan. 1 to Dec. 31,1916 Jan. 1 to Dec. 31,1917 Jan. 1 to Dec. 31,1918 Jan. 1 to Dec. 10,1919 Total Imports. Exports. Excess of exports over imports. 12,129 34,484 32,263 53,340 71,376 82,271 22,182 63,599 70,595 84,131 252,846 227,113 10,05S 19,115 38,332 30,791 181,470 144,842 285,863 710,466 424,603 Almost three-fourths of the silver imports for the most recent monthly period, amounting to $7,649,000, were received from Mexico; Salvador, Canada, Chile, and Peru furnishOf the silver ex792,073 ing most of the remainder. 1,843,345 1,051,273 Total ports, amounting to $36,817,000 (as against 1 Excess of exports over imports. $9,577,000 the month before), $27,271,000 were Gold imports for the monthly period, amount- consigned to China, $3,554,000 to Hongkong, ing to $4,554,198, were received principally $3,221,563 to Canada, and the remainder prinfrom Canada, New Zealand, Belgium, and cipally to the Netherlands and Mexico. Aug. 1 to Dec. 31,1914 Jan. 1 to Dec. 31,1916 Jan. 1 to Dec. 31,1916 Jan. 1 to Dec. 31,1917 Jan. 1 to Dec. 31,1918 Jan. 1 to Dec. 10,1919 23,253 451,955 685,745 553,713 61,950 66,729 104,972 31,426 155,793 372,171 40,848 346,063 181,719 420,529 529,952 181,542 21,102 1279,333 10 FEDERAL RESERVE BULLETIN. During the^four weeks between November 21 and December 19 member banking b a n k s i n t h e l e a d i n situation. g c i t i e s report net liquidation of 8 millions of United States bonds and of 33.6 millions of Victory notes, as against an increase of 23.3 millions Treasury certificates, following the latest issue of tax certificates on December 15. % War paper holdings, exclusive of amounts rediscounted, show a decline of 37.6 millions, due largely to redemption by the Government at or before maturity of Treasury certificates. The net decrease for the 4 weeks in the aggregate holdings of United States war securities and war paper, 56 millions, is, however, more than fully offset by increases of 49.6 millions in the total of loans secured by stocks and bonds and of 157.6 millions in other loans and investments. On the other hand, these banks reduced their bills payable with the Federal Reserve Banks by 208.4 millions, so that, on the whole, their net loans and investments show but little change for the period under review. Payment of income and excess-profits taxes due on December 15 resulted in a considerable reduction of their net demand deposits, the amount carried by reporting banks on December 19 being 148 millions less than four weeks before. For the same period the banks report an increase of 416.2 millions in their Government deposits. Data for the Federal Reserve Banks, available for the 5-week period ending December 26, indicate a gradual reduction in the holdings of war paper to 1,414.9 millions on December 19 (a decrease of 258.9 millions since November 21) and a gain of 95.4 millions for the following week. Other discounts show a continuous growth, the December 26 total being 233.8 millions in excess of the corresponding November 21 figure. Fifteen-day paper, which constituted about 83 per cent of the total discounts held by the Federal Reserve Banks on October 31, the Friday preceding the adoption of the new rate schedule, which did away with the differential between 15-day and 90-day war paper in nearly all districts, constituted 68 per cent of the total discounts held on the last Friday in 1919. Acceptances on hand in- JANUARY, 1920. creased from 480 to 585.2 millions, a new high record, while total earning assets likewise reached a record total of 3,080.5 millions, an increase since November 21 of 163.6 millions. Net deposits reached the low level of 1,610.9 millions on December 19, following the heavy tax payments due on December 15, and on the following Friday stood at 1,704.5 millions, a decrease of 142.3 millions since November 21. Loss of 40.9 millions in gold reserves and 51.4 millions in total cash reserves were Caused apparently to a large extent by export withdrawals of gold and silver. Federal Reserve note circulation shows an increase for the five weeks of 240.4 millions, or at an average weekly rate of about 48 millions, the increase being especially marked during the last two weeks of the year. As a result the reserve ratio of the banks shows a decline from 46.9 to 44.8 per cent. Under date of December 27, 1915, the Resignation of Federal Reserve Board pubdirectors, lished the following resolution: Whereas, it is the opinion of the Federal Reserve Board that persons holding political or public office in the service of the United States, or of any State, Territory, county, district, political subdivision, or municipality thereof, or acting as members of political party committees, can not consistently with the spirit and underlying principles of the Federal Reserve Act, serve as directors or officers of Federal Reserve Banks. Resolved, That the Federal Reserve Board hereby expresses to the member banks its opinion that no such persons should henceforward be elected or act as directors or officers of Federal Reserve Banks; and prescribes as a condition of eligibility that candidates for election shall comply with the terms of this resolution. Resolved further, That copies of this resolution be sent to every member bank and Federal Reserve Bank and to all directors of Federal Reserve Banks. In accordance with the spirit and purpose of this resolution, two resignations from Federal Reserve Banks have occurred. Col. William B. Thompson has resigned as class B director of the Federal Reserve Bank of New York to become chairman of the Republican National Ways and Means Committee, and Mr. William C. Procter has resigned from the board of the Cincinnati branch of the Federal Reserve Bank of Cleveland. JANUARY, 1920. FEDERAL RESERVE BULLETIN. Federal Reserve Banking in 1919. During the calendar year 1919 activities of the Federal Reserve Banks continued in undiminished scope and volume. Cessation of actual hostilities did not end the war work of the banks, and loan operations for the Government in close harmony with the Treasury, involving the flotation of the last popular war loan and the placing of the several issues of loan and tax certificates, continued to be one of the leading if not the leading function of the Federal Reserve Banks. This task involved collection, concentration, and disbursement on Government account of 15,669 million dollars, of which 4,491.5 millions represents the total of the Victory loan allotted; 6,754.4 millions the combined amounts of eight series of certificates issued during the year in anticipation of the Victory loan and of four series of the so-called loan certificates; and 4,423 millions the total of eleven series of certificates issued in anticipation of income and excess profits taxes due in 1919 and 1920. The success of these issues was due in part to the accommodation accorded to member banks through the discount at preferential rates of so-called war paper—i. e., member banks7 own notes and customers7 paper secured by United States war bonds and certificates. Reported holdings of war paper, which totaled slightly over 1,400 millions at the close of 1918 and reached a maximum of 1,863.5 on May 16, about jbhe time of the consummation of the Victory loan, when war paper constituted 91.4 per cent of the total discounts held by the Federal Reserve Banks, gradually declined to 1,383.9 millions, or 84.1 per cent of the total discounts held by these banks on September 19. Between that date and the middle of November these totals followed an upward course. Since then, as the result of rate revision, the amount of war paper has gone down to 1,510.4 millions, or 68.8 per cent of the total discounts held on December 26. Of this total, 732.4 millions, or 48.5 per cent, were secured by Liberty bonds, 337.7 millions, or 22.3 per cent, by Victory notes, and 440.3 millions, or 11 29.2 per cent, by Treasury certificates. Other discounts, which aggregated 302.5 millions at the close of 1918, continued at a comparatively low level during the greater part of the year. It was only at about the close of September that the discounts of ordinary commercial paper began to show material increases. On December 26 holdings of this class of paper aggregated 684.5 millions, and constituted 31.2 per cent of the Federal Reserve Banks' total holdings of discounted bills, as against less than 18 per cent the year before. Acceptances on hand, which totaled 303.7 millions on December 27, 1918, moved within moderate limits during the first part of the present year. About the end of June the total for the first time in the year was in excess of 300 millions. During the last two months of the year, however, the accumulation of acceptances in the portfolios of the Federal Reserve Banks proceeded at a rapid pace, the total held on the last Friday of the present year, 585.2 millions, being over 21 per cent of the total bills held by the Federal Reserve Banks, compared with 15 per cent the year before. During the year the banks7 holdings of United States bonds show a reduction from 28.9 to 26.8 millions, the present holdings comprising largely circulation bonds and 3 per cent conversion bonds and, only to a very small extent, Liberty bonds. An increase since January 3 of 148.4 millions in Treasury certificate holdings represents largely additional investments of the banks in one-year 2 per cent certificates to secure Federal Reserve bank-note circulation. Total earning assets increased during the year from 2,318.2 to 3,080.5 millions, or nearly 33 per cent. During the earlier part of the year, while the gold embargo was still in force, and between August and November, the banks' gold reserves were increased through net imports of gold and through the acquisition of German gold and its transfer to London. These gains were practically offset, however, by the amount of gold withdrawn for foreign shipments, largely to Spain, Argentina, and the Far East, 12 FEDEBAL BESEBVE BULLETIN. with the result that gold reserves at the close of the present year, 2,078.4 millions, are 11.9 millions less than a year ago. Total cash reserves show a similar decline from 2,146.2 to 2,135.5 millions. As against moderate changes in the banks' reserve holdings, their net deposits, because of the increase in membership and in consequence of the general credit expansion, show an increase during the year from 1,552.9 to 1,704.5 millions. Federal Reserve note circulation on the last Friday in 1918 totaled 2.685.2 millions. During the early part of the present year there was considerable contraction of the note circulation, followed by moderate expansion up to the close of September, when the notes in circulation totaled 2.655.3 millions. Since then the volume of circulating notes has increased by over 400 millions, or at an average weekly rate of over 30 millions. In addition there has been an increase during the year of 143.9 millions of Federal Reserve bank notes in circulation, issued largely to take the place of silver dollars melted and silver certificates withdrawn from circulation under the Pittman Act. The reserve position of the banks until the close of September shows but little change, the JANUARY, 1920. ratio of cash reserves to aggregate deposit and note liabilities during the entire period, except on July 11, continuing above 50 per cent. Substantial growth of deposit liabilities during October and November and the large note issues during the last two months, coupled with a simultaneous loss of about 70 millions in reserves, account for the considerable decline in the reserve ratio during the latter part of the year. On the last Friday of 1919 the reserve ratio stood at 44.8 per cent, compared with 50.6 per cent on the corresponding date in 1918. Some indication of the growth of the system is afforded by the comparative figures of paidin capital, which show an increase during the year from 80.7 to about 87.3 millions, or 6.6 millions, corresponding to an increase in the aggregate capital and surplus of member banks of 221.9 millions, as the result of accession of new members and increase in the capitalization of existing member banks. The largest relative gains in paid-in capital are shown for the San Francisco, Chicago, and Kansas City banks, while the largest increases in the number of banks admitted to membership during the year are reported for the San Francisco, Chicago, and Cleveland districts. JANUARY, 1920. FEDERAL, RESERVE BULLETIN. 13 BUSINESS AND FINANCIAL CONDITIONS DURING DECEMBER, 1919. Great activity in retail trade, strong demand for goods and consequently large volume of buying orders at manufacturing plants, high and rising prices throughout the country, and full employment of labor at unprecedented wages, except in those cases where employment has been rendered unsteady or insecure as the result of strikes or labor disturbances, are the principal factors reported by Federal Reserve agents from their several districts. General anxiety concerning the continued advance in prices is exhibited, while unfavorable foreignexchange rates are regarded as likely to bring about a reduction in exports which m^y necessitate some readjustment of domestic industry. Labor disturbances during the month of December have on the whole been less severe than in November, both the steel and coal strikes reaching a practical conclusion followed by resumption of work. In practically all districts primary emphasis is placed on the general distribution of purchasing power and the freedom with which recipients of wages and salaries are expending their means in the purchase of goods. District No. 1 reports that "the year closes with New England industries stimulated by post-war conditions to a degree of peace-time activity unparalleled in the economic history of this section." In district No. 2 high prices and active trade exist, and both manufacturers and distributors of dry goods, textiles, hardware, footwear, and similar merchandise "are sold up ahead as far as they will take orders." Credits have been shortened and production is far short of demand, but cautious manufacturers are disinclined to commit themselves far in advance. Banking expansion has been somewhat stayed. In district No. 3 it is stated that "the enormous demand for commodities of all kinds has been far from satisfied. Unsatisfied demand is reflected in higher prices.'7 District No. 4 takes the view that "with no thought of price, with little provision for the future, our people almost without exception are de- manding goods, especially luxuries * * *. The signing of the armistice was apparently the signal for an outburst of the buying fever which has not yet reached its height.'7 In District No. 5 high prices for crops have furnished a stimulant to trade from which no considerable reaction is yet apparent. Demand at manufacturing establishments is unabated. District No. 6 speaks of "remarkable commercial activity and expansion" and asserts that "the volume of holiday trade generally during the month appears to be greater than has ever been experienced." The Federal Reserve agent at Atlanta, however, remarks that in some cases business is about stable in the volume of goods, although "in money there has been quite an increase in the business done." From district No. 7 it is reported that "business is good," the demand for bank accommodation has continued heavy and business has rapidly "picked up the slack caused by the coal shortage and fuel conservation restrictions/' In district No. 8 collections are good and business is large, labor difficulties are less than heretofore, but "high prices are exerting a restraining influence on buying," although even where the volume of merchandise is smaller, the value of the transactions is larger than last year. In district No. 9 "manufacturing enterprises are very active," demand is strong, there is a shortage of skilled labor in industrial centers, "but retail reports from outlying districts show some slowing up in merchandise sales and a tendency on the part of buyers to hesitate because of high prices." In district No. 10 there is "an extraordinary volume of trade running through the fall months and reaching its highest peak about Thanksgiving. Merchants' stocks are low and the holiday season has been attended by great buying activity and considerable extravagance." In district No. 11 "every line of trade and finance now reflects the year's peak position in trade balances and for the first time in many months the district finds itself not only with 14 FEDERAL RESERVE BULLETIN. ample funds for its own use but with a healthysurplus which it can lend." In district No. 12> except for seasonal unemployment, " labor is fully employed/7 no strikes of consequence are in progress, domestic commerce continues active, and real estate sales are very large. From sundry of the districts it is noted that the growth of business is far more noticeable in terms of dollars than in units of production, while, as just indicated, there are some in which very high prices are already beginning to produce a curtailment of buying power. This appears to be more largely true in the country and outlying districts than in the cities. The banking situation is spoken of as reflecting the high prices of goods in the form of larger demand for accommodation. Increase in the cost of living is referred to as an unquestionable menace and in some districts it is reported that retailers themselves recognize this fact. The "work and save" program is reported by some to be considered hackneyed or obsolete. High wages are resulting chiefly in a reduction of labor time. According to one report "much of our skilled labor works only sufficient days during the month to keep going. The effect of excessive wages has been that of destroying regular standards of living and the recognized basis of prices." In districts whose products are predominantly agricultural the usual midwinter intermission of activity has set in. In the graingrowing regions early snowfall and severe cold weather has done harm, particularly to the livestock prospects. On the Pacific coast unfavorable climatic conditions during the early planting season retarded the sowing of wheat so that in Washington the acreage of winter wheat will be only 60 to 70 per cent and that of Oregon 90 to 93 per cent of normal. However, in the dry-farming sections of Utah and southern Idaho there has been much larger sowing of fall grain than in 1918. In district No. 10 acreage of winter wheat is considerably less than last year. In the cotton States the crop has been relatively small and the yield per acre low, but prices have been at a record level. Wheat sowings in Tennessee are about 60 per cent of last year's and in other Southern JANUARY, 1920. States early rains have prevented plowing for wheat from obtaining its full scope. In district No. 4 and especially in Ohio, winter wheat seeding is reported very late, while the very late seeding naturally went into the winter with practically no growth and a doubtful ultimate result. Fodder is reported to have been severely damaged. District No. 5 reports that the season now drawing to a close has been a fair one for the harvesting of crops. Cotton has been more closely picked than last year, and the demand for tools, horses, mules, and fertilizers indicates extensive preparation for next year's crops. Some cotton is still being held, but the crop generally appears to have been rapidly picked, ginned, and sold. Receipts of cattle at 15 primary markets during November were 2,046,664 head, corresponding to an index number of 203, as compared with 2,317,487 head during October and 2,053,359 head during November, 1918, the respective index numbers being 230 and 204. The receipts of sheep are slightly in excess of those during November, 1918, being 1,743,189, as compared with 1,677,537 last year, and 2,405,511 during October, 1919, the respective index numbers being 128, 123, and 176. Receipts of hogs, however, are considerably less than at the same time last year, showing a decline from 3,431,782- head, corresponding to an index number of 156 during November, 1918, to 2,715,955 head, corresponding to an index number of 124 during November of this year, as compared with 2,160,079, corresponding to an index number of 98 during October. From Kansas City it is reported that November receipts of cattle and sheep at the six markets of that district were 15 and 36 per cent, respectively, below the October record, while receipts of hogs were 13 per cent larger than in October. Reports at the middle of December indicated more liberal supplies of cattle and sheep, but largely reduced supplies of hogs as compared with the marketings for the same period last year. Hogs marketed in November showed an increased weight as compared with November, 1918, while December has brought still further reduction in the prices of hogs. It is reported from Chicago that although the JANUARY, 1920. FEDERAL, RESERVE BULLETIN. average price of live hogs in November was only $14.20, as compared with $17.70 a year previous, the average price for December is considerably lower. Cattle prices have also declined since the October report. The sale of the War Department's entire surplus of frozen beef is not expected to affect the market very materially. Grain shipments are reported unusually slow, partly owing to coal shortage and consequent reduction of warehouse accommodations. For the period from December 1 to December 18 it was reported from the Minneapolis district that a severe shortage of cars has existed and that there has been the utmost difficulty in securing cars for the shipment of stock and farm products. Country elevators are full of grain and all movements of loaded cars are slow. On the Pacific coast farmers are holding spring seed wheat in anticipation of having to reseed. Winter feeding of live stock on the Pacific coast has begun much earlier than was expected, but in spite of this there was a heavy demand for cattle for feeding and the stockyards report the quality offered superior to that of a year ago. A large amount of paper is said to be offered by cattle loan companies in consequence of the heavy movement of cattle from the drought sections of Montana, Wyoming, and Kansas toward the Southwest for grazing grounds. Coal production has felt the effect of the strike and has accordingly been low in the bituminous field. The production during November was 20,303,000 tons, corresponding to an index number of 55, as compared with 54,579,000 tons, corresponding to an index number of 147 during October and 43,895,000 tons, corresponding to an index number of 118 during November, 1918. The production of anthracite coal, however, has been well maintained, shipments during November being 5,971,671 tons, as compared with 6,560,150 tons during October and 5,276,659 tons during November, 1918, the respective index numbers being 106, 117, and 94. Tn the central Pennsylvania fields the bituminous strike seriously curtailed output. Mines served by the Pennsylvania Railroad produced at 46 per cent of capacity, those served by the New York Cen- 15 tral at 8 per cent, and those served by the Buffalo, Rochester & Pittsburgh at 21 per cent of capacity. The Federal Reserve agent at Philadelphia predicts that the total production of bituminous coal for 1919 may be 150,000,000 tons less than in 1918. Anthracite coal production has been fairly satisfactory, although not quite up to the level of last year. In the fourth Federal Reserve district resumption of work by the miners has relieved what might have been a serious situation, but the supply of cars still seems inadequate to move coal freely to the points where it is needed. The production of coke in the fourth district has also been curtailed by reason of the miners' strike. One phase of the coal strike which has received much attention has been its possible effect upon other industries. On this subject the Federal Reserve agent at Philadelphia remarks that "the effect on the industries of this district has not been very marked, although some mills and factories have been compelled to close down." In Cleveland it is stated that the restriction on fuel supplies necessitated a sharp cut in the production of steel, although a critical stage had only barely been reached when the coal strike was terminated. Petroleum conditions, as reported from the Kansas City district, indicate the completion of 963 wells, a decline of 76 wells as compared with the October record. The total daily new production from the November completions was 69,131 barrels. Great activity in the effort to speed up production has occurred. An advance of 25 cents a barrel on crude oil has given a new impetus. The iron and steel industry has been obliged to face sever operating problems and trade and market conditions have accordingly been subordinated for the time being. Toward the end of the coal strike fuel curtailments had been ordered which would have necessitated a very material reduction in steel output. In fact, during the early days of December many blast furnaces were obliged to bank and a number of steel works were also closed. Loss of output has accordingly been suffered by the industry during December, the situation being cumulative as a result of the coal strike and 16 FEDERAL RESERVE BUULETIN. the steel disturbance. It is estimated that the loss of production during the past three months as compared with the rate of activity prevailing October 1, has been from 2,000,000 to 2,500,000 tons in iron and steel. In the Atlanta district, however, although the industry was handicapped by the coal strike, there has been a very heavy demand for pig iron, and steel mills, while suffering from the coal strike, have been actively employed. They now have enough unfilled orders on hand to keep them operating at full capacity for many months to come. In Philadelphia pig iron is in strongest demand since the signing of the armistice, and steel products of all kinds are in heavy demand. Production during November was 2,392,350 tons as compared with 1,863,558 tons during October, the respective index numbers being 103 and 80. The unfilled orders of the United States Steel Corporation at the close of November were the highest for any month during the present year, being 7,128,330 tons, corresponding to an index number of 135, as compared with 6,472,668 tons at the close of October, corresponding to an index number of 123. The high costs of production now prevailing are proving a serious problem to steel producers, and one large manufacturer in the Philadelphia district has closed his order books until definite costs can be ascertained. Raw materials are advancing, while fuel and transportation charges show possibilities of following in the same direction. Meanwhile, the demand for steel is strong in all lines, various railroads placing tonnages for 1920 delivery. Such orders placed or under negotiations in district No. 4 run from 800,000 to 1,000,000 tons. In the copper market producers are reported to confine their sales largely to consumers. Heavy snows in Colorado during the latter part of November resulted in cessation of operations of the smaller operators who work their properties only in the summer. The marked increase in the price of silver has caused many small operations to start, and increased production is anticipated in the course of a few months. Advancing prices of lead and a feeling of certainty that zinc ore prices will also advance is likewise expected JANUARY, 1920. to result in increased activity in the Joplin lead and zinc districts, although operations have been curtailed due to the coal shortage and weather conditions. In general, manufacturing activity is very great. Shoe manufacturers in the Philadelphia district are now operating with sufficient orders ahead to last until spring, but it is noted that high prices have to some extent tended to check purchasing. In St. Louis the manufacturing of boots and shoes is steady and larger orders are in hand for future delivery than ever before. Leather is reported to continue to decline in value, being particularly marked in lower grades. Tanners are reported to be cautious in the replenishment of stocks of hides which have likewise shown a decrease in price. In shoe manufacturing and leather, New England tanners are inclined to be cautious. Materials for women's fine shoes are still rising in price. No early reduction in the cost of footwear is foreseen, but the public is beginning to show a more conservative attitude as to purchasing. Clothing manufacturers report very large orders, future demand exceeding normal, while November business was about on a par with the corresponding month a year ago. Manufacturers of woolens in district No. 3 have not kept up with demand and values are extremely high. At the New England wool sales during the past month the demand for fine grades continued and far western wools are being purchased in advance of harvesting. Manufacturers are sold out for months ahead at high prices, chiefly for an output of fine fabrics, but there are hopeful indications for an increasing demand for wools of a lower grade. In silk goods demand is unprecedented and prices are the highest ever received. Raw materials can be obtained in fair volume and with reasonable ease, but only at very high prices. In New England manufacturers of fine cotton fabrics have not yet developed a policy with respect to taking on business, but many have sold practically their entire anticipated output for the first quarter of 1920, and others have engaged their product as far as August and September. The demand for goods continues high and strong. In cottons the high price of JANUARY, 1920. FEDERAL RESERVE BULLETIN. the raw material has had a bad effect while unsatisfactory shipping conditions have added to the difficulties of producers. There has been an active call for all kinds of cotton goods both for domestic and export trade, while prices have been steadily on the increase. There are practically no stocks on hand at the mills. Manufacturers are concerned over the future and merchants are urged not to carry more goods than are absolutely necessary. The attitude of the consumer toward higher prices on spring goods is considered likely to be an important factor. The wholesale and jobbing trade is considerably confused, some dealers reporting very large increases running as high as 200 per cent, as compared with last year, while others report decreases up to 33 per cent. It would seem that some retailers in anticipation of higher prices have been buying ahead. The housing situation is reaching a critical stage which may result in largely stimulating building operations. In the Middle West, particularly in industrial centers, the shortage is said to be acute. Rents have advanced very greatly in view of the standstill of building operations and the increase of city populations which have called for much more extensive accommodation. In Chicago thus far building permits have been granted amounting to about $90,000,000, but it is estimated that from 4 to 10 years will be required to overcome the deficiency in housing accommodation. In Detroit rentals have increased about 85 per cent since the beginning of the war and the shortage of houses is the more serious than a year ago. In South Bend, Ind., the shortage is exceptionally acute and the same is true at many important industrial points throughout the Middle West and in the Northwest. The same situation exists in many other parts of the country; in fact, so widely as to be all but universal, although in varying degrees. As a result of it an increase in building has already set in and in St. Louis the permits granted during the past month have been much larger than those of the preceding month or the corresponding month last year. The same is true of the fourth Federal Reserve district, while on the Pacific coast building construction is very active. In New 17 York building contracts fell off $2,585,000 in November as compared with the preceding month. This was a decrease of about 5 per cent. Contract awards, however, normally show much larger decline at this season. The total volume of building in New York is very much above normal in cost and somewhat above normal in floor space. Residential building continues on a large scale. The continued rise in the prices of building materials has not yet reduced the extent of building operations below normal. The Atlanta district reports that conditions during the past month have been favorable to the production of naval stores and that receipts have accordingly been well maintained. Prices have been stable and the prospects are that they will go no lower this season. Domestic demand is very large and labor conditions are not unsatisfactory. The development of real estate speculation commented upon in many Federal Reserve districts in November appears to have reached another stage in some quarters at least. The Federal Reserve agent at Chicago notes that an encouraging feature of the situation is the fact that the rise in the price of land has received a decided check, while in some cities prices have declined 25 per cent as compared with a few months ago. On the Pacific coast, however, there is still a tendency to purchase farm lands at high prices for the purpose of reselling. An active lumber market is reported for all parts of the country in spite of the steadily increasing prices. Production in many sections is stated to be well below normal, and mills are well supplied with orders. It is stated from the Atlanta district that "the year will close with the greatest demand for lumber and the highest prices ever known, and the outlook is said to be for still higher prices early next year." As already noted, a serious view is taken of the advance in prices. The index number of the Bureau of Labor Statistics shows an advance from 223 during October to 230 during November, which is the highest level yet reached. The increaso is found in the index 18 FEDERAL RESERVE BULLETO*. numbers for each of the principal groups, raw materials showing an increase from 220 during October to 226 during November, producers' goods from 211 to 216, and consumers' goods from 228 to 236. The increase in the index number for the group of raw materials is due largely to the increase in the prices of farm products, the index number for which group increased from 254 in October to 275 in November, while the index number for the forest products group likewise increased from 224 in October to 239 in November. That for the animal products group remains constant at 212 and that for the group of mineral products shows a decrease from 184 to 183. In Great Britain, Sauerbeck's index number shows an advance from 224.3 to 231. The month of December shows some abatement of labor unrest and disturbances which had greatly reduced production during the preceding month. The termination of the coal strike and the cessation of activity in the steel strike, as well as the increase in the number of men employed in those industries, has greatly reduced the figures representing unemployment. From many districts it is reported that the chief difficulty does not lie in systematic strikes but in indisposition to increase production or to keep steadily at work. The reduced output as a result of very short hours or suspension of work a given number of days each week has proved to be a national problem. The disposition of labor to pursue such a policy is ascribed by many to high wages and the desire to employ the increased purchasing power thus obtained in the purchase of leisure rather than goods. During the month of December there has been some reduction in the expansion of bank credit, and from district No. 2 it is reported that "the progressive expansion of October has been stayed, at least for the present." A falling off in the amount of new securities offered for sale is reported, while during the month the loans of the New York banks have continued to decline. From October 31 to December 21 the loans, discounts, and investments of the 112 reporting banks in the district fell off about $403,000,000, this decline being JANUARY, 1920. chiefly in New York City, but banks elsewhere increased their loans by about $264,000,000 during the same period, making a net decrease of only $139,000,000 for all the reporting banks in the country, about 794 in number. During the month discount rates at the Federal Reserve Banks were once more advanced, this advance being effective December 11. Commercial paper rates have continued to harden somewhat, and in New York are now on a 6 per cent basis as compared with about a 5 J per cent basis at the middle of November. Call money has been as high as 18 per cent during the month, but the prevailing rate has been around 8 to 10 per cent, although at one time as low as 5 per cent. Less activity, not only in the New York stock market but also on stock exchanges the country over, has been a feature of the month's operations. Practically throughout the country there has been some tendency to a hardening in money rates of all kinds. The investment yield of securities has increased materially and during the month of December there has been a considerable liquidation in bonds. The result has been to reduce bonds generally and in a marked way. The lowest price level since 1896 has been reached. Third Liberty bonds and Victory 4f per cent notes have sold on a basis higher than 5 per cent. Dubious issues of stocks have made their appearance in great numbers throughout the country. The movement is stronger in the larger cities but is very widely prevalent. A vast growth of new enterprises, some doubtful, some sound, appears to be taking place throughout the country, and the total volume of securities issues has been far in excess of any within recent months. Wage earners are buying for cash or are transferring their Liberty bonds to promoters, who in many cases offer extraordinarily high rates of return. During the month foreign exchange has gone to record low levels, sterling at one time touching $3.65. Francs and lire have paralleled this decline in sterling, and practically all exchanges have been unsettled. During the latter part of the month there was an upward movement, which restored many of the currencies to somewhat better figures. JANUARY, 1920. FEDERAL RESERVE BULLETIN. SPECIAL REPORTS. REPORTED BY DISTRICT NO. 1. With no important curtailment of production on account of the coal strike, for the reason that reserve supplies had not been seriously invaded before the settlement of the difficulty, and through the installation of fuel-oil systems in many large plants, the year closes with New England industries stimulated by post-war conditions to a degree of peace-time activity unparalleled in the economic history of this section; wages advanced to rates hitherto undreamed of and commodity prices at corresponding levels; and labor at the moment quiescent. While there has been no doubt considerable saving from earnings as evidenced by large aggregate deposits in savings institutions and investments in Government obligations, nevertheless no one may observe without a feeling of apprehension the manner in which the enhanced purchasing power of the wage earners is being dissipated by irrational personal expenditures, especially when it is beginning to be coupled with requests for credit at retail stores by many who have never before known the meaning of a charge account. The readjustment of rediscount rates by the Federal Reserve Banks was undertaken with a view to modifying the situation of which these conditions are a reflex, but this will not furnish the complete remedy. Indeed, not until some powerful influence is brought to bear upon the machinery of production to establish a more normal relationship between the quantity of necessities and of luxuries, respectively, offered for consumption will it be possible to accumulate the wealth necessary to pay the cost of the war as represented by the enormous debts of the nations and to bring about a return to normally healthy social conditions. ^ It is unlikely, however, that any reduction in the cost of living will be forced upon the consumer by the voluntary benevolence of the makers of goods; it is certain that it will not come about through legislation any more than it was vouchsafed the people of Rome in 301 A. D. by the Edict of Diocletian; and if it comes otherwise than by a collapse of the existing economic structure such as would bring, not reduced prices only, but reduced earnings and widespread distress, it can come only through individual sacrifices, foresight, and initiative manifested by restricted expenditure and conservation of savings beyond anything yet apparent. 19 REPORTED BY DISTRICT NO. 2. Stock market.—The liquidation of stocks which followed the extraordinary money conditions early in November has been continued with a fair degree of consistency throughout the past 30 days. This liquidation proceeded without sharp breaks in the market and with lessened public participation, as is customary in a declining market. The former extravagant demands upon credit appear to have subsided considerably. Daily sales fell off materially. In the third week of November the average was 1,145,000 shares a day; in the fourth week 980,000; in the first week of December 936,000; in the second week 938,800, and in the third week fell to 867,200 shares a day. A partial recovery of prices which took place early in December was most pronounced in the highly speculative issues, wxule shares which are commonly regarded as investment stocks remained comparatively dull. The market has been fairly responsive to news developments. For instance, the termination of the bituminous miners' strike and the announcement of the Attorney General that he would not appeal the Southern Pacific oil land case caused a rise in particular stocks and lent a momentary strength to the rest of the list. The announcement of the fractional increases in rates by this bank on December 11 was followed by a day of high call money rates and active liquidation. Bond market and new financing.—The liquidation which developed in stocks was far more pronounced in the bond market. It manifested itself tentatively in the third week of November and became heavy during the next two weeks; although three-quarters of the transactions were in United States bonds, the prices of which fell, the declines in the prices of corporation bonds were heavier. From the middle of November to the middle of December United States bonds fell off about three-quarters of a point; industrial bonds one and one-half points; public utilities two and one quarter points, and railroad bonds about three points. Bonds other than Government issues which were most heavily sold were those of railroad and street railway companies whose records of earnings are poor, and of other corporations whose bonds are regarded as high grade but because of their prices have the smallest yields. In spite of some exceptions the bond market as a whole fell to the lowest 20 FEDERAL RESERVE BULLETIN. price level reached since 1896. The effect of the decline on Liberty bonds was to place the third 4 | per cent ana the Victory 4£ per cent issues on a better than 5 per cent basis. The high price of money in November caused a marked reduction in the aggregate of new issues by domestic corporations. The total for that month was $253,000,000, as compared with $390,000,000 in October and $90,000,000 in November a year ago. This falling off seems to register the passing for the time being at least of the high tide of offerings to bond houses by corporations which are anxious to enlarge their capital. Nevertheless, it is reported to us that the applications are still so numerous that the best bond houses are able to consider only a small proportion of them and in the aggregate they are much beyond the power of the market to absorb. Dubious issues.—The creation of a great body of new capitalists through the sale of Liberty loans and because of the generally higher level of wages, has encouraged the sinister activity of promoters and salesmen who are trying to float stocks of the most dubious character. Based upon answers to inquiries made from 50 banks outside of New York City, and upon other evidence within the metropolitan district, it appears that this movement is general in the larger cities of the district, particularly New York, Buffalo, Rochester, Syracuse, Utica, and Binghampton, but with varying intensity. It appears that some of the promoters are men whose business records do not stand scrutiny either from the standpoint of success or personal integrity, and some of them have in times past been found guilty of crime. A possible indication of the extent to which new capital is sought appears in the total of new incorporations. Doubtless only a fraction of the total is intended for immediate issue, depending primarily upon the capacity of the public to buy, and a number of them are, of course, of the highest character. Nevertheless, the total is noteworthy. In November new incorporations in the Eastern States amounted to $1,341,000,000 and in October $2,363,000,000, as compared with $131,000,000 in November a year ago. The monthly average for 1919 up to this time is $1,054,000,000, which is nearly seven times the monthly average shown by the five years prior to the war. Most of the new incorporations are of oil, shipping, and cjiemioal companies and concerns engaged in the manufacture of articles the current prices of which are high and the margins of profit on the present basis exceptionally good. Inmany cases JANUARY, 1920. the chances of return for the investor are limited to the maintenance of the present price level. The operations of dealers in poor or worthless stocks are particularly serious at a time of great expansion such as the present, not only because of the waste of capital involved, but because fraudulent issues are lost sight of in the general outpouring. Reports from the banks in certain parts of the district indicate that a large amount of Liberty bonds have been secured in exchange by promoters, who promise an 8 per cent rate or better in place of the interest carried by the bonds. Many sales for cash are reported also, particularly to wage earners. An estimate of the amount of dubious issues on sale, secured from a source specializing in such matters, puts the total at " hundreds of millions." As usual, the victims of such transactions are those who are in the worst position from knowledge or experience to measure the worth of securities. Methods of sale include not only newspaper advertisements and offers through the mails, but solicitation by a highly organized corps of canvassers. In a number of cases the name of the Federal Reserve Bank is reported to have been used for the purpose of convincing prospective purchasers of the value of the stock offered. Usually the argument has been that the bank whose stock the canvasser is selling will become a member of the Federal Reserve system, or that the paper to be handled by the newly organized "finance corporation" will be discounted by the Federal Reserve Bank. Such statements should be sifted with the greatest care, but usually the man approaohed by the canvasser is in no position to know the limitations set by law, both on Federal Reserve membership and discounts. Certain cases of apparently fraudulent intent have already been brought to the attention of the Federal or local prosecutors, but in the past most prosecutions nave succeeded only when the fraud has been completed and the investor has lost his money. It is therefore essential that individuals buy only after seeking advice from trusted bankers or others who are equipped with sound information and good sense on financial matters. In a number of progressive communities the newspapers not only refuse to take dubious financial advertising, out have undertaken to warn their readers against unscrupulous vendors of stocks. Officers of banks can carry this public service further by giving advice to all inquirers, whether they are customers or not. Many bankers are already doing work of that sort. JANUARY, 1920. FEDERAL RESERVE BUULiETIN. REPORTED BY DISTRICT NO. 3 . Coat—The strike of the bituminous miners has seriously curtailed the output of that kind of coal in the central Pennsylvania fields. Figures of the United States Geological Survey for the end of November indicate that mines served by the Pennsylvania Railroad were producing at 46 per cent of capacity; mines served by the New York Central, at 8 per cent of capacity; and those served by the Buffalo, Rochester & Pittsburgh, at 21 per cent of capacity. The settlement of the strike very possibly may not be followed by immediate resumption of fulltime operations, but it is hoped that by the first of the year production may be up to normal; meanwhile we are faced with a distinct shortage of bituminous coal. Thus far the effect on the industries of this district has not been very marked, though some mills and factories have been compelled to close down. The total production for the country up to November was 100,000,000 tons below the corresponding period in 1918. November is estimated to have added 30,000,000 tons to this shortage and December may add as much as 20,000,000 more. It appears not at all improbable, therefore, that production for the year 1919 would be 150,000,000 tons below 1918. During the months preceding the strike car shortage was evidently an important element in curtailing operations, and it is to be hoped that this difficulty will be eliminated in so far as is possible. A severe winter may cause serious consequences. Anthracite-coal production has been fully satisfactory, though not quite up to the level of last year. The following table shows the shipments over the nine principal anthracitecoal carriers: 21 moving very comfortably, due somewhat to its use in place of bituminous coal, but there is nothing urgent about the situation. Prices have not changed during the past month. Labor conditions in the anthracite field show no apparent unsettlement. REPORTED BY DISTRICT NO. 5. The recent restrictions in the use of coal had a slightly demoralizing effect on business, and had it been continued beyond the brief period of its enforcement would have seriously handicapped all lines of business. The location in this district of some of the largest and finest coal properties, the settlement of the miners' strike, and the prompt removal of these restrictions relieved the uneasiness over the situation. Normal conditions are being promptly restored and the incident relegated to the past, with the hope that a final settlement with the miners will be reached without further trouble. This event has been the only disturbing feature of the past month, and although the irregularities as to labor and supplies of materials and delays in freight movements are matters of more or less comment, all reports indicate unusual activity. The prices realized for tobacco, cotton, and other crops have furnished a stimulant to trade, from which no considerable reaction is yet apparent. A conservative correspondent, while confirming these conditions, evidently considers a reaction inevitable and overdue, and remarks, "We are all aboard the 'Blue Sky Special/ indulging in the evanescent pleasures and diversions usually incident to an excursion to the fool's paradise of inflation. No one knows or seems to care where or when we will stop." REPORTED BY DISTRICT NO. 6 . 1919 January February.. March April May June July August September. October November.. December.. Tons. 5,934,241 3,871,932 3,938,908 5,224,715 5,711,915 5,619,591 6,052,334 6,144,144 5,687,401 6,560,150 5,971,671 1918 Tons. 5,638,383 5,812,082 7,276,777 6,368,373 6,887,256 6,867,669 7,084,775 7,180,923 6,200,000 6,286,366 5,276,659 5,736,260 Sizes for domestic use are in adequate supply, though in some few cases it has been necessary for consumers to take pea in place of nut, and egg in place of the stove size. Steam sizes are Coal.—While the coal miners' strike reduced the coal output to an alarming extent throughout the country, the situation in the Alabama coal fields has not, so far as the output is concerned, injured this territory, except for the fact that this section has been called upon to serve other parts of the country and to supply railroads with fuel to meet their requirements. This situation has been practically adjusted since the acceptance by the coal miners of the President's proposal, and conditions will no doubt be normal within a short time. The output for November in the Birmingham district was 1,080,810 tons, as compared with 1,459,385 for October. 22 FEDERAL RESERVE BULLETIN. j steel, and miscellaneous industrials.— The iron and steel industry in this section was greatly handicapped by the coal miners' strike, and reduced production resulted. There is a very heavy demand for pig iron, and prices have advanced. Consumers are realizing the shortage and are eager to contract for a large supply. There are less than 100,000 tons of foundry iron in Alabama yards, and most of that belongs to consumers. The total output of pig iron in November was 196,209 tons, as compared to 208,793 tons in October. Steel mills, while suffering from the coal strike, have been actively employed and have enough unfilled orders on hand to keep them operating to full capacity for many months. The miscellaneous industrial iron manufacturing plants are in full operation, with orders in large volume booked for future delivery. REPORTED BY DISTRICT NO. 7. Housing problem.—The housing situation is looming up as a serious problem in practically all of the industrial centers of the Middle West. In Detroit as well as in Chicago, where the rowth of population in the last few years has een abnormal, the situation is acute. Interference with construction in Chicago through strikes retarded the building of homes sufficiently to add to an already acute shortage of homes. Conditions in Chicago a year ago were such as to bring into use for winter housing places built for summer use only. Apartments in Chicago, which for many years had been idle and almost ready for condemnation, are again pressed into service, and several families in many instances are " doubling up." In the congested sections, such as the foreign districts and in parts of the West Side and in the belt circling Chicago's Loop or down-town district, the situation makes not only for the undermined health of the occupants but contributes to serious and growing dissatisfaction. The so-called middle class of salaried people, with incomes ranging from $2,000 to $5,000 a year, also have found the scarcity of dwelling space a serious factor in their living costs, with home seekers bidding up rentals against each other to extreme figures. Rentals have advanced from 20 to 75 per cent and even 100 per cent. Obviously it is impossible to present exact figures to show the acute condition. Estimates from sources which ordinarily are regarded as reliable, place the shortage in Chicago alone at between 40,000 and 50,000 homes. The increase in population in Chicago during f JANUARY, 1920. the last two years is conservatively estimated at between 75,000 and 100,000 persons per year, which means that between 150,000 and 200,000 additional persons required housing in a period when building construction was either at a standstill or was greatly curtailed by wartime restrictions, expectations of lower prices for material and labor, and by strike interference. Such large building construction as is now under way in Chicago involves, as a rule, the elimination of housing facilities for from 25 to 30 families, sometimes more. The new buildings supplanting those destroyed are mostly of the apartment hotel type. These, of course, will provide housing facilities for a larger number of families, but at a higher rental for less space. The kind of homes which appear to be chiefly in demand are the four, five, and six room apartments. The one and two room kitchennette apartments are more frequently constructed because of the income they return to the owner, renting from $65 to $100 and up per month. Thus far this year there have been granted permits for about $90,000,000 of work, and it is said that this takes care of the normal increase and about 5,000 to 10,000 units of the shortage in homes. At the present rate authorities estimate from 4 to 10 years will be required to overcome the housing deficiency. The shortage in homes in Detroit is estimated at 33,000, which is nearly 10,000 greater than a year ago, and notwithstanding the active campaign, next year will probable see an increased deficit. So far in 1919 there have been approximately 11,500 new apartments, while the requirements were for 20,000. The annual increase in population in Detroit is now estimated at 100,000, while the increase in the accommodations as the result of 1919 building will care for approximately 14,600 families. There has been and is in prospect considerable building of groups of cottages by contractors and manufacturers at $1,000 to $1,800. Rentals in Detroit have increased on the whole about 85 per cent. In South Bend, Ind., the shortage in homes is acute, owing to the great industrial growth. Old factories are expanding and new ones coming to town. There were about 500 homes built last year and plans contemplate 1,500 to be built in 1920. Fort Wayne, Ind., reports a shortage of 1,000 homes, with rentals 20 to 25 per cent higher. East Chicago, Ind., building is hampered by high material and labor costs, with rentals from 20 to 25 per cent higher. Hammond, Ind., has a shortage of homes and reports a further increase in rentals of 15 per JANUARY, 1920. FEDERAL. RESERVE BULLETIN. cent, bringing the advance between 35 and 40 per cent from prewar figures. Rentals.—Indianapolis has experienced an increase in rentals of from 35 to 50 per cent, with a prospect of further dwelling shortage. La Fayette, Ind., has an acute housing situation, with rentals 20 per cent higher and no available houses or apartments. The same condition prevails at Muncie, Ind., with rentals for business rooms 100 per cent higher and common residences 75 per cent higher than in prewar times, while furnished rooms are 50 per cent higher. The building situation at Terre Haute, Ind., is about 75 per cent of normal, with rentals about 10 per cent above prewar times. Mishawaka, Ind., has experienced a shortage of homes for several years, but a building program is being worked out by manufacturers to finance the employees so that they may own their own homes. It is estimated that 500 additional homes could be used. Rentals are 25 to 40 per cent higher than in normal times. In lower Michigan Saginaw reports 10 per cent increase in rentals compared with a year ago, and 30 to 40 per cent higher than in war times, with 100 houses under construction. Muskegon estimates 1,000 new homes built within a year but rentals have advanced 14 per cent. Battle Creek rentals have increased from 50 to 60 per cent since 1917 owing to the rapid industrial growth and a demand for homes far in excess of supply, with plans now under way for the building of 1,000 new homes in 1920. Des Moines and other Iowa cities are also experiencing a shortage in homes, but correspondents attribute this shortage in the smaller cities chiefly to wealthy farmers moving into town and the abandonment of the poorer for the better buildings. There is a boom in several of these towns in the building of houses costing from $3,000 to $7,000. Rentals have advanced from 20 to 50 per cent in Iowa cities. Decline in land speculation.—One encouraging feature in the advices from Iowa and Illinois is the assurance on the part of bankers that the rise in the price of land has undoubtedly received a decided check, and in some instances, according to those well posted, prices have declined 25 per cent compared with a few months ago. The consensus of opinion is that there willl>e little land change hands until after the settlements of March, when it will be known how many defaults have occurred in contracts already made. 23 REPORTED BY DISTRICT NO. 8. Wholesale and jobhing.—The wholesale trade situation is considerably mixed. Some dealers report large increases in the value of their sales as compared with November last year, in some cases over 200 per cent;, others engaged in the same line of business report decreases up to 33 per cent. Orders on hand for future delivery in most lines are reported to be larger than usual. The unfavorable weather conditions in in parts of the district, which have increased the stocks held by retailers, have naturally decreased the demand from wholesalers. Business generally, however, is good and was not seriously affected by the coal strike. Some wholesale dry goods houses report very large increases in the value of their sales as compared with last year, which is due in great measure to the desire on the part of buyers to avoid advancing prices. One dealer in commenting on this situation says: "Our spring lines have been sold up and withdrawn from sale. We are offering certain lines of fall merchandise, such as blankets, underwear, hosiery, kint goods, and napped goods for delivery in the spring months and they are being taken freely. This shows the inclination of the merchant to buy his merchandise ahead of time, with a view to heading off any advance, rather than buying these goods when he actually needs them/' Another concern states that the prices that have been made for fall are higher than those for spring. Wholesale drug houses generally report increases in value of their sales as compared with 1918. One concern, however, reports a 10 per cent decrease, due to the shortage of a certain product which forms a large part of its business. No basic changes in raw materials or in patented compounds are reported. Orders on hand for future delivery are beyond normal in some cases. Dealers in electrical supplies say their business is slightly less active than it has been. One concern says the coal strike cut down its sales 25 per cent. Cotton factors complain of the exchange situation which is unfavorable to exports. The high price of cotton is a favorable factor affecting them. Wholesale grocery companies for the most part report increases over October. During the coal strike, however, buying was somewhat checked in mining towns. Orders on 24 FEDERAL. EESEBVE BUU^ETIN. JANUARY, 1920. hand for future delivery are still below normal, acreage of 23.4 per cent for Colorado, 20.7 per cent for Kansas, 29.4 per cent for Nebraska, one company reporting that it has none. and 7 per cent for Oklahoma. Slight decreases of the wheat acreage also are reported from the REPORTED BY DISTRICT NO. 9. 19 counties of Missouri that are in this district, The spring season will bring some problems and also in Wyoming and the portion of New in connection with the'live stock situation. It Mexico in this district. will be necessary to ship back into the west end Indications point to an increased acreage of of the district a considerable amount of stock cotton in Oklahoma for the coming year, while to replace that removed before snow fall on in many sections more attention will be deaccount of the severe shortage of feed. The voted to corn and potatoes, the acreage of both amount of snow so far received is very promis- of these staples having been reduced in the last ing for a good year in the districts that were dry year in order to speed up wheat production. during the season recently closed. The 1919 Growers of sugar beets in the Coloradocrop of wheat is, however, of very poor quality. Wyoming-NebrasEa-Kansas regions have not Most of it arriving at terminal markets is light as yet indicated their acreage for 1920. From in weight, shriveled, and shrunken, and of very reports received the growers are apparently in low germination. Without the most active no hurry to make new contracts based on the efforts there will undoubtedly be a serious 1918-1919 prices, on account of the additional shortage of seed for spring planting. The cost of production. prospect is so unfavorable that an organization The car shortage and cold weather have been has already been formed to gather data in unfavorable for the movement of many of the regard to available seed supplies, and to con- products of the farms to the markets and a duct such work during the winter as will locate larger per cent of these products are said to be and provide for the distribution of the seed still in the growers' hands than usual at this that is available. The prospect is for a reduc- season. tion in next year's wheat acreage, while in the Grain and milling.—Arrivals of wheat at the western half of the district the acreage of winter principal markets of this district in November wheat and winter rye is already reduced. were greatly in excess of those of October and With these exceptions, the outlook is not about two and one-half times the receipts in unfavorable. November of last year. The extraordinary increase in November was largely the result of REPORTED BY DISTRICT NO. 10. improved transportation service resulting from the pressure brought to bear on the Railroad Agriculture.—The condition of growing Administration. I t had the effect of greatly winter wheat in the States of this district is relieving the congested situation at local elevareported generally good, although a consider- tors and opened up a freer movement of wheat able acreage of wheat that was planted late from the farms into the market channels. At made slow progress, December conditions in this time last year, it is remembered, all grain the States ranging from 75 to 91 per cent. movements were under shipping permits, The snow in the central Great Plains area which accounts for the small receipts in Novemis generally considered as beneficial to grow- ber of last year. ing wheat, although a large part of the farm On account of scarcity of choice milling work usually done at this season was sus- grades from the spring wheat sections, heavy pended because of the severe cold weather. requisitions were made on the markets of this The agricultural outlook for the coming year district for stocks of hard and red wheat, the is reported good from most sections. The area tendency being to stiffen prices. The high of winter wheat sown this fall is considerably price at which wheat sold m Kansas City in less than that planted to winter wheat in the November was $2.80 for No. 2 hard and $2.48 fall of 1918, indicating that with the war period for No. 2 red. Relinquishments to millers of at an end farmers are desirous of returning to about 60,000,000 bushels of wheat held by the their former system of diversified crops. The United States Grain Corporation at 7 cents a estimated acreage of winter wheat now in the bushel over the guaranteed level at which the ground is: Colorado, 978,000 acres; Kansas, grain was purchased had little influence on 9,196,000 acres; Nebraska, 3,093,000 acres; cash wheat prices. Oklahoma, 2,881,000 acres. These figures indiFlour-milling operations in the month of cate a decrease from the previous year's November were: At Kansas City 78 to 89 per JANUARY, 1920. FEDERAL. RESERVE BULLETIN. cent of capacity; at Omaha 92 to 100 per cent capacity; at interior milling points 82 to 91 per cent capacity. In early December some of the mills, particularly at interior points, were either shut down or were working on short time on account of the coal shortage, with the result that the per cent of activity was somewhat reduced. On account of the fluctuations of prices of wheat, the flour prices have also shown slight changes, but generally flour is 75 cents to $1 higher than early November prices. Short patents sold December 6 at $12.75 to $13.65, standards at $12.45 to $13.45, and straights at $11.85 to $12.50. Receipts of corn, although slightly above those in October, were about 30 per cent less than the receipts in November, 1918. Car shortage helped in the holding back of new corn. Prices were materially improved as compared with those of September and October. The high and low prices of corn at Kansas City in November were $1.61 and $1.40 for No. 2 mixed as against $1.50 and $1.39 in October. Receipts oi oats were about 10 per cent below the November, 1918, receipts and prices showed some improvement over October prices. No. 2 white oats sold from 70 to 77£ cents. REPORTED BY DISTRICT NO. 11. The closing months of the year 1919 have found this district in a peculiarly checkered situation, with some sections setting new high records in the volume and profits of their products, while others are suffering from the disastrous effects of crop failures. The most striking and surprising feature of this anomalous situation, as disclosed by the developments of the past 30 days, are the reports that are coining in from the western art of the district, particularly from western exas, where a year of copious and well distributed rainfall has resulted in an amazing record of productivity and development during the year just closed. In one western county alone a $9,000,000 cotton crop, a $1,000,000 wheat crop, and more feedstuff than its farmers have been able to gather have yielded an average crop income of more than $500 per capita, transformed many tenant farmers into farm owners, and demonstrated generally what this section is capable of doing under favorable weather and market conditions. While the figures cited from this county can not be taken as a picture of conditions in ? 25 the district as a whole, nor even as representative of the situation in all parts of western Texas, the fact remains that that part of the district which for many years has been suffering the hardships of droughts and crop failures has this year taken on tne novel rdle of leadership in productivity, resulting in a wave of prosperity that has carried itself to and beyond the boundaries of the eleventh district. Late estimates show that Texas as a whole has received from its 1919 cotton crop the largest money return it has ever realized, desite the practical certaintv that the number of ales already ginned is tne smallest in recent years. It is the opinion of reliable authorities that this situation, combined with other influences affecting agriculture in this district, will tend to produce a much larger cotton acreage here in 1920 than was sown in 1919. Agriculture.—The winter grain acreage has been greatly reduced this year by the excessive fall rains throughout the gram belt. Estimates place the reduction, as compared with last year's acreage, at from 35 to 50 per cent. The condition of the growing grain is generally unfavorable, due to lack of proper preparation of the soil and also damage in some sections by insects. From present indications the season's yield will not exceed 35 per cent of normal. Notwithstanding the loss sustained by cotton farmers from the effects of the excessive rainfall on both the yield and grade of the staple, the higher prices realized this year on their marketable cotton, as well as on other farm products, have placed the farmer in a much easier financial condition than they were a year ago. The Texas cotton crop for 1919, of wnich approximately 85 per cent nas been gathered, has been estimated by the Department of Agriculture at 2,700,000 bales, although some of the leading authorities in the State of Texas contend that this estimate is too high. Although it is too early to form a reliable estimate of next year's cotton acreage in this district, many reports are being received to the effect that the small acreage available this fall for winter grain has caused farmers in many communities to announce their determination to plant a larger acreage in cotton next year. E REPORTED BY DISTRICT NO. 12. Of the 10 leading wool-producing States, 5 are located in the twelfth Federal Reserve district, which produced approximately 30 per cent of the 1919 wool cup. Production oy States has been as follows: 26 FEDERAL, RESERVE BULLETIN. JANUARY, 1920. with the material available in this country. It is recognized that these indexes are for the most part made up of too few commodities to Pounds. 22,145,000 represent the general wholesale price levels of Idaho 15,800,000 their respective countries with any degree of Utah 14,040,000 Oregon 13,298,000 exactitude. California. On the other hand, foreign price 10,500,000 Nevada... material obtainable in this country is too 75,783,000 scanty to make possible the construction of Total.. larger indexes which would be more representaThe following table indicates the great tive than those now published. If the limitadecrease in hop production in this district tions of these indexes are understood, they may be used with considerable confidence in a study during the last few years: of wholesale price oscillations. Following is a description and analysis of the Normal indexes which will be published currently along 1919 prior to State. with the actual monthly figures for the past 1919. three years computed with 1913 as a base.1 State. Rank. Production. California Oregon Washington Bales.* 70,000 35,000 20,000 Bales. 115,000 135,000 45,000 TotaL 125,000 295,000 1185 pounds net per bale. Fully 97 per cent of the 1919 crop has been sold at prices ranging from 30 to 35 cents per pound, with the latter price now being freely offered to growers for unsold stock. Growers are now contracting for their 1920, 1921, and 1922 crops at a price of 36 cents per pound, which compares with a prewar price of 15 to 20 cents per pound. Heavy reductions in acreage throughout the world, because of the demand for foodstuffs during the war, are largely responsible for this important increase in price. International Price Index. Especially since the close of the war a keen interest has been shown in the course of foreign prices, not only for purposes of comparison with our own price level but also as a method of studying business conditions abroad. In view of this fact, the Federal Keserve Board has undertaken the study of this subject and expects to publish each month the general index numbers of leading foreign countries and in addition index numbers of certain groups of commodities which it considers valuable for special study. It was decided to make use of the index numbers published in the various foreign countries for the purpose of studying the general wholesale price levels of those countries only after considerable effort had been made to discover a better method of price comparison DESCRIPTION AND ANALYSIS OF INDEXES. EXISTING The wholesale price index of the United States Bureau of Labor Statistics commands greater confidence as a measure of the general wholesale price level in this country than any of the other indexes published here. It consists of market quotations for over 300 commodities of industrial importance, weighted according to the quantity of these articles which enters into the trade or exchange of this country, allowance not being made for the frequency of turnover. A critical analysis of this list shows that all of the leading industries of the country are represented by one or more quotations, that in most cases commodities are quoted as raw materials, and in one or more stages of manufacture, but that such representation is somewhat uneven. The types of quotations used are rather heterogeneous. This is in some cases due to differences in industrial organization, some goods being sold exclusively on a cash basis, others on contract, the meaning of the contract price differing from industry to industry. This diversity would seem to be desirable if in each case the type of quotation used represents the basis of sale of the largest quantity of the commodity being traded in. To determine this requires very specific trade information. Quotations are obtained from trade magazines and private firms. In most cases these sources appear to be reliable, but as in the case of the type of price used, doubtless considerable improvement could be made in this direction by further study of specific industries. 1 More complete information can be obtained regarding most of the indexes described below from Bulletin 173, U. S. Bureau of Labor Statistics . This bulletin is in process of revision. JANUARY, 1920. FEDEBAL RESERVE BULLETIN. The method of weighting used is satisfactory for a study of the general price level, although theoretically it would appear that frequency of turnover should be considered. To take this into account involves a detailed knowledge of sales methods in different industries. The reliability of the index of the Bureau of Labor Statistics has been tested by the study made by the price section of the War Industries Board of prices during the war.1 The latter study involved the construction of an index number for 1913 to 1919, consisting of 1,366 commodities representing the leading industries of the country, weighted according to the quantity produced here plus that imported. In the preparation of this index, great emphasis was placed upon the study of marketing methods in connection with the choice of commodities quoted and the types of prices used. The results of this study show an average difference during the six-year period between this index and that of the Bureau of Labor Statistics of 1.5 points with prices in the 1914 fiscal year considered as 100. Judging from this fact and taking into consideration that this was a war period, it would seem unnecessary to attempt to improve upon the index of the Bureau of Labor Statistics for the purpose of studying the general wholesale price level in this country. Three indexes are currently published to show the general level of wholesale prices in England, that of the Board of Trade (official), that of the Economist, and that of the Statist. The last one mentioned is usually accorded the greatest confidence in England and abroad. Its construction has served as a pattern for several other European indexes. Both the Economist and the Statist index were originally constructed for the purpose of throwing light upon the relation between the gold supply and prices. The Statist index consists of approximately 60 quotations and is not weighted except in a crude way by allowing two quotations to certain very important commodities such as wheat, iron, coal, and cotton, to mention a few. Analysis of the list of commodities included shows certain important omissions such as rubber, paper, gasoline, tobacco, and others of perhaps less importance. Quotations are largely for commodities in their raw state, although there are such exceptions as wheat, flour, meats, leather, and refined petroleum. It is impossible to discover from published sources the type of * See History of Prices During the War, Summary. By Wesley C. Mitchell, W. I. B. Price Bull. No. 1. 27 quotations used except in a very general way. Official returns are used in such cases as wheat, barley, and oats, and imported articles are quoted in bond; otherwise private firms, the Economist, and other publications are used, but no statement is made as to the type 01 price. The Economist index at present consists of 44 quotations unweighted except roughly by the number of quotations allowed to the different commodities. Although the omissions are not so striking as in the case of the Statist (corn and hides being perhaps the most important), the reduction in the number of quotations practically guarantees a less accurate measurement of the price movement of the separate commodities. Most of the commodities quoted are raw materials, although the following semimanufactured and manufactured articles are included: Flour, meats, cotton yarn, possibly cotton cloth, steel rails, iron bars, leather, and petroleum. Nothing is published regarding the type of price quotations used other than that they represent market quotations in London and Manchester. The Board of Trade index is computed from the prices of 47 commodities weighted in accordance with estimated consumption, consumption being "taken to mean any process by which the commodity is substantially changed in character. In other words, consumption in manufacture is recognized as well as consumption by an individual." All commodities except certain ones in the food group are raw materials. Instead of using market quotations of one sort or another, import and export values are used for the most part as the basis for the index. These values are supplemented by official quotations for wheat, barley, and oats and by prices paid by public institutions for certain food-stuffs which may be termed semiwholesale prices. From the above discussion it is apparent that none of the British indexes is as inclusive as that of the United States Bureau of Labor Statistics nor so scientifically weighted, assuming that the aim in all cases is the same, namely, to measure the general price level of the country considered. Although certain important industries are entirely unrepresented, the Statist index is superior to the other two in the number of quotations included. Manufactured articles are almost equally slightly represented in the Statist and Economist indexes and still more slightly in that of the Board of Trade. Import and export values are probably not so representative of the prices paid by the country 28 as a whole as reliable market quotations. In this respect again the Statist and the Economist would seem to be preferable to the Board of Trade index. On the other hand, the Board of Trade index is weighted according to constimptipn whereas the other two are weighted in only a very general sort of way. The weighting used, however, is influenced apparently T>y a desire to measure the cost of living rather than the general wholesale price level since the weight of 330 points is given to food, all other commodities receiving the weight of 176. It may be concluded, therefore, that the Statist index is probably the most suitable one for measuring tne British wholesale price level. It is inadequate, especially in respect to quotations of manufactured goods and weighting. Only one wholesale price index is publisned at present in France, namely, that of the Statistique Generale 01 the French Ministry of Labor and Social Welfare, the index of Jules Domergue published in the Rfeforme Economique having been allowed to lapse at the beginning of the war. The former index consists of 45 commodities unweighted. It resembles the Statist and Economist indexes in number and type of commodities, very few manufactured goods being quoted. The quotations are obtained from the Bourse de Commerce of Paris, official and trade journals, and the R6forme Economique. The leading Italian wholesale price index published at the present time is that of Prof. Kiccardo Bachi, the official Italian indexes consisting of small numbers of foods at semiwholesale prices. The Bachi index consists of 40 commodities at wholesale and is constructed on a similar plan as the Economist index for England. As is the case with the British and French indexes, the commodities are quoted mostly as raw materials. The quotations are obtained for the most part from the official reports of the chambers of commerce of Genoa and Milan. The Swedish Government has recently begun publishing a wholesale price index. So far, we have been unable to discover how this index is constructed, the commodities used, or the source of quotations. The index number is being publisned currently, however, by the Supreme Economic Council in the Monthly Bulletin of Statistics, and judging from the grouping of commodities it must be similar to the other best known European indexes. The Bank of Japan publishes a wholesale price index for Tokyo currently. It consists of prices of 56 commodities, both raw materials JANUARY, FEDEBAXi BESEBVE BTJIJLETIN. 1920. and manufactured goods, unweighted. Prices are obtained from reliable firms with whom the bank has connections. Index numbers of wholesale prices (all commodities). (1913-100.) it d.2 I II 1913. 1914. 1915. 1916. 100 100 101 124 100 101 126 159 100 102 140 187 100 95 133 202 100 116 145 185 100 95 97 117 1917. January— February.. March. April May June July August.... September October... November December. 151 156 161 173 182 185 187 186 183 181 183 183 187 193 198 203 205 216 208 206 207 212 215 217 215 226 229 248 256 266 268 270 280 284 293 304 229 241 260 265 278 288 304 311 331 350 364 365 1244 128 126 127 131 139 145 158 169 169 164 163 166 1918. January... February. March April May June July August September October November December. 185 187 187 190 191 193 198 203 207 205 206 207 219 220 221 223 225 226 227 230 231 232 229 230 313 319 327 333 335 329 337 350 356 360 358 353 367 384 399 407 417 422 435 435 435 443 438 372 1919. January February.. March April May June July August September. October November. 203 197 201 203 207 207 219 226 221 223 230 224 220 217 217 229 235 243 250 253 264 272 348 340 337 332 325 3S0 328 323 326 330 337 356 358 365 »Year. 370 367 372 354 172 179 183 207 186 188 194 206 206 216 214 214 214 213 206 207 215 228 247 251 257 271 100 106 147 138 2 146 2 158 «168 2 173 «178 *180 «177 100 101 110 135 157 163 167 171 181 183 184 183 182 181 187 190 191 195 199 199 204 208 210 211 211 214 215 213 212 207 205 206 210 210 218 223 223 222 227 «Quarter. There is at present a very excellent Australian index number published by the Commonwealth Bureau of Census and Statistics, consisting of 92 commodities weighted on the basis of the country's aggregate consumption. So far as can be judged, the list is a very inclusive one, covering Australia's leading raw materials, important producers' goods, and a long list of goods used in private consumption. Melbourne trade journals are used for the most part as a source for quotations, but in a few JANUARY, 1920. FEDERAL RESERVE BULLETIN. cases, where Australian markets are not developed, prices are quoted on the London market. The weighting is apparently based on aggregate consumption as contrasted with private consumption. In other words, the idea of measuring the cost of living has not influenced the weighting, but consumption has been estimated by adding imports to production and subtracting exports. This index number is published quarterly in the Labour Bulletin, computed on the basis of average prices in 1911 equal to 100. Since 1915 an additional monthly index number has been computed on the basis of prices in July, 1914, equal to 100. Unfortunately, the Labour Bulletin is not received in this country very promptly after publication. The official Canadian index is very similar to that of the United States Bureau of Labor Statistics in number and choice of commodities. It is not a weighted index, however. The 272 quotations used in the construction of the index cover the leading commodities of the country in both the raw and manufactured condition. Trade journals, boards of trade, and commercial houses are used for the collection and verification of the price quotations. 29 It is apparent from the table on page 28 that credit expansion has been least m Australia. The United States and Canada appear to be in approximately the same position and somewhat better off than the European countries. It would seem that values in Japan have shifted in about the same ratio as in England, whereas in France, Italy, and Sweden money has depreciated even more radically. It should be noted also that whereas prices in all of these countries declined for a few months after the close of the war, they have consistently advanced during the last five or six months in every case where we have recent figures. As stated at the beginning of this article, the index numbers published abroad are fairly satisfactory for the purpose of studying general price movements. By the use oi the group indexes for foods, clothing, etc., published in every case except that of the Bank of Japan, it is possible to follow the movement of prices in related groups of industries. We thus have in addition to the average price fluctuation in a given country the variations of groups of industries from the average. 30 JANUARY, 1920. FEDERAL RESERVE BULLETIN. Group index numbers— United States Bureau of Labor Statistics. [1913=100.] House ChemCloths Fuel and Metals Lumber Farm and Miscellametal building and icals and furnishlighting. and products. Food, etc. clothings. ing neous. products. materials. drugs. goods. Date. 1913 1914 1915 1916 January February March January February. March April May June July August September October November December 100 102 105 124 100 98 99 123 100 96 92 114 100 88 94 142 100 98 94 100 100 101 109 157 100 99 99 115 100 98 99 117 148 151 163 181 197 197 199 205 204 208 212 . 205 151 160 161 183 192 188 182 181 180 184 185 186 161 162 164 169 173 179 187 193 193 193 198 202 176 185 188 184 194 201 192 165 160 146 155 158 183 190 199 208 217 239 257 249 226 182 174 174 106 108 110 114 117 127 132 133 134 134 134 135 159 160 165 170 179 180 198 209 223 252 240 238 132 132 132 139 139 144 ' 152 152 152 152 155 155 138 141 143 149 150 152 153 156 155 163 166 170 207 208 212 217 214 217 224 230 237 224 221 222 188 187 179 180 179 180 186 193 200 202 208 212 211 216 223 232 237 245 249 252 254 256 255 250 157 157 158 157 160 159 166 166 167 167 171 171 174 176 176 177 178 178 184 185 184 187 188 184 136 138 144 146 148 150 154 157 159 158 164 164 232 232 232 229 223 219 216 222 220 218 215 195 161 161 165 172 173 178 199 221 226 226 226 227 178 181 184 191 194 196 190 191 194 196 203 204 222 218 228 235 240 231 246 243 226 230 240 209 197 205 212 216 206 218 228 212 211 219 234 223 216 217 227 258 282 303 306 313 325 170 169 168 167 167 170 171 175 181 181 179 172 168 162 152 152 154 158 161 160 161 164 161 163 165 162 164 175 186 209 229 231 236 191 185 183 178 179 174 171 172 173 174 176 218 218 218 217 217 233 245 259 262 264 299 212 208 217 216 213 212 221 225 217 220 220 1917. 4fc::::::::::::::::::::: June July August September October November December 100 103 106 119 1918. 1919. January February March A>il May June July August September October November Group index numbers— United Kingdom Statist. [1913-100.] Date. 1913 1914 1915 1916 January February March April May June July August September October November December January February March April.. Vegetable foods. Animal foods. Sugar, coffee, tea. Foodstuffs. Minerals. Textiles. Sundries. Materials. 100 110 155 193 100 100 125 152 100 107 130 161 100 105 137 169 100 90 109 140 100 97 111 152 100 105 131 163 100 98 119 153 258 255 269 273 269 273 251 242 234 235 232 231 176 185 188 191 198 207 202 194 188 190 192 197 180 187 195 195 197 206 201 217 225 246 247 252 208 212 220 223 225 232 221 216 211 216 216 218 146 148 150 150 155 154 154 153 151 154 158 157 187 199 207 205 214 237 239 236 242 254 257 257 188 195 198 215 210 210 210 215 222 226 230 237 174 181 185 191 194 200 200 201 205 210 214 217 243 245 239 241 200 200 200 203 250 254 258 231 224 225 224 222 160 162 162 167 262 263 268 264 227 229 232 243 216 217 219 224 1917. , . , , 1918. JANUARY, 1920. 31 FEDERAL RESERVE BULLETIN. Group index numbers—United Kingdom Vegetable foods. Date. Animal foods. Statist—Continued. Sugar, coffee, tea. Foodstuffs. Minerals. Textiles. Sundries. Materials. 1918. May July August . . . . . . 0 c tober November..... December 241 242 249 256 250 254 256 256 203 201 201 201 220 230 230 230 231 232 232 230 232 234 236 236 222 221 224 226 233 240 241 241 165 163 175 173 172 173 166 161 263 268 261 277 275 266 256 258 250 255 250 249 246 246 243 250 226 249 250 240 243 244 246 244 254 258 260 266 226 226 205 206 208 208 208 208 208 226 226 221 221 238 228 236 243 275 320 327 322- 234 235 224 224 226 229 231 242 244 253 159 156 154 154 177 182 202 206 206 222 180 246 242 235 246 235 246 239 218 212 213 243 213 253 258 256 272 286 305 296 258 271 284 283 279 284 230 239 250 254 257 270 328 280 1919. January February March April May July August September October November .' . . . . . . . .. ... 332 229 228 232 230 228 222 224 Group index numbers—France and Italy. France, Bulletin de la Statistique Generale. [1913-100.] Italjr,i Prof. B a c h i . 1913=100.] Date. 1913 1914 1915 1916 January.. February March April May June July . . . . September October. . November December 1917. . . . . . . . . . . . . . Other foodstuffs. Textiles. Minerals and metals. 100 84 93 135 100 96 113 184 100 100 207 380 100 96 133 197 175 184 188 189 189 191 207 212 236 267 268 269 150 155 158 158 167 171 173 174 176 183 198 189 240 248 274 266 281 308 330 341 364 413 426 428 419 449 518 535 592 597 610 630 688 685 711 720 210 218 230 243 230 252 286 286 287 305 322 326 348 348 304 279 285 286 484 484 484 775 746 430 427 432 432 304 300 292 294 293 320 334 332 300 307 312 330 336 343 331 350 330 328 331 333 375 380 387 414 306 306 355 358 366 419 420 421 422 384 362 349 340 836 342 341 Materials (25). Cereals and meats. 100 104 131 167 100 101 145 206 100 102 132 156 183 189 191 228 230 238 237 238 244 236 239 249 242 256 260 264 277 289 293 296 309 322 337 349 257 260 264 275 279 269 274 292 296 298 301 304 358 367 378 380 382 377 388 398 404 410 404 392 313 316 337 336 319 313 376 360 337 330 330 344 Foods (20). Other goods. 1918. February. . March April May . ... .. ..... . ... July August . . . . . October November December January February March April May June . . . . . . . . . . July August. . . . . . . 1919. . . . . . . . . . . . . . . . . . . . . . . . . . ,. * Group index numbers January-September, 1918, not available in this country. 32 JANUARY, 1920. FEDERAL. RESERVE BULLETIN. Group index numbers—Sweden, Official. [1913=100.] Raw Vegetable Animal materials for agrifood. food. culture. Date. 1913-14 19141 1915 1916 1917 1918 Coal. Metals. Building material. Paper pulp. Hides and leather. 100 136 151 152 181 221 100 101 140 182 205 419 100 114 161 180 198 304 100 123 177 266 551 856 100 109 166 272 405 398 100 104 118 165 215 275 116 233 267 300 100 118 158 229 206 195 276 276 276 487 486 482 318 318 318 826 780 844 382 385 384 293 293 293 309 315 327 208 208 208 276 276 276 276 483 448 438 423 356 356 356 367 810 784 814 769 373 341 317 287 293 293 288 288 323 323 323 323 208 208 174 172 100 1918. October December . . . 1919. March April i Average for the six months ending Dec. 31,1914. Group index numbers—Canadian Department of Labor.1 Date. Grains and fodder. Animals Dairy and products, meats. Fruits and vegetables. Other foods. Textiles. Hides, leather, etc. Metals. Building Fuel Imple- materials, and ments. etc. lighting. Drugs and chemicals. 1913. 1914. 1915. 1916. 100 114 136 142 100 107 104 121 100 100 105 119 100 99 93 130 100 104 121 136 100 102 114 148 100 105 110 143 100 96 128 167 100 101 106 128 100 100 97 100 100 94 92 113 100 106 160 222 1917. January February March April May June July August September... October November... December... 174 178 185 201 222 214 216 216 207 205 222 228 138 146 149 157 171 165 163 160 163 166 169 173 157 156 145 140 143 134 136 147 149 159 160 165 196 224 241 246 269 289 258 214 250 170 220 220 154 155 156 168 195 192 187 192 189 189 192 194 165 171 177 182 189 199 205 210 212 222 233 247 174 168 161 161 173 174 169 171 170 163 163 166 177 197 202 210 222 228 230 233 233 226 220 221 153 157 157 157 159 178 184 189 188 188 187 187 105 107 109 113 115 116 123 124 124 125 128 130 153 150 161 143 151 162 194 184 190 154 158 158 228 231 238 241 243 229 232 231 239 236 243 247 1918. January February March April May June July August September... October November December... 232 242 258 251 236 227 229 227 214 227 216 207 181 184 191 198 221 210 205 199 199 198 186 171 168 171 159 157 155 155 163 165 170 179 186 190 216 221 214 215 203 224 234 217 206 199 213 195 202 203 204 210 210 214 214 220 226 227 227 250 250 255 257 264 278 283 284 287 286 291 290 160 156 156 154 173 173 173 174 177 179 179 171 217 223 226 222 237 237 238 236 235 231 230 217 189 203 210 209 206 210 212 220 224 230 231 214 131 132 143 148 148 149 150 152 153 153 154 154 159 160 161 162 163 200 205 205 206 208 210 211 255 260 256 243 242 259 259 250 244 244 244 244 1919. January February March April May June July August September... October November... 198 192 199 217 231 238 240 243 232 232 240 191 191 196 209 213 213 216 215 201 180 175 191 178 171 184 181 179 186 189 193 204 221 206 188 189 198 209 221 200 210 195 178 240 223 218 219 213 213 215 218 224 227 228 230 293 281 282 284 277 274 278 277 282 289 298 171 162 162 166 202 211 235 260 256 252 252 204 189 172 162 162 161 166 171 171 165 171 229 229 229 223 223 226 226 228 231 225 232 154 155 156 153 153 158 168 170 183 188 194 209 202 199 206 192 194 194 240 233 212 210 208 197 195 196 197 198 181 1 Unimportant groups omitted. 201 201 JANUARY, 1920. FEDERAL RESERVE BULLETIN. In England and the United States commodities in the textile and clothing group have risen more radically in price than other commodities, food products being in much closer agreement with the7 general price level. In France "materials' as a group have risen more than foods and in Italy cereals and meats have remained comparatively cheaper than other commodities. The same may be said of vegetable but not of animal food in Sweden. In Italy minerals and metals and textiles have risen more than other groups of commodities and in Sweden meats have risen only less radically than coal. WHOLESALE PRICE STATISTICS IN OTHER FOREIGN COUNTRIES. There are certain additional countries for which it would be highly desirable to have up-to-date index numbers, notably Germany, Spain, and Argentina. The situation in Russia is such that market quotations, if published, would be of little significance. So far as we are aware, no general wholesale price index is being published currently in Germany. Prices have been published in the Vierteljahrshefte zur Statistik des Deutschen Reichs during the war on only a comparatively small number of commodities. Before the war, however, over 200 price quotations were published monthly, for approximately 40 commodities. These were not combined in an index but on the basis of these quotations an index could be constructed with little effort. There is no wholesale price index published with regularity in Spain but judging from a preliminary survey of three leading financial journals (Espana economica y financiera, El financiero, Semana financiera), it seems likely that prices of certain groups of commodities may be followed fairly satisfactorily. So far as we know, there is no wholesale price index published in Argentina. We have not yet made a sufficiently careful study of the Argentinian material available in this country to know how feasible it will be to study prices there. Before the war the Russian Ministry of Commerce and Industry published a wholesale price index annually, based on 66 commodities, practically unweighted. To judge of the representativeness of the list would require an intimate knowledge of Russian economical development such as we do not possess. By far the largest number of commodities are quoted 33 in the unmanufactured state, but this is probably due to the comparatively undeveloped condition of Russian industry. We have no recent information regarding this index. As regards the smaller countries of Europe, with the exception of Holland, wholesale price indexes are either not available at all or available on an annual basis only. In Belgium there is no wholesale price index published with regularity. The same situation exists in Spain and Norway. In Denmark the State Statistical Bureau publishes an annual index based on the import and export values of 38 commodities, weighted, so far as we can judge, on the basis of consumption. The Netherlands Statistical Office publishes monthly separate index numbers for 14 commodities, but no general index number has been compiled. The Japanese Department of Agriculture and Commerce publishes an index number consisting of approximately 65 commodities, weighted roughly by allowing more than one quotation to important commodities. No statement is made as to the method of obtaining quotations. Both raw and manufactured articles are included in the list, although the predominance is given to raw materials. PLANS FOR ADDITIONAL INTERNATIONAL PRICE STUDIES. When the Federal Reserve Board first authorized the study of foreign prices, it was with a view to constructing an international index of prices for the leading countries of Europe and the United States. It was thought at that time that a group of commodities could be found which would serve as a pattern for a matched index for the leading industrial countries of the world, the idea being that the leading countries of Europe and America were similar enough for prices of one list of commodities to represent their different price levels with fair accuracy. Because of the extreme difficulty of obtaining price material for most of the foreign countries it was thought necessary to limit this list to what might be called basic commodities and a few leading manufactured materials. Accordingly a list was prepared of 65 of the most important commodities in American industrial life. An effort was then made to find quotations for similar commodities in the leading European countries. At the same time the American index was computed on this basis, and also a British index as closely matched as possible. As a result of this study it was concluded that the 34 FEDERAL RESERVE BULLETIN. method has serious theoretical drawbacks and that from a strictly practical point of view it is impossible of satisfactory execution with the price material available in this country. The most serious objection to such a method lies in the fact that no index can be constructed which will adequately measure the wholesale price level of a group of countries. Even countries which appear to be of practically the same general industrial development differ often very greatly in separate branches. For instance, corn is a commodity of enormous importance in the economic life of the United States, whereas it is of relatively small importance abroad. Countries whose industrial development is as similar as that of England, France, and Germany differ greatly as to the importance of basic commodities in their individual cases. Differences become much greater when countries of widely different development are included in the comparison. Considered from a practical point of view, it was found impossible to match a considerable number of commodities in every country studied. Even in the case of England, for which we have a larger quantity of price material than for any other country, prices for several commodities could not be found. A careful study of the results of the experiment with the matched index for the United States and England leads to the conclusion that it formed no better basis for comparison of prices in the two countries than the indexes of the Bureau of Labor Statistics and the Statist. The matched index for England was somewhat superior to the Statist in that it contained prices on a larger number of manufactured articles. It w a s impossible to obtain expert advice regarding the reliability of the price quotations used, however, or the market information necessary for the construction of a matched index. The matched index for the United States was obviously not so good as the index of the Bureau of Labor Statistics as a general wholesale price index since less inclusive|and therefore less representative. It was decided therefore that if general wholesale price levels in several countries were to be compared, it would be necessary to con- JANUARY, 1920. struct general price indexes for each of those countries. These indexes would obviously not consist of matched commodities, since every country differs from every other as regards the comparative importance of commodities in its industrial life, but would be constructed so as to represent the industrial characteristics of the respective countries. In other words, in countries of high industrial development it would be necessary to have prices of manufactured commodities included in the index; in countries of agricultural importance farm products would be emphasized, etc. The survey of foreign price statistics showed that it would be impossible with the material available in this country to construct large general wholesale price indexes based upon the prices of manufactured goods as well as raw materials. At the same time it was apparent that with the use of a comparatively small number of quotations certain interesting and important economic problems could be studied currently in the case of a few of the leading countries at least. Experiments were therefore made with the classification of commodities into goods produced, imported, and exported for the United States and England which gave rather interesting results. At the same time the opinions of certain leading economists in this field were obtained regarding the value of the matched index as compared with the representative commodity index as a basis for international price comparisons. The question of the advisability of the Federal Reserve Board's constructing a new type of index adapted to the study of business conditions, as well as the general price level, was also put to them. The classification of goods into those produced, imported, exported, and consumed was tentatively mentioned. There appears to be a difference of opinion regarding the value of the matched as compared with the representative commodity index, but considerable interest was shown in the idea of a new index and several valuable suggestions were received. The Board has these suggestions under consideration and will announce its plan for future international price studies as soon as it is completed. JANUARY, 1920. FEDERAIi RESERVE BULLETIN. 35 GOLD POLICY AND FOREIGN COMMERCE serves were the result largely of payment by OF THE SCANDINAVIAN COUNTRIES, belligerents for goods purchased in Sweden. 1914-1919. A situation developed which has few, if any, SCANDINAVIAN MONETARY UNION. Sweden, Norway, and Denmark formed in 1873 what is known as the Scandinavian Monetary Union, by the terms of which the coins of each country were made legal tender in all the three countries. The standard coins, of the face value of 20 and 10 kroner, contain jj% and -j^g- of a kilogram of fine gold, respectively, and the Governments of the three countries were bound by the treaty to purchase gold from any person offering it" at the fixed price of 2,480 kroner per kilogram, less a mintage charge of one-half per cent on the 10-kroner piece and one-quarter per cent on the 20-kroner piece. Expressed in American units, the 10-kroner coin contains 62.2258 grains of pure gold and is worth $2.6799, the mint value of a Scandinavian krona thus being 26.8 cents. Silver coins and subsidiary coins of the signatory powers are also legal tender throughout the Union territory up to amounts limited by the treaty, but bank notes are not legal tender outside of the country of issue. Since the monetary policies adopted by Sweden were followed by the other two countries, the following discussion deals with Sweden in more detail than with Norway or Denmark. SUSPENSION OF GOLD PAYMENTS AND OF GOLD PURCHASES. At the outbreak of the Great War the authorities of the Bank of Sweden, alarmed by the public's demand for gold and fearing that the bank's reserves might become impaired by large withdrawals of gold, submitted to the legislature an amendment to the bank act which permits the King and the Parliament together, or when the Parliament is not in session, the King alone, to release the bank for a fixed period from the obligation to redeem its notes in gold on demand. Suspension of gold payments was sanctioned by royal order from May 11, 1915, to October 1 of the same year and was then extended to February 4, 1916. In the meantime the gold situation underwent a radical change and on January 3, 1916, the bank resumed gold payments. During 1916 the gold holdings of the bank showed continuous and marked increases. From 142 millions in January they rose to 161 millions in February and to 184 millions in December. These additions to the gold re- precedents in the financial history of the worla, A continuous stream of gold was pouring into the coffers of the Bank of Sweden, as it was under legal obligation to accept all this gold at its mint value. The bank had only two alternatives in dealing with the situation under the laws in force at the time—either to issue notes in return for all the gold and therebv increase the circulation of the country witnout reference to commercial needs, or to dispose of some of its earning assets and pay for the gold by notes thus obtained. The issue of notes in payment for gold would add nothing to the bank's earnings, since gold in vault under these circumstances would be a "dead" asset. Even less desirable appeared the sale of the bank's assets, as that policy would gradually transform it into a mere gold deposit vault with no earning power whatever. Swedish economists, confronted with this novel situation of a country with too much gold, reached the conclusion that, just as Swedish merchants would not accept the goods of any country except at the market price, neither should the bank accept gold on any other terms. Sweden needed goods, not gold, and if she could cause the outside world, especially England, to pay for purchases in Sweden by merchandise rather than gold, the country at large as well as the bank would be benefited. In view of these considerations, the bank sponsored another modification of its organic act, by which the King and the Parliament, or the Eang alone, when the Parliament is not in session, is authorized to suspend for a fixed period the bank's obligation to purchase gold in bars at the mint price; also to suspend the provisions of both the bank and mint acts according to which the bank as well as the mint were bound to pay gold coins for all gold bars tendered.1 This bill became law on February 8,1916, and was to continue in operation to February 4, 1917, but has since been extended and is still in force. The order suspending gold purchases was issued xm February 8, 1916, and the order suspending the free coinage of gold on April 28 of the same year. At this point Sweden's gold policy came into conflict with the terms of the Scandinavian Monetary Union by which the three signatory powers had bound themselves to treat each other's gold coin as legal tender. i For text of this bill see FEDEBAL RESERVE BULLETIN for May, 1918, p.378. 36 FEDERAL RESERVE BULLETIN. I t was, therefore, necessary, before the suspension of gold purchases would become effective, to have Denmark and Norway adopt the same policy as that pursued by Sweden. At Sweden's request, after a conference of delegates of the three countries in Gothenburg on February 23 and 24, Denmark adopted this course on March 17, and Norway at about the same time. To recapitulate: The Bank of Sweden up to the outbreak of the war was prepared to redeem all its notes in gold and to purchase whatever gold was offered at a fixed price. The practical result of the amendments to the bank and mint acts permitting the suspension of these functions m case of need is that Sweden in reality is prepared to redeem her notes in gold only so long as no great amount of notes is presented for redemption, and is ready to purchase gold at a fixed price only so long as no large amount of gold is tendered. It may be noted that the bank was not prohibited from purchasing gold, but simply released from the obligation of purchasing it at a fixed price, and as a matter of fact purchases at a discount were made by the bank, although its operations in this line were not on so large a scale as those of the Bank of Spain (see FEDERAL RESERVE BULLETIN for November, 1919, p. 1039). A measure of these gold purchases is afforded by the growth of the bank's gold holdings, which increased from 125 millions at the end of 1915 to 286 millions at the end of 1918. Possession of this gold, however, did not enable Sweden to secure from the belligerents the merchandise of which she stood in need, for gold had temporarily lost much of its purchasing power in the international market. If, indeed, Sweden's purpose in refusing to accept gold at par was primarily to induce England and other belligerents to pay for their purchases in goods, the policy was not a success, as goods could not be had at any price. As a matter of fact, imports of merchandise from England to Sweden declined from 214 million kronor in 1915, to 164 millions in 1916, and to 65 millions in 1917. In its practical operation the suspension of the purchase of gold by the Scandinavian banks amounts to a temporary annullment of the essential feature of their Monetary Union, namely, the free circulation of all Scandinavian money throughout the Union territory. As a result, intra-Scandinavian trade balances must be settled by bills of exchange, and the currencies of the three countries, instead of being JANUARY, 1920. interchangeable as was the case while the Monetary Union was in operation, have fluctuated in accordance with their respective trade balances. Thus, the Swedish krona has been at a premium in Norway and Denmark during most of the period under review owing to Sweden's more favorable trade balance with the European belligerent countries. FOREIGN TRADE AND FOREIGN EXCHANGE. In prewar years Sweden ordinarily imported more goods than she exported. Her exports consisted largely of timber, wood pulp, iron, and other raw materials, while her principal imports were food, textiles, and coal. The two principal countries with which Sweden traded were Germany and Great Britain. Import and export figures for Sweden are available to the end of the calendar year 1917. It will be seen from the table on page 39 that Sweden continuously exported more goods to Great Britain than she imported from that country. I t will also be noted, however, that tne excess of exports to Great Britain increased decidedly as the war progressed. During the year 1916 the exports were twice as large as the imports and during the year 1917 more than 3£ times as large. The table on page 42 and the chart on page 40 show fluctuations of exchange quotations in Stockholm. At the outbreak of the war the pound sterling was quoted in Stockholm slightly above par and rose somewhat during the following months, while gold payments were received from England for merchandise purchased in Sweden. This rise continued until March, 1915. From that time on, as the blockade of Germany became more effective and communication more hazardous, also as England's needs became more acute and as she restricted gold payments, the rates for sterling began to decline. By the end of 1915 the pound was quoted at more than 3 per cent discount and by the end of 1916 at more than 7 per cent discount. The decline continued until November 7, 1917, whenfit reached its lowest level, the discount during that month exceeding 28 per cent. From that time the rate advanced again with fluctuations, the more rapid advance taking place since the signing of the armistice in November, 1918. During December oi the present year the British pound has been quoted at Stockholm above par. Trade balances alone are not sufficient, however, to explain the changes in the value of JANUARY, 1920. the British pound at Stockholm. Another f actor is found in the toll collected by Sweden for the use of her ships. Sweden's earnings from foreign shipping, which were about 120 million kronor annually before the war, increased to 242 millions in 1915 and to 416 millions in 1916, while in 1917 they amounted to 229 millions. England alone incurred a bill for shipping amounting to 130 million kronor in 1916. As in the case of other neutrals, part of the claims on foreign countries was used by Sweden to repurchase a large amount of home securities owned abroad. During the period from July 1, 1914, to December 31, 1917, about 343 millions of Swedish securities were repatriated, about 76 millions of which came from England. While the income from the carrying trade operated to enhance Sweden's favorable trade balance, her purchases of securities held abroad were an offset againt her net exports of merchandise. Sweden before the war was a heavy importer from Germany, having an unfavorable balance of trade amounting to about 100 million kronor a year. Beginning with 1915, however, this balance changed in Sweden's favor. At the same time Germany contributed to the earnings of the Swedish merchant marine, and, on the other hand, returned about 179 million kronor of Swedish securities. Mark quotations in Stockholm declined practically without a break from the beginning of the war until October, 1917, then rallied somewhat as the chances of a negotiated peace appeared brighter, only to decline again with the turning of the tide in favor of the Allies in June, 1918. From that time German exchange declined very rapidly, stood at about 41 per cent below par in November, 1918, when the armistice was signed, and continued to fall, reaching in November of this year the level of 85.4 per cent below par. Throughout the war Sweden purchased more from the United States than she sold to this country, the amount of Sweden's unfavorable balance increasing very decidedly as the war progressed. At the same time, American exchange was below par at Stockholm for the reason that sterling exchange in New York was "pegged" at about 2 per cent below par.1 Examination of the table of foreign exchanges on page 42 and of the chart on page 40 shows that dollar exchange in Stockholm remained with remarkable constancy about 2 per cent above sterling until March, 1919, i For discussion of the effect of pegging on dollar exchange see F E D EEAL RESEEVE BULLETIN for November, 1919, p. 37 FEDERAL, RESERVE BULLETIN. 1038. when Great Britain ceased to support her exchange in New York. As a result the dollar immediately rose above par and has remained so since that time. During November American exchange has been quoted in Stockholm at as much as 18 per cent premium, a condition which causes serious concern to Sweden's importers and to American exporters. Norway's foreign commerce and exchange rates are shown in the tables on page 39 and page 43. In the case of Norway earnings from the foreign carrying trade are an even more important factor than in the case of Sweden. The following statement shows those earnings for the years 1911 to 1917 J Year. 1911 1912 1913 1914 1915 1916 1917 . . Tonnage carried (1,000 tons). 1,171 1,261 1,329 1,379 1,413 1,422 1,129 Earnings (1,000 kroner). 161,086 188,440 218,619 211,478 474,525 1,062,662 1,107,177 From earnings averaging about 200 million kroner during the years 1911 to 1914 Norway's receipts from this source rose to 475 millions in 1915, to 1,063 millions in 1916, and to 1,107 millions in 1917. I t will be noted that during 1917 Norway's total imports were about 1,661 millions and her exports 791 millions, so that she had an unfavorable trade balance of about 900 millions. This balance, however, was more than offset by her earnings in the carrying trade. It will also be noted that the actual amounts carried did not increase materially and that the large returns were due to the enormous increase in rates. It is to be remembered, of course, that the extra hazardous nature of navigation in the submarineinfested waters necessitated large advances in freight rates. Nevertheless the increase in these rates is startling: Thus, for example, the rate per ton from the east coast of Great Britain to the eastern ports of Norway quoted at 4.6 kroner in January, 1914, advanced to 8.10 kroner in August and to 11.4 kroner by the end of the year. In 1915 the advance continued and at the end of that year the rate per ton was 18.7 kroner per ton. By the end of 1916 it was 45.5 kroner, while in 1917 the increase was nothing short of spectacular, as in June of that year it reached 260 kroner per ton. During the next three or four months, 38 which are the latest for which information is available, the rates declined somewhat and in September of that year were 205 kroner per ton. Thus Norway, not being in a position to export as much merchandise as Sweden and bemg greatly in need of outside supplies, had an unfavorable merchandise balance even during the war years, but the earnings of her merchant marine considerably more than offset her excess of imports and her true international balance was decidedly favorable. Denmark, being situated in greater proximity to belligerent Europe and having less immediate access to the northern sea where ocean communication was possible with much less danger from mines and submarines, was not able to do so great a business with Great Britain during the war as in previous years (see tables on pages 39 and 44). Her trade balance with Great Britain was favorable until 1916 but was against her in 1917. British exchange consequently never fell so low in Denmark as in Sweden, the lowest point being reached in November, 1917, when the pound was at about 19 per cent discount. It rallied soon thereafter, however, reached par early in 1919, and has been considerably above par since that time,-the latest quotations being approximately 10 per cent above par. Denmark's largest exports during the war were to Germany: from about 300 million kroner during 1914 her exports to that country increased to 487 millions in 1915 and to 691 millions in 1916. During 1917, doubtless as a result of allied pressure, the exports fell to 488 millions. At the same time Denmark's imports from Germany were considerably lower than before the war. Consequently German exchange in Copenhagen fell below ar and continued to decline as her trade alance with Denmark became increasingly unfavorable. The German mark was quoted in Copenhagen at a 50 per cent discount in October, 1917, then rallied temporarily, only to decline again, and reached a level of about 83 per cent below par in November of this year. Denmark, as the other Scandinavian countries, shows considerable earnings from her carrying trade, her income from this source, which was in the neighborhood of 100 millions a year during prewar times, being 219 millions in 1915, 351 millions in 1916 and 330 millions in 1917. E ASSETS AND LIABILITIES OF CENTRAL BANKS. Tables are attached (pages 45 and 46) showing the assets and liabilities of the Bank JANUARY, 1920. FEDERAL RESERVE BULLETIN. of Sweden (Sveriges Riksbank), the Bank of Norway (Norges Bank), and the National Bank at Copenhagen (Nationalbanken in Kj0benhavn). These banks have a monopoly of note issue in their respective countries, the Bank of Sweden being owned by the Government (or rather the houses of Parliament), while the Banks of Norway and of Denmark are privately owned but under Government supervision and sharing their profits with the Government. It will be noted that the gold holdings of the Bank of Sweden increased from 109 million kronor at the end of 1914 to 286 millions at the end of 1918; the bank's holdings of bills payable in Sweden were much lower at the end of 1915 and 1916 than at the end of 1914, when they amounted to 175 millions, while at the end of 1918 they had increased to 280 millions. Holdings of bills payable abroad increased from 43 millions in 1914 to 91 millions in 1915, and 122 millions in 1916, but declined to 110 millions in 1917 and to 70 millions in 1918. Advances, other than in current account, largely on securities, show a rapid growth from 53 millions at the end of 1916 to 181 millions at the end of 1918. On the liability side an expansion of note circulation from 304 millions in 1914 to 814 millions in 1918 is noted, while deposits increased from 108 millions in 1914 to 197 millions in 1917, but declined to 141 millions in 1918. The Bank of Norway, for the period from December 31, 1914, to December 31, 1918, reports increases in gold reserves from 38 to 122 million kroner; in domestic discounts from 120 to 434 millions; in deposits from 21 to 128 millions; and in note circulation from 134 to 436 millions. The National Bank at Copenhagen shows a growth of its gold reserves from 79 million kroner on July 31, 1914, to 187 millions on July 31, 1919. During the same period its deposits in current account rose from 17 millions to 115 millions and its note circulation from 156 to 429 millions. LITERATUBE USED. Sweden: Handel, issued by the Department of Commerce, Sweden, for 19111919. Kommercialla Meddelanden, issued by the Department of Commerce, for January, 1919. Statistisk Arsbok, issued by the Swedish Government, for 1911-1918. De Svenska Statsmakterna och Krigstidens Folkhushollning, for 1917-18. Keglemente for Forvaltningen af Sverigfes Riksbank, issued by the Swedish Government in 1907. Sveriges Riksbank, dess Tillkomst och Verksamhet, issued by the bank Die Golpolitik der Bank von Schweden wahrend der Kriges, by Albert Hahn, in Schmollers Jahrbush, 1917, second issue, p. 53. JANUARY, 1920. 39 FEDERAL. RESERVE BULLETIN. Sweden—Continued. Norway's trade balance with principal countries for the years Affarsverlden, Stockholm, for January-November, 1919. 1912-1917 {in 1,000 kroner). Goteborgs Handels=och Sjofarts=Tidning (daily) Gothenburg, June-November, 1919. Sveriges Riksbanks Arsbok, for 1911-1918. 1916 1917 1912 1913 1914 1915 Countries. Sveriges Skepsfart, Government report, 1918. Gold after the war in relation to inflation and the foreign exchanges, Germany: by K. Wiksell, in the Economic Journal, December, 1918, p. 409. Imports 167,956176,065151,299 155,218 176,471 156,483 Exports 75,019 67,228 76,167 192,716 291,777 150,133 The depreciation of gold, by G. Cassel, in the Econlomic Journal Great Britain: September, 1917, p. 346. Imports 147,995146,244159,186 253,584 374,007 430,696 The Scandinavian gold policy, by K. Wiksell, in the Economic Exports 94,832 98,647105,707 187,672 274,428 301,893 France: Journal, September, 1916, p. 313. Imports 15,075 11,719 10,587 13,853 23,349 30,997 The present situation of the foreign exchanges, by G. Cassel, in the Exports 27,590 14,687 14,223 10,034 79,099 81,584 Economic Journal, March, 1916, p. 62. United States: 33,807 39,201 73,060 183,627 337,998 551,397 Imports Denmark: 33,432 30,222 44,864 33,154 32,387 22,438 Exports Danmarks Vareindforsel-og Udforsel, issued by the Department Sweden: of Statistics, 1911-1917. 35,332 46,328 46,937 75,166 132,441 162,275 Imports 68,350 55,877 21,443 26,440 34,681 67,464 Exports Statistisk Aarbog, issued by the Government, 1911-1918. Handelsberetning, issued by the Wholesale Dealers' Association, Denmark: 26,996 28,347 29,400 33,351 69,140 104,476 Imports 1915-16. 8,440 9,158 18,398 30,337 40,538 19,801 Exports Other countries: Nationalbanken i Kjobenhavn Regnskab, 1911-1919. 224,984 98,574104,317 153,169 240,259 Imports Finanstidende, Copenhagen, March-November, 1919. Exports 87,819 146,713120; 171 137,827 201,754 159,646 Lovtidende, July 13, 1908, Copenhagen. Total imports 525,735 552,321567,277 867, 9681,353,6651,661,308 Politiken (daily), Copenhagen, January-March, 1919. 791,372 Total exports. 335,672 392,631410,022 676,760 Norway: Handel, issued by the Government, 1911-1917. Statistiske Meddelelser, issued by the Government, 1914-1915 and Denmark1 s trade balance with principal countries for the years January-June, 1919. 1912-1917 (in 1,000 kroner). Aarbok, issued by the Exchange at Bergen, Norway, 1916-1918. Les Lois de la Banque de Norvege, Christiania, 1909. Statistisk Aarbok, issued by the Government, 1911-1918. 1912 1915 1916 1917 1914 1913 Countries. Aftenposten (daily), Christiania, August-November, 1919. Norges Skibsfart, Government report for 1917. See also FEDERAL RESERVE BULLETIN, 1918, pp. 379-384. Germany: 314, Imports 328,308 264,653 200,380 265,067 237,181 178,737 301,424 486,701 690,900 488,415 Exports 18lJ Sweden's trade balance with principal countries for the years Great Britain: 1912-1917 (in 1,000 kronor). 134,561145,137 253,435 336,518 283,814 Imports 135, Exports 373, 079 410,338 431 — 385,114 351,456 264,577 France: 13,291 19,775 13,524 20,935 17,512 19, Imports 1917 1912 1916 1914 1915 1913 Countries. 1,767 3,342 6,415 5,511 1,896 Exports United States: 1,354 86,979 84,292 313,742 311,061 214,139 Imports Germany: 12,694 9,397 4,052 Exports 1,439 7,853 11,661 273,860 289, 900 238,550 251,500 420,173 288,228 Sweden: Imports 486,415 437,532 352,050 170,930179,080174;',840 Exports 71,104 83,097 92,805 117,130 137,150 Imports Great Britain: 67,772 63,280 113,245 Exports 34,083 37,960 33, 188,950 206,820183,810 213,527 164,416 65,080 Norway: Imports 222, ~ — 329,550 320,052 216,123 Exports 8,755 17,475 28,450 39,815 30,687 Imports France: 19,300 22,843 32,138 55,977 72,705 Exports 18, 33,170 35,280 28,880 23,796 23,562 15,706 Other countries: Imports 96,593 63,786 53,230 66,260 32,688 31,476 Exports 362, 380,858183,1,062 255,221 268,034 165,965 Imports United States: 242,447 55,538 139,333 136,111 119,567 223, Exports 60,460 76,580 78,076 321,865 213,936 96,122 Imports 32,150 34,400 41,208 33,751 75,395 50,428 Exports 200 1,031,500 795,2281,157,324 1,357,4001,082,460 Total imports... Norway: 8001 896,100 867,446 1,129,263 1,308,888 1,064,457 Total e x p o r t s . . . 23,680 25,930 29,036 50,489 61,139 51,667 Imports 42,910 54,030 76,206 115,384 162,713 Exports Denmark: 49,640 53,680 51,648 69,766 79,590 113,423 Imports 67,480 70,650 72,850 80,395 93,844 112,777 Exports Other countries: 153,130158,350116.»,910 211,567 175,744 128,384 Imports 170,970175, 040 143,562 278,567 417,580 391,674 Exports Total imports... 782,890 846,540 726,9101,142,510 1,138,560 758,610 Total exports... 760,470 817,340 772,350 1,316,360 1,556,3801,349,55 k LIU, Att XUV} J.OU I8 MOVEMEHTOTFOREIGNEXCHANGE RATES ATSTOCKHOLM. ntwroRK Lonpon FARIS BCHUH- s © I MOVEMENT OETOREIGN EXCHANGE RATES AT COPENHAGEN .......... NEWYORK - L011D0/1 PARIS HAMBUR6• • •• % B W 42 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Monthly high and low rates of exchange in Stockholm on principal foreign countries: 1914-1919. [Par: 1£—18.1595 kronor; 100 francs—72 kronor; 1 dollar-3.7314 kronor; 100 Reichsmarken—88.8888 kronor.] Exchange on— Month and year. London (par 18.16). Paris (par 72). Percentage of par (based on high rate). New York (par 373). Berlin (par 88.89). London. High. 1914. Jjjjy 1915. April May July 1916. May J U ly 1917. February March April May July October 1918. February April May June July August SpDtember October ....... .... December 1919. February March . April May June July August October November ... Low. High. Low. High. 18.33 18.40 18.80 18.95 19.10 19.20 18.24 18.35 18.45 18.80 18.95 19.15 72.90 74.50 74.50 75.50 77.00 77.50 72.50 73.00 73.00 74.50 75.50 77.00 19.35 19.45 19.50 19.05 18.52 18.20 18.50 18.30 18.13 18.06 17.50 17.60 19.20 19.40 19.10 18.50 18.25 18.10 18.15 18.15 18.07 17.50 16.83 16.45 77.50 78.00 78.00 75.25 73.00 71.00 70.50 68.25 67.00 66.50 63.75 64.50 77.30 77.30 75.50 73.00 71.00 68.50 67.75 65.75 65.00 63.00 61.00 59.70 400.00 407.00 408.00 397.00 386.00 381.00 389.00 390.00 395.00 382.00 379.00 372.00 17.45 17.37 16.95 16.47 15.75 16.85 16.95 16.80 17.05 16.85 16.87 16.77 17.00 16.88 16.52 15.75 15.35 15.85 16.35 16.65 16.65 16.72 16.75 16.12 62.80 62.10 60.50 58.00 51.10 60.00 60.35 60.00 61.25 60.75 60.85 60.50 61.25 60.25 58.10 55.50 54.35 56.00 58.25 59.10 59.75' 60.50 60.50 58.25 16.25 16.18 16.50 16.35 15.98 15.85 15.58 14.50 14.16 13.55 13.00 14.50 16.07 16.11 15.80 15.65 15.80 15.61 14.30 14.00 13.70 11.55 11.00 13.25 58.75 58.50 58.25 60.50 58.85 58.25 57.30 53.00 51.75 49.25 47.50 53.50 14.50 14.85 15.00 14.20 14.15 14.00 13.55 13.85 15.00 16.85 17.10 16.72 13.95 14.20 13.98 13.80 13.75 13.42 13.29 13.20 14.03 15.10 16.65 16.20 17.00 16.98 17.13 17.49 18.40 18.20 17.78 17.55 17.27 17.47 19.90 16.28 16.87 16.89 17.08 17.49 17.72 17.59 17.20 16.85 17.13 17.53 Low. High. Paris. Low. New York. Berlin. 89.10 89.25 89.30 89.00 85.00 88.50 89.00 89.15 89.10 85.75 84.50 85.25 100.93 101.32 103.52 104.35 105.17 105.72 101.25 103.47 103.47 104.86 106.94 107.64 398.00 400.00 398.00 386.00 381.00 378.00 380.00 384.00 381.00 379.00 359.00 350.00 87.75 87.40 84.75 82.00 80.00 78.60 80.50 78.70 79.75 79.10 77.25 72.00 87.25 84.00 82.00 79.00 78.20 77.10 77.00 78.30 78.55 77.10 71.30 68.25 106.55 107.10 107.37 104.90 101.98 100.22 101.87 100.77 99.83 99.44 96.36 96.91 107.64 108.33 108.33 104.51 101.39 98.61 97.92 94.79 93.06 92.36 88.54 89.58 107.24 109.12 109.38 106.43 103.49 102.14 104.29 104.56 105.90 102.41 101.61 99.73 98.72 98.32 95.34 92.25 90.00 88.42 90.56 88.54 89.72 88.99 86.91 81.00 366.00 364.00 356.00 348.00 338.00 349.00 358.00 355.00 361.00 357.00 357.00 354.00 358.00 352.00 349.00 334.00 327.00 335.00 352.00 351.00 353.00 353.00 354.00 343.00 69.30 66.65 64.35 63.00 62.50 63.25 64.10 63.10 62.75 62.10 61.60 58.75 66.75 64.55 61.60 60.80 61.25 62.00 63.00 62.00 62.00 61.75 59.25 55.00 96.09 95.64 93.33 90.69 86.72 92.78 93.33 92.51 93.88 92.78 92.89 92.34 87.22 86.25 84.03 80.56 70.97 83.33 83.82 83.33 85.07 84.38 84.51 84.03 98.12 97.59 95.44 93.30 90.62 93.57 95.98 95.17 96.78 95.71 95.71 94.91 77.96 74.98 72.39 70.87 70.31 71.16 72.11 70.99 70.59 69.86 69.30 66.09 58.05 58.00 57.00 57.00 58.15 57.30 52.50 51.25 49.65 42.55 40.25 47.00 344.00 341.00 341.00 343.00 336.00 334.00 329.00 305.00 299.00 285.00 275.00 308.00 340.00 340.00 334.00 331.00 334.00 329.00 302.00 297.00 288.00 245.00 234.00 280.00 57.50 57.25 57.75 53.00 51.65 50.50 47.00 43.25 41.65 39.75 45.00 59.50 56.75 56.00 53.00 51.25 50.50 44.50 43.00 41.65 40.25 34.00 33.00 50.00 89.48 89.09 90.85 90.03 87.99 87.27 85.79 79.84 77.97 74.61 71.58 79.84 81.60 81.25 80.90 84.03 81.74 80.90 79.58 73.61 71.88 68.40 65.97 74.31 92.23 91.42 91.42 91.96 90.08 89.54 88.20 81.77 80.16 76.41 73.73 82.57 64.68 64.40 64.96 59.62 58.11 56.81 52.87 48.66 46.86 44.72 50.62 66.94 53.25 55.00 55.25 52.50 52.25 51.75 50.00 53.75 58.00 64.50 66.00 64.50 51.50 52.50 51.00 51.00 51.00 49.50 49.00 48.75 53.70 58.00 64.25 62.30 307.00 312.00 316.00 301.00 300.00 296.00 287.00 292.00 320.00 355.00 362.00 354.00 297.00 300.00 297.00 292.00 290.00 284.00 280.00 278.00 296.00 318.00 350.00 342.00 62.00 62.50 63.00 59.75 58.75 57.75 51.00 47.50 50.00 59.50 52.50 44.75 55.00 55.00 55.00 57.00 57.00 49.25 47.00 45.00 45.00 47.50 44.75 38.00 79.84 81.77 82.59 78.19 77.91 77.09 74.61 76.26 82.59 92.78 94.16 92.07 73.96 76.39 76.74 72.92 72.57 71.88 69.44 74.65 80.56 89.58 91.67 89.58 82.31 83.65 84.72 80.70 80.43 79.36 76.94 78.28 85.79 95.17 97.05 94.91 69.75 70.31 70.87 67.22 66.09 64.97 57.37 53.44 56.25 66.94 59.06 50.34 65.50 65.50 65.25 63.25 63.00 62.25 57.50 54.00 53.00 50.00 48.00 62.75 65.10 61.50 62.00 59.00 59.75 55.00 49.50 44.50 47.25 46.00 358.00 358.00 385.00 377.00 396.00 392.00 408.00 416.00 415.00 421.00 441.00 344.00 354.00 356.00 372.00 376.00 384.00 401.00 400.00 405.00 407.00 421.00 44.25 42.50 37.75 34.00 36.25 32.00 26.50 24.25 20.00 17.50 13.00 40.50 35.50 33.50 27.75 27.50 25.00 23.50 18.75 13.50 13.00 10.00 93.61 93.50 94.32 96.31 101.32 100.22 97.90 96.64 95.09 96.20 109.58 90.97 90.97 90.63 87.85 87.50 86.46 79.86 75.00 73.61 69.44 66.67 95.98 95.98 103.22 101.07 106.17 105.09 109.38 111.53 111.26 112.87 118.23 49.78 47.81 42.47 38.25 40.78 36. OC 29.81 27.2S 22.50 19.69 14.62 100.24 100.41 100 46 100.12 95.62 99 56 JANUARY, 1920. 43 FEDERAL RESERVE BULLETIN. Monthly high and low rates of exchange in Christiania on principal foreign countries, 1914-1919. [Par: 1 £-18.1595kroner; 100 francs-72 kroner; 1 dollar-3.7314kroner; 100 Reichsmarken-88.8888kroner; 1florin-149.99kroner.] Exchange on— Month and year. London (par 18.16). Paris (par 72). New York (par 373). Percentage of par (based on high rate). Berlin (par 88.89). Amsterdam (par 149.99). London Paris. High. 1914. July August September October November December 1915. January February... March April May June July August September.. October November.. December... 1916. January February... March April May June July August September.. October November.. December... 1917. January February... March April May June July August September.. October November.. December... 1918. January February... March April May June July August September.. October November.. December... 1919. January February... March April May June July August September.. October November.. Low, High. Low, High. Low, High. Low High. Low 89.05 89.25 89.30 89.20 86.25 88.50 89.00 89.05 89.20 86.50 85.00 85.00 150.70 151.50 156.00 163.00 162.00 162.00 150.60 150.80 152.00 156.00 159.00 161.00 100.77 101.32 103.24 104.35 105.17 106.82 101.11 101.39 103.47 104.86 106.94 108.33 400.00 403.00 408.00 393.00 390.00 387.00 387.00 390.00 388.00 385.00 374.00 361.00 87.75 87.30 84.75 82.00 80.50 78.50 80.50 79.25 80.00 79.00 77.65 71.00 87.40 85.00 83.75 80.50 79.25 77.50 77.30 79.00 79.50 78.50 76.25 69.75 162.00 164.00 164.00 158.00 154.00 152.50 158.00 157.25 158.00 158.00 159.75 162.00 161.00 162.00 162.00 154.00 153.00 150.50 152.50 155.50 158.00 157.00 156.25 152.25 106.77 107.92 107.98 104.62 102.14 100.77 102.42 101.04 99.94 99.55 97.08 95.53 107.64 108.33 108.33 104.17 101.39 99.31 97.92 95.14 92.71 92.01 89.58 88.19 372.00 364.00 356.00 349.00 336.00 355.00 356.00 361.00 369.00 363.00 366.00 364.00 367.00 356.00 351.00 329.00 321.00 332.00 349.00 353.00 359.00 363.00 366.00 359.00 69.75 66.75 64.40 63.50 63.00 63.50 63.75 63.50 64.50 63.25 62.00 61.25 67.50 66.25 62.50 61.25 61.00 62.50 63.50 63.00 63.75 63.00 62.00 57.75 162.50 153.50 151.75 148.50 140.00 151.00 148.00 148.00 149.50 148.00 148.50 148.50 159.00 151.50 147.75 140.00 132.00 138.50 145.00 145.25 146.00 147.75 148.50 146.00 96.91 94.98 93.33 90.69 88.38 93.88 93.88 93.88 96.36 94.82 95.26 94.43 61. 40 61.00 57.75 58.40 59.45 59.00 58.00 56.00 55.85 49.50 48.00 51.25 363.00 361.00 346.00 347.00 340.00 340.00 339.00 329.00 327.00 318.00 302.00 312.00 359.00 355.00 336.00 339.00 340.00 339.00 335.00 326.00 324.00 284.00 279.00 292.00 61.25 60.50 55.75 54.25 52.30 50r80 49.00 46.50 46.00 44.25 45.50 61.00 60.25 58.75 53.50 53.00 52.30 45.75 47.50 46.25 45.10 41.50 41.00 52.50 147.00 146.00 140.00 142.50 140.25 140.60 140.00 137.75 137.75 137.00 131.00 136.50 146.00 143. 75 137.00 137.50 140.25 140.40 138.50 136.00 136.00 128.00 122.00 127.50 54.75 57.00 56.25 55.75 56.50 55.75 55.75 59.00 61.00 67.00 67.25 66.00 53.50 54.25 54.00 55.25 55.25 55.50 55.25 55.25 59.00 63.00 66.00 65.00 313.00 324.00 322.00 318.00 324.00 317.00 317.00 319.00 333.00 364.00 366.00 358.00 305.00 310.00 306.00 317.00 314.00 316.00 315.00 313.00 322.00 345.00 358.00 352.00 65.00 63.00 63.50 63.00 62.00 57.00 53.25 53.00 62.00 54.00 45.00 57.75 57.25 57.25 62.25 62.25 55.00 52.75 51.00 49.00 53.00 47.00 39.00 135.00 147.50 148.25 152.00 160.50 161.75 165.00 165.50 157.50 156.50 155.25 152.50 66.70 67.00 67.05 65.00 63.00 62.25 62.00 58.00 55.00 52.25 49.50 65.50 67.00 66.85 64.50 62.50 62.00 57.50 53.00 46.00 48.75 47.25 364.00 366.00 373.00 390.00 398.00 401.00 435.00 445.00 439.00 440.00 465.00 357.00 366.00 368.00 390.00 389.00 393.00 401.00 422.00 424.00 431.00 440.00 45.50 41.50 38.50 35.50 30.50 31.00 30.00 25.50 20.15 18.75 13.00 43.00 151.75 41.50 150.75 37.00 153.00 30.50 156.75 29.00 157.25 26.00 156.50 24.20 160.75 19.50 162.50 14.00 163.50 14.50 167.25 10.00 171.75 18.30 18.40 18.75 18.95 19.10 19.40 18.25 18.33 18.50 18.75 18.95 19.20 72.80 73.00 74.50 75.50 77.00 78.00 72.50 72.90 73.00 74.50 75.50 77.00 19.39 19.60 19.61 19.00 18.55 18.30 18.60 18.35 18.15 18.08 17.63 17.35 19.33 19.40 19.50 18.60 18.35 18.14 18.15 18.24 18.10 17.95 17.30 17.00 77.50 78.00 78.00 75.00 73.00 71.50 70.50 68.50 66.75 66.25 64.50 63.50 77.10 77.25 77.50 73.25 71.75 70.00 69.00 66.50 66.25 65.75 63.25 62.00 403.00 410.00 410.00 398.00 390.00 388.00 395.00 395.00 399.00 388.00 384.00 372.00 17.60 17.25 16.95 16.47 16.05 17.05 17.05 17.05 17.50 17.22 17.30 17.15 17.35 16.93 16.53 15.75 15.30 15.75 16.65 16.70 17.00 17.15 17.30 16.75 63.50 61.50 60.60 58.00 57.00 61.00 60.75 60.75 62.50 62.00 62.50 61.75 62.50 60.50 58.50 55.75 54.00 56.25 59.00 59.50 61.00 62.00 62.50 60.75 17.10 17.03 16.50 16.53 16.18 16.20 16.15 15.65 15.38 15.15 14.40 15.00 17.03 16.94 16.00 17.10 16.18 16.17 15.93 15.35 15.55 13.50 12.90 13.90 61.75 61.40 59.35 61.00 59.45 59.50 59.25 56.85 56.60 54.75 52.25 55.00 14.95 15.45 15.33 15.11 *5.30 15.15 15.12 15.28 15.80 17.35 17.45 17.10 14.45 14.75 14.60 15.10 14.95 15.03 15.00 14.95 15.38 16.50 17.10 16.83 17.34 17.40 17.77 18.12 18.47 18.45 18.75 18.45 18.33 18.34 18.63 17.00 17.40 17.50 17.87 18.45 18.20 18.25 18.25 17.65 18.05 18.32 New Berlin. Amsterdam. York. 100.18 100.40 100.46 100.34 97.03 99.56 100.47 101.01 104.01 108.67 108.01 108.01 108.04 109.92 109.92 106.70 104.56 104.02 105.90 105.90 106.97 104.02 102.95 99.73 98.71 98.21 95.34 92.24 90.56 88.31 90.56 89.15 89.99 88.87 87.35 79.87 108.01 109.34 109.34 105.34 102.67 101.67 105.34 104.84 105.34 105.34 106.51 108.01 88.19 85.42 84.17 80.56 79.17 84.72 84.38 84.38 86.81 86.11 86.81 85.76 99.73 97.59 95.44 93.57 90.08 95.17 95.44 96.78 78.46 75.09 72.44 71.43 70.87 71.43 71.71 71.43 72.56 71.15 69.74 68.90 108.34 102.34 101.17 99.01 93.34 100.67 98.67 98.67 99.67 98.67 99.01 99.01 94.16 93.77 90.85 91.02 89.09 89.20 88.93 86.17 84.69 83.42 79.29 82.59 85.76 85.28 82.43 84.72 82.57 82.64 82.29 78.96 78.61 76.04 72.57 76.39 97.32 96.78 92.76 93.03 91.15 91.15 90.88 88.20 87.67 85.25 80.97 83.65 68.90 68.06 62.71 61.03 58.83 57.14 55.12 52.31 51.74 49.78 51.18 98.01 97.34 93.34 95.01 93.51 93.74 93.34 91.84 91.84 91.34 87.34 91.01 132.25 136.00 144.00 150.00 156.50 161.00 164.00 163.00 156.00 153.00 151.50 151.50 82.32 85.07 84.41 83.20 84.25 83.42 83.25 84.14 87.00 95.53 96.09 94.16 76.04 79.17 78.13 77.43 78.47 77.43 77.43 81.94 84.72 93.06 93.40 91.67 83.91 84.99 84.99 85.52 89,28 97.59 98.12 95.98 70.87 73.12 70.87 71.43 70.87 69.74 64.12 59.90 59.62 69.74 60.74 50.62 90.01 98.34 98.84 101.34 107.01 107.84110.01 110.34 105.01 104.34 103.51 101.67 150.00 150.75 151.50 155.75 156.25 154.75 156.50 159.00 158.50 161.50 167.25 95.48 95.81 •97.85 99.77 101.70 101.59 103.24 101.59 100.93 100.99 102.64 92.64 93.06 93.13 90.28 87.50 86.46 86.11 80.56 76.39 72.57 68.75 97.59 98.12 100.00 104.56 106.70 107.51 116.62 119.30 117.69 117.96 124.66 51.18 46.68 43.31 39.93 34.31 34.87 33.74 28.68 22.66 21.09 14.62 101.17 100.51 102.01 104.51 104.84 104.34 107.17 108.34 109.01 111.51 114.51 97.32 98.12 97.59 86.33 85.25 44 JANUARY, 1920. FEDERAL RESERVE BULLETIN. Monthly high and low rates of exchange in Copenhagen on principal foreign countries: 1914-1919. [Par: 1 £=» 18.1595 kroner, 100 francs=72 kroner, 1 dollar= 3.7314 kroner, 100 Reichsmarken= 88.8888 kroner.] Percentage of par (based on high rate). Exchange on— Month and year. London (par 18.16). New York (par 373). Paris (par 72). Hamburg (par 88.89). London. High. Low. High. High. Low Low. High. Paris. New York. Hamburg. Low 1914. July August September... October November... December... 18.33 18.37 18.65 18.90 19.10 19.20 18.24 18.35 18.40 18.70 18.90 19.20 73.30 73.70 74.00 76.00 77.00 77.50 72.50 73.00 73.00 74.50 76.00 77.50 375.50 377.00 385.00 392.00 400.00 402.00 375.50 375.50 377.00 385.00 392.00 399.00 89.15 89.20 89.20 88.95 85.00 88.25 89.05 89.15 89.00 85.25 84.00 85.50 100.93 101.15 102.69 104.07 105.17 105.72 101.81 102.36 102.78 105.56 106.95 107.64 100.67 101.07 103.22 105.09 107.24 107.77 100.29 100.34 100.34 100.06 95.62 99.28 1915. January February.... March April May June July August September... October November... December... 19.30 19.50 19.50 18.85 18.52 18.16 18.65 18.33 18.20 18.16 17.45 17.90 19.20 19.30 18.95 18.45 18.20 18.10 18.15 18.20 18.10 17.60 17.15 16.90 77.50 78.50 78.50 77.50 73.25 70.50 70.75 69.00 67.00 67.00 64.00 64.00 77.50 77.50 76.00 73.50 71.00 69.25 68.50 67.50 66.50 65.25 62.25 62.00 405.00 412.00 413.00 400.00 395.00 385.00 396.00 395.00 400.00 390.00 383.00 379.00 404.00 405.00 404.00 396.00 386.00 382.00 384.00 392.00 391.00 388.00 371.00 370.00 87.35 87.10 84.75 82.00 79.60 78.50 80.40 78.65 80.10 79.60 77.00 73.35 87.00 83.90 82.25 79.50 78.00 77.10 77.20 78.30 78.80 77.50 73.00 69.00 106.27 107.37 107.37 103.79 101.98 100.00 102.69 100.93 100.22 100.00 96.09 107.64 109.03 109.03 107.64 101.74 97.92 108.58 110.46 110.72 107.24 105.90 103.22 106.17 105.90 107.24 104.56 102.68 101.61 97.98 95.34 92.24 89.54 88.31 90,44 88.48 90.11 89.54 86.62 82.51 1916. January February March April May June July August September... October November... December... 17.60 17.42 16.94 16.44 16.00 17.10 17.00 17.37 17.65 17.55 17.67 17.63 17.19 16.89 16.48 15.73 15.35 15.75 16.50 16.85 17.35 17.49 17.53 17.20 63.50 63.00 61.00 58.25 57.00 60.50 61.00 62.35 63.50 63.50 64.00 63.75 62.25 61.00 58.50 56.00 54.25 56.50 59.00 60.25 62.35 63.00 63.30 61.75 375.00 373.00 360.00 351.00 341.00 358.00 360.00 368.00 372.00. 370.00 373.00 373.00 372.00 357.00 352.00 337.00 330.00 339.00 353.00 357.00 366.00 368.00 370.00 367.00 69.50 67.00 64.30 62.75 62.35 63.25 64.00 63.90 64.50 64.10 64.25 61.50 65.00 64.50 61.50 60.70 61.00 62.00 63.00 63.70 63.70 64.00 61.00 58.25 96.91 95.92 93.28 90.52 88.10 94.16 93.61 95.64 97.19 96.64 97.30 97.08 88.19 87.50 84.72 80.90 79.17 84.03 84.72 86.60 88.19 88.19 88.54 100.54 100.00 96.51 94.10 91.42 95.98 96.51 98.66 99.73 99.20 100.00 100.00 78.18 75.37 72.33 70.59 70.14 71.15 71.99 71.88 72.56 72.11 72.28 69.18 1917. January February March April May June July August September... October November. -. December... 17.40 17.35 17.14 16.95 16.70 16.51 16.35 15.90 15.61 15.26 14.70 15.40 17.30 17.17 16.45 16.41 16.52 16.30 15.95 15.60 15.30 13.75 13.00 14.55 63.00 62.75 61.75 62.75 62.15 61.25 60.25 58.00 57.00 55.75 54.50 57.50 62.50 62.00 59.60 59.60 61.25 60.50 58.50 57.00 56.00 52.00 50.00 54.50 368.00 367.00 362.00 357.00 352.00 349.00 346.00 336.00 329.00 323.00 315.00 328.00 366.00 362.00 348.00 347.00 350.00 347.00 337.00 329.00 324.00 294.00 280.00 310.00 61.50 61.50 59.15 54.75 54.20 52.15 50.00 47.50 46.00 44.75 51.00 64.00 61.00 59.35 55.00 53.75 52.25 46.75 47.25 46.00 44.75 41.00 39.50 50.25 95.81 95.53 94.38 91.96 90.91 90.03 87.55 85.95 84.03 80.94 84.80 87.50 87.15 85.76 87.15 86.32 85.07 83.68 80.56 79.17 77.43 75.69 79.86 98.66 98.39 97.05 95.71 94.37 93.57 92.76 90.08 88.20 86.60 84.45 87.94 69.18 69.18 66.54 61.59 60.97 58.66 56.24 53.43 51.74 50.34 57.37 71.99 1918. January February March April May June July , August September... October November... December.. 15.50 15.68 15.80 15.32 15.30 15.36 15.27 15.53 16.44 17.58 17.85 17.86 15.12 15.37 15.10 15.00 15.07 15.17 15.08 15.02 15.55 16.45 17.75 17.59 58.00 58.25 58.75 57.00 56.75 57.00 57.00 60.25 63.00 67.75 69.25 69.25 56.50 57.25 56.25 56.00 56.00 56.25 56.00 55.75 60.25 64.00 60.00 68.00 329.00 331.00 334.00 325.00 323.00 325.00 324.00 327.00 347.00 369.00 376.00 376.00 322.00 325.00 319.00 319.00 317.00 321.00 318.00 316.00 327.00 348.00 374.00 370.00 66.00 65.50 65.75 64.00 63.75 63.25 57.25 53.85 51.50 60.50 55.60 48.00 60.00 59.50 60.50 62.00 62.15 55.50 52.50 50.25 50.25 51.35 48.00 44.00 85.35 86.34 87.00 84.36 84.25 84.58 84.08 85.51 90.52 96.80 98.29 98.34 80.56 80.90 81.60 79.17 78.82 79.17 79.17 83.68 87.50 94.10 96.18 96.18 88.20 88.74 89.54 87.13 86.60 87.13 87.67 93.03 98.93 100.80 100.80 74.24 73.68 73.96 71.99 71.71 71.15 64.40 60.58 57.93 68.06 62.54 53.99 1919. January February... March 1 April May June July August September.. October November.. 17.85 18.28 18.48 18.70 19.82 19.79 19.73 19.88 19.36 19.65 19.92 17.73 18.23 18.26 18.36 18.70 18.99 19.52 19.33 18.63 19.32 19.50 70.75 70.65 68.00 67.50 67.75 66.00 62.25 59.50 56.25 53.50 68.50 70.50 66.00 66.00 64.50 64.00 61.75 57.00 50.50 53.25 50.25 375.00 385.00 400.00 400.50 426.50 427.00 453.00 461.00 465.00 469.50 494.00 373.00 383.50 383.50 396.50 401.00 410.00 426.00 453.00 448.00 460.00 467.00 47.25 45.20 41.50 37.00 38.80 37.50 32.00 27.35 21.45 18.90 15.15 44.00 43.00 36.50 30.00 30.25 27.50 26.00 20.50 15.50 15.15 10.50 98.29 100.66 101.76 102.97 109.14 108.97 108.64 109.47 106.60 108.20 95.83 98.26 98.13 94.44 93.75 94.10 91.67 86.46 82.64 78.13 74.31 100.54 103.22 107.24 107.37 114.34 114.48 121.45 123.59 124.66 125.87 132.44 53.15 50.84 46.68 41.62 43.64 42.18 35.99 30.76 24.13 21.26 17.04 1 Data for Mar. 4-9 missing. 95.83 93.06 93.06 JANUARY, 1920. 45 FEDERAL RESERVE BULLETIN. Assets and liabilities of the Bank of Sweden on Dec. 31, 1914-1918 (in 1,000 kroner). [Source: Riksbankens Arsbrook (the Bank of Sweden's year book).] 1918 1914 1915 1916 1917 108,537 1,888 13,328 16,751 24,574 3,002 174,938 43,400 2,505 42,694 71,973 124,572 2,134 18,030 51,084 52,156 5,334 113,620 91,141 2,289 24,880 63,964 183,520 2,339 17,170 39,070 62,910 5,692 121,623 122,413 2,498 52,898 66,390 244,457 1,600 25,210 19,150 59,856 5,539 186,345 110,129 1,396 121,296 85,030 285,566 365 35,464 45,667 54,618 5,046 280,306 70,494 1,202 180,544 92,310 503,590 549,204 676,523 860,008 1,051,582 50,000 12,500 108,144 9,019 304,058 2,049 8,800 9,020 50,000 12,500 129,069 9,955 327,886 2,608 8,760 8,426 50,000 12,500 173,130 4,810 417,517 3,598 8,120 50,000 12,500 197,448 1,934 572,722 8,821 50,000 12,500 141,424 318 813,534 11,477 16,583 22,329 503,590 549,204 676,523 860,008 1,051,582 ASSETS. Gold in coin and bullion Subsidiary coin Checks and sight drafts, including foreign Current account deposits held abroad Government securities Securities of domestic corporations Bills payable in Sweden Bills payable abroad Advances in current account Other advances Sundry assets Total assets LIABILITIES. Capital Surplus Deposits Duetqforeign banks Notes in circulation Bank orders Dividends due and payable to the Government Sundry liabilities Total liabilities Assets and liabilities of the Bank of Norway on Dec. 81, 1914-1918 (in 1,000 hronor). [Source: Regnskab for Norges Bank.] 1914 1915 1916 1917 1918 ASSETS. Gold in vault Held with Scandinavian banks of issue Held with other foreign agencies Loans and discounts, domestic Bills foreign Real estate loans Securities Sundry assets Total assets 38,394 3,327 27,884 119,650 804 1,512 8,963 6,540 51,630 15,638 63,240 86,343 310 1,385 13,394 2,428 123,236 3,089 i 79,206 159,711 551 1,256 13,440 7,486 116,393 3,365 76,921 409,783 665 1,102 13,091 840 121,980 3,230 69,786 433,841 241 998 13,221 1,073 207,074 234,368 387,975 622,160 644,370 25,000 13,362 134,182 i 21,140 U3,390 25,000 11,944 162,211 27,274 7,939 25,000 11,453 257,854 83,307 10,361 35,000 17,366 326,319 226,451 17,024 35,000 17,048 436,212 127,530 25,580 207,074 234,368 387,975 622,160 644,370 LIABILITIES. Capital Surplus Notes in circulation Deposits Sundry liabilities Total liabilities i Exclusive of checking accounts. 2 Includes checking accounts. 46 FEDEBALi RESERVE BULLETIN. JANUARY, 1920. Assets and liabilities of the National Bank at Copenhagen {Denmark) July 31, 1914-1919 {in 1,000 kroner). [Source: Nationalbankens Regnskab.] 1914 1915 1916 1917 1918 78,515 6,135 14,139 1,919 1,721 8,083 229 59,401 7,509 17,519 1,772 27,123 107,029 5,413 37,575 12,381 8,990 315 35,599 1,125 17,324 2,031 34,093 161,455 3,911 59,915 21,091 6,377 8,892 174 33,133 10,952 22,067 2,348 74,699 195,113 2,732 41,775 25,789 5,989 8,647 15 36,665 10,117 18,056 2,806 100,641 189,778 2,417 63,988 17,621 8,088 4,041 115 40,142 10,099 18,959 2,750 156,267 187,380 2,824 43,664 32,576 11,402 4,259 27,515 73,778 7,463 30,521 3,000 184,840 224,065 269,093 405,014 448,345 514,265 609,222 27,000 8,198 204,325 3,532 4,092 11,723 4,839 3,772 1,612 27,000 8,320 245,013 3,426 22,006 5,724 3,805 1,823 27,000 8,443 289,308 3,317 97,422 9,515 1,769 9,722 1,849 27,000 8,865 365,335 3,204 84,724 9,375 27,000 9,283 428,552 3,087 114,927 2,380 9,630 6,132 12,678 11,315 269,093 405,015 448,345 514,265 609,222 1919 ASSETS. Gold coin and bullion Subsidiary coin Foreign credits Danish Government securities Other Danish securities Foreign Government securities Notes of and credits with other Scandinavian banks of issue Domestic bills Foreign bills Loans and discounts Real estate Other assets Total assets 7,218 LIABILITIES. Capital Surplus Notes in circulation Government deposits Current account deposits Other deposits Due to foreign central banks of issue Profit and loss. Other liabilities Total liabilities 27, 8, 15 I 16, 224,065 The French National Bank of Foreign Com- rise to a great deal of controversy. Even prior to this discussion there had been publicamerce.1 For about two decades the question of export banks has been under consideration in France. A solution is contained in the law of October 25, 1919. This law provides for the assignment to a "bank to facilitate the foreign trade of France" of a part of the supplementary tax paid to the Treasury by the Bank of France, in accordance with article 4 of the agreement of October 26, 1917, after deducting the amount to be devoted to agricultural credits by virtue of article 3 of the law of December 20, 1918. (For text of the law, see p. 48.) The general plan of organization of the export bank is as follows: A stock company with a capital of 100,000,000 francs is to be organized under the name of " French National Bank of Foreign Commerce.7' (Banque Nation ale fran^aise du commerce ext6rieur.) The law provides for a subsidy to be granted by the Government to the bank. Before entering upon an examination of the plan, it will be interesting to recall the phases through which the campaign for the establishment of export banks in France has passed, and to outline the present position of France in the matter of commercial export credit. M. P&rier, commercial attach^ of the London embassy, made a report in 1908 on the question of export credit which he thought was neglected by the French banks, and the report gave 1 Based on an article in L'^conomiste Francais for June 28,1919. tions on the subject and a committee of the foreign commerce counselors had taken up the subject on several occasions. The great credit houses and the banks having foreign relations were taken to task. They defended themselves by pointing to the services they were rendering to the export trade by discounting three months' paper and by credits which in some cases they were extending to their clients engaged in the export business. They declared with good reason that they could hardly undertake under all circumstances to handle paper which in the case of Italy matured within four or six months, in the case of Russia within six and even nine months, and in the case of South America in no less than four months. Since their deposits are nearly all payable on demand, they were not in a position to risk such an immobilization of their funds. Furthermore they were asked to take practically all the risk themselves. Their attention was called to the example of German banks, such as the Deutsche Bank and the Disconto-Gesellschaft, which went so far as to become silent partners in export industries. One fact was, however, overlooked, namely, that English merchants for a long time and German merchants since 1874 or 1875 had started to make regular commercial explorations of the countries where they wished to open markets. These pioneers broke the ground and were followed by their nationals who moved to those countries, and by settling JANUARY, 1920. FEDERAL RESERVE BULLETIN. there established friendly centers of population. This made possible the building up of a valuable credit organization in foreign countries largely by utilizing information obtained among nationals of the mother country. Such methods were not practicable for France, which has no surplus population to send to foreign countries there to form a helpful nucleus for the development of commercial relations. The problem is, therefore, a peculiarly dimcult one for France. In writings published at that time it was remarked that only a special organization could undertake the risks and that the ablest and most experienced representatives of foreign commerce should be designated to take the lead in establishing such a bank, since they alone would possess the necessary knowledge of foreign markets and of the needs to be met. A short time later, ia 1910, the Bank of France decided to accept for discount commercial bills payable abroad, on condition that they be of French origin, or, if originating abroad, be made payable to merchants resident in France. The bank in this matter, however, maintained its old rules, by requiring for this class of paper three signatures and insisting on a maturity not exceeding three months. It is clear that this fell far short of what was wanted by the advocates of export credit who saw in it an important, if not the prime, mover of foreign commerce. Advantage was therefore taken in 1911 of the Government's privilege of terminating the charter of the Bank of France to introduce into the agreement of renewal a clause designed to enhance the part of that bank in the matter of granting export credit. This clause granted authority to the bank to extend credits with maturities in excess of three months, a provision advocated on the ground that, as was pointed out above, maturities of export credits would have to be as high as six months, nine months, and in certain cases even longer. The minister of finance at that time refused to have the fundamental statutes of the bank thus modified It was at this juncture, while the renewal of the bank's charter was being discussed in the Senate, that a member of that body, M. Barbier, while recognizing that the bank could not directly participate in granting export credit, made the proposal suggested by the plan adopted in the organization of agricultural credit, that it would be proper to ask the Bank of France to give material and moral support to special institutions organized for the purpose of granting export credits. The 47 final solution arrived at is in line with this proposal, as proved by the law under discussion. In the meantime, since direct assistance by the Bank of France on the desired basis was not to be permitted, and since it appeared im, possible to modify the cautious methods of deposit banks, other means of attaining the end m view were considered. Nearly all the proposals provided that all banks without distinction were to grant export credits, while the Bank of France would help them to mobilize their holdings of long-term paper. None of these plans was ever adopted. The solution, foreshadowed from the beginning when the participation of credit institutions was discussed, was finally along the following lines: Persons, the nature of whose business and connections made them directly interested in export credit, manufacturers for export, export merchants and brokers, to whom might be added ship brokers and navigation companies, should organize a bank of export, contribute its capital and intrust its management to one of their number, who by his experience in foreign commerce and his character was best qualified to undertake the task. This solution was adopted in principle, though the plan does, not contemplate the establishment of an institution entirely independent and endowed exclusively with its own resources. The Government, with the proceeds of the circulation tax to be collected from the Bank of France, will,, as in the case of agricultural credit, come to, the financial aid of the new institution. An agreement has been entered into between M. Klotz, minister of finance, and the founders of the " French National Bank of Foreign Commerce/' organized as a stock company with a capital of 100,000,000 francs, the founders being leading traders and bankers. This agreement contains the following provisions: The Government places at the disposal of the new institution two-thirds of the amounts paid to the Treasury by the Bank of France in accordance with article 4 of the agreement of October 26, 1917.1 These amounts shall be used: First, up to a maximum of 2 millions as an annual subsidy; secondly, for making advances during 20 years, the duration of the agreement, without interest up to a maximum of 25 million francs. The sums thus turned over by the Government are to be carried by the Bank of Foreign Commerce in a special account entitled " Special reserve account." i For text of Article 4 see page 340 of the April, 1919, number of the Federal Reserve Bulletin. 48 FEDERAL RESERVE BULLETIN. The subsidy will come to an end when the bank's capital will earn over 6 per cent, or when the advances made directly by the Government, together with the Government's participations in the profits turned back into this fund, in accordance with article 44 of the charter, will have reached the figure of the special reserve fund mentioned above. In any case, the period for which the annual payment of the 2 million franc subsidy will be obligatory for the Government will not be less than five years, beginning with January 1 of the year following the organization of the company. Among minor provisions the following are to be noted: The Government will have authority to draw for purposes of advances to the company in part on the fund made available to the Treasury for "assisting credit organizations," and the subsidy given by the Government shall be part of the annual profit and loss account of the Bank of Foreign Commerce. The Government is to participate in the profits. From the earnings of the bank 5 per cent is to be deducted for the legal reserve and to make up a sum that would pay a cumulative 6 per cent dividend on the paid-in capital. The balance, except such sums as may be carried forward to the following year's account, is to be divided as follows as long as the regime of Government advances continues: Sixty per cent are to be placed at the disposal of the general assembly of stockholders, 5 per cent to the board of directors, 5 per cent to the staff, and 30 per cent to the Government. The Government, however, is to add its share of the profits to its advances to the bank until such time as these advances shall have reached 25,000,000 francs. After this figure is reached the Government is to receive only 20 per cent of the profits and the board of directors and the staff 10 per cent each. The Government, as an interested party, will have supervisory control over the Bank of Commerce. Two Government examiners will audit the bank's inventory, its annual and current accounts, its cash in vault, its bill portfolio, and all its papers. The bank is to have its central office in Paris. No branch or agency is to be permitted in France. The central office will collect information and keep the records of the solvency of foreign buyers. The bank must preserve JANUARY, 1920. its character as a special export bank. The operations of the main office, according to the charter, are strictly limited to transactions arising from the export and import of merchandise, and the current accounts opened with the bank will bear interest only on credit balances arising from such transactions. Agencies of the bank abroad will have authority to engage in ordinary banking business, except stock exchange and other speeulative operations. LAW AUTHORIZING ESTABLISHMENT OP FRENCH NATIONAL BANK OF FOREIGN COMMERCE. ARTICLE 1. The agreement entered into May 28, 1919, by and between the ministers of finance and of commerce, acting in the name of the Government, parties of the first part, and Messrs. J. Block, G. Griolet, and G. Ferme", acting in the name of the French National Bank of Foreign Commerce (in process of formation), parties of the second part, and the supplements to the said agreement dated July 21 and September 24, 1919, are approved. ART. 2. The agreement and the supplements approved by the preceding article shall be recorded on payment of the regular fee of 3 francs and 75 centimes (3 fr. 75); likewise the act of incorporation of the corporation. ART. 3. The minister of finance is authorized to pay to the French National Bank of Foreign Commerce, after previous deduction of the amount allotted to the agricultural credit by article 3 of the law of December 20, 1918, two-thirds of the supplementary dues paid by the Bank of France under article 4 of the agreement of October 26, 1917. These payments shall be made: 1. As a subsidy which may attain a maximum amount of 2 million francs (2,000,000 fr.) per annum, this subsidy to be paid during a period of five years and to cease after that time if the stockholders of the French Bank of Foreign Commerce receive a net dividend in excess of six per cent (6%), or if the amount of the special reserve fund mentioned below reaches the sum of 25 million francs (25,000,000 fr.). 2. The remainder, as an advance without interest, so long as the special reserve fund created by the payments of the Government shall not have reached the amount of 25 million francs (25,000,000 fr). ART. 4. The following persons shall not be eligible to the administrative council of the French National Bank of Foreign Commerce or to any salaried positions within the administration of the society or its branches: 1. Members of Parliament. 2. Public officials or persons attached to a public office, who took part in the exercise of their official duties in the preparation of the agreement and the supplements approved by the present law and have not discontinued their functions for at least five months. The present law has been discussed and adopted by the Senate and the Chamber of Deputies and will be enforced as the law of the land. Done in Paris, the 23d of October, 1919. JANUARY, 1920. 49 FEDERAL RESERVE BULLETIN. Foreign Exchange Rates. In the tables and charts below are shown the movements of monthly high exchange rates in New York on (1) principal centers in allied countries, London, Paris and Milan; (2) principal centers in neutral countries, Amsterdam, Stockholm, Zurich, Madrid, and Buenos Aires; (3) principal center in countries having a silver standard, Bombay, Shanghai, and Hongkong. In the tables absolute rates and percentages of par are shown, while the curves are plotted on the basis of percentages of premium or discount at whicn the currencies of the different countries were quoted in the New York market. Similar information from the beginning of the war to the summer of 1918 was shown in the FEDERAL RESERVE BULLETIN for September, 1918, pp. 837 et seq. The information here presented is for the calendar years 1918 and 1919. Explanations made in the previous study as to the basis of calculations apply also to the present tables and charts. Sterling exchange remained fixed at about 2 per cent discount until April, 1919, when the British Government discontinued its " pegging" arrangement; French exchange was at about 9 per cent discount during the first seven months of 1918 and at about 5 per cent from August of that year to April, 1919; while lira exchange, after falling as low as 42 per cent discount in May, 1918, rose to about 19 per cent discount in August, as the result of the activities of the National Institute for Foreign Exchanges, and remained at that levelu until April, 1919. When the exchanges were unpegged" in March of this year, sterling, franc, and lira exchanges immediately fell below the previous level, and in December 1919 the high quotations were as follows: $3.9875 for the pound, 10.08 cents for the franc, and 8.103 cents for the lira, the discounts amounting to 18.06, 47.77, and 58.02 per cent, respectively. Exchange rates on neutral countries were all above par during 1918, Madrid exchange reaching a premium of over 54 per cent in April of that year. During the present year these exchange rates followed a downward course, and in October were all quoted below par. In December the Spanish peseta, the Argentine peso, and the Swiss franc were at a premium, while the Dutch florin and the Swedish krona were quoted at substantial discounts. Spectacular advances in the price of silver, especially during the last six months, account for the rise in exchange rates on India and China. The price of the Indian rupee, however, being under direct control of the British Government, has not risen as high as the price of the Hongkong dollar, which was quoted in December at about 125 per cent, or of the Shanghai tael, for which the high December quotation was about 160 per cent above the average 1913 bullion values of these coins. Movement of exchange rates (highest rates for sight drafts during month) in New York on principal financial centers during period January, 1918, to December, 1919. 1. RATES ON CENTERS IN PRINCIPAL ALLIED COUNTRIES. London (4.8665=100). 1918. January February March April May June July August September October November December January February March April May June July August September October November December 1919. $4.7535 4.7535 4.7535 4.7550 4.7550 4.7550 4.7535 4.76 4.755 4.755 4.7575 4.7585 Per cent. 97.68 97.68 97.68 97.71 97.71 97.71 97.68 97.98 97.71 97.71 97.76 97.78 4.7585 4.7585 4.7580 4.6725 4.6925 4.6350 4.57 4.3550 4.2625 4.2325 4.1625 3.9875 97.78 97.78 97.77 96.01 96.42 95.24 93.91 89.49 87.59 86.97 85.53 81.94 Paris (19.3=100). $17.53 17.51 17.47 17.49 17.53 17.50 17.50 18.26 18.28 18.29 18.55 18.34 18.33 18.328 18.298 17.006 16.474 15.948 15.396 13.698 12.787 11.933 11.3058 10.08 Milan (19.3=100). ;•• cent. 90.83 90.73 90.52 90.62 90.83 90.67 90.67 94.61 94.72 94.77 96.11 95.02 $12.03 11.76 11.98 11.38 11.15 11.29 12.48 15.71 15.70 15.75 15.75 15.748 Per cent. 62.33 60.93 62.07 58.96 57.77 58.50 64.66 81.40 81.35 81.61 81.61 81.60 94.97 94.96 94.81 88.11 85.36 82.63 79.77 70.97 66.25 61.83 58.58 52.23 15.771 15.718 15.718 14.245 13.333 12.738 12.706 11.60 10.559 10.256 9.94 8.103 81.40 81.44 81.44 73.81 69.08 66.00 65.83 60.10 54.71 53.14 51.50 41.98 50 FEDERAL RESERVE BUTJ.ETIN. JANUARY, 1920. Movement of exchange rates (highest rates for sight drafts during month) in New York on principal financial centers during period January, 1918, to December, 1919—Continued. 2. RATES ON CENTERS IN NEUTRAL COUNTRIES. Amsterdam (40.2=100). January February. March April May June July August ' 1918. $44.25 45.50 46.75 48.25 50.50 . . . . 51.00 52.00 • - 52.75 49.50 46.75 42.25 42.75 - October December 1919. February. March. April May June July August . September October . . November December . * . . . . . .. 42.75 41.25 41.125 41.25 40.25 39.25 38.75 37.5625 38.125 38.0625 38.00 38.25 Per cent. 110.07 113.43 116.29 120.02 125.62 126.87 129.35 131.22 123.13 116.29 105.10 106.34 106.34 102.61 102.30 102.61 100.12 97.64 96.39 93.44 94.84 94.68 94.53 95.15 Stockholm (26.8-= 100). $34.25 33.50 34.00 34.50 34.75 35.60 35.80 36.25 33.75 31.80 29.00 29.45 29.10 28.15 28.15 27.125 26.70 26.25 25.50 24.90 24.60 24.60 23.85 22.30 Zurich (19.3-100). Per cent. 127.80 $22.99 125.00 22.42 126.87 23.17 128.73 23.53 129.66 26.11 132.84 25.38 133.58 25.38 135.26 25.54 125.93 23.04 21.65 118.66 108.21 20.32 109.88 20.92 108.58 105.04 105.04 101.21 99.63 97.95 95.15 92.91 91.79 91.79 88.99 83.21 Per cent. 119.12 116.17 120.05 121.92 135.28 131.50 131.50 132.33 119.38 112.18 105.28 108.39 20.746 20.597 20.70 20.3252 20.3252 19.305 19.08 17.92 18.28 17.985 18.18 20.08 107.49 106.72 107.25 105.31 105.21 100.03 98.86 92.85 94.72 93.19 94.20 104.04 Madrid (19.3=» 100). $24.40 25.25 25.63 29.75 28.40 28.55 27.55 26.50 23.37 22.65 20.70 20.20 20.14 21.10 21.10 20.375 20.25 20.06 19.72 19.75 19.25 19.28 20.10 19.90 Per cent. 126.42 130.83 132.80 154.15 147.15 147.93 142.75 137.31 121.09 117.36 107.25 104.66 104.35 109 33 109.33 105.57 104.92 103.94 102.18 102.33 99.74 99.90 104.14 103.11 Buenos Aires (42.45-100). $45.98 44.04 44.44 43.85 43.91 43.38 44.83 44.60 45.00 45.35 45.50 45.35 45.15 44.95 45.00 44.375 44.875 44.07 43.25 42.375 43.25 42.35 43.375 43.25 Per cent. 108.32 103.75 104.69 103.30 103.44 102.19 105.61 104.97 106.01 106.83 107.18 106.83 106.36 105.89 106.01 104.53 105.71 103.82 101.88 99.82 101.88 99.76 102.18 101.88 3. RATES ON CENTERS IN SILVER COUNTRIES. Bombay (32.44=100). Shanghai (65.49=100).* Hongkong (47.16-100) .* January February March April May June July August September October November December January February March April May June July August September October November December 1918. 1919. $35.00 35.75 36.00 137.25 39.50 38.50 Per cent. 107.89 110.20 110.97 114.83 121.76 118.68 2 35.73 110.14 35.875 110.59 35.65 35.65 35.875 35.65 42.50 42.50 43.00 43.50 45.00 44.00 44.75 46.25 109 90 109 90 110.59 109.90 131.01 131.01 132.55 134.09 138.72 135.64 137.95 142.57 126.00 123.00 114.00 117.75 125.50 127.50 125.00 135.00 136.50 142.00 173.00 170.00 Per cent. 174.07 164.91 169.49 166.44 167.20 173.31 177.89 190.87 206.14 204.61 189.34 190.87 $75.00 73.00 77.00 77.00 76.50 79.00 80.50 88.00 90.00 87.75 80.00 82.00 Per cent. 159.03 154.79 163.27 163.27 162.21 167.51 170.70 186.60 190.84 186.07 169.64 173.88 192.40 187.81 174.07 179.80 191.63 194.69 190.87 206.14 208.43 216.83 264.16 259.58 81.00 78.00 75.25 80.25 87.00 84.00 83.00 86.00 88.50 96.00 106.00 106.50 171.76 165.39 159.56 170.17 184.48 178.12 176.00 182.36 187.66 203.56 224.77 225.83 1 Minimum rate for telegraphic transfers fixed Apr. 11 at 35.75; previously 33.5. 2 Rates for telegraphic transfers fixed June 18 at 35.73. ' Average 1913 values on the basis of the average price of silver in London for the calendar year 1913. JANUARY, 1 9 2 0 . EXCHANGE RATES AT NEW YORK ON PRINCIPAL ALLIED COUNTRIES. 1 J « — >- — 0 -to i tmmt tmmimats lams immi \ * • Ss -30 •• YFEB. 1i ^ ! I ! 1918 DEC, "40: -SO I I s s> \ \ s N tan, -20 I 51 FEDERAL RESERVE BULLETIN. > 8 i I9!9 1! 1 o* EXCHANGE RATES AT NEW YORK ON PRINCIPAL NEUTRALCOUNTRIES. 0 -10 -20 -30 -40 -SO 52 FEDERAL RESERVE BULLETIN. 1 JANUARY, EXCHANGE RATES ATNEWYORK ONmiNCIPALSILyER-STANDARD COUNTRIES, -mmmw-SHAnGHAt -o^o-ffOflGKdNG'o—o— i BOMBAY"**"***** +I7Q +J/U +160 +/&) +150 / +/40 • +14/1 Y+130 +IV) ii %m \ k \ y > +100 +90 +80 *70 + 60 / h/ i 1 A s A*' \ y J ^< f - +on — +/&1 -^ a. 7/1 — +&) +50 »• f < +30 0 >•* />* + in +pfi I 0 • % +IO ° - : t\1! 1918 u ^ c n !i ?! 5 | \\ Si /I 1920. JANUARY, 53 FEDERAL, RESERVE BULLETIN. 1920. Retail Trade Index. For several months past the Federal Reserve Board has been engaged in the development of an index number designed to show the activity of retail trade. In establishing this index it was sought to obtain from department stores of representative character throughout the country figures showing, either in actual amounts or in percentage form, changes in the volume of net sales, instituting monthly comparisons with the same month last year, as well as showing cumulative season percentages for the two years. In addition, request was made for data showing stocks at the close of the month as compared with such stocks at the close of the same month last year, and at the close of the previous month of the current year. In order to afford a comparison of stocks on hand at the close of each month during the present season with the sales during the same period, request was made for data showing the percentage of average stocks at the end of each month to the average monthly sales. Finally, the percentage was requested of outstanding orders at the close of the month to total purchases during the calendar year 1918, which was taken as a base. While considerable progress has been made in several districts in obtaining the cooperation of retail establishments, it is not believed desirable to publish in any district such percentage figures until enough establishments have reported to furnish an index which is thoroughly representative of the general condition of trade. In the following statement is given a summary of the reports obtained in district No. 12, which will appear in the annual report of the Federal Reserve agent at San Francisco. These percentages have been computed from actual figures furnished by the several reporting concerns. Since the original request for such data in September of this year there has been an increase of about 30 per cent in the number of stores reporting in this district. Twenty-nine stores furnished such information for the month of November. Condition of retail trade in Federal Reserve district No. 12. [Decreases shown in italics.] Percentage of increase or decrease. Comparison 3f net sales with those of corresponding period last year. Month. Aug. Sept. Oct. 48.8 68.3 110.6 Los Angel es 92.3 40.9 31.3 San Francisco 68.5 25.1 20.7 Oakland 69.2 16.7 32.5 Sacramento 50.6 23.7 27.6 Seattle 176.0 Spokane **23.2* * 3*3*4* 44.8 Salt Lake City 82.0 Total for district.... 30.3 40.6 J u l y 1,1919, t o close of— Nov. Same month last year Oct. Nov. Aug. 52.9 88.7 58.3 30.0 33.1 45.2 30.3 22.4 20.1 36.6 15.4 22.4 21.0 24.4 28.3 46.4 42.7 "*23.*9" "*25.*8* 69.9 46.5 32.3 35.7 31.6 99.9 24.8 77.2 46.3 31.9 35.7 29.5 70.4 32.0 6.3 .5 7.5 20.S 7.2 10.7 17.8 4.6 15.2 31.0 46.9 47.5 .9 7.0 11.9 46.1 Aug. Sept. Stocks at end of month compared with— 34.4 Sept. 0.6 10.6 .5 Oct. Nov. 13.9 15.5 1.4 Los Angeles San Francisco Oakland Sacramento Seattle Spokane Salt Lake City Total for district .. Sept. 481.7 459.5 460.5 418.6 547.1 564 7 468.2 400.7 411.6 ' 459.0 Aug. 19.5 26.5 1 g .3 15.3 13.8 17.5 Percentage of average stocks at end of each month from July 1, 1919, to date, to average monthly sales for same period. Aug. Last month. Oct. Nov. 495.6 442.8 558.3 355.9 422.3 485.6 453.0 559.1 339.3 432.0 462.4 5.5 15.6 6.3 18.7 22.7 12.6 Sept. Oct. 4.2 13.2 5.6 9.7 5.4 3.7 6.5 0.7 2.2 .2 6.1 2.9 3.4 10.3 6.5 .5 13.2 12.6 4.8 outstanding Percentage of orders at end of month to total purchases during calendar year 1918. Sept. Aug. 470.7 459.3 463.1 Oct. Nov. 27.9 34.1 32.7 28.1 45.1 25.8 53.5 29.5 on 28.3 25.1 16.8 22.1 20.0 11.4 29.6 29.2 0 46.5 422.4 Nov. 34.3 29.1 54 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Adjustment of Salaries in Federal Reserve groups which conformed to certain requirements. In the present case it is deemed oest, Banks. Early in the past summer the Division of Analysis and Research was directed by the Federal Reserve Board to undertake the development of a method of adjusting salaries in the Federal Reserve Banks to meet changes in the cost of living. The task naturally divides itself into three parts, as follows: (1) The determination of price variations in the several classes of consumption goods in each locality. (2) In order to arrive at the proper weighting for such price changes it is necessary to determine what percentage of the total expenditures of a typical family or individual goes for food, what for clothing, etc., in each salary group in each locality. (3) In view of the great increase in prices during the last few years the problem is not simply one of adjusting salaries in the future to any changes in the cost of living that may then take place, but also one of determining as far as possible to what extent the advances that have already been made in the rates of compensation meet the enhanced cost of living at present. Mature consideration of the problem and conferences with men who are daily in touch with the practical situation led to the adoption of the following plan of procedure: (1) With regard to price variations. A recent study of the Bureau of Labor Statistics shows the changes in price levels of the various classes of consumption goods; that is, food, clothing, housing, etc., which have taken place during the past four or five years. Furthermore, it is the intention of the Bureau of Labor Statistics to repeat this study every six months in the future. It is believed that these figures, coupled with the regular monthly retail food price figures of the Bureau of Labor Statistics, will fully serve the purpose of this study in this respect. (2) In order to give proper weighting to the price changes in each oi these classes oi goods1 the following questionnaire has been prepared. Each employee of the Federal Reserve Banks receiving a salary of $5,000 per annum or less will be asked to give the information listed in this questionnaire. Practically all such schedules previously used have been handled personally by trained enumerators and applied to selected family 1 Acknowledgment is due Prof. R. E. Chaddock, Prof. W. F. Ogburn, and Mr. F. A. Ross, all of Columbia University, for critical advice with respect to the form of the schedule. in order to take every precaution against the divulgence of personal information, to ask the employee to fill in the schedule form privately and to place it unsigned in an envelope, which he or she will then seal and return to the governor of the bank or to some party designated by him, the name of the individual only appearing on a detached slip which is to be filed at the bank for checking purposes. Furthermore, the group to be covered in this study will lack homogeneity in that some of the individuals will be neads of families, some major supports of families, some partial supports of families, some living alone, and others only partially self-supporting. It is felt, however, that in order to secure weights that will be strictly relevant it is preferable to have proportionate expenditures for food, clothing, etc., of as many as possible of the people whose salaries are to be adjusted rather than of a homogeneous group representing one type. For this reason the necessarily brief questionnaire has been prepared in two slightly different forms, one to cover family and one to cover individual incomes and expenditures. One or the other of these forms is to be used as the case demands. Selections by the individual of the form which he or she is to fill in is to be made by such individual in accordance with instructions given on page 1 of the questionnaire. In view of the fact that a large proportion of the employees of the Federal Reserve Banks are unmarried and live with parents (in some cases paying only a nominal amount for board and room, while" others partially support the family), it is thought best to include in the schedule a question which will render it possible to select such cases for whatever treatment may be considered appropriate. In the belief that it will not be practicable to make differences in adjustments for variation in the size of families and, due to the absence of members of the family at various seasons of the year, that the replies to such a question would oe of doubtful value, the usual question regarding the size of family has been omitted. (3) With regard to changes in the rate of compensation during the last few years. Because of the large expansion of the banks during the period of the recent rise in prices it is believed that it will be impossible to get from the Federal Reserve Banks a complete record of compensation rates in effect prior to the recent rise in prices for each type of work now performed in the Federal Reserve Banks. It JANUARY, 1920. seems, therefore, impossible to determine from the records of these banks alone the amount of adjustment in rates of compensation which has actually taken place since the recent rise in prices. In order to obtain this important information the following plan is being pursued: Each of the Federal Reserve Banks is being asked to furnish us with compensation rates now in effect for each type of work. These rates will be compared with those in effect during late 1915 or early 1916 in banking houses which were at that time fully organized. QUESTIONNAIRE FOR USE IN OBTAINING INFORMATION REGARDING INCOME AND EXPENDITURES OF EMPLOYEES OF FEDERAL RESERVE BANKS.1 Before attempting to answer the questions on the following pages, read this page carefully. If for the whole or a part of the year ending Dec. 31,1919, you were a married man and lived with your wife, or if you were a married woman and Hvediwith your husband, or if you, whether married or unmarried, were the major support of the family group in which you lived, fill in Section I (pages 2 and 3). If during that period you were not included in the group described above, fill in Section II (pages 4 and 5). NOTE.—If you feel that you could give the facts called for more accurately for the family group in which you lived than for yourself individually then fill in Section I, even if according to instructions above you should fill in Section II. Or, if you were included in the group described in the first paragraph above for only a short period of time during the year ending Dec. 31,1919, and believe therefore that your expenditures for that period are not typical, then write the word " Section I I " in this blank space and fill in Section II. In this case you should, of course, estimate your individual expenditures for the full year on the basis of that part of the year during which you lived singly. Under no circumstances fill in both Sections I and II. The main purpose of the questions which follow; is not to find out how much it costs you to live, out rather to determine what part of your expenditures goes toward clothing, what part toward food, what part toward rent, etc. [Perforated line.] (Fill in this slip, detach it, and file with bank.) Name Department Bank Branch (After questionnaire is filled in, place it in envelope, seal, and return it to Governor of your bank.) 2 SECTION I. This section is to be filled in by those who, by reason of the fact that for the whole or a part of the year ending Dec. 31,1919, they were married and lived with husband or wife, or were the major supports of the family groups in which they lived, or, for other reasons, are to give the income and expenditure facts for the family groups rather than for themselves individually. Before filling in the answers to any of the following questions, read Section I entire. EXPENDITUBES. l.|Total rent paid during the year ending Dec. 31,1919 $ (The amount entered here should be the total rent paid for the apartment or house in which the family lived during the period mentioned, even if a part of such house or apartment was occupied by lodgers. In case you were married for only a part of the time, give the yearly rentattherate paid during the period married. This item should not include amount covering board and room while on vacation.) 2. Rental value of home, if owned Jt (The meaning of this question is: If for the whole or apart of the year ending Dec.31,1919,you owned your home, for how much do you think you could have rented it for that period, as judged by rentals of similar houses in the neighborhood?) U l Copies of the questionnaire now in the hands of the banks are to be amended to accord with the copy here presented. 55 FEDERAL RESERVE BULLETIN. 3. Amount paid for heat, light, electric power, during the year ending Dec. 31,1919 (Heat or light furnished with your apartment or house and covered by the rent is not to be included here. The word "heat" is meant to include that used for cooking.) 4. Amount paid for food during the year ending Dec. 31, 1919 (If you have no record of the amount spent for food during the year ending Dec. 31,1919, we would suggest that you estimate the amount spent per week for food during a typical week of that period and multiply that by 52. The amount here should cover all food expenditures, even though a part of this food is consumed by boarders. Amounts spent for lunches by members of the family should also be included, but not such expenditures of boarders and lodgers. In case you were married for only a part of the time, estimatethe amount for the year at the rate of expenditures during the period married.) 5. Amount paid for clothing during the year ending Dec. 31, 1919 (The amount entered here should cover the clothing expenditures of the family group, but not those of boarders and lodgers. In case you were married for only a part of the time, estimate such expenses for a full year.) 6. Amount spent for furniture and house furnishings during year ending Dec. 31,1919 7. Miscellaneous expenditures: (a) Health (including doctors' fees, medicine, hospital bills, dentists' fees, nurses' fees, eyeglasses, etc.) I (6) Recreation— (1) Board and room while on vacation (2) Movie tickets, theater tickets, pool, billiard and bowling charges, club dues, railroad fare, etc (c) Education (including newspapers, magazines, school tuition, school supplies, music lessons, etc.) (d) Other miscellaneous items not mentioned above Total miscellaneous expenditures Total expenditures $ 8. If your expenditures for the year ending Dec. 31, 1919, exceeded your income for that period, how was this deficit met? 9. Did you keep for all or a part of the year ending Dec. 31,1919, a record of expenditures? If so, what part? 10. Did you keep dm ing the year ending Dec. 31,1919, charge accounts with butcher? Grocer? Clothier? Were these paid by check? INCOME. 1. Total salary received during the year ending Dec. 31,1919 $. 2. Bonus received during the year ending Dec. 31,1919 (The amount entered after 1 and 2 should be, respectively, the amount of salary and bonus actually received for the year ending Dec. 31,1919, regardless of whether or not you were employed during that time by the Federal Reserve Bank. Thus, all or a part of the amount entered here may have been received from other concerns than the Federal Reserve Bank with which you are now connected. In case you were married for only a part of the time, give your yearly salary at the rate received during the period married, and yearly bonus at rate accruing during period married.) 3. Total salary received by wife (or husband) during the year ending Dec. 31,1919 4. Bonus received by wife (or husband) during the year ending Dec. 31. 1919 .. (The amounts entered in 3 and 4 as the salary and bonus, respectively, of your wife (or husband) should be such salary and bonus received during that period, whether coming from the Federal Reserve Bank or from other concerns. In case you were married for only a part of the time, give the yearly salary and bonus of your wife (or husband) for the year at the rate received during the period married, and yearly bonus at the rate accruing during the period married.) 5. Total earnings of all other members of family group during the year ending Dec. 31,1919 (The family group should include everybody living with the family except boarders and lodgers. The word "earnings" here means pay received for work done. No amounts received by such members of the family group from investments, etc., should be entered. Only the earnings of the members of the family group as distinguished from the boarders and lodgers should be entered. The income of the boarders and lodgers should not be entered anywhere on these sheets.) 6. Total income from lodgers during the year ending Dec. 31,1919 . . 56 FEDERAL RESERVE BULLETIN. 7. Total income from table boarders during the year ending Dec. 31,1919... (Lodgers and boarders within the meaning of these questions are those who rent rooms or board with the family on a purely commercial basis; that is to say, those who receive no aid from the family in the sense of reduced rates for any consideration. In case you have an individual or individuals both boarding and lodging with you and paying a flat sum covering both items, enter the amount which would be charged for table board alone after 7, then deduct this sum from the amount paid for board and lodging and enter the remainder after question 6.) — Total earnings $. 4 JANUARY, 5. Miscellaneous expenditures;—Continued. (c) Education (including newspapers, magazines, books, school tuition, school supplies, music lessons, etc.) (d) Other miscellaneous items not mentioned above Total miscellaneous expenditures Total expenditures $ 6. If your expenditures during the year ending Dec. 31, 1919, exceeded your income for that period, how was such a deficit met? 7. Did you keep for all or a part of the year ending Dec. 31, 1919, a record of expenditures? If so, for what part? 8. Did you, for any part of the year ending Dec. 31,1919, live with your immediate family or nearest relatives? SECTION II. 5 This section is to be filled in by those who give their expenditures as individuals rather than family expenditures. Before filling in the answers to any of the following questions read Section II entire. INCOME. EXPENDITURES. If for the major portion of the year ending Dec. 31,1919, you lived with your immediate family or nearest relatives, answer questions 2, 4, 5, 6, 7, and 8. If for the major portion of the year ending Dec. 31, 1919, you did not live with your immediate family or nearest relatives, answer questions 1, 2-B, 3, 4, 5, 6, 7, and 8. 1. Total rent paid during the year ending Dec. 31,1919 $ (This question is to be answered only by those who for the major portion of the year ending Dec. 31, 1919, did not live with their immediate family or nearest relatives. In case you lived and boarded in the same place, paying a single sum to cover the two items, determine the amount for which table board could be had at this place by one who rooms elsewhere, then deduct this amount from the amount paid for room and board, and consider the remainder as the amount paid for rent. If for a portion of the year you were living with your immediate family or nearest relatives, the answer to this question should nevertheless cover a full year's rent at the rate paid during the part of the year in which you did not live with your immediately family or nearest relatives.) 2. (a) Amount spent weekly for food gotten outside of home, i.e., lunches, etc $ (6) Amountpaid weekly to family (This question, both (a) and (6), is to be answered only by those who for the major portion of the year ending Dec. 31,1919,lived with their immediate family or nearest relatives.) 2-B. Amount paid for food during the year ending Dec. 31,1919 diate family or ._. In case you lived and boarded in the same place, paying a single sum to cover the two items, the answer to this question should be determined in this manner: Add to the amount (of which table board could be had at this place by one who rooms elsewhere the amount spent for lunches during the period. If for a portion of the year you did live with your immediate family or nearest relatives, the answer to this question should nevertheless cover a full year, such a figure to be determined by first estimating the amount spent weekly for food during that part of the year in which you were not living with your immediate family or nearest relatives and multiplying that figure by 52.) 3. Amount paid for heat and light during the year ending Dec. 31, 1919 . (This question is to be answered only by.those who for the major portion of the year ending Dec. 31, 1919, did not live with their immediate family or nearest relatives. If for a portion of the year you were living with your immediate family or nearest relatives, the answer to this question should nevertheless cover a full year at the rate not to be entered here.) 4. Amount paid for clothing during the year ending Dec. 31,1919 5. Miscellaneous expenditures: (a) Health (including doctor's fees, medicine, nurses' fees, hospital bills, dentists' fees, eyeglasses, etc $ (5) Recreation— (1) Board and room while on vacation (2) Movie tickets, theater tickets, railroad fares, pool, billiard and bowling charges, club dues, etc 1920. 1. What is your sex? (Write the word.) 2. Total salary received during the year ending Dec. 31,1919 $ ,3. Bonus received during the year ending Dec. 31,1919 (The amounts entered after 2 or 3 should be, respectively, the amount of salary and bonus actually received for the year ending Dec. 31,1919, regardless of whether you were employed during that time by the Federal Reserve Bank; thus all or a part of the amount entered here mayhave been received from other concerns than the Federal Reserve Bank with which you are now connected.) Total earnings $ The Edge Act. Senate bill 2472, known as the "Edge bill," providing for the incorporation of institutions to engage in international or foreign banking or other financial operations, was approved by the President on December 24. The act follows: [PUBLIC—No. 106—66TH CONGRESS.] [S. 2472.] An Act To amend the Act approved December 23,1913, known as the Federal Reserve Act. Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the Act approved December 23, 1913, known as the Federal Reserve Act, as amended, be further amended by adding a new section as follows: "BANKING CORPORATIONS AUTHORIZED TO DO FOREIGN BANKING BUSINESS. "SEC. 25 (a). Corporations to be organized for the purpose of engaging in international or foreign banking or other international or foreign financial operations, or in banking or other financial operations in a dependency or insular possession of the United States, either directlv or through the agency, ownership, or control of local institutions in foreign countries, or in such dependencies or insular possessions as provided by this section, and to act when required by the Secretary of the Treasury as fiscal agents of the United States, may be formed by any number of natural persons, not less in any case than five. "Such persons shall* enter into articles of association which shall specify in general terms the objects for which the association is formed and may contain any other provisions not inconsistent with law which the association may see fit to adopt for the regulation of its business and the conduct of its affairs. JANUARY, 1920. FEDERAL, RESERVE BULLETIN. '' Such articles of association shall be signed by all of the persons intending to participate in the organization of the corporation and, thereafter, shall be forwarded to the Federal Reserve Board and shall be filed and preserved in its office. The persons signing the said articles of association shall, under their hands, make an organization certificate which shall specifically state: " First. The name assumed by "such corporation, which shall be subject to the approval of the Federal Reserve Board. "Second. The place or places where its operations are to be carried on. " Third. The place in the United States where its home office is to be located. " Fourth. The amount of its capital stock and the number of shares into which the same shall be divided. "Fifth. The names and places of business or residence of the persons executing the certificate and the number of shares to which each has subscribed. "Sixth. The fact that the certificate is made to enable the persons subscribing the same, and all other persons, firms, companies, and corporations, who or which may thereafter subscribe to or purchase shares of the capital stock of such corporation, to avail themselves of the advantages of this section. "The persons signing the organization certificate shall duly acknowledge the execution thereof before a judge of some court of record or notary public, who shall certify thereto under the seal of such court or notary, and thereafter the certificate shall be forwarded to the Federal Reserve Board to be filed and preserved in its office. Upon duly making and filing articles of association and an organization certificate, and after the Federal Reserve Board has approved the same and issued a permit to begin business, the association shall become and be a body corporate, and as such and in the name designated therein shall have power to adopt and use a corporate seal, which may be changed at the pleasure of its board of directors; to have succession for a period of twenty years unless sooner dissolved by the act of the shareholders owning twothirds of the stock or by an Act of Congress or unless its franchises become forfeited by some violation of law; to make contracts; to sue and be sued, complain, and defend in any court of law or equity; to elect or appoint directors, all of whom shall be citizens of the United States; and, by its board of directors, to appoint such officers and employees as may be deemed proper, define their authority and duties, require bonds of them, and fix the penalty thereof, dismiss such officers or employees, or any thereof, at pleasure and appoint others to fill their places; to prescribe, by its board of directors, by-laws not inconsistent with law or with the regulations of the Federal Reserve Board regulating the manner in which its stock shall be transferred, its directors elected or appointed, its officers and employees appointed, its property transferred, and the privileges granted to it by law exercised and enjoyed. "Each corporation so organized shall have power, under such rules and regulations as the Federal Reserve Board may prescribe: "(a) To purchase, sell, discount, and negotiate, with or without its indorsement or guaranty, notes, drafts, checks, bills of exchange, acceptances, including bankers' acceptances, cable transfers, and other evidences of indebtedness; to purchase and sell, with or without its indorsement or guaranty, securities, including the obligations of the United States or of any State thereof but not including shares of stock in any corporation except as herein provided.; to accept bills or drafts drawn upon it subject to such limitations and restrictions as the Federal Reserve Board may impose; to issue letters of credit; to purchase and sell coin, bullion, and exchange; to borrow and to 57 lend money; to issue debentures, bonds, and promissory notes under such general conditions as to security anil such limitations as the Federal Reserve Board may prescribe, but in no event having liabilities outstanding thereon at any one time exceeding ten times its capital stock and surplus; to receive deposits outside of the United States and to receive only such deposits within the United States as may be incidental to or for the purpose of carrying out transactions in foreign countries or dependencies or insular possessions of the United States; and generally to excerise such powers as are incidental to the powers conferred by this Act or as may be usual, in the determination of the Federal Reserve Board, in connection with the transaction of the business of banking or other financial operations in the countries, colonies, dependencies, or possessions in which it shall transact business and not inconsistent with the powers specifically granted herein. Nothing contained in this section shall be construed to prohibit the Federal Reserve Board, under its power to prescribe rules and regulations, from limiting the aggregate amount of liabilities of any or all classes incurred by the corporation and outstanding at any one time. Whenever a corporation organized under this section receives deposits in the United States authorized by this section it shall carry reserves in such amounts as the Federal Reserve Board may prescribe, but in no event less than 10 per centum of its deposits. "(b) To establish and maintain for the transaction of its business branches or agencies in foreign countries, their dependencies or colonies, and in the dependencies or insular possessions of the United States, at such places as may be approved by the Federal Reserve Board and under such rules and regulations as it may prescribe, including countries or dependencies not specified in the original organization certificate. "(c) With the consent of the Federal Reserve Board to purchase and hold stock or other certificates of ownership in any other corporation organized under the provisions of this section, or under the laws of any foreign country or a colony or dependency thereof, or under the laws of any State, dependency, or insular possession of the United States but not engaged in the general business of buying or selling goods, wares, merchandise or commodities in the United States, and not transacting any business in the United States except such as in the judgment of the Federal Reserve Board may be incidental to its international or foreign business: Provided, however, That, except with the approval of the Federal Reserve Board, no corporation organized hereunder shall invest in any one corporation an amount in excess of 10 per centum of its own capital and surplus, except in a corporation engaged in the business of banking, when 15 per centum of its capital and surplus may be so invested: Provided further, That no corporation organized hereunder shall purchase, own, or hold stock or certificates of ownership in any other corporation organized hereunder or under the laws of any State which is in substantial competition therewith, or which holds stock or certificates of ownership in corporations which are in substantial competition with the purchasing corporation. "Nothing contained herein shall prevent corporations organized hereunder from purchasing and holding stock in any corporation where such purchase shall be necessary to prevent a loss upon a debt previously contracted in good faith; and stock so purchased or acquired in corporations organized under this section shall within six months from such purchase be sold or disposed of at public or private sale unless the time to so dispose of same is extended by the Federal Reserve Board. "No corporation organized under this section shall carry on any part of its business in the United States except such as, in the judgment of the Federal Reserve Board, shall be incidental to its international or foreign business: 58 FEDEKAL EESERVE BULLETIN. And provided further. That except such as is incidental and preliminary to its organization no such corporation shall exercise any of the powers conferred by this section until it has been duly authorized by the Federal Reserve Board to commence business as a corporation organized under the provisions of this section. "No corporation organized under this section shall engage in commerce or trade in commodities except as specifically provided in this section, nor shall it either directly or indirectly control or fix or attempt to control or fix the price of any such commodities. The charter of any corporation violating this provision shall be subject to forfeiture in the manner hereinafter provided in this section. It shall be unlawful for any director, officer, agent, or employee of any such corporation to use or to conspire to use the credit, the funds, or the power of the corporation to fix or control the price of any such commodities, and any such person violating this provision shall be liable to a fine of not less than $1,000 and not exceeding $5,000 or imprisonment not less than one year and not exceeding five years, or both, in the discretion of the court. "No corporation shall be organized under the provisions of this section with a capital stock of less than $2,000,000, one-quarter of which must be paid in before the corporation may be authorized to begin business, and the remainder of the capital stock of such corporation shall be paid in installments of at least 10 per centum on the whole amount to which the corporation shall be limited as frequently as one installment at the end of each succeeding two months from the time of the commencement of its business operations until the whole of the capital stock shall be paid in. The capital stock of any such corporation may be increased at any time, with the approval of the Federal Reserve Board, by a vote of two-thirds of its shareholders or by unanimous consent in writing of the shareholders without a meeting and without a formal vote, but any such increase of capital shall be fully paid in within ninety days after such approval; and may be reduced in like manner, provided that in no event shall it be less than $2,000,000. No corporation, except as herein provided, shall during the time it shall continue its operations withdraw or permit to be withdrawn, either in the form of dividends or otherwise, any portion of its capital. Any national banking association may invest in the stock of any corporation organized under the provisions of this section, but the aggregate amount of stock held in all corporations engaged in business of the kind described in this section and in section 25 of the Federal Reserve Act as amended shall not exceed 10 per centum of the subscribing bank's capital and surplus. ' 'A majority of the shares of the capital stock of any such corporation shall at all times be held and owned by citizens of the United States, by corporations the controlling interest in which is owned by citizens of the United States, chartered under the laws of the United States or of a State of the United States, or by firms or companies, the controlling interest in which is owned by citizens of the United States. The provisions of section 8 of the act approved October 15, 1914, entitled 'An act to supplement existing laws against unlawful restraints and monopolies, and for other purposes,' as amended by the acts of May 15, 1916, and September 7, 1916, shall be construed to apply to the directors, other officers, agents, or employees of corporations organized under the provisions of this section: Provided, however, That nothing herein contained shall (1) prohibit any director or other officer, agent, or employee of any member bank, who has procured the approval of the Federal Reserve Board from serving at the same time as a director or other officer, agent or employee of any corporation organized under the provisions of this section in whose capital stock such member bank shall JANUARY, 1920. have invested; or (2) prohibit any director or other officer, agent, or employee of any corporation organized under the provisions of this section, who has procured the approval of the Federal Reserve Board, from serving at the same time as a director or other officer, agent or employee of any other corporation in whose capital stock such first-mentioned corporation shall have invested under the provisions of this section. "No member of the Federal Reserve Board shall be an officer or director of any corporation organized under the provisions of this section, or of any corporation engaged in similar business organized under the laws of any State, nor hold stock in any such corporation, and before entering upon his duties as a member of the Federal Reserve Board he shall certify under oath to the Secretary of the Treasury that he has complied with this requirement. "Shareholders in any corporation organized under the provisions of this section shall be liable for the amount of their unpaid stock subscriptions. No such corporation shall become a member of any Federal reserve bank. "Should any corporation organized hereunder violate or fail to comply with any of the provisions of this section, all of its rights, privileges, and franchises derived herefrom may thereby be forfeited. Before any such corporation shall be declared dissolved, or its rights, privileges, and franchises forfeited, any noncompliance with, or violation of such laws shall, however, be determined and adjudged by a court of the United States of competent jurisdiction, in a suit brought for that purpose in the district or territory in which the home office of such corporation is located, which suit shall be brought by the United States at the instance of the Federal Reserve Board or the Attorney General. Upon adjudication of such noncompliance or violation, each director and officer who participated in, or assented to, the illegal act or acts, shall be liable in his personal or individual capacity for all damages which the said corporation shall have sustained in consequence thereof. No dissolution shall take away or impair any remedy against the corporation, its stockholders, or officers for any liability or penalty previously incurred. "Any such corporation may go into voluntary liquidation and be closed by a vote of its shareholders owning two-thirds of its stock. "Whenever the Federal Reserve Board shall become satisfied of the insolvency of any such corporation, it may appoint a receiver who shall take possession of all of the property and assets of the corporation and exercise the same rights, privileges, powers, and authority with respect thereto as are now exercised by receivers of national banks appointed by the Comptroller of the Currency of the United States: Provided, however, That the assets of the corporation subject to the laws of other countries or jurisdictions shall be dealt with in accordance with the terms of such laws. "Every corporation organized under the provisions of this section shall hold a meeting of its stockholders annually upon a date fixed in its by-laws, such meeting to be held at its home office in the United States. Every such corporation shall keep at its home office books containing the names of all stockholders thereof, and the names and addresses of the members of its board of directors, together with copies of all reports made by it to the Federal Reserve Board. Every such corporation shall make reports to the Federal Reserve Board at such times and in such form as it may require; and shall be subject to examination once a year and at such other times as may be deemed necessary by the Federal Reserve Board by examiners appointed by the Federal Reserve Board, the cost of such examinations, including the compensation of the examiners, to be fixed by the Federal Reserve Board and to be paid by the corporation examined. JANUARY, 1920. FEDEKAL RESERVE BULLETIN. 59 "The directors of any corporation organized under the ity from the directors, issues or puts forth any certificate of provisions of this section may, semiannually, declare a deposit, draws any order or bill of exchange, makes any dividend of so much of the net profits of the corporation acceptance, assigns any note, bond, debenture, draft, biil as they shall judge expedient; but each corporation shall, of exchange, mortgage, judgment, or decree; or who makes before the declaration of a dividend, carry one-tenth of any false entry in any book, report, or statement of such its net profits of the preceding half year to its surplus fund corporation with intent, in either case, to injure or defraud until the same shall amount to 20 per centum of its capital such corporation or any other company, body politic or corporate, or any individual person, or to deceive any offistock. "Any corporation organized under the provisions of cer of such corporation, the Federal Reserve Board, or any this section shall be subject to tax by the State within agent or examiner appointed to examine the affairs of any which its home office is iocated in the same manner and such corporation; and every receiver of any such corporato the same extent as other corporations organized under tion and every clerk or employee of such receiver who shall the laws of that State which are transacting a similar embezzle, abstract, or willfully misapply or wrongfully character of business. The shares of stock in such cor- convert to his own use any moneys, funds, credits, or poration shall also be subject to tax as the personal prop- assets of any character which may come into his possession erty of the owners or holders thereof in the same manner or under his control in the execution of his trust or the perand to the same extent as the shares of stock in similar formance of the duties of his employment; and every such receiver or clerk or employee of such receiver who shall, State corporations. "Any corporation organized under the provisions of with intent to injure or defraud any person, body politic, this section may at any time within the two years next or corporate, or to deceive or mislead the Federal Reserve previous to the date of the expiration of its corporate exist- Board, or any agent or examiner appointed to examine the ence, by a vote of the shareholders owning two-thirds of affairs of such receiver, shall make any false entry in any its stock, apply to the Federal Reserve Board for its ap- book, report, or record of any matter connected with the proval to extend the period of its corporate existence for a duties of such receiver; and every person who with like term of not more than twenty years, and upon certified intent aids or abets any officer, director, clerk, employee, approval of the Federal Reserve Board such corporation or agent of any corporation organized under this section, or shall have its corporate existence for such extended period receiver or clerk or employee of such receiver as aforesaid unless sooner dissolved by the act of the shareholders in any violation of this section, shall upon conviction thereowning two-thirds of its stock, or by an Act of Congress or of be imprisoned for not less than two years nor more than unless its franchise becomes forfeited by some violation ten years, and may also be fined not more than $5,000, in the discretion of the court. of law. "Any bank or banking institution, principally engaged "Whoever being connected in any capacity with any in foreign business, incorporated by special law of any corporation organized under this section represents in any State or of the United States or organized under the general way that the United States is liable for the payment of laws of any State or of the United States and having an un- any bond or other obligation, or the interest thereon, issued impaired capital sufficient to entitle it to become a corpo- or incurred by any corporation organized hereunder, or ration under the provisions of this section may, by the vote that the United States incurs any liability in respect of of the shareholders owning not less than two-thirds of the any act or omission of the corporation, shall be punished capital stock of such bank or banking association, with the by a fine of not more than $10,000 and by imprisonment approval of the Federal Reserve Board, be converted into for not more than five years." a Federal corporation of the kind authorized by this secApproved, December 24, 1919. tion with any name approved by the Federal Reserve Board: Provided, however, That said conversion shall not be in contravention of the State law. In such case the articles of association and organization certificate may be executed by a majority of the directors of the bank or bankChange in District Boundaries. ing institution, and the certificate shall declare that the owners of at least two-thirds of the capital stock have By act of its legislature, the State of Missisauthorized the directors to make such certificate and to has created ;a new county under the title change or convert the bank or banking institution into a sippi il Federal corporation. A majority of the directors, after of Humphreys/ by assigning thereto terriexecuting the articles of association and the organization tory formerly included partially in each of certificate, shall have power to execute all other papers and Sharkey, Yazoo, Washington, Sunflower, and to do whatever may be required to make its organization Holmes Counties. Inasmuch as the newlyperfect and complete as a Federal corporation. The shares of any such corporation may continue to be for the same created county embraced territory lying within amount each as they were before the conversion, and the both the Sixth and the Eighth Federal Reserve directors may continue to be directors of the corporation Districts, the Federal Reserve Board on Decemuntil others are elected or appointed in accordance with the provisions of this section. When the Federal Reserve ber 12 reviewed the territorial boundaries Board has given to such corporation a certificate that the of the two Federal Reserve districts and • provisions of this section have been complied with, such ordered that all of the territory lying within corporation and all its stockholders, officers, and employ- Humphreys County be assigned to the Eighth ees, shall have the same powers and privileges, and shall Federal Reserve District. The Board further be subject to the same duties, liabilities, and regulations, in all respects, as shall have been prescribed by this section defined the northern boundary of the Sixth Federal Reserve District in the State of Misfor corporations originally organized hereunder. " Every officer, director, clerk, employee, or agent of any sissippi as the northern boundary lines of the corporation organized under this section who embezzles, counties of Issaquena, Sharkey, Yazoo, Madiabstracts, or willfully misapplies any of the moneys, funds, credits, securities, evidences of indebtedness or assets of son, Leake, Neshoba, and Kemper, after the any character of such corporation; or who, without author- creation of the new county of Humphreys. 60 FEDERAL RESERVE BULLETIN. Gold Certificates Legal Tender. JANUARY, 1920. Directors of Los Angeles Branch. Below is reprinted the act making gold certificates legal tender: The following are the directors of the Los Angeles branch of the Federal Reserve Bank of San Francisco which was organized and opened for business January 2, 1920: Mr. I. B. Newton, Mr. H. M. Robinson, Mr. J. F. Sartori, Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, ThatMr. A. J. Waters, Mr. Ira Clerk. The first two gentlemen have been appointed gold certificates of the United States payable to bearer on demand shall be and are hereby made legal tender in pay- by the Federal Reserve Board, while the last ment of all debts and dues, public and private. three are the appointees of the Federal Reserve SEC. 2. That all Acts or parts of Acts which are incon- Bank of San Francisco. sistent with this Act are hereby repealed. Mr. I. B. Newton, prominent merchant of Approved, December 24, 1919. southern California, was for many years connected with Harper & Reynolds Co., wholesale Election of Directors. and retail hardware dealers of Los Angeles. The following directors of Federal Reserve He recently retired from active business. DurBanks have been elected for the three-year ing the war he served on the Los Angeles subcommittee of the Twelfth District Committee term beginning January 1, 1920. on Capital Issues. District No. 1.—Boston: Mr. Henry M. Robinson is a well-known Class A.—F. S. Chamberlain, New Britain, Conn. citizen of southern California. War activities Class B.—E. R. Morse, Proctor, Vt. Class C.—Jesse H. Metcalf, Providence, R. I. brought him to Washington, where he served on District No. 2.—New York: the Shipping Board, at the end of the war going Class A.—James S. Alexander, New York, N. Y. to Paris as one of the Economics Committee o? Class B.~Charles A. Stone, New York, N. Y. Five assisting the American Peace Delegation. Class C—Pierre Jay, New York, N. Y. District No. 3.—Philadelphia: He was appointed by the President as a member Class A.—M. J. Murphy, Clarks Green, Pa. of the Second Industrial Conference and, more Class B.—Alba B. Johnson, Philadelphia, Pa. recently, as a member, representing the public, Class C—H. B. Thompson, Wilmington, Del. of the commission to investigate wages and District No. 4.—Cleveland: Class A.—Chess Lamberton, Franklin, Pa. working conditions in the coal industry, proClass B.—R. P. Wright, Erie, Pa. vided for in the strike settlement agreement. Class C—L. B. Williams, Cleveland, Ohio. Mr. J. F. Sartori is president of the Security District No. 5.—Richmond: Trust & Savings Bank and president of the Class A.—J. F. Bruton, Wilson, N. C. Class B.—J. F. Oyster, Washington, D. C. Security National Bank, both of Los Angeles. Class 0.—James A. Moncure, Richmond, Va. Mr. A. J. Waters is president of the Citizens District No. 6.—Atlanta: National Bank of Los Angeles and president Class A.—Oscar Newton, Jackson, Miss. of the Los Angeles Clearing House Association. Class B.—W. H. Hartford, Nashville, Tenn. Class C—W. H. Kettig, Birmingham, Ala. Mr. Ira Clerk is assistant deputy governor District No. 7.—Chicago: of the Federal Reserve Bank of San Francisco, Class A.—Charles H. McNider, Mason City, Iowa. and has been appointed acting manager of Class B.—John W. Blodgett, Grand Rapids, Mich. the Los Angeles branch. Class C.—E. T. Meredith, Des Moines, Iowa. [PUBLIC—No. 103—66TH CONGRESS.] [S. 3458.] An Act To make gold certificates of the United States payable to bearer on demand legal tender. District No. &—St. Louis: Class A.—Sam A. Ziegler, Albion, 111. Class B.~W. B. Plunkett, Little Rock, Ark. Class C.—C. P. J. Mooney, Memphis, Tenn. District No. 9—Minneapolis: Class A.—Theodore Wold, Minneapolis, Minn. Class B.—F. R. Bigelow, St. Paul, Minn. Class C.—C. H. Benedict, Lake Linden, Mich. District No. 10.—Kansas City: Class A.—W. J. Bailey, Atchison, Kans. Class B.—M. L. McClure, Kansas City, Mo. Class C.—F. W. Fleming, Kansas City, Mo. District No. 11—Dallas: Class A.—B. A. McKinney, Durant, Okla. Class B.—Marion Sansom, Fort Worth, Tex. Class C—H. O. Wooten, Abilene, Tex. District No. 12.—San Francisco: Class A.—C. K. Mclntosh, San Francisco, Calif. Class B.—E. H. Cox, San Francisco, Calif. Class C.—Edward Elliott, Berkelev, Calif. Acceptances to 100 Per Cent. Since the issuance of the December BULLETIN the following banks have been authorized by the Federal Reserve Board to accept drafts and bills of exchange up to 100 per cent of their capital and surplus: First National Bank, New Bedford, Mass. First National Bank, Hoboken, N. J. Marine Bank, Norfolk, Va. Atlanta National Bank, Atlanta, Ga. First National Sank, Clarksville, Tenn. 61 FEDERAL, RESERVE BULLETIN. JANUARY, 1920. Directors of Branch Banks. LOS ANGELES BRANCH. (Federal Reserve Bank of San Francisco.) Directors of branches of Federal Reserve Manager.—Ira Clerk. Banks to serve for the year 1920 have been Directors.—Ira Clerk, A. J. Waters, I. B. Newton, H. M. Robinson, J. F. Sartori. named as follows: BALTIMORE BRANCH. (Federal Reserve Bank of Richmond.) LOUISVILLE BRANCH. (Federal Reserve Bank of St. Louis.) Manager.—W. P. Kincheloe. Manager.—M. M. Prentis. Directors.—Geo. W. Norton, WT. C. Montgomery, W. P. Directors.—M. M. Prentis, Charles 0. Homer, William Kincheloe, F. M. Sackett, E. L. Swearingen. Ingle, Waldo Newcomer, H. B. Wilcox. BIRMINGHAM BRANCH. (Federal Eeserve Bank of Atlanta.) MEMPHIS BRANCH. (Federal Reserve Bank of St. Louis.) Manager.—John J. Heflin. Manager.—A. E. Walker. Directors.—R. Brinkley Snowden, John D. McDowell, Directors.—W. H. Kettig, Oscar Wells, T. 0. Smith, John J. Heflin, T. K. Riddick, S. E. Ragland. W. W. Crawford, John H. Frye. BUFFALO BRANCH. (Federal Reserve Bank of New York.) NASHVILLE BRANCH. (Federal Reserve Bank of Atlanta.) Manager.—Bradley Curry. Manaoer.—Ray M. Gidney. H. Hartford, P. M. Davis, J. E. Caldwell, Directors.—F. L. Bartlett, R. M. Gidney, Clifford E.Directors.—W. A. Lindsey, T. A. Embry. Hubbell, E. C. McDougal, H. T. Ramsdell. CINCINNATI BRANCH. (Federal Reserve Bank of Cleveland.) NEW ORLEANS BRANCH. (Federal Reserve Bank of Atlanta.) Manager.—Marcus Walker. Manager.—L. W. Manning. Directors.—John E. Bouden, jr., P. H. Saunders, H. B. Directors.—Judson Harmon, Charles A. Hinsch, W. S. Lightcap, A. P. Bush, F. W. Foote, R. S. Hecht, Marcus Rowe, L. W. Manning. Walker. DENVER BRANCH. (Federal Reserve Bank of Kansas City.) OMAHA BRANCH. (Federal Reserve Bank of Kansas City.) Manager.—0. T. Eastman. Manager.—C. A. Burkhardt. Directors.—Luther Drake, Geo. E. Abbott, 0. T. EastDirectors—C. Q. Parks, A. C. Foster, C. A. Burkhardt, man, P. L. Hall, R. 0. Marnell. John Evans, Alva Adams. DETROIT BRANCH. PITTSBURGH BRANCH. (Federal Reserve Bank of Chicago.) (Federal Reserve Bank of Cleveland.) Manager.—Geo. De7 Camp. Manager.—R. B. Locke. Directors.—John Ballantyne, Emory W. Clark, Julius H. Directors.—€has. W . Brown, James D. Callery, Harrison Nesbit, R. B. Mellon, George De Camp. Haas, Chas. H. Hodges, R. B. Locke. EL PASO BRANCH. PORTLAND BRANCH. (Federal Reserve Bank of Dallas.) (Federal Reserve Bank of San Francisco.) Manager.—C. L. Lamping. Manager.—R. R. Gilbert. Directors.—E. Cookingham, J. C. Ainsworth, C. L. LamDirectors.—U. S. Stewart, A. F. Kerr, R. R. Gilbert, ping, Nathan Strauss, Joseph N. Teal. W. W. Turney, A. P. Coles. HOUSTON BRANCH. SALT LAKE CITY BRANCH. (Federal Reserve Bank of Dallas.) (Federal Reserve Bank of San Francisco.) Manager.—Chas. H. Stewart. Manager.—Sam R. Lawder. Directors.—L. H. Farnsworth, Chas. H. Stewart, Chapin Directors.—Frank Andrews, J. C. Chidsey, J. J. Davis, A. Day, G. G. Wright, Lafayette Hanchett. Sam R. Lawder, G. M. Bryan. JACKSONVILLE BRANCH. SEATTLE BRANCH. (Federal Reserve Bank of Atlanta.) (Federal Reserve Bank of San Francisco.) Manager.—C. J. Shepherd. Manager.—Geo. R. De Saussure. Directors.—John C. Cooper, E. W. Lane, Bion H. Bar- Directors.—M. F. Backus, M. A. Arnold, C. J. Shepherd, C. H. Clarke, Chas. E. Peabody. nett, Giles L. Wilson, Fulton Saussy. LITTLE ROCK BRANCH. SPOKANE BRANCH. (Federal Reserve Bank of St. Louis.) (Federal Reserve Bank of San Francisco.) Manager.—A. F. Bailey. Manager.—Chas. A. McLean. Directors.—D. W. Twohy, R. L. Rutter, Chas. A. McDirectors.—J. E. England, A. F. Bailey, Moorhead Lean, Peter McGregor, G. I. Toevs. Wright, G. W. Rogers, C. A. Pratt. 62 JANUARY, 1920. FEDERAL RESERVE BULLETIN. State Banks and Trust Companies. Capital. Surplus. $50,000 25,000 25,000 50,000 25,000 50,000 $7,000 10,000 10,000 2,500 50,000 $615,839 28,750 275,665 387,987 225,941 1,684,726 30,000 25,000 10,000 5,000 686,502 684,907 200,000 40,000 1,196,810 The following list shows the State banks District No. i#-Continued. and trust companies which have been admitted to membership in the Federal Reserve system Bank of Sausalito, Sausalito, Calif Butte County Bank, Arco, Idaho during the month of December. The Myton State Bank, Myton, Utah. Commercial Bank, Spanish Fork, Utah, One thousand one hundred and eighty-one Bank of Duchesne, Duchesne, U t a h . . . State institutions are now members of the The Farmers Bank, Ellensburg, Wash. State Bank of Enumclaw, Enumclaw, system, having a total capital of $421,653,766, Wash Bank of Renton, Renton, Wash. total surplus of $447,553,600, and total resources Citizens The Washington Trust Co., Spokane, of $9,608,710,574. Wash Capital. Surplus. Total. District No. 2. $100,000 Bank of Nutley, Nutley, N. J Citizens Bank of Cape Vincent, Cape 50,000 Vincent. N . Y 50,000 State Bank of Endicott, Endicott, N. Y. Ridgefield Park Trust Co., Ridgefleld 100,000 Park, N. J $35,000 $1,538,980 8,000 10,000 170,606 60,000 25,000 1,579,494 520,000 5,487,985 105,000 200,000 500,000 60,000 1,006,468 800,000 11,130,344 75,000 4,620,382 25,000 25,000 313,576 25,000 25,000 5,000 5,000 154,196 481,228 25,000 12,500 392,830 50,000 25,000 15,000 5,000 721,595 484,557 District No. ?. Farmers State Bank, Bellevue, Mich... The First State Bank, Carsonville, Mich. Lake Odessa State Savings Bank, Lake Odessa, Mich , Lapham State Savings Bank, Northville,Mich Farmers State Bank, Vicksburg, Mich.. District No. 8. The Bank of Versailles, Versailles, Mo.. Bank of Waynesville, Waynesville, Mo. 75,000 25,000 7,000 5,000 577,984 562,378 100,000 25,000 20,000 20,000 717,494 398,854 100,000 11,500 1,887,218 District No. 6. Commercial Bank, Menominee, Mich... Southern Montana Bank, Ennis, Mont. American Bank & Trust Co., Missoula, Mont Reed Point State Bank, Reed Point, Mont 25,000 5,000 188,368 District No. 10. The State Savings & Mercantile Bank, Wichita. Kans Kilgore State Bank, Kilgore, N e b r . . . . Stockgrowers State Bank, Pawhuska, Okll First State Bank, Locust Grove, Okla.. 200,000 25,000 60,000 25,000 20,000 1,786,824 5,100 299,747 6,000 8,500 301,305 District No. 11. Central Savings Bank & Trust Co., Monroe, La 250,000 62,500 2,119,517 District No. 12. 125,000 4,228,830 Alameda Savings Bank, Alameda, Calif. 25,000 346,183 Surprise Valley Bank, Cedarville, Calif. 25,000 Standard Bank of Orange County, 67,042 50,000 Fullerton, Calif Guaranty Trust & Savings Bank, Los Angeles, Calif 1,500,000 1,000,000 28,216,489 Los Angeles Trust & Savings Bank, 725, (XXf 36,001,546 Los Angeles, Calif 1,500,000 1,725, Bank, Los Security jy Trust & Savings ~ 1,800,000 1,100,000 62,634,439 Angeles, Calif. California Bank of San Mateo County, 27,500 25,000 San Bruno, Calif CONVERSION. CHANGE OP N A M E . 160,000 District No. 6. Bank of Cave Springs, Cave Springs, Ga. LIQUIDATIONS. First Guaranty State Bank & Trust Co., Ennis, Tex. (Consolidated with the Ennis National Bank, Ennis, Tex.) First State Bank, Dallas, Tex. (Consolidated with Security National Bank of Dallas, Tex.) Rio Grande Valley Bank & Trust Co., El Paso, Tex. (Consolidated with the National Bank of El Paso, Tex.) Farmers State Bank, Rice, Tex. (Consolidated with First State Bank of Rice, Tex.) Denver Stock Yards Bank, Denver, Colo., into Stock Yards National Bank. District No. 4. Wheeling Bank & Trust Co., Wheeling, W.Va! Farmers Bank & Trust Co., Georgetown, Ky City Deposit Bank, Pittsburgh, Pa Potter Title & Trust Co., Pittsburgh, Pa. Total. The Citizens Bank & Trust Co., Tampa, Fla., has changed its name to 'Citizens-American Bank & Trust Co." New National Bank Charters. The Comptroller of the Currency reports the following increases and reductions in the number and capital of national banks during the period from November 29, 1919, to December 26, 1919, inclusive: Banks. New charters issued to 30 With capital of $1,955,000 Increase of capital approved for 20 With new capital of 1, 715,000 Aggregate number of new charters and banks increasing capital 50 With aggregate of new capital authorized 3, 670,000 Number of banks liquidating (other than those consolidating with other national banks under the act of June 3, 1864) 7 Capital of same banks 275,000 Number of banks reducing capital 1 Redaction of capital 75,000 Total number of banks going into liquidation or reducing capital (other than those consolidating with other national banks under the act of June 3, 1864) 8 Aggregate capital reduction 350,000 Consolidation of national banks under the actof Nov. 7, 1918 1 Capital 50,000 The foregoing statement shows the aggregate of increased capital for the period of the banks embraced in statement was 3,670,000 Against this there was a reduction of capital owing to liquidation (other than for consolidation with other national banks under the act of June 3, 1864) and reductions of capital of 350,000 Not increases 3, 320,000 JANUARY, 1920. FEDERAL RESERVE BULLETIN. 63 the same as the one which governs the operations of the branch banks at Cincinnati, The Federal Reserve Board on December 17 Pittsburg, Buffalo, and other cities. authorized and directed the Federal Reserve Bank of Kansas City to establish a branch Foreign Branches. office at Oklahoma City in order to expedite shipments of currency to and from member A list of branches of national banks and banks in the State of Oklahoma and to provide better facilities for intrastate clearing of checks. international and foreign banks, doing business The Board has recommended to the Federal under agreement with the Federal Reserve Reserve Bank of Kansas City that the by-laws Board, which have opened for business during assign as territory for the Oklahoma City December, is given below: branch that portion of the State of Oklahoma National City Bank of New York: Brussels, Belgium. which is not included in the eleventh Federal Mercantile Bank of the Americas, New York Oity: Reserve district. An outline of the powers and Affiliated Institution: Banco Mercantil Americane functions to be exercised by the branch as de Caracas, Venezuela— Maracaibo, Venezuela. recommended by the Board is as follows: The branch bank will receive deposits from member banks but will carry no deposit accounts. All Commercial Failures Reported* amounts received on deposit will be transmitted daily, by telegraph or otherwise, to the Federal While commercial failures in the United Reserve Bank of Kansas City for credit to the accounts of the depositing banks, and each States do not now disclose the marked member bank in the territory assigned to the numercial reduction from 1918 that featured branch, wherever located, may, at its option, the returns of earlier months this year, yet the make remittances of currency and cnecks 400 defaults reported to R. G. Dun & Co. direct to the Federal Reserve Bank of Kansas during three weeks of December compare City. The branch will carry no Government favorably with the 498 insolvencies of the deposits, but will redeem Treasury certificates, same period last year. The statement for pay Government checks, and will close out November, the latest month for which complete balances daily with the head office. The branch figures are available, shows 551 business rewill carry no earning assets; applications for verses, involving $9,177,321 of liabilities, the loans or discounts from member banks and number being the largest of any month back offers for sale of mail transfers, bankers7 accept- to last March, and the indebtedness heavier ances, and bills of exchange eligible for purchase than in October, September, August, and July by Federal Reserve Banks will be transmitted of the current year. Yet not in any previous to the Federal Reserve Bank of Kansas City for November since monthly statistics were first final action. Immediate credit, however, may compiled in 1894 have failures been so few in be given in cases where it becomes necessary number as in the present instance, the next for member banks to rediscount in order to best exhibit for the month being the 570 meet clearing-house debit balances, unexpected defaults of November, 1918, and last month's deficiencies in reserves, and any other case liabilities are the smallest for November in a where quick arrangements are necessary, all decade and a half. actual rediscounting operations, however, to be Failures during November. made at the head office, interest being charged from the date the notes were received by the Liabilities. Number. branch. In cases where notes are secured by Districts. 1918 1919 United States obligations, the branch may, by 1919 1918 authority of the Federal Reserve Bank of $795,956 $535,609 61 50 Kansas City, hold the collateral and forward First 1,674,791 99 101 1,548,918 Second 589,611 987,779 29 36 the notes to the parent bank with trust receipts Third 770,106 58 55 4,071,586 132,640 showing the amount and nature of collateral Fourth 364,083 26 25 Fifth 301,065 2,742,183 34 22 Sixth held. Banks in the branch bank territory may Seventh.... 434,048 4,837,148 74 101 235,393 494,104 28 40 Eighth deal directly with the parent bank. The prin- Ninth 108,176 81,276 6 15 cipal functions to be exercised by the branch Tenth 204,082 198,531 22 17 253,516 293,019 28 32 will be the clearing and collection of checks and Eleventh... 762,677 576,190 86 76 Twelfth the handling of shipments of currency to and 551 570 9,177,321 13,815,166 Total. from member banks in its territory. This plan Branch at Oklahoma City. is 64 FEDERAL RESERVE BULLETIN. Fiduciary Powers Granted to National Banks. JANUARY, DISTRICT No. 1920. 7. Trustee, executor, administrator, registrar of stocks and guardian of estates, assignee, receiver, and comApplications for permission to act under bonds, mittee of estates of lunatics: section 11-k of the Federal Reserve Act have First National Bank, Danville, 111. Merchants National Bank, Burlington, Iowa. been approved by the Federal Reserve Board First National Bank, Fairfield, Iowa. in addition to those heretofore published, as Trustee, executor, administrator, registrar of stocks and follows: bonds, guardian of estates, assignee, and receiver: DISTRICT NO. 1. Citizens National Bank, Brazil, Ind. Guardian of estates, assignee, receiver, and committee of Trustee, executor, administrator, registrar of stocks and estates of lunatics: bonds, guardian of estates, assignee, receiver, and comFarmers National Bank, Sheridan, Ind. mittee of estates of lunatics: First National Bank, Winamac, Ind. Bath National Bank, Bath, Me. DISTRICT NO. 8. Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, and receiver: Trustee, executor, administrator, guardian of estates, National City Bank, Lynn, Mass. assignee, and receiver: Trustee, executor, administrator, and registrar of stocks Edwardsville National Bank, Edwardsville, 111. and bonds: Trustee, executor, administrator, registrar of stocks and Naugatuck National Bank, Naugatuck, Conn. bonds, guardian of estates, assignee, receiver, and comTrustee, executor, administrator, and guardian of estates: mittee of estates of lunatics: National Bank of Commerce, New London, Conn. First National Bank, Newport, Ark. First National Bank, Nashville, 111. DISTRICT No. 2. New Albany National Bank, New Albany, Ind. Lawrenceburg, National Bank, Lawrenceburg, Ky. Trustee, executor, administrator, registrar of stocks and First National Bank, Ridgewav, Mo. bonds, guardian of estates, assignee, receiver, and com- Trustee, executor, administrator, registrar of stocks and mittee of estates of lunatics: bonds, guardian of estates, assignee, and committee of Cuba National Bank, Cuba, N. Y. estates of lunatics: Citizens National Bank, Hornell, N. Y. First National Bank, Farmersburg, Ind. First National Bank, Ithaca, N. Y. Registrar of stocks and bonds: Merchants National Bank, Middletown, N. Y. Louisville National Banking Co., Louisville, Ky. Chenango National Bank, Norwich, N. Y. DISTRICT NO. 9. Wilber National Bank, Oneonta, N. Y. Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, assignee, receiver, and comDISTRICT NO. 3. mittee of estates of lunatics: Midland National Bank, Minneapolis, Minn. Trustee, executor, administrator, registrar of stocka and First National Bank, Wells, Minn. bonds, guardian of estates, assignee, receiver, and comFirst National Bank, Miles City, Mont. mittee of estates of lunatics: First National Bank, Brookings, S. Dak. First National Bank, Emporium, Pa. Trustee, executor, administrator, registrar of stocks and Moshannon National Bank, Philipsburg, Pa. bonds, guardian of estates, assignee, and receiver: Guardian of estates, assignee, receiver, and committee of eatates of lunatics: First National Bank, Lewistown, Mont. First National Bank, Trenton,N. J. Registrar of stocks and bonds: Northwestern National Bank, Minneapolis, Minn. DISTRICT No. 4. DISTRICT No. 10. Trustee, executor, administrator, registrar of stocks and Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, assignee, receiver, and combonds, guardian of estates, assignee, receiver, and committee of estates of lunatics: mittee of estates of lunatics: First National Bank, Walsenburg, Colo. Third National Bank, Pittsburgh, Pa. Fidelity National Bank & Trust Co., Kansas City, Mo. Trustee, executor, administrator, registrar of stocks and Midwest National Bank & Trust Co., Kansas City, Mo. bonds, guardian of estates, receiver, and committee of Trustee and registrar of stocks and bonds: estates of lunatics: Exchange National Bank, Tulsa, Okla. American National Bank, Newport, Ky. Trustee, executor, administrator, guardian of estates, assignee, and receiver: DISTRICT No. 5. City National Bank, Lawton, Okla. Trustee, executor, administrator, registrar of stocks and DISTRICT N O . 11. bonds, guardian of estates, assignee, receiver, and com- Trustee, executor, administrator, registrar of stocks and mittee of estates of lunatics: bonds, guardian of estates, assignee, receiver, and comRockbridge National Bank, Lexington, Va. mittee of estates of lunatics: Guardian of estates, assignee, receiver, and committee of Lockwood National Bank, San Antonio, Tex. estates of lunatics: DISTRICT N O . 12. Merchants National Bank, Richmond, Va. Trustee, executor, administrator, registrar of stocks and bonds, guardian of estates, assignee, receiver, and comDISTRICT No. 6. mittee of estates of lunatics: National Bank & Trust Co., Pasadena, Calif. Trustee, executor, administrator, registrar of stocks and First National Bank, Payette, Idaho. bonds, guardian of estates, assignee, receiver, and com| First National Bank, Weiser, Idaho. mittee of estates of lunatics: I First National Bank, Clarkston, Wash. American National Bank, Nashville, Tenn. JANCART, 1920. FEDERAL RESERVE BULLETIN. 65 RULINGS OF THE FEDERAL RESERVE BOARD. Below are published rulings made by the Federal Keserve Board which are believed to be of interest to Federal Reserve Banks and member banks. Renewal of drafts drawn by the purchaser of goods and secured at the time of original acceptance by warehouse receipts or bills of lading. As defined in an opinion published on page 380 of the May, 1917, BULLETIN, a draft drawn by the purchaser of goods is not eligible for acceptance merely because it is secured at the time of acceptance by a bill of lading covering the goods bought. It must be established that the proceeds of the draft are applied to the payment of those goods. No national bank may properly accept the renewal of a draft drawn by the purchaser of goods and secured at the time of original acceptance by a bill of lading or warehouse receipt unless the renewal acceptance complies with the terms of the law and the rulings and regulations of the Board applicable to the original acceptance. In the opinion of the Federal Reserve Board, therefore, a State bank which becomes a member of the Federal Reserve system voluntarily subjects itself to the restrictions and limitations of various Federal laws and to Federal supervision and may properly advertise that it is subject to Government or Federal supervision, but, in so far as the phrase u Government protection" implies more than supervision, the Board believes that that phrase is inapt and not justified by the terms of the law. Acceptance of drafts secured by warehouse^receipts covering automobiles or automobile tires. The Federal Reserve Board has been asked whether a draft secured by a warehouse receipt covering automobiles or automobile tires is eligible for acceptance by a member bank under the terms of section 13 of the Federal Reserve Act. That section provides in part that any member bank may accept drafts drawn upon it which are secured at the time of acceptance by warehouse receipts conveying or securing title covering readily marketable [See opinion of General Counsel on p. — of the Law Department.] staples. On page 652 of the July, 1919, FEDERAL RESERVE BULLETIN, the Federal Reserve Authority of State member bank to advertise that it is Board has defined a readily marketable staple under Government protection or supervision. as follows: The Federal Reserve Board has received readily marketable staple may be defined as an article numerous inquiries as to the right of a State of Acommerce, agriculture, or indi stay of such us.es as to bank which is a member of the Federal Reserve make it the subject of constant dealings in ready markets system to advertise that it is under " Govern- with such frequent quotations of prices as to make (a) the ment protection" or under Government super- price easily and definitely ascertainable and (b) the staple itself easy to realize upon by sale at any time. vision. The Board has heretofore ruled that an autoThe terms of section 9 of the Federal Reserve Act expressly provide that "as a condi- mobile is not a readily marketable staple within tion of membership such banks shall likewise the meaning of this definition and that a draft be subject to examinations made by direction secured by a warehouse receipt covering an of the Federal Reserve Board or of the Federal automobile is on that account not eligible for Reserve Bank by examiners selected or ap- acceptance by a member bank. The Board is proved by the Federal Reserve Board;" that also of the opinion that automobile tires can such banks are " required to make reports of not properly be considered readily marketable condition and of the payment of dividends to staples and that a warehouse receipt covering the Federal Reserve Bank of which they be- automobile tires, like a warehouse receipt covercome a member" and that such banks shall ing an automobile, can not form the basis of an not only complv with the reserve and capital acceptance under the terms of section 13 of the requirements oi the Federal Reserve Act but Federal Reserve Act. This ruling, however, should not be conshall also conform to those provisions of law which are imposed on national banks relating strued to deny the right of a member bank to to making loans on or purchasing their own accept a draft to which is attached at the time stock, etc. State member banks and their of acceptance a bill of lading covering an autoofficers, agents, or employees are also subject mobile or automobile tires in the process of to the provisions of, and to the penalties pre- shipment, provided that the draft otherwise scribed by, section 5209 of the Revised Statutes complies with the terms of the law and the regulations of the Federal Reserve Board. of the United States. 66 FEDEKAL. RESERVE BULLETIN. JANUARY, 192 LAW DEPARTMENT. It appears from the facts presented that the The following opinion of General Counsel has been authorized for publication by the drawer of the drafts is manufacturing tobacco the purpose of export, but there is no indicaBoard since the last edition of the BULLETIN: for tion that that drawer has an existing contract Renewal of drafts drawn by the purchaser of goods and providing for the export of the tobacco covered secured at the time of original acceptance by ware- by the documents attached to the draft prehouse receipts or bills of lading. sented to the bank for acceptance. The mere As defined in an opinion published on page 380 of the fact that the drawer is manufacturing goods May, 1917, BULLETIN, a draft drawn by the purchaser of which he intends ultimately to export does not goods is not eligible for acceptance merely because it is alone bring it within the scope of a transaction secured at the time of acceptance by a bill of lading covering the goods bought. It must be established that the involving the exportation of goods. The Board proceeds of the draft are applied to the payment of those has frequently ruled that the person for whom goods. No national bank may properly accept the renewal the draft is accepted must have a definite of a draft drawn by the purchaser of goods and secured at bona fide contract for the shipment of the the time of original acceptance by a bill of lading or warehouse receipt unless the renewal acceptance complies goods within a specified and reasonable time. It remains to be considered, therefore, solely with the terms of the law and the rulings and regulations of the Board applicable to the original acceptance. whether the drafts in question are eligible for An opinion has been asked on the question acceptance either because they grow out of whether a national bank may accept drafts transactions involving the domestic shipment drawn under the following circumstances: A of goods or because they are secured at the certain tobacco manufacturer is buying tobacco time of acceptance by a warehouse receipt or lor the purpose of manufacturing for export. other such document conveying or securing It is contended that the whole process from title covering readily marketable staples. The facts presented indicate that either bills time of purchase of the tobacco to the time of sale of tne finished product requires from 9 to of lading or warehouse receipts are in the 12 months and that in consequence a large hands of the bank at the time that the original volume of money is needed to carry the drawer draft is presented for acceptance. For the both on account of the volume of the business sake of convenience those drafts secured by and on account of the present high prices of bills of lading will be discussed separately from tobacco. Ninety-day drafts are drawn by the the ones secured by warehouse receipts. Inasmuch as it appears that the purpose of manufacturer upon nis bank with the understanding that there shall be two renewals of the transaction is to finance the manufacturer 90 days each, making the whole credit cover a pending the manufacture and ultimate sale of period of 9 months. It is understood that bills tobacco as a finished product, there is great of lading or warehouse receipts for the tobacco doubt whether even the original draft drawn are placed with the accepting bank at the time by him, secured by a bill of lading covering the first acceptance is made, but that they are tobacco shipped to him would be eligible for surrendered by the bank to the manufacturer acceptance. Assuming that the bill of lading immediately thereafter upon the issue of trust covers goods shipped by a seller to the manufacturer the transaction falls within the scope receipts. Under the terms of section 13 of the Federal of an opinion published on page 380 of the Reserve Act any member bank may accept May, 1917, BULLETIN, wherein it was held drafts or bills of exchange drawn upon it that a draft drawn by the purchaser of goods having not more than six months sight to run is not eligible for acceptance merely because " which grow out of transactions involving the it is secured by a bill of lading covering the importation or exportation of goods; or which goods bought. ° The Board has heretofore held grow out of transactions involving the domestic that in any such case the draft would be eligible shipment of goods, provided shipping docu- for acceptance only if it could be established ments conveying or securing title are attached that the proceeds of the draft are to be applied at the time of acceptance; or which are secured by the clrawer—that is, the buyer—to the at the time of acceptance by a warehouse payment of the goods covered by the bill of receipt or other such document conveying or .ading. But even if any of the original drafts secured securing title covering readily marketable by bills of lading come within these facts and staples." JANUARY, 1920. FEDERAL RESERVE BTJULETIN. are eligible for acceptance under the ruling just referred to, nevertheless the Board does not believe that the renewal drafts can be considered eligible for two reasons: First, because the law requires that a bill of lading be attached at the time of acceptance—having been surrendered after the acceptance of the original drafts the bill of lading would not be available as the basis of a renewal draft; and, second, because the spirit of the law does not contemplate that acceptances based upon the domestic shipment of goods shall be used as a cloak to finance the carrying of those goods throughout the process 01 manufacture into finished products. There is no objection to a national bank's agreeing in advance to accept drafts aggregating certain amounts for a period of more than six months as defined on page 269 of the September, 1915, BULLETIN, but each individual draft drawn under a credit of that character must comply with the provisions of the law relating to the acceptance of the original draft. If it could be shown that the second or socalled renewal drafts comply with those provisions they would be eligible, but not otherwise. Under the facts presented there is no indication that the renewal drafts would comply with these restrictions and for the reasons outlined above there is some doubt as to whether the original drafts, even though accom- 67 panied by bills of lading at the time of acceptance, would be eligible ior acceptance. With reference to those drafts secured at the time of acceptance by warehouse receipts, the same general principles are applicable. The Board has ruled on various occasions that no draft is eligible for acceptance merely and solely because secured by a warehouse receipt at the time it is presented for acceptance. It must be shown that the purpose of the draft is to carry the goods covered by the warehouse receipt pending a reasonably immediate shipment, a reasonably immediate sale, or a reasonably immediate distribution into the process of manufacture. In so far as the original drafts which are secured by warehouse receipts comply with this principle they should be considered eligible, but there would be no reason to consider the renewal of those drafts eligible for acceptance if only because of the fact that by hypothesis the warehouse receipts are released immediately after the acceptance of the original drafts. They could not, therefore, be available as security for the so-called renewal drafts. In fact the whole plan appears to be one which was devised for the purpose of carrying the goods while in the process of manufacture after they have been removed from warehouse, a purpose clearly not contemplated by the law as the basis of a renewal draft. 68 FEDERAL RESERVE BULLETIN. WHOLESALE PRICES. In continuation of figures shown in the December BULLETIN there are presented below monthly index numbers of wholesale prices for the period January, 1919, to November, 1919, compared with like figures for November of previous years; also for July, 1914, the month immediately preceding the outbreak of the great war. The general index number is that of the United States Bureau of Labor Statistics. In addition there are presented separate numbers for certain particular classes of commodities in accordance with plans announced in previous issues of the BULLETIN. Quotations for three commodities, namely worsted yarns (2-32s, crossbred), sheetings (brown, 4-4 Pepperell), and women's dress goods (cotton warp, cashmere) have been omitted. On the other hand, quotations for apples (Baldwin, fresh, Chicago), flour (buckwheat, New York), and tickings (Amoskeag, 32-inch), which had been dropped temporarily, have been secured for the months of October and November, and the commodities were again included in the calculation of the index numbers for the latter month. One substitution has been made, namely, of quartered-oak bedroom bureaus in place of plain oak. Index numbers for November are provisional, due to the fact that certain data were not received in time to render them available for use in the calculations. A considerable increase in wholesale prices is noted for the month of November. The general index number of the Bureau of Labor Statistics stands at the record figure of 230, an increase of 7 points over the figure for the month of October and of 4 points over the previous record of 226, the figure for the month of August. Increase is noted in the index number for each of the three principal groups of commodities and is relatively greatest for the group of consumers' goods, namely, 3.6 per cent, from 228 to 236. Among the commodities included in the group, decrease in price occurred in the case of various meats, in particular lard, hams, lamb, and poultry, lemons, oranges and prunes, corn meal (PMladelphia quotation), milk (Chicago quotation), and cottonseed oil. These decreases, however, by no means offset increases in the prices of various foodstuffs, in particular butter, milk (New JANUARY, 1920. York quotation), cheese and eggs, wheat flour, corn meal (Chicago quotation), rice, potatoes, onions, molasses, oleomargarine, coffee, fresn beef (Chicago quotation), bacon and mess pork, various textiles, such as cotton flannel, drillings, print cloths, sheetings, shirtings, tickings, cotton underwear and women's dress goods, several classes of shoes and tableware and glassware. The index number for the group of producers' goods has increased 2.4 per cent, from 211 to 216, which latter figure is a new high level. Decrease in price occurred only in the case of several commodities, among which linseed oil and copper wire may be mentioned, while increase in price occurred for an extended list of commodities, in particular silver, steel billets and plates, bar iron and wire nails, brick, putty, turpentine and rosin, cotton and worsted yarns, cottonseed meal, bran, olive oil, and various chemicals. The index number for the group of raw materials has likewise reached a new high level. The figure for the month of November stands at 226, an increase of 2.9 per cent over the October figure of 220. Diversity, however, is exhibited by the changes in the index numbers for the several subgroups included under the head of raw materials. There has been a conspicuous increase in the index number for the farm-products subgroup, from 254 to the record figure of 275, or 8.4 per cent. Timothy hay alone shows a decrease among the commodities included in this subgroup, while increases in price are noted for wheat, corn, oats, and barley, cotton, alfalfa, flax and tobacco. The index number for the forest-products subgroup likewise shows an increase, from 234 to 239, or 2.3 per cent, due to increase in the price of white and yellow pine. The index number for the mineral-products sub-group shows a decrease of 0.5 per cent, from 184 to 183. Increase in price occurred in the case of bituminous screenings, petroleum, pig iron and lead, while decreases were noted for various classes of bituminous coal and copper. The index number for the animal-products subgroup remains unchanged at 212. Increases in the prices of choice to prime steers, goatskins, silk and wool were offset by decreases in the prices of good to choice steers, packer hides, hogs, poultry, and lambs. JANUARY, 1920. 69 FEDERAL RESERVE Index numbers of wholesale prices in the United States for 'principal classes of commodities. [Average price for 1913—100.J Raw materials. Year and month. July, 1914 November, November November, November, November, All commodities Producers' Consumers' (Bureau of goods. goods. Labor StaTotal raw tistics index materials. number). Farm products. Animal products. Forest products. Mineral products. 102 98 104 166 239 234 106 103 101 127 187 210 97 96 92 98 129 150 91 89 100 157 160 185 99 97 100 139 183 199 93 92 109 156 181 203 103 103 105 143 182 219 100 98 103 144 183 206 234 224 237 246 255 250 261 251 240 254 275 208 210 217 224 225 217 233 235 215 212 212 147 148 149 145 146 156 166 193 227 234 239 179 175 173 170 170 173 177 180 184 184 183 196 194 199 202 205 203 214 218 216 220 226 196 192 190 186 189 196 202 212 212 211 216 216 205 210 214 219 217 230 241 226 228 236 203 197 201 203 207 207 219 226 221 223 230 1914 1915 1916 1917 1918 1919. January February March April May June July August . September October.... November In order to give a more concrete illustration of actual price movements there are also presented in the following table monthly actual and relative figures for certain commodities of a basic character, covering the period January, 1919, to November, 1919, compared with like figures for November of previous years; also for July, 1914, the month immediately preceding the outbreak of the great war. The actual average monthly prices shown in the table have been abstracted from the records of the United States Bureau of Labor Statistics. Average monthly wholesale prices of commodities. [Average price for 1913=100.] Corn, No. 3, Chicago. Wheat, No. 1, Cotton, middling, northern spring, New Orleans. Minneapolis. Wheat, No. 2, red winter, Chicago. Year and month. July, 1914 November, 1914 November, 1915 November, 1916 . . November 1917 November, 1918 January, 1919. February. 1919 March, 1919 April, 1919.. May, 1919 June, 1919 July, 1919... August, 1919 September, 1919. . October 1919 November, 1919 Cattle, steers, good to choice, Chicago. Hides, packers', heavy native steers, Chicago. Average price per bushel. Relative price. Average price per pound. Relative price. Average price per bushel. Relative price. Average price per bushel. Relative price. Average price per 100 pounds. Relative price. Average price per pound. SO. 7044 .6806 .6495 .9663 2.0238 1.2675 1.3750 1.2763 1.4588 1.5955 1.7613 1.7563 1.9075 1.9213 1.5410 1.3888 . 1.4875 114 111 106 157 329 206 223 207 237 259 286 285 310 312 250 226 242 $0.1331 .0742 .1155 .1980 .2804 .3007 .2850 .2694 .2681 .2670 .2947 .3185 .3377 .3125 .3078 .3538 .3963 105 58 91 154 221 237 224 212 211 210 232 251 266 246 242 279 312 $0.8971 1.1594 1.0182 1.9300 2.1700 2.2206 2.2225 2.2350 2.3275 2.5890 2.5925 2.4575 2.6800 2.5250 2.5350 2.6250 2.8250 103 133 117 221 248 254 254 256 266 298 297 281 307 289 290 301 323 $0.8210 1.1486 1.1250 1.8116 2.1700 2.2375 2.3788 2.3450 2.3575 2.6300 2.7800 2.3613 2.2580 2.2394 2.2385 2.2394 2.2881 83 116 114 184 220 227 241 238 239 267 282 239 229 227 227 227 232 $9.2188 9.4063 8.8450 10.3500 14.3875 18.1563 18.4125 18.4688 18.5750 18.3250 17.7438 15.4600 16.8688 17.6375 16.8050 17.5938 17.5000 108 111 104 122 169 213 216 217 218 215 209 182 198 207 198 207 206 $0.1938 .2175 .2625 .3150 .3525 .2900 .2800 .2800 .2763 .2950 .3513 .4075 .4860 .5200 .4638 .4820 .4688 Relative price. 105 118 143 171 192 158 152 152 150 160 191 222 264 283 252 262 255 70 JANUARY, 1920. FEDERAL RESERVE BULLETIN. Average monthly wholesale prices of commodities—Continued. [Average price for 1913 =» 100.] Hogs, light, Chicago. Year and month. Average price per pounds. July, 1914 November, 1914. November, 1915. November, 1916. November, 1917. November, 1918. January, 1919... February, 1919.. March, 1919 April, 1919 May, 1919 June, 1919 July, 1919 August. 1919.... September, 1919 October, 1919... November, 1919. $8.7563 7.4813 6.6450 9.4063 17.3500 17.7063 17.4125 17.4688 18.8550 20.3813 20.7000 20.7800 22.3875 21.6125 18,2100 14.7250 14.1438 Wool, Ohio, J-f grades, scoured. Rela- Average tive price per price. pound. 104 83 79 111 205 209 206 207 223 241 245 246 265 256 215 174 167 Coal, Poeahontas, Norfolk. $0.4444 .4722 .6143 .6857 1.3571 1.4365 1.1200 1.0909 1.2000 1.0909 1.0727 1.1818 1.2364 1.2364 1.2182 1.2634 1.2545 Rela- Average tive price per price. M feet. Coal, anthracite, Coal, bituminous, run of mine, stove, New York, Cincinnati. tidewater. Rela- Average RelaRela- Average Relative price per tive price per tive price per tive price. Mfeet. price. long ton. price. short ton. price. 94 $24.5000 100 24.2500 130 21.2500 146 23.7500 288 30.5000 305 255 36.0000 232 36.0000 255 36.0000 232 36.0000 228 36.0000 251 36.0000 263 41.0000 263 259 43.0000 268 44.0000 266 44.0000 Coke, Connellsville. Yellow pine, flooring, New York. Hemlock, New York. 101 $42.0000 100 42.0000 88 38.0000 98 40.0000 126 57.0000 63.0000 149 63.0000 149 64.0000 149 64.0000 149 64.0000 149 65.0000 149 68.0000 169 73.0000 78.0000 177 95.0000 100.0000 182 182 100.0000 94 94 85 90 128 141 141 144 144 144 146 152 164 175 213 224 224 Lead, pig, desilverized. New York. Copper, ingot, electrolytic. New York. $4.9726 5.1912 5.1766 5.6946 6.1469 7.8071 7.9500 7.9500 7.9044 7.9045 7.9857 8.1174 8.1881 8.3145 8.4020 8.4135 8.4273 103 102 113 121 154 157 157 156 156 158 160 162 164 166 166 167 Petroleum, crude, Pennsylvania, at wells. $2.2000 2.2000 2.2000 3.7500 3.7500 4.1000 4.1000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.5000 4.5000 4.1000 100 100 100 170* 170 186 186 182 182 182 182 182 182 182 205 205 186 Pig iron, basic. Year and month. Average price per long ton. July, 1914 November, 1914.. November, 1915.. November, 1916.. November, 1917.. November, 1918.. January, 1919.... February, 1919.. March, 1919 April, 1919 May, 1919 June, 1919 July,1919 August. 1919 September, 1919. October, 1919.... November, 1919.. Rela- Average Rela- Average tive price per tive price per price. short ton. price. pound. $3.0000 3.0000 2.8500 6.0000 4.4120 4.6320 4,6320 4,6320 4.9000 4.9000 4.9000 5.1400 5.1400 100 100 95 200 147 154 154 154 163 163 163 171 171 5.1400 4.6320 171 154 $1.8750 1.5500 2.3750 5.7500 6.0000 6.0000 5.7813 5.2188 4.4688 3.9000 3.8437 4.0000 4.0950 4.2188 4.5920 4.8250 5.9375 77 64 97 236 246 246 237 214 183 160 158 164 168 173 188 198 243 Rela- Average tive price per price. pound. 85 72 114 182 149 165 130 110 96 97 102 112 137 145 141 138 130 $0.1340 .1125 .1788 .2863 .2350 .2600 .2038 .1731 .1509 .1530 .1600 .1756 .2150 .2281 .2220 .2172 .2038 $0.0390 .0350 .0490 .0700 .0613 .0805 .0558 .0508 .0524 .0507 .0508 .0530 .0561 .0579 .0609 .0643 .0676 Rela- Average tive price per price. barrel. 80 111 159 139 183 127 115 119 115 115 120 128 132 138 146 154 $1.7500 1.4500 1.8000 2.6000 3.5000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.0000 4.2500 4.2500 4.4375 Rela- Average Relative price per i tive price. long ton.! price. 71 $13.0000 59 12.4800 73 15.7500 106 25.1000 143 33.0000 163 33.0000 163 30.0000 163 30.0000 163 28.9375 163 25.7500 163 25.7500 163 25.7500 163 25.7500 163 25.7500 173 25.7500 173 25.7500 181 28.3125 88 85 107 171 224 224 204 204 197 175 175 175 175 175 175 175 193 I Cotton yarns, northern cones, 10/1. Leather, sole, hemlock No. 1. Steel billets, Bessemer, Pittsburgh, | Steel plates, tank, Pittsburgh. Steel rails, open hearth, Pittsburgh. Worsted yarns, 2-32's crossbred. Year and month. Average price per pound. July, 1914 November, 1914. November, 1915. November, 1916. November, 1917. November, 1918. January, 1919... February, 1919.. March, 1919 April, 1919 May, 1919 June, 1919 July, 1919 August, 1919.... September, 1919 October, 1919... November, 1919. $0.2150 .1550 .2050 .3325 .4700 .5927 .5000 .4164 . 4132 .4300 .4826 .5608 .5912 .6130 .5903 .6111 Rela- Average tive price per price. pound. 97 70 93 150 212 268 226 188 187 194 218 253 267 277 267 276 300 $0.3050 .3200 .4900 .4800 .4900 .4900 .4900 .4900 .4900 . 4900 .5100 .5300 .5700 .5700 .5700 .5700 Rela- Average tive price per price, pound. 108 $19.0000 19.2500 113 26.5000 174 52.0000 170 47.5000 174 47.5000 174 43.5000 174 43.5000 174 42.2500 174 38.5000 174 38.5000 181 38.5000 188 38.5000 202 38.5000 202 38.5000 202 38. 5000 202 41.3750 Rela- Average tive price per price. pound. 74 75 103 202 184 184 169 169 164 149 149 149 149 149 149 149 160 I I ! I i I $0.0113 .0110 .0150 .0375 .0325 .0325 .0300 .0300 .0291 . 0265 .0265 .0265 .0265 .0265 . 0253 .0261 .0265 Rela- Average tive j price per price. ! pound. 76 74 101 253 220 220 203 203 197 179 179 179 179 179 171 176 179 |$30.0000 30.0000 30.0000 35.0000 I 40.0000 ! 57.0000 ! 57.0000 I 57.0000 i 54. 5000 | 47.0000 : 47.0000 ! 47.0000 I 47.0000 ! 47.0000 47. 0000 47. 0000 47.0000 Rela- Average tive price per price. pound. 100 100 100 117 133 190 190 190 182 157 157 157 157 157 157 157 157 $0. 6500 6300 8500 2000 9000 1500 7500 7000 5000 5000 5000 6000 6000 6242 . 7500 7500 Relative price. 84 81 119 154 245 277 225 219 193 193 193 206 206 209 225 225 JANUARY, 1 9 2 0 . 71 FEDERAL RESERVE BULLETIN. Average monthly wholesale prices of commodities—Continued. [Average price for 1913=100.] Beef, carcass, good native steers, Chicago. Coffee, Rio No. 7. Year and month. Average price per pound. July, 1914 November, 1914 November, 1915.. November, 1916 November 1917 . November, 1918 January 1919 February, 1919 March, 1919 . . April, 1919 May, 1919 June, 1919 July, 1919 August. 1919 September, 1919 October 1919 . November, 1919 . . ,.. $0.1350 .1438 .1375 .1375 .1900 .2450 .2450 .2450 .2450 .2450 .2430 .2025 .2075 .2350 .2275 .2290 .2350 Rela- Average tive price per price. pound. 104 111 106 106 147 189 189 189 189 189 188 156 160 181 176 177 181 $0.0882 .0638 .0750 .0950 .0794 .1069 .1547 .1544 .1602 .1695 .1931 .2114 .2303 .2150 .1663 . 1650 .1697 Flour, wheat, standard patents, Hams, smoked, 1914-1917,1919; Chicago. standard war, 1918, Minneapolis. Rela- Average tive price per price. barrel. 79 57 67 85 71 96 139 139 144 152 173 190 207 193 149 148 152 $4.5938 5.8813 5.5000 9.8250 10.2250 10.2100 10.2750 10.5500 11.2125 12.2150 12.4188 12.0125 12.1550 12.0063 11.6200 12.0313 12.9500 Rela- Average tive price per price. pound. 100 128 120 214 223 223 224 230 245 266 271 262 265 262 254 262 283 $0.1769 .1663 .1625 .2031 .2900 .3541 .3494 . 3338 .3381 . 3595 .3769 .3 Q 06 . 3835 .3838 .3480 .2900 . 2859 Illuminating oil, 150° fire test, New York. Rela- Average tive price per price. gallon. 106 100 98 122 174 213 210 201 203 216 227 229 230 231 209 174 172 $0.1200 .1200 .1200 .1200 .1300 .1750 .1750 .1750 .1810 .1850 .1850 .2000 .2050 .2180 .2200 .2200 .2200 Sugar, granulated, New York. Rela- Average tive price per price. pound. 97 97 97 97 105 142 142 142 147 150 150 162 166 177 178 178 178 $0.0420 .0493 .0568 .0735 .0818 .0882 .0882 .0882 .0882 .0882 .0882 .0882 .0882 .0882 .0882 .0882 .0882 Relative price. 98 115 133 172 192 207 207 207 207 207 207 207 207 207 207 207 207 DISCOUNT AND INTEREST RATES. In the following tables are presented actual discount and interest rates prevailing in the various cities in which the several Federal Reserve Banks and their branches are located during the periods ending November 15 and December 15, 1919. Quotations are given for prime commercial paper, both customers' and purchased in the open market, interbank loans, bankers' acceptances, and paper secured by prime stock exchange or other current collateral. Separate rates are quoted for paper of longer or shorter maturities in the first-named and last-named classes. In addition, quotations are given for commodity paper secured by warehouse receipts and for cattle loans, as reported from centers in which such paper is current. Quotations are also given of rates charged on ordinary loans to customers secured by Liberty bonds and certificates of indebtedness, as well as quotations in New York for demand paper secured by prime bankers' acceptances. Quotations for new types of paper will be added from time to time as deemed of interest. A pronounced upward movement in interest rates is noted in the majority of centers during the period under review, although in districts Nos. 6 and 11 rates show little or no such change. The increase is most pronounced in the case of commercial paper purchased in the open market, and is noted to a lesser extent also in the case of bankers' acceptances. While remarked in the changes in high, low, and customary rates for these classes of paper, in the case of customers' commercial paper it is found largely only in the changes in customary rates, and in the case of interbank loans, collateral loans, commodity paper, and paper secured by Liberty bonds and certificates of indebtedness largely in the change in the low rates. Comparison with rates prevailing for the period ending December 15, 1918, reveals a continuance of the decrease in rates remarked in the December BULLETIN for commercial paper purchased in the open market and for low rates for customers' commercial paper, as well as increase in rates for bankers' acceptances and for paper secured by Liberty bonds and certificates of indebtedness. Discount and interest rates prevailing in various centers. DURING 30-DAY PERIOD ENDING NOV. 15, 1919. District. Bankers' acceptances, 60 to 90 days. City Collateral loans—stock exchange or other current. Demand. No.l. No. 2. No. 3. No. 4. No. 5. No. 6. No. 7. No. 8. No. 9.. No. 10. No. 11. No. 12. Boston New York i . . . Buffalo Philadelphia.. Cleveland Pittsburgh.... Cincinnati . Richmond Baltimore.. Atlanta.... Birmingham.. Jacksonville... New Orleans.. Chicago Detroit St. Louis Louisville Memphis Little Rock... Minneapolis... Kansas City... Omaha Denver Dallas El Paso.... Houston San Francisco. Portland Seattle Spokane Salt Lake City. 7 8 8 8 5 . 6 6 5 6 5J 7 6 7 Cattle loans. 3 months. H. L. C. 6 6 6 6 5 6 6 5 6 6 5*6 6 6 6 6 5* 6 6 6 6 6 6 6 6 5 6 8 5 6 8 6 6 7 6 7 7 5 6^6* 6 5i 6 5 6 6 5J 6 6 5 6 6 5 6 7 6 7 7 6 6 8 5 6 7 5i 6 8 5 6 6 6 6 8 6 8 8 6 7 6 5 6 7 6 6 8 5 6 8 6 7 8 6 7 L. a 6 6 5 5J-6 5 6 5i 6 6 6 5§6 6 6 6 6 5 6 5 6 6 6 6 7 5 6-6i 5 6 5* 6 5 6 5 6 6 6J 6 6 5 6 5h 6 5 6 6 6 6 8 6 7 5 6 6 6 5 6 6 7 6 7 H. L. C. Secured by Secured by Liberty warehouse bonds and receipts, certificates of indebtetc. edness. H. L. C. 6 6 6 6 6 6 6 6 5£6 6 6 7 8 7 8 5J 6 5 6 6 6 Sh 6-7 6 5£ 6 6 5 6 6 5J 6 8 7 8 10 8 6 6 6 6 8 6-7 6 6 8 8 4} 6 4f 5* 8 6 8 *8**6*"7* CD f Rates for demand paper secured by prime bankers' acceptances, high 6, low 4J. to o DURING 30-DAY PERIOD ENDING DEC. 15, 1919. Bankers' acceptances 60 to 90 days. District. City. No. 1... No. 2 . . . No. 3.... No. 4 Boston New York*... Buffalo Philadelphia.. Cleveland, i... Pittsburgh Cincinnati Richmond Baltimore Atlanta Birmingham.. Jacksonville... New Orleans.. Nashville Chicago Detroit St. Louis Louisville Memphis Little Rock... Minneapolis... Kansas City... Omaha Denver Dallas El Paso Houston San Francisco. Portland Seattle Spokane Salt Lake City. No. 5.... No. 6.... No. 7.... No. 8 No. 9.... No. 10... No. 11... No. 12... Collateral loans—stock exchange or other current. Secured by Secured by Liberty warehouse bonds and receipts, certificates of indebtetc. edness. i Rates for demand paper secured by prime bankers' acceptances, high, 6, low 4|. CO 74 JANUARY, 1920. FEDERAL RESERVE BULLETIN. PHYSICAL VOLUME OF TRADE. In continuation of tables in the December there are presented in the following tables certain data relative to the physical volume of trade. The FEDERAL RESERVE BULLETIN [ January, 1919, issue contains a description of the methods employed in the compilation of the data and the construction of the accomI panying index numbers. Additional material \ will be presented from time to time as reliable i figures are obtained. Live-stock movements. [Bureau of Markets.] Receipts. Cattle and calves, 60 markets. Hogs, 60 markets. Sheep, 60 markets. Shipments. Horses and i Cattle and calves, 54 markets. n Hogs, 54 markets. Sheep, 54 markets. Horses and mules, 44 markets. Total, all kinds. 1918. November.. - Head. 2,627,695 Head. 4,615,328 Head. 2,539,315 Head. 135,345 Head. 9,917,683 Head. 1,235,065 Head. 1,227,180 Head. 1,450,723 Head. 135,791 Head. 4,048,759 1919. January February March April May June July August September... October November... 2,111,704 1,440,329 1,501,597 1,751,943 1,822,410 1,580,256 2,007,266 2,019,139 2,377,054 2,989,090 2,680,042 5,861,685 4,404,751 3,632,874 3,668,210 3,862,785 3,812,466 2,998,836 2,103,609 2,401,677 3,144,831 3,775,589 1,567,613 1,131,805 1,216,988 1,388,732 1,425,018 1,685,236 2,177,942 3,211,331 3,810,441 3,605,198 2,751,421 110,411 82,526 68,938 50,770 33,977 40,067 48,691 81,917 140,848 124,497 140,192 9,651,413 7,059,411 6,420,397 6,859,655 7,144,190 7,118,025 7,232,735 7,415,996 8,730,020 9,863,616 9,347,244 761,168 528,326 563,893 698,599 788,086 709,637 706,843 894,816 1,150,183 1,532,297 1,374,462 1,546,875 1,288,134 1,272,654 1,107,411 1,181,745 1,373,824 963,662 690,821 860,614 1,103,837 1,308,095 608,016 418,827 481,907 575,136 614,275 828,046 997,338 2,014,267 2,466,937 2,159,531 1,597,007 106,459 76,512 64,332 49,634 34,658 36,889 43,738 74,268 135,724 125,701 134,679 3,022,518 2,811,799 2,382,786 2,430,780 2,618,764 2,948,396 2,711,581 3,674,172 4,613,458 4,921,366 4,414,233 Receipts and shipments of live stock at 15 western markets. [Chicago, Kansas City, Oklahoma City, Omaha, St. Louis, St. Joseph. St. Paul. Sioux City, Cincinnati, Cleveland, Denver, Fort Worth, Indianapolis, Louisville, Wichita.) RECEIPTS. [Monthly average, 1911-1913=-100.J Cattle and calves. Head. November January. February. March./. ' " April. May.. June.. July. August ~ • ' September. October November 1918. 1919. | Relative. 2,053,359 ,656,046 ,096,118 j 1,094,614 1- 2255,379 ,262,065 :,122,782 ,527,881 1,5 |! 1,541,133 :,871,042 1,8 t,317,487 I 2,3 [,046,664 i 2,0 164 116 109 125 125 111 152 153 186 230 Hogs. Head. Horses and mules. Sheep. Relative. Head. Relative. Head. Relative. Total, all kinds. Head. Relative. 3,431,782 156 1,677,537 123 64,482 140 7,227,160 156 4,603,335 3,451,894 2,842,663 2,823,484 3,049,223 3,061,838 2,411,539 1,595,759 1,704,944 2,160,079 2,715,955 209 168 129 128 139 139 110 73 78 98 124 1,079,377 774,881 847,842 970,070 934,613 1,116,003 1,558,767 2,220,229 2,890,831 2,405,511 1,743,189 79 61 62 71 68 82 114 162 212 128 56,631 48,786 41,805 31,509 21,345 28,418 37,866 57,206 88,283 79,240 84,018 123 114 91 68 46 62 82 124 192 172 183 7,395,419 5,371,679 4,826,924 5,080,442 5,267,246 5,329,041 5,536,053 5,414,327 6,555,100 6,962,317 6,689,826 160 125 105 110 114 115 120 117 142 151 143 176 SHIPMENTS. November January February March April May June July August September October November 1918. I 1 1919. I | ! [ ' ! I i | 921,831 227 669,432 136 903,283 179 63,589 155 2,648,135 177 589,362 404,296 423,819 506,835 530,153 503,354 515,071 650,252 872,043 1,154,995 993,148 145 107 104 125 130 124 127 160 214 284 244 988,035 881,507 925,802 748,437 787,009 1,005,505 691,283 455,705 501,856 654,755 788,107 204 195 191 164 162 208 143 94 104 135 163 357,386 240,815 289,742 319,625 290,803 465,776 694,942 1,352,252 1,849,958 1,382,419 945,992 71 51 58 63 58 93 138 269 367 275 188 56,282 47,829 41,837 29,974 18,866 25,322 32,836 49,996 83,264 80,828 78,889 137 125 102 73 46 62 80 122 203 197 192 1,991,065 1,674,447 1,681,200 1,604,871 1,626,830 1,999,957 1,934,132 2,508,205 3,307,121 3,272,997 2,806,136 139 118 117 112 113 139 135 175 230 228 195 JANUARY, 1920. FEDERAL RESERVE BULLETIN. Exports of certain meat products. [Department of Commerce.] [Monthly average, 1911-1913= 100.] Beef, canned. Beef, pickled and other cured. Beef, fresh. Relative. Pounds. Relative. Pounds. Relative. Pounds. 1918. November.. 13,313,420 2,009 62,835,161 5,065 4,291,030 161 72,861,969 1919. 12,636,060 January February... 8,151,723 8,997,973 March 2,896,759 April 5,669,232 May 6,574,766 June 5,392,104 July 2,894,361 August September . 1,213,709 1,793,784 October November.. 1,393,238 1,907 17,436,495 1,318 13,729,993 1,358 14,651,276 437 21,639,915 856 14,872,987 992 15,212,094 814 8,680,524 437 8,075,366 183 7,285,951 271 31,178,216 210 15,694,002 1,406 6,030,937 1,186 3,635,120 1,181 3,749,394 1,744 2,673,681 1,199 2,957,163 1,226 4,768,308 700 3,320,564 651 2,494,113 587 3,523,887 2,513 3,402,422 1,265 2,997,652 226 146 140 100 111 178 124 93 132 127 112 Pounds. Hams and shoulders, cured. Bacon. Relative. 435 Pounds. Lard. Relative. 20,127,671 101,000,122 603 54,846,433 114,842,525 735 49,283,053 151,086,397 902 85,712,426 141,814,255 847 109,569,968 68,957,465 412 49,707,874 172,441,100 1,030 96,854,552 117,679,193 703 47,452,834 84,150,778 502 40,147,727 57,179,511 341 18,209,239 56,462,312 337 13,090,972 65,288,694 390 16,844,285 Pounds. Pickled pork. Relative. 135 27,285,088 367 354 574 734 333 649 318 269 122 88 113 37,850,338 68,972,779 97,239,435 86,555,951 55,807,234 114,328,804 68,163,734 48,968,628 36,960,364 41,016,518 42,106,339 Pounds. Relative. 62 2 ; 783,873 63 86 168 221 197 127 260 155 111 84 93 96 2,273,683 1,956,362 2,141,508 2,494,454 2,095,072 3,131,639 2,392,515 2,117,796 2,792,439 3,804,290 4,934,696 51 47 48 56 47 71 54 48 63 86 101 Receipts of grain and flour at 17 interior centers. [Chicago, Cleveland, Detroit, Duluth, Indianapolis,"Kansas City, Little Rock, Louisville, Memphis, Milwaukee,Minneapolis, Omaha, Peoria, St. Louis, Spokane, Toledo, Wichita; receipts of flour not available for Cleveland, Detroit, Indianapolis, Louisville, Omaha, Spokane, Toledo, and Wichita.] [Compiled from reports of trade organizations at these cities.] [Monthly average, 1911-1913-100.] Wrheat. Corn. Oats. Rye. Barley. Total gram. | RelaRela- Bushels. Rela- Bushels. Rela- Bushels. Bushels. Relative. tive. tive. Bushels. ! tive. Bushels. 1918. November 40,199,988 1919. January.. February. March April. May.. June.. July.. August Sept'ber October.. Nov'ber.. 14915,869,505 Total grain and flour.i Flour. RelaRelative. Barrels. tive. Bushels. Relative. 7128,768,648 142 6,340,380 573 9,193,786 128100,372,307 129 2,485,352 127111,556,391 129 12822,945,659 5,961,423 7,076,822 82 20,063,678 .9,206,465 54,576,968 55,233,109 !9,774,582 !6,721,030 !4,323,974 114 5,1,615,054 1,406,029 85 2; 1,955,130 85 4, 5,498,493 99 5; 95 4,1,280,911 122 2,5,791,618 i, 105,486 125 3, 1473;}, 824,263 5,446,371 132 5! 1,472,397 120 4: 812'*, 579,579 507 8,943,782 233 6,556,594 44811,723,691 9,634,405 8,416,141 25212,878,517 281 8,627,091 345 6,638,871 492 5,294,256 404 4,369,326 233 3,582,873 125 90,888,523 52,007,953 163 60,955,936 134 64,706,602 117 53,830,374 18Q 69,470,283 120 99,127,020 93129,455,557 74 123,682,097 96,661,968 74,198,346 1171,396,888! 721!.,032,368 781.,485,320 831,990,349 69 2;5,447,200 891::, 894,599 1271L, 572,420 166 2;'-,283,145 159 3:1,275,034 124 31,468,787 953;1,541,957 71 97,174,519 56 56,653,609 76 67,639,876 102 73,663,173 125 64,842,774 97 77,995,979 80106,202,910 117131,738,702 167138,419,750 177112,271,510 181 90,137,153 112 70 78 85 75 90 122 152 160 129 104 i 24,652,641 14,049,055 13,768,496 11,208,305 11,625,657 8,125,034 49,612,115 80,714,559 69,953,295 51,006,164 "", 729,832 9128,731,387 5613,034,852 6113,431,797 4218,301,721 4310,301,200 30 21,098,146 18412,549,219 299 8,503,282 26016,267,145 18912,490,107 13314,606,137 1 Flour reduced to its equivalent in wheat on basis of 4-| bushels to barrel. Shipments of grain and flour at 14 interior centers. Chicago, Cleveland, Detroit, Duluth, Kansas City, Little Rock, Louisville, Milwaukee, Minneapolis, Omaha, Peoria, St. Louis, Toledo, Wichita shipments of flour not available for Cleveland, Detroit, Louisville, Omaha, Toledo, and Wichita.] Wheat. Corn. Oats. Rye. Barley. Total grain. RelaRelaRelaRelaBushels. Relative. Bushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. 1918. November 42,083,808 27310,583,718 75 26,564,983 1919. January. February. March April. May.. June.. July.. August Sept'ber. October. Nov'ber. 6413;1,488,569 8,649,063 7,544,393 19915,708,842 207 7,784,931 53 8,629,052 81 8,102,275 240 5,135,459 245 6,622,779 167 7,116,502 135 6,609,629 9519,769,237 6513,603,691 5316,183,222 11116,019,086 5517,069,617 6115,638,317 5715,628,503 "317,919,623 3617: T16,651,580 ) 16,705,015 5016; 4715,582,081 9,934,531 8,876,844 14,857,872 30,764,328 31,901,327 8,151,872 12,423,422 36,986,491 37,730,048 25,813,130 20,877,718 1 175 4,770,708 674 4,165,066 112 4,718,631 130 794,028 96 404,365 61 6,006,178 107 31,720,930 526 6,049,703 105 8,143,580 1,150 6,632,763 112 7,525,794 1,063 6,677,508 103 2,740,593 2; 387 9,588,195 1031,546,100 218 9,133,000 1181,436,377 203 5,028,674 110 2,317,740 327 2,943,167 1101,426,528 202 3,087,951 103 3,110,541 439 2,827,956 Bushels. »2f Total grain and flour.i Flour. Bushels. Barrels. Relative. Ketative. 107 88,168,283 1784,597,360 136108,856,403 168 121 165 155 170 171 246 234 129 75 79 73 99 2,796,463 811,932,258 983,039,020 1563,532,772 144 4,320,146 913,130,826 95 2,589,176 135 3,805,273 134 4,787,300 110 5,975,261 995,604,616 83 61 90 104 128 92 76 112 141 176 165 61,289,080 46,235,302 62,031,710 93,166,073 90,399,834 58,836,746 58,484,596 83,630,353 87,808,164 81,037,801 74,328,697 95 77 96 144 140 91 90 129 136 125 115 48,704,996 37,540,141 48,356,120 77,268,599 70,959,177 44,748,029 46,833,304 66,506,624 66,265,314 54,149,126 49,007,925 Flour reduced to its equivalent in wheat on basis of 4J bushels to barrel. 76 JANUARY, 1920. FEDERAL. RESERVE BULLETIN. Receipts of grain and flour at nine seaboard centers. [Boston, New York, Philadelphia, Baltimore, New Orleans, San Francisco. Portland (Oreg.), Seattle, Tacoma; receipts of flour not available for Seattle and Tacoma.] [Compiled from reports of trade organizations at these cities.] [Monthly average, 1911-1913=100.] Wheat. Corn. Total grain. Barley. Rye. Oats. Rela- Barrels. Rela1a" tive. tive. Bushels. 5tive. RelaRelaRelaRelaRelaBushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. Bushels. tive. Bushels. 1918. I November 9,854,356 1919. January.. February. March April. May.. June.. July.. August. Sept'ber October.. Nov'ber.. 9,768,801 7,805,811 13,789,851 12,581,074 14,157,852 10,260,075 5,806,227 26,902,757 28,010,858 14,755,827 9,152,534 78 786,141 22 5,253,154 1111,332,239 938 653,880 78 66 109 100 112 81 46 214 222 117 73 1,411,; 783,263 636,127 1,089,425 1,588,571 1,051,177 901,842 815,132 512,072 507,065 438,147 9,275,187 4,713,794 3,254,914 4,604,521 5,642,176 :0,249,644 3010, 25 6,959,186 23 5,676,984 14 5,345,464 14 4,335,038 12 3,998,525 195 566,191 106 2,1,299,664 693;,880,424 97 5,1,069,529 119 7,',061,048 216 3!, 670,055 1461!,479,951 119 64,510 113 535,701 911,718,701 841,391,024 398 1,734 2,731 3,568 4,970 2,583 1,042 45 377 1,210 98 1,738,326 995,454 2,285,954 1,853,372 3,561,412 6,564,620 9,723,852 4,993,395 2,171,521 796,839 851,651 39 17,879,770 791,656,205 22,759,871 16, 23,847,270 25, 197,921 32 011,059 31, 795,571 24 871,058 38 452,778 36,575,616 22 113,470 15,831,881 100 2,026,246 781,302,061 1051,644,676 1112,549,370 1412,535,547 140 2,340,158 1101,514,135 1691,385,762 1612,306,213 972,521,329 701,552,796 105 64 138 112 215 396 586 301 131 48 51 Total grain and flour.i Flour. 159 25,332,693 194 134 157 244 243 224 145 133 221 241 149 31,877,978 22,457,261 31,248,312 36,670,086 43,421,021 42,326,282 31,684,666 44,688,707 46,953,575 33,459,451 22,819,463 92 116 88 114 134 158 154 116 163 171 122 83 i Flour reduced to its equivalent in wheat on basis of 4£ bushels to barrel. Stocks of grain at eight seaboard centers at close of month. [Boston, New York, Philadelphia, Baltimore, New Orleans, Newport News, Galveston, San Francisco.] [Compiled from reports of trade organizations at these cities.] [Bushels.] 1918. November 1919. January February March. April May June July . . ... October. November Wheat. Corn. Oats. 13,904,426 252,225 3,548,473 2,385,828 2,845,916 22,936,868 15,365,491 12,635,613 12,732,472 7,448,992 7,913,162 4,180,160 5,557,644 17,396,269 21,171,440 25,322,242 18,728,730 645,317 417,520 346,543 464,503 448,020 214,079 265,196 155,491 172,254 82,240 155,490 5,495,937 6,110,159 5,650,120 5,335,971 4,047,059 5,475,856 3,760,063 2,216,989 1,901,510 1,898,271 2,504,833 1,972,696 1,735,876 1,920,348 3,434,873 1,690,860 514,252 867,491 578,250 516,142 483,270 1,264,494 3,047, 3,930, 4,403, 5,420, 4,263, 6,783, 26,526,787 24,829,633 25,053,148 22,104,352 18,362,611 17,168,145 15,978,570 25,761,182 27,823,176 30,865,383 25,004,559 Barley. Rye. 5,414, 4,061, 3,079, 2,351, Total grain. NOTE.—Figures for San Francisco include also stocks at Port Costa and Stockton. Cotton. [New Orleans Cotton Exchange.] [Crop years 1911-1913=100.] Sight receipts. Bales. 1918-19. August September October November December January February March April May Season, total 1919-20. August September October November Overland movement. Port receipts. Relative. Relative. 401,860 988,156 1,632,921 1,710,666 1,709,734 1,392,468 768,444 601,858 494,106 536,139 32 79 130 136 136 111 61 48 39 43 226,242 536,190 779,371 641,283 690,782 705,493 477,696 460,066 462,363 502,082 11,724,104 78 6,735,898 Bales. 50,482 42,028 158,768 217,450 157,038 157,270 106,368 75,489 79,700 99,041 61 • 313,301 584,776 1,779,927 2,329,079 25 47 142 186 238,271 260,698 1,029,331 1,178,443 26 28 112 128 1,528,262 == 49,630 26,138 110,202 205,139 Relative. 48 40 151 207 149 149 101 72 76 94 at ports and American spinners' Stocks interior towns at takings. close of month. Bales. Relative. Relative. 372,394 352,025 697,623 1,007,892 929,491 705,353 383,157 202,556 149,566 193,016 77 154 222 205 155 84 45 33 42 1,306,868 1,644,690 2,189,007 2,745,815 2,697,141 2,637,908 2,689,379 2,604,549 2,484,852 2,417,631 Ill 140 186 233 229 224 228 221 211 205 5,850,715 107 1,928,959 164 67 66 137 245 1,412,048 1,501,805 2,340,881 2,616,383 120 127 199 222 - • • 302,238 300,001 621,784 1,115,226 JANUARY, 1920. 77 FEDERAL, RESERVE BULLETIN. California shipments of citrus and deciduous fruits. Oranges. Carloads. Lemons. Relative. Carloads. Total citrus fruits. Relative. Carloads.- Total deciduous fruits. Relative. Carloads. 1918. November m January February March April May June July August September October November 1,125 46 676 167 1,801 63 1,044 3,120 3,180 5,113 5,450 5,888 3,648 2,568 1,785 1,840 2,706 3,257 128 139 209 223 241 149 105 73 75 111 133 531 658 897 1,038 1,501 1,520 1,038 436 414 572 442 131 174 221 256 371 375 256 108 102 141 109 3,651 3,838 6,010 6,488 7,389 5,168 3,606 2,221 2,254 3,278 3,699 128 144 211 228 259 181 127 78 79 115 130 109 198 67 36 276 896 4,199 6,601 6,781 5,529 2,141 i9i9. Sugar. [Data of International Sugar Committee for ports of Boston, New York, Philadelphia, Savannah, New Orleans, Galveston, San Francisco.] [Tons of 2,240 pounds.] Receipts. November P January February March April Raw stocks at close of month. Meltings. 1918. 138,141 172,528 50,989 243,806 389,815 355,710 450,938 197,145 337,420 361,010 387,548 66,189 122,757 106,889 185,315 1919. Receipts. May June July August September October November Meltings. Raw stocks at close of month. 1919. 471,205 429,617 394,557 333,686 352,345 279,962 183,084 446,685 493,293 435,247 356,048 295,278 202,525 203,267 201,301 151,692 115,341 85,650 55,644 39,193 48,376 [Data for ports of New York, Boston, Philadelphia.] [Weekly Statistical Sugar Trade Journal.] [Tons of 2,240 pounds. Monthly average 1911-1913=100.] Tons. Raw stocks at close of month. Meltings. Receipts. Relative. Tons. Relative. Tons. Relative. 1918. November 139,343 76 139,000 76 43,112 25 H 1919. January February March April 172,054 283,172 232,471 318,492 93 165 126 173 147,000 229,000 261,000 277,000 80 134 142 151 36,544 90,716 62,187 107,582 21 53 36 62 Receipts. Tons. Raw stocks at close of month. Meltings. Relative. Tons. Relative. Tons. Relative. 1919. Mav June July August September October November 325,736 271,875 264,782 246,419 262,137 233,650 154,674 177 148 144 134 142 127 84 307,000 313,000 292,000 229,000 292,000 216,000 177,000 167 171 159 125 159 118 96 126,318 85,193 57,975 75,394 45,531 63,181 40,855 73 49 34 44 26 37 24 78 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Naval stores. (Data for Savannah, Jacksonville, and Pensacola.) [In barrels.] [Compiled from reports of trade organizations at these cities.] Spirits of turpentine. Spirits of turpentine. Rosin. Stocks at Stocks at Receipts. close of Receipts. close of month. month. Receipts. Rosin. Stocks at Stocks at close of Receipts. close of month. month. 1919. 1918. November 1919. January February March April 13,003 124,471 55,508 255,037 7,645 5,583 4,226 8,379 125,541 121,676 97,450 75,546 34,835 22,154 14,338 19,493 285,808 259,974 243,813 225,657 May June July 26,358 31,904 27,747 21.013 21,574 19,367 18,757 September October November 47,115 33,733 30,656 24,756 27,021 27,389 28,741 50,435 63,456 77,062 74,402 72,616 77,125 229,404 221,612 235,707 203,812 190,580 186,231 204,281 Lumber. [From reports of manufacturers' associations.] [M feet.] Southern pine. Douglas fir. Western pine. Eastern white pine. North Carolina pine. Num- Produc- Ship- Num- ProducNumShip- NumShip- NumShip- ber Shipber of Producof ber of Producof Produc- ments. of ments. mills. ments. ber ments. ber tion. ments. mills. tion. mills. tion. mills. tion. mills. tion. 1918. November 1919. January February March April May June July ... November.." — 194 312,126 353,810 38,46 90,078 74,103 21,49 24,48 27,48 43,49 45,48 49 48 48 51 52 51 40,354 46,037 71,426 124,341 140,037 156,561 148,533 152,748 154,102 156,828 110,525 68,910 71,103 81,328 97,679 127,730 139,923 140,680 140,236 138,537 143,252 117,472 200 195 198 203 205 204 206 204 202 201 202 330,137 325,241 309,494 378,752 361,125 397,005 397,677 414,899 460,238 360,084 426,193 401,939 466,786 417,036 423,002 416,640 372,727 421,025 356,124 391,347 344,717 121 261,189 240,986 122 122 120 114 111 115 114 118 126 124 126 225,688 228,031 254,650 264,623 345,984 300,410 268,634 416,422 332,905 419,108 324,511 227,129 238,035 255,544 327,364 301,050 397,290 261,797 339,321 241,301 16 23,529 23,828 7,565 6,802 7,118 11,431 24,548 29,741 27,382 20,247 16,913 12,888 2,786 15,172 17,081 17,525 14,020 17,136 26,525 22,470 26,839 22,574 18,139 21,596 42 32,596 36,012 28,629 25,806 32,110 23,896 18,034 22,672 21,877 17,393 28,865 34,191 30,159 35,468 22,079 14,375 20,733 22,326 27,177 33,146 24,055 R E C E I P T S AND SHIPMENTS OF LUMBER AT CHICAGO. [Chicago Board of Trade.] [Monthly average, 1911-1913=100.] Mfeet. 1918. November 142,230 Relative. Mfeet. 134,604 97,511 124,040 144,253 Relative. Mfeet. Relative. Shipments. Mfeet. Relative. 1919. 67 72,723 1919. January February March April Receipts. Shipments. Receipts. 47,922 45,585 46,902 59,055 May June July August September October November 162,365 184,862 200,148 170,385 205,909 208,638 176,972 66,001 80,762 90,134 87,953 93,120 95,674 70,175 105 118 115 121 125 92 JANUARY, 1920. 79 FEDERAL. BESERVE BULLETIN. Coal and coke. [Bituminous coal and coke, U. S. Geological Survey; Anthracite coal, Anthracite Bureau of Information.] [Monthly average, 1911-1913=100.] Coke, estimated monthly production. Bituminous coal, es- Anthracite coal, shipt i m a t e d m o n t h l y ments over 9 roads. production. Short tons. November. 1918. 1919. January February. March April Mav June.... July August September October November By-product. Beehive. Total. Relative. Long tons. Relative. Short tons. Relative. Short tons. Relative. 2,523,746 43,895,000 118 5,276,659 94 2,339,197 89 41,485,000 31,566,000 33,719,000 32,164,000 37,547,000 37,055,000 42,754,000 42,880,000 47,403,000 54,579,000 20,303,000 112 91 91 87 101 100 115 116 128 147 55 5,934,241 3,871,932 3,938,908 5,224,715 5,711,915 5,619,591 6,052,334 6,144,144 5,687,401 6,560,150 5,971,671 105 74 70 93 101 100 108 109 101 117 106 2,401,567 1,822,894 1,768,449 1,316,960 1,135,840 1,170,752 1,512,178 1,733,971 1,790,466 1,551,980 1,680,775 92 75 | 6,779,482 68 50 43 45 58 66 68 59 64 Short tons. Relative. 287 4,862,943 139 257 12,772,392 122 Movement of crude petroleum in United States. [U. S. Geological Survey.) [Barrels of 42 gallons each.] Marketed. Barrels. November. January February March April 1918. Marketed. Stocks at end of month (barrels). Relative 29,914,000 156 131,295,000 30,196,000 26,910,000 30,234,000 29,386,000 158 150 158 153 127,777,000 126,982,000 129,213,000 130,729,000 1919. Barrels. May June July August September October November 1919. 29,985,000 31,644,000 33,894,000 33,862,000 33,667,000 33,319,000 32,114,000 Relative. Stocks at end of month (barrels). 156 165 177 177 176 174 168 130,321,000 133,995,000 140,093,000 136,467,000 137,131,000 135,461,000 131,601,000 Total output of oil refineries in United States. [Bureau of Mines.] Crude oil run (barrels). October January February March April May June July August September October 1918. Gasoline (gallons). Kerosene (gallons). 29,237,767 314,251,318 164,928,640 661,780,441 72,244,633 26,967,332 25,232,876 27,866,775 27,775,217 30,267,227 28,920,764 31,202,522 32,362,057 32,601,044 33,682,968 303, U O , 556 283,518,194 311,306,755 319,807,838 354,472,377 338,336,985 342,491,757 326,846,167 339,582,564 363,456,747 158,501,260 164,181,787 170,290,930 183,453,728 190,345,026 178,974,224 205,727,289 219,502,888 199,244,293 227,104,346 589,630,056 553,853,753 574,774,156 588,808,408 652,166,738 632,205,805 638,185,469 685,702,461 683,409,674 680,158,446 68,304, 62,503,072 67,063,995 70,954,128 76,442,252 64,636,153 67,037,414 72,920,214 70.236,692 78,658,410 Gas and fuel Lubricating (gallons). (gallons). 1919. STOCKS AT CLOSE OF MONTH. 1918. Oct. 31 Jan. 31 Feb. 28 Mar. 31 Apr. 30 May 30 June 30 July 31 Aug. 31 Sept. 30 Oct. 31 1919. 15,438,576 250,328,329 419,409,944 596,116,351 135,196,542 15,380,185 14,820,601 15,106,361 15,184,844 16,372,314 16,775,723 15,304,915 15,131,549 13,925,441 14,091,945 383,212,692 458,449,187 546,062,429 593,616,170 594,035,688 593,896,610 514,919,358 434,531,446 371,125,419 354,160,071 332,393,181 303,062,436 294,677,623 276,356,837 244,635,631 252,542,434 279,855,061 296,065,646 311,843,057 329,160,795 646,411,414 692,816,000 749,067,806 807,895,498 788,740,572 811,790,637 817,809,519 830,329,785 862,135,385 828,574,452 158,370,431 152,297,163 165,495,254 170,122,088 173,754,109 175,384,775 173,884,303 170,572,81ft 158,967,070 152,536,736 80 JANUARY, 1920. FEDEBAL KESERVE BULLETIN. Iron and steel. [Great Lakes iron ore movements, Marine Review; pig-iron production, Iron Age; steel-ingot production, American Iron and Steel Institute.] [Monthly average, 1911-1913-100; iron ore, monthly average, May-November, 1911-1913—100.) Iron ore shipments from the upper Lakes. Pig iron production. Unfilled orders U. S. Steel Corporation at close of month. Steel ingot production. Gross tons. Relative. Gross tons. Relative. Gross tons. Relative. Gross tons. Relative. 1918. November.. 72 3,354,074 145 3,060,760 128 8,124,663 154 109 132 151 73 135 102 52 3,302,260 2,940,168 3,090,243 2,478,218 2,108,056 2,114,863 2,428,541 2,743,388 2,487,965 1,863,558 2,392,350 143 136 133 107 91 91 105 118 107 80 103 3,082,427 2,688,011 2,662,265 2,239,711 1,929,024 2,219,219 2,508,176 2,746,081 130 120 110 93 80 92 104 114 6,684,268 6,010,787 5,430,572 4,800,685 4,282,310 4,892,855 5,578,661 6,109,103 6,284,638 6,472,668 7,128,330 127 114 103 91 81 93 106 116 119 123 135 1919. January February... March April May June July August September.. October November.. 1,412,239 6,615,341 7,980,839 9,173,429 4,423,133 8,178,483 6,201,883 3,152,319 Imports of pig tin. [Department of Commerce.] [Monthly average, 1911-1913-100.] Pounds. 1918. Januarv February March April 1919. Relative. 10,734,179 118 8,461,444 6 271 977 8 284 970 504,903 93 74 91 6 Pound?.. 1919. 449,270 112,000 113,120 9,872,459 11 087 403 16,210,512 15,233,671 May June July August September October November. Relative. 5 1 1 109 122 178 168 Raw stocks of hides and shins. [Bureau of Markets.] [In pieces.} Jan. 31 Feb. 28 Mar.31 Apr. 30 May 31 June 30 July 31 Aug. 31 Sept. 30 Oct. 31 Nov.30 1919. NOTE.—Figures for Nov. 30 are provisional. Cattle hides. Calfskins. Kipskins. 5,922,514 5,791,095 5,108,516 5,256,384 4,549,004 4,696,332 4,966,081 5,498,844 6,15S,289 6,436,765 6,719,202 1,294,949 1,266,021 1,219,935 1,845,254 2,273,368 2,285,015 2,389,368 2,145,320 2,055,084 2,007,208 1,806,367 515,523 4,239,381 429,704 5,683,585 415,882 7,987,277 421,474 12,080,410 386,244 15,121,868 558,033 16,991,195 554,516 15,589,944 585,269 18,263,446 947,546 13,930,167 1,097,039 15,302,942 1,086,211 14,248,129 Goat. Kid. Cabretta. 245,815 227,513 181,952 724,209 1,246,075 2,521,016 1,964,828 880,276 823,740 2,239,604 331,389 601,686 843,344 559,576 1,520,522 2,044,524 1,697,754 2,767,694 2,348,769 2,655,774 2,574,499 2,677,336 Sheep and lamb. 6,844,680 9,033,943 8,264,864 9,095,816 8 039,531 8,118,702 6,815,160 7,126,885 8,661,215 10,122,930 9,336,964 JANUARY, 81 FEDERAL RESERVE BULLETIN. 1920. Textiles. [Silk, Department of Commerce; cotton, Bureau of the Census; wool, Bureau of Markets; idle machinery, January-September, 1918, inclusive, National Association of Wool Manufacturers.) [Cotton, monthly average crop years 1912-1914=100; silk, monthly average 1911-1913-100.] Cotton consumption. Bales. Percentage of idle woolen machinery on first of month to total reported. Imports of raw silk. Cotton spindles active during month. Wool consumption (pounds). Relative. Spinning spindles. Looms. Wider Under Sets of Combs. than 50- 50-inch cards. Woolen. Worsted. inch reed reed space. space. Pounds. Relative. 1918. November 455,611 101 33,115,369 38,282,723 21.1 26.8 11.1 23.8 11.9 30.1 2,336,345 114 1919. January February March April May June July . August September October November December 556,721 433,516 433,720 475,753 487,998 474,407 509,793 502,536 491,313 555,344 490,698 124 103 96 106 109 105 113 112 109 123 109 33,856,472 33,282,593 32,642,376 33,213,026 33,556,011 33,943,405 34,184,407 34,187,310 34,216,662 34,307,367 34,483,775 32,573,970 23,186,818 29,320,063 39,159,945 45,084,834 48,849,892 54,973,093 48,938,476 52,985,961 60,018,415 52,428,854 40.3 52.3 58.1 48.4 36.6 29.6 22.0 22.1 19.9 16.0 14.8 13.9 32.6 41.5 42.4 38.9 32.9 26.6 26.0 24.9 22.8 20.7 18.2 19.1 32.2 38.7 39.1 26.5 17.1 15.4 9.7 9.4 8.1 8.2 7.6 10.5 30.7 39.8 47.8 34.2 22.5 12.8 7.6 6.5 5.5 5.9 5.3 5.3 36.5 41.1 41.8 28.4 16.8 15.2 8.9 8.9 7.9 7.7 6.7 8.4 37.5 48.6 52.7 36.1 25.8 21.1 13.5 10.9 12.8 7.2 6.7 6.2 1,461,827 1,742,812 1,784,412 2,988,838 4,878,646 3,848,354 5,202,407 3,802,500 6,755,271 3,955,845 4,841,407 71 91 87 146 238 188 254 186 330 193 23? Production of wood pulp and paper. [Federal Trade Commission.] [Net tons.J Wood pulp. News print. Book. Paper board. Wrapping. Fine. 1918. November. 270,849 101,403 65,374 148,671 59,572 30,322 1919. January... February.. March April , 283,270 238,228 278,675 284,984 116,154 70,443 103,248 62,616 114,746 63,699 116,278 67,628 140,859 50,490 27,675 125,208 45,480 24,600 136,175 18,069 23,514 138,802 48,158 22,470 Wood pulp. 1919. May June July August September October-.. November News print. 294,067 105,819 277,142 114,896 260,685 113,929 260,987 113,413 266,915 111,434 308,710 125,216 147,672 116,603 Book. Paper board. 76,821 71,938 75,613 82,737 81,024 89,440 84,085 151,651 56,579 152,957 60,656 169,593 63,769 189,782 64,861 184,897 63,353 202,524 67,110 182,940 63,394 Wrapping. Fine. 25,010 27,122 30,036 33,122 31,923 34,808 32,468 Sale of revenue stamps for manufacturers of tobacco in the United States (excluding Porto Rico and Philippine Islands). [Commissioner of Internal Revenue.] Cigars. Large. Cigarettes. Small. Small. 1918. August Number. 624,491,239 Number. Number. 60,880,910 3,442,446,234 Pounds. 40,764,853 1919. January February March 518,706,482 476,329,947 549,098,351 72,458,974 60,138,630 84,493,873 29,308,616 27,472,269 29,227,678 3,079,212,253 3,126,274,662 3,845,079,275 Cigars. Chewing and ! smoking tobacco. Large. 1919. April May June July August Number. 510,357,494 551,659,749 576,976,572 569,965,088 Small. Cigarettes. Chewing Small. smoking tobacco. Number. Number. 73,314,273 2,650,182,742 57,611,547 2,767,699,400 48,855,070 3,140,393,217 47,290,267 3,585,111,783 Pounds. 29,883,710 33,340,102 31,312,150 33,838,667 82 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Output of locomotives and cars. [Locomotives, United States Railroad Administration; cars, Railway,Car Manufacturers' Association.) Locomotives. Output of cars. Domestic Foreign com- Domestic. Foreign. shipped. pleted. 1918. November.. Number. 224 1919. January February... March April 135 258 197 8,172 6,623 5,978 7,777 Domestic shipped. Total. Number. Number. Number. Number. 9,093 252 6,743 2,330 84 164 128 4,657 5,795 7,373 Output of cars. Locomotives. 11,807 11,280 11,773 15,150 1919. May June July August September. October.... November. Foreign com- Domestic. Foreign. pleted. Total. Number. Number. Number. Number. Number. 13,106 207 31 4,573 8,533 7,092 160 44 1,785 5,307 9,713 121 73 2,777 6,936 23,524 160 173 18,509 5,015 24,282 111 51 19,980 4,302 14,160 10,445 3,715 11,589 8,967 2,622 Vessels built in United States, including those for foreign nations, and officially numbered by the Bureau of Navigation. [Monthly average, 1911-1913=100.] Gross Relative. Number. ^tonnage. November January February March April 1918. 1919. 171 357,660 1,480 132 135 186 201 264,346 271.430 298,005 375,605 1,094 1,203 1,233 1,554 Gross Relative. Number. tonnage. May June July August September October November 1919. 250 272 245 238 202 210 143 395,408 422,889 397,628 455,338 378,858 357,519 347,051 1,636 1,750 1,645 1,884 1,568 1,479 1,436 Tonnage of vessels cleared in the foreign trade. [Department of Commerce.] [Monthly average, 1911-1913 = 100.] Net tonnage. American. Foreign. Total. 1918. November.,. 1,770,935 1,991,725 3,762,660 1919. January February March April 1,166,391 1,896,123 1,262,487 1,671,070 1,161,416 1,737,171 1,744,753 2,058,220 3,062,514 2,933,557 2,898,587 3,802,973 Net tonnage. Per centage Relaof Rela- Ameri- tive. tive. can to total. 97 47.1 186 38.1 43.0 40.1 45.9 151 170 158 181 American. Foreign. 1919. May June July August September October November 2,424,837 2,339,320 2,362,571 2,957,249 2,627,480 2,645,778 2,251,871 Total. 2,469,194 4,894,031 2,511,501 4,850,821 2,920,247 5,282,818 2,797,818 5,755,067 2,481,676 5,109,156 2,073,560 4,719,338 1,910,489 4,162,360 Per centage Relaof Rela- Ameri- tive. tive. can to total. 126 125 136 148 131 121 107 49.5 48.2 44.7 51.4 51.4 56.1 54.1 196 191 177 203 203 222 214 Net ton-miles, revenue and nonrevenue. [United States Railroad Administration.] November January February March April 1918. 1919. 35,564,236,0D0 30,383,169,000 25,681,943,000 28,952,925,000 28,629,739,000 May June July August September October November 1919 32,440,708,080 31,953,366,000 34,914,294,000 36,361,653,000 38,860,311,000 40,343,750,000 32,539,248,000 83 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Commerce of canals at Sault Ste. Marie. [Monthly average, May-November, 1911-1913-100.1 EASTBOUND. Grain, other than wheat. Bushels. November April May June... July August September October November 1918. 1919. Relative. Wheat. Bushels. 7,189,456 81 52,702,409 4,176,041 9,370,374 6,694,901 7,100,008 5,284,741 2,918,591 4,351,059 8,654,903 iO5" 75 80 59 33 49 97 16,729,000 29,096,116 6,402,051 2,391,840 1,487,218 10,180,991 22,252,196 17,388,391 Iron ore. Flour. Relative. Barrels. Total. Short tons. Relative. Short tons. 6,355,760 91 1,756,266 7,895,542 8.554,979 9,343,396 5,080,651 8,525,794 7,063,120 4,201,881 113 122 133 72 122 101 60 274 1,054,630 91 4,417,282 74 i5i" 9i6*524" 1,031,630 915,420 935,700 917,420 1,544,510 1,402,260 78* 89 79 81 79 133 121 1,139,326 6,622,227 8,004,897 8,912,609 4,727,994 7,978,562 6 059,450 3,299,532 135 150 80 134 102 56 33 12 8 53 116 90 Relative. Relative. ii2* WESTBOUND. Soft coal. Hard coal. Short tons. November April May June July August September October November Relative. 1918. Total. Total freight. Short tons. Relative. Short tons. Relative. Short tons. Relative. 487,569 157 1,517,020 79 2,157,751 87 8,513,511 90 142,864 248,263 227,200 344,462 185,387 231,030 498,505 466,135 80 73 111 60 75 161 150 415,824 2,239,738 2,266,984 2,037,265 1,189,558 1,156,841 1,848,511 307,241 117 118 106 62 60 96 16 616,897 2,870,784 2,664,437 2,572,756 1,529,310 1,677,123 2,650,799 932,615 107 107 103 61 67 107 37 2,373,163 10,566,326 11,219,416 11,916,152 6,609,961 10,202,917 9,713,919 5,134,496 111 118 125 70 107 102 54 1919. 84 FEDERAL RESERVE BULLETIN. JANUARY, 1920. BANK TRANSACTIONS DURING NOVEMBER-DECEMBER. In the table below are shown debits to individual account for five weeks ending December 24, 1919, as reported by 154 of the country's most important clearing houses. In addition, debits to individual account for each of the five weeks are compared with figures for the corresponding weeks of 1918, comparable data being available for 145 centers. Aggregate debits to individual account for the first three weeks under review showed a continued recession from the very large totals of the preceding four weeks. For the third week of the period the total was 9,491 millions, as compared with 11,134 millions for the week ending November 19. The following week, however, during which the December 15 in- stallments of income and excess profits taxes fell due, saw an increase of about 1,500 millions in debits to individual account, which for that week again exceeded 11 billions. For the week ending December 24 the total, notwithstanding the Christmas expansion of retail trade, was about 550 millions below the figure for the preceding week. Debits to individual account reported for the five-week period, November 21 to December 24, 1918, snow a movement substantially parallel to that shown for the corresponding weeks of 1919, the low total for the last wee£ of the earlier period being due to the fact that it consisted of only five business days. Debits to individual account at clearing-house banks during each of the Jive weeks ending Dec. 24, 1919 and 1918. [In thousands of dollars.] 1918 Week ending— 1919 Week e n d i n g Federal Reserve District. Dec. 24. No. 1—Boston: Bangor Boston Fall River Hartford Holyoke Lowell New Bedford New Haven Portland Providence Springfield Waterbury Worcester No. 2—New York: Albany Binghamton Buffalo New York Passaic Rochester Syracuse No. 3—Philadelphia: Altoona Chester Harrisburg Johnstown Lancaster Philadelphia Reading Scranton Trenton Wilkes-Barre Williamsport Wilmington York No. 4—Cleveland: Akron Cincinnati Cleveland Columbus Dayton Erie Greensburg, P a . . . Lexington, K y . . . Oil City Pittsburgh Springfield, Ohio. Toledo Wheeling Youngstown Dec. 17. Dec. 10. Dec. 3. 2,926 348,011 10,166 24,058 2,945 5,969 9,787 16,503 8,889 36,918 17,213 6,740 16,153 Nov. 26, 3,128 347,560 14,230 16,790 4,629 9,679 9,130 16,347 6,828 35,259 17,768 7,722 19,254 Dec. 24. Dec. 18. 1,739 214,173 6,594 16,815 2,890 5,220 5,297 13,970 6,620 27,461 9,233 6,653 14,653 2,717 231,125 7,859 20,301 3,374 5,474 5,878 16,739 7,810 31,172 10,625 7,933 14,987 19,324 19,893 23,555 26,105 19,267 17,207 3,698 2,593 4,007 3,615 4,385 3,882 67,011 67,359 48,658 73,321 60,403 66,619 5,590,623 5,784,012 5,068,752 5,046,831 5,364,902 3,501,307 6,622 5,169 5,075 3,936 6,729 5,435 31,124 31,657 22,970 21,318 33,796 30,742 17,547 15,032 11,472 15,452 16,634 14,885 3,740 3,106 3,151 3,155 2,195 3,319 4,848 5,137 4,878 4,219 5,213 4,989 3,610 3,347 3,935 5,328 4,871 3,900 2,786 3,189 3,015 2,530 2,999 3,089 5,316 5,301 5,046 3,552 5,479 4,872 335,399 360,100 332,631 263,385 420,652 323,616 4,044 4,355 4,410 3,193 5,697 4,223 17,568 15,356 14,225 11,719 12,130 13,295 11,101 12,572 12,118 8,315 13,446 11,191 8,277 7,124 7,671 5,431 8,993 7,510 3,462 4,065 3,484 3,570 4,068 3,366 8,614 11,809 9,867 11,455 14,728 10,730 4,330 3,617 2,813 5,003 3,750 18,282 3,139 55,780 1,815,554 3,693 25,065 15,138 3,072 363,354 11,987 21,053 3,917 8,705 9,041 18,444 46,916 19,149 8,159 21,286 28,074 61,295 175,453 27,562 10,948 8,015 4,672 10,967 211,964 3,574 29,893 6,275 12,948 3,359 407,148 12,493 27,527 4,097 7,826 12,359 19,489 8,857 51,310 18,029 9,143 22,204 27,320 83,193 203,261 32,736 12,756 8,187 5,893 11,876 3,992 189,718 3,947 34,795 8,848 13,671 3,299 321,572 9,916 21,503 3,745 5,498 9,445 17,558 7,736 38,201 17,006 8,949 16,270 21,817 56,127 154,746 28,659 11,631 6,534 4,250 8,238 2,837 173,742 3,663 28,191 8,748 11,526 24,323 56,151 177,779 29,292 12,842 6,571 5,878 4,806 1,722 169,551 2,914 30,534 10,445 11,022 27,517 63,094 161,696 26,185 11,415 6,706 3,387 5,447 2,817 194,441 3,025 27,730 5,862 12,477 13,326 40,775 124,846 21,966 11,677 6,058 2,250 4,482 2,018 164,042 2,550 24,405 4,960 15,906 Dec. 11. 2,622 236,821 6,729 18,555 2,596 5,034 5,425 15,053 8,576 27,687 9,462 8,841 13,852 Dec. 4. 2,836 223,957 4,675 21,896 2,736 5,508 5,137 14,036 8,587 27,841 8,744 4,090 11,959 Nov. 27, 2,903 247,621 8,032 18,073 3,070 6,452 7,292 17,822 9,285 30,837 11,647 7,436 22,478 19,416 18,561 20,981 2,368 2,539 2,415 60,370 57,179 71,673 1,699,541 3,607,712 4,159,526 3 570 3,978 3,721 25,065 22,661 22,589 12,632 12,306 12,803 2,137 5,388 6,375 3,190 4,208 294,752 4,404 9,565 9,642 6,401 3,210 9,317 3,345 2,877 5,145 5,950 2,514 4,148 294,545 3,533 11,626 9,715 6,449 3,001 10,596 2,896 1,883 4,175 5,270 2,731 4,105 266,434 3,476 9,169 9,547 6,265 2,836 9,403 3,161 2,975 4,981 6,420 2,950 4,238 332,868 3,868 14,099 9,547 5,902 3,081 10,054 3,254 14,273 58,564 133,144 25,231 10,937 6,945 2,713 4,317 4,866 181,756 3,067 24,785 7,697 9,970 14,956 53,326 141,275 22,987 10,426 6,496 3,098 3,467 2,869 156,824 2,595 22,896 6,512 12,562 14,132 50,720 109,670 20,486 12,388 6,327 3,975 3,408 1,558 155,000 2,552 20,051 7,100 9,816 14,869 63,815 147,953 24,344 11,183 6,709 2,594 3,207 2,937 249,496 2,438 31,496 8,501 15,842 JANUARY, 85 FEDERAL RESERVE BULLETIN. 1920. Debits to individual account at clearing-house banks during each of the five weeks ending Dec. 24,1919 and 1918—Contd. [In thousands of dollars.] 1919 Federal Reserve District. Dec. 24. No. 5.—Richmond: Baltimore Charleston Charlotte Columbia Norfolk Raleigh Richmond No. 6.—Atlanta: Atlanta Augusta Birmingham Chattanooga Jacksonville Knoxville Macon Mobile Montgomery Nashville New Orleans Pensacola Savannah Tampa Vicksburg No. 7—Chicago: Bay City Bloomington Cedar Rapids Chicago Davenport Decatur Des Moines Detroit Dubuque Flint Fort Wayne Grand Rapids Indianapolis Jackson Kalamazoo Lansing Milwaukee Peoria Rockford Sioux City South Bend Springfield Waterloo No. 8—St. Louis: E vansville Little Rock Louisville Memphis St. Louis No. 9—Minneapolis: Aberdeen Billings Duluth Grand Forks Great Falls Helena Minneapolis St. Paul. Superior Winona No. 10—Kansas City: Atchison Bartlesville Cheyenne Colorado Springs... Denver Joplin Kansas City, Kans. Kansas City, M o . . . Muskogee Oklahoma City Omaha Pueblo St. Joseph Topeka Tulsa Wichita 1918 Week ending- "Week endingDec. 17. Dec. 10. Dec. 3. Nov. 26, Dec. 24. Dec. 18. Dec. 11. Dec. 4. Nov. 27, 120,953 10,489 8,237 8,162 23,421 5,800 38,113 99,921 11,137 9,088 9,958 22,582 5,800 37,703 100,162 12,486 8,625 9,140 22,103 6,100 32,333 104,006 10,889 8,500 8,853 23,404 5,300 34,017 78,150 4,881 4,900 6,303 15,593 3,841 25,038 84,732 6,505 6,400 8,886 19,136 4,337 24,617 82,820 5,193 5,700 8,025 17,595 4,540 25,056 74,201 5,850 5,600 7,186 18,670 4,970 25,901 69,376 9,423 8,385 22,745 4,800 33,877 36,090 11,616 18,328 13,176 12,618 6,627 9,742 7,819 5,665 27,034 90,463 2,003 27,452 6,552 1,913 39,949 12,184 16,186 13,373 12,373 7,371 8,790 8,570 5,672 26,718 106,115 2,494 26,117 5,900 2,058 34,882 12,149 14,918 12,864 13,615 5,877 9,849 8,644 5,800 25,622 96,327 2,448 22,233 6,375 1,934 34,980 11,883 15,297 12,436 12,867 7,141 7,977 9,134 6,018 23,116 96,611 2,166 23,874 6,442 2,407 36,977 14,398 16,462 11,646 12,889 5,865 8,731 7,833 6,252 24,621 82,955 2,343 26,598 5,605 1,933 23,288 7,700 14,332 8,245 10,474 5,019 6,731 6,297 3,539 18,382 61,417 1,952 12,686 3,577 2,000 24,764 7,433 13,246 10,081 10,676 5,600 6,661 6,774 4,386 24,470 66,790 2,387 13,842 4,365 1,940 22,258 7,077 12,638 10,840 9,708 5,400 6,482 7,443 5,046 23,799 69,446 2,171 14,180 4,945 2,169 22,482 7,528 12,817 9,579 10,409 5,716 5,777 7,057 4,020 23,845 72,795 2,070 13,210 5,061 1,976 24,189 7,004 13,998 8,494 10,430 5,645 5,502 7,435 4,328 24,940 57,762 2,017 10,945 3,839 1,630 4,052 2,385 9,177 843,992 6,726 3,089 3,427 2,858 9,467 666,999 7,770 3,608 19,336 125,214 2,620 8,859 7,259 18,599 33,234 4,052 4,241 6,357 55,502 10,062 4,951 13,193 3,818 4,868 3,235 3,315 2,922 7,789 3,690 2,268 7,537 828,342 6,217 3,136 19,778 115,932 2,660 10,086 6,363 16,438 2,726 2,004 2,673 2,373 2,753 2,279 2,980 2,332 3,134 1,777 35,008 4,439 4,592 6,353 58,560 9,140 5,985 10,383 3,829 4,322 3,519 4,550 2,695 7,857 797,632 7,560 4,196 19,552 197,770 2,575 6,851 8,480 18,874 37,806 4,414 4,820 6,385 55,£02 11,634 5,608 12,141 3,228 4,687 3,648 541,631 6,689 2,449 15,539 93,647 1,825 5,141 4,425 12,117 26,249 615,669 5,839 2,752 15.961 107,322 2,022 3,131 5,198 12,849 31,193 593,580 5,834 2,954 17,392 88,768 2,000 4,803 4,768 16,532 32,450 577,504 8,982 3,587 13,687 89,731 2,067 4,136 4,633 17,850 24,633 657,715 4,264 2,241 16,860 109,110 2,300 4,776 4,476 15,309 28,992 2,745 2,500 53,050 8,380 4,323 3,183 2,957 58,054 11,072 4,659 2,949 2,796 51,614 8,212 4,964 3,181 3,096 48,031 13,033 5,058 53,437 13,074 5,654 10,203 3,139 5,043 3,893 3,167 3,965 3,189 3,380 3,014 3,280 2,870 3,690 2,852 2,890 2,787 2,746 2,722 4,124 2,601 6,231 9,802 30,971 47,694 158,837 5,104 11,663 41,348 43,699 172,315 5,311 10,961 33,191 43,275 140,015 4,415 11,381 40,477 40,709 145,924 4,409 10,406 28,432 44,478 152,713 3,485 7,718 36,258 30,036 124,520 4,361 9,205 49,936 33,971 149,453 3,006 8,858 41,042 32,926 140,753 2,270 8,850 36,965 32,315 123,168 4,497 8,780 46,708 31,926 151,114 1,537 2,361 19,035 1,889 2,392 2,749 102,334 1,904 2,160 18,727 2,371 2,887 2,839 97,358 41,927 1,844 1,316 1,809 2,931 15,229 2,152 3,290 2,572 96,357 41,943 1,918 1,128 1,420 2,787 16,271 1,931 3 542 2,378 101,181 44,137 1,844 1,248 1,220 1,854 44,105 1,250 2,985 2,418 85,767 32,141 1,610 1,663 1,899 47,662 1,693 3,512 2,462 91,037 44,094 2,685 1,154 2,483 47,699 1,646 3,786 2,866 101,506 34,293 1,294 1,639 49,365 1,817 3,869 2,784 83,186 34,350 2,048 1,121 2,343 52,051 1,350 43,000 2,040 1,327 1,925 2,210 19,632 1,913 2,983 2,701 100,939 44,044 2,079 1,430 4,213 1,928 2,977 42,945 3,395 3,938 109,616 7,143 17,758 65,217 6,396 22,019 5,084 23,560 13,215 640 2,948 2,682 3,174 52,063 4,050 3,234 110,395 5,458 18,008 62,534 7,016 20,386 4,593 28,025 11,560 459 2,884 2,083 3,186 43,034 3,364 3,558 100,012 5,840 17,585 57,107 5,217 21,954 5,551 20,837 12,230 390 3,899 1,477 2,818 50,274 3,512 3,483 92,434 5,823 17,221 62,173 5,738 15,925 5,888 21,639 12,583 2,478 2,399 3,061 52,285 3,258 3,301 108,313 7,561 19,917 59,739 8,738 21,300 5,779 28,715 11,080 106,626 21,768 117,194 3,069 9,997 7,977 18,347 4,231 18,115 138,855 2,715 10,789 6,984 18,934 30,999 4,295 4,151 5,296 56,869 10,842 5,165 12,255 3,194 3,501 34,870 5,208 4,462 6,334 53,880 8,816 5,860 2,796 1,512 1,963 1,954 1,815 2,297 25,257 2,347 3,522 2,009 29,804 3,624 3,790 88,927 3,428 14,441 63,535 5,265 22,889 4,688 19,391 8,546 2,183 27,182 ""1,957 30,482 2,979 2,497 78,614 2,094 12,285 64,833 2,723 18,709 4,823 18,114 5,133 2,928 11,637 79,214 4,136 22,591 3,816 17,568 7,332 3,090 3,433 82,573 2,813 15,410 62,289 3,601 24,207 4,948 18,486 8,112 5,600 8,727 19,205 4,410 26,455 3,103 2,190 84,943 45,178 2,931 1,8 2,216 32,215 3,082 2,859 89,236 2,921 14,409 62,649 6,222 25,841 3,564 22,084 8,503 86 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Debits to individual account at clearing-house banks during each of the five weeks ending Dec. 24, 1919 and 1918—Contd. [In thousands of dollars.] 1919 Federal Reserve District. Dec. 24. No. 11—Dallas: Albuquerque , Austin Beaumont Dallas El Paso Fort Worth Galveston Houston San Antonio Shreveport Texarkana Tucson Waco No. 12—San Francisco: Berkeley Boise Fresno Long Beach Los Angeles Oakland Ogden Pasadena Portland Reno Sacramento Salt Lake C i t y . . . . San Diego San Francisco San Jose Seattle Spokane Stockton Tacoma Yakima 1918 Week e n d i n g - "Week e n d i n g Dec. 17. Dec. 10. Dec. 3. Dec. 24. Nov. 1,656 4,637 5,350 51,024 9,731 26,355 10,595 43,536 8,826 7,952 2,399 1,346 4,376 1,936 3,280 4,894 52,192 9,804 31,018 9,836 43,749 9,121 7,275 1,608 1,560 4,395 1,959 4,581 5,024 49,191 9,250 26,443 11,457 39,944 9,042 8,540 1,517 1,751 4,506 1,741 4,253 12,359 46,655 9,303 26,922 4,030 41,492 8,427 8,040 1,561 1,615 5,787 1,952 5,158 4,738 54,297 9,428 31,467 12,269 41,944 9,275 9,979 1,746 1,569 4,312 2,538 3,471 9,977 4,734 95,241 19,455 5,657 4,669 48,241 2,765 13,717 3,001 3,713 11,440 5,016 103,592 22,654 6,759 4,900 51,409 3,014 20,199 27,849 7,346 242,184 7,110 60,117 13,610 7,150 11,865 3,237 2,983 3,783 9,431 5,043 88,750 2,946 3,474 13,175 4,541 91,606 19,792 4,609 5,385 2,247 3,452 11,545 4,311 95,478 16,954 6,206 4,574 49,042 3,120 17,208 22,036 4,571 215,540 6,633 56,911 11,818 5,092 10,123 4,062 22,031 7,062 219,373 6,624 49,828 13,273 5,546 10,030 3,811 21,347 4,692 4,950 39,139 2,554 20,592 22,208 7,475 202,088 5,743 48,109 13,107 7,609 10,454 3,888 39,343 3,032 23,497 20,031 6,340 193,668 6,126 53,117 15,681 7,013 9,361 3,085 Dec. 18. Dec. 11. Dec. 4. Nov. 27. 1,229 2,400 4,187 29,796 4,539 14,814 7,726 23,100 1,590 3,980 3,581 30,274 5,782 15,847 10,040 27,331 1,501 3,555 4,307 29,569 5,570 12,167 8,913 26,882 1,578 2,814 3,370 26,367 4,829 14,169 7,785 25,534 1>459 3,625 3,935 33,567 4,936 12,377 7,667 5,335 2,049 1,258 2,800 5,594 1.527 1,530 5,830 1,263 1,711 4,010 5,157 976 1,863 3,399 4,506 1,419 1,503 3,277 1,837 5,829 1,996 52,831 5,436 1,866 37,726 1,943 10,764 18,389 4,061 150,138 2,901 7,164 2,718 56,715 12,368 5,720 2,135 42,542 1,682 14,276 22,193 5,063 161,586 2,546 6,966 2,082 54,191 14,385 4,547 2,025 40,653 1,846 15,255 15,832 4,709 152,794 2,754 6,269 2,305 52,347 10,980 4,451 2,093 44,173 1,787 11,775 19,141 4,787 140,373 2,574 6,523 2,421 61,624 12,063 2,673 2,226 60,466 1,663 12,066 19,704 4,970 173,151 44,584 8,812 2,968 9,474 2,041 49,988 8,951 5,183 11,341 2,034 48,234 9,259 4,307 10,667 2,033 47,671 8,874 4,275 11,421 2,363 55,686 9,396 4,930 11,420 2,404 13,827 Recapitulation showing figures for clearing-house centers reporting each of the five weeks ending Dec. 24, 1919. [In thousands of dollars.] 1919 Federal Reserve district. No. No. No. No. No. No. No. No. No. No. No. No. 1—Boston 2—New York 3—Philadelphia.., 4—Cleveland 5—Richmond 6—Atlanta 7—Chicago , 8-St. Louis 9—Minneapolis 10—Kansas City.. 11—Dallas 12—San Francisco. Grand total Number of centers included. Week ending— Dec. 24. Dec. 17. Dec. 10. Dec. 3. 535,083 5,740,489 439,791 594,538 185,856 277,098 1,193,903 253,535 178,664 330,090 177,783 548,043 594,984 5,944,982 506,598 640,193 204.686 293,870 1,228,465 274,129 179,856 336,766 180,668 616,166 472,962 5,203,366 408,048 520,709 185,052 273,537 1,019,529 232,753 173,333 304,901 173,205 523,945 497,389 5,188,330 397,686 543,830 178,463 272,349 1,045,420 242,906 169,329 305,277 172,185 525,822 154 10,454,873 11,001,362 9,491,340 Nov. 26. 501,496 5,498,580 412,569 551,799 184,080 265,108 1,164,155 240,438 176,739 338,504 188,134 550,923 10,072,525 JANUARY, 1920. 87 FEDERAL RESERVE BULLETIN. Recapitulation showing figures for clearing-house centers reporting each of the five weehs ending Dec, 24, 1919, and 1918. [In thousands of dollars.] Federal Reserve district. No. 1—Boston No. 2—New York No. 3—Philadelphia.. No. 4—Cleveland No. 5—Richmond No. 6—Atlanta No. 7—Chicago No. 8—St. Louis No. 9—Minneapolis... No. 10—Kansas City.. No. 11—Dallas No. 12—San Francisco. Grand total Number of centers included. 1919 Week e n d i n g Dec. 24. Dec. 17. Dec. 10. Dec. 3. 1918 Week e n d i n g Nov. 26. Dec. 24. Dec. 18. Dec. 11. Dec. 4. Nov. 27, 324,698 358,184 501,496 352,677 535,083 594,984 472,962 497,389 333,415 5,740,489 5,944,982 5,203,366 5,188,330 5,496,580 3,609,177 3,936,651 3,817,620 3,730,278 362,995 328,455 439,791 506,598 408,048 397,686 412,569 327,705 361,934 439,261 488,265 460,289 417,183 640,193 520,709 543,830 551,799 594,538 185,052 133,825 148,108 178,463 184,080 143,736 185,856 204,686 136,528 273,537 185,639 203,415 293,870 272,349 265,108 203,602 277,098 204,342 795,761 896,581 854,060 1,169,904 1,204,053 992,817 1,021,081 1,141,207 832,944 274,129 232,753 242,906 240,438 202,017 246,926 226,585 253,535 203,568 172,017 178,426 168,201 175,491 173,350 196,707 196,727 177,337 181,854 303,410 335,525 270.623 272,300 260,281 247,058 327,476 333,444 99,233 171,547 178,859 111,012 105,278 168,957 97,841 164,163 163,758 538,881 606,054 515,219 516,750 542,043 374,522 414,560 392,331 377,839 4,293,708 404,237 585,384 133,773 188,158 935,669 243,025 192,107 277,620 106,870 445,960 145 10,408,945 10,952,966 9,443,002 9,494,153 10,025,195 6,935,811 7,634,643 7,376,181 7,091,305 8,190,174 88 FEDERAL RESERVE BULLETIN. JANUARY, 1920. DISCOUNT AND OPEN MARKET OPERATIONS OF THE FEDERAL RESERVE BANKS. Discount operations during the month of November totaled $7,414,498,375, as compared with the record figure of $8,060,317,969 shown for October. The totals are exclusive of bills discounted for other Federal Reserve Banks, which aggregated 58 millions in November, as against 126.5 millions the month before. Discount operations were smaller for November than for October at all the Federal Reserve Banks, except the Boston and Chicago banks. The decline was nominal in New York, while the decrease at the Philadelphia bank, because of the relatively large amount of 60 and 90 day paper discounted, constituted nearly threefourths of the total for the system. War paper constituted, the same as in October, about 91 per cent of the total paper discounted during the month. The amount of customers' paper, secured by Government obligations, discounted by the Federal Reserve Banks, however, was about twice as large in November as in October (328 millions,7 as against 164 millions), while member banks collateral notes so secured amounted to $6,433,967,114, as compared with $7,184,708,069 the month before. This shift from collateral notes to rediscounts is due in large part to changes in discount rates which in most of the banks no longer favor 15-day paper. Discounts of collateral notes secured oy eligible commercial or agricultural paper also show a decline, the total for November being but $15,694,638, as against $45,663,016 for October. Discounts of trade acceptances for the month of November aggregated $21,923,920, as against $16,110,069 in October, and included $2,704,863 (as against $2,377,501) of acceptances in the foreign trade, all of which were reported by the New York bank. Bankers' acceptances discounted during the month totaled $2,052,898, as compared with $1,271,426 for October, and all other discounts, i. e., commercial and agricultural paper rediscounted by member banks, aggregated $613,002,521, the corresponding figures being $648,265,547 for October and $447,060,323 for September. About 95 per cent of the total discounts for the month was 15-day paper, i. e., bills maturing within 15 days from date of discount or rediscount with the Federal Reserve Bank. Six-month bills, consisting of agricultural and live-stock paper, totaled $11,838,214, compared with $9,645,742 for October, and $5,443,693 for September. The average maturity of all the paper discounted during the month works out at 11.36 days, as against 9.54 days for October for all the banks combined, while for the Philadelphia bank it works out at 14.32 days for November, as against 6.93 days for October. About 78 per cent of the paper discounted in November took the 4J per cent rate, about 9 per cent the 4 per cent rate, and about 8 per cent the 4f per cent rate. During October about 86 per cent of the paper was discounted at the 4 per cent rate. The average rate of discount charged during November works out at 4.53 per cent, as against 4.19 per cent in October. On the last Friday in November the Federal Reserve Banks held a total of $2,214,139,000 of discounted bills, compared with $2,128,547,000 on the last Friday in October, 1919, and $1,815,195,000 on the last Friday in November of the year before. Of the total discounts on hand at the end of November about 78 per cent was the share of war paper, compared with about 84 per cent at the end of September and about 79 per cent at the end of October, 1918. Discounted trade acceptances on hand at the end of November totaled $27,694,000, a larger figure than the corresponding amount for the end of October ($16,261,000) or for the end of November of last year ($23,126,000). Holdings of agricultural paper totaled $27,023,000, as against $28,447,000 at the end of October, and $27,492,000 on the corresponding date of the previous year, while holdings of live-stock paper were $25,527,000, compared with $27,028,000 the month before, and $34,052,000 about the end of November of last year. Of the total agricultural paper on hand about 73 per cent was held in the Chicago and Kansas City banks, while about 90 per cent of the live-stock paper on hand represented the holdings of the Kansas City, Minneapolis, and Dallas banks. During the month the membership in the Federal Reserve System shows a net increase of 32, the number of members at the close of November being 9,009, as compared with 8,977 at the end of October. Member banks accommodated by discount of paper in November numbered 3,649, as against 3,839 in October. In the following exhibit is shown the number of member banks in each Federal Reserve district at the end of November and of October, together with the number in each district accommodated during each of the two months. JANUARY, 1920. ]FEDERAL RESERVE BULLETIN. Federal Keserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Total of member Number of member Number banks accommobanks in district. dated. Novem- October. ber. Nov. 30. Oct. 31. 430 748 676 841 583 427 1,366 533 915 1,032 758 700 430 744 675 841 575 429 1,366 532 911 1,026 753 695 265 405 375 282 252 185 613 211 280 354 235 192 244 396 389 245 297 247 614 223 224 391 359 210 9,009 8,977 3,649 3,839 Bills purchased in the open market during November, largely by the New York bank both for its own account and for account of other Federal Reserve Banks, totaled $340,695,505, compared with $335,261,712 purchased in October, and $205,048,335 in September. Of the total bills purchased, $335,044,925 were bankers' acceptances, about three-fourths of which were based upon foreign trade transactions. Purchases of trade acceptances amounting to $3,686,930 were reported by the Boston, New York, Cleveland, and San Francisco banks, nearly four-fifths of this amount 89 being based on foreign trade transactions. The average maturity of all bills purchased during the month was 55.55 days, compared with 48.36 days for October, while the average rate of discount charged works out at 4.47 per cent, as against 4.26 per cent for the preceding month. On November 30 the Federal Reserve Banks reported a total of $501,910,000 of purchased bills on hand, compared with $394,355,000 on October 31, 1919, and $379,524,000 on November 30, 1918. The half-billion mark in acceptance holdings was passed for the first time in November of this year. Of the most recent total, all but $6,580,000 were bankers' acceptances, of which $347,852,000 were bills accepted by member banks, $55,876,000 by private banks, $55,244,000 by nonmember State banks and trust companies, and $36,358,000 by foreign banks and their agencies. Of the $6,580,000 of purchased trade acceptances held at the end of the month, $1,646,000 were domestic trade acceptances, and $4,934,000 were foreign trade acceptances. Of the latter figure, $2,633,000 were reported by the New York bank and $850,000 by the San Francisco bank, these amounts representing largely acceptances drawn by exporters in the Far East. Total investment operations of each Federal Reserve Bank during the months of November, 1919 and 1918. Federal Reserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Bills discounted for member banks. $426,922,264 4,466,207,075 683,636,792 292,186,678 264,080,662 174,033,036 448,183,255 180,110,764 88,805,613 145,934,891 70,671,433 173,725,912 Bills bought Municipal warrants. in open market. United States bonds. $63,977,798 152,609,063 2,832,489 19,053,191 3,805,212 4,365,746 33,701,105 5,325,336 10,649,919 $300 1,912,400 42,463,246 i$50 Total, November, 1919 7,414,498,375 340,695,505 50 Total, November, 1918 5,154,597,322 195,697,512 $11,383 93,550 Total 11 months ending Nov. 30,1919. 71,883,099,002 2,424,719,574 1,000 1,328,125 Total 11 months ending Nov. 30,1918... 33,537,850,316 1,653,805,357 1,709,602 73,959,463 United United States States Victory certificates of notes. indebtedness. 1 300 $1,516,000 35,948,000 3,343,000 3,163,000 200,000 1,101,000 2,845,000 1,275,000 176,000 2,000,000 4,510,000 810,000 Total United States securities. Total investment operations. Nov., 1919. Nov., 1918. $1,516,000 $492,416,062 $373,350,564 35,948,000 4,654,764,138 3,248,858,733 3,343,000 689,812,281 368,823,184 3,163,000 314,402,869 226,108,688 200,300 268,086,174 287,101,541 1,101,000 179,499,782 167,886,039 2,845,000 484,729,360 383,127,310 1,275,000 186,711,100 158,469,909 176,000 99,631,532 40,879,414 2,000,000 147,934,891 110,124,747 4,510,000 77,093,833 77,998,599 810,050 216,999,208 126,980,039 56,887,000 56,887,350 219,309,000 219,402,550 7,812,081,230 5,569,708,767 374,250 3,973,827,500 3,975,529,875 78,283,349,451 4J per cent Liberty bond. 4,028,472,160 4,102,431,623 39,295,796,898 90 JANUARY, FEDERAL RESERVE BULLETIN. 1920. Average amount of earning assets held by each Federal Reserve Bank during November, 1919, earnings from each class of earning assets, and annual rate of earnings on basis of November, 1919, returns. Average daily holdings of the several classes of earning assets. Federal Reserve Bank. Purchased bills. United States securities. $147,255,981 829,776,757 205,069,357 150,177,449 98,848,446 106,329,831 242,933,736 70,058,523 55,021,800 100,757,092 49,661,464 89,742,205 $49,517,395 74,248,602 1,394,054 68,051,442 12,333,698 96,318,470 25,266,197 21,088,700 1,774,437 5,505,363 91,666,903 $22,538,950 76,713,767 31,663,083 26,135,750 13,034,260 15,782,216 44,583,330 18,424,167 8,521,033 22,693,433 13,576,217 13,448,930 $219,312,326 980,739,126 238,126,494 244,364,641 119,774,275 134,445,745 383,835,536 113,746,887 84,631,533 125,224,962 68,743,044 194,858,038 2,145,630,641 1,768,745,862 455,056,830 378,035,734 307,115,136 126,788,514 2,907,802,607 $28,642 2,273,598,752 Discounted bills. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Total, November, 1919 Total, November, 1918 Earnings from— Federal Reserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco .. Total, November, 1919. Total, November, 1918. Municipal warrants. Total. Calculated annual rate of earnings from— Discounted bills. Purchased bills. $531,076 2,978,404 727,253 542,710 357,353 369,165 884,718 254,808 203,273 385,997 187,430 333,755 $174,235 257,023 4,989 242,913 29,196 44,709 349,910 94,798 74,587 6,433 21.181 321,191 $38,650 158,606 55,854 47,793 21,542 25,253 76,973 31,662 14,170 41,694 26,300 22,718 $743,961 3,394, 788, 833, 408, 439, 1,311, 381, 292 434, 234, 677, 7,755,942 1,621,165 6,206,988 1,355,558 561,215 259,049 9,938,322 $113 7,821,708 United MunicStates ipal securities. warrants. Total. Discounted bills. PurUnited i Municchased States I ipal bills. securities.! warrants. Total. Per cent. Per cent. Per cent, j Per cent. Per cent. 4.39 4.28 2.09 ! 4.13 4.37 4.15 2.51 i 4.21 4.31 4.35 2.14 ! 4.02 4.33 4.34 2.22 i 4.15 4.40 4.50 2.01 | 4.15 4.37 4.56 2.01 I 4.11 4.43 4.42 2.10 ! 4.16 4.43 4.56 2.09 i 4.08 4.49 4.30 2.02 i 4.20 4.66 4.41 4.22 2.24 ! 4.59 4.68 4.20 2.35 ! 4.53 4.26 4.23 2.06 | 4.40 4.27 4.33 4.36 2.22 I 2.49 i 4.1ft 4.19 4.79 Bills discounted during the month of November, 1919, distributed by classes; also average rates and maturities of bills discounted by each Federal Reserve Bank. Federal Reserve Bank. Boston New York.... Philadelphia. Cleveland Richmond Atlanta Chicago St. Louis Minneapolis... Kansas City... Dallas San Francisco. Total... Customers' paper secured by Government war obligations. Member banks' collateral notes. Secured by Government war obligations. Otherwise secured. Trade acceptances. $37,427,227 $340,468,760 $1,256,084 $2,237,225 156,816,670 4,077,121,327 19,758,892 550,862,817 91,297,964 3,666" 959,873 240,665,940 8,626,048 2,031,238 245,927,700 400,000 7,656,906 536,361 135,408,300 1,410,000 1,017,726 3,043,184 330,954,550 1,303,180 2,268,244 8,645,278 149,007,353 17,000 1,168,770 4,963,899 62,095,885 295,530 78,422 889,773 99,819,663 10,426,194 69,350 3,418,352 65,087,719 435,844 130,339 368,650 136,547,100 4,941,644 215,000 1,361,975 Bankers' accept- All other discounts. $52,879 $45,480,089 $426,922,264 721,163 221,789,023 4,466,207,075 40,513,138 683,636,792 40,863,452 292,186,678 9,559,695 264,080,662 33,153,826 174,033,036 105,012,003 448,183,255 180,110,764 840,262 24,113,480 25,446,003 88,805,613 145.934,a»l £53,676" 32,047,662 4,648,881 70,671,433 173,725,912 284,924 30,375,269 327,857,284 6,433,967,114 j 15,694,638 21,923,920 2,052,898 613,002,521 1 Total. Includes $2,704,863 of trade acceptances in the foreign trade. 7,414,498,375 Average Average rate maturity (365-day in days. basis). 15.61 7.12 14.32 17.77 10.90 21.79 24.53 13.50 26.73 27.33 19.14 17.04 Per cent. 4.56 4.49 4.34 4.55 4.46 4.51 4.61 4.52 4.74 4.91 4.55 4.58 11.36 { 4.53 JANUARY, 91 FEDERAL. RESERVE BULLETIN. 1920. Bankers'' and trade acceptances in the foreign and domestic trade and dollar exchange bills purchased during the month of November, 1919; also average rates and maturities of total bills purchased by each Federal Reserve Bank. Trade acceptances. Bankers' acceptances. Federal Reserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Total In the domestic trade. In the foreign trade. In the domestic trade. Total. $21,276,457 $40,939,649 $62,216,106 $457,704 25,381,106 124,065,725 149,446,831 242,682 2,832,489 700,920 2,131,569 5,069,622 13,907,233 18,976,855 66,336 3,805,212 2,139,700 1,665,512 4,365,746 3,813,946 551,800 7,661,321 26,039,784 33,701,105 5,325,336 3,944,138 1,381,198 3,012,018 7,557,409 10,569,427 In the foreign trade. Dollar Exchange. Total. $778,988 $1,236,692 1,592,050 1,834,732 66,336 7i2,400 8,891,707 1,200,000 33,001,711 1,912,400 41,893,418 22,872 526,298 549,170 82,603,335 252,441,590 335,044,925 789,594 2,897,336 3,686,930 Average Average Total bills maturity rate purchased. in days. (365-day basis). $525,000 $63,977,798 1,327,500 152,609,063 2,832,489 10,000 19,053,191 3,805,212 4,365,746 33,701,105 5,325,336 80,492 10,649,919 55.53 46.83 79.08 65.07 71.64 63.55 67.73 46.68 70.67 Percent. 4.45 4.45 4.34 4.46 4.57 4.56 4.50 4.49 4.47 1,912,400 42,463,246 49.40 66.78 4.77 4.53 1,963,650 340,695,505 55.55 4.47 20,658 Bills discounted by each Federal Reserve Bank during the three months ending Nov. SO, 1919, distributed by rates of discount; also average rates and maturities of all bills discounted by each bank during the three months. 4 per cent. Federal Reserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas...... San Francisco Total Amount. Discount. $634,677,848 8,207,486,378 2,288,919,744 524,358,519 88,780,700 377,739,571 451,382,500 420,949,091 138,369,520 110,223,400 160,900,617 $380,973 5,204,709 1,654,105 708,952 115,266 590,649 710,922 419,506 216,551 168,002 244,017 13,403,787,888 4£ per cent. 4£ per cent. Amount. Discount. Amount. 4f per cent. Discount. Amount. 10,413,652 1,920,285,651 4,462,127 5,872,543,161 6,032,604 5£ per cent. 5£ per cent. 5f per cent. 854,446,918 $213,854 $3,669 112,000 27,213 2*i6 2,890,351 59,492 3,243,418 6 3,982 611 $14,900 16,374 7,815,804 148,094 2,870,984 10,842,563 $41 365 164,362 3,347 65,283 242,516 1 820 162 40,608 23,528, 881 516,522 $3,000 10,000 13,000 4,099,969 123,122,684 Total. Amount. Discount. Amount. Discount. Amount. Discount. Total Amount. Discount. $86,358,409 $590,028 $343,083,715 $483,235 $62,623,438 $400,321 $47,086 68,310,570 648,193 3,953,730,414 3,159,606 204,803,422 528,394 2,429 71,116,712 595,467 444,551,546 461,895 34,542,025 69,160 11,777 149,227,200 297,961 89,600,020 173,637 139,013,079 447,326 606,491 598,277,174 212,497,400 257,948 28,411,529 162,278 56,906 135,879 59,457,148 97,531,374 208,389 57,678,220 413,102 249,097 289,224,265 547,095 294,264,757 583,101 194,624,925 1,356,392 46,789 8,035,655 138,792,892 191,735 40,788,539 319,649 20,000 17,895 3,042,420 57,556,080 100,310 37,941,758 211,107 16,489,017 118,033,507 221,705 115,361,568 217,613 37,601,651 84,448 65,012,803 92,318,355 158,743 45,660,253 87,710 11,994,993 65,425 11,450,363 376,884,236 595,881 79,913,142 107,425 4,423,339 42,367 29,783,206 Federal Reserve Bank. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas*Citv Dallas San Francisco Discount. 5 per cent. Amount. 22,200,971,601 |855 4,202 44 165,071 445,603 110,759 222,720 950,497 Average Average (365maturity rate dayDiscount. in days. basis). $1,126,790,496 $1,855,366 12,434,333,213 9,541,288 $8 2,839,144,804 2,780,683 24 902,422,672 1,631,569 928,038,609 1,142,879 592,671,784 1,352,586 1,237,424,251 3,362,082 608,761,484 981,681 256,269,779 776,217 457,075,492 1,379,887 325,214,932 726,146 492,824,085 1,009,001 32 $809 386 48 26,539,385 13.80 6.66 8.62 15.40 10.35 19.33 22.17 13.58 24.21 23.44 18.53 16.66 Per cent. 4.38 4.21 4.15 4.28 4.34 4.31 4.47 4.33 4.57 4.70 4.40 4.49 10.12 4.31 92 FEDERAL BESEBVE BULLETIN. JANUARY, 1920. Acceptances purchased by each Federal Reserve Bank during the three months ending Nov. 30, 1919, distributed by rates of i ^discount; also average rates and maturities of acceptances purchased by each bank during the three months. 4 4 per cent. Federal Reserve Bank. Amount. Discount. Amount. 11,528,356 242,420 944,741 26,034 616 17,039,772 48,923 Federal Reserve Bank. Amount. Total. 4i per cent. Discount. Amount. 809,219 203,368 33,525,060 194,841 32,159,350 4 Discount. 4 * Per cent. Discount. Amount. Amount. Discount. $64,590 $26,1,291,815 $163,361 $6.,865,171 $40, 19 404,939148;1,446,772 524,991 5,086,979 41,849 2,701 2,330,241 23,786 149,131 8,579,712 66,842 2,647,993 6,232 127,007 24,982 46,304 9,125,088 2,115,881 4,703,939 600,000 200,000 257,055 18,438,928 80,419 6,275,793 12,418 4,544,091 44,900 160,670 5,327 283 156,277 1,407,157 65,377 8,199 533 10,814 A P^r cent. Amount. Discount. 4 4% per cent. Discount. Amount. Amount. 4 4f per cent. A per cent. Discount. Amount. Discount. H per cent. DisAmount. count. $7,026,292 $40,787$10.1,270,618 $81,593 $10.,741,631 $82,537 $3,923,738 $27,580 $4,951,861 $44,554 $1,160,610 $10,126 15,218,800 93,958 1,810,938 11,861 34,170,224 292,800 2,543,934 23,465 4,263,037 43,959 ' 113,991 1,233 401,552 4,283 297,854 1,607 7,513,817 76,260 230,941 2,301 3,140,843 18,344 308,886 1,520 38,085 74 13,823,215 92,947 18,003,156 146,542 417,309 2,131 14,186,518 140,341 328,182 3,162 1,939,075 21,537 5,736,975 32,619 150,000 1,777 260,000 1,196 1,059,704 10,577 135,467 2,271,280 14,267 743 1,461 745,000 300,000 586 215,000 1,227 4,553,426 45,505 279,343 2,951 1,243,873 7,542 1,820 174,939 8,062 195,789 1,482,211 14,664 42,544,755 259,458 14,287,222 105,771126,090,7451,091,360 8,923,816 74,866 14,211,002 7,505,140 4J per cent. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Discount. Amount. 8 24,181,875 143,107 15,331,663 1,148,301 5,613 3,316,771 4,430 15,449,786 87,871 5,633,579 2,600 4 | per cent. Federal Reserve Bank. Discount. 4-^ per cent. 112,938,454 293,242 25,496,572 100,048131,987,657 756,664 134,884, ?801,076,709 220,832,3761,078,604 26,987,854 173,197 Total. Total. 4$ per cent. $12,956,247 $32,014 $23,265,947 $92,410 $7,268,850 $29,628 $9,938,218 60,258,735 156,167 1,215,438- 2,804 33,382,595 196,328 49,865,216 542,959 846 365,657 9,425,224 25,939 17,031,190 99,276 18,273,826 Boston New York Philadelphia... Cleveland Richmond Atlanta Chicago St. Louis Minneapolis... Kansas City... Dallas San Francisco. Boston New York Philadelphia.. Cleveland Richmond Atlanta Chicago St. Louis Minneapolis... Kansas City... Dallas San Francisco. t"j P e r cent. 47,658 1,015,503 4H per cent. 1,540,292 6,156 20,498,762 4| per cent. 5 per cent. 5} per cent. 1,828,204 144,145 1,055 130,378 1,906,831 15,527 14,851 Total. DisDisDis DisDisAmount. count. Amount. count. Amount. count. Amount. count. Amount. count. Amount. $3,751,641 $3,460 5,102,344 55,570 100,000 1,171 2,433,387 12,850 165,000 1,466 521,504 5,421 82 10,000 497,703 4,979 $50,000 $548 $171,937 $2,065 226,000 2,651 9,543 112 50,000 2,280,000 18,721 3,300,650 35,406 126,594 1,380 122,052 1,319 18,162,229139,126 412,137 4,6 343,989 3,993 $322,055 $2,307 400,000 4,924 722,055 7,231 Discount. $128,412,639 $712,833 $106,620 $1,415 362,129,615 1,856,259 3,740,409 32,787 69,921,758 460,376 13,988,215 94,413 18,003,156 146,542 166,960 2,053 90,567,898 659,177 16,148,915 80,740 34,675,761 250,877 5,327 600,000 4,020,292 27,066 138,796,896 987,260 273,580 Average maturity in days. 46.46 43.18 73.90 55.81 53.95 65.12 61.08 41.92 61.29 76.25 51.93 59.87 3,468 881,005,554 5,313,657 50.63 Average rate (365day basis.) P.ct. 4.36 4.33 4.33 4.31 4.57 4.56 4.35 4.35 4.31 4.25 4.73 4.34 4.35 93 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Discounted bills, including member banks' collateral notes, held by each Federal Reserve Bank on the last Friday in November 1919, distributed by classes. [In thousands of dollars; i. e., 000 omitted.] Federal Reserve Bank. Member banks collateral notes. Customers paper Live stock secured by paper. GovernSecured by ment war GovernOtherwise obligations. ment war i secured. obligations. Agricultural paper. Boston NewYork Philadelphia Cleveland Richmond Atlanta Chicago St. Louis.. Minneapolis Kansas City Dallas San Francisco 48 199 72 152 . 558 1,257 13,144 271 813 6,516 1,736 2,257 Total Percent Total Nov. 30,1918. Percent 27,023 1.2 27,492 1.5 150 1,844 73,202 144,345 81,461 12,622 13,583 4,149 9,744 6,900 2,211 5,353 308 3,641 52,990 609,489 104,122 117,650 69,977 61,594 166,759 42,251 29,787 42,397 29,373 53,237 385 390 159 349 128 3,715 323 115 25,527 1.1 34,052 1.9 357,549 16.1 369,506 20.4 1,379,626 62.3 1,031,720 56.8 5,717 0.3 24,843 1.4 117 181 291 5,054 13,982 4,058 Trade acceptances. Bankers' acceptances. 2,159 11,237 1,103 2,264 808 1,949 2,637 1,770 86 296 All other discounts. 72 874 36,807 94,758 11,506 30,363 12,589 32,651 73,016 20,473 22,375 22,989 9,390 22,067 165,428 860,902 198,267 163,168 97,900 102,171 265,459 73,301 60,454 95,281 45,188 2,049 0.1 388,984 17.6 304,456 2,214,139 3,385 27,694 1.3 23,126 1.3 Total. 1,815,195 100.0 i6.7 Acceptances purchased by each Federal Reserve Bank and held on Nov. 30,1919, distributed by classes of accepting institution* [In thousands of dollars; i. e., 000 omitted.] Bank acceptances. Federal Reserve Bank. Boston NewYork Philadelphia Cleveland Richmond. . Atlanta Chicago St Louis Minneapolis . Kansas City ,.. Dallas San Francisco. . Total: Nov.30,1919... . Oct. 31, 1919 Sept. 30, 1919 Nov. 30,1918 Nov. 30,1917. . . . . NonMember member trust banks. companies. Nonmember State banks. Private banks. Foreign bank branches and agencies. 1,670 14,361 429 11,231 196 5,612 11,526 228 12,484 342 150 10,481 76 5,536 50 6,024 2,658 164 697 1,167 14,974 55,876 42,677 33,420 27,871 18,201 26,371 56,250 2,402 33,852 11,032 11,229 89,240 25,098 20,101 6,888 10 954 54,435 1,439 100 500 1,150 595 200 250 563 3,400 3,274 127 1,578 250 12,282 347,852 271,701 208,784 310,069 171,723 6,446 8,021 8,255 2,028 5,338 48,798 36,707 24,821 10,703 753 614 1,035 Trade acceptances. Total. Domestic. Foreign. Total. Grand total. 851 670 1,887 2,013 228 892 432 14,613 34,417 93,653 3,135 64,542 11,720 11,729 101,701 33,638 20,820 10,305 12,803 96,867 23 850 873 36,719 96,956 3 135 64,644 11,720 11 729 101,701 33,638 20,820 10,305 12,803 97,740 36,358 28,511 21,873 19,818 3,163 495,330 387,617 297,153 370,489 199,178 1,646 1,740 591 4,016 4,934 4,998 2,385 5,019 8,580 6,738 2,976 9,035 6,275 501,910 394,355 300,129 379,524 205,453 1,451 2,633 102 2,302 3,303 102 94 JANUARY, 1920. FEDERAL RESERVE BULLETIN. OPERATION OF THE FEDERAL RESERVE CLEARING SYSTEM, NOV. 16, TO DEC. 15, 1919. Boston New York Philadelphia Cleveland Richmond.. Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco..; Total: Nov. 16 to D ec. 15,1919.... October 16 to Nov. 15,1919 Sept. 16 to Oct. 15,1919.... Nov. 16 to Dec. 15,1918.... drawn on banks Items drawn on banks Items in district outside in Federal Reserve Reserve city city (daily average). ' Federal (daily average). Total items drawn on banks in own Federal Reserve district (daily average). Number. Number. 24,981 30,577 48,710 7,765 3,506 3,772 27,929 8,533 8,652 8,885 4,907 4,130 182,347 177,569 164,761 85,174 Amount. ! Number. \ Amount. 128,874 191,688 108,360 111,030 76,581 43,973 139,230 77,805 40,844 116,798 66,408 55,851 $45,092,988 177,914,121 41,399,892 39,292,468 30,154,629 16,729,077 48,996; 000 23,794,406 14,528,679 30,981,350 20,982,195 16,260,160 254,594,746 1,157,442 246,055,511 1,093,363 223,417,562 919,623 167,471,893 675,859 506,125,965 482,577,468 458,490,174 386,634,092 $28,274,243 103,893 $16,818,755 91,498,599 161,111 ! 86,415,522 32,903,101 59,650 I 8,496,791 9,307,823 103,265 i 29,984,645 9,331,767 73,075 I 20,822,862 4,525,414 40,201 i 12,203,663 29,765,000 111,301 ! 19,231,000 12,912,190 10,882,216 69,272 11,423,858 3,104,821 32,192 13,230,112 I 107,913 i 17,751,238 5,390,592 I 61,501 ; 15,591,603 4,998,504 I 51,721 ! 11,261,656 251,531,229 236,521,957 235,072,612 219,162,199 ! 975,095 ; ! 915,794 ! 824,862 ! 590,685 Amount. Items drawn on banks in other districts (daily average). Number. 16,040 $}3,830,322 41,303 23,989,119 9,815,139 29,131 3,692,107 4,340 6,883,995 9,319 3,030,998 4,593 1,643,000 8,236 603,852 1,159 3,105,567 4,768 4,528,498 10,915 3,750,558 8,456 2,126,292 1,655 139,915 129,399 119,387 88,326 Items handled by both i Items drawn on the parent bank and I T r e a s u r e r of the Number branches (daily averUnited States (daily of mem- Number of age). average). ber banks nonmember banks on in dispar list. trict. Amount, j Number. Amount. Number. Boston New York Philadelphia Cleveland Richmond Atlanta Chicago St. Louis Minneapolis Kansas City Dallas San Francisco Total: Nov. 16 to Dec. 15,1919. Oct. 16 to Nov. 15,1919.. Sept. 16 to Oct. 15,1919. Nov. 16 to Dec. 15,1918. 2,105 3,030 491 5,901 510 6,226 37,109 5,018 i 1,128,837 ! 5,184 703,012 I 1,681 3,412 2,948,961 9,431 616,000 4,628 283,576 ! 1,030 1,811,097 i 4,669 5,031 1,404,816 j 4,652 2,011,869 1,110,469 | 12,018, 634 12,6S3,739 11,417,988 i 10,704,900 88,071 107,551 93,437 135,173 ! Amount. 2,505,850 18,217,562 2,055,997 1,509,745 377,403 938,748 2,872,000 998,248 437,650 694,599 384,545 5,513,917 431 756 677 842 584 426 1,374 535 921 1,037 759 713 245 319 414 1,079 466 348 3,700 2,222 1,874 3,138 1,105 941 36,506,264 37,355,291 45,272,641 60,766,938 9,055 9,008 8,955 8,612 15,851 14,860 13,852 10,409 76,999,447 78,178,485 74,965,478 66,301,701 Incorporated banks other than mutual banks not on par list. 8 1,014 1,227 489 443 1,030 186 98 114 4,609 5,515 6,457 JANUARY, 1920. FEDERAL. RESERVE BULLETIN. 95 OPERATION OF THE FEDERAL RESERVE BANKS. During the five weeks between November 21 and December 26 discount operations of the Federal Reserve Banks fluctuated within moderate limits. Fiscal operations of the Treasury during the period were extremely heavy, including the issue on December 1 of 162.2 millions of 4J per cent loan certificates and 260.3 millions of 4 | per cent tax certificates, and, two weeks later, the issue of 728.1 millions of 4J per cent tax certificates; also the redemption on December 15 of the balance of two series of tax certificates issued during the summer of 1919, besides the redemption before maturity of a considerable amount of certificates falling due in January and February, 1920, and the payment on December 15 of semiannual interest on the first Liberty and Victory loans. These operations apparently are reflected in the gradual reduction of the amount of war paper held by the Federal Reserve Banks during the greater part of December, the low level of 1,414.9 millions on December 19 marking a decrease of 259 millions since November 21. Since then, following the issue of the tax certificates, there has been a substantial increase in these holdings, the December 26 total of 1,510.3 millions contributing 68.8 per cent of the total discounted bills held on that date, as against 78.8 per cent five weeks before. This decrease in the absolute and relative amounts of war paper holdings has, however, been fully offset by the practically continuous increase in the holdings of ordinary commercial paper, the December 26 total of 684.5 millions exceeding the November 21 total by 233.8 millions, with the result that the total discounts held by the banks on the later date, 2,194.9 millions, show a net increase of 70.3 millions over the corresponding November 21 total. This increase is made up largely of paper maturing within 16 to 60 days from date of report, while holdings of 15-day paper were 33.4 millions less than five weeks before, a development the beginning of which was pointed out in the December issue of the BULLETIN (p. 1186). Since October 31, the Friday preceding the revision of the discount rates and the discontinuance of the differentia between the rates on 15 and 90 day war paper, the percentage share of 15-day discounts in the total discounts held has declined from about 83 to 68 per cent. Acceptances on hand continued their upward course, the December 26 total, 585.2 millions, marking a new high record and an increase oi 105.2 millions since November 21, nearly all in the holdings of the New York bank. A decrease of 11.8 millions in Treasury certificate holdings represents largely the amount liquidated during the most recent week by the New York bank. War paper holdings of the several Federal Reserve Banks include amounts held under rediscount for other Federal Reserve Banks. During the five weeks under review the amount of sucn paper increased from 20.4 millions, the total held by Chicago and St. Louis for the Philadelphia bank, to 40.6 millions, the aggregate held for the Philadelphia and Kansas City banks. Acceptance holdings of eight Federal Reserve Banks purchased from the Boston and New York banks, with and without the indorsement of the selling banks, show an increase from 111.6 to 128.1 millions. Both members' reserve deposits and Government deposits show substantial declines for the period, resulting in a decrease of net deposits from 1,846.8 to 1,704.5 millions. Federal Reserve note circulation, on the other hand, shows a steady expansion from 2,817.2 to 3,057.6 millions, or at an average weekly rate of over 48 millions, the increase being especially marked during the last two weeks of the year. Export withdrawals of both gold and silver apparently account for the reduction of 40.9 millions in gold reserves and of 51.4 millions in total cash reserves. The combined result of the changes in deposit and note liabilities and the reduction of reserves is seen in the decline of the reserve ratio of the Federal Reserve Banks from 46.9 to 44.8 per cent. 96 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Resources and liabilities of each Federal Reserve Bank at close of business on Fridays, Nov. 28 to Dec. 26> 1919. [In thousands of dollars; i. e., 000 omitted.] RESOURCES. Boston. New York. 8,644 8,722 8,552 8,203 7,844 137,374 151,201 155,208 156,249 147,197 Philatelphia. Sieveland. Rich- Atmond. lanta. Chi- St. Minne- Kansas Louis. apolis. City. Dallas. San Francisco. Total. Gold and gold certificates: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Gold settlement fund, Federal Reserve Board: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Gold with foreign agencies: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Gold with Federal Reserve agents. Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Gold redemption fund: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 .-. Total gold reserves: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Legal-tender notes,silver, etc.: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Total cash reserves: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Bills discounted: Secured by Government war obligations *— Nov. 28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 All other— Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Bills bought in open markets Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 U. S. Government bonds: Nov.28 Dec.5. Dec. 12 Dec. 19 Dec. 26 U . S . Victory notes: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 42,327 54,243 29,464 38,567 36,211 9,704 10,286 10,053 9,805 62,090 71,692 70,621 71,930 73,782 26,854 19,248 21,922 23,317 25,223 1,241 21,797 1.234 8,077 1,222 12,991 1,192 10,387 1,182 10,220 130 158 182 166 168 2,303 2,314 2,339 2,403 2,402 8,136 8,206 8,159 8,288 8,350 24,150 24,129 24,075 24,070 24,080 3,312 3,148 2,970 2,853 2,738 23,996 31,355 43,191 31,662 35,017 29,248 29,939 31,987 33,966 25,152 22,662 23,249 24,902 23,002 25,734 58,766 57,009 88,120 68,118 68,856 15,740 18,456 16,340 13,909 13,374 4,885 4,786 5,073 4,958 4,835 16,148 15,819 16,768 16,388 15,984 6,378 6,248 6,623 6,473 6,313 3,664 3,589 3,805 3,718 3,627 6,513 6,381 6,764 6,610 6,447 282,877 78,522 .05,502 46,923 53,553 247,491 291,356 77,485 .18,420 45,381 55,097 243,826 290,070 78,872 .17,050 43,595 56,022 249,082 288,751 79,458 L16,925 42,031 60,585 251,202 307,385 82,491 125,048 41,036 64,734 245,883 69,100 61,207 74,195 65,258 65,920 34,354 35,733 34,997 34,275 35,570 6,418 6,147 5,971 4,616 5,922 2,379 941 1,326 1,671 2,377 115,902 25.939 74,561 28,792 55,486 28,912 87,692 30,396 41,560 28,344 49,800 48,787 51,713 50,542 49,296 10,856 10,635 11,273 11,017 10,746 25,000 11,664 25,000 12,864 24,930 13,907 24,873 15,030 25,000 15,578 11,127 10,901 11,554 11,293 11,014 6,514 6.905 6,749 6,582 1,531 12,440 983 7 1,712 574 10,065 1,005 6,371 6,896 6,071 5,700 6,559 7,053 »Z5° 20,927 23,678 17,210 13,473 17,572 6,615 6,565 6,512 6,679 6,617 13,366 12,611 12,655 12,550 10,406 235,348 234,622 243,148 241,325 229,445 11,956 44,348 19,555 9,368 37,297 24,295 9,897 19,762 20,065 6,183 20,430 15,397 1,338 27,192 14,772 27,740 26,689 46,853 34,315 36,286 440,286 428,812 404,066 399,935 352,785 3,528 3,456 3,664 3,581 3,492 6,242 6,115 6,482 6,335 6,179 135,696 132,935 140,910 137,717 134,320 38,917 40,126 39,139 39,977 39,858 24,996 26,651 26,015 26,451 27,878 .04,399 05,217 108,685 124,811 130,447 1,148,724 1,172,191 1,188,343 1,201,654 1,240,032 5,284 3,983 4,928 3,961 4,023 3,461 2,776 3,366 2,881 3,422 10,733 9,263 9,853 8,162 8,304 133,587 118,704 119,821 115,182 121,850 60,633 95,192 57,888 87,945 58,308 70,775 54,132 71,144 51,173 77,688 58,155 63,743 59,622 54,989 56,181 L62,480 159,895 184,528 186,173 191,622 2,093,641 2,087,264 2,096,288 2,095,813 2,078,432 1,257 1,283 5,285 $,261 .49,821 ^63,609 .40,845 .52,070 .52,865 610,953 590,905 577,407 608,107 570,438 .28,222 .31,010 134,186 137,093 138,341 .63,953 181,572 178,324 169,118 181,253 99,670 93,621 91,083 93,235 81,543 96,132 97,409 99,856 103,392 110,706 4,550 4,535 3,915 3,725 3,238 49,586 50,107 49,503 46,269 45,602 477 477 548 544 539 837 913 706 668 533 211 209 179 186 188 1,217 1,220 1,162 1,038 970 2,389 2,715 2,885 2,140 1,829 4,800 4,744 3,367 2,559 2,240 73 61 59 52 72 311 277 288 348 343 1,375 1,314 1,270 1,242 1,166 199 259 235 327 384 66,025 66,831 64,117 59,098 57,104 154,371 168,144 144,760 155,795 156,103 660,539 641,012 626,910 654,376 616,040 128,699 131,487 134,734 137,637 164,790 182,485 179,030 169,786 181,786 99,881 93,830 91,262 93,421 81,731 97,349 98,629 101,018 104,430 111,676 369,871 367,176 398,140 375,391 374,184 105,748 99,950 109,466 95,668 96,507 60,706 57,949 58,367 54,184 51,245 95,503 88,222 71,063 71,492 78,031 59,530 65,057 60,892 56,231 57,347 162,679 160,154 184,763 186,500 192,006 2,159,666 2,154,095 2,160,405 2,154,911 2,135,536 126,192 105,868 128,055 134,324 138,206 753,834 667,512 654,401 515,035 584,588 185,583 184,407 193,337 177,655 178,648 130,272 116,672 118,469 112,254 120,536 83,560 84,478 91,548 89,406 87,901 65,743 65,497 63,879 61,843 61,379 176,503 173,759 143,316 135,715 146,840 49,151 43,519 36,126 43,501 44,142 30,999 26,167 22,600 23,204 22,465 47,750 43,330 43,204 39,321 36,897 29,681 27,630 38,483 41,107 42,634 56,878 64,474 54,999 41,585 46,128 1,736,146 1,603,313 1,588,417 1,414,950 1,510,364 39,236 39,870 38,889 49,559 56,630 107,068 119,342 144,924 143,537 203,606 12,684 15,028 14,673 27,154 29,492 29,455 47,531 33,544 46,669 45,623 44,465 45,998 47,592 50,536 15,507 13,920 12,653 11,308 11,427 29,742 31,245 29,248 28,233 26,065 478,063 504,795 550,999 580,162 684,514 33,348 36,266 42,707 14,412 16,506 97,021 131,865 147,030 179,382 191,312 10,305 10,205 19,993 20,297 19,981 12,803 12,663 9,279 8,277 7,734 96,823 92,566 87,221 92,392 96,107 495,595 514,219 541,551 566,266 585,212 539 539 539 539 539 1,257 1,257 1,257 1,257 1,257 8,867 8,867 3,966 3,966 3,966 3,966 3,966 2,633 2,632 2,632 2,632 2,632 26,848 26,848 26,847 26,846 26,834 50 50 50 50 50 367,482 LOO, 948 364,461 95,206 395,255 L06,099 373,251 93,109 372,355 94,267 32,966 14,340 36,428 88,956 24,150 35,463 15,324 35,208 87,854 31,328 41,245 16,280 32,390 105,052 31,270 43,951 19,179 31,173 107,984 27,621 47,041 20,760 28,843 128,429 34,093 3,135 64,694 11,810 11,912 99,923 3,649 57,900 12,004 11,849 95,063 4,705 58,118 13,241 12,187 97,736 4,704 56,867 14,394 17,128 105,9r 4 " " 56,923 16,031 16,231 108,352 1,385 1,385 1,385 1,385 1—' 844 844 844 844 833 10 1,235 1,235 1,235 1,235 1,235 375 376 375 375 375 4,477 4,477 4,477 4,477 4,476 33,638 31,149 31,971 37,112 36,936 20,183 19,040 17,363 15,384 14,401 1,153 1,153 1,153 1,153 1,153 116 116 116 116 116 57 54 54 54 64 97 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Resources and liabilities of each Federal Reserve Bank at close of business on Fridays, Nov. 28 to Dec. 26,1919—Continued. [In thousands of dollars; i. e., 000 omitted.] RESOURCES—Continned. New York. Boston. U. S. certificates of indebtedness: Nov.28 22,562 Dec. 5 22,081 Dec. 12 21,752 Dec. 19 21,598 Dec. 26 21,661 Total earning assets: m Nov.28 221,877 Dec. 5 1204,624 Dec. 12 1231,942 Dec. 19 (220,432 Dec. 26. ~ ~~ 233,542 Bank premises: Nov.28 1,078 Dec. 5 1,091 Dec. 12 1,091 Dec. 19 1,091 Dec. 26 1,091 Uncollected items and other deductions from gross deposits: Nov.28 78,835 Dec. 5 66,250 83,747 Dec. 12 95,697 Dec. 19 81,682 Dec. 26 5 per cent redemption fund against Federal Reserve Bank notes: Nov.28 ; 1,072 Dec.5 i 1,072 Dec.12 ! 1,072 Dec. 19 1 1,072 Dec.26 J 1,072 All other resources: Nov.28 ! 317 Dec.5 i 284 Dec.12 i 286 Dec.19 ; 296 Dec.26 280 Total resources: Nov.28 457,550 Dec.5 441,465 Dec.12 Dec.19 474,383 Dec.26 473,770 i Includes bills discounted for other Federal Reserve Banks: ov.28 ec. 5 Dec.12 Dec. 19 Dec.26 8 Includes bankers' acceptances bought from other Federal Reserve Banks: With their indorsement— Nov.28 Dec. 5 Dec.12 Dec.19 Dec.26. Without their indorsement— Nov.28 Dec.5 Dec.12 Dec.19 Dec.26 Phila- Clevedelphia. land. Richmond. Atlanta. Chicago. 40,236 17,366 39,903 17,300 39,841 17,138 39,885 17,309 39,754 17,216 410,095 401,056 390,422 393,978 427,851 77,684 75,407 68,154 97,493 67,347 31,471 31,760 30,918 31,134 30,529 25,883 25,146 25,136 25,131 24,817 11,860 12,260 12,2bO 12,260 12,260 15,665 15,665 15,665 15,666 15,666 1,036,914 995,433 1,015,816 936,754 1,048,160 234,258 236,229 245,018 242,032 244,752 254,659 236,025 243,812 239,047 250,160 122,805 125,301 134,564 136,474 138,187 130,127 128,599 124,500 126,189 122,498 3,994 3,994 3,994 3,994 3,994 500 500 500 500 500 890 890 895 491 491 507 508 519 503 515 515 515 249,903 88,495 225,597 75,934 234,567 81,244 254,786 90,192 235,089 86,294 78,112 65,025 74,347 96,071 91,234 85,648 78,423 76,519 91,538 90,283 2,884 2,886 2,922 2,929 1,450 1,450 1,475 1,475 1,475 1,112 1,262 1,162 1,204 1,146 575 679 587 443 1,340 1,363 1,353 1,287 1,306 281 350 933 5,802 1,061 697 753 443 628 344 1,955,586 1,870,283 1,885,526 1,854,119 1,907,518 445,950 463,904 477,638 472,962 500,259 486,439 499,684 507,626 525,565 Total. 8,575 8,480 11,225 8,645 9,220 9,145 9,090 10,880 11,495 10,839 11,463 11,438 288,032 283,853 273,219 303,558 273,507 125,458 124,449 117,658 126,696 133,540 89,136 87,247 87,211 91,744 93,054 129,274 124,883 131,604 128,382 131,530 73,182 66,824 73,601 73,803 74,851 196,956 202,412 184,939 176,305 182,370 3,024,741 2,933,082 2,981,087 2,891,836 3,080,495 2,936 691 2^936 2,936 2,936 691 691 600 600 600 600 600 402 402 462 462 462 394 399 399 399 400 400 400 400 400 12,878 12,896 12,985 12,986 13,002 41,665 111,150 106,157 42,846 119,738 51,911 151,294 50,072 139,834 70,776 65,712 68,236 78,915 70,669 60,341 48,085 49,952 49,495 51,365 44,077 55,856 55,837 62,236 47,758 1,013,426 920,299 983,527 1,140,224 1,075,100 804 832 939 798 1,856 1,876 1,847 1,964 2,116 390 497 576 476 647 206 134 322 518 428 957 957 957 957 958 559 530 498 554 560 655 655 655 665 665 12,671 12,696 12,961 13,333 13,237 751 2,181 628 595 1,506 180 200 119 148 141 1,087 1,092 2,524 793 1,785 227 245 290 382 316 147 173 128 126 157 505 514 515 540 481 246 303 261 783 811 414 424 6,659 8,328 8,276 11,314 8,062 310,272 300,801 304,159 323,123 312,669 270,646 265,571 269,830 284,132 285,700 896,995 880,293 915,607 926,356 948,706 303,290 291,544 296,917 302,828 302,370 173,763 170,127 172,237 175,993 174,769 304,089 291,872 285,833 291,139 302,126 194,275 183,152 187,001 187,146 195,654 409,633 413,899 415,645 420,121 423,623 6,230,041 6,041,396 6,159,241 6,224,604 6,325,432 19,500 20,850 5,000 8,100 14,670 4,000 3,500 5,080 5,080 5,080 5,080 5,080 i 8,380 8,380 San Francisco. 14,820 15,811 13.916 13,899 15,249 g 23,269 20,367 16,757 14,900 12,265 St. Minne- Kansas Louis. apolis. City. Dallas. 5,065 5,065 77,448 24,024 76,894 25,609 81,232 28,821 89,306 29,285 90,664 15,210 15,118 15,210 15,118 15,210 14,927 25,307 19,938 25,307 19,301 33,161 27,732 25,553 23,008 20,113 23,500 24,350 15,900 28,100 40,615 10,900 20,000 25,945 13,446 10,551 10,408 9,883 9,721 10,005 10,005 10,005 10,005 9,805 5,066 5,065 5,065 5,065 5,065 10,081 10,081 5,012 5,012 1,667 1,301 1,113 11,547 10,185 8,722 6,566 5,184 40,474 40,473 40,282 70,536 96,440 83,852 73,112 65,663 58,201 98 JANUARY, FEDERAL RESERVE BULLETIN. Resources and liabilities of each Federal Reserve Bank at close of business on Fridays, Nov. 28 to Bee. LIABILITIES. [In thousands of dollars; i. e., 000 omitted.] New Boston. York. Capital paid in: Nov. 28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Surplus fund: Nov.28 Dec. 5 Dec. 12 Dec. 19.. Dec, 26 Government deposits: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Due to members—reserve account: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Deferred availability items: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Other deposits, including foreign Government credits: Nov.28 Dec.o Dec. 12 Dec. 19 Dec. 26. Total gross deposits: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Federal Reserve notes in actual circulation: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Federal Keserve bank notes in circulation—net liability: Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 All other liabilities: Nov.28 , Dec.5 Dec. 12 Dec. 19 Dec. 26 Total liabilities: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 MEMORANDA. Contingent liability as indorser on: Discounted paper rediscounted with other Federal Reserve B a n k s No v. 28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Bankers' acceptances sold to other Federal Reserve Banks— Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 1920. 26,1919—Continued. San St. Minne- Kansas -n *1nn FranLouis. apolis. City. D a l I a s - cisco. Phila- Cleve- Richlelphia. land. mond. Atlanta. Chicago. 4,386 4,388 4,392 4,392 3,406 3,413 3,415 3,418 3,424 12,308 12,309 12,315 12,347 12,347 4,057 4,060 4,060 4,060 4,063 3,060 3,073 3,073 3,074 3,074 3,996 3,998 4,008 4,007 4,012 3,437 3,439 3,440 3,417 3,417 5,458 5,473 5,478 5,487 5,748 87,001 85,973 87,002 87,049 87,339 2,589 2,589 2,589 2,589 2,320 2,320 2,320 2,320 2,320 3,957 3,957 3,957 3,957 3,957 2,029 2,029 2,029 2,029 2,029 4,578 4,578 4,578 4,578 4,578 81,087 81,087 81,087 81,087 81,087 3,238 2,658 5,676 2,932 3,872 2,306 2,088 2,721 3,043 3,662 7,817 7,983 6,959 2,564 1,119 4,407 2,449 5,377 4,050 6,467 8,952 1,480 7,667 98,157 39,798 89,503 64,459 72,357 50,508 50,874 67,280 50,530 65,909 50,690 67,092 51,532 84,455 86,640 82,691 77,202 77,723 60,700 59,984 58,961 58,423 111,662 117,783 108,568 112,279 116,357 1,844,434 1,830,037 1,817,406 1,733,013 1,786,874 Total. 7,103 7,105 7,104 7,104 7,108 22,448 22,373 22,382 22,386 22,388 7,873 7,873 7,874 7,875 7,884 9,461 9,482 9,482 5,206 5,206 5,206 5,206 5,206 32,922 32,922 32,922 32,922 32,922 5,311 5,311 5,311 5,311 5,311 5,860 5,860 5,860 5,860 5,860 3,800 3,800 3,800 3,800 3,800 2,805 2,805 2,805 2,805 2,805 9,710 9,710 9,710 9,710 9,710 12,692 2,305 8,846 20,162 8,338 37,272 11,455 30,467 630 12,641 7,015 3,157 9,621 5,904 2,966 2,470 2,928 3,282 3,400 6,746 5,318 2,102 4,527 5,991 8,319 4,025 2,269 3,602 8,705 5,105 6,971 1,676 108,254 115,786 119,614 111,030 110,335 787,739 746,535 735,659 681,610 706,254 81,472 .00,122 94,666 94,930 95,505 .32,861 .28,145 .31,805 .22,907 .27,627 66,273 52,853 246,855 62,091 50,278 243,715 62,855 55,685 248,069 59,954 56,978 240,563 61,081 61,081 253,864 62,016 72,753 58,407 63,141 63,312 63,293 188,922 162,920 166,058 188,824 188,383 90,160 67,778 77,593 90,771 67,506 58,161 61,947 73,173 70,420 71,595 68,655 67,215 83,610 68,364 39,575 36,590 34,073 38,057 36,129 91,131 76,730 97,642 104,328 103,130 62,591 51,027 53,137 58,368 55,155 19,199 17,106 16,974 19,085 15,459 82,163 66,257 60,060 69,390 78,441 43,298 31,335 32,026 34,089 37,607 32,543 22,886 29,688 26,600 25,467 861,436 717,852 759,554 848,607 5,942 5,748 7,713 5,908 44,065 43,117 43,263 43,935 42,685 6,976 6,624 7,038 6,493 6,832 6,019 6,073 6,049 6,386 6,147 3,571 3,628 3,622 3,610 2,706 2,715 2,039 3,747 4,002 3,855 3,984 3,588 2,156 2,124 2,156 2,700 2,216 3,637 3,575 3,611 3,792 3,645 2,985 2,050 2,490 2,093 2,066 7,312 4,992 5,466 11,943 5,865 94,133 103,488 2,681 9,659 9,542 15,580 11,322 10,036 199,641 1,057,998 185,623 208,856 146,780 99,159 182,246 964,027 177,681 195,307 136,419 91,852 199,314 975,447 188,918 203,083 138,225 95,999 199,412 914,999 198,098 205,866 153,177 106,631 190,254 949,963 186,135 210,940 141,374 104,996 354,616 331,663 361,291 358,948 368,676 137,853 125,055 129,948 131,193 129,707 75,101 70,104 71,966 74,563 71,928 173,298 160,134 154,179 158,367 166,768 95,204 98,907 97,592 103,473 155,567 152,128 152,674 152,302 155,356 2,902,825 2,681,320 2,769,951 2,751,148 2,779,570 220,828 223,073 226,737 238,211 246,455 2,852,277 I 2,881,359 ] 2,907,435 2,988,894 3,057,646 148,567 150,749 150,831 153,920 156,599 475,062 480,334 485,203 498,174 510,018 141,009 142,049 142,710 147,704 148,452 83,784 85,014 85,169 86,164 87,475 101,749 102,342 101,884 102,807 105,100 69,176 71,006 71,036 72,402 74,886 229,086 236,529 237,507 242,041 241,867 56,150 27,938 21,490 11,702 56,163 28,454 21,720 11,748 55,347 22,021 11,751 55,425 28,911 22,220 12,068 54,624 29,028 22,197 12,051 14,703 14,654 14,631 15,206 15,663 39,594 40,264 40,777 40,718 41,109 15,996 15,916 15,692 15,380 15,610 8,006 8,014 8,037 8,093 8,157 18,688 18,954 19,173 19,315 19,546 9,992 10,094 10,186 10,292 10,415 11,365 11,455 11,587 11,703 11,895 256,793 257,480 258,444 259,975 261,039 1,492 1,602 1,672 1,779 1,815 2,401 2,487 2,632 2,686 2,743 1,308 1,380 1,403 1,414 1,434 3,579 3,736 3,821 4,010 4,179 50,058 52,677 55,322 56,451 58,751 173,763 170,127 172,237 175,993 174,769 304,089 291,872 285,833 291,139 302,126 194,275 183,152 187,001 187,146 195,654 409,633 413,899 415,645 420,121 423,623 6,230,041 6,041,398 6,159,241 6,224,604 6,325,432 223,051 222,612 229,077 233,241 240,273 251,011 250,384 255,337 260,188 272,884 3,603 3,791 3,983 3,806 4,003 18,670 19,827 21,258 21,772 22,677 3,887 4,019 4,036 4,202 4,331 3,573 3,699 3,922 4,010 4,202 2,048 2,150 2,217 2,259 2,359 2,006 2,098 2,149 2,152 2,213 5,705 6,013 6,311 6,459 6,846 1,786 1,875 1,918 1,902 457,550 441,465 462,898 474,383 473,770 1,956,586 1,870,283 1,885,526 1,854,119 jl, 907,518 453,683 445,950 463,904 477,638 472,962 500,259 486,439 499,684 507,626 525,565 310,272 300,801 304,159 323,123 312,669 270,646 265,571 269,830 284,132 285,700 896,995 880,293 915,607 926,356 948,706 303,290 291,544 296,917 302,828 302,370 23,500 24,350 15,900 21,100 27,615 40,474 40,473 40,282 j 70,536 ! 97.659 141,556 142,296 143,774 147,427 148,693 767,398 774,971 778,170 806,615 824,944 21,169 20,044 20,554 j 20,644 20,744 2,735 1,646 ir- 7,000 13,000 23,500 24,350 15,900 28,100 40,615 40,474 40,473 40,282 70,536 69,899 99 FEDEKAL KESEEVE BULLETIN. JANUARY, 1920. Maturities of bills discounted and bought, also of United States certificates of indebtedness. [In thousands of dollars; i. e., 000 omitted.] ! Within 15 i days. Bills discounted: Nov. 28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Bills bought: Nov. 28 Dec. 5 Dec. 12 Dec. 19. Doc. 26 United States certificates of indebtedness: Nov. 28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 16 to 30 days. 31 to 60 days. 6 # o 90 days. Over 90 days. Total. 1,582,690 1,476,085 1:, 490,897 1,328,059 ! 1,484,790 135,642 125,065 116,113 134;643 244,890 293,789 298,600 322,128 362,091 292,715 183,448 189,634 191,451 151,465 152,125 18,640 18,724 18,827 18,854 20,358 2,214,209 2,108,108 2,139,416 1,995,112 2,194,878 89,003 82,562 78,472 123,248 123,727 85,690 116,662 128,987 106,219 100,060 201,297 185,802 187,068 188..830 209,278 117,339 129,193 147,024 147,969 152,147 2,266 495,595 514,219 541,551 566,266 585,212 30,235 29,075 22,158 48,578 15,745 13,012 13,242 9,221 2,072 4,865 14,158 8,454 6,551 6,221 3,940 17,324 6,289 8,630 9,029 10,715 213,303 226,793 226,659 237,658 238,242 273,219 303,558 273,507 100 JANUARY, 1920. FEDERAL RESERVE BULLETIN. FEDERAL RESERVE NOTES. Federal Reserve note account of each Federal Reserve Bank at close of business on Fridays, Nov. 28 to Dec. 26, 1919. [In thousands of dollars; i. e., 000 omitted.] New York. Federal reserve notes: Received from agent— Nov.28 Bee. 5 Dec. 12 Dec. 19. Dec. 26 Held by bank— Nov.28 Dec. 5 Dec. 12. Dec. 19. Dec. 26 In actual circulation— Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Gold deposited with or to credit of Federal Reserve agent: Nov.28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Paper delivered to Federal Reserve agent: Nov. 28 Dec. 5 Dec. 12 Dec. 19 Dec. 26 Philadelphia. 146,779 147,937 148,351 153,427 155,232 153,207 154,417 155,452 159,650 162,809 499,786 507,521 513,377 523,257 533,738 13,498 15,363 14,880 12,305 11,451 5,223 5,641 4,577 6,000 6,539 4,640 3,668 4,621 5,730 6,210 24,724 27,187 28,174 25,083 23,720 20,485 19,872 20,839. 21,248 19,063 1,766 1,315 1,224 1,457 1,441 223,051 222,612 229,077 233.241 240,273 251,011 250,384 255,337 260,188 272,884 141,556 142,296 143,774 147,427 148,693 148,567 150,749 150,831 153,920 156,599 475,062 480,334 485,203 498,174 510,018 141,009 142,049 142,710 147,704 148,452 83,784 85,014 85,169 86,164 87,475 282,877 291,356 290,070 288,751 307,385 78,522 77,485 78,872 79,458 82,491 105,502 118,420 117,050 116.925 125,048 956,361 917,238 944,892 836,153 977,365 159,400 161,014 179,503 178,544 176,867 227,862 208,542 214,640 210,807 222,792 233,830 [264,509 234,433 1265,747 237,620 270,217 243,606 272,493 249,438 284,335 228,196 232,779 236,708 245,517 253,669 845,849 868,304 885,698 909,863 929,663 7,368 9,706 9,971 7,306 7,214 78,451 93,333 107,528 103,248 104,719 10,779 11,821 8,543 10,365 9,165 220,8% 223,073 226,737 238,211 246,455 767,398 774,971 778,170 806,615 824,944 62,090 71,692 70,621 71,930 73,782 198,776 1182,004 209,651 198,295 211,342 161,494 85,550 107,443 161,921 86,329 108,502 [163,549 86,393 108,916 168,952 87,621 109,944 167,515 88,916 111,005 46,923 53,553 247,491 69,100 34,354 45,381 55,097 243,826 61,207 35,733 43,595 56,022 249,082 74,195 34,997 42,031 60,585 251,202 65,258 34,275 41,036 64,734 245,883 65,920 35,570 100,780 106,593 115,852 116,906 120,967 102,356 104,330 108,170 109,634 106,172 364,958 356,193 345,929 349,436 383,370 106,739 105,973 99,292 108,234 115,098 66,115 68,495 68,573 70,606 69,456 5,694 6,160 7,032 7,137 5,905 72,436 73,776 74,480 75,625 77,977 260; 573 266,711 267,979 270,605 277,801 3,059,652 3,108,377 3,148,740 3,220,560 3,292,098 3,260 31,487 2,770 30,182 3,444 30,472 3,223 28,564 3,091 207,375 227,018 241,305 231,666 234,452 101,749 69,176 229,086 2,852,277 102,342 71,006 236,529 2,881,359 101,884 71,036 237,507 2,907,435 102,807 72,402 242,041 2,988,894 105,100 74,886 241,867 3,057,646 38,917 24 996 40,126 26,651 39,139 26,015 39,977 26,451 39,858 27,878 104,399 1,148,724 105,217 1,172,191 108,685 1,188,343 124,811 1,201,654 130,447 1,240,032 105,586 57,991 171,606 2,618,530 100,204 54,213 171,269 2,536,068 108,820 60,415 159,909 2,615,646 105,561 60,693 149,165 2,494,034 107,359 61,795 159,315 2,711,898 JANUARY, 1920. 101 FEDERAL RESERVE BULLETIN. Federal Reserve note account of each Federal Reserve agent at close of business on Fridays, Nov. 28 to Dec. 26, 1919. [In thousands of dollars, i. e., 000 omitted.] ! Boston. Phila- Clevedelphia. land. Richmond. lanta. Chicago. San St. Minne- Kansas Louis. apolis. City. Dallas. Francisco. Total. FEDEEAL RESERVE NOTES. Received from comptroller: Nov. 28 458,800 Dec. 5 461,800 Dec. 12 461,800 Dec. 19 475,980 Dec. 26 475,980 Returned to comptroller: Nov. 28 182,324 Dec. 5 184,721 Dec. 12 187,792 Dec. 19 189,483 Dec. 26 191,631 Chargeable to Federal Reserve agent: Nov. 28 276,476 Dec. 5 277,079 Dec. 12 274,008 Dec. 19 286,497 Dec. 26 |284,349 Inf hands of Federal Reserve agent: Nov. 28 - 48,280 Dec.5 44,300 Dec. 12 37,300 Dec. 19 40,980 Dec. 26 30,680 Issued to Federal Reserve Bank less amount returned to Federal Reserve agent for redemption: Nov. 28 228,196 Dec.5 232,779 Dec. 12 236,708 Dec. 19 245,517 Dec. 26 253,669 Collateral held as security for outstanding notes: Gold coin and certificates— Nov.28 Dec.5 Dec. 12 Dec. 19 Dec. 26 Gold redemption fund— Nov.28 13,090 Dec.5 13,692 Dec. 12 13,621 Dec. 19 16,930 Dec. 26 14,782 Gold settlement fund, Federal Reserve Board— Nov.28 49,000 Dec.5 58,000 Dec. 12 57,000 Dec. 19 55,000 Dec.26 59,000 Eligible paper, minimum required *— 166,106 Nov.28 161,087 Dec.5 166,087 Dec. 12. 173,587 Dec. 19. Dec. 26 1179,887 1 ,884,860 ,904,660 ,927,120 ,949,420 ,975,560 492,780 498,780 504,780 510,780 510,780 ,51,760 :61,500 t63,740 168,440 174,740 292,640 293,440 299,400 300,400 302,900 289,000 290,500 293,000 294,000 295,000 r 97,S00 804,760 S16,960 823,080 826,400 286,280 286,760 1289,600 293,000 299,600 .46,480 .46,480 .46,480 .49,480 52,080 L9G, 160 L97, 160 199,160 201,160 202,160 .31,740 .35,500 36,500 .38,780 38,780 382,120 388,440 391,240 395,740 406,300 918,011 923,356 928,422 933,557 939,897 230,970 233,007 235,620 238,034 240,002 .63,431 .66,913 .69,483 .71,407 .73,785 .22,843 .24,386 .26,171 27,735 .28,730 86,928 88,383 89,458 90,895 91,746 209,734 273,399 278,143 282,023 287,342 105,906 106,799 108,811 109,748 112,085 52,820 53,441 54,177 54,899 55,604 82,407 83,198 84,184 85,346 86,465 46,314 46,659 47,295 47,860 48,433 117,397 2,379,085 120,579 2,404,841 122,111 2,431,667 123,985 2,454,072 127,349 2,483,069 966,849 981,304 998,698 ,015,863 ,035,663 261,810 265,773 269,160 272,746 270,778 288,329 294,587 294,257 297,033 300,955 169,797 169,054 173,229 172,665 174,170 202,072 202,117 203,542 203,105 203,254 528,146 531,361 538,817 541,057 539,058 180,374 179,961 180,789 183,252 :87,515 93,660 93,039 92,303 94,581 96,476 13,753 113,962 114,976 115,814 115,695 85,426 88,841 89,205 90,920 90,347 264,723 3,431,415 267,861 3,464,939 269,129 3,498,113 271,755 3,515,288 278,951 3,577,211 121,000 27,980 23,820 23,018 113,000 31,340 28,840 21,117 113,000 31,540 24,040 24,878 106,000 29,140 24,540 19,238 106,000 21,340 16,620 18,938 48,865 47,700 48,090 43,455 40,445 28,360 18,880 23,840 18,010 25,440 17,240 17,800 14,300 5,320 20,000 8,110 6,710 5,910 6,960 7,560 6,310 5,460 6,060 5,870 4,690 12,990 15,065 14,725 15,295 12,370 4,150 1,150 1,150 1,150 1,150 371,763 356,562 349,373 324,728 285,113 161,494 161,921 .163,549 168,952 167,515 85,550 86,329 86,393 87,621 88,916 107,443 108,502 108,916 109,944 111,005 72,436 73,776 74,480 75,625 77,977 260,573 266,711 267,979 270,605 277,801 3,059,652 3,108,377 3,148,740 3,220,560 3,292,098 4,000 4,000 4,000 4,000 4,000 13,052 13,052 13,052 13,052 13,052 845,849 868,304 885,698 909,863 929,663 233,830 234,433 237,620 243,606 249,438 85,000 95,000 95,000 90,000 110,000 562,972 576,948 595,628 621,112 622,278 146,779 147,937 148,351 153,427 155,232 153,207 154,417 155,452 159,650 162,809 499,786 507,521 513,377 523,257 533,738 2,500 2,500 2,500 2,500 2,500 24,125 37,525 32,725 32,525 32,025 183,740 183,740 183,740 183,740 183,740 14,137 12,616 11,330 15,011 13,645 264,509 265,747 270,217 272,493 284,335 8,831 8,831 8,831 8,831 8,831 5,810,500 5,869,780 5,929,780 6,000,260 6,060,280 236,248 249,648 244,848 244,648 244,148 923 1,381 1,595 2,031 1,036 4,053 4,097 3,522 3,085 4,234 9,347 8,682 7,938 9,058 8,738 3,169 4,277 4,264 5,327 2,990 1,502 2,881 2,145 1,423 2,718 2,557 3,766 2,779 3,617 2,498 4,681 4,336 5,700 5,136 4,563 14,492 13,439 12,787 20,913 19,247 99,461 98,158 90,489 110,000 103,575 63,389 65,000 46,000 64,389 65,000 44,000 68,389 70,000 42,000 66,389 70,000 40,000 66,390 80,000 40,000 47,000 48,500 50,000 55,000 58,000 238,144 235,144 241,144 242.144 237.145 61,931 52,930 65,931 55,931 58,930 19,800 19,800 19,800 19,800 19,800 36,360 36,360 36,360 36,360 37,360 11,484 13,484 11,484 12,484 14,484 89,907 91,778 95,898 103,898 111,200 813,015 824,385 853,006 847,006 892,309 159,007 147,327 153,167 155,568 159,287 99,654 99,320 99,430 99,065 98,075 252,295 263,695 264,295 272,055 287,855 92,394 100,714 89,354 103,694 101,595 51,196 50,596 51,396 53,346 53,346 68,526 68,376 69,777 69,967 71,147 47,440 47,125 48,465 49,174 50,099 156,174 161,494 159,294 145,794 147,354 1,910,928 1,936,186 1,960,397 2,018,906 2,052,066 15,133 13,096 10,483 13,069 16,101 155,308 156,948 158,748 164,148 166,947 16,377 15,895 14,325 14,400 13,023 99,856 102,556 104,756 111,396 114,196 For actual amounts see "Paper delivered to Federal Reserve agent" on p . 100. ' 102 FEDERAL RESERVE BULLETIN. JANUARY, 1920. CONDITION OF MEMBER BANKS IN SELECTED CITIES. Liquidation of 38.8 millions of United States securities, of 43.4 millions of war paper (exclusive of rediscounts), and of 16.9 millions of loans secured by stocks and bonds, accompanied by an increase of 131.5 millions in all other loans and investments (also exclusive of rediscounts), are the principal developments in the condition of about 790 member banks in leading cities for the five-week period November 14-December 19, 1919. During the period, the Treasury issued, on December 1 and December 15, a total of 1,150.6 millions of tax and loan certificates and redeemed the outstanding balances of two series of tax certificates issued during June and July, 1919, as well as a portion of the loan certificates due early in 1920. The banks' holdings of Treasury certificates, which stood at 835.5 millions on November 14, declined to 816.5 millions on November 28, as the result of redemptions before maturity and sales to customers, but increased to about 862 millions on December 5 after two new issues were placed. Between December 5 and December 19 one new issue was allotted and large amounts of certificates were redeemed on and before maturity, the net result for the entire five-week period being a slight increase of 8.8 millions in certificate holdings. Liberty bonds held declined 8.6 millions, and Victory notes 39.2 millions, presumably as the result of absorption of these amounts by the public. A new classification of rediscounts with the Federal Reseserve Banks, showing separately the amounts of rediscounted paper secured by Government obligations and otherwise secured or unsecured, was presented for the first time in the condition statement for December 12. This information makes it possible to determine the total amount of war paper held by the banks or rediscounted by them with the Federal Reserve Banks. This gross figure was 1,342.8 millions on December 12, and 1,328.9 millions on December 19, indicating a net liquidation of 13.9 millions for that week. The aggregate amount of paper rediscounted by the reporting banks with the Federal Reserve Banks increased from 675.1 millions on November 14 to 792.3 millions on December 19. Of the latter amount, 306.3 millions was secured by Government war obligations, while 486 millions represents paper7 otherwise secured or unsecured. The banks own bills payable with Federal Reserve Banks declined from 1,070.3 millions on November 14 to 846.1 millions five weeks later. The shift from collateral notes to rediscounts is due in part to changes in discount rates which with most Federal Reserve Banks no longer favor 15-day paper. Of the bills payable on December 19 all but 4.7 millions are collateraled by United States war obligations. Loans secured by stocks and bonds, after showing a considerable amount of liquidation for the three weeks November 14-December 5, resumed their upward course during the most recent two weeks of the period under review, with the net result that the aggregate of these loans, which was 3,287.4 millions on November 14, was still 3,270.5 millions on December 19, and constituted on that date 20.9 per cent of the banks' total loans and investment, as compared with 21.1 per cent five weeks earlier. A larger decrease from 2,817.5 to 2,735.1 millions is shown for the aggregate amount of war securities and war paper held by the reporting banks, these holdings constituting 17.5 per cent of the banks' total loans and investments at the end of the period, compared with 18.1 per cent at the beginning. Fluctuations in volume of Government deposits during the period under review reflected the Treasmy's transactions in placing and redeeming certificates of indebtedness and also the payment by the public of the December installment of income and excess profits taxes. The high points in Government deposits are consequently shown for December 5, 415.1 millions, and for December 19, 647.9 millions. Other demand deposits (net) in general followed a course opposite to that shown for Government deposits, and reached the lowest levels on December 5, the Friday following the flotation of two series of tax certificates, and December 19, following a further issue of certificates and the December 15 tax payment resulting in heavy withdrawals of both individual and bank deposits from reporting banks. On the most recent date net demand deposits were 240.5 millions below the figure for November 14. Time deposits, after some fluctuations, stand at practically the same amount at the end as at the beginning of the five-week period. Reserve balances with the Federal Reserve Banks declined almost without interruption during the period under review, and on December 19 stood 111.3 millions below the November 14 figure. This decline reflects to some extent the net reduction in the accommodation obtained by the member banks from the Federal Reserve Banks, as7 measured by the combined total of the banks own bills payable 103 FEDERAL RESERVE BULLETIN. JANUARY, 1920. and their rediseoimted customers' paper, a total lions in cash on hand, probably Federal Rewhich shows a reduction of about 107 millions serve notes, may be noted for the period. for the five weeks. An increase of 19.5 milPrincipal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bank cities and in Federal Reserve branch cities, as at close of business on Fridays from Nov. 21 to Dec. 19, 1919. 1. ALL REPORTING MEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT. [In thousands of dollars; i. e., 000 omitted.] Boston. Number of reporting banks: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 United States bonds to secure circulation: Nov. 21 Nov.28 Dec.5 Dec.12 Dec.19 Dther United States bonds, including Liberty bonds: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 United States Victory notes: Nov. 21 Nov.28 Dec.5 Dec.12 Dec.19 United States certificates of indebtedness: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 Total United States securities owned: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 Loans secured by United States bonds, Victory notes, and certificates: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 Loans secured by stocks and bonds, other than United States securities: Nov.21 Nov.28 Dec.5 Dec.12 Dec.19 All other loans and investments: Nov. 21 Nov.28 Dec.5 Dec.12 Dec.19 Total loans and investments: Nov.21 Nov. 28. Dec.5 Dec.12 Dec. 19 Reserve balances with Federal Reserve Bank: Nov.21 Nov.28 Dec. 5 Dec.12 Dec. 19 New York. Philadelphia. Cleveland. Rich- At- mond. | lanta. Chicago. San St. Minne- Kansas Louis. apolis. City. Dallas. Francisco. 107 107 107 107 107 Total. 46 46 46 46 46 112 112 112 112 112 13,536 13,536 13,536 13,536 13,536 48,737 48,759 48,759 48,887 48,887 11,097 11,097 11,197 11,097 11,097 41,841 41,841 41,841 41,841 41,841 26,071 26,071 26,071 26,271 26,271 14,015 14,015 14,015 14,015 14,015 20,857 20,859 20,873 20,873 20,873 17,154 17,154 17,154 17,153 17,153 7,120 7,120 7,120 7,120 7,120 14,467 14,467 14,467 14,467 14,217 19,573 19,573 19,573 19,573 19,573 34,605 34,605 34,819 35,017 34,605 269,073 269,097 269,425 269,850 269,188 14,835 14,498 15,041 14,336 14,410 283,770 275,007 276,139 275,440 271,078 28,936 29,411 29,516 29,556 29,670 62,501 62,198 62,632 63,282 62,737 36,938 37,194 37,403 36,341 36,919 27,936 28,680 28,796 28,697 28,140 51,799 54,244 53,109 53,099 54,561 13,840 14,375 14,068 14,794 14,650 10,148 9,785 10,502 10,322 10,604 25,165 24,970 25,309 25,107 24,570 19,859 20,127 20,368 20,688 20,717 58,641 57,732 58,491 57,066 58,241 634,368 628,221 631,374 628,728 626,297 8,158 7,858 7,870 7,744 7,767 117,907 110,860 105,922 103,132 95,472 13,783 14,060 13,112 12,930 12,325 27,262 27,023 26,223 26,987 25,926 13,573 13,215 13,128 12,904 12,608 9,778 9,537 9,338 9,045 8,286 49,550 48,414 47,118 45,930 45,133 6,008 5,743 5,550 5,348 5,515 4,065 3,738 3,777 3,376 2,996 8,487 8,177 7,990 7,546 7,221 4,722 4,593 4,153 4,100 4,050 12,229 12,763 12,284 12,582 14,611 275,522 265,981 256,465 251,624 241,910 30,347 36,680 46,582 45,941 48,036 388,873 381,015 362,972 324,934 332,503 39,607 39,450 50,411 43,531 58,059 67,116 64,935 68,518 60,273 66,880 20,831 20,863 28,809 28,719 29,602 30,714 29,137 37,549 38,185 41,935 115,710 117,729 126,229 117,332 112,307 13,054 11,140 13,779 13,034 23,089 23,255 22,321 21,647 17,946 17,773 21,229 20,989 20,684 20,468 24,565 14,857 16,330 21,810 21,331 36,585 55,423 55,951 63,027 61,028 52,975 821,016 816,540 862,017 792,722 844,309 66,876 72,572 83,029 81,557 83,749 839,287 815,641 793,792 752,393 747,940 93,423 94,018 104,236 97,114 111,151 198,720 97,413 82,443 195,997 97,343 81,369 199,214 105,411 192,383 104,235 89,942 197,384 105,400 92,376 237,916 241,246 247,329 237,234 232,874 50,056 48,412 50,551 50,329 60,407 44,588 42,964 43,046 38,764 38,493 i 69,348 59,011 j 68,603 60,623 68,450 65,904 I 67,588 65,692 70,573 80,925 160,898 161,051 168,621 165,693 160,432 1,999,979 1,979,839 2,019,281 1,942,924 1,981,704 40,764 40,745 42,419 39,454 43,790 553,628 543,188 528,072 528,199 522,164 116,361 1116,397 106,462 105,168 104,527 91,885 93,589 90,024 89, 111 91,107 37,665 37,687 37,783 37,554 37,904 24,832 24,749 24,810 24,515 24,566 96,898 96,193 96,186 93,340 93,478 29,870 30,208 30,644 30,417 31,292 14,712 15,779 14,927 15,052 14,782 19,807 19,758 20,022 20,223 20,368 6,228 27,566 6,513 28,857 7,045 29,713 7,469 30,072 7,423 31,232 1,060,216 1,053,663 1,028,107 1,020,574 1,022,633 210,960 202,583 202,489 200,950 197,266 ,427,816 ,430,583 ,398,127 ,430,330 ,462,037 213,119 209,433 210,038 215,032 201,504 339,392 343,951 348,995 350,165 351,281 114,029 113,594 113,809 115,668 114,151 49,246 50,196 51,676 52,321 54,474 457,598 458,838 464,092 468,890 467,834 149,219 151,098 151,800 154,142 158,949 32,066 30,737 31,176 30,823 31,454 71,893 73,638 73,359 72,563 73,806 30,644 30,374 30,555 29,897 31,107 124,955 127,597 128,729 128,281 126,648 3,220,937 3,222,622 3,204,845 3,249,062 3,270,511 660,443 645,266 648,335 666,797 671,609 3,276,725 3,288,524 3,267,192 3,282,980 3,342,708 481,800 490,233 482,589 486,520 486,197 782,475 783,803 787,525 794,301 794,059 344,149 340,274 342,202 341,332 339,859 342,335 332,958 339,242 351,794 353,591 1,344,361 1,343,307 1,343,285 1,361,089 1,368,797 295,366 299,877 303,613 309,416 305,726 255,764 256,039 256,321 249,601 253,984 464,136 468,601 474,628 463,262 469,232 205,364 209,301 210,919 210,544 211,695 729,49S 736,955 730,836 729,061 742,501 9,182,416 9,195,138 9,186,687 9,246,697 9,339,958 794 795 796 796 796 524,511 347,130 625,184 301,247 1,042,91715,463.548 979,043 6,097,456 904,703 1,412,472 593,256 498,856 2,136,773 961,166 6,077,936 910,081 1,417,340 588,898 489,272 2,139,584 529,595 345,519 630,600 306,811 1,054,46015,451', 262 1,057,89915,438,920 976,272 5,987,183 903,325 1,425,758 599,205 505,426 2,150,892 536,608 345,470 636,459 314,423 334,240 623,636 313,602 1,053,10715,459,257 988,758 5,993,902 903,834 1,425,960 598,789 518,572 2,160,553 544,304 1,060,81315,614,806 331,150 556,374 633,979 338,713 2,162,983 6,074,849 903,379 1,433,831 597,314 525,007 79,590 73,601 79,903 84,696 77,189 687,255 720,101 694,393 677,355 629,951 66,070 60,354 66,769 62,087 64,043 93,553 90,391 90,214 91,741 88,901 39,414 40,440 37,882 40,908 37,378 33,824 32,911 30,836 35,365 35,777 185,565 181,235 182,522 192,857 183,027 43,411 43,373 44,420 43,382 40,503 26,738 25,789 22,045 23,600 21,091 54,162 50,072 52,129 49,202 43,723 26,094 24,582 27,453 28,216 25,524 73,437 72,007 77,627 73,020 71,830 1,409,113 1,414,856 1,406,193 1,402,429 1,316,937 104 JANUARY, 1920. FEDERAL RESERVE BULLETIN. Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bank cities and in Federal Reserve branch cities, as at close of business on Fridays from Nov. 21 to Dec. 19,1919—Contd. 1. ALL REPORTING MEMBER BANKS IN EACH FEDERAL RESERVE DISTRICT—Continued. [In thousands of dollars; i. e., 000 omitted.] Cash in vault: Nov. 21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Net demand deposits on which reserve is computed: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Time deposits: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Government deposits: Nov.21. Nov.28 Dec. 5 Dec. 12 Dec. 19 Bills payable with Federal Reserve Bank: Nov.21 Nov.28 Secured by United States war obligationsDec. 5 Dec. 12 Dec. 19 All otherDec. 5 Dec. 12 Dec. 19 Bills rediscounted with Federal Reserve Bank: Nov.21 Nov.28 Secured by United States war obligations— Dec. 5 Dec. 12 Dec. 19 All otherDec. 5 Dec. 12 Dec. 19 Boston. New York. Philadelphia. 24,748 24,578 26,304 26,520 28,431 129,976 129,830 134,733 132,605 136,195 18,209 18,333 19,232 19,576 20,549 35,848 32,329 36,134 35,632 37,760 18,634 18,589 18,271 17,361 18,456 13,704 14,707 13,835 14,032 14,646 71,261 70,576 71,528 72,093 71,978 11,527 12,380 12,502 12,388 13,054 9,138 9,174 10,369 9,101 9,137 14,962 15,506 15,534 16,103 15,110 10,897 12,096 11,357 11,769 10,798 27,142 26,445 26,188 26,378 27,440 386,046 384,543 395,987 393,558 403,554 784,693 779,391 788,991 806,688 767,447 5,109,451 5,121,787 5,013,899 5,099,590 5,066,722 666,231 675,676 674,581 638,432 825,594 821,437 824,759 837,166 816,544 374,781 374,830 364,802 371,828 360,777 289,997 284,149 297,969 302,283 1,405,803 1,380,974 1,370,900 1,415,244 1,364,973 342,442 338,631 337,534 352,307 354,045 259,087 255,242 247,390 244,222 241,705 462,994 467,785 464,156 474,487 456,149 234,892 236,932 234,319 234,160 235,769 588,386 604,377 597,419 596,047 590,239 11,343,085 11,337,614 11,203,994 11,404,289 11,195,085 124,312 126,501 127,901 128,964 128,032 427,627 419,076 389,174 393,898 397,768 22,393 22,440 22,215 22,234 22,172 323,879 323,239 326,055 326,453 330,219 96,782 96,794 96,859 96,687 96,900 119,052 118,743 120,448 120,172 119,729 543,975 548,195 552,175 553,391 555,033 107,590 109,459 111,664 110,757 110,727 59,083 53,214 59,642 59,597 59,884 83,099 83,531 83,254 83,692 85,612 33,290 33,338 30,427 35,187 35,551 347,104 347,603 350,864 352,641 351,757 2,288,186 2,288,133 2,270,678 2,283,673 2,293,384 15,613 13,212 31,027 22,840 42,433 118,196 87,281 171,328 114,606 283,506 15,338 11,366 24,528 17,100 41,199 17,887 14,516 30,845 22,211 53,701 7,497 6,850 15,177 10,851 15,829 3,144 2,587 15,773 14,304 24,663 24,009 4,473 5,740 6,143 22,056 3,516 5,245 6,215 52,859 13,037 11,605 12,543 38,427 10,497 8,169 8,863 67,912 27,102 9,992 15,229 4,726 4,178 15,132 12,335 34,890 8,935 6,031 21,209 15,759 31,442 231,701 183,053 415,063 295,962 647,898 35,808 33,573 507,873 78,472 553,923 78,324 98,784 103,407 48,940 42,489 48,290 45,756 106,781 21,376 20,084 37,038 108,853 28,426 21,310 35,612 10,029 13,434 41,057 1,054,532 42,828 1,107,935 17,259 34,880 43,761 465,735 80,647 458,054 80,929 339,853 73,757 89,481 90,959 89,923 46,414 45,719 52,637 45,240 50,189 45,078 104,682 21,497 16,400 28,301 94,903 18,506 13,358 28,043 89,767 25,627 13,343 31,549 13,950 13,175 9,770 50,101 41,030 28,751 980,186 971,714 841,368 2,937 3,670 215 215 77 100 100 335 4,942 5,340 4,735 69,970 22,122 23,348 39,507 78,195 21,654 25,103 38,081 6,686 6,505 31,741 27,092 679,546 704,974 5,248 4,187 3,800 83 73 124 3,271 2,642 2,482 320,170 322,204 306,274 67,911 24,407 29,082 32,385 86,624 24,158 34,287 31,612 89,917 18,458 39,554 32,304 5,726 4,852 4,580 25,641 19,765 23,110 419,428 461,599 486,037 Cleveland. San Rich- AtSt. Minne- Kansas mond. lanta. Chicago. Louis. apolis. City. Dallas. Francisco. 175 175 84,435 91,094 217,733 235,424 87,853 37,073 40,526 50,334 56,767 54,188 146,272 75,302 144,443 76,730 127,784 78,696 9,287 9,677 9,271 34,843 33,185 42,961 111,539 13,088 135,906 12,177 131,529 24,283 32,861 39,290 38,083 17,844 35,184 19,999 33,448 10,201 10,252 10,746 750 750 575 505 460 2,977 3,150 3,105 11,014 30,931 11,551 28,192 14,388 26,870 9,672 7,865 6,678 5,065 4,290 6,977 190 100 100 2,458 2,128 2,423 Total. 2. MEMBER BANKS IN F E D E R A L R E S E R V E BANK CITIES. Number of reporting banks: Nov. 21 Nov. 28 Dec. 5 Dec. 12.... Dec. 19 United States bonds to secure circulation: Nov.21 Nov. 28 Dec. 5.. Dec. 12 Dec. 19 Other United States bonds, including Liberty bonds: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 22 22 22 22 22 71 71 71 71 71 41 41 41 41 41 3,606 3,606 3,606 3,606 3/606 39,040 39,062 39,062 39,190 39,190 7,087 7,087 7,187 7,087 7,087 6,918 6,454 7,130 6,288 6,522 253,264 245,014 245,917 245,387 241,147 22,367 22,918 22,826 22,219 22,272 9 9 9 9 9 8 8 8 8 8 50 50 50 50 50 13 13 13 13 13 9 9 9 9 9 19 20 20 20 20 6 6 6 6 6 15 15 15 15 15 275 276 276 276 276 3,631 3,631 3,631 3,631 3,631 2,832 2,832 2,832 2,832 2,832 3,100 3,100 3,100 3,100 3,100 1,438 1,438 1,438 1,438 1,439 10,549 10,549 10,549 10,548 10,548 2,791 2,791 2,791 2,791 2,791 4,753 4,753 4,753 4,753 4,753 4,560 4,560 4,560 4,560 4,560 18,500 18,500 18,500 18,500 18,500 101,887 101,910 102,009 102,036 102,037 9,707 9,687 9,759 9,555 9,685 5,722 5,729 5,713 5,160 5,452 1,357 1,363 1,393 1,414 1,500 17,415 18,966 18,239 18,256 21,159 5,651 6,016 5,897 5,916 5,824 1,307 1,389 1,466 1,598 1,630 8,793 8,701 8,404 8,346 8,218 4,839 4,860 5,070 5,280 5,341 37,764 36,602 37,471 36,296 36,657 375,104 367,699 369,274 365,715 365,407 JANUARY, 1 9 2 0 . 105 FEDERAL RESERVE BULLETIN. Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bank cities and in Federal Reserve .branch cities, as at close of business on Fridays from Nov. 21 to Dec. 19,1919—Contd. 2. MEMBER BANKS IN FEDERAL RESERVE BANK CITIES—Continued. [In thousands of dollars; i. e., 000 omitted.] United States Victory notes: Nov.21 Nov. 28 Dec. 5 Dec. 12 Dec. 19 United States certificates of indebtedness: Nov. 21 Nov. 28 Dec. 5 Dec. 12 Dec. 19 TotalUnited States securities owned: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Loans secured by United States bonds, Victory notes, and certificates: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Loans secured by stocks and bonds, other than United States securities: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 All other loans and investments: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Total loans and investments: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Reserve balances with Fedderal Reserve Bank: Nov.21 Nov.28 Dec 5 Dec. 12 Dec. 19 Cash in vault: Nov.21 Nov.28 Dec. 5 Dec. 12 , Dec. 19 Net demand deposits on which reserve is computed: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 Time deposits: Nov.21 Nov.28 Dec.5 Dec. 12 Dec.19 Government deposits: Nov.21.. Nov.28 Dec.5 Dec. 12 Dec.19 Boston. New York. Philadelphia. Cleveland. San RichSt. Minne- Kansas Atmond. lanta. Chicago. Louis. apolis. City. Dallas. Francisco. 1,038 985 1,012 953 953 104,751 10,134 97,782 10,454 93,183 9,793 90,903 9,485 84,287 8,928 6,712 6,639 6,268 6,053 5,465 782 753 756 687 607 793 747 724 723 24,326 23,103 22,244 21,213 20,490 Total. 2,503 2,305 2,132 2,000 2,144 1,001 772 921 630 4,657 4,511 4,364 4,017 3,779 1,384 1,283 1,001 5,952 6,396 6,191 6,180 7,882 164,068 155,776 148,612 143,814 136,382 8,302 7,190 7,038 6,013 6,176 4,952 4,324 5,179 4,982 5,667 2;845 3,611 7,153 6,236 23,004 22,868 23,177 25,372 25,441 23,383 550,523 544,938 567,647 516,396 562,946 13,401 23,155 12,142 22,289 12,205 22,700 11,032 10,856 22,417 13,628 14,314 17,784 17,045 33,770 85,084 84,675 87,534 86,417 86,422 1,191,582 1,170,323 1,187,542 1,127,961 1,166,772 17,271 24,135 30,322 30,455 31,706 364,530 356,427 338,423 305,172 311,191 33,783 33,680 44,464 39,349 54,123 12,368 12,112 17,411 16,610 16,355 935 935 1,107 1,157 1,690 13,517 11,742 18,139 17,889 17,775 59,320 9,832 59,347 8,258 61,575 11,464 52,539 10,553 51,572 20,304 28,833 35,180 42,070 41,302 42,787 761,585 738,285 716,585 680,652 675,815 73,371 74,139 84,270 78,140 92,410 32,418 32,069 37,069 35,849 35,136 10,271 10,249 10,408 9,836 10,581 18,802 23,379 23,127 23,098 102,499 28,535 102,855 27,128 103,496 30,042 93,446 29,017 94,660 38,820 27,170 27,227 29,061 26,053 29,508 523,662 513,729 498,373 498,321 493,081 111,361 111,380 101,346 99,837 99,283 26,239 13,918 27,762 14,080 25,493 14,050 25,460 13,974 25,400 14,056 6,084 6,132 6,263 6,221 6,365 70,251 69,333 68,988 66,672 66,258 21,496 21,479 21,701 21,302 22,211 8,072 8,102 8,480 8,254 8,282 6,002 5,907 6,086 6,024 6,077 1,120 1,150 1,710 2,033 2,057 15,966 16,813 17,298 17,284 18,545 831,341 823,094 798,849 791,435 791,123 63,982 155,854 153,931 156,483 152,420 1,286,057 1,289,057 1,256,169 1,292,134 1,322,228 195,089 191,371 192,188 196,729 183,027 124,869 20,256 126,110 19,171 128,854 19,076 127,772 19,356 132,372 19,360 6,166 6,757 6,779 6,597 7,306 373,091 373 497 369,595 373,488 371,480 .19,824 .22,334 .21,550 .23,136 .27,176 14,270 14,342 14,390 14,490 14,608 32,133 32,589 33,005 32,673 32,591 9,591 9,657 9,592 9,552 9,785 65,039 63,410 62,760 62,347 62,303 2,410,367 2,404,149 2,367,889 2,414,757 2,434,656 460,875 445,884 448,543 459,590 463,596 2,915,897 2,926,637 2,903,600 2,922,888 2,982,667 418,315 425,318 416,603 421,791 421,083 221,379 221,067 224,885 228,050 222,295 67,228 66,578 68,351 67,975 67,369 54,762 52,831 53,538 56,057 54,974 763,081 764,808 770,445 782,600 788,779 179,850 180,641 182,287 186,011 181,494 118,542 118,789 117,988 114,069 111,777 164,570 167,467 169,755 160,730 168,722 51,127 52,155 51,087 51,495 383,952 396,192 393,845 391,590 51,884 402,366 5,799,578 5,818,367 5,800,927 5,842,846 5,917,006 680,860 664,145 673,605 683,428 688,311 5,487,201 5,467,708 5,374,727 5,393,995 5,473,791 798,136 802,208 794,407 796,497 795,803 404,905 407,008 416,301 417,131 415,203 111,673 110,078 111,885 111,141 111,366 85,814 82,718 89,959 92,002 91,743 1,308,922 1,310,493 1,312,524 1,316,206 1,321,177 349,705 351,582 355,580 359,466 369,701 154,285 153,375 153,063 147,845 145,523 225,860 228,252 231,546 221,525 229,807 75,466 77,276 80,173 80,125 97,496 550,041 561,090 561,437 557,638 10,232,868 10,215,933 10,155,207 10,176,999 10,309,557 63,759 57,692 65,147 69,527 62,894 652,031 682,727 655,473 637,966 592,798 59,321 54,241 60,618 54,861 57,597 25,553 26,562 25,475 24,960 24,787 7,312 8,909 6,933 8,693 6,262 7,132 6,964 5,198 7,800 6,182 130,271 126,836 129,277 132,118 129,821 32,142 13,899 19,456 32,829 12,938 17,908 33,158 9,711 20,307 33,181 11,732 14,817 29,550 9,322 7,104 7,306 8,111 6,894 7,604 36,080 34,506 37,252 33,520 32,654 1,054,060 1,069,418 1,056,660 1,036,069 968,170 15,258 15,324 16,171 16,417 18,450 116,646 115,907 119,883 118,772 122,080 14,371 14,357 14,788 15,650 16,304 8,054 8,162 8,653 9,127 8,921 1,749 2,042 1,667 1,665 2,005 2,399 2,314 2,368 2,430 2,585 42,312 41,011 42,737 42,917 43,480 6,009 6,421 6,502 6,846 7,321 2,883 2,926 2,981 2,981 2,880 4,289 4,134 4,043 4,261 4,021 2,027 2,025 2,127 2,350 2,108 10,264 9,640 10,240 10,167 10,196 226,261 224,263 232,160 233,583 240,351 607,183 601,285 611,773 623,175 591,603 4,673,083 4,685,335 4,578,006 4,659,045 4,624,791 »82; 205 580,308 589,966 588,169 552,165 213,856 215,718 213,662 217,088 206,886 74,343 76,016 70,977 72,969 67,374 51,781 51,079 48,389 51,788 49,677 958,691 944,695 944,723 955,428 935,975 241,000 237,133 235,157 246,023 244,131 111,656 110,678 108,991 107,418 105,716 170,267 169,178 175,345 174,265 163,203 65,941 64,938 62,810 65,047 65,315 270,606 286,401 278,223 271,592 270,058 8,020,612 8,022,764 7,918,022 8,032,007 7,876,894 36,957 39,000 39,798 40,652 40,276 344,855 336,312 305,433 310,148 313,749 13,762 13,716 13,480 13,517 13,455 157,542 157,297 159,371 160,301 166,298 19,525 19,623 19,338 19,656 19,604 18,537 18,633 19,968 19,024 18,070 246,819 249,201 250,855 251,940 253,695 66,819 68,463 68,535 68,333 68,372 21,540 11,715 21,557 11,958 21,699 10,061 21,226 10,091 21,517 12,123 3.652 3,565 3,607 3,563 3,546 201,955 202,840 204,311 207,170 205,704 1,143,678 1,142,165 1,116,456 1,125,621 1,136,409 11,597 9,632 21,609 15,492 30,343 115,807 85,157 163,046 107,797 271,499 13,689 9,864 22,812 16,257 139,60 7,672 6,698 14,742 10,373 18,297 1,761 1,657 2,453 1,293 2,300 849 695 7,501 7,120 7,222 3,094 2,992 6,547 5,024 6,768 3,040 2,619 10,579 8,987 28,520 5,251 3,063 13,328 10,141 23,912 186,644 143,799 309,917 215,836 501,198 18,243 3,916 16,961 3,043 31,925 11,555 21,155 9,324 45,798 24,183 1,725 1,418 3,820 2,873 3,196 106 FEDERAL RESERVE BULLETIN. JANUARY, 1920. Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bank cities and in Federal Reserve branch cities, as at close of business on Fridays from Nov. 21 to Dec. 19,1919—Gontd. 2. MEMBER BANKS IN FEDERAL RESERVE BANK CITIES—Continued. [In thousands of dollars; i. e., 000 omitted.] Boston. Bills payable with Federal Reserve Bank: Nov. 21 Nov. 28 Secured by United States war obligations— Dec.5 Dec. 12 Dec. 19 All other— Dec.5 Dec. 12 Dec. 19 T3ills rediscounted with Federal Reserve Bank: Nov. 21 Nov.28 Secured by United States war obligationsDec. 5 Dec. 12 Dec. 19 All otherDec. 5 Dec. 12 Dec. 19 New York. Philadelphia. I Cloveland. Richmond. Atlanta. St. Minne- Kansas Dallas. FranChicago. Louis. apolis. City. cisco. Total. 28,833 26,673 451,119 71,892 497,404 71,799 19,923 19,470 7,290 5,399 8,357 5,730 50,691 54,119 12,662 19,307 7,714 7,591 14,074 13,169 3,600 22,492 23,057 695,047 747,318 12,224 27,188 36,180 416,234 73,774 415,069 74,958 298,806 69,684 19,240 20,900 23,595 7,222 8,082 9,704 7,775 8,835 9,110 49,959 12,860 43,041 11,368 45,962 18,129 4,884 3,954 4,097 10,663 10,905 12,251 3,925 2,615 1,500 28,720 21,526 15,673 647,480 648,441 544,691 750 750 75,024 81,626 203,256 92,499 218,202 86,513 23,346 26,032 3,077 3,128 1,607 1,498 54,671 62,957 42,270 48,986 45,321 140,348 75,302 138,605 76,730 122,446 78,696 4,674 4,518 3,959 2,842 2,895 2,813 429 615 615 5,030 3,447 2,467 33,122 31,589 40,657 100,378 11,460 124,155 10,872 122,882 23,866 20,521 24,971 27,701 143 103 1,180 1,620 1,450 2,591 57,147 75,131 75,874 750 750 6,385 19,068 17,897 5,505 20,178 19,299 2,552 2,802 23,975 19,119 523,357 546,859 1,827 1,624 1,344 75 65 33 1,488 1,328 1,596 278,141 282,462 265,105 10,082 22,536 14,937 10,835 26,281 13,778 8,290 31,063 13,967 2,332 1,811 1,588 19,634 14,162 16,318 293,912 335,138 365,977 2,228 2,020 2,289 1,628 1,629 3,526 3. MEMBER BANKS IN FEDERAL RESERVE BRANCH CITIES. RichNew CleveFranAtlanta Chicago6 St. Louis Kansas Dallas San mond York land City cisco Total. District.1 District.* District.3 District.* District. District.* District.* District.' District.9 Number of reporting banks: Nov. 21... Nov.28 Dec.5 Dec.12 Dec 19 United States bonds to securecirculation: Nov. 21 Nov. 28 Dec.5 Dec. 12 Dee. 19 Other United States bonds, including Liberty bonds: Nov. 21 Nov.28 Dec.5 Dec. 12 Dec. 19 United States Victory notes: Nov. 21 Nov.28 Dec.5 Dec.12 Dec. 19 United States certificates of indebtedness: Nov.21 Nov.28 Dec.5 Dec.12 , Dec. 19 Total United States securities owned: No/21 Nov.28 Dec.5 Dec. 12 Dec. 19 Loans secured by United States bonds, Victory notes, and certificates: Nov.21 Nov.28 Dec. 5 Dec. 12 Dec. 19 38 j 38 38 38 38 19 19 19 19 19 24 24 24 24 24 12 12 12 12 12 18 18 18 18 18 17 17 17 17 17 11 11 11 11 11 30 30 30 30 30 178 178 178 178 178 1,599 1,599 1,599 1,599 1,599 24,897 24,897 24,897 24,897 24,897 5,583 5,583 5,583 5,583 5,583 6,915 6,915 6,915 6,915 6,915 1,870 1,870 1,870 1,870 1,870 5,255 5,255 5,255 5,255 5,255 4,487 4,487 4,487 4,487 4,237 7,108 7,108 7,108 7,108 7,108 8,485 8,485 8,699 8,897 8,485 66,199 66,199 66,413 66,611 65,949 7,308 7,161 7,233 7,181 7,382 40,114 ! 40,285 40,311 41.383 41,211 9,055 9,125 9,062 9,170 9,326 22,494 23,312 23,211 23,203 22,630 16,298 16,292 16,254 16,527 14,533 7,401 7,585 7,327 8,033 7,964 6,518 6,542 7,122 7,411 7,704 7,706 7 833 7,848 7,950 7,905 14,135 14,406 14,189 13,880 14,699 131,029 132,541 132,557 134,738 133,354 4,364 4,390 4,283 4,202 3,714 16,120 16,081 15,946 16,826 16,500 3,906 3,911 3,941 3,899 3,882 6,767 6,659 6,579 6,438 5,848 14,749 14,652 14,547 14,527 14,478 3,303 3,239 3,276 3,213 3,236 1,444 1,203 1.199 1,185 1,058 1,484 1,477 1,469 1,487 1,558 4,114 4,287 4,004 4,316 4,555 56,251 55,899 55,244 56,093 54,829 11,729 11,727 11,099 7,861 8,567 46,173 44,655 40,103 33,419 40,631 10,789 10,754 15,946 16,020 16,518 14,373 37,727 14,571 37,526 16,586 , 48,740 15,097 49,129 19,125 48,025 3,122 2,788 2,233 2,359 2,719 7,753 8,153 6,352 6,484 9,191 7,724 8,0-4 9,184 9,434 7,002 22,280 22,418 24,663 24,221 21,128 161,670 160,676 174,906 164,024 172,906 25,000 24,877 24,214 20,843 21,262 127,304 125,918 121,257 116,525 123,239 29,333 29,373 34,532 34,672 35,309 50,549 51,457 53,291 51,653 54,518 70,644 70,340 81,411 82,053 78,906 19,081 18,867 18,091 18,860 19,174 20,202 20,385 19,160 19,567 22,190 24,022 24,502 25,609 25,979 23,573 49,014 49,596 51,555 51,314 48,867 415,149 415,315 429,120 421,466 427,038 7,203 6,291 §,471 6,379 6,268 54,671 54,376 53,206 52,185 54,068 9,698 9,563 9,449 9,171 9,449 13,329 13,255 13,101 12,909 12,734 11,481 10,989 10,996 10,724 10,660 7,335 7,682 7,898 8,073 8,024 9,643 9,542 9,606 9,648 9,790 2,059 1,969 1,966 1,960 1,951 6,682 7,103 7,254 7,396 7,323 122,101 120,770 119,947 118,445 120,267 JANUARY, 1920. 107 FEDERAL RESERVE BULLETIN. Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bankcities and in Federal Reserve branch cities, as at close of business on Fridays from Nov. 21 to Dec. 19,1919—Contd. 3. MEMBER BANKS IN FEDERAL RESERVE BKANCH CITIES—Continued. [In thousands ol dollars; i. eM 000 omitted.] RichNew CleveAtlanta Chicago St. Louis Kansas Dallas San Fran York City land . mond 5 Cisco I Total. District.1 District.2 District.3 District.* District. District.« District; District.8 District.9! Loans secured by stocks and bonds, other than United States securities: Nov. 21 Nov.28 Dec. 5 Dec. 12 Dec. 19 , All other loans and investments: I Nov. 21 j Nov.28 j Dec.5 i Dec. 12 | Dec. 19 | Total loans and investments: \ Nov.21 1 Nov.28 Dec.5 Dec. 12 Dec. 19 Reserve balances with Federal Reserve Bank: Nov.21 Nov.28 Dec.5 Dec. 12 Dec. 19 Cash'in vault: Nov.21 Nov.28 Dec.5 Dec. 12 Dec. 19 Net demand deposits on which reserve is computed: Nov. 21 Nov.28 Dec.5 Dec. 12 Dec. 19 Time deposits: Nov.21 Nov.28 Dec.5 Dec. 12 Dec. 19 Government deposits: Nov.21...-. Nov.28 Dec.5 Dec. 12 Dec. 19 Bills payable with Federal Reserve Bank: Nov.21 Nov.28 Secured by United States war obligations— Dec.5 Dec. 12 Dec. 19 All otherDec. 5 Dec. 12 Dec. 19... Bills rediscounted with Federal Reserve Bank: Nov.21 Nov.28 Secured by United States war obli- j gations— Dec.5 Dec. 12 Dec. 19 All other— Dec.5 Dec. 12 Dec. 19 40,734 i 159,381 40,411 161,878 40,231 160,864 39,843 162,825 39,560 159,342 33,509 34,946 35,089 34,695 34,527 32,038 31,790 33,012 33,687 34,176 48,087 48,330 ! 49,077 | 49,539 j 119,959 409,720 122,405 410,447 124,430 i 412.485 120,878 ! 415j 328 120,699 ! 418, 439 101,935 98,473 96,780 99,628 99,393 207,940 200,876 207,358 214,242 218,968 192,896 751,076 193,984 752,619 195,346 I 747,812 187,943 ! 746,863 187,789 ! 755,088 174,475 172,355 175,850 178,166 178,678 20,749 21,294 20,844 20,951 21,450 13,553 13,239 13,406 12,994 13,293 33,907 36,732 37,219 38,090 36,315 408,613 414,633 417,228 420,838 417,820 277,201 j 278,933 ! 282,265 i 284,798 | 288,943 j 100,081 103,495 105,473 107,507 108,391 155,312 155,120 154,724 153,286 148,959 63,843 65,575 68,165 66,154 65,098 231,455 231,422 228,639 228,310 230,042 1,667,446 1,666,746 1,680,319 1,690,131 1,698,932 303,856 297,378 306,762 312,491 320,396 407,413 ! 408,592 I 423,749 427,1J4 I 428,701 i 153,152 156,057 158,948 162,654 164,554 205,906 206,341 204,334 203> 452 202,389 103,477 105,285 109,146 107,087 103,915 321,058 324,853 324,667 325,110 322,547 2,613,309 2,617,464 2,646,614 2,650,880 2,664,057 ! ! I | 1 50,976 47,192 48,236 48,861 45,008 12,391 11,899 12,260 12,669 12,314 18,920 18,896 18,610 21,338 22,100 28,348 28,372 26,468 32,436 26,685 10,278 9,698 10,450 9,346 10,058 ! 17,231 12,124 14,072 15,893 17,505 7,913 7,634 7,647 8,451 7,641 23,778 24,167 26,602 25,198 24,924 182,165 171,238 178,225 186,452 178,863 i 17,175 14,689 17,332 15,967 17,554 5,809 5,204 5,450 5,187 5,561 7,280 8,073 7,476 7,414 8,106 14,839 15,033 14,280 14,150 13,971 4,715 5,272 5,226 4,859 4,881 5,139 5,240 5,114 5,238 5,065 2,881 3,123 2,943 3,095 3,005 7,755 7,783 7,406 7,222 7,842 68,293 67,279 68,228 66,301 69,408 128,723 128,221 127,430 120,925 126,029 446,461 439,971 443,806 447,133 440,108 110,314 107,893 105,490 108,041 106,964 178,884 182,496 180,883 187,488 194,091 211,675 215,031 206,416 235,085 207,616 91,258 91,450 92,182 95,966 99,399 139,610 139,656 133,530 136,450 134,171 68,749 70,946 71,210 67,000 68,213 196,711 1,572,385 197,139 1,572,803 198,876 1,559,823 202,525 1,606,613 198,854 1,575,445 31,087 31,261 31,283 31,581 31,631 95,246 95,316 96,109 95,716 93,473 19,591 19,591 19,621 19,176 18,960 65,398 64,989 65,177 65,859 66,108 190,844 192,334 193,850 193,936 194,066 33,392 33,610 35,539 35,042 34,991 41,433 41,692 42,369 42,905 43,484 17,207 17,298 13,528 17,526 17,445 105,841 105,807 106,803 105, 771 105,941 600,039 601,898 604,279 607,512 606,099 473 331 8,140 5,904 10,212 7,342 3,481 3,033 7,936 6,026 7,448 2,056 1,739 7,851 6,860 13,808 1,807 1,493 12,951 12,087 12,087 545 465 1,477 1,173 2,919 1,660 1,585 2,929 2,004 4,562 635 561 2,225 1,662 3,282 2,301 1,810 3,929 2,614 4,374 21,098 16,921 52,293 42,340 81,094 24,643 | 23,218 j 73,542 78,766 20,478 15,601 33,891 34,029 29,067 27,399 7,932 I 8,399 14,781 14,605 7,964 8,299 13,420 14,901 225,718 225,217 21,474 16,799 19,292 66,056 66,472 62,239 19,695 21,945 19,216 32,400 31,335 30,515 31,458 30,124 24,716 8,021 6,517 7,068 10,592 10,498 12,407 9,675 7,480 16,606 14,764 10,503 215,192 208,129 193,436 2,737 3,570 3,588 215 215 77 100 100 335 3,252 4,085 4,015 14,206 11,021 3,066 2,760 4,764 5,126 90,165 90,330 2,582 1,915 1,778 8 8 91 1,376 1,105 771 21,391 20,033 21,112 4,320 4,074 5,550 76,856 75,184 68,315 12,330 11,256 13,880 12,260 12,628 2,700 2,862 3,001 3,169 3,423 ! ! , i 2,786 2,572 3,654 j | j ! 200 200 15 3,605 4,079 9,516 10,115 11,514 13,277 26,533 26,121 2,513 3,054 2,228 2,147 2,360 3,245 3,867 4,204 5,545 5,451 5,650 1,492 1,478 1,588 2,024 1,718 1,700 8,451 9,912 6,642 10,239 25,055 22,520 20,626 300 1,040 1,685 14,448 14,777 2,891 i 2,344 1 2,970 I 2,293 I 2,793 816 i Buffalo. * Cincinnati and Pittsburgh, s Baltimore. * New Orleans, Jacksonville, Nashville, and Birmingham. * Detroit. 50,192 j 26,655 26,013 27,486 28,214 28,965 13,471 12,356 9,168 10,863 11,264 11,250 2,564 2,237 2,339 e Louisville, Memphis, and Little Rock. * Omaha and Denver. Ei Paso and Houston. s Spokane, Portland, Seattle, and Salt Lake City. 8 108 JANUARY, FEDERAL. RESERVE BULLETIN. 1920. IMPORTS AND EXPORTS OF GOLD AND SILVER. Gold imports into and exports from the United States. [In thousands of dollars, i. e., 000 omitted.] During 10 During 10 During 10 days ending days ending days ending Nov. 20,1919. Nov. 30,1919. Dec. 10,1919. Ore and base bullion United States mint or assay office bars. Bullion, refined United States coin Foreign coin 549 15,714 21 2,500 32,391 10,766 7,858 14,846 6 39.246 6,785 183 733 3,109 66,729 61,066 8,397 2,282 3 12,865 3,300 4 20,743 20 105,869 12,625 226,949 204 4,485 3,399 31,187 18,421 15 15,150 78 24,047 87 345,463 599 39,275 426 18,436 15,228 24,134 346,062 39,701 461 195 "251 535 3 712 Domestic: Ore and base bullion United States mint or assay office bars. Bullion, refined Coin 10,019 5 Total... Foreign coin. Total. From Jan. 1 From Jan. 1 to Dec. 10, to Dee.flO, 1919. 1918. EXPORTS. Total exports. Excess of gold exports over imports since Jan. 1,1919, $279,333,000. Excess of gold imports over exports since Aug. 1,1914, $792,073,000. Silver imports into and exports from the United States. [In thousands of dollars; i. e., 000 omitted.] During 10 During 10 During 10 From Jan. 1 days ending days ending days ending to Dec. 10, Nov. 20,1919. Nov. 30,1919. Dec. 10,1919. 1919. Ore and base bullion United States mint or assay office bars. Bullion, refined United States coin Foreign coin Total. From Jan. 1 to Dec. 10, 1918. 2,147 2,280 68,365 244 19 32 212 21 563 '""160 7,776 1,007 5,122 2,160 2,943 2,545 82,270 456 8,165 26 296 83 6,289 10,759 5 72,255 109,740 17,252 19 50,870 154,173 3,107 8,647 5,296 17,131 199,252 208,169 2,361 191 251 1,384 1,394 162 1 22,323 5,537 5,574 6,403 42,335 51 20,436 1,239 4,337 EXPORTS. Domestic: Ore and base bullion United States mint or assay office bars. Bullion, refined Coin Total. Foreign: Ore and base bullion. Bullion, refined Coin Total Total exports. 2,552 1,635 1,556 27,861 11,977 11,199 6,931 18,687 227,113 220,14ft Excess of silver exports over imports since Jan. 1,1919, $144,843,000. Excess of silver exports over imports since Aug. 1,1914, $426,604,000. JANUARY, 1920. 109 FEDERAL RESERVE BULLETIN. Estimated general stock of money, money held by the Treasury and by the Federal Reserve system, and all other money in the United Staies, Dee. 1, 1919. General stock of money in the United States Gold coin 2 Gold certificates Standard silver dollars Silver certificates Subsidiary silver Treasury notes of 1890 United States notes Federal Reserve notes Federal Reserve Bank notes. National bank notes Total: Dec. 1,1919.. Nov. 1,1919. Oct. 1,1919.. July 1,1919.. Apr. 1, 1919.. Jan. 1,1919.. Oct. 1,1918.. July 1,1918.. Apr. 1,1918.. Jan. 1,1918.. Oct. 1,1917.. July 1, 1917.. Apr. 1,1917. Held in United States Treasury as assets of the Government.* $1,362,566,644 368,667,330 $2,833,221,135 308,145,759 Amount per Held outside Held by or for outside States capita Federal Reserve United United States Treasury and Banks and Treasury and Federal Reserve agents. Federal Resystem. serve system. 56,188,371 183,739,175 8,507,204 3,489,894 $435, 330,240 280, 273,031 82, 416,283 151, 331,248 238, 276,283 1, 702,266 271, 300,425 2,840, 304,949 196, 963,340 674, 324,892 1,993,145,199 2,083,098,639 2,087,709,369 2,167,280,313 2,195,151,766 2,220,705,767 2,084,774,897 2,018,361,825 1,873,524,132 1,723,570,291 1,429,422,432 1,280,880,714 952,964,705 5,172,222,957 5,033,909,660 4,958,975,551 4,842,345,415 4,840', 972,635 5,105,139,679 4,925,987,177 4,367,739,209 4,266,800,719 4,255,584,622 3,970,373,397 3,945,457,556 4,100,976,125 66,384,518 6,311,444 3 3,675,137 "246,*546*74i" 346,681,016 !, 063,390,865 263,022,800 722,142,160 19,192,220 39,346,741 57,552,256 44,327,374 7,783,144,476 7,721,561,106 7,662,898,238 7,588,473,771 7,586,752,855 7,780,793,606 7,391,008,277 6,742,225,784 6,480,181,525 6,256,198,271 5,642,264,856 5,480,009,884 5,312,109,272 617, 776,320 604, 552,807 616! 213,318 578;848,043 550, 628,454 454, 948,160 380, 246,203 356; 124,750 339; 856,674 277, 043,358 242; 469,027 253. 671,614 2581 198,442 4 $48.54 47.28 46.61 45.00 45.17 47.83 46.34 41.31 40.47 40.53 37.97 37.88 39.54 1 Includes reserve funds against issues of United States notes and Treasury notes of 1890 and redemption funds held against issues of nationalbank notes. Federal Reserve notes, and Federal Reserve Bank notes. 2 Includes balances in gold settlement fund standing to the credit of the Federal Reserve Banks and agents. 34 Includes standard silver dollars. Includes Treasury notes of 1890. 110 JANUARY, 1920. FEDERAL RESERVE BULLETIN. DISCOUNT RATES. Discount rates approved by the Federal Reserve Board up to Dec. 31, 1919. Discounted bills, secured otherwise than f) by Government war obligations, also unf secured, m a t u r i n g l within— Discounted bills (including member banks' 15-day collateral notes) maturing within 90 days, secured byFederal Reserve Bank. Trade acceptances maturing within 190 90 days 91 to 180 Liberty days. (including days (agribonds and member cultural Victory banks' col- and livenotes. lateral stock 4J per cent. 4h per cent. notes).2 paper). Treasury certificates of indebtedness bearing interest at— Boston New York Philadelphia.. Cleveland Richmond Atlanta Chicago St. Louis Minneapolis.. Kansas City.. Dallas San Francisco | 4| 4} 41 4| 4} 4} 4f Mf 5 5 4} 12 Rate also applies to bankers' acceptances discounted by the New York and Cleveland 3 Rate on paper secured by War Finance Corporation bonds, 1 per cent higher. Rate of 4§ per cent on customers' paper. * Rate of 5 per cent for maturities 61 to 90 days. NOTE.—Acceptances purchased in open market, minimum rate 4 per cent. i 4| 41 41 41 41 41 •3 5 5 41 banks. JAHUARY, 1920. Ill FEDERAL RESERVE BULLETIN. FOREIGN EXCHANGE RATES. Monthly ranges of exchange rates on leading foreign money centers, quoted in New York during the three months December, 19.19. October. Exchange at par. High. Low. London: 60-day bankers' bills dollars for £ . . Demand bills do Cable transfers do Paris: Demand bills francs for 100 dollars.. Cable transfers do Berlin dollars for 100 marks 1.. Milan: Demand bills lire for 100 dollars.. Cable transfers do Prague dollars for 100 kronen 1 .. Vienna do Jugo-Slavia do Warsaw dollars for 100 marks i1. . Brussels francs for 100 dollars .. Madrid dollars for 100 pesetas.. Helsingfors dollarsfor lOOmarkkai.. Athens dollars for 100 d r a c h m a l . . Sofia dollars for 100 lev.i.. Bucharest dollars for 100 lei i . . Belgrade dollars for 100 dinar i.. Amsterdam dollars for 100 florins.. Stockholm dollars for 100 kronor.. Copenhagen dollars for 100 kroner.. Christiania do Zurich francs for 100 dollars.. Canada dollars for 100 Canadian dollars 2l .. Mexico City dollars for 100 pesos .. Bogota dollars for 100 Colombian dollars 11 .. Montevideo centavos to dollar .. Buenos Aires dollars for 100 gold pesos Rio de Janeiro dollars for 100 paper milreis i .l . . Valparaiso dollars for 100 paper pesos ... Yokohama dollars for 100 yen.. Hongkong dollars for 100 Hongkong dollars Shanghai dollars for 100 Shanghai taels Singapore dollars for 100 Singapore dollars i.. Calcutta dollars for 100 rupee.. London average price of silver at nominal rate of £ ($4.8665) dollars per fine ounce) New York average price of silver (dollars per fin< i Cable rates. 2 Checks (demand). 4.8665 4.8665 4.8665 518.1347 518.1347 23.82 November. 4.215 4.2325 4.24 4.13 4.15 4.1575 887.00 885.00 3.25 518.1347 1,080.00 518.1347 1,078.00 20.26 2.35 20.26 .85 20.26 1.45 23.82 2.30 518.1347 868.50 19.30 19.08 19.30 3.50 19.30 17.25 19.30 3.00 19.30 4.25 19.30 5.00 40.20 37.4375 26.80 23.90 26.80 21.20 26.80 22.60 518.1347 566.00 100.00 96.00 49.85 49.00 97.33 98.00 96.69 99.50 96.48 103.60 3 54.62 25.00 « 36.50 20,00 49.85 50.50 87.00 135.50 53.00 56.78 32.44 42.00 Low. 3.97 4.00 4.01 838.00 836.00 4.375 975.00 973.00 3.85 1.65 2.15 3.85 835.00 19.28 5.25 18.90 4, 50 5.75 7.50 38.0625 24.00 21.75 23.20 556.00 96.75 49.125 100.50 96.80 104.00 25.70 21.25 50.75 96.00 142.00 56.00 44.00 High. 983.00 981.00 2.10 4.1425 4.1625 4.17 884.50 883.00 3.25 1,272.00 1,006.00 1,270.00 1,075.00 1.50 2.40 .68 1.00 1.00 1.50 1.40 2.35 941.00 832.00 19.28 20.10 3.00 4.475 16.50 18.00 2.50 3.00 3.25 4.40 4.85 5.44 37.25 38.00 22.30 23.85 20.00 21.20 21.50 22.65 550.00 560.00 96.25 94.75 50.50 49.125 100.50 100.00 94.00 96.80 103.85 101.80 25.25 25.00 20.50 20.50 50.75 50.25 106.00 94.00 175.00 140.50 54.00 54.00 44.75 42.00 1.4 1.19154 a Rate for a gold milreis. 1.53508 1.27609 ending December. High. Low. 3. 9550 3.9875 3.9950 3.6325 3.6575 3.6650 992.00 990.00 2.60 1,183.00 1,181.00 1.90 1,367.00 1,365.00 1.70 .50 .79 .92 1,120.00 18.90 3.00 14.80 2.25 2.80 4.20 37.25 20.65 17.45 19.45 560.00 90.3125 50.32 98.50 95.40 101.70 27.75 19.34 50.00 95.00 155.00 54.00 43.75 1,234.00 1,232.00 2.10 .73 1.00 1.65 940.00 19.90 3.45 16.50 2.70 3.65 4.80 38.25 22.30 19.90 21.50 498.00 95.25 50.50 100.00 94.80 102.25 33.00 20.50 50.50 106.50 170.00 54.00 46.25 1.67549 1.31976 * Rate for gold peso. INDEX. Page. Act amending Federal Reserve Act, providing for incorporation of institutions to engage in foreign banking (Edge Act) 56 Act making gold certificates legal tender 60 Acceptances: Automobiles or automobile tires, acceptance of drafts secured by warehouse receipts covering. 65 Banks granted authority to accept up to 100 per cent of capital and surplus 60 Holdings by Federal Reserve Banks during November 93 Purchased by Federal Reserve Banks during November 91 Purchased by Federal Reserve Banks during three months ending Nov. 30, 1919, distributed by rates of discount 92 Renewal of drafts drawn by the purchaser of goods and secured at the time of acceptance by warehouse receipts or bills of lading 65, 66 Advertising of State member bank that it is under Government protection or supervision 65 Agricultural paper held by Federal Reserve Banks during November 93 Amendment to Federal Reserve Act providing for incorporation of institutions to engage in foreign banking, text of, as approved (Edge Act) 56 Automobiles and automobile tires, acceptance of drafts secured by warehouse receipts covering 65 Bank transactions, debits to individual account 84 Banking situation, discussion of 10 Boundaries of sixth and eighth Federal Reserve districts, change in, by establishment of Humphreys County, Miss 59 Branches, foreign, of American banks 63 Branches of Federal Reserve Banks: Directors elected 61 Los Angeles branch, opening of 60 Oklahoma branch authorized 63 Business and financial conditions during December. 13 Special reports by Federal Reserve agents 19 Certificates of indebtedness, receipts from, during December 1 Charters issued to national banks during December. 62 Charts: Exchange rates at New York— On principal allied and neutral countries.. 51 On principal silver standard countries 52 Foreign exchange rates at Copenhagen 41 Foreign exchange rates at Stockholm 40 Par point map 94 Check clearing and collection: Map showing States in which banks remit at par. 94 Number of nonmember banks on par list 94 Operation of system, Nov. 16-Dec. 15 94 Clearing-house bank debits 84 Collateral notes held by Federal Reserve Banks during November 93 Commercial failures reported 63 Conference of representatives of clearing houses with Board to discuss interest rates on bank balances 3 Currency: Depreciation abroad, discussion of 6 Stock of, in the United States 109 Page. Debits to individual account Denmark: Banking conditions in, 1914-1918 Condition statement of National Bank of Copenhagen, 1914-1919 Directors: Branch banks— Election of Los Angeles branch Resignation of W. C. Procter of Cincinnati branch Federal Reserve Banks— Election of Class A, B, and C for threeyear term Resignation of W. B. Thompson of Federal Reserve Bank of New York Resolution of Board regarding political affiliations Discount and interest rates prevailing in various centers Discount operations of Federal Reserve Banks: During November Three months ending Nov. 30, distributed by rates of discount Discount rates: Advance in In effect, Dec. 31, 1919 Prevailing in various centers Earning assets held by Federal Reserve Banks during November Edge Act: Operations of foreign trade under Text of, as approved Election of directors: Branch banks Los Angeles branch Federal Reserve Banks Expenditures of the Government during December Failures, commercial, reported Federal Reserve Act, amendment to, providing for incorporation of institutions to engage in foreign banking (Edge Act) Federal Reserve banking in 1919, review of Federal Reserve Banks: Branches of— Election of directors Los Angeles branch opened Oklahoma branch authorized Directors elected for three-year term Discount operations of Questionnaire for use in readjustment of salaries of employees Resources and liabilities of Federal Reserve districts, change in boundaries of sixth and eighth, by establishment of Humphreys County, Miss Federal Reserve note account of Federal Reserve Banks and agents Fiduciary powers granted to national banks during December Financial aid for Europe, discussion of Foreign branches of American banks Foreign countries, financial aid to, discussion of... Foreign credits, discussion of I 84 38 46 61 60 10 60 10 10 72 88 91 2 110 72 90 5 56 61 60 60 1 63 56 11 61 60 63 60 88 54 95 59 100 64 6 63 6 4 II INDEX. Page. Foreign exchange: Discussion of Rates in New York during three months ending December Rates in New York on principal centers in allied, neutral, and silver-standard countries. Denmark, rates of exchange in Copenhagen, 1914-1919 Norway, rates of exchange in Christiana, 19141919 Sweden, rates of exchange in Stockholm, 19141919 Foreign trade: Discussion of French National Bank of Commerce organized to promote Denmark, 1914-1918 Norway, 1914-1918 Sweden, 1914^-1918 Operations under the Edge Act French National Bank of Foreign Commerc*e, establishment of Gold certificates legal tender, act making Gold imports and exports.. Government financing during December, discussion of ... Imports and exports: Gold and silver Denmark Norway Sweden November, 1918 and 1919 Index of retail trade, establishment of, by Board... Index of wholesale prices: In United States International. Interest rates: Call rates Conference of representatives of clearing houses with Board to discuss rates on bank balances.. Prevailing in various Centers Investment operations of Federal Reserve Bank^ during November Law department: Renewal of drafts drawn by purchaser of goods and secured at time of acceptance by warehouse receipts or bills of lading Live-stock paper held by Federal Reserve banks during November Los Angeles, Calif., branch bank opened at Maturities: Acceptances purchased during November Acceptances purchased during three months ending Nov. 30 Bills discounted during November Bills discounted during three months ending Nov. 30 Bills discounted and bought Member banks: Number discounting during November Number in each district Resources and liabilities of 4 Ill 49 44 37,43 36,42 4 46 38,39 37, 39 36, 39 5 46 60 9,108 1 9,108 39 39 39 4 53 68 26 3 3 72 89 66 93 60 91 92 90 91 99 89 89 102 Page. Money, stock of, in the United States 109 National banks: Charters issued to, during December 62 Fiduciary powers granted to, during December 64 Norway: Banking conditions in, 1914-1918 37 Condition statement of Bank of Norway, 1914-1918 45 Oklahoma City, branch bank authorized at 63 Open-market operations of the Federal Reserve Banks 88 Physical volume of trade 74 Prices: Changes in the price level 8 International price index, establishment of, by Board 26 Retail trade index, establishment of, by Board 53 Wholesale, in United States, index numbers of 68 Questionnaire for use in readjusting salaries in Federal Reserve Banks 54 Reserve percentages of Federal Reserve Banks during December 1 Reserves, new method of figuring deposits upon which reserve is to be computed 3 Resources and liabilities: Federal Reserve Banks 95 Member banks in selected cities 102 Retail trade index, establishment of, by Board 53 Rulings: Acceptance of drafts secured by warehouse receipts covering automobiles or automobile tires 65 Authority of State member bank to advertise that it is under Government protection or supervision 65 Renewal of drafts drawn by the purchaser of goods and secured at the time of original acceptance by warehouse receipts or bills of lading 65 Salaries of Federal Reserve Bank employees, readjustment of, questionnaire for use in 54 Scandinavian countries, banking conditions in, 1914-1919 35-46 Silver: Advance in price in London and New York markets 7 Imports and exports 9,108 State banks: Admitted to system during December 62 Authority of State bank member to advertise that it is under Government protection or supervision 65 Sweden: Banking conditions in, 1914-1919 35 Condition statement of Bank of Sweden, 1914-1918 45 Trade, physical volume of . 74 Treasury financing during December, discussion of. 1 Wholesale prices: Index numbers— International 26 United States 68 #.\^> ; 9 __\ ALA \ GA 6 ( FEDERAL RESERVE DISTRICTS 1919 • FEDERAL RESERVE BANK CITIES O FEDERAL RESERVE BRANCH CITIES The branches atMelena, Mont., and Oklahoma City, Okla., have been authorized by the Federal Reserve Board but are not yet open for business.