Full text of Federal Reserve Bulletin : June 1926
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FEDERAL RESERVE BULLETIN JUNE, 1926 ISSUED BY THE FEDERAL RESERVE BOARD AT WASHINGTON Survey of the Year Since England Returned to Gold Branch Banking in the United States Earnings and Expenses of Member Banks WASHINGTON GOVERNMENT PRINTING OFFICE 1926 FEDERAL RESERVE BOARD Ex officio members: D. R. CRISSINGER, Governor. EDMUND PLATT, Vice Governor, A. W. MELLON, ADOLPH C. CHARLES S. GEORGE R. EDWARD H. Secretary of the Treasury, Chairman, J. W. MCINTOSH, Comptroller of the Currency. MILLER. HAMLIN. JAMES. CUNNINGHAM. WALTER WYATT, General Counsel. WALTER L. EDDY, Secretary. J. C. NOELL, Assistant Secretary. E. M. MCCLELLAND, Assistant Secretary. W. M. IMLAY, Fiscal Agent. Director, Division of Research and Statistics. E. A. GOLDENWEISER, Acting Director, Division of Research and Statistics. Chief, Division of Examination, and Chief Federal Reserve Examiner. E. L. SMEAD, Chief, Division of Bank Operations. J. F. HERSON, FEDERAL ADVISORY COUNCIL District No. 1 (BOSTON) .... - CHAS. A. MORSS, Vice President District No. 2 ( N E W YORK) District No. 3 (PHILADELPHIA)- JAMES S. ALEXANDER. » __.. L. L. R U E . District No. 4 (CLEVELAND).. District No. 5 (RICHMOND)... District N O . 6 (ATLANTA) GEORGE A. COULTON. JOHN F . BRUTON. P . D. HOUSTON. District No. 7 (CHICAGO) FRANK O. WETMORE, President. District District District District District BRECKINRIDGE JONES. THEODORE WOLD. P. W. GOEBEL. B. A. M C K I N N E Y . HENRY S. M C K E E . No. 8 (ST. LOUIS) No. 9 (MINNEAPOLIS) No. 10 (KANSAS CITY) No. 11 (DALLAS) N O . 12 (SAN FRANCISCO) . __.- OFFICERS OF FEDERAL RESERVE BANKS Federal Reserve Bank of— Frederic H. Curtiss Pierre Jay Boston New York... R. L. Austin... Philadelphia ... „• George DeCamp... ___._. Cleveland W. P. G. Harding.. Benj. Strong W. W. Paddock J. H. Case L.-F. Sailer.... G. L. Harrison...... E. R. Kenzel Geo. W. Norris Wm. H. Hutt E. R. Fancher M. J. Fleming.. Frank J. Zurlinden. C. A. Peple R. H. Broaddus J. L. Campbell .. Creed Taylor.. 0. R. McKay John H. Blair Richmond Wm. W. Hoxton George J. Seay.... Atlanta. Oscar Newton M..B. Wellborn... Chicago Wm. A. Heath..^....... J. B. McDougal St. Louis Minneapolis.. Wm.McC. Martin D. C. John R. Mitchell.-..-..... R. A. Young Kansas City.., Dallas........ M. L. McClure-C. C. Walsh W. J. Bailey—Lynn P. Talley. San Francisco. Isaac B. Newton. J.'XJ. Calkins W. Willett. L. H. Hendricks.* A. W. Gilbart.i J.W. Jones.* Ray M. Gidney. L. R. Rounds.* C. A. Mcllhenny. W. G. McCreedy.i H. F. Strater. Geo. H. Keesee. John S. Walden, jr.* M. W. Bell. W. C. Bachman.i K. C.Childs.1 J. H. Dillard.i D. A. Jones.* O. J. Netterstrom.i J. W. White. Gray Warren. Frank O. Dunlop.1 O. M. Attebery W. B. Geery.. B.V.Moore Harry Yaeger * . . . C. A. Worthington.. R. R. Gilbert....... R. B. Coleman Wm. A. Day... Ira Clerk L. C. Pontious 2 i Controller. Cashier Deputy governor Governor Chairman J.W. Helm. Fred Harris. W. N. Ambrose. Assistant deputy governor. MANAGING DIRECTORS OF BRANCHES OF FEDERAL RESERVE BANKS Federal Reserve Bank of— New York: Buffalo branch Cleveland: Cincinnati branch....— Pittsburgh branch. —. Richmond: Baltimore branch Atlanta: New Orleans branch Jacksonville branch Birmingham branch. Nashville branch Chicago: Detroit branch St. Louis: Louisville branch. — Memphis branch Little Rock branch Managing director W. W. Schneckenburger. 0. F. McCombs. J. C.Nevin. A. H. Dudley. Marcus Walker. Geo. R. DeSaussure. A. E. Walker. J. B. Fort, jr. W. R. Cation. W. P. Kincheloe W. H. Glasgow. A. F. Bailey. Federal Reserve Bank of— Minneapolis: Helena branch.. Kansas City: Omaha branchy Denver branch. Oklahoma City branch Dallas: El Paso branch Houston branch _ San Francisco: Los Angeles branch Portland branch Salt Lake City branch Seattle branch Spokane branch. Managing director ___ R. E. Towle. L. H. Earhart. _._ J. E. Olson. C. E. Daniel. M. Crump. D. P. Reordan. R. B. Motherwell. . . . R. B.West. W. L. Partner. C. R. Shaw. D. L. Davis. SUBSCRIPTION PRICE OP BULLETIN THE FEDEKAL RESERVE BULLETIN is the board's medium of communication with member banks of the Federal reserve system and is the only official organ or periodical publication of the board. It contains, in addition to the regular official announcements, the national review of business conditions, detailed analyses of business conditions, research studies, reviews of foreign banking, and complete statistics showing the condition of Federal reserve banks and member banks. The BULLETIN will be sent to all member banks without charge. To others the subscription price, which covers the cost of paper and printing, is $2. Single copies will be sold at 20 cents. Outside of the United States, Canada Mexico, and the insular possessions, $2.60; single copies, 25 cents. TABLE OF CONTENTS The month: page Review of the month—Survey of the year since England returned to gold 375 Business*conditions in the United States 380 Special articles: Branch banking in the United States __ ._ 401 Earnings and expenses of member banks 409 Annual report of Bank of Japan 426 Annual report of Bank of Hungary _•• -_ _ _ 428 Annual report of National Bank of the Kingdom of Serbs, Croats, and Slovenes.-.: !.._ 431 International trade of selected countries in 1925 and 1924_ ;____ 433 Official: Law department— Authority of Congress for erection of Detroit branch bank building, 415 : Authority of Congress for erection of Baltimore branch bank building. 415 Act limiting use of words "'Federal," " United States," or " reserve "__ •_• 415 State laws relating to segregation of assets of savings departments of banks and trust companies 416 Changes in State bank membership ; . ____ 420 Changes in national bank membership . . 420 Fiduciary powers granted to national b a n k s . . . . . . __. __ _ ;_ 420 Business statistics for the United States: Industrial activity _ . 421 Commodity movements : . ___ 423 Wholesale and retail trade .... 424 Foreign banking and business conditions: Financial statistics for England, France, Germany, and Canada_ . _ _ .__ 434 Foreign trade of principal countries . _ '___. 437 Industrial statistics for England, France, Germany, and Canada __ 438 Price movements in principal countries— Wholesale prices in principal countries.. ... .. ; 440 Retail prices and cost of living in principal countries ..._.-_ ... __ _. 442 Banking and financial statistics: Federal reserve banks— Condition of Federal reserve banks 443 Federal reserve note account. :_ . . , _ 446 Holdings of bills and securities and earnings thereon : _______ 447 Discount and open-market operations of Federal reserve banks . 448 Gold settlement fund .-_... _ _____ .__----__-______ 462 Discount rates of Federal reserve banks 462 Member banks— Reporting member banks— Condition of reporting member banks in leading cities.. _. 449 Bankers' balances at reporting member banks in Federal reserve bank cities. _. 450 Loans to brokers and dealers secured by stocks and bonds made by reporting member banks in New York City ,.. . . ._._. 450 All member banks— Deposits . '_' , ___451 Abstract of condition reports on April 12, 1926__ 378,452 Bank debits ___--__ ._._______._-___.____-._-.-.. 456 Member banks and nonmember banks on par list and not on par list ... _. 457 Money in circulation ; ___. __._.— _ .__ __ 457 Money rates in principal cities.-.. . — ;_—•—. 458 Gold and silver imports and exports •_ _ . . 460 Foreign exchange rates .— . —. ; _ 461 IV FEDERAL RESERVE BULLETIN VOL. 12 JUNE, 1926 REVIEW OF THE MONTH During the period of more than a year since the restoration of the gold standard in Great Britain many other countries Developments have reestablished the relations M p b e t w e e n t]aeir currencies and gold by adopting the socalled gold-exchange standard, and at the present time gold is once more the standard of value in most of the trading countries of the world. International movements of gold have continued on a large scale since April of last year and, in general, have tended to diminish somewhat the stock of gold in countries with large reserves and to increase the reserves of countries with inadequate reserves. Gold movements, however/ though much freer than before, are in most countries still under government or central bank control and subject to various restrictions and regulations. The volume of international trade in commodities has been larger than in other recent years, and the flow of funds between the principal money markets has been more responsive to differences in the level of money rates than was the case before the restoration of a free gold market. Notwithstanding the larger volume of international trade and the closer relationship between the markets of the world, commodity prices in different countries have shown little tendency to approach a common level; the movement of prices, however, in most of the countries of the world during the past 12 months has been uniformly downward, particularly for agricultural commodities. Exchange rates on most of the more important currencies have fluctuated less during the past year than at any time since the close of the war; in fact, for the stabilized currencies fluctuations have remained within the narrow limits of the so- No. 6 called gold points. Credit conditions during the past year have been generally characterized by a more adequate supply of short-term funds, following upon the acute shortage of the preceding year, but the supply of funds for investments continued to be limited. With the return of greater currency stability and the greater ease in the money markets, credit policies of central banks in many European countries during the year have become less restrictive and there has been evidence of the gradual restoration of more normal banking and credit conditions. During the sixteen months ending in April, 1926, gold holdings of the United States declined by about $60,000,000 Gold moveand the gold stock of England ments by about $25,000,000 while that of Germany increased by more than $170,000,000. In the United States exports of gold in the early months of 1925, largely to Germany, were followed for several months by relatively small gold movements and then, during the first quarter of 1926, by considerable receipts of gold, chiefly from Canada. In England gold imports exceeded gold exports by approximately $48,000,000 during the four months following the restoration of a free gold market, but this inflow was followed by a loss of over $50,000,000 of gold in the subsequent eight months, with the consequence that at the end of a year of free gold movements England's stock of gold was slightly smaller than at the time when the prohibition of gold exports was removed. The loss of gold during the year, however, has not been at any time in sufficient volume to cause the Bank of England to make use of the credits established in this country as a safeguard against possible depletion of the gold 375 376 FEDEBAL RESEBVE BULLETIN reserve. The gold reserves of Germany increased continuously during the year, first through the use of the proceeds of the international loan, aijd later by the transfer to Germany in gold of balances accumulated abroad through private loans or in the ordinary course of the country's foreign trade. Throughout the year, there has been an exceptionally heavy demand for gold from India as the result of a series of good crops. Aggregate imports of gold to India in 1925 reached the record figure of $200,000,000, or about one-half of the total production of new gold, which was larger in 1925 than in any year since 1917. The other half of the gold produced during the year was not quite sufficient to meet the demand for gold for industrial purposes, with the consequence that the total volume of gold held as reserves in the principal countries of the world declined somewhat during the period.1 The restoration of the free gold market has been a factor in facilitating the international movement of merchandise International ^ h i n 1 9 2 5 f o r a l l c o u n t r i e s trade ' combined, was valued at more than $46,000,000,000, an increase of about 12 per cent over 1924. Increases were shown for almost all countries both on the import side and on the export side, with the increase in imports being larger for the United States and leading European countries and the increase in exports larger for India and Canada. The largest growth in both exports and imports was for Germany, where it amounted to more than one-third. Both for Great Britain and for the United States merchandise imports increased more than merchandise exports, the exports increasing byfabout $320,000,000, or about 7 per cent, for each offthese countries. In jboth Denmark and Norway, notwithstanding the rise in the exchanges during the year, the increase in exports was greater than the increase in imports, while in France, Italy, and Poland, whose exchanges were generally lower in 1925 than the year before, the increase in imports JUNE, 1926 nevertheless exceeded that in exports.1 In the early months of 1926 the aggregate volume of international trade according to available figures appears to have been somewhat lower than that for the corresponding months a year ago. The year following the restoration of the free gold market in Great Britain has been characterized by a downward C o u r s e o f movement of prices in England prices and in most other European countries, as well as in the United States. An important factor in this international decline of the average of commodity prices has been a recession in the prices of farm products, which had advanced considerably during the preceding year. World prices of other commodity groups, however, and particularly of some of the important industrial products, like steel, also declined during the year. The course of wholesale commodity prices in England and in the United States since the beginning of 1924 is shown on the chart. In the latter part of 1924 and PER CENT 180 ~ 1180 England _ 160 United Statesj 140 120 120 WHOLESALE PRICES _J I —4100 1924 1925 Index numbers of Board of Trade for England and Bureau of Labor Statistics for the United States early in 1925, prior to the removal of the gold embargo, prices, according to official index numbers, were higher in England than in the United States, and the difference was larger than could be accounted for by the depreciation of sterling exchange. In February, 1925, when the committee of experts made its recommendation that England return to the i Detailedfiguresfor the foreign trade of 19 countries in 1924 and 1925, expressed in dollars, are given in the table on p. 433. For more recent For detailed table of gold reserves of principal countries from 1913 months, correspondingfiguresfor certain countries are given on pp. 438 to the end of 1925 see FEDERAL RESERVE BULLETIN for April, 1926, p. 271. and 439. 1 JUNE, 1926 FEDERAL RESERVE BULLETIN 377 As a consequence of greater monetary stagold standard, the value of the pound sterling was only 1 y% per cent below gold parity, while bility and the removal or relaxation of restricthe price level in the United States was 5 per Reiations he- strictions on gold movements cent lower than in England. The committee, tween money and on dealings in foreign mar e s exchange, transfers of funds in fact, pointed out that a readjustment of prices between the two countries was inevi- between the principal money markets, in table, because British prices had not declined response to differences in the levels of interest in 1924 and the beginning of 1925 in propor- rates, were in exceptionally large volume during tion to the rapid rise in sterling exchange, and the past year. The chart compares the course that the necessary readjustment would be of the rate on bankers' bills in the London rendered only slightly more severe by a rise of sterling to parity. At the end of April, when the gold standard act was adopted and sterling rose practically to par, prices had turned downward in both countries, but the difference in price levels between the two countries had narrowed somewhat, because in England prices had declined more rapidly than in the United States, and in April, 1926, according to the index numbers, British prices were about 5 per cent lower than American prices. In England the decline in prices during the year was some— - N E W YORK TIME LOAN. RATE — i - LONDOH BILL RATE what larger in industrial than in agricultural commodities, while in the United States the decline in the prices of farm products was 19241926 much larger than the reduction in the prices market with the movement of the rate for of nonagricultural commodities. Price retime loans on mixed collateral made in the cessions for the year in other countries were of New York market. The rates shown in the varying degree, the largest declines occurring chart are indicative in a general way of the relative returns obtainable for short-term funds WHOLESALE PRICES IN SELECTED COUNTRIES [Pre-war=100] in the New York and London markets. During the months immediately following upon the Net change April, 1926 April, 1925 (per cent) restoration of the gold standard rates in London United States - 3 were higher than in New York, and London not 151 156 144 151 Netherlands 123 131 Germany » —6 only received a considerable volume of gold 150 —8 Sweden 163 —11 from abroad but also held large balances for 148 Switzerland* ___ 166 162 144 —12 American banks accumulated in part during England 198 267Norway a —26 141 Denmark 216 - 3 5 the period of the previous year's rise of sterling exchange toward parity. In August, however, i First of April figures. 2 First of M a y figures. rates in New York advanced as the result of a in Norway and Denmark and the smallest, seasonal demand for credit and currency and next to the United States, in the Netherlands. the growing demand for funds in the security In Germany prices declined considerably less market. At the same time money rates in than in England, and the decline in the average London declined, partly because of the inflow reflected much larger reductions in the prices of of gold, but also on account of the domestic defoods than in the prices of industrial products. pression in business. With time money in New Changes in the price level between April, 1925 York much higher than the bill rate in London, and 1926, for some of the principal foreign balances were transferred in large volume from London to New York, and this movement countries are shown in the table. 378 FEDERAL RESERVE BULLETIN tended to depress sterling exchange and to cause in October a movement of gold to New York. The loss of the balances and of Jbhe gold, together with the seasonal currency demand, and the removal of restrictions on foreign loans, tightened the market in London and in the latter months of 1925 the bill rate in London was as high as the rate on time loans in New York and at times even higher, so that the transfer of funds to this country was no longer profitable. In the first five months of 1926 the spread between the rates has not been large for any considerable period, and the movement of funds and of gold between the two markets has been on a relatively small scale. Central bank policy in England during the year following upon the passage of the gold standard act appears to have policy t F a l h a d t h e effect °f maintainin g a fairly stable volume of credit in the London money market. During the period of gold imports into England in the three months succeeding the removal of the gold embargo the Bank of England sold securities in sufficient volume to offset the receipts of gold from abroad. Consequently, deposits of the Bank of England, which constitute a large part of the reserves of the British commercial banks, remained practically constant. During the following period of gold exports, on the other hand, the Bank of England put funds into the market by increasing its own security holdings, with the consequence that there was no decline in the deposits held by the central bank for the commercial banks. This open-market policy of the Bank of England was supported by corresponding changes in the discount rate, which stood at 5 per cent in April, 1925, was reduced to 4 ^ per cent on August 6 and to 4 per cent on October 1, and then on December 3 was advanced again to 5 percent, the rate in effect at the present time. In other European countries the more normal credit conditions that have prevailed during the past year have resulted in general reductions of central bank discount rates, and in the relaxation of the rigid methods of rationing credit that had been adopted during the period of acute shortage of funds. The German Reichsbank reduced its rate from 10 to 9 JUNE, 1926 per cent in February, 1925, and again to 8 per ent in January and to 7 per cent in March of this year. In addition, the Reichsbank adopted policies in regard to the handling of clearings and of deposit accounts that made the use of central bank facilities less expensive to its customers. Short-term money rates in Germany declined considerably during the year, though rates for long-term money have continued to be high. The Reichsbank also used its influence during the year in an endeavor to reestablish in Germany the regular commercial acceptance market which had been completely demoralized during the period of monetary disorganization. The bank has furthermore paid particular attention to the maintenance of an adequate supply of foreign bills, in order to assist the country's foreign trade and to maintain the international value of German currency. The recovery of Europe's financial machinery from the disorganization following the war has thus made definite progress during the year since Great Britain's return to gold, not only in those countries which have themselves reestablished the gold standard, but also in countries which are still going through a period of transition. With the growth of confidence and of monetary stability and with the increased freedom of movement of gold and of liquid funds in response to differences in the level of money rates, financial conditions abroad have become an increasing influence in the domestic credit situation of the United States and consequently a more clearly defined factor to be taken into consideration in shaping this country's domestic credit policy. FINAL DECISION IN ATLANTA PAR CLEARANCE CASE On June 7 the Supreme Court of the United States refused to grant a writ of certiorari bringing before it for review the case of Pascagoula National Bank v.. Federal Reserve Bank of Atlanta. As a result of this action by the Supreme Court, the decision of the Circuit Court of Appeals, rendered on February 11, 1926, which was published on page 174 of the FEDERAL RESERVE BULLETIN for March, 1926, becomes final, thus terminating the litigation in favor of the Federal Reserve Board and the Federal Reserve Bank of Atlanta on all points involved. 379 FEDEKAL RESERVE BTJLELETIN .JUNE, 1926 of about $200,000,000 at reporting member banks in leading cities and an increase of about $71,000,000 at other member banks located for The Federal Advisory Council held its sec- the most part in relatively small centers. ond meeting in 1926 in Washington on May 21. Total loans of member banks in leading cities, following a growth of about $1,170,000,000 in 1925, showed a decrease of about $340,CONDITION OF ALL MEMBER BANKS 000,000, for the first quarter of 1926. This decrease reflected a decline of more than The aggregate loans and investments of all $500,000,000 in loans on securities, only partly member banks on April 12, 1926, as shown by offset by increased commercial loans, and was reports of condition which have recently be- accompanied by 7a growth of about $140,000,come available, were $31,070,000,000—about 000 in the banks investment holdings and by $130,000,000 less than at the end of 1925 but a decline in deposits and in the volume of nearly $1,800,000,000 larger than in April of borrowing from the Federal reserve banks and that year. Loans declined by $270,000,000 other banks. during the first quarter of 1926, while investAt member banks in smaller centers total ment holdings increased by $140,000,000. loans, which had increased by about $930,The decrease in total loans and investments 000,000 in 1925, advanced further in the first was accompanied by a decline of about $170,- quarter of 1926, and at the end of the period 000,000 in the volume of the banks' borrowings, were about $1,000,000,000 larger than at the and by a decline of $1,358,000,000 in total beginning of 1925; investment holdings of these deposits; the decline in deposits, largely in de- banks remained at approximately the same mand deposits, is explained partly by the high level as at the end of 1925—about $150,000,000 level of deposits of the end of the year, which above the level at the beginning of that year. w a s to some extent due to the usual accumulaA comparison of figures for weekly reporttion at that time of a large volume of checks for ing member banks, located in leading cities clearing and collection; time deposits showed throughout the country, with figures for other an increase of $302,000,000 for the period, and member banks, located for the most part in United States Government deposits an increase smaller centers, is presented in the following of $75,000,000, while amounts due to banks table: and bankers declined by $371,000,000. Principal resources and liabilities of all member PRINCIPAL RESOURCES AND LIABILITIES OF MEMBER BANKS banks for April 12, 1926, are shown in the following table. A complete statement of condi[In millions of dollars] tion for April 12, 1926, is published on page 452 of this issue. Loans and investments BorNOTE Meeting of Federal Advisory Council. PRINCIPAL RESOURCES AND LIABILITIES MEMBER BANKS OF ALL Total rowings at InvestLoans ments Federal reserve banks 29,026 31,199 31,070 20,181 22,275 22,006 8,845 8,924 9,064 314 750 577 18,599 19,697 19,497 13,068 14,235 13,897 5,531 5,462 5,600 154 555 10,427 11, 502 11,573 7,113 8,040 8,109 3,314 3,462 3,464 160 195 [In millions of dollars] Change since— Apr. 12, Dec. 31, 1926 1925 Loans and investments.Loans Investments, total United States securities Other bonds and stocks Deposits, total.... _ United States Government deposits. Due to banks... ___. _-.. Demand deposits _ Time deposits._. _.__ Bills payable and rediscounts ..-- 31,070 22,006 9,064 3,831 5,233 32,870 379 3,849 17,687 10,955 841 —130 -269 +139 +70 +69 -1,358 +75 -371 -1,364 +302 -171 Apr. 6, 1925 +1,785 +1,617 +168 -85 +253 +1,644 -32 -232 +1,080 +828 +141 The decrease in member bank credit outstanding between December 31, 1925/ and April 12, 1926, was the net result of a decline 98738—26-—-2 All member banks: End of 1924 ..._ _.. End of 1925 _ ____ Middle of April, 1926 Weekly reporting member banks: End of 1924 __. End of 1925-. Middle of April, 1926 Other member banks: End of 1924 __. End of 1925 ___ Middle of April, 1926 ... Changes All member banks: December, 1924-December, 1925. +2,173 +2,094 December, 1925-April, 1926.—_ -129 -269 Weekly reporting member banks: December, 1924-December, 1925. +1,098 +1,167 -338 December, 1925-April, 1926 -200 Other member banks: +927 December, 1924-December, 1925. +1,075 December, 1925-April, 1926 +69 +71 +79 +140 +436 -173 -69 +138 +401 -167 +148 +2 +35 -6 380 FEDERAL RESERVE BULLETIN JUNE, 1926 BUSINESS CONDITIONS IN THE UNITED STATES NATIONAL SUMMARY There was a slight decline in the activity of industry and trade in April, and a further reduction in the general price level. Commercial demand for bank credit continued large and the volume of security loans, after a rapid decline since the turn of the year, remained at a constant level. Production.—-Production in basic industries, according to the Federal Keserve Board's index, decreased 1 per cent in April, slight increases in production of lumber and pig iron being more than offset by declines in output in other industries. Particularly large recessions were shown in the production of steel ingots and in textile mill activity. Automo- cast, compared with a final yield of 398,000,000 bushels in 1925. Trade.—The volume of wholesale trade in April was seasonally smaller than in March for all lines except meats. Compared with a year ago, sales of groceries, meats, and drugs were larger in April, while sales of dry goods, shoes, and hardware were smaller. Department-store sales increased less than usual and 50 50 With Seasonal Adjustment Without Adjustment 50 1922 1923 1924 1925 1926 Index of 22 basic commodities adjusted for seasonal variations. (1919= 100.) Latest figure, April, 122 bile production, not included in the index, continued in large volume. Factory employment and pay rolls declined slightly in April, particularly in the food, tobacco, textile, and boot and shoe industries. The value of building contracts awarded during April was smaller than in March and practically the same as in April of last year. Awards for the first two weeks in May, however, showed increases as compared with the same weeks in 1925. Keports by the Department of Agriculture indicate that up to the 1st of May 68 per cent of spring plowing and 56 per cent of sowing and planting was completed, compared with about 83 per cent and 66 per cent last year. On the basis of the condition of winter wheat on May 1, a yield of 549,000,000 bushels is fore- 19241925 1926 1922 1923 Index of sales of 359 stores. (1919=100.) Latest figures, April, adjusted 129, unadjusted 133 were somewhat smaller than a year ago. Sales of mail-order houses were slightly smaller than in March, but continued to be larger than in the corresponding month of 1925. There was some decrease in the stocks of merchandise held by wholesale firms during the month, and inventories of department stores showed less than the usual seasonal increase, though they were larger than a year ago. Weekly freightcar loadings decreased in the early part of April, but later increased, and the volume of shipments for the month of April as a whole and for the first two weeks in May was larger than in the corresponding periods of any previous year. Prices.—Wholesale commodity prices, according to the Bureau of Labor Statistics index, declined slightly from March to April. Increases in the farm products and foods groups, which had been declining for several months, were more than offset by decreases in other groups. The greatest declines were in the prices of clothing materials. In the first three weeks of May prices of wheat, cattle, sheep, cotton goods, pig iron, bricks, and rubber 381 FEDERAL RESERVE BUIiLETIN JUNE, 1926 Withdrawals of funds from New York were declined, while those of hogs, raw silk, and reflected in an increase between the middle of crude petroleum increased. April and the middle of May in borrowings by member banks from the Federal Reserve Bank of New York, while borrowings at most of the BILLIONS OF DOLLARS BILLIONS OF DOLLARS 2 1922 1923 1924- 1925 1926 Index of United States Bureau of Labor Statistics. (1913=100, base adopted by bureau.} Latest figure, April, 151 Bank credit,—Commercial demand for bank credit at member banks in leading cities continued in large volume between the middle of April and the middle of May. Liquidation of security loans, which had been rapid since the beginning of the year, did not continue after the middle of April, and the volume of these loans remained fairly constant at a level about $450,000,000 below the peak at the end of 1925. There was some addition to the banks' investments, and the total of their loans and investments was about $1,000,000,000 larger than at the same period of last year. 1922 1923 1924 1925 1926 Monthly averages offdaily figures for 12 Federal reserve banks. figures^are averages for first 22 days in May Latest other reserve banks declined. Op^en-market holdings of the reserve banks remained fairly constant during the period, and there was little change in the total volume of reserve-bank credit outstanding. Money rates late in April reached the lowest level for a year, but in May conditions in the money market became somewhat firmer. BUSINESS INDEXES OF THE FEDERAL RESERVE BOARD [Monthly average 1919=100] Year and month Production in basic industries i Factory Factory Building Railroads Wholeemploy- pay contractsl car sale rolls awarded ment trade 1925 January.... February..—_— March April—.— May June _-. July August--,. September-.—... October.. November December.—— 127 124 120 119 111 110 113 109 111 116 115 121 103 109 110 107 107 105 102 105 104 111 112 112 164 166 172 169 151 173 188 225 235 210 229 276 123 125 117 129 123 117 122 123 121 121 121 130 1926 January ___ February———.. March-——— April.. 120 120 123 122 107 112 113 110 243 208 209 170 118 127 126 132 87 94 101 86 80 Department-store sales1 Department-store stocks i Unadjusted Unadjusted Adjusted Adjusted Bank debits outside of New York City i 108 101 121 136 128 126 95 98 12t 165 145 124 131 121 133 124 126 128 125 134 145 129 141 119 127 139 141 136 129 125 131 143 149 154 129 134 135 137 136 137 135 133 131 133 134 137 139 119 118 118 120 118 122 124 120 123 128 122 124 114 104 130 133 130 135 130 129 125 132 143 143 141 140 141 139 126 128 131 131 * The indexes of production in basic industries, building contracts, car loadings, and bank debits are adjusted to allow for seasonal variation; the indexes of department-stores sales and stocks are shown both with and without seasonal adjustments. 382 FEDERAL RESERVE BULLETIN MONEY RATES Money rates in the New York market during May were at their lowest levels since last summer, although some rates were higher late in the month than at the beginning. Prime commercial paper, however, was quoted at 4-43^ per cent early in May and later at a flat 4 per cent for the first time since last August, with an increasing number of names going at 3% per cent. The supply continued small and an active demand came from the Middle West, Pennsylvania, and New England. The offering rate on 90-day bankers7 acceptance which declined to 3 % per cent on April 23, the lowest rate in effect since May a year ago, recovered to S}{ per cent in the middle of May, and rates on other maturities moved correspondingly except for 30-day and shorter bills, which remained unchanged after their late April decline. The average yield on United States, certificates of indebtedness also recovered slightly in the middle of May from its decline to about 3 per cent in April. Liberty bonds continued to rise in price and their yield during May was but little above the low point for 1925 reached last June. Call rates on stock-exchange loans averaged higher in the latter part of May than of April, but time rates were about the same, and both remained below the levels of the previous nine months. The table below shows money rates prevailing in the New York market during the last three months: MONEY RATES IN N E W YORK CITY Average yield on— Month May, 1925 March, 1926—. April, 1926 May, 1926 Week e n d i n g May 1. May 8 May 15 May 22 May 29 Prime commercial paper, 4-6 months 3M-4 4 -4M 4 -4M 4 4 Average rate on— Prime U. S. bank- Treasers' ury accept- notes V4 Call x Time2 ances, and per cent loans 90 loans certifi- Liberty bonds cates, 3-6 months 3.93 2.73 3 3.03 } 3.98 4 3.25 3.94 44 3.08 3.93 3.17 4 3.03 3.92 4 3.12 3.92 4 3.92 3.19 4 3.94 3.19 4 3.94 3.18 3.82 4.55 4.06 3.81 3.88 3.60 3.70 3.90 3.75 3.90 4.00 4.03 4.05 4.00 4.03 4.72 4.29 4.05 JUNE, 1926 middle of May, as compared with 4 ^ per cent in the middle of April. ACCEPTANCE MARKET The acceptance market was active in New York and Boston after the middle of April, with rather limited supplies of bills moving freely at offered rates. Dealers lowered their rates on April 22 by one-eighth of 1 per cent, and again on April 23 by one-fourth of 1 per cent, and on April 27 the Federal reserve banks reduced their buying rates for the first time since January, t h e market demand for bills at the new rates declined, and during early May New York dealers' portfolios increased to the largest volume of holdings recorded, with larger sales to the Federal reserve banks. After May 18, when dealers raised their rates one-eighth of 1 per cent on all maturities over 30 days, demand increased somewhat, aiid on May 20 Federal reserve banks further lowered their rates on bills of over 60 days maturity to an equality with offering rates in the market. In New York the average weekly purchases and sales of dealers during the whole reporting period from April 15 to May 19 were the largest since last Octobei*, but in Philadelphia and Chicago relatively quiet conditions prevailed. Bills chiefly in evidence in the eastern markets involved transactions in silk, sugar, tobacco, and rubber, and in Chicago were based on a considerable variety of products, including grain, rubber, packing-house products, and iron ore. The following table shows bill rates in the New York market at the beginning and end of the reporting period. ACCEPTANCE RATES IN THE N E W YORK Maturity MARKET April 14, 1926 May 19, 1926 Bid Bid Offered Offered 30 days_. 60 days.. 90 days.. 120 days. 150 days. 180 days. CAPITAL ISSUES The volume of new domestic securities issued in April, according to the compilation of the Commercial and Financial Chronicle, was 1 Renewal rate. considerably smaller than in any previous 2 Weekly average of daily average rates on principal maturities. 3 Issues maturing June 15,1926. month of 1926 or in April, 1925. They «Issues maturing Sept. 15,1926. amounted to $392,800,000, with an additional In the London money market rates were $100,000,000 of issues for refunding purposes. firmer at the beginning of May, but declined Foreign issues, on the other hand, were the slightly later in the month. Three months7 largest of the current year, altogether totaling bank bills were quoted at 4^- per cent in the $137,050,000, according to the compilation 383 FEDERAL RESERVE -BULLETIN JUNE, 1926' SECURITY PRICES of the Federal Reserve Bank of New York, as compared with $67;240>000 in April last year. The prices of representative common stocks, The small volume of domestic flotations is ac- which about one-half of their counted for by a decline in those of corpora- March recovered decline during April, again declined tions, for the amount of municipal offerings during the first two weeks of May, but incompared favorably with the average of re- creased somewhat the following The cent months and of 1925. Industrial issues, in low point reached in May by theweek. price index particular, were but little more than one-half of 231 1 stocks computed by the Standard their volume in March, and while both public Statistics Co. was about 3 points above its utility and railroad issues showed considerable April point. The increases later in the increases, a large proportion of the former was monthlow brought railroad stock prices to higher for refunding purposes. This is the first levels than they reached in April, but industrials month since August, 1925, in which the total made smaller gains. The were pretty amount of public utility flotations has exceeded widely distributed amongincreases the various those of industrial corporations. The follow- of industrial stocks, but were not large groups any ing table shows the domestic securities, both group. At the end of May railroad instock new and refunding, issued in April, 1925, and prices were near those prevailing last Novemin March and April, 1926: ber and industrials near those of last September. The market was inactive during DOMESTIC CAPITAL ISSUES May, as indicated by the average volume of [In million of dollars] sales, which was less than for any month since April, 1925. Bond prices, already at the April , 1925 April , 1926 March, 1926 highest levels since 1917, continued to advance in May. The following table gives indexes of ReReRestock prices computed by the Standard New fund- New fund- New funding ing ing Statistics Co. of New York, the average price of 40 bonds computed by Dow, Jones & Co., 78.8 Total.____-._ _. .392. 8 100.8 558. 2 38.8 470.1 and the average number of shares of stock Corporate 99.1 416.1 37.2 374. 6 68.6 sold daily on the New York Stock Exchange 284.6 Long-term bonds and notes 228.1 81.2 218. 2 34.9 219.4 65.6 for the last six months and for May a year Short-term bonds and notes 24.1 . 2 ago: 27.4 17.2 20.0 1.0 Stocks Farm loan issues Municipal. 29.1 2.3 105.9 0.7 1.7 173.8 29.3 112.8 1.3 .2 1.4 135.2 6.4 89.1 2.8 4.7 5.5 The bulk of the foreign flotations in this country during April were issued by LatinAmerican governments, provinces, and municipalities, and by Canadian corporations. The former accounted for over $71,000,000 and the latter for about $34,000,000 out of a total of $122,250,000 new issues. The following table shows the foreign offerings during February, March, and April: FOREIGN CAPITAL ISSUES [In millions of dollarsl April, 1926 March, 1926 February,1926 Government Corporate Government Corporate Government Total new issues. __. 76.3 5.0 Europe—-—___. Canada and Newfoundland __.-. Latin America _____-_. 71. 3 International.. Refunding issues ~~2.Y 45.9 10.2 23.2 3.7 21.7 14.9 44.0 42.0 33.7 2.0 6.0 13. 5 4.8 12.0 3. 0 57.9 !6.2 Total new and refunding. ______ 79.1 Corporate 20.4 14.0 2.0 6.4 40.0 3.6 ~2.T 21.7 84.0 24.0 INDEX NUMBERS OF SECURITY PRICES Price indexes of*— Average 201 in- 31 rail- Total, price 232 of 40 dustrial2 road stocks stocks stocks 2 bonds 3 Average for— 127. 8 May, 1925__ December, 1925 ___. 151.6 January, 1926 _. .153.7 February, 1926 . 154/9 March, 1926 144.0 April, 1926-___-_-__._. 139.8 May,1926 141.1 Average for week ending— May! 143.3 May8 140.6 May 15 138.5 May 22 140.3 May 28. 142.9 Average number of shares of stock sold daily (000 omitted)* 110.0 125.4 125.5 123. 5 119.4 118.5 120.6 122.5 144.0 145.5 145.7 136.7 133.6 136.0 92.*79 92.76 93.46 94.31 93.94 94. 52 95.25 1,607 1,883 1,766 1,806 1,790 1,339 1,083 120. 4 118.7 118.8 121. 8 123.1 136. 6 134.1 132.7 139. 4 137.1 95.19 95.12 95.29 95. 30 95.35 1,284 936 936 1,098 1,363 1 For the industrial stocks, the average of 1917-1921 prices equals 100, for the rails the average of the high and low prices made in the 10 years, 1913-1922, equals 100. The indexes are weighted by the number of shares of each stock outstanding. Prices used are closing quotations on Saturday. 2 The number of industrial stocks used in the index was reduced to 200 and the total number to 231 after May 15,1926, on account of the merger of two of the companies whose shares are included. 3 Arithmetic average of daily average closing prices, as published in the Wall Street Journal. Weekly averages are for week ending with Saturday. f Saturday omitted. Weekly averages are for five days ending withFriday preceding date given. 384 FEDERAL RESERVE BULLETIN" AGRICULTURAL CREDIT JUNE, 1926 Loans closed by Federal and joint-stock The consolidated statement of the 12 Federal land banks were in smaller volume during April intermediate credit banks for April shows a than in the preceding month. Federal land decrease in outstanding direct loans from banks increased their net outstanding loans $47/700,-000 to $40,819,000 and an increase in from $1,027,361,000 to $1,033,044,000, while joint-stock land banks increased from $579,rediscounts from $36,290,000 to $40,755,000. All banks showed a net decrease in outstand- 457,000 to $587,169,000. The following table ing direct loans with the exception of the Balti- shows the outstanding volume of net mortgage more bank, where additional advances were loans at the end of April held by 12 Federal made upon tobacco. Slight increases were land banks, 53 joint-stock land banks, and 41 made in outstanding advances based on wool, life-insurance companies owning more than 82 rice, and canned fruits and vegetables; the more per cent of the assets of all life-insurance important reductions were made in loans based companies: on tobacco, wheat, and cotton. All types of N E T FARM MORTGAGE LOANS OUTSTANDING direct loans, with the exception of advances on raisins and wool, displayed a further reduction [In thousands of dollars] in the first half of May. Loans on raisins remained unchanged and wool advances conApril 30, April 30, 1926 1925 tinued their seasonal increase as shearing operations made a new crop available. all joint-stock land banks. 587,169 486; 247 Rediscounts, which increased approximately Total, Total, Federal land banks 1,033,044 962,662 1, 552,000 1,483,000 $4,465,000 during April, represented chiefly 41 life-insurance companies . advances to agricultural credit corporations, and the largest part of these funds were loaned AGRICULTURE in the Columbia (S. C.) and New Orleans districts. Slight decreases were shown in outAgricultural developments in April and the standing rediscounts in the following districts: early weeks of May were delayed by continuaSpringfield, Louisville, Wichita, and Berkeley. tion of unseasonable weather inmost sections During the first half of May rediscounts exhib- of the country. Up to the 1st of May only ited only a nominal increase. Changes in 68 per cent of spring plowing for the entire rediscount rates have recently been made in United States had been completed and only 56 two districts-—the St. Paul bank reducing its per cent of spring sowing and planting. Last rate from 5 ^ to 5 per cent and the Columbia *year approximately 83 per cent of spring plow(S. C.) bank increasing its rate from 5 to 5J4 ing and 66 per cent of sowing and planting per cent. were completed by May 1. The cotton crop Loans based on eligible commodities and averages from ten days to three weeks later rediscounts for the different financial institu- than in 1925 and a similar situation prevails in tions for the latest date in May are shown in the the grain-growing sections of the country. In the West and Southwest the average conaccompanying table: dition of ranges is materially better than a year - INTERMEDIATE CREDIT BANKS ago and livestock generally are in the best [In thousands of dollars] condition in several years. In the eastern sections of the country, however, pastures in the M a y 15, Apr. 17, M a y 16, 1925 1926 1926 early spring months were adversely affected by cold and dry weather and the average Direct loans outstanding on— condition is considerably lower than a year 1,505 19,680 23,985 Cotton. 20, 306 ago. 12,874 12, 298 1,369 656 577 Wheat -. Marketing of agricultural products in April 412 253 449 Canned fruits and vegetables. 3,600 4,000 was seasonally smaller than in March, but ;was 3,600 Raisins _. , 1,166 Prunes.,. — ' Shipments 332 larger than in April of last year. 44 65 Peanuts. --. 179 108 264 Wool.. . —978 156 of spring fruits and vegetables increased in 934 Rice.-...340 41 April but, due to the lateness of the season, 266 All other... _*.-_ 28, 594 the total volume of these crops that reached 43, 731 38,112 Total. the markets was considerably smaller than last Rediscounts outstanding for— 20, 533 year. 27,127 28, 517 Agricultural credit corporations Exports of farm products were in 8 13 3 National banks......._-.__-_-__--.-. 678 slightly smaller volume in April than in March 471 452 . State banks. 10,284 and were about 9 per cent smaller than in 12, 276 12,088 Livestock loan companies.. 50 15 Savings banks and trust companies. April of last year. The decline, however, be31,553 41, 267 Total.. tween March and April this year was not as JUNE, 1926 FEDERAL KESEEVE BUIiLETUsT large as in 1925. Smaller exports in April this year than in April, 1925, were due principally to the large reduction in exports of grains and grain products, which have been smaller each month this season than in 1925. Exports of meats, on the other hand, including pork and beef products, were larger in April than in the corresponding month of last year. Farm prices in April remained at about the same level as in March, but in May the Department of Agriculture's index of 30 farm commodities declined from 140 to 139. The largest declines were in the prices of fruits and vegetables and cotton and cottonseed. As compared with May, 1925, prices averaged 6 per cent lower, and all groups except fruits and vegetables and livestock showed declines. Grains. Favorable rain in the winter wheat belt in early May greatly^ improved the condition of the growing crop. With an unusually small amount of winter-killed wheat and generally favorable conditions, prospects indicate a much larger crop than last year. The May 1 estimate of the Department of Agriculture forecasts a yield of 548,908,000 bushels of winter wheat, which is 38 per cent more than the yield of 1925, but 2 per cent less than the average production for the last 10 years. The condition of the crop is reported as 84 per cent of normal as compared with 77 on May 1, 1925, and 83.6 per cent, the average condition on the same date for the last 10 years. The largest increase is forecast for the hard winter wheat region comprising chiefly the States of Kansas, Oklahoma, Nebraska, and Texas; while in the soft winter-wheat area the main producing States, with the exception of Ohio, show an indicated decrease in yield as compared with 1925. The North and South Atlantic group of States also show decreases as compared with last year, and inasmuch as these two groups do not produce a surplus over local needs, larger demands upon the surplus producing areas will be necessitated upon the basis of indicated yields. With favorable weather conditions, it is expected that harvesting of winter wheat will be started in Texas and Oklahoma about June 1. In the Pacific Northwest, where the crop is from a month to six weeks earlier than usual, harvesting is expected to begin about the middle of June. The dry soil conditions prevailing in the spring-wheat area were relieved by rains during the middle of May, but in many localities lack of subsoil moisture is apparent and frequent Tains will be necessary to insure satisfactory 385 progress of the growing crop. The droughty conditions have delayed germination and growth, giving the crop a late start. The acreage sown to hard spring wheat is estimated to be under the acreage of last year, while an increase in the area devoted to durum wheat is reported. After falling to the lowest level of the year in the early part of April, wheat prices made a recovery of approximately 12 cents, but lost about one-half of this gain during the last two weeks of the month. Prices during the first half of May were held within a fairly narrow range, with the exception of No. 2 dark hard winter at Kansas City, which reached the lowest level since last July. While milling demand has not been on a large scale, export orders have been increasing and domestic supplies in both this country and in Canada are at low levels. The market for com has continued weak and new low levels were reached in the first part of May. Spring activity in the fields has held supplies from the market, curtailed receipts having held down supplies at the primary markets so that they are not unduly large for this time of the year. Feeders and industrial interests have been buying moderately. Unfavorable weather was encountered during much of the planting season in the South and some replanting was necessary. In the central -and north sections of the corn belt generally favorable conditions for planting were encountered. Deficient soil moisture, however, was reported in Iowa and other areas. A fairly, active demand was maintained in the oats market during the first half of May, particularly in the northwest markets, where stocks were considerably reduced by lake shipments. Condition of the growing crop varies considerably, as the early dry weather delayed the growth in many sections, and damage from high winds is also reported. Kains during the middle of May greatly improved the situation, but the crop, as a whole, is somewhat late. Harvesting of the oats crop in Texas was reported during the first half of May, and it was expected that this grain would begin to reach the market during the first part of June. Flax prices showed a slight increase during April and maintained a fairly firm level during the first half of May. Cotton. Unseasonable weather continued throughout the Cotton Belt in April and the early weeks in May, and the cotton crop generally 386 FEDERAL RESERVE BULLETIN is reported to be from 10 days to three weeks later than last year. Low temperatures delayed germination of the early planted cotton in many sections and, as a consequence, considerable replanting has been necessary. Early estimates indicate that the acreage planted thus far in all sections is about the same as in 1925, when 48,090,000 acres were planted and 46,053,000 acres were harvested. Conditions in the cotton-manufacturing industry in almost all countries which use a relatively large amount of American cotton are generally unsatisfactory, and as a result, demand for American cotton has declined and the market generally has been weak. For the season August 1 to January 1 takings by spinners in the United States and Canada "were 23 per cent larger than in the preceding year, and total takings by all spinners of the world were 19 per cent larger than a year earlier. From January to the middle of May, however, takings have been smaller than in the spring of last year, and for the season August 1 to the middle of May takings by American and Canadian spinners were only 5 per cent larger than last year, and total takings by all spinners of the world were only 2 per cent larger. As a result of this falling off in demand, stocks of cotton in the United States have not been reduced as much since the beginning of the year as in the corresponding period in 1925, and at the end of April stocks at mills and warehouses were 62 per cent larger than on the corresponding date in 1925. At the beginning of the year stocks at mills in the United States were 3Q per cent larger than a year earlier, but smaller takings, since the first of the year resulted in a reduction in mill stocks, and at the end of April they were only 8 per cent larger than in April 1925. This reduction in mill takings and in exports have resulted in an accumulation of stocks at public warehouses, and at the end of April they were 112 per cent larger than in 1925. Prices continued to fluctuate within narrow limits in April and May, and on May 21 the closing price for spot cotton middling grade at New Orleans was 18.4 cents, as compared with 18.6 cents a month earlier. In view of the fact, however, that a large amount of the cotton that remains in the South is of a very low grade, prices are considerably lower than those offered for middling and the better grades. Tobacco. Preparation for the 1926 tobacco crop was somewhat delayed by weather conditions in JUNE, 1926; April and May, and up to the first of May transplanting was from one to two weeks late in some sections. In North Carolina tobacco plants were adversely affected by the cold and dry weather in the spring months and are generally small, but they are in sufficient numbers to provide for a slightly increased acreage. In the St. Louis Federal reserve district weather conditions in the early weeks of May were generally favorable for farm work and preparations for the new crop advanced rapidly. Cold weather, however, has delayed transplanting, and up until themiddle of May very little had been done. Stocks of leaf tobacco in the hands of dealers and manufacturers at the beginning of April showed the seasonal increase that usually occurs between January and April, and werematerially larger than a year ago. In the past four years tobacco stocks have been increasing rapidly, and at the beginning of April this year they were the largest in recent years. Detailed statistics of stocks of the principal types of tobacco on April 1, 1924, 1925, and 1926, are shown in the following table: STOCKS OF PRINCIPAL TYPES OF TOBACCO IN HANDS, OF DEALERS AND MANUFACTURERS [Millions of pounds] Types Aggregate—all tobaccos. . Chewing, smoking, snuff, and export types, total Burley Dark—Kentucky and Tennessee Bright—Virginia, North Carolina, South Carolina, and Georgia Cigar types, total New England. _ Pennsylvania Wisconsin Apr. 1, 1926 Apr. 1, 1925 Apr. 1, 1924 2,040 2, 036 1,977" 1,532 1,578 323 1, 522 583 341 1,486, 542; 304 548 433 114 118 115 544 '423 113 119 107 583. 421 105 127 106* This rapid accumulation of stocks in recent years has caused increased efforts to market a. larger proportion of the crop in foreign countries, and, as a result, exports for the first four months in 1926 have been greater than thosein the corresponding four months in 1925. Index numbers prepared by the Department of Agriculture showing the volume of tobacco exports for each of the first four months in 1925 and 1926 are shown in the following table: 1926 January. _ February. March... April 144 148 111 137 1925 110r» 74, 106, JUNE, 1926 FEDERAL RESERVE BULLETIN In the tobacco-manufacturing industries, production in April was seasonally smaller than in March. As compared with April, 1925, the production of cigars and cigarettes was larger, but the output of manufactured tobacco products was smaller. The output of cigarette s amounted to 6,973,000,000 and continued to exceed the output of the corresponding month in any previous year. Fruits and vegetables. Citrus groves in Florida are reported in generally good condition, arid the picking of Valencia oranges in California was well under way during the first half of May. Deciduous fruits, on the whole, came into bloom without serious damage from frost except in localized areas. The berry movement has been greatly delayed, compared with last season, and the same is true for most of the early vegetable shipments, as unfavorable weather conditions early in the season delayed progress of the crop. Vegetable prices declined during April as the seasonal increase in supplies arrived at the markets. Tomatoes, peppers, and cabbages, however, maintained their position fairly well, and the general level of prices was higher than a year ago. The principal producing sections, with the exception of those on the Pacific coast, were late in getting shipments under way. The lateness of the new potato crop enabled holders of old stock to make a favorable disposal of their supplies, but prices declined from their high level in the second week of April and, with the exception of a few scattered price recoveries, the general trend has been downward as supplies of new stock became more liberal. Despite an increased acreage in onions, shipments from the South have been lighter than last year, because of weather conditions, hail damage, and restricted marketing. The price received by growers is reported to be approximately 25 per cent under last season's level. Cabbage shipments from various sections entered the market in orderly fashion and prices were sustained satisfactorily. Car-lot shipments of oranges during the first four months of 1926 have been slightly higher than the corresponding period in 1925; car-lot shipments of lemons have been 20 per cent larger, while grapefruit has been marketed in a volume about 35 per cent smaller than in the previous year. Demand for good quality apples was fairly active, but heavy stocks of on-grade fruit are still held in storage and low prices have prevailed. Car-lot shipments have been much heavier than last year. 387 Livestock. Range conditions continued favorable during April, and the Department of Agriculture reports the condition of the ranges on May 1 as 94 per cent of norinal, as compared with 91 per cent a month earlier and 84 per cent a year ago. While conditions on the whole continued favorable during the first half of May, reports indicated that pastures in certain areaswere suffering from lack of rain, particularly in eastern Montana. The favorable range situation is reflected in the condition of the cattle and sheep, which the Department of Agriculture places at 94 and 99 per cent of normal, respectively. This compares with a condition of 86 per cent for cattle and 93 per cent for sheep on May 1, 1925. Total receipts of livestock at the principal markets during April were in smaller volume than in the previous month and less than in April, 1925. Shipments from markets, reflecting chiefly the seasonal movement to pastures, were larger for cattle and sheep than in March, but were slightly under the amount taken in April last year. Shipments of hogs, which showed a decrease from March, were larger than in April, 1925. Average prices for beef cattle were slightly lower than in March, and heavy finished stock reached the lowest level of the year. Spreads in prices between stock suitable for further feeding and finished animals narrowed to such an extent that feeders were proceeding cautiously. The market is expressing a demand for young beef of good finish, and all offerings of this class have been given a preference over the heavier stock. While April beef prices were 40 to 80 cents per hundredweight lower than a year ago, better pasture conditions and lower feed costs tend to improve the situation. Average prices on fat cows and heifers showed a gain of 30 cents at the close of the first half of May, while native beef steers showed a slight loss. The lamb trade worked back to higher levels in April and averaged approximately 50 cents higher than in the previous xnonth. Supplies have been limited, and the early lamb situation is such that May market receij3ts are expected to be lower than last year. A further gain of 75 cents \^as made during the first half of May, average prices for lambs in the week ending May 15 being given at $14.40. In the range section lambing has proceeded under generally favorable conditions and a high percentage of lambs is reported. Very little contracting of lambs has taken place, although 388 FEDERAL* RESERVE BULLLETI!N' JUNE, 1926 buyers have nnade occasional offers at 9}4 and showed an increase of 2 per cent over the corre10 cents a pound. A few sales of wool are re- sponding week last year, and for the first and ported, with prices being quoted about 35 second weeks of May an increase of 3 and 0.37 cents, but the bulk of the crop is still unsold. per cent, respectively. Stocks in storage on Material advances were made in the hog May 1 totaled 17,490,000 pounds, which commarket during April and the first half of May, pares with 5,488,000 pounds for the five-year particularly in the heavier weights, which average on the same date. Contrary to the hitherto had been purchased at a considerable usual storage movement in April, holdings discount compared with the lighter-weight ani- showed an increase for the month, as conmals. The average price of hogs for April at trasted with a decrease of 7,136,000 pounds in Chicago was $12.25, compared with $12.05 in April, 1925. March and $12.60 in April, 1925. Advances The low point of the year in the cheese in May brought up the average price for the market was reached in the middle of April, week ending May 15 to $13.35. Relative to in- and since that time a firmer trend has been in creased supplies for autumn and winter market- evidence and prices at the end of the first half ing, the Chicago Federal Reserve Bank reports of May were %-% cents a pound higher. the results of a special survey which indicates Production has been maintained at a. high that losses of young pigs have more than level but demand has also continued active. counterbalanced the increase in farrowing, re- Cold-storage holdings on May 1 showed a ducing the total crop of spring pigs in the Chi- decrease of approximately 2,500,000 pounds cago district 3 per cent below that of last spring. for the month, but total holdings were 9,000,000 The number of marketable hogs remaining on pounds greater than on the same date last farms May 10, according to this same report, year and nearly double the five-year average. shows a decline of 9.5 per cent from the corresponding date in 1925. MINING The average prices of livestock at the ChiProduction of minerals was seasonally less in cago market for April, with comparisons, is than in March, owing partly to the reported by the Chicago Federal Reserve Bank April difference in the number of working days. On as follows: a daily average basis, recessions were noted in the output of bituminous coal, copper, and AVERAGE PRICES OF LIVE STOCK lead, while production of anthracite, crude [Per hundred pounds at Chicago] petroleum, and zinc increased. As compared with April, 1925, increases in bituminous coal, Months of— anthracite, copper, lead, and zinc more than Week ended offset declines in crude petroleum, iron ore, May March, April, 15, 1926 April, and silver, and as a consequence the total 1926 1926 1926 index for April of this year was larger than $10.20 that of a year before. $9.35 $9.40 Native beef steers (average) Fat cows and heifers Hogs (bulk of sales) Lambs (average) __ 7.25 13.35 14.40 6.95 .12. 25 13.65 7.20 12.05 13.15 7.35 12.60 14.15 Coal and coke. Commercial stocks of bituminous coal in the hands of consumers wqre estimated to be Dairy products. 40,000,000 net tons on April 1 of this year. Butter prices reached the lowest level of the This was the lowest estimate since that for year in April, when 92-score butter was quoted June 1, 1925, and with that exception the at 38 cents in the New York market. A firmer lowest since early in 1923. At the prevailing trend was in evidence during May, however, rate of consumption this amounted to 26 days' and quotations reached 41 cents during the supply. During April the usual seasonal second week of the month, which level was recession affected both production and prices, maintained through the third week as well. the latter declining to the lowest levels since Production, which during the first quarter of the war. Output, on the other hand, was comthe year has been running about 10 per cent paratively well maintained, reaching 40,079,000 above that of last year, began to show a rela- net tons, except in 1923 the highest April figure tive decrease during the latter part of April and since the war, though seasonally under the first half of May. Output, as reported by the totals for recent months. During the first American Association of Creamery Butter half of May the opening of the lake movement Manufacturers, for the week ending May 1, and the cessation of British production stimu- 389 FEDERAL RESERVE BULLETIN JUNE, 1926 lated the market somewhat, and the Coal Age index of spot prices for bituminous coal rose to $1.93 on May 17, as compared with $1.91 on April 12. Production continued to decline, however, daily average output per working day being 1,548,000 tons for the week ending May IS, as compared with 1,571,000 tons during the second week in April and 1,392,000 tons during the corresponding week last year. Total 1926 output of bituminous to May 15 amounted to 205,770,000 net tons, with the exception of 1923 the largest for the period of any postwar year. April production of anthracite amounted to 8,217,000 net tons, a total slightly under March, when 8,790,000 net tons were produced, but higher than any other April since the war. Failure of the old-line companies to make the customary spring reduction in prices is reported to have resulted in a slower retail demand, and the premium on coal from independents was reduced. Output of coke fell off 352,000 tons to 4,583,000 short tons during April, the lowest since October but, except for 1923, higher than any other April since the war. In spite of the fact that the reduction from March was equally distributed between beehive and by-product output of the latter remained the third highest for any month on record. During the first MILLIONS OF TONS BITUMINOUS COAL MILLIONS OF TONS 70 fv Petroleum. In April the daily average output of-crude petroleum was larger than in March, and in the first three weeks of May production continued to increase. For the week ending May 15 the daily output amounted to 1,999,000 barrels, the largest production since the last week in December. As compared with a year ago, however, the daily average output continued considerably smaller. Stocks of crude petroleum east oi California were approximately the same at the end of March as at the end of February, but were 7 per cent smaller than at the end of March a year ago. Prices continued at about the same level in April as in March, but in the first two weeks of May the large increase in production was followed by a slight recession in prices. Near the end of May, however, demands from refiners began to increase and prices of petroleum reached the highest level of this year. In the refined-products industry, production in March, the latest month for which statistics are available, was generally larger than in February. Production of gasoline was in the second largest volume on record, exceeding 969,530,000 gallons. Stocks of gasoline and kerosene at the end of March were larger than at the end of February, but stocks of gas and fuel oil and lubricating oils were smaller. Compared with March, 1925, supplies of gasoline, gas and fuel oils,, and lubricating oils were considerably larger, but stocks of kerosene were 35 per cent smaller. Comparison of stocks at the end of each of the first three months in 1925 and 1926 of petroleum products is shown in the following t able: STOCKS AT OIL REFINEEIES IN UNITED STATES [In thousands of gallons] Gasoline 10 Kerosene Gas and fuel oil Lubricatsing oil 1926 Jan. 31 Feb. 28 Mar. 31 MSL. 1922 1923 192^. 1825 1926 half of May production of beehive continued to decline, output for the week ending May 15 being 204,000 tons, as compared with 228,000 tons for the week ending April 10 and 136,000 tons during the corresponding week in May, 1925. Quotations for coke receded further during May, Connellsville coke being quoted at $2.75 on May 18, as compared with $3 on April 13 and $3.15 on May 12, 1925. 1,749,023 1,858,659 1,936,336 287,618 287,994 293,907 977,178 900,670 851,234 316,859 332,139 320,876 1,453,197 394, 638 435,376 456,064 773,853 795,872 801,757 280,183 286,431 1925 Jan. 31. Feb. 28 Mar. 31 1, 618,891 1, 747,199 Although actual stocks of gasoline, as shown by statistics in the above table, are materially larger than in 1925, they amount to only 73 days' supply at the current rate of consumption, as compared with 81 days7 supply a year ago. This reduction in the 390 FEDEKAL RESERVE BULLETIN relative supply of gasoline has resulted in a rapid increase in prices,, which are generally higher now than a year ago. Detailed statistics showing prices in April and May, 1925 and 1926, at refineries and service stations are given in the following table: PRICES OF GASOLINE [Cents per gallon] Gasoline at— Refineries 1 1926 Apr. 3_ Apr. 10. Apr. 17. Apr. 24. May 1_ May8_ May 15. May 22. 11. 51 11.63 11. 63 11. 69 11.97 12.50 12.44 13.44 1925 12.59 12.22 12.41 12.25 12.31 12.50 12.94 12.94 Service stations 2 1926 22.27 22.32 22.32 22. 32 22. 72 23.12 23.12 23. 62 1925 22.72 22. 52 22.52 22.52 22.52 22. 32 22.72 22.62 1 Oil, Paint and Drug Reporter—average price at 4 representative refining2 centers. Oil, Paint and Drug Reporter—average price for 10 sections of the United States. Nonferrous metals. April output of nonferrous metals in the United States continued close to the high levels that characterized March, in spite of the somewhat lower prices that were established during that month. Production of copper in the United States amounted to 146,012,000 pounds during April, the highest for that month since the war, and at about the same daily rate as in March. Consumption continued high, knd at the end of the month stocks of refined copper in the hands of producers showed a decline of 2,600 tons. During the first half of May quotations for refined electrolytic copper delivered at New York continued to fluctuate around the level of 1 3 % cents, which prevailed during the greater part of April. Though output of lead during April was at the lowest daily rate since September, it established a new high for that month, as did zinc, output of which was likewise somewhat curtailed from the levels prevailing in recent months. Shipments of slab zinc from refineries, though slightly above last year, were well under output, with the result that stocks on hand at the end of the month increased to 25,990 tons, the highest since the end of November, 1924. Quotations for both lead and zinc continued to fall during the period, lead at 7% ceiits in New York and zinc at §%-&/& cents in St. Louis being both about 2 cents under the high levels of last JUNE, 1926" November and on a par with the lows for 1925 reached in April of that year. On continued selling from China, quotations for bar silver in New York fell to 63 cents on April 22, 9% cents under the recent September high, but reacted subsequently under the stimulus of support from both China and India, and on May 19 stood at 65 cents, up % cents from April 14. In spite of large deliveries of tin to the United States, which in April were the second largest since February, 1925, stocks in New York at the end of the month were the lowest since November, 1923. Quotations for Straits tin of 6134 cents on May 19 were 4 ^ cents under the March high, but still above the levels during the five years precedingOctober of last year. MANUFACTURING Manufacturing production declined about 1 per cent in April, according to the board's new production index, based upon statistics of daily average output. The volume of manufacturing in April, although less than in March, continued at around the same high level that has been maintained, except for a seasonal recession in December and January, since lask October. The April index was also higher than that for April, 1925. Eeports from many industries, however, indicate decreasing activity in buying and rather general curtailment of operations. In April decreases were noted insteel, textiles, food, and tobacco products, and_ shoes, more than offsetting increases, largely seasonal, in automobiles, lumber, stone, clay, and glass products, and nonferrous metals. Prices of manufactured products, particularly of iron and steel and textiles, have been, declining in recent months. Food products. The output of meat products during April: declined as a result of the seasonal decline in livestock marketing. The total value of sales, however, reported by 42 meat-packing companies to the Chicago Federal Reserve Bank, exceeded those of March by nearly 1 per cent, and were 8 per cent larger than in April, 1925. A firmer market for pork products was in evidence and prices advanced; quotations on beef products remained relatively stable and lamb prices advanced. Lard stocks increased approximately 5,000,000 pounds during tne month, but the May 1 holdings were considerably below those of last year, totaling 98,315,000 pounds, as compared with 151,499,000 a year* ago. JUNE, 1926 391 FEDEEAL RESERVE BULLETIN Buying in the flour trade continued slow during April as purchases were based largely on immediate needs. The prospect of a large wheat crop appears to make buyers hesitant and very little future business is being placed. Mill production showed a reduction from March in practically all sections with the exception of the Pacific coast, which operated at very low capacity in March. April production, however, was above that of a year ago in all sections except in the Southwest. Milling activity maintained this slight gain during the first half of May, but Buffalo mills failed to maintain their output and reached the lowest rate of operations in the past 12 months. Some interest was displayed in buying for the export trade during the latter part of April, and this reached a fairly satisfactory volume in the first half of May, northwest mills securing a good share of the business. Sugar prices advanced slightly during April, following the passage of legislation in Cuba providing for a 10 per cent reduction in output. Large stocks in Cuba, the United States, and Europe are holding back active trade, and prices fluctuated within a narrow range during the first three weeks in May, with the majority of the refiners quoting the product at 5.60 cents. Sugar meltings declined in April and were approximately 15 per cent below the corresponding period a year ago. Stocks at the end of the month totaled 461,857 long tons, as compared with 290,061 a month earlier and 280,444 a year ago. Merchants of New York, give some indication of the trend of production, stocks, and unfilled orders in cotton mills. Figures are reported by kinds of goods, those published in the accompanying table are totals for nine classes. The almost continuous decrease in unfilled orders since last fall was noted for all of these classes except pajama checks and osnaburgs. Since January production has decreased while stocks have increased. COTTON TEXTILES [In thousands of yards] Totals for 9 classes of goods Month Production Stocks Unfilled orders 1925 September_--_----October November December. •___ 176, 252 174,349 221, 599 188,834 219,466 206,807 217,521 229,817 339,314 304,292 286,019 237,161 1926 January.-. February, March __ April ~--- 229,453 199,153 197,474 193,119 220,486 208,154 211, 352 234,247 279, 025 239,957 228,503 201,412 Cotton finishers reported that billings, orders, and shipments were seasonably less in April than in March, but greater than in April, 1925. Trade reports indicate that buying continued in small volume in May, and prices showed further declines. The Fairchild yarn index for the week of May 21 was 33.26, the lowest since April, 1922, and the goods index Textiles. was 12.953, lower than at any time in the Limited volume of buying and declining period covered by the index, 1922 to date. prices continued in textile industries during Raw wool markets have continued dull and April and May and production was also gen- prices have declined further, reaching new low erally curtailed. Prices of most of the im- records since 1922. Buying of the new clip portant textile fibers and products are nowfrom producers has not been active, although lower than at any time since early 1922 or,late. one important clip in the West was sold at 1921. Employment and pay rolls in textile 343^ cents a pound, as compared with 42 manufacturing plants declined in April, the cents last year. Takings of foreign wool, indexes for the textile group of industries falling however, have been large, and imports for the. to levels below those of any month since last first four months exceeded those for the correSeptember and lower than in April, 1925. sponding period of last year and the year beCurtailment of manufacturing in the cotton fore. Stocks of foreign wools in dealers' industry during April was indicated by declines hands increased slightly in the first quarter of in the mill consumption of raw cotton, in the year, but this increase was more than offset spindle activity, and in employment and pay by a seasonal decline in dealers' supplies of rolls. These indicators were likewise lower domestic wool. Dealers' stocks were larger than a year previous. Consumption and active than a year ago. Manufacturers' stocks, spindle hours were smaller in April than in according to the quarterly reports, changed March in every State, but larger than in April, little during the past year. Manufacturing 1925, in a few of the Southern States. Sta- operations in the woolen industry were further tistics recently made available for the first time, curtailed during April, and the activity of issued by the Association of Cotton Textile some machines was less than at any time last 392 FEDERAL RESERVE BULLETIN year. Daily average consumption of raw wool was also smaller in April than in previous months of the year. The Fairchild indexes of woolen and worsted goods prices remained unchanged between April 15 and May 15. Clothing industries report unsatisfactory business. Employment and pay rolls showed seasonal declines in March and were less than a year ago. Sales of men's clothing by wholesalers in the New York Federal reserve district in April were 15 per cent smaller than in April, 1925, and sales of women's coats and suits and *of women's dresses also decreased considerably. Prices of raw silk continued to decline in April and reached the lowest level in the postwar period, except for a short time in 1924. They advanced slightly early in May, making up, however, only a negligible portidn of the decline noted since February. The Fairchild silk goods price index decreased between April 1 and May 1 for the third consecutive month. Buying of silk products has been in limited volume and manufacturing operations have been curtailed. Deliveries of raw silk to mills were smaller in April than in any month since December, 1924. They exceeded imports, however, and warehouse stocks were reuuced to the lowest level since August, 1924. Sales of silk goods by wholesalers in the New York Federal reserve district during April were 27 per cent smaller than in March and 15 per cent smaller than in April, 1925. Stocks held by these wholesalers were over 50 per cent greater than a year previous. Full-fashioned hosiery continues to be in greater demand than the seamless types, and production of women's full-fashioned hosiery in March was greater than in any month on record, whereas output of all classes was in only slightly larger volume than a year before. Stocks at the end of March were rather large as compared with previous months. Preliminary April figures from the hosiery industry indicate slight declines in production, shipments, and orders as compared with March. Hosiery prices were reduced somewhat during April and May. No change of importance has been reported "in the knit underwear market. March^ figures showed increases in production and shipments and decreases in orders. Iron and steel. Reflecting the decline in orders noted in previous months, the production of steel was reduced in April and May. Daily average output of pig iron, on the other hand, was greater in April than in any month since July, 1 23, and one more furnace was in blast on JUNE, 1926 May 1 than on April 1. Steel-ingot production decreased considerably, but continued larger than in the same month of previous years. Unfilled orders of the United States Steel Corporation declined for the fourth. consecutive month and were smaller on April 30 than on the corresponding date of any recent year. Reports indicate that production of steel in May has been reducea somewhat below the average for April, but orders have compared favorably with those received in the preceding month. Prices of pig iron were reduced by several producers early in May, quotations on sheets were also lowered, and scrap prices continued to decline. The Iron Age index of pig iron prices was $20.04 on May 25 and that of finished steel prices was 2.403 cents; both of these indexes were at the lowest level since last October. They compare with the respective high points of the year, $21.54 and 2.453 cents, reached in January. Structural steel bookings were larger in April than in any previous month of the year, but the total for the first four months was not as large as that for the corresponding period of 1924 and 1925. Shipments, on the otter hand, have exceeded those of previous years. Railroad buying, which has been larger this year than in 1925, slackened somewhat in April, according to statistics of orders for locomotives, freight cars, and railway steel castings. Buying of rails, however, was fairly active in May. Production, shipments, and orders reported by independent sheet manufacturers declined in April as compared with March, but continued larger than a year ago. Stocks of sheets have steadily increased during recent months. Automobiles and tires. Production and distribution of automobiles were maintained at high levels during April. Output of passenger cars in the United States equaled 382,631, exceeding the March total by a margin of less than 3,000 cars. Truck production increased from 47,788 to 50,272. Total output for the first four months of 1926 exceeded that for any previous four-month period. Sales apparently were greater than output in April, as reports indicate reductions in stocks. Stocks continued, however, much larger than a year ago. Reports by dealers in the Middle West to the Federal Reserve Bank of Chicago for April showed the largest volume of sales at wholesale on record, retail sales which have been exceeded only in April, 1924, and then by a narrow margin, the largest used car sales on record, substantial diminution JUNE, 1926 of stocks of new cars, which, however, remained considerably larger than a year ago, and little change in stocks of used cars. The General Motors Corporation reported retail sales of its cars by dealers of 136,643 in April, the largest on record. Factory sales to dealers, totaling 122,742 cars, were smaller than dealers sales to users for the first time this year. Employment in Detroit factories declined steadily during April and May, reaching a level only slightly above that of a year previous. Production of automobile tires and tubes was slightly smaller in April than in the preceding month and in the same month of last year. Shipments continued small as compared with those of a year ago and were considerably below output for the sixth consecutive month, and consequently manufacturers' stocks again increased to new high records. The crude-rubber market was weak during May and prices declined, although at a slower rate than in March and April. Cruderubber imports totaled 77,378,000 pounds in April, less than the March total, but greater than that for April, 1925. Lumber. Total lumber production in April of hard and soft woods combined, as reported to the National Lumber Manufacturers Association by 494 mills, exceeded April shipments by these mills, and exceeded production in March as reported to the National Association by 507 mills. Production in April was in nearly the same volume this year as last, although the April production of last year represented the output of a larger number of mills. April shipments, also, were in nearly the same volume this year as last. Shipments of Douglas fir in April, as reported by 100 milk to the West Coast Lumbermen^ Association, exceeded production by these mills, and exceeded by a narrow margin shipments in April, 1925, as reported by 113 mills of this association. April shipments of southern pine also, as reported by 163 mills to the Southern Pine Association, exceeded production by these mills. In April, as in March, both production and shipments of southern pine were in smaller volume this year than last. Hides, leather, and shoes. Leather and shoe industries were seasonally less active in April than in March and also quieter than in April, 1925. Hide markets became somewhat more active in April and May, and prices advanced, quotations on light 393 FEDERAL RESERVE BULIiETIN native cowhides rising to the highest level since the first week in January. Leather markets, however, continued quiet. Production of sole leather was in the same volume in April as in March and stocks in process also remained practically unchanged, while tanners7 finished stocks were further reduced. All items were lower than a year before. March figures for upper leather showed increases during the month in finished stocks of all except sheep and lamb skins. As compared with a year ago, total finished stocks were smaller and stocks in process were larger in all cases, production of goat and kid leather was greater, while that of leather from cattle hides and from sheep skins was smaller. Production of boots and shoes declined in April by a somewhat greater amount than in 1924 and 1925; shipments and orders also decreased, and all were lower than a year ago. Some of this decrease may be attributed to the fact that, owing to an earlier Easter, the buying season was somewhat more advanced this year than in the two preceding years. Total production for the first four months of the year, however, was less than in the corresponding period of any previous year since 1922. Employment and pay rolls in the shoe industry were also considerably reduced in April as compared with previous months. Sales of shoes at wholesale declined considerably in April from the large total reported in March and were less than a year ago, but the four months7 total exceeded that of last year. Wholesalers7 stocks on April 30 were considerably Smaller than a year previous. BUILDING Building and engineering contracts awarded in April in 11 Federal reserve districts comprising 37 Eastern States, according to the compilations of the F. W. Dodge Corporation, represented an aggregate cost value 4.6 per cent below the value of March contracts in this area and 5 per cent above the value of awards in April of last year. In its review of construction operations started in April, the {Dodge Corporation states that ".the spring peak of contracts usually falls in April, 77 but apparently was reached in March this year. Adjusted for seasonal variations, the Federal Reserve Board7s index for building contracts awarded declined from 181.5 in March to 147.5 in April. This very considerable decrease leaves the index at a point indicating that the volume of building brought under contract in April this year was 47.5 per cent greater 394 FEDERAL RESERVE BULLETIN than the average for this month in the three years 1921, 1922, and 1923. After rising to the record high level of 239.5 in December, the index declined to 210.1 in January and to 180.2 in February. The value of contracts awarded during the four months from January 1 to May 1 amounted .to $2,015,000,000, exceeding awards last year in these months by $337,000,000. In each of these months, as also in the opening weeks of May, the value of awards this year ran above 1925—by $148,000,000 in January, by $79,000,000 in February, by $107,000,000 in March, by $3,000,000 in April, and by $37,000,000 in the two weeks ended May 14. Increase over the month last year and decrease over the month this year brought the volume of building in the two years to nearly the same level. Decreases for the month in value of building contract awards are shown in the totals for seven Federal reserve districts (Philadelphia, Cleveland, Richmond, Atlanta, Chicago, St. Louis, and Dallas), substantial increases in the totals for two districts (Boston and New York) and small increases in the totals for two districts (Minneapolis and Kansas City). The seven districts showing decreases for the month, with the exception of Atlanta, show decreases also over the year, Atlanta and the four remaining districts showing increases over 1925. In five districts a larger volume in April than in the month preceding of residential construction was brought under contract and in six districts a smaller volume, giving a narrow margin of net increase for this class of construction in the 11 districts as a whole. In comparison with April of last year also a narrow margin of increase is shown for the value of residential contracts. A net decrease of 1.1 per cent for the month and of 10.8 per cent in comparison with April of last year is shown for the valuation of permits issued in April in 168 selected cities. Compilations by the F. W. Dodge Corporation covering estimated construction costs represented by building permits issued in 205 cities show increases over April, 1925, for 77 and decreases for 128 of these cities. As measured by the index of the New York Federal Reserve Bank the cost of building continued in April at the level of the preceding month and was somewhat above the level of April, 1925. In the computation of this index decreases for the month in the cost of building materials fairly offset increases recorded in labor costs. The wholesale price index of the Bureau of Labor Statistics for building ma- JUNE, 1926 terials fell off from 175.5 in March to 173.2 in April, the corresponding figure for April, 1925, being 174.4. TRANSPORTATION With allowance for seasonal variations, freight-car loadings in April for all classes of freight combined were in record volume. Fewer cars were loaded by the carriers in April than in March, but the decrease was less than the usual seasonal decrease for this month, and the Federal Reserve Board's index for total loadings, adjusted for seasonal variations, advanced from 126.4 in March to 131.6, a record high figure for this index in any month. For the year to May 15 loadings this year totaling 18,803,765 cars exceeded loadings in the same weeks of 1925 by 368,871 cars. Loadings of miscellaneous freight, including merchandise in less-than-car lots and covering principally shipments of manufactured products, continued in April in nearly the same volume as in March, and were in larger volume than has been recorded for this month in any earlier year. April loadings of grain, coal, coke, and miscellaneous freight were in larger volume this year than in April of 1925, and loadings of livestock, forest products, and ore in smaller volume this year. Loadings in the several transportation districts for which separate totals are compiled, were in smaller volume in April than in March in each district excepting the southwestern, and in larger volume this year than in April of last year in each district excepting the northwestern. In April the roads maintained an average surplus of 280,000 freight cars available for service (including 110,000 box and 125,000 coal cars). Total operating revenues of Class I roads in March were 9 per cent above and operating expenses 5.1 per cent above the corresponding figures for March, 1925, and net railway operating income in March ran above 1925 by 28.8 per cent. The operating ratio or percentage of operating expenses to operating income in March decreased from 77.55 in 1925 to 74.74 in March of this year. For the three months ended March 31, according to compilations by the Bureau of Railway Economics, operating revenues were 3.1 per cent, operating expenses 1.7 per cent, and net railway operating income 9.3 per cent above the corresponding aggregates for this period of 1925. In these three months carriers earned at the rate of 4.80 per cent, annual basis, on investment as shown by their books. This rate is somewhat above the rate of return (4.50 per cent) earned in the same period of 1925. Carriers in the eastern district earned at the rate of 5.53 per cent during this period in 1926, .and at the rate of 5.17 per cent in 1925; carriers in the southern district at the rate of 5.85 per cent this year and 5.74 per cent in 1925; and carriers in the western district at the rate of 3.66 per cent this year and 3.35 per cent in 1925. Wholesale trade. TRADE Total sales of wholesale firms in leading lines, reporting to the Federal reserve system from all sections of the country, were seasonally smaller in April than in March. The decline of 4 per cent in the Federal Reserve Board's composite index.of. wholesale trade was somewhat smaller than that which occurred between March and April in 1925. Declines in the volume of sales between March and April were shown for all reporting lines of wholesale trade and for nearly all the Federal reserve districts. As compared with April of last year, the total volume of wholesale trade was 4 per cent larger. Substantial increases occurred in sales of groceries, meats, and drugs, but sales of dry goods, shoes, and hardware showed declines. Sales of dry goods and shoes were smaller than in April, 1925, in all Federal reserve districts except the San Francisco district, but the largest declines were reported in eastern and middle-western districts. The decline in the dollar volume of dry goods sales during the year was due in part to the reduction in the prices of textiles. Value of merchandise stocks carried by wholesale firms was smaller in all lines at the end of April than at the end of March. Smaller inventories of groceries were indicated in all Federal reserve districts from which, reports were received except the Boston and St. Louis districts, but the largest declines were in the New York and Atlanta districts. As compared with April a year ago, stocks in nearly all lines, except groceries, were smaller. Dry goods firms reported reduced inventories in practically all districts from which reports were received, and stocks of shoes were also smaller in all except the St. Louis district. Accounts receivable outstanding at the end of April were smaller than in 1925 for all lines, except groceries and drugs. 395 FEDERAL RESERVE BULLETIN JUNE, 1926 Retail trade. Sales at retail stores which made reports to the Federal reserve system were larger in April than in March, but the increase was smaller than that between Mtarch and April of last year. This difference is partly due to the fact that a large part of the Eastern trading season, this year was in March, and consequently trade did not show the usual expansion in April. For the two months combined sales were larger for all classes of reporting retail stores than during the corresponding period in 1925. As compared with April of last year, department-store sales were smaller in all Federal reserve districts except the Atlanta, St. Louis, and San Francisco districts, and the largest declines, ranging from 5 to 7 per cent, were in the Philadelphia, Cleveland, and Richmond districts. Statistics furnished for 45 separate departments at stores in seven Federal reserve districts show that sales of 24 departments were smaller than in April of last year and those of 21 departments ^were larger. Total value of merchandise stocks at department stores increased less than usual in April and at the end of the month was about the same as at the end of March. Compared with April a year ago, total inventories were, about 2 per cent larger, but increases were not reported for all Federal reserve districts. In the Boston, Philadelphia, Cleveland, Minneapolis, and Kansas City districts stocks were smaller, but in all other districts they were larger. Analysis of statistics from individual departments indicates that stocks at 18 departments were larger and that those at 27 departments were smaller. Stocks were turned over at a slightly slower rate in April this year than in April, 1925, but the rate of turnover for the four months ending in April was about the same as for the corresponding period of last year. EMPLOYMENT Factory employment and pay rolls in April showed decreases, largely of a seasonal nature, amounting to about 1 per cent for number employed and 2 per cent for amount of pay rolls. Both indexes remained slightly greater than in April of last year. Decreases were noted in nearly all industries, the chief exceptions being lumber, stone and clay products, and railroad car building and repairing. Employment, and particularly pay rolls, usually decrease in 396 FEDERAL RESERVE BUIiliETHST April. Despite this recession the level of employment and pay rolls continued at close to that observed since last fall. As compared with a year ago both employment and pay rolls have increased in the iron and steel, automobile, musical instruments, paper and printing, and glass industries, and decreased in the textile, slaughtering, milling, stone and clay, and boot and shoe industries. According to reports of the Bureau of Labor Statistics the decline was rather general in all sections of the country except in the West South Central, the Mountain, and the Pacific States, Per capita earnings were less in April than in March, but greater than in April, 1925. Wage increases affecting an appreciable number of employees was reported in sugar refining, iron and steel, railroad car building and repairing, and shipbuilding. No general tendency toward wage changes, however, was evident. PRICES Wholesale prices in recent weeks have in general shown comparatively little change, the decline from March to April, as reported by the Bureau of Labor Statistics, amounting for all commodities to less than one-third of 1 per cent, the smallest month-to-month change since January. The decline is accounted for primarily by a decrease in the prices of products of nonagricultural origin, for the index for farm products and that for foods both advanced somewhat. This advance represented primarily higher prices for wheat, meat, and for miscellaneous farm products and foods. The decline in prices for nonagricultural commodities, which amounted for the group to about 1}£ per cent, reflected generally lower prices for almost all the major groups other than farm products and foods, i. e., clothing materials, fuels, metals and metal products, house furnishings, building materials, chemicals, and miscellaneous commodities, with the decline for each of the last three of these groups exceeding 1 per cent. The index for all commodities was in April at the lowest level since October, 1924, and was a little more than 2 per cent below the lowest figure for 1925, that for May. Most groups were lower than at the lowest point in 1925, that for May, with clothing materials down 6.1 per cent, farm products 4.6 per cent, and housefurnishings and miscellaneous commodities down 4 per cent. Building materials and foods were at the same levels as in May of last year, and fuel was about 3 per cent higher. JUNE, 1926 In May price changes were in general small, except for a sharp rise in fuel, owing to higher prices for petroleum and gasoline. Metals, particularly iron and steel, were lower. Tables giving the index numbers for prices appear on page 440. COMMERCIAL FAILURES AND BANK SUSPENSIONS COMMERCIAL FAILURES During April 1,957 .commercial failures involving liabilities aggregating $38,487,321 were reported by R. G. Dun & Co. The number of failures, although somewhat smaller than in March, was slightly larger than in April last year and compared with 1,707 for April, 1924, and 1,520 for that month in 1923. Notwithstanding the slight decrease in the number of insolvencies during April as compared with March, total liabilities showed an increase of nearly 26 per cent for the month, and were higher than in April last year. The increase in indebtedness in default was chiefly among manufacturing enterprises, where there was a considerable increase in the number of large insolvencies; during the month there were 37 such insolvencies (each with liabilities of $100,000 or more), with total liabilities of $10,345,816, as compared with 21, with liabilities of $6,617,945, in April last year. Both the number and liabilities of trading organizations that failed were smaller in April this year than last, and both the number and liabilities of insolvent agejits and brokers were larger. Failures during April, 1926, are shown in the following table by class of enterprise: COMMERCIAL FAILURES DURING APRIL, Number 1926 Liabilities Class of enterprise All classes Manufacturing __ Trading Agents, brokers, etc > 1926 1925 1,957 1,939 494 1,378 85 430 1,427 82- 1926 1925 $38, 487, 321 $37,188,622 16,733,792 19, 093, 768 2, 659,761 13,097,046 21, 535,911 2,555,665 The number of failures was larger in April than in the preceding month or in April last year in the New York, Richmond, St. Louis, and Kansas City districts, and was larger in April than in March, but smaller tfcan in April last year in the Cleveland, Minneapolis, and 397 FEDERAL RESERVE BUIXETIN JUNE, 1926 Dallas districts; in the other districts the number of failures was smaller than in March or i$ April last year. Liabilities were larger in April than in March in seven districts—all except the Cleveland, Atlanta, St. Louis, Minneapolis, and Kansas City districts—but were smaller than in April, 1925, in the Boston, New York, Atlanta, Chicago, St. Louis, and Dallas districts. In the Atlanta district both the number and liabilities were the smallest since October, 1920. Comparative data, by districts, are presented in the following table: COMMERCIAL FAILURES DURING APRIL, BY FEDERAL RESERVE DISTRICTS banks in the St. Louis district, 3 in the Minneapolis district, and 1 in the Kansas City district, which had previously been closed, were reported to have resumed operations during the month. The number and deposits of banks closed during April, 1926, are shown in the following table, by class of bank; the figures for closed banks represent so far as can be determined banks which have been closed to the public by order of supervisory authorities, or by the directors of the bank, on account of financial difficulties, and it is not known how many of the institutions thus reported may ultimately prove to be solvent: BANK SUSPENSIONS DUEING APRIL, Number Federal reserve district All banks 1&26 1925 1926 Total... 1,957 1,939 $38,487,321 $37,188, 622 Boston New York Philadelphia.. Cleveland Richmond.... Atlanta.. Chicago——__. St. Louis Minneapolis.. Kansas City.. Dallas San Francisco. 223 404 55 200 134 54 275 84 82 135 66 245 229 386 96 165 109 87 307 81 75 3,778,915 10,733,680 2,831,463 3,306,131 3,320,683 451,677 5,767,251 1,656,577 4,995,937 12,377, 626 1,605,999 2, 604,395 2,079,733 981, 798 6,234,526 1,694,044 678,977 1,096,191 792,113 2,047,283 249 1,861,132 716,438 3,216,773 1925 BANK SUSPENSIONS During April 54 banks, with, total deposits of $13,868,000, were reported to the Federal reserve banks as having been closed on account of financial difficulties. These totals compare with 51 banks, with deposits of $10,707,000, closed during March and 48 banks, with deposits of $16,055,000, closed in April, 1925. Of the banks closed in April this year, 5, with deposits of $1,430,000, were national banks, and 1, with deposits of $2,212,000, was a member State bank—a total of 6 member banks with deposits of $3,642,000, as against 6 member banks with deposits of $794,000 closed in March. There were 48 nonmember banks, with deposits of $10,226,000, that suspended in April, as compared with 45 banks, having deposits of $9,913,000 that suspended the month before. Suspensions were most numerous in the Minneapolis district, where 18 banks were closed both in March and April, and in the Chicago district, where 11 banks were closed in April as against 5 in March. In the St. Louis district the number of suspensions decreased from 12 in March to 6 in April. Four 1926 Liabilities Member 1 Nonmember Federal reserve district NumTotal Total NumTotal Number deposits 2 ber deposits 2 ber deposits 2 All districts Cleveland Richmond. _____ Atlanta_ __ Chicago._ St. Louis __ Minneapolis Kansas City Dallas 54 $13,868,000 1 5 1 11 6 18 9 3 325,000 1,798,000 65,000 3,732,000 1, 666, 000 4, 207, 000 1,793,000 282, 000 6 $3,642,000 1 2,212,000 1 388,000 3 731,000 1 311,000 48 $10,226,000 1 5 1 10 5 15 8 3 325,000 1,798,000 65,000 1,520,000 1,278,000 3,476,000 1,482,000 282,000 1 Comprises 5 national banks with deposits of $1,430,000 and 1 State member bank (in the Chicago district) with deposits of $2,212,000. 2 Figures represent deposits for latest available date prior to the suspension, and are subject to revision when information for the date of suspension becomes available. FOREIGN EXCHANGE Sterling rose to $4.8672 on May 15, which is 7 points above parity and the highest rate quoted since December, 1914. From the April low rate of $4.8593 on April 15, sterling advanced to $4.8638 on the 29th, which was the high rate for the month; then on May 5, while the general strike was in progress in England, declined to $4.8532, this being the lowest quotation since January 11 last; rallied to $4.8672 on the 15th; thereafter fluctuated between $4.8637 and $4.8665, and stood at $4.8657 at the end of the month. Fluctuations since the beginning of the year have shown a tendency to become narrower, but during May they covered a wider range than in any month since January. Italian lire, after having been stable for eight months at slightly more than 4 cents per lira, declined sharply on May 14 to 3.52 cents, but later rallied strongly to 3.97 cents on the 21st, after which they declined again to 3.73 cents on the 28th. The Italian Government, which 398 FEDEEAL RESERVE BULLETIN had been supporting the lira, withdrew its support, while another factor in the decline was the large seasonal demand for foreign exchange from commercial sources. French francs continued their downward movement from 3.29 cents per franc on May 1 to 2.83 cents on May 18, which was a new low record for all time. The franc rallied to 3.25 cents on the 21st, when the Morgan loan was drawn upon for its support, and further to 3.38 cents on the 24th. After this it declined to 3.19 cents on the 28th and stood at 3.21 at the close of the month- The Belgian franc also showed a considerable recession. It declined from 3.87 cents per franc on April 10 to 3.21 cents on May 4, when for the first time since October 13, 1925, it Ml below the French franc; and to 2.80 cents on the 18th, the lowest rate ever recorded; then rose to 3.24 on the 21st and stood at 3.09 on the last day of the month. Between the middle of March, when the recent decline in the Belgian franc began, and the end of May note circulation of the National Bank of Belgium increased by more than 625 million francs, rising to something over 8 billions. A considerable upward movement during the last two months took place in Spanish pesetas, which rose from 14.11 cents on April 1 to 14.50 cents late in the month and then, after. a slight recession, to 15.20 cents on May 28. Danish and Norwegian currencies maintained slightly higher levels during May than during April. The Danish krone has risen from an average of 87 per cent of parity for last August, when the upward movement began, to 98 per cent of parity for May; while the Norwegian krone during the'same period has risen from 70 per cent to 81 per cent of its gold parity. The Netherlands florin during May maintained the level which it reached during the latter part of April, and averaged 40.20 cents during May, as compared with 40.13 cents during the previous month. Swedish kronor have stood at about 26.77 cents per krona since the middle of April. Swiss francs rose to 19.30 cents, or gold parity, on April 8; to 19.33 cents on April 27; and to 19.36 cents on May 6. This high level is attributed partly to the export of capital to Switzerland from France and Belgium, and partly to the beginning of the summer tourist season, which brings in large sums of foreign money. The German reichsmark, Austrian schilling, and Hungarian pengo showed only nominal JUNE, 1926 fluctuations, and continued to be quoted very slightly below their gold parities. The Polish zloty, after having declined at a fairly uniform rate from 12.60 cents per zloty on April 5 to 10 cents on May 12, declined sharply to 9.38 cents on the 13th and continued its downward movement to 9.03 cents on May 21. Since August last it has declined to less than half its par value. , The Canadian dollar has stood above par since # April 13. It declined from the April high quotation of $1.0016 on April 24 to $1.0002 on May 1, then rose to $1.0014 on May 7, and averaged $1.0007 for May as compared with $1.0004 for April. Of the South American exchanges, Argentine pesos declined from 92.16 cents on April 22 to 90.73 cents by the end of the month, rallied to 91.60 cents on May 14, and during the remainder of the month fluctuated between 91.09 and 91.53 cents. Brazilian milreis rose from 13.73 cents on April 'l3 to 15.17 cents on May 26, and averaged 14.68 cents for May as compared with 14.01 cents for April. Chilean pesos were steady at a level slightly below that maintained during April. In the Far East there was considerable buying of silver by Chinese speculators against Japanese yen, thus reversing the operation which prevailed during April. The Japanese yen, which had risen to 47.43 cents on April 28, declined to 46.44 cents on May 5, made a substantial rally to 47.20 cents on the 13th, and stood slightly above 47 cents during the remainder of the month, averaging, however, 46.95 cents for May as compared with 46.64 cents for April. The Shanghai tael and the Indian rupee were somewhat higher during May than during April. FOREIGN EXCHANGE RATES [In cents] May, 1926 Par value Low High Aver- April, 1926 May, 1925, aver- Sterling *._ >.47 486. 65 485. 32 486. 72 486.15 485.93 486. 38 486. 22 485. Belgian franc. 3.87 3.67 5.02 19.30 2.80 3.40 3.12 Danish krone 26.09 26.20 26.16 26.20 26.17 18.81 French franc. 19.30 2.83 3.15 3.29 3.50 3.39 5.16 German reichsmark 23.82 23. 80 23.81 23.80 23.81 23.80 23. 80 Italian lira. __ 19.30 3.52 4.02 3.87 4.02 4.02 4.0: 4.07 Netherlandsflorin._ 40.20 40.17 40.25 40.20 40.09 40.21 40.13 40.18 Swedish krona 26.74 26.78 26.76 26.77 26.82 26.79 26.75 Swiss franc... 19.30 19.33 19.37 19. 35 19.26 19.33 19.30 19.35 Canadian dollar..__ 100. 00 100. 01100.14 100.07 99. 79 100.16 100. 04 100. ).0O Argentine peso. 96.48 90.89 91. 60 91.31 92.16 90.79 90.24 Shanghai tael 66.85 71.29 72.64 71.78 69. 35 72.05 70.87 74. 26 Japanese yen. 49.85 46.44 47.20 46.95 45.88 47.43 46.64 41.91 399 FEDERAL RESERVE BULLETIN JUNE, 1926 GOLD MOVEMENTS FOREIGN TRADE UNITED STATES Total imports and exports of merchandise and the merchandise trade balance of the United States by months in 1925 and 1926, Total imports and exports of gold during also the trade balance, including imports and April and March, 1926; by countries of origin exports of gold and silver, for the four months or destination, and comparative figures for the ended April, 1925 and 1926, are shown in four months ended April, 1926, and 1925, are shown in the following table: the tables following: MERCHANDISE Month TRADE BALANCE OF THE UNITED STATES [In thousands of dollars] Imports Exports Excess of imports G O L D I M P O R T S I N T O AND E X P O R T S FROM T H E U N I T E D STATES [In thousands of dollars] Excess of exports 4 month ended April— 1926 1925 Year... January February March April. __-__--. May June..... July .... August September. _. October November.., December.._. 1926 January _. February March! April,..—... 346,165 333,387 385,379 346,091 327,519 325,216 325,648 34.0,086 349,954 374,074 376,432 396,640 4,909,845 446,443 370,676 453,652 398,254 370,945 323,348 339,660 379,823 420,368 490,567 447,804 468,305 416,753 388,329 443,098 397,963 397,213 352,877 374,420 387,871 4,226,591 683,254 100,278 37,289 68,273 52,163 43,426 14,012 39,737 70,414 116,493 71,372 71,665 19,540 35,452 68,678 10,092 Country of origin or destination April March 1926 1925 IMPORTS Total 13,126 43,413 101,305 24,848 8 60 10, 694 163 1,003 8 311 247 2 39,278 145 531 2,503 185 178 3,078 77 10,654 552 1,951 130 402 692 162 470 186 405 18 131 77,637 627 2,359 12,301 1,287 749 4,000 709 1,487 Total... 17,884 4,225 29,047 170, 834 Germany. _ _____ Canada. Central America Mexico Bolivia Venezuela British India British Malaya.. Hongkong... Allother 303 16,290 600 408 348 53 200 728 300 300 22 535 1,355 384 1,192 16,437 1,814 2,149 300 1, 600 379 1,857 2,312 1,007 60,260 281 39,188 72, 258 England France ___ Canada Central America Mexico _ _ Chile _ _ Peru Dutch East Indies - _. Japan Philippine Islands. _. All other______ _______ 591 6,721 EXPORTS TRADE BALANCE OF THE UNITED STATES FOR FOUR MONTHS ENDED APRIL, 1925 AND 1926 [In thousands of dollars] Total Imports Exports 1925 __. 1,459,744 1,875,316 Net imports (—) or exports (+) ____. +415, 573 Imports Exports Merchandise Gold 1,411,022 1,669,025 24,848 170,834 +258, 004 +145, £ Silver 23,874 35,457 Net imports Net exports. 2 4 165 112 4,758 1,656 20 1,410 55,770 298 2,996 48,143 145, 986 +11,583 1926 __. Net imports (—) or exports ( + ) . ........ 1, 773, 925 1,574,888 1,646,143 1,512,381 101, 305 29,047 26,477 33,460 GREAT BRITAIN -199,037 -133, 762 - 7 2 , 258 +6,983 Following is a table showing gold imports into and exports from Great Britain for April 400 FEDERAL RESERVE BULLETIN and March, 1926, and for four months ended April, 1926 and 1925: GOLD IMPORTS INTO AND EXPORTS BRITAIN OF INTERNASTATES 1922- 1925 i GREAT Items 1922 1923 1924 1925 CURRENT ITEMS April March 1926 1925 IMPOETS Total. ESTIMATED COMPARATIVE BALANCE TIONAL PAYMENTS OP THE UNITED 4 months ended April— 1926 Country of origin or destination FROM JUNE, 1926 - Belgium.._-__ Netherlands Russia Rhodesia Transvaal United States West Africa Allother.—— 1,477,017 £1,290,113 28,900 179,705 160,969 1,165,245 500 106,692 14,711 183,371 767,779 22,020 109, 208 28,030 10,745,504 595,736 208, 605 2,431,800 708, 736 6,305,741 26, 733 406,955 61,198 £9,572,641 67,714 711,604 4,058,962 4,258, 795 379, 529 96,037 Visible current items: Merchandise 2___ +734 Invisible current items: Interest on inter ally debt +126 Private interest and dividends __ Ocean freights payments Governmental __ . _ —16 -300 Services to tourists Charitable and missionary expenditures.. - 7 5 -325 Immigrants' remittances___ +50 Motion-picture royalties__ -308 Total, invisible current items Total..-.. Net exports N e t imports... +160 +355 —8 +8 —5 -500 -55 -300 +70 —560 -50 -310 +75 -343 +79 +652 +323 - 3 6 3 -795 +358 +205 +23 +45 +91 +23 +50 - 5 0 -920 +321 +140 +27 -62 +159 - 5 7 2 -494 -238 —294 —258 - 2 +36 -8 +134 -246 - 2 9 6 -222 +168 MOVEMENT OF CAPITAL 716, 757 182,469 105,033 58,630 105,550 45,000 220,075 760,260 2,619,629 7, 347,719 . 13,628,298 9,095 691,871 267,385 190,788 290, 670 13, 600 10,000 1,146,220 17,270 1, 555, 515 585,674 2,023,026 832,161 27,200 129,000 2,177,873 1,329,516 3,397, 785 101,662 7, 647,031 62, 971 517,355 45,291 395,595 17,430 4,840, 963 4,055, 657 Balance of Payments of the United States The following table shows the international balance of payments of the United States for 1925 compared with the balance for 1922, 1923, and 1924, as estimated by the Department of Commerce and published in April in its Trade Information Bulletin, No. 399. This bulletin sets forth the basis on which these estimates are made and contains tables giving some of the underlying data in detail. +666 +159 +305 +167 +250 —8 —19 -400 -70 -290 +60 -310 -318 Total, current items other than gold +426 andsilver_-_ *. EXPORTS Belgium ._ _ _. British India— France Netherlands Straits S e t t l e m e n t s Switzerland _ _ South America Allother _ +389 +970 New foreign securities exclusive of refunding.. -637 Sale and purchase of outstanding securities. _ - 1 1 0 Foreign bonds paid ofl +78 +31 Principal of interally debt United States currency -638 Total, capital items GOLD AND SILVER Gold. Silver — _ Total, gold and silver Total, all items _. -458 Change in foreigners' bank deposits as revealed by questionnaires +375 Eesidual difference (representing errors and omissions) -83 -58 -142 +34 -3 +3 +216 -61 -55 +74 -64 1 In constructing this table, the estimates for the years 1922,1923, and 1924, as shown in Trade Information Bulletins, Nos. 144, 215, and 340, were revised in the light of more recent information and rearranged in order to make all the data comparable. 2 The figures for merchandise exports include estimates for unrecorded parcel-post packages and those for merchandise imports include estimates of smuggled goods. JUNE, 192G FEDEKAL RESEBVE BULLETIN 401 BRANCH BANKING IN THE UNITED STATES In the December, 1924, issue of the BULLETIN the Board published compilations covering the extent of branch banking developments in the several States to June of that year. During the period of 18 months, from this date to the end of December, 1925, the number of banks operating branch offices and the number of offices operated increased somewhat, but at the end of 1925, as in June, 1924, only a relatively small proportion of the banks in the country were engaged in any form of branch banking—even to the extent of operating outside teller-window offices within the home city of the parent bank. The area within which branch banking has shown a more considerable development, the so-called "branch banking area/ 7 comprised the same territory in December last as in June of 1924. It was found in the earlier inquiry that, on the average, out of 1,000 banks of all classes, 24 were operating branch offices, and the increase over the period following to the end of 1925 raised this proportion from 24 to 27 out of 1,000 banks. Within the branch-banking area the proportion was, of course, higher, varying from State to State. In California, for example, approximately one bank in six, on the average, operates one or more branch offices, and in Massachusetts the proportion is nearly one in five. Figured precisely the proportion in each of these States in December was somewhat above that found by the earlier inquiry. The extent of branch banking development is more accurately indicated, however, by the number of branch offices and the size of individual branch systems than it is by the number of parent banks. In the period under review the number of branch offices increased by 329—from 2,243 in June, 1924, to 2,572 in December, 1925—and the average size of branch systems or number of branches per parent bank increased from 3.2 to 3.5 branches. Three States during 1925 enacted legislation relating to the establishment and maintenance of branch offices by banking institutions. In Tennessee a statute was enacted forbidding any bank to establish or operate a branch outside the county in which the parent bank is located, existing branches being excepted from this pro- | hibition; in Oregon the prohibition against es- | tablishment of branches outside the home city of the parent bank was extended to include trust companies as well as banks; and in New Jersey a statute was enacted authorizing banks and trust companies to estabish home-city branches, subject to approval of the State commissioner, but providing that the commissioner shall not approve the establishment of any branch unless national banking associations in New Jersey shall at the time be permitted by act of Congress to establish branches. It is provided further in this New Jersey statute that banks establishing branches shall have a specified amount of capital in addition to the amount required for such corporations which do not maintain branches; that savings banks establishing branches shall have a surplus of not less than 5 per cent of their deposits and in addition a surplus of $50,000 for each branch established; and that no branch shall be maintained in any city or town of less than 25,'000 population, nor more than one branch in a community of 25,000 to 50,000, nor more than two branches in places of 50,000 to 100,000 population. At the time of enactment of this statute no provisions in New Jersey laws expressly permitted or prohibited branch banking, and the provisions of the 1925 statute do not apply to branches already established. Except as modified by the statutes enacted in these three States, the legal status of branch banking remained at the end of 1925 unchanged as set forth in the summary of State laws relating to branch banking, published in the March, 1925, issue of the BULLETIN'. The status of branch banking in the different States on December 31, 1925, may be briefly summarized as follows: 21 States—including New Jersey, whose authorization, as noted above, is conditioned upon enactment of Federal legislation—expressly b ^ statute or by implication of statutory provisions permit lianks to establish branches under more or less restrictive regulations; 17 States prohibit the establishment of branches: and 10 States have included in their banking codes no provisions either permitting or prohibiting the establishment of branches. These three groups of States are listed below: 402 FEDEKAL RESERVE BULLETIN JUNE, 1926 STATES CLASSIFIED WITH REFERENCE TO BRANCH BANKING PROVISIONS IN STATE LAWS AS OF DECEMBER 31, 1925 States which permit es- States which prohibit es- States which do not ex^ tablishment of branches tablishment of branches pressly provide for es(17): (21): tablishment of branches Alabama. Arizona. (10): Arkansas. California. Iowa. Colorado. Delaware. Kansas. Connecticut. Georgia. Kentucky. Florida. Louisiana. Montana. Idaho. Maine. Nebraska. Illinois. Maryland. New Hampshire. Indiana. Massachusetts. North Dakota. Minnesota. Michigan. Oklahoma. Missouri. Mississippi. 1 South Dakota. Nevada. New Jersey. Vermont. New Mexico. New York. Oregon. North Carolina. Texas. Ohio. Utah. Pennsylvania. Washington. Rhode Island. 2 Wisconsin. South Carolina. Tennessee. Virginia. 3 West Virginia. Wyoming.2'3 2 i Conditional upon legislation by Congress. Branches authorized by implication. States which have enacted prohibitory or restrictive legislation have commonly permitted existing branches to be maintained, and under this permission* as shown in the following tabulations, banks continue to operate branches in States listed as prohibiting branch banking, and continue to operate branches outside the home city or county of the parent bank in States which do not at present permit the establishment of such branches. Branch-banking developments during the period from June, 1924, to December, 1925, are summarised in the following tables, in which revised figures for the earlier date are given in comparison with corresponding totals for the end of 1925. Of the 735 banks operating branch offices in December, as shown in Table 1, 603 were State banks, including 405 nonmember and 198 State member banks, and 132 were national banks, each of these general classes showing some increase over the period in the number of banks operating branch offices. Banks operating branches a?:e classified in Table 2 as u operating home-city offices only (including additional offices77 of national /banks), and offices outside the home city. While the total number of parent banks increased by 49 in the period, the number operating only branches outside the home city fell off from 273 to 263, this decrease being more than offset by an increase from 375 to 429 in the number of banks operating only home city offices, and an increase from 38 to 43 in the 3 No branch offices in operation. number operating offices both in and outside the home city. In December only 12 national banks were operating branches outside the home city, the number of State banks, member and nonmember, operating such branches being 294. In June, 1924, 11 national and 300 State banks were operating outside branches. Details for States for December, 1925, are given in Table 8. TABLE 1.—BANKS OPERATING BRANCH OFFICES, D E C E M B E R , 1925, AND J U N E , 1924 Number of banks * Total Class of bank December, 1925 June, 1924 Total_ 27, 701 28,447 Member, total _. _ 9,489 9,650 National- __ __ 8,048 8,080 1, 441 1, 570 State Nonmember 18, 212 18,797 State, total member and nonmember 2 19, 653 20, 367 1 Operating branch offices Percentage operating branch offices DeDecem- June, In- cem- June, ber, 1924 crease ber, 1924 1925 1925 735 686 49 2.7 2.4 330 132 198 299 108 191 31 24 7 3.5 1.6 13.7 3.1 1.3 12.2 405 387 18 2.2 2.1 603 578 25 3.1 2.8 Except certain nonreporting private banks not under State supervision, and mutual savings banks. 2 The total number of nonmember banks is given as of Dec. 31, except as follows: New Hampshire, June 30; New York, Nov. 14; Tennessee, Oct. 26; Kentucky, June 30; Iowa, Dec. 30; Kansas, Dec. 10; Oklahoma, Dec. 26; and Texas, Sept. 28. 403 FEDEEAL RESERVE BULLETIN TABLE 2.—BANKS OPERATING BRANCH OFFICES IN AND OUTSIDE THE HOME CITY OF THE PARENT BANK, DECEMBER, 1925, AND JUNE, 1924 TABLE 3.—BRANCH SYSTEMS, CLASSIFIED BY NUMBER OF BRANCH OFFICES OPERATED, DECEMBER, 1925 AND JUNE, 1924 N u m b e r of banks operating branch offices Banks operating specified number of branch offices Class of parent bank and location of branch office Total.— Only in home city. __ _ In and outside home city Only outside home city ;__ _ National banks: TotaL Only in home city I n and outside home city _ Only outside home city State member banks: Total Only in home city.: I n and outside home c i t y . . . . . . Only outside home city _. Nonmember banks: Total Only in home city I n and outside home city __'__ . Only outside home city—__ . June, 1924 Increase 735 429 43 263 686 375 38 273 49 54 5 -10 132 120 2 10 108 97 2 9 24 23 197 149 18 30 191 137 16 38 6 12 2 -8 406 160 23 223 387 141 20 226 19 19 3 -3 1925 TotaL _ 1 In December, as in June, 1924, more than half (55 per cent) of the banks classified as engaged in branch banking were operating only one branch each. These one-branch systems were widely distributed through the branch-banking States, and in a "majority of these States outnumbered systems of two or more branches—as, for example, in North Carolina with 26 one-branch systems in a total of 39 systems of all sizes; Georgia with 14 in a total of 22; Tennessee with 16 in a total of 24; Virginia with 23 in a total of 33; Louisiana with 19 in a total of 36; Massachusetts with 35 in a total of 50; and Pennsylvania with 57 in a total of 79 systems. The 22 larger systems shown in Table 3, including all systems of 20 or more branches each, were located in the following States: 9 of them in California; 1 in Georgia;.4 in New York; 1 in Ohio; and 7 in Michigan. In Table 4 the number of branch offices located in and outside of the home city of the parent bank is given for national, State member, and nonmember banks. It may be noted that the increase of 329 in the number of branch offices from June, 1924, to December, 1925, has been principally in the number of home-city branches, which increased in this period from 1,472 to 1,752, or by 280, while outside offices increased from 771 to 820, or by 49. Similar data are given, by States, in Table 9 for December, 1925. 98738—26——3 Decem- June, ber, 1924 1 branch office 2 branch offices 3 branch offices 4 branch offices _ 5 to 9 branch offices 10 to 19 branch offices 20 offices and over Percentage Number Size of system In- Decem- June, 1924 crease ber, 1925 735 686 49 100.0 100.0 404 131 57 41 46 34 22 377 132 55 32 49 25 16 27 -1 2 9 -3 9 6 55.0 17.8 7.8 5.6 6.3 4.6 3.0 55.0 19.2 8.0 4.7 7.1 3.6 2.3 TABLE 4.—BRANCH OFFICES LOCATED IN AND OUTSIDE THE HOME CITY OF THE PARENT BANK, D E CEMBER, 1925, AND JUNE, 1924 Branch offices Percentage distribution Number Class of parent bank December, June, 1924 In- December, June, 1924 1925 1925 Total TotaL. _. 2,572 2,243 329 100.0 100.0 Member, total. NationalState 1,612 332 1,280 1,385 248 1,137 227 84 143 62.7 12.9 49.8 61.7 11.1 50.7 960 858 102 37.3 38.3 Nonmember. _ _ In home city of parent bank Total.... 1,752 1,472 280 100.0 100.0 Member, total. National— State.,—. 1,290 310 1,073 227 846 217 83 134 73.6 17.7 55.9^ 72.9 15.4 57.5 Nonmember... 462 399 63 26.4 27.1 Outside home city of parent bank Total.-.. Member, total. NationalState. Nonmember... 771 49 100.0 100.0 312 21 291 10 1 9 39.3 2.7 36.6 40.5 2.7 37.7 498 459 39 60.7 59.5 820 CO December, 1925 CO 1926 ototo o to to JUNE, 404 FEDEKAL RESERVE BULLETIN" Increase in the number of branch offices during the period under review has been largely confined to a few States, more than two-thirds of this increase (236 out of 329) is, in fact, credited to three States—California, New York, and Michigan. In California the number of banks operating branches increased by one (from 99 to 100) and the number of branches by 102 (from 538 to 640); in New York the number of parent banks increased by 7 (from 74 to 81), and the number of branches by 82 (from 359 to 441); and in Michigan the number of parent banks increased by one (from 63 to 64) and the number of branches by 52 (from 332 to 384). These totals and corresponding figures for other States in which banks operate branches are given in Table 5, which gives also the maximum size of branch systems in the several States at the beginning and end of the period covered. One California system, which in June, 1924, was operating 88 branches, had increased the number of its branches to 98 by the end of 1925. In December one New York bank was operating 58 branches, all of these offices being located in New York City; one Ohio bank was operating 51 branches; and one Michigan bank 46 branches. No bank located in any other State was operating more than 20 branches, the maximum number of branches in any one system ranging from 1 to 5 in 14 States, and from 6 to 20 in 12 States. Outside of California the larger branch systems have been* built up in urban communities in States which permit State banks to establish branches in the home city of the parent bank, and in these communities national banks have been permitted under an administrative ruling of the Comptroller of the Currency to open " additional offices v for the accommodation of customers in making deposits and cashing checks. Only strictly routine business maybe transacted in these national bank offices. All matters involving the exercise of discretion, as, for example, the granting of a loan, must be referred to the parent bank. The extent to which JUNE, 1926 branch banking of this more or less restricted character has developed under State laws, and for national banks under the administrative ruling of the Comptroller, is shown for selected cities in Table 6, which classifies urban systems by class of parent bank and by number of branch offices operated by individual banks. TABLE 5.—NUMBER OF BANKS OPERATING BRANCH OFFICES, NUMBER OF OFFICES OPERATED, AND M A X IMUM SIZE OF BRANCH SYSTEMS, BY STATES, D E CEMBER, 1925, AND JUNE, 1924 Banks operating branch offices Branch offices Maximum size of branch systems 1 Decem- June, I n ber, 1924 Decem- June, Inber, 1924 1925 1925 Decem- June, ber, 1924 1925 State Total _ 735 California New York Pennsylvania _._.-. Michigan Ohio 100 81 79 64 52 Massachusetts North Carolina Louisiana Virginia Maryland . 24 24 23 14 11 District of Columbia 10 Alabama. _ _ Delaware-Indiana ____ Kentucky.. Minnesota . 74 2,572 2,243 329 538 359 91 332 203 102 82 21 52 10 640 441 112 384 213 50 39 35 33 32 Tennessee. __ Maine Georgia __ New Jersey. Mississippi.. Rhode Island... South CarolinaArizona Wisconsin ... Washington 49 14 3 2 5 21 ' 5 3 3 -1 1 -3 ____ Arkansas Nebraska __. Florida New Hampshire. Oregon 1 Maximum number of branches operated by any one bank. 57 4 53 20 4 19 12 4 18 4 12 11 9 10 2 2 15 10 5 5 5 2 1 1 405 FEDERAL RESERVE BUIiLETIN JUNE, 1926 TABLE 6.—SIZE OF BRANCH SYSTEMS-—NUMBER OF NATIONAL, STATE MEMBER, AND NONMEMBER BANKS OPERATING SPECIFIED NUMBER OF BRANCH OFFICES AND NUMBER OF OFFICES OPERATED IN AND OUTSIDE THE HOME CITY FOR SELECTED CITIES: DECEMBER, 1925 Number of banks with branches City and class of bank Number operating 1 2 3 4 5-9 branch branches branches branches branches New York, total _ National State member Nonmember __ __ 56 18 24 14 13 5 4 4 14 6 4 4 Detroit, total. _ . . . National State member Nonmember 18 2 10 6 2 1 2 Los Angeles, total National... State m e m b e r . Ncnmember 12 5 2 5 2 1 15 1 8 6 4 2 1 3 2 8 1 5 2 2 2 1 1 48 12 9 27 33 10 6 17. _ Philadelphia, total National State member Nonmember Buffalo, total National __ _ Statei Trvfymhftr Nonmember... Cincinnati, total _ National....! State member Nonmember ___ _ New Orleans, total.. National .___ State member, ._ Nonmember. __ _ Baltimore, total _ _ National. _ _ State member Nonmember Boston, total National State member Nonmember.. Toledo, total National State member. Nonmember Nashville, total >. National State member.... Nonmember Atlanta, total National _ . __ State member Nonmember _ Oakland total National State member Nonmembftr 3 1 . and over 370 96 212 62 370 96 212 62 1 3 7 1 2 1 7 46 4 46 13 278 5 247 26 278 5 247 26 2 2 2 1 90 10 90 42 276 29 132 115 189 28 69 92 87 1 5 2 3 2 4 2 3 1 2 2 1 1 2 1 1 2 9 2 1 6 5 1 4 3 3 1 2 1 2 i 3 1 2 1 1 In the Outside home the home city city 58 21 58 12 1 2 Total 3 1 2 1 1 1 Number of branches operated 11 3 5 3 7 2 1 1 l 98 3 98 23 228 3 191 34 71 62 9 129 25 51 2 51 1 82 2 78 2 70 2 66 2 12 4 2 4 4 72 14 15 43 34 5 34 57 5 52 , 72 57 5 52 3 2 2 2 11 43 43 1 1 2 2 1 1 11 4 32 11 32 11 5 1 1 2 1 19 41 41 4 1 1 1 1 1 1 19 7 34 7 34 7 2 1 1 12 2 12 7 40 6 16 18 39 6 16 17 10 10 4 1 39 26 10 3 38 26 10 2 13 4 2 ,7 5 2 4 2 2 15 6 6 3 1 2 4 3 1 8 2 1 3 5 1 1 1 6 3 3 2 3 1 1 1 2 1 1 1 2 1 3 I 1 1 4 9 35 35 1 1 3 9 9 13 22 13 22 13 3 28 5 17 5 1 1 2 2 1 1 l x ! i 4 1 1 2 2 1 1 1 3 2 1 1 • i i 12 14 15 43 2 1 6 5 ea 23 157 2 11 CO Cleveland, total National State member Nonmember.... _ 4 3 1 2 O _ 1 4 size (number of branches 20 of one 10-19 branches branches system) I-* CO CO Total, h-*CO (Cities arranged by number of branches in 1925) San Francisco, total National......... State m e m b e r . . Nonmember Maxi- 1 1 1 I 11 13 23 12 H 20 4 26 6 5 5 21 1 20 20 2 13 1 25 1 16 1 9 2 13* 24 15 9 20 406 FEDERAL RESERVE JUNE, 1926 TABLE 6.-—SIZE OF BRANCH SYSTEMS—NUMBER OP NATIONAL, STATE MEMBER, AND NONMEMBER BANKS OPERATING SPECIFIED NUMBER OF BRANCH OFFICES AND NUMBER OF OFFICES OPERATED IN AND OUTSIDE THE HOME CITY FOR SELECTED CITIES: DECEMBER, 1925—Continued Number of banks with branches City and class of bank (Cities arranged by number of branches in 1925) Providence, total National State member Nonmember Total Maxi- Number of branches operated size Number operating (number of branches 20 In the Outside of one 1 4 5-9 2 3 10-19 home the home system) Total branch branches branches branches branches branches branches and over city city 5 4 1 1 12 22 22 4 1 2 2 1 1 12 2 20 2 20 2 2 2 1 5 4 5 4 22 6 6 10 19 6 6 Richmond, total National State member 10 3 2 5 5 2 2 2 Washington, total National State member Nonmember 10 5 5 3 2 1 1 2 • 1 4 4 20 9 20 5 2 1 1 1 4 11 11. X 1 1 I 7 3 3 In Tables 7, 8, and 9 data relating to banks TABLE 7.—NUMBER OF BANKS OPERATING AND N O T OPERATING BRANCH OFFICES, BY STATES: DECEMoperating branches and to branches maintained , BER, 1925 are given, by States, for December, 1925. In Number of banks these tables the States have been classified into four groups: (1)Those permitting State-wide Oper- Not opState ating erating Total branch banking; (2) those restricting branch branches branches systems to city or county &reas; (3) those permitting branch offices or agencies but not full United States _ 735 26,966 27,701 power branches; and (4) those prohibiting State-wide branch banking permitted: 7 establishment of branches, although permitting 46 Arizona-_53 100 536 636 California existing branches established prior to the pres40 5 45 Delaware 546 23 569 Georgia ___ _ __ ent law to be maintained. It will be noted 197 32 229 Maryland 79 that in a few States the number of branch 1 80 New Hampshire 544 39 583 North Carolina offices constitutes a considerable proportion of 8 South Carolina. __ _ 346 354 Rhode Island 8 22 30 the total banking offices of the State, including Virginia.— 33 487 520 in this total independent ."• unit" banks, head Branch banking restricted as to locality: 212 35 247 Louisiana offices of branch systems, and branch offices. 111 Maine 87 24 198 50 248 Massachusetts In California, for example, the number of 482 14 496 New Jersey . 905 81 986 branches (640) slightly exceeds the number of New York 52 1,040 1,092 Ohio banks (636), branches constituting 50 per cent 551 24 527 Tennessee _ offices or agencies permitted, of all the banking offices in the State. In Branch but not branches: 4 Kentucky 606 610 Michigan 35 per cent and in New York 31 per 64 651 715 Michigan _ _ cent of all banking offices are branches, all of 327 338 11 Mississippi _ _ 1,070 1,072 Nebraska 2 New York's 441 branches and all but 4 of 79 1,566 1,645 Pennsylvania.. Michigan's 384 branches being home-city Now prohibited—branches established prior to existing law: branches. The proportions of branches to 351 5 356 Alabama 485 2 483 Arkansas total banking offices for these States are much 1 329 330 Florida _ 1,091 1,087 larger than for any other States. In Ohio, the 4 Indiana 1,351 3 1,348 Minnesota _ State reporting the fourth largest number of 274 1 273 Oregon ' 360 6 354 Washington __,. __ branches, it is 16.3 per cent, in Pennsylvania 983 976 7 Wisconsin 6.4 per cent, and for all other branch banking District of Columbia 44 34 10 1 11,217 11,217 Other States States combined it averages 6.4 per cent. 1 Includes States expressly prohibiting branch banking—Colorado, Connecticut, Idaho, Illinois, Missouri, Nevada, New Mexico, Texas, and Utah; and other States in which no branches are in operationIowa, Kansas, Montana, North Dakota, Oklahoma, South Dakota Vermont, West Virginia, and Wyoming. 407 FEDERAL RESERVE BTTKLETIN JUNE, 1926 TABLE 8.—BANKS OPERATING BRANCH OFFICES I N AND OUTSIDE THE HOME CITY, BY CLASS OF BANK, BY STATES: DECEMBER, 1925 Number of banks operating branch offices VTember banks Nonmember banl State In and In outTotal home side city only home city only Outside home city only National State In OutIn and side out- home Total home city side city Total only home only city United States State-wide branch banking permitted:* Arizona _ _ California Delaware _ . Georgia Maryland New Hampshire North Carolina . S outh C arolina. Rhode Island . . . - - . Virginia.. Branch banking restricted as to locality: Louisiana MaineMassachusetts New Jersey 2 New York Ohio. Tennessee.. Branch offices or agencies permitted but not branches: Kentucky 3 . ____ Michigan Mississippi ._ Nebraska3 Pennsylvania.. . . . Now p r o h i b i t e d — branches establishedi prior to existing law: Alabama. Arkansas Florida Indiana Minnesota.. .. Oregon Washington Wisconsin District of Columbia... 735 7 100 5 23 32 1 39 8 8 33 429 38 1 5 13 3 3 3 15 35 24 50 14 81 52 24 10 1 44 6 81 38 10 4 64 11 2 79 4 61 1 2 67 5 2 1 4 3 1 6 7 10 43 263 1 15 6 47 4 16 16 1 33 5 3 15 2 3 3 2 3 3 25 21 6 5 6 2 8 12 2 3 10 12 120 19 16 2 4 1 4 2 2 8 2 3 1 2 2 1 7 1 1 13 2 24 3 6 3 9 1 2 19 10 13 1 1 . 24 3 6 3 9 1 2 19 1 1 5 197 2 18 1 7 2 1 4 2 4 2 149 7 1 1 2 18 30 406 1 6 1 5 1 5 5 63 4 14 26 1 1 1 2 7 3 16 6 37 23 3 5 1 16 4 37 16 1 1 33 1 1 33 16 14 2 3 1 2 1 5 1 1 1 5 5 1 3 1 1 160 23 223 15 9 39 4 11 16 5 3 • 7 3 33 4 4 23 1 2 2 6 3 15 2 20 19 3 5 30 4 2 14 1 1 5 2 2 27 21 21 6 20 26 15 22 9 19 1 3 1 o 44 34 16 1 4 2 1 3 2 3 1 5 1 5 2 2 1 5 2 1 1 3 3 7 10 132 In In In and OutIn and Outside side home out- home home outcity side city Total city side home city only home only only home only city city 2 22 19 6 1 3 1 2 6 10 4 2 1 1 3 1 5 1 2 1 3 1 Includes all States in which one or more banks operate a branch or branches located outside the home city of the parent bank, and in which State-wide branch banking is not expressly prohibited by statute. The laws of New Hampshire, in which one State bank operates a branch outside the home city, contain no express provision relating to establishment of branches. No Wyoming or West Virginia banks operate branches. 2 Branches may not be established unless at the time of establishment national banking associations in New Jersey are permitted by acts of Congress to establish branches. 3 No express provision relating to establishment of branches by State banks. The Kentucky Court of Appeals has held that banks may have agents to receive and forward money and transact other necessary business. In Nebraska two national banks operate each one additional homecity 4office. Other States expressly prohibiting branch banking include Colorado, Connecticut, Idaho, Illinois, Missouri, Nevada, New Mexico, Texas, and Utah; and States without express statutory provision in which no branches are in operation include Iowa, Kansas, Montana, North Dakota, Oklahoma, South Dakota, and Vermont. • 408 FEDERAL RESERVE BULLETIN JUNE, 1926 TABLE 9.—NUMBER OF BRANCHES' IN AND OUTSIDE THE HOME CITY, BY CLASS OF BANK, BY STATES: DECEMBER, 1925 Number of branches Of member banks Of nonmember State Total In Outside home home city city Total United States ... State-wide branch banking permitted:1 Arizona California Delaware Georgia Maryland New Hampshire North" Carolina South Carolina Rhode Island Virginia Branch banking restricted" as to locality: Louisiana Maine Massachusetts New Jersey 1 New York Ohio Tennessee Branch offices or agencies permitted but not branches: Kentucky * Michigan Mississippi Nebraska 1 Pennsylvania Now prohibited—branches established prior to existing law:1 Alabama Arkansas Florida Indiana Minnesota Oregon Washington _ _ Wisconsin District of Columbia 1 See note attached to Table 8. 2, 572 1,752 820 21 640 15 56 95 3 69 19 25 50 1 315 1 11 41 20 325 14 45 54 3 62 14 17 23 95 50 88 21 441 213 58 46 3 81 11 441 187 27 12 384 25 2 112 12 380 1 2 98 19 3 1 8 10 1 7 9 20 7 5 8 27 7 10 1 9 20 49 47 7 10 26 31 4 24 14 State STational In Outside home home Total city city 332 310 22 47 42 5 6 6 5 6 1 3 4 11 3 4 10 37 3 116 4 8 7 20 1 2 24 1 8 8 37 1 116 4 8 2 7 * 20 : 1 2 24 1,280 980 300 960 11 335 1 14 16 3 9 2 20 6 1 135 1 2 16 10 200 10 258 14 36 73 41 8 27 8 257 149 6 35 1 27 6 257 131 4 5 314 12 5 314 22 20 1 1 5 6 1 19 3 1 1 1 6 In Outside home home Total city city 10 1 3 2 9 10 2 9 1 3 5 5 2 6 1 6 12 3 8 1 15 In Outside home home city city 462 138 4 19 3 498 10 120 14 32 54 57 13 5 33 3 11 11 2 17 4 68 52 15 35 40 7 6 18 4 2 46 42 24 10 68 60 44 50 12 46 12 •- 1 4 11 2 66 54 12 1 18 3 1 3 2 2 1 11 1 11 6 7 2 1 54 13 2 22 8 29 18 3 1 2 FEDEKAL RESERVE BULLETIN JUNE, 1926 409 EARNINGS AND EXPENSES OF MEMBER BANKS In the last six months of 1925 member banks in the Federal reserve system had combined net earnings of $283,645,000, or nearly $17,000,000 more than in the first half of the year. Net profits, after charging off losses as well as allowing for expenses, were $211,348,000, an increase of $3,000,000. The growth reflected an increase in gross earnings, which arose from the fact that the banks held a larger volume of loans and investments and obtained on them a somewhat higher average rate of return. The increase in gross earnings was more than $56,000,000, but was offset in large part by increases of about $40,000,000 in expenses arid about $13,000,000 in the net* amount charged off for losses. The costs and earnings of member banks for six-month periods since the* beginning of 1924 are summarized in the following table: COSTS AND EAENINGS, ALL MEMBER BANKS, D E CEMBER 31, 1923, TO DECEMBER 31, 1925 [In thousands of dollars] 1925 Gross earnings Expenses.. Net earnings Losses (net) 1 . __ Net addition to profits. 1 1924 Last six months (9,482 banks) First six months (9,530 banks) Last six months (9,566 banks) 987,170 703,525 930,924 663, 792 912,984 657,173 873,487 623,351 283, 645 72,297 267,132 58,996 255,811 85, 543 250,136 59,061 211,348 208,136 170,268 191,075 First six months (9,650 banks) Total losses less recoveries. For the entire year 1925 the combined net profits of member banks were $419,484,000, or nearly $60,000,000 more than in 1924, and represented a rate of return of 8.93 per cent 2 on $4,699,751,000 of invested capital. This rate compared with 8.04 3 per cent for 1924, when net profits amounted to $361,343,000. Gross earnings for the year showed an increase of more than $130,000,000 over 1924, of which about $100,000,000 represented an increase in receipts for interest and discount, the chief source of the banks' income. Other Total losses less recoveries on assets previously charged off. i earnings, including profits from advances in security prices, commissions, etc., increased by about $30,000,000. Total expenses were nearly $90,000,000 more than for 1924 and net earnings about $45,000,000 more. Net profits increased about $13,000,000 more than net earnings because the net amount of losses charged off was less than it had been in 1924 by about this amount. This decrease in net losses reflected both a reduction in the total amount charged off and an increase in the amount realized from assets previously charged off. The following table shows for the years 1924 and 1925 the amounts of the various items of member bank costs and earnings and also the amount of each item per $100 of earning assets. A primary purpose of the latter figures, which appear regularly in Federal reserve studies of this subject, is to promote separate consideration of changes in the volume of earning assets in comparing the various items. The table shows that in 1925 the banks received interest amounting to $5.40 per $100 of loans and investments, which approximates the average rate at which funds were loaned or invested/ as against $5.48 in 1924. The average rate of return in 1925, though somewhat less than that of 1924, yielded $100,000,000 more income from interest because it was received on a larger volume of loans and investments. The fact that the average rate at which funds were loaned or invested was slightly lower in 1925 than in 1924, notwithstanding the fact that the level of quoted short-term interest rates was, on the average, slightly higher, was due in part4 to the influence of generally lower bond yields, and in part to the fact that time loans made at the relatively high rates of late 1923 carried over into early 1924, while such loans made at the relatively low rates of 1924 carried over into early 1925. 2 Includes capital, surplus, and undivided profits. Average of amounts given in reports of condition for five call dates during the year. 3 The ratios presented in this and in previous analyses of member bank earnings and expenses are computed on the basis of aggregate data derived from abstracts of member bank reports of condition and of earnings and dividends. 4 An exact statement of the effect of current changes in yield of bonds on the average rate of return on the security holdings of banks is rendered impossible by the absence of information regarding the time (or price) at which the securities were purchased, and by the apparent lack of uniformity in accounting treatment of security holdings. 410 FEDERAL RESERVE BULiLETlN ANALYSIS OF MEMBEB BANK COSTS AND EARNINGS, 1925 AND 1924 Amount (in thousands Amount per $100 of earning assets of dollars) 1925 1924 1925 1924 Total loans and invest$29,916,525 $27,661,791 ments 1-_____ Interest received..-__.___ Other income Gross earnings (total) Salaries and wages -.-___. Interest on borrowed money •Interest on deposits. Taxes... Other expenses Total expenses 1, 615, 595 302,499 1, 514,500 271, 971 $5.40 1.01 $5.48 .98 1,918,094 1, 786,471 6. 41 6.46 372,741 355,018 1.25 1.28 25,954 643,158 102,411 223,053 24,746 594,432 97,341 208,987 .09 2.15 .34 .74 .09 2.15 .35 .76 1,367,317 1, 280, 524 4.63 1.83 133,079 33,196 31,068 2.61 3.39 2.68 3.41 193,099 131,293 197,343 144, 604 .65 .44 .71 .52 Capital, surplus, and undivided profits omitted) _ _. 419,484 272,686 361,343 258,044 1.40 1.31 Loans i (000 omitted)-Investments l (000 omitted) Earning assets 1 (000 omitted) _.__ 128, 774 35,127 29,198 Total losses.. Net losses 4 Net addition to profits... Dividends declared _... _ 1 P R O F I T S O F M E M B E R B A N K S I N R E L A T I O N TO E A R N I N G A S S E T S AND I N V E S T E D C A P I T A L , 1925 AND 1924 4.57 505,947 | Losses on loans Losses on securities Other losses $4,699,751,000, and showed a relative^ small increase for the year, so that there was, on the average, $637 of member-bank credit in use per $100 of invested capital in 1925 as against $616 in 1924. As a consequence of the larger volume of earning assets relative to invested capital aiid the higher margin of profit per $100 of earning assets, the rate of return on invested capital increased from 8.04 per cent for 1924 to 8.93 per cent for 1925. In the following table are shown, for both years, the volume of earning assets and of invested capital, together with the rates of profit per unit of earning assets and per unit of invested capital: 1.84 550, 777 Net earnings JUNE, 1926 Average of amounts from reports of condition during the year. 2 Amount per $100 of loans. 3 Amount per $100 of security holdings. 4 Total losses charged off less recoveries on assets previously charged off. [In thousands of dollars] 1925 1 1924 (000 __. $4,699,751 $4,491, 663 . 21,022,170 8,894,355 19,498,525 29,916,525 27,661,791 6.37 1.40 6.16 1.31 8.93 8.04 Earning assets per $1 of capital, surplus, and undivided profits Profit per $100 of earning assets 2 Profit per $100 3of capital, surplus, and undivided profits Gross earnings per $100 of earning assets 1 Averages of amounts from reports of condition during the year. 2 Identical with amount shown under similar caption in preceding were slightly smaller in 1925 than in 1924, the table. decline in interest received per $100 of earning 3 Obtained by division of amount of profit by amount of invested assets having been only partially offset by in- capital; equivalent to the product of the two preceding ratios. creases in other forms of earnings including In tables on subsequent pages are shown the commissions and appreciation in security amounts of the principal items of member values. Total expenses per $100 of earning bank costs and earnings by Federal reserve assets declined somewhat, however, and the districts, and also amounts per $100 of earning average rate of net earnings was approxi- assets for 1924 and 1925. mately the same for the two years. Losses It has been noted earlier that the amounts charged off on loans were 61 cents per $100 of interest received per $100 of earning assets of loans and losses on securities were 39 cents approximate the average rates at which the per $100 of securities. The net amount of member banks have placed their funds. Varilosses charged off* was somewhat smaller in ations between districts reflect in part geo1925 than the year before, so that the margin graphical differences in levels of interest rates of net profits, which this year was $1.40 per and in part variations in the composition of $100 of earning assets, was somewhat larger the banks' earning assets, consisting, as these than last year when the margin was $1.31. 7 do, of loans and investments yielding various During the year the volume of the banks rates of return. The average rates of interest 2 loans and investments, at $29,916,525,000, was received per $100 of earning assets were lowest about $2,250,000,000 larger than for the year in the New York and Boston districts, at $4.79 before; invested capital, as measured by capital, and $5.02, and highest in the Dallas and Kansurplus, and undivided profits, amounted to sas City districts, at $6.75 and $6.41. Since interest and discount received constitute the 1 Total losses charged off less recoveries on assets previously charged major portion of the banks' earnings, the disoff.2 Average of amounts given in reports of condition for five call dates tricts in which member banks had relatively during the year. FEDERAL RESERVE BULLETIN .JUNE, 1926 high or low rates of interest income generally showed rates of gross earnings correspondingly high or low. The rate of interest received per $100 of earning assets was lower in 1925 than the year before for all districts except Philadelphia, where the rate was the same in both years. The effect was to reduce gross earnings in most districts, despite the offsetting influence of increases in other earnings, but gross earnings were higher in the Boston, Atlanta, and St. Louis districts. Expenses were lower in 1925 than in 1924 for all districts except the Philadelphia, Richmond, and St. Louis districts. Expenses were lowest in the Philadelphia, New York, and Boston districts, and highest in the Kansas City, San Francisco, and Dallas districts, owing chiefly to differences in expenditures for salaries and wages and for miscellaneous expenses, and in some degree to differences in tax payments in proportion to the volume of earning ..•assets. . ' . Net losses per $100 of earning assets, in 1925 as in 1924, were lowest in the Philadelphia, New York, and Cleveland districts and highest in the Kansas City, and Dallas districts. They were smaller in the more recent year in all districts, except Richmond. The margin of profit, after allowing for expenses and for amounts charged off for losses, was largest in the Philadelphia, Atlanta, and New York districts and smallest in the Minneapolis and Kansas City districts. The margin of profit was larger in 1925 than in 1924 for all except the Philadelphia, Cleveland, and Richmond districts. Another table on a subsequent page shows for 1924 and 1925 for each Federal reserve 98738—26 -4 411 district the rate of return on the banks' invested capital. The table presents comparisons between the volume of earning assets and the volume of invested capital, and also between the margin of profit per $100 of earning assets and the rate of profit per $100 of invested capital. The rate of return on the banks' capital was highest in the New York, Atlanta, and Philadelphia districts, where the banks had relatively large margins of profit per $100 of earning assets and, except in the case of Philadelphia, comparatively large amounts of earning assets outstanding per $100 of invested capital. As was the case in 1924, the rate of return in 1925 was lowest in the Minneapolis, Kansas City, and Dallas districts. Comparison of 1924 and 1925 shows a larger volume of earning assets per $100 of invested capital in 1925 for all districts, and increased rates of profit on the banks7 invested capital for most districts. These increased rates of profit are explained by larger margins of profit per unit of earning assets, together with a larger volume of earning assets per unit of invested capital. The rate of return was lower in 1925 than in 1924 only in the Philadelphia, Cleveland, and Richmond districts, and in these districts the decreases were comparatively small. The most marked increases were in the Atlanta, St. Louis, Minneapolis, and Kansas City districts where, chiefly as a result of lower expenses and net losses in relation to the volume of earning assets, the banks had larger margins of profit and where there were also considerable increases in the volume of earning assets per unit of invested capital. The following tables give the data for 1925 and 1924 in detail, by districts: 412 F E D E R A L RESERVE J U N E , 1926 BULLETIN ANALYSIS OF MEMBER BANK COSTS AND EARNINGS, BY DISTRICTS, YEARS ENDING DECEMBER 31, 1925 AND 1924 1924 1925 Philadelphia district New York district Boston district 1924 1925 1924 1925 Amount Amount Amount Amount Amount Amount Amount per $100 Amount per $100 Amount per $100 Amount per $100 Amount per $100 Amount per $100 of earn- (000 (000 (000 of earn(000 of earnof earnof earn(000 of earn(000 ing omitted) omitted) ing omitted) ing ing ing omitted) ing omitted) omitted) assets assets assets assets assets assets _„_ $114,044 Interest received.. Other income—- 21,456 Gross earnings Salaries and wages Interest on borrowed money Interest on deposits Taxes. _ -. Other expenses _ Total expenses Net earnings. _ Losses on loans... Losses on securities Other losses.Total losses _ _ _ _ Net losses 3___. Net addition to profits _ - . . Dividends declared- _ - $5. 02 $106,995 17,432 .95 $5.11 $429,767 .83 109,764 ._-_ Gross earnings Salaries and wages Interest on borrowed money Interest on deposits Taxes_ _ Other expenses Total expenses Net earnings.. _ $4.82 $121,363 1. 21 19,676 $5.37 $110,687 .87 18,688 $5.37 .90 135,500 5.97 124,427 5.94 539,531 6.02 493,021 6.03 141,039 6.24 129,375 6.27 23,402 1,689 51, 260 5,805 14, 251 1.03 .07 2.26 .26 .63 22,406 1,135 47,405 5,720 13,687 1.07 .05 2.26 .27 1.08 .07 1.98 .27 .67 90, 592 3,165 165, 707 21,155 53, 778 1.11 .04 2.02 .26 .65 96,436 6,016 177, 340 24,049 60,055 24,222 2,068 44, 995 6,964 14, 014 1.07 .09 1.99 .31 .62 22,305 1,650 40,122 6,193 13,062 1.08 .08 1.95 .30 .63 96,407 4.25 90,353 4.31 363,896 4.06 334,397 4.09 92, 263 4.08 83, 332 4.04 39,093 1.72 34, 074 1.63 175,635 1.96 158, 624 1.94 48, 776 2.16 46,043 2. 23 9,523 5,205 2,023 • 1.58 9,910 2,815 1,861 1.66 2.47 32,553 12,647 6,019 1.53 2.44 27,424 11,010 6,199 1.50 2.41 3,407 3,087 1,491 1.24 2.36 3, 888 2,378 1,518 1.31 2.29 .38 2.82 .66 16, 751 .74 14,586 .70 51,219 .57 44,633 .55 7,985 .35 7,784 12, 349 .54 11,589 .55 29, 666 .33 29,244 .36 4,119 .18 4,074 .20 26,744 17,889 1.18 22,485 16,823 1.07 145,969 87, 301 1.63 129,380 79,124 1.58 44,657 23, 748 1.97 41,969 21,505 2.03 $170, 519 30, 863 $5.63 $163,079 1.02 30,491 Atlanta district Richmond district Cleveland district Interest received Other income.___,._ $4.79 $394,271 1.22 38,750 $5.72 1.07 $73,134 8,312 $5.79 $70,619 8,171 $5.82 .66 .67 $69,470 14,217 $6.21 1.27 $61,055 10,158 $6.29 1.05 201,382 6.65 193, 570 6.79 81,446 6.45 78, 790 6.49 83,687 7.47 71,213 7.34 36, 531 2,497 74, 711 10,965 21, 545 1.21 .08 2.47 .36 .71 34, 800 1,941 70,062 10,658 20, 670 15,928 3,035 25, 753 5,449 8,906 1.26 .24 2.04 .43 .71 15,329 3,131 23, 726 5,377 9,149 1.26 .26 1.95 .44 .75 16,083 1,680 23,493 5,476 10,837 1.44 .15 2.10 .49 .97 14,804 2,479 19, 596 5, 556 9,207 1.52 .26 2.02 .57 .95 146,249 4.83 138,131 1.22 .07 2.46 .37 .72 4.85 59,071 4. 68 56, 712 4.67 57, 569 5.14 51,642 5.32 55,133 1.82V 55,439 1.94 22,375 1.77 22,078 1.82 26,118 2.33 19, 571 2.02 1.36 2.42 6,546 4,201 2, 744 1.35 2.43 6,133 598 1,300 1.62 2.23 5,080 1,075 1,096 1.53 2.42 6,689 724 2,159 1.74 2.34 7,077 740 1,530 1.90 2.41 Losses on loans Losses on securities Other losses ____ ___; 7,272 4,267 2,904 Total losses ..._>_. 14,443 .48 13,491 .47 8,031 .64 7,251 .60 9,572 .85 9,347 .96 10,605 .35 10,526 .37 6,386 .51 5,574 .46 7,678 .69 7,566 .78 44, 528 26, 875 1.47 44,913 27,368 1.57 15,989 13,058 1.27 16, 504 12, 737 1.36 18,440 11, 561 1.65 12,005 11,958 1,24 Net losses 3_ Net addition to profits—____; Dividends declared._____ 1 Amount per $100 of loans. 2 Amount per $100 of security holdings. 3 Total losses charged off less recoveries on assets previously charged off. NOTE—Statement of amounts per $100 of earning assets in even dollars and cents results in some instances in slight discrepancies between component figures and the related totals 413 FEDERAL RESERVE BULLETIN JUNE, 1926 ANALYSIS OF MEMBER BANK COSTS AND EARNINGS, BY DISTRICTS, YEARS ENDING DECEMBER 31, 1925 AND 1924— Continued St. Louis district Chicago district 1924 1925 1925 Minneapolis district 1925 1924 1924 Amount Amount Amount Amount Amount Amount Amount per $100 Amount per $100 Amount per $100 Amount per $100 Amount per $100 Amount per $100 of earn(000 of earn(000 (000 (000 of earnof earnof earn(000 (000 of earning omitted) ing omitted) omitted) ing ing ing omitted) omitted) omitted) ing assets assets assets assets assets assets Interest received. __ Other income $234,367 40,551 Gross earnings._. $5.37 $220,864 .93 35,094 $5,44 .86 $71,591 11,823 $5.68 .94 $68,541 9,332 $5.77 .78 $51,098 6,183 $5.69 .69 $51,816 5,845 $6.00 .68 274,918 6.30 255,958 6.30 83,414 6.62 77,873 6.55 57,281 6.38 57,661 6.68 Salaries and wages._ __ Interest on borrowed money Interest on deposits __ Taxes. __._ "Other expenses 55,048 2,628 95,057 17,119 33,417 1.26 .06 2.18 .39 .77 51,839 2,895 87, 931 16,546 30,904 1.28 .07 2.16 .41 1.34 .16 2.04 .40 .76 12,923 1,030 22,750 3,651 7,173 1.50 .12 2.63 .42 .78 12,631 500 22,410 3,440 6,827 1.41 .06 2.49 .38 .81 16,240 2,290 23,779 4,847 9,350 1.37 .19 100 .41 .76 16,903 2,026 25,742f 5,019 10,226 Total expenses.. 203,269 4.66 190,115 4.68 59,916 4.75 56,506 4.75 45,808 5.10 47,527 5.50 1.64 65,843 1.62 23,498 1.86 21,367 1.80 11,473 i .54 .24 20,200 4,284 3,177 i .68 2.39 7,198 i .79 2.21 9,874 1,524 3,979 11.14 2.47 Net earnings... Losses on loans. Losses on securities Other losses ______ 17,148 2,867 3,234 . Total losses... Net losses 3._. 71, 649 . Net addition to profits Dividends declared _ 2 733 1,331 10,134 1.18 7 893 11 25 2 .26 948 604 692 .53 27,661 .68 9,262 .73 15,377 1.29 8,754 .97 9,189 15,617 .36 21,103 .52 6,597 , .52 10,595 .89 6,523 .73 7,364 .85 56,032 34,409 1.28 44, 740 33,297 1.10 16,901 11,674 1.34 10,772 13,347 .91 4,950 5,301 .55 2,770 5,368 .32 _ $71,520 _ 9,734 Gross earnings 1.28 i l 18 2.22 23,249 Kansas City district Interest received—. Other income _ 7 158 648- .83 $6.41 .87 $70,095 10,703 Dallas district $6.57 1.00 $54,815 6,467 $6.76 .80 $52,899 6,173 1.06 San Francisco district $6.82 $153,907 23,453 .79 $6.01 $143,579 .92 21,134 $6.14 .91 81,254 7.28 80,798 7.57 61,282 7.56 59,072 7.61 177,360 6.93 164,713 7.05 19,130 790 25,173 5,231 11,941 1.71 .07 2.25 .47 1.07 19,171 1,333 24,523 5,126 11,705 1.80 .12 2.29 .48 1.10 14,803 990 14,155 4,473 8,325 1.83 .12 1.75 .55 1.03 14,465 1,385 13,656 4,473 8,520 1.86 .18 1.76 .57 1.10 41,624 2,035 63,069 8,421 22,709 1.63 .08 2.46 .33 1.71 .10 2.36 .34 .89 40,144 2,312 55,175 8,039 21,782 62,265 5.58 61,858 5.79 42,746 5.27 42,499 5.47 ^137,858 5.39 127,452 5.45 18,989 1.70 18,940 1.78 18, 536 2.29 16,573 2.14 39,502 1.54 37,261 1.60 11,989 1,263 2,031 1 1.48 2.41 14,997 1,001 2,612 11 84 2.39 8 320 318 2,092 11 27 2.20 9 031 351 2,035 11 43 2.24 11 384 2,770 3,666 1 11 159 3,213 3,625 1 Total losses... 15,283 1.37 18,610 1.74 10,730 1.32 11,417 1.47 17,820 .70 17,997 .77 Net losses 3 11,388 1.02 14,719 1.38 8,092 1.00 . 8, 751 1.13 12,273 .48 13,499 .58 7,601 8,254 .68 4,221 8,532 .40 10,444 10,434 1.29 7,822 8,289 1.01 27,229 22,182 23,762 19,696 1.02 Salaries and wages Interest on borrowed money Interest on deposits Taxes Other expenses „__ Total expenses Net earnings._ Losses on loans Losses on securities Other losses.- _. _ Net addition to profits . . . Dividends declared 61 2.39 , 1.06. .93 65 2.53 * Amount per $100 of loans. Amount per $100 of security holdings. Total losses charged off less recoveries on assets previously charged off. 2 3 NOTE—Statement of amounts per $100 of earning assets in even dollars and cents results in some instances in slight discrepancies between component figures and the related totals 414 FEDERAL RESERVE BULLETIN JUNE, 1926 PROFITS OF MEMBER BANKS IN RELATION TO EARNING ASSETS AND INVESTED CAPITAL, YEARS ENDING* DECEMBER 31, 1925, AND 1924 Boston district 1925 1924 New York district 1925 1924 Philadelphia district 1925 1924 Cleveland district 1925 Richmond district 1924 Capital, surplus, and undividedprofi; s i (000 omitted) $360,013 $340,885 $1,342,693 $1,243,295 $459,888 $424,236 $526,349 1925 Atlanta district 1924 1925 1924 $179,127 $173,733 $234,200 ., 877,379 996,727 956,311 903,927 789,102 Loans i (000 omitted) 1,631,8081,491,579 6,094,355 5,496,0171., 392, 510 1,245,861 2,006,2581, — """ 604,296 2,871,371 2,678,294 "-^801 815,9281 ,9281; 020)279 973,587 265,536 258,141 215, 642 180, 822 Investments* (000 omitted) Earning assetsi (000 2,270,344 2,095,875 8,965,726 8,174,311 2,261,311 2,061,789 3,026,537 2,850,966 1,262,263 1,214,4521,119,569 omitted) Earning assets per $1 of capital, surplus, and undivided profits.— Profit per $100 of earning assets _ Profit per $100 of capital, sur-2 plus, and undivided profits 6.31 6.15 6.68 1.18 1.07 1.63 7.43 6.60 10.87 Chicago district 1925 1924 Capita,!, surplus, and undivided profits i (000 omitted) . . . . $633,721 6.57 10.41 St. Louis district 1925 $199,927 1924 4.92 4.86 5.75 5. 63 5.39 5.30 6.25 5.58 1.97 2.03 1.47 1.57 1.27 1.36 1.65 1.24 9.71 9.89 8.46 8.87 6.83 7.21 10.29 6.9J Minneapolis district Kansas City district Dallas district San Francisco district 1925 1925 1925 1925 1924 1924 Profit per $100 of capital, sur-2 plus, and undivided profits 6.89 6.56 6.30 6.04 1. 1.10 1.34 .91 7. .55 .32 8.84 7.23 8.45 5.48 4.05 2.19 7.02 4.78 653, 284 157,120 1, 729, 713 629,3981L, 853, 903 L, 146,501 706,023 607,027 810,404 775,899 2,559,926 2,336,740 6.54 5.09 4.95 7.92 7.48 .40 1.29 1.01 1.06 1.02 2.59 6.56 4.99 8.42 7. 61 * Averages of amounts from reports of condition during the year 2 Obtained by dividing net profits by average amount of invested capital; equivalent to the product of the two preceding ratios. 1924 $196,661 $122,115 $126,468 $159,043 $163,260 $159,260 $156,607 $323,415 $312, 225 Loans * (000 omitted)._ 3,169,291 2,973,832 907,195 862,620 604, 988 633,201 807,924 813,512 Investments i (000 omitted)... 1,195,9631,088,369 353,130 325,981 293,253 230,273 308,701 254,047 Earning assets 1 (000 863,4741,116, 625 1,067,559 omitted) ___._._. 4,365,254 4,062,201 1,260,325 1,188,601 Earning assets per $1 of capital, surplus, and undivided profits.. Profit per $100 of earning 1924 FEDERAL EESEKVE BULLETIN JUNE, 1926 415 LAW DEPARTMENT Authority of Congress for erection of Detroit branch bank building. The following is a copy of a joint resolution of Congress approved April 14, 1926, authorizing the Federal Reserve Bank of Chicago to erect a building for its Detroit branch costing not more than $600,000, exclusive of the cost of vaults, permanent equipment, furnishings, and fixtures: [PUBLIC RESOLUTION—No. 15—69TH CONGRESS] [S. J. Res. 61] Joint Resolution Authorizing the Federal Reserve Bank of Chicago to enter into contracts for the erection of a building for its branch establishment in the city of Detroit, Michigan. Resolved by the Senate and House of Representatives of the United States of America in Congress assembled, Limitation upon use or words "Federal," "United States," or "reserve." The following act of Congress, which was approved May 24, 1926, is designed to prohibit the offering for sale as Federal farm loan bonds any securities not issued under the terms of the Federal farm loan act, to limit the use of the words "Federal," "United States," or "reserve," and to ^prohibit false advertising. Attention is called to the fact that this act makes unlawful, with certain specified exceptions, the use of the word "Federal," the words "United States," or the word "reserve," or a combination of such words as a portion of the corporate title or trade name of any person, firm, or corporation engaged in the banking, loan, building and loan, brokerage, factorage, insurance, indemnity, or trust business, and also makes unlawful any advertisement or representation by a nonmember bank that it is a member of the Federal reserve system. That the Federal Reserve Bank of Chicago be, and it is hereby, authorized to enter into contracts for the erection of a building for its Detroit branch on the site now owned, provided the total amount expended in the erection of said building, exclusive of the cost of the vaults, permanent equipment, furnishings, and fixtures, shall not exceed the sum of $600,000: Provided, [PUBLIC NO. 279—69TH CONGRESS] however, That the character and type of building to be erected, the amount actually to be expended in the con[S. 2606] struction of said building, and the amount actually to be expended for the vaults, permanent equipment, AN ACT To prohibit offering for sale as Federal farm loan bonds any furnishings, and fixtures for said building shall be sub- securities not issued under the terms of the Farm Loan Act, to limit ject to the approval of the Federal Reserve Board. the use of the words "Federal," "United States," or "reserve," or a combination of such words, to prohibit false advertising, and for other Approved, April 14, 1926. purposes. Authority of Congress for erection of Baltimore branch bank building. The following is a copy of a joint resolution of Congress approved April 17, 1926, authorizing the Federal Reserve Bank of Richmond to erect a building for its Baltimore branch costing not more than $1,025,000: Be it enacted by the Senate and House of Representatives of the United States of America in Congress assem- bled, That no bank, banking association, trust company, corporation, association, firm, partnership, or person not organized under the provisions of the act of July 17, 1916, known as the Federal Farm Loan Act, as amended, shall advertise or represent that it makes Federal farm loans or advertise or offer for sale as Federal farm loan bonds any bond not issued under the provisions of the Federal Farm Loan Act, or make use of the word "Federal" or the words "United States" or any other word or words implying Government [PUBLIC RESOLUTION—No. 16—69TH CONGRESS] ownership, obligation, or supervision in advertising or [H. J. Res. 1911 offering for sale any bond, note, mortgage, or other Joint Resolution Authorizing the Federal Reserve Bank of Richmond to security not issued by the Government of the United contract for and erect in the city of Baltimore, Maryland, a building States or under the provisions of the said Federal Farm for its Baltimore branch. Loan Act or some other act of Congress. SEC. 2. That no bank, banking association, trust Resolved by the Senate and House of Representatives company, corporation, association, firm, partnership, of the United States of America in Congress assembled, or person engaged in the banking, loan, building and That the Federal Reserve Bank of Richmond be, and brokerage, factorage, insurance, indemnity, or it is hereby, authorized to contract for and erect in the loan, business shall use the word "Federal," the words city of Baltimore a building for its Baltimore branch, trust "United States," or the word "reserve," or any comprovided the total amount expended in the erection of bination of such words, as a portion of its corporate, said building shall not exceed the sum of $1,025,000: firm, or trade name or title or of the name under which Provided, however,That the character and type of build-it does business: Provided, however, That the provisions ing to be erected, the amount actually to be expended of this section shall apply to the Federal Reserve in the construction of said building, and the amount Board, the Federal not Loan Board, the Federal actually to be expended for the vaults, permanent Trade Commission, orFarm any other department, bureau, equipment, furnishings, and fixtures for said building or independent establishment the Government of shall be subject to the approval of the Federal Reserve the United States, nor to any ofFederal reserve bank, Board. Federal land bank, or Federal reserve agent, nor to the Federal Advisory Council, nor to any corporation Approved, April 17, 1926. 416 FEDEKAL RESERVE BULLETIN organized under the laws of the United States, nor to any bank, banking association, trust company, corporation, association, firm, partnership, or person actually engaged in business under such name or title prior to the passage of this act. SEC. 3. That no bank, banking association, or trust company which is not a member of the Federal reserve system shall advertise or represent in any way that it is a member of such system or publish or display any sign, symbol, or advertisement reasonably calculated to convey the impression that it is a member of such system. SEC. 4. That any bank, banking association, trust company, corporation, association, firm, or partnership Violating any of the provisions oLthis act shall be guilty of a misdemeanor and shall be subject to a fine of not exceeding $1,000. Any person violating any of the provisions of this act, or any officer of any bank, banking association, trust company, corporation, or association, or member of any firm or partnership violating any of the provisions of this act who participates in, or knowingly acquiesces in, such violations shall be guilty of a misdemeanor and shall be subject to a fine of not exceeding $1,000 or imprisonment not exceeding one year, or both. Any such illegal use of such word or words, or any combination of such words, or any other violation of any of the provisions of this act, knay be enjoined by the United States district court Ihaving jurisdiction, at the instance of any United ^States district attorney, any Federal la,nd bank, joint•stock land bank, Federal reserve bank, or the Federal Farm Loan Board or the Federal Reserve Board. SEC. 5. That if any clause, sentence, paragraph, or part of this act shall for a,ny reason be adjudged by any oourt of competent jurisdiction to be invalid, such judgment shall not affect, impair, or invalidate the remainder of this act, but shall be confined in its operation to the clause, sentence, paragraph or part thereof directly involved in the controversy in which such judgment shall have been rendered. Approved May 24, 1926. STATE LAWS RELATING TO SEGREGATION OF ASSETS OF SAVINGS DEPARTMENTS The following compilation, which was prepared in the office of counsel to the Federal Reserve Board with the assistance of counsel to the several Federal reserve banks, is intended to show briefly the laws of each State with regard to the segregation of the assets of savings departments of banks and trust companies: CALIFORNIA The laws of California authorize banks to carry on a departmental business, transacting the business of savings banks, trust companies and commercial banks. Segregation of capital.—"When a bank desires to do a departmental business, it shall first obtain the consent of the superintendent of banks, and in its application therefor, file a statement making a segregation of its capital and surplus for each department. Such capital and surplus, when so apportioned and approved by the superintendent of banks, shall be considered and treated as the separate capital and surplus of such department as if each department was a separate bank. Thereafter a bank may, from time to time, JUNE, 1926 with the previous consent and approval of the superintendent of banks and subject to the provisions of section nineteen of this act, change any segregation and apportionment of capital and surplus previously made and make a new segregation and apportionment of its capital and surplus." Segregation of reserves.—"Every bank shall maintain for each department total reserves equal in amount to that required by this act for the respective business conducted, and shall keep separate and distinct the total reserves of any department from that of any other department; and all deposits made with other banks, whether temporary or otherwise, shall be assets of the respective departments by which they were made, and shall be so carried on the books of such other banks, and shall be repaid only upon the order of the department to whose credit they stand. No department shall receive deposits from any other department of the same corporation; except that a trust department, in proper' cases, may make deposits of trust or any other funds, under its control with the savings department or the commercial department of the same corporation; provided, however, That any bank having departments shall have the right to sell and transfer any bonds, securities or loans from one department to another upon receipt of the actual value thereof, if such bonds, securities or loans are, under the provisions of this act, a legal investment for the department purchasing the same." Segregation of assets.—" JEvery bank having different departments shall keep separate books of account for each department of its business, and shall be governed as to all deposits, reserves, investments, and transactions relating to each department by the provisions in this act specifically provided for the respective kind of business. " It shall keep all investments relating to the savings department entirely separate and apart from the investments of its other department or departments. * * * #. . * . * * "Every bank shall keep entirely separate and apart in each department the cash, securities, and property belonging to such department, and shall not mingle the cash, securities and property of one department with that of another. "All money and assets belonging to each department, whether on hand or with other banks, and the investments made, shall be held solely for the repayment of the depositors and other claimants of each such department, as herein provided, until all depositors and other claimants of each such department shall have been paid, and the overplus then remaining shall be applied to any other liabilities of such bank." (Banking Laws of 1925, sections 23, 25, 26, and 27; Henning's General Laws, 1920, act 409, sections 23, 25, 26 and 27.) COLORADO The Colorado law formerly provided that any person, copartnership, or corporation conducting a savings department in connection with banking or other business shall keep the books, funds, securities, and all other assets of such savings department separate and apart, and such assets shall constitute a trust fund for the payment of savings depositors. No department of any bank shall receive deposits from another department or borrow from or loan to the same. (Banking Laws of 1923, sec. 46; Comp. Laws of 1921, sec. 2701.) This act, however, was repealed by act of March 21, 1923; and there is now no law in Colorado requiring the segregation of savings deposits. (Session Laws of Colorado, 1923, p. 187.) 417 FEDERAL RESERVE BULLETIN JUNE, 1926 CONNECTICUT MASSACHUSETTS Segregation of assets.-—The laws of Connecticut require all banks and trust companies receiving savings deposits to invest such deposits according to the requirements of the laws concerning investments of deposits in savings banks. Said investments shall be segregated and not mingled with other assets of such bank or trust company and shall be for the exclusive protection of depositors in the savings department and shall not be held for or used to pay any other obligation of the bank or trust company until after the payment of all depositors in the savings department. (Banking Laws of 1923, sec. 3928; General Statutes, 1918, chap. 202, sec. 3928.) Segregation of savings deposits of foreign banks.— " Every foreign banking association or corporation which was on June 10, 1906, transacting business in this Commonwealth and which receives any deposits or transacts any business in the manner of a savings bank, or in such a manner as might lead the public to believe that its business is that of a savings bank, shall have a savings department in which all business transacted in such manner in this Commonwealth shall be done. All money received in said manner shall be a special deposit and shall be placed in said savings department, and all loans or investments thereof shall be made in accordance with the laws governing the investment of deposits in savings banks. "Such funds and the investments or loans thereof shall be appropriated solely to the security and payment of such deposits, and shall not be mingled with the investments of the capital stock or other money or property belonging to such association or corporation or be liable for the debts or obligations thereof.-..• The accounts and transactions of said savings departments shall be kept separate and distinct from the general business of the association or corporation." Segregation of deposits in savings departments.— "Every such corporation [trust company] soliciting or receiving deposits (a) which may be withdrawn only on presentation of the pass book or other similar form of receipt which permits successive deposits or withdrawals to be entered thereon; or (b) which at the option of such corporation may be withdrawn only at the expiration of a stated period after notice of intention to withdraw has been given; or (c) in any other way which might lead the public to believe that such deposits are received or invested under the same conditions or in the same manner as deposits in savings banks; shall have a savings department in which ,all business relating to such deposits shall be transacted. Every such corporation subject to this section shall have an investment committee of not less than three members, elected by and from the board of directors, and such committee shall hold meetings at least once in each month. * * *' * * * * "Such deposits and the investments or loans thereof shall be appropriated solely to the security and payment of such deposits, shall not be mingled with the investments of the capital stock or other money or property belonging to or controlled by such corporation, or be liable for the debts or obligations thereof until after the deposits in said savings department have been paid in full. The accounts and transactions of said savings department shall be kept separate and distinct from the general business of the corporation." (Banking Law 1923, pp. 13 and 29. General Laws of Massachusetts, 1921, ch. 167, sees. 41, 42, and ch. 172, sees. 60 and .62.) GEORGIA Separate records.—The laws of Georgia require banks doing both a commercial and savings business to keep separate records of its savings deposits; but do not expressly require the segregation of. assets nor give the savings depositors a prior lien on the assets of the savings department. (Banking Laws of 1923, pr 85; Park's Annotated Code of Georgia, 1922 Supp., vol. 8, sec. 2280 (u. u.).) KENTUCKY Separate records.—The laws of Kentucky require any bank combining the business of a commercial and savings bank to keep separate books for each kind of business; but do not expressly require the segregation of assets nor give the sayings depositors a prior lien on the assets of the savings department. (Banking Laws of 1924, p. 22; Ky. Code 1922, sec. 590.) MAINE Segregation of assets.—Every trust company receiving savings deposits or using the term "savings" in connection with its business shall segregate and at all times keep on hand so segregated assets at least equal to the aggregate amount of its savings deposits, and in the case of a trust company which also acts as surety upon bonds or other obligations the amount of its assets so segregated shall be at least 15 per cent in excess of the aggregate amount of its savings deposits. The bank commissioner may require all such assets as appear to be carried in excess of their true value to be charged down to the true value. Assets segregated and held for security of savings deposits*—Assets so segregated; shall be held in trust for the security and payment of savings deposits and shall not be mingled with other assets of the trust company, or be liable for the obligations thereof until after the savings depositors shall have been paid in full. All other assets of the company shall be held equally and rat ably for the payment of all claims Including any balance to savings depositors after applying to their payment the assets segregated. How segregated assets shall be held and segregated.—Assets segregated for the benefit of the savings department shall be so held and recorded as to identify them as the assets held for the security of such deposits. All securities representing such assets shall be plainly stamped "savings department," provided, however, that in lieu thereof it shall be lawful to record in the investment book a description of assets so held sufficient to identify them. (Banking Laws of 1923, pp. 55 and 56; Public Laws of Maine 1923, chap. 144, sees. 89, 90, and 91.) MICHIGAN Segregation of savings deposits.—"Any bank combining the business of a commercial bank and a savings bank shall keep separate books of account for each kind of business: provided, that all receipts, investments and transactions relating to each of said classes of business shall be governed by the provisions and restrictions herein specifically provided for the respective kinds of banks: provided, further, that all the investments relating to the savings department shall be kept entirely separate and apart from the other business of the bank, and that the 12 per cent reserve required by the provisions of this act to be kept on the 418 FEDERAL RESERVE BULLETIN savings deposits, shall be kept separate and distinct on the books of the bank from the reserve required on the commercial deposits, and that such portion of said savings deposits as are on hand unloaned or deposited with other banks or reserve agents and the investments made with the funds deposited by savings depositors shall be held solely for the payment of the depositors of said funds." Penalty for failure to segregate savings deposits.— "Any bank combining the business of a commercial bank and a savings bank which shall not keep separate accounts as required by the preceding section or shall not keep the investments of the savings department separate or shall not in every respect comply with the requirements of such section, shall be liable to the State in the penalty of fifty dollars for each and every failure, neglect, or refusal to comply with the provisions of said section, to be recovered in a suit to be brought by the attorney general in the name of the people of the State of Michigan in the circuit court of any county in which such bank may be situated." (Banking Laws of 1925, pp. 31 and 32. Compiled Laws of Michigan, Ann. Supp. 1922, sec. 7998 and Compiled Laws of Michigan, 1915, sec. 7999.) MINNESOTA Lien on investments.—A State bank or trust company incorporated and authorized to do business under the laws of Minnesota may establish and maintain a savings department and may solicit and receive deposits in such department. Savings deposits received by such bank or trust company using the word ' savings' or 'savings bank' in its title shall be invested only in authorized securities as defined by the law of Minnesota and such bank or trust company shall keep on hand at all times such securities as deposits in savings banks may be invested in to an amount at least equal to the amount of such deposits and these securities shall be representative of and the fund for, applicable first and exclusively to the payment of such deposits. (Banking Law of 1925, pp. 13 and 37. General Statutes of Minn. 1923, sees. 7651 and 7667.) NEW HAMPSHIRE Separate departments.—"Every such corporation [bank or trust company] receiving savings deposits or transacting the business of a savings bank, shall conduct the business as a separate department, which shall be amenable to the laws governing savings banks." (Banking Laws of 1925, p. 30; Public Laws of New Hampshire 1926, ch. 264, sec. 9.) NEW MEXICO Separate accounts.—Banks are authorized to operate commercial departments and savings departments and also trust departments; and every bank having different departments is required to keep separate accounts for each department of its business; but there is no provision expressly giving the savings depositors a prior lien on the assets of the savings department. (Banking Laws of 1923, p. 20; laws of 1915, ch. 67, sec. 53.) NEW YORK JUNE, 1926 Separate books of account.-—The laws of Ohio authorize banks to operate commercial, trust and savings departments and require a bank'operating such departments to keep separate books of account for each department; but there is no provision expressly giving the savings depositors a prior lien on the assets of the savings department. (Banking Laws 1925, p. 49;; acts of 1919, vol. 108, p. 110, sec. 116.) OKLAHOMA Segregation of capital for commercial and savings departments.—"All trust companies incorporated under the laws of this State are hereby authorized to establish a commercial banking and savings department, in which they shall be permitted to receive money on deposit, with or without interest, including savings accounts, trust funds and sinking funds; provided, that before a trust company is authorized to accept deposits, as above provided, the board of directors of such trust company shall, by resolution, as a primary protection to the depositors in said commercial banking and savings department, set aside a portion of the capital stock of said trust company, the amount of which in no case shall be less than the amount of capital stock required to organize a State bank in the city or town in which said trust company is located. A certified copy of said resolution shall be filed with the State bank commissioner and a certificate of the board of directors of said trust company shall be filed with said bank commissioner, certifying that the amount of capital stock necessary to create a commercial banking and savings department has been set aside, according to the laws of the State of Oklahoma, and thereupon the State banking board may, in its discretion, cause to be issued a certificate to said trust company, authorizing it to establish a commercial banking and savings department in said trust company/' Segregation of resources of commercial and savings departments.—"The capital stock set aside for the commercial banking and savings department and all deposits and all investments and loans and securities held in the commercial banking and savings department shall be appropriated solely to the security and payment of the deposits in the commercial banking and savings department, and shall not be mingled with the investment of the remaining capital stock or other money or property belonging to or controlled by such trust company, or be liable for the debts or obligations thereof until after the deposits in said commercial banking and savings department have been paid in full. The accounts and transactions of said commercial banking and savings department shall be kept separate and distinct from the general business of the corporation. "The capital stock of said trust company appropriated to the commercial banking and savings department, together '.faith- the stockholders' liability thereunder, shall be held as security for the payment of all deposits made in the commercial banking and savings department, and, in addition thereto, the persons making such deposits, or entitled to said deposits, shall have an equal claim with the other creditors of such trust company upon the remaining capital and other property of the corporation, together with the stockholders' liability thereunder." (Session Laws, 1925, pp. 8687.) The laws of New York give a preference to deposits in banks and trust companies made by savings banks, savings and loan associations, State land banks, and credit unions. Banks and trust companies, however, OREGON are not authorized to receive savings deposits as such. (Birdseye, Cummings and Gilbert's Cons. Law, 2d Segregation of capital.—"When a bank or trust ed. vol. 1, p. 711, sec. 278, p. 783, sec. 414, p. 791, sec. company desires to do a departmental business it 437, vol. 12, p. 74, sec. 279 and p. 82, sec. 456.) shall first obtain the consent of the superintendent of. banks, and in its application therefor shall file a statement making a segregation of its capital and surplus for the commercial and savings departments. Such capital and surplus, when so apportioned and approved by the superintendent of banks, shall be considered and treated as the separate capital and surplus of such department as if each department was a separate bank. Thereafter a bank or trust company may, from time to time, with the previous consent and approval of the superintendent of banks and subject to the provisions of section 40 of this act, change any segregation and apportionment of capital and surplus previously made and make a new segregation and apportionment of its capital and surplus." Separate books to be kept.—" Any State bank or trust company combining any of the business of a commercial bank, trust company and savings bank shall keep separate books or accounts for each department of its business and shall be governed as to all deposits, reserves, 'investments and transactions relating to each department by the provisions of this apt specifically provided for the respective kind of business, and shall keep all moneys received as such savings deposits and the funds and securities in which the same are invested at all times segregated from and unmingled with the other moneys and funds of such bank or trust company and treated as if such department were a separate bank, and all bonds, warrants, notes, mortgages, deeds and other securities of every nature of such savings department shall be marked, stamped or labeled ' savings department' or some similar words, and the same shall be held solely for the repayment of the depositors of such department. * * *.-" Savings deposits given prior lien on savings assets.— In the event of the insolvency or liquidation of a bank or trust company maintaining a savings department, the depositors of the savings department of such bank or trust company shall have a first and exclusive lien on all assets of such savings department and in the distribution of such assets the same shall be first applied to satisfy the amount due such depositors after the payment of expenses of liquidation of the savings department of such bank or trust company, and the assets of such savings department shall be held and liquidated for the exclusive benefit of. such depositors and the assets of such savings department shall not be applied for the benefit of depositors or creditors of any other department of such bank or trust company; provided, that after the depositors of such savings department shall have been paid in full and the remaining assets of such department may be used for the payment of depositors of the commercial department of such bank or trust company. (Banking Laws of 1925, pp. 16, 51, and 57; Laws of Oregon, 1925, ch. 207, sees. 44, 133 and 143.) KHODE ISLAND Segregation of savings deposits.—Every bank or trust company which receives savings deposits shall invest all deposits so received according to the requirements of the chapter of the laws of Rhode Island pertaining to investments by savings banks and such deposits invested or uninvested shall be set apart for the exclusive protection of the savings depositors and shall not be held for or be used to pay any other obligation of the bank or trust company until after the payment of all savings deposits. Uninvested funds of the savings department of such bank or trust company shall be kept in a separate distinct deposit account in such manner that the same can be readily identified as clearly belonging to the segregated assets of the savings deposit. Every bank or trust company shall 419 FEDERAL RESERVE BULLETIN JUNE, 1926 keep an accurate account wherein shall appear a complete list of the assets set apart for the exclusive protection of savings deposits held by it, showing,the par value, book value, and as often as a report is made to the bank commission shall enter into such account the fair market value of each of the investments of said assets. (Banking Laws of 1925, p. 43; General Laws of 1923, ch. 272, sec. 4000 (clause XVI) sec. 1 (a) (e) and (f).) TEXAS Segregation of savings deposits.—All State banks or banking and trust companies establishing or maintaining a savings department or using the words 'savings' as part of its corporate title shall keep the business of such department entirely separate and distinct from the general business of such bank or banking and trust company and shall keep all moneys received as savings deposits and securities in which the same may be invested at all times segregated from and unmingled with the other accounts and funds of the bank or banking and trust company. Lien on assets of savings department.—In the case of the insolvency or liquidation of any State bank or banking and trust company which shall establish or maintain a savings department its savings depositors shall have an exclusive prior lien upon all the assets of such savings department and shall be first paid and the remainder of such assets, after they have been paid in full, shall be applied to the payment of claims of general creditors. (Banking Laws of 1923, pp. 21 and 23; Texas Revised Statutes, 1925, arts. 430 and 433.) WASHINGTON Separate books of account.—Any bank or trust company combining the business of a commercial banking and a savings bank shall keep with the separate departments separate books of account for eacn kind of business. There is no provision, however, giving the savings depositors a prior lien on the assets of the savings department. (Banking Laws of 1921, p. 35. Remington's Compiled Statutes of Washington, 1922, sec. 3246.) WISCONSIN Segregation of time deposits.—Trust company banks are authorized to receive time deposits and issue their notes, certificates, debentures and other obligations therefor, payable at a future date only, not earlier than 30 days from date of such deposits and such deposits shall at all times be held or invested separately from other funds or property held by the corporation and in case of insolvency or liquidation all such funds and investments shall be primarily liable and used for the payment of such deposits. (Banking Laws of Wisconsin, 1925. p. 57; Wisconsin Statutes, 1919, sees. 2024-77 (k).) WYOMING Segregation of deposits.—Any bank or trust company organized under the laws of Wyoming may operate a savings department; provided, that such bank dr trust company which maintains a savings department shall keep separate books of accounts for each kind of its business; and provided further, that all investments relating to the savings department shall be kept entirely separate and apart,from the other business of the bank and that such portion of said savings deposits as are on hand unloaned or deposited with other banks and the investments made with the funds deposited by savings depositors shall be held solely by such bank or trust company for the payment of depositors of said funds. (Laws of Wyoming, 1925, p. 212, sec. 30.) 420 FEDERAL RESERVE BULLETIN JUNE, 1926 Fiduciary Powers Granted to National Banks Changes in State Bank Membership During the month ended May 21, .1926, the FedThe following list shows changes affecting State bank membership during the month ended May 21, eral Reserve Board approved applications of the 1926, on which date 1,417 State institutions were national banks listed below for permission to exercise one or more of the fiduciary powers named in section 11 members of the system: (k) of the Federal reserve"act as amended, as follows: ADMISSIONS (1) Trustee; (2) executor; (3) administrator; (4) registrar of stocks and bonds; (5) guardian of estates; Capital Surplus (6) assignee; (7) receiver; (8) committee of estates of lunatics; (9) in any other fiduciary capacity in which District No. % State banks, trust companies, or ^other corporations Morsemere Trust Co., Morsemere, N. J_. $100,000 $25, GOO $125,000 which come into competition with national banks are Trade Bank of New York, New York, N. Y. _- 500,000 250,000 3,729, 538 permitted to act under the laws of the State in which the national bank is located. First Trust & Deposit Co., Oriskany Falls, N. Y . - 100, 000 Erasmus State Bank, Brooklyn, N. Y____ 200, 000 20,000 70,000 1,221,407 418,192 ._ 250,000 350,000 3,950,978 District No. 8 Broadway Trust Co., St. Louis, M o . . . — 200, 000 20, 000 2,357,358 District No. 4 Windber Trust Co., Windber, Pa._ CHANGES District No. 2 Change of title: Bank of Europe, New York, N. Y., has changed its title to Bank of Europe Trust Co.; Federation Bank of New York, N. Y., has changed its title to Federation Bank and Trust Co. District No. 4. Voluntary withdrawal: Farmers & Mer$50,000 chants Bank, Sylvania, Ohio-. Union Trust Co., Cleveland, Ohio, a member, has absorbed the following member: State Banking & Trust Co., 750,000 Cleveland, Ohio $30,000 $1, 069,781 315,000 15,803,076 District No. 6 Voluntary withdrawal: Plains Bank, Plains, Ga . .__Change of title: The Citizens Bank, West Point, Ga., has changed its title to Citizens Bank & Trust Co, •50,000 12,000 342,304 590 125,930 District No, 8 First State Bank, Palmyra, 111., a member, has absorbed the following nonmember: Palmyra State Bank, Palmyra, III 25,000 Change of title: The Kentucky Title Bank & Trust Co., Louisville, Ky., has changed its title to Kentucky Title Trust Co. The Shaw State Bank, St. Louis, Mo., has changed its title to Shaw Bank. 50,000 District No. 1 to 3,5 to 7 Medomak National Bank and 9. Aquidneck National Ex- 1 to 9. change Bank and Savings Co. People Trust Co. of Brooklyn, Ito9. N . B . A... First National Bank _. 1 to 9. Lincoln National Bank_ . 1 to 9. Pitman National Bank and 1 to 9. Trust Co. 1 to 9. First National Bank Citizens National Bank _. 1 to 3 and 9. Merchants and Manufactur- 1 to 9. ers National Bank. Peoples First National Bank _ _ 1 to 9. First National Bank 1 to 9. Delta National Bank 1 to 9. First National Bank 1 to 9. Lake County National Bank.. Ito9. First National Bank 1 to 9. Coldwater National Bank, 2, 3, 5, and 8. American National Bank Ito9. 1 to 9. Boatmen's National Bank United States National Bank. 2, 3, 5, and 8. 2, 3, 5, and First National Bank 8. Ito9. First National Bank. Waldoboro, Me Newport, E. I Brooklyn, N.Y.___. Camden, N. Y_._.. Newark, N. J._ Pitman, N. J Orwigsburg, Pa Mansfield, Ohio Sharon, Pa Charleston, S. C_... Crewe, Va . Yazoo City, Miss... Blue Island, I1L___. Liberty ville, 111 Akron, Iowa __. Coldwater, Mich... Marshfield, Wis_... St. Louis, Mo Iron M o u n t a i n , Mich. Negaunee, Mich Houston, Tex Logan, Utah First National Bank 5, 710 156,400 25,000 4,559 273,154 200,000 50,000 2,012,187 50,000 25,000 1,000 15,000 305, 756 • 180,162 District No. 11 Voluntary withdrawal: First State Bank & Trust Co., Waco, Tex __.. Converted into national banks: First State Bank, George West, Tex.. First State Bank, Balls, Tex Change of title: The Guaranty State Bank, Hedley, Tex.j has changed its title to Security State Bank. The Guaranty State Bank, Mount Pleasant, Tex.,tias changed its title to Guaranty Bond State Bank. District No. 12 Voluntary withdrawals: Genesee Exchange Bank, Genesee, Idaho ... Blackfoot City Bank, Blackfoot, Idaho. ____ __._. 1 to 9. Changes in National Bank Membership Number of banks District No. 10 Withdrawal: Meadow Grove State Bank, Meadow Grove, Nebr Powers granted Name of bank The Comptroller of the Currency reports the following increases and reductions in the number and capital of national banks during the period from April 24 to May 21, 1926, inclusive: District No. 9 Belgrade State Bank, Belgrade, Mont., a member, has absorbed the following nonmember; Farmers Bank, Belgrade, Mont... _: -__- Location New charters issued _ __ Restored to solvency __ Increase of capital approved _ Aggregate of new charters, banks restored to solvency, and banks increasing capital.__. 12 0 12 $3,050,000 0 1,470,000 24 4, 520,000 Liquidations Reducing capital * 16 2 1,697, 500 55,000 18 1,752,500 2 1,550,000 4,520,000 1, 752,500 _ Total liquidations and reductions of capital— Consolidation of national banks under act of Nov. 7,1918 ___ Aggregate increased capital for period _ Reduction of capital owing to liquidations, etc 25,000 12,500 601, 659 50,000 10,000 664,113 Amount of capital Net increase _ 2,767,500 1 Includes one reduction in capital of $50,000 incident to a consolidation under act of Nov. 7, 1918. 421 FEDERAL. RESERVE BTJLX.ETIH JUNE, 1926 BUSINESS STATISTICS FOR THE UNITED STATES INDEX OF PRODUCTION IN BASIC INDUSTRIES i [Index and relatives for each industry adjusted for seasonal variations. Monthly average 1919=100] Iron and steel Year and month General index Steel ingots Pig iron Food products Textiles Cotton Wheat flour Wool Sugar meltings Lumber Animals slaughtered Cattle Calves Sheep Hogs 1925 April Mav .. ... June . '... July August . September October. . November December 119 111 110 113 109 111 116 115 121 128 113 107 105 102 106 113 116 130 128 121 115 110 117 123 130 136 149 121 103 98 99 91 103 111 116 120 92 91 88 87 90 95 98 97 95 '90 88 102 122 94 100 96 79 80 134 115 117 117 107 143 167 135 203 104 104 95 107 97 93 99 84 99 124 114 126 131 138 129 147 131 166 120 117 105 101 89 86 88 76 88 101 92 101 96 108 120 115 96 89 123 116 117 1926 January . •..*. February March _ ____ April. _ _ _ „ _ _ — — - 120 120 123 122 131 130 131 135 . •• 149 152 157 114 119 120 117 89 84 87 84 83 90 100 97 164 147 120 114 96 102 106 108 146 157 137 115 95 105 121 118 91 81 * 103 104 125 122 124 124 147 Nonferrous metals Coal Cement Petroleum Manufac • tured tobacco Anthracite 105 99 101 105 109 114 121 126 130 103 103 98 113 120 1 1 2 3 136 135 136 140 135 139 136 138 139 124 127 117 121 122 121 129 129 137 69 64 66 71 69 62 69 63 59 115 112 110 108 105 111 115 116 117 199 193 197 215 207 204 198 194 188 194 212 210 204 206 208 198 200 196 87 88 93 94 91 95 106 95 85 178 175 188 179 173 183 169 165 195 95 96 97 101 94 96 99 89 94 129 130 117 124 2 34 120 117 141 145 143 141 144 135 139 136 56 60 60 58 115 123 126 126 219 181 187 179 193 193 188 190 80 84 97 88 196 188 207 205 102 100 98 95 1925 January February._ March ; April Newsprint Bituminous April May July August September. . . October November December, Tobacco products Sole leather Year and month 116 116 125 117 133 ... 1926 .... . Copper Zinc Cigars Cigarettes i This table contains for certain months the index numbers of production in basic industries together with the series of relatives used in constructing the index. In making the final index the relatives are adjusted to allow for seasonal fluctuations and are weighted. The methods of construction were described in detail and all relatives for each series since January, 1913, were published on pages 1414-1421 of the BULLETIN for December, 1922. 'a Revised. INDEX OF E M P L O Y M E N T IN MANUFACTURING I N D U S T R I E S i [No seasonal adjustment. Monthly average, 1919=100) Year and month General index 1925 April...;:; : May.... June July August... Metals and products Group index Iron and steel OctoberNovember.. December., 95.9 94.9 94.2 93.1 93.9 95.1 97.0 97.2 97.1 89.2 88.0 86.9 85.6 86.1 87.4 89.4 91.0 92.6 88.7 87.5 86.3 84.9 85.4 86.6 88.4 89.9 91.6 1926 January..... February. _. March April.— 96.3 97.0 97.2 96.4 92. 6 94.2 94.6 94.3 93.8 93.7 91.9 Textiles and products Group Fabrics Prodindex ucts 96.4 95.4 93.3 94.0 94.1 96.9 97.3 97.2 100.8 99.1 97.5 93.1 93.6 93.3 97.7 99.1 99.3 96.5 92.9 92.8 93.4 94.5 95.1 95.8 95.0 94.6 97.3 97.4 97.1 94.9 99.1 97.6 97.1 95.8 97.2 97.1 93.8 Lumber and products Railroad vehicles 100.6 99.8 100.1 99.3 99.9 102.2 102.8 102.0 100.9 84.9 84.7 84.5 84.5 83.7 83.0 82.6 84.6 121.7 128.5 122.8 122.2 124.2 129.4 137. 7 136.3 129.6 104.7 103.8 103.5 103.4 103.2 104.3 106.0 107.2 107.8 83.0 83.2 85.6 85.4 85.9 88.0 90.6 89.6 88.5 83.0 85.7 90.2 92.1 91.8 89.0 86.1 123.2 125.5 125.9 121.3 124.9 125.3 124.7 123.1 121.0 81.7 87.0 85.8 85.9 85.0 87.1 90.1 89.7 90.1 75.4 73.2 72.9 73.0 72.6 75.4 76.4 77.4 77.6 98.7 100.0 84.6 85.7 87.1 88.1 130.2 133.0 136.3 132.1 107.5 106.7 107.4 106.8 86.5 85.7 84.9 82.5 87.9 89.5 88.3 83.9 114.4 114.6 116.8 121.8 80.4 84.2 83.3 79.8 76.9 77.0 77.0 77.3 95.0 Paper Autoand mobiles printing Foods Leather Stone, and and clay* prod- prodand ucts ucts Tobacco products Chemicals and products i This table contains for certain months index numbers of employment, together with group indexes for important industrial components. T h e general index is a weighted average of relatives for 34 individual industries. The method of construction was described in detail and indexes for the above groups since January, 1919, were published on pp. 324-325 of the BULLETIN for May, 1925. See also p. 668 of BULLETIN for September, 1925, for certain revisions. 422 FEDERAL RESERVE JUNE, 1926 INDEX OF PAY ROLLS IN MANUFACTURING INDUSTRIES» [No seasonal adjustment. Monthly average, 1919=* 100] Metals and products Year and month General index Group index Iron and Textiles and products Group Fabrics Prodindex ucts Lumber and products Railroad vehicles Paper Autoand mobiles printing Foods Leather Stone, and clay, and prod- prodand ucts glass ucts Tobacco products Chemicals and products 1925 April May June July. August September October November December. 107.3 107.4 104.8 102.4 104.5 103.9 111.3 111. 7 112.1 94.4 94.6 91.1 86.8 89.7 88.7 96.2 97.7 101.7 93.9 94.0 90.4 86.1 88.8 87.7 95.1 96.3 100.6 108.0 105.0 101.6 10L2 103.8 99.1 107.5 107.0 107.9 111.7 109.9 103.9 100.9 101.7 96.6 107.9 109.0 111.1 103.5 99.0 98.8 101.6 106.2 102.1 107.0 104.5 103.9 107.9 108.6 109.7 105.9 108.0 111.8 117.2 116.7 116.4 95.4 91.6 90.4 86.7 88.0 84.9 89.2 91.4 91.7 156.2 163.9 151.2 150.0 146.1 155.3 178.0 178.9 ]63.5 137.1 136.7 135. 5 133.8 133.7 135.8 142.3 145.4 148.7 94.0 97.2 100.0 98.9 99.1 100.0 104.5 103.6 103.2 91.5 90.3 85.1 89.0 98.9 94.8 95.8 87.9 86.5 149.9 154.6 154.3 145.9 155.7 151.6 156.8 155.4 151.3 74.2 90.9 90.3 89.0 90.0 90.0 97.1 98.7 99.3 97.6 98.4 95.7 95.6 93.1 94.9 101.1 103.6 104.9 1926 January _. February. _. March April.. _ 107.0 111.5 113.0 110.4 99.1 102.4 104.2 102.7 98.3 101.7 103.4 102.0 108.1 110.2 109.8 103.6 110.4 109.0 108.2 104.8 105.3 111.5 111.8 102.0 105.8 111.0 111.9 111.7 85.8 91.9 94.5 95.6 136.0 166.3 170.7 165.4 145.5 144.9 147.9 147.0 100.1 99.8 99.3 96.0 89.7 94.2 93.2 84.2 136.9 140.1 144.3 147.6 86.0 84.0 88.4 82.3 102.2 102.8 104.5 105.0 i This table contains for certain months index numbers of pay rolls, together with group indexes for important r general index is a weighted average of relatives for 34 individual industries. The method of construction was described in detail and indexes for the „*,„„ . . .I-I^I--J. . . . . . . . . •>«' o n r . r i u ^ ^ ^ — „ *~_n/r— moC See also p . 688 of BULLETIN for September, 1925, { _ _ T. w ... .. " ." » above groups since January, 1919, were published on pp. 324-325 of the BULLETIN for May, 1925. for certain revisions. INDEXES OF INDUSTRIAL ACTIVITY » [No seasonal adjustment. Monthly average 1919-100] Mineral production Agricultural movements Year and month 1925 April May. _ June July August . _. September October November. _ December 1926 January February March . . April AniLive- mal Grains Cot- Vege- Fruits To- Total Total stock prodton tables bacco ucts 94 136 92 151 Anthracite coal 194 216 212 214 128 115 105 105 140 140 139 136 12^I 12' f IT 7 12 143 147 151 145 109 111 116 114 136 117 116 212 106 135 143 105 138 164 103 98 105 91 119 133 149 96 234 310 204 233 244 391 171 165 121 130 1 1 110 108 277 116 177 223 2 135 239 88 98 326 125 129 93 117 101 101 149 105 117 125 135 142 110 75 107 17 5 1 122 73 148 106 108 99 96 92 114 106 80 344 88 85 75 81 91 83 93 116 119 79 65 52 74 64 52 94 123 95 77 92 89 273 88 58 Lead Silver 87 91 96 102 40 62 75 99 12 14 Zinc 99 108 103 113 123 139 164 150 43 Copper 117 124 124 129 87 86 88 86 72 79 83 88 104 152 166 Bitumi- Petro- Pig nous leum iron coal 121 137 206 204 131 196 194 107 119 134 141 119 134 122 12 } 129 128 137 137 161 144 158 109 148 164 148 3110 3 136 129 2 138 190 130 141 115 137 127 28 120 112 120 119 103 173 192 190 115 135 135 135 150 145 131V 138 136 153 104 107 105 Manufacturing production Year and month Total April May June July August September. . . -. October.. November December _. January February.. March April Iron Auto- ~ rexand steel mobiles tiles 1925 133 130 •> 126 126 122 126 141 129 128 128 121 112 109 118 120 134 134 138 129 125 142 136 144 131 154 144 1926 250239 239 153 193 270 225 191 186 220 266 Food products 88 Leather Petro- Cement TobacLum- Paper and and and ber printing co shoes leum brick 119 109 105 107 104 107 118 114 119 87 94 97 96 105 114 98 107 155 165 160 164 167 160 172 139 133 142 136 133 125 128 128 139 136 138 98 86 84 87 97 97 103 84 85 201 212 120 115 122 113 104 92 99 90 135 137 156 162 142 134 149 149 83 85 95 86 216 188 213 202 207 207 191 206 173 1S2 113 119 133 135 127 131 141 120 110 191 195 194 202 203 183 165 155 175 216 198 221 221 130 112 151 120 115 110 136 122 172 177 195 190 222 222 218 1 For description and early figures see BULLETIN for March, 1924, and for certain revisions see p. 739 of the October, 1925, BULLETIN. 3 2 Less than one-half of 1 per cent. Revised. Rubber tires FEDERAL RESERVE JUNE, 1926 COMMODITY The following statistics are secured from various sources and compiled in the form given below by the Board's Division of Research and Statistics. Earlier figures (in most cases since 423 BULLETIN MOVEMENTS 1919) can be obtained from previous issues of the" BULLETIN or upon application to the Division of Research and Statistics, Federal Reserve Board. April, March, April, 1925 1926 1926 April, March, April, 1925 1926 Transportation Grain and Flour Receipts at 17 interior centers (000 omitted): Wheat (bushels)... _ 14,289 15,163 Corn (bushels) . 12,523 20,428 Oats (bushels)—. 14,735 12,328 Rye (bushels).,.. 1,301 1,032 Barley (bushels) 2,528 2,958 Total grain (bushels) Flour (barrels) _. Total grain and flour (bushels) ___ 10,010 9,922 13,614 1,506 2,038 45,376 51,908 1,998 2,009 37,090 1,688 60,949 44,687 Shipments at 14 interior centers (000 omitted): Wheat (bushels) _,_. 10,097 11,923 Corn (bushels) 8,604 8,529 Oats (bushels)—. ___ 13,521 13,448 Rye (bushels) 753 691 Barley (bushels) 1,923 1,895 14, 510 13,070 20,269 2,065 1,767 54,366 Total grain (bushels) 34,808 36, 575 Flour (barrels) -—___.___. 2,723 3,121 Total grain and flour (bushels) __ 47,059 50, (519 Stocks at 11 interior centers at close of month (000 omitted): Wheat (bushels)...... Corn (bushels). Oats (bushels).. Rye (bushels)._ _____.. Barley (bushels) _ Total grain (bushels).... 24,085 27,248 43,165 13,201 4,351 25,555 30,987 46,745 12,938 4,686 112,050 120,910 Receipts at 9 seaboard centers (000 omitted): Wheat (bushels)..... Corn (bushels)-_. Oats (bushels). :._.... Rye (bushels) _ __ Barley (bushels) .... 8,041 1,193 1,184 2,265 7,779 708 2,256 618 2,682 Total grain (bushels) . 16,977 14, 043 1,628 2, Oil Flour (barrels) .__.__.__ Total grain and flour (bushels).....___. 24,303 23, 093 Stocks at 8 seaboard centers at close of month (000 omitted): Wheat (bushels) . Corn (bushels) __ Oats (bushels)... _ _ Rye (bushels) . Barley (bushels) ___ 1 816 597 1,166 71 2,346 3,310 861 1,101 140 2,273 8,817 9,091 Tobacco sales at loose-leaf warehouses (pounds, 000 omitted): Dark belt Virginia ___ Bright belt Virginia.--._.._ North Carolina.. 84 Burley...... -_-_. 14,994 Western dark _ 3,182 19, 593 Total grain (bushels) ._ Wheat flour production (barrels, 000 omitted) 7,6 Tobacco 51,681 2,589 Revenue freight loaded and received from connections (cars loaded, 000 omitted): Classified by nature of products— 163 Grain and grain products 120 Livestock . _. ______ 714 Coal 54 Coke -. -328 Forest products.. 66 Ore 1,146 Merchandise, I.e. 1. Miscellaneous ___ 1,571 Total ._ ......... 4,161 Classified by geographical divisions1,022 Eastern _ 868 Allegheny. ' __ .„.„„_ 213 Pocahontas 663 Southern 510 Northwestern... 568 Central western 317 Southwestern... _ 4,161 Total : 178 124 804 64 344 50 1,194 1,583 4,341 144 123 613 48 338 126 1,124 1, 559 4,075 1,062 887 226 718 523 625 299 4,341 974 839 195 658 555 539 315 4,075 2,063 3,131 12,391 9, 553 3,697 2, 775 5,981 7.712 4,098 3,921 5,028 4,953 14,782 10,184 3,194 2,951 2,529 1,368 2,738 3,107 2,636 2,601 10,556 12,199 72,492 61,656 3,959 14,076 3,901 63,333 BUILDING STATISTICS Building permits issued in 168 cities, grouped by Federal reserve districts: Number of permitsBoston (14 cities) New York (22 cities) _ Philadelphia (14 cities) Cleveland (12 cities) Richmond (15 cities) 107,279 Atlanta (15 cities) Chicago (19 cities) St. Louis (5 c i t i e s ) — — — . . . . . . Minneapolis (9 cities)..__.__ 14, 634 Kansas City (14 cities)..... 396 Dallas (9 cities) 3,423 San Francisco (20 cities) 3,404 Total— _... 2,074 Value of permits (dollars, 000 omitted)— 23, 931 Boston (14 cities) _ 1,931 New York (22 cities) Philadelphia (14 cities)... _._._-.. 32, 621 Cleveland (12 cities) _._ Richmond (15 cities) _ _.. Atlanta (15 cities) Chicago (19 cities) _ St. Louis (5 cities)— . 9,315 Minneapolis (9 cities) , 682 Kansas City (14 cities) __ 1,656 Dallas (9 cities) 2,220 San Francisco (20 cities) 918 Total.... — 14,790 Building contracts awarded, by Federal reserve districts (dollars, 000 omitted): 8,185 Boston New York. _ _ Philadelphia. Cleveland Richmond.. . Atlanta... .. Chicago St. Louis.--.-. . Minneapolis Kansas City 346 Dallas .___ 3,960 Total (11 districts) ... 31,976 20, 557 43,541 9,191 2,014 16,129 128,887 18,528 20,092 17,851 15,911 73,511 9,502 6,948 9,356 8,097 35,058 359,870 4,557 3,561 17,202 3,478 3,020 3, 591 2,584 12,095 79,890 10,532 14,876 130,067 131,461 20, 794 30, 954 27,431 27,697 22,006 19,127 14,361 11,047 66,828 77, 863 11, 587 16, 527 4,284 10,331 9,639 12,956 10,197 36,286 41, 594 364,012 403. 297 41,788 32,476 37,935 173,176 158,454 135,159 36,376 45, 719 50,291 65,121 70,495 39,006 57,935 43,299 54,310 61,081 32,255 87,690 91,359 111, 470 30,697 33,527 37,684 15,965 15,029 13,141 14,074 13,897 13,440 20, 584 23,281 22,398 570,614 597,879 567, 567 424 FEDERAL RESERVE BULLETIN JUNE, WHOLESALE AND RETAIL TRADE WHOLESALE TRADE IN THE UNITED STATES, BY LINES* CHANGE IN CONDITION OF WHOLESALE TRADE, BY LINES AND DISTRICTS—Continued [Average monthly Sales 1919=100] Meat 79 76 83 79 80 71 73 79 75 69 73 68 79 83 79 84 75 79 83 85 79 87 94 83 92 101 86 99 90 83 78 82 87 72 1925 January February March April May June... . . . July August September— , __ October November . December . 1926 January February March 80 78 76 85 ... April 2 Percentage change Percentage 1 change in sales, April, in stocks at end GenGroeral index ceries •• 82 77 71 81 80 Dry Shoes Hard- Drags ware goods 82 88 96 85 43 46 63 65 89 90 107 107 116 109 121 115 77 82 85 106 112 54 54 101 105 106 110 47 99 111 65 72 98 109 108 120 72 118 92 75 77 59 54 122 103 101 134 110 111 79 75 75 80 79 86 93 77 43 50 73 59 86 87 106 103 111 110 133 123 For description of the wholesale trade index see FEDERAL RESERVE BULLETIN for April, 1923. CHANGE IN CONDITION OF WHOLESALE TRADE, BY LINES AND DISTRICTS Groceries: United States . . Boston district N e w Y o r k __• P h i l a d e l p h i a district __•___ Cleveland district Richmond district Atlanta district Chicago district_ St. Louis district Minneapolis district Kansas City district Dallas district San Francisco district Dry goods: United States New York district Philadelphia district Cleveland district Richmond district Atlanta district Chicago district,._ _ St. Louis district Minneapolis district Kansas City district Dallas district _ San Francisco district Shoes: United States Boston district New York district..._,__ Philadelphia district Cleveland district. Richmond district Percentage change in sales, April, 1926, compared with— Percentage 1 change in stocks at end of April, 1926, compared with— March, 1926 March, 1926 —1.0 —1.4 -8.8 —1.9 —3.3 -1.7 —9.2 0.9 —10.1 1.0 3.3 -2.0 3.3 —16.7 —24.6 -16.7 -13.7 -15.2 —14.2 -15.2 -27.2 -11.0 -17.0 -14.1 -12.7 -19.3 -17.7 -21.9 —27.0 —15.7 -27.4 April, 1925 6.2 -3.4 2.6 -13.2 -3.3 —0.3 -0.2 -0.1 1.2 7.4 13.2 5.6 April, 1925 2.9 13.7 -7.7 6.5 -6.4 —11.6 -4. 8 -1.5 22.3 0.9 2.5 -1.0 5.0 12.0 5.5 -7.0 -1.9 q 3 -11.0 2.0 4.9 6.7 -8.9 -0.7 —7.5 -3.4 -9.7 -3.3 -1.3 -14.8 -13.3 -10.0 -10.0 -6.1 1.1 -1.9 -0.7 5.0 -2.0 0.3 -21.4 23.1 -5.1 —14.7 -1.0 -3.3 -5.7 -9.0 -7.8 -18.8 -11.5 —17.5 -2.8 -1.6 -4.4 -6.4 1.9 -21.7 -18.2 —14.3 -23.4 4.3 T-14. 1 -3.6 2.9 0.5 7.9 1926, compared with— March, 1926 Shoes—Continued. Atlanta district... —27.7 Chicago district_.__ St. Louis district -7.7 Minneapolis district ' -16.0 San Francisco district -7.6 Hardware: United States —2.4 6.4 New York district 3.5 Philadelphia district -9.8 Cleveland district -5.5 * Richmond district -8.3 Atlanta district.... -0.9 Chicago district_. __ St. Louis district ._ -11.7 0.0 Minneapolis district -13.5 Kansas City district -8,9 Dallas district -0.9 San Francisco district Drugs: —10.8 United States. -13.4 New York district -11.6 Philadelphia district -3.5 Cleveland district -9.4 Richmond district Atlanta district -4.9 Chicago district __ __ _ —9.1 St. Louis district -9.8 Kansas City district —9.0 Dallas district • -6.0 San Francisco district Furniture: -5.5 Richmond district -9.1 Atlanta district St. Louis district ____ -20.7 -20.7 Kansas City district -13.9 San Francisco district Agricultural implements: —16.6 United States 2 -11.0 Minneapolis district.. —19.3 Dallas district Stationery and paper: —4.6 New York district... Philadelphia district -8.2 Atlanta district -14.9 San Francisco district Automobile supplies: —1.5 San Francisco district Clothing: -38.4 New York district 919.5 St. Louis district __ Cotton jobbers: -11.4 New York district Silk goods: New York district -27.0 Machine tools: New York district -15.2 Diamonds: -21.3 New York district Jewelery: New York district: __ —16.0 Philadelphia district . -16.0 Electrical supplies: Philadelphia district * - 1 1 . 7 Atlanta district . —18.4 St. Louis district 4.0 San Francisco district___. —4.4 Stoves: St. Louis district __„ —10.5 April, 1925 -29.6 -14.7 -20.0 1.0 of April, 1926, compared with— March, 1926 1.7 5.8 -7.7 -5.0 -3.8 -0.6 -3.7 -4.5 -1.2 13.0 -14.3 -4.6 -9.0 -13.2 -6.8 5.4 -0.5 -1.6 -0.5 3.3 0.0 5.5 11.70.9 -0.4 2.5 3.5 -4.8 —5.4 April, 1925 -1.7 -0.7 1.0 25.5 -4.0 6.9 -1.2 -21.7 -27.9 9.4 -24.0 . -4.2 1.9 -9.8 6.0 4.6 —9.4 -5.4 •1.0 12.5 -0.5 4.7 12.6 5.5 0.3 3.4 -0.9 1.9 -3.4 1.5 —3. 6 24.4 7.0 48.7 —1.2 1.0 —2.9 34.0 —1.8 0.3 -3.0 1.8 -12.8 —11.0 -15.9 -19.3 -1.5 —11.1 12.0 27.7 6.6 -3.8 4.1 -9.6 —1.0 —26.0 0.5 -12.6 -14.5 0.1 -1.2 -9.8 3 57.8 7.3 9.2 -6.3 4.6 4.4 2.4 1.3 50.8 14.0 1.5 -2.3 —4.8 -4.9 4-8.2 -13.4 -19.6 34.6 -7.2 -1.0 10.3 -16.4 -1.0 4.6 1 Changes in total stocks for the United States are weighted averages by the Chicago Federal Reserve Bank from reports of leading manufacand include all of their domestic business. computed on the basis of firms which have reported regularly to the turers 8 Stocks atfirstof month; quantity, not value. Federal reserve system since January, 1923. 2 * Includes diamonds. Sales of agricultural implements for the United States are compiled 425. FEDERAL RESERVE JUNE, 1926 RETAIL TRADE, BY REPORTING LINES) [Average monthly sales 1919=100] Sales without seasonal adjustment Year and month Sales with seasonal adjustment T5t-n '3 a •s-S rd-5 23 sa 31 a o3 1925 January February _. March... April. -_._. May ._ June.. _--.... July..... August September OctoberNovember December ... 108 101 121 136 128 126 95 98 121 165 145 226 108 105 119 117 95 102 87 89 114 170 144 166 250 233 252 258 254 254 259 243 245 318 272 332 151 156 177 195 191 187 183 195 191 237 220 427 155 146 160 159 163 167 166 171 169 179 167 225 122 119 131 134 143 134 136 142 142 151 136 212 107 100 127 177 149 152 122 120 129 164 136 188 104 128 136 141 139 214 1926 January. _..__ February .... March April.. 114 104 130 133 116 111 130 121 286 289 302 333 166 170 199 202 178 172 196 193 127 127 142 150 108 97 143 166 101 103 112 111 92 99 105 107 162 175 188 210 195 184 181 202 202 215 195 280 124 131 121 133 124 126 128 125 134 145 129 141 110 116 103 114 106 120 117 118 120 131 116 140 249 243 233 255 254 257 269 255 258 309 270 318 207 209 185 208 201 203 201 205 206 219 211 231 161 161 159 164 166 170 164 171 172 175 177 185 141 140 135 139 140 137 137 145 142 145 138 157 141 i49 127 152 119 142 134 153 135 145 126 143 112 120 116 126 116 125 140 143 136 117 111 114 193 207 186 210 202 197 185 202 204 209 205 191 167 173 206 130 135 130 129 118 123 112 118 284 301 278 329 228 227 207 216 185 189 194 199 146 151 147 156 142 145 143 143 122 126 124 130 199 205 204 i1 For description of the retail trade indexes see FEDERAL RESERVE BULLETINS for January and March, 1924. Index of sales of grocery chains revised. Comparable index numbers for all months since January, 1919, may be obtained from Division of Research and Statistics, Federal Reserve Board, DEPARTMENT STORE SALES, BY FEDERAL RESERVE DISTRICTS [Average monthly sales 1919=100] Number of reporting firms Federal reserve district United States Boston . . New York . . .. .. Philadelphia Cleveland Richmond--. -Atlanta Chicago . Minneapolis . . Dallas San Francisco .. _. __ Sales with seasonal adjustment Sales without seasonal adjustment 1926 1926 1925 Apr. Mar. Feb. Apr. 359 133 130 104 136 121 101 108 24 63 22 54 23 35 63 23 21 31 133 138 128 132 126 114 146 107 108 150 119 131 138 127 130 108 145 94 111 158 93 108 103 106 91 92 119 76 93 117 136 140 134 142 132 109 149 116 110 146 110 124 125 125 119 99 127 97 107 142 94 107 101 106 89 84 107 81 90 113 110 120 105 107 93 83 112 92 92 128 Mar. Feb. Jan. 1925 Mar. Feb. Apr. Mar. Feb. 129 130 135 133 121 131 124 126 134 116 129 123' 111 143 103 102 156 118 129 149 125 126 109 144 96 105 160 125 141 128 136 122 121 151 108 118 154 129 136 122 139 129 106 146 111 116 153 110 122 135 123 115 100 127 99 101 143 126 140 125 137 120 111 136 115 114 149 122 132 120 123 113 102 132 107 106 145 Apr. Jan. DEPARTMENT STORE STOCKS, BY FEDERAL RESERVE DISTRICTS [Average monthly stocks 1919=100] Stocks without seasonal adjustment Number Federal reserve district United States . Boston » New York -. Philadelphia Cleveland Richmond Atlanta Chicago . . Minneapolis Dallas . San Francisco . - » --; of reporting firms 1926 Apr. Stocks with seasonal adjustment 1926 1925 Mar. Feb. Apr. Mar. Feb. Jan. Apr. Mar. 1925 Feb. Apr. Mar. Feb. Jan. 314 143 143 132 141 139 127 119 139 141 140 136 137 135 134 24 63 13 52 19 22 51 22 19 29 125 142 201 134 131 125 157 110 130 145 124 142 201 137 128 122 162 110 128 141 113 128 183 124 121 112 153 101 118 132 127 139 186 140 132 •114 157 116 126 140 126 135 185 137 131 113 156 117 125 136 115 123 167 125 118 107 145 106 113 126 112 118 147 112 109 99 137 99 103 123 122 137 198 129 128 122 152 107 129 140 124 139 197 136 123 121 163 106 127 139 121 138 195 134 128 116 165 104 125 137 124 134 183 135 128 112 152 112 126 135 127 132 182 136 125 112 158 112 124 134 123 132 177 134 126 111 156 109 120 131 124 132 164 133 129 110 154 111 119 134 426 FEDERAL RESERVE BUI^LETIN JUNE, 1926 FOREIGN BANKING AND BUSINESS CONDITIONS ANNUAL REPORT OF THE BANK OF JAPAN The annual report of the Bank of Japan for 1925, presented by the governor at the meeting of the shareholders on February 25, contains the following account of its operations during the past year, and survey of the economic situation. In the general monetary situation an easier tendency developed during the past year. Security prices rose; the export trade was active; exchange rates tended toward recovery; the purchasing power of the agricultural community was somewhat increased by abundant crops; and favorable progress was made in the return of business to normal after the great earthquake. Still the readjustment was far from complete in all branches; business enterprise remained generally inactive; commodity prices moved downward; the home market was depressed; and there was general complaint of hard times. At the beginning of the year, as in the preceding year, certain sections of the business community were looking forward7 to the appearance of a "reconstruction boom/ but the work of rebuilding the capital did not make the progress anticipated. A spiritless condition developed in the share market; the prices of rice, raw silk, and cotton yarns declined; many factories in the textile manufacturing and other industrial centers were still operated on a part-time basis; there were some failures of banks and companies; and trade was at a low ebb. Favorable developments abroad somewhat influenced our stock exchange, but business had not recovered sufficiently from the earthquake to show a similar favorable trend. A significant feature of the situation was the great crop of silk cocoons, rice, and barley, accompanied by very high prices for cocoons and fairly high prices for rice. The anticipation of increased purchasing power in the country districts caused some of the manufacturers at the centers of the textile and other industries to make provision for better times. Unexpectedly, however, the price of rice fell after the autumn on account of the prospect of a large new crop, while favorable forecasts of the American cotton yield caused a slump in the price of cotton yarns. Raw silk also, which was in active demand at a comparatively high price level owing to prosperous conditions in the United States, declined in price as a result of the recovery of the yen, which began during the latter part of October. These circumstances led to a general business depression. The index number for wholesale prices in Tokyo fell from 282 for December, 1924, to 256 for the corresponding month in 1925. The markets for futures were quiet, indicating a general decline in speculative activity; only the share market, stimulated by easy money and a prosperous export trade, toward the end of the year, showed activity in which the shares of the stock exchange took a leading part. The general business conditions just described caused both a decrease in the demand for new money and an easier money market. Discount rates for ordinary commercial paper in April varied on the Tokyo market from 2.2 *• sen to 2.5 sen per diem, which is 0.2 sen to 0.3 sen lower than those of the corresponding period of last year. The rates for prime commercial paper even declined to about 2 sen per diem. The volume of the bank's advances and notes decreased almost to pre-earthquake levels. The official discount rate was lowered by the bank on April 15 from 2.2 sen to 2 sen, and the rediscounting rate for " emergency bills" was also reduced to 2 sen. Other banks carried the movement still further, until in May the discount rates for ordinary commercial paper in Tokyo ranged from 2 sen to 2.3 sen per diem, while the rate for overnight call money dropped to 0.9 sen. Some local district associations of banks reduced the rates of interest agreed upon to be paid on deposits. The yield on Government bonds and debentures began to decline. The rates on advances to silk reelers, varying from 2.4 sen to 2.6 sen, were also 0.2 sen lower than last year. A far greater amount of money was required to lay in the spring cocoons than in 1924; yet the market experienced no appreciable tightness. In the meantime many oi the banks invested their idle funds; issue after issue of debentures in the home market brought the total of the year's flotations to 730,000,000 yen. Under the circumstances the demand for money to finance the customary summer settlement and to move the summer and autumn cocoon crops caused temporary activity in the money market; but as the requirements of domestic i A sen is one one-hundredth of a yen (49.85 cents) and is thus worth about one-half of 1 cent in United States money. The rate is quoted for 100 yen per diem. JUNE, 1926 FEDERAL RESERVE business were still small easy conditions soon returned. The requirements of the autumn season and the export trade had no effect upon the general market situation, so that, even in December, little stringency was noted. The rate on overnight call money did fall for a short time in the middle of the month to 1.25 sen, and though it began to rise in the latter half, it did not go beyond 2.2 to 2.45 sen in the closing days of December when the rates ruling for ordinary commercial paper on the Tokyo markets were from 2.1 sen to 2.5 sen per diem. Thus the year closed with a very quiet money market. The recurrence of boycott and civil war in China had comparatively little effect upon our trade with that neighboring country. Trade returns for the year, including those of Chosen and Taiwan, show exports to the unprecedented high value of 2,377,000,000 yen, and imports to the value of 2,734,000,000 yen. There were heavy shipments of raw silk, owing to a rather large crop of cocoons and to the trade prosperity in the United States. Low domestic prices and the depreciation of the yen opened a very extensive foreign market to our cotton goods that shared to a marked degree the general increase in our export of commodities. Record imports of raw cotton followed a decline in the price of raw material and increased activity in the export of the manufactured goods. The extension of the period of customs exemption for foreign-grown rice resulted in its importation in increasing quantities. Gains were also shown by the figures for such commodities as wool and sugar. On the other hand, there was a decline in the entries of machinery and reconstruction materials, while the fall in the value of the yen and business depression checked importation in many other lines. It is well to note that an excess of imports for the first half year of 577,000,000 yen, including figures for Chosen and Taiwan, was reduced month by month in the second half, so that the unfavorable balance of trade for the whole year was only 356,000,000 yen. Foreign exchange rates showed signs of recovery at the beginning of the y§ar, owing to a reaction from the slump at the end of the year previous and to the stimulus given by the announcement of the Government regarding its exchange policy. It was inevitable that the earthquake at Tajima and the accumulating demands for exchange to pay for imports should have caused temporary downward fluctuations in the rate; but the improvement in trade, the importation of capital, the 427 shipment of gold held at home, and the buying of yen by foreigners, all combined to maintain a nrm tone in the market on the whole, and caused an upward tendency in rates. The quotations of the Yokohama Specie Bank were raised from Is. 7 ^ d . per yen on London and $38.50 per 100 yen on New York at the beginning of January to Is. 9j^d. and $43.50 by the end of the year. National loans, exclusive of rice purchase notes, were issued to the extent of 822,000,000 yen during the year. Redemptions, including purchases out of the sinking fund, amounted to 538,000,000 yen, and left a net increase in the debt of 283,000,000 yen. Announcement by the Government of a fixed policy of not offering loans for public subscription except those required for conversion purposes, and favorable monetary conditions were reflected in an advance in the price of national bonds and success in conversion operations. The system of dealing in futures in national debt, municipal bonds and debentures, inaugurated by the Tokyo exchange in November, will, if properly managed, do much toward facilitating transactions in these securities. Turning to the work of the bank, we find that advances, while fluctuating from time to time, showed a decline with the advance of the year and in May reached the minimum for the year at 169,000,000 yen, which is 259,000,000 yen less than the corresponding amount in 1924. Subsequent increases brought the total to 697,000,000 yto at the end of the year, which shows, however, a decrease of 26,000,000 yen from the corresponding figure of last year. Similarly note circulation reached its minimum for the year in May at 1,070,000,000 yen, a decrease of 73,000,000 yen as compared with last year; while at the end of the year the volume increased to 1,631,000,000 yen, being 30,000,000 yen less than at the close of 1924. After the reaction of 1920, the business of the country met with the earthquake disaster, from which many serious consequences followed. The process of readjustment developed on the whole in a favorable manner, especially during the past year, when fairly good progress was made in certain directions. We may cite the fair improvement in foreign trade, the partial recovery of the yen, a plentiful crop, the increased purchasing power of the farming community, the growth of bank deposits and postal savings, the easy money market, the lower interest rates, the rising security prices, the slight increase in the volume of new capital 428 FEDEEAL RESERVE BULLETIN" issues, and the new high record for the bank clearings of the country. But it goes without saving that recovery from a blow such as that dealt our industries by the earthquake disaster can not be completed in a brief period. Trade and industry still remain in a state of inactivity; and even if reasonable progress in general recovery has been made, it is too early to speak of business as completely rehabilitated. JUNE, 1926 Prices and wages are not yet sufficiently* adjusted to permit sound management of various types of industry; a very large volume of capital remains tied up; bank advances still remain in excess of deposits; so that while business conditions during the year show some improvement, they do not warrant the painting of too rosy a picture. ANNUAL REPORT OF THE NATIONAL BANK OF HUNGARY The annual report of the National Bank of Hungary for 1925, submitted to the general assembly on February 15, 1926, contains the following summary of the operations of the bank, and the economic conditipn of the country. The most important economic event of the past year was the final and complete stabilization of the international value of our currency. During the early part of the year sterling continued to appreciate, until toward the end of April the process came to an end with the attainment of gold parity. The legal and economic measures taken since then have reestablished sterling in the position among gold currencies which it had previously held. In consequence of the stabilization of our own currency on a sterling basis, Hungarian crowns also ceased to appreciate in value. How firmly the international position of our currency is now established, may be seen from the reserves of the bank in precious metal and foreign exchange, which increased by 861,000,000,006 crowns, from 2,479,500,000,000 to 3,340,500,000,000 in the course of the year. In these circumstances it became possible and opportune to proceed further with the reorganization of the Hungarian currency by introducing a new legal monetary; unit with a suitable intrinsic value. After long discussions Act XXXV of 1925 was passed. This act establishes a new Hungarian monetary unit to be called the pengo, the value of which is expressed in relation to the paper crown by the ratio of 1 to 12,500, and in relation to gold by the ratio of 3,800 pengos to 1 kilogram of fine gold. The act came into force on November 21 last, and put an end to the stabilization of Hungarian crowns on a sterling basis at a fixed rate of exchange of 346,000 to the pound sterling. Since that date the rate of exchange of the crown has been left to develop freely in accordance with its intrinsic value. The value assigned by the new currency law to the paper crown is the value which it had attained as a result of the gradual abolition of restrictions on dealings in foreign exchange and in Hungarian legal tender, and also of the impediments which had previously stood in the way of a free exchange of goods through imports and exports. Now that tKe after-effects of the great war are beginning to pass, we can obtain a better insight into the economic life of the country and form a surer judgment of its real condition. This is particularly true of the balance of payments of Hungary which, compared with the preceding year, was distinctly favorable. As regards the international money market, the movement of capital and the fluctuation of interest rates, the most striking phenomenon has been an influx of capital into this country. Though the increased need of capital on the continent of Europe compels Hungarian borrowers to face formidable competition, the fact remains that the efforts made in Hungary to restore equilibrium to our finances have yielded fruit, and that foreign capital displays an interest in our affairs which the country has well deserved. In the course of the past year a loan of $10,000,000 was obtained by a group of Hungarian cities, and quite recently the Hungarian Land Mortgage Institute has achieved great success with its issue of mortgage bonds abroad. These two instances represent the first steps taken toward inducing foreign capital to make investments in this country in the form of long-term loans. There has also been evidence o"f the willingness of foreign capitalists to offer short-term funds in Hungary, in addition to the usual seasonal credits granted to some branches of industry. While it may be desirable and even necessary that the capital engaged in production should be thus supplemented by help from abroad, we should not close our eyes to the dangers or ignore the damage which might result from a too liberal use of foreign credit, particularly on short term. The borrowing of Hungarian institutions needs to be fully justified by the condi- JUNE, 1926 FEDERAL RESERVE BULLETIN tions of production and the possibilities of marketing the product. The experiences of the second half of last year induced the management of the bank to mak§ use of all the means available to them in order to bring about more healthy conditions by a deliberate credit policy. The doctrine that the consolidation of the public finances of a country is one of the most essential elements of confidence in currency stability has been proved once again in our case. The fact that the fiscal year 1924-25 closed with a surplus of.some 63,000,000 gold crowns, and that the estimates for 1925-26 again present an absolute balance, has been and will continue to be one of the most powerful factors in the stabilization of the currency. Moreover the favorable development of the public finances has enabled the State to resume its capital investments, for which, in addition to the surplus of 63,000,000 gold crowns already mentioned, the Council of the League of Nations has agreed that 50,000,000- gold crowns may be appropriated out of the surplus of the League of Nations loan, both in the current and in the coming year. Altogether there are 182,000,000 gold crowns of money which will not be needed for the original purpose of covering budget deficits. The capital investments of the Government and the expenditure on public works to be carried out by the municipalities will probably not have their full effect until the spring of the present year; but they should result in a further strengthening of our economic position and in a consequent improvement of our balance of payments. At the beginning of the business year now under review the prospects of private enterprises in this country did not seem particularly bright, on account of the unfavorable harvest of 1924. But during the spring the condition of the new crops steadily improved and the general temper of the country became more confident. The summer fully justified the hopes which had been entertained for the harvest of 1925. The harvests of the principal cereals yielded nearly 9,000,000 quintals more than in the previous year, and there was a proportionately large increase in the yield of the other chief agricultural products. But the advantages of a large crop were counterbalanced by a considerable decline in price, and the protective duties imposed by those States which are the natural markets for Hungarian flour and Hungarian wheat placed formidable obstacles in tne way of the free 429 development of our export trade in agricultural products, especially as a variety of circumstances combined t"o delay the negotiations for the conclusion of commercial treaties. Other developments also had a detrimental effect in several respects upon industrial production during the past year. The output of coal, which showed a decline as compared with that of the previous year, bears witness to the curtailment of industrial production. But it should not be forgotten that the same thing is true not only in this country but all over Europe. If the states of Europe should succeed in adopting an economic and commercial policy that would put an end to the attitude of extreme isolation still maintained in certain countries, there can be no doubt that there would be a favorable increase of production in Hungary as elsewhere. Yet this is not all that is required. It is also esseritial that the position of private enterprise should be strengthened by every influence that can be brought to bear. Further reductions of taxation would contribute to this end, and the productive investments to be made by the state, the municipalities and parishes should also prepare the way for an improvement in the condition of private enterprises. Shortage of capital has been felt on the Bourse, even more severely than before. Very little business has been done and prices have declined. An event of the first importance to the economic life of the country was the introduction during the past year of a Government measure intended to insure that balance sheets reflect accurately the true condition of affairs. It is equally important that the question of valorization or reconversion into gold values should be settled. The situation described above dictated the credit policy which we had to pursue. We had to use every means at our disposal to overcome as far as possible the obstacles placed in the way *of production by adverse credit conditions, and to enable the producer to obtain credit at a rate of interest not beyond his capacity. The attainment of this object was rendered possible by the fact that the volume of discounted bills in the portfolio of the bank, after shrinking as usual at the beginning of the year, expanded again only very slightly during the last six months of the year. At the end of 1924 our discounts amounted to 1,976,000,000,000 crowns. There followed a gradual decline to 1,326,000,000,000 in the middle of June. But the expansion which 430 FEDERAL RESERVE BULLETIN came as expected during the autumn was far smaller than had been anticipated, partly because there were delays and interruptions in the marketing of the harvest, and partly on account of the foreign credits which were placed at the disposal of the mills. The highest point was reached at the end of September, when the value of our portfolio amounted to 1,734,000,000,000 crowns. During the month of October there was a considerable reduction, and since then the total of domestic bills discounted has varied from 1,500,000,000,000 to 1,700,000,000,000 crowns. This circumstance, combined with the increase in metal reserves, which continued with only slight interruptions throughout the year, the gradual decline of commodity prices, and the situation on the money market, established the conditions under which it became possible progressively to reduce the bank rate. This was done in three stages during the course of the year. The first opportunity presented itself in the month of March when the rate stood at 1 2 ^ per cent. Money appeared to be easy, though not in all the various branches of the market, and short credits were being freely offered. Although this abundance of funds was in any case only relative and was to some extent illusory, being due to the caution inspired by a general lack of confidence, and by the uncertainty which results from economic stagnation, the board of directors felt justified in reducing the bank rate, though for the time being only slightly, to 11 per cent. When it was seen that this reduction Jiad no unfavorable influence on the reserve position of the bank, while in consequence of the corresponding reduction of open-market rates of interest it was definitely of advantage to production, a further reduction of 2 per cent was made on May 28 to 9 per cent. Yet another reduction was made in October. At that time it had become clear that the marketing of the harvest would not result in any great expansion of the bank's portfolio of discounted bills. This fact, and more especially the unusual fall in discounts during the month of October, suggested that there must be other influences at work besides the general economic depression and the delayed marketing of the harvest to reduce our stock of bills to such a remarkably low level. The primary cause appeared to be the extensive use of short credit offered and supplied by foreign capital. There was also some danger that the bank rate might lose any effective connection with the credit life of the country, and JUNE, 1926 that the quality of the bills brought to the bank for discount might deteriorate. Partly to guard against these disadvantages, and partly to insure that the whole field of production should reap the benefit of cheapened credit, the board of directors reduced the bank rate as from October 22 to 7 per cent. The endeavors of the bank to lead back the credit life of the country into normal channels were not confined to the reduction of the official rate. The difficulties standing in the way of production were particularly evident in the Provinces, and we therefore tried through our branches to make arrangements for the standardization of interest rates on a lower level in the various provincial markets. These arrangements immediately resulted in a substantial improvement. In spite of the difficulties and complaints voiced by producers, there is no mistaking the favorable tendency of monetary conditions. At the beginning of the year first-grade bills could only be placed at a rate of interest in the neighborhood of 20 per cent. In the last month of the year the rate had fallen to 9 or 10 per cent. The reduction of provincial discount rates is not less striking. Both the influx of foreign capital and the accumulation of capital at home have contributed to this result. It is worth remarking that in the course of the year there has been an increase of 94 per cent in the amount of savings and current account deposits. A reduction in open-market rates of interest amounting to 50 per cent of the rates in force a year ago must certainly be described as a gratifying result. But at the same time, if we look at the absolute level of interest rates, we shall be compelled to admit that there is justification for the complaints which come from agriculture, industry, and commerce. The high rates which still prevail undoubtedly involve a serious burden on producers, and one of the most important problems for the economic life of Hungary is to devise means for further necessary reductions in the general level of interest rates. If is true that there are serious obstacles in the way. Some of them arise from the exaggerated demands of savings depositors who have been encouraged by inflation to expect high rates. Others are the result of an unduly expanded credit organization, the expenses of which are out of all proportion to the relatively insignificant capital brought into use. All these things must be adjusted and proper proportions restored. We can not afford to wait until the slow processes JUNE, 1926 FEDERAL RESERVE BULLETIN 431 of capital accumulation have achieved the de- tions, which is one of the most effective means sired result. It is necessary that there should of promoting a sounder and healthier developbe a reasonable increase ija share capital, and ment of credit conditions. also some amalgamation of existing instituANNUAL REPORT OF THE NATIONAL BANK OF THE KINGDOM OF SERBS, CROATS, AND SLOVENES The annual report of the National Bank of the Kingdom of Serbs, Croats, and Slovenes for 1925 contains the following summary of the bank's operations and activities, and of the economic situation of the country. Business with the State.—During the past year the State has incurred no new debts at the national bank and has floated no new foreign loans. The State debt to the bank remains, therefore, unchanged at 2,96.6,000,000 dinars. The repayment of this debt is closely bound up with the revaluation of the dinar, which has not yet been undertaken. There has been some steady improvement in State finances, but it is useless to attempt the stabilization of the value of the dinar until the finances of the State are in order. Movement of the dinar.—There has been a gradual rise in the value of the dinar during the past two years. To avoid a speculative rise, the bank undertook the purchase of all bills which came on the market and tended to push up the value of the dinar. It succeeded in checking the rise and in stabilizing the dinar by the end of the year. The bank's check policy.—Business in checks is steadily becoming a more important part of the bank's work; thus the bank is becoming a more powerful factor in determining the rate of the dinar and its stabilization. By agreement with the minister of finance the bank bought with its bank notes a third of all the export bills, and having received the equivalent of the bills in dinars, used the bills for State payments abroad or turned them over to the ministry of finance for State payments at home, while the surplus was sold on the exchange. To maintain the value of the dinar, bills were sold when there was a great demand for them; and bills were bought and dinars were put into circulation when the supply of bills was large, especially during the export season. This policy of stabilization was successful, owing to the fund of bills which has been created in the course of the last few years. Mention must be made of the inaccurate and malicious rumor that the national bank buys bills with some reserve notes of its own, the amount of which is not included in the report of the circulation issued weekly. We may state that all notes which the bank issues, whether for its own or for State business, are included in the circulation as regularly announced. The rate of interest.—The discount rate of the bank remained steady at 6 per cent, while the rate on secured loans was 8 per cent. The private discount rate remained high, although not nearly so high as in the preceding year, and varied between 8 and 16 per cent. Money is especially dear outside the large centers. This is due, not to money scarcity, for there is certainly a sufficient supply, but to high taxes, the high cost of living, high running expenses, and the uncertainty of business. In 1924 the national bank took measures to fix the private rate of interest by agreements among the commercial banks. This policy was successful; competition for savings deposits was reduced to a minimum, which allowed the banks to decrease their interest charges on loans. A general reduction in money rates can come about only from a uniform system of State and local taxation throughout the kingdom and from lowered costs of living. The corn yield.—The corn yield was better than the previous year, both as regards quantity and quality. The area sown was greater and the yield was higher. But in spite of this the year saw no greater income than in 1924. Prices for agricultural products were low because of large crops throughout the world. Exports of wheat, flour, prunes, hops, and tobacco increased consider ably, while exports of cattle and stock-raising products declined. Export business was fairly good, but import trade encountered many difficulties. Prices were high as a result of the high customs duties. Sales of commodities were reduced among the general public because the price of agricultural products was low on the world market while prices for manufactured goods were rising. Thus, there is a large surplus of goods on hand for 1926, and goods will not be ordered in as large quantities as formerly. 432 FEDERAL RESERVE BULLETIN The balance of payments.—Up to the present time our balance of payments has been and still is constantly unfavorable. Much work and lasting tranquillity will be necessary if this balance is to be made favorable. Our young industries are having many difficulties in maintaining themselves against foreign competition from the older European industries with their long experience, large capital, and skilled technical workers. At present the textile industry is the best protected and most successful industry in the country. The brewing industry is working profitably. The milling industry scarcely maintains itself. Sugar manufacturing has had a serious crisis resulting from the fall of sugar prices throughout the world. The small iron industry which exists is struggling against almost unsurmountable difficulties, as are also the paper industry and some others. Generally speaking the great needs of industry are credit and State protection. The money market and credit.—-The money market was characterized last year by the large amount of available money. This was shown at the national bank by the amount of its loans and current accounts. The same thing was true of the other large banks. Many of them made little use of discounts at the national bank and even had large amounts standing there to their current accounts. This abundance of money was created by the increase of savings deposits, by the liquidation of the loans of earlier years, and by the withdrawal of private money from various enterprises, either because some of these were liquidated or had failed, or because private loans were concluded abroad. In addition, large amounts were withdrawn from business in bills, which was no longer profitable for the banks after the stabilization of the dinar. Lastly, export trade needed less money because of the fall in the price of home products. Nevertheless the credit crisis described in the report for 1924 was not remedied by the money abundance of 1925. There was a constant lack of capital for long-term business. The banks, having succeeded in making their funds liquid, were reluctant to undertake new business, and preferred to save their money in JUNE, 1926 case bad days should come again. This reacted very unfavorably on economic progress and work in general. If new business were undertaken at all conditions were made very hard. Requirements for trade and industry are usually for longer than three months, but money for the longer period was almost impossible to obtain. The greater liquidity of the portfolio of the national bank made it possible to grant new credits. By June of last year the bank had already granted to exporters and those preparing to export, credits to the amount of 374,775,000 dinars. When granting seasonal credits the management sent a circular letter to all its branches explaining the aim of such grants, namely, to place at the disposal of the commercial world for the summer and autumn seasons, in addition to the regular credits, supplementary sums to be used exclusively for the work of selection, preparation, and export of home products. Our money market is still far from being able to supply the two great financial needs of mortgage and industrial credit. To satisfy these needs more active work should be undertaken at the Bourse with securities and bonds. This, however, is impossible for the present, since there is not sufficient capital; and for this purpose recourse will for a long time have to be made to other countries. * * * * * On December 31, 1925, the metal cover of the bank amounted to 460,000,000 dinars. This included gold, silver, foreign money, and deposits abroad. Notes in circulation on the same date amounted to 6,000,000,000 dinars, giving the unsatisfactory reserve percentage of 7.59 metallic coyer. This, however, is reckoning the reserve in gold values and the notes in paper values. Reducing the reserves to the corresponding paper values raises the gold holdings from 76,000,000 dinars to 825,000,000 dinars and the total reserve to 2,111,000,000 dinars. Computed thus the metal cover is over 34 per cent. Adding to this other foreign holdings in dollars, pounds, and Swiss francs, the percentage rises to over 40 per cent. This shows that the bank could, without foreign help, stabilize the dinar, effect its devaluation, and introduce a quasi-gold standard. JUNE, 1926 433 FEDERAL RESERVE BULLETIN INTERNATIONAL TRADE OF SELECTED COUNTRIES IN 1925 AND 1924 The international trade of the world in. 1925, as indicated by figures for 19 countries, was more than 12 per cent larger than in 1924. In the accompanying table figures for each year are given in dollars, which represent for each country the volume of its exports and imports as reported in terms of its domestic currency and reduced to dollar values on the basis of the average rate of exchange for the year. The total international trade of these countries, including both exports and imports, exceeded $46,500,000,000 in 1925, an increase of more than $5,000,000,000 over the preceding year. That the increase was widespread is shown by the fact that all countries on the list except two had a larger total foreign trade last year than the year before, and for more than half of these countries the increase exceeded 10 per cent. The increase was proportionally largest for Germany, where it amounted to about 38 per cent, but it equaled or exceeded 12 per cent in Canada, Denmark, Finland, Hungary, India, Italy, and Norway. The largest absolute amount of increase was also for Germany, where it amounted to nearly $1,500,000,000, with the increase for the United Kingdom exceeding $1,000,000,000 and that for the United States more than $900,000,000. Both the exports and the im- ports of almost all countries increased substantially but for the larger countries of the Western Hemisphere, including the United Kingdom, Germany, the United States, and Italy, the larger increase was on the import side. The increase in exports was greatest for Germany, where it exceeded $500,000,000, an increase of 34 per cent. Both England and the United States increased their total exports by the same amount, about $320,000,000, and by about the same percentage, although the total exports of the United States remained slightly larger than those of the United Kingdom. The larger increase in imports than in exorts for the United States and for leading luropean countries, taken as a group, reflects in part the large increase in exports of nonEuropean countries, especially Canada, India, and Japan. Increased exports from Canada and India partially account for the movement of gold to those two countries in the course of the year. Figures available for the early months of 1926, some of which are given on page 438 of this issue of the BULLETIN, indicate that the total foreign trade in these countries in the first quarter was smaller than during the corresponding quarter of 1925. S INTERNATIONAL TRADE OF SELECTED COUNTRIES [Amounts in millions of dollars] Increase (+) or decrease (—) Volume of foreign trade Country Belgium Canada... _ Czechoslovakia __ _ Denmark Finland _ _ __ France ' _ Germany.. Hungary _. _ _ India - « Irish Free State __ Italy...... _____ __, ___ Japan. Netherlands Norway Poland _ _ _. . __ Sweden . . Switzerland United Kingdom _ __. _ __ United States.... Total... _--- Total Imports Percentage increase (+) or decrease (—) Exports 1925 1924 1925 1924 1925 1924 1,539 2,173 1,080 858 279 4,262 5,233 292 2,296 459 1, 767 1,924 1,712 438 544 750 903 10,865 9,137 1,463 1,855 972 756 243 4,263 3, 781 258 1,991 513 1, 469 1,754 1, 538 364 529 712 833 9, 797 8,201 847 890 522 443 139 2,097 3,129 150 820 269 1,040 869 986 251 296 386 509 6,389 4,227 816 798 469 396 118 2,091 2,213 142 775 292 845 1,010 903 216 285 378 456 5,641 3,610 692 1,283 558 415 140 2,165 2,104 142 1,476 190 727 1,055 726 186 248 364 394 4,476 4,910 647 1,057 503 360 125 2,172 1,568 116 1,216 221 624 744 635 148 244 334 377 4,156 4,591 46, 511 41,292 Total Imports +76 +31 +92 +53 +47 +21 +318 +108 +102 +36 I +1,452 +34 +305 -54 +298 +170 +174 +74 +15 +38 +70 +1, 068 +936 +5,209 +6 +916 +8 +45 -23 +195 -141 +83 +35 +11 +8 +53 +748 +617 Exports Total Imports ports +45 +5.2 +226 +17.1 • +55 +11.1 +55 +13.5 +15 +14. 8 -.02 +536 +38. 4 +26 +13.2 +260 +15.3 - 3 1 -10.5 - 1 0 3 +18.3 +311 +9.7 +91 +13.3 +39 +20.3 +4 +2.8 +30 +5.3 +17 +8.4 +320 +10.9 +319 +H.4 +12.6 +3.8 +11.5 +11. 3 +11. 9 +17.8 +.03 +41.4 +5.6 +5.8 -7.9 +23.1 -13. 9 +9; 2 +16.2 +3.9 +2.1 +11.6 +13.3 +17.1 +7.0 +21.4 +10.9 +15.3 +12.0 -.03 +34.2 +22.4 +21.4 -14.0 +16.5 +41.8 +14.3 +26.4 +1.6 +9.0 +4.5 +7.7 +6.9 Ex- 434 FEDERAL RESERVE BULLETIN JUNE, 1926 FINANCIAL STATISTICS FOR PRINCIPAL FOREIGN COUNTRIES Bankfiguresare for the last report date of month, except for London clearing banks, which are daily averages] ENGLAND [Millions of pounds sterling] GERMANY [Millions of reichsmarks] 1926 April March Bank of England: Issue department— Gold coin and bullion ____ 145 Notes issued __ 165 Banking department— Gold and silver coin 1 Bank notes..__ 24 Government securities 39 Other securities 68 Public deposits 19 Other deposits _ __ Ratio of gold and note reserve to deposit liabilities (per cent).._ 21.8 Bank notes in circulation *_ _____ 85 Currency notes and certificates, 294 Nine London clearing banks: Money at call and short notice... 116 Discounts and advances 1,062 Investments. 245 Total deposits ____________ 1,590 Total clearings 3,308 Government floating debt: 710 Total Treasury bills Temporary advances Index of security prices (December, 1921=100) (per cent) ___ Index number of foreign exchange value of the pound sterling (per cent) 2 1925 ] 1926 April 145 165 143 163 154 174 1 22 37 87 35 94 1 22 38 79 16 106 2 25 37 76 17 105 18.5 87 295 18.9 85 284 22.1 94 290 110 1,064 247 1,588 3,491 110 1,073 255 1,606 3,140 112 1,039 278 1,606 3,295 550 160 704 565 139 729 582 147 728 563 165 116.2 116.0 117.6 116. 5 100.0 100.0 Reichsbank: Gold at home Gold abroad _ Reserves in foreign exchange Bills of exchange and checks _ Miscellaneous assets. __.___. Deposits.... Reichsmarks in circulation Rentenrnarks in circulation Reichsbank clearings 6 Berlin banks: 1 Cash Bills Due from other banks Miscellaneous loans ___ Deposits..—.—_— Index of security prices (Jan. 2,1925= 100) (per cent) Capital issues.—. 1 April March 1,231 260 391 1,214 873 607 3, 086 1,556 1,228 263 481 1,216 923 625 3,160 1,573 4,411 82. 22 55 81.40 28 1925 Febru- April ary 1,192 190 ,461 1,346 783 586 2,822 1,587 3,886 118 338 1,496 1,123 706 2,452 1,896 4,165 109 1,243 631 2,400 4,530 104 1,010 658 2,101 3,943 72.61 20 95.54 24 Bimonthly statements. ITALY [Millions of lire] 1926 1925 JanuMarch February ary March 1 Notes issued, less amounts held in banking department and in currency note account. Banks of issue: 2 New series. Gold reserve i , . FRANCE Total reserve Loans and discounts [Millions of francs] Note circulation for commerce... _ Note circulation for the State Bank of France: 1 Total deposits •_ 3,682 Gold reserve __. 3,684 3,684 3, 684 Leading private banks: 329 317 334 331 Silver reserve Cash_ War advances to the G overnmen t 35,150 35, 000 34, 500 23,250 Loans and discounts 52,208 51,492 50,991 43,050 Note circulation. Due from correspondents 2,105 Total deposits __ 2,827 2,834 3,013 Participations Three commercial banks: Total deposits Demand deposits 19,766 20,162 14,893 State note issue 10,340 14,202 Bills.. __ 4,402 Index of security prices (per cent) Other loans 5,853 Clearings, daily average of Paris . banks ._. Price of 3 per cent perpetual rente 1 1,784 1 1, 758 47.25 47.02 1, 574 49.00 1,116 45.00 N ot in clu din g gold held abroa d. CANADA [Millions of dollars] 1 Not including gold held abroad. 2 11,585 7,065 2,302 1,132 1,788 8,242 10, 621 7,073 2,637 1,104 9,014 4,674 618 13,693 2,100 204 9,090 4,472 568 13,393 2,100 194 993 9,155 4,388 568 13,263 2,100 205 1,035 9,225 4,303 422 13, 749 2,300 262 i Not including gold held abroad. JAPAN [Millions of yen] 61 1,123 396 564 164 2,166 . 121 197 1,242 2,132 1925 1925 April Janu- March March February ary 61 1,171 375 577 164 2, 231 95 183 1,348 2,309 1,134 1,998 10,205 11,131 7,066 2,278 1926 1926 Chartered banks: Gold coin and bullionl _ Current loans and discounts Money at call and short notice... Public and railway securities. Note circulation Individual deposits _: Gold reserve against Dominion notes. Dominion note2circulation . Bank clearings Bank debits2 1,134 2,016 1,134 1,996 10,093 11,229 7,066 2,334 62 1,123 377 563 161 2,168 127 214 1,331 2,368 Total for month. 52 1,140 316 569 158 2,147 120 207 1,195 2,005 Bank of Japan: Gold at home and abroad... Advances and discounts _. Advances on foreign bills : Total note and deposit liabilities. Notes issued _____ ' Total deposits Tokyo banks: Cash on hand . Total loans Total deposits Total clearings _____ March Febru- April ary 1,058 370 60 1,966 1,236 730 1,057 299 99 1,977 1,181 796 1,057 330 147 2,062 1,293 769 1,059 268 47 1,929 1,168 761 127 2,468 1,926 3,440 112 2,445 1,936 3,295 116 2,449 1,959 3,246 343 2,411 1,932 2,870 435 FEDEKAIi RESERVE BULLETIN JUNE, 1926 CONDITION OF CENTRAL BANES'IN OTHER COUNTRIES 1926 April Austrian National Bank (millions of schillings): Gold Total principal earning assets...Foreign bills ' Domestic bills Treasury bills Total note and deposit liabilities. Notes _____ . _ Deposits __ National Bank of Belgium (millions of francs): Gold — Foreign bills and balances abroad Domestic bills Loans to State Total notes and deposits.'._ __ Notes Deposits _ March February 1926 April 15 840 558 99 183 857 830 27 15 825 550 92 183 842 816 26 15 838 541 111 186 840 812 28 11 810 495 106 209 822 798 24 274 274 274 272 30 1,479 5,200 8,282 7,924 358 30 1,306 5,200 7,868 7,^495 373 30 984 5, 200 7, 577 7,415 162 30 1,374 5', 200 7,902 7,665 237 National Bank of Smlgana (millions of leva): Gold _—_ Total principal earning assets Foreign bills etc Domestic loans and discounts. Advances to State __ ___ Total notes and deposits Notes Deposits --__ -.Czechoslovak If aiional Bank (millions of Czechoslovak crowns): Gold and silver Balances abroad and foreign currency - Loans and advances Assets of Banking Oflice in liquidation Note circulation Deposits-------- 1925 42 7,208 429 1,229 5,550 6,342 3,466 2,876 42 7,157 441 1,216 5, 500 6,357 3,410 2,947 40 7,349 759 1,158 5,432 6,397 4,171 2,226 1,072 1,177 202 701 7,024 886 Bank of Danzig (millions of Danzig gulden): Balances with Bank of EnglandTotal principal earning assets Foreign bills, etc Loans and discounts___ Total note and deposit liabilities. Notes' Deposits .... 17 33 19 14 36 33 3 18 34 19 15 37 34 3 16 34 19 15 36 32 4 13 32 15 17 35 30 5 National Bank of Denmark (millions of kroner): Gold Total principal earning assets.... Foreign bills, etc Loans and discounts___ Advances to State _____ Total note and deposit liabilitiesNotes Deposits _ 209 , 221 46 162 13 437 411 26 209 205 60 130 15 447 411 36 209 203 78 110 15 441 399 42 209 319 44 239 36 495 465 30 332 332 332 1,182 65 551 262 1,968 1,386 582 1, 227 80 «509 262 1,994 1,350 644 1,132 Bank of Finland (millions of Finnish marks): 331 Gold --— ----Balances abroad and foreign 1,073 credits 59 Foreign bills 532 Domestic bills 262 State debts Total notes and demand liabilities. 1,830 1,362 Note circulation 468 D emand liabilities 98738—26 5 532 401 1,999 1,382 617 April National Bank of Greece (millions of drachmae): Gold and balances abroad _. Government loans and securities.. Discounts and loans__ _ . Total note and deposit liabilities Note circulation... Total deposits _ National Bank of Hungary (millions of pengos): Gold Foreign bills, etc Loans and discounts. . Advances to Treasury... Other assetsNote circulation Deposits.. Miscellaneous liabilities. 89 153 168 152 254 411 184 191 Bank ol Java (millions of florins): Gold Total principal earning assets __ . . Foreign bills. _. Loans and discbunts Total note and deposit liabilities.. Notes Deposits 200 73 21 52 380 334 46 1925 March February April 1,794 3,730 3,209 8,231 4,231 4,000 "2,050 3,730 3,216 8,362 4,257 4,105 2,550 3,810 3,062 8,817 5,241 3,576 85 154 139 154 263 380 189 196 76 173 149 154 275 394 207 199 52 167 119 158 291 362 198 199 202 71 20 51 382 328 54 203 83 20 63 402 338 64 134 79 18 61 323 276 47 . Bank of Latvia (millions of lats): Gold.. Foreign exchange reserve Bills. Loans Note circulation Government deposits . Other deposits 24 38 68 51 30 85 54 24 34 70 51 30 79 54 24 31 65 51 29 78 50 24 36 52 53 30 82 44 Bank of Lithuania (millions of litas): Gold ____ Total principal earning assets Foreign bills Loans and discounts Total notes and deposits Notes.. . Deposits 30 81 34 47 108 87 21 30 86 38 48 113 90 23 30 79 30 49 107 82 25 33 87 48 39 120 89 31 Netherlands Bank (millions of florins): Gold _____ _____ Total principal earning assets Foreign bills _ Loans and discounts Total note and deposit liabilities _ Notes Deposits 428 399 184 215 857 817 40 429 386 177 209 856 821 35 432 406 203 203 895 818 77 479 395 147 248 936 896 40 Bank of Norway (millions of kroner): Gold Total principal earning assets Foreign exchange Domestic credits Total note and deposit liabilities. Notes Deposits _-_-. ______ 147 370 87 283 474 343 131 147 383 87 296 487 350 137 147 376 90 286 478 330 148 147 407 57 350 490 380 110 3,906 701 2,871 6,452 1,032 4,010 728 2,515 6,375 823 4,047 759 2,565 6,473 752 4,025 979 1,725 5,916 810 Beserve Bank of Peru (millions of libras): Gold at home Gold abroad Bills Note circulation Deposits _ 36 FEDERAL RESERVE BULLETIN JUNE, 1926 CONDITION OF CENTRAL BANKS IN OTHER COUNTRIES—Continued 1925 1926 April Bank of Poland (millions of zlote): Gold Foreign exchange, etc Loans and discounts Note circulation _ „__ Current accounts— Private _. _. Treasury . Liabilities in foreign currency Bank of Portugal (millions of escudos): Gold Balances abroad Bills . . . . _ -Note circulation Deposits ___ National Bank of Rumania (millions of lei): Gold Bills Note circulation Deposits State Bank of Russia (note-issuing department; thousands of chervontsi): Gold Foreign currency Loans and discounts Banknotes National Bank of the Kingdom of Serbs, Croats, and Slovenes (millions of dinars): Gold Foreign bills . . . . _ - _ Loans and discounts Advances to State Totalnoteand deposit liabilities. Note circulation Deposits..-. March February 1926 April 134 51 354 393 134 49 369 389 134 60 367 377 117 216 333 567 87 79 88 62 62 64 62 10 11 9 391 151 1,842 70 9 368 138 1,799 70 9 246 164 1,671 81 568 8,162 17,043 20,777 8,086 568 8,249 17,013 20,343 8,086 568 8,199 17,013 19,989 8,784 563 7,355 16,724 19,089 . 7,765 14,657 4,998 55,112 73,463 14,751 5,043 54,980 72,409 15,335 4,981 54,114 75,892 17,994 4,689 36,319 60,439 79 334 1,376 2,966 6,281 5,767 514 78 347 1,323 2,966 6,299 5,683 616 77 353 1,330 2,966 6,228 5,718 510 72 352 1,264 2,966 6,263 5,671 592 April South African Reserve Bank (thousands of pounds sterling): Gold Total principal earning assets Foreign bills Domestic bills Total note and deposit liabilities. Notes — Deposits Bank of Spain (millions of pesetas): Gold — Balances abroad. .. Bills discounted Note circulation peposits Bank of Sweden (millions of kroner): Gold ....— — Total principal earning assets Foreign bills, etc .... Domestic credits __ Total note and deposit liabilities. Notes Deposits Swiss National Bank (millions of francs): Gold Total principal earning assets Total note and deposit liabilities . Notes „__ Deposits . 1925 April March February 9,391 7,751 8,116 5,355 6,515 7,413 4,142 5*, 412 5,587 1,213 1,103 1,825 13,145 13,703 14,315 7,344 7,526 8,194 5,801 6,177 6,121 11,901 5,124 4,77a 351 15, 726 10,699 5,027 2,537 31 784 4,336 1,041 2,537 30 703 4,331 1,118 2,537 29 779 4,373 1,295 2,536 31 862 4,364 1,119 229 471 174 297 642 498 144 230 492 180 312 668 527 141 230 476 23S 569 124 445 748 493 255 418 399 877 797 80 418 398 878 808 70 427 385 652 489 163 775 94 480 369 906 830 76 DISCOUNT RATES OF 31 CENTRAL BANKS [Prevailing rates, with date of last change] Country Austria Belgium. Bulgaria. Czechoslovakia Danzig. Denmark England — Bate 10 6 b In effect since— Mar. 31,1926 Apr. 23,1926 Aug. 31,1924 Jan. May Sept. Dec. 13,1926 11,1926 8,1925 3,1925 Country Esthonia Finland France Germany Greece Hungary. India Italy Bate 10 7H 6 6H 10 7 5 7 In effect since— July Oct. July June Aug. Oct. May June 1,1925 29,1925 9,1925 7,1926 18,1925 21,1925 20,1926 18,1925 Country Japan... Java Latvia-..L_. Lithuania... Netherlands Norway Peru Poland...... Bate In effect since— 7.3 Apr. 15,1925 6 May 3,1925 8 Feb. 16,1924 Feb. 1,1925 Oct. 2,1925 Apr. 20,1926 Apr. 1,1923 6 Aug. 12,1925 12 k Country Rate Portugal.— Rumania Russia-..— South Africa Spain. Sweden..... Switzerland. Yugoslavia.. 9 6 8 6 In effect since— Sept. Sept. Apr. Nov. Mar. Oct. Oct. June 12,192$ 4,1920 —,1924 21,1924 23,192a 9,1925 22,1925 23,1922 Change: Bank of Danzig from 8 to 7 per cent on May 11,1926; Bank of India from 6 to 5 per cent on May 20,1926; German Reichsbank f rom 7 to 6H per cent on June 7,1926. 437 FEDERAL RESERVE BXTM.EIIK JUNE, 1926 FOREIGN TRADE OF PRINCIPAL COUNTRIES UNITED STATES FOREIGN COUNTRIES—Continued [Thousands of dollars] [Thousands of dollars] 1926 April March 1926 By classes of commodities: Total 397,964 443,098 4,461,541 3,748,383 198,351 1,921,309 1,379,623 521,580 410,043 784,587 824,870 453,574 466,102 682,706 766,378 117,119 1,260,191 153,660 14,456 184,238 18,383 97,905 8,957 414,318 37,126 984,188 97,536 1,153,972 152,117 144,346 87,067 384,294 958,414 399,572 503,376 Crude materials * _ 164,800 Foodstuffs, crude, and food 47,122 animals 39,249 Manufactured foodstuffs 70,610 Semimanufactures 76,182 Finished manufactures By countries: Total Europe _.. 104,808 France _. 11,648 17,101 Germany L. 7,639 Italy ________ United Kingdom — . 33,271 90,929 Total North America.. 38,434 Canada... 51,247 Total South America. _ 8,027 Argentina _ Total Asia and Oceania 139,864 Japan. Total Africa.. 11,115 51,102 40,153 74,697 78,795 40, 382 472,130 63,613 548,388 81,283 12,677 153,235 1, 567,800 1,051,589 344,604 22,901 406,482 81,032 11,595 EXPORTS By classes of commodities: Total 387,871 374,420 4,753,168 Crude materials * 80,506 Foodstuffs, crude, and food animals _ 14,595 38,170 Manufactured foodstuffs Semimanufactures .* _ _ _ 57,910 188,017 Finished manufactures 8,673 Keexports By countries: 175,732 Total Europe 21,924 France.... 21,345 Germany.. 14,811 Italy...— 70,614 United Kingdom 99,272 Total North America 56,746 Canada 37,181 Total South America™ Argentina -._. 10,878 66,460 Total Asia and Oceania 21,000 Japan 9,226 Total Africa _ 4,812,365 83,031 1,288,767 1,422,518 453,288 15,596 258,798 564,728 40,526 546,407 636,698 53,520 642,897 172,267 1,917,853 1,647,961 98,639 87,172 9,480 164,373 2,364,223 2,644,108 24,000 278,124 296,552 21,116 459,195 12,260 217,101 168,373 67,941 972,828 1,058,974 100,567 1,160,152 1,112,337 684,765 62,446 617,184 421,595 35,413 344,153 150,054 11,878 129,493 714,010 65,826 236,688 22,323 226,175 93,464 8,242 74,438 FOREIGN COUNTRIES April 1925 IMPORTS Canada (thousand dollars): Imports _ Exports Japan (million yen): Imports _. Exports ________ March _ .— — £ ster—_. 1925 795,835 1,092,553: 2,454 2,384 2,480 1919 287 188 235 161 12 months ended March— March February Belgium (million francs): Imports __... Exports Denmark (million kroner): Imports...__.__—_ Exports.... Czechoslovakia (million crowns): Imports..__ Exports Esthonia (million Esthonian marks): Imports.. Exports... _. , Finland (million finmarks): Imports.... Exports Hungary (thousand gold crowns): Imports Exports Italy (million lire): Imports Exports Netherlands (million guilders): Imports Exports Norway (million kroner): Imports Exports ...._ Poland (million zloty): Imports _. Exports ---_.. Russia (thousand rubles): Imports Exports _ Sweden (million kroner): Imports . ,— Exports Switzerland (million francs): Imports ._ ... Exports Australia (thousand £ sterling): Imports _.. ... Exports..—..... .... E g y p t (thousand E g y p t i a n pounds): Imports...—.... _— 1926 67,801 100; 855 936,020 60,915 113,966 1,328,743 1926 France (million francs): 50,923 Imports.... — 5,020 5,095 40,920 Exports — 4,353 4,960 48,562 Germany (million gold marls): Exports..—. 687 11,353 11,168 India (million rupees): 729 Imports... _ __ 7,460 927 9,423 Exports ———... 782 Imports.-..—... United Kingdom (thousand £ Exports.,;—— sterling): South Africa (thousand Imports—..——^..-. 102,492 106,864 1,284,447 1,352,010 ling): 814,348 Exports. ..— -..— 52,749 66,400 745,868 Imports .— 141,307 R e e x p o r t s . — — — . — 11,264 12,086 150,374 Exports—.— 1 Includes miscellaneous. 12 months ended April— 1926 12 months ended April— 1926 1925 1,902 1,477 1,356 1,103 18,248 14,571 17,523 14,129 143 143 134 124 1,917 1,809 2,439 2,212 1,531 1,411 1,281 1,475 17,336 18,134 16,870 18,369 9,432 9,618 8,665 8,571 683 229 273 181 5,450 5,485 4,800 5,180 70,568 49,110 62,702 50,293 746,400 725,700 759,300 594,100 2,417 1,457 2,249 1,356 26,229 18,200 21,697 15,244 212 143 197 130 2,459 1,780 2,425 1,709 107 84 85 72 1,320 980 1,584 1,140 111 133 131 1,404 1,489 1,677 1,274 56,992 57,404 53,600 43,180 776,447 583,127 129 90 78 1,449 1,366 1,463 1,298 209 160 200 144 2,601 1,963 2,560 2,034 14,465 13,844 11,404 15,957 155,695 150,115 151,315 146,272: 4,530 4,199 4,162 4,897 57,774 51,683 52,814 08,158. 223 379 180 351 2,261 3,854 6,643 5,014 6,363 5,167 70,307 81,187 67,539 73,326 438 FEDERAL RESERVE BULLETIN JUNE, 1926 INDUSTRIAL STATISTICS FOR ENGLAND, FRANCE, GERMANY, AND CANADA ENGLAND PRODUCTION Raw iotton, visible FinPig Crude ished supply 2 iron steel steel Goal Thousand long tons MilThous. lion long tons sq.yd 936 13,102 1,253 67,735 1,724 1,942 1,675 1,260 1926 First quarter.. 68,430 1,604 2,128 575 608 570 575 510 493 445 449 474 494 503 605 652 685 598 652 585 590 477 640 652 654 607 567 527 581 498 566 497 532 440 556 564 553 552 1,261 1,324 1,260 1,201 1,069 940 784 534 502 569 539 640 704 784 661 555 583 25,392 21, 387 • 20, 956 18,328 24,595 -I1 16,171 18,908 20,174 17,207 23,679 19,718 20,157 1926 January. __.__. February March April .... 25,474 21,602 2.1,353 19,600 2 i Five weeks. 542 Iron Cotand ton Raw Raw steel cot- wool man- Coal manufacton ufactures tures Thous. 1925 First quarter__ 1925 January... February March ApriL_—____ May June July--. August _September.— October...— November _ __ December.... UNEMPLOYMENT TRANSPORTATION Million pounds 871 1,091 1,243 4,366 4,344 4,392 4,360 4,652 3,734 4,442 3,272 3,902 4,382 4,632 406 426 421 337 375 342 375 348 364 371 329 386 1,181 1,186 1,114 1,089 337 339 407 313 4,148' 4,-340 4,703 4,291 360 370 407 285 End-of-month and end-of-quarter figures. Among Among tradeunion- insured ists ^ trades Million Thous. Thous Thous. ster- ton pounds tons £ ling miles Per cent 235 30, 541 15,215 26, 620 1,114 1,083 13,191 1,13: 325 299 312 297 322 276 307 288 273 369 322 341 British railways Raw 3leared wet with Freight- Freighthides cargo train re- train ceipts traffic 4,700 Caapital Thous. £ sterling 9.1 11. 2 108,301 10.4 10.5 78,108 482 290 33,603 15,222 297 202 166 146 96 69 63 66 80 181 237 287 8,472 8,625 13,444 10,285 13,422 13,522 11,691 10,476 11,281 8, 935 11, 884 10,755 5,360 4,765 5,090 4,983 5,415 5,065 5,645 4,809 5,234 5,727 5,113 5,082 8,925 8,4Q8 9,287 8,338 8,600 8,000 9,284 7,588 8,714 9,217 8,805 8,625 1,621 1,530 1,549 1,474 1,512 1,370 1,665 1,339 1,489 1,610 1,524 1,570 9.0 9.4 9.0 9.4 10.1 12.3 11.2 11.4 11.4 11.3 11.0 11.0 11.2 11.3 11.1 10.9 10.9 11.9 11. 12.1 12.0 11.4 11.0 10.5 194 149 139 125 12,412 11,417 9,774 12,281 5,143 4,796 5,283 5,224 8,724 1, 601 10.6 10.4 10.1 11.1 29,236 10.5 26,617 9.8 22, 255 107 103 81 108 3 Figures include Irish Free State. 4 49,192 35, 731 23,378 21, 266 49, 758 27, 897 18,576 2,650 33, 664 26,362 31,874 24,240 Figures for quarters are average. FRANCE EXPORTS PRODUCTION Coal i 1925 First auarter ! 1926 TTirQf m i a r t p r ! November 1926 January February Unem- Demands ployed for emreceiving Ships Freight- Receipts munici- ployment not of princi- pal aid in cleared car filled^ with load- pal rail- Paris 3 ways ings cargo Thous. Thous. Average Thous. daily metric tons number francs tons metric tons 15,711 : 1,995 1,784 213 7,865 11,442 109,778 16,387 2,242 2,017 218 7,942 11,720 107,55] 5,392 4,936 5, 383 5,020 4,916 4,907 : 4 509 4, 894 5,189 5,503 5,168 5,207 669 608 569 607 587 596 600 625 617 632 668 647 659 208 220 213 218 191 148 106 73 73 93 144 194 2,277 2,895 2,693 2,223 2,429 2,578 2,442 2,293 2,667 2,453 2,537 2,648 3,519 3,979 3,944 3,669 3,819 3,730 3 709 3,809 4,651 4,643 3,985 4,006 43, 699 32,518 33, 561 31,164 22, 227 18, 297 16,827 12, 254 18, 477 23, 774 31,871 64,488 376 460 312 451 447 399 400 473 538 685 834 797 1,470 1,567 1,619 1,219 1, 469 1,380 1,366 1,481 1,636 2,041 1,596 1, 453 2,595 2,442 2, 756 3, 019 3,404 3,266 3, 620 3, 224 3, 388 3, 413 2,902 2,805 61, 361 63, 352 62,990 58,944 58,946 59,683 58,037 60,143 64,107 66, 542 65,957 63, 437 689, 555 727,161 712,880 4 920,965 696,115 729 848 4 938, 393 788,189 4 1,038,267 807, 393 755,764 4 997, 533 5,364 5,190 5,833 763 707 772 661 630 726 683 229 226 218 210 2,271 2,752 2,919 2,593 3,629 4,145 3,946 4,183 43,424 49,673 13,954 30, 514 545 193 1,432 1,605 2,823 2,429 3,064 3,225 60,808 66,179 67, 329 63,831 774,896 845, 890 4 854, 374 1,081,574 -- . . _• •- December Thousand Raw Raw Coal cotton silk confor con- for con- for sump- sump- sumption tion tion Thousand metric tons Thous. bales 1925 February _ March April —-__. May June - -July August September October Pig iron TRANSPORTATION IMPORTS Cotton stock at Crude Havre2 Total Total volume volume steel __ April 637 689 686 706 703 724 713 717 739 740 748 768 1 Coal and lignite, including Lorraine and the Saar. 2 Bale of 50 kilos. End-of-month and end-of-quarter figures. Metric tons 1,148 4,656 2,129,596 417 9,692 8, 316 64,772 2,475,160 157 6,633 409 466 417 370 243 171 111 97 75 78 103 191 8, 563 9,521 9, 692 . 8,344 6,899 6 932 7,178 6,101 6, 338 7,070 7,264 5,206 252 250 157 117 8, 547 7,398 6,633 6,080 7,793 62,568 3 End-of-month and end-of-quarter figures. Five weeks. 4 Number 439 FEDERAL RESERVE BULLETIN JUNE, 1926 GERMANY SHIPPING PKODTJCTION MaIron chinery Dyes and and and Pig Crude iron elec- dyesteel manutrical stuffs factures sup- LigGoal nite Coal 910 873 991 896 961 941 886 766 735 742 760 717 11,19012.,222 10, 61111 61111,115 11,42411 10', 08510,067 631 717 January February March April..-.,.— Arrivals of vessels in Hamburg Coal Unem- Busiployed ness Among persons failtrade receiv- ures unioning ists 2 state aid* Thous. net reg. tons 103,723 30,110 3,128,900 43,477 2,076111,653 873,952 1926 First quarter J33,225 35,172 2,037 2,5571,234,089 1925 January 11,92912,375 February [10,535 11,153 11,41212,081 March. 10,36210,719 April... 10,437 10,437 May 9,89110,388 June 11,24011 """ July.... August -. 11,06111,463 September— 11,35511,,949 !,759 11,95012,759 October November. _. 11,189 11,940 11,36712,712 December Iron ore Metric tons Thousand metric tons 1925 First quarter 33,876 35,609 2,774 3,546 Half Raw manCotufacwool tured ton silk UNEMPLOYMENT Per cent Number 945,208 2,494,386 4,105 7.1 465,761 2,295 142,920 38,062 3, 563,332 36,881 1,114 80,3771,956,9431,231,546 3,813 22.01,942,048 5,961 304,492 241,445 328,015 248,574 277,901 238,818 264,433 291,848 308,040 358,831 321,694 374,706 35,301 9,719 1,376,02115,1,015 32,623 9,421 727, 09110,687 35; 799 10,970 1.., 025, 78817,775 ,73811,122 921,70412', 106 , .533 12,1271., 257, 527 10,478 38,31011,3821;.,216,095 8,195 38', 225 13', 439 1,350,706 11,327 37,852 11,309 1,319,332 8,462 48,898 10,880 1,243,768 5, 560 50,230 14,289 1,163,36612,466 39,21212,6661,029, 540 6,121 37,854 11,358 1,014,91116,361 697 645 734 704 652 1,386 1,272 1,447 1,394 1,590 1,396 1,442 1,436 1,272 1,419 1,305 1,277 8.1 593,024 796 7,3 540,460 723 5.8 465,761 776 4.3 319,656 T687 3.6 233,463 807 3.5 195,099 766 3.7 197,248 797 4.3 230,727 751 4. 266,078 914 5.8 363,961 1,164 10.7 673,315 1,343 19.41.., 498,6811,660 791 391,172 816 376,553 950 466,364 44,187 11,798 1,005,44016,« 1,967 45,496 12,030 1,379,351 " 53; 237 14; 234 i; 178; 5411%, 377 362 34,099 582, 730 379,644 1,291 421 24,754 735,479 423,726 1,226 331 21,524 638,734 428,176 1,296 1,350 22. 6 2,030,64.6 2,092 22. 0 2,055,928 1,998 21.41,942,048 1,871 1,781,509 1,302 1,181 1,155 1,209 1,064 1,115 1,109 1,031 899 880 928 876 764 723 838 833 448 431 47,047 940,637 31,997 926,532 32,609 1,,078,039 •36,378 I!,278,172 26,004 942,720 19,185 1,, 244,230 19,678 I!,262,951 18,3771, 860,420 17,598 814,823 36, 695 817,994 49,416 655,907 40,629 665,082 2 1 End-of-month and end-of-quarter figures. 881,067 727? 671 885,648 769,728 816,793 669,648 380,686 230,130 558, 688 556,203 626,777 505,326 Figures for quarters are averages. CANADA Receipt at Receipts stockjrards in Toronto and of wheat Winnipeg at Fort William Planks Preand Cattle Hogs and served Wood Coal Pig Crude pulp Wheat Coal iron steel Port boards Arthur PRODUCTION Thous. bushels Thousand tons 1925 First q u a r t e r . . 1926 First quarter._ 1925 January February __. March „__. April. May June _. July ______ August September October _. November December 1926 January.. February.. March April _ 1,492 1,150 788 557 670 738 748 998 1,197 1,572 1,664 1,561 Million feet Thousand pounds Thous, Thous. Thous. Thousand Jan.17, Per NumJ bush920= dollars lbs. cent ber tons els 100 l: 172 18, 798 128, 538 272,110 423, 975 37,074 447,519 14,672 160 180 17,715 146,347 190,846 28 30 64 1,226 1,068 1 Figures for quarters are a verages. Number 27 37 108 88 100 63 22 25 37 109 73 62 4,145 6,172 8,481 8,082 7,060 4,114 6,662 1,178 45, 688 53,226 51.535 53,453 UnemployRail- Index m e n t Busiof among road emrefailploy- tradeMa- ceipts ment ures 1 Raw chin1 union memcotton ery bers 1 46,126 110,379136,242 15,241129,,554 34,377 81,853 120,645 9,898 143,,593 48,035 79,878167,088 11,935 174,,372 41,168 72,327 112,869 4,946 94,611 42,213 63,504 182, 893 337 143,550 45,095 72,536 212,054 7,946 162,526 51,026 57,122 220, 747 9,803148,625 64,885 :,022 13,179 148,742 73,233 38,041 237, 917 18,837 192,829 83,129 48,917 210,774 20,123 198,421 88,560 61,240 194,564 18,900195, ~~" 5,675 58,575 68,898165,097 17,293 186, 6,837 6,103 4,146 4,423 4,953 14,883 9,784 13,097 15,336 15,876 41,— 34,840 57,008 3,832 37,977 6,847 86,947 85.7 96,215 90.6 1,263 14,658 1,910 28,260 1,297 10,338 1,910 27,851 1,272 12,981 3,027 30,836 816 8,059 2,248 29,763 1,299 8,849 2,431 30,197 1,297 6,313 2,692 30,971 1,519 4,159 2,745 35,004 4,343 2,882 35,685 1^595 5,746 2,703 40,922 1, ' " 10,582 2,782 46,615 1,308 15,649 2,375 43,771 1,377 19,371 2,453 35,838 83.9 86.1 87.0 87.2 90.8 94.5 96.8 96.3 96.6 98.3 97.1 10.2 9.5 8.5 8.7 7.0 .6.1 5.2 4.4 5.7 5.1 5.7 7.9 64 59 46 38 43 44 38 30 41 45 45 54 89.6 90.7 91. 91.4 8.1 8.1 57 45 40 37 69 10.536 53,831 71,833 126, 12,375166,689 13,199 1,209 19,209 2,462 53 3,968 40,981 57,898 158,876 9,999 156,477 14,002 1,120 14,990 2,571 59 3,211 51,535 61,115 80 1,807 44,136 51,486 31,136 29,889 35,190 32,851 9.4 57 48 440 FEDERAL RESERVE BTJLiLETIJSr JUNE, 1926 PRICE MOVEMENTS IN PRINCIPAL COUNTRIES WHOLESALE PRICES ALL C O M M O D I T I E S I Pre-war-100] Europe fear and month Austria (gold basis) 1925 January February March April..... May June _ July August ___. September October November December „ 1926 January February March April May ,__ Belgium Bulgaria England Czecho- Denslo- l mark i (Board of vakia Trade) 1,045 1,048 1,034 1,020 1,006 577 575 569 565 3f275 3,309 3,272 3,244 3,177 3,225 3,041 2,870 2,834 2,823 2,822 2,913 996 989 977 977 168 163 158 160 560 556 583 621 2,901 2,899 2,844 2,774 966 950 938 923 157 151 145 141 141 147 146 143 139 138 141 137 131 559 551 546 538 537 552 559 567 127 127 125 125 122 120 119 119 118 A 998 1,009 993 1925 January March April May June July Aunust September October _ November 1926 January February March April May ... 156 155 154 153 1,137 1,141 1,131 1,133 1,122 1,129 1,118 1,142 1,133 1,121 1,118 1,120 151 149 144 144 1,094 1,091 1,081 1,081 171 169 166 162 159 158 158 157 United States Switzer(Bureau Russia i Spain Sweden land * of Labor Canada Statistics) 172 191 178 183 195 197 191 188 175 192 193 190 191 187 188 184 169 169 168 163 162 161 161 159 456 171 160 171 170 166 163 162 161 160 161 161 156 155 157 160 160 173 174 185 187 157 154 159 159 175 179 186 187 155 156 157 157 183 190 194 196 186 183 183 179 153 152 149 150 156 155 151 148 166 165 162 157 159 159 158 160 Peru 199 194 206 206 200 200 198 200 Nether- Norway Poland lands (Oslo) 457 463 460 467 483 490 491 138 137 134 131 132 134 136 132 159 152 145 144 141 141 136 134 658 660 659 658 660 683 707 731 160 158 155 151 151 153 155 155 556 672 606 633 482 482 498 518 126 124 121 122 135 181 129 130 721 716 712 715 634 ,636 632 650 527 540 545 565 120 118 118 123 127 125 707 704 693 692 514 515/ 123 258 254 246 120 121 122 119 118 119 120 124 155 154 154 155 231 221 217 218 127 128 137 155 153 149 145 143 214 211 204 198 196 142 1 Australia 163 163 160 158 159 163 162 162 205 205 162 163 158 156 161 164 204 203 165 170 156 155 152 151 164 162 160 161 206 205 204 204 208 161 160 163 167 279 281 276 267 260 Japan New Egypt South (Tokyo) Zealand (Cairo) Africa China Dutch (Shang- East Indies hai) India (Calcutta) 178 179 175 174 173 175 176 171 172 168 169 164 157 160 157 213 210 204 202 199 200 198 200 178 175 175 175 175 174 175 175 175 176 152 153 160 159 160 159 158 157 163 160 160 159 158 158 164 163 164 163 160 • 177 ' 157 161 155 154 151 150 T51 151 175 175 158 160 174 173 164 163 198 194 176 176 145 140 172 170 163 158 155 192 188 184 181 175 175 174 134 134 134 133 153 146 144 167 Africa Asia and Oceania 157 157 160 158 Italy 514 513 520 543 557 557 North and South America Europe—Continued Year and month 234 234 230 220 216 216 206 189 GerHunmany gary (Federal (gold StatisStatis- Federal Rebasis) tical tical serve Bureau) Bureau Board France Finland 201 200 130 130 127 124 124 i First of month figures. The foreign index numbers of wholesale prices are cabled to the Federal Reserve Board by the various foreign statistical offices. Index numbers of commodity groups for most of the countries are also available in t h e office of the Division of Research and Statistics of the Board, a n d m a y b e had upon request. Wherever possible the indexes have been shifted from original bases to a 1913 base. Further information as to base periods, sources, n u m b e r of commodities, and period of the month to which the figures refer m a y be found on page 48 of the January, 1924, issue of the BULLETIN. 441 FEDERAL RESERVE BULLETIN JUNE, 1926 GROUPS OF COMMODITIES (Pre-war—100) U N I T E D S T A T E S - B U R E A U OF LABOR STATISTICS Year and month All com- Farm modities products Foods ChemiMetals Fuel Clothing Building cals and and materials lighting metal materials and products drugs House furnishings Miscellaneous NonAgriagricultural cultural 1925—April.... 156 153 154 190 169 €29 174 134 171 129 156 155 November December 1926—January February March April_.._. 158 156 156 155 152 151 154 152 152 150 144 145 160 157 156 153 151 153 188 187 186 184 181 177 175 175 177 179 175 174 130 130 129 128 128 127 176 177 178 177 176 173 135 135 133 132 132 130 166 166 165 164 164 163 142 138 135 133 128 127 156 154 154 152 148 149 159 158 158 157 155 153 ENGLAND—BOARD OF T R A D E Food Year and month All commodities Total Cereals Not food Meat and fish Other foods Total Iron and steel Other minerals and metals Cotton Other textiles Other articles 1925—April...... 162 167 161 158 182 159 131 133 227 193 156 November, December. 1926—January February. March April 154 153 151 149 144 144 165 167 162 159 151 152 152 158 1S4 148 144 148 167 173 165 156 151 149 175 169 167 170 156 157 148 146 146 144 141 139 119 118 119 118 118 117 130 131 131 131 130 130 182 175 175 174 165 162 181 178 176 172 168 162 158 156 153 149 147 144 FRANCE—STATISTICAL B U R E A U Foods All commodities Year ami month 1925—April November. .*_.. December... 1926—January., February. March „ April _____.* . s. «,.._« ;-,_„. Total Industrial materials Animal foods Vegetable foods Sugar, coffee, cocoa Total 513 458 446 474 437 557 633 634 636 632 650 510 538 543 546 548 574 496 535 532 536 537 535 522 537 544 541 546 589 502 529 548 567 565' 682 709 707 708 700 712 Minerals Textiles Sundries 457 627 646 645 776 513 941 925 914 929 611 647 645 643 631 646 G E R M A N Y — F E D E R A L STATISTICAL BUREAU Food products Year and month All commodities Total Grains and potatoes Fats, sugar, meat, and fish Industrial products Colonial goods, cocoa, etc. Total Hides and leathers Textiles Metals and minerals Coal and iron 1925—April....... 131 127 121 130 180 138 131 202 129 123 November.. December.. 1926—January.... FebruarysMarch April ,. 121 122 120 118 118 123 115 116 115 112 113 122 99 103 101 142 137 134 134 134 132 181 183 185 183 180 180 133 131 130 130 128 125 120 116 113 110 107 107 188 182 176 172 165 158 130 128 128 127 126 124 120 120 120 120 120 112 117 442 FEDERAL RESERVE BULLETIN JUNE, 1926 RETAIL FOOD PRICES AND COST OF LIVING RETAIL FOOD PRICES [Pre-war=10Q] European countries United States Austria BuiBel(51 cities) (Vienna) i gium* garia 1925 Jan.... Feb... Mar— Apr... May... June July... Aug... Sept... Nov... Dec... 1926 Jan.... Feb... Mar... Apr... May 161 158 157 159 119 117 114 114 113 Eng- France Ger- Greece Italy land 8 (Paris) many (Ath- (Miens) lan) Netherlands Norway Russia* Switzer* land* Canada* Australia India New South (Bom* Zea- Africa bay) l a n d 3,131 3,163 3,128 3,100 3,032 3,083 2,906 2,744 2t 710 2,698 2,698 148 2,785 178 176 176 170 167 166 167 168 170 172 172 174 408 410 415 409 418 422 421 423 431 433 444 463 137 1,506 145 1,510 146 1,562 144 1,478 141 1,443 146 1,516 154 1,515. 154 1,511 153 1,544 151 1,5S7 147 1,676 146 1,718 590 610 624 620 599 599 602 621 643 646 649 660 156 157 157 155 154 152 152 152 152 149 149 148 277 283 284 276 265 261 260 254 241 228 223 221 205 208 211 217 221 219 218 210 208 215 217 224 172 172 171 189 168 169 169 B9 170 168 168 167 145 147 145 142 141 141 HI 14§ 146 147 151 156 148 149 151 152 154 155 156 156 156 157 156 155 1S2 152 155 153 151 149 152 147 146 148 149 151 147 148 140 140 150 149 151 152 153 155 156 154 120 120 121 124 1231 122 121 11® IIS 119 117 116 141 141 137 171 168 165 159 158 480 495 497 503 143 142 141 142 142 681 676 654 645 148 148 147 146 216 212 205 198 195 226 230 234 241 165 163 161 161 157 155 154 153 155 154 159 163 151 150 151 150 150 154 153 152 116 117 118 1W 140 137 134 127 122 127 130 135 140 144 151 148 148 148 149 152 157 15? 156 158 164 162 Other countries 2,773 2,771 2,719 2,652 COST O F LIVING [Pre-war=1003 European countries Massachu- Bel- Czech- Eng- Esoslothosetts gium vakia land 3 nia 1925 Jan... Feb... Mar.. May.. June.. July.. Aug Sept.. Oct... Nov.. Dec... 1926 Jan... Feb... Mar... Apr... May.. 158 157 158 158 158 159 160 161 161 162 162 165 521 517 511 506 502 505 509 517 525 533 534 534 164 163 161 161 527 526 521 529 558 911 904 901 894 914 916 894 884 875 863 854 845 832 Other countries Neth- Nor- PoSwit- Can- Aus- India Fin- France Ger- Greece Hun- Italy zer- ada * tra- (Bom- South (Mi- er- way land Spain Sweden land* land (Paris) many (Athens) gary lan) lands lia bay) Africa 180 179 179 175 173 172 173 173 174 176 176 177 1,199 1,191 1,210 1,201 1,176 1,191 1,218 1,266 1,242 1,228 1,227 1,197 175 173 172 168 167 1,166 1,175 1,172 1,163 386 390 161" "421' 451 124 1,417 136 1,420 136 1,449 137 1,419 136 1,408 138 1,448 143 1,472 145 1,484 145 1,503 144 1,547 141 1,610 141 1,644 141 135 132 130 131 130 126 127 126 124 123 123 140 1,673 139 1,664 138 1,706 140 140 122 121 119 580 592 602 600 591 596 598 610 624 643 643 649 179 177 "234" 661 647 642 174 225 179 179 271 248 145 146 147 146 143 144 146 149 149 152 157 173 188 189 192 191 188 190 190 190 190 189 186 183 170 171 169 176 188 183 185 187 178 "l77" ~176~ "175* 174 "l7§" 173 172 172 170 170 170 170 170 170 168 16* 168 149 150 148 147 146 146 146 148 14S 149 152 154 167' 165 163 162 155 154 154 153 150 153 154 155 157 157 159 158 156 154 157 152 151 153 153 155 13S 133 133 134 134 134 133 132 132 132 131 131 155 154 155 153 153 131 131 131 131 » First of the month figures. * New index, on gold basis, July, 1914-100. * Revised index. a 1921-=-100. NOTE.—Information as to the number of foods and items included, the original base periods, and sources may be found on page 276 of the April, 1925, issue of the BULLETIN. The original bases of the indexes have been shifted to July, 1914, wherever possible. 443 FEDERAL RESERVE BULLETIN JUNE, 1926 BANKING AND FINANCIAL STATISTICS FEDERAL RESERVE BANKS AVERAGE DAILY CONDITION FOR APRIL AND MARCH, 1926 [Amounts in thousands of dollars] Total bills and securities Federal reserve bank Boston_____ •_.__ New York _ __ Philadelphia ._._—Cleveland Richmond ___ Atlanta Chicago-.. ... St. Louis _ Minneapolis. _ _ Kansas City._.._. ___ Dallas. San Francisco . Total: 1926 _. 1925.. 1924 1923. 1922 ._ 1921__..____ 1920 :.._ 1 Total cash reserves April March 79,266 240,931 92,134 112,971 63,720 72,969 158, 377 60,745 41,424 67,313 50,291 118,750 1,158,891 1,060,066 940,493 1,164,606 1,190,004 2,527,253 3,191,945 85,343 274,928 99,405 108,604 59, 645 72,818 151,354 63,668 31,P79 63,669 49,148 116,778 1,176,439 1,078,855 951, 774 1,178,919 1,191,013 2, 735, 784 3,211,936 March April 233,655 1,011,136 214,783 291,138 87,179 195,375 357,943 66,353 81,363 85,469 56,804 251,596 2,932,794 2,978, 628 3,201, 763 3,176,630 3,114,928 2,485,079 2,084,077 Federal reserve notes in circulation Total deposits April 234,001 993,348 207,561 298,609 95,386 175,353 361,923 63,763 96,370 92,106 61,773 253, 692 2,933,885 3,000,252 3,222,877 3,190, 625 3,095,762 2, 403,470 2,058, 293 148,224 851,678 137,832 180,681 69,314 80, 744 325,392 83,538 54,663 88,278 61,580 169,922 2,251,846 2,181,000 2,004,391 1,944,805 1,822, 788 1,749,568 1,998,732 March March April 148,287 862,833 134, 749 181, 208 70,073 84,476 330,484 84, 561 57, 580 89, 574 63,315 169,584 2,276,724 2,193,473 1,991,066 1,960, 540 1,794,895 1,808, 529 2,032, 787 Reserve percentages April 155,444 373,257 148,126 203,094 77,995 161,578 164,160 37,038 64, 395 64,374 38,006 185,949 1,673,416 1,731,223 2,013, 515 2,253,189 2,195,131 2,979,486 3,040,440 147,926 369,267 145,268 200, 651 74,939 182,485 168,754 37,066 63,846 62,964 36,598 185,431 1,675,195 1, 708,529 1,971,184 2,236,378 2,190,447 2,870,645 3,071,754 March 78.9 82.8 75. 9 76.3 60.4 74.2 72.4 55.0 68.7 56.5 57.9 70.8 74.7 76.6 80.5 76.0 77.6 53.8 143.0 77.0 80.4 73.4 77.7 64.4 71.3 73.2 52.4 79.0 59.8 61.0 71.4 74.3 76.4 80.5 75.7 77.6 50.2 142.7 Calculated on basis of net deposits and Federal reserve notes in circulation. FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS • [In thousands of dollars] RESOURCES Boston New York 1,437,742 1,414,141 1,471,677 1,475,479 120, 678 133,261 129,205 126,471 383,700 328, 700 368,595 368,453 52,247 45,892 46,657 48,330 10,144 12,120 Total Gold with Federal reserve agents: Apr.28 _ May 5 ____. May 12 May 19. _ Gold redemption fund with XL S. Treasury: Apr. 28... . May5 _. May 12 May 19 . Gold held exclusively against Federal reserve notes: Apr. 28 . May 5 ___. May 12. _ May 19-____ _. Gold settlement fund with Federal Reserve Board; Apr. 28 _. May 5-__ May 12-__ May 19 . Gold and gold certificates held by banks: Apr. 28_____ _____ May 5 ' __. May 12 _*_.. May 19 Total gold reserves: Apr. 28... May 5 _ May 12 May 19 ____ Reserves other than gold: Apr. 28 „__ May 5 _ May 12May 19....Total reserves: Apr. 28 May 5 May 12... _. May 19. Nonreserve cash: Apr. 28 ——.-_. May 5May 12. __.„ May 19.- 1,489, 989 125,847 1,460,033 140,147 1,518,334 139,349 1,523,809 138,591 170,526 170,200 171,927 171,142 46,427 44,985 43,418 46,329 158,765 162,128 165,302 160,945 129,297 149,268 149,232 159,182 14,068 14,916 18,103 17,840 45,684 48,210 49,399 51,015 44,134 43,434 44,172 43,226 23,452 22,884 25,698 '25,050 179,203 176,792 182,597 184,781 11,572 12,837 10,290 5,431 8,962 6,743 7,800 8,334 2,831 3,824 2,661 2,084 1,750 2,273 2,762 3,620 3,261 3,617 3,042 3,169 5,467 4,443 3,257 2,255 859 555 688 362 2,155 2,352 2,780 2,9ir 2,479 2,784 1,578 2,074 1,375 1,299 1,314 1,320 2,492 2,138 2,726 2,280 134,645 124,794 130,772 129,379 173,357 174,024 174,588 173,226 48,177 47,258 46,180 49, 949 162,026 165,745 168,344 164,114 134, 764 153,711 152,489 161,437 14,927 15,471 18,791 18,202 47,839 50,562 52,179 53, 927 46,613 46,218 45,750 45,300 24,827 24,183 27,012 26,370 181,695 178,930 185,323 187,061 134,818 14, 793 146, 604 17,268 131,604 13,472 138,125 7,325 11,012 15,087 14,533 14,212 23, 724 8,492 26, 769 28,358 11,041 30,245 28,187 8,216 33,496 32,212 11,973 28,620 4,090 75,074 19,417 3,701 78,177 18,732 83,066 18,618 4,433 79,827 18,291 7,101 6,716 6,882 6,439 5,812 6,388 6,145 10, 968 11,037 9,619 9, 722 29,338 28,960 29,553 29,786 79,202 344, 656 49,137 79,386 195,920 378,492 51,471 79,154 199, 037 367,159 78,556 194,104 379,389 43,818 65,952 72,365 73,594 74,837 76,776 80,388 80,325 83,657 44,287 46,261 44,847 48, 065 237,802 238,135 248,372 245,467 395,272 338,990 377,557 376,253 57,065 52,778 43,217 36,446 255, 789 46,510 64,183 23,781 24,482 221,236 64,103 24,443 26,474 212,398 59,419 51,195 24,893 26,324 215,890 53,400 60,820 19, 972 25,557 615,686 632,397 638,292 646,301 36,096 34, 794 35,221 35,800 349,053 365, 716 367, 651 375,037 156,983 158,045 163,159 162,251 2,954,076 2,950, 581 2,966,739 2,976,913 57,937 57,198 60,486 57,851 San Francisco 121,808 119, 363 124,029 121,045 691,418 700,106 646, 954 644,552 2, 797,093 2,792,536 2,803,580 2,814, 662 98738—26—6 5,169 Phila- Cleve- RichSt. M n n e Kansas delphia land mond Atlanta Chicago Louis apolis City Dallas 22,460 22,489 22,222 24,243 48,406 48,578 48, 622 47,684 219, 008 1,000,114 203,615 285,946 227,719 925,942 209,752 286, 705 217,787 957,606 212,413 272,405 210,837 967,180 207,022 281, 730 6,300 7,126 8,108 7,719 7,244 7,685 6,024 7,699 7,418 7,715 8,171 7,776 7,789 8,319 10,049 9,340 9,354 9,220 19,1 20,398 20,871 20,005 20,035 19,655 20,281 20, 523 3,262 3,090 3,237 3,047 4,842 4,997 5,385 5,138 5,759 5,883 5,958 6,182 8,843 9,058 239,957 1,043,984 209,915 291,970 248,602 968,297 216,878 294,404 239,061 1,002,032 220,521 279,823 231,537 1,011,165 214,741 289,445 87,373 87,162 86,943 86,875 200,647 205,260 208,391 203,324 364,346 398,890 388,030 399,394 69,172 71,126 71,162 64,341 69,214 75,455 76,831 77,884 81,618 85,385 85,710 88,795 50,046 52,144 50,805 54,247 245,834 246,978 257,430 255,165 4,698 4,601 9,093 4,356 5,045 11,205 4,057 4, 581 12,847 3,992) 5, 239 10,147 3,722 3,663 3,924 3,724 1,147 1,090 1,248 1,183 2,294 2,236 2,256 2,357 2,653 2,218 2,581 2.328 3,458 3,057 3,148 3.203 20,949 20,883 21,274 20,700 4,582 4,037 4,070 3,771 43,870 42,355 44, 426 43,985 17, 030 15,831 17,261 16, 749 1,699 1,490 1,515 1,618 2,960 2,970 3,540 444 FEDERAL RESERVE BULLETIN JUNE, 1926 FEDERAL RESERVE BANKS—RESOURCES AND U A B I U T I E S ^ B Y WEEKS—Continued [In thousands of dollars] RESOURCES—Continued Total Bills discounted: Secured by U. S. Government obligations— Apr. 28 May 5 May 12.. May 1 9 — . Other bills discounted— Apr. 2 8 — . May 5. May 12 May 19 . Total bills discounted: Apr. 28 — May 5 May 12 May 19 Bills bought in open market: Apr. 28 — May 5 May 1 2 . . . . — May 19 U. S. Government securities: Bonds— Apr. A p 28. Maay 5 May 12 May 19 Treasury notes— Apr. 28 May 5 May 12 •-.. May 19 Certificates of indebtedApr. 28.— May 5 M a y 12 M a y 19 Total U. S. Government securities: Apr. 2 8 . . . . . : . . . . . . , May 5 —• ...... M a y 12 .. May 19 Other securities: Apr. 28 May 5_.._ May 12_. May 19 „. Foreign loans on gold: Apr. 28 May 5 . . . . . . . . Mayl2_ Mayl9_ Total bills and securities: Apr. 28. May 5. II.I.—II! Mayl2__._ Mayl9_. Due from foreign banks: Apr. 28. _• May 5 May 12.. . May 19.. Sl^ll^^ Uncollected items: Apr. 28 May 5_ _. ... May 12 May 19. I.I——II. Bank premises: Apr.28.___ May 5—. May 1 2 . . . . . . . . . . . . . . . . . . . . M a y 19 AD other resources: Apr. 28 May 5 May 1 2 . . . May 19 Total resources: Apr. 2 . . . . . May 5...... May 12 May 19 ., Boston New York 275,223' 302,280 251,674 260,670 9,343 10,325 10,186 10,406 112,319 238,445 244,901 224,740 229,191 Phila- Clevedelphia land Richmond St. Atlanta Chicago Louis 5,360 4,850 4,660 4,725 14,884 16,212 14,911 15,537 8,077 8,181 7,724 7,064 25,060 31,008 22,786 19,787 23,722 26, 236 22, 227 26,233 6,946 7,465 7,120 8,182 20,618 21,151 18,628 19,832 9,584 9,976 9,389 8,520 46,352 55,952 46,184 44,228 19,170 16,138 13,940 11,887 10,751 9,510 9,417 9,252 9,781 8,654 7,778 8,060 22,880 18,203 18,996 19,579 11, 207 10, 407 12, 206 10, 468 12, 456 10, 463 12, 706 10, 493 4,358 4,358 4,358 4,358 3,556 30,943 33,917 32,711 30,149 13,192 16,299 13,751 16,801 43,117 36,195 45, 224 35,144 43,065 44,233 33, 441 61, 263 67,114 55, 216 54,479 84,204 95,695 15,764 9,043 11,986 22,063 28,317 28,138 22,841 19,594 19,397 18,528 18,462 18,163 16,577 17,222 18,256 14,823 28,338 29,682 28,670 30,600 513,668 547,181 476,414 489,861 25,107 19,368 22,172 32,469 140,636 166,176 107,045 115, 289 199,017 213, 384 228,162 18,880 18,404 23,491 17,808 99,092 100,923 102,529 21,292 24,944 23,398 24,441 32,536 31,821 27,982 29,885 3,659 3,323 18,702 16, 477 15,718 15, 643 8,878 7,071 6,807 6,807 25,474 21,300 22, 439 22,985 23, 591 20,731 21,193 20,518 8,219 7,079 7,458 7,287 263 3,58! 3,583 3,582 3,582 11,762 11,762 11, 762 11, 762 3,088 3,087 3,088 11, 11, 11, 11, 541 542 542 607 3,201 3,200 3,200 3,200 272 533 25.914 25.915 25,915 25,915 3,199 3,199 4,799 5,799 5,400 5,883 2,644 2,916 2,915 2,916 17,325 18, 052 18, 053 18,052 3,737 4, 058 4,058 4,058 249 249 249 19, 480 19, 453 22, 048 22,093 10,335 11, 091 11,091 11,091 6,057 6,549 6,549 6,549 13,653 14, 645 14, 660 14,660 9,486 150,684 162,513 163, 223 164,988 6,183 36, 275 41, 463 39, 563 40,983 140,121 133, 721 132,116 131,108 8,307 7,824 7,824 7,824 25,831 27, 545 25,824 25,121 17,991 17, 720 17,720 17,719 8,244 7,522 7,523 7,524 2,405 2,085 2,085 2,085 2,950 3,153 3,253 3,278 13, 542 12,208 11,885 11, 452 11,860 11, 452 11,530 11, 452 3,793 3,793 3,793 11, 574 10,583 10, 623 10, 623 73,868 80, 770 77,149 77,866 23, 723 23,723 23,723 23, 723 37,110 37,116 37,118 37,183 9,343 9,343 9,343 9,343 3,462 396,262 398, 625 17,289 17,290 17, 289 17,589 25, 742 57, 253 25, 742 59,823 27,342 28,342 19,828 19,828 19,828 19,828 37, 434 37,739 37,989 3,571 3,575 3,575 2,125 4,635 4,635 4"~" 3,885 3,774 4,060 616 570 562 562 2,219 2,055 2,028 2,028 .769 71: 703 703 867 803 792 792 429 1,114,233 1,168,C 1,112,874 1,126,264 61,892 55,632 63,514 68,428 236,227 307,258 256,403 269,536 90,546 85,889 84,109 84,854 107,515 101,452 123,012 110,583 324 300 296 1,110 1,027 1,014 1,014 348 323 318 318 259 240 237 237 316 292 61,767 62,036 59,607 60,775 66,015 60,992 57,689 62,042 144,900 146,125 137,246 135,549 58,031 59,380 57,345 62,180 46,703 44,171 41,625 40,634 392 392 13, 14, 14, 14, 244 261 261 261 22, 285 23,893 23,893 23,893 9,627 8,610 8,610 8,610 23,157 21,549 21,549 21,549 33, 278 49,800 33, 339 49,800 33, 334 49,800 33,364 49,800 500 500 500 500 560 560 560 1,260 8,100 7,500 7,401 7,401 San Francisco 3,717 4,295 2,615 2,460 3,457 14,779 15,542 14,395 13,633 Dallas 1,507 1,795 1,665 1,456 5,734 10,530 9,937 8,476 9,432 34,259 29,834 51,128 42,142 19,504 ' 13,187 58, 257 11,560 70,181 10, 744 74,353 12,313 h 30,320 33,197 22,505 24,330 27,791 26,902 27,827 50,836 46, 319 47,056 45, 364 69, 384 45,990 56,965 Minne- Kansas apolis City 289 284 262 259 259 559 518 511 511 68,119 68,387 66,073 67,362 52,927 52,231 50,760 50,203 119,591 124,473 115,491 114,118 660 .686 778 767 778 767 638,910 644,473 690,879 720,133 57,738 59,730 67,399 65, 952 153,863 150,376 169,243 173, "~- 57,767 57,675 61,463 67,602 60, 520 60, r" 63,823 67,810 52, 745 54,608 56,656 60,86.9 35,938 32,105 31,846 36,081 76, 937 83,549 85,451 91,554 32,073 32,893 34,657 36,627 11, 644 12,438 14,221 13,670 38,779 40,471 40,583 40,016 23, 751 23,795 25,136 24,655 37,155 36,213 40,401 42,215 59,537 59,554 59,651 59,657 4,068 4,068 4,068 4,068 16,715 16,714 16,714 16,714 1, 1,532 1,558 1,559 7,409 7,409 7,409 7,409 2,364 2,364 2,364 2,364 2,775 2,775 2,814 2,814 7,933 4,111 4,111 4,111 4, 111 2,943 2,943 2,943 2,94r 4,653 4,654 4, 654 4,654 1,793 1,793 1,793 1,793 3,241 3,258 3,290 3,295 16,231 16,831 16,804 16,997 95 93 96 101 4,816 5,446 5,538 5,504 418 416 418 342 923 928 941 949 324 318 315 309 1,078 It'"' 1,077 1,406 1,362 1,494 1,807 498 483 512 520 2,300 2,364 2,150 2,076 649 641 63! 679 405 400 404 3,319 3,300 3,227 3,228 1,473,295 361,877 471,297 372,162 1,464,608 363,880 467,783 378,208 1,467,969 369,584 478,006 373,85" 1,493,517 370,716 479,736 209,271 210,844 209,942 215,184 311,054 307,257 30'6,398 310,584 604,615 649,064 633,001 646,384 167,607 171,656 171,711 171,503 133,951 138,461 139,018 138,390 196,112 201,774 199,908 203,863 131,-575 132,581 131,479 133,624 412,599 417,278 422,987 421,224 4,841,584 4,897,349 4,908,211 . . . . . 4,958,582 7,933 7,933 445 FEDERAL RESERVE BULLETIN JUNE, 1926 FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued [In thousand of dollars] LIABILITIES Federal reserve notes in ac> tual circulation: Apr. 28.. May 5 May 12 May 19...... ......... pdsits: Member bank-reserve accountApr. 28 Mays...... .. May 12 May 19 .. GovernmentApr. 2 8 . . . . . . . May 5... May 12 May 19 Foreign bankApr. 28... May 5 May 12 May 19 Other deposits— Apr. 28 May 5 May 12..... ..... May 19..._ —Total deposits: Apr. 28 — May 5-.. May 12 May 19 Deferred availability items: Apr. 28 ± May 5 . . . . — . . May 12...... May 19 Capital paid in: Apr. 28 -.—— May 5 . . . . . . . •May 12 May 19. Surplus: Apr. 28 May 5 _.._.....May 12 May 19 All other liabilities: Apr. 28 May 5 May 12..-.. May 19........... Total liabilities: Apr. 28 May 5... May 12 - May 19 San Phila- Cleve- KichSt. Minne- Kansas delphia land mond Atlanta Chicago Louis apolis City Dallas Francisco Total Boston New York 1,661,982 1,672,016 1,675,535 1,665,240 144,882 142,715 140,060 138,579 361,438 369,322 367,812 382,085 142,689 139,588 142,891 136,946 201,413 72,448 187,925 171,852 196,303 72,642 188,236 179,409 198,854 72,756 186,802 183,216 190,708 71,413 185,116 177,966 36,885 62,526 61t 739 35,721 182,464 36,845 63,034 62,293 35,912 185,717 37,404 62,010 35,506 185,558 38,034 61,562 61,844 35,241 185,746 2,202,831 2,230,801 2,193,512 2,236,640 140,353 143,559 143,891 142,680 874,771 851,821 843,694 853,106 132,827 137,354 133,697 138,477 174,345 65,850 73,920 312,539 176,005 67,475 74,462 340,277 179,547 64,627 74,007 319,546 185,756 67,062 76,518 334,386 83,250 85,492 81,689 81,078 16,412 27,785 27,484 19,750 914 1,072 1,987 954 3,108 4,046 5,649 3,274 503 5,009 6,227 4,955 4,950 307 35J 351 368 2,080 1,872 1,599 1,433 383 439 439 460 17,874 22,225 19,733 19,303 94 105 110 159 8,745 12,742 10,396 9,246 97 229 220 341 1 2,242,126 2,286,038 2,245,684 2,280,643 141,668 145,087 146,339 144,161 888,704 870,481 861,338 867,059 133,810 139,651 137,054 140,383 579,167 581,175 627,899 653,606 55,208 57,832 65,247 64,560 122,129 122,186 122,408 122,464 8,772 8,772 8,772 8,772 35,184 35,190 35,223 35,262 11,953 11,953 12,129 12,137 13,472 13,472 13,487 13,487 6,046 6,066 220,310 220,310 220,310 220,310 17,020 17,020 17,020 17,020 59,964 59,964 59,964 59,964 20,464 22,894 20,464 22,894 20,464 22,894 20,464 15,870 15,624 16,375 16,319 782 736 770 765 3,145 2,993 3,169 3,200 418 2,283 1,285 2,461 744 1,021 775 1,357 1,144 1,645 1,857 432 494 495 518 214 245 245 257 161 185 185 194 1, 1,520 8,138 1,560 4,797 1,344 2,736 174 553 199 633 199 633 664 - 208 944 947 61 142 171 76 90 109 87 101 928 977 820 1,083 I, 1,085 176,139 75,528 179,729 68,606 75,900 183,300 66,064 75,924 188,644 68,170 78,670 124,860 52,309 55,907 126,658 51,540 140,463 56,336 57,968 145,947 62,498 49,245 33,078 50,549 28,616 52,093 29,139 56,514 32,275 261 324 323 289 315,100 84,668 350,025 87,535 325,796 83,771 338,869 82,919 30,319 70,295 31,553 74,570 34,797 34,795 46,805 83,028 56,303 158,840 49,190 87,309 56,845 161,012 49,568 85,192 55,337 162,717 50,611 90,911 56,942 159,113 1,639 2,764 2,047 1,830 1,115 1,392 1,687 895 997 1,291 1,263 1,335 1,837 1,762 941 2,360 129 148 148 155 157 180 180 189 141 162 162 170 278 319 319 334 165 215 207 187 182 123 116 119 31 57 46 60 6,276 6,255 6,168 6,557 48,738 84,482 52,317 89,004 51,970 87,175 52,783 92,114 57,472 58,355 56,808 58,507 167,231 169,348 170,145 168,364 10,951 35,838 25,778 37,349 11,357 36,394 25,758 36,677 12,484 26,511 41,683 12,267 35,791 27,311 41,500 6,066 4,945 4,936 4,940 4,931 16,413 16,417 16,418 16,456 5,244 5,274 5,274 5,274 3,141 3,150 3,149 3,145 4,256 4,262 4,262 4,251 4,303 4,303 4,299 4,289 8,400 8,391 8,389 8,394 11,919 11,919 11,919 11,919 8,700 8,700 8,700 8,700 30,613 30,613 30,613 30,613 9,570 9,570 9,570 9,570 7,501 7,501 7,501 7,501 8,979 8,979 8,979 8,979 7,615 7,615 7,615 7,615 15,071 15,071 15,071 15,071 2,312 2,305 1,094 1,102 1,248 1,132 818 842 874 740 661 2,083 2,075 2,141 2,149 652 684 710 720 1,472 1,439 1,503 1,505 1,027 1,062 1,044 1,102 878 892 2,398 921 879 895 911 1,473,295 361,877 4,841,584 4,897,349 372,162 1,464,608 363,880 4,908,211 378,208 1,467,969 369,584 4,958,582 373,857 1,493,517 370,716 471,297 467,783 478,006 479,736 209,271 210,844 209,942 215,184 311,054 307,257 306,398 310,584 604,615 649,064 633,001 646,384 167,607 171,656 171,711 171,503 133,951 138,461 139,018 138,390 75.9 77.7 78.8 77.4 77.3 78.3 73.2 76.3 62.0 61.7 62. 62.2 76.2 77.7 79.3 77.1 74.8 75.3 76.2 77.3 56.9 57.2 58.7 53.2 62.2 65.4 67.0 68.1 55.8 56.4 57.5 57.7 53.7 55.3 55.0 57.9 70.3 81.9 83.5 78.1 81.5 80.9 66,568 65,509 64,735 61,974 5,182 5,065 4,939 .4,746 17,, 063 17,, 126 17,553 16,638 6,478 6,331 6,174 7,296 7,131 2,728 2,666 2,600 2,498 9,342 9,130 8,903 8,555 2,932 2,866 2,794 6,681 3,614 3,532 3,444 3,310 2,182 2,133 2080 2,659 2,599 2,535 2,435 2,387 2,332 2,275 2,186 4,705 4,598 4,484 4,309 339,025 328,962 322,772 320,081 14,783 14,533 15,982 14,728 16,275 19,460 14,436 21,196 17,402 16,767 15,086 15,800 29,527 28,934 29,912 26,681 17,906 22,839 22,612 27,583 4, 5,131 5,359 5,866 4,966 5,065 4,731 4,850 6,422 5,668 5,669 5,789 5,192 4,433 196,112 131,575 412,598 201,774 132,581 417,279 199,908 131,479 422,987 203,863 421,224 MEMORANDA Ratio of total reserves to Federal reserve note and deposit liabilities combined (per cent): Apr. 2 8 . . . . . Mayo. May 12 .: May 19 Contingent liability on bills purchased for foreign correspondents: Apr. 28 May 5____ May 12 .... May 19 Own Federal reserve notes held by Federal reserve bank: Apr. 28 May 5 . . . . May 12 May 19 75.7 74.5^ 75.71 75.4 83.7 86.4 83.5: 155,247 29,519 141,978 31,175 142,251 28,538 125,220 32,899 5,470 72.4 72.1 32,979 32,343 33,999 446 FEDERAL RESERVE BULLETIN JUNE, 1926 FEDERAL RESERVE BANKS—MATURITY DISTRIBUTION OF BILXS AND CERTIFICATES OF INDEBTEDNESS [In thousands of dollars] Within 15 days Total Bills discounted: Apr. 28 May5____ .___. May 12 May 19 Bills bought in open market: Apr. 28 May5__ May 12 i May 19 __ Certificates of indebtedness: Apr. 28 May 5_ May 12 _._ May 19 16 to 30 days 31 to 60 days 91 days to 6 months 61 to 90 days 513,668 547,181 476,414 489,861 381,970 406,382 340,706 352,257 30,154 33,955 32,237 34, 552 51,743 55,749 51,145 49,407 28,445 27,379 26,983 25,574 17,280 20,917 22, 557 26,069 199,017 213,384 228,162 226,492 126,997 136,092 123,897 56, 093 36,959 36,946 38, 335 38,275 33,098 42,420 54,232 14,192 12,669 10,019 8,341 4,048 3,661 2, 685 1,687 140,121 133, 721 132,116 131,108 1,720 1,120 600 4,689 58,330 50,203 50,203 51, 675 50,203 55,168 52, 527 Over 6 months Total 4,076 2,799 2,786 2,002 513,668 547,181 476,414 489,861 199,017 213, 384 228,162 226, 492 21,882 21,941 22,105 21,975 140,121 133,721 132,116 131,108 FEDERAL RESERVE NOTES—FEDEKAL RESERVE AGENTS' ACCOUNTS, BY WEEKS [In thousands of dollars] Total Federal reserve notes received from comptroller: Apr. 28 May 5 May 12 May 19 Federal reserve notes held by Federal reserve agent: Apr. 28 »._..-. May 5 __.__-_. May 12 May 19 _. Federal reserve notes issued to Federal reserve bank: Apr. 28 May 5«.__ ____ May 12 _ May 19 Collateral held as security for Federal reserve notes issued to Federal reserve bank: Gold and gold certificatesApr. 28 _____ May 5 May 12 May 19 _. Gold redemption fund— Apr. 28 ___..__ May 5 ____._. May 12 .•_ May 19 Gold fund, Federal Reserve BoardApr. 28 _ May 5 May 12 May 19 Eligible p a p e r Apr. 28 i May 5. May 12 , May 19 Total collateralApr. 28 May 5 May 12 May 19 Boston New- Phila- Cleve- Rich- Atlanta Chicago St. Minne- Kansas mond York delphia land Louis apolis City Dallas San Francisco 2,856,089 2,848,364 2,837,464 2,842,659 210,365 207,948 203,892 201,157 758,165 759,260 764,503 776,865 210,328 213,203 210,869 212, 285 271,338 269,793 267,220 263,434 122,390 121,449 119,882 120, 753 270,187 268,250 287,704 262,347 409,995 408,585 408,665 409,086 65,048 65,756 64,943 64,680 85, 425 115, 711 84,951 115,011 85,260 114,249 84,876 113,303 55,650 55,082 54,396 55,748 281,487 279,076 275,881 278,125 855,082 847,386 839,157 857,338 50,700 50,700 47,850 47,850 241,480 247,960 254,440 269,560 38,120 42,440 39,440 42,440 53,650 54,030 53,930 51,530 32,540 32,040 32,040 33,540 52, 735 51,080 50,990 50, 550 220,237 206,337 202,837 203,537 23,220 23, 780 22,180 20, 780 17,933 16,852 17,863 18,464 47,550 47,050 46,570 45,670 14, 737 14, 737 13,037 15,037 62,180 60,380 57,980 58,380 2,001,007 2,000,978 1,998,307 1,985,321 159, 665 157,248 156, 042 153,307 516,685 511,300 510,063 507,305 172, 208 170,763 171,429 169,845 217,688 215,763 213,290 211,904 89,850 89,409 87,842 87,213 217,452 217,170 216,714 211,797 189,758 202,248 205,828 205,549 41,828 41,976 42, 763 43, 900 67,492 68, 099 67,397 66,412 68,161 67, 961 67,679 67,633 40, 913 40, 345 41,359 40, 711 219,307 218,696 217,901 219,745 318,953 303,554 305,054 304, 653 35,300 35,300 35,300 35,300 186,698 171,698 171,698 171,698 400 400 400 8,780 8,780 8,780 8,780 25,655 25,655 25, 655 25,655 13, 237 13,238 13,238 13,237 8,445 8,045 8,045 8,045 13,212 13,212 13, 212 13,212 17,226 17,226 18, 726 18, 726 10,000 10,000 10,000 10,000 99.441 11,378 104, 790 18, 961 106,175 14, 905 96.442 12,171 26,002 26,002 25,897 25,755 11,911 8,466 11,132 8,548 11,746 11,420 13,147 12,362 4,272 2,830 4,263 2,174 4,028 9,390 7,564 6,708 3,653 3,623 3,587 3,537 1,623 1,371 1,558 1,295 1,472 998 4,274 3,574 2, 812 2, 726 2,158 3,472 2, 824 16,356 15,997 15, 651 15,399 1,019,348 1,005,797 1,060,448 1,074,384 74, 000 79,000 79,000 79,000 171,000 131,000 171,000 171,000 109,497 110,497 112,497 112,497 150, 000 150,000 150, 000 150,000 16, 500 16, 500 13,500 18,500 141,500 139,500 144, 500 141,000 125, 644 145, 645 145,645 155,645 4,000 31,000 39,860 5,500 34,000 39,860 8,500 34,000 41,360 8,500 36,000 39,360 3,500 3,500 3,500 3,500 152,847 150, 795 156,946 159,382 688,773 736,862 682,765 694,851 43,987 37,772 45,663 50,277 150,551 211, 568 167,472 178,207 55,152 51, 610 50,560 63,193 51,067 50, 088 84,534 47,379 52, 538 71,288 50,722 60,533 55,673 52,366 55,941 84,679 87, 693 76,253 74,867 30,857 25,919 31,119 19,148 32,347 23, 529 30,519 18, 588 28, 639 27,925 17,129 32,837 20,015 28,975 16, 544 67, 569 73,303 64,334 62,640 2,126, 515 2,151,003 2,154,442 2,170,330 164,665 171,033 174,868 176,748 534,251 540,268 536,067 546,660 176,960 170,973 174,117 173,583 219, 298 213,976 239,225 233,393 96,052 217,801 236,961 256,461 90, 797 217,668 225,485 234, 049 242,430 97,051 44,925 47,263 46,742 50, 677 IF 71,603 71,739 70,382 71,030 42, 600 246,772 73, 953 41,472 250, 095 72,097 42,827 246,931 72,201 41,594 247,421 75,253 447 FEDERAL RESERVE BULLETIN JUNE, 1926 FEDERAL RESERVE BANKS—HOLDINGS OF BILLS AND SECURITIES AND EARNINGS THEREON, APRIL, 1926 [In thousands of dollars] New Boston York Total Philadelphia Cleve- Richland mond Atlanta Chicago San Min- Kansas St. Louis neapolis City Dallas Francisco HOLDINGS ON APR. 30,1926 Total bills and securities._ 1,187,370 Bills discounted for members 571,673 Bills bought in open market 209,676 United States securities 393,104 Other securities . _ _ 4,635 8,282 Foreign loans on gold Bills Discounted Rediscountod bills: Commercial and agricultural paper, n. e. s___ Demand and sight drafts.___ Bankers' acceptances Trade acceptances, domestic. Secured by U. S. Government obligations Member bank collateral notes: Secured by U. S. Government obligations Otherwise secured Total discounted bills 171,065 180 8 3,015 631 2,274 94,500 104,863 53,305 48,064 13,128 18,801 23,723 37,110 3,575 888 769 8,110 8,110 12,669 58, 595 308,116 18,948 196,408 21, 726 31,766 17,290 77,668 1 62,380 44,346 8,251 9,343 13,341 25,820 440 68,114 146,345 38,471 62,957 25,288 23,333 3,463 58,918 560 332 1,137 60,705 26,623 7,983 25,742 27,123 41 12,220 54 28,019 357 68,398 21,068 10,572 36,434 53,625 9,985 9,564 33,785 115,713 45,094 20,246 49,800 324 291 573 3,542 11,400 14 7,705 19 13,006 52 8 103 130 233 587 440 308 719 268 85 5 1 343 270 349 112 478 328,936 66,630 10,650 164,921 23,242 30,141 10, 261 30,135 3,658 13, 985 3,831 3,938 6,712 33,238 869 11,679 1,924 571,673 18,948 196,408 53, 305 48,064 44,346 38,471 62,957 1,839 46,016 6,404 19,018 19,828 500 266 37 190 176 11 9 1,640 1,214 6,458 3,020 1, 584 629 20,567 11,270 26,623 6,404 21,068 9,985 45,094 Bills Bought Bills payable in dollars: Bankers' acceptances based on— Imports Exports Domestic transactions... Dollar exchange Shipments between or storage of goods in foreign countries All other. Trade acceptances based on imports _. , Bills payable in foreign currencies Total purchased bills 94,995 51,623 31,811 3,009 11,148 3,185 4,981 270 14, 279 7,083 4,164 272 4,003 4,487 1,840 418 9,189 4,845 2,347 341 2,945 1,827 2,302 135 10,882 9,601 3,538 707 10, 276 5,469 5,139 484 3,443 1,658 1,025 100 7,822 4,545 2,806 61 5,742 2,151 974 5 4,514 2,918 361 106 10,752 3,854 2,334 110 25,251 1,205 2,105 37 ,4,823 472 2,370 10 1,104 1,017 25 559 1 1,943 22 1,699 58 3,299 485 1,700 1,665 2,967 95 435 238 569 1, 213 134 975 209,676 21, 726 31,766 13,128 18,801 8,251 25,288 23,333 7,983 19,018 10, 572 9,564 20,246 98,518 160,640 133,946 3,583 5, 672 8,035 11, 762 41, 710 24,196 3,088 2,797 17,838 11,542 17, 734 7,834 3,200 3,918 2,225 264 249 2,950 25,914 20,251 12,753 3,200 10,760 11,782 9,486 6,333 4,009 11,207 14,211 11,016 10,914 13,816 9,055 4,358 23,189 22,253 393,104 17, 290 77, 668 23, 723 37,110 9,343 3,463 58,918 25, 742 19,828 36,434 33,785 49,800 92,134 112,971 53, 295 56,207 11,677 20, 698 22, 272 35,137 825 929 63,720 45,066 10,000 8,194 460 72,969 158,377 44,354 75, 266 18,198 29,486 9,509 52,435 1,190 348 60,745 28, 236 6,433 25,702 374 41,424 6,386 15, 552 18,958 278 67,313 19,044 12, 616 35,314 339 50, 291 7,400 10, 399 32,188 304 118,750 46,1588 23,197 48,266 599 United States Securities United States bonds Treasury notes _ Certificates of indebtedness...... Total U. S. securities DAILY AVERAGE HOLDINGS DURING APRIL Total bills and securities x Bills discounted Bills bought United States securities Foreign loans on gold ..__ 1,158,891 539, 594 235,956 369, 779 8,687 79, 266 240,931 28,450 129, 202 36,958 40, 742 13,198 68, 606 660 2,381 EARNINGS DURING APRIL Total bills and securities 1-______ Bills discounted _ Bills bought . . . United States securities Foreign loans on gold 3,627 1,767 704 1,109 31 244 94 110 38 2 749 417 120 203 9 293 175 35 67 3 3.81 3.98 3.63 3.65 4.50 3.74 4.00 3.62 3.49 4.50 3.78 3.93 3.59 3., 60 4. 50 3.87 4.00 3. 61 3.68 4. 50 356 185 , 62 106 3 203 148 30 23 2 232 146 55 28 1 502 248 88 162 4 190 93 19 76 2 130 21 46 61 1 209 63 38 107 1 153 24 31 97 1 366 153 70 141 2 3.87 4.00 3. 65 3.38 4.50 3.86 4.00 3.65 3.61 4.50 3.86 4.00 3.65 3. 76 4.50 3.80 4.00 3.63 3.61 4.50 3.82 4.00 3.62 3.92 4.50 3.77 4.00 3.64 3.69 4.50 3.71 4. 00 3.66 3.65 4.50 3.75 4.00 3.64 3.57 4.50 ANNUAL RATE OF EARNINGS Total bills and securities l Bills discounted _Billsbought. _ _ United States securities.. Foreign loans on gold :___ 3.83 4.00 3. 63 3.65 4.50 i Figures include Federal intermediate credit bank debentures as follows: Philadelphia, average daily holdings, $4,065,000; earnings $13 187 annual rate of earnings, 3.94 per cent. Atlanta, average daily holdings, $560,000; earnings, $1,618; annual rate of earnings, 3.52 per cent Minneapolis' average daily holdings, $250,000; earnings, $779; annual rate of earnings, 3.79 per cent. *- > 448 FEDEEAL RESERVE JUNE, 1926 FEDERAL RESERVE BANKS—VOLUME OF DISCOUNT AND OPEN-MARKET OPERATIONS DURING APRIL, 1926 [Amounts in thousands of dollars] Boston Total Phila- Cleve- Rich- Atdelland mond lanta phia New York Chicago MinSt. Louis neapolis San Kansas Dallas Francisco City 3,322,005 80,568 L, 640,290 178,958 237, 614 66,331 16,451 258,210 09,172 37,033 57,328 22> 148 217,902 Total Volume of Operations Bills discounted for member banks 2,873,341 24,989 L, 485,442 161,145 216,726 55,411 73,665 207,018 102,377 16,406 43,143 11,344 175,675 Bills bought: 260,514 44, 246 101,197 9,738 12,980 6,515 6,522 25,367 5,561 6,550 7,252 5,419 29,167 In open market 40,707 1,048 11,008 10,027 From other Federal reserve banks _. 492 16, 515 1,129 488 85,889 5,584 20,891 4,780 7,310 3,651 4,752 18,734 625 3,169 5,679 4,597 6,117 U. S. securities bought in open market U. S. securities bought from other Federal 763 6,895 739 523 579 180 225 14,969 5,866 359 58,354 5,696 21,560 ^treserve banks 30 25 48 27 67 192 37 53 '700 28 . 75 22 96 Foreign loans on gold Bills Discounted Rediscounted bills: Commercial and agricultural paper, n. e. s Demand and sight drafts Trade acceptances, domestic .Secured by U. S, Government obligations Member bank collateral notes: Secured by U. S, Government obligations Secured by eligible paper 4 - 152,446 427 1,846 2,891 5,503 39 164 1,891 72 6 8,721 10, 252 16,428 23,598 32,517 26,761 2,163 10,562 201 14 77 560 191 248 195 14 151 108 96 202 246 54 342 195 2,217,027 40,730 1,316,882 108,846 183,485 163,677 30,510 149,537 63,655 7,683 22,046 499, 704 81, 257 162,887 43, 383 22, 333 74,913 18,986 24,802 11, 267 6,546 10,326 6,000 3 7,050 88 47 25 151 673 5 3,379 126,597 1,220 41, 784 — 2,873,341 124,989 1,485, 442 161,145 216,726 255,411 73, 665 207,018 102,377 16,406 43,143 11, 344 175, 675 Total bills discounted Average rate (365-day basis), per cent Average maturity (in days): Member bank collateral notes — Number of member banks on Apr. 30 Number of member banks accommodated Per cent accommodated 4.00 "~4.00 4.00 8.13 1L26 10.25 52. 21 52.28 85.11 622 1,377 816 10.40 74.07 1,018 4.00 3.96 4.00 3.81 4.00 4.00 4.00 4.00 5.40 59.35 9, 410 8.63 49.04 417 3.57 55.76 889 9.36 50.92 758 6.80 51.69 860 2.63 58.54 590 11.38 68.08 492 3,155 33.5 179 42.9 392 44.1 388 51.2 312 36.3 301 51.1 189 38.4 501 36.4 212 34.1 112 13.7 209 20.5 163 19.2 197 27.2 57,042 8,325 9,071 2,450 6,429 2,305 4,146 8,007 2,172 4,219 2,922 2,470 4,526 136,781 27,905 66,691 8,016 81,926 10,200 7,288 6,551 4,210 2,376 3,389 2,331 4,330 2,949 17,708 6,933 260,514 44,246 101,197 9,738 12,980 6,515 9,242 8,118 6,522 25,367 5,561 6,550 7,252 5,419 29,167 4,435 1,487 8,224 1,047 2 9 198,793 39,367 40,226 2,289 54 7,139 594 1,094 3.56 3.60 39.33 33.03 1,224 100 542 287 258 565 34 199 4,722 1,155 3,566 1,056 41< 126 24 3.65 49.26 338 1,246 7 10,784 16,346 425 7 14 3.60 38.55 6,702 2,259 3,163 3,673 3,643 1,001 1,585 1,461 3,027 719 636 1,008 120 501 75 674 1,356 1,097 2,027 1,591 225 38 388 2,896 1,247 259 25 5,765 2,435 1,181 307 992 1,771 6,515 6,522 16,125 5,561 6,550 7,252 5,418 11,459 4.00 4.00 14. 56 8.15 81.02 80.06 847 724 Bills Bought in Open Market From member banks From nonmember banks, banking corporations, etc.: With resale agreement All other... .—— Total bills bought Rates charged: 31^ per cent ... 3J^ per cent 35^ per cent -3?€ P^r cent 3% Der cent 4 per cent Average rate (365-day basis),fi per cent_____ Average maturity (in days) Class of bills: Bills payable in dollars «— Bankers' acceptances based on— Imports _ Exports Domestic transactions Dollar exchange Shipments between or storage of goods in foreign countries All other Trade acceptances based on im- 195 697 25 357 5,640 3,453 1( 8,892 2,344 4,285 1,166 400 3.55 22.59 3.62 47.07 61 3.62 3.62 45.04 39.63 98,249 491 • 79] 682 89 28( 50 2,172 4>592 10,376 1,162 8,664 15( 3,492 249 3.62 39.25 447 166 3.65 48.11 4,184 614 116 5 3.57 37.94 4,136 1,486 452 U 175 3.67 51.82 552 3.62 41.26 46,046 28,415 20,188 2,976 5,522 2,962 2,932 270 3,914 5,395 3,908 538 2,832 2,97( 1,304 599 5,068 2,066 2,186 2,589 • 1,833 1,286 2,129 1,527 1,558 381 153 24,623 70 4,655 5,12S 47 34C 2,023 10 2,376 123,733 16,341 19,271 9,738 12,980 33,576 36,006 16,307 2,013 1,946 1,625 7,275 10,50C 3,lli 2,30C 1,621 85£ 3,29C 2,24 1,77 1,72 1,28 64 2,974 4,02o 1,052 10,036 72 4,673 426 198 1,438 1,19< 537 3,375 1,658 645 2,57C 1,49C 53 2,594 2,556 967 85,889 5,584 20,893 4,78C 7,31 3,65 4,752 18,734 625 3,169 5,67 4,59 6,117 340 437 Bills payable in foreign currencies Total._...- 635 832 936 437 U. S. Securities Bought in Open Market United States bonds..., „ - , Certificates of indebtedness— Total U S securities —... ® 1 Includes Federal intermediate credit bank debentures as follows: Philadelphia, $2,000,000; Minneapolis, $500,000. a Includes $200,000 discounted for the Federal intermediate credit bank of Columbia, S. C. a Includes $157,000 discounted for the Federal intermediate credit bank of Spokane, Wash * Includes bills taken under a resale contract. * Exclusive of acceptances bought under a resale contract. 449 FEDERAL KESERVE B U L I J E T X N JUNE, 1926 REPORTING MEMBER BANKS IN LEADING CITIES PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS [In thousands of dollars] Federal reserve district Total Boston Number of reporting banks: Apr. 21 707 Apr. 28 706 May5_____ _ 705 May 12 . 705 Loans and discounts, gross: Secured by U. S. Government obligations162,271 Apr. 21 163, 749 Apr. 28 172,301 May 5., 167, 988 May 12 Secured by stocks and bonds— 5,262, 50' Apr. 21 5,289,965 Apr. 28 5,318,982 May 5___ 5,295,208 May 12 All other loans and discounts8,446,006 Apr. 21 Apr. 2 8 . — __. 8.495,157 May 5. _._. 8,513,461 8.498,158 Mayl2__ Total loans and discounts— 13, 870, 784 Apr. 21. 13, 948, 871 Apr. 28 14, 004, 744 May 5 13,961,354 May 12 _ U. S. Government securities: 2, 544,196 Apr. 21 2, 533,270 Apr. 28. May 5 . . . . _____.. 2, 539,257 2, 563,493 May 12 Other bonds, stocks, and securities: 3,034,921 Apr. 2 1 . . . 3,042,865 Apr. 28.. 3,055,208 May 5 3,106,698 M yl Total investments: 5,579,117 Apr. 21 5, 576,135 Apr. 28 5,594,465 May 5 5,670,191 May 12 Total loans and investments: .9,449,901 Apr. 21 .._ Apr. 28.. ._ .9,525,006 May 5_____ _ .9,599,209 .9, 631,545 May 12 Reserve balances with Federal reserve bank: 1,597,978 Apr. 21 1,638,210 Apr. 28.. 1,657,721 May 5 . . . . 1,632,065 May 12.. Cash in vault: Apr. 21 275,037 Apr. 28 276,149 276,752 May 5 • May 12 _ Net demand deposits: Apr.21_... .2,813,570 .2,829,008 Apr. 28. „ .2,881,714 May 5 _ .3,022,956 May 12. Time deposits: Apr. 21 5,546,752 5,555,469 Apr. 28. 5,562,208 May 5 May 12 ..___ 5,559,015 New York Philadelphia Cleveland RichSt. Minne- Kansas Dallas mond Atlanti Chicago Louis apolis City 97 97 67 52, 742 57,208 62,117 58,722 11, 588 11, 865 11,972 11,895 320, 5972,218,071 323,077 2,274,363 327,306 2,294,363 329,65' 2, 227,990 407,761 403, 778 404,208 411, 56" 539,279 137,890 103, 562 807, 612 545, 202 139,440 98,081 791,205 544,657 138, 881 104,160 786, 941 537,822 140,077 102,344 817,328 652,292 2,675,100 652,704 1,849 646,724 2,727,970 643,455 2,709,009 376,838 382,942 375,501 381,443 780, 503 780,440 779,128 789,790 10,239 9,426 8,583 8,607 19,93! 19,625 19,711 19,613 5,020 5,094 4,640 4,884 7,719 6,311 6,032 5,841 23,634 11,663 22,671 11,706 27,369 12,181 26,498 11,401 2,525 2,546 2,542 2,561 3,784 3,685 3,755 201,102 61,840 102,646 199,064 62,272 98,214 201,331 61,059 97, 742 199,502 61,600 104,711 San Francisco 49 49 49 49 3,100 10,318 3,074 10,254 2,990 10,479 4,002 10,209 77,520 74,883 73,966 74,99} 284,627 280,386 284,368 287,619 375,966 376, 615 381,462 376,893 407,952 407,285 401,163 405,312 , 241,967312,692 169,953 320,538 233,100 899,105 , 259, 528313,483 170,895 319,816 231,080 900,520 ,263,494 312,895 318, 750 231,407 905, 998 , 261,953 311,760 164,830 319,355 228,489 796,18' , 339, 721518, 876 :, 128 ,945,913 4, 985,207 5,031,420i 798, 585 , 345, 267521,149 982,613 5,084,450 791, 681 . 343,496 524,983 804, 905 347,225 521,854 4, 981, 719 ~'~ 4,995,721 519, 233 511,677 511,355 513,497 073, 213 525,457 ,073,404 524,253 , 077,804 526,407 105,779 522, 663 234,318 235,713 232,570 228,991 426,968 421,999 420,177 427,821 63,375 60,788 59,992 60, 421 71, 567 71,204 71,037 71,184 111,056 112,406 112,355 111, 631 52,426 53, 677 53,611 52,769 258,615 259,294 258,153 263,732 229,918 1,191,795 252,931 234,390 1,188,947 254,105 1,191,927 252,963 241,255 1,197,869 256,801 344,190 61,104 55,104 440,133 106,044 346,268 60,484 56,896 437,766 105.626 344,498 56,998 439,222 107,187 380,819 67,473 56,428 434,732 107,713 42,091 42,816 43,388 44,854 77,022 81,397 81,244 81,830 23,815 22,586 24,157 24,241 210,774 211,584 212,485 212,683 386,034 2,206,576 387,223 2,200,717 356,948 395,295 2,213,185 355,915 395,742 2,233,213 357,194 631,996 129,866 748,823 633,287 128,536 100,784 747,262 626,357 129,088 100,644 750,372 135,658 750,573 156,116 1,014, 781 152, 833 1,011,770 156, 602 1,021,258 154,487 1,035,344 106,157 102, 843 102, 952 100,393 287, 806 287,019 281,859 287, 866 68, 762 68,052 66, 642 68,185 44, 845 43,888 43,646 41,640 308, 690 309, 496 311,150 315, 841 313,720 1,194,050 309,0371,191,160 308,363 1,200,845 307,4821,203,697 169,419 166,414 167,179 168,134 113,658 114,020 114,425 116,038 188,078 76,241 193,803 76,263 470,878 193,599 77,768 470,638 193,461 77,010 476,415 , 369,162r, 152,489 155,275 , 372,430', 232,137 155,533 , 377,908', 297, 635 147,596 ,377,461 ', 228,934 162,099 971,717 978,554 969,853 015,910 648,742 649,685 654,071 657,512 619,182 612,461 611,999 611,565 822,036 820,666 828,176 856,352 694,876 690,667 693,586 690,797 347,976 349,733 346,995 345,029 615,046 615,802 613,776 621,282 39,069 38, 567 41,174 38, 682 43,597 41,369 41,733 44,829 225,805 230,476 255,664 236,075 46,848 49,123 49,764 47,628 24,925 20,479 23,171 22,905 53,766 50,520 53,814 52,822 13,632 11,393 13,653 11,373 13,295 11,159 13,783 11,341 49,134 48,324 49,192 49,670 7,716 8,090 8,186 6,377 6,245 5,852 6,013 12,295 9,373 20,166 12, 630 10,105 20,844 12,015 9,720 12,741 10,058 21,208 350,511 724,057 402,675 214,933 346,613 724,789 409,923 213,434 350,001 746,402 412,601 213,919 357,867 782,499 406,216 213,170 474,828 269,356 751,241 469,028 •264,369 743r448 472,713 264, 111 745,459 483,128 762,900 03,500 93,273 97,759 96,296 728,327 774,140 751,383 742,930 82,757 81,474 84,946 82,270 119,461 121, 612 119,565 124,896 20,919 20,587 20,503 20,746 77,329 78,086 79,302 80,505 16,527 15,770 15,920 16,833 30,283 30,816 30,768 31,404 884,819 5,592,538 883,681 " 622,013 626,078 900,652 5', 648,744 776,649 774,584 778,334 786,365 010,169 012,956 016,719 040,262 ,245,387 ., 249,601 ., 249,170 ., 238,999 227,964 227,299 227,607 228,751 267,026 219,900 806,212 206,796 221,874 804,769 206,042 221,151 207,029 220,492 403,148 408,747 417,110 416,048 361,794 364,170 365,155 372,844 038,288 030,873 034,993 032,253 216,916 215,651 215,643 216,903 109,836 109,682 108,294 108,576 146,167 146,402 146,433 145,939 389,9611,663,439 385,3001,662,038 386,1311,671,483 384,4921,680,112 30,130 28,308 29,141 27,792 100,902 100,575 100,489 99,913 109,793 108,869 109,607 114,940 826,284 831,757 830,507 837,120 450 FEDERAL RESERVE BTJLLETHST JUNE, 1926 PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS-Continued [In thousands of dollars] Federal reserve district Total New York Boston Government deposits: Apr. 21 Apr. 28.-... May 5 May 12 Bills payable and rediscounts with Federal reserve bank: Secured by U. S. Government obligationsApr. 21 Apr. 28 May 5 May 12 All otherApr. 21 Apr. 28... May 5 May 12 ____. Total borrowings from Federal reserve bank: Apr. 21.... ....—. Apr. 28_ May 5 , M a y 12_.__,_.__ 240,734 240,827 231,747 219,707 122,175 191,38" 222,146 170,904 Philadelphia 47,958 38,030 38,864 37,309 35,448 46,041 43,736 29,379 29,379 28,199 28,789 2, 050 19,587 890 92,550 1,615 122, 538 1,215 125, 755 114,255 121,490 102,283 7,579 10, 729 4,059 6,494 12,883 17,917 18,488 13,678 7,406 6,668 6,159 6,006 247,930 305,642 343,636 273,187 9,629 32,470 11,619 110,467 5,674 141,026 7,709 80,560 14, 644 14, 236 11,577 10,289 Cleveland Richmond Atlanta Chicago San Francisco St. Minne- Kansas Dallas Louis apolis City 29,539 29,522 28, 337 26, 947 9,321 11,901 8,681 11,005 8,947 11,399 10,841 21,713 21,710 20, 763 19, 248 8,159 8,148 7,819 7,411 4,219 4,219 4,039 3,843 8,305 8,305 7,974 7,573 7,259 7,— 6,619 18, 773 21,909 19,349 39, 696 5, 7371 4,433 5,314} 2,541 5,425! 2,207 6,349; 1,615 19, 530 21,409 25,429 15,284 5,987 2,630 2,45^5 2,830 2,655 7,450 4,145 3,555 2,766 715 28,045 915 25,589 1,194 26, 796 1,009 22,881 6,lH 5,7! 24, 951 24,951 23,952 22, 754 12,124 15,328 9,464 10, 241 11,09l! 10,995 9,798 21,506 17,723 16,687 11,197 14,762 10,530 13,036, 6,352 16,679 7,833 15, 271 1,107 1,251 1,297 1,025 7,006 7,625 8,748 7,265 1,897 3,540 3,477 2,713 13,627 9,70918,079 12,353 30,897 31,373 28, 242 50,691 25, 939 20,264 18,894 12,812 34,292 16,517 34,445 12,454 42,108 13, 623 30,555 11,757 3,737 3,706 4,127 3,680 14,456 11, 770 12, 303 10,031 2,612 4,455 4,671 3,722 41, 672 35,298 44,87535,234 21, 065 15, 555 16,516' 16,147 REPORTING MEMBER BANKS IN 12 FEDERAL RESERVE BANK CITIES—BANKERS* BALANCES [In thousands of dollars] Federal reserve bank city Total (12 cities) Due to banks: Apr. 21 Apr. 28 May5.._-___ May 12 Due from banks: Apr. 21 Apr. 28 May 5 May 12 PhilaBoston New York delphia 2,195,375 2,179,936 2, 277,209 2,181, 926 139,306 130,353 135,463 130,841 1,079,477 1,078,359 1,109,224 1,052,136 180,597 178,849 187,024 180,967 587,479 600,915 619,203 597,225 45,809 39,352 39,798 44, 265 106,592 111,629 101, 200 100,410 70,310 62,821 75, 707 60,579 Cleve- Richland mond Atlanta 46,109 45,850 47,545 44,684 25,414 47,667 19,188 364,449 16,795 366,957 83,928 48,535 90,374 24,861 18,855 402,844 88,392 50,347 94,174 27,220 16,417 85,142 56,505 93, 764 24,655 30,793 30,188 31,899 31, 977 26,256 15, 890 30,411 17,123 27,585 16,274 24,656 16,344 11,020 13, 609 14,882 13,930 Chicago 150,848 161,398 173,945 167,236 St. Louis 27,392 30,782 30,682 30,301 Minne- Kansas Dallas apolis City 19,791 24,857 21,077 24,477 38,990 39,201 48,317 38,905 21, 761 21,066 22,402 25,304 San Francisco 88,578 84,887 84,222 84,630 52,820 47,334 50,818 LOANS T O B R O K E R S AND DEALERS, S E C U R E D BY S T O C K S AND B O N D S , M A D E BY R E P O R T I N G M E M B E R BANKS IN N E W YORK CITY [In thousands of dollars] Demand and time loans 1926 Apr. 21 Apr. 28May 5 May 1 2 - - - - . . . Demand loans Total For own account For account of out-oftown banks For account of others 2,464,679 2,463, 697 2,489,391 2,480,280 885,590 897,940 974,957 888,427 1,044,378 1,023,681 1,007,731 1,056,284 534,711 542,076 506,703 535, 569 Total 1,655,909 1,<672,651 1,721, 935 1,737,698 For own account 458,497 466,270 554,280 487,197 Time loans For ac-. count of For acout-of- count of town others banks 720,577 717,018 710,037 769,192 476,835 489,363 457, 618 481,309 Total For own account For account of out-oftown banks 808,770 791,046 767,456 742, 582 427,093 431,670 420,677 401,230 323,801 306,663 297,694 287,092 For account of others VI, 876 52,713 49,085 54, 260 451 FEDERAL RESERVE BULLETIN JUNE, 1926 REPORTING MEMBER BANKS IN NEW YORK CITY AND CHICAGO—PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS [In thousands of dollars] New York City Apr. 28 Apr. 21 Number of reporting banks Total loans and discounts U. S. Government securities _.. Other bonds, stocks, and securities May 5 May 12 Apr. 21 59 59 59 59 46 47,808 1, 933,007 2,348,291 52,313 1,986,592 2,370,143 57,233 2,008,062 2,401,540 53,855 1,944,663 2,378,138 17,509 600,493 680,872 4,329,101 4,409,048 4,466,835 4,376,656 895, 058 893, 042 895, 045 887,681 905,449 889,364 919,615 894,442 __ Loans and discounts, gross: Secured by TJ. S. Government obligations. Secured by stocks and bonds All other loans and discounts. __ __ City of Chicago » ' Apr. 28 May 5 May 12 46 46 16,421 585,556 694,167 21,105 581,318 697,113 20,487 608,411 702,148 1,298,874 1,296,144 1,299,536 1,331,046 157,980 205,763 164,349 203,743 165,892 205,114 170,210 200,063 Total investments.__ 1,788,100 1,782, 726 1,794,813 1,814,057 363, 743 368,092 371,006 370,273 Total loans and investments 6,117,201 6,191,774 6,261,648 6,190,713 1,662,617 1, 664,236 1,670,542 1,701,319 667, 760 62,241 5,011,375 828,166 42, 828 711,897 63,835 5,038,589 833, 534 42,828 690,639 64, 656 5,045,593 835,962 41,113 681,870 154,563 65,222 21,241 5,060,270 1,127,654 824,853 • 505,451 39, 057 9,345 158,173 21,181 1,138,409 501,776 9,342 182,876 20,876 1,160,974 502,690 8,903 161,832 21,024 1,177,730 501,395 8,514 Bills payable and rediscounts with Federal Reserve bank: Secured by U. S. Government obligations All other __ 7, 512 8,176 81,732 13,151 113,950 13,897 57,125 9,230 6,080 3,194 6,420 2,211 5,040 4,728 4,634 5,250 Total borrowings from Federal reserve bank__ _ __ ..... 15, 688 94,883 127,847 66,355 9,274 8,631 9,768 9,884 Reserve balances with Federal reserve b a n k . . Cash in vault Net demand deposits. _. Time deposits ;___ Government deposits .._.__ ALL MEMBER BANKS—DEPOSITS, BY FEDERAL RESERVE DISTRICT AND SIZE OF CITY [In thousands of dollars] Net demand deposits 1926 Federal reserve district Boston New York Philadelphia. Cleveland. .1 Richmond Atlanta Chicago.. __ St. Louis.. Minneapolis Kansas City Dallas San Francisco Total . 1925 1926 1926 Jan. 27 Feb. 24 Mar. 24 Apr. 28 Apr. 22 Jan. 27 Feb. 27 Mar. 24 Apr. 28 1,374,330 6,455,855 1,190,601 1,495,667 613,437 760,379 2,429,995 760,201 452,173 862,059 659,, 813 l,31i,604 1,350,075 6,371,738 1,170,180 1,507,999 620,320 756,985 2,469,183 745,970 457,021 862,546 654,003 1,294,977 1,337,219 6,370,129 1,169,750 1,467,382 605,734 726,842 2,412,260 733,071 452,286 842,218 637,392 1,259,406 1,364, 018 6.415,786 1,195,490 1,481,605 591, 611 697,133 2,463,012 742,039 430,343 827,071 605,845 1,250,410 1,298,704 6,334,929 1,155,613 1,469,584 565,450 620,420 2,384,717 708,335 451,891 838,824 635,576 1,251,037 801,024 2,230,372 869,084 1,354,620 513,875 438,920 1,883,018 466,253 441,449 314,084 167,330 1,322,578 813,127 2,251,868 876,312 1,364,418 516,626 446,715 1,883,284 467,704 440,772 320,650 171,024 1,340,365 820,818 2,283,991 875,945 1,379,613 518,652 441,056 1,892,013 472,818 439,126 319,296 169,159 1,357,039 835,447 2,316,911 887,115 1,400,234 516,044 446,396 1,883,491 479,354 436,566 321,296 165,668 1,359,637 , 18,366,114 18,260,997 18,013,689 18,064,363 17,715,08C Banks in cities and towns having a population of— 1,720,826 1,724.373 1,701,022 Less than 5,000 1,158,992 1,157,660 1,140,139 5,000 to 14,999 15,000 to 99,999 , 2,405,814 2,399,216 2,367,207 13,080,482 12,979,748 12,805,321 100,000 and over..—_. Time deposits 1,663,116 1,637,884 1,127,913 1,088,048 2,354,817 2,239,760 12,918,517 12,749,388 Apr. 22 729,635 2,121,020 786,676 1,300,882 501,893 388,125 1,767,731 435,041 439,950 307,175 165,531 1,242,963 10,802,607 10,892, 865 10,969,526 11,048,159 10,186,622 1,761,695 1,129,972 2,169,045 5,741,895 1,774,543 1,143,579 2,181,037 5,793,706 1,781,595 1,147,134 2,192,271 5,848,526 1,782,813 1,151,394 2,202,327 5,911,625 1,691,055 1,081,730 2,044,266 5,369,571 ALL MEMBER BANKS—CONDITION ON APRIL 12, 1926 . ALL MEMBER BANKS (7,99.4 NATIONAL BANKS AND 1,418 STATE BANKS AND TRUST COMPANIES)—ABSTRACT OF CONDITION REPORTS ON APRIL 12, 1926 BY FEDERAL RESERVE DISTRICTS [In thousands of dollars] . Federal reserve district total (9,412 banks) PhilaBoston New York delphia Cleveland Richmond Minne- Kansas Atlanta Chicago St. Louis apolis City Dallas San Francisco (885 banks) (860) banks (592 banks) (492 banks) (850 banks) (724 (418 banks) (756 banks) (1,379 banks) (622 banks) (817 banks) (1,017 banks) % RESOURCES 21,989,048 1,685,565 6,378,0611,551,442 2,115,6221,029,758 990,232 3,292,919 970,713 574,719 793,039 666,208 i. 1,940,770 17,260 2,001 445 1,025 665 2,186 2,505 1,574 653 1,639 558 1,194 2,815 3,831,078 274,882 1,172,065 244,897 413,813 134,889 109,802 484,972 141,291 147,845 199,322 120,791 __ _ 5,232,617 430,125 1,660,837 614,937 600,497 132,775 138,891 722,401 221,201 145,859 44,451 354,014 31,070,003 3,391,130 9,212,964 2,411,7213,130,957 1,298,087 1,241, 111 4,502,797 1,334,779 889; 846 1,139,414 833,089 2,684,108 Total loans and investments Customers' liability on account of acceptances 9,661 10,284 8,.974 27,761 644 1,612 52, 206 341,395 11,622 2,413 79 * "" 19,608 955,563 64,815 190,713 72,044 129,680 57,790 50,371 144,223 38,326 24,916 43,690 41,734 97,261 Banking house, furniture and fixtures __ 173,906 13,030 10,731 17,958 11,175 11,246 28,360 8,060 15,280 17,026 13, 611 20,942 Other real estate owned 6,487 540,261 Cash in vault _ 44, 631 117,315 42,552 57,975 26,992 27,969 85,997 22,576 20,149 27,988 22,915 43,202 2,135,948 143,796 781,876 131,910 177,825 66,746 77,529 321,071 82,611 53,592 83,990 58,172 156,830 Reserve with Federal reserve banks 722,055 Items with Federal reserve banks in process of collection 71,297 40,081 7,758 36,011 28,467 38,413 60,507 232,188 59,783 68,966 47,715 30,869 Due from banks, bankers, and trust companies ____ 1,933, 501 90,542 187,772 118,656 161,630 94,614 172,755 337,713 114,311 104,869 188,641 135,343 226,655 Exchanges for clearing house, also checks on other banks in same 1,450,457 42,849 1,018,269 57,831 41,928 21,083 26,534 114,598 23,304 10,581 20,122 11,855 61,503 142,939 35,801 3,188 10,905 5,316 2,708 Outside checks and other cash items 5,619 3,695 5,581 3,316 5,053 32,349 32,879 4,158 2,823 2,007 2,027 2,178 Redemption fund and due from United States Treasurer _ 2,361 4,276 2,997 4,386 1,453 1,774 2,439 13,770 1,181 2,205 2,523 1,147 4,170 2,372 United States securities borrowedl 51 1 22 1,870 90 45 1,657 Other securities borrowed *__.. .60 18 9,189 416,029 53,371 10,891 Other assets ___ 4,584 3,439 3,905 28, 758 246, 797 10, 295 14,415 6,044 24,341 Total.-. _-_ _ _— 40,075,440 2,933, 663 12,382, 278 934,337 3,828,744 1, 647, 990 1, 666,165 5, 726,809 1,682,750 1,141, 111 1,567,228 1,156, 674 3,407,691 Loans and discounts Overdrafts _..• United States Government securities Other bonds, stocks, and securities _ I _ . _. LIABILITIES Capital stock paid in ,„_. Surplus fund _ _ _. Undivided profits, less expenses and taxes paid Reserved for taxes, interest, etc., accrued ___ Due to Federal reserve banks/ _. Due to banks, bankers, and trust companies-Certified and cashiers' or treasurers' checks outstanding. Demand deposits.._ . ___-_-_ Time deposits...__._ __._ United States deposits Total deposits _ Agreements to repurchase United States Government or other securities sold ___ Bills payable (including all obligations representing money borrowed, other than rediscounts) Notes and bills rediscounted (including acceptances of other banks and foreign bills of exchange or drafts sold with indorsement). ___ __. Letters of credit and travelers' checks sold for cash and outstanding Acceptances executed for customers. Acceptances executed b y other banks for account of reporting banks.. National-bank notes outstanding United States securities borrowed . Other securities borrowed Other liabilities_._ _ _._ Total.. _—_. 1 Exclusive of securities borrowed by national banks. 2,162,434 154,704 559,881 150,650 216, 215 116, 223 98,705 304,495 113,647 93,662 97,760 190,161 1,880,620 138,061 600,435 254, 629 232, 776 85, 001 64,794 234,694 60,920 35,292 43,388 43,733 86,897 783,012 271,140 80,803 19,005 23,627 43,318 14, 247 75, 894 33,233 24,746 89,900 29, 000 23,695 132,688 38,472 7,502 18,362 4,400 3,285 3,560 4,419 6,237 10,460 2,031 10,265 2,413 47,893 14,429 6,061 2,083 1 10,606 5,157 339 4,281 1,630 3,801,513 163,937 1,400,580 205, 560 235,195 127, 679 185,701 603,805 178,568 114,388 122,468 17,954 32,587 12,069 45,423 863,466 10,495 10,358 10,339 15; 200 22,991 630,798 10,525 44,727 16,823,148 1,338,455 5, 676,1701,, 134, 235 1,392,895 587,123 702,928^2,244,196 779,308 612,480 1,: , 255,100 10,954, 747 812,461 2,253,128 388,458 517,887 432,954 1, ,367,987 479,134 438; 964 315,685 169,4651,,' 71,037 47,298 41,796 379,450 20,542 35,324 53, 727 21,124 9,499 12,496 34,676 16,123 1,046,142 2,,291,3913, 096,088 1,274,9141,356,277 4,t, 829,5021. 983,2801,348,970 929,064 2,944,046 32,870,211 2,395,85210: ,374,691 1,496 11,312 540 573 43 10 543 132 72 314 15,800 500 265 142,315 50,290 48,006 2,409 33,024 21,872 41,257 7,311 10,308 419,853 18,243 16,719 421,005 30,498 186,791 21,056 23,772 27,236 33,196 23,266 470,292 908 53,978 16,748 323,241 798 8,154 668 9,136 423 10,456 46 13,302 2,459 26,940 14,429 3,261 9,699 55 651 44 2,150 82 76 17,178 107 1,708 928 20,500 55,002 43,804 3,819 1,046 1 2,755 417 459 2,000 2 212 487 648,954 81,224 55,570 85,264 39,260 40,317 46,771 28,705 35,095 42,913 48,028 39,381 651 1,889 3,855 12,173 3,530 7,465 4,396 167 125 1,132 2,747 1,251 ' 5,923 65 249 1,411 374 8 444 1," " 434 27 605 107 331 146,993 60,057 6,041 3,123 21,047 1,402 4,165 26,108 4,887 6,623 2,003 V 40,075,440 2,933,663 12,382,278 2,934,337 3,828,744 1,647,9901,666,165 5,726,809 1,682,7501,141, 111 1,567,228 1,156,674 3,407,691 d H s s ALL MEMBER BANKS—ABSTRACT OF CONDITION REPORTS ON APRIL 12, 1926, AND DECEMBER 31, 1925, BY CLASSES OF BANKS I-* CO Central reserve city banks Total United States Other reserve cities Total Apr. 12, Dec. 31, 1926 1925 (9,412 banks) banks) a I [In thousands of dollars] New York Country banks Chicago 12, Dec. 31, Apr. 12, Dec. 31, Apr. 12, Dec. 31, Apr. 12, Dec. 31, Apr. 1926 1925 1926 1925 1925 1926 1926 (77 1925 (83 (56 (20 (544 (549 (63 (21 banks) banks) banks) banks) banks) banks) banks) Apr. 12, Dec. 31, 1925 1926 (8,857 (8,791 banks) banks) RESOURCES Loans and discounts . 21,989, 048 22,257,',763 Overdrafts ____. 17,260 17, 522 United States Government securities 3,831,078 :-, 761, 065 Other bonds, stocks, and securities.. „„„_ _-_.„. 5, 232, 617 5,163,166 . Total loans a n d investments..:..... _• . 31,070,003 31.,189,516 Customers' liability on account of acceptances 498,143 486,259 Banking house, furniture, and fixtures-„, 955, 563 927, 357 Other real estate owned 170, 763 173,906 Cash in vault. „ 540, 261 574,532 Reserve with Federal reserve banks 2,135,948 2, 238,233 Items with Federal reserve banks in process of collection 722, 055 825, 543 Due from banks, bankers, and trust companies 1, 933, 501 2,155,306 Exchanges for clearing house, also checks on other banks in same place. 1,450,457 2,195,466 Outside checks and other cash items--. 142,939 159,060 Redemption fund and due from United States Treasurer.... 32, 982 32,879 United States securities borrowedl 11,152 13, 770 Other securities borrowed L___-_ . 2,160 1,870 435,082 Other assets ..__„ 416,029 Total _ 6,201,182 4,, 503,741 4,:, 943,477 ,1,205,246 1,257,705 7,992,229 891,883 8,287,832 8,164,698 9385 9,136 2, 549 1,447 342 5,588 529 6,148 2,207 1,030,185 864,316 875,223 145,873 154,962 1,421, 707 333,589 1,399,182 1,397,291 867,931 778,509 713,332 165, 209 154, 599 1, 550,085 1, 567,801 2,738,814 2,727,434 86112,434,96412,298,888 2,434,964 8,101,847 6,,148,013 6,534,1,2391,516,8571,567i', 60810, 970,169 10, 798,861 " " 17,853 25,498 " 12,177 367, 237 338,047 - ' 21,151 110,537 113,053 127, 604 109, 721 101,701 26,242 25,903 371, 568 362,241 448,032 437,512 2,813 242 116,877 3,093 50,793 119,575 255 51,276 2,838 62,207 16,017 316,569 81,998 297,864 175,965 16, 561 164,173 65,437 628,961 862, 969 622,765 713,300 148,816 149, 669 747,087 617,280 746,303 29, 289 125,656 229, 707 176, 718 188,759 113,980 40,948 402,068 470,180 213,185 80, 513 95,905 109,167 117, 280 812,030 886,207 931,791 1,055,914 1, 676, 640 993,042 1., 583,837 63,667 92,803 81,846 103,710 311,902 415,116 18,373 31,292 49,880 23,414 24, 500 25,380 77,888 71,286 222 24,053 1,546 1,457 23,780 1,487 59 7,383 7,420 5,320 5,757 5,832 8,013 1,328 743 832 1,127 40,211 36,903 273,395 293,741 233,094 260,348 40,301 101,130 105,731 5,708,987 1,976 1,010,189 943. 718 7,664,870 363, 545 135,963 3,055 78,224 77.1, 581 206, 007 189,680 1,056, 709 48,239 1,679 40, 075,440 41,425, 295 10, 792,947 12,009,447 8, 798,256 9,918,437 1,994,691 2,091,010 14,134,387 14,211,78415,148,10615,204,064 LIABILITIES Capital stock paid in _•_.._ 2,162,434 2,105,308 485,842 460,650 390,000 369, 750 95,842 90, 900 729, 677 704,438 946,915 940,220 Surplus fund _-___• __-_ 1,880,620 1,832, 691 550,359 521,076 451,889 431,376 98,470 618,939 701,228 692,676 89, 700 629,033 Undivided profits, less expenses and taxes paid .783,012 739,934 217,461 227,722 186,873 189, 589 30, 588 214,903 337,653 297,309 38,133 227,898 Reserved for taxes, interest, etc., accrued , 132, 688 108,903 38,122 26223 39,288 13,065 42,253 38,258 23,877 14,245 55,142 Due to Federal reserve banks _ 47, 893 51,112 83 72 72 37,209 83 13/820 34,764 13, 057 D u e to banks, bankers, and trust companies 3, 801, 513 4,169,470 1, 688, 1,848, 459 1 ,306,1811, 471,856 506,417 814,594 448,670 376, 603 863,466 1, 225,758 Certified and cashiers' or treasurers' checks outstanding ___._. 632, 084 885,511 611,903 , 108,290 20,181 231,957 855, 726 29, 785 149,655 81,727 7 16,823,148 17; Demand deposits _ _„_.. ,824, 702 5,126, 534 5,858,039 4, 242, 242 242, 714 975,152 5,795, 629 880,410 5,900,985 714 4, :, 882,887 883,820 10, 954, 747 J10,653, " Time deposits „ fc_» 028 1,178, 658 1,169,855 786 595 782, 700 392,063 387,155 3, 989,947 836,548 5,786,142 5,646,625 786, 595 United States deposits... 304,131 14,822 379,450 73,645 67,325 177,493 52,993 58,82,3 253,901 58,224 .., ,. 11,661 __,.__ ___, 55,664 Total deposits-_„. : 33,870,217 31,228,201 9,885,592 7 003, 129 1,56811, 954,822 12,310; 51212, 437,787 ~ 8,052,075 1,690,008 1,783,517 11,866, 8,693,137 Agreements to repurchase United States Government or other securities sold „., „ 7,081 3,735 8,132 870 15,800 2,476 1,715 • 5,757 367 196 8,328 Bills payable (including all obligations representing money borrowed, other than rediscounts) ^__. „ 527,898 185,332 101,405 164,975 419,853 143,912 166,475 167,695 174,871 20,357 8,061 109,466 Notes and bills rediscounted (including acceptances of other banks 483,914 and foreign bills of exchange or drafts sold with indorsement).. 421,005 229,786 173,105 220,981 8,805 113,756 146, 5Q1 119,015 107,627 15,129 188,234 21,965 Letters of credit and travelers' checks sold for cash and outstanding.. 23,266 2,569 4,080 2,140 16,226 18, 795 16,446 600 242 2,928 18,586 356,369 320, 761 337,170 24, 555 19,199 Acceptances executed for customers.-. >_ ._ 470, 292 486, 548 114,668 10,308 14,093 116,086 53, 608 345,316 Acceptances executed by other bjanks for account of reporting banks.. 55,002 43,194 8,472 1,908 41, 778 3,072 44,850 1,428 2,015 6,743 45,102 647, 951 National-bank notes outstanding...__ ___„ 28,015 146, 684 4,450 29,175 1,181 30,356 469,805 472,726 144,869 32,465 43,858 United States securities borrowed-.-!9, 381 185 1,050 4,710 1,375 21,996 6,085 16,150 17,376 20,397 1,235 5,785 5,923 Other securities borrowed... „. 150 1,989 150 192 342 3, 784 3,876 1,567 150 146, 993 131, 650 Other liabilities... „..„.„_„„ 9,079 33,195 17,440 64,755 50,635 24,260 21,024 59,991 57,978 Total ..... 40,075,440 41,425,295 10, 792,947 12,009,447 8,798,256 9,918,437 1,994,691 2,091,010 14,134,387 14, 211, 784 15,148,106 15, 204, 064 ^Exclusive of securities borrowed b y national banks. CO ALL NATIONAL MEMBER BANKS—ABSTRACT OF CONDITION REPORTS ON APRIL 12, 1926, AND DECEMBER 31, 1925, BY CLASSES OF BANKS [In thousands of dollars] Central reserve city banks Total United States Apr. 12, 1926 (7,994 banks) Total New York Chicago Other reserve cities Country banks Dec. 31, Apr. 12, Dec. 31, Apr. 12, Dec. 31, Apr. 12, Dec. 31, Apr. 12, Dec. 31, I Apr. 12, Dec. 31, 1925 1925 1926 1926 1925 1926 1925 1926 1925 1925 1926 (42 (25 (8,048 (36 (32 (11 (7,638 (10 (363 (368 (7,595 banks) banks) banks) banks) banks) banks) banks) banks) banks) banks) banks) RESOURCES 296,857 13, 531,253 2,768, 281 3, 076,764 2,150,344 2,427,p,281 Loans and discounts . 428 10, 9451 10, 550 431 671 Overdrafts-.. -•_•_ 2, 537, 669 2, 520,050 563,758 582,729 513,465 527,242 United States Government securities,-. Other bonds, stocks and securities., , . .-_. 3,267| 147 3,250,128 429,219 417,695 375, 098 367,844 19,112,618 19,311,981 3,,761,939 4 ,077,887 1,039,335 1,333,798 Total loans and investments „ ... 265,066 277, 513 180,369 190,181 166, 689 178,666 Customers'liability on account of acceptances 621,236 605,935 67,203 . 64,874 50,199 48,112 Banking house, furniture, and fixtures ___ 339 300 113,969 113,723 140 136 Other real estate owned 38, 594 40, 534 29,424 31,114 Cash in vault _.-. _.__ . „_. 366, 715 388,856 1,288, 664 1, 376, 992 385,170 441,437 301,500 357, 777 Keserve with Federal reserve banks 487,345 572,090 123,580 143,686 104,654 116,324 Items with Federal reserve banks in process of collection „_____ 1, 449, 278 1,616,534 103,035 115, 052 27, 042 36, 967 Due from banks, bankers, and trust companies — Exchanges for clearing house, also checks on other banks in same place 858,016 1,236,439 604,335 898,100 564,118 844, 611 71,311 20,404 11, 532 18,180 Outside checks and other cash items .__ _ ____ . 8,577 1, 679 32,982 32,879 1,457 Redemption fund and due from United States Treasurer 1,546 1,487 215, 528 235,094 143,409 164, 631 127,569 149,430 Other assets --Total . - 617,937 649,483 4, 220,305 4,217,800 6,308,271 243 2,900! 2,496 7,374 50,293 55,487 811,373' 765,450 1,162,538 54,121 49,851 716,385 730,256 2,121,543 733,594 755,089 ,750,963 5,716,003 9,599,736 11,515 78,450 77,639 6,247 13,680 16,762 196,224 190, 568 357,809 17,004 199 19,435 20^874 94,234 164 9,420 91,191 97,987 9,170 83, 670 83, 660 425, 004 434, 567 478,490 18,926 27,362 80,372 340,327 75,993 78,085 567,947 620, 551 778,296 40,217 53,489 193,057 263,722 60, 624 2,955 29,878 2,224 18,518 34,410 222 59 23, 780 7,420 7,383 15,840 15, 201 53,804 18,315 52, 357 6,236, 689 7, 355 1,171,871 2,102,177 9,518,093 9,693 350,493 92,510 250,335 500,988 88,077 880,931 74,617 25,369 24,053 18,106 24, 880,114 25,839,450 5,430, 007 6,149, 799 4,430,303 5,096,003 999, 704 1,053,796 7,696,766 7,856,387 11,753,34111,833,264 LIABILITIES Capital stock paid in __ .____.._ 1,409,634 378,301 248,442 234,700 195,800 184,750 1,187,968 165,879 313,320 295,540 271,900 261,640 Surplus fund , 500,294 476,001 102,996 116,506 91,165 97,998 Undivided profits, less expenses and taxes paid _._ 63,318 59,161 15,021 18,236 9,823 11,997 Reserved for taxes/interest, etc., accrued... _ 35,785 38,321 8 8 Due to Federal reserve banks _._ ._ 2, 765, 785 973,2481,113,4491,151,285 835,517 871,773 Due to banks, bankers, and trust companies .,. 481, 816 675,878 346,562 468,245 337,124 453,497 Certified and cashiers' or treasurers' checks outstanding _.__„ 10,451,412 11, 145,805 2,459, 561 2,915,233 1, 967,406 2,382,048 Demand deposits _._. 1,197,861 " 045,762 376,425 387,673 310,953 321,441 Time deposits -231,863 190,948 39,037 43,593 33,328 37,304 United States deposits 30,164,533 31 009,962 4,335,034 3,484,338 4,066,071 034 4,966,037 4, Total deposits .—,__—_• . Agreements to repurchase United States Government or other securities 2,497 35 400 35 400 sold.. . — Bills payable (including all obligations representing money borrowed, 265,590 384,377 68,561 167, 520 63,500 147,163 other than rediscounts) _. — Notes and bills rediscounted (including acceptances of other banks and 258,713 264, 505 94,107 86,757 84,437 81,464 foreign bills of exchange or drafts sold with indorsement) , 7,523 4,834 5,099 7,753 Letters of credit and travelers* checks sold for cash and outstanding 2,912 2,664 257,929 162,245 173,569 149,533 163,516 246,199 Acceptances executed for customers. ._._._....-39,595 31,355 31, 594 29,447 28, 522 39,493 Acceptances executed by other banks for account of reporting b a n k s — — 647, 951 32,465 30,356 28,015 29,175 National-banknotes outstanding..-. ..__ — 25,611 32, 706 1,235 4,710 United States securities borrowed. .__. .._ .. 185 3,625 4,053 150 342 192 Other securities borrowed ----—49, 951 20, 207 55, 515 19,223 15,741 Other liabilities....__—~ ——17,058 24,880,114 25,839,450 5,430,007 6,149,799 4,430,303 5,096,003 Total... —— 52, 642 41,420 11,831 5,198 277,932 9,438 492,155 65,472 5,709 850,706 5,061 9,670 1,922 12,712 1,908 4,450 1,050 150 49,950 412,519 399,232 748,673 744,369 33,900 313,157 313,417 561,491 556,922 18,508 130,121 125,926 267,177 233,569 6,239 23,964 21,800 24,333 19,125 9,627 9,965 26,158 28,348 | 368,774 419,608 279, 512J1, 283,52 ,402,355 61,191 83,478 14, 748-1 74,063 124,155 533,185.3, 428,325 , 510,440 4,563,526 4, 720,132 ,394,718 452,8461 4,368,690 4,263,371 66,2321, 3, -44,396 43,572 6,289 148,430 103,783 545,416 899,966 6 596,853 6,545 9,433,635 9,558,509 20,357 71,835 87,550 5,293 73,904 2,435 10,053 78,905 3,072 6,744 1,181 146,684 , 1,375 13,983 150 862 1,317 23,781 95,244 2,220 76,054 6,048 144,869 14,565 735 22, 523 1,634 796 125,194 129,307 82,504 204 8,306 1,953 472, 726 12,056 2,548 10,370 999,704 1,053,796,7,696,766 7,856,387 11,753,34111,833,264 90,702 293 5,049 1,394 469,805 10,393 3,041 11,527 STATE BANK AND TRUST COMPANY MEMBERS—ABSTRACT OF CONDITION REPORTS ON APRIL 12, 1926, AND DECEMBER 31, 1925, BY CLASSES OF BANKS [In thousands of dollars] Total United States Dec. 31, 1925 (1,441 banks) Apr. 12, 1926 (41 banks) Dec. 31, 1925 (41 banks) Apr. 12, 1926 (31 banks) Country banks Chicago New York Total Apr. 12, 1926 (1,418 banks) Other reserve cities Central reserve city banks Dec. 31, Apr. 12, Dec. 31, 1925 1926 1925 (10 (31 (10 banks) banks) banks) Apr. 12, Dec. 31, 1926 I 1925 (181 (181 banks) banks) | Apr. 12, ! 1926 | (1,196 j banks) Dec. 31, 1925 (1,219 . banks) RESOURCES Loans and discounts _ Overdrafts United States Government securities.. Other bonds, stocks, and securities Total loans and investments .__ ; „ __.._.- 8,692,191 .. 6,315 8, 726, 510 2,940,706 3,124,418 2,353,397 2, 516,196 587,309 286 1, 776 6,972 1,019 1,305 1,850 1,293,409 1,241,015 446,431 447,456 350,851 347, 981 95, 580 1,965,470 1, 913,038 514,499 450,236 403,411 345,488 111, 088 11,957,385 11,887,535 3,902,941 4,933,980 3,108,678 3,211,441 794,363 221,193 220,630 183,176 177,056 171,358 167,420 11,818 9,238 53, 589 334,327 321,422 59, 522 68,760 62,730 78 .. 2,698 59,937 57,040 2,677 2,755 2,754 1,033 7,183 18,436 17, 499 7,029 8,170 5,814 167, 240 27,140 156, 047 26,787 32, 601 33,294 861,241 386,411 421, 532 321,265 355, 523 65,146 847, 284 253,453 234, 710.* 72,064 72,435 10, 363 82,427 i 86,021 33,174 __.. 538, 772 484,223 86, 645 53,471 98,133 Customers' liability on account of acceptances Banking house, furniture and fixtures .._. Other real estate owned Gold and gold certificates All other cash in vault Reserve with Federal banks Items with Federal reserve banks in process of collection. Due from banks, bankers, and trust companies Exchanges for clearing house, also checks on other banks in same place Outside checks and other cash items United States securities borrowed .__ Other securities borrowed Other assets.. Total.. 592,441 74,139 13, 770 1,870 200, 501 959, 027 87,749 11,152 2,160 199, 988 452,374 778, 540 27,835 | 38,348 129,9 .129,110 428,924 11,686 739,226 15,923 105,525 110,918 23,450 16,149 24,461 608,222 3, 771,924 3, 674,083 1,979,561 1,928,009 2,030 1,762 3,248 3,092 74 225,420 99,475 610, 334 568,139 236, 644 625,257 104, 748 833,700 837, 545 617,271 813,519 5,319,306 5,083,859 2,835,338 3,780,716 8,160 5,930 32,087 35,414 9,636 87,019 90,223 175,344 171,673 9,141 24,367 25,341 31,841 29,919 56 6,339 6,928 3,542 3,927 987 59,895 54,006 69,440 74,051 6,154 127,973 66,009 322,083 311,736 138, 790 37,579 33,608 13, 586 118, 675 1129,853 174,983 39,195 244,083 '265,656 153,495 118,845 41,408 8,013 1,127 18,192 i 51,927 39,314 22,425 151,394 43,478 5,832 832 48,773 21,222 4,896 5,757 743 18, 588 29,093 5,923 5,320 1,328 22,105 994,987 1,0037,2141 6,437,621 6,355,397 3,394,76i 3,370,800 1.5,195,326 15,585,845 5,362,940 5,859, 648 4,367,953 4,822,434 - LIABILITIES Capital stock paid in . Surplus fund _ Undivided profits, less expenses and taxes paid. __ Reserved for taxes, interest, etc., accrued.. Due to Federal reserve banks . Due to banks, bankers, and trust companies Certified and cashiers' or treasurers' checks outstanding Demand deposits... Time deposits United States deposits. Total deposits. ___-_ Agreements to repurchase United States Government or other securities sold . Bills payable (including all obligations representing money borrowed, other than rediscounts).._ >__• Notes and bills rediscounted (including acceptances of other banks and foreign bills of exchange or drafts sold with indorsement) Letters of credit and travelers' checks sold for cash and outstanding. Acceptances executed for customers Acceptances executed by other banks for other account of reporting banks.__„ United States securities borrowed ___ Other securities borrowed _ Other liabilities.—^ Total ... _.. 752,800 692,652 282, 718 69,370 12,108 1,035, 728 381,650 6,371, 736 4, 756,886 147, 587 237,400 727, 007 225,950 194,200 185,000 43,200 666,812 237,039 225, 536 179,989 169, 736 57,050 114,465 263, 933 95, 708 91, 591 18, 757 111, 216 7,867 49,742 24,267 11, 880 19,886 16,400 12, 791 72 75 75 72 1,196,222 575,015 697,174 470, 664 600, 083 104, 351 549,880 285, 522 417,266 274,779 402, 229 10, 743 6, 678, 897 2,666,973 2, 942,806 2,275, 308 2, 500,839 391, 665 802,233 4,607,266 782,182 475, 642 461,259 326, 591 28, 288 5,952 113,183 30, 052 22,336 21, 519 839,303 13,705,695 13,158,239 4,358,103 4,869,555 3,518,801 3,936,004 13,303 5,097 8,293 3,335 8,097 2,968 196 154,263 143,521 40,905 17,812 37,905 17,812 3,000 162,292 219,409 94,127 143,029 15,513 224,093 14,442 228,619 13,752 183, 071 13,696 182,800 13,534 171,228 13,562 173, 654 15, 509 13, 770 1,870 91,478 14,013 11,152 2,160 81, 699 13,747 13,256 13,747 13,256 37, 771 33, 577 29,676 17,454 139,517 15,195,326 15, 585,845 5,362,940 5,859,648 4,367,953 4,822,434 ; 40,950 55,800 19, 625 8,006 97/091 15,037 441,967 320,923 8, 533 883,551 367 195,851 317,158 305,206 198,242 135, 754 315,876 305, 522 139, 737 63,740 88,977 70,476 97, 777 9,403 20,453 13,925 31,178 8,861 3,855 8,606 3,430 79,896 380, 817 412, 239 24,812 20, 536 75, 592 107,802 2,367/304 2, 369,970 1, 337,459 1, 366,121 2, 537,101 2,441,830 1,417,552 1,383,254 9,421 13,828 73, 710 105,471 5,469,715 5,409,406 3,877,877 3,879,378 4,929 1,688 81 74 72,077 87,321 41,281 38,388 5,459 3,512 39,852 51,257 28,313 25,123 218 11,843 134 9,146 1,454 35,763 708 40,032 307 5,259 38 5,787 8,095 ' 16,123 1,728 8,013 1,127 40,974 695 5,832 832 37,468 34 5,757 743 12,733 62 5, 320 1,328 10,654 994,987 1,037,214 6,437,621 6,355,397 3,394,765 3,370,800 Cm 456 FEDERAL RESERVE BULLETIN JUNE, 1926 DEBITS TO INDIVIDUAL ACCOUNTS BY BANKS IN SELECTED CITIES MONTHLY SUMMARY FOR BANKS IN 141 CITIES [In thousands of dollars] Number of centers Federal reserve district No. No. No. No. No. No. No. No. No. No. No. No. 1—Boston 2—New York 3—Philadelphia4—Cleveland5—Richmond 6—Atlanta 7—Chicago 8—St. Louis 9—Minneapolis... 10—Kansas City.. 11—Dallas—..... 12—San Francisco 1926 February February 3,268,963 1,161,433 553, 791 2,955,186 2,157,347 23,574,730 1,780,071 2,048,430 675,206 976,073 4,479,475 1,074,542 637,553 1,024, 111 572,869 2,495,365 2,606,609 33,824,813 2,324,295 2,472,654 799,954 1,311,891 6,055,020 1,259, 111 694, 637 1,218, 619 1,892,279 2,157,107 723,140 1,118,098 5,033,017 1,123,586 599,145 1,038,821 563, 647 2,934,783 Total April March 2,175,114 New York City Other selected cities... 1925 2,686,824 30,125,626 2, 243,742 2,540,997 773,032 1,240,398 5,641,085 1,220,948 March April 2,279,817 27,165,007 2,105,710 2,284,925 739,378 1,120,908 5,451,905 1,160,242 748,603 1,169,701 612,140 2,762,696 2,326,857 24,721,153 2,024,253 2,407,075 747,785 1,060,994 5,131,967 1,177,677 697,614 1,110,810 527,025 2,604,174 141 44,892,403 56,439,629 51,811,316 41,495,772 47,601,032 44,537,384 1 140 24,812, 705 20,079,698 33,005,537 23,434,092 29,299,814 22, 511, 502 22,924,386 18,571,386 26,382,213 21,218,819 23,944,580 20,592,804 WEEKLY SUMMARY FOR BANKS IN 258 CENTERS [In thousands of dollars] 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—Richomond 6—Atlanta 7—Chicago 8—St. Louis 9—Minneapolis. _. 10—Kansas C i t y 11—Dallas........ 12—San Francisco, Total Number of centers 1925 1926 Apr. 28 613,189 7,304,069 521,960 652,248 292,138 1,282,270 283,307 155,301 274,020 156, 937 664,956 May 5 718.046 7,933, 762 593.047 684,514 332,446 303,192 1,550,659 315,451 309,017 157, 539 736, 206 May 12 May 19 604,663 6,232,715 ,528,886 628,411 297 391 283^ 511 1,312,174 296,152 177,890 291,387 149,176 678,813 6,468,137 558,364 655,003 315,753 287,346 1,364,393 317,235 180,817 301,584 154,334 702,081 Apr. 29 542,262 498,027 606,830 270,864 226,770 1,160,967 254,000 170, 508 274, 558 135, 981 602, 720 258 12,463,078 13,822,487 11,486, 622 11,983,860 10,423,553 May 6 May 13 617,329 7,895,485 554,336 699,025 322,322 291,944 1,494,881 302,054 193, 676 299,285 157,709 645,071 549,397 5,980,137 519,280 623,631 287,773 257,880 1,195,948 May 20 619,253 6,227,522 567,595 187,939 284,298 141,298 635, 775 291,840 280,857 1,274,633 296,762 183,297 294,533 152,257 646,705 13,473,117 10,946,156 11,468,922 BANK DEBITS FOR FEDERAL RESERVE BANK AND BRANCH CITIES [In thousands of dollars] 1925 1926J Apr. 28 No. 1—Boston No. 2—New York . Buffalo.No. 3—Philadelphia No. 4—Cleveland Cincinnati Pittsburgh No. 5—Richmond-Baltimore No. 6—Atlanta ..... Birmingham Jacksonville Nashville _ New Orleans No. 7—Chicago...... DetroitNo. 8—St. Louis. Little Rock Louisville Memphis.. No. 9—Minneapolis Helena No. 10—Kansas City Denver.Oklahoma City. Omaha No. 11—Dallas __.__ El Paso HoustonNo. 12—San Francisco. __ Los Angeles Portland. __ Salt Lake City _ Seattle Spokane 438,820 6,979,094 75,701 393,196 162,998 76, 957 215,873 25,880 102,042 32,973 32, 670 24,768 16,742 72,119 769,613 206,136 154,500 16,124 49,398 28,575 76, 464 1,448 74,415 35,410 16,917 42, 748 47,175 7,146 32,116 228, 631 186,917 34,579 17,230 43,943 11,733 May 5 507,944 7,560,753 82,560 448,282 164,721 89,415 223,553 33,394 104,386 32,825 36,750 27,577 21,439 84,435 999,518 200,427 181,000 17,113 42,124 36,187 93,133 2,085 85,118 43,961 21,219 43, 251 47,272 7, 703 31, 278 264,769 192,141 43,194 15, 886 48, 282 15, 757 May 12 May 19 Apr. 29 May 6 418,787 5,905,937 77, 503 392,019 147,467 78,699 201,360 25,967 98,023 37,832 31,240 24,988 19,414 78,549 785,221 193,437 164,900 17.227 41,030 33,027 87,712 1,945 81.228 35,917 18, 665 45,906 44, 773 7,686 26, 871 217, 976 192, 371 47,481 14, 304 48, 856 13,082 475,166 6, 111, 425 81,050 416,099 159,957 84,305 193,328 30,414 99,703 40,669 32,330 370,222 5,381,151 69,255 371,537 139,851 70,881 213,735 28,540 88,064 418,023 7,546,425 84,656 413,080 190,957 79,810 222,233 32,930 106,184 34,802 30,444 19,581 74.544 819,663 193,896 181,300 18,023 45,814 31, 944 87,997 1,756 85.545 37,433 20,064 46,919 43,573 7,184 32,025 233,290 194,089 42,483 16,012 48, 737 12,520 25,541 16,954 17,315 66,297 694,351 1.87,054 146,300 13,159 36, 937 82,186 1,532 70, 992 39,937 17,211 48,781 37,856 6,553 27,221 199,444 179,793 35, 777 15, 322 9,728 May 13 368,761 5, 657,765 80,799 388,444 151,222 75, 944 195,480 27,569 92,545 975,587 186,324 179,100 13,908 40, 995 32, 395 97,606 2,143 83,603 43, 653 19,105 47,456 46,033 7,804 29,245 19,276 17,555 78,808 716,171 173,514 161,100 13,824 40,630 30,562 95,295 2,491 77,447 38,545 18,114 46,255 40, 615 6,625 205,168 184,039 37,092 17,232 41, 604 11,181 194' 978 184, 359 38,082 14, 618 43, 845 11,434 21,098 May 20 423,310 5,885,404 88,346 428,954 158,532 80,129 192,386 26,968 98,834 41, 652 28,275 19,790 19,560 89,409 745,396 204,701 173,800 14,868 41,073 30,324 92,190 1,995 83,535 19,819 47,422 44,262 7,087 211* 587 184, 693 37,481 15,635 45,247 12,227 457 FEDERAL RESERVE BULLETIN JUNE, 1926 MEMBER BANKS AND NONMEMBER BANKS ON PAR LIST AND NOT ON PAR LIST NUMBER AT END OF APRIL, 1926 AND 1925 Nonmember banks Member banks On par list Not on par list i 1926 1925 1926 245 397 513 1,070 692, 360 3,779 2,052 1,104 2,627 758 785 243 385 520 1,077 10 722 663 367 1,108 3,880 256 414 2,168 1,349 1,067 2,727 203 178 810 831 64 11 708 1,107 235 359 969 205 170 60 9,410 9,540 14,382 15,079 3,963 3,824 1926 1925 Federal reserve district: 417 Boston _ . „ 420 889 862 New York 742 758 Philadelphia _. . 869 860 Cleveland. _: „ 609 590 Richmond 492 501 Atlanta 1,377 1,408 Chicago 622 625 St. Louis 868 816 Minneapolis 1,018 1,054 Kansas City 834 Dallas _ . 847 724 748 San Francisco Total New England States: Maine... New Hampshire Vermont Massachusetts Rhode Island Connecticut . . . Eastern States: New York New Jersey Pennsylvania Delaware.. Maryland District of Columbia Southern States: Virginia .___ > West Virginia North Carolina. South Carolina _. _. Florida 1 Nonmember banks 62 56 46 180 18 66 62 55 46 182 21 65 49 14 39 70 8 84 49 i4 39 70 8 81 641 341 959 23 89 13 632 317 949 22 89 14 278 157 657 32 167 32 276 146 662 33 168 33 ' 185 141 90 87 148 75 194 140 94 93 161 69 215 196 85 22 73 94 228 197 99 24 77 79 102 9 327 225 370 165 Member banks 1925 98 9 340 261 378 160 Southern States—Continued. Kentucky. Tennessee Alabama Mississippi . . Arkansas Louisiana Texas Middle Western States: Ohio Indiana > Illinois „ Michigan Minnesota Missouri . Western States: North Dakota South Dakota Nebraska Kansas Montana Wyoming Colorado New Mexico Oklahoma Pacific States: Washington Oregon California Idaho Utah Arizona Nevada . _ . _ „• Total 1926 1925 146 116 125 43 118 45 777 -147 117 124 44 124 46 756 437 261 586 289 185 326 401 199 446 267 583 289 186 351 434 191 159 122 178 264 108 34 132 33 376 165 126 185 264 121 34 140 35 405 153 133 293 76 46 19 10 155 136 299 84 49 22 10 On par list N o t on p a r list i 1926 1926 428 213 26 21 244 30 706 1925 1925 21 239 200 277 121 174 93 19" 218 201 273 97 169* 87 657 662 819 829 1,280 1,300 511 516 632 607 486 577 1 193 1,259 1^283 1,341 9 20 93 195 512 42 35 8 19 93 174 469 34 31 171 247 199 257 764 735 988 1,021 102 107 54 58 • 172 189 32 28 364 375 286 166 176 4 12 8 6 3 5 252 15S 173 4 10 11 7 33 31 32 27 1 4 3 9,410 9,540 14,382 15,079 3,963 3,824 172 107 315 81 68 26 24 440 243 31 24 260 36 • 756 173 114 354 77 66 33 23 5- Incorporated banks other than mutual savings banks. MONEY IN CIRCULATION [Source: United States Treasury Department circulation statements] [In thousands of dollars] Date Total 1914—July 1 . . . 3,402,015 » 4,100,591 1917—Apr. 1. 15,628,428 1920—Nov. 1 . . . . . 4,337,418 1922—Aug. 1 1924—Dec. 1 . . . . . 4,993,570 1925—May l.____ 4,725,191 4,774,313 June 1. J u l y l . . . . . 4,736,464 4,719,519 Aug. 1__... 4,784,025 Sept. 1 Oct. 1 . . . . . 4,827,005 4,900,839 Nov. 1 Dec. 1_.._. 4,971,765 6,008,121 1926—Jan. 1 Feb. I . . . . 4,739,537 Mar. 1 . . . . 4,814,217 4,805,885 Apr. 1 4,854,173 May 1 Gold Standard silver coin a n d Gold cer* bullion dollars Silver certificates 611,545 641,794 495,353 416,282 437,971 453,211 437,612 423,860 428,248 416,348 413,973 429,985 425,853 424,037 407,148 422,079 450,787 454,710 478,602 459,680 60,385 268,802 389,113 376,442 380,681 382,780 388,016 396,700 394,069 390,089 388,012 387,495 370,852 371,140 365,113 363,855 1,026,149 1,348,818 231,404 171,985 933,688 918,862 972,438 1,004,823 1,014,311 1,036,243 1,050,057 1,067,963 1,108,743 1,114,331 1,035,774 1,076,070 1,089,003 1,099,213 70,300 70,863 89,725 58,378 55,606 54,398 53,908 54,289 54,165 54,173 54,693 54,769 * 54,685 54,860 53,167 52,637 52,147 51,814 Treasury notes of 1890 Subsidiary silver United States notes Federal reserve notes Federal reserve DtulK hnnlr notes 2,428 1,-997 1,628 1,508 1,407 1,392 1,390 1,387 1,384 1,381 1,379 1,376 1,375 1,373 1,371 1,369 1,367 1,364 159,966 191,351 261,556 229,956 263,102 258,446 259,894 262,009 261,750 264,450 267,768 269,439 272,217 274,860 266,155 265,853 267,244 267,089 337,845 330,353 277,736 284,343 304,418 281,043 284,799 282,578 284,806 298,493 303,597 306,575 305,986 292,998 288,677 293,822 289,044 292,843 356,448 3,310,225 2,115,350 1,862,055 1,676,078 1,679,833 1,636,108 1,601,884 1,629,927 1,670,658 1,706,622 1,741,965 1,815,687 1,672,223 1,672,027 1,639,211 1,662,620 3,170 209,877 65,032 8,471 7,299 7,109 6,921 6,777 5,580 6,460 6,314 6,185 6,058 5,900 5,808 5,720 5,640 Total • National circulabank tion per capita (in notes dollars) 715,180 697,160 715,023 725,782 737,739 698,020 696,649 681,709 678,178 680,730 664,351 667,707 666,744 636,422 638,270 653,603 646,249 655,025 34.35 39.54 52.36 39.47 44.03 41.50 41.89 41.51 41.31 41.84 42.17 42.77 43.35 43.62 41.24 41.84 41.73 42.11 1 Thefiguresfor the several classes of money include mutilated currency forwarded to the Treasury for redemption and unassorted currency held by the Federal reserve banks, and consequently do not add to the total which is exclusive of such currency. 458 FEDERAL RESERVE BULLETIN" JUNE, 1926 MONEY RATES PREVAILING IN FEDERAL RESERVE BANK AND BRANCH CITIES The following table shows the customary rates charged on loans and discounts in the various cities in which the Federal reserve banks and their branches are located, as reported by representative banks. These rates are not averages but are those rates at which the bulk of paper of each class is hand.led by reporting banks. Where it appears from the reports that no one rate clearly covers the bulk of the paper handled, a range of the rates most commonly charged is given. Rates prevailing during week ending with the 15th day of the month District and city Customers' prime commercial paper Year and month 30-90 . days DISTEICT 1 Boston. 1925—May 1926—March April.... May 1925—May 1926—March April May 1925—May 1926—March. April May New York Buffalo . ___ _ 4-6 months 4 -5 ' 4M-5 4^-5 4 -5 4 -5 4 -4 434-5 4H-5 4M-5 6 5 -6 5 -6 5 -6 4K-5 4H-5 434-5 4M-5 6 5 -6 6 5 -6 Interbank loans Loans secured by Liberty bonds Loans secured by other stocks and bonds Demand Time Loans secured by warehouse receipts 4J4-4M 43^-5 43^-5 4H-5 4 -5 4^5 4 -5 43^-5 5 5 -6 3%-5 4J4-5 4 -4M 4M-5 4 -5 4 -4M 4^5 5 -6 6 5 -6 5 5 5 5 3M-5 4^5 5 -53 5 -5H 5 -6 5 -6 6 6 6 -6 -6 -6 -6 DISTRICT 3 Philadelphia—„_. DISTRICT 4 Cleveland... _._ Cincinnati •. Pittsburgh... 1925—May.... 1926—March April May. 1925—May... 1926—March April . May 1925—May 1926—March April May 1925—May 1926—March April May__ ___ _ _ _ _ ____ _. __._ _ .__ _ _ 5 H-5 4H-5 ._ 5 -6 534-6 534-6 514-6 5 -6 K -6 5^-6 53^-6 5K6 4 -434 5 4M-5 5 5 -6 5 5 5 -6 6 4 -5 5 -6 5)4-6 5 -6 5 5- -6 6 5 -6 4M-5H 5K-5M 5M5M 5 5 -6 5 434 5 -6 5 -6 5 -6 534-6 5H-7 6 -7 6 -7 5 -6 5 -6 5 -6 5 -5 5 5 -6 6 6 6 5 -6 3 4 5 5 4 -4H 4H-5 5 -6 5 -6 6 6 6 5 -6 6 6 4^-6 5 4M-5 5 -5 5 -5H DISTRICT 5 Richmond 1925—May 1926—March.. April May______• 1925—May__. 1926—March April_____ May Baltimore DISTRICT 6 Atlanta - Birmingham Jacksonville Nashville New Orleans DISTRICT 7 Chicago _ Detroit--- 1925—May 1926—March April... _ May 1925—May-..-... 1926—March April _ May 1925—May 1926—March.... April May.. 1925—May.... 1926—March April. May. 1925—May..— 1926—March April May _._ _ ___ 5 -6 5 -6 5 -6 5 -6 4%-6 434-6 4K6 5 -6 5 -6 5 -6 5 -6 5 -6 5 -6 3M-7 4H-8 4H8 5 -7 5 __ j 5 -7 ,53^-6 _ ___! 53^-6 — 5 -6 5 -6 5 -6 5 -6 1925—May— 1926—March — April _._ May , __ 1925—May „_._._—_ 1926—March April May - 4)4-5 4H-5 5 -6 5 -6 5 -6 434-534 4H-5 434-5 5 5 5 5 5 5 5 5 5 -6 -6 -6 -6 -6 -6 -6 -6 -6 5 -6 5i|-6 5 5 5 5 -7 -6 -6 -8 434-5 5 5 4H-5 5 -6 5 -6 5 -6 5 -6 5 -hy 5 -53 5 5 5 5 5 5 5 5 ~V -53 -5 -5 5 ^6 5 -6 5M 6 -6 5 5 5 5 5 5 5 6 -6 -8 -8 -7 -6 -8 -8 -8 6 5 -6 6 -8 5 -7 5H-6 5 .-6 5 -8 5 -8 6 -8 5-6 6 -8 5 -7 534-6 5K-6 534-6 534-6 -6 -6 -6 ,-6 514-6 5 -6 5 -6 5 -6 5 -6 434-5 4M5 434-5 5 5 5 5 5 434-8 -6 5 5 5 5. -6 -6 -6 -6 J4 5 -5 5 -5 4 5 -6 5 -6 5 -6 514-6 5 -6 5 -6 5 -6 5 -6 5 5J 5 Cattle loans 459 FEDERAL RESERVE BULLETIN' JUNE, 1926 MONEY RATES PREVAILING IN FEDERAL RESERVE BANK AND BRANCH CITIES—Continued Rates prevailing during week ending with the 15th day of the month District and city Year and month 1925—May _._ 1926—March. April.. Apr] Ma} 1925—May.._ 1926—March. April... May... 1925—May... 1926—March. April... May... St. Louis.. Little Rock. Louisville. Customers' prime commercial paper 30-90 days 4-6 months 4 -5 4H-5 4yt-5% 4 -534 5 -6 4 -5 414-5 6 6 6 6 6 5 ~6 6 6 Interbank loans 5 5 5 5 5 -5 -53 -6 -6 -6 6 Loans secured by Liberty bonds 5 -6 5 -6 5 -& 5 -7 5 Loans secured by other stocks and bonds Demand 4 1925—May.. . March. April May... 1925—May... 1926—March. April... May_._ . Helena. 4H-5M 4% 4M-5s -5M -534 -534 6 -7 5 -6 5 -6 5 -534 5 -534 434-534 53 8 7 8 6 6 -7 -7 5 -6 6 6 6 6 -7 -7 -7 -7 5 -6 6 5 -6 5 -6 6 6 -8 6 -8 6 -8 4M-51/? 5 5 5 4M-5 4 -5 Cattle loans 6 6 6 6 DISTRICT 9 Minneapolis -5 4 -6 434-6 6 6 6 -7 6 -7 Time Loans secured by warehouse receipts •4Bi 4^-534 6 -8 DISTRICT 10 Kansas City Denver. __. Oklahoma City- - ~— Omaha.... ....... DISTRICT 11 Dallas — El Paso Houston.. _ 1925—May. „ 1926—March. April... May... 1925—May... 1926—March. April... May.-. 1925—May.. . 1926—March. April... May... 1925—May... 1926—March. April _._, May... 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May... 4^-6 6 5 -7 5 -7 4 ..-. Los Angeles Portland Salt Lake City Seattle.—— Spokane . — 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May... 1925—May... 1926—March. April... May___ 1925—May... 1926—March. April... May... -6 -6 -6 -6 -8 -7 -7 -8 5 5 -6 5 4 4 4 6 -7 5 -6 6 5 -6 6 6 7 5 5 5 5 -6 -6 -6 -6 8 -8 -8 -8 -8 -6 -6 -6 5 -6 5 5 -6 5 -6 5 5 5 5 6 6 6 6 -6 -6 -6 -6 -7 -7 -7 -7 5 -6 5 -6 534-6 534-6 6 -7 6 -7 6 -7 6 -7 6 -7 -7 -7 6 5 4 5 4 6 6 6 6 5 -6 8 -8 5^-8 5 -6 5 -6 5 -6 5 -6 5 5 5 5 6 5 -6 5 -6 5 -6 434-6 534 5H-7 534-6 -6 DISTRICT 12 San Francisco -6 -6 -6 -6 '6 6 534-6 6 534-6 6 6 6 5 -6 5 -6 5 -6 5 6 6 6 534-7 6 -534 -6 -6 -5V2 -7 5 6 4M-6 6 -7 6 6 6 6 6 6 6 6 6 6 4M-6 5 -6 6 5 -6 6 6 -7 6 6 -7 -7 5 5 6 -634 -7 -634 6 -7 6 -8 6 6 534-7 534-6 53^-8 6 -7 -7 6 -8 .6. -7 7 7 6 -7 634-7 7 5 5 5 4 8 -8 -6 -6 -6 -6 6 -7 6 6 -7 6 7 5 -7 6 -1 6 6 5 5 5 5 -6 -6 -6 -6 5 -6 5 -6 6 6 6 6 6 6 6 -7 -7 -7 -7 6-7 6 6 6 -7 -7 -7 7 6 6-8 6 -8 7 6 6 6 6 7 7 7 7 6 6 -7 7 7 -7 6 6 -8 -7 7 7 -9 -10 -8 -8 -8 -8 7 —7 7 -7 -7 -7 7 6 -8 7 -7 -8 8 7 6 6 6 6 7-8 6 6 6 -8 6 -10 6 6 -S -7 -7 5 -7 5 -m 4 -7 534-7 534-7 6 -7 5 -6 5 -6 6 -a 6 6 6 6 6 5 -7 5 -6 6 6 5 5 5 5 7 7 7 7 -8 -8 -8 -8 7 -7 7 7 460 FEDEKAL KESERVE BULLETIN JUNE, 1926 GOLD AND SILVER EXPORTS AND IMPORTS EXPORTS FROM AND IMPORTS INTO THE UNITED STATES, DISTRIBUTED BY COUNTRIES April Imports Exports Countries of origin or destination 1925 GOLD All countries ; France Germany Netherlands Poland and Danzig Spain Sweden __ England •Canada __ _ "Central America Mexico „ West Indies Argentina Brazil CJhile . . Colombia Ecuador. __ . Peru Uruguay. __ _ >_ : Venezuela British India British Malaya China Dutch East Indies Hongkong Japan Philippine Islands _ Australia New Zealand _ _ Egypt Portuguese Africa All other Four months ending April 1926 $21,603,945 $17,883,865 15,129,820 303,191 32,331 102,885 -.. 454,535 100, 000 7,350 . . - - 1,210,010 3,012,632 119,513 7,500 402,000 . 16, 290,386 " 600,000 407,861 21,000 30,000 2,475 4,205 164,747 60,000 1925 Exports 1926 5,725 1,528 5,041,364 60,381 252 12,516 220 8,194 13,130 2, 343, 671 10,694,299 162, 505 151,778 1,002,960 526,150 54,139 33, 075 298 6,429 119, 073 133,290 12, 631 8,067 119,763 89,404 311,090 38,681 75,612 24, 851 218,692 247,301 162,372 15,707 16,700 18,132 6,753 109,936 2,360 7,612,045 4,944,807 6, 312,429 1,278,423 242,200 38,331 62,416 653 82,748 3,856 1, 753,470 172,073 3,200 137, 078 41,437 240,652 160, 578 10,334 108,335 2,040 25,099 31,903 542,067 74,234 3, 509,982 16,439 225 1926 1925 1926 $8,869,883 $13,125,633 $170,834,012 $29,046,673 $24,847,532 $101,305,066 146,487 5,000 1, 020,144 1925 Imports 1,339,208 60,260,156 4,318,343 1,103,948 112,331 1,232,728 6,159,602 280,921 18,488 1,192,452 1,656,016 151, 000 5,360, 000 49,850 16,436,709 1,814,491 2,148,936 141, 614 102,000 135, 000 15,000 5,983 802,290 1,410,010 55,769, 725 298,138 1,6o6,666 87,500 2,996,105 5,666 379,285 1,856,993 250,655 290,220 2,312,082 60, 000 76,771 1,628 5,041,364 131,321 605 33,903 220 3,077,907 10, 653, 557 551, 713 1,951,024 138, 726 27,603 372 17,897 77, 637,431 627,260 2,358,800 103,387 575 4,997 129, 511 * 12,301,169 450, 796 564,420 395,454 379,914 402,324 1,286,548 96, 055 215,833 13,950 44,906 691, 564 748,709 4,000,000 709,233 8,051 59,915 2,857 220, 581 16,209 2, 725 301,765 590, 709 76, 504 49, 325 8,891 226,224 25,885 35,464,646 33,460,445 23,873,032 26,477,391 167,557 1,627 195,540 7,993 69,994 56, .683 2, 592,028 509,152 15,387,865 64,592 10,988 746,035 29, 042 3,745, 552 55,968 4,128 280, 310 48,304 50,750 1, 626,896 516, 596 13,573,368 39,868 28,116 775,355 29, 766 9,051,459 58,122 93,389 65, 679 82,763 26,925,176 498,240 SILVER 9,322,618 All countries . France _ Poland and Danzig_ Spain England Canada... _ __ Central America „ Mexico West Indies Bolivia «. > Chile Colombia _ Peru _ British India China Dutch East Indies — TTongicnng Portuguese Africa.- _ . _ > All other _ ... • . 39,600 5,041,181 613,602 ._ 4,183,464 2, 793,701 66,587 354 8,023 267,744 6,621 266,501 30,288 551,325 62,900 3,280,973 11, 025 17,177 243, 723 2,680 1,876,934 20 109,140 113,952 18,711 13,277 21,169 13,679 2, 514,423 242,200 4,981 459,312. 7,056,245 532,062 17,415 771,380 75,277 343,112 636,323 12,934 509,816 23,260 39, 600 17,519,879 5,836,965 1,464 475, 575 16,265,719 14,652,248 823,935 66,587 35,265 9,114 384,938 461 FEDEEAL EESEEVE BXTIiETIN JDNE, 1926 FOREIGN EXCHANGE RATES [Noon buying ]rates for cable transfers in New York, as published by Treasury. In cents per unit of foreign currency] May, 1926 Countries Par Monetary unit of ex-1 change Average Low High Kate Schilling...... 14.07 Franc — 19.30 Lev . . . . . 19.30 Crown Krone 26.80 Markka - 2.52 Franc 19.30 Reichsmark__- 23.82 Pouud--——— 486. 65 D r a c h m a . . - . . 19.30 Pengo 17.49 19.30 Lira..40.20 Florin Krone . . 26.80 19.30 Zloty— Escudo •-. 108.05 Leu _. 19.30 19.30 Peseta-26.80 Krona 19.30 Franc 19.30 Dinar Dollar. 100.00 100.00 do._ 49.85 Peso (gold)—. 96/48 32.44 Milreis 12.17 Peso— .....do 103.42 Mexican dollar 148.11 Shanghai taeL i.85 Dollar. 147.77 Rupee ... 48.66 Yen . „ 49.85 Straits Settle- Singapore dol- 56.78 ments. lar. Austria Belgium Bulgaria Czechslovakia. Denmark Finland France Germany Great BritainGreece Hungary ItalyNetherlands. _. Norway. Poland Portugal Rumania Spain Sweden Switzerland--. Yugoslavia Canada Cuba Mexico Argentina Brazil Chile Uruguay China Do Hongkong India...'. 1 April, 1926 Average Average Low Per cent of par 14.0500 14.0930 14.0735 100.03 2.8000 3.4000 3.1176 16.15 .7211 .7290 .7238 3.75 2.9613 2. 9624 2.9617 26.0900 26. 3000 26. 2020 97.77 2, 5203 2. 5217 2. 5209 100. 03 2. 8300 3.3800 3.1508 16.33 23.8000 23.8100 23.8028 99.93 485.3200 486.7200 486.1544 99.90 1. 2287 1.3490 1. 2742 6.60 17. 5100 17. 5900 17. 5584 100. 39 3. 5200 4. 0200 3. 8728 20.07 40.1700 40.2500 40.1980 100.00 21. 5100 21. 8400 21. 6568 80.81 9. 0300 :10.3400 9. 5836 49.66 5.1100 . 5.1400 5.1256 4.74 1 .3256 n .4012 . 3710 1.92 14. 3600 15. 2000 14. 5348 75.31 26.7400 26.7800 26. 7612 99.86 19.3300 19.3700 19. 3464 100. 24 1.7609 1.7628 1. 7617 9.13 100.0104 100.1362 100.0744 100. 07 99.9446 99.94 99,9063 48.2787 96.85 47. 6167 90.8900 91.6000 91. 3100 94.64 14.3800 15.1700 14. 6784 45.25 12.0200 12.0800 12. 0372 98.91 102. 5900 103.3000 103. 0012 99.60 51.7300 52. 6800 52.0716 108. 23 71.2900 72. 6400 71. 7764 107. 37 54. 5500 55. 7700 55.0800 115. 30 36.1500 36.3700 36. 2592 74.52 46.4400 47.2000 46.9472 94.18 56.0800 56.4200 56. 2004 May, 1925 High Rate 14.0530 3.3800 .7208 2.9615 26.1600 2.5198 3. 2900 23. 8000 485. 9300 1.2367 17. 5400 4.0200 40.0900 21.4200 10.3000 5.1300 .3784 14.1100 26. 7700 19. 2600 1. 7603 99.7948 99.8581 48. 5500 89. 9600 13. 7300 12.0300 101.6000 50. 5500 69.3500 53.4800 35.9700 45.8800 56. 4200 Per cent of par 14.0880 14.0662 99.97 3.8700 I 3.6742 19.04 .7263 i .7232 3.75 2.9622 1 2.9618 26. 2000 i 26.1738 97.66 2. 5220 I 2.5208 100.03 3.5000 , 3.3885 17.55 23.8100 1 23.8019 99.92 486. 3800 486.2185 99.91 1.3278 1. 2762 6.61 17. 6100 17.5631 100.42 4.0200 4.0200 20.83 40.2100 40.1258 99.82 21.9400 21. 6181 80.66 12. 6000 11. 3292 58.70 5.1500 5.1396 4.76 .4159 .4030 2.09 14. 5000 14.2881 74.03 26.8200 26. 7904 99.96 19. 3300 19. 3004 100.00 1.7615 1. 7609 100.1611 100.0385 100*. 04 99. 9563 99. 9213 99; 92 48. 7167 48. 6571 97.61 92.1600 90. 7873 94.10 14, 4300 14.0085 43.18 12.1800 12.1165 99.57 103. 5200 102. 7138 99.32 53. 4000 51. 4431 106.93 72. 0500 70.8746 106.02 55. 7100 54.6377 114.38 36.2800 36.1823 74.36 47.4300 46.6442 93.57 56. 6700 56.5535 99.60 Low High Per cent of par Eate 14.0450 4.9000 .7289 2.9623 18.7100 2. 5205 5. 0000 23.8000 484.5000 1.7056 14.0720 5.0800 .7350 2.9641 18.9500 2.5230 5.2400 23.8000 486.2600 1.8800 3.9700 40.1300 16.6300 19.1600 4.9600 .4532 14.4200 26.7400 19.3300 1.6122 4.1200 40.2100 17.0200 19.2200 5. 0600 .4887 14. 7000 26. 7700 19.3800 1.6788 100.0167 100.0260 49.9583 92.4500 10. 6300 11. 5400 97.9400 54. 5500 74. 6900 54.8400 36.3800 42.0700 56.5000 49. 7063 87. 6000 9.9600 11.2800 94.2000 53.8500 73. 9600 54.4600 36. 0100 41.6900 56.2100 14.0599 5.0225 .7318 2.9632 18.8076 2.5218 5.1632 23.8000 1485.4720 I 1.7926 99.93 26.02 3.79 "7018 13.07 26.75 99,92 99.76 9.29 4.0672 21.07 40.1848 99.96 16.8196 62.76 19.1872 99.42 5. 0024 4.63 .4722 2.45 14. 5332 75.30 26. 7532 99.83 19. 3464 100,24 1. 6268 8.43 99. 9975 100.00 99. 9974 100.00 49.8962 100.09 90. 2444 93.54 10.3080 31.78 11.3972 58.36 96. 0228 92.85 54. 2324 112.73 74. 2588 111.08 54.6240 114.35 36. 2324 74.46 41. 9136 84.08 56. 3680 99.97 1913 average. SILVER (Average price per fine ounce.) April London (converted at average rate of exchange). New York . 64760 462 FEDEBAL RESERVE BULLETIN JUNE, 1926 DISCOUNT RATES OF FEDERAL RESERVE BANKS IN EFFECT JUNE 1, 1926 Paper maturing—After 80 days but within 9 months Within 90 days Federal reserve bank Commercial, agricultural, and livestock paper, n. e. s. Secured by United States Government obligations Boston. ______ New York_._. Philadelphia.. Cleveland. _ Richmond Atlanta... Chicago St. Louis Minneapolis-_ Kansas City... Dallas ___. San Francisco 1 Bankers' acceptances Trade acceptances 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 4 Agricultural and livestock i paper Including bankers' acceptances drawn for an agricultural purpose and secured by warehouse receipts, etc. GOLD SETTLEMENT FUND INTERBANK TRANSACTIONS FROM APRIL 22 TO MAY 19, 1926 [In thousands of dollars] Transfers Transit clearing Federal reserve note clearing Federal reserve bank Debits Boston __. New York Philadelphia... Cleveland Richmond Atlanta Chicago St. Louis Minneapolis-_. Kansas City... Dallas. San Francisco.. Total four weeks endingMay 19,1926 Apr. 21,1926May20,1925. Apr.22,19251 Includes Federal reserve note clearing. Credits 8,500 500 15,500 5,000 1,000 3,000 2,000 500 500 1,000 500 1,000 2,500 1,000 500 1,000 "Debits Credits 892,632 2,707,781 717,594 677,376 561,740 334,311 1,257,477 523,118 151,534 373,102 236,780 276,397 900,331 2,639,441 728,539 688,105 8,709,842 8,709,842 342,863 1,284,858 515,940 157,808 376,461 234,725 279,791 22,000 22,000 39,000 26,000 53,500 9,227,077 39,000 9,227,077 26,000 i 8,001,726 11 8,001,726 8,016,203 53,500 18,016,203 Debits 5,109 8,885 6,218 7,280 3,339 5,318 3,745 1,085 1,595 1,959 1,277 3,180 41,905 Credits Changes in ownership of gold through transfers Balance and settlements. in fund at close of period Decrease Increase 2,784 14,230 4,826 3,555 4,226 4,205 6,452 2,772 1,109 1,935 1,415 1,481 2,626 47,495 48,990 56,402 41,905 1,873 2,991 1,117 695 215,889 53,400 60,820 19,971 25,558 138,125 7,325 14,213 32,212 11,973 28,621 56,402 644,553 4,553 6,504 5,939 29,588 4,788 4,335 617,879 654,158 632,338 INDEX Acceptances: ' . . Page Held and purchased by Federal reserve banks „_ 447,448 Market for__ 382 Agricultural credit banks, loans of _ 384 Agricultural movements, index of________ 422 Agriculture, monthly statistics '_ 384 Annual reports: Bank of Hungary____-__ 428 Bank of J a p a n . 426 National Bank of the Kingdom of Serbs, Croats, and Slovenes 431 Atlanta par clearance case, final decision of Supreme Court___ _ 378 Automobile industry 392 Balance of payments of the United States ( 400 Baltimore branch building, act authorizing erection of__ 4.15 Bank credit______ 381 Bank debits—.____ 456 Bank suspensions 397 Bankers' balances in Federal reserve bank cities450 Branch banking in the United States 401? 408 Brokers, loans to ._ 450 Building statistics. 393, 423 Business and financial conditions: Abroad _ _ ___ __ 434-442 United States. 380-400,421-425 Business failures 396 Business indexes of the Federal Reserve Board381 Canada: Cpst of living and retail food prices____ 442 Financial statistics—434 Foreign t r a d e . __ 437 Industrial statistics 439 Wholesale prices :._. 440 Capital issues . . 382 Chain stores, retail trade of 425 Charters issued to national banks 420 Coal and coke production... 388 Commercial failures 396 Commodity movements 423 Condition statements: Abstract of condition reports of member banks 379,452-455 Federal reserve banks 443 Foreign banks__ _-_ 434-436 Member banks in leading cities. 449 Cost of living in principal countries. 442 Cotton: Raw 385 Manufacturing 391 Currency in circulation _ .. 457 Dairy p r o d u c t s - . . . . . 388 Debits to individual accounts 456 Department-store business 425 Deposits, time and demand, of member banks. _ 451 Deposits, note circulation, and reserves of Federal reserve banks . _• 443 Detroit branch bank building, act authorizing erection of ._ __ 415 Discount and open-market operations of Federal reserve banks___ 448 Discount rates: Central banks of issue ____ 436 Federal reserve banks 462 Prevailing in various centers ; 458 Earnings on bills and securities held by Federal reserve banks____ 447 Earnings and expenses of member b a n k s - . . - - 409-414 Employment, United States __ ; 395 Index of___ 421 Factory employment and pay rolls, index of 422 Failures, commercial and b a n k . 396 '•' Federal," act limiting use of word. 415 Federal advisory council, meeting of _ 378 Federal intermediate credit banks, loans of____ 384. Federal reserve banks: Condition of 443 Discount and open-market operations of___ 448 Federal reserve note account. 446 Fiduciary powers granted to national banks 420 Financial statistics for principal foreign countries _J___ . 434-436 Food manufacturing. 390 : Food prices in foreign c o u n t r i e s . - 442 Foreign exchange 397, 461 Foreign trade: International trade of selected countries in 1924 and 1925 ... 433 Principal foreign countries : 437 United States 399,437 Balance of payments-----___ 400 France: Cost of living and retail food prices— 442 Financial statistics 434 Foreign t r a d e . ... 437 Industrial statistics. 438 Wholesale prices. ; 440 Fruits and vegetables 387 Germany: ' Cost of living and retail food prices _ 442 Financial statistics 434 Foreign t r a d e . 437 Industrial statistics. _ 439 Wholesale prices 440 Gold imports and exports 399, 460 Gold settlement fund transactions 462 Gold standard in Great Britain, survey since restoration of 375 Grain and flour. ... 385, 423 Great Britain: Financial statistics _. 434 Foreign trade 437 Gold imports and exports .__. 399, 460 Gold standard, survey of 375 Industrial statistics . 438 Retail food prices and cost of living.___. 442 Wholesale prices '. ._ 440 Imports and exports: Gold and silver . . _ _ _ 399,460 Merchandise 399 I II INDEX Page National banks: Industrial activity, index of 422 Abstract of condition reports 454 Charters issued to 420 Industrial statistics for England, France, Germany, and Canada 438,439 Fiduciary powers granted to _ _.. _ 420 Interest rates prevailing in various centers 458 Par list, number of banks on ___ 457 International trade of selected countries 433 Pascagoula National Bank, par clearance case Iron and steel manufacturing 392 .of--.. — ----- ~ 378 Italy: Pay rolls in factories, index of 422 Financial statistics 434 Petroleum industry 389 Foreign trade _ 437 Prices: Retail food prices and cost of living, 442 Food, in principal countries 442 Wholesale prices ^___! 440 Security. 383 Japan: , Wholesale 380,396,440 Financial statistics ; 434 Production in basic industries, index of 380, 421 Foreign trade ____ 437 "Reserve," act limiting use of word _. 415 443 Wholesale prices..: 440 Reserve ratio of Federal reserve banks Resources and liabilities: Law department: Federal reserve banks_ ____ 443 Act limiting use of words "Federal," Member banks in leading cities- _ _ 449 "United States," and "reserve" 415 Retail food prices 442 Authority of Congress for erection of Baltimore and Detroit branch bank buildings. 415 Retail trade. 395 State laws relating to segregation of assets Savings departments of State banks, laws reof savings departments of banks and trust lating to segregation of assets of 416-419 companies ; 416 Security prices --- 383 Leather industry 393 Shoe industry 393 Livestock industry 387 Silver: Imports and exports 460 Loans to brokers and dealers in securities 450 Price of 461 Lumber industry 393 Mail-order houses, retail trade of _ _ 425 State banks: ? Abstract of condition reports 455 Manufacturing: Admitted to system 420 Condition, by industries. __. _ __ 390 Index of production 422 State laws relating to segregation of assets of savings departments of banks and trust comMaturity distribution of bills and certificates of panies . 416-419 indebtedness 446 Stocks at department stores.. _ _ 425 Member banks: Condition of______ 449 Supreme Court decision in Atlanta par clearance case _--_ 378 Abstract of, as of April 12, 1926 379, 452-455 391 Deposits, time and demand 451 Textile industry __ 451 Earnings and expenses of 409-414 Time deposits of member banks _______ 386, 423 Number discounting 448 Tobacco industry. Number in each district_ _ _ 448 Trade: Foreign.399, 400, 437 State banks admitted to system 420 International, of selected countries 433 Merchandise trade balance of the United States 399 Retail— 395, 425 Metals ^ 390 Wholesale 395, 424 Mineral production, index of ; 422 ; 394, 423 Mining ____ ___ 388 Transportation— 380, 396, 440 Money in circulation __. 457 Wholesale prices __ 391 Money rates 382, 458 Wool and woolen industry____ FEDERAL RESERVE DISTRICTS /—H BOUNDARIES OF FEDERAL RESERVE DISTRICTS BOUNDARIES OF FEDERAL P X S E R V E BRANCH TERRITORIES FEDERAL RESERVE BANK CITIES FEDERAL RESERVE BRANCH CITIES FEDERAL RESERVE BANK AGENCY o