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FEDERAL RESERVE
BULLETIN




MARCH, 1925

ISSUED BY THE

FEDERAL RESERVE BOARD
AT WASHINGTON

Gold Exports and the Reserves of Foreign Banks
Business Conditions in the United States
The Bank of France in 1924

WASHINGTON
GOVERNMENT PRINTING OFFICE
1925

FEDERAL RESERVE BOARD
Ex officio members:

D. R. CRISSINGER, Governor.
EDMUND PLATT, Vice Governor.

A. W. MELLON,

Secretary of the Treasury, Chairman.
J. W. MCINTOSH,

Comptroller of the Currency.

ADOLPH C.
CHARLES S.
GEORGE R.
EDWARD H.

MILLER.
HAMLIN.
JAMES.
CUNNINGHAM.

WALTER L. EDDY, Secretary.

WALTER WYATT, General Counsel.

J. C. NOELL, Assistant Secretary.
W. M. IMLAY, Fiscal Agent.

WALTER W. STEWART, Director, Division of Research
and Statistics.
E. A. GOLDENWEISER, Assistant Director, Division of
Research and Statistics,
E. L. SMEAD, Chief, Division of Bank Operations.

J. F. HERSON,

Chieft Division of Examination, and Chief Federal
Reserve Examiner.

FEDERAL ADVISORY COUNCIL
District No.
District No.
District No.
District No.
District No.
District No.
District No.
District No.
District No.
District No.
District No.
District No.




II

1 (BOSTON)

__ CHAS. A. MORSS.

2 ( N E W YORK)

PAUL M. WARBURG, President.

3 (PHILADELPHIA)

L. L. R U E .

4 (CLEVELAND)

GEORGE A. COULTON.

5 (RICHMOND)

JOHN M. MILLER, Jr.

6 (ATLANTA)

OSCAR WELLS.

7 (CHICAGO)

FRANK O. WETMORE.

8 (ST. LOUIS)

BRECKINRIDGE JONES.

9 (MINNEAPOLIS)

G. H. PRINCE.

10 (KANSAS CITY)

E. F. SWINNEY, Vice President

11 (DALLAS)

W. M. MCGREGOR.

12 (SAN FRANCISCO)

HENRY S. MCKEE.

OFFICERS OF FEDERAL RESERVE BANKS
Federal Reserve Bank o—
f

Chairman

Deputy governor

Governor

Boston
New York..

Frederic H. Curtiss.
PierreJay

W. P. G.Harding..
Benj. Strong

W. W. Paddock
J. H. Case
L. F. Sailer
G. L. Harrison
E. R. Kenzel

PhiladelphiaCleveland
Richmond.,

R. L. Austin
D.C.Wills
Wm. W. Hoxton.
Oscar Newton
Wm. A. Heaths-

Geo. W. Norris__
E. R. Fancher...

Cashier

Wm. H. Hutt
M. J. Fleming
Frank J.Zurlinden..
C. A. Peple
R. H. Broaddus
J. L. Campbell
Creed Taylor. _
C. R. McKay
John H. Blair

Atlanta
Chicago

George J. Seay~_
M. B. Wellborn..
J. B. McDougal..

St. Louis
Minneapolis..

Wm. McC. Martin.
John R. Mitchell. . .

D. C.
R. A. Young

Kansas City..
Dallas
,

M. L. McClure.
Lynn P. Talley.
John Perrin

W. J. Bailey
B. A. McKinney..
J. U. Calkins.....

San Francisco.

1

W. Willett.
L. H. Hendricks.i
A. W. GilbarU
J. W. Jones.1 1
G. E. Chapin.
Ray M. Gidney. *
L. R. Rounds.1
W. A. Dyer.
J. C. Nevin.
Geo. H. Keesee.
John S. Walden, jr.1
M. W. Bell.
W. C. Bachman.i
K. C. Childs.1
J. H. Dillard.i
D. A. Jones.1
O. J. Netterstrom.i 1
Clarke Washburne.
J. W. White.
Gray Warren.
Frank C. Dunlop.1

0. M. Attebery
W. B Geery
B. V. Moore
Harry Yaeger *
C. A. Worthington
R. R. Gilbert
Val. J. Grand
! Wm. A. Day
Ira Clerk
L. C. Pontious.-

J. W. Helm.
R. B. Coleman.
I W. N. Ambrose.

* Assistant deputy governor.

Controller.

MANAGING DIRECTORS OF BRANCHES OF FEDERAL RESERVE BANKS
Federal Reserve Bank o—
f
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.
L. W. Manning.
Geo. DeCamp.
A. H. Dudley.
Marcus Walker.
Geo. R. DeSaussure.
A. E. Walker.
J. B. Fort, jr.
W. R. Cation.
W. P. Kincheloe.
V. S. Fuqua.
A. F. Bailey.

Federal Reserve Bank o—
f
Minneapolis:
Helena branch
Kansas Citv:
Omaha branch
Denver branch
Oklahoma City branch._
Dallas:
El Paso branch.
1
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.
D. P. Reordan.
Fred Harris.
C. J. Shepherd.
Frederick Greenwood.
R. B. Motherwell.
C. R. Shaw.
W. L. Partner.

SUBSCRIPTION PRICE OF BULLETIN
THE FEDEBAL 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.
in

TABLE OF CONTENTS
The month:
Review of the month—Changes in the banking situation
Business conditions in the United States
Special articles:
South Africa and the gold standard
Changes in membership in the Federal reserve system, 1919-24
Bankers'acceptances, 1923-24
Official:
Law department—
State laws relating to branch bankingState banks admitted to system
Fiduciary powers granted to national banks
Charters issued to national banks
Business statistics for the United States:
Industrial activity
Commodity movements
Wholesale and retail trade
Foreign banking and business conditions:
Continental banks in 1924
International price comparisons
Financial statistics for principal foreign countries
,
Foreign trade of principal countries
Industrial statistics for foreign countries
Price movements in principal countries—
Federal Reserve Board wholesale price indexes
Wholesale prices in principal countries
Retail prices and cost of living in principal countries
Banking and financial statistics:
Federal reserve banks—
Condition of Federal reserve banks
Federal reserve note account
Holdings of earning assets
Discount and open-market operations of Federal reserve banks
Gold settlement fund
Discount rates of Federal reserve banks
Member banks—
Condition of reporting member banks in leading cities
Bankers' balances at reporting member banks in Federal reserve bank cities
Deposits of all member banks
All member banks—Abstract of condition reports on December 31,1924
Bank debits
Money rates in principal cities
Money in circulation
Gold and silver imports and exports
Foreign exchange rates and index




IV

Page
147
151
172
218
180
182
187
188
188
189
192
193
195
195
197
200
201
202
203
204

.

205
209
210
211
226
225
212
213
214
215
224
227
225
228
229

FEDERAL RESERVE BULLETIN
VOL. 11

MARCH, 1925
REVIEW OF THE MONTH

Factors influencing the use of reserve bank
credit in January and February were chiefly
the seasonal return flow of curInfluence of
rency from circulation and the
gold exports.
export demand for gold. The
decline in earning assets which usually occurs
in the early part of the year has lasted a
shorter time and has been less marked in 1925
than in 1924. A year ago, in addition to the
inflow of currency from circulation, there were
net gold imports of $80,000,000 during the first
two months, both of which decreased the demand for reserve bank credit, while in 1925 net
gold exports of about $90,000,000 in January
and February tended to offset the influence on
the reserve banks of the seasonal decrease in
the demand for currency, with the consequence
that liquidation came to a close earlier this
year. In fact, after the middle of January
there was a considerable growth in the demand for reserve bank credit.
Extent of liquidation at the Federal reserve
banks during the month following the peak of
currency demand in December and the subsequent increase . in reserve bank credit are
shown in the table. The decrease of $386,000,000 in total earning assets between December 24 and January 21 was the outcome of
a reduction of $115,000,000 in holdings of
United States securities and of a seasonal
decline of $84,000,000 in acceptances and of
$193,000,000 in discounts for member banks.
During the five weeks ending February 25
the increase in earning assets reflected a
growth in discounts, partly offset by some further decline in the holdings of securities
bought in the open market. The growth of




No. 3

$231,000,000 in the volume of discounts carried
them to a higher point than at the December
peak, and to a level higher than at any time
since the spring of 1924. This upward turn
in discounts, which is in contrast with the
decline during the corresponding period of
last year, reflects chiefly the increased borrowing by member banks for the purpose of maintaining their reserve balances at a time when
the reserve banks were selling United States
securities in the open market and when there
was a demand upon member banks for gold
for export. Sales of United States securities
by the reserve banks reduced their holdings
to $365,000,000 on February 25, compared
with $538,000,000 two months earlier. While
the larger part of the reduction in these holdings, as shown in the table, occurred at a time
when there was a decreasing demand for
reserve bank credit as reflected in decreases
in both discounts and acceptances, further
sales of securities by the reserve banks in the
latter part of January and in^February were a
factor in increasing borrowings of member
banks. The largest increase in discounts was
at the Federal Keserve Bank of New York,
with the result that at the end of February
borrowings by member banks in that district represented a considerably larger proportion of the total for the system than at the
opening of the year and were in larger volume
than at any time in the past year and a half.
Increased borrowings at the reserve banks
were also occasioned by the export demand
for gold, first felt at member banks which
obtained the gold by drawing upon their
balances at the reserve banks, and then replenished these balances by increasing their
discounts.
147

148

FEDERAL RESERVE BULLETIN

EARNING ASSETS OF THE FEDERAL RESERVE BANKS
[In millions of dollars]
Increase (+) or
decrease ( - )
Dec. 24, Jan. 21, Feb. 25,
1924
1925
1925
Dec. 24,
1924-Jan. Jan. 21-

21, 1925 Feb. 25

Total earning assets

1,332

Discounts
Acceptances
._.'__.
United States securities.

945
203
306
423

434
317
365

+185

1,130

396
390
538

-193
-115

+231
+11
-58

The turn in the direction of the gold movement, which has recently influenced the relation of member banks to the
Four years of

gold imports.

i
reSerVe

-i

banks

>

i
haS COme

P,
after

continuous gold imports, which
have been for several years the largest factor
decreasing the degree of dependence of member banks upon the reserve banks. In commenting upon the use made by member banks
of this gold received from abroad and upon its
influence upon the domestic credit situation,
the Federal Reserve Board in its annual report
for 1924 says:
In 1924, as in other recent years, the most
important single influence affecting the volume
of Federal reserve bank credit in use was the
continued inflow of gold. While net imports
of gold in 1924 were somewhat less than in
1923, they represented a continuation of a
movement which has lasted for over four years,
and since their effect upon the relative position
of Federal reserve banks and member banks
has been cumulative, their influence is clearer
when considered in perspective. Gold received from abroad is deposited by member
banks with the reserve banks, and its immediate
effect is to increase their reserve balances.
The use made by member banks of these additions to their reserve balances depends upon
the extent of the currency demand and upon
the indebtedness of member banks at the
reserve banks at the time the gold is received.
In 1921, when liquidation was under way,
balances arising out of the $667,000,000 of net
gold imports, as well as the currency returned
From domestic circulation, were used to reduce
indebtedness at the reserve banks. In 1922,
when the volume of member bank borrowing
was at a low level and there was an increased
demand for currency, the larger part of the




MARCH,

1925

additions to reserve balances due to gold imports of $238,000,000 were used to meet the
currency demand, though a part remained as a
basis for the growth in deposit liabilities of
member banks which occurred during the first
half of the year. In 1923 practically the entire
amount of net gold imports of $294,000,000
was used by member banks in lieu of additional borrowing at the reserve banks to meet
demands for currency, and the earning assets
of the reserve banks remained practically unchanged. In 1924, though the volume of
earning assets of the reserve banks and the
volume of money in circulation fluctuated considerably during the year, at the end of the
year they were both at about the same levels as
at the beginning, and the $258,000,000 of net
gold imports are reflected in a growth of member bank balances. For the entire four-year
period the net gold imports and the net decline
in currency in circulation have been reflected
in a decrease of nearly $2,000,000,000 in the
earning assets of the Federal reserve banks and
a growth of $3,000,000,000 in the loans and
investments of member banks. This divergence in the movement of Federal reserve bank
credit and member bank credit since 1920 is
shown in the following table:
RESERVE BANK AND MEMBER BANK CREDIT, 1920-1924
[Amounts in millions of dollars]
End of—
1920

Change
1920- 1923-24
1924

1921 1922 1923 1924

Federal reserve banks:
Total earning assets. 3,235 1,524 1,326 1,211 1,249 -1,'
+38
Member bank re1,780 1,753 1,934
serve balances
2,220 +440 +322
All member banks:
Total loans and in25,888 23,644 25,769 26,738 29,027 +3,139 +2,289
vestments
Deposits on which
reserves are com17,616 16,816 18,966 19,505 21,985+4,369 +2,480
puted
Ratio of earning assets
of reserve banks to
loans and investments of member
banks (per cent)
12.5
5.1
4.5
6.4
4.3
Ratio of reserve balances to deposits on
which reserves are
computed (per cent).. 10.0 10.5 10.2
9.7 10.1

I

The large increase in the loans and investments of member banks and the decline in the
earning assets of the reserve banks, shown in
the table, has reduced the ratio of Federal
reserve bank credit to member bank credit
in use from 12.5 per cent in 1920 to 4.3 per
cent in 1924. The ability of member banks

149

FEDERAL RESERVE BULLETIN

MARCH, 1925

to increase the volume of their own outstanding credit and at the same time to decrease
their use of reserve bank credit was due principally to the receipt during the four years of
$1,500,000,000 of gold from abroad. While
the proportion of the amount of reserve bank
credit outstanding to loans and investments
of member banks is only a fraction of what it
was in 1920, the ratio between reserve balances
maintained by member banks at the reserve
banks to member bank deposit liabilities, as
shown by the table, has remained practically
constant at about 10 per cent, which represents on the average the minimum required by
law. This constancy reflects the fact that
member banks have currently utilized the full
amount of credit that could be supported by
the increase of $440,000,000 in their reserve
balances. Thus, notwithstanding the large
addition to their balances, the member banks
were obliged in the autumn of 1924 to increase
their borrowings at the reserve banks in order
to meet the seasonal demand for currency.
The unusually large growth in member bank
credit during 1924 and its distribution between
banks in financial centers and
F W
i? bank outside are reflected in condiu °i
member
credit in 1924. ^ l o n reports lor all member,
banks for December 31, 1924;
which have recently become available and are
shown in detail on pages 215-216. Changes in
principal items for all member banks for the
year and for the last quarter of 1924 are shown
in the following table:

and in loans being in about the same volume.
At the end of 1924 total loans for the first
time exceeded the peak of 1920, though total
loans and investments have been above the
high figure for that year since early in 1923.
Total deposits increased by $3,875,000,000
during the year, of which $1,679,000,000 was
the increase in demand deposits, and the
remaining $2,200,000,000 was about equally
divided between the growth in time deposits
and bankers' balances. Comparison of the
end of year figures with those for October 10
show that during the last quarter of 1924
loans and investments of member banks increased by $576,000,000, of which more than
one-half represents the increase at banks in
the New York Federal reserve district.
The much larger part of the growth of
member bank credit at banks in the financial
centers than at banks outside those cities is
brought out in the following table, which
shows changes in the principal items for
member banks in reserve and central reserve
cities and for so-called country banks:
MEMBER

BANKS IN

1923

1924

1924

1

Oct.,

1923

Loans
Investments
Total loans and
investments

Dee,

1924

19,052
7,686

19,820
8,631

20,182
8,845

+1,130
+1,159

+362
+214

26, 738

28, 451

29,027

+2, 289

+576

Increase in
1924

Amount
Banks in reserve cities

Banks outside
reserve cities

Banks Banks
in
outside
reserve reserve
End of E n d of End of E n d of cities
cities
1923

Dec. 31, Oct. 10, Dec. 31,

OUTSIDE

[In millions of dollars]

ALL MEMBER BANKS
[In millions of dollars]
Increase (+) or decrease (—) s i n c e -

RESERVE CITIES AND

Loans
„_ 11,527
4,029
Investments
Total loans and
investments... 15, 556
10,435
Demand deposits
3,820
Time deposits
3,066
Due to banks
919
Due from banks
1

1924

1923

1924

12,713
4,931

7,525
3,657

7,469
3,914

1,186
902

156
257

17, 644
11,999
4,552
3,999
1,171

11,182
5,652
4,830
446
905

11,383
5,768
5,252
549
1,168

2,088
1,564
732
933
252

201
116
422
103
263

Decrease.

Total loans and investments of member
banks in the larger cities increased by about 13
-59
+6
per cent, while at the banks outside of the
Total deposits
30,772
32, 362 +3,875
28,487
+ 1 , 590
financial centers they increased by less than 2
1
Including certified and cashiers' checks.
per cent. Compared with a growth of more
Total loans and investments of member than $1,000,000,000 in loans at banks in reserve
banks increased by $2,289,000,000, or 9 per cities, country banks show a slight decrease in
cent, during 1924, the increase in investments loans for the year. Investments increased in
Demand deposits
Time deposits
Due to banks
United States deposits-




16, 087
8,651
3,512
237

16,383
9,597
4,490
302

17, 766
9,805
4,548
243

+1,679
+1,154
+1,036

+1,383
+208
+58

150

FEDERAL RESERVE BULLETIN

both classes of banks, but the increase in the
larger cities was much greater. The absence
of an active demand for credit for commercial
purposes during 1924 resulted in a flow of funds
to the money centers reflected in a growth of
bankers7 balances, which furnished a considerable part of the funds used by city banks in
increasing their loans and investments.
Since the beginning of this year banking
developments, as shown by the weekly reports
of member banks in leading
Recent changes icnj cirees a sjen ci o n tlroaasnts with the Y e s t
rapid
t
?
a n k i n g SUUa
n
a n d in
"
ments and in deposits during
the greater part of 1924, have been characterized by some decline in total loans and investments and a considerable reduction in demand
deposits. In 1924 the continuous inflow of gold
both directly increased the deposits of member
banks and provided them with reserve balances
to support a growth in their credit, and the
recent outflow of gold has been a factor in
reducing deposits and in diminishing the balances of member banks at the reserve banks.
In New York City, where the growth of member bank credit in 1924 was largest, there has
been a considerable decline in investments,
which were at their peak in the middle of
November, and since January also a decrease
in loans. Both loans and investments for
reporting member banks outside of New York
City have continued to increase, though at a
slower rate than in 1924, and total loans for
all reporting member banks at the middle of
February were larger than at any time in recent
years. During the first two weeks of February
there was an increase in commercial loans,
which have continued near the high level
reached during the autumn months of 1924.
More recently there has also been some increase
in the demand for currency. Since the latter
part of January there has been a considerable
growth in borrowing by member banks at the
reserve banks, particularly at the Federal
Reserve Bank of New York.
In the money market, following the brief
period of decline after the turn of the year,




MARCH, 1925

these recent developments were reflected in an
increase of rates on commercial paper to a level
higher than at any time since the middle of last
year. Rates on bankers' acceptances, after an
almost continuous rise for more than six
months, were in February more than 1 per cent
above the rates prevailing during the summer
months of 1924. On February 27 the discount
rate at the Federal Reserve Bank of New York,
which had been at 3 per cent since August 8,
1924, was advanced to 3*^ per cent, the rate
prevailing at the Boston, Philadelphia, Cleveland, and San Francisco reserve banks.

NOTES
Annual report of Federal Reserve Board.

The text of the annual report of the Federal
Reserve Board, covering operations for the
calendar year 1924, has been submitted to
Congress and is now available. The full
report, including detailed statistical tables, is
in preparation.
Meeting of Federal Advisory Council.

The Federal Advisory Council held its first
quarterly meeting in 1925 on February 16.
Paul M. Warburg was reelected president and
E. F. Swinney, vice president. In addition to
these officers the following members were
elected to constitute the executive committee:
C. A. Morss, vice chairman, L. L. Rue, J. M.
Miller, jr., and F. O. Wetmore.
Index-Digest of the Federal Reserve Act.
The third edition of the Index-Digest of the
Federal Reserve Act and amendments has
recently been issued. A limited number of
copies is available for distribution at $2 per
copy. Persons wishing to obtain copies should
address the secretary of the Federal Reserve
Board.
Report of Gold and Silver Commission.
The Commission of Gold and Silver Inquiry
of the United States Senate has issued a report
on European currency and finance by John
Parke Young. This volume, in addition to a
discussion of the relation of the United States
to currency problems of Europe and a detailed
account of currency and financial conditions
in principal European countries, contains a
series of papers on currency and finance by
leading American and European economists.

MABCH,

151

FEDERAL BESEKVE BULLETIN

1925

BUSINESS CONDITIONS IN THE UNITED STATES
Further growth in production during January carried the output of basic commodities to
the highest point reached since the spring of 1923. Employment at industrial establishments
increased slightly, but remained below the level of a year ago. Prices of farm products continued to advance, and there were smaller increases in the wholesale prices of most of the other
groups of commodities.
Production.—Production in basic industries, after a rapid increase in recent months,
advanced 9 per cent in January and was 35 per cent above the low point of last summer. The
most important factor in the increase in the level of production since August has been the greater
activity in the iron and steel industry, but in January the output of lumber, minerals, food
products, and paper, and the mill consumption of cotton, also showed considerable increases.
The woolen industry was somewhat less active in January, and output of automobiles, though
larger than in December, was considerably smaller than a year ago. Further increases during
the month in employment in the metal, textile, and leather industries were largely offset by
seasonal declines in the number employed in the building materials and food products industries.
Building activity, as measured by contracts awarded, though less in January than during the
closing months of 1924, was near the high level of a year ago.
Trade.—Railroad shipments were in record volume for this time of year, and loadings of merchandise and miscellaneous products were particularly heavy. Wholesale trade in January,
however, was slightly smaller than in December. Sales of groceries, shoes, and hardware were
in smaller volume, while sales of .dry goods and drugs increased. Department-store sales in
most districts were somewhat smaller than a year ago, but sales of mail-order houses were
considerably larger.
Prices.—Wholesale prices, as measured by the index of the Bureau of Labor Statistics,
rose 2 per cent during January to the highest level in four years. The increase of 10 per cent
in the index since last June represents an advance of 19 per cent in prices of agricultural commodities and 3 per cent in other commodities. In the first half of February prices of grains,
wool, coal, and lead declined, while petroleum and gasoline prices advanced sharply, and cotton
silk, and rubber showed smaller increases.
Bank credit.—Loans and investments of member banks in leading cities, following the rapid
growth during the last half of 1924, declined by about $100,000,000 between the middle of
January and the middle of February. This decrease represents a reduction in the holdings of
investments, chiefly at banks in New York, partly offset by an increase in loans. Loans on
stocks and bonds increased, though less rapidly than in the latter part of 1924, while loans for
commercial purposes declined slightly from the high level reached in the middle of January.
PER CENT

PER CENT

PER CENT

150 200

200

150

150

100

100

50

ibO

50

f
ft
/

\

/

100

AT
50

50

PRODUCTION IN
BASIC- INDUSTRIES

WHOLES/\LE PRICES

0

1322
1323
1925
Index of 22 basic commodities adjusted for seasonal variations. (1919=
100.) Latest figure, January, 127




33405—25

2

1922

1923

1924-

1925

Index of United States Bureau of Labor Statistics. (1913=100, base
adopted by bureau.) Latest figure, January, 160

152

FEDERAL RESERVE BULLETIN

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

MARCH, 1925

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

10

2

1923

1922

192A-

1922

1925

1923

1924

1925

Weeklyfiguresfor member banks in 101 eading cities. Latest figures
February 11

Weeklyfiguresfor 12 Federal reserve banks. Latestfiguresfor
February 18

Net demand deposits, owing largely to decreases at New York City banks, declined sharply from
the high point reached in the middle of January.
At the Federal reserve banks the seasoned liquidation resulting from the return flow of
currency from circulation came to a close by January 21, and during the following four weeks
there was an increase in total earning assets. This increase reflected largely the demand for
gold for export, which led member banks to increase their discounts at the reserve banks.
Reserve bank holdings of United States securities declined further, while acceptances showed
relatively little change for the period.
Money rates, after remaining comparatively steady during most of January, showed a
firmer tendency during the early part of February, when rates for prime commercial paper
advanced to 3% per cent.
BUSINESS INDEXES OF THE FEDERALJRESERVE BOARD
[Monthly average 1919-100]
Production in
basic
industries *

October
November..
December..
January---February...
March
April
May
June
July
August
SeptemberOctober
November..
December.,
January -

1923

1924

118
116
110

Department store
Factory Building Railroad Wholeemploy- contractsl
sale
car
awarded loadings * trade
ment

101
100
99

Department store
stocks»

Unadjusted

Unadjusted

Adjusted

Adjusted

Bank
debits
outside oi
NewYork
City*

151
167
172

118
120
113

148
142
202

130
126
126

146
149
123

131
133
132

105
105
105

120
120
116
114
103
94
94
94
103
109
107
117

170
163
164
150
129
125
121
133
150
166
196
180

118
125
115
121
117
103
111
111
117
120
116
124

109
102
115
133
127
120
91
93
119
141
141
211

125
127
115
130
123
120
122
119
131
124
126
132

115
127
138
140
135
127
122
126
137
147
148
124

131
135
137
136
135
133
130
126
128
132
131
133

105
110
109
112
109
103
108
108
107
112
107
112

127

168

123

109

124

119

134

120

1925
78

i The indexes of production in basic industries, building contracts, car loadings, and bank debits are adjusted to allow for seasonal variations.
The indexes of department store sales and stocks are shown both with and without seasonal adjustments.




FEDERAL RESERVE BULLETIN

MARCH, 1925

BANK CREDIT

153

and changes for this period and since February,
1924, are shown in the following table:

On February 18 the loans and investments
of reporting member banks in leading cities PRINCIPAL RESOURCES AND LIABILITIES OF FEDERAL
RESERVE BANKS
were about the same in volume as at the
[In millions of dollars]
beginning of the year, a decline in the investment holdings of these banks, chiefly in the
Earning assets
New York district, being slightly in excess of
the growth in their loans. During the first
Date
seven weeks of the year loans secured by stocks
•Si
and bonds continued to increase, and commercial loans at the end of this period were
slightly above the level of the first of the year.
1925
Demand deposits declined sharply from the
945 203 306 423 3,083 2,216 1,699
high figure reached at the beginning of the Jan. 21
Jan. 28-__
989 274 308 394 3,083 2,265 1,684
1,032
322
389 3,065 2,268 1,690
308
year, while time deposits continued-to increase. Feb. 4
Feb. 11
1,060
332
390 3,041 2,242 1,714
325
1,046
_.
342
378 3,045 2,257 1,699
312
The following table shows the principal re- Feb. 18
1,130
Feb. 25-___
434
365 3,030 2,270 1,729
317
sources and liabilities of member banks in Increase (+) or decrease
(—) for six weeks ending
leading cities for December 31, 1924, and for Feb. 25
+185 +231 +11 - 5 8 - 5 3 +54 +30
each week between January 14 and February Year ending Feb. 25
+179 -98 +54 +209 -200 +284 -293
18, as well as changes for the seven weeks and
* Including foreign loans on gold and all other earning assets,
for the year ending February 18.
CONDITION OF ALL MEMBER BANKS
LOANS,

INVESTMENTS, AND DEPOSITS OF MEMBER
BANKS IN LEADING CITIES

During the latter months of 1924 loans of
member banks continued the growth which
[In millions of dollars]
became pronounced in June, and on December 31, as indicated by the quarterly reports of
Deposits
Loans and investments
condition recently become available and published on page 215 of this issue, the total for all
All
Loans
member banks was $29,026,000,000, an insecured other
Date
loans,
by
crease of $576,000,000 since October 10 and of
Total stocks largely- Invest- Net de- Time
ments mand
$2,288,000,000 since the close of 1923. Total
comand
bonds mercial
deposits (including demand and time deposits,
balances due to banks, and United States
4,862
4,849 Government deposits) were $32,361,000,000 on
1924—Dec. 31
_. 18,600
8,206' 5,531 13,254
1925—Jan. 14
18,680
4,878
4,853
8,261
5,557 13,355
Jan. 21
18,635 4,894
8,193
4,869 December 31, 1924, or $3,875,000,000 in excess
5,548 13,143
Jan. 28
8,163
18,539
4,888
4,876
5,488 13,014
Feb. 4
8,184
18,567
4,930
4,900 of the total on the same date in 1923.
5,453 13,040
Feb. 11
8,182
18,547
4,933
4,925
5,432 13,093
The growth in total loans and investments durFeb. 18
8,234 5,404 12,995
18,575
4,937
4,936
Increase (+) or deing the year, the greater portion of which occrease (—):
Dec. 31-Feb. 18.
-25
-127
+87 curred in the last six montns, represented about
+75
+28
-259
Feb. 20, 1924Feb. 18
+2,154
+859
+760 equal increases in loans and in investments.
+385 +910 + 1 , 760
Total loans of all member banks were $20,181,000,000 at the close of 1924, $361,000,000
The total volume of reserve bank credit in above the amount on October 10 and $917,use, after a marked decline from the high 000,000 above June 30. This growth was
point reached in December, 1924, increased entirely in the loans of member banks in reserve
during the latter part of January and in and central reserve cities, the loans of country
February, due to growth in the volume of banks showing, in fact, a slight decline during
the reserve banks' discounts for member banks the period—more particularly between June 30
which more than exceeded declines in the and October 10. Investment holdings of
holdings of United States Government securi- member banks, at $8,845,000,000 on December
ties. Acceptances, after declining in the open- 31, were $848,000,000 above the total for June
ing weeks of the year, remained practically 30; the increase for the last three months of the
constant between January 21 and February year was about one-fourth of that amount.
25. The principal resources and liabilities The largest additions to the banks' holdings
of the Federal reserve banks for the period consisted of securities other than United
between January 21 and February 25, 1925,States Government securities. The growth




154

FEDERAL RESERVE BULLETIN

MARCH, 1925

in the total investments of member banks
during the last six months of 1924 occurred
both in reserve cities and outside; for the last
quarter of the year, however, investments of
member banks in New York City showed some
decline. Demand deposits of member banks,
continuing the increase which began in the
spring months, rose rapidly during the closing
months of the year to the highest point on
record. Bank balances held with city correspondents, after a rapid growth prior to October 10, increased only slightly during the last
quarter of the year. Time deposits continued
to grow throughout the period.
In the following table are shown the amounts
of the principal resources and liabilities of all
member banks, by class of banks, on December
31, 1924, and the extent of changes since June
30.

in February. Commercial paper was in less
active demand, and by the third week in the
month the rate on 4-6 months maturities had
increased from 3% per cent to Z% per cent,
the rate prevailing at the end of 1924.
Moderately increased sales of bankers7 acceptances to the Federal reserve bank early
in February and an advance in the reserve
bank's minimum rate on short maturities
was followed by a general rise in open-market
bill rates. Despite these advancing money
rates, the prices of Government securities
and the yields on both short and long term
issues remained practically constant throughout the month. The renewal rate on call
loans averaged higher in February than in
January. The table below shows the rates
prevailing in the New York market during
the past three months:

PRINCIPAL RESOURCES AND LIABILITIES OF ALL
MEMBER BANKS DECEMBER 31, 1924

MONEY RATES IN N E W YORK
[Per cent]

[In millions of dollars]
Dec. 31, 1924

Prime
commercial
paper 4-6
months

All
Central
mem- reserve Reserve Councity
try
ber
city
banks banks banks banks
Total loans and investments.
Total loans 1
Total investments
United States securities.
Other bonds and stocks..
Total deposits
Demand deposits 2
Due to banks
Time deposits
United States deposits-

29,026
20,181
8,845
3,902
4,943
32, 362
17,767
4,548
9,804
242

7,660
5,546
2,114
1,154
960
9,465
6,354
1,947
1,117
46

9,983
7,166
2,817
1,353
1,464
11, 278
5,645
2,052
3,435
146

11,383
7,469 December, 1924
3,914 January, 1925
1,395 Average for week ending:
Jan. 31, 1925
2,519
Feb. 7,1925
11,619
Feb. 14, 1925
5,768
Feb. 21, 1925
549
Feb. 28,1925
5,252
50

Changes since June 30,1924
All
Central
mem- reserve Reserve Country
city
ber
city
banks banks banks banks
Total loans and investments
Total loans 1
Total investments
United States securities.
Other bonds and stocks.
Total deposits
Demand deposits 2
Due to banks
Time deposits
United States deposits..

+1,765
+917
+848
+295
+553
+2,832
+1,474
+694
+601
+63

+696
+848
+508
+453
+188
+395
+223
+66
+172
+122
+880 +1,176
+406
+645
+500
+37
+234
+188
+36
+10

+221
-44
+265

+6

+259
+776
+423
+157
+179
+17

1

Including rediscounts and overdrafts.
* Including certified and cashiers' checks outstanding.

MONEY RATES

Somewhat firmer conditions in the New
York money market, accompanying exports
of gold and the flow of funds to the interior,
were evidenced by advances in money rates




Yield on
certifiPrime 1 cates of
inbankers
accept- debtedness
ance,
90 days maturing June
15, 1925

Average Reyield on newal
4Ji p
Ji
cent rate on
call
Liberty loans
bonds

2.57
2.61

:

k

4.05
4.04

3.49
3.32

2.57
2.61
2.61
2.59
2.61

4.01
4.01
4.02
4.02
4.03

3.50
3.30
3.63
3.50
4.06

In the L/ondoh market rates were very
stable during January and early February
at levels lower than those prevailing at the
end of the vear, but higher than the average
rates of October and November. Threemonths bank bills were quoted at 3 % per
cent the first week in February and Treasury
bills were tendered that week at an average
rate of 3.72 per cent.
ACCEPTANCE MARKET

During the first half of the period from
January 22 to February 18 there was little
change in the condition of the New York
acceptance market, although some increase
in the supply of bills was reported from
Boston, with a consequent increase in the
portfolios of dealers. There were moderate
offerings to reserve banks. On February 6
the New York Federal Reserve Bank's buying
rates on 30 and 60 day maturities were raised

MARCH, 1925

FEDERAL RESERVE BULLETIN

155

The total of capital flotations in the United
States during 1924 was greatly augmented by
the issue here of foreign securities. A compilation of these issues made by the New York
Federal Reserve Bank gives a volume of
$1,264,512,000 for the year, including refunding issues, as compared with $431,657,000 for
1923, so that the combination of these figures
with the Chronicle's statistics of domestic
issues gives for 1924 a total of $6,334,000,000,
which exceeds that for 1923 by more than
$1,000,000,000. The foreign issues in December amounted to $179,716,000, as compared
with $130,600,000 in November and $49,375,000 in December, 1923. December ranked as
the fourth month of the year 1924 in the size
CAPITAL ISSUES
of foreign flotations, being exceeded only by
According to the compilation of the Com- February, when the $150,000,000 Japanese
mercial and Financial Chronicle, $396,000,000 loan was put out, by September, when unof domestic securities were issued in the United usually large Canadian issues were floated
States in December, 1924. This exceeds the here, and by October, when $110,000,000
amount of the November issues but is con- of the international loan to Germany was
siderably less than the large volume of flota- issued in New York. The more notable
tions in October. Sixty-one per cent of the foreign flotations in December were $30,000,domestic issues were corporate issues, and 23 000 of bonds issued by the Argentine Govper cent of these were for refunding purposes, ernment, $50,000,000 by the Kingdom of
industrial corporations issued the largest Belgium, and $40,000,000 by the Andes
proportion of securities, with public utility Copper Mining Co. in Chile. Foreign issues
offerings next in size, and railroad issues of in January, 1925, were in substantial volume,
small importance in December. The new but much smaller than those of the preceding
domestic flotations during the month were six months.
slightly less than during December, 1923, but
the total for the year 1924 was $500,000,000
SECURITY PRICES
above that for the year 1923, and larger than
for any year previously recorded. The followThe prices of representative stocks continued
ing table shows the domestic securities issued early in February the rapid advance which
in December, 1924, and during the year 1924, began in November, declined somewhat during
as compared with the issues of December, 1923, the third week of the month, but in the next
and the year 1923, classified as to type of week recovered to approximately their former
security:
level. These movements were shared in genDOMESTIC CAPITAL ISSUES
eral by both industrial and railroad stocks,
[In millions of dollars]
but certain groups, including coal stocks and
textile stocks, were exceptions to the general
December, December, Y e a r > 1924
Year, 1923
advance in January and early February. The
rise in prices was accompanied by activity in
ReReReReNew fund- New fund- New fund- New fund- the market, and the daily volume of sales has
ing
ing
ing
ing
averaged over 1,000,000 shares each week since
November 1. Bond prices showed little change
Total corporate __ 248.3 55.9 261.-6 14.8 3,027.8 491.8 2,648.8 560.3 in January, but advanced somewhat in FebLong-term
bonds and
ruary. The following table gives indexes of
notes
151.0
160.6 13.4 1,923.8 395.7 1,846.3 416.3
stock prices computed by the Standard StaShort-term
bonds and
notes
8.3
.3 276.1 59.6 143.3 37.2 tistics Co. of New York, the average prices of
11.2 19.7
2.4 92.7
1.2 828.0 36.5 659.2 76.8 40 bonds computed by Dow, Jones & Co., and
Stocks
86.1
Farm loan issues. 2.3
2.1
179.1
337.
55.0 the average number of shares of stock sold
86.3
Municipal
3.4 111.9
1.81,, 353.7 17.41,043.1 20.0
dailv for the last four months and for each
336.9 59.3 375.6 16.6 4,560.6 509.2 4,029.4 635.3
Total
week of February.
to 3 per cent, and dealers subsequently advanced their rates y$ per cent on all maturities
up to 90 days. There was an increase in the
foreign demand for prime member bank
bills of 30 and 60 day maturities, and with
easier money conditions a more active demand on the part of both local and out-oftown banks, including savings banks, developed, so that toward the end of the period
New York dealers found the supply nardly
sufficient to fill orders. Rates in New York
on February 18 ranged from 3J^ per cent
bid and 3 per cent offered on 30-day bills to
3% bid and 3J^ offered on 5 and 6 months
maturities.




156

FEDERAL RESERVE BULLETIN
INDEX NUMBER OF SECUKITY PRICES
Price indexes of— »

Average
number
Average of shares
price of of stock
sold
of 40
daily
bonds 8
(thou- 3
sands)

202
industrial
stocks
Average for—
November, 1924
December, 1924
January, 1925
Average for week ending—
Feb. 2, 1925,
Feb. 9, 1925
Feb. 16, 1925
Feb. 24,1925

31 railroad
stocks

113.4
119.7
125.8

106.3
111.3
112.6

111.3
117.2
122.0

91.01
90.66
90.91

2,080
1,788
1,774

128.9
129.4
124.6
127.1

113.0
113.7
111.1
113.6

124.2
124.8
120.6
123.1

91.36
91.61
91.61

1,684
1,847
1,570
1,833

233
stocks

J
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 1each stock outstanding.
Arithmetic average of daily peak and low prices as published in Wall
Street Journal.
3
Average for 5 days ending on preceding Friday.

AGRICULTURAL CREDIT BANKS

Intermediate credit banks closed direct loans
amounting to $4,206,931 during January, 1925,
as compared with $1,447,457 during December,
1924, and rediscounts of $2,688,045, as compared with $3,813,680 in December. The
Springfield, Baltimore, and Columbia banks
each made loans of $1,000,000 or more, while
6|of the 12 banks made no direct loans in
January. All except the Louisville bank rediscounted a certain amount of agricultural
paper, but the bulk of the total rediscounting
was done by the middle western banks. The
following table shows the rediscounts outstanding on February 14, 1925, classified by borrowing organizations, and the direct loans classified
by commodities on which the loans were based:
DIRECT

LOANS

Cotton
Tobacco
Raisins
WheatPrunes
Canned fruit and vegetr1 les_
Peanuts
Rice
All other

MARCH, 1925

sued $30,000,000 of 10-30 yea* 4K per cent
bonds, which brought the total of Federal land
bank bonds outstanding to $946,819,307 on
January 31, as compared with $914,763,416 on
December 31. The net mortgage loans of
joint-stock land banks amounted to $435,067,400 on January 31.
AGRICULTURE

In most sections of the country farm operations were retarded in January on account of
the generally unsatisfactory weather for outdoor work. Throughout the Western States
low temperatures were accompanied by heavy
snows, and the growing grain crops, livestock,
and ranges were injured to some extent, but
some of the losses were offset by the exceptionally favorable weather during the early
weeks in February. Some areas in the Kansas
City and Dallas Federal reserve districts are
still suffering from a lack of moisture, which
is causing a delay in winter plowings and early
seedings. In the Richmond and Atlanta districts rainfall in January was excessive which,
in addition to delaying farm work, caused
frequent floods and heavy losses, particularly
in the latter district.
PER CENT

PER CENT

250

EX PORTS 0F AGR1C ULTURAL PRODUC,TS
00
( JULY. 1909 - JUNE,1914- = 1 )

\

V

Y

jr

\

\

1

$11, 913, 500
21, 650, 121
4, 000, 000
1, 724, 366
1923-'24
1921 -22
1922-23
1, 222, 750
427, 146
While marketing of the 1924 crops was
200, 462
349, 774 seasonally smaller m January than in Decem148, 647 ber, it continued in larger volume than in the

corresponding month last season.

Total

250

Tobacco

41, 636, 766 and vegetables were distributed in larger vol-

ume than in December, vegetable shipments
being about 50 per cent greater, the largest
increase over December in the last six years.
Exports of agricultural commodities, as
measured by the Department of Agriculture's index and shown in the chart, were
seasonally smaller than in December. All
Total
19, 198, 655 groups of products showed reduction except
Federal land banks increased their mortgage meats. As compared with last year, total exloans during January by $7, 762, 131 and is- ports were 26 per cent larger, due principally
REDISCOUNTS

Agricultural credit corporations
National banks
State banks.Livestock loan companies
Savings banks and trust companies
Cooperative associations




$9, 643, 878
18, 177
744, 740
8, 640, 216
151, 644

MARCH, 1925

FEDERAL. RESERVE BULLETIN

to a continuation of heavy exports of cotton
and wheat.
^1 Agricultural prices advanced further during
the month and reached the highest level since
November, 1920. Practically all groups, as
contained in the Department of Agriculture's
index, except dairy and poultry products and
a few miscellaneous items, were higher. In
view of this rapid rise, the index of agricultural
prices at wholesale markets was 161 as compared with 165 for nonagricultural commodities, and the margin between agricultural and
nonagricultural prices was narrower than at
any time since June, 1920.
Grains.
The early weeks of January were accompanied by generally cold and unfavorable
weather for the winter wheat crop; and there
was some damage by alternate freezing and
thawing, although the extent of such damage
is yet uncertain. In February the weather
was milder, and considerable improvement was
noted in all sections except in some areas of the
Kansas City and Dallas Federal reserve districts, where there was a lack of moisture.
Seeding of oats in the Southern States made
good progress, and by the middle of February
planting was being done as far north as Oklahoma. Winter seeded oats in the Richmond
and Atlanta districts continued in good condition and the outlook is much more satisfactory
than last year, when the crop was practically
killed late in the winter.
Marketing of grains in January was seasonally smaller than in December, and while it
was heavier than in January last year it was
in considerably lighter volume than in January, 1921, 1922, or 1923. Receipts of wheat
at principal markets declined from 32,500,000
bushels in December to 24,166,000 bushels in
January, as compared with 16,861,000 bushels
in January last year. Notwithstanding the
reduction in the size of the corn crop, marketing in January was 17 per cent larger than
last year, but this increase may be attributed
in part to the considerably smaller marketings
in rTovember and December, which were due
in a measure to the delay of the new crop in
reaching the market. Oats were sold in the
largest January volume in the past seven years.
Trading in grain futures in January, as reflected in reports from the Chicago Board of
Trade, was the largest for the period for which
records are available- Prices advanced rapidly during the month and reached a peak near




157

the end of the period which, for most of the
grains, was the highest since 1920. Early in
February there were considerable declines in
prices, amounting to 27 cents for winter wheat
and about 22 cents for rye. Exports of grains
and grain products fell off in January from the
high levels reached in the autumn months,
but were in about the same volume as in January last year.
Cotton.
A further increase in the consumption of raw
cotton by American mills, continuation of
large foreign demand, heavy exports, and
generally unsatisfactory weather for farm
operations were the most significant factors
affecting the cotton market in January.
Since last July the consumption of cotton by
domestic mills has increased each month with
the exception of a slight hesitation in November, and in January about 590,000 bales
were consumed, the largest monthly volume since May, 1923, when 621,000 bales
were consumed. Exports were larger in January than in December and were the largest
for that month since 1915. In connection
with the exceptionally large volume of exports
it is significant to point out that for the six
months of the cotton marketing season ending
with January, 5,420,000 bales were exported as
against a total of 5,656,000 bales for the
entire season ending last July. The movement
of cotton from the plantations and small towns
of the South to the larger markets is continuing
at a rapid rate, and for the season to the middle
of February approximately 12,427,000 bales
had reached the markets, about 1,000,000 bales
less than the total yield. Notwithstanding the
large demand for the crop in this country as
wefl as abroad, reports indicate that mills have
been producing largely to fill current orders,
and spinners in Great Britain have recently
curtailed production schedules.
Weather conditions for the season to date
have been decidedly unfavorable for the new
crop. In the Richmond and Atlanta Federal
reserve districts excessive rains in January
delayed farm operations and in the Dallas
district a continuation of the drought caused
the ground to dry out to such an extent that
plowing has been retarded and preparations
delayed.
With a continuation of the demand for the
old crop and unfavorable weather in most of
the growing areas the price of cotton strengthened late in January and early in February.

158

FEDERAL RESERVE BULLETIN

MARCH, 1925

For the week ending February 13 the price of j continued to decline in January for the third
consecutive month and was smaller than in
middling cotton at New Orleans was 24.5
cents a pound, as compared with 23.8 cents a January of last year.
pound a month earlier.
Fruits and Vegetables.

Tobacco.
With the exception of the heavy rains in the
During the late autumn months the market- southeastern States early in January, which
ing of tobacco was delayed, but in January in- delayed plantings and damaged growing truck
creased activity was noted in almost all pro- crops, weather conditions were generally favorducing areas, and the aggregate volume of the able for the winter fruit and vegetable crops in
crop marketed was larger than in the preceding the southern sections of the United States.
month and exceeded sales in January last year. Shipments of potatoes, grapefruit, and lemons
In the Kichmond district a slightly larger per- increased sharply in January and were in larger
centage of the total crop was sold prior to volume than in the same month last year.
February 1 than for the same period in 1924. Marketing of oranges and apples was seasonally
Prices in January were slightly higher than last smaller than in December, but shipments of
year, the greatest increases being in the prices oranges were in the largest January volume on
paid for the North Carolina crop. Weather record. Throughout the autumn months
conditions were generally favorable for hand- apples were marketed in smaller volume than
ling the crop in the St. Louis districts, and deliv- in the corresponding months in 1923, and a
eries and sales were in large volume. Receipts continuation of lighter shipments was evident
and offerings of the 1924 crop of both burley in January. The crop in 1924 was smaller
dark varieties were greater than last year and than in 1923, and, in view of the smaller availprices were well sustained. Late in January, able supplies, the price of apples at the New
however, and early in February the quality of York market on February 20 was 25 per cent
the new burley crop was poorer than earlier in higher than a year ago. Cold-storage holdings
the season and prices for such grades were lower. of apples were 35 per cent lighter on February 1
Heavy sales in January were reported by the than last year and 16 per cent lighter than on
Burley Tobacco Growers' Cooperative Associ- the same date in 1923. After advancing t a
ation, which amounted to approximately 110,- $3.75 a bushel at New York for the week end000,000 pounds. Since December 1 sales by ing February 13 from the low level of $3 a
the association have aggregated 172,000,000 bushel at the first of the month, the price of
pounds, and, in view of this decided improve- potatoes declined to $3.25 a bushel on Febment in demand, sentiment in the growing areas ruary 20. A year earlier the price was $4.35
has changed and the proposed "cut-out" move- a bushel.
ment is less serious than early last autumn.
Stocks of all tobacco held by manufacturers Livestock.
and dealers were smaller at the beginning of
During 1924 the most significant developJanuary than at the beginning of October, but
they were still larger than last year. The ments in the livestock industry were reductions
table shows the stocks of the different types at in the number of hogs and beef cattle and
increases in the number of milk cows and
the beginning of 1924 and 1925:
sheep. The total number of hogs on farms
STOCKS OF TOBACCO
and ranges on January 1, 1925, was 18 per cent
smaller than at the beginning of 1924 and the
[In pounds]
number of cattle was 5 per cent smaller. A
short corn crop, accompanied by high prices,
Types
Jan. 1,1924
Jan. 1,1925
made hog raising less profitable, and in order
Chewing, smoking, snuff, and export... 1,219,694,350
1,266,082,988 to make losses as light as possible producers
Cigar
358,356,222
371,043,245 marketed their stock rapidly in the closing
73,979,605
Imported
76,543,662
months of the year. Continuation' of low
Total
1,651,930,177 1,713,669,895
prices for beef cattle, the drought in a considerable part of the range territories, and the
Production of cigarettes and manufactured short corn crop resulted in heavy marketing of
tobacco products in January exceeded the vol- range cattle, while the relatively higher prices
ume in December, but it was smaller than for dairy products, lambs, and wool resulted in
that of January last year. The output of cigars a further increase in the number of milk cows-




and sheep. Since 1922 the dairy industry has
been expanding rapidly, and the total number
of milk cows in the country is the largest on
record.
In January ranges, pastures, and livestock
suffered from the continuous cold weather and
much feeding was necessary; but in February
the weather was milder throughout the western
grazing districts and many of the snow-covered
ranges were opened, and the stock showed considerable improvement, particularly in the
northwestern grazing districts, where the
drought was not serious. In Texas and other
sections of the Southwest the drought has continued, and the condition of the ranges is
considerably lower than last year.
Marketing of all livestock was smaller in
January than in December, and all animals
were sold in fewer numbers than in January
last year. After reaching the unprecedented
level of 6,604,000 head in December, the number of hogs marketed declined to 6,104,000 head
in January, which, with the exception of January, 1924, was the largest number on record
for that month. The number of cattle and
calves that reached the market in January was
10 per cent smaller than in December, but only
slightly below that of last year. Sheep, on the
other hand, were marketed in 14 per cent
smaller volume than in January, 1924.
Dairy products.
A sharp increase in the shipments of butter
to principal markets in January and a slowing
down in the rate of movement out of storage
resulted in a much smaller reduction in aggregate stocks in January than a year ago. At
the beginning of February stocks of butter
were the largest on record for that date, and
while they were approximately 200 per cent
larger than on the same date in 1923 and 1924,
they were not exceptionally heavy when compared with some of the earlier years, as is
shown in the table:
STOCKS OF BUTTER ON FEBRUARY 1

Pounds.
36, 777, 000
38,359,000
41,486,000
35,047,000
16, 122, 000
15, 243, 000
45, 812, 000

1919
1920
1921
1922
1923
1924
1925

During the months of February, March, and
April stocks of butter are rapidly reduced and
a low point is reached by the beginning of
May. Average stocks at the principal whole-




33405—25

159

FEDERAL RESERVE BULLETIN

MARCH, 1925

3

sale markets on May 1 for the past five years
were about 6,300,000 pounds, and average
holdings on February 1 for the same period
were 29,250,000 pounds, the average reduction
being about 78 per cent. With stocks amounting to 45,812,000 pounds on February 1 this
year, a reduction of about 86 per cent will be
necessary in the three months February,
March, and April to bring holdings to the average level for the past five years. In view of
the large stocks and a continuation of heavy
production there was a considerable decline in
prices in January, which reached a low point
of 373^ cents a pound for 92-score butter at
New York for the week ending January 23,
approximately 73^ cents a pound below the
high level reached in December. Late in
January, however, and early in February the
market was stronger, and for the week ending
February 20 the quotation was 41 cents a
pound.
Contrary to the situation in the butter
industry, stocks of other dairy products are
not excessive, and condensed milk is in a more
favorable position than a year earlier. Production and stocks of cheese are slightly larger
than in 1924 and the prices at several of the
wholesale markets are somewhat lower, but
the change from last year is much less pronounced than in the case of butter. In view
of the relatively better position of the cheese
and condensed-milk industries, there is a tendency among some of the butter manufacturers
in Wisconsin to increase the output of cheese
and condensed milk and to reduce the production of butter.
Coal and coke.

MINING

Recessions in both production and prices
characterized the market for bituminous coal
during the latter half of January and the first
half of February. The Coal Age index of spot
prices for bituminous coal, after touching
$2.12 on January 12, declined weekly to $2.03
on February 9 and stood at $2.04 on February
16. Daily average production per working
day declined during the same period from
2,098,000 tons for the week ending January
10 to 1,624,000 tons for that ending February
14. This recession, which was in contrast to
the movement during the preceding four weeks,
carried mid-February production below and
prices to about the same levels as those at the
middle of December. Despite the lower rate
of output during the latter half of the month,
January production of bituminous totaled

160

FEDERAL RESERVE BULLETIN

51,914,000 tons, a figure that has been exceeded
in only two months since 1920. Little change
characterized the market for anthracite during
the period. January production of 7,400,000
tons was slightly in excess of December but
well below January of last year.
Production of by-product coke during January reached 3,406,000 tons, a new maximum,
while output of beehive at 1,170,000 tons was
the largest since March, 1924. Production
of beehive for the week ending February 14
was 264,000 tons, as against 276,000 tons the
previous week, which was the highest weekly
figure attained on the present movement.
Petroleum,
Improvement in the oil industry, which
began late in the autumn, continued in January and February. Although the rapid
increase in the output of crude petroleum at
the Wortham, Tex., field, reaching a peak of
167,000 barrels a day in the middle of January,
caused a larger total production in January
than in December, the larger supply was not
sufficient to check the rising prices. After the
middle of January, however, the flow at
Wortham fell off, and by the week ending
February 14 the daily average output for the
entire country had declined to 1,935,100
barrels, as compared with a peak production
for the year of 2,023,650 barrels a day in the
middle of January. Although a rapid increase
in the supply of crude petroleum from the
Wortham field is no longer a serious problem
for the oil industry, reports indicate that advancing prices have stimulated expansion in
Mexico and wildcatting in the West and Southwest. The rapid advance in the price of crude
petroleum since the beginning of the year is
pointed out in the following table:

Date

Jan. 2
"
9-_
" 16
" 23" 30
Feb. 6
" 13
" 20.

Price of
crude petroleum per
barrel
$0.90
.90
.90
1.15
1.35
1.35
1.55
1.55

Improvement in the crude petroleum industry was preceded by improvement in the
refined products industry. Stocks of gasoline
were reduced from 1,650,000,000 gallons at the
end of May to 1,180,000,000 gallons at the end




MARCH, 1925

of the year, and following this reduction in
the supply there were advances in the prices
of gasoline. The tank-wagon price at 30 cities
supplied by eastern and mid-continent refiners
averaged 15.7 cents a gallon at the end of
January, as compared with 13.59 cents a
gallon in October, the low point for 1924.
Prices for other refined products were stronger
in January and February than last autumn,
but the increases were not as significant as
those for gasoline.
Metals.

In contrast to December activity and price
advances lasting well into January, a quieter
tone dominated the nonferrous metal markets
during the latter part of January and the first
half of February. With primary producers
frequently out of the market and large consumptive requirements for the first quarter
apparently filled, the markets both here and
abroad were influenced largely by second-hand
and odd-lot dealers, and price recessions from
the January highs were recorded in copper,
zinc, lead, and tin. The price of refined
electrolytic copper delivered at New York,
which had advanced to 15 J^ cents on January
14, fluctuated between 143^2 and 15 cents and
on February 18 was again quoted at 143^
cents. Production of 144,544,000 pounds in
January was well above the high levels of the
last quarter of 1924 and the highest monthly
production since the war. Shipments of lead
from Joplin district during January made a
new high, while prices of both lead and zinc,
after continuing the December rise during the
first half of the month, broke sharply and
closed the month lower than at the opening.
Shipments of slab zinc from refineries during
January were slightly under the high levels of
November and December, but still in excess
of production, which made a new high, so that
stored stocks were further reduced and at
about 19,000,000 tons were the lowest since
June, 1923.
Production of silver in January was 5,374,000
ounces, the lowest since July, 1924. Quotations for bar silver in New York continued to
recover during January and reached 6934 on
the last day of that month, but fell off subsequently and stood at 6 8 ^ on February 18.
In spite of deliveries of tin in the United
States during January that were higher than
for any month since April, 1924, stocks within
the country increased to 4,394 tons, the highest
since July of last year. Straits tin averaged
slightly over 57 cents during the four weeks

MARCH, 1925

FEDEKAL RESERVE BULLETIN

161

ending February 18 and ended the period at present prices. As a result of large slaughterthat price, in contrast to a high of 60 J^ on ings of hogs and cattle, cold-storage holdings
January 3.
of pork and beef products are considerably
MANUFACTURING
larger than last year, but lamb and mutton
Food products.
products were in about the same volume.
Greater activity was noted in the flour and Both domestic and foreign demand for meats
sugar manufacturing industries in January and meat products were larger than in Decemthan in December, but the production of meat ber and dollar sales by 41 packers reporting to
products as measured by the number of animals the Chicago Federal Reserve Bank were 7 per
slaughtered was smaller. The output of flour cent greater than in January last year. Exports
was 6 per cent larger than in December and of hams, bacon, lard, and most beef products
with the exception of January, 1920, was in the increased during the month, but practically all
largest volume for that month in the past five products were shipped abroad in smaller volyears. Milling operations in the Chicago, ume than last year.
Minneapolis, and Kansas City Federal reserve
districts were higher than in December, but Textiles.
production in the St. Louis district was 4 per
Buying of textile products was fairly active
cent smaller than in the preceding month. during January and February, markets on the
Rapid advances in the ""price of wheat in whole continued rather strong, and production
January were accompanied by higher quota- was increased or maintained at relatively high
tions for flour, which, for the week ending levels to cover orders previously received.
January 30, reached $10.50 a barrel for spring The few price changes noted recently have
patents at Minneapolis. Early in February, varied in extent and direction, but some ^Tere
with the decline in the price of wheat, flour important, such as the increases in men's
quotations dropped to $9.45 a barrel, but part suitings at the openings of fall lines.
of this loss was recovered during the remaining
Demand for cotton goods has been well
weeks of the month. Average flour prices for maintained, and although orders in general
the entire month of January were the highest are probably not as numerous as they were a
for any month since October, 1920, and were few weeks ago, buying of certain constructions
about $3.50 a barrel higher than last year. In of print cloths and finished goods has been
view of the violent fluctuations in the grain rather active. Prices have remained without
markets buyers were purchasing only for im- significant changes for several weeks; the
mediate requirements. Exports were in con- Fairchild index of cotton goods prices has
siderably smaller volume than in December fluctuated within a narrow range around
and were in the smallest volume for January 15.65 since November 22. In fact, fluctuations
in the last six years.
of cotton goods quotations since last April
The output of sugar in January increased 75 have been smaller than during any similar
per cent over December and was in the second period since the war. The cotton-yarn market,
largest volume on record for that month. on the other hand, has weakened somewhat
Prices of both raw and refined sugar declined since the first of the year, and the Fairchild
in January, and on February 20 refined sugar yarn index has fallen from 44.44 in the first
was 46 per cent and raw sugar 56 per cent week of January to 42.44 for the week ending
lower than last year.
February 21. Manufacturing operations were
All animals except sheep were slaughtered in increased further during January, as indicated
fewer numbers in January than in December. both by mill consumption of raw cotton and
As compared with January a year ago there were by active spindle hours, which were the largest
increases in the slaughterings of cattle, calves, recorded since May, 1923. In the cottonand hogs, but the increases were compara- growing States consumption and the number
tively small. The number of hogs slaughtered of spindles active during January were the
in January was the second largest monthly greatest on record. Imports of cotton goods
figure on record and followed from the excep- have been heavy recently; in January receipts
tionally heavy marketings in December and at principal ports totaled 18,682,690 square
January. Reports indicate that while market- yards, the largest figure reported for any month
ing has been large the hogs have been lighter of the past year.
in weight than ordinarily, which is indicative
Early in February the American Woolen Co.
of the tendency among producers to sell their opened its fall lines of men's wear at an average
herds rather than attempt to feed corn at advance over last year's prices of 6.6 per cent




162

FEDERAL RESERVE BULLETIN

on 50 staple suitings. Increases in woolens
were greater than in worsteds. Buying since
the openings has in general been only fairly
active, but woolens continued to be more
popular than worsteds. Manufacturing operations in the industry were at a somewhat lower
rate in January than in December, according
to the percentage of machinery hours active.
Consumption of raw wool, on the other hand,
was slightly greater during January than
in December. December figures from the
men's clothing industry show a much larger
number of garments cut than in the same
month a year before. The raw-wool market
has been weaker since the first of the year, and
prices throughout the world have declined.
Fairchild's index of domestic raw wool prices
fell from 144.976 in the week of January 24,
the highest figure since 1920, to 140.590 in the
week of February 21. Wool stocks on December 31, as reported by the Bureau of the Census, were the smallest recorded since the
figures began in 1922. The accompanying
table shows the data for domestic and foreign
wools for certain recent dates. In recent
months imports have increased considerably;
they totaled 47,503,591 pounds in January, the
largest figure recorded since April, 1923, and
weekly data indicate a continuation of shipments at the same rate.

MARCH, 1925

advances in yen exchange were important
factors in the recent price rise.
Demand for knit goods has been fairly
strong since the first of the year. Orders have
increased and production schedules have been
somewhat enlarged. Production of practically all classes of hosiery increased in December and was much greater than a year earlier.
Preliminary reports indicate further increases
in January in shipments and orders as well
as in production. Production and orders for
knit underwear also increased considerably
in December, but shipments were somewhat
smaller and stocks were enlarged. Early in
February prices of wool underwear were advanced by a leading producer.
Iron and steel.

Orders for iron aitd steel products have been
much lighter since the first of the year than
during the last few months of 1923. Specifications on contracts placed at that time for
first quarter delivery are large, and production
is at a high level; furthermore, unfilled orders
are probably sufficient to maintain active manufacturing operations for several weeks, but
orders for second quarter requirements are not
being booked in large quantities. The level of
prices is now higher than when contracts were
made last fall. The recent advance, however,
,has been checked and some declines have been
STOCKS OF RAW WOOL IN THE UNITED STATES
noted, but the general level, as indicated by
[Actual weight in thousands of pounds]
the Iron Trade Review's composite price, has
been relatively stable since the first of JanuTotal
Domestic
Foreign
ary. Quotations on steel scrap were particularly weak, and several reductions were made.
131,373
131,123
Dec. 31, 1924.
304,215
185,527
118,689
Sept. 30, 1924
Production of pig iron and steel ingots in
323, 713
182,298
141,415
June 30, 1924.
273,971
112, 701
161, 270 January was the largest ever before recorded in
Mar. 31, 1924.
315,471
148,537
166,934
Dec. 31, 1923.
373, 534
81,624
291,910 that month, and the total output of ingots has
Mar. 31, 1923.
420,655
177,656
242,999 been previously exceeded only twice—in May,
Sept 30, 1922
1923, and March, 1924. The daily average
Marked improvement was noted in the silk production of steel ingots has increased 115 per
industry during January and February—buy- cent since the low point in output last July.
ing increased considerably, productive opera- In February the rate of operations was retions were enlarged, and prices rose. Takings of duced slightly and toward the end of the month
raw silk by American mills totaled 39,885 bales averaged about 88 per cent, as compared with
in January, more than in any month since the 92 per cent at the end of January. Furnaces
statistics began in 1920. Imports continued in blast on February 1 totaled 251—61 per
large, but were smaller than in December and cent of the total number of stacks. Unfilled
were less than mill takings. Consequently orders of the United States Steel Corporation,
warehouse stocks were reduced for the first in face of large production and shipments, intime since July. Stimulated by large orders, creased 220,000 tons during January to 5,037,producers of both tjirown silk and silk goods 323 tons, the largest total since August, 1923.
nave increased production. The price of raw
Railroad buying, particularly of bridge masilk again turned upward in February and ad- terial, continues to be an important factor in
vanced to the highest point since last March. the market, but car and locomotive awards
Greater strength m the Yokohama market and during January were the smallest recorded in




MARCH, 1925

FEDERAL RESERVE BULLETIN

several months. Some increase in car orders
were noted in February. Although prospective building is large, structural steel bookings
in January totaled less than in any month last
year. Automobile manufacturers continue to
be conservative buyers. Demand for semifinished products has been fairly heavy, although here also some slowing down in buying
has been noted. The pig-iron market has likewise been dull in recent weeks.
Automobiles and tires.

Slight seasonal increases in production and
factory shipments of automobiles were reported in January, but both sales and output continued small as compared with previous
months. The current situation presents a
sharp contrast to that of a year ago, when
production was at a high rate and dealers were
placing large supplies of cars in storage in
anticipation of the spring demand, which
failed to develop to the extent expected.
Production of passenger cars totaled 204,000
in January, as compared with the recent low
point of 179,000 in December and with 287,000 a year ago. Railroad shipments were
practically the same as in December and considerably smaller than during January, 1924.
Manufacturers report an increase in sales to
dealers as compared with December, while
dealers' sales to users were smaller. Certain
dealers in the Middle West reported to the Federal Reserve Bank of Chicago an increase in the
number of cars on hand at the end of January as
compared with those held a month earlier and a
decrease within the past year. A number of
price reductions were made in December and
in the first part of January, but few have been
announced since the middle of January. The
demand for trucks has continued fairly good,
and production has been relatively stable since
the middle of 1923.
For the second successive month production
of automobile tires and tubes in January
exceeded shipments, and stocks increased.
Inventories are rather large as compared
with those on corresponding dates of previous
years, but the increase is not so great when the
year-to-year growth in shipments and production is considered. After a sharp decline in
prices in January, the crude-rubber market
strengthened and quotations rose about the
middle of February. Imports in January
totaled 73,700,000, as compared with 59,000,000 in December and 49,000,000 in January,
1924.




163

Lumber.
Shipments of lumber in January, as reported
by the National Lumber Manufacturers'
Association, totaled 1,287,000,000 feet arid
production 1,225,000,000 feet. Production
in this month exceeded the cut of lumber in
November and in December, and was in excess of production in any preceding January
since 1918. The Federal Reserve Board index
for lumber production, corrected for seasonal
variation, rose from 128 for December to
145 for January. Shipments in January were
above the corresponding total for December
and also above that for January, 1924. They
exceeded the total production in January, as was
the case in the same month last year. Last year
in January shipments were running above production. As reported by the West Coast Lumberman's Association, shipments of Douglas fir
ran below production during October and November and exceeded production in December
and January. Shipments of southern pine, as
reported by the Southern Pine Association, exceeded production in October, November, and
December, and fell below production in January. In the seven weeks ended February 14,
1925, lumber cut reported for eight associations
totaled 1,516,000,000 feet, shipments 1,589,000,000 feet, and orders 1,535,000,000 feet.
For these weeks production was 4.6 per cent,
and orders were 3.4 per cent below shipments.
Hides, leather, and shoes.
Hide and leather markets have noted some
decrease in activity since the first of the vear,
but on the whole business has been fairly
good for this season. Sales of hides and skins
were reported to be less active on the Chicago
market, and prices have declined since the
middle of January, but lower prices are usual
at this season because of the poorer quality of
hides and skins offered. Raw stocks of cattle
hides increased in December, but those of
calf, goat, and sheep skins were further reduced, and all were smaller than a year earlier.
Stocks disposed of were much larger than in
December, 1923.
Demand for leather has lessened a little
recently, but on the whole has been fairly
well maintained. Prices have been firm, with
advances noted in a few cases. Stocks of
finished leather were in general reduced during
December, and production was greater than
in November, although for some types of
leather output was less than in December,
1923. Stocks in process on December 31 were

164

FEDERAL RESERVE BULLETIN

all smaller than at the end of the previous
year. Preliminary figures show a decrease of
6 per cent in the production of sole leather
during January to 1,294,319 backs, bends, and
sides. Tanners' finished stocks were reduced
and stocks in process were increased.
Shoe manufacturers are now producing in
preparation for deliveries of shoes for Easter.
Producers report more activity in the buying
of women's shoes than in the case of men's
lines. In general, factories are booked up
until Easter, but few orders have been received
for later delivery. Shipments have been
seasonably dull. Production of shoes was
about 7 per cent greater in January than in
December, totaling about the same as in
January, 1924. Decreases in output were
noted in the Philadelphia and Chicago districts, whereas increases occurred in the other
important producing sections. Sales of shoes
at wholesale were smaller in January than in
the corresponding month last year.
BUILDING

Contracts awarded in 11 Federal reserve districts during January indicated for this month
in comparison with the month preceding a decrease of nearly 9 per cent in the value of projected building. Statistics compiled by the
F. W. Dodge Co. show decreases for the Boston, Cleveland, Richmond, Atlanta, Chicago,
and St. Louis districts, and increases for the
New York, Philadelphia, Minneapolis, Kansas
City, and Dallas districts. January values
contracted for a year ago in 10 of these districts combined held very close to the preceding December total, but the December-January decrease this year in these districts from
$327,000,000 to $294,000,000, although considerable in amount, leaves the volume of new
building contracted for at a high figure for
January—only 2 per cent below the exceptionally high total for January a year ago and
more than 20 per cent above that for January
two years ago. The New York district,
which in January of this year reported more
than one-third—$110,000,000 out of $310,000,000—of the values represented in contract
wards in the 11 districts, reported an increase
of $8,500,000 in January over December, the
January total this year, which is close to that
for January, 1924, being in excess of the January, 1923, figure by $44,000,000 and double
the January, 1922, total.
Square feet contracted for in 27 northeastern
States decreased in nearly the same proportion




MARCH, 1925

as values—9.5 per cent, from 46,800,000 feet in
December to 42,342,000 feet in January. Five
out of eight classes of construction show decreases, the most considerable being that for
residential building contracts. This year's
January total for all classes of construction is
15 per cent below that of January, 1924.
The number of square feet of residential construction contracted for in January of this year
was 23,518,000, which is less by nearly onethird than the corresponding total of 34,693,000 for January, 1924, and below the total of
24,586,000 for January, 1923.
Number and value of building permits issued
in 168 selected cities of the United States also
declined in January from the totals of the
month preceding. Number of permits issued
decreased from 41,519 in December to 38,735
in January, and values from $247,000,000 to
$213,000,000, the decrease in values amounting to 13.7 per cent. Value decreases from the
December totals are shown for the cities of 10
Federal reserve districts, and relatively small
increases for the Dallas and San Francisco districts. In January of 1924 these same cities
issued 42,096 permits, covering values totaling
$222,000,000. In comparison with January a
year ago decreases in values are shown for the
cities of eight districts, and increases for the
cities of four districts, the net decrease for
the 168 cities combined amounting to 4.2 per
cent.
On February 20 the price of Portland cement
per barrel was $1.85, which was the price recorded for the preceding week, for a month ago,
and for a year ago. The price of bricks on
February 20 ($14 per thousand), while materially lower than in February a year ago, has
not changed in recent weeks, and the price
indexes for lumber also indicate only inconsiderable price changes. The Bureau of Labor
statistics price index for building material,
however, advanced in January to 179.3 from
175.1 in December.
TRANSPORTATION
Freight-car loadings in January of 3,991,557
cars for all classes of freight combined ran close
to the December total of 3,931,109 cars, the
increase of January over December being somewhat under average seasonal change for these
months, with the result that the Federal
Reserve Board index of car loadings corrected
for seasonal variations declined slightly—from
124.2 to 122.9 per cent. Car loadings in January were, nevertheless, greater than in any

MARCH, 1925

January of the six years, 1919 to 1924, for all
classes of freight combined, and specifically for
miscellaneous freight, merchandise 1. c. 1., grain
and grain products, forest products, and coal.
Loadings of ore and coke, while not in record
volume, were in excess of, and loadings of livestock were close to last year's movement.
Loadings in January ran above the December
totals in the Allegheny, Pocahontas, northwestern, and central western districts, and fell off in
the eastern, southern, and southwestern districts. They ran above the 1924 January totals
in all districts excepting the eastern.
Weekly figures show that in the week ended
February 14 loadings of coke, ore, merchandise, and miscellaneous freight were running
above, and loadings of grain and grain products,
livestock, coal, and forest products, and of all
classes combined, below last year's totals for
this week.
In February, as in January and in each
month of the preceding year, the roads were
maintaining a large surplus of serviceable
cars, with practically no shortage attributable
to failure on their part to provide for traffic
needs. Reports for February 14 show a
surplus of 220,798 cars and a shortage of 511
cars.
Toial operating revenues for Class I railways
in December, amounting to $505,522,950, were
$10,908,235, or 2.2 per cent above, while total
operating expenses, amounting to $381,415,252,
were $6,738,761, or 1.7 per cent below the corresponding totals for 1923. The operating ratio
of expenses to revenue was accordingly lower
in December of 1924 than in the corresponding
month of 1923, being reduced to 75.45 from
78.48 per cent.
Final figures for the calendar year 1924 give
total operating revenues of Class I roads as
$5,986,492,120, which falls short of the 1923
aggregate by $373,931,093, or 5.9 per cent.
Operating expenses totaled $4,558,307,781,
giving in comparison with the preceding year a
decrease of $386,827,617, or 7.8 per cent. In
1924, according to compilations of the Bureau
of Railway Economics, operating revenues were
3.4 per cent above and operating expenses 6
per cent below the average of the five preceding
years. The operating ratio on the year's
account as a whole was brought down from
77.75 for 1923 to 76.14 for 1924. Net railway
operating income for Class I roads in 1924 gives
a rate of return on the book investment of the
carriers of 4.33 per cent, which is below the
rate of 4.48 per cent earned in the preceding
year.




165

FEDEKAIi RESERVE BULLETIN

Wholesale trade.

TRADE

Total volume of wholesale trade in the
United States in January was smaller than in
December. For the past three years trade in
January has increased over December, but
this year the Federal Reserve Board's index
was about 1 per cent less than in the preceding month. Sales of groceries, shoes, hardware, machine tools, diamonds, jewelry, and
electrical supplies showed the greatest declines,
while sales of meat, dry goods, drugs, millinery, and farm implements were larger. Reductions in the distribution of shoes occurred
in all Federal reserve districts except in the
Atlanta, St. Louis, and San Francisco districts, and were heaviest in the Cleveland,
Philadelphia, Minneapolis, and Chicago districts.
Aggregate dollar sales were 2 per cent
smaller than last year. Declines were noted
in all leading lines except groceries, meat, furniture, and agricultural implements, but increases in the sales of groceries were not
general, since six Federal reserve districts
reported a smaller distribution than last year.
Greater sales of agricultural implements, on
the other hand, were indicated in all reporting
districts. Sales of dry goods were about 16
per cent smaller than last year, and declines
were noted in all Federal reserve districts except in the Minneapolis district.
Stocks of merchandise at wholesale firms in
six Federal reserve districts from which reports were received were larger than at the
end of December, and stocks of groceries and
drugs were larger than at the close of January
last year. Smaller sales of dry goods in January resulted in large increases in stocks, varying from 11 per cent in the Philadelphia
district to 32 per cent in the Dallas district.
Shoe stocks were heavier in all reporting districts at the end of January than in December, but smaller than in January a year ago.
Collections were smaller than in December,
but larger than in January last year. Accounts outstanding, however, were smaller for
most lines at the end of the month than at the
end of December and were somewhat smaller
than a year ago in most sections of the country.
Retail trade.
Trade at retail stores in January was seasonally smaller than in December, but when adjustment is made for the usual seasonal change
in January, sales at grocery, 5-and-10, drug,

166

FEDERAL BESERVE BULLETIN

music, and candy chain stores were larger.
Although sales at mail-order houses and at all
chain stores were larger than last year,
business at department stores was no larger
than in January, 1923. Mail-order house and
drug chain sales were in approximately 10 per
cent greater volume than last year and increases at grocery and 5-and-10 chains were
about 20 per cent larger than a year ago.
Sales at department stores, after correction
for seasonal variation, were 5 per cent smaller
than in December, and declines were evident
in all Federal reserve districts except Dallas.
As compared with January last year, aggregate
dollar sales at these stores were in about the
same volume, but there were increases in
sales in the three mid-western districts—
Chicago, Minneapolis, and Dallas. Retail
distribution in the New York district was
approximately the same as last year, but it
was in smaller volume in other eastern districts
and the southern districts. Analysis of these
data, by departments, indicates that sales of
silks, velvets, neckwear, veilings, toilet articles,
leather goods, misses7, juniors', and girls'
ready-to-wear, corsets, brassieres, negligees,
aprons, house dresses, and shoes were all in
more than 6 per cent larger volume than last
year. Departments selling cotton dress goods,
ribbons, silverware, men's clothing, women's
coats and skirts, waists, sweaters, gloves, toys,
and sporting goods, on the other hand, reported
a substantially smaller volume of business
than last year.
- The aggregate dollar value of stocks of
merchandise at department stores was 5 per
cent smaller than at the end of December, but
was about 3 per cent larger than in January
last year. Reductions from December occurred in all Federal reserve districts except in
the Atlanta district, where they were 10 per
cent larger than at the close of the preceding
month. Inventories of departments carrying
neckwear, veilings, handkerchiefs, silverware,
leather goods, boys' wear, women's coats,
misses' ready-to-wear, negligees, aprons, and
glassware showed the greatest increase in
stocks over last year. Stocks of women's
suits, misses' ready-to-wear, sweaters, millinery, and men's and boys' shoes, on the
other hand, were substantially smaller than
last year. The rate of turnover for department stores, as measured by the relation of the
volume of sales to stocks, was slower than in
January last year. Goods moved more slowly
in all Federal reserve districts from which data
were received except in the Atlanta, Minneapolis, and Dallas districts. Outstanding




MARCH, 1925

orders of department stores at the end of
January were in about the same volume as at
the end of January last year.
PRICES

Wholesale prices increased in January by
1.9 per cent, according to the index of the
Bureau of Labor Statistics. The largest increase, of 4.3 per cent, was in the index for
farm products, but all the groups, with the
exception of cloths and clothing and miscellaneous commodities, showed advances for
the month. From the low point of June, 1924,
the general level of prices advanced 10 per cent.
This advance reflects a rise of 22 per cent in
the price of farm products and of 18 per cent
in the price of foods, with smaller advances in
most of the other groups and an actual decline
in the fuel and lighting group.
When regrouped by stage of manufacture,
raw materials snowed an advance of 3.3 per
cent, which reflects the rise in crops, animal
products, forest products, and a slight increase
in mineral products. Producers' goods and
consumers' goods each rose 1 per cent. For
the period June, 1924, to January, 1925, all
groups showed increases; raw materials advanced 13 per cent, reflecting a 19 percent
rise in crops and a 22 per cent rise in animal
products. Consumers' goods increased 12 per
cent, and producers' goods showed an advance
of less than 3 per cent.
In the following table are shown index
numbers of wholesale prices in the United
States, as grouped by the Bureau of Labor
Statistics and as regrouped by the Federal
Reserve Board:
WHOLESALE PRICES IN THE UNITED STATES
[1913=100]
1924

1925

DeJanuary cember
All commodities
Bureau of Labor Statistics groups:
Farm products
Foods
Cloths and clothing
Fuel and lighting
Metals
Building materials
Chemicals and drugs. _
House furnishings
Miscellaneous
Federal Reserve Board groups:
Raw materials
Crops
Animal products. _
Forest products _. _
Mineral products _
Producers' goods
Consumers' goods

June

January

160

157

145

151

163
160
191
168
136
179
135
173
127

157
158
191
165
133
175
135
172
129

134
136
187
175
132
173
127
172
111

144
143
200
169
142
181
132
176
117

167
196
133
193
172
134
169

161
186
129
187
169
132
167

147
165
109
182
168
130
151

156
182
115
194
170
136
156

MARCH,, 1925

In February the prices of many commodities, including wheat, oats, rye, sheep, flour,
eggs, copper, and hides, declined, while advances were shown for corn, barley, hogs,
potatoes, lumber, and petroleum and gasoline.
Retail food prices, according to the index
of the Bureau of Labor Statistics, increased
by about 2 per cent in January, reflecting an
advance in prices of cabbages, eggs, potatoes,
flour, corn meal, oranges, cheese, lard, bread,
ham, and coffee. Over a year ago the advance
in food prices has been about 4 per cent.
Cost of living also showed some advance in
January.
EMPLOYMENT
Increases in the volume of employment in
certain important industries during January
were largely offset b y seasonable declines in
others. The index of employment in manufacturing industries increased only slightly—
from 92.7 in December to 93.1 in January.
P a y rolls actually decreased during the period.
Declines in both employment and wage earnings is considered usual at the first of the year,
owing to the temporary closing down of many
plants for inventories and repairs. I n New
England, however, pay-roll totals were larger
than in December, although they were smaller
in every other section, and the decrease for the
country as a whole was nearly 3 per cent.
Despite the fact that the volume of production
is higher than it was a year ago, factory employment and wage payments are about 5 per
cent smaller.
By industries, iron and steel, textiles, and
leather and shoes reported more employees
in January. On the other hand, in lumber,
stone, clay and glass products, food products,
and tobacco there were seasonal declines.
The automobile industry reported a larger
number than in several months, b u t as compared with last January this industry showed
the largest decrease. Furthermore, in the
east north central section of the country,
where the automobile industry is important,
there have been larger declines in pay-roll
totals within the past year than in any other
section. Of the more important industries
the greatest increase in January was noted in
iron and steel and in boots and shoes.
Establishments reporting to the Bureau of
Labor Statistics operated at 92 per cent of
full time in January with 82 per cent of a full
33405—25
1




167

FEDERAL RESERVE BULLETIN

force of employees. The former figure was
unchanged and the latter 1 point larger than
in December. As in preceding months, the
only important wage changes during January
were reductions of about 10 per cent in the
wages of cotton-mill operatives. These decreases affected 20,000 employees, making a
total from that industry of over 75,000 whose
wages have been lowered in the past 10 months.
SAVINGS DEPOSITS

The total of savings deposits reported by
907 banks distributed throughout the United
States was $7,675,205,000 on February 1,
1925, as compared with $7,656,758,000 on
January 1, 1925, and $7,183,402,000 on
February 1, 1924. This represents an increase
of 0.25 per cent during January, a month
when the growth of savings deposits is apt to
be checked by withdrawals following the
crediting of interest, and an increase over the
year from February 1, 1924, to February 1,
1925, of almost 7 per cent. The Atlanta and
Chicago districts were the only ones showing
decreases in savings deposits during January,
while increases of over 1 per cent occurred in the
Boston, Philadelphia, Minneapolis, and Dallas
districts. A comparison of savings deposits on
February 1, 1925, with a month and a year
previous, is shown, by Federal reserve districts, in the following table. In the Boston
and New York districts the figures represent
only deposits of mutual savings banks; in
all other districts, where there are but few
mutual savings banks, savings deposits of
other banks are included.
SAVINGS D E P O S I T S , BY F E D E R A L R E S E R V E

DISTRICTS

{In thousands of dollars]

District

Num- ' Feb. 1,
ber of
1925
banks

Jan. 1,
1925

Feb. 1,
1924

Boston
New York
Philadelphia...
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis.-..
Kansas City...
Dallas
San Francisco..

64
30
79
69
89
94
197
31
14
58
111
71

1,295,931
2, 058,549
517,463
825,337
329,862
235, 533
929,765
141,167
91, 957
104, 057
98, 698
1,046,886

1, 282,074 1, 227, 742
1,922, 678
2,056,333
483,826
512, 550
761,251
825,020
293,099
327,741
221,692
238, 829
897,435
937,486
135,025
140,326
88,478
90,774
99,990
103,709
93,377
97, 337
1, 044, 579

Total,-..

907

7,675,205

7,656, 758

7,183,402

168

FEDERAL RESERVE BULLETIN

COMMERCIAL FAILURES AND BANK SUSPENSIONS

During January 2,317 commercial failures
were reported by R. G. Dun & Co., indicating
an increase of nearly 14 per cent from the total
of the preceding month. These insolvencies
involved liabilities amounting to $54,354,032—
20 per cent above the total for December.
Both the number and liabilities were higher
than in the same month of 1923 or 1924.
Of the total number of insolvencies 480 occurred among manufacturing enterprises, 1,757
in the trading group, and 80 among agents and
brokers. Although manufacturing and trading
insolvencies were considerably more numerous
in January than in December of last year,
the increase in the total amount of indebtedness in default was largely attributable
to the occurrence of a few failures of unusual
size among agents and brokers. There were six
failures in this group, which had average liabilities of about $2,804,000, which compares with
an average of $23,459 for all commercial failures during the month taken together.
It is usual for failures to be more numerous
in January than in December; in fact, decreases have occurred between these two
months in only two years, 1919 and 1920, out
of the past 20 years. Although the number of
insolvencies in January of this year was higher
than in the same month of 1923 or 1924, the
relative increase from the month of December
was less this year than for January, 1923 or
1924.
Commercial failures were more numerous
in January than in the same month last year
in all except the Philadelphia, St. Louis, Minneapolis, and Kansas City districts. Comparing the same months, liabilities were higher
in only the New York, Richmond, Atlanta,
Dallas, and San Francisco districts. Comparative data, by districts, for the month of
January are presented in the following table:
FAILURES DURING JANUARY
Federal reserve district

Number
1925

1924

Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis-.
Kansas City..
Dallas
San Francisco.

217
416
80
199
188
• 156
345
127
103
134
78
274

203
407
113
175
152
136
251
143
104
168

Total...

2,317

2,108




Liabilities
1925

1924

$3, 742,645
20, 028,016
1, 747,846
4,937,059
4,029,401
2, 750, 320
9, 753, 298
433,149
1,095, 724
1,678, 389
1,312,836
2,845,349

$7,173,862
8,884,038
2,157,916
6,160,933
3, 505,170
2,452,051
12,641, 812
1,669,880
1,129, 225
2,035, 090
1,170,988
2, 291, 543

54,354,032

51,272,508

MARCH,

1925

BANK SUSPENSIONS, JANUARY, 1925

During January there were 96 banks, with
capital and surplus of $6,222,000, reported to
the Federal reserve banks as having been
closed (including in this number 1 nonmember
bank in the Dallas district which was closed
and reopened within the month). This tot-il,
which compared with 60 for December, was
higher than for any month since January of
last year, when 136 banks were reported closed.
Of the total number of suspensions for the
month 63, with capital and surplus amounting
to $3,260,000, were nonmember banks and 33,
with capital and surplus of $2,962,000, were
member banks; 9 of the latter were nonnational
member banks and the remaining 24 were
national banks. Increases in the number of
suspensions occurring during January this year,
as against the latter months of last year; were
more marked in the Atlanta, Chicago, and
Dallas districts, and more particularly in the
States of Georgia, Iowa, and Texas, than elsewhere. During the month 5 nonmember banks
previously closed were reopened, 3 in the Minneapolis district and 1 each in the Dallas and
San Francisco districts. Although the figures
for bank failures represent so far as could be
determined banks which had been declared
insolvent or were closed by order of supervisory authorities, it is not known how many
of the latter institutions may ultimately prove
to be solvent.
BANKS CLOSED DURING JANUARY,
[Amounts in thousands of dollars]
All banks

Member

1925

Nonmember

Num- Capital Num- Capital Num- Capital
and
and
and
ber surplus ber surplus ber surplus
All districts
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
_
Kansas City
Dallas
San Francisco

6,222
417
765

2,047
686
567
823
548
369

133
23

64

2,962
209
499
903
305
241
507
298

7

63
5
8
21
5
9
11
73
1

3,260
208
266
1,144
686
262
582
41
71

1
Comprises 24 national banks, capital and surplus of $2,012,859, and 9
nonnational member banks, capital and surplus $948,870.
2
One nonnational member bank, with capital and surplus of $40,000.
s Two nonnational member banks, with capital and surplus of $163,350.
4
Two nonnational member banks, with capital and surplus of $425,440.
6
Two nonnational member banks, with capital and surplus of $188,630.
• Two nonnational member banks, with capital and surplus of $131,450.
7
Includes one bank closed and reopened within the month.

FOREIGN TRADE

Imports of merchandise during January
totaled $346,000,000, an increase of $13,000,000 over the previous month, of $50,000,000

MARCH, 1925

FEDERAL RESERVE BULLETIN

169

GOLD MOVEMENT
over January of last year, and the highest
figure shown since May, 1923. Exports of
UNITED STATES
merchandise were $447,000,000, an increase of
about $2,000,000 over December and of
In January there were net exports of $68,$52,000,000 over January last. Net exports
declined by $12,000,000 as compared with 000,000 of gold from the United States, the
December, from $113,000,000 to $101,000,000, largest for any month in the history of the
but rose slightly as compared with January, country.
Gold imports into the United States during
1923.
The total visible export balance during January totaled $5,038,000, the smallest figure
January amounted to $174,000,000, compared shown since November, 1919, about 49 per
with $57,000,000 a year ago. The great excess cent of the imports in December and about
of exports for the month vas brought about 11 per cent of those for January, 1924. By
by the fact that the gold export balance was countries, the largest decreases in the two
$68,000,000, compare^^ith an import balance recent months as compared with a year ago are
shown in imports from England, which declined
of $45,000,000 during January, 1923.
from about $23,000,000 to a negligible amount,
and from Canada, which declined from about
MERCHANDISE T R A D E BALANCE OF THE U N I T E D
$8,500,000 to about $3,000,000. Imports from
STATES
the Netherlands a year ago were about $6,[In thousands o dollars]
f
000,000, wThereas none were shown during the
Excess of
Excess of
last two months.
Month
Exports
Imports
imports
exports
Gold exports during January totaled $73,489,000, the largest figure shown since June,
1924
January
395,172
295,506
99,666
1919, when exports were $82,973,000. JanFebruary.
365, 775
332,323
33,452
March
339,755
320,482
19,273 uary exports rose by more than 85 per cent
346,936
324.291
22,645
April
_
335,099
302,988
32, 111 as compared with December, while for JanMay
306,989
274,001
32, 988 uary, 1924, gold exports were negligible—only
June
276,649
1,945
278, 594
July
The greatest increase for the month
330,659
76,117 $281,000.
254, 542
August—
427,460
140,316
September
287,144
October
527,172
216,420 under review was shown in exports to British
310,752
November
493, 573
197,425 India—about $36,500,000 compared with $5,296,148
December
445,742
112,569
333,173
700,000 during December, and none a year ago.
3, 609,944
4, 590,981
Year
981,037 Exports
of gold to Germany, $20,000,000
1925
during December and $17,500,000 during Jan100, 393
January
446, 577
346,184
uary, are, with two negligible exceptions, the
first exports of gold from this country to
Most of this
TRADE BALANCE OF THE UNITED STATES FOR JANUARY, Germany since the armistice.
1924 AND 1925
gold appears to have gone into the reserves
[In thousands of dollars]
of the Reichsbank, which show between the
end of November and the end of January an
MerGold
Silver
Total
increase of 139,000,000 gold marks, or over
chandise
$33,000,000. Another notable item is an
export during January of $6,354,000 of gold
1924
5,980
Imports..
295, 506
45,136
346, 622 to Australia.
395,172
281
Exports..
8,209
403,662
Silver imports during January totaled $7,Net imports ( ) or ex—
+2,229
ports (+)
I +99,666 - 4 4 , 8 5 5
+57,040 304,000, of which over $4,000,000 came from
Mexico and about $2,000,000 from Peru.
1925
7,304
5,038
358, 526 Exports
of silver totaled $11,308,000, of
Imports
I 346,184
446, 577
73,489
11,308
531, 374
Exports.
which about $4,000,000 was sent to British
Net imports ( ) or ex—
India, $3,600,000 to England, and $3,000,000
+4,004 +172,848
ports (+)
.1+100,393 +68,451
to China.




170

FEDERAL RESERVE BULLETIN

GOLD IMPORTS INTO AND EXPORTS FROM THE UNITED
STATES

[In thousands of dollars]
January, Decem- January,
1924
ber, 1924
1925
IMPORTS
128
71

11
3,036

3,120
517

2,730
473
2,715

Allother

1,309
10, 274

45,136

5,078
1,309
17, 500
3,284
1,003
33
343
750
36,466
942
6,354
427

10,264
34
20, 000
1,324
1,001
188
466
30
5,674
220
474

281

29,401

EXPORTS
England .
France
Germany
Netherlands
Sweden
Canada...
Mexico
Uruguay
British India...
Hongkong.
Australia __
All other .
Total
Net imports..
Net exports

_. . _

balance of net exports for November of
£163,000.
For the 12 months ended December, 1924,
gold imports were £35,794,000, a decline as
compared with 1923 of £8,193,000, which is
accounted for by the smaller imports from the
Transvaal. Gold exports declined by an almost equal amount, £8,015,000. The greatest
decrease was shown in exports to British
India, which declined frc a £19,000,000 to
£12,000,000. Exports to the United States
declined from £33,000,000 to £29,900,000,
and to Egypt from £2,000,000 to £1,385,000.
Exports to Russia during 1924 totaled £2,000,000, while in 1923 t>ere were none. Net
exports for 1924 showed an increase of £178,000
as compared with 1923.

2

39, 675

68,451

Total..

20
2
1,180

73,489

__.

22,940
2,120
5,915
8,466
560
203
512
486
3,934

5,038

England
France
Netherlands
Canada..
Mexico _
Argentina
China.Egypt

MARCH, 1925

128
138

BRITAIN

13

44, 855

GREAT BRITAIN

GOLD IMPORTS INTO AND EXPORTS FROM GREAT

December, 1924

IMPORTS
Sweden
Netherlands
_
United States
Egypt.
Rhodesia
Transvaal
West Africa
All other

November, 1924

£5,888
_ 2,623,103

£132,900
3,360
2,564

211,627
1,883,917
151, 824
25,218

189,447
1,085,176
114,095
143,155

12 months 12 months
ended
ended
December, December,
1923
1924

£173,100
123,841
2,767,197
10,525
2,447, 348
28, 533, 217
1,450,808
287,828

£8,217
66,333
2, 654,877
57,678
2, 263, 388
37,474,494
1,252,362
209, 306

Imports of gold into Great Britain during
Total
— 4,901,577 1,670,697 35,793,864 43,986, 655
December totaled £4,900,000, the largest
EXPORTS
amount shown since April, and almost three
82,478
724
8,241
90, 872
times as large as the figures shown for Novem- Belgium
131, 697
6,070
23, 822
409, 653
France
1,470,586
62,821
177, 796
1,224,840
_
ber, The largest increase was shown in im- Netherlands
44, 580
1, 922, 470
2,000,497
56,993
136, 500
601, 590
Sweden
_
ports from the United States, which rose by Russia
160,710
152, 554
Switzerland
more than £2,600,000, almost as much as the United States
29,188 29,906,220 33,005,253
1, 688,376 1,421,754 12, 264, 600 19,092, 740
British
total received from the United States during Java . .India. .
238,407
48,194
17,916
289,512
252, 007
34,208
11, 364
the preceding 11 months or during the year Straits Settlements
2,030,500
1, 385, 710
25, 385
Egypt
26,350
1923. Indeed, for a figure at all comparable, All other
875,479
1,082,870
54,325
330, 855
it is necessary to go back to 1910, when im4,189, 274 1,833,471 49,419,607 57,434,355
Total
ports from the United States totaled £6,700,- Net imports
712,303
000. Imports from the Transvaal during Net exports
162,774 13,625,743 13,447,700
December rose by about £800,000 as compared with November.
INDIA
Exports of gold during December totaled
In view of the important r6le of gold exports
£4,189,000, an increase of £2,356,000 over
November and the largest figure shown since to India in the international gold movement, a
last May. Exports to Russia, which occurred brief statement of the statistics is here prelast October for the first time since the Rus- sented.
Below is given a table showing the gold
sian revolution, showed the largest increase
for the month, being £1,900,000 as against movement into and from British India for the
£45,000 for November and £33,000 for Oc- 15 years ending March 31, 1910 to 1924, inclutober. An increase of £267,000 was also sive, with subtotals for the five pre-war, war,
shown in exports to British India during and post-war years. I t will be noted that of
December as compared with November. Net the 15 years for which figures are given, only 3
imports for December (£712,000) were the show a net export of gold, and of those 3 years,
largest since April, 1923, and compare with a 2 fall within the period of the war.




171

FEDERAL RESERVE BULLETIN

MARCH, 1925

TOTAL GOLD IMPORTS INTO AND EXPORTS FROM
BRITISH INDIA

GOLD IMPORTS INTO AND EXPORTS FROM BRITISH
INDIA, BY PRINCIPAL COUNTRIES—Continued

[In thousands of dollars]

[In thousands of dollars]

Exports

Net
imports

80,099
89,256
132, 780
132,131
90,324

10, 725
12,524
11,948
23,327
15, 688

69,374
76,732
120,832
108, 804
74,636

524,590

74,212

450,378

34,252
16,901
42, 681
96, 508
8,174

Year ended Mar. 31

9,780
20,451
328
12,990
28,154

1920

24,472

Imports

Net
exports

1921

1922

1923

1924 1 Total

EXPORTS
HUO
I till
1012
lt»13
1U14
T o t a l , 1910-1914
1015
IUI0
1917
IMS
1&1U

Japan
United States...
All other
Total _

213

420

559

29,887 79,825

213

420

559 110,904

52,896
55,411
2,597

* January to November, inclusive.

FOREIGN EXCHANGE

3,549
42, 353
83, 517

24, 204 28,692
4,743 50,668
940
465

Leading European exchanges showed slight
declines during February. Sterling declined
150,342
23, 529 from $4.79 on February 2 to $4.76 on the
Total, 1915-1919
71, 703
198, 516
126,813
Net imports
18th and remained at atout that level during
55,471
151.673
207,144
the remainder of the month; French francs de7,219
73,121
80,340
41,015
7,557 clined from 5.41 cents per franc during the first
36, 458
395
122,296
122, 691
five days of February to 5.13 on the 28th;
205
89, 719
89, 924
1*1 21
Total, 1920-1921
173,207
370, 907
7,557 Italian lire declined from 4.16 on the 2d to 4.03
536, 557
363, 350
Net imports
cents per lira on the 25th; the Netherlands
Total, 1910-1924
1, 259, 663 319,122
971,027
31,080 florin from 40.31 cents per florin on the 2d to
940,541
N't't imports
40.01 cents on the 27th. Swedish kronor, however, remained practically steady at 26.95 cents
The following table shows the gold movement per krona. The Canadian dollarfluctuatedbeinto and from India since 1920, by principal tween 99.80 and 99.92 cents per dollar.
South American exchanges also showed slight
*M>untries. Imports from Great Britain for the
recessions; the Argentine peso from 91.31
whole period reviewed in the table amounted
«» 56 per cent of the total, and, except for cents per peso on February 3 to 89.63 cents on
«
1021, this proportion is fairly evenly sus- the 13th; Brazilian milreis from 11.63 cents on
tained. Imports from the United States vary the 2d to 10.99 cents on the 26th; and the
from 14 per cent during 1920 to nothing Chilean peso from 10.80 cents per peso on the
during the 11 months of 1924, while the amount 2d to 10.65 cents on the 14th, after which it
received from Australia and New Zealand rallied to 10.95 cents on the 24th.
nvwages 10 per cent of the total and is in Of the Far Eastern exchanges the Shanghai
tael fluctuated between 74.73 and 75.75 cents
relatively constant proportion.
Exports during 1920 and 1921 went almost per tael; the Indian rupee between 35.59 and
entirely to Japan and to the United States, 35.86 cents; and the Japanese yen between
since that time gold exports from India have 38.52 and 39,73 cents.
!»wn negligible.
FOREIGN EXCHANGE RATES
19,980

February,
1925

HOLD IMPORTS INTO AND EXPORTS FROM BRITISH
INDIA, BY PRINCIPAL COUNTRIES
Exchange

[In thousands of dollars]
1920

1921

1922

IMPORTS
»«..i B r i t a i n
»n««<l States
».--»i.-ilia a n d N e w Zca
Ui.il
. nllHT

Total._




140,195
29,772

5,277 54,988
3,153 3,140

17, 590 2,415 10,390
2G, 009 17,491 18,271
213, 5GGJ 28,336 86,789

Low
1923 I 19241

January, 1925

Par
value

High I Low

January,
1924,
average

High

Total

Sterling
486.65' 475.78 479.33 474.99
19.30! 5.13
5.41 5.30
French franc
German
reichs23. SOi 23.80 23.801 23.80
mark
4.16
4.03
19. 30! 4.03
78,774 i 46,34132;5, 575 Italian lira
14,286! 4,091 54,442 Netherlands florin. 40. 20! 40.01 40.31 40.30
Swedish krona
26. 80i 26.93 26.95 26.921
19.30! 19.21 19.30 19. 25
10,S35j 10,033 51, 263 Swiss franc
18,505! 67,28814 ^,564 Canadian dollar. _ 100. 00! 99.80 99. 921 99.53
Argentine peso... 90.4Si 89. (53 91. 31! 90. 46
06. 85 j 74. 73! 75. 75 i 74.32
122, 400; 127, 753J578,844 Shanghai tael
!

480.37 478.17 425.91
5.43
5.39
4.67
23.80
4.24
40.61
26.96
19.50
99.96
91.39
75. 96

23.80
4.17
40.41
26.95
19.34
99.69
91.08
75.34

4.34
37.35
26.18
17.32
97. ?'>
73. 65
70.27

172

FEDERAL RESERVE BULLETIN

SOUTH AFRICA AND THE GOLD
STANDARD

Gold redemption was suspended in South
Africa in 1920 for a period which was successively extended to last until July 30, 1925.1
Under the law as it now stands conversion
will be restored automatically June 1 of the
current year, or whenever the market price of
gold is 77s. 103^d. per standard ounce (i. e.,
when sterling reaches parity), whichever date
is earlier. In view of the approach of the date
set for the resumption of specie payments, Mr.
Hayenga, the minister of finance of South
Africa, invited Prof. E. W. Kemmerer, of
Princeton University, and Dr. G. Vissering,
president of the Netherlands Bank, as commissioners, to visit South Africa and to study
the question of the desirability of a return to
the gold standard. In the middle of January
the commissioners made a report recommending the resumption of gold payments by South
Africa, regardless of whether similar action is
taken by England. The text of the report is
printed below.
It may be stated by way of introduction that
the currency unit of the South African Union is
a pound of identical gold value with the pound
sterling. Until recently the South African
pound has stood at a substantial premium over
the pound sterling. With the rise of the latter
unit nearly to dollar parity in early January,
the South African pound actually rose somewhat above dollar parity and consequently
above its nominal gold value, a situation presently corrected by a reduction in the quoted
premium on South African exchange in London. While this situation lasted, however,
there was a suspension of offerings of South
African gold in the London bullion market,
the gold being taken instead to the Pretoria
mint for coinage into sovereigns. At the same
time there was a rapid increase in the holdings
of gold coin and bullion by the South African
Reserve Bank, the item rising from £552,458
on January 3, 1925, to £1,020,343 on the 10th
and £2,237,589 on the 17th and £2,728,947 on
the 24th—a net increase of £2,176,489.
Since the South African Government has
announced that no legislation will^be introduced postponing the resumption of specie
payments beyond June 30, it would appear
that the South African Union will return to
the gold standard on July 1 of this year or
W » For discussion of currency and banking in South Africa, including a
summary of the law establishing the South African Federal Eeserve
Bank, see BULLETIN, 1922, p . 1324.




MARCH,

1925

earlier, and will thus act in accordance with
the commission's recommendations.
The report of the commissioners was printed
in the South African Cape newspapers for January 16,1925, in its entirety, with the exception
of the first 10 sections, which relate to the appointment of the commission, etc., and is here
reproduced from that newspaper. The occasional subheadings have been added for convenience and form no part of the original report.
REPORT OF THE COMMISSIONERS
RELATION

OF SOUTH

AFRICAN

POUND

TO

STERLING

11. Under present conditions, the problem practically narrows itself down to the question: Should
South Africa in determining now her future monetary
policy, decide to tie up definitely with sterling, hoping
that sterling will return to a gold basis soon, but being
prepared to follow sterling wherever it may go, or
should she decide to tie up definitely with gold? For
some time the South African pound has been considerably more valuable then the pound sterling, but
not until within the last few days has it been, as
measured by exchange rates, as valuable as the gold
sovereign. Although bearing the name of a pound,
the South African monetary unit has been for several
years, both in its gold value and in its value as measured
by its purchasing power over commodities, a different
pound than the pound sterling.
It has responded very incompletely, and with substantial lags in time, to the ups and downs in the value
of sterling. This fact has led to confusion and misunderstanding among bankers, merchants, and the
public generally.
Your commissioners believe that South Africa is too
small a country from an economic point of view to have
a monetary standard so independent of the monetary
standards of other countries, and that it is clearly to
South Africa's interest to tie up definitely, either with
sterling, as Egypt has done, or with gold, as Canada is
doing. The question is, which?
12. It has been suggested that South Africa might
tie up to sterling with the condition that should sterling
depreciate in its gold value further than a certain point,
say, for example, further than 10 per cent below gold
parity, South Africa should break with it at that point,
and either wait there for sterling to come back or then
begin to deflate at once the South African currency
toward gold parity.
Your commissioners do not believe that such a plan
would be desirable, and they doubt if it would be
carried through if once adopted. Should sterling depreciate below the limit fixed, this plan, as contrasted
with the early adoption of the gold standard, would
increase the probability of wide fluctuations in the
value of the South African pound—10 per cent is about
a year and a half's interest in South Africa—and would
thereby increase the uncertainties and the risks of
South African business. It is improbable that if South
Africa should follow sterling down 10 per cent she
would be willing to break with sterling at that point.
Should sterling decline further, the same arguments
and sentiments that have prevailed in the past, and
that would be determining such a decision in the present, would be likely to prevail in the future.
Prof. Edwin Cannan recently well said: "As usual,
when currency has once become depreciated, it is a

MARCH,, 1925

FEDEKAL EESERVE BULLETIN

case of jam yesterday and jam to-morrow, but never
jam to-day." (Economic Journal, December, 1920, p.
524.)
It is usually exceedingly difficult to stop an inflation
movement after it has once gained momentum.
13. If, however, the plan were adopted; if sterling
should depreciate below the 10 per cent limit, and if the
plan were then carried out. South Africa would find herself in the awkward position of having a monetary
standard that was neither gold nor sterling—her own
little standard, different from that of any country of the
world—and she would be confronted with the problem
of either immediately undergoing the pains of deflating toward gold parity or of temporarily debasing
her monetary unit to the 10 per cent gold discount
level while awaiting the return of sterling, and then,
when and if sterling should come back to this level of
deflating with sterling to gold parity. This might well
take a long time.
Your commissioners see no advantage in such a
plan at all commensurate with the risks of the serious
evils that its adoption would involve.
14. At the time of this writing (January 3, 1925), the
London-New York telegraphic register transfer rate is
quoted as 4.75, or only 2.2 per cent below gold parity.
The South African telegraphic transfer buying rate is
3^2 per cent discount, and the selling rate is 2$^ per
cent discount, making the mean rate between the buying rate and the selling rate 3.06 discount; so that the
South African pound to-day is 0.86 per cent above
gold parity.
It has, in fact, been within 2 per cent of gold parity
ever since your commissioners left London ,in the
latter part of November.
15. The present high sterling dollar rate is the highest
quoted since March 19, 1919, when the rate was
unpegged. The London-New York rate advanced
almost continuously throughout the year 1924, beginning with an average rate for the month of January,
1924, of 4.259, or a rate of about 123^ per cent below
gold parity and of about 10 per cent below the rate
of to-day.
If the rate should advance half as rapidly during the
next six months as it has advanced during the past
year, it would be at gold parity before July 1.
PROGRESS TOWARD GOLD STANDARD IN 1924

173

This fact, together with the great unstability of the
sterling-dollar rate during the past five years and the
many failures of the exchange prophets during that
period, are calculated to make one very modest in his
prophecies as to what will happen to sterling during
the year 1925.
It is sufficient to say if sterling returns to parity by
July 1 next South Africa's problem will have been
largely solved.
NECESSITY FOR PROMPT DECISION

17. In accordance with the present law (act No.
22 of 1923), South Africa will automatically return to
the gold standard on July 1, 1925, unless legislation to
the contrary is passed between now and that date.
•Perhaps, in no other field is the old adage: "To be
forewarned is to be forearmed," the embodiment of a
sounder philosophy than in the field of monetary
reforms. Dangers cease to be dangers when they
are anticipated and when their probable effects can
be discounted.
The public of South Africa ought to know at the
earliest possible date what course is to be taken on
July 1, so that they can prepare for it, and this is
particularly true of that part of the public upon
whom the responsibility will largely fall for making
preparations for the resumption of gold payments and
for maintaining the gold standard after it has once
been reestablished.
For this reason your commissioners believe that a
decision should be reached at an early date and that a
public announcement of the decision should be made
promptly.
18. If a decision is to be arrived at now, and to be
announced promptly to the public, South Africa should
be ready to stand by that decision regardless of what
may happen to sterling during the next six months.
In the interests of the public the South African Government should take whatever risk may be involved and
assume full responsibility to support the carrying out
of the decision.
CONDITIONS FAVOR RETURN TO GOLD STANDARD

19. Conditions in South Africa at the present time
are favorable to a prompt return to the gold standard,
more favorable than they have been at any time since
gold payments were suspended December 15, 1920.
For two months and over the South African pound, as
measured by the banks' telegraphic transfer rates on
London; the mean between the buying rate and the
selling rate, taken in connection with the dollar rate in
London, has been very near gold parity, having never
been below 2 per cent of gold parity since the middle of
November last.
At the time of writing (January 3,1925), as previously
noted, it is approximately 0.86 per cent above gold
parity, and if a rate so favorable as this continues long
South Africa may find itself practically back on a gold
standard with gold coin in circulation long before July 1.
20. Money is worth what it will buy, and, therefore,
the best test of the value of money is to be found in
price index numbers. Fortunately South Africa possesses, for the period 1910 to the present time, good
index numbers covering wholesale prices of some 188
different commodities.

The experiences of the year 1924 improved the
situation generally throughout the world as a result
of settlements growing out of the Dawes committee
report, and the declared policy of Great Britain to
carry out the recommendations of the Cunliffe committee are all encouraging signs of a speedy return to
gold parity.
Your commissioners hope and expect to see sterling
at par with gold by July 1 next. In that contingency
the situation in South Africa would, be practically the
same whether she should now decide to tie up with
sterling or to tie up with gold.
16. But, while expecting sterling to return to gold
parity within the next six months, your commissioners
would not feel justified in basing their recommendations on the assumption that such a return will take
place. They recall that the dollar-sterling rate, after
advancing from the low figure of 3.56 (July 29, 1921)
almost continuously to the high figure of 4.72 (February
21, 1923), an advance of 323^ per cent in about 19
months and after the public had largely made up
LOW SOUTH AFRICAN PRICE LEVEL
its mind that sterling was to return soon to a gold basis,
suddenly turned around and declined from 4.72
These index numbers show that the wholesale price
(February 21, 1923) to 4.28 (November 17, 1923), a level here (excluding the price of gold) is lower in reladecline of 934 per cent in nine months.
tion to the price level immediately preceding the




174

FEDERAL RESERVE BULLETIN

European war than is the price level in any other
country of the world for which we have comparable
statistics.
The following table shows the wholesale price index
numbers for the latest month of 1924 for which figures
are available for 20 different countries. The countries
are arranged in the numerical order according to
which their currencies, as evinced by their respective
price levels, have been deflated toward their pre-war
value:
South Africa, 133 (October); Egypt, 148 (September); United States, 149 (September); Canada, 154
(September); Netherlands, 159 (September); Switzerland, 160 (October); Australia, 162 (September);
Sweden, 163 (September); United Kingdom (Board of
Trade), 167 (September); United Kingdom (" Statist"),
166 (September); Dutch East Indies, 174 (July);
British India, 179 (September); New Zealand, 181
(August); Spain, 184 (September); Japan, 206 (September); Denmark, 234 (September); Norway, 275
(September); France, 486 (September); Belgium, 550
(September); Italy, 580 (September); Czechoslovakia,
997 (September).
21. South Africa, it will be noted, heads the list.
As measured by her price index numbers, South Africa
is to-day deflated more, in comparison with the situation immediately preceding the war, than gold standard
countries like the United States or than countries
whose exchanges have been for some time practically
at par with gold, like Canada and the Netherlands.
The best evidence available, therefore, seems to show
that South Africa's currency is already deflated, not
only to the gold standard level, but probably somewhat
below.
In this connection it is significant that the South
African wholesale price index number rose from 125
for July, 1924, to 133 for October. The return to gold
standard in South Africa would probably require,
therefore, no more deflation. That disagreeable job
has already been done during the last four and a half
years.
22. It has been claimed that South Africa's price
level immediately preceding the European war was abnormally high in comparison with the years just before
when compared with other countries. Your commissioners have made comparisons of the index numbers
of South Africa for the years 1910 to 1913 with those
of a number of other countries, and do not find that
the evidence supports its claim. In this connection it
should be added that Mr. C. W. Cousins, who was
director of the Bureau of Census and Statistics of South
Africa for the seven years ending 1924, stated in his
testimony that he did not believe that the year 1913
was abnormal in this respect in South Africa when compared with other countries.
STRONG RESERVES OF SOUTH AFRICAN BANKS

23. A third favorable factor is South Africa's
present strong gold position.
The reserve bank at the time of writing is carrying
the large gold reserve of £10,775,746, representing 64
per cent of its outstanding notes and deposits combined.
The two principal commercial banks in South Africa
are holding heavy sterling balances in London. The
Pretoria branch of the Royal Mint was opened in
January, 1923, and began issuing silver coin in June
of that year. It has a capacity for coining 12,000,000
sovereigns a year and, with a few additions to plant
and equipment, could increase that capacity to
24,000,000 sovereigns. South Africa can, therefore,
now replenish her supply of gold coins at short notice




MARCH, 1925

by simply diverting a small stream from her annual
outflow of gold—an outflow which is now back to practically pre-war volume—to her local mint. She no
longer needs to wait until gold can be coined in London
and shipped to her shores, and, being the premier
gold-producing country of the world—producing about
three-fifths of the total world's annual product—she
can tap the supply at its source, and no country, by
embargoes or otherwise, can prevent her from getting
promptly all that she is willing to pay for.
24. The fact that the year 1924 has been a successful
year for the gold mines, and that the agricultural prospects at the present time in South Africa are excellent,
are both favorable to an easy return to the gold
standard.
25. If, on the other hand, South Africa should now decide to tie up to sterling, and if sterling should depreciate
as a result of inflation in Great Britain, South Africa
would be practically compelled to follow sterling down,
no matter how low it should go or how long it should
continue to decline and then later to follow it back to
gold parity if it should come back in harmony with the
declared policy of Great Britain, as expressed in the
Cunliffe committee's report.
This would mean that South Africa would be compelled to undergo again all the evils of inflation and
subsequently again to go through all the evils of deflation. Her experiences during the long inflation period y
culminating about the middle of 1920, and her subsequent four years and more of deflation experiences, are
too recent to make necessary here any long description
of the hardships of inflation and deflation.
It is perhaps sufficient to recall that a widely
fluctuating monetary unit brings a spirit of uncertainty into all business transactions, encourages dangerous speculation, and, with blind injustice, robs one
class of people in the community for the benefit of
another.
When the currency is depreciating and the price
level is, therefore, rising, it is the creditor who isrobbed for the benefit of the debtor, the bondholder
for the benefit of the stockholder, the laborer for the
benefit of the capitalist or the consumer, the insurance-policy holder, the savings-bank depositor, and
the pensioner for the benefit of stockholders and mortgagors.
When the currency is depreciating, the cost of living
usually advances more rapidly than wages, with resulting hardships to wage earners and the labor discontent that usually results from inflationary movements. The French have a saying: "The guillotine
follows the paper-money press; the two machines are
complimentary one to the other."
m When, on the other hand, the currency is appreciating in value and prices are falling, namely, during
periods of deflation, the debtor suffers for the benefit
of the creditor, the stockholder for the benefit of the
bondholder, the farmer or the home buyer with a
mortgage on his place for the benefit of the money
lender, the employer and the capitalist for the benefit
of the laborer.
When the currency is appreciating, wages usually
lag behind the cost of living on the decline, with the
result that employers find themselves under economic
pressure to reduce wages, as the prices of their products are declining, and also to discharge employees.
Such reductions and threatened unemployment are
usually resisted by laboring men, with resulting labor
discontent and strikes and labor troubles during inflation, and labor troubles during deflation are the rule.
26. Both inflation and deflation have their bright
spots, but the predominating color of both is black.

MARCH, 1925

FEDERAL RESERVE BULLETIN

Within the last 10 years most countries of the world
have experienced it, and the world now struggles for
monetary stability.
Any government which has the choice of two monetary policies and deliberately chooses the one which
appears to be the more likely to lead to inflation and
subsequent deflation assumes an enormous responsibility to its people.
27. Gold itself, unfortunately, is not highly stable
in value, although, since the end of the postwar golddeflation period, the middle of 1921, the value of gold
has been reasonably stable. The wholesale index numbers of the Bureau of Labor Statistics in the United
States, a country which has been on the gold basis
throughout this period, have been as follows: 1921,
147; 1922, 149; 1923, 154; 1924 (10 months), 149.
PAPER-MONEY

STANDARD LESS SATISFACTORY THAN
GOLD STANDARD

28. The world's experiences with paper-money
standards up to the present time have been much less
satisfactory than with the gold standard. Managed
paper-money standards have proved to be more
susceptible to manipulate than is a gold standard and
more likely to vary in value under the pressure of
political forces. In saying this, your commissioners
do not overlook the reasonable stability of the British
price level during the past three years.
29. Under present conditions it seems to us that a
gold standard is much more likely to be reasonably
stable in value during the next few years than is any
managed paper-money standard. This statement includes sterling in case Great Britain should be unable
or unwilling to hold sterling at gold parity now that
parity, as measured by exchange rates, has been
practically attained after years of effort to carry
through the Cunliffe Committee's plan.
30. Your commissioners, therefore, believe that the
wise and conservative action for South Africa to take
at this time is to clinch gold parity while it is here and
to that end to announce to the public, at the earliest
possible moment, the intention of the Government to
let existing legislation stand and to return definitely
to the gold standard on July 1 next.
AD\ ANTAGES TO SOUTH AFRICA OF RETURN TO GOLD
STANDARD

31. The advantages, briefly summarized, are as
follows, and we believe that South Africa will obtain
these advantages by tying up her monetary unit with
gold, a commodity the supply of which on the world's
market is so large and the demand for which is so
universal that manipulation of its value is always
difficult and is destined to be increasingly difficult as
the world continues its present rapid return to the gold
basis.
(a) A greater stability in the value of her monetary
unit—namely, in its purchasing power, both internal
and external—than she would probably obtain by
tying up her sterling in case sterling does not very soon
return permanently to gold parity.
(b) Greater stability in interest rates and a lower
level of real interest rates—namely, interest rates
measured in purchasing power, because the risks and
uncertainties incident to an unstable currency are, at
least in part, compensated for by variations in the
nominal interest rate and the greater the market's
estimate of the risk the higher will be the charge it
will make under the guise of interest to cover the
risk.
33405—25
5




175

(c) Stability of exchange with gold standard countries which are continually increasing in number and
in which a large proportion of South Africa's exports
(e.g., gold and diamonds) find their consumers' market,
the market which is most influential in determining
the ultimate demand for these products and, therefore,
in determining the price which South Africa will
receive.
(d) Greater confidence abroad in South Africa and
resulting encouragement to the investment of foreign
capital here. Conservative capital seeks markets
where the prospects of currency stability are good and
will prefer, for some years to come, countries on the
gold standard to countries with managed paper
standards.
(e) Greater confidence of labor which, we have been
told, widely believes that it has been taken advantage
of by the introduction of inconvertible paper money in
South Africa, and which has more confidence that it is
"getting a square deal" when it is paid in gold or in
paper convertible into gold on demand than when it is
paid in inconvertible paper.
(/) Money, which, in the denominations of 10s. and
£1 will be more convenient for many people, particularly laboring people, than are notes, and which will
also be much more sanitary.
(g) A benefit to the gold industry in South Africa
through encouraging, by example, the return of other
countries to the gold standard. We have frequently
heard abroad statements to the effect that "If South
Africa, the largest gold-producing country in the
world, can not or will not return to the gold standard,
how can our country be expected to do so?"
POSSIBLE DISADVANTAGES

32. In mentioning the advantages of a return to
the gold standard, your commissioners are not blind to
certain very real disadvantages that South Africa will
suffer if she breaks entirely with sterling and if sterling
should fluctuate for some time rather widely in terms
of gold. Any alteration in a country's monetary
standard, no matter how desirable it may be as a longrun policy, is bound to affect some interests adversely
over considerable periods of time and many interests
adversely during a brief transitional period. South
Africa will be no exception to this rule if sterling
should again depreciate substantially.
In the judgment of your commissioners the greatest
disadvantage that South Africa is in danger of suffering
is that incident to a more variable exchange rate than
she has had. in the past with Great Britain, the country
with which she carries on the major part of her foreign
trade.
While not wishing to belittle this disadvantage, your
commissioners would call attention to the fact that
there are certain offsetting factors and that, estimating
the disadvantages and the advantages that are likely
to result from a fluctuating exchange, the following
fundamental principles should always be taken inta
account:
(a) There is no permanent advantage to the exporter
or permanent disadvantage to the importer in a high
rate of exchange, and, likewise, there is no permanent
advantage to the importer or permanent disadvantage
to the exporter in a low rate of exchange. Neither
party gained, for example, and neither party lost prior
to the European war, in the trade between France and
Germany by reason of the fact that the gold value of
the franc was about 20 per cent lower than the gold
value of the mark. Prices and wages in both countries

176

FEDERAL RESERVE BULLETIN

had long been adjusted to, these differences in the gold
value of their respective monetary units.
It is not a question, therefore, of high rates of exchange or low rates, but of changing rates. Whatever
advantages and disadvantages occur result only from
rising rates of exchange and falling rates of exchange.
These advantages and disadvantages are at best
temporary in character, continuing only during the
period of the lag in the adjustment of prices, wages, and
exchange rates to a new equilibrium level, and these
readjustments are effected to a very large degree in
most countries usually within a few months' time.
The evidence available to us here seems to show that
this conclusion applies to South Africa. Whatever
benefits the exporter or importer receives from these
temporary maladjustments between exchange rates,
prices, and wages, he is soon compelled by the forces
of competition to pass on to others. In order that
the exporter might benefit continuously, it would be
necessary to have a monetary unit that was continually
declining in value in comparison with the unit of the
country to which the bulk of the exports were being
sent. No sane person would advocate a permanent
monetary policy of the kind in order to benefit the
export trade.
(6) Every movement of the exchange that benefits
the exporter per contra harms the importer, and every
movement that benefits the importer harms the exporter. Inasmuch as most concerns in South Africa
that produce heavily for export are required to import
from abroad supplies and equipment gains on the one
side from a given movement in exchange are likely to
be offset completely or largely by losses on the other
side. Taking into account both visible and invisible
items of trade, a country's exports and imports must
be equal.
So that, taking a long-run view of the situation,
what a country gains on the side of exports by a
fluctuating exchange it is likely to lose on the side of
imports and vice versa.
If South Africa should now return to the gold standard, and if gold should continue reasonably stable in
value, as it has during the past three years, and if
sterling should depreciate rapidly for a time and then
turn around and come back to gold parity, the South
African exporter would suffer while the decline was in
process, and, for a few months after bottom should
have been reached, because the prices he would presumably realize in Great Britain for his exports would
probably not rise as rapidly as the value of sterling
would decline in terms of the South African pound.
During this period the South African importer would
benefit, for the amount of sterling his South African
pound would buy would probably be increasing more
rapidly than would the prices in Great Britain of the
goods he was purchasing; but if the declared policy of
Great Britain, as embodied in the Cunliffe Committee
report, was still to be carried out the depreciation of
sterling would need to be followed by a subsequent
appreciation, and during the period of the appreciation the South African exporter would benefit and the
South African importer would suffer because prices
would probably not go down in Great Britain as rapidly
as the price of sterling in terms of South African
pounds—i. e., sterling exchange rate in South Africa
would rise.

MARCH, 1925

making forward exchange contracts. An exporter, for
example, who is buying wool now for shipment, say, 60
days hence, which he has already sold in London for
£10,000, and who does not wish to assume the risk of a
decline in the exchange between now and the date on
which he is to sell his export bill to the bank, namely,
does not wish to gamble on exchange, goes to his
banker and tells him that he will have £10,000 sterling
on demand wool bills to sell 60 days or so hence, and
he asks the banker to quote him now a rate at which
the bank will agree to buy these bills when they shall
be presented 60 days later. The banker quotes him a
rate, and he accepts it. Now, no matter what happens to the exchange rate during the next 60 days the
wool exporter is safe. If the rate goes down he does
not lose, and if it goes up he does not gain. He is a
wool exporter and knows wool, but he does not know
the intricacies of exchange. He wisely sticks to his
last and lets the banker, whose business it is to deal
in exchanges, assume the risk of what will happen to
exchange during the next 60 days. The wool exporter,
of course, must pay the banker a small compensation
in one form or another for rendering him this service.
At about the same time, we will say, for illustration,
a merchant, who is contemplating the importation of
machinery from Great Britain that will cost £10,000
sterling and which must be paid for 60 days hence by a
demand sterling draft for £10,000, likewise does not
want to run the risk of exchange fluctuations between
the time he has ordered his machinery and the date
for making payment. He, likewise, explains his situation to his banker, and that banker now agrees to sell
him a demand draft 60 days hence for £10,000 sterling
at a certain rate.
The importer now knows what to count upon, not
only what he must pay for his machinery in sterling,
but also what he must pay for his sterling in South
African pounds in terms of which he has contracted to
sell his machinery or will sell it. If, during the next
60 days, the exchange rate rises, the importer of the
machinery does not lose, and if it falls he does not gain.
He likewise has shifted the risk of exchange to a
banker whose business it is to deal in such risks.
But the banker, meanwhile, has not assumed any
appreciable risk—he has hedged. The sterling that
will be paid to the credit of his London account out of
the proceeds of the wool bill which he will receive 60
days hence will provide the funds in London out of
which the draft will be paid which he must deliver
to the machinery importer 60 days hence.
The bank's profits come from the margin between
its buying rate and its selling rate. If the bank believes that sterling will go down in the near future, it
may sell more sterling futures than it buys—namely,
oversell—and if it believes that sterling will rise in the
near future it may buy more sterling futures than it
sells—namely, overbuy. But, in either of these cases,
it is speculation. The conservative banker tries to
keep his forward contracts for purchases covered by
forward contracts for sales, and thereby limits his
profits to interest, commission, and the margin between
his buying and selling rates.
RESERVE BANK TO ENCOURAGE FORWARD EXCHANGE
TRANSACTIONS

33. Your commissioners have been surprised to learn
that the making of forward contracts in exchange is
almost unknown in South Africa, and they believe that
(c) The risks incident to a fluctuating exchange can the introduction of this practice would be highly debe to a large extent avoided, and in most important sirable in any event and particularly so if South Africa
countries are so avoided by the simple expedients of returns to the gold standard, independently of Great
UTILITY OF FOKWARD EXCHANGE CONTRACTS




MARCH,

11)25

FEDERAL RESERVE BULLETIN

Britain, and if sterling exchange rates prove to be unstable in the future.
The reserve bank might well render valuable assistance by encouraging the introduction of the use of
forward exchange contracts, both by making such contracts directly with the public and by assisting the
commercial banks in getting cover at times when the
exchange operations in the two directions are not reasonably well balanced.
In this connection the reserve bank might be aided
by the Government through a timely distribution of
Government transfers.
34. Before leaving this subject of the disadvantages
of an unstable exchange with the country with which
you are carrying on your principal business, it should
be noted that there are very few stable international
exchanges in the world to-day and that most countries,
including Great Britain, the United States, France,
Germany, Holland, and Italy, are carrying on the
principal part of their foreign trade with countries
with which they have unstable exchanges. One important reason why this is possible without greater inconvenience is the widespread use of forward exchange
contracts.
EFFECT OF GOLD STANDARD ON PUBLIC BORROWING

35. Another disadvantage in South Africa's breaking
with sterling that is of sufficient importance to demand
brief discussion is the disadvantage of her doing her
public borrowing in a market having a monetary
standard different from her own.
It is argued that South Africa's political, commercial,
and financial ties are chiefly with Great Britain; that
she must borrow frequently for public purposes, and
that London is the natural market for her to borrow in.
London knows South African conditions better than
does any other great money market and for this reason
will presumably give her better terms than she could
obtain elsewhere.
If then it is argued South Africa should return to the
gold standard while sterling should continue to be an
inconvertible paper money standard, South Africa
might suffer a serious handicap in borrowing in London.
Let us assume, for example, that, at the time South
Africa returns to the gold standard the banks buying
exchange rate here for sterling telegraphic transfer is 95,
that that rate has persisted for several months, and that
prices and wages have been so adjusted that this rate
represents approximately the purchasing power parity
between South Africa and Great Britain.
Under such conditions if South Africa borrows
£10,000,000 sterling in London on bonds maturing in 20
years at 5 per cent interest, payable semiannually, she
would receive either £10,000,000 sterling in London or
£9.500,000 South African pounds here but since by
hypothesis £95 here would have the same purchasing
power and therefore the same value as £100 would have
in London, it would make no difference to South Africa
whether the proceeds of the loan were transferred to the
Government here in British goods or in African money
or goods. There would be a nominal difference of
£500,000, but no real difference.
If gold should remain stable in value during the period
of the loan, she would be able to purchase £10,000,000
sterling of the loan and sterling should remain at 95.
The loan would cost South Africa 5 per cent because, at
the maturity of the loan she would be able to purchase
£10,000,000 sterling for the redemption of the bonds
at the price of £9,500,000 South African. But if
sterling should advance to gold parity by the time the
loan matured South Africa would be required to pay
back the equivalent of £10,000,000 South African




177

whereas she received only £9,500,000 South African, or
its equivalent. In addition to this, she would have paid
most of her interest during the period of the loan in a
more valuable monetary unit than the one she received
so that the loan would cost her about 5.4 per cent in
addition to this interest, an agio item (exchange
premium).
36. If, however, at the time that South Africa borrowed the £10,000,000 sterling there was a strong
prosDect that sterling would appreciate to gold parity
within a short time and if, as a consequence of this
prospect, foreigners were buying sterling securities
heavily as a speculation, the interest rate on long-time
loans would probably be considerably lower in London
than, say, in a gold standard money market like New
York, because, in dollar loans, there would be no such
expectation of a substantial exchange profit* The
nominal rate of interest, therefore, would be lower,
and should be lower for sterling loans in England than
for dollar loans in New York by an amount representing
the market's estimate of the value of this prospect for
an approximately 5 per cent rise in the value of sterling
during the life of the loan. If such a rise were practically certain within the 20 years the loan was to run,
a London sterling rate of interest of 5 per cent would
be approximately equivalent to a New York dollar rate
of interest of 5.4 per cent (exclusive of the agio in the
annual interest payments).
On the other hand, if South Africa, by borrowing
sterling, should put herself in a position to lose by a
rise in sterling during the life of the loan, she would
also put herself in a position to gain should sterling
decline during the life of the loan.
37. Another compensating factor is the probability
that South Africa's credit standing abroad would be
improved by the fact that South Africa had stabilized
her currency on a gold basis.
38. After all is said, however, there is no denying
the claim that it is a risky policy for any country to
borrow heavily in another country which has a monetary standard different from its own when that standard
is a managed paper-money standard.
39. While such conditions continue, South Africa
would do well, in the judgment of your commissioners,
to reduce her public borrowing to the minimum, and
to do such borrowing as may be necessary, as far as
possible, on a gold basis either at home or abroad.
SOUTH AFRICA CAPABLE OF MAINTAINING GOLD
STANDARD

40. A few witnesses have made much of the claim
that South Africa is not in a position to maintain the
gold standard independently of Great Britain. Your
commissioners have no anxiety on this point, and they
are confident that, unless this country has recourse
to a policy of currency and credit inflation, she will
have no difficulty in maintaining gold payments after
they have once been resumed. South Africa successfully maintained the gold standard for many decades
prior to the European war, und your commissioners see
nothing new in the present situation of a character to
prevent her maintaining it successfully in the future.
In fact there are certain new elements in the situation which should strengthen her position. The recent
establishment in Pretoria of a branch of the Royal
Mint will enable South Africa to mint sovereigns here,
and by so doing to meet her needs for specie more
promptly than in the past. Then, too, the new reserve
bank, through its centralization of the country's bank
reserves, its liberal powers of note issue, its rediscount
functions, and its authority to operate in the open market, is in a position to exercise a conserving influence

178

FEDERAL RESERVE BULLETIN

on the South African money market and to check any
dangerous credit expansion that may seem to threaten
the gold standard.
41. South Africa is now producing practically as
much gold per annum as she produced before the war,
and is producing a substantially larger percentage of
the world's total production of gold than she did in
1913. On the other hand, only a small part of the
world is now on the gold standard as compared with
pre-war years, and therefore exercising much of a monetary demand on South Africa's product.
The United States, which now holds about four and
a half milliards of dollars of monetary gold, or nearly
half of the world's total supply, has much more gold
than it needs for maintaining a stable gold standard
under present conditions, and could probably release
upward of two milliard dollars of her present supply
without deflation or danger to her gold standard. That
large amount is practically impounded awaiting the
day when the world will want it back for the restoration of the gold standard.
The United States is a free gold market, and will
undoubtedly let this gold go out freely to any country
that wishes it and is willing to pay the market price.
The danger, therefore, that the world will want South
Africa's 12 to 14 million pounds of gold specie so much
as to be willing to pay more for it than South Africa
is willing to pay in order to enjoy the advantages of
the gold standard is very remote.
42. Gold, like any other commodity, seeks the best
market—in other words, goes to the highest bidder.
It has been our experience that gold when it leaves any
gold-standard country in undue quantities is usually
pushed out by paper money and deposit currency inflation at home, not drawn out by newly created demands from abroad. Whenever a country inflates its
currency and circulating credit, it makes its currency
relatively redundant at home and, therefore, relatively
cheap. Its money, therefore, seeks the better markets
which are abroad. The outflow of currency takes the
form of an exportation of gold since the country's
paper money and silver money can not be used abroad.
As gold specie goes out, the currency is contracted and
money at home becomes increasingly scarce. Bank
reserves decline, banks curtail their loans, discount
rates tend upward, and prices tend downward, particularly the prices of the more sensitive commodities;
commodity imports are retarded, while exchange rates
are high and commodity exports are stimulated; exchange rates finally recede from the gold-export point,
and gold stops going out because it has become more
valuable as money at home than it is abroad.
But if the country refuses to let these restricting
influences operate and keeps pumping more paper
money into circulation or expanding its deposits credit
through excessive loans to take the place of the gold
going out,, the drain of gold will, of course, continue
until the gold is all gone and the gold standard is broken
down. Any rapid depletion of the country's gold
reserve under such circumstances will weaken public
confidence in the currency' and by so doing will cause
runs on the gold reserve, thus accelerating the run
of its depletion.
Unless, however, the gold is being pushed out of the
country by inflation, there is no more reason, why a
country's currency should starve because of an undue
exportation of its gold specie than that its people should
starve because of an undue exportation of its mealies.
Under ordinary circumstances an outflow of specie is
simply a proof that the supply of money at home is
relatively redundant and the outflow is merely part
of the machinery by which the excessive supply is




MARCH, 1925

drained off and the gold standard maintained through
the adjustment of the amount of money in circulation
to the changing trade demands.
FUNCTIONING OF RESERVE BANK UNDER NEW REGIME

43. This brings your commissioners to their last
problem: What action should South Africa take to
strengthen her position for returning to the gold standard on July 1 next and for maintaining that standard
after it has been once restored?
44. In this connection, the principal suggestions your
commissioners have to make relate to the functions of
the reserve bank.
45. The act creating the reserve bank was assented
to on August 16, 1920—namely, shortly after the time
when the postwar currency and credit inflation in
South Africa, as well as of Great Britain, the United
States, and many other countries was at its maximum,
and just as the long period of the after-war world
deflation was setting in.
Most of the reserve banks' history, therefore, until
recently has been during the period of South Africa's
deflation, a deflation that was necessary if the country
was to return to the gold basis without reducing the
gold content of its sovereign. A period of deflation
is no time for a newly organized bank to extend its
business by low rates and liberal credits either to the
banks or to the public. The long period of deflation,
however, is now apparently over, and with the prospective return of South Africa to the gold standard
in the near future the time is opportune for considering
the question of the proper functioning of the reserve
bank under the new order of things.
DIRECT OPERATIONS IN MONEY MARKET RECOMMENDED

46. In the judgment of your commissioners a country
like South Africa, with only three commercial banks,
one of which is small, does not offer an adequate field
of operation for a reserve bank that is exclusively, or
almost exclusively, a banker's bank. A central bank
possessing a monopoly of the bank-note issuing privilege, and holding in its vaults the legal reserve money
of other banks in any country, would be a quasi public
institution "affected with a great public interest."
The first duty of such a bank is to serve the public.
This it does through conserving the mone}7" market by
preventing undue credit expansion or undue credit
contraction by maintaining the monetary standard
through regulating the supply of currency to the varying demands of trade and through assuring the public
as far as possible equitable rates of discount and exchange. To perform these functions properly, a
central bank must be ready at any time to operate
in the open market in order by so doing to make its
rates effective, and thereby enforce its policy. Otherwise the commercial banks, so long as they did not
need to call upon the central bank for aid, might refuse
to follow its leadership, and so prevent it from discharging its duties to the public to some extent.
Therefore open-market operations directly with the
public are absolutely necessary, even by a reserve
bank if it is to perform its functions properly.
47. A second reason why a central bank should have
reasonable powers of dealing directly with the public
is to enable it to earn sufficient to cover its expenses,
build up a reasonable reserve, and to pay adequate
dividends on its capital during normal times when the
market is outside the bank—in other words, when the
market conditions are such that the commercial banks
are making no demand upon the reserve bank for

MARCH, 1925

advances. A central bank, whose existence is desirable
in the interest of public welfare, should be self-supporting. Self-preservation is Heaven's first law for such a
bank, as it is for an individual. This means that it
should be in a position to earn a moderate income at
all times. If, however, it is to be always strong, and
its assets are to be highly liquid so that it may be
always prepared to meet emergency demands, such
earning assets as it may hold in normal times should
consist wholly of high-grade liquid paper, the bulk of
which should be self-liquidating, commercial paper of
short maturities.
48. In order, therefore, that the reserve bank may
function so as to perform effectively the duties
which the public imposes upon it, and that it may be
self-supporting, your commissioners believe that it
should operate in the open market in future much
more actively than it has in the past.
For this purpose its present statutory powers are
broad and nearly adequate, but your commissioners
believe that, in view of the limited amount of highgrade, short-time commercial paper now available in
the South African market, there should be some extension of the bank's power to make advances.
SUGGESTED CHANGES IN RESERVE BANK LAW

The following suggestions requiring minor changes
in the present law are therefore made:
(1) That the bank be authorized to lend money to
the public or to the banks for periods not exceeding 120
days on bills or on one-name promissory notes secured
by warehouse receipts against staple commodities fully
insured and possessing broad and active markets to an
amount in each case not exceeding 75 per cent of the
value of such commodities at current market prices.
The granting of this authority would require some
modifications in South Africa's present laws regarding
warehouse receipts.
Bills and notes so secured play an important role in
the portfolios of the central banks in many other
countries, and your commissioners see no reason why
they should not be held, under proper restrictions as to
their character, by the Reserve Bank of South Africa.
(2) That the bank be authorized to lend directly
to other banks on the promissory notes of the said
banks with maturities not exceeding 15 days secured
by any collateral properly indorsed that it is legal
for the bank to rediscount.
Your commissioners believe further that the reserve
bank might safely be authorized to accept, as collateral
for such short-time loans, Union Government securities or securities of a local governmental authority
of the Union, and that such collateral securities might
safely be made to include such governmental securities
as have maturities exceeding six months to an amount
which, when added to the amounts of such governmental securities with maturities exceeding six months,
owned by the reserve bank and mentioned in the
succeeding paragraph of this report, shall not exceed
the total amount of the reserve bank's paid-in and
unimpaired capital.
(3) That the reserve bank should be permitted to
invest in Union Government securities and/or securities of a local authority in the Union, with maturities
exceeding six months an amount which, when added
to the amount of such governmental securities held
as collateral for advances of 15 days or less, mentioned
in the preceding paragraph of this report, shall not
exceed the total amount of the reserve bank's paid-in
and unimpaired capital.




179

FEDERAL RESERVE BULLETIN

(4) That the limit of the usance for bills, notes and
other commercial paper discountable by the reserve
bank at the time such discount is made be extended
from 90 days to 120 days. (Article 13 of the reserve
bank act.)
Your commissioners are informed that there is
considerable high-grade 120-day commercial paper in
the Union, and they see no reason why, in meeting
the need for extending the field of operations of the
reserve bank this paper should not be made eligible
for discount and/or rediscount by the reserve bank.
GOLD BALANCES

(5) Article 17 (par. 2) of the reserve bank act provides that "the bank may, with the consent of the
Treasury, hold gold balances outside the Union in
the custody of its own branches or agencies or deposited
in other banks earmarked for the bank's account to
an amount not exceeding one-fourth of the total
reserve requirements."
This apparently prevents the bank, no matter how
much its gold reserves may exceed the 40 per cent
normal minimum required by law to be held against
its outstanding notes and its deposits, from holding
more than one-fourth of this amount in the form of
earmarked gold abroad. Your commissioners recommend that the last proviso of the above article be
amended by deleting its last phrase, beginning with the
words "to an amount," and substituting in place
thereof the following: "Provided that the gold held in
the Union does not fall below 75 per cent of the normal
legal reserve requirements."
A corresponding alteration should be made in article
23 of the act. The bank should not be restricted by
law as to the physical location of assets in the form of
gold coin or bullion which it owns in excess of legal requirements. Conditions might arise in which there
would be a distinct advantage to the bank to convert earning assets located abroad into earmarked
gold abroad, and the bank should be free to do so whenever its interests seemed so to require.
49. The following administrative changes are also
suggested for the purpose of enabling the reserve bank
t© function more effectively:
(1) That in order to afford the bank broader facilities
for enabling it to earn profits sufficient to pay its expenses and, more importantly, to enable it to exercise a
stronger control over the money market, it should be
encouraged to invest in the treasury bills of the Union
Government, having maturities of not greater than 90
days, and that to this end the Union Government
should again issue such 90-day treasury bills and cooperate with the reserve bank and with the other banks
in every way possible to create in South Africa a broad
and active market for such bills.
PROPOSED DEVELOPMENT OF AN ACCEPTANCE MARKET

(2) That the present campaign to further the wider
use of trade acceptances in lieu of open accounts in the
Union should be encouraged, and that to this end it is
desirable that merchants should give preferential terms
to purchasers who are willing to accept such bills in lieu
of obtained credit on open account.
That commercial banks should give rates that are
more preferential than those now prevailing to merchants who obtain their advances from the banks by
discounting such bills as compared with merchants
who borrow from the banks on current account,
viz, overdrafts, or on one-name promissory notes, and

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FEDERAL, RESERVE BULLETIN

that the reserve bank give substantially preferential
discount and rediscount rates on trade acceptances.
(3) That the Government should look forward to the
time when it will use the reserve bank as the chief
depository of Government funds, and should gradually
increase the proportion of its funds that are kept on
deposit in the reserve bank. If a commercial bank
needs the use of Government funds, it should obtain
them by loans or rediscounts from the reserve bank,
not by Government deposits. The reserve bank is
in a better position than is the Government to measure
such needs and to control such advances. In lieu
of the interest which it now receives on its funds
deposited in commercial banks, the Government would
receive increased returns from its participation in the
profits of the reserve bank.
KESERVE BANK BRANCHES.

(4) The reserve bank should open branches at early
dates in the principal cities of the Union, and a branch
in London.
50. A return to the gold standard will render
useless article 32 of the reserve bank act, which has
always been rather ineffective. This article provides
that no person shall make a charge for receiving or
cashing any bank note or gold certificate issued in the
Union, and no person may sell or purchase any bank
note or gold certificate issued in the Union, or any
coin current in the Union for an amount exceeding
its face value, and any person acting in contravention
of this section shall be guilty of an offense and liable
on conviction to a fine not exceeding £500, or to
imprisonment for a period not exceeding two years or
to both such fine and imprisonment.
It is, therefore, recommended that this article be
repealed.
RESTORATION OF FREE GOLD MARKET

51. With the return of the Union to the gold standard
the present gold certificates will no longer be necessary,
and as they tend to replace reserve bank notes in the
country's circulation your commissioners recommend
that they cease to be issued and that those now outstanding be promptly retired after July 1.
52. The effective functioning of the gold standard
requires that all restrictions on the free movement of
gold coin and bullion into and out of the Union, and all
restrictions on the melting of gold coin be withdrawn, and
your commissioners therefore recommend that this
be done and that the market for gold in South Africa
be made an absolutely free market.

MARCH, 1925

member-bank acceptance liabilities to a level
higher than in the two preceding years. The
following table compares the volume of member-bank acceptances reported on corresponding dates in 1922 and 1923:
MEMBER-BANK ACCEPTANCES OUTSTANDING ON CALL

DATES, 1922-1924
[In millions of dollars]
Date

Amount

1922
Mar. 10
June 30

317
321

Dec. 29

400

Amount

Date

Date

421
365
318
426

1924
Mar. 31
June 30
Oct. 10
Dec. 31

1923
Apr. 3
June 30
Sept. 1 4 . . . .
Dec. 31

Amount

An analysis of these figures, by Federal
reserve districts, indicates the geographic
distribution of member-bank acceptances.
From 50 to 65 per cent of all member-bank
acceptances during the last six years were
executed by banks in the New York Federal
reserve district, and this proportion has tended
to increase in more recent years. The volume
of acceptances in most of the other districts
has fluctuated considerably during the six
years. In 1921 acceptances declined rapidly
m all the districts, and in nearly all there has
been some recovery since that time. The
following table shows the volume of memberbank acceptances outstanding in each district
on December 31, 1918, 1922, 1923, and 1924,
the proportion that the amount in 1924 was
of the amount in 1918, and the percentage
distribution of the 1924 amount by Federal
reserve districts:
VOLUME OF MEMBER BANK ACCEPTANCES OUTSTANDING AT THE END OF 1918, 1922, 1923, AND 1924
[Amounts in millions of dollars]
End of—

BANKERS' ACCEPTANCES, 1923-1924

Unusually heavy exports of agricultural
commodities in the autumn of 1924 were reflected in a considerable growth in the volume
of outstanding acceptance credit. The total
amount at the end of the year has been estimated by the American Acceptance Council
at $821,000,000, the largest amount since the
closing months of 1919. Condition reports for
all member banks on December 31, 1924,
show a total liability for acceptances executed
for customers of $498,000,000, compared with
$357,000,000 on October 10. This growth,
largely seasonal in character, brought the total




413
305
357
498

Federal reserve
district

Volume
in 1924
as
percentage
of
volume
in 1918

Percentage
distribution
by
Federal
reserve
districts
of
acceptances
in 1924

1918

Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas .
San Francisco
Total

_..

1922

1923

1924

61.5
246.8
20.9
21.0
13.9
15.2
50.6
22.0
5.9
2.0
4.2
16.6
480.6

57.8
238.9
14.3
4.8
8.8
14.1
34.1
2.2
2.8
.8
3.7
17.9
400.2

45.6
264.5
14.1
6.9
9.9
18.9
33.6
4.1
6.2
1.2
3.5
17.8
426.3

60.0
317.2
19.4
8.7
14.1
17.2
37.1
.9
3.1

97.5
128.5
93.3
41.6
101.4
113.2
73.3
4.1
53.4

12.1
63.7
3.9
1.7
2.8
3.5
7.5
.2
.6

4.1
15.9
497.7

97.6
95.8
103.6

3.2

s

100.0

MARCH, 1925

It will be observed that in the eastern districts, both north and south, and in the San
Francisco and Dallas districts the volume of
member-bank acceptances at the end of 1924
was about as large as or larger than in 1918,
that in the Middle West there was a marked
decline in member-bank acceptances, and in the
Kansas City district member banks reported no
liability on acceptances at the end of 1924.
Changes in the volume of acceptances in the
different districts may be due in part to changes
in the volume of foreign trade of the various
geographical areas and in part to changes in
methods of financing this trade. The close
relation between acceptances executed and the
movement of commodities which enter into
foreign trade may be seen in the Atlanta and
Richmond districts, in which sharp peaks in
acceptance figures are shown in the December
reports each year, reflecting the financing of
cotton exports. Similar seasonal increases
appeared in earlier years in the Dallas and St.
Louis figures, but acceptance liabilities of
member banks in the St. Louis district have
declined over the last six years to less than
$1,000,000. The proportion of the acceptance
business done by member banks in the New
York district shows a marked increase for the
six-year period.
Among the factors influencing the total volume of bankers' acceptances executed in this
country the most important is the volume of
foreign trade. The late autumn and early winter, when export trade is at the maximum, and
the spring, when imports are in largest volume, are the periods 01 the year when the largest
volume of acceptances is reported by member
banks. The volume of acceptance business
apparently is influenced about equally by
changes in the volume of exports and of imports, although the classification of acceptances
bought by Federal reserve banks indicates that
more than half of them (58 per cent xin 1921, 56
per cent in 1922, 64 per cent in 1923 ) are based
on imports. It is not possible to determine
what proportion of our foreign trade is financed
by the use of member-bank acceptance credit,
but the volume of foreign trade per month is
generally about twice as large as the volume of
member-bank acceptances outstanding. Comparisons of these figures are inconclusive, however, because of the absence of statistics of
maturity of the acceptances. If the bills were
all of 30-day maturity, for example, and so
arranged as to mature in regular succession, the
monthly volume of trade financed by acceptances would be represented by the actual voli Average holdings at the end of each month.




181

FEDERAL RESERVE BULLETIN

ume of acceptances outstanding at a given time.
Actually the maturities of acceptances vary
widely, and the average of those outstanding is
probably much longer than 30 days. For mis
reason it is certain that the ratio of memberbank acceptances outstanding to the volume of
foreign trade overstates the proportion of trade
financed through such acceptances. On the
other hand, there is a volume of acceptances,
estimated at different times at from 20 to 40
per cent of the total outstanding, that is executed by banks not members of the Federal
reserve system. At the close of 1924, when
member bank acceptances totaled $498,000,000,
the total volume of acceptances has been estimated at $821,000,000.
Although there is a close relationship between
the volume of acceptance credit and foreign
trade, a considerable part of outstanding acceptances are based upon domestic transactions, as is seen in the table below. This is
evidenced by the fact that of the bills held by
Federal reserve banks on December 31, 1924,
24 per cent were based on domestic transactions. Of these bills the larger part are based
on goods held in warehouses, and they are in
many cases related to the export business and
show the same character of seasonal fluctuations as do acceptances based on imports or
exports. The Acceptance Council estimates
that of the acceptances outstanding at the end
of 1924 35 per cent were based on imports, 37
per cent on exports, 20 per cent on goods in
warehouses, 5 per cent on other domestic transactions, and 3 per cent were for the purpose of
creating dollar exchange.
FEDERAL RESERVE BANKS' HOLDINGS OF BANKERS'
ACCEPTANCES PURCHASED IN OPEN MARKET
[Amounts in thousands of dollars]

Date

June
Dec.
June
Dec.
June
Dec.

30, 1922.
30, 1922
30, 1923
30, 1923
30, 1924
31, 1924

Foreign

124,142
195,921
160,117
241,077
28,784
284,620

Dollar
Domestic exchange

31,655
65,280
37,115
90,445
6,790
94, 556

4,535
9,743
7,833
20,452

Total

160,332
270,944
205,065
351,974
36,499
925
6,882 i 386,873

Proportion of
domestic
to total
(per cent)
19.7
24.1
18.1
25.7
18.6
24.4

i Contains $815 all other.

It will be noted that at the close of each
year, when the volume of outstanding acceptances has been largest, the proportion of
Federal reserve bank holdings of acceptances
based on domestic transactions has also been
larger than in the summer months. During
recent months the acceptance holdings of the
Federal reserve banks increased considerably,

182

FEDEKAL, RESERVE BULLETIN"

reflecting the larger volume of outstanding acceptances and the seasonal demand for reserve
bank credit. A large part of the total acceptances purchased by the reserve banks arose
out of the financing of export and import trade
with many countries, covering principally the
exportation of cotton and grains and the im-

MARCH, 1925

portation of coffee, sugar, silk, hides, and wool.
With this large volume of acceptances in the
market the seasonal tightening of money rates
resulted during the last quarter of the year in
heavy offerings of bills to the reserve banks,
with a consequent growth of acceptance holdings by these banks.

LAW DEPARTMENT
State laws relating to branch banking. „

The following digest of State laws relating to
branch banking, which was prepared by the
counsel's office of the Federal Reserve Board
with the assistance of the counsel to the various Federal reserve banks, shows the status of
branch banking legislation in the various
States at the close of the year 1924. It contains a digest of only such laws as relate to
branches established within the United States
and does not cover laws relating to branches
established in foreign countries.
ALABAMA

Branches prohibited.—"From and after the passage
of this act no bank or any officer, agent, or director
thereof shall be permitted to establish a branch or
office for the transaction of the banking business
other than at its principal place of business." (Banking
Laws of Alabama, 1922, sec. 28; Session Laws, 1911,
p. 77, sec. 28.)
Own stock in other banks.—"No bank shall subscribe for or own exceeding 10 per cent of the capital
stock of any other bank or invest or have invested an
amount exceeding in the aggregate 25 per cent of its
own paid-in capital stock in the capital stock of any
other bank or banks." (Banking Laws of Alabama.
1922, sec. 29; Session Laws, 1911, p. 77, sec. 29.)

town, or city as to which the application has been •
made." (Sec. 13 of act 113 of the act of 1913, as
amended by the act approved Mar. 23, 1923; Acts of
Arkansas, 1923, p. 519.)
CALIFORNIA

Branches permitted.—"No bank in this State, or
any officer or director thereof, shall hereafter open or
keep an office other than its principal place of business, without first having obtained the written approval
of the superintendent of banks to the opening of such
branch office, which written approval may be given
or withheld in his discretion, and shall not be given
by him until he has ascertained to his satisfaction that
the public convenience and advantage will be promoted by the opening of such branch office." (Bank
Act, 1923, sec. 9.)
Capital requirements.—For each branch office located in the place of principal business of the parent
bank the paid-in capital, in cash, must exceed by
$25,000 the capital required for a bank in that place.
For each branch office of a bank other than an exclusive trust company located in any place in the State
other than the place of principal business of the parent
bank, the amount of the paid-in capital, in cash, of
the parent bank must exceed the amount required by
law in the sum required for an independent bank organized in that locality, exclusive of the capital required
for a trust department.
For each branch of an exclusive trust company established or maintained in a place other than the place of
principal business of the parent bank, the paid-in capital in cash of the parent bank must exceed the sum
otherwise required by law in the sum of $25,000.
(Bank Act of California, 1923, sec. 9.)
There are also provisions regulating the discontinuance of a branch, fees for the opening of a branch, penalties for the violation of the law covering establishment of branches, advertising by branch banks, publishing of reports of condition by such banks, and the
establishment of branches by banks located in a city
which is annexed by or consolidated with a city of a
class requiring a larger capitalization. (Bank Act of
California, 1923, sees. 9, 28, 132a, 23, 60, and 82.)

Branches permitted.—The law provides that
branches may be established if the consent of the
superintendent of banks is obtained. He may give
his consent if the public convenience and advantage
will be promoted by the opening of such branch and
if it has the capital required by the act and may withhold such consent if he is satisfied that the opening of
such branch office is undesirable or inexpedient.
(Banking Laws of 1922, p. 17, sec. 21; Special Session
Laws of 1922, ch. 31, sec. 21, p. 131.)
Capital requirements.—"Before any such branch
office is authorized the corporation proposing to estabCOLORADO
lish the same shall have a paid-in capital and surplus
of not less than fifty thousand dollars, plus fifteen
Branches prohibited.—"Every bank shall be conthousand dollars of additional capital and surplus for ducted at a single place of business, and no branch
each and every branch so authorized." (Banking Laws thereof shall be maintained elsewhere." (Banking
1922, p. 17, sec. 21; Special Session Laws 1922, ch. 31, Laws, 1923, sec. 48; Compiled Laws, 1921, sec. 2703.)
sec. 21, p. 131.)
ARKANSAS

CONNECTICUT

Branches prohibited.—"The return of which said
copy (certificate of incorporation) so endorsed and the
filing of the same for record with the county clerk of
the county in which the said institution is located, shall
authorize it to proceed with its business, but with only
one office for the transaction thereof in only the one

Branches prohibited.—"No State bank or trust company shall make any loan or discount on a pledge of its
own stock, and no State bank, trust company, mutual
savings bank, or building and loan association shall
establish any branch office or agency thereof, or employ
any agent or person to make loans or discounts at any




183

FEDERAL RESERVE BULLETIN

MARCH,, 1925

other place than its banking house." (Banking Laws, municipalities, and districts in which they are located,
1923, p. 16, sec. 3920; General Statutes of 1918, sec. and the parent bank shall be relieved of taxation to the
3920 as amended by ch. 10, Bank Act 1923, p. 3481.) extent of the capital set aside for the exclusive use of
such branches." (Banking Laws, 1920, sec. 3; Bank
DELAWAKE
Act 1919, art. 1, sec. 3.)
Branches authorized.—"No bank or trust company
IDAHO
shall open any branch office or place of business in this
State unless authorized so to do by the certificate of
Branches prohibited.—"No banking corporation or
the State bank commissioner." (Banking Laws, 1921, trust company shall maintain any branch bank, receive
p. 15, sec. 4; Laws of Delaware, 1921, p. 288, ch. 103, deposits or pay checks, except over the counter of and
sec. 4.)
in its own banking house. And, Provided, That nothCapital requirements.—"No such certificate shall be ing in this section shall prohibit ordinary clearing-house
issued by the said commissioner, unless satisfied that transactions between banks.
the applicant has a paid-in capital stock to an amount
"Corporations created under the terms of this chapequivalent to at least twenty-five thousand dollars for ter shall not be authorized to engage in the business
each office or place of business then established by said at more than one place, which shall be designated in *
corporation in this State and for the branch sought to their charters." (Banking Laws 1919, sec. 5244; Idaho
be established, and a surplus to an amount equivalent Comp. Stat. 1919, sec. 5244.)
to at least twenty-five thousand dollars for each office
ILLINOIS
or place of business then established by said corporation." (Banking Laws, 1921, p. 15, sec. 4; Laws of
Branches prohibited.—By act approved June 23,
Delaware, 1921, p. 288, ch. 103, sec. 4.)
bankMust be authorized by charter.—"Nothing in this 1923, the Illinois Legislature prohibited branchgeneral
to the approval
section contained shall be deemed to confer on any ing, subject 1924; and at the by the people at the act
general election
corporation the power to establish branches not ex- election in
was
pressly authorized by its charter." (Banking Laws, utes, approved. (Smith-Hurd Illinois Revised Statp. 108.)
1921, p. 15, sec. 4; Laws of Delaware, 1921, p. 288,
INDIANA
ch. 103, sec. 4.)
Branches prohibited.—"That it shall be unlawful for
Branches prohibited.—"That the place of business any person, firm, or corporation engaged in the business
of each banking company shall be in the city or town of operating a State bank, private bank, savings bank,
or loan,
open or
specified in its charter, and the usual business of any establish trust, or safe deposit company to Provided,
branch office:
such banking company shall be transacted at an office That the a branch bank orsection shall not apply to
provisions of this
or banking house located in the city or town so specified branch banks or
and not elsewhere." (Banking Laws, 1921, sec. 4139; heretofore been branch offices for which charters have
granted." (Banking Laws, 1921, p.
Fla. Rev. Gen. Stats. 1920, sec. 4139.)
124; Session Laws, 1921, ch. 141, p. 367.)
GEOKGIA

Branches authorized.—"Banks whose capital has
been fully paid in and is unimpaired may establish
branches in the cities in which they are located or elsewhere, after having first obtained the written approval
of the superintendent of banks, which approval may
be given or withheld by the superintendent in his discretion, and shall not be given until he shall have ascertained to his satisfaction that the public convenience
and advantage will be promoted by the opening of such
branch." (Banking Laws, 1920, sec. 3; Bank Act
1919, art. 1, sec. 3.)
Operation.—The law provides for the appointment
of officers for the management and operation of each
branch. (Banking Laws, 1920, sec. 3; Bank Act 1919,
art. 1, sec. 3.)
Capital.—-"At the time of the establishment of any
branch the board of directors of the parent bank shall
set aside for the exclusive use of said branch such proportion of its capital or surplus as may be required by
the superintendent of banks; in no event less than is
required for the organization of a bank in the city,
town, or village in which the branch shall be located:
Provided, That the parent bank shall not by such
assignment of a portion of its capital reduce the capital
to an amount less than is required for the organization
of a bank in the city, town, or village in which said
parent bank is located, nor shall the parent bank by
such assignment of a portion of its surplus reduce the
surplus account to an amount less than twenty (20)
per cent of its capital." (Banking Laws, 1920, sec. 3;
Bank Act 1919, art. 1, sec. 3.)
Taxation.—"Branch banks shall be taxed on the
capital set aside to their exclusive use in the counties,
33405—25
6




No provision.—There is no specific provision covering
branches in the laws of Iowa.
KANSAS

No provision.—There is no specific provision in the
laws of Kansas concerning branch banks.
KENTUCKY

No provision.—There is no specific provision in the
laws of Kentucky regarding the establishment of
branches. The Court of Appeals of Kentucky has
held, however, that in the absence of such a provision
it is not within the power of a State bank to establish
a branch bank, though it may have agents to receive
and forward money to the bank or transact other
necessary business. (Bruner v. Citizens Bank of Shelbyville, 120 S. W. 345.)
LOUISIANA

Branches authorized.—"Every increase or decrease,
modification, alteration, or addition to the capital or
of the number of the shares, shall be submitted to a
general meeting of the stockholders, held after thirty
days' notice by publication and by mail, and shall be
approved by two-thirds of the amount of the capital
stock; and shall be executed, recorded, and published as
provided for the original articles, which shall provide for
the location in the parish of domicile of any banking association of not more than two branch offices.
Provided, that no banking association or savings bank
with capital stock of less than $50,000 may locate or

184

FEDERAL, RESERVE BULLETIN

operate branch offices; but this provision shall not
apply to existing branch offices." (Banking Laws,
1923, p. 5, sec. 7; Wolf's Const, and Stats, of La., 1920,
p. 116, sec. 7.)
Certificate of bank examiner.—No branch may be
opened until a certificate of authority has been obtained from the State bank examiner. (Banking
Laws, 1923, p. 6, sec. 8; Wolf's Const, and Stats, of
La., 1920, p. 116, sec. 8.)
Trust companies, sayings banks, and safe deposit
companies.—"Any savings, safe deposit, or trust and
savings bank may have one or more offices of discount
and. deposit within the limits of the municipality or
parish in which the said bank is located; and provided
further, that whenever any such banks shall have
taken advantage of the provisions of this act and
section, and shall have established one or more offices
of discount and deposit within the limits of said
municipality or parish, no future political or legal
subdivision of said municipality or parish shall have
the effect of. in anywise affecting the right of such
banks aforesaid to continue the existence, maintenance,
and operation of any such offices already established."
(Banking Laws, 1923, p. 28, sec. 7; Wolf's Const, and
Stats, of La., 1920, p. 112, sec. 7.)

MARCH, 1925

any such corporation to maintain not more than one
branch office, which shall be in the town where its main
office is located.
"No such corporation shall maintain a branch office
except as provided in this and the two following sections,
but the restrictions of this section shall not extend to
branch offices authorized prior to April twenty-ninth,
nineteen hundred and two. (Trust Company Laws,
1923, p. 26, sec. 45; Gen. Laws, 1921, ch. 172, sec. 45.)
"Any office of a trust company the business, of which
has been taken over under section forty-four by, or any
office of a national bank purchased by or merged in,
a trust company located in the same town, may be
maintained as a branch office of such corporation, if
in the opinion of the commissioner public convenience
will be served thereby/' (Trust Company Laws,
1923, p. 26, sec. 46; Gen. Laws, 1921, ch. 172, sec. 46.)
MICHIGAN

*'Industrial" bank may establish branches.—"To
establish branch offices or places of business within the
crty or village in which its principal office is located,
but not elsewhere." (Banking Laws, 1923, p. 48,
sec. 4; Compiled Michigan Laws, Supplement, 1922,
sec. 8032 (6).)
MAINE
There is no specific provision in the laws of Michigan
"Trust and banking company" branches author- in regard to the establishment of branches by other
ized.—"No trust company now or hereafter organized banks.
MINNESOTA
shall establish a branch or agency until it shall have
received a warrant so to do from the bank commisBranches prohibited.—"No bank or trust company
sioner, who shall issue such warrant only when satisfied that public convenience and advantage will be organized under the laws of this State shall maintain
promoted by the establishment of such branch or a branch bank or receive deposits or pay checks within
agency, * * * no trust company shall be per- this State except at its own banking house, and the
mitted to establish a branch or agency except in its superintendent of banks shall take possession of and
own or an adjoining county." (Maine Laws, 1923, liquidate the business and affairs of any State bank or
trust company violating the provisions of this act in
ch. 144, sec. 88; Banking Laws, 1923, sec. 88.)
the manner prescribed by law for the liquidation of
Capital requirements.—Banks are required to have insolvent State banks and trust companies." (Banking
a capital varying with the size of the place in which it Laws, 1923, p. 31; Session Laws, 1923, ch. 170, p. 194.)
is located. Banks with branches must have the capital
required of a bank located in a place with a population
MISSISSIPPI
equal to the aggregate population of the place in which
the parent bank is located and the population of the
Branch offices in same city.—"The creation or
places in which its branches are located. (Banking organization of any branch bank in this State shall be
Laws, 1923, sees. 69 and 88; Maine Laws, 1923, ch. 144, and the same is prohibited and forbidden, and no branch
sees. 69 and 88.)
bank shall be hereafter established in this State, and
MARYLAND
no parent bank chartered under the laws of this State
without
Branch banks and trust companies authorized.—The shall establish any branch bank either within or the superProvided, however, That when
laws of Maryland provide for the capital of branches the State: of banks shall believe the convenience and
established by banks and trust companies and, there- intendent
served he may permit
fore, impliedly authorize the establishment of such interest of theofpublic will beten thousand population
banks in cities not less than
branches. The capital required for a bank or trust to establish branch offices within the corporate limits
company depends upon the size of the place in which
city where the bank is domiciled, and
offices
such bank or trust company is located, and a bank or of thenot be considered branch banks withinsuch meanshall
the
trust company hereafter establishing a branch outside ing of section 261, code of Mississippi of 1906. But an
of the city, town, or village in which it is located must
may with the consent
add to its capital stock for each branch so established established bank or branch bank be removed from one
of the superintendent of banks
a sum equal to the amount of capital which would be municipality to any other municipality." (Banking
required of a bank (as distinguished from a trust
company) located in the place in which such branch is Laws passed in 1924, p. 14, House Bill 574; Laws of
established. No bank or trust company shall establish Miss. 1924, p. 226.)
Capital requirements.—"Every parent bank operata branch in the city, town, or village in which the parent ing one or more branch banks shall set apart and
bank or trust company is located unless such parent devote from its capital a sum of not less than ten
bank or trust company has the capital required by the
for the exclusive use
act. (Bagby's Annotated Code, 1911, art. 11, sees. 20 thousand dollars its business, and the of each of said
branch banks in
amount of the
and 42 as amended by the'acts of 1924, ch. 266.)
capital of the parent bank employed by each branch
bank shall never at any time be less than the said
MASSACHUSETTS
amount of ten thousand dollars." (Banking Laws,
Branches of trust companies authorized.—" The 1920, sec.*3522; IHemingway's Annotated1'Miss. Code,
board of bank incorporation may authorize in writing 1917, sec. 3522.)




MARCH, 1925

185

FEDERAL RESERVE

MISSOURI

NEW YORK

Branch banks authorized.—"No bank, or any officer
Branch banks prohibited.—" Provided, however,
that no bank shall maintain in this State a branch or director thereof, shall transact its usual business of
bank or receive deposits or pay checks except in its banking at any place other than its principal place of
own banking house." (Banking Laws, 1919, sec. business except that a bank in a city which has a popu11737; Revised Stat. of Mo. 1919, sec. 11737, p. 3674.) lation of more than fifty thousand may open and
Branch trust companies prohibited.—" Provided, occupy in such city one or more branch offices for the
however, that no trust company shall maintain in receipt and payment of deposits and for making loans
this State a branch trust company or receive deposits and discounts to customers of such respective branch
or pay checks except in its own banking house." offices only, provided that before any such branch or
(Banking Laws, 1919, sec. 11799; Revised Stat. of branches shall be opened or occupied:
" 1 . The superintendent shall have given his written
Mo. 1919 sec. 11799, p. 3702.)
approval, as provided in section fifty-one of this
chapter;
MONTANA
"2. The actual paid-in capital of such bank shall
No provision concerning branches.—There is no exceed by the sum of one hundred thousand dollars
specific provision concerning the establishment of the amount required by section one hundred of this
article for each branch opened since the twenty-seventh
branch banks in the laws of Montana.
day of April, nineteen hundred and eight; and by the
sum of fifty thousand dollars for each branch opened
NEBRASKA
previous to said date and hereafter maintained."
No provision concerning branches.—There is no (Morgan & Parkers N. Y. Banking Laws, 1923, sec.
specific provision in the laws of Nebraska in regard 110.)
Branch trust companies.—"No trust company or
to the establishment of branch banks.
any officer or director thereof, shall transact its usual
business at any place other than its principal place of
business, except that a trust company may open and
Branches prohibited.—"No bank in this State shall occupy in the city in which its principal place of
hereafter open or maintain any branch bank or office." business is located one or more branch offices, provided
(Banking Laws,. 1915, sec. 8; Rev. Laws Nev. 1912, that before any such branch or branches shall be
opened or occupied:
sec. 623.)
" 1 . The superintendent shall have given his written
"Bank" defined.—"The words 'corporation,' 'banking corporation,' 'bank/ 'trust company/ or 'banker/ approval, as provided in section fifty-one of this
as used in this act, shall refer to and include banks, chapter;
"2. The actual paid-in capital of such trust comsavings banks, and trust companies, individuals,
firms, associations, and corporations of any character pany shall exceed by the sum of one hundred thousand
conducting the business of receiving money on deposit dollars the amount required by section one hundred
or otherwise carrying on a banking or trust company and eighty of this article for each branch opened."
business, except as herein specially provided." (Bank- (Morgan & Parkers Banking Law, 1923, sec. 195.)
ing Laws, 1915, sec. 75; Rev. Laws Nev. 1912, sec. Provision is also made in the law requiring the
690.)
approval of the superintendent of banks before a
branch may be opened. (Morgan & Parkers Banking
NEW HAMPSHIRE
Law, 1923, sec. 51.)
No provision concerning branches.—There is no speNORTH CAROLINA
cific provision in the laws of New Hampshire in regard
to the establishment of branch banks.
Branches authorized.—"Any bank doing business
under this act may establish branches in the cities in
NEW JERSEY
which they are located, or elsewhere, after having first
No provision concerning branches.—There is now no obtained the written approval of the Corporation
specific provision in the laws of New Jersey with regard Commission, which approval may be given or withheld
to the establishment of branch banks or trust compa- by the Corporation Commission, in its discretion, and
nies. It appears that a law enacted in 1913 authorized shall not be given until it shall have ascertained to
trust companies to establish branches, but that law its satisfaction that the public convenience and adwas repealed in 1915. Trust companies, however, were vantage will be promoted by the opening of such
not prohibited by the latter statute from establishing branch." (Banking Laws, 1921, sec. 43.)
Capital requirements.—"Provided, that the Corpobranches, and it appears that ;there is now no law either
authorizing or prohibiting the establishment of branches ration Commission shall not authorize the establishby trust companies. (Laws of 1913, ch. 140; Laws of ment of any branch, the paid-in capital stock of whose
parent bank is not sufficient in an amount to provide
1915, ch. 274.)
for the capital of at least fifteen thousand dollars for
NEW MEXICO
the parent bank, and at least twenty thousand dollars
Branches prohibited.—"Every bank shall be con- for each branch which it is proposed to establish in
ducted at a single place of business, and no branch cities or towns of three thousand population or less;
thereof shall be maintained elsewhere; provided, how- nor less than thirty thousand dollars in cities and towns
ever, that nothing herein contained shall be construed whose population exceeds three thousand, but does not
to prohibit any mercantile corporation which maintains exceed ten thousand; nor less than fifty thousand
a banking department in accordance with the provi- dollars in cities and towns whose population exceeds
sions of this act, from receiving deposits and buying ten thousand, but does not exceed twenty-five thouand selling exchange at any of its branch stores." sand; nor less than one hundred thousand dollars in
(Banking Laws 1923, sec. 47; Session Laws 1915, ch. cities and towns whose population exceeds twenty-five
thousand. All banks operating branches prior to the
67, sec. 47.)




i86

MARCH, 192&

FEDERAL RESERVE BTJLLETTH

principal place of business is located, one or more suboffices or subagencies, for the purpose only, however, of
receiving and paying out moneys; and provided, that
a full report of the operations of each day is made at
the close thereof to the principal place of business, and
that the assets of the bank in its suboffices or subagencies are transferred to the main office of the bank
on or before the close of each business day. This act
NORTH DAKOTA
does not authorize the establishment or maintenance
No provision concerning branches.—There is no of branch offices or agencies for the transaction of the
specific provision in the laws of North Dakota in general business of any corporation formed under the
regard to the establishment of branches.
act to which this is a supplement." (Act July 28,
1917; Laws 1917, p. 1235.)
OHIO

passage of this act shall, within a time limit to be
prescribed by the Corporation Commission, cause said
branch bank to conform to the provisions of this
section." (Banking Laws, 1921, sec. 43.)
The law also contains requirements for the proper
management of the branches. (Banking Laws, 1921,
sec. 43.)

Branches authorized.—"No branch bank shall be
established until the consent and the approval of the
superintendent of banks has been first obtained, and no
bank shall establish a branch bank in any place other
than that designated in its articles of incorporation,
except in a city or village contiguous thereto. If such
consent and approval is refused, an appeal may be
taken therefrom in the same manner as is provided in
section 45 of this act." (Banking Laws, 1923, sec.
710-73.)
Fees for each branch.—" * * * provided, that
all banks which operate a branch bank or branch
banks in addition to the charges above to be paid,
shall pay at the time prescribed above the sum of
fifty dollars for each branch bank operated by it
* * *." (Banking Laws, 1923, sec. 710-17.)

RHODE ISLAND

Branches authorized.—"Any bank or trust company
may establish a branch or branches within this State at
any other place than its principal place of business
upon obtaining the consent of the board of bank incorporation thereto."
Detailed provision is also made for obtaining the
consent of the Board of Bank Incorporation to establish branches. (Banking Laws, 1922, ch. 229, sec. 9;
Gen. Laws of R. I. 1909, ch. 229, sec. 9.)
SOUTH CAROLINA

Branches authorized by implication.—"All banks or

institutions engaged in the banking business in this
State that maintain or operate a branch bank or an
office for business other than its regular or home office,
shall pause to be published statements of the assets and
OKLAHOMA
liabilities of such branch bank or office in the county
No provision concerning branches.—There is no wherein such branch bank or office is located, the same
specific provision in the laws of Oklahoma in regard to as other banks or banking institutions." (Banking
the establishment of branch banks.
Laws, 1923, sec. 78; Code of 1922, sec. 3989).
Provision is also made for examination of branch
banks. (Code of 1922, sees. 3984 and 3988.)
Branches prohibited.—"No bank in this State, or
SOUTH DAKOTA
any officer or director thereof, shall open or maintain
any branch bank or receive deposits or pay checks
No provision covering branches.—There is no specific
other than at its principal place of business: Provided, provision in the laws of South Dakota in regard to the
That this provision shall not apply to branch banks establishment of branch banks.
now existent in compliance with the provisions of
section 4591 of Lord's Oregon Laws; provided further,
TENNESSEE
that every such branch bank shall hereafter in every
Branches authorized by implication.—"Any prinrespect be governed by and comply with the provisions
of this act to the same extent as other State banks now cipal bank must pay out the notes made payable at its
organized and doing business in this State." (Banking branches, but such bank notes shall by law, be also payLaws, 1921, sec. 36; sec. 6211, Oreg. Laws as amended able at the counter of the principal bank." (Shannon's
Code, 1917, sec. 3224.)
by ch. 294, p. 546, Gen. Laws 1921.)
Branches authorized if national banks are permitted to establish branches.—"Provided, further,

that whenever national banks, operating under acts
of Congress, are given the privilege or authority to
open and maintain branch banks in this State, the
superintendent of banks may authorize banks organized
and existing under the laws of this State to open and
maintain branch banks on similar terms as are granted
to national banks, and the State banking board is
hereby given power and authority to prescribe rules
and regulations from time to time for the opening and
maintaining of said branch banks." (Banking Laws,
1921, sec. 36; sec. 6211, Oreg. Laws as amended by
ch. 294, p. 546, Gen. Laws, 1921.)
PENNSYLVANIA

Suboffices permitted but branches prohibited.—

Branches prohibited.—"No such corporation [bank]
shall maintain any branch bank, receive deposits, or pay
checks, except over the counter of and in its own banking house, except where such corporation is a county
or State depository, in any county other than that of
its home, or is a county depository and is not located at
the county seat; and provided, that nothing in this
article shall prohibit ordinary clearing house transactions between banks. Corporations created under the
terms of this title shall not be authorized to engage in
business at more than one place which shall be designated in their charters." (Banking Laws, 1923, sec.
94; Rev. Civil Stats, p. 104, art. 379.)
Branches are prohibited by the Texas Constitution.
(Const. Act XVI, sec. 16.)

"Section 1. Be it enacted, etc., That any bank of discount and deposit already incorporated, or hereafter
Branches prohibited.—"The business of every bankformed * * * is hereby authorized to establish and ing institution shall be conducted only at its banking
maintain in the city, borough, or township in which its house, and no bank in this State or any loan, trust, or




187

FEDERAL RESERVE BULLETIN

MARCH, 1925

guaranty company or trust company conducting a cashier of the bank is sufficient." It is understood,
banking business, or any officer, director, or agent there- however, that the Commissioner of Banks and Bankof, shall open, establish, or maintain any branch bank ing does not permit the operation of branches. (Barnes
or office, and shall receive deposits and pay checks 1923 Code, ch. 54, sees. 2, 23, 76, 78a (5) and ch. 50,
only at its banking house: Provided, That all branch sec. 37.)
WISCONSIN
banks or offices in operation at the time of the approval
of this chapter shall be closed and discontinued within
one year from the date this chapter goes into effect.
Branches prohibited.—"No bank shall establish
"Any bank or officer thereof violating any of the more than one office of deposit and discount or estabprovisions of this section is guilty of a misdemeanor." lish branch offices or branch banks, provided that this
(Banking Laws, 1923, sec. 1005; Comp. Laws Utah, prohibition shall not apply to any branch office or bank
1917, sec. 1005.
established prior to May 14, 1909." (Banking Laws,
VERMONT
1922, p. 36, sec. 61 (f); Wis. Stat. 1921, ch. 555, sec.
2024-9.)
Branch trust companies prohibited.—" Nor shall such
No provision covering branches.—There is no specific
provision in the laws of Vermont in regard to the estab- corporation establish more than one office of deposit
lishment of branch banks.
nor establish nor maintain branches." (Banking Laws,
1921, p. 83, sec. 164; Wis. Stat. 1921, sec. 2024-77 N.)
VIRGINIA

Branches authorized.—"No bank or trust company
heretofore or hereafter incorporated under the laws of
this State shall be authorized to engage in business in
more than in one place, except that, in its discretion,
the State corporation commission may authorize
banks having a paid-up and unimpaired capital of
twenty-five thousand dollars or over to establish
branches. This section, however, shall not apply to
branch banks already established. But any branch
bank heretofore or hereafter established shall not be
operated or advertised under any other name than that
of the identical name of the home bank. Any bank or
trust company violating the provisions of this section
shall be liable to a fine of one thousand dollars, to be
imposed and judgment entered therefor by the State
corporation commission, and enforced by its process."
(Banking Laws, 1922, sec. 4101; Code of 1919, sec.
4101.)
Taxation of branches.—Provision is made for local
taxation of branches in the places in which they are
established. (Banking Laws, 1922, sec. 4102; Code of
1919, sec. 4102.)

WYOMING

Branches permitted by implication.—"It shall be
lawful for any number of persons, not less than five in
any case, to associate themselves together and form
companies for the purpose of carrying on a general
banking, savings bank, and loan and trust business in
such place or places in this State as shall be designated
in their articles of association, subject, however, to the
contingencies, restrictions, conditions, and liabilities
prescribed in this chapter. The persons uniting to
form such association, shall execute and acknowledge,
according to law, a certificate of articles of association,
which shall specifically state:
"Fourth. The place or places where its offices shall
be located, and its operations are to be carried on."
(Banking Laws, 1921, sec. 5135; Comp. Stat. 1920,
sec. 5135.)

State Banks and Trust Companies

The following list shows the State banks and trust
companies which were admitted to membership in
the Federal Reserve System during the month ended
Branches prohibited.—" Nor shall any bank or trust February 21, 1925, on which date 1,554 State institucompany establish any branch. The practice of tions were members of the system:
collecting or receiving deposits or cashing checks at
any place or places other than the place where the
ADMISSIONS
usual business of a bank or trust company and its operations of discount and deposits are carried on shall be
Capital
Surpius ]
held and construed to be establishing a branch."
(Banking Laws, 1921, sec. 28; Session Laws, 1919, ch.
209, sec. 7.)
District No. 1
Definition of branch.—"The term 'branch bank,'
where used in this act, means any office of deposit or Carroll County Trust Co., Conway,
discount maintained by any bank or trust company, N . H
$75,000
$15,000
$1,209,363
domestic or otherwise, other than its principal place
District No. 5
of business, regardless of whether it be in the same city
or locality." (Banking Laws, 1921, sec. 27; Session The Home Bank, St. Matthews,
S. C. (readmitted under new
Laws, 1917, ch. 80, sec. 14.)
charter)
70,000
20,000 !
564, 992
WASHINGTON

WEST

VIRGINIA

Branches apparently authorized.—The corporation
laws of West Virginia provide for the incorporation of
banks of issue and circulation and of discount and deposit
and for savings institutions and also provide that any
corporation may have offices at any other place than
at the place of its principal office; cooperative banking
associations and trust companies are also made subject
to the above laws. The law also provides that "If a
suit against a bank of circulation be brought in a county
where it has a branch, service on the president or




District No. 9
Trout Creek State Bank, Trout
Creek, Mich

184,578

25, 000

District No. 11
Texas State Bank & Trust Co.,
San Antonio, Tex.__

300,000 I

30,000

! 684, 343
,

25,000 i

5,000

120,844

District No. 12
Multnomah Commercial & Savings Bank, Multnomah, Oreg

188

FEDERAL. RESERVE BULLETIN
CHANGES
Capital

Surplus

$400,000

$150,000

Total

District No. 1

First National Bank, Fall River,
Mass (absorbed by B. M. C.
Durfee Trust Co., Fall River,
Mass., a member)

District No. 6

Atlantic Exchange Bank & Trust
Co., Baltimore, Md. (consolidated
with Baltimore Trust Co., a member)
Farmers Bank & Trust Co., St.
Matthews, S. C , a nonmember
(consolidated with and under title
of The Home Bank, a member
newly chartered)

2,000,000

2,000,000

70,000

30,000

District No. 6

Bank of Cartersville, Cartersyille,
Ga. (converted into a national
bank)

$4,192,630

District
No.

60,000

25,000

11,070

25,000

6,500

321, 500

1 to 9.
1 to 9.
1 to 9.
1 to 9.
1 to 9.
1 to 9.
1 to 9.
1 to 7 & 9.
1 to 7 & 9.
1 to 9.
1 to 9.
1 to 9.
1 to 3, 5 to 9.
1 to 3 & 5.
1 to 9.
1 to 8.
1 to 9.
1 to 9.
5 to 8.

New National Bank Charters

District No. 11

Security State Bank, Cooper, Tex.
(closed)
_

1 to 5 & 9.
1 to 9.

287, 420

District No. 7

Farmers State Bank, Auburn, 111., a
nonmember (absorbed by the Auburn State Bank, Auburn, 111., a
member)
Citizens State Bank, Wapello, Iowa,
a nonmember (absorbed by the
Wapello State Savings Bank,
Wapello, Iowa, a member)

Powers
granted

Name of bank
First National Bank
South Side National Bank
& Trust Co.
Labor Co-Operative National Bank.
Metropolitan National Bank
& Trust Co.
First National Bank.__
National Bank of Smyrna...
Gettysburg National Bank..
Second National Bank
Farmers and Mechanics National Bank.
First National Bank
Third National Bank.......
Greenville National Bank__
National Bank of Harrisonburg.
First National Bank
Holston National Bank
First National Bank
do
Citizens National Bank
!
American National Bank I
Winfield National Bank
!
Fort Worth National Bank.i

Houlton, Me..
Newark, N. J_.
468,141 Paterson, N. J
!
New York, N. Y . . .
Perry, N. Y
Smyrna, Del
Gettysburg, Pa
34,273,440 Mechanicsburg, Pa.
Phoenixville, Pa
Columbus, Ohio
Dayton, Ohio
i
450, 000 Greenville, Pa_
Harrisonburg, Va...
Portsmouth, Va
Knoxville, Tenn
Greenville, Ala
566, 733 Great Falls, Mont..
Anthony, Kans
Hutchinson, Kans..
Winfield, Kans
Fort Worth, Tex....

60,602, 214

100,000

1925

(1) Trustee; (2) executor; (3) administrator; (4) registrar of stocks and bonds; (5) guardian of estates; (6)
assignee; (7) receiver; (8) committee of estates of lunatics; (9) in any other fiduciary capacity in which State
banks, trust companies, or other corporations which
come into competition with national banks are permitted to act under the laws of the State in which the
national bank is located.

District No.«

Metropolitan Trust Co., New York,
N. Y. (converted into a national
bank)
2,000,000 3,000,000
Citizens Bank of Cape Vincent, N.
Y. (voluntary withdrawal)
50,000
10,000

MARCH,

100,000

420,644

The Comptroller of the Currency reports the following increases and reductions in the number and capital
of national banks during the period from January 24,
to February 20, 1925, inclusive:

District No. 12
Bank of Jordan Valley, Jordan Valley, Oreg. (closed)..

50,000

25,000

435,227
banks

Change of title—The Montclair Essex Trust Co., Montclair, N. J.,
has changed its title to the Montclair Trust Co.
The Guardian Savings & Trust Co., Cleveland, Ohio, has changed
its title to The Guardian Trust Co.
Change of location.—Commercial & Savings Bank Co., Buckeye City,
Ohio, name of city changed to Danville.
Change of title and location.—The Stockmens State Bank, Corona,
N . Mex., has changed its title to the First State Bank and its location
to Estancia, N. Mex.

Fiduciary Powers Granted to National Banks
During the month ended February 21, 1925, the
Federal Keserve Board approved applications of the
national banks listed below for permission to exercise
one or more of the fiduciary powers named in section
11 (k) of the Federal reserve act as amended, as follows:




New charters issued..
Restored to solvency
Increase of capital approved

_.

Aggregate of new charters, banks restored to
solvency, and banks increasing capital

11
0
20

$2, 775,000
0
12,975,000

Total liquidations and reductions of capital- .
Consolidations of national banks under act of Nov.
7,1918....
Aggregate increased capital for period.-.
Reduction of capital owing to liquidations, etc
_

_

31

15,750,000

27
2

Liquidations
Reducing capital

Net increase.-

Amount
of capital

2,117,500
40,000

29

2,157,500

0

0
15,750,000
2,157,500
13,592,500

189

FEDERAL RESERVE BULLETIN

MARCH, 1925

BUSINESS STATISTICS FOR THE UNITED STATES
INDUSTRIAL ACTIVITY

Industrial activity during January continued taking of raw silk by mills exceeded all previous
the recovery which began last summer and records. Building-material industries, on the
in many lines attained levels equaling or ex- whole, were seasonably less active, but the
ceeding those of a year ago. The index of amount of lumber cut was larger than in any
production in basic' industries, which is ad- January since 1918. Of the important industries
justed for seasonal variations, advanced from automobile manufacturing has shown the great117 to 127. This figure equals the maxi- est decrease in production since last spring.
mum of all time recorded for May, 1923, The output of passenger cars in January was
and compares with 120 last January and about 40 per cent below the total for March,
94 for the summer months. The manu- 1924, the month of maximum production.
facturing index, which is unadjusted, increased Production of rubber tires and tubes and of
from 116 to 123, slightly above the level of gasoline continues to show substantial year-toJanuary, 1924. Employment has not risen year increases.
Among the minerals, copper and zinc proto the same extent as production, and, although the number employed increased slightly duction was the greatest since the war years,
in January, wage earnings were seasonably and lead output was the largest recorded in
less, and both were smaller than a year before. the four years for which figures are available.
Mineral production was particularly heavy Furthermore, bituminous coal output was
in January, and the mining index at 140 has close to the largest amount ever mined in
been exceeded only twice in the pre-war any month. Anthracite coal and petroleum
period. The index of agricultural marketings kept the general index below its previous
declined in January as is usual, but main- high point, as the output of these products
tained its increase over the corresponding was not up to the levels reached in the fall of
1923. In agricultural movements receipts of
month in previous years.
Iron and steel has been relatively the most cotton were the largest recorded for any
active of all industries, and the production January since 1920, when the crop w^as
of pig iron and steel ingots in January was marketed late. Tobacco sales were also rather
close to previous maximums. Textiles also large. Grain receipts were greater than during
showed some increases. Active machinery last January, but have been larger in that month
and employment in the woolen industry of other previous years. Vegetable shipments
declined, but cotton consumption and spindle were heavy, but those of fruits were somewhat
activity were the greatest since 1923, and the lighter than usual.
INDEXES OF INDUSTRIAL ACTIVITY
PERCENT

PER CENT
]175

( MONTHLY AVERAGE, 1919=100 )

1751

150

150

125

100

75

50

50
• — —

MANUFACTURING PRODUCTION
MINERAL PRODUCTION

25

25




1919

1920

1921

1922

1923

1925

190

FEDERAL RESERVE

BULLETIN

MARCH,

1925

INDEX OP EMPLOYMENT IN MANUFACTURING INDUSTRIES 1
[Not adjusted for seasonal variations. MoDthly average, 1919—100]

! GenYear and month , eral
index

Metals and
products

Textiles and products

ana

>roup Fabrics Prodndex
ucts

I steel
1924
January
February
March
April
May
June
July
August
September
October
November
December
1925
January

...;

98
99
99
97
93
90
87
87
90
91
91
93

97
98
97
92
87
85
79
81
85
89
88
92

i
I

93

93

.•
i
I
!
I
!
!
;
j

;

Lumber
and
products

Car
Motor build- Paper
and
ing
vehicles and re- printpairing ing

94

98
100
100
94
89
86
79
82
86
87
85
88

118
123
124
123
119
117
113
114
115
114
114
112

103
105
107
101
90
81
76
78
80
81
80
82

95

89

111

90

84

i
!
|

96
97
94
89
86
85

i
!
!
|
i

78
81
85
90
91

Foods Leather Stone,
Toand
and
bacco
clay,
prodprod- prodand
ucts
ucts
glass | ucts

104
102
101
98
97

105

101
102
102
103

105

|
|
i
I
I
I

106
106
106
105
104 i
103 |
101
101 I

103 |
104
105

89
89
89
87
85
85
85

105
106
110
115
117
115
111
110
108
109
109
108

100 i

I
|
i
I

87
87
82
79
73
74
78
81
82
81
3 80

i
I
!
'

Chemicals
and
products

i
87
85
83
82
83
82 !
82 |
86 j
81 I
87 |
87

I
i
I
I
|
I
i
I
i

78
78
78
77
74
70
67
68
71
71
72
3 73

103

1
This table contains for certain months the index numbers of employment, together with group indexes for its important industrial components
The general index is a weighted average of relatives for 33 individual industries. The method of construction was described in detail and indexes
for the above groups since January, 1919, were published on pages 1272-1279 of the BULLETIN for December, 1923.
2
Preliminary.
3
Revised.
INDEX OF PRODUCTION IN BASIC INDUSTRIES i
[Index and relatives for each industry adjusted for seasonal variations. Monthly average 1919=* 100]

Food products
Year and month

1924
January
February
March
April
_
May
June
July
August
September-.
October
November-December. .
January

Wheat
flour

89
100
107
105
105
107

82
94

Cattle i Calves
95 i
94 i
90 :

97
127
115
115
109
111
125
104
141
141
111
91
122

3 122
3

Animals slaughtered

Sugar
meltings

100
110
3 97
3 84

133
137
112
116
111
108
117
118
128
143
129
155

Sheep |

90
102
109
102
99
91
91
93
82
87

Lumber
Hogs
119
116
132
136
124
116
141
136
132
121
122
130

130
124
127
117
104
106
105
108
120
116
128

1925
100

140

90 ;

145

Tobacco products
Sole
leather

January.
February
March
April.
May
June
July
August
September
October.. .
November
December
January.

Newsprint

Cement

107
108
103
111 |
116 i
103 !
102 j
101 !
1*7
110 !
104 !
103 |
1925

68

106

239
192
187
169
172
173
193
190
186
183
187
182

Petroleum

183
189
186
189
192
187
185
190
191
185
183
182

rs

98
94
90
88
95
91
98
95
100
97
96
92

Cigarettes

Manufactured
tobacco

176
140
143
157
173 :
163
155
157
162
158
145
170 i

113
93
91
91
96
94
97
93
98
99
89

188 i

105

94

* This table contains for certain months the index numbers of production in basic industries which are shown in the chart at the bottom of page 151,
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.
2
All bituminous coal figures for 1924 revised.
3 Revised,




191

FEDERAL RESERVE BULLETIN

MARCH, 1925

INDEXES OF INDUSTRIAL ACTIVITY »
[No seasonal adjustment.

Monthly average 1919—100]
Mineral production

Agricultural movements
Year and month

Animal
LiveTotal 2 stock 2 prod- Grains
ucts

Cotton

VegeTo2
tables Fruits bacco T o t a l

Anthracite
coal

Bituminous
coal2

Petroleum

Pig

iron

Copper

Zinc

Lead

Silver

1924

January
February
March
April.
May
June...
July
August
September
October
November
December

105
96
81
77
87
87
100
121
152
189
160
143

123
101
98
97
98
95
96
90
109
123
120
132

98
101
90
129
148
165
166
127
107
100
105
121

91
120
87
54
62
67
118
218
195
230
156
120

83
41
33
34
34
19
21
38
175
278
271
3 231

120
123
138
113
119
146
137
107
165
226
136
86

90
102
92
93
178
140
148
144
163
248
157
86

238
133
75
17
20
6
2
63
127
165
148
184

138
130
128
110
114
111
113
116
124
134
122
130

108
104
110
93
106
105
106
97
106
105
92
101

135
122
106
78
83
81
86
92
109
125
108
119

179
176
189
189
196
191
194
196
189
190
179
180

118
121
136
127
103
79
70
74
81
97
99
116

132
130
129
131
130
127
129
132
126
137
136
135

126
112
122
114
121
111
109
106
104
108
109
121

114
124
134
125
137
143
138
139
146
148
145
146

111
115
121
97
123
111
95
104
116
119
119
123

1925
January

118

122

93

112

129

130

74

281

140

101

134

188

132

143

128

150

114

Manufacturing production

Total

Iron
and
steel

Automobiles

Lum- Paper Leather Petro- Cement Tobacand
and
and
leum brick
co
ber printing shoes

Textiles

Food
products

lie

128
132
141
149
162
139
136
142
143
160
132
122

122
117
120
126
120
113
102
107
109
126
116
3 117

143

120

Rubber
tires

1924

January - _
February
March
April
May. .
June
July.
August
Septein ber
October
November
December

3

108
124

196
228
237
231
193
151
163
172
178
178
141
126

105
3 111

109
105
105
98
100
97
103
102
112
114
108
117

145

141

121

104

122
123
127
122
112
97
97
104
112
123
112
116

126
131
145
122
96
75
67
87
96

123

108

106
10C
98
83
77
81
83
98

na

98
96
94
89
83
76
75
84
90
101
84
90

172
166
180
181
171
176
176
182
180
186
185
196

3

118
123
140
154
167
156
154
166
157
169
148
138

118
103
109
106
122
123
127
123
126
132
114
106

128

118

1925

January

> F o r description a n d early figures see B U L L E T I N for M a r c h , 1924.
2
P r a c t i c a l l y all figures for 1924 revised.
3
Revised.




152
154
162
152
144
126
125
158
175
191
155
163

192

FEDERAL RESERVE BULLETIN

MARCH,

1925

COMMODITY MOVEMENTS
With this month's issue the publication in
the Bulletin of detailed statistics regarding
movements and stocks of commodities is
discontinued. Certain figures compiled by
the board's division of research and statistics
will still be published in order that users of
these data may continue to have comparable
series of data. Information as to current
figures for any of the discontinued series will
be furnished upon request.

January, Decem- January
ber, 1924
1924
1925
Grain and Flour—Continued
Revenue freight loaded and received
from connections (cars loaded, 000
omitted):
Classified by nature of p r o d u c t s Grain and grain products
Livestock _ _
Coal
Coke
Forest products

Total
Classified by geographical divisionsEastern
Allegheny
Pocahontas
Southern
_
Northwestern
Central western
Southwestern..

Grain and Flour
Receipts at 17 interior centers (000
omitted):
Wheat (bushels)
Corn (bushels)
Oats (bushels)
Rye (bushels)
Barley (bushels)

24,166
36,359
25,589
2,134
4,940

32,542
29,694
21,132
3,802
5,405

16.861
31,075
18,176
1,807
2,916

Total grain (bushels)
•
_
Flour (barrels)
Total grain and flour (bushels) _ _.

93,188
2,423
104,089

92,575
2,358
103,188

70,834
1,902
79,395

Shipments at 14 interior centers (000
omitted):
Wheat (bushels)...
_
Corn (bushels)
Oats (bushels)
Rye (bushels)
_
Barley (bushels).
_.

19,256
11, 929
15, 089
2,822
2,840

28,846
8,289
12,135
7,449
3,632

12,244
17,579
14,829
582
2,066

51,937
3,374

60,350
3,682

47,300
3,182

67,120

76,921

61,619

47,628 I 55,772
22,928 I 14,361
64,557 i 61,038
9,270
3,424
2,928

59,785
6,832
14,788
16,652
1,828

147,310

143,886

99,885

12,841
987
1,241
1,955
2,062

27,785
904
1,912
6,116
4,591

12,794
3,213
2,327
326
1,573

19,085
2,117

41,308
2,028

20,232
1,931

28,612

50,436

28,920

Total grain (bushels)
Flour (barrels)
Total grain and flour (bushels)
Stocks at 11 interior centers at close of
month (000 omitted) :
Wheat (bushels)
_
Corn (bushels)
Oats (bushels)
_
Rye (bushels)
Barley (bushels).
_.
Total grain (bushels)
Receipts at 9 seaboard centers (000
omitted):
Wheat (bushels)
Corn (bushels)
Oats (bushels)
Rye (bushels)
Barley (bushels)
Total grain (bushels)
Flour (barrels)

_

Total grain and flour (bushels)
Stocks at 8 seaboard centers at close of
month (000 omitted):
Wheat (bushels)
__
Corn (bushels)
Oats (bushels)
_
Rye (bushels)
Barley (bushels)
Total grain (bushels)

9,493
1,369
1,530
3,851
1,531

14,202
719
2,215
9,242
3,197

17,774

Wheat flour production (barrels, 000
omitted)

7,088
7,623
12,075
9,165
29,327
16, 591
39,950 j 14,324
20,222 I 8,862

11,463

11,705

Tobacco sales at loose-leaf warehouses
(pounds, 000 omitted):
Dark belt Virginia
Bright belt Virginia
North Carolina
_
Burley
Western dark
_

6,039
1,484
1,025
751
2,164




6,476
10,397
28,377
27,213
12,563

Total .

212
169
812
54
282

202
161
880
54
301

1,016
1,289

1,044
1,316

975
1,233

3,992

3,931

3,843

909
792
213
620
518
641
297

912
789
194
628
470
625
312

932
783
175
597
479
615
264

3,992

Merchandise, 1. c. 1
Miscellaneous _ _ _ _ _
January, Decem- January,
1925
ber, 1924
1924

221
159
891
59
312

3,931

3,843

BUILDING STATISTICS
January, Decem- January,
ber, 1924
1925
1924
Building permits issued in 168 cities,
grouped by Federal reserve districts:
Number of p e r m i t s Boston (14 cities)
New York (22 cities)
Philadelphia (14 cities)
Cleveland (12 cities)
Richmond (15 cities)
Atlanta (15 cities).
Chicago (19 cities)
St. Louis (5 cities)
Minneapolis (9 cities)
Kansas City (14 cities)
Dallas (9 cities)
San Francisco (20 cities)
Total
"Value of permits (dollars, 000
omitted)—
Boston (14 cities)
_
New York (22 cities)
._._
Philadelphia (14 cities)
Cleveland (12 cities)
Richmond (15 cities)
Atlanta (15 cities)
_
Chicago (19 cities)
.._.
St. Louis (5 cities)
Minneapolis (9 cities)
Kansas City (14 cities)
Dallas (9 cities)
San Francisco (20 cities)
Total
_
Building contracts awarded, by Federal
reserve districts (dollars, 000 omitted):
Boston
New York
_
_
Philadelphia
_.
Cleveland
Richmond
Atlanta
_
Chicago
St. Louis
_
Minneapolis 1
_
Kansas City
Dallas
Total (11 districts)
1
2

1,413
8,360
1,754
2,524
2,428
2,745

1,333
5,212
1,194
2,611
2,075
2,903
6,426
1,802
660
1,545
2,177
10,797

1,629
2,968
3,023
2,753
7,793
1,690
726
1,555
1,633
8,909

1,527
481
1,243
2,335
11,620

38,735

41,519

42,096

7,737
78,341
8,719
12,919
10,828
7,233
36,546
5,703
2,417
4,648
6,257
31,464
212,812

9,991
84,679
12,666
20,080
13,740
10,187
39,168
8,607
3,404
7,490
5,794
30,909
6, 715

7,895
88, 553
11,959

22,941
109,625
18,316
32,033
21,784
24,885
36,836
14,648
5,895
7,469
15,119

25,920
101,127
17,899
44,123
23,299
27,471
51,198
22,794
5,713
6,983
12,963

309,551

339,489

1,877

District No. 10, excluding Colorado.
Total, 10 districts. No figures available for Dallas district.

12,181
12,209
7,138
27,124
6,528
2,143
5,209
8,054

33, 230
222,223
20,789
107,039
18,497
22,495
27,354
26, 575
49,288
18,869
5,062
4,653
2

300,621

193

FEDERAL RESERVE BULLETIN

MARCH, 1925

WHOLESALE AND RETAIL TRADE
WHOLESALE TRADE IN THE UNITED STATES, BY LINES

CHANGE IN CONDITION O P WHOLESALE TRADE, BY LINES
AND DISTRICTS—Continued

[Average monthly sales 1919—100]
General
index

Groceries Meat

1923
October
November...
December...

1925
January .

Dry Shoes Hard- Drugs
ware
goods

112
90
66

1924
January
February—
March
April
May
June
July
August
September...
October
November...
December...

80
77
80
79
81
83
83
83
93
100

78

117
102
90

97
98
90
81
72
70
79
102
116
104
88
77

91
90
104
108
104
96
93
93
106
111
98
99

116
110
118
114
110
105
110
108
117
128
109
109

82

44

114

Percentage change
in January, 1925,
with—
Decem- January,
ber, 1924
1924




Decem- January,
ber, 1924
1924

129
111

CHANGE IN CONDITION OF WHOLESALE TRADE, BY LINES
AND DISTRICTS

Groceries:
United States
Boston district
New York district
Philadelphia district...
Cleveland district
Richmond district
Atlanta district
Chicago district
St. Louis district
Minneapolis district
Kansas City districtDallas district
San Francisco districtDry 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 January, 1925,
sales compared
with—

-2.9
-5.0
-6.5
-11.3
-7.0
-2.8
0.6
2.0
5.4
— 1.3
-0.6
7.0
8.8

1.3
8.5
-4.4
-0.1
-3.7
4.6
8.1
1.4
-3.8
-2.6
0.5
7.7
-2.2

6.9
8.6
-15.8
-21.6
36.2
8.1
11.9
44.8
-2.3
19.1
44.9
10.9

-15.6
-1.1
-22.7
-22.2
-24.7
-12.8
-20.5
-13.8
12.3
-6.3
-27.2
-13.3

-22.7
-21.4
-19.9
-30.0
-35.3
-9.3

-10.6
0.9
-14.9
-13.4
9.1
-19.1

Shoes—Continued
Atlanta district
Chicago district
St. Louis district
Minneapolis district
San Francisco district .
Hardware:
United States
New York districtPhiladelphia district..
Cleveland district
Richmond district. _
Atlanta district
Chicago district
St. Louis district
Minneapolis district
Kansas City district
Dallas district
San Francisco district
Drugs:
United States... .
New York district
_
_.
Philadelphia district
Cleveland district
Richmond district
Atlanta district
Chicago district
St. Louis district .
Kansas City district
._
Dallas district
.
H
San Francisco district..
_
Furniture:
Richmond district
Atlanta district...
St. Louis district
Kansas City district-_
.
_.
San Francisco district
Agricultural implements:
United States
Atlanta district
_
.._
Minneapolis district
Dallas district
San Francisco district. . . _.
Stationery:
New York district
Philadelphia district
Atlanta district
San Francisco district
Automobile supplies:
San Francisco district
Clothing:
New York district
St. Louis district
Machine tools:
New York district-Diamonds:
New York districtJewelry:
New York district
Philadelphia district
Electrical supplies:
Philadelphia district
Atlanta district
St. Louis district .
San Francisco district
-_.-.,.Millinery:
Kansas City district
Stoves:
St. Louis district
. .

20
-26.1
24.3
-26.5
13.3

-8.4
-24.2
3.7
7.9
-15.5

-10.4
-14.7
-20.0
0.2
8.9
3.9
-12.9
19.3
-19.8
-18.4
-7.8
-0.7

-2.3
-1.8
-5.2
—1.0
-8.3
5.5
-2.9
1.9
0.5
13.5
4.1
-5.7

3.9
7.6
-2.1
3.7
9.3
— 1.3
-0.6
14.3
5.6
13.0
8.2

-1.9
—1.1
7.7
0.9
—2.5
-0.1
1.1
12.2
4.2
5.8
10.8

29.2
-19.4
44 6
-15.1
—6.3

24.2
9.2
25.2
7.1
-8.0

14.3
—19.4
-6.8
56.8
21.7

28.5
17.7
83.7
6.2
7.1

3.0
3.4
—0.5
-9.7

-7.4
7.9
0.3
-3.2

-4.2

-9.0

60.3
-33.4

-0.4
54.5

-15.8

-16.3

-6.5

0.2

-54.7
-71.3

—0.6
-2.3

-29.5
-31.3
5.5
-3.3

-8.7
15.0
-3.6
4.0

17.2

-49.1

-4.1

-16.5

194

FEDERAL, RESERVE BULLETIN

MARCH, 1925

RETAIL TRADE BY REPORTING LINES
[Average monthly sales 1919=100]

3

II

•3-a

23
S3

tn

ll ll

Pi

03

CO

Xi

o
October., i
November
December

1923

•2*3

Bs

m

148
142
202

134
122
118

200
201
201

180
176
331

152
141
185

138
134
193

139
131
171

136
149
214

186
180
270

130
126
126

104

193
200
192

166
168
179

149
150
152

132
135
143

123
121
130

113
119
113

181
189
185

109
102
115
133
127
120
91
93
119
141
141
211

203
198
197
208
211
197
204
198
207
238
229
250

126
140
163
178
174
162
163
172
169
203
199
366

141
143
149
145
150
143
148
152
145
159
145
187

119
124
136
130
143
131
128
138
137
144
138
192

99
93
118
178
150
140
113
108
124
138
146
186

84
97

105
114
90
89
69
74
106
141
131
148

82
75
72
91
110
124
111
184

154
167
184
205
186
169
177
180
189
199
186
282

125
127
115
130
123
120
122
119
131
124
126
132

100
101
91
111
100
104
93
98
112
109
105
123

202
198
182
205
211
200
211
208
218
230
227
239

173
179
170
190
183
176
179
181
183
188
191
198

146
150
147
149
153
146
147
151
147
156
154
153

137
140
140
136
141
134
129
141
137
137
139
142

130
132
118
153
130
132
123
138
129
122
134
142

102
112
110
103
99
94
97
102
110
102
89
98

184
190
182
205
193
181
181
179
192
194
195
188

108

245

155

122

107

92

162

124

161

141

141

112

193

1924
January
February
March
April
May.
June
July
August
September
October
November
December
January

chains
ains)

Sales with seasonal adjustment

Sales without seasonal adjustment

1925
244

DEPARTMENT STORE SALES, BY FEDERAL RESERVE DISTRICTS
[Average monthly sales 1919=100]
Number
of reportinsr

District

firms

1925

1923

1924

1925

1923

1924

Boston
New York
-__.._

_ _

_._ _ .
.

Jan.

Dec.

Nov.

Oct.

Sept.

Jan.

Dec.

Jan.

Dec.

Nov.

Oct.

Sept.

Jan.

359

United States

Philadelphia
Cleveland
Richmond- _
AtlantaChicago
Minneapolis
Dallas
San Francisco

Sales with seasonal adjustment

Sales without seasonal adjustment

109

211

141

141

119

109

202

124

132

126

124

131

125

126

24
63
22
54
23
35
63
23
21
31

113
120
105
107
93
83
113
92
92
128

215
226
213
207
214
173
219
162
171
238

140
153
153
139
137
113
154
111
115
144

137
161
144
134
137
120
136
116
126
157

115
127
109
117
106
94
133
102
114
130

120
120
110
109
94
85
112
88
85
132

210
215
203
204
195
168
209
156
158
236

126
132
119
123
113
102
133
107
106
145

135
138
133
131
124
106
140
110
105
151

128
132
118
128
117
98
139
103
100
142

124
135
126
122
120
100
123
103
107
144

127
145
134
132
124
106
139
102
114
139

133
132
125
125
114
104
132
103
99
149

132
130
130
129
113
103
134
106
97
150

Dec.

DEPARTMENT STORE STOCKS, BY FEDERAL RESERVE DISTRICTS
[Average monthly stocks 1919=100]

District

Number of
reporting
firms

Stocks without seasonal adjustment
1925

1924

Stocks with seasonal adjustment
1923

Jan.

Dec.

Nov.

Oct.

Sept.

Jan

1925

Dec.

Jan.

1923

Dec.

Nov. I Oct.

Sept.

Jan,

Dec.

United States.

314

119

124

148

147

137

115

123

134

133

131

132

128

131

132

Boston
New York
Philadelphia .Cleveland
Richmond
Atlanta
Chicago
Minneapolis _.
Dallas
San Francisco

24
63
13
52
19
22
51
22
19
29

112
118
147
114
109
106
139
96
96
123

120
125
151
120
118
96
141
99
105
124

141
147
172
145
145
123
167
123
131
148

135
146
171
146
143
126
169
121
133
147

125
133
160
136
128
118
159
115
129
140

111
113
132
110
104
109
128
97
107
125

123
123
145
120
112
106
140
104
109
123

124
132
164
136
129
117
156
108
111
134

123
132
157
129
130
107
152
108
122
135

122
129
155
128
127
110
148
112
118
135

120
131
153
130
; 124
112
150
I 111
! 118
I
!

118
124
148
126
116
108
149
110
114
133

123
127
148
131
124
121
144
110
124
137

126
129
150
129
125
119
150
114
127
135




MARCH, 1925

FEDERAL RESERVE BULLETIN

195

FOREIGN BANKING AND BUSINESS CONDITIONS
CONTINENTAL CENTRAL BANKS IN 1924

To the financial statistics previously published in the BULLETIN is added with this issue
a condensed statement of the principal items
of 20 European central banks. Of these,
three—Germany, Poland, and Hungary—were
organized in the course of 1924 and consequently comparisons of the current statement
with that of a year ago can not be made.
Furthermore, comparisons of the statement of
one bank of issue with another are subject to
the limitations arising from differences in the
form of statements.
Despite these difficulties of exact comparison, two rather general observations can be
made covering banking developments in European countries during 1924—one applying to
countries in which expansion of note circulation was never extensive, and the other covering
countries in which note issues had reached
enormous volume. In the three European
countries whose exchange returned to gold
parity during the year, namely, Sweden,
Switzerland, and the Netherlands, there has
been a material reduction in the circulation
between January, 1924, and the same month
of the current year. In each case this has been
accompanied by a decline in gold holdings and
an increase in foreign bills and balances abroad.
In the case of both Sweden and the Netherlands the holdings of gold and foreign bills combined increased, while for Switzerland there has
been little change.
Among the countries which had previously
experienced an enormous inflation of currency,
but which have stabilized their exchanges,
there has recently been a considerable expansion of circulation. This is true of Austria,
which has possessed a stable currency since
September, 1922; and it is likewise true of
Russia, Poland, and Germany. This fact does
not show in the statement of the Reichsbank,
owing to the presence in circulation of other
forms of currency than the notes of the Reichsbank. The total monetary circulation in
Germany at the end of 1924 was 4,273,900,000
reichsmarks, against only 2,273,600,000 the
year before. In Russia the circulation of
chervontsi doubled during 1924. Such increases, extraordinary though they seem, are
not of themselves indicative of currency
inflation. They indicate rather that with the
cessation of inflation there was an actual




shortage of currency and that with the introduction of more stable monetary conditions it
was necessary rapidly to make up the shortage.
This expansion of circulation has not been
attended by any weakness of the exchange,
but it has been accompanied by a considerable
rise in prices, at least in Poland and Austria,
which has had the effect of bringing the gold
price indexes of those countries much nearer
the world level of prices. This phenomenon is
discussed at some length below, under " International Price Comparisons.'7
A similar situation appears to exist in a number of other countries which recently have
practically stabilized the foreign value of their
currencies and whose circulation shows a moderate expansion.

INTERNATIONAL PRICE COMPARISONS

The movement of wholesale prices throughout the world in 1924 was in general similar to
that of the United States. The price indexes
of practically every country for which figures
are available were higher last December than
a year before, the principal exceptions being
Australia, India, and Switzerland. In some
countries, such as Norway and Spain, the rise
was almost continuous during the year, while
in a larger number the course was more nearly
parallel to that of American prices. In the
latter countries there was a moderate decline
in the first half of the year, followed by an
advance which more than made up the previous
recession.
When these indexes are adjusted to a
common basis by allowing for the depreciation
of the different currencies in terms of the
dollar, it appears that in most European
countries the rise in the index on a gold basis
exceeded both the advance in the index
calculated in the domestic currency and
the rise in American prices. Usually this has
been due in part to a rise in the exchange
value of the currency without a corresponding
decline in domestic prices. In other instances,
such as Austria, which has had a stable rate
throughout the year, and in Poland, where the
gold zloty was introduced in May and where
the rise in prices amounted to nearly 25 per
cent, the advance in the gold index apparently
represents a general lifting of internal prices

196

FEDERAL RESERVE

BULLETIN

MARCH, 1925

toward a closer adjustment with prices in other taken, for what is tabulated below as the
Frankfurter Zeitung index for December recountries.
As a result of these movements, the gold- cords prices as of the first day of January.
price indexes of most countries were closer to But this does not explain the divergence bethat of the United States in December, 1924, tween the two indexes amounting to over 10
than they had been a year earlier. This per cent.
Notwithstanding these differences in price
tendency is indicated in the price movements of
a number of countries shown in the table levels, as measured by index numbers, these
below. In considering the data in this table indexes, when reduced to a common basis,
it should be kept in mind that these indexes show a world-wide tendency to move in the
are calculated by different methods and include same direction, and, with increasing stability
a varying list of commodities. For this reason of exchanges, a growing tendency to fluctuate
the figures, though they reflect price levels in in a manner similar to the movement of- prices
different countries with a fair degree of accur- in the United States.
acy, should not be used as a basis of comparing
The following table is presented to show the
price levels. For example, in December, 1923, price indexes of a number of European countries
the price index of the Canadian Department of compared with those of the United States in
Labor stood at 164, that of the Dominion December, 1923 and 1924, both in domestic
Bureau of Statistics at 154, and that of the currency and on the gold basis.
Federal Reserve Board for Canada at 144.
EUROPEAN
In the same month the Bureau of Labor Statis- PRICE INDEXES OF THE UNITED COUNTRIES COMPARED
WITH
STATES
tics index for the United States was 151 and
that of the Federal Reserve Board 163. The
Domestic currency
Gold basis
question of whether Canada or the United
States had the higher "price level" in that
De- DeCountry
month, therefore, depends entirely upon the
Decem- Decem- Change cem- cem- Change
(per
(per
ber, 1923 ber, 1924 cent) ber, ber, cent)
indexes selected for the comparison. On the
1923 1924
other hand, all three Canadian indexes show
similar trends during the year and about the United States:
Bureau of Labor
same degree of change. These trends are
Statistics
157
151
151 157
+4
distinctly parallel to those of the United States,
Federal Reserve
163
165
165 +1
163
Board
+1
and, adjusted for the exchange, the various
144
144
151
Bradstreet'si-_. P 151 +5
+5
125
143 +14
Austria
1,818,100 2,075,400 +14
Canadian indexes show about the same per- Belgium
129
146 +13
566 +4
545
140
centage rise as do the two American indexes. Denmark *
154 +10
234 +11
210
In making comparisons for other countries than England: of Trade
164 +12
146
170 +4
163
Board
152
180 +6
170
174 +14
Economist
Canada and the United States, even greater
140
174 +11.5
156
Statist
168 +20
Federal Reserve
allowance for differences in index numbers must
177
159
Board
+7.5
177
be made. For England there are several France:
Statistique G6n§rwell-known indexes, usually in agreement as to
142 +14
125
ale
507 +10
459
Federal Reserve
trend, but showing wide differences in level
116
Board
126
427
451 +6
+9
since 1913. For France both the index of the Germany:
Federal Statistical
Federal Reserve Board and that of the Statis126
Bureau
131 +4
126
131
+4
Frankfurter Zeitique G6nerale agree in showing a rise in prices
tung i
140
145 +3.5
140
+3.5
145
during the year; but reduced to a gold basis Hungary 2
122
791,500 2,309,500 + 186
154 +26
Italy:
the former stands about as far from the latter
Bachi
130
640 +11
143 +10
577
Milan Chamber of
as the latter does from the Bureau of Labor
Commerce
535
132 +10
120
+11
Statistics index for the United States. In Netherlands
154
160 +4
160 +10
146
244
156 +15
136
278 +14
the case of Germany, the Frankfurter Zeitung Norway
Poland
95
118 +24
95
118 +24
176
143 +15
116
198 +12.5
index and that of the Federal statistical bureau Spain
Sweden
___
150
164 +12
147
163
+9
both indicate a slight advance; the small Switzerland l
183
170
165
170
difference might be accounted for in part by the
1
2
First of January figure.
Figures for November, 1924.
varying dates on which the actual prices are




MARCH,

197

FEDERAL RESERVE BULLETIN

1925

FINANCIAL STATISTICS FOR PRINCIPAL FOREIGN COUNTRIES
(Bank figures are for end of month, except for London clearing banks, which are daily averages)
ENGLAND

FRANCE

[Millions of pounds sterling]

[Millions of francs]

January
Bank of England:
Issue department—
Gold coin and bullion
Notes issued
Banking department—
Gold and silver coin
Bank notes.__
Government securities
Other securities
Public deposits
Other deposits
Ratio of gold and note re- j
serve to deposit liabilities..
Bank notes in circulation
Currency notes and certificatesNine London clearing banks:
Money at call and short notice.._
Discounts and advances..
Investments..
,
Total deposits
Total clearings
Government floating debt:
Total
Treasury bills.
Temporary advances
Index of security prices (December,
1921=100)
Index number of foreign exchange
value of the pounds sterling

Janu- Decem- Novem- January
ber
ber
ary

Decem- Novem- January
ber
ber

127
146

127
146

127
146

126
146

2
22
50
74
23
107

2
18
69
104
9
166

2
23
41
82
19
112

2
19
48
70
16
105

18.4
98
281

11.5
101
296

19.3
101
285

17.5
104
280

112
1,063
296
1,653
3,771

113
1,046

303
1,656
3,448

102
1,045
307
1,628
3,317

100
1,053
346
1,674
3,467

786
631
155

846
626
220

788
624
164

827
651
176

117.5

117.5

117.4

112.2

126.5

128.7

128.1

125.4

ITALY
[Millions of lire]

Bank of France: I
Gold reserve
Silver reserve
War advances to the Government
Note circulation
Total deposits
Commercial bank loans
Commercial bank deposits
Clearings, daily average of Paris
banks
Price of 3 per cent perpetual rente

3,680
304

3,677
297

22,600 22,600
40,604 40,447
1,973 1,994
15, 342
15, 376

22,800
38,834
2,346
14, 816
14,704

3,681
305
21,200
40, 516
2,012

3,681
306

1,043
50.00

48.45

956
50.00

1,417
54.00

* Not including gold held abroad.
CANADA
[Millions of dollars]
1924

1923

Decem- Novem- Octo- December
ber
ber
ber
Chartered banks:
Gold coin and bullion »
Current loans and discounts.
Money at call and short notice...
Public and railway securities
Note circulation
Individual deposits
Gold reserve against Dominion notes.
Dominion note 2circulation
Bank clearings
Bank debits

52
1,123
315
536
166
2,166
139
262
1,709
2,825

1923

54
1,139
309
497
177
2,108
138
244
1,647
2,849
2

i Not including gold held abroad.
1924

1924

1925

1924

1925

55
1,170
269
554
173
1,708
123
240
1,772
2,963

54
1,183
291
427
180
2,040
114
249
1,574

Total for month.

JAPAN
[Millions of yen]

Decem- Novem- October December
ber
ber
Banks of issue:
Gold reserve
Total reserve
_. . .
Loans and discounts
Note circulation for commerceNote circulation for the State L
Total deposits
Leading private banks:
Cash
Loans and discounts
Due from correspondents
Participations .
Total deposits
State note issue
Index of security prices
1

Not including gold held abroad.




2,400
253.85

1,132
1,831
7,584
10,646
7,248
2,684

1,132
1,829
7,603
10,774
7,297
2,810

1,118
1,848
8,144
9,492
7,754
2,581

973
8,637
4,092

1,132
1,826
8,324
10,873
7,242
3,194

977
8,370
4,088
399
12,424
2,400
240.90

1,116
7,953
3,463
292
11,277
2,428
179.64

12,649
2,400
249.16

1925
JanuBank of Japan:
Reserve for notes i
Loans and discounts
Advances on foreign bills
Note circulation
Government deposits
Private deposits
Tokyo banks:
Cash on hand
Total loans
Total deposits
Total clearings

1924
Decem- Novem- Januber
ber

1,059
325
135
1,390
224
31

1,059
573
188
1,694
193
52

1,061
390
118
1,364
286
37

1,057
589
181
1,520
372
45

123
2,398
1,859
2,632

108
2,375
1,854
3.561

121
2,620
1,845
2,808 I

118
2,372
1,828
1,975

i Gold abroad, gold coin and bullion in Japan.

198

FEDERAL RESERVE BULLETIN

MARCH, 1925

GERMANY

LATVIA

[Millions of reichsmarks]

[Thousands of lats]
1924

1925
January
Gold
Reserves in foreign exchange. Bills of exchange and checks _
Miscellaneous assets
Note circulation
. _
Deposits

834
278
1,771
1,507
1,901
747

_ ._

Decem- November
ber
760
253
2,064
1,654
1,941
821

695
232
2,290
1,655
1,863
704

1924

1925

694
231
2,340
952
1,781
709

January

January
Gold
Foreign Exchange Reserve
Bills
Loans
Note circulation
Government deposits
Other deposits

December

ber

23, 587
40, 876
46, 860
50, 831
27, 897
80, 335
45, 428

October

23,600
42,984
44, 798
48, 660
30, 727
77, 289
44, 256

23, 604
48, 286
43, 289
44, 789
26,000
78, 529
50, 211

16, 770
49,927
20, 985
21, 974
23,000
39, 991
43, 785

30,
62,
36,
92,
31,

779
258
681
982
349

30, 713
61, 241
38, 097
89, 344
40,126

16, 827
53, 583
19,010
63,140
24, 358

505
120
112
172
935
59

480
143
48
168
933
20

582
236
25
149
1,008
30

PORTUGAL
[Millions of escudos]

LITHUANIA
1924

Decem- November
ber
9
348

Gold
Balances abroad .
Bills
Note circulation
Deposits

1,762
76

9
319
164
1, 746
72

[Thousands of litas]

1923
October

December

9
305
173
1,747
61

9
37
152
1,396
41

Gold
Foreign exchange reserve
Loans and discounts
Note circulation
Deposits

30,
62,
38,
94.
29,

947
667
062
708
816

NETHERLANDS
[Millions of florins]

RUMANIA
[Millions of lei]
563
7,338
10, 787
19 487
6,818

Gold
Bills
Government loan. Note circulation
Deposits

563
7,143
10, 793
19, 227
7,132

555
5,825
11,561
17, 941
6,802

505
115
125
157
893
63

Gold
Domestic bills __
Foreign bills
Loans
Note circulation
Deposits

BELGIUM

NORWAY

[Millions of francs]

[Millions of kroner]

1925

1924

January

Decem- Novem- January
ber
ber

272
30
1, 545
7,648
258

Gold
Foreign bills and balances abroad
Bills
Note circulation
. . . __.
Private deposits _.
_...._

272
18
1,479
7, 590
435

270
18
1,312
7, 603
293

270
18
1, 353
7, 590
192

Gold
Loans and discounts.
Balances abroad
Note circulation
Deposits:
State
Private

17
84

POLAND

DENMARK
[Millions of kroner]
Gold
Bills
Loans
Foreign bills and balances abroad
Note circulation
Current accounts

147
447
15
365

209
214
56
29
456
67

[Millions of zlote]
209
187
61
43
478
82

210
231
59
26
479
72

210
230
58
17
446
79

1925
January

1924
Decem- November
ber

October

RUSSIA
[Note issuing d e p a r t m e n t .
Gold
Foreign currency
Loans and discounts
B a n k notes




T h o u s a n d s of chervontsi]
14 914
10,248
31, 289
55 025

14,195
11,165
34, 013
59, 597

13, 140
10,139
•33, 749
57, 719

Gold
Foreign exchange, etc
Bills
8,754 Note circulation
6,502 Current accounts, etc.:
14,592
Treasury
30, 300
Private

__

104
242
270
553

103
269
257
551

103 !
247
250
498 !

101
242
245
504

3
50

6
58

40 ;
43 !

4
48

MARCH,

199

FEDERAL RESERVE BULLETIN

1925

SPAIN

FINLAND

[Millions of pesetas]

(Millions of F . m a r k s )

1925

Janu- Decem- Novem- January
ber
ary
ber

Janu- Decem- Novem- January
ber
ary
ber
Gold

2,536
31
926
4,529
957

Balances abroad _
Bills discounted
Note circulation
Current accounts

2,535
33
909
4,535
912

1924

1925

1924

2,535
30
813
4,474
921

2,528
30
964
4,336
1,039

SWEDEN

Gold

. .

43
874

43
8 4

43
617

43
674

473
598
1,205

486
540
1,250

496
766
•1,228

529
620s
1,279

53
284

. . . .

Balances abroad, etc
Finnish and foreign government
securities .
Domestic bills
Note circulation
Current accounts:
Private
Treasury

46
158

79
213

63
365

[Millions of kronor]
GREECE
234
108
390

Balances abroad and foreign bills
Domestic bills
Government securities:
Swedish
Foreign
Note circulation
Deposits
-

_.
-.

237
100
455

239
56
328

13
38
537
304

14
41
537
133

14
74
509
232

(Millions of drachmae)

272
41
346

13
43
483
291

Gold

SWITZERLAND
[Millions of francs]

Decem- Novem- Octo- December
ber
ber
ber

Gold and balances abroad.
Government loans and securities
Discounts and loans
Note circulation
Private deposits:

2,182
3,987
2,528
4,826

506
304
52

506
311
70

505
284
67

537
259
51

70
825
164

Gold

88
914
120

64
859
123

41
884
74

2,399
3,979
2,407
4,754

2,084
4,196
1,815
4,681

1,779
1,066

Sight

Time
Domestic bills
Loans
Balances abroad and due from correspondents
Note circulation.
Deposits
-,

1923

1924

1,669
1,070

1,701
1,008

HUNGARY
( M i l l i a r d s of H . crowns)
1924

1925

Janu- Decem- Novem- Octoary
ber
ber
ber

AUSTRIA

Gold.
Foreign bills (reserve)
Other foreign bills
Domestic bills, etc
Note circulation
Deposits..

111
3, 227
1, 985
1, 544
7, 902
438

510
1,967
1,849
4,450

Gold

(Milliards of krone)
111
4, 771

111
4,312

91
3,811

1, 880
8, 388
553

1,944
8,072
485

Foreign exchange
Bills, etc
Note circulation...
Current accounts:
Public
Private
-.

1,251
6,735
537

-. . . .

503
1,659
1,872
4,635

2,012
127

1,865
204

1,665
264 }

1,465

1924

1925

(Millions of Cz. K.)
1, 029
643
l t 083
553
7, 917
497

508
1,816
1,985
4,443

YUGOSLAVIA
(Millions of dinars)

CZECHOSLOVAKIA

Gold and silver
Balances abroad and foreign currency.
Bills discounted
Advances on collateral
_.
Note circulation
Checking accounts

533
1,933
1,977
4,514

Janu- Decem- Novem- Januber
ary
ary
ber
1, 050
737
1, 314
625
8, 810
1, 164

1, 051
714
1, 115
666
8, 501.
676

1,038
1,126
722
780
8,810
719

Gold

Foreign currency and balances abroad
Bills..
Note circulation
_ _
_
Current accounts

72
375
1,208
5,795
345

72
397
1,316
6,034
247

72
385
1,289
6,002
307

69
365
1,297
5,774
263

DISCOUNT RATES OF 27 CENTRAL BANKS
[Prevailing rates with date of last change]
Country
Austria
Belgium
Bulgaria
_
Czechoslovakia
Danzig
Denmark

Rate
P.ct.
13
10

N o v . 6,1924
Jan. 22,1923
A u g . —, 1924

6
10
7

M a y 28,1924
Sept. 11,1924
Jan. 17,1924

Changes.—German




In effect
since—

Country

Rate

P.ct.
England
5
Esthonia
9
Finland.
9
France
7
Germany. __ 9
Greece
IV*
Hungary
12H

In effect
since—
Mar.
May
Mar.
Dec.
Feb.
Jan.
Sept.

5, 1925
19,1924
6,1924
11,1924
26,1925
14,1923
17,1924

Country
India
Italy
Japan
Latvia
Netherlands
Norway..
Poland

Rate
P.ct.
7
5H

In effect
since—

Jan.
July
8.03 N o v .
8
Feb.
4
Jan.
Nov.
10
Nov.

22,1925
11,1922
18,1919
16,1924
15,1925
26,1924
28,1924

Country
Portugal
Rumania ...
South Africa
Spain
Sweden
SwitzerlandYugoslavia. .

Rate

I n effect
since—

P.ct.
9
6
5
5V2
4
6

Reichsbank from 10 to 9 per cent on F e b r u a r y 26, 1925; B a n k of E n g l a n d from 4 to 5 per cent, M a r c h 5, 1925.

Sept.
Sept.
Jan.,
Mar.
Nov.
July
June

12,1923
4,1920
1925
23,1923
9,1923
14,1923
23,1922

200

FEDERAL, RESERVE BULLETIN

MARCH, 1925

FOREIGN TRADE OF PRINCIPAL COUNTRIES
UNITED STATES
[Thousands of dollars]

1925,
January

FOREIGN COUNTRIES

1925,
cumulative
1924,
Decem- through
last
ber
month
noted

1924,
cumu- I
lative :
through
last
month
noted

IMPORTS

By classes of commodities:
Total
Crude materials for manufacturing
Foodstuffs in crude condition
Foodstuffs partly or wholly
manufactured,__.
Manufactures for use in
manufacturing
Manufactures ready for consumption
Miscellaneous
By countries:
Total Europe
__.
France
Germany
Italy
United Kingdom
Total North America
Canada
__
Total South America
Argentina
Total Asia and Oceania
Japan
Total Africa

346,184 : 333,562

346,184

131,701

147, 597

106,434

38,066

40,098

38,066

32, 584

32,336 '

27,896

32,336

38, 202

63,104 ,

62,692

63,104

58,044

62,813 !
2,268 j

68,990
2,185

62,813
2,268

57,605
2,637

102,803 110,721
13,924
14, 436
11,402 = 12,793
8,463
9,084
1
39,349
35,178
77, 546 , 69,136
32,950
36,489
42,253 ; 44,524
6,523
6,294
112,928
98,017
33,284
39, 626
10,651
11,165

102,803
13,924
11,402
8,463
35,178
77,546
32,950
42,253
6,523
112,928
33,284
10,651

87,989
10,787
11, 246
5,992
30,835
75,167
31, 954
37,967
4,099
82,679
34,812
11,704

446, 577

445,716

446,577

168,194

168,273

168,194

25,873

39, 516

25,873

France (million francs):
Imports
Exports
Germany (million gold marks):
Imports
Exports...
United Kingdom (thousand £
sterling):
Imports
Exports
Reexports
Canada (thousands of dollars):
Imports
Exports
Japan (million yen):
Imports
Exports
__
South Africa (thousand £ sterling):
Imports
Exports
'

295, 506

147,597

1925,
January

54,044

54, 389

54,044

58, 271

53, 704

58,271

133,059
997
6,139

122,093
676
7,066

133,059
997
6,139

269,415 273, 342
29,210 . 27,862
49, 615 : 50,671
22,668
23,914
113,136 115, 884
77, 948 • 76,398
37, 063
38,123
31, 745
29, 752
12,893
10, 702
60,885
58, 362
27,875
26,451
6,584
7,026

269,415
29,210
49, 615
22,668
113,136
77,948
37,063
31,745
12,893
60,885
27,875
6,584

3,173
3,563

4,118
4,042

3,173 ;
3,563 !

2,882
2,697

1,372
697

1,309
740

1, 372 |
697 ;

568
431

128,907
69,051
13,284

101,187
64, 235
13,311

:

58, 376
75,999

66,568
70,355

58,376
75,999

60,946
125,462

226
147

185
180

226
147

214
111

5,489
4,778

5,845
7,928

5,489
4,778

4,932
7,366

Decem- November
ber

Denmark (million kroner):
Imports
225
Exports
_
179
132,848 Italy (million lire):
Imports
_
2,495
Exports
1,778
13,810
Netherlands (million guilders):
220
Imports
59,315
Exports.
136
54;619 Norway (million kroner):
139
Imports
Exports.
95
127,826
639 Sweden (million kroner):
119
Imports
6,115
124
Exports
202, 668 Brazil (million milreis): i
262
Imports
23,195
Exports
__!
387
40,966
16,858 Australia (thousand £ sterling):
12,389
Imports
84,863
Exports
20, 639
74,557
40,752 India (million rupees):
172
Imports
23,874
Exports
361
8,959 !
395,172

87,034
47,637
7,039

131,610 • 128,907
69,308
69,051
12,052
13,284

1924

EXPORTS

By classes of commodities:
Total
Crude materials for manufacturing.__
Foodstuffs in crude condition
_
_
Foodstuffs partly or wholly
manufactured
Manufactures for use in
manufacturing
_.
Manufactures ready for consumption
Miscellaneous
Reexports
By countries:
Total Europe
France._____
_.
Germany
___
Italy
United Kingdom
Total North America
Canada
Total South America
Argentina
_.
Total Asia and Oceania
_.
Japan
Total Africa

1925,
1924,
cumu- ! cumu1924,
lative
lative
Decem- through through
ber
last
last
month month
noted
noted

1924

1923

212
191

2,361
2,152

2,031
1,694

1,646
1,414

19,387
14,313

17,225
11,059

218
159

2,364
1,661

2,009
1,303

144
103

1,548
1,064

1,343
833

129
123

1,402
1,252

1,295
1,142

261
357

1,977
2,543

1,606
2,196

12,275
16, 537

145,463
140,194

136,273
110,690

225
336

2,437
3,824

2,269
3,413

:

1
Figures for August and September and cumulative through September, 1924, and 1923.

The following table presents the Federal Reserve Board's index numbers of the monthly volume of foreign
trade of the United States and monthly fluctuations in ocean freight rates prevailing between this country
and principal European trade regions. For methods of construction of these indexes reference may be made
to the FEDEKAL RESERVE BULLETINS for July, 1920, and August, 1921.
3N TRADE INDEX
[1913=100]
1925

January
Imports:
Total
Kaw materials
Producers' goods.
Consumers' goods.
Exports:
Total
Raw materials
Producers' goods.
Consumers' goods




217.1
186.4
296.9
134.7
127.8
123.2
181.2
117.2

INDEX OF OCEAN FREIGHT RATES
[January, 1920=100]
1924

DeNoOctocember vember ber
194.7
185.4
226.3
153.2
136.7
135.3
186.0
117.4

186.7
150.8
258.0
138. 0
155. 6
166. 6
184.9
104. 7

198.5
133.7
308.0
152.2
157.8
164.4
174.7
127.8

1925

January ;

1924

Febru- Janu- DeNo- February
ary cember vember ary

182.2 : United States Atlantic ports
149.4
to239.1
United Kingdom
168.4
French Atlantic

27.8
27.6

29.8
27.6

29.7
27.8

32.2
28.8

29.9
25.3

101.0
79.3
162.2
142.9

25,1
23.5
20.7
25,5

25.6
23.5
23.8
26.9

25.3
23.5
23.5
26.7

27.5
23.5
22.9
28.1

25.0
23.4
19.9
25.8

Netherlands and
gium
Scandinavia Mediterranean
All Europe

Bel-

201

FEDERAL RESERVE BULLETIN

MARCH, 1925

INDUSTRIAL STATISTICS FOR FOREIGN COUNTRIES
ENGLAND

GERMANY

1925

1924

1924

Janu- Decem- Novem- January
ber
ber
ary
Production:
Coal (thousand long tons)
Pig iron (thousand long tons)
|
Steel ingots and castings (thou- j
sand long tons)
|
2
Raw cotton, visible supply j
(thousand bales)
I
Exports:
Iron and steel and manufactures
(thousand long tons)
Cotton manufactures (million
yards)
_
Coal (thousand long tons)
Imports:
Raw cotton (million pounds)
Raw wool (million pounds)
Raw hides, wet (thousand
pounds).
Transportation:
Ships cleared with cargo3 (thousand tons).
_
__'
Freight-train receipts (thousand
pounds sterling)
Freight-train traffic (million tonmiles)
Unemployment:
Among trade-unionists (per cent).
In insured trades (per cent)
Capital issues (thousand pounds
sterling)
1
2
8

19,958
569

19,743 126,024
580
584

20,788
637

674

694

605

551

1,264

1,067

1,138

325

303

312

338

406
4,366

413
5,168

333
4,759

357
5,441

297
79

277
68

8,472

6,565

5,352

5,174

207
37 |

222
61

8,910

8,074

1,565 !

1,434

Exports:
Iron and its manufactures
(metric tons)
357,560 278, 049
Machinery and electrical supplies (metric tons)
32, 793
37,939
Dyes and dyestuffs (metric
11,243
tons)
12,090
Coal (metric tons)
889,310 637,795
Imports:
Raw wool (metric tons)
4,371
Silk, half manufactured (metric
614
tons)
_
531
25,020
Cotton (metric tons)
42,455
875,'"" ., 023,593
Iron ore (metric tons)
1,109,446 ! 180,907
.,
Coal (metric tons)

5,126

8,744 |

Decem- Novem- Octoberl D l c f i n '
/
ber
ber
ber

6,338

5,495

9.0
11.5

9.2
10.9

8.6 |
11.0 |

8.9
11.9

18,382

27,712

22,122 i

6,995

Ship arrivals in Hamburg (thousand net reg. tons)..
Unemployment:
Applicants for every 100 positions
Number receiving State aid
Business failures--_

1,462

1,391
314
592,479
793
101.9




5,958

434
374
24,018
22,302
172,060i
70, 299
979,779;!, 541, 716

1,378

1,179

82.6

111.6

1924

Janu- I Deeem-Novem- Januber
ber
ary

Janu- Decem- Novem- January
ary
ber
ber

1
Coal and lignite, including Lorraine and the Saar.
* Bale of 50 kilos. End-of-month figures.
* End-of-month figures.
4
Five weeks.

5,056|

figures.
2 i n millions of gold marks.
CANADA

1924

Production:
5,024
4,740
Coal i (thousand metric tons)
634
Pig iron (thousand metric t o n s ) . .
665
Crude steel (thousand metric
558
tons)..
605
2
Cotton stocks at Havre (thousand bales)
1207,324 177,788 123,345
Exports:
;
Total volume (thousand metric
2,949
2,512
tons)
_. 2,322
Imports:
Total volume (thousand metric
4,360
tons)
__
4,731
3,522
Raw cotton for consumption
(metric tons).__
47,372 34,817
Raw silk (metric tons)
_.
493
1,762
2,030
2,547
Coal (thousand metric tons)
Transportation:
Ships cleared with cargo (thousand tons)
_
2,522
2,607
R a i l w a y receipts
(thousand
francs)
_
<84?,270 681,005
Freight-car loadings (average
61,815 64,284 64,256
daily number)
Unemployment:
118
N u m b e r in Paris receiving aid 3 _.
278
Demands for employment not
7,829
filled (number men in France) 3 . 8,563 6,452

37,694

7,479
8,739
39 3701 29638
339, 370 129,638

299
650
529,161 436,607 1,439, 780
621
29
616
74.9
147.9
31.

1925
1925

134,411

29, 763

Janu- Decem- Novem- Januber
ber
ary
ary

1 Last week of month
FRANCE

189,671

1924

1925

Capital issues 2
Index of security prices: 1
25 domestic stocks, Jan. 4,
1924=100

Five weeks.
End-of-month figures.
Figures include Irish Free State.

1923

4,928
586
541
133,851
1,768
3,927
31,779
271
1,824

Production:
Pig iron (thousand tons)
Crude steel.__
Railway receipts (thousand dollars)..
Unemployment among trade-unionists (percent)
Business failures (number) 1
Authorized capital of new companies
(thousand dollars) 1
Bond sales (thousand dollars)
Security prices, average market
prices, 20 industrial stocks
Receipts of wheat at Fort William
and
Port
Arthur
(thousand
bushels)
Receipts of livestock at stockyards in
Toronto and Winnipeg:
Cattle (number)
Hogs ( n u m b e r ) . . .

596
8,454

54

9.7
49

7.5
64

14, 280
44,643

17,168
43,808

13, 602
28, 514

17,811
86,361

105.6

102.0

99.9

92.3

20,341

42, 660

12,662

53,774 78, 533
107 6891 79237
107,6891 79,237

41,800
81,037

1923

I Decen Novem- October
ber
1 ber

519,061
57,362

64

1924

2,238

64
41
31,412

28!
27
28, 305

December

Exports:
Planks and boards (million feet).. 180,831 189,508 220,255 161,597
Preservedfish(thousandpounds). 14,4 65 17,252 20,136 10,478
Wood pulp (thousand pounds)-. 145,671 177,780 152,812 143,347
29,847 26,982 14,288 57,378
Wheat (thousand bushels)
Imports:
1,354
1,408
1,416
1,416
Coal (thousand tons)
7,920 11,097
Raw cotton (thousand pounds) __ 14,636 15,765
2,169
2,009
2,023
Machinery (thousand dollars)
2,207
1 Average for weeks reported.

202

FEDERAL RESERVE BULLETIN

MARCH, 1925

PRICE MOVEMENTS IN PRINCIPAL COUNTRIES
The tables below give the all-commodities
and group index numbers of wholesale prices in
the five countries included in the Federal Reserve Board's indexes. In the first table the
all-commodities index for each country is shown
both in terms of paper currency and converted
to a gold basis. The latter figure takes into
account the depreciation of the foreign currency
in terms of the American dollar (or gold) and the

series indicates relative price levels in the several
countries when all prices are expressed in dollars.
The wholesale price index of the Bureau of
Labor Statistics for the United States, with
the group indexes shown by that bureau and
the regrouping made by the Federal Reserve
Board, has oeen transferred from this section to
the section on business conditions in the United
States and appears on page 166 of this issue.

FEDERAL RESERVE BOARD WHOLESALE PRICE INDEXES FOR ALL COMMODITIES i
On paper currency basis
England

France

Canada

100
211
239 |
149
158
165 |
159 |

100
241
310
198
165
170
176

100

512
344
319
394
446

100
207
250
167
149
150
147

100
235
240
181
182
188
200

159
159
163
163
163
163

168
164
165
166
171
177

391
391
404
404
416
427

151
150
149
147
145
144

163
163
160
158
156
154
156
158
156
159
160
165

178
180
180
181
177
174
174
173
172
175
176
177

445
469
483
428
428
442
440
442
436
442
449
451

146
148
147
143
143
145
147
149
146
148
148
149

168 |

178

455

157

Year and month
1913,
1919,
1920,
1921,
1922,
1923,
1924,

average
average
average
average
average
average
average

-

-

-

Converted to gold basis

-

Japan

United
States

England

France

Canada

100
211
239
149
158
166
159

100
219
233
156
150
159
160

100

100
198
223
150
147
147
145

100
241
242
175
175
183
166

183
179
191
196
199
205

159
159
163
163
163
163

158
154
154
154
154
159

119 I

147
146
145
145
142
140

179
176
186
192
193
193

205
200
200
201
200
189
191
196
198
206
210
209

163
163
160
158
156
154
156
158
156
159
160
165

156
160
158
162
158
155
156
160
158
161
167
171

108 |
117 !
137
128
120
117
125
120
120
123
126

142
144
143
140
141
142
146
149
145
148
148
149

185
182
172
165
161
156
158
163
161
161
162
161

168

175

127

156

1923
July
August
September
October
November
December

-

-

-

187
133
136
124
121
i

115 j
123
125
119
116 |
j

1924
January
February
March
April
May
June
July"
August
September
October
November
December

-

-

--

-•

Japan

-

-

-•-—
--1925

January

-

107 I

FEDERAL RESERVE BOARD WHOLESALE PRICE INDEXES FOR GROUPS OF COMMODITIES 1

Year and month

All
commodities

Grouped by stage of
manufacture

Grouped b y
origin

ConRaw Pro- summa- ducers' ers'
terials goods goods

Export
DoImmes- ported goods
tic
goods goo' $

163
158
156
159
160
165
168

169
164
161
165
165
171
176

156
149
148
146
147
151
151

160
156
156
158
162
165
167

165
160
158
160
161
166
170

143
139
143
146
150
149
147

196
177
163
167
169
171
175

178
173
172
175
176
177
178

178
171
168
171
174
175
176

169
165
166
168
169
171
171

186
184
183
187
187
187
188

177
173
173
175
176
177
178

179
174
169
174
178
179
179

186
176
172
174
178
180
179

445
442
436
442

459
456
464
469

469
455
441
442

416
419
402
411

423
427
420
423

548
511
516
534

489
451
443
454

ENGLAND

1924—January
August
September—
October
November
December
1925—January
FRANCE

1924—January
August
September
October.

Grouped by stage of
manufacture

Grouped b y
origin
Ex-

ConDoRaw ProIm- port
ma- ducers' sum- mes- ported goods
ers'
tic
terials goods goods goods goods

FEANCE—contd.

UNITED STATES

1924—January
August
September-_.
October
November
December
1925—January

Year and month

All
commodities

1924—November
December ___
1925—January.. . . . .

449
451
455

478
480
480

439
440
442

424
424
435

430
431
436

541
545
546

461
463
464

146
149
146
148
148
149
157

128
134
133
137
137
139
149

166
153
153
151
155
153
152

166
169
162
161
161
163
169

143
148
145
147
147
148
157

166
157
155
157
160
159
159

133
152
150
160
161
164
180

205
196
198
206
210
209

222
206
198
211
217
216

203
194
202
212
216
218

196
192
196
202
204
201

204
194
200
208
212
210

211
207
189
200
202
202

215
194
200
204
213
214

CANADA

1924—January
August
September
October
November
December
1925—January
JAPAN

1924—January
August
September
October
November
Decembe*
1925—January

i Complete descriptions of these index numbers may be found in the following issues of the BULLETIN: United States—May and June, 1920,
June, 1921, and May, 1922; England—February, 1922; France—August, 1922; Canada—July, 1922; Japan—September, 1922.




MARCH,

203

FEDERAL RESERVE BULLETIN

1925

WHOLESALE PRICE LEVELS IN PRINCIPAL COUNTRIES
ALL-COMMODITIES INDEX NUMBERS
[Pre-war-100]
Europe
Year and
month

1924
January
February
July
August
September
October
November
December

Austria

Bel- i Bul- Czecho- Denslogium I garia vakia l mark 1

1,874,800
1,915,800
1,913,300
2,013,600
1,937,300
2,008,600
2,076,600
2,075,400

580
642
566
547
550
555
569
566

1925
January
February

2,711
2,658
2,737
2,853
2,848
2,988
3,132
3,181

210
223
220
233
231
234
231
232

165
167
163
165
167
170
170
170

234
234

171

Spain

178
180
182
182
184
186
181

161
162
157
160
163
167
167
168

I

494
544
481
477
486
497
503
507

NorItaly Nether- way Poland Russia2
lands (Oslo)

Gold
basis
123
131
145
145
142
144
154

117.3
116.2
115.0
120.4
126.9
131.2
128.5
131.3

514

1,071
1,078
1,085
1,111
1,117
1,114
1,120

138.2

North and
South America

United
States
Switzer- (Bureau Canada
Sweden land^ of Labor
Statistics)

Year and
month

1925
January.-.
February..

1,013
1,024
1,045

559

Europe—C ontinued

1924
January
|
February
July
August
September
October
November....
December___

974
999
953

GerEngmany; I
land;
Federal] HunBoard Finland France Statis- gary
of
tical I
Trade
Bureau \

571
573
567
572
580
602
621
640

156
158
151
151
158
161
161
160

250
262
271
274
275
276
277
278

107
112
102
109
112
116
117
118

657

160

279
281

120

Africa

Asia and Oceania

Peru

Australia

China
(Shanghai)

Dutch
East
Indies

180

183
183
173
171
170
169
169
170

151
152
147
150
149
152
153
157

157
157
153
157
154
157
158
161

190
189
192
193
190
192
191
195

174
170
163
162
162
163
163
165

156
160
152
149
149
153
155
157

171
170

160 !

165

199
194

163

160
159

174
177
177
175
173

India
(Calcutta)

209
207
184
184
180
177

Japan
New
(Tokyo) Zealand

172
178
179
180
179
181
180
176

211
208
195
200
206
213
214
213

171

213

175
180
180
181
181
180
181
181

Egypt
(Cairo)

133
135
132
143
148
156
158
156

South
Africa

131
125
"133

157

1
8
First of month figures.
Wholesale price index of industrial products on the base of 1913=100. First of the month figure.
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 the office of the Division of Research and Statistics of the board, and may be
had upon request.
Wherever possible the indexes nave been shifted from original bases to a 1913 base. Further information as to base periods, sources, number of
commodities and period of the month to which the figures refer may be found on page 48 of the January, 1924, issue of the BULLETIN.




204

FEDERAL RESERVE BULLETIN

MARCH, 1925

RETAIL FOOD PRICES AND COST OF LIVING IN PRINCIPAL COUNTRIES
INDEX NUMBERS OF RETAIL FOOD PRICES
[Pre-war=100]

European countries
United
States
(51
cities)

Other countries

EsAustria Bel- Bul- Eng- tho- France Ger- Italy Neth- Nor- Switerzer(Vienna) gium' garia land^ nia* (Paris) many (Mi- lands way land
lan)

Canada i

Aus- India New
Zeatralia (Bom- land
bay)

South
Africa

1923

October
November
December

147
148
147

1925
January
February

2,219
2,365
2,547

172
173
176

106
104
107

349
355
365

151

502
503
499

145
149
149

217
221
226

162
166
167

144
144
145

157
157
156

147
147
152

146
147
147

117
120
118

1,352,700
1,382,100
1,393,000
1,383,800
1,416,900
1,445,700
1,436,200
1,565,200
1, 562,300
1,584,500
1,619,800
1,624,800

126
130
128
121
113
118
123
124
127
135
140
139

2,674
2,537
2,497
2,501
2,438
2,687
2,626
2,727
2,723
2,856
2,994
3,040

175
177
176
167
163
160
162
164
166
172
179
180

111
113
115
115
111
111
115
119
116
110
110
113

376
384
392
380
378
370
360
366
374
383
396
404

127
117
120
123
126
120
126
122
125
134
135
135

515
516
523
524
519
518
508
507
514
543
567
579

150
151
152
152
151
151
150
150
152
154
156
157

230
234
241
240
241
241
248
257
261
264
269
274

168
167
167
165
165
168
168
166
166
169
170
170

145
145
143
137
133
133
134
137
139
139
141
143

155
153
152
150
151
149
148
147
146
146
147
148

154
151
147
143
143
147
151
156
156
156
157
156

150
149
150
150
150
150
148
146
145
146
148
150

120
122
122
123
122
120
117
117
117
120
122
121

151

May .

June
July
August
September...
October
November...
December

117
121
124

146
144
141
138
138
140
140
141
144
146
147
149

1924
January
February
March
April

1,263,600
1,264,700
1,286,000

1,644,600
1,661,800

408

137

168

145
145

148

152
152

178
176

157

120

INDEX NUMBERS OF COST OF LIVING
European countries
Massachusetts

Austria
(Vienna)

Belgium

Czechoslo- Engvakia i land*

Fin- France Ger- Italy Neth- Nor- PoSwe- Swit- Can- Aus- India South
zererland (Paris) many (Mi- lands way land Spain den land ada 1 tra- (Bom- Africa
lia bay)
lan)

1923
October
November.
December..

158
157
158

1,102,700
1.114.900
]L, 124,900

458
463
470

901
898
909

175
175
177

1,193
1,190
1,170

1924
January
February..
March
April
May
June
July
August
September.
October
November.
December..

157
156
156
151
154
154
155
155
157
157
157
158

L, 174,000
L, 194,000
L, 199, 600
L, 197,300
L, 220,900
L, 244,200
L, 239,100
L, 314,200
L, 316, 200
:L, 330,700
L, 357,400
, 365,000

480
495
510
498
485
492
493
498
503
513
520
521

917
917
908
907
916
923
909
897
908
916
922
928

177
179
178
173
171
169
170
171
172
176
180
181

1,155
1,143
1,141
1,121
1,121
1,147
1,154
1,198
1,199
1,219
1,222
1,217

1925
January
February. _

158

1, 376,200
1,382, 500

521
517

931

180

1,199

1

Other countries

345

365
366
367
377

61
126
125

502
502
499

110
104
107
112
llo
112
116
114
116
122
123
123

510
517
521
522
518
518
512
511
516
546
563
573

124

178

231

179

236

173

244

176

258

181

266

47
55
80
121
127
126
127
126
124
127
135
141
150
152
153

177

17S
176
190
180
195
173
180
186
182 "In"
180
189
185 " l 7 4 '
175
190

130

179

First of the month'figures.

164
167
168

149
150
150

152

152
153
157

132
133
133

169
168
168
166
166
168
169
166
166
169
170
170

150
149
148
150
145
143
143 "149"
143
145
146
146
147
147

158
156
153
150
150
153
156
160
160
160
161
160

133
134
134
134
134
133
132
132
132
133
134
133

149
149

174
177
182

157
157

133

21921=100.

Information as to the number of foods included and the items entering into the cost of living indexes is available in the board's office. The
original bases of the indexes have been shifted to July, 1914, wherever possible.




205

FEDERAL RESERVE BULLETIN

MARCH, 1925

BANKING AND FINANCIAL STATISTICS
FEDERAL RESERVE BANKS
AVERAGE DAILY CONDITION FOR JANUARY, 1925, AND DECEMBER, 1924
[Amounts in thousands of dollars]
Total earning assets

Total cash reserves

January

January

Federal reserve notes
in circulation

Reserve percentages

December

January

December

January

December

Total deposits

Federal reserve bank

Boston
New York
Philadelphia-.
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco

December

January

101,042
294,557
74,027
124, 709
32,680
25,322
138,645
42,430
28,183
49, 737
49,431
111,314

112,368
365,813
88,304
136, 643
34,518
33,829
150,874
44, 934
31,328
54, 679
51,711
115,705

245,088
977,395
234,489
256, 595
123,094
177,168
388, 747
103, 561
102, 903
114,314
74,873
274,450

245,869
941,996
236,295
270,314
131, 744
174,400
383,465
100, 680
103,740
109, 201
76, 554
282,451

141,612
899, 025
131,363
178,287
68,898
67,105
320,256
83,989
58,314
92,432
66,103
169, 527

138,686
899,828
128,863
177,483
68,159
64, 731
315, 770
80, 503
59,355
90, 243
63,498
168,227

191,272
358,065
156, 295
188,817
80,873
139,857
189,112
55, 705
68, 689
69, 501
51,480
204,690

207,709
382,558
173,893
209,295
89,592
143,811
199,720
57,972
72, 599
73,299
57,383
216,487

73.6
77.8
81.5
69.9
82.2
85.6
76.3
74.1
81.0
70.6
63.7
73.3

71.0
73.5
78.0
69.9
83.5
83.6
74.4
72.7
78.6
66.8
63.3
73.4

1,072,077
1, 000, 668
1,191,191
1,304,165
3,034,655
3, 043,952

__..

Total: 1925-24
1924-23.
1923-22.
1922-21.
1921-20.
1920-19.
1

December

1,220,706
1,200,351
1,304,433
1,517,194
3,313, 502
3,034,224

3, 072,677
3,241, 596
3,201,969
3,043,984
2,287,274
2,098,498

3,056, 709
3,168,984
3,166, 019
2,994,982
2,221,573
2,149,653

2,276,911
1,979,913
1,981, 717
1,800,989
1,822, 600
2, 027,861

2,255,346
1,931,408
1,891,457
1,755,226
1,821, 746
1,990, 221

1, 754,356
2,112,873
2,288,527
2,272,057
3,177,656
2,887,846

1,884,318
2,292,306
2,415,515
2,416,096
3,342,520
2,955,476

76.2
79.2
75.0

73.8
75.0
73.5
71.8
144.7
145.7

74.7

147.5
144.9

Calculated on basis of net deposits and Federal reserve notes in circulation.
FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS
RESOURCES
[In thousands of dollars]

Dallas

San
Francisco

61,179
60,663
59,946
58,961

33, 719
32,919
32,058
32,797

202,319
198,253
195,301
193,472

1,438
1,744
1,681
1,136

3,182
3,089
3,312
3,833

2,404
2,532
2,675
2,390

2,083
2,388
2,956
2,590

57,210
56,695
56,199
55,223

69,383
69,038
68, 730
68,495

64,361
63,752
63,258
62,794

36,123
35,451
34, 733
35,187

204,402
200,641
198,257
196,062

78,534
88,452
93,436
93,327

20,699
23,052
18,580
21,998

23,163
25,839
26,516
23,626

43,441
48,746
47,297
46,270

19,876
22,286
25,240
29,989

33,463
23,971
32,881
39,618

9,602
8,419
8,.681
8,709

110,067
106,201
102,054
102,702

8,772
9,289
9,071
9,459

6,345
6,413
6,447
6,501

4,276
3,897
3,418
3,957

10,003
10,144
10,182
8,808

33,102
42,685
30,239
30,486

163,711
168,913
171,083
171,779

358,322
363,222
366,977
366,616

98,891 112,078
89,036 101,290 116,395
83,850 101,693 113,973
113,021
86,680

66,002
67,881
70,155
73,984

270,967
267,297
261,377
266,166

Total

Gold with Federal
reserve agents:
Jan. 28
Feb.4__
Feb. 11
Feb. 18
Gold redemption
fund with U. S.
Treasury:
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Gold held exclusively against Federal reserve notes:
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Gold settlement
fund with Federal
Reserve Board:
Jan. 28
Feb.4
Feb. 11
Feb. 18
Gold and gold certitificates held by
banks:
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Total gold reserves:
Jan. 28
Feb.4
Feb. 11
Feb. 18




Boston

New
York

Philadelphia

Cleveland

Richmond

Atlanta Chicago

St.
Louis

1, 730, 679
1,726,231
1,712,410
1,701,939

150,085
156,839
153,706
150,683

444,0.47
442,197
442,098
442,060

159,128
155,124
151,936
149, 709

170,417
170,005
170,400
170,076

78,458
77,118
75,727
74, 745

144,054
147,054
146,056
145,144

165,795
165,765
165,720
165,695

53,533
53,000
52,413
51,238

67,945
67,294
67,049
67,359

53, 660
51,637
48,298
50,139

15, 777
8,106
10,413
12,750

5,018
8,507
7,230
6,342

9,431
12,315
4,270
5,537

3,537
2,471
2,677
2,960

1,807
1,801
2,129
2,107

1,380
2,185
1,402
1,617

3,926
2,804
5,767
4,892

3,677
3,695
3,786
3,985

784,339
777,868
760,708
752,078

165,862
164,945
164,119
163,433

449,065
450,704
449,328
448,402

168, 559
167,439
156,206
155,246

173,954
172,476
173,077
173,036

80,265
78,919
77,856
76,852

145,434
149,239
147,458
146,761

169,721
168,569
171,487
170,587

590,815
570,035
576,593
578,550

53,554
55,491
52,448
57,477

212,088
173,960
141,343
137,428

29,764
25,676
45,008
47,693

55,595
53,812
61,115
51,181

11,963
17,495
17,785
13,634

8,675
11,255
14,944
16,309

564,232
572, 987
559,039
574,647

20,839
21,730
23,275

24,463

289,632
294,404
297,195
307, 725

26,147
23,979
21,458
23,081

23,547
23,686
24,423
25,766

21,900
22,140
22,596
22,990

2,939,386
2,920,890
2,896,340
2,905,275

240,255
242,166
239,842
245,373

950,785
919,068
887,866
893,555

224,470
217,094
222,672
226,020

253,096
249,974
258,615
249, 983

114,128
118,554
118,237
113,476

Minne- Kansas
City
apolis

206

FEDERAL RESERVE BULLETIN

MARCH,

1925

FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued
RESOURCES—Continued
[In thousands of dollars]
Total

Reserves other than
gold:
143,160
Jan. 28
143,704
Feb. 4
144, 693
Feb. 11
139,929
Feb. 18
Total reserves:
082, 546
Jan. 28
064, 594
Feb. 4
041,033
Feb. 11045,204
Feb. 18
Nonreserve cash:
74,371
Jan. 28
62, 930
Feb. 4
58,045
Feb. 11
60,160
Feb. 18
Bills discounted:
Secured by U.S.
Government
obligations164,892
Jan. 28
207,325
Feb. 4
190,515
Feb. 11
196,460
Feb.18
Other bills discounted—
108,800
Jan. 28
115,042
Feb. 4
141,291
Feb. 11
146,011
Feb. 18
Total bills discounted:
273,692
Jan. 28
Feb. 4
-_. 322,367
331,806
Feb. 11
342> 471
Feb. 18
Bills bought in open
market:
307, 767
Jan. 28
Feb. 4
308,004
324,647
Feb. 11
Feb.18
311,747
U, S. Government
securities:
Bonds—
76,174
Jan. 28
Feb.4
75,216
Feb. 11
74,965
Feb. 18
74,945
Treasury notes279,665
Jan. 28
273,252
Feb.4
274,539
Feb. 11
273,082
Feb. 18
Certificates of indebtedness—
38,225
Jan. 28
40,360
Feb.4
40,592
Feb. 11
30,178
Feb. 18
Total U. S. Government securities:
394,064
Jan. 28
388,828
Feb.4
390,096
Feb. 11
378,205
Feb. 18
Foreign loans on
gold:
10,500
Jan. 28
10,500
Feb. 4
10,500
Feb. 11
10,500
Feb. 18
All other earning assets:
Jan. 28
Feb.'4
Feb.'ll
Feb. 18




2,559
2,559
2,559
3,458

Boston

New
York

Rich- .
mond Atlanta Chicago

Philadelphia

Cleveland

5,726
6,972
7,902
7,478

11,406
11,941
10,303
9,755

6,670
6,446
6,226
5,981

12,898
13,161
13,093
13,180

19,637
19,636
18,840
20,438

264, 502
261,915
268,918
259, 738

120,798
125,000
124,463
119,457

176,609
182,074
184,176
184,959

377,959
382,858
385,817
387,054

12,764
13,984
15,061
14, 970

33,018
31,301
33,412
28, 202

253,019
256,150
254,903
260,343

983,803
950,369
921,278
921,757

3,856
3,531
3,939
3,969

28,509
22,130
18,980
19,073

1,927
1,915
1,910
2,146

5,200
4,842
2,818
4,364

3,805
3,287
3,456
3,074

6,058
5,202
5,338
4,818

10,019
8,610
8,008

14,673
12,109
13,179
11,120

69,291
111,733
108,916
104,388

18, 572
19,413
18,717
18,687

22,643
26,209
21,216
30,916

6,436
5,595
4,952
7,905

784
671
627
505

5,913
5,243
7,788
6,604

15,210
21, 513
40,155
43,958

6,785
10,046
10,017

10,166
9,868
11,467
13,287

19,203
18,914
17, 523
19,701

20,586
17,352
20, 967
17,724

84,501
133,246
149,071
148,346

25,357
29,459
28,734
27, 520

32,809
36,077
32,683
44,203

45,406
43,178
47,744
49,369

67,191
67,731
75,884
64,114

17,781
19,088

2,472
2,662
2,662
2,662

12,440
12,461
12,461
12,461

18,125
17,446
17,831
17,267

! 230,196
! 224,066
230, 574
233,498

St.
Louis

San
Francisco

Minneapolis

Kansas
City

Dallas

2,128
1,854
1,845
1,714

4,107
4,173
4,126
3,825

9,646
9,502
9,375
9,435

5,673
5,654
5,493
5,805

106,168 ! 101,019
108,116 I 103,144
102,867 I 103,538
105,826 100,336

116,185
120, 568
118,099
116,846

75,648
77,383
79,530
83,419

276,640
272,951
266,870
271,971

19,487
19,080 I
19,017 !
19,146 j

4,412
4,163
4,172
4,188

943
736
890
786

2,676
2,281
2,043
2,236

2,831
2,397
2,602
2,572

4,135

21,130
20,767
16,467
8,948

3,642
2,973
2,760
3,798

120
200
173
168

684
622
601
1,248

200
138
176
306

6,717
6,895
2,731
8,471

13,482
11,665
11,347
11,183

16,591
15,643
14,778
14,687

4,131
4,766
4,612
8,524

3,931
4,039
3,913
3,724

4,137
4,166
4,056
4,030

2,674
2,468
1,721
2,204

6,577
6,711
13,914
9,276

25,639
24, 509
22,475
27, 606

14,266
12,336
11,974
11, 688

37,721
36,410
31,245
23,635

7,773
7,739
7,372
12,322

4,051
4,239
4,086
3,892

4,821
4,788
4,657
5,278

2,874
2,606
1,897
2,510

13,294
13,606
16, 645
17,747

37,963
37, 553
37,322
34,206

1,258
1,347
1,900
4,602

4,901
4,051
3,404
5,514

30,483
31,223
36,627
39,235

20,074
20,378
20,147
18,252

2,124-

12,424
11,944
11,509
12,416

22,006
21,663
21,031
18,822

49,372
51,155
49,870
43,707

1,345
1,415
1,416
1,415

11,126
10,948
10.948
10.949

1,340
1,407
1,407
1,407

1,806
1,510
1,548
1,563

19,461
19,649
19,649
19,649

1,264
1,057
1,136
1,175

10,077
9,401
8,855
8,781

7,940
7,938
8,114
8,114

3,718
3,654
3,654
3,654

3,185
3,114
3,115
3,115

93,870
91,089
91,977
91,089

22,245
23,577
23,577
23,577

27,148
26.530
26.531
26,530

1,960
1,910
1,910
1,910

1,160
1,158
1,156
1,155

37,042
36,152
36.152
36.153

8,943
8,296
8,296

10,427
9,807
9,812
9,807

14,925
14,572
14,583
14,583

13,429
13,000
13,000
13,000

30,391
29,715
29.714
29.715

4,750
4,806
4,831
4,103

8,202
9,370
9,7£2
5,648

2,262
741
741
465

7,505
7,872
7,871
6,863

230
181
181
109

658
716
716
685

3,482
3,721
3,553
2,128

104
853
853
514

675
1,015
1,009

2,495
2,646
2,645
2,155

1,070
1,337
1,337
806

6,792
7,102
7,103
6,079

25, 347
24,914
25,324
24,032

114,512
112,920
114,190
109,198

25,852
25.733
25.734
25,457

45,779
45,350
45,350
44,342

3,530
3,498
3,498
3,426

3,624
3,384
3,420

10,311
10,206
10,285

21,179
20,223
19,676
19,211

25,360
25,156

25, 342
24,852

18,217
17,991
17,991
17,460

40,368
39,931
39,932

3,055
3,055
3,055
3,055

1,032
1,032
1,032
1,032

1,220
1,220
1,220
1,220

603
603
603
603

462
462
462
462

519
519
519
519

374
374
374
374

474
474
474
474

399
399
399

2,050
2,050
2,050
2,950

59,522
59,354
57,930
1,564
1,564
1,564
1,564

121

500
500
500
500

3,948

798

207

FEDERAL RESERVE BULLETIN

MARCH,, 1925

FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued
RESOURCES—Continued
[In thousands of dollars]

Total

Total earning assets:
988,582
Jan. 28
1,032,258
Feb. 4
Feb. 11
1,059,608
Feb. 18
1,046,381
Uncollected items:
572,000
Jan. 28
567, 815
Feb.4
589,040
Feb. 11
Feb. 18
__. 682,314
Bank premises:
Jan. 28
57, 939
58,004
Feb.4
58,057
Feb. 11..
58,323
Feb. 18
All other resources:
24,831
Jan. 28
24,317
Feb.4_
24,399
Feb. 11
24, 500
Feb. 18
Total resources:
Jan. 28
Feb.4 .
Feb. 11_
Feb. 18...

__

4, 800, 269
4,809,918
|4,830,182
4,916,882

Boston

New
York

Philadelphia

Cleveland

Richmond

Atlanta Chicago

St.
Louis

Minneapolis

Kansas
City

Dallas

San
Francisco

91,339
85,444
94,035
91,125

269,259
316,952
342,200
324,713

70,980
76,055
76,638
76,345

117,771
120,200
116, 575
123,971

31,030
29,957
28,476
36, 237

23,253
20,233
19, 260
21,067

129,753
128,719
128,790
122,364

38,677
38,842
38,323
41,078

25,613
24,845
24,266
25,609

43,579
42,862
42,482
43,520

43,496
42,659
41, 318
39,191

103,832
105,490
107,245
101,161

50,867
51,803
54,026
65,598

125,787
124,005
132,137
152,482

51, 777
55, 766
50,850
66,660

52,960
50, 725
53,425
64,781

50, 386
47,896
52, 231
55,822

28, 350
27,700
28, 982
33, 391

71,812
72,002
69,167
84,453

31,893
31,337
34, 706
34,400

12, 631
11, 740
12,845
14,286

36, 319
35,252
37,854
40, 226

26,078
26, 651
27,314
30,903

33,140
32,938
35,503
39,312

4,190
4,190
4,190
4,190

16,250
16,303
16, 303
16, 304

1,114
1,114
1,114
1,114

7,573
7,573
7,573
7,573

2,446
2,446
2,446
2,446

2,780
2,780
2,780
2,780

8,099
8,099
8,099
8,099

3,385
3,395
3,404
3,615

2,982
2,981
2,981
3,034

4,024
4,024
4,067
4,067

1,833
1,833
1,833
1,833

3,263
3,266
3,267
3,268

189
164
176
230

7,963
7,816
8,193
8,108

293
298
360
336

421
426
409
428

652
505
473
491

2,110
2,107
2,096
2,088

2,317
2,247
2,127
2,170

316
319
323
319

3,352
3,277
3,154
3,154

767
745
740
721

1,831
1,810
1,767
1,827

4,620
4,603
4,581
4,628

403,460
401,282
411, 269
425,455

1,431, 571
1, 437, 575
1,439,091
1,442,437

356,287
359,214
361,446
380,099

448,427
445,681
449,718
460, 855

209,117
209,091
211,545
217,527

239,160
240,096
242, 632
249,103

599,959
602,535
602,008
613,126

184, 851
186,172
183, 795
189, 426

146,540
146, 723
147, 674
147,205

203, 550
205,732
205, 285
207,616

151, 717
152,733
154,364
159, 745

425, 630
423,084
421,355
424, 288

LIABILITIES
Federal reserve notes
in actual circulation:
Jan. 28
_
Feb. 4
_____
Feb. 11
___
Feb. 18
Deposits:
Member bank
reserve
accountJan. 28
_
Feb.4
Feb. 11
_
Feb. 18
Government—
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Other depositsJan. 28
Feb. 4
__
Feb. 11
Feb.18
Total deposits:
Jan. 28
__
Feb. 4
_____
Feb. 11
Feb. 18
___
Deferred availability items:
Jan. 28
Feb.4
Feb. 11_._
Feb.18
Capital paid in:
Jan. 28
Feb. 4
_
Feb. 11__
Feb.18
Surplus:
Jan. 28
Feb.4
Feb. 11
Feb. 18




1,684,311
1,690,385
1,713,662

185,549
192, 516
193, 690

338, 531
346, 783
348,623
346,315

149,462
150,183
161, 771
156,101

182,839
176, 557
188, 264
180,856

76,297
75, 893
75,426
75, 403

138,471
139,168
139, 753
140,458

183,189
180, 505
179,716
178,615

54,088
53,858
53, 067
53,174

66, 725
66, 972
66,865
67,921

66,846
66, 818
66,508
66,289

48,076
47,266
46, 334
45,899

194,238
195,489
194,819
194,169

2,171, 723
2,193,624
2,174, 546
2,190, 651

140, 331
134,393
140, 248
142, 674

845, 739
857, 509
850, 215
843,450

127,155
128, 372
120, 989
129, 771

179, 858
183,683
175,466
182, 760

67, 564
68,349
66, 230
68, 755

64,604
63,295
64,169
66,897

304,609
303, 714
310,210
308,201

81, 534
83,673
78,870
81, 539

55,309
55,552
56,386
53,952

86, 525
89,838
88, 524
88,803

60, 394
63,066
65,082
65,666

158,101
162,180
158,157
158,183

52,114
29,049
27, 601
26,129

3,688
1,980
2,745
2,164

18,364
6,343
6,112
5,945

2,665
1,605
1,408
1,829

2,336
2,627
1,850
880

2,460
925
2,498
1,399

2,051
2,076
2,171
2,574

1,699
5,064
1,118
1,632

2,672
1,208
2,558
1,849

1,538
1,171
670
998

2,938
2,347
2,260
1,783

2,123
1,368
1,396
2,094

9,580
2,335
2,815
2,982

41, 379
44,896
40,308
40, 341

151
180
507
210

30,934
32,833
29,185
29,818

376
526
471
531

1,027
1,236
1,118

143
236
232
165

332
237
206
180

1,100
1,368
1,422
1,123

1,169
1,915
737
1,089

358
495
449
345

925
913
815
695

121
201
214
153

4,862
4,965
4,834
4,914

2,265, 216
2,267, 569
2,242,455
2, 257,121

144,170
136, 553
143, 500
145,048

895,037
896, 685
885, 512
879, 213

130,196 183,102
130,503 I 187,337
122,868 178, 552
132,131 184,758

70,167
69,510
68,960
70,319

66,987
65, 608
66,546
69,651

307, 408
310,146
312, 750
310,956

85,375
86,796
82,165
84,477

57,205
57,218
57, 505
55,295

90,388
93,098
91,599
91, 281

62,638
64,635
66,692
67,913

172,543
169,480
165,806
166,079

510, 336
511,833
533,398
619,074

49,046
49,173
50, 526
61,974

106,895
103,065
113,714
125,278

45,836
47, 727
46,022
60, 469

46,374
45, 750
46,842
58,966

44,448
45,444
48,936
53,572

19, 530
21,176
22,183
24,851

62,006
64,538
62,133
76,128

29,893
30,054
33,002
36,224

10,957
10,874
11, 620
12,309

32, 568
32,056
33,424
36,301

28, 517
28,376
28,830
33,481

34,266
33,600
36,166
39,521

112,246
112,316
112,328
113,466

8,004
8,004
8,008
8,008

30,165
30,172
30,172
30, 531

10, 510
10, 510
10, 510
11,068

12, 735
12,735
12,735
12,951

5,901
5,937
5,940
5,915

4,591
4,587
4,587
4,595

15,405
15, 452
15,458
15,464

5,090
5,086
5,086
5,102

3,272
3,270
3,270
3,270

4,331
4,333
4,331
4,332

4,139
4,131
4,131
4,130

8,103
8,099
8,100
8,100

217,837
217,837
217, 837
217, 837

16, 382
16,382
16,382
16,382

58, 749
58, 749
58, 749
58,749

20, 059
20,059
20,059
20,059

22,462
22,462
22,462
22,462

11,701
11, 701
11, 701
11,701

8,950
8,950
8,950
8,950

30,426
30,426
30, 426
30,426

9,971
9,971
9,971
9,971

7,497
7,497
7,497
7,497

8,977
8,977
8,977
8,977

7,592
7,592
7,592
7,592

15,071
15,071
15,071
15,071

208

FEDERAL RESERVE BULLETIN

MARCH, 1925

FEDERAL RESERVE BANKS—RESOURCES AND LIABILITIES, BY WEEKS—Continued
LIABILITIES—Continued
[In thousands of dollars]
Total
All other liabilities:
Jan. 28
10,323
Feb.4
9,978
Feb. 11
10,502
Feb. 18
„ 10,494
Total liabilities:
Jan. 28
4,800,269
Feb. 4
4, 809,918
Feb. 11
_ 4,830,182
4,916,882
Feb.18

Boston

New
York

Philadelphia

Cleveland

St.
Atlanta Chicago Louis

Richmond

Minne- Kansas
City
apolis

San
Francisco

Dallas

309
277
337
353

2,194
2,121
2,321
2,351

224
232
216
271

915
840
863
862

603
606
582
617

631
607
613
598

1,525
1,468
1,525
1,537

434
407
504
478

884
892
917
913

440
450
446
436

755
733
785
730

1,409
1,345
1,393
1,348

403,460
401, 282
411,269
425,455

1,431, 571
1,437,575
1,439,091
1,442,437

356,287
359, 214
361,446
380,099

448,427
445, 681
449,718
460, 855

209,117
209,091
211,545
217, 527

239,160
240,096
242,632
249,103

599,959
602, 535
602,008
613,126

184,851
186,172
183,795
189,426

146, 540
146, 723
147,674
147, 205

203,550
205, 732
205,285
207,616

151,717
152,733
154,364
159,745

425, 630
423,084
421,355
424,288

76.7
78.2
75.9
76.9

79.8
76.4
74.6
75.2

82.3
79.8
81.0
81.0

72.3
72.0
73.3
71.0

82 5
8&0
86.2
82.0

86.0
88.9
89.3
88.0

77.0
78.0
78.3
79.1

76.1
76.9
76.1
76.9

81.5
83.1
83.2
81.4

73.9
75.4
74.7
74.2

68.3
69.2
70.4
73.3

75.4
74.8
74.0
75.5

13,646
13, 029
12,198
12,860

4,729
4,531
4,374
4,474

5,438
5,211
5,030
5,145

2,743
2,628
2,537
2, 595

2,081
1,994
1,925
1,969

7,046
6,752
6,517
6,666

2,364
2,266
2,187
2,237

1,655
1,586
1,531
1,566

2,081
1,994
1,925
1,969

1,797
1,722
1,662
1,700

3,594
3,444
3,324
3,400

169,969
157,441
152, 745
158, 017

44,094
39, 768
26,592
34,036

17,340
20,360
16,989
23, 772

19, 635
18, 699
17, 775
16,816

21, 712
20, 654
20,147
19, 529

14, 675
15, 008
14,048
12, 886

8,055
7,752
7,956
7,173

2,878
2,536
2,944
2,499

7,377
7,289
7,132
7,466

8,104
6,764
6,835
6,910

58, 745
53, 528
52,386
52, 607

MEMORANDA

Ratio of total reserves to deposit
and Federal reserve note liabilities combined (per
cent):
Jan. 28
Feb. 4
Feb.11
Feb. 18
Contingent liability
on bills purchased
for foreign correspondents:
Jan. 28
Feb. 4
Feb. 11—
Feb. 18
Own Federal reserve
notes held by Federal reserve bank:
Jan.28
Feb. 4
Feb. 11
Feb.18

78.0
77.4
76.9
77.0

47,174
45,157
43, 210
44,581

388,857
365,582
341,976
358,841

16,273
15, 783
16,427
17,130

FEDERAL RESERVE BANKS—MATURITY DISTRIBUTION OF BILLS, CERTIFICATES OF INDEBTEDNESS, AND MUNICIPAL
WARRANTS
[In thousands of dollars]
Within 15
days

Total

Bills discounted:
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Bills bought in open market:
Jan. 28
Feb. 4
Feb. 11
Feb 18
United States certificates of indebtedness:
Jan. 28
Feb. 4
Feb.11 - . . .
Feb. 18
Municipal warrants:
Jan 28
Feb. 4
F e b . 11
F e b . 18




31 to 60
days

16 to 30
days

61 to Q 1 F r o m 9 1
O
days
days to 6
aays

| months

273, 692
322,367
331, 806
342,471

17,691
18,292
18,976
20, 229

28, 531
26,847
24,611
27, 716

15,069
14,393 1
14,345 !
20,213 |

9,031
8,211
8,131
8,137

307, 767
308,004
324, 647
311, 747

90, 251
93, 789
108, 570
107, 286

78, 374
85, 541
83, 785
71, 762

96, 502
83, 259
75, 542
75, 660

34,973 I
40,048 S
52,488 !
52,551 j

7,667
5,367
4,262
4,488

38, 225
40,360
40, 592
30,178
.

202,035
253,097
264, 095
264, 345

14
14
617
14

196
196

296
286
285

Over 6
months

9
9
9
8

491

'
i
i

9
9
8
8

1

i

i

3,022
8,165
3,022
3 022

1,335
1,527
1,648
1,831

34, 697
31, 699
36, 668
26,651

209

FEDERAL RESERVE BULLETIN

MARCH, 1925

FEDERAL RESERVE NOTES—FEDERAL RESERVE AGENTS' ACCOUNTS, BY WEEKS
fin thousands of dollars]

Net amount of Federal
reserve notes received
from Comptroller of
Currency:
Jan. 28
Feb. 4
Feb. 11
Feb. 18.._.
Federal reserve notes on
hand:
Jan. 28
Feb. 4
Feb. 11
Feb. 18
Federal reserve notes
outstanding:
Jan. 28
Feb. 4
Feb. 11.
Feb. 18
Collateral security for
Federal reserve notes
outstanding:
Gold and gold certificatesJan. 28
Feb. 4
Feb. 11
Feb. 18
Gold redemption
fundJan. 28
Feb. 4 . . . .
Feb. 11
Feb. 18
Gold fund—Federal
Reserve Board—
Jan.28..
Feb. 4
Feb. 11
Feb. 18
Eligible paper—
Amount requiredJan. 28
Feb. 4
Feb. 11
Feb. 18
Excess amount
held—
Jan. 28
Feb. 4
Feb. 11
Feb. 18

Minne- Kansas
Dallas
apolis
City

87, 803
87, 270
86,007

87,746
87,096
86, 850
87,161

104,096
103, 780
103, 263
103,178

75,452
74,652
73, 791
73,031

318,183
314, 217
312,405
311,476

259. 537
259', 137
259,137
259,137

25, 660
25, 660
25, 660
25, 660

18,143
17, 588
17,041
16, 741

29, 873
29, 673
29, 623
29,423

19, 272
20, 622
20, 622
20, 222

65,200
65, 200
65,200
64,700

197,864
195, 513
193, 764
191,501

62,143
61,610
61,023
60,347

69,603
69, 508
69, 809
70,420

74,223
74,107
73,640
73, 755

56,180
54,030
53,169
52, 809

252, 983
249,017
247,205
246, 776

12,175
12,175
12,175
11, 675

13,052
13,052
13,052
13,052

5,151
5,121
5,076
5,051

3,358
2,825
3,238
3,598

1,393
1,742
1,497
1,807

4,819
4,303
3,586
4,601

3,708
2,908
3,047
3, 286

15,089
14, 744
14,362
14,078

133,000 160, 644
136,000 160, 644
136,000 160, 644
136,000 160, 644

38,000
38,000
37,000
36,000

53, 500
52, 500
52, 500
52, 500

56, 360
56,360
56, 360
54,360

15, 500
15, 500
14, 500
13,500

187, 230
183, 509
180,939
179, 394

32,069
29, 748
28,044
25, 806

8,610
8,610
8,610
9,109

1,658
2,214
2,760
3,061

13,044
13,444
13, 694
14, 794

22, 461
21, 111
21, 111
20,012

50, 664
50, 764
51,904
53,304

35,887
37, 659
39, 587
36, 812

19,058
19, 250
18, 066
21,125

1,865
1,472
955
2,525

4,080
3,136
2,335
2, 767

2,322
3,043
1,693
1,270

11, 615
13,513
14,180
7,640




Boston

New
York

Philadelphia

Cleveland

Richmond

Atlanta Chicago

3,088,368
3,063,692
3,049, 551
3,053,445

267,972
264,726
261, 593
267, 970

838,040
833,764
830,908
830,272

239,556
235,551
238,163
241, 937

267,729
265,317
262, 713
262,188

121,376
120,036
118,645
117, 664

223,014
222, 633
221, 636
221/923

457,401
454, 650
452, 901
450, 638

1,015,200
1,007,725
993,913
995, 714

66,150
58,050
52, 650
57,150

329, 540
329, 540
329,540
325, 940

46,000
45, 600
49,800
51, 800

67, 550
68,400
57,460
57, 560

25,444
25.444
25, 444
25.445

62, 831
62,811
61, 736
61, 936

2,073,168
2,055,967
2,055, 638
2,057,731

201,822
206,676
208, 943
210,820

508, 500
504, 224
501,368
504, 332

193,556
189,951
188,3"63
190,137

200,179
196,917
205, 253
204,628

95, 932
94,592
93,201
92, 219

160,183
159,822
159,900
159, 987

281, 849
281, 564
281, 516
282, 516

35,300 188, 531
35,300 186, 746
35,300 186, 698
35,300 186, 698

6,000
6,000
6,000
6,000

8,780
8,780
8,780
8,780

107, 412
102, 970
108, 767
105, 841

12, 785
9,539
16,406
13,383

29, 516
29,451
29,400
29,362

10, 739
11, 735
13, 547
11,320

11,637
11,225
11,620
11, 296

1,663
3,323
1,932
3,950

1,341,418
1, 341,697
1, 322,127
1,313, 582

102,000
112,000
102,000
102,000

226,000
226,000
226,000
226,000

142, 389
137,389
132,389
132, 389

150,000
150,000
150,000
150,000

76,795
73,795
73, 795
70, 795

342,489
329, 736
343, 228
355, 792

51, 737
49, 837
55, 237
60,137

64,453
62,027
59,270
62, 272

34,428
34,827
36, 427
40, 428

29, 762
26,912
34, 853
34, 552

17,474
17,474
17,474
17,474

16,129
12, 768
13,844
14,843

214, 821
266, 292
278,145
269,401

14, 255 71, 525
10, 693 113,491
13, 474 139,201
6,956 130,076

3,467
7,510
7,121
1,915

38, 543
45,460
33,120
42, 231

9,333

2,871
2,777
1,220
1,914

3,500
5,000
5,000
5,000

6,693
14,170

San
Francisco

St.
Louis

Total

7,554
6,054
5,056
4,144

14,511
14,511
14,511
16,011

210

FEDERAL, RESERVE BULLETIN

MARCH,

1925

FEDERAL RESERVE BANKS—EARNING ASSETS HELD AND EARNINGS THEREON, JANUARY, 1925
[In thousands of dollars]
Total
HOLDINGS ON JAN. 31,
1925
Total earning assets
Bills discounted for members
Bills bought in open market
United States securities
Foreign loans on gold
All other earning assets

San
New Phila- Cleve- RichSt. Minne- Kansas
Boston York delphia land mond Atlanta Chicago Louis apolis City Dallas Francisco

1,028,903 ,94,4571 296,092
311,885
313,006
390,953
10,500
2,559

25,948: 113,350
43,595 66,311
24,914 113,376
I 3,055

Bills Discounted
Customers' paper secured by
Government obligations
Member bank collateral notes:
Secured by Government
obligations
Otherwise secured
Commercial, agricultural, and
livestock paper, n.e.s
Trade acceptances, domestic
Total discounted bills
Bills Bought
Bankers' acceptances based on—
Imports
Exports
_
Domestic transactions
Dollar exchange
All other
Trade acceptances—foreign, imports
_-

272

313,006

21,796 131,782 39,905

26,531
1,433
3,498
603

13,385
4,583
3,366
462

345

222

72

44,274

43,845 103,468

4,162

5,071
13,078
25,151
474
500

2,706
22, 750
17, 990

10,438
52,301
39,931
798

30

150
1,148

3,631
1,967
4,634
176

27

38,002 8,079
31,834 21,138
60,382 10,169
1,564
519

21,093
374

272

Total purchased bills

32,065

33,103
38,645
45,350
1,220

25,638

18

77,263 118,318

31,110
17,338
25,733
1,032
2,050

1,035

211;

58

168,415
45,623

13,896;

75,207
31, 688

19,970
5,945

21, 924
949

6,157
2,665

665
1,006

22,147

3,637
10

200
126

831
60

94,063
2,749

11,6
1721

6,301
96

5,100
95

9,231
654

17,081
406

11,388
254

15,135
634

4,169
249

3,825
11

4,142!

1, S

311,885

25,948| 113,350

31,110

33,103

26,531

13,385

38,002

8,079

4,162

5,071

2,706

10,438

119,538
111, 751
75, 60£
5,226
611

20,321
11,419
11, 822
33 !

5,625
6,627
4,816
270

13. 695
5,810
451

50
12
1,371

188
3,209
1,186

9,778
8,950
12,437

9,397
3,736
377

5,188
5,474
2,164
252

8,513
9,102
4,674
461

24,444
18,186
8,946
725

43,595! 66,311

17, 338

38, 645

1,433

4,583

31, 834 21,138

13,078

22, 750

52,301

105, 797
100,212

19, 033 20,077
8,359| 21,222

6,974
6,107

10, 052
11,286

1,462
1,518

15,848
14 579

7,153
8,227

3,854
4,221

6,413
7,697

14,931
16,996

106, 997

16, 203

25,012

4,257

17,307

1,433

1,407

5,758

5,003

8,640

20,374

75, 537
273,995
41,421

2,472 12,440
17, 550 91,879
4, 892 9,057

1,345
22,070
2,318

11,126
26, 519
7,705

1,340
1,913
245

1,561
1,112
663

19,461
36,158
4,763

1,263
8,737
169

9,685
10,563
84f

7,941
14,617
2,593

3,718
13,097
1,17;

3,185
29,750
6,996

390,953

24,914 113,376

25, 733

45,350

3,498

3,366

60, 382 10,169

21,093

25,151

17,990

39,931

1,265
4,059

25,322
14,719
6,822
3,421

138, 645 42,430
35,953 8,790
31,407 20, 748
70,067 12,489
403
1,218

28,183
4,715
6
23 160
297

49, 737
5,032

49,431 111, 314
2,976 11,681
24,191 51,853
21,953 47,147
311
633

19,114
25,680
18,643
1,991
611

Purchased Bankers' Acceptances, by Classes of Acceptors

National banks__
Other member banks
Nonmember banks and banking
corporations
United States Securities
United States bonds
Treasury notes
Certificates of indebtedness
Total United States securities
_-.
DAILY AVERAGE HOLDINGS DURING JANUARY

1,072,077 101,042 294, 557 74,027! 124,709
Total earning assets 1
267,424 19,657 76,094 26,100 34,819
Bills discounted
.
328, 644 50, 841 73,129 17,386| 36,696
Bills bought
465, 246 30, 544 142,955 27,693 52,225
United States securities_
8,224
2,379
814
Foreign loans on gold
EARNINGS DURING JANUARY
2,97!
Total earning assets i
257
780
349
220
806
58
194
104
Bills discounted
78
752
111
166
91
Bills bought...
414
152
United States securities _
1,386
6
Foreign loans on gold
21
ANNUAL RATE OF EARNINGS
3.27
Total earning assets *
2.99
3.50
3.1:
3.29
3.55
Bills discounted
3.50
3.50
3.00
3.50
2.70
2.57
2.67
2.6'
2.92
Bills bought
3.51
3.38
4.05
3.41
3.43
United States securities.
3.00
3.00
3.00
3.00
Foreign loans on gold

414
122
72
217
3

107
92
3

11
1

3.86J

4.00
3.04
3.27
3.00l

3.62
4.00
2.95
3.39
3.00

114
30
48
35
1

3.52
4.00
2.70
3.65
3.00

3.17
4.00
2.72
3.34
3.00

14, i

29, 533
372

142
17
32
90
1

4.08
2.32
3. 76
3.00

133
10
55
67
1

35
118
133
2

3.36
4.00
2.66
3.59
3.00

3.16
4.00
2.68
3.57
3.00

3.05
3.50
2.69
3.33
3.00

1 Including municipal warrants, as follows: Minneapolis, average daily holdings, $5,462; earnings, $18; annual rate of earnings, 3.97 per cent;
also including Federal intermediate bank debentures, as follows: Philadelphia average daily holdings, $2,033,870; earnings, $5,788; annual rate
of earnings, 3.35 per cent; Kansas City, average daily holdings, $500,000; earnings, $1,451; annual rate of earnings, 3 42 per cent.
* Less than $500.




MARCH, 1925

211

FEDERAL RESERVE BULLETIN

FEDERAL RESERVE BANKS—VOLUME OF DISCOUNT AND OPEN MARKET OPERATIONS DURING JANUARY, 1925
[Amounts in thousands of dollars]

Total

Boston

New
York

San
Phila- Cleve- RichSt.
Minne- Kansas
delphia land mond Atlanta Chicago Louis apolis City Dallas Francisco

Volume of Operations
Total discount and openil, 735,109
market operations
Bills discounted for member
banks
1,488,088
182,897
Bills bought in open market..
Bills bought from other Fed21
eral reserve banks
United
States
securities
59,094
bought in open market
4,500
Foreign loans on gold
9
Municipal warrants purchased

88,184 1,002,939 194,649 182,027
73,039
14,052

894,806 81,715 166,232
69, 327 11, 721 14,102

61, 265 28,846 128,120

33,890

10,935

12,801

17,902

73,551

23, 921 108,927
2,180 14,507

23,273
10,082

2,485

4,708
5,995

5,633
11,101

42,949
29, 296

8, 283
158
9

1,900
198

997
171

964
342

17

18

27

772
2,003

31,050
7,905

1,192

3,828

60,400
534

21
1,093

37,476
1,309

540

263
450

1,175
518

70
261

2,547
198

4,016
670

310
225

38

72

188

50

29

1

709, 591 64, 541 123, 602 41,515
179,808 14, 064 32,036
7,577
5,247 3,066
9,875 10,706

3,551
3,366

98,850
315

12,006
384

1,029
219

3,314
60

9,934

1,227

1,317

Bills Discounted
Customers' paper secured by
980
Government obligations
Member bank collateral notes:
Secured by Government
obligations
1,134, 534
Otherwise secured
247, 737
Commerical, agricultural, and
livestock paper, n. e. s
100,193
Demand and sight drafts
(based on agricultural products) . .
2,803
1,841
Trade acceptances, domesticTotal bills discounted... 1,488,088
Average rate (365-day basis)—
3.53
per cent . .
8.37
Average maturity (in d a y s ) . .
Total reduced to a common
maturity basis (exclusive of
1,485, 285
demand and sight drafts)
100.0
Per cent of total
Number of member banks on
9,674
Jan. 31
Number of banks accom2,554
modated during the month.
26.4
Per cent accommodated..

44, 713
27, 592

2
194

73,039
3.50
11.28
98,490
6.6

122

44

645

414

894, 806 81,715 166, 232 60,400
3.00
4.42

3.50
12.14

3.50
8.12

4.00
14.04

16, 594
223
137

9,615

103
36

118

827
121

10

23,921 108,927

23, 273

2,485

4,708

5,633

42,949

4.00
30.60

4.00
68.81

4.00
38.72

4.00
30.71

3.50
15.32

20,436 21, 787 14,626
14
1 5
10

78,464
5.3

4.00
39.59

4.00
15.58

473,103 118, 604 161,384 101, 347 112,123 202, 826 82,095
31.8
8.0
10.9
6.8
13.7
55
7.5

1 648

421

859

744

870

625

516

1,418

629

908

1,080

837

767

161
38.2

312
36.3

329
44.2

284
32.6

243
38.9

182
35.3

472
33.3

175
27.8

86
9.5

111
10.3

39
4.7

160
20.9

10, 250
3,792

50,894
16, 599
1,711

8,770
2,821

10, 824
2,863

25
509

7,812
2,070

4,889
986

9,198
1,688

22,721
6,211

415

1, 573
607

6,921
7,351

130

235

200

120

215

364

2,180

14, 507

10,082

5,995

11,101

29,296

869
514

4,242
4,113
3,970
1,810

3,585
3,645
2,833

2,680
1,202
2,104

4,683
2,187
3,601

372

19

9

630

10,227
6,311
11, 235
269
1,156

Bills Bought in Open Market
Bankers' acceptances:
Foreign
Domestic
Dollar exchange .
Trade acceptances—foreign...

133, 877
45,497
3,400

Total bills bought

182, 897

14, 052

69,327

11, 721

14,102

Distribution by rates charged
(360-day basis):
2% per cent-2J^5 per cent-3 per cent
3M$ per cent-334 per cent
3/^ per c e n t s ' per cent
4 per cent

45,941
29, 969
99, 224
2,689
4,008

1,363
3,069
8,987
170

14,096
4,729
49,809
82

43
599
10, 766
233

4,153
3,600
5,385
125

433

765
74

Average rate (365-day basis)—
percent
Average maturity (in d a y s ) . .
Total reduced to a common
maturity basis
__.
Per cent of total

10

123

123
534

534

30

544
41
26

80

56
797
3.01
39.19

3.00
38.89

3.00
21.90

3.04
76.90

3.02
55.87

3.04
41.03

3.44
29.26

3.01
53.81

2.95
48.12

2.96
47.35

3.01
50.04

3.00
41.76

182,897
100.0

13,945
7.6

38, 733 22,999
21.2
12.6

20,102
11.0

559
.3

1,627
.9

19,918
10.9

12, 379
6.7

7,243
4.0

14,174
7.7

31, 218
17.1

10, 258
18, 332
30, 504

263

53
1,122

70

200
3,816

310

7,002
560
721

1,382
57
461

5

16,139
21,337

1,367
913
267

500

410
681

497

959

59,094

1,093

37,476

263

1,175

70

2,547

4,016

310

8,283

1,900

997

964

213

98

797

United States Securities
Bought in Open Market
United States bonds
Treasury notes
•Certificates of indebtedness...
Total United States
securities bought

2

i Includes $500,000 Federal intermediate credit bank debentures.




212

FEDEBAL EESERVE BULLETIN

MARCH, 1925

REPORTING MEMBER BANKS IN LEADING CITIES
PRINCIPAL RESOURCES AND LIABILITIES, BY W E E K S
[In thousands of dollars]
Federal reserve district
Total
Boston

New i PhilaYork | delphia

Cleveland

Richmond

Number
of
reporting
banks:
108:
J a n . 21
736
108
J a n . 28-_
740
108|
Feb. 4
740
108;
Feb. 11
739
Loans and
discounts,
gross:
Secured b y U . S.
Government obligations8,772
19, 355 6,412
73,398 10,424
J a n . 21__
192,355
8,520
64,467 10, 5231 19,418 5,873
J a n . 28._
181,332
8,639
66,192 10,462 i 18,934 6,413
Feb. 4
184,354
9,131
10,6371 19,132
8,487
70,828
Feb. 11
190,981
Secured b y stocks and
bondsJ a n . 21_ _
4,701,798 292,703 2,162,223 313,632 417,413 124, 271
Jan. 28
4,706,936 291,278 2,166,620 310,375 420,545 124,466
Feb. 4
4,745,246 292,459 2,200,084 314,1791 424,434 122,302
Feb. 11
4,742,220 298,060 2,175,753 315,317' 423,873 127,185
All other loans and
discounts—
i
357, 598 722,980 341,465
J a n . 21
1 8,192,860 666,492 2,619,
J a n . 28__
I 8,163,152 661,254 2, 573,874 354, 676 724,459 346, 795
Feb. 4
8,183,713 662, 668 2,574, 604 354,307 726,375 348,877
Feb. 1 1 .
8,181,533 659,809 2, 538, 796 358,432 735,325 347,779
Total loans and discounts,
J a n . 21
13,087,013 967,967 4,854,936 681,654 1, 159,748 472,148
,164,422 477,134
J a n . 28. _
13,651,420 961,052 J4,804, 961 675,574 1;
,
Feb. 4 . .
|13,113,313 963,76614,840,880 678, 948 1, 169,743 477,592
,178,330 484,095
Feb. 11
113,114,734 966,356 4,785,377 684,38611,
U . S. pre-war bonds:
13.474 53,124 10, 568! 45,419 25,714
J a n . 21260,709
Jan. 28
261,018
13.475 53,122 10, 568 i 45, 231 25,714
9,568 32,050 25, 716
Feb. 4
232,192
10,658 44,417
9,568 32,031 25,341
Feb. 11
224,879
10, 683 37,674
U. S. Liberty bonds—
53,446 184,408 37,176
81,484
1,402,629
Jan. 21
53,401 174,938 37,793
Jan. 28
1 1,394,042 81,200 635,781
80,213 635,045 53,544 168, 503 38, 111
Feb. 4
1,389,377
79, 625 626,214 50,376 171,199 37,954
Feb. 1 1 . .
1,381,615
U . S. Treasury bonds:
26,474 5,013
17,531 170,352 26,421
Jan. 21__
375,472
17,422 154,721 26,040 30,015 4,835
Jan. 28
365,913
17,125 156,557 15, 933 30,006 5,058
Feb. 4
360,192
16,832 147,135 14,497 29,313 4,925
Feb. 11
! 349,133
U.S. Treasury notes:
56,081
2,
238, 676 20,941
Jan. 21
! 520,150
21,058
55, 695
8,450 229,512
2,653
Jan. 28
510,421
21,024
55,806
8,701 228, 540
2,475
Feb. 4
509,432
21,0731 56, 385
8,552 239,189
2,357
Feb. 11
516,875
U. S. Treasury certificates:
444
7,452
8,146
1,764
84, 253
Jan. 21
150,713
430
7,449
8,167
1,763
58,324
Jan. 28
124,624
6,913
430
7,618
1,764
56,048
Feb. 4
119,542
7,065
430
7,518
1,753
56, 599
Feb. 11
118,562
Other bonds, stocks, and
securities:
,094,975 257, 540 348,915 64, 523
Jan. 21
2,838,135 193, 621 1,
:
194,097 1, 081,101 259, 502 348,920 63,645
Jan. 28
2,832,427
.
,
194,004 1 072,759 256,172 355,462 62,054
Feb. 4
2,842,484
,
Feb. 11
2,841,013 193,860 1 074,247 257, 732 348,319 61, 743
Total investments:
Jan. 21
5,547,808 316,323 2, 279,870 376, 368 669,443 135, 563
Jan. 28
5,488,445 316,407 2,212, 561 378,018 662,966 135,070
Feb. 4
5,453,219 312,465 2,193,366 363,859 648,740 133,844
Feb. 11
5,432,077 311,30512,181,058 360, 764 644,312 132, 750
Total loans and investments:
k
058,022 1,829,191 607, 711
,134,806 1,0
Jan. 21
18,634,821 1, 284,290 7,
053,
459 7,
Jan. 28
18,539,865 1, 277,4597,017, 522 1,0 592 1,827,388 612,204
,034,246 1,0
,
611,436
Feb. 4
18,566,532 1, 276,231 7, , j j ,042,807 1
661 6966435J10
Feb. 1 1 . . . .
18,546,811 1, 277,661 6,966,435J1,045,150 1,822,642 616,845
Reserve balances with
Federal reserve banks:
91,546 724,577 80, 535 117, 609
Jan. 21
1,602,152
95,818 759, 741 81,022 126,159 40, 237
Jan. 28
1,639,647
769,050 80,196 130,0201 41,284
Feb. 4
1,655,453
74,132 122,122 39,156
Feb. 11
1,651,126!'
96,103 774,169




St.
Minne- Kansas
San
Atlanta Chicago Louis apolis City Dallas Francisco

100
100
100
100

25
25
25|

70
70
70

25J

7,547
7,643
7,658
7,453

32,706
33,209
33, 794
33,355

10, 694
11,447
12, 249
12,034

71,167
71,508
71,191
72,894

708,100
698,347
698,146
695,317

182,989
184,319
185,680
188,850

5,018
3,738
3,710
3,664

10,951
9,402
9,374
9,337

54,600 96,800 64,622
53,923 101,748 66,217
54,195 100,402 67,384
57,757 102,010 69,705

213,278
217, 590
214,790
215,499

2,831
2,819
2,786
2,733

4,247
4,273
4,143
4,190

367,218 1,200, 726 316,548 209,470 332,139 232, 564 826,345
367,57911,205,918 317, 579 212,318 334, 629 233,625 830,446
374,01311,213,792 313,742 208, 569 336,322 235,652 834,792

374,256 1,221,117| 314,800 206,124
445, 9321,, 941,532 510,231
446, 7301 , 937,474 513,345
452, 8621;, 945, 732 511,671
454,
, 949,789 515,684

266,901
269,060
265.550
266,614

239,316
433,186
440,650
440,867
445,085

846,894

302,204 1, 050,574
:
303,580 1
,057,438
306,746 1, 058,956
312,685 1,071,730

14,958
15,058
14,968
15,078

21, 670
21, 671
20, 272
19,655

14,341
14,341
13,775
13,775

8,206
8,206
7,801
7,911

18, 248
18, 648
9,545 17, 545
9,535 17,744

25,003
25,000
25,877
25,884

8,611
10,120
8,623
7,973

163, 519
163,668
164,722
167,190

27,637
27,749
26. 387
25,348

26,539
25,917
25,920
25,932

42,771 14,035
42,934 13,981
43,166 13,985
43,078 14,263

124,513
126,560
131,158
132,463

2,839
2,499
2,511
3,111

49,133
51,2861

6,376
6,908
7,903
8,427

9,385
9,385
9,885
9,953

13,117
12,721
12,316
13,022

5,557
5,857
5,907
5,886

43,518
46,377
45,705
45,149

102,981 12,080
102,094| 12,061
12,066
11,978

18, 973
18,973
19,074
19,074

20, 835
20, 578
20, 540
20,499

9,457
9,450
9,477
9,176

26,490
27,910
26,454
26,807

2,494
1,987
2,486
2,857
2,037
2,037
l | 209

16, 596
17,2391
14, 639
14,059

1,658
1,651
1,620
1,713

6,320
6,320
5,720
5,720

2,97,
3,665
3,664
3,857

2,176
2,183
2,238
lr~'

16,892
15,396
16,900
16, 653

41,240
41,828
41, 288
41,459

416,129
419,976
433, 737
437,829

103,941
104,665
102, 796
101,886

36, 608
36, 651
36,907
37,240

72,330
72,147
73,073
72,193

21, 286
21, 535
21,277
20,198

187,027
188,360
192,955
194,307

72,179
73, 529
71,864
71, 687

769,784
773,781
787,445'
788,544

166,033
167,375
164,547
163,127

106,031
105,452
105,307
105,830

162,012
162,029
162, 304
162,184

70, 759
71, 654
70,429
69,253

423,443
429,603
439,049
441, 263

518, 111 2,711, 316 676, 264 372,932
520,259 2, 711, 255| 680, 720 374,512
524, 72612,733,177 676,218 370,857
526,290 2, 738, 333 678,811 372,444

595,198
602,679
603,171
607,269

372,963
375,234
377,175
381,938

, 474,017
, 487,041
, 498, 005
, 512,993

54,395
52, 242
57,081
56,513

32,913
28,799
31,154
32,694

110,989
107,206

41,040
38,085
37,473
37, 953

239,136
230, 515
228,647
235, 279

46,982
51,167
52,207
47,524

27,686
27, 524
27,493
28,275

107,007

213

FEDERAL RESERVE BULLETIN"

MARCH., 1925

PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS—Continued
[In thousands of dollars]
Federal reserve district

Boston

Cash in vault:
Jan. 21
Jan. 28
Feb.4
Feb. 11
Net demand deposits:
Jan. 21
_
Jan. 28
Feb. 4
Feb. 11
Time deposits:
Jan. 21
Jan. 28
Feb. 4
Feb. 1 1 . . .
Government deposits:
Jan. 21
Jan. 28
Feb. 4
Feb. 11
_
Bills payable and rediscounts with Federal reserve banks:
Secured by XJ. S.
Government obligationsJan. 2 1 . . . .
Jan. 28...
Feb. 4
Feb. 11
All o t h e r Jan. 21
Jan. 28
Feb. 4
Feb. 11

286,092
279,486
278,070
294,532

20,471
20,085
20,283
21, 293

New
York

Philadelphia

79,764
78,421
80,034
89,044

15,806
15, 759
14,931
17,813

Cleveland

Richmond

31,012
29, 388
29,125
29,895

Atlanta

14,087
13,084
13, 589!
13, 659i

11, 263
10,876
11, 043
11,002

Chicago

St.
Louis

Minneapolis

Kansas
City

San
Dallas Francisco

54,891
53,005
52, 779
53, 955

7, 870!
7,444
7, 593!
7,406!

6,126
5,981
5, 625
5,!

12.122
12, 255
10, 941
12.123

10,693
10,428
10,495
10,615

21,987
22, 760
21, 632
21,867

416, 684
421,495
419,244
424,690

254,360
252,176
248,205
249,690

487,473
488,875
492,204
496,849

281, 643
279,282
283,065
286,599

783, 578
784,149
798,990
804,613

136,080
135,879
136,294
136,459

92,149
92,794
93,925
95,703

675,316
690,878
698,246
702,841
10,276
10,499
10,499
7,363

13,143,171
13,013,949
13,039,813
13,093, 391

896,871 5,808,806
887, 543 5, 717, 692
877,122 5, 725,113
885,766,5, 701, 992

765, 752 1, 019,139
759, " ' J1, 014, 240
I, 514 .,
745, , 319 1, 014, 724
>
.,
749, , 080 ., 022,483
>
1,

364,430
366,8371
370,680
376,939!

.,
313,051 1,751, 384
309, 558 ., 732, 588
I,
1
! 599 ., 752,548
,
1,
312,
,
1.
,
327, 182 L 767, 508

4,868, 758
4,875,615
4,899, 797
4,924, 543

326,471 1,153,177
326,364 1,140,890
333,
1,671 1,132,614
336, 622 1, 139,846
i,

179,335
178,470
180,264
179,502

698,338
698,843
707,452
707,648

182,9331
183,234
185,780
186,733

189,219
189,460
189,737
189,950

920,549
921,035
923,669
930,133

212,366
214,156
213,701
213,603

102,825
103,612
104,444
105,503

3,711
3,703
3,703
2,939

21,276
21,276
21,276
21,000

7,286
7,281
7,281
6,469

1,850
1,854
1,853
1,602

657

2,142
2,143
2,172
1,648

488
57
57
57

10,430
15,629
14,501
10,315

150
200

15

234
57
1
67

18
50

1,900
5,465
5,650
1,650

4,125
4,939
3,218
2,930

877
699
593

488
406
904
614

145
46
269
203

2,403
2,311
2,081
1,297

1,614
1,334
1,194
8,273

135,454
135,670
133,850
113,437

26,079
26,080
26,080
22, 516

30,676
30,676
30,676
25,096

13,811
13,811
12,000
10,572

14,281
14,281
14,244
11,439

3,068
3,068
3,068
2,136

39, 568
97,083
153,265
129,933

1,300
3,360
1,760
2,
'

18,331
55,220
109,615.
97,485!

2,210
2,475
3,47,
3,155

3,020
13,145
16,364
12, 663

1,505
1,675
1,824]
1,4441

25,474
32,228
29,667
63,651

1,070
1,764
957
3,734

835
3,425
3,405

5,591
3,
4,214
4,807

6,411
7,756
7,941
6,399

2,750|_
8,070]
4,8711
31,685|

75
"l79

R E P O R T I N G MEMBER BANKS IN 12 FEDERAL RESERVE BANK CITIES—BANKERS' BALANCES
[In thousands of dollars]

City
Total
(12
cities)

Due to banks:
Jan. 21
Jan. 28
Feb.4
Feb. 11
Due from banks:
Jan. 21
Jan. 28
Feb. 4
Feb.11.




2, 550,924
2,435,488
2,525,869
2, 540,802
666,606
627,682
632,577
645,886

Boston

New
York

Philadelphia

Cleveland

Richmond

Atlanta

Chicago

St.
Louis

Minne- Kansas
apolis
City

Dallas

San •
Francisco

142,4581 , 189, 521
1 3 4 , " - -1,130,659
:, 660 '
139,
1,779 1,181,823
132, 020 1,213,425
!,

199,099
191,209
192,963
189,089

54,127
51,400
51,849
51,142

40,269
37,305
38,158
40,536

19,760
20,102
20,280
20,721

423,270
412,414
427,300
416,546

113,706
108,112
108,440
108,762

72,166
68,914
69,458
69,892

131,464
128,940
131,064
132,461

45,600
44,231
48,280
47,921

119,484
107,542
116,475
118,287

94,077
96,733
95,502
98,579

72,193
64,573
63,667
67,032

25,104
27,208
23,595
23,687

17,226
14, f
17,105
16,681

18,858
20,975
16,724
18,560

158,071
152,192
158,962
158,466

43,442
36,374
38,329
37,973

21,562
16,850
21,003
24,341

51,971
54,389
51,873
48,995

33,781
34,794
33,773
36,014

86,037
73,534
75,595
81,269

44,284
35,065
36,449
34,289

214

MARCH, 1925

FEDERAL RESERVE BULLETIN

REPORTING MEMBER BANKS IN NEW YORK CITY AND CHICAGO—PRINCIPAL RESOURCES AND LIABILITIES, BY WEEKS
[In thousands of dollars]
Banks in New York City

Jan. 21

Jan. 28

Banks in city of Chicago

Feb. 4

Feb. 11

J a n . 21

J a n . 28

Feb. 4

F e b . 11

67

67

67

67

46

46

46

46

68,970
1,941,911
2,322,920

60,022
1,951,085
2,276, 797

61,250
1,979,355
2,277,464

65, 989
1, 950,125
2, 241,079

25,523
532,008
699,562

26,066
528,012
701,480

26,618
525,944
697,387

25,931
524,221
705,918

| 4,333,801

4,287, 904

4,318,069

4,257,193

1,257,093

1,255, 558

1,249,949

1,256,070

42,597
541,425
153,580
220,890
82, 640
829,683

42,595
538,023
138,248
211, 726
56, 711
814,021

34,440
538,549
139,999
210, 755
54, 435
807,962

27,147,
527,048
131,301
221,247
54,986

4,066
81,369
28,519
74, 557
10,996
200,021

4,067
81, 276
28, 525
73,600
11, 603
201,976

3,853
82,100
27, 993
75,148
9,142
216,720

3,838
83,187
27,800
71,360
8,552
220,861

Total investments

1,870,815

1,801,324

1,786,140 ! 1,768,277

399,528

401,047

414, 956

415,598

Total loans and investments..

6, 204,616

6,089,228

6,104,209

6,025,470

1,656, 621

1,656,605

1,664,905

1, 671,668

702,173
64,227
5,185, 734
793,810
20,499

713,405
65,596
5,185, 759
785,148
20,499

720,061
72,241
5,153,810
791,012
16,279

170,595
28,386
1,183,392
454,119
16,096

159,620
26,507
1,171,409
454,812
16,096

158,145
27,001
1,178,314
456,408
16,096

156,473
27,320
1,171,996
460,354
14,343

39,150
6,228

91,200
3,528

77,300
30,277

870
173

2,965

840
190

1,420
100

45,378 !

94,728

107,577

1,043

2,965

1,030

1,520

Number of reporting banks
Loans and discounts, gross:
Secured by United States Government
obligations
Secured by stocks and bonds
All other loans and discounts
Total loans and discounts
United States pre-war bonds __
United States Liberty bonds.
United States Treasury bonds
United States Treasury notes
United States Treasury certificates..
Other bonds, stocks, and securities.

Reserve balances w i t h Federal reserve b a n k . . !
670,832
Cash in vault
!
64,864
N e t demand deposits
_
5,267,842
T i m e deposits
I
804,960
Government deposits
'
20,499
Bills payable a n d rediscounts with Federal
reserve b a n k :
\
Secured b y United States Government i
obligations.. _
_
|
7,350
All o t h e r . .
!
1,011
Total borrowings from Federal reserve i
bank..
_
_j

8,361

I

ALL MEMBER BANKS—DEPOSITS. BY FEDERAL RESERVE DISTRICTS AND BY SIZE OF CITY
Net demand deposits

_

Total
Banks in cities and towns
having a population o—
f
Less than 5,000
5,000 to 14,999
15,000 to 99,999...
100,000 and over




1924

1925

1924

1924
J a n . 23

N o v . 26

Dec. 24

J a n . 28

J a n . 23

Oct. 29

N o v . 26

Dec. 24

J a n . 28

1,385,832
6,348,865
1,144,321
1,483,196
570,215
516,106
2,411,790
668,086
475, 674
830,032
609,594
1,320,788

1,327,141
6,496, 559
1,151,727
1,486,119
585,396
540,472
2,352, 603
690,224
503, 546

1,299,657
6,527,806
1,129,471
1,468,404
581,375
561,575
2,344,909
710,319
493,540
858, 629
670,487
1,310,823

1,330,862
6,383,028
1,139,390
1,486,655
594,503
585,609
2,380,790
732,021
481,231
861,150
660,847
1,291,093

1,233,878
5,383,722
1,037,462
1,382,490
589,933
519,276
2,122,350
655,261
400,884
739, 111
624, 577
1, 253,902

704,918
2,026,426
753,331
1,263,367
482,159
350,041
1,682,211
431,116
416,047
298,851
159,889
1,106,225

694,406
2,066,104
765,488
1,269,256
483,033
350,961
1,723,047
436,085
420,176
300,293
158,722
1,128,308

685,226
2,018,700
759,663
1,245,613
478,845
348,636
1,729,770
429,809
425,748
296,288
158,107
1,150,727

702,350
2,041,042
777,518
1,272,991

17, 764,499

17,946,742

17,956,995 i 17,927,179 15,942,846

9, 674, 581

9,795,879

9, 727,132 9,878,624

8,693,793

1,678,287
1,066,959
2,093, 059
12,926,194

1, 076; 740
2,132,304
13,039,022

1, 689,928
1,080,944
2,144,113
13,042,010

1,633,480
1,039, 513
1,958,130
5, 043, 458

1,640,059
1,045,668
1,967,007
5,143,145

1,636,887
1,042,716
1,957,014
5,090,515

1,668,381
1,062,598
1,990,335
5,157,310

1,569,463
981,949
1,807,711
4,334,670

Oct. 29
Boston
New York
_
Philadelphia
Cleveland. __
Richmond
Atlanta
Chicago...
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco

1925

1924

Federal reserve district

Time deposits

641,603
1,322,964

1,673,199
1,081,342
2,170,162
|13,002,476

1,626,219
1, 073,144
2,046,474
11,197, 009

356,070
1,735,739
438,340
434,954
300,970
160,584
1,171,200

606,068
1, 699,871
664,436
1,142,992
443,304
318,538
1,564,897
398,521
409, 569
293,686
151, 263
1,000, 648

MARCH,

215

FEDEKAL RESERVE BULLETIN

1925

ALL MEMBER BANKS—CONDITION ON DECEMBER 31, 1924
ALL MEMBER BANKS (8,043 NATIONAL BANKS AND 1,544 STATE BANKS AND TRUST COMPANIES)—ABSTRACT OF CONDITION REPORTS ON DECEMBER 31, 1924, BY FEDERAL RESERVE DISTRICTS
[In thousands of dollars]
District District District District District District District District District District District District
No. 1
No. 2
No. 3
No. 4
No. 5
No. 6
No. 9
No. 7
No. 8
No. 10 No. 11 No. 12
(419
(855
(828
(738
(871
(617
(766
(510
(1,408
(624
(885
(1,066
banks)
banks) banks) banks) banks) banks) banks) banks) banks) banks) banks)

Total
United
States
(9,587
banks)

RESOURCES

Loans and discounts.
Overdrafts
United States Government securities..
Other bonds, stocks,
and securities
Total loans and investments
Customers' liability
on account of acceptances
Banking house, furniture, and fixtures.
Other real estate
owned
Cash in vault
Reserve with Federal
reserve banks
Items with Federal
reserve banks in
process of collection.
Due from b a n k s ,
bankers, and trust
companies.
Exchanges for clearing house, also
checks on other
banks in same place
Outside checks and
other cash items
Red e m p t i o n fund
and due from United States Treasurer
United States securities borrowed 1.._.
Other securities borrowed l
Other assets
Total.

542,019 5,899,017 ,289,050 L, 901,848
512
1,499
283
791
243,138 [, 323,614 258,029
386,624 L 624,815 622,402
,

959,432
668

814,311 ,036,546
1,738
2,196

883,295
1,828

629,831
643

799,505
1,333

643,210 . 767,537 20,165,601
,
2,303
1,914
15,708

137,000
592,570

81,419

526,141

135,632

143,873

151,171

101,266

363,112 3,902,793

130,698

102,962

655,289

205,593

132,465

128,879

43,805

316,384 4,942,486

173,293 8,848,945 2,169,764 !, 933,607 ,227,798 ,000,430 ,220,172 1,226,348

906,812 ,080,888

790,584 2,448,947 29,026,588

56,836

297,440

18,385

8,584

13,218

10,102

34,613

844

3,131

1

4,087

14,495

461,736

61,686

157,866

61,689

118,331

50,507

45,714

129,979

36,055

25,528

41,068

38,833

93,358

860,614

6,877
49,344

10,690
130,090

8,455
47,682

18,095
63,941

11,256
30,608

10,508
27,845

24,301
98,223

8,239
24,441

15,219
21,846

15,674
29,905

13,870
25,825

17,949
47,722

161,133
597,472

140,840

885,556

129,361

163,593

69,632

63,489

314,698

80,758

55,513

63,221

214,662

66,350

64,127

45,310

84,666

44,452

8,920

37,635

34,196
214,390

274,380 2,339,488
59,350 1,935,114

203,212

119,997

169,935

109,057

161,860

56,178 ,416,754

102,551

65,708

365,987

153,630

151,229

313,260

164,529 2,227,569
35,304

724,926

66,722

54,217

32,186

26,547

138,430

28,828

12,891

24,959

18,052

9,172

32,350

5,713

8,690

4,410

6,528

17,827

3,753

6,813

7,341

4,332

26,737

133,666

2,661

4,912

2,946

5,000

3,194

2,153

4,538

2,139

2,058

2,297

2,717

36,284

170

5,741

6,470

4,519

465

68

19,087

14,982

123
15,961

2,238
34,423

60
4,336

11
4,421

59
25,125

2,541
4W, 649

418
296,303

6,133

50
10,881

3,798

4,318

2,762,045 12,498,780 2,712,216 3,629,945 1,603,848 1,392,821 5,476,5651,618,402 1,213,434 1,651,000
1,217,071 3,210,740 38,986,867

LIABILITIES

Capital stock paid in.
Surplus fund
Undivided
profits,
less expenses and
taxes paid.
Due to Federal reserve b a n k s . .
Due to banks, bankers, and trust corn-

141,561

110,203
58,936

70,135
37,001

95,538
44,869

93,04^
42,442

105,395

27,03:

17,914

18,250

17,963

48,076

786,759

1,751

228

42

2,070

592

43,648

94,570 291,912
56,983 219,728

125,134

492,359
505,620

138,723
228,611

212,830
218,485

112,277
83,832

72,226

269,144

74,404

82,026

32,905

21,419

14,32C

5,122

2,312

10,676

1,538

184,326 2,037,481
85,845 1,707,486

170,285 1,650,222 238,277 278,955 138,142 170,680 622,272 222,398 169,065 359,079 207,109 277,831 4,504,315
Certified and cashiers' or treasurers'
24,941 777,158
16,954
51, 778 16,037 10,334 46,470 13,049 14,178 32,485 29,558 49,489 1,082,431
checks outstanding.
, 539,116 6,684,038
.
575,309 L89,977
Demand deposits... 1,303,345 5,960,703 1,076,816 1,, 314,913 580,517 575,"" 2,189,977 663,025 424,828 747,239 608,250 1,239,116 16,684i
'
685,875 2,011,599 774,356 l! 246,764 483,072 359, 373 1. 732,371 431,261 430,315 295,985 150,856 1,202,911 9,804,738
5
,
Time deposits
United States depos6,382 18,441 242,482
6,321
12,472
7,904 35,548 13,823
22,816
6,538
36,150
50,538
_.,..
25,549
its
2,225,584 10,464,541 2,137,074 ! 917,538 1,240,916 1,125,138 4,628,389 1,343,784 1,044,716 1,441,368 1,004,225 2,788,380 32,361,652
,
T o t a l deposits
Bills payable (including all obligations
representing money
borrowed o t h e r
4,452 13,884 289,253
36,014
26,126
89,763
42,733 27,824 11,104 24,789
8,859
2,146
1,559
than rediscounts)..
Notes and bills rediscounted (including
acceptances of other
banks and foreign
bills of exchange or
drafts sold with indorsement)
19,469 22,691
52,24S 190,592
12,417
18,675 27,078
5,936
4,238
2,04C
7,407 367,490
4,697
Cash letters of credit
and travelers'
42
373
48
776
checks outstanding
17, or
21,709
250
2,048
35
58
205
Acceptances executed
56,1L
292,521
8,708 12,667 16,54C
35,247
4,062 15,524 460,383
for customers
857
2,825
64
15,249




216

FEDERAL RESERVE BULLETIN

MARCH, 1925

ALL MEMBER BANKS (8,043 NATIONAL BANES AND 1,544 STATE BANES AND TRUST COMPANIES)—ABSTRACT OF
i CONDITION REPORTS ON DECEMBER 31, 1924, BY FEDERAL RESERVE DISTRICTS—Continued
[In thousands of dollars]
District District District District
No. 2 No. 3 No. 4
No. 1
(738
(855
(871
(419
banks) banks) banks) banks)

District
No. 5
(617
banks)

District District District District District
No. 6 No. 7
No. 8 No. 9 No. 10
(510
(624
(1,408
(885
(1,066
banks) banks) banks) banks) banks)

Total
United
States
(9,587
banks)

District District
N o . 11 No. 12
(828
(766
banks) banks)

LIABILITIES—COn.

Acceptances executed
by other banks for
account of reporting banks
National bank notes
outstanding
United States securities borrowed
Other securities borrowed._Other liabilities
Total
1

3,862

24,662

4,150

29

1,468

621

391

37,322

52,444

96,453

57,914

98,881

61,374

42,610

90,285!

42,492

32, 744

40,534

45,279

53,323

714,333

547

2,008

815

17,344

4,927

1,691

9,246

6,720

261

1,425

1,153

1,880

48,017

306

l,833i_

1,294
404
2, 287
100
305
76
50
27
540
180
683
5,946
2,134
2,412
38,328!
6,540
11,125
13,454
54,046
1,113
2,098
2,210
10,245
149,036
5,331
2, 762,045 12,498,780 2,712,216 3,629,945 1,603,848J1, 392,821 5,476, 565 1,618,402 1, 213,434 1, 651,000 1,217,071 3,210, 740 38,986,867

Exclusive of securities borrowed by national banks.

ALL MEMBER BANKS (8,043 NATIONAL BANKS AND 1,544 STATE BANKS AND TRUST COMPANIES)—ABSTRACT OF CONDITION REPORTS ON DECEMBER 31, 1924, BY CLASSES OF BANKS
[ I n thousands of dollars]

Central reserve city banks

(66 banks)

Chicago
(24 banks)

Total
(90 banks)

Other
reserve
city
banks
(549
banks)

4,381,023
1,104
974,021
797, 537
6,153,635
294,680
89, 521
2,866
72,627
738,911
159,458
73, 644

1,163,949
378
180,131
162,115
1,566,573
32,833
26,926
74
25,520
162,709
40,935
129,600

5,544,972
1,482
1,154,152
959,652
7,660, 358
327,513
116,447
2,940
98,147
901,620
200,393
203, 244

7,161,802
4,421
1,353,239
1,463,637
9,983,999
119,628
339,382
52,648
178,538
726,462
419,234
968,035

7,458,827
9,805
1,395,402
2,519,197
11,383,331
14,595
404,785
105,545
320,787
599,487
105,299
1,168, 209

4,942,486
39,936,588
461, 736
860, 614
161,133
597,472
2,227,569
724,926
2,339,488

19,801,388
18,510
3,894,620
4, 736,126
38,450,644
330,716
843,077
158,641
527,889
2,121,428
613,494
2,430,462

1,390,441
24,163
2,034

88, 531
6,547
142

1,478,972
30,710
2,176

285, 272
9,287,302

2,044, 289

1
309,170
11, 331,591

367,398
71,330
8,610
11,796
412
113,617
13,360,189

88,744
31,626
25,498
7,291
2,128
37,862
14, 295,087

1,935,114
133, 666
36,284
19,087
2,541
460,649
38,986,867

1,091,300
100,551
36, 701
18,060
1,954
378,953
37,103,870

685,541
584,878
239,631
10,232
2,041,306
204,887
5,440,203
3,435,102
146,219
11,277,949

926,240
655,326
296,872
33,151
515,934
94,220
5,673,425
5,252,267
49,948
11,618,915

2,037,481
1,707,486
786, 759
43,648
4,504,315
1,082,431
16,684,038
9,804,738
242,482
33,361,653

2,034,943
1,682,646
876,516
36,508
4,453,412
653,342
15,729,597
9,597,395
301,803
39,773,057

New York

KESOURCES

Loans and discounts
...
Overdrafts
United States Government securities—_
Other bonds, stocks, and securities.
Total loans and investments
_
Customers' liability on account of acceptances
B anking house, furniture, and
fixtures
Other real estate owned
_
Cash in vault
Reserve with Federal reserve 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
Redemption fund and due from United States Treasurer..
United States securities borrowed *
Other securities borrowed 1
Other assets
Total.
LIABILITIES

Capital stock paid in
Surplus fund
Undivided profits, less expenses and taxes paid
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
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)
Cash letters of credit and travelers' checks outstanding
Acceptances executed for customers
Acceptances executed by other banks for account of reporting banks
National bank notes outstanding
United States securities borrowed
Other securities borrowed
_
Other liabilities
_
Total....:
Ratio of reserve with Federal reserve bank to net deposit
liability (per cent)
* Exclusive of securities borrowed by national banks.




Total United States
Country
banks
(8,948
banks)

Dec. 31,
1924 (9,587
banks)

20,165,601
15,708
3,902,793

Oct. 10,
1924 (9,635
banks)

336,300
379,205
200,093
265
1, 547,432
759,540
4,616,670
775,270
28,591
7,737,768

399,643
23,784
953,740
342,099
17,724
1,736,999

425,700
467,282
250,256
265
1,947,075
783,324
5,570,410
1,117,369
46,315
9,464,758

43,651

225

43,876

104,971

140,406

289,253

167,483

180,259
16,964
290,128

7,125
1,897
34,472

187,384
18,861
324,600

85,482
2,627
122,771

94,624
221
13,012

367,490
21,709
460,383

265,264
22,514
328,526

24, 294
39,884
995

1,638
2,843

9,384
168,637
26,072

2,006

47,761
9,287,302

1
31,458'
2,044,289

25,932
42,727
995
1
79,219
11,331,591

1,331
50,915
13,360,189

20,950
4,614
18,902
14,295,087

37,322
714,333
48,017
5,946
149,036

28,532
723,039
46,786
» 5,535
150,029
37,103,870

13.3

13.4

13.3

10.1

7.5

89,400
88,077
50,163

10.1

10.0

217

FEDERAL RESERVE BULLETIN

MARCH, 1925

S T A T E BANK AND T R U S T COMPANY M E M B E R S — A B S T R A C T O F C O N D I T I O N R E P O R T S O F BANKS O N D E C E M B E R 3 1 , 1924,
BY FEDERAL RESERVE D I S T R I C T S
[In thousands of dollars]
District
No. 1
(36
banks)

District
No. 2
(144
banks)

District
No. 3
(72
banks)

District
No. 4
(119
banks)

District
No. 5
(62
banks)

District
No. 6
(128
banks)

District
No. 7
(353
banks)

DisDisDisDistrict
trict
trict
trict
No. 8 No. 9 No. 10 No. 11
(100
(183
(132
(33
banks) banks) banks) banks)

District
No. 12
(182
banks)

Total
United
States
(1,544
banks)

RESOURCES
, 360,927 336,640
Loans and discounts
_.. 506,006 2,917,023 281,723 893,647 154, 768
238
1,061
1,054
643
98
152
Overdrafts
_.
957
191
United States Government
7,341 233,051 45,136
securities
_
70,413 584,669 65,178 115,027
7,547
5,495
1,990
1,495
2,157
6,507
3,009
975
13,193
Stock of Federal reserve banks
Other bonds, stocks, and
securities
_
110,926 665,576 179,315 216,434 22,884 29,932 349,717 83,828
Total loans and invest689,693 4,181,418 539,333 1,,239,841 186,326 328,6911, 950,845 468,655
ments
Customers' liability on ac5,498
8,958 158,609
91
23,590
278
count of acceptances
8,023
4,351
Banking house, furniture,
53,199 14,771
12,944
49,301
81,345 16,228
17,683
and fixtures
6,796
2,281
1,995
5,049
Other real estate owned
3,123
3,392
4,723
10,462
2,958
1,370! 10,956
126
Gold and gold certificates
433
239
452
653
33,389
4,515
14,110; 47,990
All other cash in vault
8,024
7,342
8,045
Reserve with Federal reserve
21,754
44,203 414,911 29,327
banks
11,059 20,572 126,842 29,402
Items with Federal reserve
62,331
8,616
27,618 18,055
9,124
97,340 14,040
bank in process of collection. 15, 634
Due from banks, bankers,
27,288
16,284 46,563 113,387 45,505
23,109J
95, 769 17,750
and trust companies. _
Exchanges for clearings house,
45,980
also checks on other banks
63,375 13,607
28,685
in same place
6,535 14,323
16,429 670,057 11,771
Outside checks and other
3,154
9,115
1,661
1,933
572
19,408
663
cash items
United States securities bor5,741
4,519
6,470
418!
170
539
631
rowed
__.
2,238
60
123
50
Other securities borrowed
18,337
2,890
10,096
1,780
9,443
9,855 156,930
7,427
Other assets
Total _

54,161
77

67,873
63

66,113
563

8,047
290

14,821
358

3,024

921,796
818

' 849, 546
,
5,915

165,037 . 319,291
,
3,450
39,396

477
13,662

9,122

76,237

92,237

143,565

,828,325

3,364
234,66611, 042,473
73,5411,
7,585

217,008

48,782
8,264
896
19,060

309,439
52,177
18,420
170,785

74,740

833,183

10,923

237,993

91,113

560,983

25
2,056
1,747
131
2,122

2,862
1,775
105
1,254

4,383

8,587

457

7,

3,781
2,570
101
3,180
6,826
1,250

11,939

27,882

773

3,477

1,315

23,174

853,521

241

1,252

655

18,318

63,055

25,702

68
19,087
465
2,541
59
11
237,211
14,454
225
2,535
840,937 5,939,782 638,5571,504,836 249,693 470,053 2,438,159 611,105 100,376 150,319 121,957 1,552,102 14,617,8
65

LIABILITIES
85,265 19,123 31,410 112,609 40,280
33,0001 232,276 40,165
Capital stock paid in
107,006 24,598
39,495 199,005 72,906 101,367 13,878
Surplus fund
^_
Undivided profits, less ex8,205
49,529
25,075
4,636
6,197
18,710| 119,856 24,631
penses and taxes paid
44
627
674
728
1,077
1,883
3,767
1,525
D u e to Federal reserve b a n k s .
D u e to banks, bankers, a n d
85,081 24,967 69,249 152,639 63,646
24,470 645,815 30,623
trust companies
Certified a n d cashiers' or
treasurers' checks outstand7,358
22,330
32,189
5,461
4,496
5,737
ing
10,720 363,875
047,654 285,027 496,009 93,138 190,267 862,228 239,689
444,290 3,047i
Demand deposits.923,937 152,457 638,686 71,646 116,3951,,024,332 196,342
T i m e deposits
19,009
8,834
8,057
24,908 10,680
2,802
858
4,817
United States deposits
!
»
721,333 5,, 009,956 486,0491,261,876 197,953 383,883 2,, 081,165 515,136
Total deposits
_
Bills payable (including all
obligations
representing
money borrowed other than
13,241
4,125
8,694
4,503
3,364
26,435
10,479
5,055
rediscounts)
Notes and bills rediscounted
(including acceptances of
other banks and foreign
bills of exchange or drafts
2,252
11,209
4,121
sold with indorsement)
9,319
4,165
12,681 122,763
1,549
Cash letters of credit and
travelers' checks outstand31
41
11'
14,642
93
121
ing
Acceptances executed for
104
4,214 13,759
22,686
customers
118
5,498
8,557 162,379
Acceptances executed by
other banks for account of
reporting banks
448
51
9,069
160
878
United States securities bor4,519
5,741
631
6,470
539
418
170
rowed
60
2,238
50
123
Other securities borrowed
31,888 11,795
3,994
227
1,259
5,198
Other liabilities
2,501
43,401
Total _




6,692
2,812

8,610
3,308

11,810
3,510

82,205
32,983

703,445
619,266

1,365

1,674
13

1,142
90

22,675
32

10,460

42,151

9,570

80,116 1,235,623

7,296

483,202
3,448
24,519
2,133
936
34,846 68,577 79,163 484,975
45,311 20,338 12,800 786,414 4,224,966
10,123
42
392
__
__,__..
91,441
919
88,781 135,446 103,798 1,386,179 12,371,555

327

80

709

9,937

86,949

287

184

12B

2,443

171,094

4

465
11
390

15,589
225,151

151

1,012

532
7,836

10,758

59
7,034

19,087
2,541
108,746

840,937 5,939,782 638,557 1,504,836 249,693 470,053 2,438,159 611,105 100,376 150,319 121,957 1, 552,102 14,617,876

218

FEDERAL RESERVE

BULLETIN

M A R C H , 1925-

STATE BANK AND TRUST COMPANY MEMBERS—ABSTRACT OF CONDITION REPORTS ON DECEMBER 31, 1924, BY CLASSES
OF BANKS
[In thousands of dollars]
Central reserve city banks
New York
(31 banks)

Chicago
(11 banks)

2,254,205
814
426,582

584,340
146
106,458

Other
reserve
city banks
Total
(42 banks) (187 banks)

Country
bank
(1,315
banks)

Total United States
Dec. 31,
1924 (1,544
banks)

Oct. 10,
1924 (1,566
banks)

RESOURCES

_
_..

Total loans and investments

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 reserve 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.

9,888

2,759

378,497
3,069,986
156,940
52,148
2,394
7,740
29,294
354,447
71,150
41,388

107,844
801,547
22,676
14,657

2,838,545
960
533,040
12,647
486,341
3,871,533
179,616
66,805

935
6,951
67,409
16, 424
51, 966

8,675
36,245
421,856
87,574
93,354

655,019
14,937

41,899
3,248

696,918
18,185

150,287

1
12,847

1
163,134

132.159
37,118
11,796
412
55,333

4,605,730

Loans and discounts
Overdrafts
United States Government securities
Stock of Federal reserve banks
Other bonds, stocks, and securities

1,040,560

5, 646, 290

5,832,393

3,139,193

14,617,876

168,550
150,915
92,133
265

39, 650
54,317
30,088

208,200
205,232
122,221
265
706,602
366,271
2,868,578
745,093
23,172
4,709,981

300,184
289,370
99,404
1,960
438,759
94,582
2,186,979
2,200,448
59, 678
4,983,406

195,061
124,664
62,070
8,235
90,262
22,349
1,270,306
1,279,425
8,591
3,679,168

703,445
619,266
283,695
10,460
1,235,623
483, 202
6,325,863
4,224,966
91,441
12,371,555

1,800

51,411

33,738

124,615
14,682
183,499

25,952
860
36,827

20,527
47
4,825

171,094
15,589
225,151

94,845
16,384
187,952-

8,978

2,394

3, 254,390
2,315
559,535
17,247
788, 294
4,621,781
32,010
162.158
29, 717
3,610
74,061
282,720
119,999
269, 519

1,756,611
2,640
226,716
9,502
553, 690
2,549,159
5,382
80,476
20,066
6,135

7,849, 546
5,915
1,319,291
39,396
1,828,325
11,043,473
217,008
309,439
52,177
18,420
170, 785
833,183
237,993

7,594,884
6,277
1,318,766
39,383
1,800,927
10,760,237
185,050*
301,379
51,197
16,874
151,633
817,797
185,600
580,318

24, 444
7,752
7,291
2,128
18,744

853,521
63,055
19,087
2,541
237, 211

462,155
47,686
18,060
1,954
212,144
13,792,084

60,479

128,607
30,420
198,110

LIABILITIES

Capital stock paid in
_
_
Surplus fund
_
_
Undivided profits, less expenses and taxes paid
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
_.
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)
Cash letters of credit and travelers' checks outstanding
Acceptances executed for customers
Acceptances executed for other banks for account of reporting banks
United States securities borrowed
,
Other securities borrowed
Other liabilities
Total.
Ratio of reserve with Federal reserve banks to net deposit
liability (per cent)__

597,674

354,662
2,435,660
450,141
11,377
3,849,779

108,928
11,609
432,918
294,952
11, 795
860,202

1,800

703,166
319,912
9,166
1,181,620'
5,938,3304,138,099
116,391
11,672,445
43,872

118,779
14,614
160,816

5,836
68
22, 683

39,366

1
27,715

1
67,081

1,374
11,796
412
32,397

406
7,291
2,128
9,268

10,758
19,087
2,541
108,746

10,097
18,057
1,954
114,367

4,605,730

1,040,560

5,646,290

5,832,393

3,139,193

14,617,876

13,792,084-

12.8

12.9

12.8

9.5

7.0

10.3

10.4

CHANGES IN MEMBERSHIP IN THE FEDERAL RESERVE SYSTEM, 1919-1924

At the end of 1914, the year in which the
Federal reserve system was put into operation,
there were in active operation 7,574 national
banks, which were required by law to become
members of the system, and 8 member State
banks. These banks had total resources of
$11,444,000,000. Between 1914 and 1918 the
number of member banks in active operation
increased by 1,110, and on December 31, 1918,
active membership comprised 7,762 national
banks and 930 State banks, a total of 8,692
member banks, with aggregate resources of
$27,516,000,000. This growth in the number




of^ member banks represented largely the admission of State banks into the system. The
initial growth in membership continued at
about the same rate until 1922, when the number of member banks reached its highest point.s
On December 29 of that year there were 8,220
national banks and 1,639 member State banks, a
total of 9,859 member banks with resources of
$33,883,000,000. Although the increase of 709
in the number of member State banks was not
c^uite so large as during the earlier period, the
increase of 458 in the number of national
banks, a considerable part of which was due to-

MARCH, 1925

FEDERAL RESERVE BULLETIN

219

the conversion of nonmember State banks, was proportional membership in the Richmond,
much larger than in the preceding four years. Atlanta, Chicago, St. Louis, Minneapolis, and
Since 1922, although the resources of the banks Kansas City districts, in which districts the
have continued to increase, there has been a actual membership ranged between 26 and 39
decline of 177 in the number of national banks, per cent of the potential membership, the corand a decline of 95 in the number of State responding range for resources being 62 and 69
banks, a decrease in total membership in the per cent.
system of 272 banks. The number and re- On December 31, 1924, there were 9,587
sources of member banks in active operation, member banks in active operation, as indicated
as indicated by required reports of condition, by the required reports of condition which
are shown for 1914 and for each year from 1918 were submitted by the banks as of that date.
Of this number, 8,043 were national banks and
to 1924, in the following table:
1,544 were State banks and trust companies.
MEMBERSHIP IN THE FEDERAL RESERVE SYSTEM,
A net growth in membership of 895 banks dur1914 AND 1918-1924
ing the six years between the end of 1918 and
the end of 1924 was the result of 2,226 additions
Member banks
and 1,331 losses, excluding from these such
compensating changes as were involved in the
Resources (in millions of
End of year
Number
movement of banks between the two classes
dollars)
of members and which were consequently withTotal National State Total National State
out effect on the membership in the system as
a whole.
7,582
7,574
8 11,444
11,351
93
1914
The largest proportion of the additions dur8,692
7,762
930 27,516 20,034
7,482
1918
9,066
7,885
1,181 32,616
22,702
9,914 ing the period were State banks which entered
1919
9,606
8,125
1,481 31,184
21,357
9,827
1920 - . 9,779
8,165
1,614 29,316
19,411
9,905 the system, either converting into national
1921
9,859
8,220
1,639 33,883 21,966
11,917 banks or, upon approval by the Federal Reserve
1922
9,774
8,179
1,595 35,239 22,396
12,843
1923
9,587
8,043
1,544 38,987 24,369
14, 618 Board, becoming member State banks.
In
]924
the six years under review, 1,019 State banks
were admitted to the system as State bank
On June 30, 1924, the latest date for which members and 406 converted into national
information is available concerning the number banks. A larger number of State banks joined
and resources of all banks in the United States, the system in the San Francisco district than
approximately one-third of all the banks in the in any other; the number was also comparacountry were member banks; but the resources tively large in the Kansas City and Dallas
of these banks, exclusive of the resources of districts. It exceeded in every district the
the reserve banks themselves, aggregated number of banks which withdrew from memnearly two-thirds of the total resources of all bership either by becoming nonmembers or
banks in the country. The Federal reserve through absorption by some existing nonmemact imposes certain minimum requirements re- ber bank or through succession by a new nongarding the amount of capital which member member bank organized for the purpose. Durbanks must have, which renders many non- ing the same period 763 national banks were
member banks ineligible for membership en- organized. The remaining 38 additions were
tirely apart from other considerations which banks which had formerly suspended and reare taken into account in passing upon appli- sumed operations again. In addition, 6 noncations for admittance. At the end of June member banks were absorbed by member banks,
last year there were 13,598 nonmember banks, without effect on the number of banks in the
with resources of $11,587,000,000, which were system.
eligible for membership in the system on the Of the losses to membership, 463 are acbasis of capitalization. On the same date counted for by mergers. There were 296 intrathere were 9,650 member banks, with resources class mergers—that is, mergers between national
of $35,777,000,000, representing about 76 per banks or between State banks, and 167 intercent of the aggregate resources of all member and class mergers—that is, mergers of State banks
eligible nonmember banks and about 42 per cent with national banks, or vice versa. Voluntary
of the total number of such banks. The high- liquidation accounted for 123 losses to memberest percentage of membership was in the Phila- ship.1
delphia district, where 72 per cent of all member and eligible nonmember banks, with 89 i In all cases in which voluntary liquidation resulted, as far as could
per cent of the aggregate resources, were mem- be determined, in some other outcome than final termination of the inoers of the system. There was much lower stitution, the change was classified according to the ultimate status of
the bank.




220

FEDERAL RESERVE BULLETIN

During the six years, 1918-1924, 107 banks
withdrew from the system. Of these 101
were State banks which availed themselves of
their option of withdrawal upon advance notice
and 6 were compulsory withdrawals. In addition, 266 banks were absorbed or succeeded
by nonmember banks. It will be noted that
the number of member banks thus lost to the
system by becoming nonmember banks (373)
constitutes only about one-fourth of the number
of nonmember banks which joined the system.
There were during these six years 71 suspensions, 28 among national and 43 among State
banks, and 293 insolvencies, 249 of these being
national and 44 State banks. This total of
364 suspensions and insolvencies has occurred
for the most part in the last two years; there
were 104 member banks closed or insolvent in
1923 and 158 in 1924. These were, principally,
banks located in the agricultural districts.
Suspensions and insolvencies occurred more
frequently among the smaller banks, as is indicated by the fact that the average resources

MARCH, 1925

of these banks were about $760,000, as compared with an average of about $3,000,000 for
all national banks and of nearly $9,000,000 for
member State banks. Available data show
that in these two years the totals of all bank
suspensions in the country were the highest on
record, and reports to the Federal reserve banks
of banks closed during 1923 and 1924, member
and nonmember, confirm the above indication
as to the size of the banks, and show that about
68 per cent of all banks reported closed during
these years had capital of $25,000 or less and
less than 2 10 per cent had capital in excess of
$100,000.
In the following table are shown, by districts,
the changes in active membership for the years
1919 to 1924, excluding from the data changes
which represent compensating movements of
banks between the two classes of members and
which were without effect on membership in
the system as a whole.
2
The reports for 1923 include only 7 of the 12 districts, but cover probably not less than 90 per cent of the banks closed.

CHANGE IN ACTIVE MEMBERSHIP OF FEDERAL RESERVE SYSTEM, B\r DISTRICTS 1919-1924
Districts (number of banks)

All districts

Total
NumBos- New Phila- Cleve- Rich- Atdelber of (inresources
thousands ton York phia land mond lanta
banks of dollars)
Active membership Dec. 31,1918
Additions to membershp:
Primary organization of national
banks
Conversion of nonmember banks
to national banks.
Admission of State banks
Resumption following suspension

Chicago

Min- Kan- Dal- San
St.
nesas
Louis apolis City las Francisco

8,692

27,515,659

423

723

661

814

565

426

1,334

514

867

763

429,362

16

138

54

48

37

40

51

43

406

297,363
2,595,023

3
13

11
62

6
47

12
68

40
46

26

19

19

116

120

107

86

1,019

994

727

644

66

87

69

114

58

125

41

46

137

173

44

38

18,063

1

2

1

9

6

8

8

Total additions to membership. 2,226

3,339,811

32

214

107

128

123

183

192

170

219

262

255

341

(2,590,387)
(1,023,661)

17
5

40
12

9
3

21
15

18
7

16
10

31
9

18
7

17
5

34
6

33
17

42
71

8

13

23

37

19

20

24

6
8

6
24

7
6

17
11

50

5
8

7
9

16

7
7

16
1

17

3
1

3
6

10
16
3

1
4
1

20
110
1

4
58
1

16
7

10
45
2

23
26
11
9

5

11
9

22
15

118

60

201

190

154

219

+74 +110

+18

+72 +101

+122
766

Losses to membership:
Merger between member banks—
Intraclass2l
Interclass
Absorption or succession by nonmember banks
Voluntary liquidation
Withdrawal
Suspension
_
Insolvency
Other .
Total losses to membership
Net increase (+) or decrease (—)
Active membership Dec.31,1924

296
167
266

123
107
71
293
8

1,331

542,234
185,279
242,662
42,665
250,910

1

2

2
1

36

82

30

71

71

99

- 4 +132
419 855

+77

+57
871

+52
617

+84

348

1,264,098

+895 +11,471,208
9,587 38,986,867

738

1 National banks merging with national banks or State banks with State banks.
2
National banks merging with State banks and vice versa.




510

1,408

624

885

1,066

828

37

During 1924 the number of national banks
decreased by 136 and the number of member
State banks by 51, a decline in total membership of 187. Despite this decline in membership, the aggregate resources of all member
banks showed an increase for the year amounting to about $3,750,000,000. The changes in
membership, total and net, are classified in the
following table:
CHANGES IN ACTIVE MEMBERSHIP IN THE FEDERAL
RESERVE SYSTEM, DECEMBER 31, 1923, TO DECEMBER 31, 1924
Member banks
Number
National
Active membership, Dec. 31, 1923.
Additions to membership:
Primary organization of national banks
Conversion of nonmember
banks to national
Admission of State banks
Resumption following suspension
_.
Conversion within the system*
Total additions.
Losses to membership:
Merger of member banks—
Intraclass.__
Interclass
Absorption or succession of
member bank by nonmember
Voluntary liquidation (terminal)
Withdrawal
Suspension...
Insolvency...
_.
Conversion within the system i
_
Other losses
Total losses .
Net change during the year
Active membership, Dec. 31, 1924.

State

Total

Resources
(in thousands of
dollars)

8,179

1,595

9,774

35,238,606

90

20,336

90
19

21,345
61,805

17

10,541
2(178, 776)

132

46

170

declared insolvent and resumed operations
again. As against these gains there were 357
losses. Of these losses 120 were due to mergers
between member banks and to voluntary
liquidations and 158 to suspensions or insolvencies.
It will be noted, in addition, that 78 member
banks were converted, in effect, into nonmember banks, 52 being absorbed or succeeded
by nonmember banks and 26 State bank
members withdrawing. This did not represent
a net movement of banks from the system,
however, since there were, on the other hand,
61 nonmember banks which, as already pointed
out, joined the system, and, in addition, six
nonmember State banks which were merged
with member banks. In the New York,
Philadelphia, St. Louis, Minneapolis, and
Dallas districts there was a net gain of 19
member banks, when the changes in the status
of banks, members or nonmembers, are considered.
Out of the total of 158 banks which were
closed or declared insolvent during the year,
125 were national banks and 33 State member
banks. These are shown by districts in the
table below:

114,027

MEMBER BANKS INSOLVENCIES AND SUSPENSION,
(209,927)
(201,873)

10
52

17
108

42,832

35
26
38
120

52,431
66,879
24,934
116,583
(47, 235)
1,347

268
—136
8,043

97 |
-51
1,544

357

305,006

- 1 8 7 3+3,748,261
9,587 38,986,867

There were during the year 170 additions
to membership, of which 61 were nonmember
State banks which entered the system, 90
were national banks newly organized, and 18
were banks which had formerly been closed or

1924

Member banks

Federal reserve bank
National

Total

All districts
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City

158

.

_

_

_

125

1
2
1

. .
1 Compensating items, except for one member State bank which suc- Dallas
ceeded a national bank that did not report on Dec. 31, 1923, and was San Francisco _
therefore not counted among the losses in 1924.
Si
2
Resources of nine banks.
3 Includes in addition to increases classified above, those due o growth
and reorganization
In the following




221

FEDERAL RESERVE BULLETIN

MARCH, 1925

3
4
6
1
47
33
17
10

33

1
2
1

4
13
15
2
56
35
18
11

State

1
q
9
1
9
2
1
1

tables are shown in detail
the changes in membership in the Federal
reserve system, by districts, between October
10, and December 31, 1924, and, for the
svstem as a whole, the changes during each of
the past six years; all intrasystem changes are
eliminated from the latter.

222

FEDERAL RESERVE BULLETIN

MARCH, 1925

CHANGES IN MEMBERSHIP IN THE FEDERAL RESERVE SYSTEM, BY DISTRICTS AND BY CLASS OF BANKS, OCTOBER 10DECEMBER 31, 1924

Resources,
all districts
(in thouAll
sands of
disdollars)
tricts
Totallmembersliip:
Oct. 10, 1924
Dec. 31, 1924
Net increase (+) or decrease
National bank membership:
Oct. 10, 1924
Dec. 31, 1924

-

Net increase (+) or decrease
State bank membership:
Oct. 10, 1924
Dec. 31, 1924

Net increase (+) or decrease
(-)
Changes in national-bank membership:
Total additions
Primary organization. _..__
Conversion of State member bank
Conversion of nonmember
banks
Absorption 2of State member bank
Resumption following
suspension
Total losses
Voluntary
liquidation
(terminal)
Suspension
Insolvency
Merger 3
between national
banks
Absorption by State member bank
Succession by State member bank
Absorption or succession
by nonmember banks
Other decreases4
Changes in State bank membership:
Total additions
Admission of State banks..
Succession to national
banks
.Absorption of national
banks 2
Absorption of nonmember
banks
Total losses
Voluntary
liquidation
(terminal)
Suspension
Insolvency
Merger 8 between State
banks _ . . . .
Absorption by national
bank
Conversion to national
banks
Absorption by nonmember
banks
-Withdrawal

Number
Boston

San
ChiSt. Min- Kansas
necago Louis apolis City Dall as Francisco

845
855

736
738

872
871

620
617

515
510

1,419
1,408

625
624

890
885

1,082
1,066

838
828

774
766

+10

+2

-1

-3

—5

-11

-1

-5

-16

-10

-8

382
383

701
711

664
666

752
752

556
555

384
382

1,057
1,055

495
492

788
785

1,049
1,033

654
645

-26

+1

+10

+2

-1

-2

-2

-3

-3

-16

-9

1,566
1,544

37
36

144
144

72
72

131
128

362
353

130
132

102
100

-3

-9

+2

-2

37,103,870
38,986,867

9,635
9,587

1+1,882,997

-48

23,311,786
24,368,991

8,069
8,043

1+1,057, 205
13,792,084
14,617,876
1

New Phila- Cleve- Rich- AtdelYork phia land mond lanta

+825, 792

-22

4,131
2,071

26
21

563

2
2

2
1
1

1
52

5,324
2,022
10,683

10
10

-2

15
2

2
1

2
2

1

(51,718)
13,833

-5

3

1
2

4
1
3

1

4
1
2

12

4

1

6

4

1

4

3

2

2

16

4

4

4

5

1

7

1

3

3,182
1,347

6
1

2

37,770
4,904

4
3

3
3

380

«1

(1)
26

596
6,641
1,534

3

3
1

307

1

7

3

9

1

2
1

1
4
1

1

(2)
(1)

1

2

1

2

1

2

1

26,918

2
1

1

1

563

1

(1)
1

2

1
5

1
10
3

(6,123)

4

(3)

18,653
36,559

1
1

(1)

1
1
1

1

1

1
2 Includes changes in resources due to reorganization, growth, etc., in addition to changes enumerated.
3 Number not increased; both number and resources appear under losses by absorption for the other class of bank.
4 Counted only among losses in number; resources of memberslnot diminished under ordinary circumstances.
8 Succession of one national bank by another which" did not reportjuntilfafter Dec. 31,1924.

Succeeded a national bank which did not report Oct. 10 and was numbered among losses of previous period.




187
182

1

18

13,833

o

184
183

3
2

2
1

1

1

' 587
584

-1

33
33

(1)

816
36,391

1
1

-1

64
62

3

307

-1

120
119

1

374

419
419

1

3

223

FEDERAL RESERVE BULLETIN

MARCH,, 1925

CHANGES IN MEMBERSHIP IN FFDERAL RESERVE SYSTEM, BY CLASS OF BANK AND BY YEARS, 1919-1924
1919

National

1921

1920
All
National
member

State

All
member National

State

All
member

State

Active membership, beginning of year
Additions to membership:
Primary organization of national banks
Conversion of nonmember banks to national
Admission of State banks
..
Resumption following suspension
Conversion within the system *
Total additions
Losses to membership:
Merger of member banks—
Intraclass 2_. .
Interclass3
Absorption or succession of member bank by
nonmember
Voluntary liquidation (terminal)
Withdrawal
Suspension _ - Insolvency
Conversion within the system 1
_
_
Other losses -_ .
Total losses _. .

7,762

120

34

138

107

38

129

144

74

198

Net increase (+) or decrease (—)
Active membership, end of year

+123
7,885

+251
1,181

+374
9,066

+240
8,125

+300
1,481

+540
9,606

+40

+133

+173
9,779

930

8,692

7,885

170
62
280

234
102

280

170
62

9,066

8,125

234
102
332

103
59

332
11

6

1

5
17

3

Total losses

_. -

Net increase (+) or decrease (—)_
Active membership, end of year

_

103
59
204
5

243

285

512

347

338

669

184

207

371

36
12

1
4

37
16

30
11

7

37
13

38
26

10

2

48
33

59
4

3

62

42

8
9

39
11

3

4
9

3
12

14
12
3
8

27
6

2

6
1

2

12
1

2
2

3
7
6

8,165

All
member National

State

9,779

8,220

77
109

1,614

17

8,165

1,614

State

All
member National

1,595

9,774

42

17
6

1
3

90
19
42
18
1

9,859

8,179

89
55

1,639

All
member

State

90
19

66
6

178

74

216

132

46

170

61
46

43
23

16
5

59
28

45
21

9
10

54
31

1

29

26
13

49
24

7

9
13

52
35
26
38
120

214

97

290

49
39

12
7

1
2

8
36
3

'

31
11
18
9
48

66

95
9

23

4

1924

89
55

95

28
17

7
5
18
1
12

1923

77
109
8
20

1
10

1
1

2
7
21

2
30

1
2

4
30

73
7

2
6

1

50

5
29

29
29

45
29

19
12

19
85

17
108

2

2
1

301

268

97

357

-136
8,043

-51

1,544

-187
9,587

29
2

159

_

204

5

National

Do.
Absorption or succession of member bank b y
nonmember _
Voluntary liquidation (terminal)
_.
Withdrawal
Suspension
Insolvency
_>
_ _ __
Conversion within the system *
Other losses

9,606

11

1922

Active membership, beginning of year
Additions to membership:
Primary organization of national banks
Conversion of nonmember banks to national
Admission of State banks
Resumption following suspension
Conversion within the system *
Total additions
Losses to membership:
Merger of member banks—
Intraclass 2
3

1,481

1,181

72

210

219

118

+55
8,220

+25
1,639

+80
9,859

-41

—44

—85

8,179

1,595

9,774

6
26
21
12
6

1

1
Compensating items, except in 1919 when two national banks were succeeded by a single State bank, and in any case in which a bank was
succeeded by another that was nonreporting until the following year, as in 1919 when a member State bank converted into a national bank which
did not report until 1920.
1
3 National banks merging with national banks, or State banks with State banks.
National banks merging with State banks and vice versa.




224

FEDERAL RESERVE BULLETIN

MARCH, 1925

DEBITS TO INDIVIDUAL ACCOUNTS BY BANKS IN SELECTED CITIES
MONTHLY SUMMARY FOR BANKS IN 141 CENTERS
[In thousands of dollars]
1924

Number
of centers

Federal reserve district

No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.

November

1925

January

December

1924

1923

November

December

Tanuary

2,252,717
23, 708,849
1,820,722
1,980,486
675,127
973,154
4, 500,225
1,081,663
891,171
1,062,890
586,644
2,359,349

2,467,796
28,106,044
2,242,478
2,466,903
795,584
1,154,408
5,326,098
1,259, 637
849, 622
1,189,358
664,938
2, 634,300

2,685,491
28,500,616
2,173,091
2,511,678
767,253
1,201,107
5,490,747
1,306,725
731,307
1,211,359
658,963
2,720,698

2,150,666
20,632,112
1,738,336
1,996,108
710,408
991,989
4,428,485
1,094,428
664,498
1,053,147
583,636
2,460,057

2,287,912
22,801,386
1,999,728
2,331,503
804,167
1,124,910
4,886,123
1,194,752
660,760
1,082,885
620,979
2, 652,946

2,189,052
22,814,899
1,925,455
2,227,515
733,878
1,047,405
4,701,940
1,130,859
565,332
1,003,759
567,222
2,590,948

141

41,892,997

49,157,166

49, 959,035

38,503,870

42,448,051

41,498,264

1
140

23, 046, 934 27,327,223
18,846,063 i 21,829,943

27,681,894
22,277,141

19,982,927
18, 520,943

22,081,149
20,366,902

22,113,958
19,384,306

1—Boston
2—New York
3—Philadelphia...
4—Cleveland
5—Richmond
6—Atlanta
7—Chicago
8—St. Louis
9—Minneapolis. __
10—Kansas City..
11—Dallas
12—San Francisco
Total

New York City
Other cities

WEEKLY SUMMARY FOR BANKS IN 249 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—Richmond
6—Atlanta
7—Chicago.8—St. Louis
9—Minneapolis.._
10—Kansas City..
11—Dallas
12—San Francisco.
Total

Number of
centers

1925, week ending—
Jan. 28
567,126
6,067,599
499, 217
605,838
269,158
249,707
1,181,429
273, 501
170,979
269,632
141,734
575,945

249 10,871,865

Feb. 4

Feb.11

1924, week endingFeb. 18

615,703
586,465
593,455
6,589,601 6,215,767 5,752,543
528,946
467,103
476,552
654, 741
642,526
619,162
300,956
283,355
291,149
265,438
258,979
268,881
1,201,122 1,191,105 1,175, 619
315,838
297, 294
309,432
179,800
194, 665
171,269
289,948
287, 205
286, 265
157,566
151,175
156,837
650,841
631, 098
621, 253
11,750,500 11,206,737 10, 722, 417

Jan. 30

Feb. 6

562,172
5,753,734
494,106
617,778
303,128
257,487
224,397
986,041
1, 051,596
275, 321
254,511
140,087
131,026
235,469
229,482
141,431
127,805
638,029
569, 978
9, 513,443 10,404, 783

496,187
5,128,570
480,635
551,162

Feb. 13

Feb. 20

500,160
4,389,379
400,951
513,045
253, 738
230, 292
250, 219
125,153
235,648
116,449
569,156
8, 531,158

536, 597
5,530,828
510, 749
643,656
270,000
261,755
1,202,130
277,778
158,996
260, 011
145,325
675,152
10,472,977

338, 727
4,162, 599
56,578
294,490
119,039
61,745
171, 943
28, 750
74,300
29,016
25,170
12,325
14, 608
77,642
572, 598
129,786
139,034
.14,208
38,661
28,337
60,156
2,308
68,434
30,696
15, 696
36, 526
37, 768
7,277
21,620
185,501
167,613
34,415
11, 730
35,504
10,385

360,122
5, 221,896
78,435
371,045
168,095
79,100
201.469
• 29,835
84,858
32,957
26,505
14,283
17,075
94,444
730,925
173, 532
156,143
14,325
42,210
35.119
77,154
1,928
76, 794
35,842
16,087
45,568
44,649
8,673
33,280
215.470
216, 710
40,583
14,638
39.120
11,262

BANK DEBITS FOR FEDERAL RESERVE BANK AND BRANCH CITIES
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
Detroit
No. 8—St. Louis
Little Rock
Louisville
Memphis...
No. 9—Minneapolis
Helena
No. 10—Kansas City
Denver
Oklahoma City.
Omaha
No. 11—Dallas
El Paso
Houston
No. 12—San Francisco..
Los Angeles
Portland
Salt Lake City.
Seattle
Spokane




395, 787
5,781,168
67,678
381,540
134,703
71,633
223,453
32,156
81,959
30,497
27,036
15, 575
19, 924
80, 977
731,800
168,708
152,400
14,438
42,294
33,814
88,706
1,751
74,424
37,831
18,269
47,075
45,351
7,617
.
32,880
191,042
169,359
30,321
13,342
39,475
10,043

425, 930
6,279, 720
72,705
410,172
149,148
80,713
241,417
35,593
93,646
38,410
32,295
17,715
19,355
77,204
762,030
152,426
186,350
17,402
40,464
37, 776

1,703
83,092
40,627
19,824
47,392
51,392
7,892
36,369
241,993
181, 537
34,228
12,655
41,564
11,254

415,006
5,920,001
69, 778
345,844
144,008
79,259
243,424
33, 541
81,891
31,836
17,870
18,087
78,517
758, 893
147,644
168, 900
16,165
45,102
33, 941
111, 969
2,013
81,830
40,563
19,634
47,101
49,131
7,641
33,957
220,558
188,545
32,862
14,170
47,093
10, 565

398,180
5,457,373
73,838
355,255
151, 353
76, 575
193,700
29,169
89,206
36,855
29,200
18,609
19,346
78,132
714,009
163,493
172,100
16,406
51,033
35,235
91,448
1,936
82,500
35, 536
19,031
46, 624
51,443
6,824
34,378
210,269
173,878
34,074
14,843
44,525
11, 953

337, 551
4,868,735
62,694
365,617
125,532
69, 725
191,179
29,637
88,600
29, 263
20,181
12,635
16, 372
78,606
651,051
149,004
142,803
12,042
38, 401
31,950
65,754
1,689
64,613
36,329
13,604
37,945
40,198
7,555
28,856
172,368
173,436
32,835
13,372
37,463
8,926

385,106
5,465, 716
69,243
373,124
152, 512
73, 351
199, 835
35,132
95,500
32, 502
23, 713
13, 571
16,635
91,027
563,140
150, 797
157,127
13,763
39, 780
34,379
67, 797
2,244
68,837
36,823
17,568
32,240
44,868
8,294
30,180
199,890
186,067
39,324
13,435
38,184
12,085

MARCH,

225

FEDERAL RESERVE BULLETIN

1925

MONEY IN CIRCULATION
[Source: U. S. Treasury Department circulation statements]
[In thousands of dollars]

Total

1914—July 1
1917—Apr. 1
1920—Nov. 1
1922—Aug. 1
1924—Feb. 1
Mar. 1
Apr. 1
May 1
June 1
Julyl
Aug. 1
Sept. 1
Oct. 1
Nov. 1
Dec. 1
1925—Jan. 1
Feb.l..

3,402,015
4,100,591
»5,628,428
4,337,418
4,681,708
4,807,778
4,812,861
4,760,114
4,815,401
4,755,403
4,665,187
4, 773,878
4,806,367
4,879,694
4,993,570
4,992,931
4,751,538
1

Gold
Standard
coin and Gold cersilver
bullion tificates
dollars

Silver
certificates

1,026,149
1,348,818
231,404
171,985
571,381
633,253
687,252
726,179
779,169
801,381
800,124
872,807
898,165
904,861
933,688
970,564
929,650

478,602
459,680
60,385
268,802
357,177
368, 750
367,113
370,093
373,381
364,414
372,683
385, 499
388, 574
389,201
389,113
388,540
360,808

611,545
641,794
495,353
416,282
405,573
416,047
408,062
403,649
402,122
396,415
398,499
401,794
427,970
436,160
437,971
458,206
455,169

70,300
70,863
89,725
58,378
56,496
55,910
55,202
54,823
54,078
54, 017
53,644
53,915
54,603
55,185
55,606
57,384
55, 533

Treasury Subsidi- United
notes of ary silver States
1890
notes

2,428
1,997
1,628
1,508
,440
1,437
,433
1,428
,425
1,423
1,420
1,417
1,412
1,410
1,407
1,405
1,401

159,966
191,351
261,556
229,956
252,511
251,537
251,639
252, 702
252,557
252,971
252,407
253, 732
256,467
259,710
263,102
266,298
256,898

337,845
330,353
277,736
284,343
294,470
302,404
304,846
301,110
305,966
297,790
301,667
308, 111
304,345
305,840
304,418
295,233
283, 598

Federal Nationalbank
bank
notes
notes

Federal
reserve
notes

356,448
3,310,225
2,115,350
2,008,877
2,030,818
1,988,585
1,909,143
1,897,636
1,843,091
1,745,820
1,746,230
1,729,301
1,784,046
1,862, 055
1,841,621
1, 688, 662

Total
circulation per
capita (in
dollars)

715,180
697,160
715,023
725,782
721,054
735,531
737,141
729,962
738,629
733,835
729,288
741,144
736,500
734,571
737,739
705,442
711, 832

34.35
39.54
52.36
39.47
41.77
42.85
42.85
42.33
42.78
42.20
41.36
42.28
42.52
43.12
44.08
44.03
41.86

3,170
209,877
65,032
12,729
12,091
11,588
11, 025
10,438
10,066
9,635
9,229
9,030
8,710
8,471
8,238
7,987

1
The figures for the several classes of money do not add to this total, as mutilated currency forwarded for redemption and unassorted currency
held by Federal reserve banks have been deducted only from the total.

DISCOUNT RATES OF FEDERAL RESERVE BANKS IN EFFECT FEBRUARY 28, 1925
Paper maturing—
After 90 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

Bankers'
acceptances

Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis..
Kansas City_.
Dallas
San Francisco.
1

Including bankers' acceptances drawn for an agricultural purpose and secured by warehouse receipts, etc.

Changes during the month—New York, on February 27, from 3 to 3J per cent.




Trade
acceptances

Agricultural l
and livestock
paper

226

FEDERAL RESERVE BULLETIN

MARCH, 1925

GOLD SETTLEMENT FUND
INTERBANK TRANSACTIONS FROM JANUARY 22, 1925, TO FEBRUARY 18, 1925
[In thousands of dollars]

Daily settlements

Transfers
Federal reserve bank
Debits
Boston
New York
Philadelphia
Cleveland .
Richmond
Atlanta _
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
_
San Francisco
Total, four weeks ending—
Feb. 18,1925
Jan. 21,1925 .
Feb. 20,1924
Jan. 23,1924




_

_

3,000
1,000

_. __
1,000
500

Credits

2,000
3,000
1,000
1,500
1,000

3,000
8,500
42,000
43,500
19, 500

8,500
42,000
43,500
19,500

Debits

Credits

701,194
2,368,884
671,698
616,393
417,950
292,122
1,104,065
555,276
149,437
377,137
268,961
303,145

710,772
2,351,225
677,002
621,602
411,131
300,016
1,105,724
551,321
147,539
374,132
271,587
304,211

7,826,262
8,308,529
7,088,226
7,204,855

7,826,262
8,308,529
7,088,226
7,204,855

Change in ownership
of gold
through
transfers and settlements
Decrease

18,659
3,819
2,455
2,398
2,005
1,934
31,270

Balance
in fund at
close
of period

Increase
6,578
7,304
5,209
8,894
659

2,626

31,270

57,478
137,428
47,692
51,181
13,633
16,310
93,327
21,998
23,625
46,270
29,989
39,618
578,549
592,392
589,784
587,324

MONEY RATES PREVAILING IN LEADING CITIES, FEBRUARY 15, 1925
The following table shows the customary rates charged on loans
and discounts in the various cities in which 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 handled 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. In making

comparison between the rates charged since February, 1924 and rates
charged at earlier periods, it should be borne in mind that the earlier
rates refer to an entire month, while the later figures cover only a
week. Attention is also called to the fact that the method of reporting the rates has been somewhat modified and that slight changes
in the rates may reflect these modifications.

Customers' prime commercial paper

Loans secured by stocks and bonds
Interbank loans

30-90 days
District and city

4-6 months

Week ending—

Week ending—

Week ending—

Feb. Jan. Feb. Feb. Jan. Feb. Feb. Jan. Feb.
15,
15,
15,
15, 15, 15,
15, 15, 15,
1925 1925 1924 1925 1925 1924 1925 1925 1924
No. 1.—Boston
No. 2.—New York
Buffalo
No. 3.—Philadelphia.._
No. 4.—Cleveland
Pittsburgh
Cincinnati
No. 5.—Richmond
Baltimore
No. 6.—Atlanta
Birmingham
Jacksonville
New Orleans
Nashville
No. 7.—Chicago
Detroit
No. 8.—St. Louis
Louisville
Little Rock
No. 9.—Minneapolis
Helena
No. 10.—Kansas City
Omaha
Denver
Oklahoma City..
No. 11.—Dallas
El Paso
Houston
No. 12.—San Francisco...
Portland
Seattle
Spokane
Salt Lake City..
Los Angeles




4-41
4 -5
5-6
4-41
5 -6
5 -6
5*-6
4*-5
41-5*
5 -6
5 -6
5-6
5*-6
4 -5
4*-6
3*-5
6
6
4*-5
8
5 -6
4 -6
5 -6
5 -7
4 -6
6 -8
5 -6
5 -5*
6
6
5 -7
6
6 -7

4
5 -6
4 -4i
5 -6
5 -6
5*-6
5
5 -5*
5 -6
5-6
4 -8
5 -6
5*-6
4 -5
4*-6
3*-5
6

5 4-4*
5 4 -5
'5~-5l
6
5 -6
5*-6
5*-6
5*
5 -6
6-7
7
6
6
5 -5*
5 -6
5 -5*
6

4
4*-5

4

5
4-4*
4 -6
5 -6
5*-6
5 -6
4f-5*

4-4*
5 -6
5 -6 5 -6
5*-6 5*-6
5 -6 5*-6
5 -5*
•5*

5-6 5-6 5-6
5-6 5 -6 6 -7
4 -8 6 -7
6
5-6 5 -6
6
6
6
41-5 41-5
5*
5 -6 4*-6 5 -6
3*-5
5 -51
o
a
6
6
6
4-51

8
5 -6
4 -6
41-6
6
6
6
4 -6
8
6 -8
6
5 -6
5*
5 -5*
6
6
6
6
7
5 -7
6
6
6 -7 6*-7

8
5 -6
4*-6
31-5

8

5-7 6-7
4 -7
8 6 -8
5 -6 5 -6
5-5* 5-5* 5*-6

4 -7

6

6
4 -6

5-6

6
6-7

6 -7

5-6
5 -5*
4*-5
4*-5
5 -6
5 -6

5-6
5 -6

5-6
5
4*-5|
5
6
5*

6
6
6
6

5 -6
5*-6
6 -7
5 -7
5 -6
6 -7

6
6

Feb.
15,
1925

5
4*
5-51 31-5
5*-6
5
4 *5"-U 4 -4*
5
51 5 -6
5 -6
6 5 -6
5 -6 5 -5i 5 -5*
5 51-5* 5 -6
4*-5*
5f 41-5
5 -6 5 -6 4*-6
5 -6 5 -6
5 -7
6
5 -6
5 -6
6 5 J 5*-6
5*-6
4*-5*
51 4 -5
5 5 -6 5 -6
41-5*
5 -6
5
6
4

6
5* 5*-6
5 -6
5*-6

6-7
6
5 -6

6-8

4H>
5*-6

Week ending—

4 -5

7 6-8

5 -5*
4*-6
4*-5

4 -6

4 -4*
4*-5

Loans secured by
Liberty bonds

5 -6

6
6
6 -7 6-7
6 -7
6
6 6-7

7
6
6
7
6

4*-6
5 -6
5*-6
5 -6
5 -6
8
5 -6
5 -6
6-7
6
6 -7
6
6-7

Demand

Time

Week ending—

Week ending—

Jan. Feb. Feb.
15,
15,
15,
1925 1924 1925

Jan. Feb. Feb.
15,
15,
15,
1925 1924 1925

5 -51
41-5 5 -5* 3*-4!
5 -6
5*-6
4
4
5-6
5 -6
5-6
5-6
5 -5* 5.-5* 5-5*|
4*-5
4*-6
41-5
41-5
5 -6
4*-6
6
6
6
5 -8
5* 5 -6
5 -6
5 -6 5 -6 5*-6
5* 4 -5
4*-6 5*-6 5 -6
4-51
5 -6
6
5*
6
5 -7
4-51

4
4*
3 -5
5 -6
4
5 -6
5 -6 5 -6
5 -6 5*-6
5 -6 5*-6
5*-5!
6
6 6 -7
5 -8
6
5 -6 5*-6
5*-6
4 -5
4*-6 5*-6
4 -5 51-5*
6
6
6-7
6
4*-5*
5*

5 -6
4*-6
3*-6
5 -6
5 -6
5*-6
5 -6
6
5 -7
5 -6
8
6 -8
5 -6
41-6
5 -6 5*-6 5 -6
6 -7 6 -7
6
6
6 -7 6 -8
6
6 -7
6 -7

5 -6
2*-6
5 -6
6

tf

5 -6
5 -6
6*-7
6
8
5*-6
6-7

4*-5
4*-5
6
4-4*
5*-6
5 -6
5J-6
4*-6
41-5*
5-6
5-6
5*-6
4 -5
5 -6
4-5*
6
6
4*-5!
8
5 -6
4-8
5 -6
5 -7
6 -8
6 -8
41-6
5*-6
6 -7
6
6 -7
6 -7
6 -7

Jan. Feb.
15,
15,
1925 1924
5*
4 -5 5 -5*
5 -6
4 ~5~-5*
5 -6
6
5 -6
6
5 -6 5*-6
5 -6 5*-6
5 -51 5*-5!
5-6
6
6 6 -7
5 -8
6
5 -6 5-6
5*-6
6
4 -5
5*
5 -6 5-6
4 -5
5*
6
6
6 -7
6
4*-5!
5*
6-8
8
5 -6
6
5 -6
6
6
6 -8 7 -8
6 -8
5 -6
5*-6
7
6-7
6
6
7
7
6
7
6 -7 6*-7

Loans secured by
warehouse receipts

Cattle loans

Week ending—

Week ending—

Feb.
15,
1925

Jan. Feb. Feb.
15,
15,
15,
1925 1924 1925

4 -6
6
4 -51
5 -6
6
6 -7
5
5 -51
41-6
6
5"-6"
5*-6
4 -5*
5*-6
4-51
6
6 -7

41-5
6
4-5*
4 -6
6
6 -7
5
5*
5-6
6
4*-8
5 -6
5*-6
4 -5*
5-6
4*-5*
6
6 -7

5 -6
6
6 -7
5 -7
5 -8
8
5 -6
5 -6
7
7
6-7
7
6-7

5*-6
6 6 -7
7
6 -7
6
6 -7
6
5 -6
8
8
5 -6 6 -7
6
6
7
6 -7
6 -7
7 6*-7
7
6 -7 6*-7

Jan. Feb.
15,
15,
1925 1924

5 -51
5 -6
6
6
6
5 -&
5*-6'
6
6 -7
6
6
5*-6
5* 5 -5* 5 -5*
5*-6
5*-6
6
7
~-~6
8
6 -7
6 -7
6-7
8
6-7
8
6 -8

5*

8
6 -7
5*-8
6
8
6 -7 7 -8
8 -10 8 -10
7 -8 6 -8

6-6*
6 -7
7 -8

7 -8

to
to

228

FEDERAL RESERVE

BULLETIN

MARCH,

1925

GOLD AND SILVER IMPORTS AND EXPORTS
IMPORTS TO AND EXPORTS PROM THE UNITED STATES, DISTRIBUTED BY COUNTRIES
Gold
Countries

January,
1925

Silver

December,
1924

January,
1924

$3,036,153
6,510
937

$2,119,621

January,
1925

December,
1924

January,
1924

IMPORTS

France
.. . _
Germany
Italy
Netherlands
Spain
Sweden
England _
Canada
Central America
Mexico
West Indies
Argentina
Chile
Colombia
Ecuador
Peru
Uruguay
Venezuela

_

__

$71,046

$28,008
624

$1,353
8,365
2,059

$10,779

2,367,142
5,915,000
5,910
41,934
22,939,710
8,466,428
151,020
560,318
74,244
202,966
4,441
384,185
92,571
104,217

4,212
660,613
133,053
4,207,359
27,407

43
4,108
77,115
3,583
86
129
14,927
39,151

104,135
7,324
102

81,867
10,808

19,491
512,170
197,038
156,888
148,712
486,456
4,219
181,079

48,358
13,509
4,408
572,033
6,467
33
320
81,127
2,357
227

26,482
58,081

3,153
23,378

5,037,800

10,274,049

45,135, 760

7,338,559

5,863,892

5,979,758

1,308,602
17,500,000
3,283,743
40,000
1,002,628
5,078,028
69,998

33,500
20,000,000
1,324,123
130,000
1,000,652
10, 263,690
187,602

17,995

67,493

342, 673
10,000
100,000

466,344
10,000
98,500

7,026

.

__.-__
__
_._

_
._-_
.

.

.

-_

127,636
3,120,326
116, 627
517,656
48,982
7,977
177,164

.

153,842

_

_-

China _
Dutch East Indies...
Philippine Islands
British Oceania
Egypt
Portuguese Africa
All other
Total

. .

•
_

21,343
20, 055
240, 539
192, 536
76,504
1,631
127, 671"
9,239

. __

.

16, 614
2, 729,944
209,982
472,804
34, 564
2,715, 292
80,603
268,932
175,151
39,942
21,097
154,269
148,423
76,157

15,436

188,787
6,989
1,926,929

12,731
143
42,823
279,454
121,286
4,547,455
89
403
247,302
11,708
9,855
395,577
39

369,446
306,453
4, 505,555
19,281

EXPORTS

France
Germany
Netherlands
Spain
Sweden
England
Canada
_
Central America
Mexico.
_.
West Indies
Argentina ._ Colombia
Ecuador
- _
Peru
Uruguay
British India
Ceylon
China
Dutch East Indies
Hongkong
Japan
British Oceania..
Egypt
All other
Total




__

_
.-

.

_

_.

3,559,365
124,048
1,600
137,399
1,920

650
33,000
146, 745
155,180
49,000

700
958,948
146,372
775
156,303
12,895
1,250

15,000
384,000

__

750,655
36,466,268

1 1

128,278
1,000
137,695

__

15,000
941,605

30,566
5,674,442
20,000

3,942,430

5,884,364

3, 981,653

............

3,121,542

4,943,153

1,675,239

13,000

478,500

80,656
220,000

6,354,405
245,493
2,500

135,800

750

73,525, 943

39, 674,653

280,723

32,250
858,259
45

11,384, 799

11,279, 630

8,208,644

229

FEDERAL RESERVE BULLETIN

MARCH, 1925

FOREIGN EXCHANGE RATES
[Noon buying rates for cable transfers in New York as published by Treasury. In cents per unit of foreign currency. ]
COUNTRIES INCLUDED IN COMPUTATION OF GENERAL INDEX
February, 1925
Monetary unit

Par of
exchange

January, 1925

High

Low

High

_

Franc
Krone
Franc

Reiehsmark
Pound
Lira
Florin

itain...
nds . _

Krone
Peseta
Krona
Franc

:::::
Rwit'7orl' fend.
OanadB 1
Ar£pntiilLS
Brazil *
•
CJhilo i
China rIndia

Dollar
Peso (gold)
Milreis...
Peso (paper)
Shanghai tael
Rupee

Yen

Average

Average
Low

Rate
index l

January, 1924

High

cent
Rate Per par
of
59

U

5.0000
4.9700
5.1800
19.30
5.0573
5. 2200
26.80 17. 7700 17. 8700 17. 6700 17. 9200 17. 8104
5.4100
5.1400
19.30
5.3000
5.4300
5.3923
23.82 23. 8000 23. 8000 23. 8000 23. 8000 23. 8000
486. 65 475.7800 479. 3300 474.9900 480. 3700 478.1673
4.1600
19 30
4.0300
4. 0300
4. 2400
4.1669
40.20 40.0100 40. 3100 40. 3000 40. 6100 40. 4069
15. 3100 15.1100 15. 3300 15. 2708
26.80 15.2100
19.30 14.1500 14. 3100 13.9900 14. 3200 14.1808
26.80 26.9300 26. 9500 26.9200 26. 9600 26.9458
19.30 19.2100 19.3000 19.2500 19. 5000 19. 3369
100. 00 99. 7988 99. 9189 99. 5313 99.9568 99. 6895
96.48 89. 6300 91. 3100 90.4600 91. 3900 91. 0754
32.44 10.9900 11. 6300 11. 5700 11. 9900 11. 7150
3
19. 53 10.6500 10. 9500 10. 8100 11. 5400 11.3469
3 66. 85 74. 7300 75. 7500 74. 3200 75. 9600 75. 3423
48.66 35.5900 35. 8600 35.4900 35. 8900 35. 7065
49.85 38. 5200 39. 7300 38. 3500 38. 5300 38. 4546
OTHER

Per cent
of par

Low

4.0200
26.20
4.4300
4.1819
66.46 16. 0200 17. 5800 16.9419
4. 3800
27.94
4. 6650
5. 0100
2
2.0219
99.92
2.0236
.0226
98.26 420. 9400 430.9600 425.9092
4. 2800
21. 59
4. 3400
4. 3900
100. 51 36.9200 37. 8200 37. 3496
56.98 13. 5300 14.4800 14. 0765
73.48 12. 6500 12. 8300 12. 7462
100. 54 25.8700 26. 4000 26.1831
100.19 17. 2500 17.4300 17. 3212
99.69 97. 0137 97.8573 97. 3645
94.40 71. 8300 74. 9300 73. 6542
9. 8100 11. 7000 10. 8523
36.11
9.9500 10. 6800 10 3631
58.10
112. 70 69. 6400 71.3500 70. 2704
73.38 30.1700 30. 8300 30. 4473
77.14 43. 3800 46. 0900 44.8965

21.67
63.22
24.17
87.52
22.49
92.91
52.52
66.04
97.70
89.75
97.36
76.34
33.45
53.06
105.12
62.57
90.06

COUNTRIES

f
Aust f ia

Bulgaria..
Czechoslovakia.
Fini and
Greece

Huiigaiy
Pola nd

__

Portugal

Rumiania
Yugoslavia

Curva
Mexico

Un.iguay
Chitia

_
_

Hongkong
Straits Settlements...

Krone
Lev
Crown
Markka..
Drachma
Krone
Zloty
Escudo

0. 0014
0.0014
.7344
.7279
2.9704
2.9518
2. 5216
19.30
2. 5183
1. 6954
19.30
1. 5658
.0014
.0014
_ _ 20.26
19.30 19.1700 19.2000
4. 9600
108. 05
4. 8500
Leu
.4870
.5180
19.30
Dinar
19.30
1. 6384
1. 6017
100. 00 99. 9799 100. 0281
Peso
49.85 48.9750 49.4333
.do _ _ .
103. 42 94.2800 97. 8200
do
Mexican dollar
3 48.11 54. 5600 55. 6700
3 47. 77 54.9600 55. 7900
Dollar
Singspore d o l l a r . . . . 56.78 55. 0400 55. 5900
20.26
19.30

0. 0014
.7286
2.9727
2. 5179
1. 6933
.0013
19.1700
4. 8200
.5133
1. 5524
99. 9427
48.8000
97. 6600
54. 7500
54.9600
54. 0000

0.0014
.7371
3. 0171
2.5225
1.8167
.0014
19. 2000
4.9200
.5288
1. 7788
99.9777
48.9833
99. 5600
55. 9600
55. 8800
56. 2500

0. 0014
.7335
2.9987
2.5198
1.7553
.0014
19.1788
4. 8808
.5191
1. 6347
99.9561
48.8800
99. 0319
55. 4962
55. 5458
55. 3104

0.01
3.80
13.06
9.09
.01
99.37
4.52
2.69
8.47
99.96
98.05
95.76
115.35
116. 28
97.41

0. 0014
.6833
2. 8726
2.4658
1. 7610
.0034

0. 0014
.7506
2.9080
2.4943
2. 0207
.0052

0. 0014
.7143
2.8981
2. 4828
1. 9357
.0039

12.86
10.03
.02

2.9700
3. 3700
.4913
.5096
1.1169
1.1471
99.9349 100. 0000
47.6094 48. 4219
77. 4700 83. 2000
50.0200 51.4200
49.9500 50.7200
49.7100 50. 8500

3.1831
.4993
1.1335
99. 9736
48. 0737
79. 6808
50. 3727
50. 2081
50. 3481

2.95
2.59
5.87
99.97
96.44
77.05
104.70
105.10
88.67

0.01
3.70

i Weighted average, weighted on the basis of trade with each country for the 12 months ended December, 1924. T h e method of construction
was J described and all index numbers since November, 1918, were published on page 1260 of the BULLETIN for October, 1922.
Per billion paper marks.
' 1913 average.
SILVER
[Average price per fine ounce]

February
London (converted at average rate of exchange).
New York
_




$0.69323
. 68846

January
$0. 69391
. 68817

FEDERAL RESERVE DISTRICTS

\

MINN.

MINNEAPOLIS \

KANSAS
KANS.

OKLA.

Oklahoma City

ARK.

<£_

,

Little*Rock/

^ New Orleans
BOUNDARIES OF FEDERAL RESERVE DISTRICTS
BOUNDARIES OF FEDERAL RESERVE BRANCH TERRITORIES
FEDERAL RESERVE BANK CITIES
•
o




FEDERAL RESERVE BRANCH CITIES
FEDERAL RESERVE BANK AGENCY


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102