Full text of Federal Reserve Bulletin : March 1946

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FEDERAL




ESERVE

BULLETIN
MARCH 1946

BOARD OF GOVERNORS
OF THE FEDERAL RESERVE SYSTEM

EDITORIAL COMMITTEE
ELLIOTT

THURSTON

WOODLIEF

THOMAS

CARL E. PARRY

The Federal Reserve BULLETIN is issued monthly under the direction of the staff editorial
committee. This committee is responsible for interpretations and opinions expressed, except
in official statements and signed articles.

CONTENTS
PAGE

Review of the Month—Recent Economic Developments.
The Foreign Loan Policy of the United States. .
The British Loan, by Marriner S. Eccles.
Report of Board on Pending Legislation on Housing.
Financing War Production and Contract Terminations Under Regulation V
Distinguished Service in War Finance.

219-226
227-231
232-235
236-239
240-248
248

Law Department:
Consumer Credit—Suspension of License and Consent Injunction. .

249-251

Suit regarding Removal of Bank Directors.

251-252

Foreign Funds Control:
Treasury Regulations.
252
Treasury Department Releases
252-254
Current Events
..
..
255-256
Foreign Banking Laws and Reports—Monetary and Banking Reform in Guatemala.
257-288
National Summary of Business Conditions.
....
289-290
Financial, Industrial, Commercial Statistics, U. S. (See p. 291 for list of tables).
291-339
International Financial Statistics (See p. 340 for list of tables) .
340-357
Board of Governors and Staff; Open Market Committee and Staff; Federal Advisory
Council
.
358
Senior Officers of Federal Reserve Banks; Managing Officers of Branches.
359
Map of Federal Reserve Districts.
360
Federal Reserve Publications (See inside of bac\ cover)

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FEDERAL RESERVE BULLETIN
March 1946

VOLUME 32

NUMBER 3

RECENT ECONOMIC DEVELOPMENTS
Since last autumn activity in many sectors
of the economy has been expanding and incomes in the aggregate have been largely
maintained, notwithstanding strikes in important manufacturing industries. Increases
in activity have been substantial in the construction, distribution, and service industries,
and agricultural production has continued at
a high level. A marked decline in output of
manufactures, owing mainly to strikes in the
steel, automobile, and electrical machinery industries, has been offset in part by an increase
in output of minerals. Total industrial production in January, as measured by the

1935-39 average as compared with 168 in
November; and in February is estimated at
around 155. In March industrial production
may advance above the November level, reflecting the end of major work stoppages
and also continued increases in output of
building materials, most nondurable goods,
and minerals.
Production in the whole economy, including agricultural as well as nonagricultural
types of activity, is now above the level of
any previous peacetime period and substantially above the average for the years 1935
to 1939. Employment in all major lines of
activity except agriculture, mining, and conINDUSTRIAL PRODUCTION
struction is above the advanced 1941 level.
260
Unemployment was around 2.7 million in
February, which is considerably less than the
1941 average of 5 million and the 1939 average of 9 million. Output of most goods and
services is close to the capacity of the country's resources under present conditions.
While there will be increases in capacity as
additional veterans enter the labor market,
as the organization of the work improves,
and as the flow of materials and finished
1942
1944 1946
1940
1942
1944 1946
products assumes more normal relationships,
these developments take time. The process
Federal Reserve index. Groups are expressed in terms of
points in the total index. Monthly figures, latest shown are
of expansion would not be facilitated and
preliminary estimates for February.
might be delayed by a general advance in
Board's index and shown in the accompany- the level of prices although selective price
ing chart, was reduced to 159 per cent of the adjustments will be required.
PER CENT

,L VOLUME SEASONALLY ADJUSTED, 1 9 3 5 - 3 9 - 1 0 0 FOR TOTAL

MARCH 1946




219

REVIEW OF THE MONTH
MARKET PRESSURE AND THE NEW WAGEPRICE POLICY

The upward pressure on prices has continued in recent months as demands for
peacetime products quite generally have been
in excess of the productive capacity of the
economy in the reconversion period. Current incomes have been more than double
those of the 1935-39 period, and buyers have
had at their disposal a large volume of liquid
assets acquired during the war period. Heavy
buying has reflected deferred demands and
forward purchasing as well as buying to meet
current requirements. Consumers have been
attempting to replenish their stocks of goods,
and producers and distributors have been
seeking to rebuild their inventories of peacetime products. Producers, also, have been
adding considerably to their plant and equipment. To some extent this buying has been
of a protective nature. Business purchasers
have sought to protect their sources of supply
and also to protect themselves against further
increases in prices.
Especially in the case of manufactured
products, the Government has found it necessary to permit advances in price ceilings to
cover higher costs and to encourage output
of particular products. With unemployment
continuing at-a low level and union organizations strengthened during wartime, labor
has been in a strong bargaining position.
Business, too, has found that the markets for
most of its products were unlimited in this
period and, with profits generally at a high
level, has frequently offered increases in wage
rates of from 10 to 15 per cent. Prolonged
negotiations over larger increases in wage
rates occurred, however, in a number of industries. Disputes in some leading industries
were settled after the announcement of a new
Federal wage-price policy in the middle of
February. This announcement indicated that
certain wage controls would be re-established
220




and that price ceilings would be advanced
quickly, without the six months' test period
of operations, whenever necessary to avoid
hardship as a result of approved increases in
wages and salaries.
The Executive Order providing for the reestablishment of Federal wage and salary
controls permits increases in wage rates consistent with the general advances that had
occurred in related industries or labor market
areas between August 18, 1945 and February
14, 1946; increases necessary to eliminate inequities and substandard conditions; and increases necessary to adjust for the rise in the
cost of living from January 1941 to September 1945, which has been officially announced
as being 33 per cent.
Accompanying the settlement of the steel
wage issue, which provided for an increase
of lSl/2 cents per hour, ceiling prices for finished steel were raised by an average amount
of 8 per cent. Federal announcements emphasized, however, that the granting of price
increases for steel should not be interpreted
to indicate that a general advance in commodity prices would be permitted.
In announcing the new wage-price policy
the President requested the Congress to act
promptly in extending the economic stabilization statutes without amendment and in
continuing the subsidy program for a full
year after June 30. The President also requested that price controls over new and existing housing be enacted to restrain the present speculation in the real estate market,
which he described as one of the most dangerous aspects of the present situation and
one which works particular hardship on returning veterans and their families.
CIVILIAN INCOMES AND EXPENDITURES
ADVANCE

While wage-rate disputes reduced pay rolls
considerably in the metal manufacturing inFEDERAL RESERVE BULLETIN

REVIEW OF THE MONTH

dustries in January and February, wage and first two months of this year payments were
salary payments in other manufacturing in- reduced somewhat, but may be expected to
dustries continued to rise as a result of a fur- increase in March to a rate of close to 160 bilther expansion in employment and of in- lion dollars. This rate would be about the
creases in wage rates. Wages and salaries same as the average level prevailing during
in the construction, mining, distributive, fin- 1945 and somewhat above the average for the
ance and service industries also continued to first quarter of 1946 shown on the accomincrease, after allowance for seasonal changes, panying chart. With a lower level of perreflecting chiefly gains in employment. In
1NDIVIDUAL INCOMES, EXPENDITURES, AND TAXES
March, following the settlement of major
industrial disputes at sharply increased rates
of pay, total private wage and salary payments are likely to rise to a level substantially
above the annual rate of 75 billion dollars
last September and close to the 82 billion
rate of last July.
Net incomes of agricultural proprietors
were reduced somewhat after the end of the
war as a result of declines in prices of farm
products, but since September have increased
as prices of farm products have advanced
above wartime peaks. At the same time net
incomes of unincorporated business enterprises have increased, accompanying a large
expansion in retail trade and service activities.
These gains in entrepreneurial incomes, and
the gains in private wages and salaries, have
been offset to some extent by reductions in
incomes received by Federal workers at shipyards and arsenals and in war agencies. Total
incomes received by the civilian population,
however, have probably increased by about
10 per cent since last September. This increase has more than offset the sharp decline
in Federal payments to the armed forces
whose strength has been reduced from 12
million persons to about 5 million in the
middle of March.
Total income payments, which were at an
annual rate of 154 billion dollars in September, advanced to a level of around 158 billion
in November and December. During the
MARCH 1946




1944

1945

Department of Commerce data with quarterly figures since
1943 partly estimated by Federal Reserve. Figures for first
quarter of 1946 are preliminary estimates. Amounts indicated
as "Savings" represent excess of individual incomes over consumer expenditures and taxes.

sonal taxes effective in 1946, current incomes
available for spending or saving are close to
the wartime peak.
Individuals apparently have reduced their
rate of savings out of current income in order
to increase considerably their purchases of
almost all classes of goods. The largest gains
in purchases have occurred for those types of
products which had been at relatively reduced levels during the war, like metal products, gasoline, tires, men's clothing, leather
shoes, and meats. Sales of men's clothing at
department stores in the fourth quarter of
1945 were 30 per cent above the same period
in 1944 and dollar sales of household ap221

REVIEW OF THE MONTH

supplies of most foods continue to fall short
of the high level of consumer demand and
prices of practically all foods are at ceiling
levels. Price ceilings, moreover, have been
advanced in recent months by about 10 per
cent for butter, cheese, and sugar, and only
the continued use of Federal subsidy payments has prevented further price increases
for a number of food products.
The expansion indicated this year in civilian food supplies is the result solely of a reduction in military needs, since food production is likely to be somewhat less than in
1945 if average crop yields prevail. Military
requirements are expected to drop from 14
per cent of the total food available in 1945
to 3 per cent in 1946. Exports for relief
purposes will be somewhat larger than last
year but will account for only a small proportion of the Nation's total food supply.
Current market supplies of wheat are
short, and since the carry-over on July 1,
1946 may be only about 150 million bushels,
supplies are likely to continue short unless
there is a bumper crop. Livestock feed supplies are limited also and an unfavorable
crop year for wheat and feed grains would
have a serious effect on livestock production.
January 1 stocks of feed were somewhat below the same date last year and, with the
FOOD SUPPLY SITUATION
amounts being fed larger than last year, the
Food supplies available for civilian con- carry-over at the end of this season will be
sumption in the United States are likely to quite small.
The Secretary of Agriculture has recently
be larger in 1946 than last year and, on a
per capita basis, may exceed those of any asked for increases in agricultural production
previous year, according to Department of above earlier goals and for certain changes
Agriculture estimates. This situation is in in price policies in view of the high level of
sharp contrast to conditions in the rest of domestic demand, the increase of export
the world where 1946 food supplies will needs above previous forecasts, and the debe considerably below prewar levels with velopment of inadequate feed supplies. In
February the Government was not able to
famine conditions existing in some areas.
Notwithstanding the relatively ample deliver sufficient wheat to meet its export proquantities that are available in this country, gram for critical foreign relief needs. A Fed-

pliances increased 245 per cent in the same
period from the greatly reduced wartime
volume. In the first two months of 1946
total sales at department stores were 17 per
cent above a year ago, with a larger increase
in February than in January. Sales in February, after allowance for seasonal influences,
were the largest on record by a considerable
margin.
Supplies of most consumer goods continue
to be short of demand and not all of the increase shown for expenditures reflects an expansion in physical volume. Average prices
of food, clothing, housefurnishings, fuels,
and miscellaneous goods and services have
continued to advance in recent months.
Even if incomes should not rise above current levels, price pressures are likely to be
great in coming months until the present
large and expanding volume of production
provides ample supplies to meet accumulated
demands as well as current demands.
These inflationary pressures apply to materials as well as finished products and to
producer's goods as well as consumer's goods.
They are, moreover, not limited to the markets for newly produced goods; thev are also
important in the markets for existing assets
like houses and nonresidential properties.

222




FEDERAL RESERVE BULLETIN

REVIEW OF THE MONTH

eral program to economize on the use of
wheat in flour production has been announced and restrictions have been issued on
the use of grains in the production of alcoholic beverages. Measures have also been
taken to conserve feed supplies.

period in 1945. The sharp expansion in these
fields accounts for most of the large rise since
last spring shown for private nonresidential
construction in the accompanying chart.
Awards.and expenditures for other private
VALUE OF CONSTRUCTION ACTIVITY
MILLIONS OF DOLLARS

RECENT EXPANSION IN CONSTRUCTION
ACTIVITY

Since last spring private construction activity, which had been drastically limited during the war, has expanded more sharply
than any other major type of economic activity. Accumulated and current demands,
however, are so far in excess of the new facilities which can readily be made available
that strong inflationary pressures have developed in housing and real estate markets generally.
After the end of the war in Europe, Federal restrictions on construction were modified to permit the building of new industrial
facilities and the alteration of existing plants
needed in industrial reconversion. Soon after V-J day restrictions on the construction
of commercial and industrial buildings were
dropped, and in the middle of October all
remaining restrictions on construction were
removed.
Private contract awards for new factory
building have shown large gains during the
past year, and since last autumn these awards
have far surpassed the previous peak levels
reached in 1937 and 1928. Contracts for
new stores, garages, warehouses, and other
commercial buildings have also shown exceptionally large increases during the past
year, according to the F. W. Dodge Corporation. Total expenditures on both commercial and industrial building have been estimated to be at a level of about 182 million
dollars per month in January and February
as compared with 42 million in the same
MARCH 1946




1940

1942

1944

1946

1940

1942

1944

1946

Figures beginning in 1944 are joint estimates of the Department of Commerce and the Department of Labor; earlier figures
are estimates of the Department of Commerce. Estimates do
not include repair and maintenance work. Monthly averages
of quarterly data prior to July 1944; monthly data, thereafter.
Latest figures shown are for February.

nonresidential construction—mainly by the
railroads and utilities—have not increased
much above wartime levels.
After the middle of October, when all restrictions on building were dropped, awards
for private residential building rose sharply,
and in the first two months of this year expenditures were seven times as large as
a year ago. Most of the gain has been in the
construction of houses for sale or rent, and
awards for houses for owner-occupancy, although much higher than during the war,
have been proportionately less important
than before the war.
Expenditures on construction of new
houses are now at about the levels reached at
this season in the years 1939 to 1941, as is
shown in the chart. In terms of the number
of new dwelling units being built the comparison with the prewar level is less favorable, because construction costs have increased sharply over prewar levels. Indexes
223

REVIEW OF THE MONTH

of the cost of building a standard house, compiled by the Federal Home Loan Bank Administration, show advances since 1940 of
over 50 per cent for several large cities and
less marked increases in other reporting
cities, with an average rise of one-third. In
recent months the number of privatelyfinanced dwelling units started in nonfarm
areas has been running at an annual rate of
420,000. While this is about four times as
large as in the same period a year ago, it is
considerably below the average of 536,000
units erected during the years 1939 to 1941.
In addition, during that period an average of
about 75,000 publicly-financed units per year
was erected as compared with almost none at
the present time.
Since autumn publicly-financed construction, nonresidential as well as residential, has
been at the lowest level since 1933. During
the war years Federal military and naval
installations accounted for a large part of
public and total construction expenditures.
Federally-financed industrial plant construction for war purposes was also on a large
scale; including equipment, it amounted to
17 billion dollars. The Surplus Property
Administration estimates that 1,540 plants
which cost about 11.2 billion dollars will
eventually be declared surplus. At the end
of 1945, plants costing 2.6 billion dollars had
been declared surplus, and of these, plants
costing 203 million had been either sold or
leased for private operation. Availability of
the plants still to be disposed of may reduce
the demand for the construction of new factories in the postwar period.
PROPOSED N E W HOUSING PROGRAM

In view of the widespread shortage of suitable housing, especially for veterans' families,
a new Federal housing program has been developed, and in February recommendations
224




were made to Congress for legislation. The
proposals are designed to encourage the
building of 2,500,000 new dwelling units during the next two years and to make available
200,000 temporary units by re-use of Government-owned temporary war housing. This
housing, which would be held for veterans,
would be financed with private funds and
most of the houses would be built to sell for
not more than $6,000 or to rent for not more
than $50 per month.
Of the 1,000,000 new units which would
be started this year, 250,000 would be prefabricated, or made largely from prefabricated parts, 50,000 would be trailers, and
700,000 would be of conventional construction, though using some new materials and
techniques. Of the 1,500,000 new units
scheduled to be started next year, 600,000
would be prefabricated and the remainder
would be of conventional construction.
Plans for expanding the output of building materials are an important part of the
proposed program. These plans call for increasing output of conventional materials in
existing plants; converting unused war plants
to the production of both conventional building materials and new materials; and building new manufacturing capacity where necessary. This expansion would be accomplished
by the use of Federal premium payments to
producers of building materials, Government
purchase contracts for prefabricated units and
new materials, accelerated amortization of
new plant for tax purposes, and Government
credit extensions to producers of materials.
In addition the plans call for the granting
of wage-price adjustments or price increases
where they are necessary and not inflationary.
Production of prefabricated houses would
be encouraged, where necessary, by Federal
contracts to purchase from qualified prefabricators a specific number of units at a
FEDERAL RESERVE BULLETIN

REVIEW OF THE MONTH

specified price. The Government would
take delivery, however, of only those units
which were not sold through ordinary channels within a reasonable period. Any units
thus acquired would be disposed of as surplus property.
To accomplish this two-year program the
Congress has been requested to appropriate
250 million dollars to finance the re-use
of temporary war housing, 400 million for
premium payments to producers of conventional materials, and 200 million to encourage the production of new materials. The
Congress has also been requested to make
available Federal funds to stimulate private
research in new construction methods and
materials. No estimates are given of the
costs which would be incurred in the purchase of prefabricated houses, of the amount
of new plant.for which rapid amortization
would be approved, or of the amount of
loans which might be.extended to producers.
The program also calls for legislative action on several other points. Authority is
asked for the Federal Housing Administration to insure builders' mortgages for as
much as 90 per cent of the necessary current
cost of low-priced houses for both sale and
rent; this is substantially the same as the
wartime program of mortgage-insurance but
differs from the ordinary peacetime program
in that the latter permits the insurance of
builders' mortgages for not more than 80
per cent of the appraised value of the property. It is also requested that Federal authority for control of the distribution of all
building materials be extended to December
31, 1947. New legislation on two points is
asked for: enactment of the Wagner-Ellender-Taft Bill which contains a comprehensive peacetime housing program; and enactment of a bill to permit control of the
prices of new and old houses and of building
MARCH

1946




sites. On existing houses the proposal made
is that while no restriction would be placed
on the price at which a first sale could be
made after adoption of the proposal, subsequent sales could not be at a higher price
than the first sale.
In the statement of the program it is estimated that about 1,500,000 workers, including
those required at the site and in producing
and distributing industries, would need to be
recruited and trained. The number now so
engaged is estimated at about 650,000. The
statement also indicates that it might be necessary for the Federal Government to aid in
the provision of improved sites in some cases.
PRICE PROBLEMS IN CONSTRUCTION AND
REAL ESTATE

Demands are urgent not only for residential facilities but also for additional manufacturing and commercial space, schools,
hospitals, public utility expansions, and public improvements. Many factors contribute
to the strength of these demands, including
the curtailment of building during the war,
which prevented provision being made for
increases and shifts in population, and the
current high level of incomes of consumers
and business units compared with prewar.
Repair, maintenance and alteration of many
kinds of structures were also neglected during the war. In spite of the encouragement
proposed for the production of building materials and the recruitment of labor, the new
housing program is so large that, if it is
to be successfully carried out, materials and
labor will probably prove inadequate to meet
nonresidential construction demands. Federal measures to curtail construction of medium and high-priced houses and many types
of nonresidential construction may be necessary; already it has been announced that Federal construction projects which compete
225

REVIEW OF THE MONTH

with veterans' housing for labor and materials
will be delayed.
The pressure of demand for space and facilities will make it both more necessary
and more difficult to control prices and costs.
Production of many building materials and
components, such as lumber, brick, hardware, and plumbing and heating equipment
was reduced considerably during the war
period, and prices of most of these items
have increased appreciably above prewar
levels; the sharpest increases have taken place
in lumber prices which are up 70 per cent
or more at wholesale. As a result of higher
material and wage costs and other factors
there has been a substantial rise in the cost
of construction. It appears that efficiency
of operations has declined and also that
builders' margins have increased, partly as
protection against contingencies, but basically because of the strong demand for construction. In the proposed housing program,
as has been mentioned, provision is made for
continuing price controls on materials, for

.226




stimulating the production of materials by
means of Government financial aid, and for
allocating materials for approved construction. Authority is also being requested
for control of the prices of new houses and
of existing houses.
The orderly expansion of construction and
the attainment of a high, stable volume in
the next few years depend in large measure
on the stabilization of costs and prices at
reasonable levels, as well as on the maintenance of incomes generally. In the present
situation this objective is difficult to achieve.
The demand for space and facilities is exceptionally strong and materials and labor
are in short supply. Only as these conditions
change or as controls operate effectively
can it be expected that costs of construction
or real property values will stop advancing.
Avoidance of any further broad advance in
prices in the construction field is important
to the success of the general program for
preventing inflationary price advances in the
economy as a whole.

FEDERAL RESERVE BULLETIN

THE FOREIGN LOAN POLICY OF THE UNITED STATES*
1. The foreign loan program of the United
States, by assisting in the restoration of the productive capacities of war-devastated countries and by
facilitating the sound economic development of
other areas, is directed towards the creation of an
international economic environment permitting a
large volume of trade among all nations. This
program is predicated on the view that a productive and peaceful world must be free from warring
economic blocs and from barriers which obstruct
the free flow of international trade and productive
capital. Only by the re-establishment of high levels
of production and trade the world over can the
United States be assured in future years of a sustained level of exports appropriate to the maintenance of high levels of domestic production and
employment.
By far the greatest part of the program of reconstruction is being carried out with the resources of the war-devastated countries. UNRRA
takes care only of those immediate relief needs
which cannot be met out of the resources of the
countries involved. Another part of this program
is being carried out through sales of surplus property, such sales being made on credit terms or for
local foreign currencies where sales for cash payment in United States dollars can not be made. The
rest of the job must be handled on a loan basis.
2. The International Bank will be the principal
agency to make foreign loans for reconstruction
and development which private capital can not
furnish on reasonable terms. It provides a means
by which the risks as well as the benefits from
international lending will be shared by all of its
members. It is expected that the International
Bank will begin lending operations in the latter
half of 1946 and that during the calendar year
1947 the International Bank will assume the primary
responsibility for meeting the world's international
capital requirements that can not be met by private
investors on their own account and risk. With its
present membership, the International Bank will
be authorized to lend approximately 7.5 billion
dollars. The bulk of the funds for the loans made
through the International Bank will be raised in
* This statement was formulated by the National Advisory
Council on International Monetary and Financial Problems and
presented to the President. On March 1, 1946, the President
endorsed the recommendations of the Council and submitted the
report to Congress for its information and consideration.
MARCH

1946




the private capital markets of member countries,
particularly in the United States. However, since
this new institution will take time to develop a
lending program, it will probably not be in a position to enter into more than a small volume of
commitments this year.
3. The proposed loan to Britain requiring congressional authorization is a special case, but one
which is an integral part of the foreign economic
program of this Government. No other country
has the same crucial position in world trade as
England. Because of 'the wide use of the pound
sterling in world trade, the large proportion of
the world's trade which is carried on by the countries of the British Empire, and the extreme
dependence of England upon imports, the financial
and commercial practices of Britain are of utmost
significance in determining what kind of world
economy we shall have. The early realization of
the full objectives of the Bretton Woods' program,
including the elimination of exchange restrictions
and other barriers to world trade and investment,
requires an immediate solution to Britain's financial problem. The International Monetary Fund
Agreement permits the continued imposition of
certain of these restrictions for as much as five
years; in the Financial Agreement of December 6,
1945, the British agree to their removal within one
year from the effective date of that agreement.
It is the view of the Council that the British case
is unique and will not be a precedent for a loan
to any other country.
4. In July 1945, the Congress, for the purpose
of making loans to war-devastated areas during
the period prior to the inauguration of the International Bank and for the promotion of American
exports and other special purposes, increased the
lending power of the Export-Import Bank by 2.8
billion dollars, making its total lending power
3.5 billion. At the end of 1945, the Export-Import Bank had outstanding commitments, including money authorized for cotton loans, of 1,560
million dollars of which 1,040 million was committed in the last half of 1945. The 1,040 million
dollars of the commitments made during the
last half of 1945 consisted of:
(a) 655 million dollars for the purchase of
goods which originally had been included

227

THE FOREIGN LOAN POLICY OF THE UNITED STATES

in the lend-lease programs to Belgium,
Netherlands, and France;
(b) 165 million dollars for the purchase of
other goods and services necessary for the
reconstruction of Belgium, Denmark, Netherlands, and Norway;
(c) 100 million dollars available to various European countries including Finland, Belgium, Czechoslovakia, France, Italy, Netherlands, and Poland for the purchase of raw
cotton, and
(d) 120 million dollars for specific export and
development programs, mostly to Latin
American countries.
On January 1, 1946, the Export-Import Bank had
unused lending power of 1.9 billion dollars for
making additional commitments. In addition to
the 1.9 billion dollars, there will be available during
the fiscal year 1947 about 50 million from repayment of principal and an additional sum (possibly
100 million) from the cancellation of earlier commitments.
5. Pending the effective operation of the International Bank, it has been the policy of this Government to limit loans through the Export-Import
Bank for reconstruction and development to the
immediate, minimum needs of the borrower.
Among the factors taken into consideration in making loans of this character are: (1) the urgency
of the need of the borrower; (2) the borrower's
own resources; (3) the possibility of obtaining
the loan from other sources: private capital markets
and other governments; (4) the ability of the
borrower to make effective use of the funds;
(5) the capacity of the borrower to repay; and
(6) the impact of the loan on our domestic
economy.
6. It is the view of the Council that, pending
the establishment and operation of the International
Bank, this Government can meet only a small
proportion of the undoubtedly large needs of
foreign countries for credits for reconstruction and
development.
After careful consideration of all factors, the
Council has concluded that the most urgent foreign
needs will involve negotiations for loan commitments by the Export-Import Bank of approximately 3% billion dollars in the period from
January 1946 through June 1947. This is exclusive of the proposed credit to Britain.

228




Since the available funds of the Export-Import
Bank are about 2 billion dollars, it will be necessary in order to carry out this program to ask
Congress to increase the lending authority of the
Bank by 1% billion. Although this is a substantial increase, the Council believes that it is
a minimum figure.
It is only through careful screening that it will
be possible to carry out the program within the
limits of the additional funds which the Congress
will be asked to make available to the Bank.
It is the established policy of the United States
Government carefully to scrutinize each loan application to determine that the need is urgent
and that the funds can be obtained from no other
source than the Export-Import Bank.
7. On balance the loan program will be beneficial to our domestic economy. In the transition
from war to peace, expanded foreign trade will
not only assist the reconstruction of foreign countries, but also ease the reconversion problem of
a number of domestic industries.
During the war many of our important industries, particularly in the field of capital goods,
were built up to capacities far in excess of any
foreseeable peacetime domestic demands. With
the elimination of war demands, much of this
American productive capacity may be unused.
Such a situation has already arisen, for instance,
with reference to railroad equipment, machine
tools, power and transmission equipment, and
certain types of general industrial machinery. This
is also true for some of the metals, heavy chemicals, synthetic rubber, and other industrial materials. Similarly, we have quantities of cotton, tobacco and other agricultural products which are
surplus to domestic needs. It is fortunate that
this excess productive capacity is for many items
which are most urgently needed by the war devastated countries.
However, a part of the foreign demand will fall
on products which are at present scarce in American markets. The Department of Commerce estimates that perhaps one-fourth of the proceeds of
foreign loans will be spent on such products. In
these cases the export demand, although small in
relation to current domestic demand, contributes
to inflationary pressures in the United States economy, and allocation and export controls must be
maintained in order both to prevent any undue
drain on domestic supplies and to assure that the
FEDERAL RESERVE BULLETIN

THE FOREIGN LOAN POLICY OF THE UNITED STATES
minimum essential needs of other countries are
met.
In this connection, account must be taken
not only of the fact that there is an inevitable
delay in the spending of the loans but also that
the Export-Import Bank discourages the employment of loan proceeds for the purchase of commodities in scarce supply. It is also the policy
of the Government to prevent the proceeds of
loans from being used to purchase goods in the
United States market when similar supplies are
for sale as surplus property.
The figure of 3% billion dollars in requirements through the fiscal year 1947 represents anticipated commitments and not amounts which will
be actually loaned or spent. For example, on
January 1, 1946, the net outstanding loans of the
Export-Import Bank amounted to only 252 million
dollars although the total amount committed was
1.6 billion. In order to permit foreign governments to plan their import programs and to permit
United States producers to schedule their production, loan commitments by the Export-Import Bank
must be made well in advance of actual use of
loan funds.
In view of these considerations, it is believed
that a foreign lending program adequate to meet
the minimum needs of foreign countries will
provide additional production and employment in
many American industries, and that any temporary
sacrifice involved in other areas of the economy
will be small compared to the long-range advantages to the United States of a peaceful, active,
and growing world economy.
8. A basic question to be considered is whether
at a later period foreign countries will be able
to service large American loans and investments.
There is little doubt regarding the ability of debtor
countries after their economies have been fully
reconstructed to increase their national income
sufficiently to handle the service charges on American loans and investments, providing an undue
part of national income of borrowing countries
is not diverted to military expenditures. This
increase can be brought about through the modernization of economically backward areas, increased
employment, and the utilization of new productive
techniques, and well-directed foreign loans will
make an important contribution to this development.
The ability of borrowing countries to develop
MARCH

1946




an export surplus sufficient to meet service charges
on foreign loans will depend in large measure
upon the level of world trade. A high level
of world trade will in turn depend upon the
maintenance of a high level of world income
and a reduction of the barriers to international
trade which have grown up in the past. A high
level of world income, and of national income in
the United States, will be greatly influenced by the
domestic economic policies of the United States
and of other major countries. It is expected that
the proposed International Trade Organization will
play an important role in securing the international
economic environment necessary for the maintenance of high levels of world trade. The operation of the International Monetary Fund should
assure the orderly functioning of a system of multilateral payments, and this will make it possible for
debtor countries to convert their export surplus
with any country into the currency in which their
obligations must be discharged.
9. Fundamentally, however, the ability of foreign
countries to transfer interest and amortization on
foreign loans to the United States depends upon
the extent to which we make dollars available
to the world through imports of goods and services,
including personal remittances and tourist expenditures, and through new investments abroad. As
a last resort, the world outside of the United
States has a current gold production of possibly
1 billion dollars per year to add to their present
foreign exchange reserves, which can be dipped
into to insure payment.
As long as new American investment exceeds
interest and amortization on outstanding foreign
investment, the question of net repayment on our
total foreign investment will not arise, although
as individual investments are paid of? the composition of our foreign investment may shift. It is
impossible to prophesy when receipts on foreign investment will exceed new investment, as American
investment abroad will depend on many future
developments. In a world of peace, prosperity, and
a liberal trade policy, there may well be a revival
and continuation of American private investment
on a large scale, including a reinvestment of the
profits of industry, that will put the period of net
repayment far in the future. Such an increase
of investment is a natural and wholesome development for a wealthy community.
When net repayment begins, whether this be
229

THE FOREIGN LOAN POLICY OF THE UNITED STATES
a few years or many decades from now, it will
involve an excess of imports of goods and services
(including foreign travel by Americans) over our
total exports of goods and services. The growth

of our population and the depletion of our natural
resources and the increase in our standard of living will increase the need for imported products,
and these developments together with the mainte-

EXPORT-IMPORT BANK OF WASHINGTON
LOANS AUTHORIZED BY EXPORT-IMPORT BANK SUBSEQUENT TO JUNE 30, 1945
[AS OF DECEMBER 31, 1945]

Country and Obligor

Latin America:
Brazil
Lloyd Brasileiro
Chile
Chilean State Railways
(Baldwin Locomotive Works)
Chilean State Railways
(Electrical Export Corp.)
Fomento Corporation
Fomento Corporation
Ecuador
Republic of Ecuador
Mexico
United States of Mexico*
Nacional Financiera*
Fred Leighton
Peru
Cia. Peruana del Santa*
(Westinghouse Electric Int'l. Co.)

Date of
Authorization

9/11/45

38.0

7/13/45

1.2

7/13/45

2.0

9/11/45

28.0
5.0

Purpose

Purchase of Cargo Vessels
Purchase of Locomotives
Purchase of Electrical Equipment
Purchase of Steel Mill Equipment
Purchase of Electrical and Other Equipment

9/11/45
1.0

Purchase of Engineering Services

7/13/45
10.0
3/21/45
3/21/45
10/23/45
6/12/45

TOTAL LATIN AMERICA
Europe:
Belgium
K i n g d o m of B e l g i u m . .

Amount of
Authorization
(In Millions
of Dollars)

20.0
.15
.35

Highway Construction, Equipment
Services
Purchase of Electrical Equipment
Import of Mexican Handicraft

and

Purchase of Electrical Equipment

105.7

9/11/45

55 . 0

K i n g d o m of B e l g i u m . . . .

9/11/45

45 . 0

Denmark
Kingdom of Denmark. . .

7/13/45

20 . 0

France
Republic of France....

9/11/45

550 . 0

Purchase of United States Goods and Services (Lend-Lease 3-c terms)

9/11/45

50 . 0

9/11/45

50 . 0

Purchase of United States Goods and Services (Lend-Lease 3-c terms)
Purchase of United States Goods and
Services

7/13/45

50.0

Purchase of
Services

Purchase of United States Goods and Services (Lend-Lease 3-c terms)
Purchase of United States Goods and
Services
Purchase of
Services

United

States

Goods

and

Netherlands
Kingdom of the Netherlands
Kingdom of the Netherlands
Norway
Kingdom of Norway
Various European Countries
Various European Governments. . .

10/

8/45

Goods

and

Purchase of Raw Cotton

4/12/45 ,

5. 0

Purchase of Goods and Services

9/11/45

3 . 06

Purchase of Airport Equipment

TOTAL ASIA
Various Countries:
Governments of Various Countries.
(Int'l. Standard Electric Corp.)
Special Exporter-Importer Credits...

States

920. 0

TOTAL EUROPE
Asia:
Saudi Arabia
Kingdom of Saudi Arabia*
Turkey
•Turkish State Airways
(Westinghouse Elec. Int'l. Co.)

100. 0

United

8.06
9/11/45

5.0

Purchase of Communications Equipment

9/11/45

1.0

Various

GRAND TOTAL
Undisbursed commitments as of June 30, 1945 (adjusted for expirations and cancellations up to December 31, 1945)
Outstanding loans as of June 30, 1945 (adjusted for
repayments between June 30, 1945 and December
31, 1945)

1, 039. 76

TOTAL COMMITMENTS AS OF DEC. 31, 1945.

1,559.65

326.46
193.43

* Credits authorized before June 30, 1945, but not entered on the books of the Bank as commitments until after that date.

230




FEDERAL RESERVE BULLETIN

THE FOREIGN LOAN POLICY OF THE UNITED STATES
. nance of a high and stable level of employment
will facilitate this adjustment. The annual interest and amortization payments on the entire
present and contemplated Export-Import Bank program, the British Loan, and the International Bank
loans floated in United States markets will be less
than 1 billion dollars. The receipt of payments on
our foreign loans in the form of goods and services
is entirely consistent with increased exports from
this country and rising production at home, and
will contribute to a rising living standard in the
United States in the same way that a private individual's earnings on his investments make possible an increase in his own living standard.
10. The loan policies stated here are in full
accord with the basic political and economic interests of the United States. The National Advisory Council, which was established by the
Congress in the Bretton _Woods Agreement Act
and consists of the Secretary of the Treasury as
Chairman, the Secretary of State, the Secretary of
Commerce, the Chairman of the Board of Gov-

MARCH

1946




ernors of the Federal Reserve System, and the
Chairman of the Board of Directors of the ExportImport Bank, has the responsibility of coordinating
the lending and credit programs of this Government, and of achieving maximum consistency between American Government lending and the
lending operations of the International Bank.
This country is supporting the United Nations
Organization wholeheartedly, and the success of
the United Nations Organization depends not
only on political agreement but also on economic
improvement. These loans are for economic reconstruction and development. They will enable
the borrowing countries to increase their own production, relieve their foreign trade from excessive regulation, and expand their trade with us.
Economic reconstruction will foster political stability, and political stability will foster peace. This
program of foreign lending is essential to the
realization of the main objective of the foreign
economic policy of the United States, which is to
lay the economic foundations of the peace.

231

THE BRITISH LOAN
by
MARRINER S. ECCLES

Chairman of the Board of Governors of the
Federal Reserve System*
It is especially gratifying to me to have this
opportunity today to speak to you on the proposed
British loan, which is an integral part of the
gravest problem with which the world is faced
today—the problem of making certain this time
that a lasting peace emerges from the ruins of a
World War. It is particularly fitting that' you here
in Philadelphia should give your most earnest
attention to what is close to your deepest interests,
your traditions, and the aspiration betokened by the
name of this city for attainment of brotherly love.
I take it that this aspiration is not bounded by the
city limits or even by our national shore lines, but
extends to all mankind. It is no overstatement, I
think, to say that the decisions which must be made
in shaping the peace profoundly affect all our
destinies here as deeply as the decisions of the
Founding Fathers who met here and so largely
shaped the destiny of this Nation. The fame they
rightly earned for their ability to think and act
boldly has not been tarnished by any narrowness of
vision or provincial outlook on the part of those
who have come after them in this city. To an
interested outsider, it has seemed that the high
level of discussion and opinion in this environment
has long been worthy of the past and gives added
hope for the future.
The President of the United States has placed
before the Congress a set of proposals designed to
establish our future economic and financial
relationships with the British Empire. Their most
notable feature is a large dollar loan to help the
British to help themselves in surmounting the
difficulties which face them as a result of the war.
These proposals are the result of long and painstaking negotiations with representatives of the
British Government in which I had the honor to
participate. I was invited to come here today to
tell you why I believe they represent a fair and
honorable bargain; why they serve the interests of
the United States; in fact, why they are an essential
step on the road to world peace and prosperity, and,
therefore, why they should be adopted.
* An address delivered before the Foreign Policy Association,
in Philadelphia, on Feb. 9, 1946.

232




We do not need to look twice at the war-torn
world around us to realize what a tremendous job
it will be to restore that world to peaceful and prosperous ways. We do not have to think twice about
recent history and the two World Wars which have
fallen on us within a generation to realize how
vitally important this objective is to every one of
us. The world can not be brought back to the
paths of peace and economic welfare without
strong, courageous leadership. Throughout the
world this country is looked to for that leadership.
This country has a plan for economic peace. It
is to the everlasting credit of this Government that
in the midst of the most devastating of all wars it
nonetheless found energies to devote toward
planning for the peace. We have given the world
leadership by developing, in cooperation with our
Allies, a positive program for economic recovery
and reconstruction. We have taken two major
steps toward laying the groundwork for a prosperous world economy.
The first was the Bretton Woods financial proposals which were worked- out at an international
conference summoned more than a year ago at the
initiative of the United States. The second is the
proposals on international trade and related
matters which have been put forward by the
United States as the basis for discussion in international conferences during the coming year.
These two sets of proposals, one in the financial
and one in the trade sphere, complement each
other. Both have a common objective: the development of "rules of the game" for international
economic affairs. The Bretton Woods Monetary
Fund aims at the abandonment of artificial exchange restrictions and creates machinery for dealing with international exchange rates. The United
States' proposals on commercial policy seek to
eliminate unfair trade practices and other barriers
to international commerce.
What are the prospects for getting the kind of
an economic world envisioned in these proposals?
The outlook is indeed black unless we in the
United States are prepared to do more than preach
FEDERAL RESERVE BULLETIN

THE BRITISH LOAN
about world peace and prosperity. We must be
willing to back up our preachments with practical,
cooperative proposals such as the British loan and
the ones I have just mentioned.
We all know what a desperate state the world
is in today. Great areas in Europe and the Far
East have been left prostrate by the war. Masses
of people in the world are hungry, not just for
food (and for every other kind of goods), but also
for employment and for social and economic peace.
Bread, work, and peace! Enlightened leadership
must provide these essentials of a decent life
through reasonable and humane international
arrangements, or desperate peoples will inevitably
yield to the glib promises of ambitious revolutionists, losing their liberties in the hope of gaining
economic security.
We need an orderly economic recovery in the
world for the sake of political stability and social
order. Poverty breeds international rivalries and
conflicts. In times like these, distressed nations are
tempted to make full use of every bargaining power
and weapon that can be brought to hand. Unless
a positive program for regulating international
economic relations is widely accepted, trading
relations can easily degenerate into a ruthless
struggle for existence. An undeclared state of
economic warfare might rapidly develop among
the world's leading nations and economic blocs. In
such an atmosphere there would be no hope for the
United Nations Organization in bringing about a
lasting peace.
In a very real sense, therefore, the Bretton Woods
Agreements and the United States' proposals on
commercial policy constitute treaties of economic
peace. At the present time, however, many countries can not afford to adhere to these treaties unless
they receive some external assistance. In particular
this is true of countries that suffered most from the
destruction of the war and have little or no capacity
to earn foreign exchange through exports until
they have been rehabilitated. Such countries must
be given an opportunity to work their way out
peacefully and avoid social and economic chaos.
The only satisfactory way out is through long-term
credits, and our country stands almost alone in the
world in being able to grant these credits and
thereby supply essential goods.
Against these reasons for our extending aid to
foreign countries we must weigh the pressures on
our own domestic economy. We can not ignore the
fact that such aid through Government channels
necessitates an increase in public expenditures.
MARCH

1946




However, this increase is, by its terms, selfliquidating. The foreign borrowers will in effect
assume the burden of this increase in our expenditures by making interest and amortization payments on their loans. We must recognize also that
the expenditure of the proceeds of the loans in this
country can not be entirely welcomed at the present
time. Many of these purchases will be made for
products of which we will have an adequate, or
even a surplus, supply, but inevitably other purchases will be for goods that are, for the time being
at least, in short supply, and to that extent such
purchases add to inflationary pressures.
So we must face up to the alternatives. We must
weigh the advantages to the United States of a
contribution to world stability against the costs
which such a contribution imposes on us at home.
No American doubts that we ought to make some
contribution in money and in goods to the relief
and reconstruction of the shattered world. At
one end of the scale we have UNRRA to which by
common consent we are donating large amounts of
money and goods in order to provide emergency
relief for destitute peoples. We all recognize the
necessity for this, despite the drain which the
UNRRA procurement program may exert on some
of our domestic markets. At the other end of the
scale, there are all kinds of grandiose projects which
foreign countries would like to undertake with
assistance from this country, but which are beyond
our ability to provide and would not be in our interest to undertake. In between, however, lies a
range of loan propositions of varying degrees of
urgency and importance. These must be examined
case by case with a view to making a determination
based on our ability and our national interest. This
was my approach to the British problem in the
recent negotiations. Our proposed action in the
specific British case must be judged in the light of
its importance to the success of our whole foreign
economic policy.
The British case is unique. More than any other
country in the world Britain is dependent for her
existence upon foreign trade. She is the world's
largest importer and the pound sterling, after the
dollar, is by far the most important currency in
world trade. British trade and exchange practices,
therefore, have an immense influence on all of the
markets of the world. The construction of a liberal
world trading system along the lines desired by the
United States would be virtually impossible without British collaboration. To my mind, therefore,
the basic justification for the loan is that it would
233

THE BRITISH LOAN
make it possible for Britain to join with us in laying
the foundation for economic peace.
Now, let's look a little closer at the British case
to see why Britain needs the proposed sum of
$3,750,000,000 to carry her through the postwar
period. She was getting along before the war.
Living on her capital a little, perhaps, but a country with very great resources measured by peacetime
standards. However, Britain has just emerged
from six years of life-and-death struggle in which
she has been forced to make tremendous human
and material sacrifices. As a result, she faces
enormously difficult problems.
The war has gravely crippled Britain's means of
international trade on which her livelihood depends. The British Isles are a great workshop
which must import large quantities of food and
raw materials merely to exist. Before the war the
British paid for these imports partly through exports, partly through the provision of shipping and
other services to the world, and partly by drawing
income from large foreign investments built up
through centuries of effort by the British people.
Today the import requirements persist despite the
austere level of British living standards. But what
has happened to Britain's capacity to pay?
In the first place, her export trade is almost gone
and must largely be rebuilt. -Why? Primarily
because Britain has concentrated her energies so
fully on the war. Production for war was given
priority over production for export, except where
exports served to bolster the war eflort of Allied
countries. We were partners in this conversion of
the. British workshop to war purposes. We made
large supplies available to Britain on Lend-Lease.
We, of course, did not insist on repayment in
British goods at the expense of her war production.
But when the flow of Lend-Lease supplies was
abruptly terminated at the end of the war, this
fruitful partnership was dissolved. The main
burden of provisioning the British Isles had to be
taken over by British exports, which were reduced
in 1944 to only 30 per cent of the prewar level.
This burden is manageable in time, but it may be
three or four years before Britain can sufficiently
restore her export trade to enable her again to he
self-supporting.
Britain will also resume her place in time as a
great provider of shipping, insurance, and banking
services to the world. But these activities, too, have
been shattered by the war. British shipping in
particular suffered tremendous war losses.

234




The war brought about a radical change in
Britain's international investment position. Once
the largest creditor country in the world, she has
been reduced to a net debtor through her
prosecution of the war. In order to pay for imports and for her large military expenditures abroad,
she has liquidated nearly 5 billion dollars worth of
foreign assets since 1939 and has incurred foreign
debts of more than 12 billion dollars.
Quite naturally, the British have argued that they
deserve our assistance in digging out of their
difficulties as much as in fighting the war itself.
They were hopeful that we would help them
through the postwar transition period on something like Lend-Lease terms—that we would view
the help as part of our share in the cost of the
common victory over the enemy and in constructing
the peace. We on the U. S. side have agreed to
deal on this basis in settling for Lend-Lease
supplies consumed in the prosecution of the war.
But postwar assistance, we have felt, should be
extended on a self-liquidating basis. We were
impressed by Britain's sacrifice, but we felt that
the provision of new money had to be based on
future rather than past considerations and, therefore could not be a gift but must be a loan, to be
repaid over a period of years and bearing interest
at a rate sufficient to cover approximately the cost
of the money to the United States Treasury. The
American attitude was summed up by Lord Keynes
in the speech which he delivered in the House of
Lords last December. "We soon discovered," he
told his countrymen, "that it was not our past
performance or our present weakness, but our
future prospects of recovery and our intention to
face the world boldly that we had to demonstrate.
Our American friends were interested not in our
wounds though incurred in the common cause, but
in our convalescence. To help that forward interests them much more than to comfort a war
victim.
When this basic question of a loan was decided
upon, and when agreement was reached on firm
commitments by the British with regard to their
trade and exchange policies, the final step was to
determine how large a loan was necessary to do the
job. How much foreign exchange would the
British need to meet urgent expenditures during
the period when they were getting back on their
feet? How much would they need to pay foreign
countries supplying the British market in sterling
fully convertible into dollars and other currencies
FEDERAL RESERVE BULLETIN

THE BRITISH LOAN
rather than in frozen funds? How much of this
foreign exchange could they still draw from their
own resources? How much of the load could be
carried by other countries (Canada, for example),
and what amount needed to be raised in the United
States if the job was to be done? All these factors
were closely examined. This figure of $3,750,000,000
was not picked out of the air. It represents the
careful judgment of our negotiators as to the
minimum amount the British need from us to work
their way out of the present situation, while at the
same time they continue to subject themselves to an
austere standard of living at home. The proposed
loan amounts to what we spent in only two weeks
of fighting a war of death and destruction. In
contrast, it seems little enough to loan in the interest of peace.
Moreover, this loan is to meet Britain's minimum
import needs and not to pay off her other creditors.
As I mentioned before, as a result of her war purchases abroad, Britain owes some 12 billion
dollars. About half of this is owed to India and
countries of the Middle East where the British had
to finance heavy military expenditures during the
war. She plans to negotiate settlements on these
debts involving cancellation of part and repayment
of the rest over a long period of years. Our loan
agreement with Britain provides that she must
settle these debts out of resources other than our
line of credit.
If we make the loan, what of its future? Can
the British repay it? Can Britain and other
foreign countries which share in our emergency
postwar lending program live up to their obligations ?
The answer is that they can repay if world trade
is restored to a healthy basis and if we in this
country take the lead in maintaining a high level
of production and employment. They can't repay
if the world breaks up in warring economic blocs
or falls into another severe world depression. The
essence of these loans is to create the conditions
under which they can be repaid.
Loans, however, are not enough. The restoration
of a healthy world trade also depends on whether
we in this country learn how to administer our
international economic affairs. There is an old,
but often forgotten, axiom—that we can not forever
export more than we import. This year—perhaps
for several years—we face an emergency situation.
During this period we must plan for large export
MARCH

1946




surpluses in order to assist the world in recovering
from the wreckage of war. But let's not lose sight
of the reasons which justify this action. Above all,
let's not make the mistake of thinking that lending
money to finance exports is the way to take care of
unemployment when it develops. We shall deceive
ourselves if we imagine that we can continuously
sell abroad more than we buy. By accepting gold
(of which we already have an abundance) or
promises to pay, we can, of course, delude ourselves for a time into thinking that our foreign
trade is on a solid and lasting basis. We get employment, yes, while the money is being spent, but
<the fruits of that employment are lost to us
permanently if we persist in refusing to take goods
and services from foreign countries to enable them
to service and repay their debts. If we desire to
maintain a thriving export business and receive
service on our investments abroad, we must make
the exchange of goods and services a two-way
street. In the end, responsibility for making it
possible for our debtors to pay is ours, and ours
alone.
We should never forget that this country does
not have unlimited natural resources. We have
been exploiting our mines, our forests, our oil
reserves, at a rapid rate. It is bad enough if we
squander these resources in supporting ourselves at
home. It is much worse if we dissipate them by
pushing them out in exports and fail to provide for
repayment. As we look for ways to restore our
balance of international trade, we should devote
special attention to the possibility of replenishing
our reserves of scarce or irreplaceable raw materials by drawing upon the resources of the outside
world.
There are some, as you know, who will let past
grievances blind them to all reasons for granting
this help to the British people—who remember
only the worst and forget what the finest British
character has contributed through the centuries to
the institutions of free men and the liberation of
the human spirit—who even now forget how this
ancient, hardy people so recently stood alone
through the long, dark night, the only barrier between this country and the onrush of the Axis
powers over peoples less resolute. The good sense
of the American people will not let these dissenting
voices prevail, if for no other reason than that our
Nation can not afford, in its own long-run interest,
to refuse the help.

235

REPORT OF BOARD ON PENDING LEGISLATION ON HOUSING
DEAR SENATOR WAGNER:

On behalf of the Board I am enclosing two
statements with regard to S. 1592 now pending
before your Committee. Because of the Federal
Reserve System's responsibilities in the broad field
of credit, we desired to set forth the reasons why
we feel it would be desirable to reconsider certain
provisions, particularly the proposal contained in
the legislation to provide easier credit terms on new
housing in the lowest price ranges. While the
Board is in entire sympathy with the stated objectives of the bill and is in accord with many of its
provisions, it is our judgment that its enactment
without revision would add to already serious
inflationary pressures.
One of the enclosed statements deals with the
easy credit proposals. The other statement deals
with various provisions of the measure to which
we have previously expressed objection. We would
appreciate having these statements made a part of
the official record of the hearings before your
Committee.
Sincerely yours,
(Signed) M. S. ECCLES.

Chairman.
Enclosures 2
INFLATIONARY DANGERS IN TITLE IV OF S. 1592

Section 402 of S. 1592 would amend Section 203
of the National Housing Act so as to permit the
Federal Housing Administration to insure loans
for as much as 95 per cent of the value of the
property, the loans to run for 32 years, at 4 per
cent interest. Such insured mortgages would be
available only on houses built under FHA inspection, and would not exceed $5,000.
This section is proposed as part of a long-range
Federal housing policy, but its enactment now or in
the near future would strengthen the serious inflationary pressures in the housing market. It
would not contribute to meeting the immediate
need for both an increased supply of houses and
better housing for families of low income.
The housing crisis is typical of the inflation
problem generally. It is due to the fact that the
demand vastly exceeds the supply. There is a large
accumulated shortage of housing units. At the

236




same time, incomes have never been so high as in
the past few years, and never before has the general
public had available such tremendous amounts of
cash and readily convertible assets. When credit
is required, borrowers have been able to obtain
increasingly easy mortgage terms from banks and
other lenders who, having ample funds, are eager
to supplement their Government security holdings
with higher yield investments. A ready availability
of cash resources has thus combined with the unprecedented need for houses to bring about the
inflationary situation in the housing field.
To add to this dangerous pressure at this time
by a still further easing of credit terms would make
the inflationary danger all the greater without
providing any new supplies whatever of houses on
the market. The difficulty lies not in credit terms,
which have been reduced substantially in the past
decade, but in the immediate and prospective
shortages of building materials of various kinds
and of manpower. Any realistic attack on , the
problem must look to remedies for these shortages
as well as to solutions of the special difficulties
created by antiquated building codes, by
monopolistic practices affecting building materials
as well as the building trades, by jurisdictional
conflicts, and by similar restrictions which make
for inadequate construction at excessive cost.
Availability of credit is thus not the factor which
limits additions to the supply of housing, and may
not be for some years to come. While materials
and manpower are short, further liberalization of
credit terms would merely add to inflationary
pressures. Whether further easing of credit terms
would be desirable at some future time when the
demand for housing is not in excess of the supply
of manpower and materials is another question,
and one which should be considered in the light
of conditions then. Certainly at this time it would
be illusory and misleading to the general public to
enact legislation which in effect would serve only to
intensify the demand factor without adding anything whatsoever to the supply side of the equation.
If it is desired to increase the proportion of houses
built in the lowest price ranges, action along lines
of material allocation would appear to hold more
promise.
FEDERAL RESERVE BULLETIN

REPORT OF BOARD ON PENDING LEGISLATION ON HOUSING
COMMENTS REGARDING TITLE III OF S.

1592

Sections 301 and 302
Section 301 would authorize Federal savings and
loan associations to lend or invest their funds in
any mortgage or obligation which is insured under
Title I or Title II of the National Housing Act, as
amended. This would change existing law in two
important respects. It would permit such an association to make loans on homes located more than
fifty miles from its home office, and permit it to
participate in the financing of large-scale rental
housing, without regard to the limitation which
now restricts the aggregate of such loans to 15 per
cent of the assets of the association.
These provisions should not be enacted. Savings
and loan associations have traditionally been local
thrift and home financing institutions, gathering
investment funds of individuals from the local
community and lending them out to home owners
and prospective home owners within the local
community. This is clearly the basic function
which Congress intended Federal savings and loan
associations to perform, although it permitted them,
as a matter of operating flexibility and to meet unusual situations, to engage in other lending activities
within well-defined limits.
This element of flexibility is proper and useful,
but if operations now permitted as exceptions to
the rule should become the general rule, the basic
function described above would be fundamentally
altered. Therefore, the loans made on properties
outside the association's locality (i.e., beyond 50
miles) should remain within the 15-per-cent-ofassets limitation.
Furthermore the financing of large-scale rental
housing should continue to be subject to the
15-per-cent-of-assets limitation. Such financing is
essentially different from the financing of homes
for owners and prospective owners. The borrower,
in the case of rental housing, is not a home owner.
He is an investor in a business enterprise just as
is the hotel owner. Thus, the financing of largescale rental housing is essentially business financing,
which it was never contemplated savings and loan
associations would undertake. The Federal Home
Loan Bank Board has, we think quite properly,
recognized this fact because, although the present
law would permit Federal savings and loan associations to make any non-home loan within the
15-per-cent-of-assets limitation, the Board, by reguMARCH

1946




lation, has imposed severe restrictions on the rental
housing loans which they may make. It has
limited such loans to 50 per cent of appraised
value, except in the case of small apartments (5 to
12 families) for which the limit is 60 per cent,
even though they are insured under the National
Housing Act.
For these reasons, the blanket authorization of
Federal savings and loan associations to lend any
amount anywhere on insured mortgages, which is
contemplated by section 301 (and the corresponding
provisions in section 302), should not be enacted.
Section 303
The purpose of section 303 is to increase the
amount of money which the Federal Home Loan
Banks may borrow in the money market by widening the range of Bank assets on the basis of which
debentures may be issued. The law as it now
stands restricts the amount of debentures which the
System may issue to the amount of advances to
members secured by loans of the types prescribed by
Congress in section 10(a) of the Federal Home
Loan Bank Act. Thus, the power of the Home
Loan Banks to obtain funds in the money market
is geared to the volume of the advances to the
member institutions secured by loans of the best
type, namely, loans which qualify under section 10(a). It seems obvious that the present
provision furnishes the Home Loan Bank System
with borrowing capacity more than adequate to
enable member institutions to meet the demand for
such loans in communities where share accounts
are insufficient. Within the limitation which
relates debentures to capital, the Home Loan banks
can now issue debentures on a one-for-one basis for
the entire amount of 10(a) loans rediscounted. In
what way could a demand arise which could not be
met under the present provision? Only if member
institutions should wish to rediscount other types
of paper (or obtain unsecured advances) in considerable volume. Such other paper would include
mortgage^ loans on business properties, apartment
houses, and other non-home properties, as well as
loans made on the security of share accounts. It
seems apparent that Congress did not intend that
such paper should form the basis for obtaining
additional funds in the market. With the possible
exception of loans on the security of share accounts,
this is a type of financing that should be held within
the 15-per-cent-of-assets limitation, as already

237

REPORT OF BOARD ON PENDING LEGISLATION ON HOUSING
pointed out herein, and therefore that should not
be encouraged by giving such paper, when discounted at a Home Loan bank, the same access to
market funds as is enjoyed by 10(a) paper. In
fact, the power to include such other paper in the
debenture base would have the inevitable effect of
eliminating the relative desirability of loans under
section 10(a) which are clearly the most appropriate type of loan for mutual thrift and home
financing institutions.
The proposed amendment would also include
in the debenture base of the System all Government
obligations owned directly by the Federal Home
Loan banks. This provision would permit Government obligations, including those held as part
of the Banks' reserves, to be counted in the
debenture base.
The present law in our opinion is over-generous
in providing that required reserves may be invested in earning assets (the reserves of commercial
banks and those of the Federal Reserve Banks may
not be in earning assets) and the proposed amendment would go even further by allowing the
reserves to be again multiplied by forming a base
for the issuance of debentures.
There is nothing in the present law which restricts the power of the System to raise money to
perform the functions it was established to perform, namely, to provide a reservoir of funds on
which member institutions can draw when the demand for sound home mortgage loans in their communities exceeds the amount of share investment.
Without issuing debentures, the Banks can make
advances out of their own capital, as well as from
deposits they may have from member institutions
which have more share capital than mortgage
loans. When demands on the Banks exceed these
resources, the System may borrow from the money
market the entire amount of section 10(a) advances
from the Banks to their members.
Bearing in mind that Federal savings and loan
associations are forbidden by law to accept deposits
and that the holder of a share in such an institution
should not expect the same liquidity as the owner
of a deposit in a commercial bank, it seems obvious
that the Federal Home Loan banks should not
need to raise funds on the basis of assets other than
loans of the types described in section 10(a) of the
Federal Home Loan Bank Act. The most likely
use for such funds would be to make unsecured
advances to member institutions to enable them

238




to meet demands for share withdrawals—an operation which is clearly inconsistent with the nature
of share accounts and the uniform charter provisions of Federal associations governing withdrawals.
Section 303 is therefore open to objection on the
following principal grounds: first, because it would
broaden the base for debentures in such a manner
as to encourage lending by member institutions
of types which are inappropriate for local mutual
thrift and home financing institutions; second,
because, by including paper not conforming to
section 10(a) as well as Government obligations
owned directly by the Federal Home Loan banks,
whether as part of their reserves or not, it would
make available to the banks far more funds than
they need in order to perform their functions; and
third, because it is desirable that the reserves of the
Federal Home Loan banks, which are already
invested in earning assets, should not be used as a
basis for further generation of credit.
The argument which has been advanced that
the Federal Home Loan banks have not participated as fully in the financing of the war as they
would if Government obligations could be included
in the debenture base, is not convincing. The
Treasury has said repeatedly that it does not want
institutions to borrow money in order to purchase
Government bonds.
Section 306
The reserve which Congress has said should
some day reach 5 per cent of the Federal Savings
and Loan Insurance Corporation's insured risk was,
on June 30, 1944, after 10 years of operation, only
0.57 per cent of the insured risk. Section 306
would reduce the insurance premium due from
insured institutions by one-third, and would consequently slow down the rate at which the reserve
is accumulated. In a period when losses were high,
the reserve would be sadly deficient.
It might be argued that the right to assess
insured institutions for losses and operating expenses could be used to meet larger losses, but
apart from the fact that the Corporation has never
yet used this power of assessment, it is doubtful
that assessments after large losses have started
would be effective in yielding the amount of
revenue that would be required (since the amount
of assessment for any one year is limited) or could,,
in such a period of widespread strain, be conFEDERAL RESERVE BULLETIN:

REPORT OF BOARD ON PENDING LEGISLATION ON HOUSING
veniently paid by the institutions. Indeed, it is
contrary to all insurance principles to attempt to
assess the insured after the risk insured against has
materialized.
One of the arguments advanced in support of
this proposal in previous years was that the risk
insured by the Federal Savings and Loan Insurance
Corporation is about the same as that insured by
the Federal Deposit Insurance Corporation, and
that therefore the premiums should be similar.
However, the risk is far from being the same.
In the first place, banks insured by the FDIC as
of June 30, 1945, had cash and United States Government securities totaling 112 billion dollars as
against total deposits of 134 billion, leaving
a balance of 22 billion as the only part of
their deposits involving risk of loss to the FDIC.
Capital accounts (capital, surplus, undivided profits
and reserves) totaled 8 billion dollars. The ratio
of capital accounts to these remaining deposits was
therefore 1 to 2.7. By comparison, institutions insured by the Federal Savings and Loan Insurance
Corporation, as of December 31, 1944, had cash
and United States Government securities totaling
1.5 billion dollars as against total private repurchasable capital (shares), including deposits and
investment certificates of 4 billion dollars, leaving
a balance of 3 billion. The undivided profits
and reserves of the insured institutions amounted to
approximately 0.36 billion dollars, a ratio of 1 to 8.
On this basis, the cushion provided by the capital
accounts of institutions insured by the FDIC is
three times as great as that provided in the case of
accounts insured by the Federal Savings and Loan
Insurance Corporation.
In the second place, the comparison of the risks
should be on the basis of the insured accounts of
the institutions and not their total assets. The

MARCH

1946




capital accounts of institutions insured by the
FDIC amounted, in 1943, to 20 per cent of the
insured deposits, while the capital accounts of
institutions insured by the Federal Savings and
Loan Insurance Corporation amounted to only
about 9 per cent of its insured accounts. In other
words, a comparison on this basis, without taking
into account the cash and United States Government securities which would tend to reduce the
risk, would show that the cushion in the case of
the FDIC is over twice as great as in the case of the
Federal Savings and Loan Insurance Corporation.
Finally, the difference is further accentuated by
the fact that, whereas virtually all of the share
accounts and deposits of the institutions insured by
the Federal Savings and Loan Insurance Corporation are covered by insurance, only about 38
per cent of the total deposit liabilities of insured
banks are insured by the FDIC (its Annual Report
for 1943 indicates that 36 billion are insured out
of a total of 94 billion). This means that the effective premium rate of the FDIC is approximately
Y5 of one per cent of insured deposits. Consequently, even if the other factors were equal, the
rate for the Federal Savings and Loan Insurance
Corporation should be raised instead of lowered
in order to make it comparable with that of the
FDIC.
The Federal Savings and Loan Insurance Corporation has 100 million dollars of Governmentfurnished money. This is, in effect, a subsidy. At
the present time, when the national debt is so great
and such earnest efforts are being made to increase
Government receipts it would be more prudent
to permit the rate to remain where it is with the
ultimate view of repaying this 100 million dollars
to the Treasury when possible, rather than to reduce
the rate in the face of all the factors outlined above.

239

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS
UNDER REGULATION V
In the early stages of the National Defense
Program, prior to July 1940, the principal sources
of working capital credit for defense contractors
were commercial bank loans, Federal Reserve Bank
loans under Section 13b of the Federal Reserve Act,
and Reconstruction Finance Corporation industrial
loans. Also, the War and Navy Departments had
authority to make progress payments on certain
contracts up to the value of the work completed,
protected by a lien upon the articles being produced.
In order to meet the demands of defense contractors; particularly to finance their initial heavy
costs, the Navy Department was later authorized
in the Act of June 28, 1940, to make advance payments on contracts for war supplies not exceeding
30 per cent of the contract price. Similar authority
was given the War Department in the Act of
July 2, 1940. These provisions were superseded
by Title II of the First War Powers Act of December 18, 1941, under which Executive Order 9001
was issued authorizing the War and Navy Departments and the Maritime Commission to make advance, progress, and other payments upon their
contracts in any percentage of the contract price
whenever, in their judgment, the prosecution of
the war would be facilitated thereby.
The extension of commercial bank credit to war
production contractors was greatly facilitated by the
Assignment of Claims Act of 1940, which became
effective on October 9, 1940. This Act amended
former statutes so as to provide in substance that
claims for moneys due or to become due from the
United States under a contract providing for payments aggregating $1,000 or more might be assigned to a bank, trust company, or other financing
institution, including any Federal lending agency.
The Assignment of Claims Act was of no assistance
to subcontractors who held no prime contracts.
Both the War and Navy Departments soon found
that the methods of financing thus made available
were still inadequate, particularly in view of the
fact that the extension of subcontracting under the
war production program to a point never before
contemplated in American industry brought many
hundreds of small companies into the program.
Situations arose, especially among subcontractors
240




and sub-subcontractors, where the amount of working capital required was far beyond any amount
that a commercial bank could be asked to provide
without some form of protection against loss, or
was in excess of the bank's legal lending limit,
and where it was either not possible or not feasible
to handle the situation through advance payments.
Moreover, certain inherent disadvantages limited
the amount of financing of war production contracts through advance payments. First, and most
important of all, advance payments could legally
be made only to contractors with the Armed Services, i. e., prime contractors. It was possible for
the prime contractor, with the approval of the contracting agency, to use funds received from the
Services to make advances to his subcontractors,
and in many cases this was done. In general, however, this procedure was not feasible, and therefore
advance payments did not prove to be a satisfactory
method of meeting the credit needs of subcontractors. In the case of contractors who had contracts
with different supply services of the War Department or bureaus of the Navy Department, the
limitation of the use of advance payment money
by each service or bureau to its own contracts resulted in difficult problems of maintaining segregated accounts. The financing through advance
payments of a prime contractor who was also a
subcontractor led to similar administrative problems. Other difficulties grew out of the necessity
of making certain that large portions of the amounts
authorized were not advanced before they were
actually needed. Premature advances resulted in
funds lying idle in the banks. Finally, advance
payments were originally made without interest,
and this tended to encourage contractors to acquire
unnecessarily large stocks of raw materials before
they were actually needed. The imposition of a
standard interest charge of 2% per cent in June of
1942 did much to eliminate this difficulty.
Early in 1941 the War and Navy Departments,
recognizing the difficulties of financing contractors
by advance payments, suggested the possibility of
some form of joint financing to be participated in
by the Services and private banks. Various bills
to remedy the situation were introduced in Congress, including one, supported by the War and
FEDERAL RESERVE BULLETIN

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
Navy Departments, to amend Section 13b of the
Federal Reserve Act so as to liberalize the authority
of the Federal Reserve Banks to provide working
capital for industry. None of this legislation was
enacted.
The origin of Regulation V loans. In the meantime, problems of securing the financing of individual war contracts were becoming more numerous,
particularly from the point of view of the production program of the War Department. In the
latter part of February 1942 a conspicuous incident
arose in which a subcontractor whose production
was vital to the aircraft program was unable to
secure essential working capital through private
sources or by advances from his prime contractor.
This brought the entire matter to a head. It
seemed apparent that necessary legislation could
not be obtained without additional delay and that
some quicker method of solving the problem must
be found.
A means of achieving the desired result was
suggested by officials of the War Department after
discussions with representatives of the Board of
Governors and others. This contemplated the issuance of an executive order under which the Federal
Reserve Banks would act as fiscal agents for the
Services in the guaranteeing of loans made by
financing institutions for war production purposes.
Through prompt action in formulating a workable
program a serious impediment to maximum production by small contractors, sorely needed at that
time, was eliminated. It was early decided that the
program, which became known as the "V" loan
program, was one which could be advantageously
utilized by both the War and Navy Departments
and by the Maritime Commission. Representatives
of those agencies, as well as of the War Production
Board and the Board of Governors of the Federal
Reserve System, participated in policy making conferences from the beginning.
In order to obtain the necessary authority to put
the program into effect, the Chairman of the War
Production Board, the Under Secretary of War,
the Under Secretary of the Navy, and the Chairman
of the Maritime Commission addressed a joint letter
to the President of the United States, proposing an
executive order under the First War Powers Act
which would authorize the War and Navy Departments and the Maritime Commission to guarantee,
or participate in, loans or commitments entered into
by any Federal Reserve Bank, the Reconstruction
MARCH

1946




Finance Corporation, or any other financing institutions to finance contractors engaged in war production. It was also proposed that the executive
order should designate the Federal Reserve Banks
as fiscal agents for the Services so as to utilize the
existing experience and personnel of the twelve
Federal Reserve Banks and their 24 branches located
throughout the United States.
The proposed executive order was approved by
the Bureau of the Budget and by the Office of the
Attorney General, and was signed by the President
on March 26,. 1942, as Executive Order No. 9112.
Confirmation of the executive order by Congress
was included in the Act of June 11, 1942, which
created the Smaller War Plants Corporation.
The Executive Order provided that the operations
of the Reserve Banks should be subject to such
directions and conditions as the Board of Governors
of the Federal Reserve System, by regulation, might
prescribe after consultation with the Services.
Regulation V of the Board of Governors was issued
effective April 6, 1942, setting forth the general
arrangements under which the Reserve Banks
would act on behalf of the Services. It made the
Reserve Banks responsible for carrying out instructions issued by the Services and reserved for the
Board of Governors the power to prescribe rates
of interest, guarantee fees, and other charges in
connection with guaranteed loans.
Instructions were promptly issued by the Secretary of War, the Secretary of the Navy, and the
Chairman of the Maritime Commission to the
Federal Reserve Banks with respect to their duties
as agents for the Services. Among other things,
these instructions provided for investigation, report,
and recommendation by the Federal Reserve Bank
in connection with each application for a guarantee.
Operating procedure under Regulation V. In
the War Department, the V loan program was
administered by the Advance Payment and Loan
Branch, Office of the Fiscal Director, and in the
NaVy' Department and the Maritime Commission
by their respective Finance Divisions. The general
procedure under which loan guarantees were
granted was about as follows. The manufacturer,
or other war contractor, who had need of financing
to handle his war contracts would apply to his local
banker for credit. If the needed credit was in
excess of that which the local bank could furnish
because of the risk or of legal loan limitations, the
bank would apply to the nearest Federal Reserve

241

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
Bank or branch for a guarantee of a specified per- guaranteeing agencies and at the twelve Federal
centage of the proposed loan. The local bank Reserve Banks and their branches. Important
would usually suggest terms and conditions of the policy questions were discussed by a joint policy
loan and furnish necessary credit data. The Re- committee made up of representatives of the three
serve Bank would then review the information, guaranteeing agencies and of the Board of Goverand approve the terms or suggest such modifications nors, and the resulting uniformity in policy deas seemed necessary to protect the interest of the cisions was responsible to a considerable degree for
the success of the Regulation V financing program.
Government.
In connection with its program of decentraliza- The Office of the Administrator for War Loans
tion, the War Department assigned liaison officers obtained periodic reports from the Federal Reserve
to serve at each of the twelve Federal Reserve Banks covering their guaranteed loan operations
Banks, the Detroit Branch of the Federal Reserve and has maintained the statistical records on which
Bank of Chicago, and the Los Angeles Branch of published data are based.
the Federal Reserve Bank of San Francisco. These
The first standard form of guarantee agreement
liaison officers were required to certify that each for use by the War Department, Navy Department,
borrower applying for a War Department guaran- and Maritime Commission was issued under date
tee was engaged in an operation deemed to be of May 14, 1942. The guarantee takes the form of
necessary, appropriate, or convenient for the prose- an obligation on the part of the guarantor to purcution of the war and was in need of funds to chase the guaranteed percentage of the outstanding
expedite war production. They also entered into amount of the loan from the financing institution
negotiations with the Reserve Banks and the bor- on ten days' notice, irrespective of whether any
rowers as to the terms necessary to protect the default had occurred on the part of the borrower.
Government's interest. Field officers of the Mari- The guarantee agreement of May 14, 1942, contime Commission furnished similar statements of tained provisions, Sections 5 and 6, to protect both
the financing institution and the borrower against
necessity with reference to its guaranteed loans.
The War Department delegated to the Federal cancellation of the borrower's war contracts for the
Reserve Banks authority to approve, with the con- convenience of the Government. Section 5 procurrence of the liaison officer, and execute guaran- tected the financing institution by providing, in the
tees of loans of $100,000 or less if the percentage event of cancellation, for an increase in the guaranof guarantee was not in excess of 90 without sub- tee percentage based upon the ratio of the borrower's
mission of the application to Washington. The cancelled contracts to its total war contracts. SecMaritime Commission delegated similar authority tion 6 gave protection to the borrower by providing,
to the Reserve Banks when the guaranteed portion in the event of cancellation, for a suspension of
of the loan was not in excess of $100,000. Because maturity and a waiver of interest on a portion of
most of the Navy Department procurement pro- the loan based l upon the same ratio. Interest so
gram was centralized in the technical bureaus in waived, up to 2 /2 per cent per annum, was payable
Washington, it was believed that applications for by the guarantor. Benefits of these protective proloan guarantees could be acted upon more promptly visions continued in effect until settlement of the
if they were all forwarded to Washington for con- contracts on which the adjustments were based.
The following charges for guarantee fees payable
sideration. Consequently, the Navy Department
did not delegate authority to the Reserve Banks to by financing institutions were prescribed by the
approve and execute guarantees without submission Board of Governors in April 1942 after joint approval by the Under Secretary of War, the Under
of the applications to Washington.
All applications for guaranteed loans, and all Secretary of the Navy, and the Chairman of the
correspondence between the Federal Reserve Banks Maritime Commission:
and the guarantors in connection with the V loan
Percentage of loan
Guarantee fee
guaranteed
(Percentage of loan rate)
program, passed through the Office of the Adminis0 to 75
10 to 20
trator for War Loans of the Board of Governors.
76 to 90
20 to 25
By having all matters pertaining to the program
91 to 100
30 to 40
pass through a single office, it was possible to establish substantially uniform procedures by all three A maximum interest rate of 5 per cent on guaran242




FEDERAL RESERVE BULLETIN

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
teed loans was stipulated. Within this limit the
interest rate was determined by the borrower and
the financing institution. A revised schedule of
guarantee fees was adopted on December 29, 1942,
as follows:

these fears, the War Department, Navy Department, Maritime Commission, and Board of Governors announced on September 1, 1943, a broadened
basis for the guaranteeing of loans which would
enable contractors who made arrangements in advance to obtain the use of most of their working
Percentage of loan
Guarantee fee
capital promptly upon cancellation of their war
guaranteed
(Percentage of loan rate)
contracts for the convenience of the Government.
10
60 or less
12 Vz
65
Loans guaranteed upon this broadened basis
15
70
were known as VT loans to distinguish them from
75
17/ 2
V loans. V loans were essentially production loans
20
80
although in some cases they contained certain pro85
22 Vz
visions for termination financing as well. They
25
90 (for loans of $150,000 or less)
25-30
90 (for loans over $150,000)
were, in general, made to concerns who were sub30-50
Over 90
contractors or mixed prime and subcontractors or
prime contractors having contracts with a number
After a year's experience a revision of the standard form of guarantee agreement was adopted of different technical services or with both the Army
effective April 6, 1943, primarily to effect certain and Navy. Frequently the concern may have had
technical improvements. It was prepared by repre- several hundred contracts and purchase orders
sentatives of the War Department, Navy Depart- which had to be financed on an over-all basis.
ment, Maritime Commission, and the Board of The loans thus usually took the form of revolving
Governors of the Federal Reserve System, after credits with maturities usually not exceeding two
discussions with members of the War Loans Com- years. They required repayments out of moneys
mittee of J:he American Bankers Association, mem- coming due from war production contracts assigned
bers of the Banking Practice Committee of the as security.
VT loans were similar except that they were
Reserve City Bankers Association, officers and attorneys of the twelve Federal Reserve Banks, and intended to free working capital upon termination
a selected group of attorneys for commercial banks of contracts as well as to provide working capital
to finance the contracts. VT loans were guaranteed
in various parts of the country.
The scope of operations under the guaranteed under the standard form of guarantee agreement
loan program was enlarged by Executive Order No. used for V loans, with two principal amendments.
9336 issued by the President on April 24, 1943. The first required the financing institution to have
This order authorized the Office of Lend-Lease a participation in the loan at all times; accordingly,
Administration and the War Shipping Adminis- the original percentage of guarantee specified was
tration to underwrite any guarantees made on their not subject to increase upon cancellation of war
behalf by the War and Navy Departments and the production contracts as was the case with V loans
under Section 5 of the guarantee agreement. The
Maritime Commission.
On May 12, 1943, the Board of Governors estab- second amendment required the financing institulished a maximum of lA per cent per annum for tion to share with the guarantor any commitment
any commitment fee charged the borrower by the fee charged the borrower on the loan.
The maximum amount of credit available to a
financing institution on a Regulation V loan.
Extension of program to include VT loans. Dur- borrower under a VT loan was based upon a stated
ing the summer of 1943 it became evident that percentage of inventories, work in process, accounts
many concerns engaged in war production were receivable, and, without duplication, amounts paid
reluctant to assume additional war contracts because or concurrently to be paid to subcontractors or
of the fear that their working capital would be tied suppliers on claims arising out of the termination
up in such contracts at the termination of the war. of war production contracts. The Board of GovThey felt this might delay their return to peacetime ernors prescribed a maximum commitment fee of
operations and thus place them in an unfavorable Y2 per cent on VT loans.
The Maritime Commission did not authorize any
competitive position. In order that war production
schedules might not be interfered with because of VT guarantees, as it desired to guarantee loans
MARCH

1946




243

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
only for war production purposes. The Navy Department restricted borrowings, prior to cancellations, to amounts actually needed for war production purposes. The War Department, however,
did not insist upon any such limitations, leaving it
entirely up to the financing institutions to see that
all borrowings were within the terms of the borrowing formula.
Legislation for contract termination loans. In the
fall of 1943, steps were taken to provide legislation
covering contract termination financing. The Joint
Contract Termination Board established a Subcommittee on Interim Financing, which prepared a
statement of policy on termination financing, that
was incorporated in the Baruch-Hancock Report on
War and Post-War Adjustment Policies of February
.15, 1944. The recommendations of this report were
in turn reflected in the Contract Settlement Act
of 1944, approved July 1, 1944.
On August 18, 1944, the Director of Contract
Settlement issued his General Regulation No. 1
prescribing procedures and policies to be followed
by the War and Navy Departments and the Maritime Commission in guaranteeing termination loans
through the agency of the Federal Reserve Banks.
Such termination loans, known as T loans, arc for
the purpose of enabling war contractors to obtain
the use of funds tied up in war production pending
final settlement of claims arising from terminated
contracts. The T loan program was a logical extension of the V and VT loan programs, and
Regulation V of the Board of Governors of the
Federal Reserve System was revised effective September 11, 1944, to cover loans made under the
Contract Settlement Act as well as loans made
under the President's Executive Order No. 9112.
Under the T loan program the War Department
and Maritime Commission delegated to the Federal
Reserve Banks authority to execute guarantees of
loans totaling (a) $500,000 or less to any one borrower when the requested percentage of guarantee
is not in excess of 90 and (b) $100,000 or less to
any one borrower when the requested percentage of guarantee is not in excess of 95, subject to the concurrence of the liaison officer in
the case of applications for War Department guarantees, and of the field officer in the case of Maritime Commission guarantees.
Since September 1944 only two types of guaranteed loans have been authorized, namely, T loans
and 1944V loans. 1944V loans were to provide

244




working capital for war production purposes or to
provide funds for both production and contract
termination financing. These new 1944V loans
were similar to the VT loans made between September 1943 and September 1944. The form of
guarantee agreement was simplified and shortened,
largely by deleting Sections 5 and 6 of the April 6,
1943, form of agreement. The War Department
delegated to the Federal Reserve Banks authority
to execute, with the concurrence of the liaison
officer, guarantees of 1944V loans totaling $250,000
or less to any one borrower when the requested
percentage of guarantee was not in excess of 90.
Similar authority was delegated to the Reserve
Banks by the Maritime Commission with respect
to guarantees of $100,000 or less on loans to any
one borrower when the requested percentage of
guarantee was not in excess of 90.
Guarantee fees prescribed by the Board of Governors for T loans and 1944V loans were substantially below those which were in effect for V and
VT loans. The maximum rate of interest which
might be charged a borrower was reduced from
5 per cent to 4^2 per cent. The following is the
schedule of fees payable to the guarantor by the
financing institution on both 1944V and T loans:
Percentage
of loan
guaranteed
80 or less
85
90
95
Over 95

Guarantee fee
(Percentage of amount of
interest payable by borrower)
10
15
20
30
50

The maximum commitment fee that a financing
institution may charge is 54 per cent or a flat fee
not to exceed $50, and the sharing in the commitment fee by the guarantor was eliminated.
Decline in lending activities. Cancellations of
war contracts following termination of the war in
Europe in May and in the Pacific in August did
not bring any substantial increase in applications
for guaranteed termination loans.
Upon the Japanese surrender, it was determined
by the Services that new Regulation V loans other
than T loans should be authorized only in exceptional cases in which there is a clear necessity for
procurement of supplies or services from a particular borrower and no other means of adequate
financing is available to that borrower. Pursuant
to that policy only a few 1944V guarantees have
been authorized since August 1945.
FEDERAL RESERVE BULLETIN

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
Between September 1945 and the middle of
January 1946 the War Department closed its liaison
offices at the Federal Reserve Banks. Incident to
the decline in guaranteed loan activity and the
discontinuance of the War Department liaison
offices, authority was delegated to the Federal Reserve Banks by the War and Navy Departments
to take action without submission to Washington
whenever, in the discretion of the Reserve Bank,
such action is deemed to be of relatively minor
importance and not materially affecting the interests of the guarantor. Such authority to act includes amendments of guarantee agreements and
loan agreements, consents or approvals concerning
acts by borrowers or financing institutions, waivers
of default, and extensions of maturity not exceeding
60 days. Applications for War Department guarantees have been submitted to Washington for
approval since discontinuance of its liaison offices
at the Federal Reserve Banks.
Statistical summary of guaranteed loans. To
December 31, 1945, a total of 1,400 banks and other
financing institutions had made or participated in
guaranteed loans under Regulation V. The smallest
credit guaranteed was for $400 and the largest for
one billion dollars. Nearly 400 banks participated
in the latter credit, of which only 100 million
dollars was utilized. This credit, like many
other guaranteed loans, was arranged for under
the provisions of Regulation V because the guaranteed portion of Regulation V loans was not subject
to legal limitations on the amount which might be
lent to a single borrower. The maximum amount
of this particular credit was in excess of the total
lending capacity of all the commercial banks in
the country (approximately 600 million dollars)
on such loans to a single borrower. Of the
total number of Regulation V loans authorized,
58.6 per cent were for loans of $250,000 or less and
approximately 75 per cent were for amounts of
$500,000 or less, indicating that many smaller concerns were assisted by this method of financing.
Table 1 shows the percentage of total number and
amount of guaranteed loans authorized, classified
by size of loan.
In general, it was the policy of the Services to
keep the percentages of guarantee as low as the
character of the risk and the size of the loan
justified. The reason for this was to insure adequate servicing of the loans by the financing institutions. Guarantees were accordingly ordinarily
MARCH 1946




limited to 90 per cent, many were substantially
below that percentage and in few cases did the
percentage of guarantee exceed 90. The guaranteed
TABLE 1
PERCENTAGE DISTRIBUTION OF REGULATION V
LOANS AUTHORIZED TO DECEMBER 31, 1945
BY SIZE OF LOAN
Percentage of total Percentage of total
number of loans
amount of loans
Size of loan
Group
$10,000 or less
10,001-50,000
50,001-100,000
100,001-250,000
250,001-500,000
500,001-1,000,000
1,000,001-5,000,000
5,000,001-50,000,000
Over 50,000,000

Cumulative

Group

Cumulative

5.3
18.4
15.8
19.1
16.3
10.8
11.4
2.7
0.2

5.3
23.7
39.5
58.6
74.9
85.7
97.1
99.8
100.0

0.2
0.5
1.1
2.9
5.4
7.2
22.0
31.5
29.2

0.2
0.7
1.8
4.7
10.1
17.3
39.3
70.8
100.0

100.0

100.0

portion of loans outstanding December 31, 1945,
averaged 85 per cent.
From the beginning of the V loan program in
April 1942 to December 31, 1945, the Federal
Reserve Banks received 9,605 applications for
guaranteed loans aggregating $10,674,433,000. The
War Department, Navy Department, and Maritime
Commission authorized 8,757 guaranteed loans
totaling $10,339,400,000. Of these authorizations
6,678 for $7,952,972,000 were War Department
guarantees; 1,794 for $2,212,241,000 were Navy
Department guarantees; and 285 for $174,187,000
were Maritime Commission guarantees. Only 847
applications aggregating $334,833,000 were rejected
by the guaranteeing agencies. The principal reasons
for rejections were that the guarantor could not
certify that the production of the applicant was necessary, appropriate, or convenient for the prosecution of the war, or that it was believed preferable to
provide the necessary financing by advance payments. Of the 8,757 guarantees authorized, 7,999
were actually executed, covering credits aggregating
$9,891,284,000.
Total credit available under guaranteed loans
was always considerably in excess of the amounts
being borrowed. The largest amount of Regulation
V credit outstanding at any time was $2,083,435,000
at the end of July 1944. Credit available reached its
peak at the end of October 1944, when almost
$6,263,065,000 was available to borrowers under
guaranteed loans. Figures showing the total amount
of credit available and of guaranteed loans out-

245

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
standing semiannually trom
December 31, 1945, are given
Table 3 shows by Federal
total number and amount

June 30, 1942, to
in Table 2.
Reserve district the
of applications for

TABLE 2
TOTAL CREDIT AVAILABLE UNDER REGULATION V
LOANS AND AMOUNT OF GUARANTEED LOANS
OUTSTANDING SEMIANNUALLY
JUNE 30, 1942—DECEMBER 31, 1945
Credit
available

June 30. 1942
Dec. 31, 1942
June 30, 1943
Dec. 31, 1943
June 30, 1944
Dec. 31, 1944
June 30, 1945
Dec. 31, 1945

*

Loans
outstanding

$218,996,571
2,233,841,266
3,638,305,895
5,060,326,526
5,875,114,565
6,189,556,384
5,081,469,152
1,476,864,742

Date

$81,108,115
803,720,080
1,428,253,058
1,914,040,298
2,064,317,958
1,735,970,146
1,386,850,954
510,269,776

guaranteed loans approved to December 31, 1945,
and the amount of loans outstanding and credit
available to borrowers under guarantee agreements
in effect on that date. Many guaranteed loans,
particularly the larger ones, were participated in by
a group of banks, often located in different Federal Reserve districts. These loans are shown in the

table for the Federal Reserve Bank in whose district the bank acting as agent for the group was
situated. Furthermore, guaranteed loans obtained
by the larger corporations having plants in various
parts of the country are shown in the figures of
only one district, whereas the credit was used in a
number of districts. Also, some large borrowers arranged for credit with a bank in a different
Federal Reserve district from the one in which
their production was carried on. For these reasons,
the district figures do not reflect the total amount of
war production credit made available under guaranteed loans in the various districts.
Table 4 shows the number and amount of each
type of guaranteed loan authorized to December
31, 1945, and the amount of loans outstanding and
credit available to borrowers under the various
types on that date.
A study of Regulation V loans outstanding on
November 30, 1943, when the volume had almost
reached its peak, indicated that about one-fourth
of the $1,798,272,000 of guaranteed loans then outstanding under 1,860 guarantee agreements was

TABLE 3
REGULATION V LOANS AUTHORIZED AND CREDIT OUTSTANDING DECEMBER 31, 1945
BY FEDERAL RESERVE DISTRICTS

Federal Reserve district

Applications for guarantee
of loans approved to date

Number

Amount

Amount of credit
available to borrowers
including amount
outstanding

Loans
outstanding

Guarantee on
loans outstanding

472
1,510
491
727
275
235
2,058
432
288
426
251
1,592

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

....

$238,520,992
4,505,998,085
322,660,550
682,147,860
85,172,056
116,911,800
2,728,049,482
362,865,872
128,159,773
261,093,446
97,243,300
810,576,712

$43,829,277.50
689,103,764.31
68,419,117.12
81,430,697.13
12,092,838.86
14,551,916.89
353,318,048.40
39,993,000.00
13,348,850.28
20,312,840.98
3,805,000.00
136,659,390.32

$16,245,136.48
201,459,124.88
37,304,252.34
40,271,393.12
2,187,748.53
4,717,869.77
137,680,457.87
10,046,982.76
4,316,783.98
6,143,512.36
625,605.14
49,270,909.24

$14,563,035.14
168,578,287.97
31,879,169.70
35,496,148.17
1,795,459.89
4,226,091.45
121,137,430.36
9,036,404.48
3,905,093.18
5,497,410.09
563,044.63
38,667,006.93

8,757

$10,339,399,928

$1,476,864,741.79

$510,269,776.47

$435,344,581.99

TABLE 4
REGULATION V LOANS AUTHORIZED AND CREDIT OUTSTANDING DECEMBER 31, 1945
BY TYPES OF LOANS
Applications for guarantee
of loans approved to date

Type ot loan

Number
V Loans
VT Loans . . .
1944 V Loans
T Loans
Total

246




.

.

Amount

5,953
857
1,117
830

$6,230,964,222
2,441,437,000
1,280,038,809
386,959,897

8,757

$10,339,399,928

Amount of credit
available to borrowers
including amount
outstanding
$481,938,707.76
392,093,752.49
432,231,408.58
170,600,872.96
$1,476,864,741.79

Loans
outstanding

Guarantee on
loans outstanding

$139,907,095.62
134,111,641.19
206,216,163.10
30,034,876.56

$117,555,630.95
111,009,791.72
181,186,694.20
25,592,465.12

$510,269,776.47

$435,344,581.99

FEDERAL RESERVE BULLETIN

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
being used for the production of aircraft and its
accessories. Nearly half of the credit outstanding
went to borrowers making such articles as
machinery, electrical equipment and appliances,
and a variety of metal products. Table 5 shows the
amount of Regulation V loans outstanding on
November 30, 1943, classified by type of product
covered in contracts held by the borrowers.
About 45 per cent of the total number of Regulation V loans outstanding on November 30, 1943,
carried the maximum interest rate of 5 per cent,
but this rate was being charged on less than 6 per
cent of the total amount of credit outstanding. This
indicates that most of the small loans were made at
the maximum rate, although many of them were
made at rates of 3 to 5 per cent. Rates of 3 per cent
or under were common for the larger loans. Table
6 shows the amount of guaranteed loans outstanding on November 30, 1943, classified by rate of interest being charged on the loan and by size of the
borrowing company.
From the inception of the guaranteed loan program to December 31, 1945, the Federal Reserve
Banks collected $23,720,000 in guarantee and commitment fees for the account of the War Department. The Reserve Banks* expenses reimbursed by
the War Department during this period amounted
to $2,474,000, leaving net receipts to the War Department of $21,246,000. As of December 31, 1945,
the War Department estimated that its total losses
on guaranteed loans would not exceed $3,369,000.
During the same period guarantee and commitment fees collected by the Reserve Banks for the
account of the Navy Department amounted to $7,736,000. The Reserve Banks' expenses amounted to
$760,000, leaving net receipts to the Navy Department of $6,976,000. On December 31, 1945, the
Navy Department estimated that its total losses
would not exceed $2,500,000. The Federal Reserve
Banks collected $709,000 in guarantee fees for the
account of the Maritime Commission. Total expenses of the Reserve Banks amounted to $152,000,
leaving net receipts to the Maritime Commission of
$557,000. Losses on loans written off by the Maritime Commission to August 31, 1945, amounted to
$83,000. No losses have been sustained since that
date, and the Commission does not anticipate suffering further losses.
As of December 31, 1945, the War Department
had purchased 115 loans from financing institutions
in the total amount of $27,480,000, upon which colMARCH 1946




TABLE 5
REGULATION V LOANS OUTSTANDING NOVEMBER 30,
1943 BY TYPE OF PRODUCT COVERED IN CONTRACT
[Amounts in millions of dollars]
Type of product covered in contract

Amount Per cent

Metal and metal products
Aircraft, aircraft engines, parts, and accessories
Ship construction and repair: accessories...
Combat transportation and other motor
vehicles; accessories
Guns, ammunition, bombs, shells, etc.; explosives and ammunition loading and
assembling
Machinery, electrical equipment & appliances
Other metal products; iron & steel; nonferrous metals and their products; machine tools and other metal working
equipment; etc
Chemicals, drugs, rubber
Textile products, leather
Foods and related products
Other manufactured products, including contracts unallocable because of diverse products covered.
Construction
'.
Other nonmanufacturing and noninduatrial...

429.2
100.6

23.9
5.6

139.4

7.8

7.6
19.0

504.1
30.7
15.3
22.7

28.0
1.7
0.8
1.3

55.4
16.2
6.1

3.1
0.9
0.3

1,798.3

Total

137.2
341.4

100.0

TABLE 6
PERCENTAGE DISTRIBUTION OF AMOUNT OF REGULATION V LOANS OUTSTANDING NOVEMBER 30, 1943,
BY RATE OF INTEREST AND BY SIZE OF BORROWER
Loans to borrower s with total assets of

Rate of
interest
(per cent)

Total1

2
2-3
3
3-4
4
4-5
5

39.7
23.2
18.0
10.2
3.0
5.7

0.9
19.4
16.6
2.0
61.0

""3.5"
0.7
8.1
23.2
13.2
50.3

0.2
4.6
18.3
31.9
25.9
8.7
10.4

0.0
55.0
26.3
13.9
4.0
0.4
0.3

Total....

100.0

100.0

3 100.0

100.0

100.0

Less than $50,000- $500,000- $5,000,000
$50,000 $500,000 $5,000,000 and over

1
Total includes a small amount not classified by size of borrower
as 2well as the two loans referred to in footnote 3.
Less than .05 per cent.
3
Total includes one loan with interest rate of 1 per cent and one
loan not classified by rate of interest.

lections of $15,883,000 had been received, leaving
an outstanding balance of $11,597,000. The Navy
Department had purchased 24 loans totaling
$31,096,000, and collections had been $28,176,000,
leaving a balance of $2,920,000. Corresponding
figures for the Maritime Commission were purchases totaling $623,000, collections of $540,000, and
a balance of $83,000.
From the beginning of the program to December
31, 1945, the War Department authorized 29 adjustments, involving increases in the percentage of
guarantee, pursuant to the provisions of Section 5
247

FINANCING WAR PRODUCTION AND CONTRACT TERMINATIONS UNDER REGULATION V
of guarantee agreements covering V loans, and 126
suspensions of maturity and waivers of interest payments by the borrowers under provisions of Section
6. The total principal amount of adjustments under
the provisions of Section 6 was $168,666,000. The
Navy Department approved four adjustments under
the provisions of Section 5, and 25 adjustments
under the provisions of Section 6. The total
principal amount of loans on which adjustments
under Section 6 were approved was $10,359,000.
No adjustments were made by the Maritime Commission under provisions of Section 5 and only two
adjustments under the provisions of Section 6.
The total principal amount of the two Section 6
adjustments was $1,945,000.
The Regulation V program facilitated the

financing of war production contracts by utilizing
the existing banking structure. Moreover, to a
considerable extent the financing was decentralized,
the loans being made by local banks to local industry. Without such a program it is probable that
the production of war materials would have been
more centralized and more Government financing
through direct lending or by other means would
have been necessary. The Armed Services, in letters
to the Board of Governors regarding the participation of the Federal Reserve System in the financing
of war production, recently stated that in their
opinion the Regulation V program had made an
important contribution to the achievement of
maximum production by American industry and
thus to the successful prosecution of the war.

Distinguished Service in War Finance^
The Treasury Department's Silver Medal for Distinguished Service in War Finance was awarded
today to the chairman and members of the Board
of Governors of the Federal Reserve System and the
presidents of the twelve Federal Reserve Banks by
Secretary of the Treasury Fred M. Vinson.
In presenting the medals, Secretary Vinson said:
"The Federal Reserve System as fiscal agents of the
Treasury Department processed some 186 billion
dollars in securities in the seven War Loans and the
Victory Loan and the interim sale of savings bonds
since May 1, 1941. Despite a wartime shortage of
personnel the System kept abreast of this flow of
securities, without precedent in financial history for
its volume. In this all ranks took part in the spirit
of good soldiers, with great credit to themselves. In
honoring thus the governors and presidents, all ranks

248




in the Federal Reserve System are being honored."
The members of the Board of Governors awarded
the Silver Medal are: Marriner S. Eccles, Chairman; R. M. Evans, M. S. Szymczak, Ronald Ranson, Ernest G. Draper and John K. McKee.
The presidents of the Federal Reserve Banks,
meeting in Washington this week, are: Ralph E.
Flanders, Boston; Allan Sproul, New York; Ray M.
Gidney, Cleveland; W. S. McLarin, Jr., Atlanta;
C. S. Young, Chicago; Chester C. Davis, St. Louis;
Alfred H. Williams, Philadelphia; J. N. Peyton,
Minneapolis; H. G. Leedy, Kansas City; R. R. Gilbert, Dallas; Ira Clerk, San Francisco, and Hugh
Leach, Richmond. The Silver Medal was awarded
also to William A. Day, former president of the
San Francisco Federal Reserve Bank.
* Released to the press by the Department of the Treasury,
Feb. 28, 1946.

FEDERAL RESERVE BULLETIN

LAW DEPARTMENT
Administrative interpretations of banking laws, new regulations issued by the
Board of Governors, and other similar material.

Consumer Credit

Board were each represented by counsel, and each
presented evidence. Upon the basis of the facts
Suspension of License and Consent Injunction
developed at such hearing, the Board's Hearing
The Board of Governors of the Federal Reserve Officer submitted his recommended findings and
System has suspended for 60 days from February opinion, which were furnished to counsel in order
24 to April 24, 1946, the license of Motor City that they might file exceptions thereto, and subseCredit Jewelry Co., Inc., issued under the Board's quently, on January 25, 1946, oral argument was
Regulation W. This company, which is located at had before the Board at its offices in Washington,
22900 Van Dyke Street, Van Dyke, Michigan (a D. C.
suburb of Detroit), sells jewelry on an instalment
At the hearing in Detroit, no evidence was introbasis. The order was issued after a hearing in duced by the Registrant to rebut the evidence of
Detroit, at which evidence was taken, and oral ar- violations of the Regulation, and counsel for the
gument before the Board in Washington. Under Registrant does not contend that the recommended
the order the company will be prohibited from findings were unsupported by the evidence or
making credit sales during the period of suspension. erroneous. They may therefore be accepted by the
In addition, the United States District Court has Board.
issued a decree, by consent, enjoining the company
It appears that Registrant is a corporation orfrom further violations of the Regulation, thus ganized under the laws of the State of Michigan.
putting the company under judicial restraint.
Its sole office is located at 22900 Van Dyke Street,
The company was charged with numerous and Van Dyke, Michigan, a suburb of the city of Derepeated violations of the Regulation. They in- troit, where it engages principally in the sale of
cluded failure to obtain the down payments re- jewelry on credit. Its annual business is in excess
quired by the Regulation and the falsification of the of $100,000. At all times mentioned herein, Regiscompany's records for the purpose of concealing the trant has been licensed by the Board under the
failure to obtain the required down payments.
provisions of Regulation W, and has been subject
The Board's Findings and Opinion and Order to the requirements of that Regulation.
Suspending License, are as follows:
Registrant is a family corporation, its stock being
owned 45 per cent by David Fink, 35 per cent by
IN THE MATTER OF
Sol Fink, a brother, and 20 per cent by their mother.
MOTOR CITY CREDIT JEWELRY CO., INC.,
During the period covered by the evidence (September 1944 to November 1945) Registrant was
VAN DYKE, MICHIGAN.
under the management of David Fink, President,
FINDINGS AND OPINION
and Eleanor Fink, Secretary-Treasurer, assisted by
This is a proceeding under section 3(d) of Regu- Leonard Fink, a brother, who was not an officer of
lation W to determine whether the Motor City the company. For a part of this time there was
Credit Jewelry Co., Inc., Van Dyke, Michigan also one other clerk in the store, a boy about 16
(hereinafter referred to as the "Registrant"), has years of age, whose name does not appear.
violated sections 4(a) and 12(h) of said Regulation,
On September 26, 1944, an investigator from
and, if so, whether Registrant's license should be the Detroit Branch of the Federal Reserve Bank
of Chicago made a routine investigation of Regisrevoked or suspended.
The hearing was begun on November 9, 1945, at trant's books and records to determine whether
the offices of the Detroit Branch of the Federal Registrant was complying with Regulation W.
Reserve Bank of Chicago. The Registrant and the This investigation disclosed a number of apparent
MARCH 1946




249

LAW DEPARTMENT
violations, particularly shortages in the down payment required by section 4(a) of the Regulation.
The violations also included several instances where
the Registrant's records, which are required by
section 12(h) of the Regulation to be adequate for
the purpose of determining whether the provisions
of the Regulation are being obeyed, were found
to be totally inadequate for that purpose. These
matters were called to the attention of Eleanor and
Leonard Fink, who promised future compliance.
A second investigation was made on January 19,
1945, which again disclosed numerous shortages in
down payments, as well as a continued failure to
maintain adequate records. As a result of this
investigation, a disciplinary conference was held
at the offices of the Reserve Bank on February 2,
1945, which was attended by David Fink. Once
again, full future compliance was promised.
A third investigation was commenced on April
17, 1945. Registrant's records indicated that Registrant had carried out the suggestions made at the
disciplinary conference on February 2 and showed
apparent substantial compliance with the Regulation. It was noted, however, that a considerable
number of instalment credit transactions were
marked "lay-away," indicating that the store had
retained possession of the merchandise until the
purchaser had paid the full amount of the down
payment required by section 4(a) of the Regulation, at which time the records showed that delivery
of the merchandise was made to the purchaser. No
customer contacts were made to verify these notations in the company's records.
A fourth and final investigation was commenced
on August 31, 1945, and again a considerable number of "lay-away" transactions were noted. This
time, customer contacts were made, and they disclosed the fact that Registrant had been systematically falsifying its records. Specifically, they disclosed that customers were allowed to take merchandise from the store on the day of purchase
without making the required down payment, and
that the records of these sales were marked "layaway," showing delivery of the merchandise on a
subsequent date when the purchaser's payments
had equaled or exceeded the required down payment. The conclusion is inescapable that Registrant availed itself of this artifice to conceal a
studied and deliberate series of violations of the
Regulation. In the face of repeated warnings,
Registrant has continued to violate the most funda-

250




mental requirements of the Regulation, and for a
time at least, these were aggravated by other violations designed to conceal them.
In his oral argument before the Board, Registrant's counsel, without challenging the facts as
found above, emphasized that two of the four
Fink brothers had been absent in military service
during all of the times referred to herein and one
of these and their mother together own a majority
of the stock of the Registrant. He urged that the
Board give consideration to the fact that these two
veterans, who expect to make their livelihood from
the operation of the Registrant, and their mother,
all of whom were innocent of any violations of the
Regulation, would be severely penalized by a
revocation of Registrant's license.
Obviously, these arguments are in no sense exculpatory of Registrant's past continued disobedience of the Regulation. And, however much they
may otherwise appeal to the Board, they may not
properly be considered by it in carrying out its
enforcement functions under the Regulation. The
latter was promulgated as a part of the Government's program against inflation and, to be effective, should be obeyed by all to whom it applies.
If the Board were to be deterred in its enforcement
of the Regulation because of its possible effect upon
innocent corporate stockholders, it would be establishing a precedent which might very well eliminate
the Regulation as an effective medium of credit
control.
These considerations were pointed out to counsel
for the Registrant at the time of the oral argument.
At that time, however, the Board suggested that,
if some arrangement satisfactory to the Board's
counsel could be worked out which would give
positive assurance of future compliance, the Board
might, consistently with its duty to preserve public
respect for and continued obedience to the Regulation, impose a less severe penalty than that recommended by the Hearing Officer.
Since the oral argument the Board is advised
that, as a result of a stipulation entered into between counsel on January 31, 1946, and approved
by the Board on that date, the following events
have occurred:
1. On February 14, 1946, a consent decree was
entered in the United States District Court in
Detroit against the Registrant and David Fink,
together with all of Registrant's officers and emFEDERAL RESERVE BULLETIN

LAW DEPARTMENT
ployees, enjoining them from further violations of
Regulation W.
2. David Fink resigned as President of the
Registrant.
3. David Fink's stock interest in Registrant was
reduced from 45 per cent to 30 per cent by the
transfer of 15 per cent to his brother, Nathan Fink.
4. Appropriate resolutions were adopted by Registrant's stockholders placing the management of
Registrant's business in Sol and Nathan Fink, requiring all credit sales to be subject to the approval
of either of them, and excluding David Fink from
the making of credit policies and restricting his
executive and administrative activities solely to the
handling of the building program and purchasing.
In the light of the changes thus effected in the
management of Registrant, and the continuing and
effective nature of the judicial decree entered
against it and its employees, the Board is satisfied
that future compliance with the Regulation is
reasonably assured. Under these circumstances the
Board is disposed to reduce the sanction recommended by the Hearing Officer. Accordingly, it
is the Board's decision that Registrant's license
under Regulation W be suspended for a period of
60 days. An appropriate order will issue.
By order of the Board of Governors of the Federal Reserve System this 18th day of February 1946.
S. R. CARPENTER,

Secretary.
IN THE MATTER OF
MOTOR CITY CREDIT JEWELRY CO., INC.,
VAN DYKE, MICHIGAN.
ORDER SUSPENDING LICENSE

A proceeding having been instituted before the
Board under section 3(d) of Regulation W to determine whether the license of Motor City Credit
Jewelry Co., Inc., should be suspended or revoked;
public hearings having been held thereon; a Hearing Officer's report having been filed with the
Board and oral argument had thereon; the Board
having considered the entire record and arguments
of counsel; and the Board having this day issued
its findings and opinion,
IT IS ORDERED, that the license of the Motor
City Credit Jewelry Co., Inc., issued pursuant to the
Board's Regulation W, be and the same hereby is
suspended for the period from February 24, 1946,
MARCH

1946




to and including April 24, 1946, unless this order is
sooner terminated by the Board.
By order of the Board of Governors of the Federal Reserve System this 18th day of February,
1946.
S. R. CARPENTER,

Secretary.

Suit Regarding Removal of Bank Directors
The United States Court of Appeals for the District of Columbia on February 13, 1946, rendered
an opinion reversing the decision of the District
Court which has dismissed a suit filed by John
Agnew and F. O. Fayerweather against the Board
of Governors of the Federal Reserve System requesting a review of an order of the Board, issued
pursuant to authority conferred by section 30 of the
Banking Act of 1933, removing Messrs. Agnew
and Fayerweather as directors of a national bank in
Paterson, New Jersey. The removal order by the
Board was predicated upon a finding that appellants had violated section 32 of the Banking Act of
1933, which prohibits any officer, director or employee of any company, partnership, or individual,
primarily engaged in the business of underwriting
securities, from serving at the same time as an officer, director or employee of any member bank of
the Federal Reserve System. The appellants contended that the use of the words "primarily engaged" in section 32 limited its application to cases
in which the underwriting business of the securities
company is first in volume as compared with other
businesses in which it is engaged and that, since this
was not true of the securities company of which they
were employees, the statute was not applicable to
them. The Board challenged the appellants' interpretation of the law as set forth above and also challenged the jurisdiction of the court to entertain proceedings to review the Board's order, contending
that a suit against the Board is in effect a suit against
the United States which has not consented to be
sued.
A divided court reversed the decision of the
District Court and rendered an opinion interpreting
the words "primarily engaged" as applying only to
a company the volume of whose underwriting business was greater than that of any other business
conducted by it. In this case the Court pointed out
that the volume of brokerage business conducted
by appellants' employer exceeded its "underwriting" business. In a strong dissent, it was reasoned

251

LAW DEPARTMENT
that the word "primarily" was used in a sense
which includes "essentially" or "fundamentally"
and not limited to "chiefly" or "principally." The
majority opinion also found that the District Court
did have jurisdiction of the case as it involved a
suit to restrain an order which the Court considered beyond the power of the Board.
Foreign F u n d s Control
Treasury Regulations
There is published below an amendment to the
regulations of the Treasury Department relating to
transfers of credit, foreign exchange transactions,
the export or earmarking of coin, bullion or currency, or other similar operations, by persons or
institutions in the United States which involve
property of certain foreign countries or nationals
thereof:
Treasury Department
Foreign Funds Control
February 19, 1946
AMENDMENT OF REGULATIONS OF APRIL 1 0 , 1 9 4 0 ,
AS AMENDED, UNDER EXECUTIVE ORDER NO. 8 3 8 9 , AS AMENDED.*

SECTION 130.3 of the Regulations under Executive Order
No. 8389, as amended, is hereby amended to read as follows:
SECTION 130.3. Licenses.
(a) Applications for licenses to engage in any transaction
referred to in Sections 1 or 2 of the Order shall be filed in
duplicate with the Federal Reserve Bank or other agency
designated in paragraph (b) of this section to receive such
applications from the area in which the applicant resides or
has his principal place of business or principal office or
agency. If the applicant has no legal residence or principal
place of business or principal office or agency in the United
States, such applications shall be filed with the Federal Reserve Bank of New York or the Federal Reserve Bank of San
Francisco. Application forms may be obtained from any
agency designated in paragraph (b) of this section and from
the Secretary of the Treasury, Washington, D. C. The applicant shall furnish such information as shall be requested
of him by the Secretary of the Treasury or the Federal Reserve Bank or other agency with which the application is
filed. Licenses will be issued by the Secretary of the Treasury, acting directly or through any officers or agencies that
he may designate, and by the designated Federal Reserve
Banks, acting in accordance with such regulations, rulings
and instructions, as the Secretary of the Treasury may from
time to time prescribe, in such cases or classes of cases as the
Secretary of the Treasury may determine. The Federal Reserve Bank or other agency at which an application is filed
will advise the applicant of the decision respecting the ap* Sec. 5(b), 40 Stat. 415 and 966; Sec. 2, 48 Stat. 1; 54 Stat.
179; 55 Stat. 838; Ex. Order 8389, April 10, 1940, as amended
by Ex. Order 8785, June 14, 1941, Ex. Order 8832, July 26,
1941, Ex. Order 8963, Dec. 9, 1941, and Ex. Order 8998, Dec.
26, 1941; Ex. Order 9193, July 6, 1942, as amended by Ex.
Order 9567, June 8, 1945.

252




plication. Appropriate forms for applications and licenses
will be prescribed by the Secretary of the Treasury. Licensees may be required to file reports upon the consummation of transactions. The decision of the Secretary of the
Treasury with respect to an application for license shall be
final.
(b) (1) The Federal Reserve Bank of New York is designated to receive applications from the Federal Reserve Districts of New York, Boston, Philadelphia, Cleveland, Richmond and Atlanta, and from Puerto Rico;
(2) The Federal Reserve Bank of Chicago is designated
to receive applications from the Federal Reserve Districts of
Chicago, St. Louis, Minneapolis, Kansas City and Dallas;
(3) The Federal Reserve Bank of San Francisco is designated to receive applications from the Federal Reserve District of San Francisco;
(4) Except as provided above with respect to Puerto Rico,
the Governor or Foreign Funds Control office having jurisdiction is designated to receive applications from any territory or possession of the United States.
FRED M. VINSON,

Secretary of the Treasury.

Treasury Department Releases

The following releases relating to transactions in
foreign exchange, etc., in addition to those heretofore published in the Federal Reserve BULLETIN,
have been issued by the Office of the Secretary of
the Treasury under authority of the Executive
Order of April 10, 1940, as amended, and the
Regulations issued pursuant thereto:
Treasury Department
Foreign Funds Control
January 22, 1946
REVOCATION OF GENERAL RULING NO.

14

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Sections 3(a) and 5(b) of
the Trading With the Enemy Act, as Amended by the
First War Powers Act, 1941, Relating to Foreign Funds
Control**
General Ruling No. 14, issued August 14, 1942, is hereby
revoked.
FRED M. VINSON,

Secretary of the Treasury.
Treasury Department
Foreign Funds Control
January 22, 1946
REVOCATION OF PUBLIC CIRCULARS NOS. 6, 7A, 9 AND 13

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Sections 3(a) and 5(b) of
**Sec. 3(a), 40 Stat. 412; Sec. 5(b), 40 Stat. 415 and 966;
Sec. 2, 48 Stat. 1; 54 Stat. 179; 55 Stat. 838; Ex. Order
8389, April 10, 1940, as amended by Ex. Order 8785, June 14,
1941, Ex. Order 8832, July 26, 1941, Ex. Order 8963, Dec. 9,
1941, and Ex. Order 8998, Dec. 26, 1941; Ex. Order 9193,
July 6, 1942, as amended by Ex. Order 9567, June 8, 1945;
Regulations, April 10, 1940, as amended June 14, 1941, and
July 26, 1941.
FEDERAL RESERVE BULLETIN

LAW DEPARTMENT
the Trading With the Enemy Act, as Amended by the
First War Powers Act, 1941, Relating to Foreign Funds
Control.*
Public Circular No. 6, issued September 13, 1941, Public
Circular No. 7A, issued November 6, 1942, Public Circular
No. 9, issued December 24, 1941, and Public Circular No.
13, issued January 20, 1942, are hereby revoked.
FRED M. VINSON,

Secretary of the Treasury.
Treasury Department
Foreign Funds Control
February 8, 1946
REVOCATION OF PUBLIC INTERPRETATIONS NOS. 9 AND 15

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Sections 3(a) and 5(b) of
the Trading With the Enemy Act, as Amended by the
First War Powers Act, 1941, Relating to Foreign Funds
Control.
Public Interpretation No. 9, issued November 27, 1942,
and Public Interpretation No. 15, issued June 1, 1944, are
hereby revoked.
ORVIS A. SCHMIDT,

Director.
Treasury Department
Foreign Funds Control
February 8, 1946

With the Enemy Act, as Amended by the First War
Powers Act 1941, Relating to Foreign Funds Control.**
Paragraph (4) (a) of General License No. 95 is hereby
amended to read as follows:
(a) the term "country specified herein" means the following:
(i) France, effective October 5, 1945;
(ii) Belgium, effective November 20, 1945;
(iii) Norway, effective December 29, 1945;
(iv) Finland, effective December 29, 1945;
(v) The Netherlands, effective February 13, 1946;
and each country specified herein shall be deemed to
include any colony or other territory subject to its jurisdiction.
FRED M. VINSON,

Secretary of the Treasury.
Treasury Department
Foreign Funds Control
February 19, 1946
GENERAL LICENSE NO. 74, AS AMENDED

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Section 5(b) of the Trading
With the Enemy Act, as Amended by the First War
Powers Act 1941, Relating to Foreign Funds Control.**
General License No. 74 is hereby amended to read as
follows:

PUBLIC INTERPRETATION NO. 19

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Sections 3(a) and 5(b) of
the Trading With the Enemy Act, as Amended by the
First War Powers Act, 1941, Relating to Foreign Funds
Control.
Inquiry has been made whether certification of property
otherwise eligible under General License No. 95 is precluded
by reason of any purported transfer to an enemy initiated or
occurring in enemy-occupied territory.
The Treasury Department has replied in the negative. In
this respect attention was directed to the Declaration of
January 5, 1943, regarding forced transfers of property in
enemy-controlled territory, and Resolution No. VI of the
United Nations Monetary and Financial Conference at Bretton Woods, New Hampshire, regarding enemy assets and
looted property.
ORVIS A. SCHMIDT,

Director.
Treasury Department
Foreign Funds Control

Certain United States Citizens Generally Licensed and Payments from Accounts of Certain Other Persons Authorized
(1) Certain United States citizens licensed as generally
licensed nationals. A general license is hereby granted licensing as a generally licensed national any citizen of the
United States who is within any foreign country and who is
a national of a blocked country solely by reason of having
established residence in a blocked country subsequent to
June 6, 1944.
(2) Limited payments* from accounts of other United
States citizens authorized. This general license also authorizes payments and transfers of credit from blocked accounts
in the United States for expenditures within the United
States or the Generally Licensed Trade Area, as defined in
General License No. 53, of any citizen of the United States
who is within any foreign country and who is not entitled
to the benefits of paragraph (1) hereof, provided that the
following terms and conditions are complied with:

Under Executive Order No. 8389, as Amended, Executive
Order No. 9193, as Amended, Section 5(b) of the Trading

(a) Such payments and transfers are made only from
blocked accounts in the name of, or in which the
beneficial interest is held by, such citizen or his
family;
(b) The total of all such payments and transfers made
under this general license does not exceed $1,000

* Sec. 3(a), 40 Stat. 412; Sec. 5(b), 40 Stat. 415 and 966;
Sec. 2, 48 Stat. 1; 54 Stat. 179; 55 Stat. 838; Ex. Order 8389,
April 10, 1940, as amended by Ex. Order 8785, June 14, 1941,
Ex. Order 8832, July 26, 1941, Ex. Order 8963, Dec. 9, 1941,
and Ex. Order 8998, Dec. 26, 1941; Ex. Order 9193, July 6,
1942, as amended by Ex. Order 9567, June 8, 1945; Regulations,
April 10, 1940, as amended June 14, 1941, and July 26, 1941.

** Sec. 5(b), 40 Stat. 415 and 966; Sec. 2, 48 Stat. 1; 54 Stat.
179; 55 Stat. 838; Ex. Order 8389, April 10, 1940, as amended
by Ex. Order 8785, June 14, 1941, Ex. Order 8832, July 26,
1941, Ex. Order 8963, Dec. 9. 1941, and Ex. Order 8998, Dec.
26, 1941; Ex. Order 9193, July 6, 1942, as amended by Ex.
Order 9567, June 8, 1945; Regulations, April 10, 1940, as
amended June 14, 1941, and July 26, 1941.

February 13, 1946
AMENDMENT TO GENERAL LICENSE NO. 95

MARCH

1946




253

LAW DEPARTMENT
in any one calendar month for any such citizen
or his family.
(3) Limited payments from other blocked accounts authorized. This general license further authorizes payments
and transfers of credit from blocked accounts in the United
States for expenditures within the United States or the
Generally Licensed Trade Area, as defined in General License
No. 53, of any person who is not within enemy territory, as
defined in General Ruling No. 11, provided that:
(a) Such payments and transfers are made only from
blocked accounts in the name of, or in which the
beneficial interest is held by, such person;

254




(b) The total of all such payments and transfers made
under this general license does not exceed $250 in
any one calendar month from any such blocked
account
(4) Certain transactions not authorized. This general
license shall not be deemed to authorize any remittance to
any blocked country or, except as expressly authorized
above
> any o t h e r Payment, transfer, or withdrawal which
could not be
effected without a license by a person within
the United States who is not a national of any blocked
country.
FRED M. VINSON,
Secretary of the Treasury.

FEDERAL RESERVE BULLETIN

CURRENT EVENTS
Federal Reserve Meetings
The Federal Advisory Council met in Washington on February 17-18. The annual organization meeting of the Council was held on February
17, at which Edward E. Brown, Chairman of the
First National Bank of Chicago, was re-elected
President, C. E. Spencer, Jr., President of the First
National Bank of Boston, was re-elected Vice
President, Walter Lichtenstein was reappointed
Secretary, and Herbert V. Prochnow was appointed Acting Secretary. The Council met with
the Board of Governors of the Federal Reserve
System on February 18.
A meeting of the Presidents of the Federal
Reserve Banks was held February 25-26, and on
February 28 the Presidents met with the Board
of Governors.
On February 28 and March 1 meetings of the
Federal Open Market Committee were held. At
the meeting on March 1 Marriner S. Eccles was
re-elected as Chairman of the Committee and
Allan Sproul as Vice Chairman. The representative members of the Committee elected by the
Federal Reserve Banks for the period of one year,
beginning March 1, 1946, are Allan Sproul, Hugh
Leach, C. S. Young, W. S. McLarin, Jr., and Ira
Clerk, Presidents of the Federal Reserve Banks of
New York, Richmond, Chicago, Atlanta and San
Francisco, respectively. The members of the
executive committee are Marriner S. Eccles, Chairman; Allan Sproul, Vice Chairman; Ernest G.
Draper; R. M. Evans; and Hugh Leach.
Appointments of Presidents and First Vice Presidents
of
Federal Reserve Banks
The Board of Governors has approved the appointments by the respective boards of directors
of the Federal Reserve Banks of the following
Presidents and First Vice Presidents of the Banks
each for the term of five years beginning March 1,
1946. These appointments were made by the
boards of directors and approved by the Board
of Governors pursuant to the provisions of paragraph 4 of section 4 of the Federal Reserve Act
as amended:
MARCH

1946




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

President

First Vice
President

Laurence F. Whittemore
Allan Sproul
Alfred H. Williams
Ray M. Gidney
Hugh Leach
W. S. McLarin, Jr.
C. S. Young
Chester C. Davis
J. N. Peyton
H. G. Leedy
R. R. Gilbert
Ira Clerk

William Willett
L. R. Rounds
W. J. Davis
Wm. H. Fletcher
J. S. Walden, Jr.
Malcolm H. Bryan
Charles B. Dunn
F. Guy Hitt
O. S. Powell
Henry O. Koppang
W. D. Gentry
C. E. Earhart

All of the above represent reappointments except
in the case of Mr. Whittemore at Boston and Mr.
Davis at Philadelphia.
Mr. Whittemore, formerly Assistant to President of Boston and Maine Railroad and a Class B
director of the Federal Reserve Bank of Boston,
succeeded Mr. Ralph E. Flanders, who had reached
retirement age under the Federal Reserve System.
Mr. Whittemore resigned as Class B Director of
the Bank effective February 28, 1946. Mr. Flanders
has been appointed Consultant to the Board of
Directors and will thus continue his connection
with the Bank.
Mr. Davis, who had been an officer of the Federal
Reserve Bank of Philadelphia since 1917 and a
Vice President since 1936, succeeded Mr. Drinnen
who had resigned as First Vice President effective
February 28, 1946. Mr. Drinnen had been associated with the Federal Reserve System since 1919,
when he joined the examining staff of the Federal
Reserve Board. In 1936 he was appointed First
Vice President of the Federal Reserve Bank of
Philadelphia and served two terms of five years
each in that position.
Appointment of Branch Directors
The Board of Governors of the Federal Reserve
System on February 15, 1946, announced the
appointment of Mr. H. C. Meacham of Franklin,
Tennessee as a director of the Nashville Branch of
the Federal Reserve Bank of Atlanta for the unexpired portion of the term ending December 31,
1948. Mr. Meacham is engaged in farming.
On March 7, 1946, the Federal Reserve Bank of
San Francisco appointed Mr. E. B. MacNaughton,
President, The First National Bank of Portland,
Portland, Oregon, a director of the Portland Branch

255

CURRENT EVENTS
for the unexpired portion of the term ending December 31, 1947, to succeed Mr. Chas. H. Stewart,
who was elected a Class A Director of the Federal
Reserve Bank of San Francisco. Mr. MacNaughton
formerly served as a director of the Portland Branch
from January 1, 1936, to December 31, 1941.
The Board of Governors of the Federal Reserve
System on March 8, 1946, announced the appointment of Mr. John T. Tenneson, President, Superior
Packing Company, Seattle, Washington, as a director of the Seattle Branch of the Federal Reserve
Bank of San Francisco for the unexpired portion of
the term ending December 31, 1947.
Elections of Class A and B Directors
The Federal Reserve Bank of San Francisco on
February 16, 1946, announced the election of Mr.
Chas. H. Stewart, President, Portland Trust and
Savings Bank, Portland, Oregon, as a Class A
Director to fill the unexpired portion of the term
ending December 31, 1947. Mr. Stewart succeeds Mr. Richard Shore Smith, who resigned.
Mr. Stewart had served as a director of the Portland
Branch of the Federal Reserve Bank of San Francisco from June 7, 1945, to February 16, 1946,
when he resigned in order to serve as a Class A
Director of the Federal Reserve Bank of San
Francisco.
On February 16, 1946, the Federal Reserve Bank
of San Francisco also announced the election of
Mr. Walter S. Johnson, President, American Box
Corporation of California, San Francisco, California, as a Class B Director to fill the unexpired
portion of the term ending December 31, 1946.
Mr. Johnson succeeds Mr. Elmer H. Cox, deceased.
Resignation of Class B Director
Mr. E. L. Kurth, President and General Manager, Angelina County Lumber Company, Keltys,
Texas, who had served as a Class B Director of the

256




Federal Reserve Bank of Dallas since September 14,
1940, resigned on February 14, 1946.
Death of Director
Mr. Fitzgerald Hall, President, Nashville,
Chattanooga, and St. Louis Railway, Nashville,
Tennessee, who had served as a director of the
Nashville Branch of the.Federal Reserve Bank of
Atlanta from February 28, 1935 to December 31,
1937, and as a Class B Director of the Federal
Reserve Bank of Atlanta since February 25, 1935,
died on February 7, 1946.
Changes in the Board's Staff
Mr. Walter Wyatt, who had been a member of
the Board's staff since 1917, and its General
Counsel since 1922, resigned effective February 28,
1946, to accept the position of Reporter of Decisions for the Supreme Court of the United States,
effective March 1, 1946.
Effective March 1, 1946, the designation of
Mr. George B. Vest has been changed from General Attorney to General Counsel, and that of
Mr. J. Leonard Townsend from Assistant General
Attorney to Assistant General Counsel.
Admissions of State Banks to Membership in the
Federal Reserve System
The following State banks were admitted to
membership in the Federal Reserve System during
the period January 16, 1946, to February 15, 1946:
Florida
Tampa—First Savings & Trust Company of
Tampa
Indiana
Dillsboro—Dillsboro State Bank
Minnesota
Anoka—State Bank of Anoka
Texas
Odem—First State Bank of Odem

FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
MONETARY AND BANKING REFORM IN GUATEMALA
The Republic o£ Guatemala has recently adopted
new monetary and central banking legislation which
marks a considerable departure from traditional
patterns. While this legislation is intended primarily to meet the problems confronting a small,
agricultural country, dependent on a very few exports subject to wide fluctuations of an accidental or
cyclical character, it also provides for a number of
novel monetary and central banking techniques of
broader applicability. Attention is drawn to these
in the discussion which follows.
Monetary legislation. The new monetary
legislation embraces a basic system, supplemented
and qualified by emergency provisions to be applied
only in cases of extreme shortage of international
reserves.
The features of the permanent part of the law
which are probably of greatest interest are the
following:
1. Unification of monetary responsibility, for subsidiary coinage as well as for notes, under a single
authority (Article 4);
2. Provisions for changes in the parity of the
currency in the case of fundamental external disequilibria in the economy of the country, and in
accordance with the International Monetary Fund
Agreement (Article 14);
3. Sterilization of revaluation profits and losses
in mere bookeeping accounts, in order to remove
a strong bias toward currency depreciation, and to
prevent the development of automatic domestic expansionary or deflationary pressures from a mere
change in currency parity (Article 17 of the Monetary Law and Articles 12 and 13 of the Central
Banking Law);
4. Extension of the same principle to the commercial banks, in order to strengthen their position
and discourage interest on their part in exchange
speculation (Article 32);
5. Translation into concrete operational terms of
the obligation assumed by the country, under
Article IV, Sections 2 and 3, of the International
Monetary Fund Agreement, to base gold and foreign exchange transactions on the par value of the
currency (Articles 19-34).
MARCH

1946




The emergency system of international transfers
permits the application of some exchange restrictions, but only under concretely defined conditions
(Articles 38-41), for strictly monetary purposes, and
in nondiscriminatory forms preserving to a large
extent the essential and automatic features of a free
exchange market. Full exchange freedom and stability are maintained for all essential transactions,
and the limitations on other transactions are made
to result from the free interplay of supply and demand rather than from rigid and arbitrary allocation of individual exchange permits. Finally, the
whole system of restrictions is made self-liquidating,
assuring the automatic relaxation and removal of
the controls as the need for them decreases or disappears. Special attention might be given by the
reader to Articles 38, 53-56, 62-67 and 70-79.1
Central banking legislation. Salient characteristics of the central banking legislation may be
summarized as follows:
1. Broad definition of the objectives of central
banking policy, distinguishing between domestic
and international aims (Articles 2-4);
2. Guidance of monetary policy primarily by
analysis of domestic developments, rather than in
automatic response to changes in international reserves (Article 97);
3. Determination of open market powers and
policies based on domestic requirements for monetary stability,2 provided that international reserves
are adequate to meet external pressures; if international reserves are inadequate, reconsideration
either of domestic policies or of the external parity
of the currency (Articles 107-108);
1
The reasons supporting recourse to exchange restrictions in
specific cases of temporary shortages of exchange, and for
setting up the type of controls embodied in the Guatemalan legislation, would require a detailed analysis which can not be
presented here. A paper by Robert Triffin entitled "National
Central Banking and the International Economy," and dealing
with this problem, will be published later in the year by the
Board of Governors of the Federal Reserve System, in The
United States in World Trade and Finance (No. 7 of the series
Postwar Economic Studies).
2
This would also have the result of facilitating central bank
financing of Government expenditures in times of depression,
while making similar operations more difficult in times of prosperity and monetary expansion. Such a criterion would appear
far easier to observe and enforce, as well as more in keeping
with modern monetary and economic theory, than the traditional
provisions limiting governmental borrowings to a certain percentage of the Bank's capital and surplus, or to other similarly
arbitrary and irrelevant criteria.

257

FOREIGN BANKING LAWS AND REPORTS
4. Introduction of a "net international reserves
concept" (Article 74); and investment of international reserves designed to assure the prompt availability of any amount needed to finance deficits in
the balance of payments while still providing the
Bank, especially at times when anti-inflationary
action is necessary, with sources of earning power
other than domestic credit expansion (Articles
76-78);
5. Definition of a "critical" level of reserves, related to balance of payments needs, rather than to
domestic note issue or sight obligations, and avoidance of any rigid requirement which would make
reserves unavailable in times of need (Articles 77,
83, 84, and 107);
6. Distinction between temporary disequilibria in
the balance of payments calling for compensatory
action, and fundamental disequilibria calling for
corrective action (Articles 83-84);
7. Creation of an independent Monetary Board,
in close coordination with the Ministries responsible
for the formulation of governmental economic and
financial policies, and endowed with policy making
functions rather than with detailed responsibilities
for individual operations (Articles 15, 18, 24, 26,
31 and 90-92); and corresponding decentralization
of operating responsibilities (Articles 32-35, 38-40,
43-44, 53-55 and 90-92);
8. Integration of policies relating to money,
credit (including bank supervision), and exchange
(including the administration of emergency restrictions) under the authority and responsibility of the
Monetary Board (Article 30); and coordination of
official and semi-official borrowings with monetary
policy (Article 123);
9. Broad techniques of monetary control (Article 98, with references to other articles mentioned);
10. Broad and flexible provisions with relation to
reserve requirements, and power to apply special
reserve requirements against growth in aggregate
deposits (Articles 63-64);
11. Provision for the issue by the Bank of
"Stabilization Bonds," designed to withdraw excess
cash temporarily from the market, in times of inflationary pressure (Article 105);
12. Capital requirements varying in relation to
risk-assets of the Bank, all excess profits to accrue
to a Fund for the Regulation of the Official Bond
Market (Articles 10-11);
13. Development of a Government bond market

258




through the operations of a special Fund for the
Regulation of the Official Bond Market (Articles
112-115);
14. Management of official accounts with a view
to reinforcing monetary stabilization policies (Article 118);
15. Liberalization of rediscounting rules from
strict, and highly controversial, "commercial loan
theory" criteria, in order to permit greater flexibility in the discharge of the Bank's responsibility as
"lender of last resort" (Articles 85-94).
Complementary legislation. The monetary
and central banking legislation is only the first step
in a comprehensive financial reform, designed to
promote credit facilities for economic development
as well as to achieve a greater degree of monetary
stability.
Of primary concern to the Government is the
reconstruction of an efficient system of private
banking. With a single exception, all private
banking institutions disappeared during the thirties,
as a result of former excesses and of the policies of
the Ubico regime. Measures now under consideration would revive a dormant institution, the Occidental Bank, and eliminate governmental participation in a hybrid institution, previously devoted to
central banking activities together with commercial and mortgage lending. A general banking
law, shortly to be introduced before the Guatemalan
Congress, will modernize and simplify the cumbersome and vexatious provisions of the present banking statutes, while adapting them to the prerequisites of efficient monetary and credit policy.
Four additional financial institutions, three of
which already exist in embryonic form, will complete the proposed financial reorganization. While
fully independent in the conduct of individual operations, all these institutions will be subordinated
to the Monetary Board in so far as necessary to
coordinate their activities, and to assure the efficient
integration of their lending policies into the framework of the general monetary policy of the country.
1. An Agricultural -Industrial Ban\, devoted
mostly to medium- and long-term loans, and designed, not only to assure the availability of credit
for production and economic development, but also
to permit the Monetary Board direct intervention
on the credit market for purposes of monetary control. Owing to the relatively undeveloped financial
structure of Guatemala, the central bank itself could
FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
not be effective if it remained a pure bankers' bank,
entirely dependent on private institutions for the
transmission of its policies to the market.
2. A Capitalization and Insurance Institute,
which will issue insurance and savings policies and
administer the funds originating in social security
legislation. The Institute will not lend directly to
the public, except in some special and unimportant
cases, but will invest its funds through the other
banks, both public and private, and particularly
through the purchase of medium- and long-term
paper issued by the Agricultural-Industrial Bank.
3. An Agricultural Development Institute, which
will make small loans for rehabilitation purposes,
organize agricultural cooperatives, provide technical assistance to farmers, sell equipment, seeds
and farm implements on a low-cost basis, establish
warehouses, and, in time, assist in programs for
stabilizing farm prices. Its loans may be rediscounted by the Agricultural-Industrial Bank, but
its other activities will be financed by the State,
which will also contribute the capital for the institution.
4. An Industrial Development Institute, which
will acquire shares in new agricultural or manufacturing industries. These shares cannot exceed
one-third of the capital of the industries that are
financed, and the Institute must sell its holdings as
quickly as the market permits. The Institute will
derive its resources from the sale of shares to the
Government (one-third) and to the public (twothirds). The Institute will probably be guided at
the outset by a program for economic development now under study with the cooperation of the
Inter-American Development Commission, but is
expected to develop progressively a specialized research stafl of its own, in order to orient its investment policy.
The official text of the monetary and central
banking laws, as translated from the Diario de
Centro America (Guatemala City, December 17,
1945 and lanuary 25, 1946), is given below.3
Decree Number 203
The Congress of the Republic of Guatemala,
considering:
8
The new legislation was prepared in the Consejo de Economia, at the initiative and under the leadership of the Minister
of Economy, Manuel Noriega Morales. At the request of the
Minister, transmitted to the Board of Governors of the Federal
Reserve System through the Department of State and the
Inter-American Development Commission, two members of the
Board's staff, Dr. Robert Triffin and Mr. David L. Grove,
helped the Guatemalan authorities in the technical preparation
and formulation of the projects.

MARCH

1946




That the existing laws of the Republic in the
monetary field are technically deficient and do not
correspond to modern scientific analysis, and that in
consequence it becomes necessary to issue new
legislation;
For that reason, Decrees: the following
Monetary Law
First Part
The National Monetary System
Chapter I
The Monetary Unit
The monetary unit—Art. 1. The monetary unit
of Guatemala is the "Quetzal". The quetzal is divided into 100 equal parts called "centavos".
The monetary symbol of the quetzal is represented by the letter $•
Art. 2. All prices, taxes, assessments, fees, wages,
salaries, commissions, premiums, interests, dividends, rents, contracts and obligations of any class
or kind, that must be paid, collected, received or
executed in the Republic, shall be expressed and
liquidated exclusively in quetzales.
Any qualifying or restrictive clause that imposes
obligations in silver or gold metal, in foreign currencies, or in any monetary unit other than the
quetzal, shall be null and void. Nevertheless, this
nullity shall not invalidate the principal contract,
when the latter may be reinterpretated in terms of
the national monetary unit, in which case the respective obligations shall be liquidated in quetzales;
the conversion shall be effected on the basis of the
legal parities corresponding either to the time of the
consummation of the contract or to the time of
payment, whichever is more favorable to the debtor.
Art. 3. Only the following are excepted from the
foregoing limitation:
a) Obligations that establish payments from
Guatemala to foreign countries or from foreign
countries to Guatemala, and obligations directly
related to the financing of same;
b) Remunerations to persons or entities actually
domiciled outside the Republic, for temporary
services rendered to persons or entities of the
country;
c) Remunerations and expenses of foreign diplomatic agents and career consuls in Guatemala;
d) Obligations contracted in favor of institutions
of public law which, in application of special laws,
must be paid either in specie or in foreign currencies;
e) Securities issued either by the Government
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FOREIGN. BANKING LAWS AND REPORTS
of the Republic, with previous authorization of
Congress, or by the Bank of Guatemala, with previous authorization of the Monetary Board, provided that it be required by monetary policy in the
interest of the country;
f) Deposits in foreign moneys, held in local
banks in accordance with the general regulations
which the Monetary Board may issue on the matter
with the approval of the Executive Power; and,
g) Minor transactions effected by tourists and
travellers, which shall be subject to the regulations
to be issued by the Monetary Board, with the approval of the Executive Power, in order to avoid
the effective circulation of foreign moneys in the
territory of the Republic.

tions it shall present to the Congress of the Republic duly supported proposals to determine or
modify the characteristics and denominations of
metal coins.
The printing of notes and the minting of divisionary coins shall be made exclusively in the
amounts and conditions ordered by the Monetary
Board, and only in the institutions, firms or minting houses contracted for the purpose by the same
Board.
Illegal issues—Art. 7. Any printing of notes or
minting of coins in forms or amounts not ordered
by the Monetary Board shall make those who have
ordered or executed them liable to the responsibilities and penalties prescribed in the Penal Code.
Legal tender—Art. 8. The notes and coins issued
by the Bank of Guatemala shall have unlimited
Chapter II
circulation and legal tender throughout the naThe Monetary Issue
tional territory.
Interconvertibility—Art. 9. The Bank of GuateIssue power—Art. 4. Only the Bank of Guate- mala shall exchange, on demand and without any
mala may issue notes and coins in the territory of charge, national notes and coins of any denomithe Republic, with the guarantees and limitations nation for national notes and coins of any other deestablished in this law and in the Organic Law of nomination. If for unforeseen reasons the Bank
the Bank of Guatemala.
should be temporarily unable to provide notes or
No other person or entity, public or private, may coins of the denominations requested, it shall
put into circulation notes, coins or any other objects comply with this obligation by delivering notes
or documents which, in the opinion of the Mone- or coins of the denominations which most approxitary Board, might circulate as money.
mate those solicited.
Any issues which violate this provision shall be
Demonetization—Art. 10. The Bank of Guatenull and fraudulent.
mala shall replace by new national notes or coins
Illegal circulation—Art. 5. Any person, other the notes and coins so deteriorated through normal
than the Bank of Guatemala, which circulates use that they have become inadequate for monetary
notes, certificates, promissory notes or other docu- circulation. Nevertheless, the Bank shall not be
ments containing promise to pay in cash, to the obligated to exchange notes whose identification has
bearer and at sight, or tokens, cards, pieces of become impossible nor those which have lost more
paper or other objects, with the purpose of having than two-fifths of their surface. Nor shall it be
them used as money, shall be punished, according to obligated to replace coins which cannot be identified
the case, with the penalties provided for in the Penal or which show traces of filing, clipping or perforaCode.
tion. Such notes and coins shall be demonetized
Monetary characteristics—Art. 6. The notes shall and withdrawn from circulation without compenhave the denominations, dimensions, designs, leg- sation.
ends and other characteristics which the Monetary
Art. 11. The Bank of Guatemala may call in for
Board determines, and shall bear the signatures, in replacement the notes of any series or denominafacsimile, of the President and Manager of the tion which are more than 10 years old and the coins
Bank of Guatemala and of the President of the which are more than 20.
Court of Accounts. The denominations of the
The notes and coins called in for replacement, in
notes shall not be less than one-half a quetzal.
accordance with this provision, shall remain legal
Metallic coins shall have the weight, type, fineness, engravings and denominations determined by tender for a period of one year calculated from
the Congress of the Republic in accordance with the date at which they are called in. After this
Article 119, clause 8, of the Constitution. To that period these notes and coins shall cease to be legal
end, the Monetary Board shall make to the Ministry tender and shall only be exchanged during the subof Economy the recommendations which it deems sequent year, at par and without charges of any
pertinent in view of the availability of the metals, kind, in the Bank of Guatemala and in the other
their market price and the mint techniques. If the banking institutions qualified for that purpose
Ministry of Economy approves such recommenda- by the Monetary Board. When this second period

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FOREIGN BANKING LAWS AND REPORTS
is over, the notes and coins which have not been
exchanged shall lose their value and be demonetized.
The Bank of Guatemala may not return to circulation the notes and coins retired in conformity
with the present and the previous articles.
Issue costs and profits—Art. 12. All costs of printing, minting and replacing currency and coin shall
be for the account of the Bank of Guatemala.
The amount of demonstrated decreases in the
issues of notes and coin outstanding, due to loss,
destruction or demonetization, shall be applied to
the purposes determined in the Organic Law of
the Bank of Guatemala.
Chapter III
The Gold Parity of the Currency
Gold parity—Art. 13. The gold parity of the
quetzal is defined as fifteen and five/twenty-firsts
(15-5/21) grains of gold, nine-tenths (9/10) fine,
equivalent to eight hundred and eighty-eight thousand, six hundred and seventy millionths (0.888,670) of a gram of fine gold.
Modification of parity—Art. 14. The gold parity
of the quetzal may be modified only in the following cases:
a) In application of decisions emanating from international conventions on monetary stabilization,
subscribed to and ratified by the Republic;
b) To counteract the harmful effects of fluctuations of major amplitude in the gold prices of the
articles which most affect the economy of the
country; or,
c) To correct fundamental and persistent disequilibria in the balance of payments, related to disparities between internal and external price and cost
levels.
Art. 15. The modifications in the gold parity of
the quetzal, by reason of any of the imperative circumstances expressed in the preceding article, may
be decreed only by the Congress of the Republic,
upon proposal of the Executive Power.
Art. 16. Any modification in the gold parity of
the quetzal shall be adjusted to the international
obligations duly accepted by the Republic.
On the date of publication of the legislative decree ordering the modification, there shall also be
published in the official gazette the reports which
served as a basis for the adoption of the decree.
Revaluation profits and losses—Art. 17. Profits
or losses arising from any revaluation of the gold
or foreign exchange assets and liabilities of the
Bank of Guatemala, as a consequence of future
movements in the gold parity of the quetzal and
MARCH

1946




of the other currencies, shall be sterilized immediately in accordance with the system established in
the Organic Law of the Bank of Guatemala.
Parity of foreign currencies—Art. 18. The legal
exchange parities of foreign currencies with relation to the quetzal shall be determined in accordance with the following bases:
a) In the case of foreign currencies freely and
effectively convertible either in gold or in currencies
convertible in gold, the parity shall be calculated
on the basis of the gold equivalent of these currencies; and,
b) In all other cases, the parity shall be calculated
on the basis of the respective current quotations
in the New York or London market.
The Monetary Board shall determine and publish the legal exchange parities of the foreign currencies which are of greatest importance in the
international transactions of the country. Whenever doubts occur concerning the legal exchange
parity of currencies not included in these official
publications, the same Board shall certify the respective legal parity, at the request of any interested party.
The parities published or certified by the Monetary Board shall have force of law and carry full
evidence in justice.
Chapter IV
The External Convertibility of the Currency
Free convertibility—Art. 19. The Monetary
Board must assure free convertibility between the
quetzal and foreign currencies, in accordance with
the provisions of this chapter and with the treaties
and conventions of monetary stabilization subscribed to and ratified by the Republic.
Negotiation of gold and foreign exchange—Art.
20. Only the Bank of Guatemala may negotiate
coined gold, gold bars and foreign exchange in the
territory of the Republic with any nonbanking
person or entity.
The Bank of Guatemala shall effectuate the
negotiation of foreign exchange through the medium of the banks contracted and qualified for the
purpose by the Monetary Board. The negotiation
of gold metal shall take place either directly or
through the medium of the same qualified banks.
In consequence, nonbanking persons or entities which hold, or come to hold, coined gold,
gold bars or foreign exchange, may not negotiate them except with the Bank of Guatemala or
the banks qualified by the Bank of Guatemala in
accordance with the provisions of the previous paragraph. Only the following are excepted:

261

FOREIGN BANKING LAWS AND REPORTS
a) Operations transacted by foreign diplomatic
agents and career consuls in Guatemala, in the performance of their official functions; and,
b) Minor exchange transactions of tourists and
travellers, which shall be subjected to the regulations to be issued by the Monetary Board with the
approval of the Executive Power.

shall include the margin corresponding to banking
commissions and surcharges and, consequently,
these rates shall be understood to be net and free of
any commission or surcharge for the buyers and
sellers.
Art. 25. Other exchange operations, such as the
purchase and sale of time bills, telegraphic or cable
Penalties—Art. 21. Those who negotiate coined transfers, foreign notes and coin, and other intergold or gold bars and foreign exchange, in violation national transfers, shall be made at the rates menof the provisions of the preceding article, shall be tioned in the preceding article, but the banks may
punished by the Ministry of Economy, upon request charge their clients the additional costs involved
or hearing of the Bank of Guatemala, with fines in the transaction, such as telegraphic or cable rates
up to an amount equivalent to three times the im- and the interest applicable to the operation, inport of the illegal transactions, and, depending on cluding interest on documents in transit.
Exchange procedures—Art. 26. The qualified
the gravity of the violation, with the suspension or
banks shall effectuate all purchases and sales of
cancellation of their commercial licenses.
Buying and selling of gold—Art. 22. The Bank gold and foreign exchange for the exclusive acof Guatemala shall be obligated to buy any gold count of the "Monetary Stabilization Fund" which
metal which is offered to it, either directly or the Bank of Guatemala must maintain in conformthrough the medium of the banks contracted and ity with the Organic Law of that institution.
In consequence, the banks shall be allowed to
qualified for the purpose by the Monetary Board.
The Bank shall also be empowered to require any transfer at any time to the Bank of Guatemala the
person or entity which possesses coined gold or gold gold and foreign exchange which they buy; and,
bars to deliver it either to itself or to any of the in its turn, the Bank of Guatemala shall be allowed
qualified banks, against payment of its equivalent to require the banks, at any time to transfer to it
the gold and exchange which they have bought.
in national currency.
The Monetary Board may, in either case, require
The Bank of Guatemala shall supply the demand
of gold metal for artistic or industrial purposes, in that the transfers be made in telegraphic or cable
conformity with the regulations to be dictated on form; in the case of time bills and of future exthe matter by the Monetary Board with the approval change, the Board may grant the banks the brief
delays which it deems advisable for the carrying
of the Executive Power.
Such purchases and sales shall be made at the out of the respective transfers.
Art. 27. The Monetary Board may regulate, at
rates and commissions mentioned in Article 24 of
any time, the purchase and sale of time bills and of
this law.
Buying and selling of foreign exchange—Art. 23. future exchange by the qualified banks, so as to
The Bank of Guatemala shall be obliged to meet, avoid the taking of speculative risks on future
through the medium of the banks contracted and fluctuations in international exchange.
Art. 28. In order to facilitate daily exchange
qualified for the purpose by the Monetary Board,
any offer of or demand for, the currencies of the operations, the Monetary Board shall authorize the
principal countries of importance in the balance of banks to retain, totally or partially, the exchange
payments of the country, as long as such currencies bought from their clients, and to sell drafts against
such exchange, provided that the total holdings of
are freely utilizable in the international market.
Such purchases and sales shall be made at the exchange do not exceed the maximum amounts
rates and commissions mentioned in Articles 24 and which the Board shall determine with relation to
25 of this law. The Monetary Board may deter- the average of their sales of exchange during the
mine the procedure which shall apply to the ac- preceding 12 months. Nevertheless, the total
quisition of currencies not freely utilizable in the amount of such holdings of exchange by any bank
international market, and the manner of their shall never be permitted to exceed 25 per cent of
liquidation when their conversion in other free the bank's paid-in capital and surplus.
currencies is not possible.
The foreign exchange assets maintained by the
Rates of exchange—Art. 24. The buying and banks against their foreign exchange liabilities shall
selling rates of drafts and sight bills in the banks not be taken into account in the calculation of the
shall be determined by the Monetary Board and limits mentioned in this article.
may not differ by more than one per cent from the
Art. 29. When the exchange retained by a bank
legal parities established in Article 18 of this law.
is insufficient to handle effectively its sales of foreign
The rates determined by the Monetary Board exchange, the Bank of Guatemala shall transfer to

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FOREIGN BANKING LAWS AND REPORTS
the bank, at its request, the amounts needed for
that purpose.
Art. 30. Transfers of exchange from the Bank
of Guatemala to the banks, and from these to the
Bank of Guatemala, shall be made at the rates determined by the Monetary Board. Such rates shall
not differ by more than one-half of one per cent, in
either direction, from the legal parities. Nevertheless, there may be charged in addition the costs
mentioned in Article 25, in case they should be
applicable.
Ris\s—Art. 31. The following risks shall be
borne by the authorized banks:

cally about the movement of all their foreign exchange accounts, whether they be held for the banks
themselves or for their respective clients.
The Bank of Guatemala shall be empowered to
control the accuracy of the reports mentioned in this
article, through whatever inspections it deems necessary.
Chapter V
Statistical Control

Purpose—Art. 35. The Monetary Board shall
establish a system of statistical control of transactions involving transfers of funds abroad from
a) The risk of noncompliance of bills purchased Guatemala and from abroad to Guatemala, with the
and of future exchange contracts;
purpose of preparing estimates of the balance of
b) The risk of nonreimbursement of foreign ex- payments of the country.
change deposits by the banks' correspondents; and,
Regulation—Art. 36. The system of statistical
c) Any other risks of a typically commercial or control shall be established through regulations
banking character.
issued by the Monetary Board and approved by the
Executive Power.
On the other hand, the risk of modifications in
These regulations shall determine penalties for
the legal parity of the foreign currencies, or of those who violate the provisions relative to the
fluctuations in their daily exchange quotations, shall statistical control. Such penalties may consist of
not concern the banks in any way, provided that fines up to 50 per cent of the amounts concealed
they maintain their total holdings within the limits or altered and, depending on the gravity of the
determined by the Monetary Board. These risks, violation, of suspension of the commercial licenses.
whether of profit or of loss, shall be borne by the
These penalties shall be applied by the Ministry
Bank of Guatemala.
of Economy upon request of the Bank of Guatemala.
Exchange profits and losses—Art. 32. The profits
or losses occasioned by modifications in the legal
Second Part
parity of foreign currencies shall be entered in the
books of the Bank of Guatemala in accordance with
Emergency Regulation of International Transfers
the special system established in the Organic Law
of that institution. Profits and losses arising from
Chapter VI
fluctuations in the daily exchange quotations shall
be credited or debited to the profit and loss account
Establishment and Purpose of the Emergency
of the Bank of Guatemala.
System
Art. 33. When the differences between the buySystem of exchange restrictions—Art. 37. The
ing and selling rates applying to operations between
second part of this law, starting with the present
the banks and the public, and the buying and selling
rates applying to operations between the Bank of chapter, establishes an Emergency System of interGuatemala and the banks, exceed the amount neces- national transfers, which limits the application of
sary to defray the normal costs and profits of the the provisions of Chapter IV relative to the free
banks on their exchange operations, exclusive of the external convertibility of the national currency.
This system may be applied only in periods of
costs which they may charge to their clients in aceconomic emergency, the existence of which shall
cordance with Article 25, the excess profits shall
belong to the Bank of Guatemala and shall be be decreed in the form and conditions provided for
in this same law.
transferred to it monthly by the banks.
Establishment of exchange restrictions—Art. 38.
The Monetary Board shall determine the maxiThe Emergency System of international transfers
mum amounts of costs and commissions which may
may be put into effect by decree of the President of
be retained by the banks.
Information—Art. 34. The qualified banks must the Republic in Council of Ministers, upon request
report daily to the Bank of Guatemala all exchange of the Monetary Board, and only in the following
cases:
operations which they have transacted.
a) In application of decisions or recommendaThe Monetary Board may, in addition, require
the banks to inform the Bank of Guatemala periodi- tions emanating from international conventions on
MARCH 1946




263

FOREIGN BANKING LAWS AND REPORTS
monetary stabilization, subscribed to and ratified
by the Republic; and,
b) In order to maintain the stability of the currency in periods of temporary disequilibria in the
balance of payments:
i) which have reduced the net reserves of the
Monetary Stabilization Fund to less than 40 per
cent of the annual average of total sales of exchange during the three preceding years; or,
ii) which currently produce a persistent draining of such reserves at a rate greater than 25 per
cent annually and not attributable to seasonal or
transitory factors.
Art. 39. The Monetary Board may exclude from
the calculation of the reserves in the Monetary Stabilization Fund, holdings of blocked, or not freely
usable, currencies; but in this case the Board shall
be obliged to exclude simultaneously the sales of
such currencies from the calculation of the average
of total sales in the preceding three years, when establishing the proportion between reserves and sales
of exchange for the purposes mentioned in this law.
Art. 40. Similarly, the exchange restrictions provided for in this law for the Emergency System, or
other restrictions which the International Monetary
Fund may recommend, may be put into force at any
time by decree of the President of the Republic,
issued in the manner prescribed in Article 38, in
any one of the following cases:
a) For the sale of currencies declared scarce by
the International Monetary Fund;
b) For the sale of currencies the net holdings of
which in the Bank of Guatemala have been reduced
to less than 40 per cent of the average sales of such
currencies during the three preceding years, or
have fallen by more than 25 per cent of their previous level within a period of 12 months; provided
that in either case the currencies in question cannot
be procured by the Bank of Guatemala through the
normal conversion into such currencies of other
international reserves at the disposal of the Bank;
and,
c) In application of special decisions or recommendations of the International Monetary Fund.

law. Their use is especially prohibited as a permanent measure tending to elude fundamental economic readjustments required by lasting changes
in the comparative levels of prices and costs of
production at home and abroad.
Art. 43. The application and administration of
exchange restrictions shall conform to the international treaties and conventions subscribed to and
ratified by the Republic and shall avoid:
a) Any discriminatory measures prejudicial to
the good economic and political relations of Guatemala with foreign nations; and,
b) Any action prejudicial to the permanent interests of the Nation in the development of international trade and cooperation.

These restrictions do not refer to legitimate differentiations in the treatment of distinct categories
of merchandise, services and capital movements, on
generally accepted bases; nor to inevitable discriminations necessary to defend the monetary structure
of the Republic against the consequences resulting
from previous action by other countries; nor to the
measures necessary for the defense of the national
economy.
Administration—Art. 44. The Emergency System of international transfers shall be administered
by the Exchange Department of the Bank of Guatemala, in conformity with the regulations issued by
the Monetary Board with the approval of the Executive Power.
The Monetary Board shall be in charge of the
general direction of the Exchange Department,
and shall decide all appeals against decisions of the
same Department, whether executive or interpretative in nature.
Enforcement—Art. 45. Custom houses and postal
offices must collaborate with the Bank of Guatemala to assure the efficient enforcement of the
Emergency System of international transfers.
Before authorizing the dispatch of import or
export merchandise, they shall require proof of
the declarations relating to the operation, as well
as the documents corresponding to the acquisition
or negotiation of the respective foreign exchange.
Similarly, they must forward periodically to the
Art. 41. All decrees of the Executive Power Exchange Department statistical records of merwhich establish exchange restrictions, in the cases chandise dispatched and other data related to the
provided for in this second part of the law, shall be control.
subject to the requirements established in Article 16
The Monetary Board, with the approval of the
of this same law.
Ministry of Finance, shall regulate the provisions of
Purposes—Art. 42. The exchange restrictions au- this article, and shall be empowered to establish
thorized by the Emergency System may not be a special system for imports and exports under
applied for purposes alien to those specified in the consignment.

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Chapter VII
Concentration of International Reserves
Declarations—Art. 46. All persons or entities
which possess or come into possession of foreign
currencies or coin, or deposits in such currencies,
either in the country or abroad, shall be obliged to
declare their amount to the Exchange Department
of the Bank of Guatemala or to any of the banks
qualified by the Monetary Board. These declarations shall be made within the 10 days following
the respective acquisition, and shall be considered
strictly confidential.
The Monetary Board may exempt from this
obligation holdings of foreign exchange in minor
amounts, determining the limits of such exemptions in accordance with circumstances at the time.
Art. 47. All persons or entities, before utilizing
or transferring the moneys, currencies or deposits
referred to in the preceding article, must make a
previous declaration to the Exchange Department
of the Bank of Guatemala or to any of the qualified
banks, except in the case of ordinary operations of
current character of the banks themselves, which
shall be governed by the permanent system established in Article 34 of this law.
Art. 48. The declarations required in Articles 46
and 47 shall be accompanied by such data and evidence as the Exchange Department may require
concerning the amount, nature and other conditions
of the operation.
Penalties—Art. 49. Those who violate the provisions of Articles 46, 47 and 48 shall be punished
with fines up to three times the amounts concealed
or transacted surreptitiously and, depending on
the gravity of the violation, with the suspension or
cancellation of the commercial licenses. These fines
shall be applied by the Ministry of Economy upon
request of the Bank of Guatemala.
Art. 50. The Exchange Department shall annotate and classify the declarations mentioned in the
preceding articles, in order to use them in determining the exchange policy of the country. It shall
investigate the accuracy of such declarations by the
means at its disposal, and solicit the application of
the pertinent penalties in cases of false declarations
or failure to make declarations.
Holdings of foreign exchange by individuals—
Art. 51. The Monetary Board may at any time:
a) Prohibit, totally or partially, or submit to
previous authorization, the maintenance of deposits by individuals, either abroad, or in foreign
currencies within the country; and,
b) Subject such authorization to the requirements and conditions which it deems necessary for
the efficient application of the Emergency System
MARCH

1946




of international transfers, and for the protection of
the national currency.
Compulsory sale of incoming exchange—Art. 52.
Similarly, the Monetary Board shall be empowered
to demand at any time the sale to the Bank of
Guatemala, through the medium of the qualified
banks, of the foreign exchange proceeds from exports or from any other source of easy control, subject to the exceptions mentioned in Article 70 of
this law.
This requirement may be made to extend either
to the totality of the exchange acquired by any
person or entity, or to percentages or ad hoc valuations established by the Board itself, and which may
vary according to the class of operations in which
the acquisition of the exchange originates.
Chapter VIII
Negotiation of International Reserves
Three exchange markets—Art. 53. The Bank of
Guatemala shall apply the international reserves
which it acquires to meeting the demands of foreign
exchange for payments and remittances abroad.
The exchange required for essential payments
and remittances shall be sold in the conditions
established in the normal exchange system.
The exchange required for nonessential payments and remittances shall be distributed through
an auction market.
The exchange, the sale of which to the Bank of
Guatemala can not be demanded in accordance
with this law, or is not required by the Monetary
Board, may be negotiated in a free exchange
market.
Compulsory sales by the Ban\ of Guatemala—
Art. 54. The Bank of Guatemala shall be obligated to offer currently for sale the total of the
foreign exchange that it currently acquires, with
the following exceptions:
a) The Bank may retain temporarily the amounts
necessary in order to ease seasonal or purely accidental fluctuations in the inflow and outflow of
exchange over the course of the year;
b) The Bank may similarly retain temporarily
the whole or part of extraordinary acquisitions of
exchange resulting from borrowings abroad, in
order to assure the best utilization of the exchange
over the period of the loan; and,
c) When the net reserves of the "Monetary
Stabilization Fund" are less than 50 per cent of
the average sales of exchange during the three preceding years, the Bank may retain the amounts
necessary for the gradual reconstitution of this percentage over a period of not less than 12 months.

265

FOREIGN BANKING LAWS AND REPORTS
shall determine whether such services must be
considered as essential, and which, if it deems them
so, shall determine the corresponding amounts of
Essential transfers—Art. 55. Available gold and exchange. The decisions of the Exchange Departforeign exchange of the Bank of Guatemala shall ment may be appealed to the Monetary Board.
Only the amounts approved by the Exchange
be used preferably for the sale of exchange required
by the following essential payments and remit- Department, or by the Monetary Board, in accordance with the provisions of the preceding paragraph,
tances:
shall enjoy access to the exchange market for
a) Payments for indispensable and nondeferrable essential payments.
merchandise of general consumption and producPayments on foreign investments—Art. 60. The
tion goods;
persons or entities interested in the payments reb) Indispensable payments and remittances of ferred to in clauses (d) and (e) of Article 55, and
the State and of official institutions;
which wish to take advantage of the guarantees
c) Payments abroad for services, in the amounts established in Article 56, must register the reindispensable to meet essential needs or to main- spective capitals or investments in the Exchange
tain the regular functioning of activities useful to Department, which may refuse their registration
the public or the economy in general;
when the investment under consideration is in
d) Contractual payments abroad for interest opposition to the needs of economic policy or to
and amortization of loans or other obligations; and, national interests. The decision of the Exchange
e) Payments of dividends, profits or amortiza- Department may also, in this case, be appealed
tion of foreign capital permanently invested in the before the Monetary Board.
country, in amounts representing up to 15 per
Only the capitals registered in the Bank of Guatecent per year in at least five years out of any ten, mala in accordance with the preceding paragraph
and up to 5 per cent annually in any of the other shall have access to the exchange market for essenyears of the same decade. These percentages shall tial payments, and only up to the maximum
be calculated on the amount of the verified invest- amounts or percentages which the Monetary Board
ments.
shall determine, in a general manner and without
Guarantees—Art. 56. The exchange destined to any discrimination.
meet the essential payments specified in the preBookkeeping prerequisites—Art 61. No considceding article shall be sold regularly and without eration shall be given, for the application of Articles
restrictions by the Bank of Guatemala, through the 55 and 56 of this law, to declarations of debts or
medium of the qualified banks, at the rates estab- requests for remittances presented by persons or enlished in Articles 24 and 25 of the present law, pro- tities which do not keep in the country full legal
vided that the conditions established in this chapter accounting of their operations.
are complied with.
Essential imports—Art. 57. The Monetary Board
shall determine the merchandise to which clause
Chapter X
(a) of Article 55 is applicable and shall put on
The Auction Market
sale the amounts of foreign exchange which shall
assure their normal importation.
Exchange for nonessential transfers—Art. 62.
The Board may amplify or restrict the list of
such merchandise, in accordance with the situa- The balance of the foreign exchange which remains available after meeting the essential paytion of the exchange market.
Official payments—Art. 58. The Exchange De- ments referred to in the preceding chapter, shall
partment shall qualify and authorize the requests be assigned to meeting payments abroad for nonfor exchange destined for the payments and re- essential imports and deferrable imports, and for
mittances to which clause (b) of Article 55 is other nonessential remittances which the Monetary
applicable; but, when it deems that the exchange Board may determine.
Sale of licenses by auction—Art. 63. Such foreign
is required for nonessential purposes, it shall reexchange shall be sold at the rates established in
port the matter to the Monetary Board.
Payments for services—Art. 59. The persons or Articles 24 and 25 of the present law, and shall be
entities which receive the services mentioned in distributed among the buyers through periodic pubclause (c) of Article 55, and which wish to take lic auctioning of exchange licenses, to be effectuated
advantage of the guarantees established in Article by the Bank of Guatemala, at least once a week.
56, must submit previously the respective contracts
Importers shall indicate freely the rate which
or programs to the Exchange Department, which they are prepared to pay in each auction and the
Chapter IX
Exchange Market for Essential Payments

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FOREIGN BANKING LAWS AND REPORTS
amounts of exchange which they request at that thorized considerably exceed the amount of exchange offered for sale.
rate.
Surplus exchange—Art. 67. If during the course
The Bank of Guatemala shall award to the highest bidders the exchange put on sale, or a larger or of three successive auctions there remains a surplus
smaller amount, according to what it deems desir- of exchange in any one auction category, in spite of
able in order to avoid sudden fluctuations in the the fact that the quotation of the respective rate
has fallen to zero, the Bank of Guatemala must
auction rate.
Direct sale of licenses—Art. 64. Instead of offer- count such surplus exchange as available exchange
ing the licenses at auction in accordance with the and distribute it, together with other future surprovisions of the preceding article, the Monetary pluses, among the remaining sale categories.
Auction procedures—Art. 68. Auctions shall be
Board shall be empowered, if it deems it preferable,
to determine directly the rates to be charged for the carried out in the presence of the Director of the
concession of licenses. In this case, the Board must Exchange Department, who shall award the
establish the level of these rates so as to approxi- licenses and certify the results of the auction.
In case of unusual results which lead to suspicion
mate the results of the auction and to equilibrate
demand with supply. The Board must similarly re- of collusion or fraud, he shall temporarily suspend
view the rates periodically, and at least once a week, the award of licenses and shall immediately reon the basis of the disequilibria which manifest quest an extraordinary session of the Monetary
themselves currently between the available ex- Board in order to report the situation. The Board
may annul the respective auctions and must comchange and the demands subject to licenses.
Obtaining of licenses—Art. 65. Whatever the municate its decision within the 48 working hours
procedure adopted, the only condition which shall following the auction.
The Director of the Exchange Department may,
exist and which may be imposed in order to obtain
the exchange licenses shall be the payment of the with the approval of the Manager of the Bank,
rates determined by the Monetary Board or result- designate an officer of the Bank as his delegate to
exercise the functions and powers mentioned in
ing from the auction.
Expiration of licenses—Nevertheless the exchange this article.
Proceeds of exchange licenses—Art. 69. The prolicenses shall lapse in case they are not utilized for
the purpose for which they were granted, within ceeds of the exchange licenses shall be added to the
the normal period corresponding to the operation. other profits of the Bank of Guatemala.
This period may be extended by the Exchange Department in justified cases.
Chapter XI
Classification of auction exchange—Art. 66. The
The Free Exchange Market
Monetary Board may, if it deems it advisable, classify the requests subject to the auction system into
Free exchange — Art. 70. Incoming exchange
groups determined upon generally accepted bases,
related to the degree of essentiality and urgency of from the following sources shall be considered as
the operations, and may distribute the offers of ex- free exchange:
a) Salaries and expenses of foreign diplomatic
change among these groups, with the object of
assuring an adequate distribution of available ex- agents and career consuls in Guatemala, and of
change in accordance with the real needs of the representatives of institutions or agencies of intereconomy. The distribution must be made in such national cooperation;
b) Foreign capital entering the country for pera way as to avoid having the rates corresponding to
more essential or more urgent operations exceed manent or temporary investment;
c) The repatriation of Guatemalan capital inthose applicable to less essential or less urgent operavested abroad;
tions.
d) Scarce or occasional exports to be determined
Buying limits—If the Board deems it necessary in
order to avoid an excessive concentration of sales by the Monetary Board;
e) The difference between the percentages or
among a few groups of buyers, it may also limit the
amounts of exchange which may be granted to ad hoc valuations mentioned in Article 52, paraany one person or entity, to a percentage of pur- graph 2, and the actual exchange proceeds; and,
f) Other incoming exchange, the sale of which
chases abroad during a previous representative
period. This percentage must be uniform for all to the Bank of Guatemala is not demanded by
buyers belonging to the same auction group, and the Monetary Board.
must be established in such a way that the global
Such foreign exchange may be freely negotiated
sum of the maximum individual amounts thus au- in accordance with the provisions of this chapter,
MARCH

1946




267

FOREIGN BANKING LAWS AND REPORTS

provided that its holder does not prefer to retain change to any amount which it deems desirable
to cover its exchange needs.
it abroad.
Purchase and sale of free exchange by individuals
—Art. 71. The holders of free exchange may sell it
Chapter XII
to the Bank of Guatemala or to any qualified bank.
Control of Capital Movements
The only prerequisite applying to such transactions
shall consist of a declaration indicating: a) The
Capital Flight—Art. 76. Whenever it be necesprofession or business of the seller; b) the amount sary in order to combat a characteristic flight of
of exchange negotiated; and c) the origin of the capital which threatens to reduce the international
exchange.
reserves of the Monetary Stabilization Fund to the
The purchasing bank shall pay for the exchange levels or in the proportion indicated in Article 38,
at the current buying rates and in addition shall the exchange restrictions mentioned in the second
deliver to the sellers a "certificate of free exchange" part of this law may be put into force, totally or
to the bearer, in which the amount of the negotiated partially, by decree of the President of the Republic
exchange shall be recorded.
in Council of Ministers, upon request of the MoneArt. 72. The certificates of free exchange re- tary Board.
ferred to in the preceding article shall give the
In this case, the exchange restrictions shall be
holders the right to buy, in the Bank of Guatemala applied only to capital movements, without affector in any of the qualified banks, the amount of ex- ing other international transfers of a current charchange expressed in such certificates, at the current acter.
selling rates at the time of purchase of the certifiNevertheless, in case the general exchange restriccates, provided that they be presented within the tions come to be put into force by reason of a reduceight working days following the date of their tion of international reserves to the levels or in the
issuance.
proportion indicated in Article 38 of this law, capiThe Monetary Board may extend this period in tal movements shall be controlled through the proa general and uniform manner. When the respec- cedures applicable in a general manner to all intertive period has elapsed, the certificate shall expire. national transfers.
The exchange certificates may be freely negotiAbnormal capital inflow—Art. 77. Whenever it
ated between any interested persons or entities, at be indispensable to combat a pronounced inflathe prices determined by their supply and demand: tionary movement, the entry of foreign capital seekbut the Monetary Board may order that such opera- ing investment in the Republic may be subjected to
tions be transacted only through the medium of the authorization, and its free conversion into national
Bank of Guatemala or of the qualified banks, al- currency may be suspended, by decree issued by the
ways at the prices determined by supply and de- President of the Republic in Council of Ministers,
upon request of the Monetary Board.
mand.
In this case, the Monetary Board may demand
Art. 73. Holders of certificates who make use of
their right to purchase foreign exchange at the cur- that any sum which exceeds certain maximum limrent rate must present to the Bank of Guatemala, or its, fixed by the Board itself, be deposited with the
to any of the qualified banks, a declaration indi- Bank of Guatemala, in a special account, until the
cating: a) The profession or business of the buyer; authorization for conversion into quetzales and inb) the amount of exchange purchased; and c) the vestment in the country be granted or denied.
Sums thus deposited may be withdrawn from the
proposed destination of the funds.
Ban\ing negotiation of free exchange—Art. 74. country at any time and in the currency of
The Monetary Board may simplify the procedure origin by their respective depositors.
established in Article 72 when a bank simultaneously acquires from the seller the free exchange
Chapter XIII
and the respective certificate. The Board may
Termination of Exchange Restrictions
similarly grant, in a general and uniform manner,
periods additional to the eight days referred to in
Relaxation of restrictions—Art. 78. The Monethe article mentioned, for certificates of free ex- tary Board may, at any time, in accordance with
change corresponding to operations effected by the the monetary situation of the country, relax totally
banks among themselves, and for certificates which or partially any exchange restrictions previously
the banks themselves may retain in order to attend decreed in conformity with the provisions of the
to their sales of free exchange.
second part of this law.
Free acquisition of certificates—Art. 75. Any per- Termination of restrictions—Art. 79. Similarly,
son or entity may acquire certificates of free ex- the Monetary Board may, at any time, officially and

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FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
completely terminate all exchange restrictions, and
restore the free external convertibility of the currency, by decree of the Board itself published in the
official gazette.
The Monetary Board shall be obligated to terminate officially all exchange restrictions, through
the procedure indicated in the preceding paragraph,
upon discontinuance of the circumstances which
have motivated the introduction of such restrictions.
In any case, the Monetary Board must terminate all
restrictions decreed in order to prevent or combat
the effects of scarcity of exchange, whenever the
auction rates of exchange and the quotations of
free exchange have fallen to, and remained at, zero
.during a period of 12 consecutive months.
Third Part
General Provisions
Chapter XIV
Final Provisions
Required information—Art. 80. The banks, exporters, importers and, in general, persons or entities which effectuate transactions involving international transfers, shall be obligated to give free
access to their books and accounting vouchers to
the inspectors appointed by the Monetary Board or
by the Exchange Department.
The Ministry of Economy, at the request of the
Bank of Guatemala, may punish those who refuse
to yield their books and vouchers, with fines up to
1,000 quetzales and, depending on the gravity of
the violation, with the suspension or cancellation of
their commercial licenses, in addition to other penalties prescribed in this law.
Art. 81. Official departments must make available to the Bank of Guatemala the data and information which it requests for the fulfillment of this
law.
Fiscal exemptions—Art. 82. National monetary
specie of legal tender shall be exempt from any
kind of taxes and duties, fiscal or municipal.
Similar exemption shall apply to all operations
of monetary conversion or exchange effectuated in
accordance with this law, whether they concern the
exchange of some national species for others, the
payment of checks against banking deposits, the
exchange of gold or foreign exchange for national
currency, or the acquisition and alienation of documents implying international transfers.
Amendments—Art. 83, Modifications of the present law shall require for their approval the concurrent vote of two-thirds of the representatives
forming the Congress of the Republic.
Abrogation—Art. 84. The Monetary and ConIMARCH

1946




version Law issued by legislative Decree No. 1379,
dated May 2, 1925, is abrogated, together with all
provisions regulating the monetary system of the
Republic.
Decree No. 66 of the Revolutionary Council of
Government, and all laws, decrees, resolutions and
provisions which are in opposition to the prescriptions of this law are hereby repealed.
Chapter XV
Transitory Provisions
Interpretation of existing contracts—Art. 85.
Contracts concluded previous to the entering into
force of this law, and which stipulate payment
either in gold, or silver, or foreign currencies, shall
be executed and liquidated exclusively in quetzales,
the conversion into quetzales being made at the
legal parity established in the present law. The
provision of this article shall not apply to the contracts and obligations excepted under Article 3.
Trading in precious metals—Art. 86. The existing legal and regulatory provisions concerning the
exportation, importation, holding and negotiation
of gold and other precious metals shall continue
in force, in so far as they do not contradict the
prescriptions of this law.
The Bank of Guatemala shall exercise, as long
as such legislation continues, the functions and
powers attributed in this respect to the Central
Bank of Guatemala and to the Monetary and
Banking Department.
Effective date—Art. 87. The present decree shall
enter into force 10 days after its publication in the
official gazette. Nevertheless, the provisions of this
law which confer attributions, functions and powers
to the Bank of Guatemala and to the Monetary
Board, shall enter into force three days after the
resolution in which the Executive Power shall
declare the Bank of Guatemala as established.
The present decree shall be sent to the Executive
Power for its publication and enforcement.
Given in the Congressional Palace: in Guatemala City, on the twenty-ninth of November, nineteen hundred and forty-five, second year of the
Revolution.
JULIO BONILLA G.,

President
JULIO VALLADARES C,

P. ESPANA R.,

Secretary
Secretary
National Palace: Guatemala City, tenth of December, nineteen hundred and forty-five.
Publish and execute.
J U A N JOSE AREVALO.

The Minister of State for Economy and Labor,
M. NORIEGA M.

269

FOREIGN BANKING LAWS AND REPORTS

Decree Number 215
The Congress of the Republic of Guatemala,
considering:
That the issue of Decrees No. 203 and 212 presupposes the creation of an autonomous State
Bank; and that, on the other hand, the present
economic conditions of the Nation demand a radical
reform in the banking and credit system;
For that reason, Decrees: the following

c) Safeguard the international economic equilibrium of the country and the competitive position
of national producers in the domestic and foreign
markets.

Means of action—Art. 5. For the fulfillment of
these objectives and duties, the Bank shall count
on its moral suasion, on its legal powers for the
regulation of money, exchange and credit, and on
the fullest support and cooperation on the part
of the State and all its agencies.
In consequence the State guarantees to the Bank
Organic Law of the Bank of Guatemala
the independence and autonomy necessary for
the effective fulfillment of its objectives.
Title I
International responsibilities—Art. 6. The Bank
Creation and Object
shall act in conformity with the international moneCreation—Art. 1. There is hereby created a State tary and banking agreements subscribed to and
Bank under the name of "Bank of Guatemala".
ratified by the Republic.
The Bank shall function as an autonomous instiIt shall legally represent the State in all transactution, and shall be governed by the provisions of tions, negotiations and decisions resulting from
this law and by the Monetary Law.
such agreements, subjecting its action to the pertiPurpose—Art. 2. The principal object of the nent legal provisions and to the instructions which
Bank of Guatemala shall be to promote the estab- the Government may impart to it in the cases
lishment and the maintenance of the monetary, ex- foreseen in this law and in the Monetary Law.
change and credit conditions most favorable to the
Domicile—Art. 7. The Bank shall have its domiorderly progress of the national economy.
cile in the City of Guatemala.
Art. 3. In the domestic sphere the Bank especially
must:
Title II
a) Adapt the means of payment and credit
Guarantee Fund and Profits
policy to the legitimate needs of the country and
Guarantee jund—Art. 8. The Bank shall be
to the development of productive activity; and prevent any inflationary, speculative and deflationary established with an initial Guarantee Fund of five
hundred thousand quetzales (0500,000.00), which
tendencies detrimental to the general interests;
b) Promote the liquidity, solvency and sound shall be contributed by the State.
Art. 9. The Guarantee Fund shall be used to
operation of the national banking system, and a distribution of credit adequate to the general interests cover any possible losses which the Bank may
suffer in the course of its legal operations, except
of the national economy; and,
c) Effect the necessary coordination between the those resulting from modifications in the legal
various economic and financial activities of the parities of the currencies.
Use of net profits—Art. 10. The annual net profits
State which influence the monetary and credit
market, and especially between fiscal and monetary of the Bank, after judicious amortization of assets,
shall be used in their entirety to increase the Guarpolicy.
antee Fund, until this Fund reaches a sum equivaArt. 4. In the international sphere the Bank es- lent to 10 per cent of the total assets of the Bank,
pecially must:
provided that this percentage exceeds 500,000
a) Maintain the external value and convertibility quetzales. In making this calculation, there shall
of the national currency, in conformity with the be subtracted from assets that part of the Monesystem established in the Monetary Law;
tary Stabilization Fund which is maintained in
b) Administer the international monetary re- metallic gold, in sight deposits abroad and in other
serves of the Nation and the system of international equivalent international reserves, disposable at
transfers, with the object of protecting the country sight and at par.
from undue monetary pressures, and of moderating
Profits originating in modifications in the legal
—by means of an adequate monetary, banking and parities of the currencies shall not enter into the
credit policy—the injurious effects of seasonal, computation of net annual profits.
cyclical or erratic disequilibria of the balance of
Fund for the regulation of the bond market—
payments, upon money supply, credit, prices and Art. 11. Whenever the Guarantee Fund reaches the
economic activities in general; and,
higher of the two limits mentioned in the preceding

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FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
article, the balance of net annual profits shall be
used in its entirety for the constitution or increase
of a "Fund for the Regulation of the Bond Market".
This Fund shall operate in the manner and for
the ends specified in this law.
Revaluation profits and losses—Art. 12. Any
profits resulting from possible modifications in the
legal parities of the currencies, in conformity with
the pertinent provisions of the Monetary Law,
shall be used immediately for the amortization of
the "Consolidation Bond of Subsidiary Issues", mentioned in Article 58, clause (e), of the present law.
Once said bond has been cancelled, these profits
shall be entered and shall accumulate in a liability
account denominated "Liability Account of Exchange Revaluations" whose resources shall not be
drawn upon by the Bank.
Art. 13. Any losses resulting from modifications
in said legal parities shall be entered and shall
accumulate in the same manner in a parallel asset
account, denominated "Asset Account of Exchange
Revaluations".
At the close of each financial period, a balance
shall be struck between the two exchange revaluation accounts, and only the net difference shall
appear in the Bank's balance sheet under the general heading "Exchange Revaluations Account",
under either liabilities or assets, according to
whether there has been net profits or net losses.
In consequence, these profits or losses shall not
enter into the computation of the net profits or
losses of the financial period.
Profits from reductions in the monetary issue—
Art. 14. The amount of any reduction in outstanding notes and coin due to losses, destruction or
demonetization of monetary specie, determined in
accordance with the pertinent provisions of the
Monetary Law, shall be applied either to the amortization of the Consolidation Bond of Subsidiary
Issues, or to the reduction or cancellation of the
net balance of the Exchange Revaluations Account, or to the general profits of the Bank,
according to the resolution adopted on the matter
by the Monetary Board.
Title III
Direction and Administration
Chapter 1
The Monetary Board
Composition—Art. 15. The Bank of Guatemala
shall function under the general direction of the
Monetary Board, which shall be composed of six
members, designated in the following manner:
MARCH

1946




a) The President of the Republic shall appoint
two titular members and two alternates for sixyear periods, from a list of six persons submitted
by the other titular members of the Board. The
titular members designated by the President of
the Republic shall exercise, in accordance with their
appointment, the functions of President and Vice
President of the Monetary Board and of the Bank
of Guatemala;
b) The Minister of Finance shall be an ex officio
member of the Monetary Board and shall have
authority to delegate his functions, when he deems
it advisable, to one of the high officers of the
Ministry;
c) The Minister of Economy shall also be an
ex officio member of the Monetary Board and shall
have authority to delegate his functions, when he
deems, it advisable, to one of the high officers of
the Ministry;
d) The Superior Council of the Autonomous
University of San Carlos of Guatemala shall designate a titular member and an alternate for a sixyear period, from a list of three persons for the
titular, and another list of three for the alternate,
submitted by the Board of Directors of the Faculty
of Economics; and,
e) The private banks which operate in the Republic shall elect annually a titular member and
an alternate for a period of one year. For the
election of these members, each of the private
banks shall have a single vote; and preferably they
shall elect one of their directors, managers or
assistant managers.
Art. 16. Alternates shall serve in the place of
titular members in case of their absence or temporary incapacity, and preferably the alternate
named in the same manner as the absent titular
shall serve in his place.
Nevertheless, the alternate of the President of
the Board shall substitute for him only in his
capacity as member of the Board but not as President.
Art. 17. The alternates, when not substituting for
the titulars, may attend the sessions of the Board,
with the right to be heard but not to vote.
Renewals—Art. 18. The terms of the President
and Vice President of the Bank and of the member
designated by .the autonomous University of San
Carlos of Guatamala shall be staggered so as to
provide for a renewal every other year. For this
purpose, the initial appointment of the President
shall be made for a period of two years, that of
the Vice President for a period of four years, and
only that of the member designated by the Autonomous University of San Carlos of Guatemala for
the normal term of six years.

271

FOREIGN BANKING LAWS AND REPORTS

The same terms shall also apply to the respective
alternates.
Art. 19. Appointments of members of the Monetary Board to replace members whose terms have
expired must take place within the 30 days prior to
the expiration of such term. Titular members and
alternates shall be eligible for reappointment.
Vacancies—Art. 20. In case a vacancy is created
through the death, resignation, incapacity, removal
or other permanent inability of a titular member or
alternate to discharge the duties of the office, there
shall be designated a new titular member or alternate, as the case may be, to complete the term of
the vacating member.
This designation shall be made in the form
provided for the designation of the vacating member.
Eligibility—Art. 21. The President and Vice
President must be persons of unquestioned integrity and recognized training and competence in
economic and financial matters. For the designation of the other titular members and alternates of
the Monetary Board, preference shall be given to
persons of recognized integrity and competence in
banking, commercial, agricultural, pastoral or industrial matters.
Disqualifications—Art. 22. None of the following
may be titular members or alternates of the Monetary Board:
a) Persons less than 25 or over 70 years of age;
b) Leaders of organizations of a political character, except that this prohibition shall not apply
to ex officio members and their delegates;
c) Persons occupying remunerated public positions or offices, whether by popular election or by
appointment, in any agency of the State or the
municipalities, except positions of an educational
character; this prohibition shall not extend to the
Ministers of Finance and Economy and their delegates;
d) Directors, managers or employees of other
banks, except in the case of titular and alternate
members elected by the banks in accordance with
clause (e) of Article 15;
e) Persons related within the fourth degree of
consanguinity or second degree of affinity, to the
President of the Republic, the Minister of Finance
or the Minister of Economy;
f) Two or more persons related within the fourth
degree of consanguinity or the second degree of
affinity; or belonging to the same company; or
forming part of the same directorate in a corporation;
g) Insolvent or bankrupt persons who have not
been legally restored to solvency;

272




h) Persons who have been condemned for offenses which imply lack of probity;
i) Persons who, for any reason whatsoever, are
legally incapable of discharging said functions.
Art. 23. When any of the disqualifications mentioned in the preceding article exists or occurs, the
appointment or authority of the affected member
shall lapse, and action shall be taken to replace
him in the manner provided for in the case of a
vacancy. The finding and declaration of disqualifixation shall be made by the Monetary Board.
Notwithstanding such disqualification, any acts or
contracts authorized by the member prior to his
disqualification shall not be invalidated, either with
respect to the Bank of Guatemala or with respect
to third parties.
Removal—Art. 24. A member of the Monetary
Board shall be removed only by resolution of the
President of the Republic, upon judiciary sentence
pronounced in summary indictment by the Court
of Accounts, and for the following reasons:
a) If any one of the disqualifications mentioned
in Article 22 of this law appears, and the Monetary
Board fails to act in accordance with Article 23;
b) If the member is responsible for acts or operations of a fraudulent or illegal character, or manifestly opposed to the aims or interests of the institution;
c) If final sentence is passed upon the member
in a criminal prosecution. In the case of detention
awaiting trial, he shall be incapacitated for the discharge of his office and shall be replaced by the
alternate.
The denunciation of a member shall be made
before the Court of Accounts by the Superintendent
of Banks or by any titular or alternate member of
the Monetary Board.
Sessions—Art. 25. The sessions of the Monetary
Board shall be called by the President, by the Vice
President when serving in his place, or by any
member with the approval of a majority of the
Board, and shall be convened at least once a week.
The Board shall meet validly with the attendance
of at least five members, and its resolutions shall be
adopted by a simple majority of those present, except when the law requires a special majority.
Advisors—Art. 26. The Manager, the Superintendent of Banks, the Director of the Department
of Economic Research and the Director of the Exchange Department shall participate in the Board's
deliberations, in the capacity of permanent advisors, with the right to be heard but not to vote.
Art. 27. When the Board deems it advisable, it
may invite to participate in its deliberations, with
the right to be heard but not to vote, any other
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FOREIGN BANKING LAWS AND REPORTS

qualified person, and especially its alternate members and the representatives of the other financial
institutions of the State.
Remuneration—Art. 28. The presence of titular
and alternate members and of advisors at the
sessions of the Board shall entitle them to a
fixed fee, determined in regulations of the Bank
with the approval of the Executive Power. Remuneration may not take the form of commissions,
or be related to the earnings of the institution.
Persons not connected with the institution and
domiciled outside the capital shall be reimbursed
for traveling expenses when invited to a session in
an advisory capacity.
Nonattendance of members having a personal
interest—Art. 29. Whenever the Board's deliberations or resolutions involve a personal interest on
the part of one of the attendants, or of his associates or relatives within the fourth degree of consanguinity or second degree of affinity, he shall be
barred from participation in such deliberations or
resolutions, and must withdraw from the session.
Powers and duties—Art. 30. The Monetary
Board shall be responsible for the determination
of the monetary, exchange and credit policy of the
Republic, and for the general direction of the Bank
of Guatemala.
To this end, the Monetary Board shall have the
following powers and duties:
a) Execute and enforce the general policy and
•duties assigned to the Bank of Guatemala, through
the use of its powers and the performance of
legal operations;
b) Approve, amend and interpret the regulations
of the Bank of Guatemala, subject to ratification by
the Executive Power in the special cases provided
for in the law;
c) Approve annually the report of the Bank, its
balances and profit and loss accounts, as well as
the disposal of its profits, in conformity with the
legal provisions;
d) Vote the annual budget of the Bank, set up
the necessary positions for the administration of its
affairs, and determine the corresponding remunerations;
e) Appoint and remove the Manager, the directors of the departments, the advisors and other
higher officers of the Bank of Guatemala, and assign them their functions within the provisions of
this law;
f) Submit a list of three names to the Court of
Accounts for the appointment of the Superintendent
of Banks;
g) Appoint the advisors required for the proper
functioning of the Bank and the efficient performance of its operations;
MARCH

1946




h) Determine, modify and publish the rediscount
and interest rates of the Bank of Guatemala;
i) Regulate the rediscount and credit services of
the Bank of Guatemala, and determine the general
conditions and limits of the various operations of
the Bank authorized in this law;
j) Designate the officers and employees of the
Bank who shall be empowered to authorize specific
operations, and determine the limits and conditions
within which they may exercise such authority;
k) Determine and modify the legal reserves of
the banks, in accordance with this law, and regulate
clearings between the banks;
1) Determine the maximum rates of interest on
the passive and active operations of the banks, and
regulate bank credit in accordance with the provisions of this law;
m) Direct the general policy of all banking institutions of an official or semi-official character, in so
far as it relates to the monetary, exchange and
credit policy of the Republic, through:
i) Instructions, recommendations and suggestions relative to the general credit policy of such
institutions and their issues of securities and other
obligations;
ii) Intervention in the organization of the directorates and the administration of the institutions, in the form established in the pertinent
laws;
iii) Determination of the rates to be charged or
paid for active and passive operations; and,
iv) The limitations which the Board may deem
necessary to impose, according to the conditions
prevailing in the money market, upon the granting of credits and the issue of obligations by those
institutions;
n) Exercise the other functions and powers assigned to it in accordance with this law, the Monetary Law and other pertinent provisions.
Responsibility—Art. 31. The Board shall exercise
its functions with absolute independence and under
its exclusive responsibility, within the authority
determined by this law and the regulations.
Any act, resolution or omission of the Board
which violates legal provisions, or which implies
the intent to cause damage to the Bank of Guatemala, shall make all members present at the session
liable personally and jointly to the Bank of Guatemala, the State and any third party, for the injuries
and damages incurred.
Exempted from this responsibility shall be the
titular members who have registered their dissenting vote, and the others present who have registered their objection in the minutes of the session
at which the matter was discussed.

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FOREIGN BANKING LAWS AND REPORTS

The same responsibility shall attach to those who
divulge any information of a confidential character
about matters discussed by the Board, or who
make use of such information for personal gain, or
in detriment to the Nation, the Bank or third parties.

cial entities and with international financial institutions, in all respects that do not pertain to current
operations of the Bank of Guatemala;
c) Intervene in the name of the Bank in all matters which, by reason of their nature or magnitude,
exceed the authority of the Manager or the Superintendent of Banks, in accordance with the decisions of the Monetary Board;
Chapter II
d) Authorize with his signature, separately or
The Presidency
jointly with the Manager, the contracts entered into
Powers and duties—Art. 32. The President shall by the Bank of Guatemala, the notes or securities
call and preside over the sessions of the Monetary which it issues and the obligations which it contracts, as well as the reports, balances, profit and
Board and shall guide its deliberations.
The President shall have the following responsi- loss accounts, correspondence and other documents,
in accordance with the laws and regulations of the
bilities:
Bank and the resolutions of the Monetary Board;
a) Assure the fulfillment of the objectives and
e) Delegate his power to represent the Bank of
duties of the Bank of Guatemala;
Guatemala to the Manager or to other officers of
b) Study and prepare the bases and norms of the institution, except when his intervention is
the monetary, exchange and credit policy of the in- legally required; and,
stitution, present them to the Monetary Board and
f) Grant powers of attorney in the name of the
assure their implementation;
Bank.
c) Present to the Monetary Board the projected
Art. 34. The President shall supervise the genregulations of the Bank of Guatemala, and the eral progress of the Bank, and guide the Manager
amendments which experience may suggest;
in the execution of its policies, and the Superind) Propose to the Monetary Board the annual tendent of Banks in the functions of inspection and
budget of the Bank, and suggest modifications examinations.
whenever necessary;
The President of the Bank shall resolve in last
e) Submit for the consideration of the Monetary
Board all matters on which it should act, and give instance all matters not reserved to the decision
his opinion on them, verbally or in writing, de- of the Monetary Board.
Art. 35. The President shall also have authority,
pending on the importance of the case;
jointly with the Manager and the Superintendent
f) Impart to the Department of Economic Research the instructions necessary for the drafting of Banks:
a) To decide, in cases of extreme urgency and
of the Annual Report of the Bank, and submit the
broad outline of this report for the approval of the when it is impossible to arrange an immediate
session of the Monetary Board, any matter under
Monetary Board; and,
g) Perform the other duties and powers assigned the jurisdiction of the Board itself; and,
b) To suspend the resolutions or decisions of
to him in this law, the regulations of the Bank and
the Board, when an unforeseen fact or a serious and
other pertinent provisions.
urgent need so demand.
The President shall exercise his functions with
In both cases the President shall have the obligathe collaboration of the Manager, the Superintion to call the Monetary Board as soon as possible,
tendent of Banks, the directors of the departments
and other officers whose cooperation he deems useful in order to give account of his action and explain
why he has deviated from normal procedures.
in considering any specific problem.
Incompatibility—Art. 36. The President shall be
Art. 33. The President shall be the principal
under obligation to dedicate his activities chiefly to
representative of the Bank of Guatemala and in that
the service of the Bank of Guatemala, and his
capacity shall have the following functions:
functions shall be incompatible with the exercise
a) Conduct relations with the authorities of the of any other employment, public or private, whether
Republic, especially the Executive Power, and pro- remunerated or ad honorem, with the exception of
mote coordination between the economic, financial positions of an educational character and of comand fiscal policy of the State and the policy of the missions directly related to the direction of moneBank of Guatemala, in accordance with the instruc- tary and banking policy.
tions or recommendations of the Monetary Board;
Vice-Presidency—Art. 37. In case of the absence
b) Conduct, directly or through the Manager, re- or temporary incapacity of the President, the Vice
lations with other central banks, with foreign offi- President shall act as President.
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FOREIGN BANKING LAWS AND REPORTS
Chapter III

documents, in accordance with the laws and regulations of the institution and the resolutions of the
The Management
Monetary Board.
Provision for alternate—Art. 41. In case of the
Functions—Art. 38. The Manager shall be in
charge of directing the operations and internal absence or temporary incapacity of the Manager,
administration of the Bank of Guatemala, and shall the Monetary Board shall designate any one of
be responsible to the President and to the Monetary the department directors of the Bank to serve in
Board for the correct and efficient functioning of his stead.
- Qualifications—Art. 42. The Manager or his
the institution.
The Manager shall be the superior officer of alternate must fulfill the same qualifications rethe Bank of Guatemala and of its personnel, with quired for the Presidency of the institution.
Those who fall under any of the disqualifications
the exception of the Superintendent of Banks.
Art. 39. The powers and duties of the Manager mentioned in Article 22 of this law, in so far as
they are applicable, shall be ineligible for the
shall be the following:
position.
a) Supervise continuously the progress of the
The positions listed in Article 36 of this law as
Bank, the observance of pertinent laws and regula- incompatible with the office of President of the
tions, and the fulfillment of resolutions of the Bank of Guatemala are also incompatible with the
Monetary Board;
office of Manager.
b) Furnish the President and the Monetary
Board with such regular, precise and complete inChapter IV
formation as may be desirable to assure the proper
management of the Bank;
The Office of the Superintendent of Banks
c) Prepare the cases that must be submitted to
the consideration of the Monetary Board, and, with
Functions—Art. 43. The Superintendent of
the President, decide the order in which they shall Banks shall exercise continuous supervision and
be submitted;
inspection of the Bank of Guatemala and of other
d) Prepare the annual budget of the Bank and banking institutions placed under his control. The
Superintendent shall be directly responsible to the
assure its correct application;
e) Suggest to the Monetary Board the appoint- Monetary Board.
Art. 44. The functions of the Superintendent
ment of the higher officers of the Bank of Guateof Banks are the following:
mala;
f) Appoint and remove directly the other ema) Execute and assure the observance of the
ployees, assigning them their functions and salalaws, regulations and provisions relating to the
ries, in accordance with the regulations and within
Bank of Guatemala and other banking institutions;
the authorizations of the budget.
b) Audit all operations and activities of the Bank
This authority shall be exercised in agreement
of Guatemala, verifying its accounts and holdings
with the Superintendent of Banks when dealing
through inventories and other relevant procedures;
with the personnel of his office;
g) Resolve the operations and other matters per- examine balances and statements of account, checktaining to his decision, and communicate to the ing them against the books and documents, and
officers and employees the instructions, observa- certify them when he deems them to be correct;
c) Supervise, with direct responsibility, the issue
tions or recommendations which he deems advisable for the proper progress of operations and the of notes and coin, and especially the operations of
printing, minting, issuance, replacement, withefficient administration of the Bank; and,
drawal, cancellation, demonetization, incineration
h) Exercise the other functions and powers pertaining to his office in accordance with this law, the and custody of notes and coin;
d) Report to the Manager any irregularity or
regulations and other pertinent provisions.
violation which he observes in the operations and
Art. 40. The Manager shall represent the Bank activities of the Bank of Guatemala, and in case the
of Guatemala in current matters and operations Manager does not adopt, within the next three
and, in this capacity, shall authorize, separately or working days, measures which, in the opinion of
jointly with the President, the contracts entered the Superintendent, are adequate to correct the
into by the Bank of Guatemala, the notes or securi- deficiencies, submit the matter to the President
ties which it issues and the obligations which it and to the Monetary Board;
contracts, as well as the reports, balances, profit
e) In case the Monetary Board does not adopt
and loss statements, correspondence and other adequate measures to rectify irregularities or violaMARCH

1946




275

FOREIGN BANKING LAWS AND REPORTS
tions brought to its attention, or in case it adopts
resolutions or regulations violating legal provisions,
or acquiesces in decisions which adversely affect
the prestige and solidity of the Bank, or cause it
to deviate substantially from its functions, report
the situation to the Ministry of Economy and the
Court of Accounts, with such pertinent evidence
as the case may require;
f) Regularly inspect the banking institutions and
effect appropriate verifications through the auditors
of his office;
These inspections and verifications must be made
at least twice a year without previous notice to the
institutions to be inspected;
g) Present to the banking institutions the suggestions or recommendations which he deems advisable; instruct these institutions to correct any
deficiencies or irregularities which may have occurred; and take the measures within his competence, or recommend to other authorities measures within their competence, to punish and correct any violations which may have taken place;
The executive or interpretative resolutions which
the Superintendent adopts with relation to the
functions of inspection and examination of banking
institutions may be appealed to the Monetary
Board;
h) Present summary reports on the inspections
and examinations of the banking institutions to
the Monetary Board, which may request, when it
deems it appropriate, the complete report of the
Superintendent, as well as any other confidential
information on the inspected institutions;
i) Collaborate with the Management and the
other departments of the Bank of Guatemala in the
fulfillment of their duties; and,
j) Exercise the other functions of inspection and
examination pertaining to his position, in accordance with the laws, regulations and other pertinent
provisions.
Qualifications—Art. 45. The Superintendent of
Banks must be a person of recognized probity and
ample knowledge and experience in accounting,
auditing and banking practice.
Those who fall under any of the disqualifications mentioned in Article 22 of this law, in so far
as they are applicable, shall be ineligible for the
position of Superintendent.
Art. 46. The Superintendent of Banks shall be
appointed by the Court of Accounts, from a list
of three nominees submitted by the Monetary
Board, for a term of five years computed from the
date of his appointment, and shall be eligible for
reappointment in the same manner.
Removal from office—Art. 47. The Superintendent of Banks may not be removed from office

276




before the expiration of the period for which he has
been appointed, except by the Court of Accounts,,
upon petition of the Monetary Board or at the initiative of the Court itself, after previous demonstration of the facts in summary indictment, and only in«
the following cases:
a) If he falls under any of the disqualificationsmentioned in Article 22 of this law, in so far as«
they are applicable;
b) If he has committed grave faults of a legal'
or moral character disqualifying him for thehonorable performance of his position; and,
c) In case of manifest incompetence for the*
discharge of his functions.
Injunctions—Art. 48. Neither the Superintendent:
of Banks nor his subordinates may be directors,,
managers, administrators, partners, employees or
shareholders of the institutions subject to inspection.
Nor shall they be allowed to accept, directly or
indirectly, gifts or presents of any kind from these
institutions or from their directors.
The injunctions mentioned in this article shall
extend to the wives and minor children of the
Superintendent of Banks and of his subordinates.
Art. 49. The information obtained by the
Superintendent of Banks and his subordinates in
the performance of their functions shall be strictly
confidential. They may not reveal or comment
upon the data obtained nor the facts observed in
the inspection, except in the fulfillment of their
duties.
Penalties—Art. 50. Violation of the injunctions
contained in the two preceding articles shall be
considered a serious offense, and shall cause the
immediate removal of those responsible, in addition to the application of such other penalties
as may be provided for in the Penal Code.
Cost of inspection—Art. 51. The institutions
subject to the supervision of the Superintendent,
with the exception of the Bank of Guatemala,
shall defray the inspection services, paying to said
Bank an annual quota to be determined by the
Monetary Board.
This quota shall be calculated on the basis of
assets shown on the balance sheets of these institutions, and shall not exceed, in any case, one per
thousand of the assets of each institution after
deduction of its cash reserves and other liquid
funds.
If the proceeds of the quotas calculated in this
manner should be insufficient to defray the inspection services, the difference shall be charged
to the Bank of Guatemala.
Supplementary auditing—Art. 52. The Monetary
FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS

Board may engage foreign firms specialized in
auditing and of recognized international prestige
to collaborate with the Superintendent of Banks,
especially for the inspection of the Bank of Guatemala itself.
Chapter V
The Department of Economic Research
Functions—Art. 53. The Bank of Guatemala
shall have a Department of Economic Research, in
charge of obtaining the data and making the investigations advisable for the guidance of monetary
policy and the attainment of the Bank's objectives.
The Department shall be in charge of a Director and shall include the necessary assistants. All
must be specialized in economic matters.
Art. 54. The functions of the Director of the
Department are the following:
a) Prepare, with the assistance of the Exchange
Department, estimates of the balance of payments;
b) Collaborate with the Superintendent of Banks
in the preparation of monetary and banking
statistics or information;
c) Maintain constantly the minimum statistical
information referred to in Article 129 of this law,
and submit it regularly to the Manager;
d) Prepare any other statistical reports and
economic studies which, in his judgment, may be
useful to the Banks, as well as those requested from
him by the Monetary Board, the President or the
Manager;
e) Collaborate with the Ministries of State, the
Bureau of Statistics and other official agencies, in
the preparation of economic information and
studies, and especially in the improvement of the
statistical services of the country;
f) Organize and administer the library of the
Bank and maintain a maximum interchange of
publications and data with other central banks,
with financial entities abroad and other international banking institutions;
g) Draft the Annual Report of the Bank, in accordance with the instructions imparted by the
President;
h) Issue releases and publications, and perform
other activities in the field of economic education;
i) Supervise the preparation and assure the accuracy of the official publications of the Bank of
Guatemala; and,
j) Exercise the other functions and powers pertaining to his office in accordance with the law,
regulations and other relevant provisions.
Training of technical personnel—Art. 55. The
Department of Economic Research shall consider
MARCH

1946




it part of its functions to participate in training
technical personnel in economic matters, especially
in the field of money, credit and banking.
To this end, the Bank of Guatemala, in accordance with the reports and suggestions of the Director of the Department, shall have authority to
defray the cost of studies abroad by outstanding
employees of the institution and other qualified
persons, and to remunerate the services of foreign
experts called upon to train the personnel in
economic matters.
Access to information—Art. 56. The Ministries
of State, the Court of Accounts, the Bureau of
Statistics and all other agencies of the State shall
make promptly available to the Department of
Economic Research the data which it may solicit
for the fulfillment of its functions.
Chapter VI
The Other Departments
Organization and regulation—Art. 57. The
Monetary Board shall organize and regulate the
other departments necessary for the functioning
of the Bank, and especially the Exchange Department and the Credit Department.
Title IV
Operations of the Bank
Chapter I
Assets and Liabilities
Assets—Art. 58. The Bank of Guatemala may
compute as assets only the following:
a) The international monetary reserves forming:
the Monetary Stabilization Fund of the institution;
b) The credit and investment operations effectuated in accordance with the provisions of this law;
c) The Exchange Revaluations Account which
may appear in accordance with Articles 12 and 13;
d) The assets resulting from its participation in
international banking institutions, and from its
credit operations abroad;
e) Provisionally, and until their cancellation or
liquidation:
i) The Consolidation Bond of Subsidiary
Issues which the State shall deliver to the Bank
in conformity with the transitory provisions relating to this law; and,
ii) The shares of the present Central Bank
of Guatemala which the State shall transfer to
the Bank as initial contribution to the "Guar-

277

FOREIGN BANKING LAWS AND REPORTS
The bank reserve shall equal at least the
minimum amounts established by the Monetary
Board, in conformity with the provisions of this
law.
The obligation to maintain bank reserves shall
Liabilities-—Art. 59. The liabilities of the Bank extend to all banking institutions, national and
of Guatemala shall be covered fully and exclusively foreign, which operate in the country, whether
by the assets mentioned in the preceding article, private, mixed, or official.
and shall include the following:
Reserves against deposits in national currency—
a) The monetary issue defined in Article 61 of Art. 64. The Monetary Board shall determine the
minimum bank reserves which the banks must
this law;
b) The stabilization bonds, notes and certificates maintain with relation to their deposits in national
currency, and to this end shall have authority:
issued by the Bank;
a) To determine, in a general and uniform
c) The time deposits which the Bank may receive in accordance with the provisions of the manner, the reserves required to be held by the
banks against such deposits, provided that the
present law;
d) The Exchange Revaluations Account which requirement shall be not less than 10 per cent nor
may appear in accordance with Articles 12 and 13; more than 50 per cent for the various classes of
e) The liabilities resulting from the Bank's deposits; and,
b) To require the banks to maintain more than
participation in international banking institutions
50 per cent reserves against any increase in deposits
and from its credit operations abroad;
above the amount outstanding at the time such
f) The Guarantee Fund of the Bank; and,
g) The other items resulting from operations measure should be adopted; in case of the imposition of such reserve requirements the Monetary
provided for in this law.
Board must order the payment of interest, at a
rate not in excess of 3 per cent a year, on the
Chapter II
part of the required reserves which exceeds 50
per cent of the deposit obligations of the respective
The Monetary Issue
banks.
Issue privilege—Art. 60. The Bank of Guatemala,
Reserves against deposits in foreign currencies—
in its capacity of sole issuer, shall be the only Art. 65. The Monetary Board may prohibit or
entity which may issue notes and coin within the authorize the receipt of deposits in foreign curnational territory, and receive on deposit the reserves rencies by the banks. Whenever such authorizaof the banks.
tion is given, the Board shall regulate the adminisMonetary issue—Art. 61. The monetary issue of tration of the deposits and determine what reserves
the Bank of Guatemala shall consist of:
shall be held against them; to this end, the Board
a) The notes and coin of the Bank in actual shall have authority:
circulation; and,
a) To determine, in a general and uniform manb) The deposits of the State, official entities and ner, the reserves required to be held against such
banks, with the Bank of Guatemala, payable upon deposits, provided that the requirement shall be
simple presentation of checks.
not less than 10 per cent nor more than 100 per
cent, for the various classes of deposits, without
The notes and coin in possession of the Bank obligation to pay interest to the banks on any part
of Guatemala shall not be included in the monetary of such reserves;
issue and shall not appear either in the assets or
b) To determine the form and the currency,
liabilities of the institution.
either national or foreign, in which such reserves
Art. 62. The functions and obligations of the shall be maintained by the banks; and,
Bank of Guatemala with respect to the monetary
c) Whenever the Board does not require reserves
issue shall be governed by the pertinent provisions of 100 per cent against deposits in foreign exchange,
of the Monetary Law, this law and the regulations it may demand that other assets be maintained
of the Bank.
in the currencies of the deposits, in order to equiliBan\ reserves—Art. 63. The banks shall have brate, as far as possible, the assets and liabilities in
the obligation of maintaining constantly, in the such currencies.
form of demand deposits in the Bank of Guatemala,
a reserve proportional to their deposit obligations,
The bank reserves and other assets in foreign
which shall be denominated "bank reserves".
currencies maintained by the banks against their
antee Fund" and the "Fund for the Regulation of
the Bond Market";
f) The other items resulting from operations
provided for in this law.

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FOREIGN BANKING LAWS AND REPORTS
liabilities in foreign currencies in accordance with
the regulations and decisions of the Monetary
Board, shall be exempted from the prohibitions
and restrictions issued against the holding of
foreign exchange assets by the banks.
Increase of reserves—Art. 66. Whenever it becomes advisable to increase bank reserves against
deposit obligations, either in national or in foreign
currencies, the Monetary Board shall decide the
increases in a gradual and progressive manner,
notifying the banks of any resolution which it
adopts to this effect, with reasonable anticipation
of the date at which it will become effective.
Classification of deposits—Art. 67. With respect
to constituting and maintaining bank reserves, the
following definitions are established:
a) For deposits in national currency:
i) "Monetary deposits" arc those payable upon
simple request of the depositor or creditor through
presentation of checks;
ii) "Short-term deposits" are those payable
within a period not exceeding 30 days, or subject
for their payment to previous notice not exceeding that period;
iii) "Long-term deposits" are those payable
only after 30 days, or subject for their payment
to previous notice exceeding that period;
iv) "Savings deposits' are those consisting of
obligations payable on special conditions agreed
upon with the depositor, or established by the
laws regulating saving;
b) For deposits in foreign currencies:
i) "Short-term deposits' are those payable at
any time not exceeding 30 days, or subject for
their payment to previous notice not exceeding
that period;
ii) "Long-term deposits" are all those payable
only after 30 days or more, or subject for their
payment to previous notice exceeding that period.

bank falls below the required reserves, it must be
brought up to the proper level immediately.
The Monetary Board shall organize and regulate
the Clearing House and supervise its operation.
Computation of reserves—Art. 70. The reserve
position of each bank shall be computed monthly,
on the basis of the amount of its reserves and
deposits at the end of each day; but any bank
shall normally be permitted to compensate for any
deficiency in its reserves during one or more days
of the month with its excess reserves in the other
days of the same month.
Nevertheless, in case of abuse, the Monetary
Board may deny to any bank the privilege of compensating reserve deficiencies and excesses, and
consider the sum of the daily deficiencies to be
the monthly deficiency.
All offices maintained in the national territory
by a banking institution shall be considered as a
single unit for the calculation of bank reserves.
Penalties—Art. 71. Whenever there is a monthly
deficiency in the reserves of any bank, calculated
in accordance with the provisions of the preceding
article, the Superintendent of Banks shall so advise
the directors and managers of said bank in writing, and shall impose a fine of 1/10 of one per
cent of the amount of the deficiency.
If the deficiency persists for more than 12 months
after the first written notice, the Monetary Board
shall have authority to prohibit the bank from
making new loans or investments and from paying
dividends to its shareholders, until it has maintained
reserves at the required level for at least a full
month; and the deficient bank shall remain subject
to the fines to be applied by the Superintendent of
Banks in accordance with the preceding paragraph.
If a deficiency persists for four consecutive
months or occurs in six different months within a
period of two years, the Monetary Board may request the competent judicial authorities to liquidate
the deficient bank.

Art. 68. The Monetary Board may, within the
limits established in this law, determine different
rates of bank reserves for the different classes of
deposits defined in the preceding article.
If it deems it advisable, the Board may also
subject to reserve requirements any liability accounts similar to deposit liabilities, and determine
the corresponding reserve requirements, within
the limits established for deposits in national and
in foreign currencies respectively.
Clearing House—Art. 69. The reserves and other
funds deposited by the banks in the Bank of Guatemala shall serve as a basis for a system of check
settlement through a Clearing House. In the
functioning of this system, when the deposit of any

Chapter III
External Monetary Stabilization
Exchange stability—Art. 72. The Bank of Guatemala shall maintain the external value of the national currency, and assure its convertibility into
foreign currencies in accordance with the system
established in the Monetary Law.
Monetary Stabilization Fund—Art. 73. In order
to achieve the ends specified in the preceding
Article, the Bank of Guatemala shall establish and
maintain a "Monetary Stabilization Fund", in
which shall be centralized and shall accumulate
the international monetary reserves of the institution.

MARCH

1946




279

FOREIGN BANKING LAWS AND REPORTS

Net reserves—Art. 74. With relation to the
reserves which make up the "Monetary Stabilization Fund" there shall be distinguished the concepts of "absolute reserves" and "net reserves".
The absolute reserves shall consist of the aggregate assets in gold metal and foreign exchange
in possession of the Bank of Guatemala.
Net reserves shall be derived by deducting from
the total assets in gold metal and foreign exchange
the following obligations:
a) The total amount of the Bank's gold and
foreign exchange obligations falling due within
30 days;
b) Seventy-five per cent of the Bank's gold and
foreign exchange obligations falling due after 30
days, but within a year;
c) Fifty per cent of the gold and foreign exchange obligations of the Bank falling due after
one year but within three years; and 50 per cent
of similar obligations of indefinite maturity;
d) Twenty-five per cent of the gold and foreign
exchange obligations of the Bank falling due after
three years;
e) The other obligations owed abroad, either by
the Bank, or by third parties with the Bank's
guarantee, in accordance with the percentages
indicated above for obligations of corresponding
maturities.

tary Stabilization Fund shall be distributed in
accordance with the following rules:
a) Whenever the net reserves of the Fund do
not exceed 40 per cent of annual average sales of
exchange during the three preceding years, the Fund
shall maintain its assets exclusively in:
i) Gold metal deposited in the vaults of the
Bank of Guatemala, or left in the custody of
either international financial institutions or
foreign central banks; or,
ii) Demand deposits or equivalent first-class
investments, disposable at par and at sight, at
the simple request of the Bank, in the same
institutions or in first-class foreign banks; or,
iii) First-class drafts upon foreign countries,
with maturities not in excess of seven days; or,
iv) First-class official foreign obligations, disposable at any time in a constant market, and
with maturities not in excess of three months; or,
v) Notes and coin of other countries, up to
the amounts required for current transactions in
such notes and coin;

b) Any reserves in excess of the 40 per cent
mentioned above may be maintained in:
i) The same forms specified in clause (a) of
this article; or,
ii) Time deposits in the institutions specified
in clause (a), payable within a maximum period
Distribution of reserves—Art. 75. The absolute
of six months; or,
reserves of the Monetary Stabilization Fund shall
iii) First-class official foreign obligations, or
be distributed between gold metal and the principal
securities guaranteed by international agreements
foreign currencies of recognized soundness which
or by governments of recognized solvency, promost influence the balance of payments of the
vided that their maturities do not exceed 12
country.
months;
This distribution shall be made in approximate
proportion to the anticipated needs of the net
c) Any reserves in excess of 75 per cent of the
balance of international payments for each of the annual average of exchange sales during the three
aforesaid currencies, taking into account the de preceding years may be maintained:
facto convertibility, or inconvertibility, between gold
i) In the same forms specified in clauses (a)
metal and the various currencies.
and (b) of this article; or,
Investment of reserves—Art. 76. The investment
ii) In time deposits in the institutions specified
of the absolute reserves of the Monetary Stabilizain clause (a) of this article, payable within a
tion Fund shall be in accordance with the followmaximum period of one year; or,
ing objectives:
iii) In first-class official foreign obligations, or
in securities guaranteed by international agreea) To maintain the most absolute guarantee that
ments or by governments of recognized solvency,
the Bank of Guatemala shall always command the
provided that their maturities do not exceed
liquid assets which may be necessary to cover any
five years.
foreseeable deficit in the balance of payments^ and
thus maintain the external convertibility and
Art. 78. Whenever the net reserves of the Monestability of the currency; and,
b) To avoid excessive and costly accumulation of tary Stabilization Fund exceed 75 per cent of the
idle and sterile funds, without advantage to the annual average of exchange sales during the
three preceding years, the Monetary Board shall
national economy.
have authority to invest, totally or partially, the
Art. 77. In consequence, the assets of the Mone- excess reserves in the acquisition of regularly serv280




FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
iced obligations of the foreign debt of the Government of the Republic. In this case, the amount
invested in the acquisition of these securities shall
no longer be considered as international reserves,
and shall not be included among the assets of
the Monetary Stabilization Fund.
Transactions with international and foreign
ban\s—Art. 79. The Bank of Guatemala may
transact business with international banking institutions, in accordance with the international agreements subscribed to and ratified by the Republic
and with the legal provisions which may be
enacted on the subject.
Art. .80. The Bank of Guatemala may carry on,
with other central banks and with first-class foreign
banks, credit transactions as well as other operations characteristic of a central bank.
Art. 81. The Bank of Guatemala may act, in
all operations proper for a central bank, as agent
or correspondent of other central banks, of international banking institutions and of first-class
foreign banks, and may appoint such entities as
its agents or correspondents abroad.
Statistical information—Art. 82. The Director
of the Exchange Department shall submit to the
Monetary Board, in each ordinary session, a statistical summary of the movements of supply and
demand in the foreign exchange market.
Similarly, the Director of the Department of
Economic Research shall submit to the Monetary
Board, in the month of February of each year, a
report containing estimates of the balance of
payments for the coming year. These estimates
shall be revised and rectified, at least every three
months, in accordance with any new developments
which may have appeared.
Before the first of May of each year, the Director
of the Department of Economic Research shall also
present to the Monetary Board the final statement
of the balance of payments of the preceding year.
Temporary disequilibria in the balance of payments—Art. 83. The Bank of Guatemala shall
utilize the reserves of the Monetary Stabilization
Fund for the protection of the stability of the currency against temporary disequilibria in the balance
of payments.
Nevertheless, if international reserves fall in the
proportion, or to the levels, indicated in the Monetary Law, the Monetary Board may petition the
President of the Republic to institute the Emergency System of international transfers referred to
in the same law.
fundamental disequilibria in the balance of
payments—Art. 84. In the case of a fundamental
and persistent disequilibrium in the balance of
payments related to disparities between domestic
MARCH

1946




and external prices and production costs, the Monetary Board must adopt the measures appropriate to
correct the disequilibrium and to re-establish the
normal competitive position of the national producers in the domestic and international markets.
The Monetary Board shall use to this end the
powers accorded it by law to assure monetary
stability, and, when such action is indispensable,
shall request the modification of the gold parity
of the national currency in conformity with the
principles of the Monetary Law.
In such case, the Monetary Board shall present
to the Congress of the Republic and to the Executive Power, through the medium of the Ministry
of Economy, a detailed report on the factors of
disequilibrium, the measures of defense adopted,
and the further legal, economic, fiscal or administrative measures which it considers advisable to
recommend.
Chapter IV
Credit Operations
Eligible operations—Art. 85. The Bank of Guatemala may conduct, exclusively with the banking institutions of the Republic, the following
credit operations:
a) Rediscount, discount, buy and sell bills of exchange, acceptances, promissory notes and other
credit documents with maturities not beyond one
year from the date of their acquisition by the Bank,
and growing out of operations related to:
i) The production or processing of agricultural, pastoral and industrial goods;
ii) The importation, exportation, purchase or
sale of readily salable goods or merchandise,
or their transportation within the national territory; and,
iii) The storing of nonperishable agricultural,
pastoral and industrial goods, or of import or
export merchandise, insured and deposited, under
conditions assuring its preservation, in authorized
general deposit warehouses or in other places
approved by the Monetary Board;
b) Grant advances for fixed periods, not to exceed
one year, upon the following kinds of collateral:
i) Gold coin or bars whose sale to the Bank
of Guatemala has not been required by the
Monetary Board, under the authority conferred
to it by law;
ii) The credit documents specified in clause
(a) of this article; and,
iii) Debtor balances of credits in current
account related to the operations mentioned in
clause (a) of this Article, and certified as to
281

FOREIGN BANKING LAWS AND REPORTS
amount and liquidity by the manager and the
accounting chief of the institution which solicits
the advance;
c) Grant advances, in periods of emergency which
directly threaten monetary or banking stability,
upon the guarantee of any other assets which the
Monetary Board shall temporarily include as acceptable collateral; provided that this decision be
adopted with the concurrent vote of at least five
members of the Board;
d) Rediscount, discount, buy and sell bills of
exchange, acceptances, promissory notes and other
credit documents, with maturities not beyond one
year from the date of their acquisition by the Bank,
and resulting from operations related to the granting of credits to the State and to public entities;
and grant advances for fixed periods not exceeding
one year on the collateral of such documents; always provided that the operations be legally authorized and guaranteed by the Government of
the Republic.
The total amount of funds invested by the Bank
of Guatemala in the documents referred to in this
clause, or in paper for which they are collateral,
shall not exceed 10 per cent of the annual average
of ordinary fiscal revenues received in cash by the
National Treasury during the three preceding
years;
e) Grant credits and advances, for a period not
exceeding one year, to finance purchases by the
institutions which, in accordance with the laws,
are placed in charge of the stabilization of the
prices of produce and manufactured goods (buffer
stocks).
Such loans must be fully guaranteed by the State
and secured by the goods purchased, which shall
be deposited under insurance in authorized general
deposit warehouses or in other places approved
by the Monetary Board.
The amounts due the Bank of Guatemala for
such loans shall be repaid as rapidly as the products bought are sold; and the Bank of Guatemala
itself shall intervene in the sales.
Art. 86. The Monetary Board shall establish,
within the general limitations provided for in
this law, the other standards which shall govern
the credit operations of the Bank of Guatemala.
Similarly, the Board may, by specific action,
further limit the maximum maturities mentioned
in Article 85, and demand security margins between
the value of the credits granted and the value of
the collateral, in accordance with the various types
of operations in which the credit originated.
Rates—Art. 87. The Monetary Board shall determine the rediscount and interest rates applicable
to the various credit operations authorized in this
282




law, taking into account the monetary situation,
the needs of the market and the composition of
the Bank's portfolio.
Banking endorsement—Art. 88. The documents
bought or accepted as collateral by the Bank of
Guatemala must bear the endorsement of the institution from which they are received.
Decision on credits—Art. 89. The Bank of
Guatemala shall have complete independence in
accepting or rejecting any request for credit presented to it.
Procedures—Art. 90. Credit requests to the Bank
shall be considered and decided upon by a Credit
Committee.
The Committee shall be composed of three members, who shall be the Manager and two other high
officers of the Bank of Guatemala designated by
the Monetary Board. Titular and alternate members of the Board may not serve on the Credit Committee.
The Monetary Board shall determine the limits
and conditions of the Committee's authority and
shall impart to the Committee additional instructions for its guidance, in accordance with Article 86
of this law.
Art. 91. The Committee shall examine the credit
requests presented to it, and adopt its decisions
with the affirmative vote of at least two of its
members.
All approvals of credits shall require the favorable
vote of the Manager; but rejections may be adopted
on the vote of the other two members.
The credits granted by the Committee with the
favorable vote of the Manager shall be acted upon
without any other formality. Those denied by the
Committee shall be submitted to the consideration
of the Monetary Board if the Manager so decides,
or if the institution interested in obtaining the
credit so requests.
Art. 92. The Monetary Board shall consider and
decide individual credit requests only in the following cases:
a) Requests related to credit operations of the
State and of public entities;
b) Other operations which by their amount or
nature exceed the competence of the Credit Committee;
c) When the Committee has refused the granting of credit.
In these cases the Manager shall submit the
matter to the Monetary Board through the medium
of the President of the Bank and shall make such
recommendations as seem appropriate.
Liquidity of the Ban\ portfolio—Art. 93. The
Monetary Board shall review monthly the composiFEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS

tion of the portfolio of the Bank of Guatemala and,
after examination of the situation of the monetary
and credit market, shall issue the instructions which
it deems appropriate in order to stabilize the market and to prevent excessive immobilization of the
assets of the institution.
Credits of the type authorized in clauses (a) and
(b) of Article 85 shall not be granted for periods
in excess of 120 days whenever the maturity of twothirds of the outstanding volume of credit previously granted in accordance with the same clauses
is in excess of 120 days.
Repayment of credits—Art. 94. The documents
discounted, rediscounted or accepted as collateral
by the Bank of Guatemala must be withdrawn by
the borrowing institution at the dates of their maturities, through the payment of the respective
credits, except that they may be withdrawn earlier,
upon payment of the obligations which.they represent.
Chapter V
Internal Monetary Stabilization
General criteria—Art. 95. The Bank of Guatemala shall promote the maximum development of
the country's productive activities, and counteract
or moderate fluctuations of a deflationary or inflationary character which may arise in the money and
credit market.
Art. 96. The Bank of Guatemala shall control
any abnormal expansion or contraction of the money
supply which threatens to cause harmful instability
in internal prices and in the general economic activity of the country. The money supply is composed of:
a) The national notes and coin in the hands of
the public; and,
b) Official and private monetary deposits outstanding in all the banks, excluding interbank
deposits.
Art. 97. When the money supply increases or
decreases by more than 15 per cent within a period
of 12 months, the Monetary Board must transmit
to the Executive Power a detailed report showing:
a) The external or internal factors causing such
expansion or contraction;
b) Its repercussions on monetary, exchange and
credit conditions and on the level of employment,
national production, prices and economic activities
in general;
c) The inflationary or deflationary symptoms
which such an analysis may reveal in the different
sectors of the economy; and,
d) The measures adopted to combat the disMARCH

1946




turbances mentioned in the preceding clause, and
the other legal, economic, fiscal or administrative
measures which it considers advisable to recommend.
The Board shall continue to inform the Executive
Power periodically, and at least semi-annually, of
the results achieved by the measures taken, until
monetary disturbances have disappeared.
Instruments of control—Art. 98. In the performance of its task of internal monetary stabilization, the Bank of Guatemala shall utilize especially
the following instruments:
a) The determination of its rediscount and interest rates, and the authority to accept or reject
applications for credit presented to it (Articles 87
and 89);
b) The influence which it may exercise over the
banking system through:
i) Establishment of minimum bank reserves
(Articles 64, 65 and 68);
ii) Regulation of the minimum proportions of
capital and surplus which the banks must maintain in relation to their active operations, in accordance with the provisions of the general banking law;
iii) Establishment of the maximum rates of
interest provided for in Articles 99 through
101; and,
iv) Control of the issues of obligations by the
banks, and restrictions upon the granting of
bank credit as provided for in Articles 102 and
103;
c) The guidance of the general policy of banking
institutions of an official or semi-official character
(Article 30, clause m);
d) The intervention in the open market, through
the purchase, sale or retirement of Stabilization
Bonds issued by the Bank, and the negotiation
of securities issued by other entities (Articles
104 and 108);
e) The acceptance and repayment of the time deposits which the Bank may receive (Article 109);
f) The management of the Fund for the Regulation of the Bond Market, and of official deposits
(Articles 114 and 118);
g) The intervention of the Board in credit operations of the State and of public entities, and its
functions as advisor and fiscal agent of the Government (Article 123); and,
h) The other powers conferred on it by this law,
the Monetary Law and other pertinent provisions.
Maximum interest rates—Art. 99. The Monetary
Board shall determine the maximum rates which
283

FOREIGN BANKING LAWS AND REPORTS

the banks may charge for different types of loans
and for any other active credit operations.
When the Monetary Board deems it advisable,
however, it may abstain from fixing maximum rates
on specific classes of active credit operations, and
leave the matter to the discretion of the banks.
Nevertheless, in case of such abstention, the Monetary Board may establish the maximum difference
which may exist between the rediscount or interest
rates of the Bank of Guatemala, and the rates which
may be charged by the banks for different types of
credits, if the respective credit documents are not
to lose their eligibility for rediscount or advances
at the Bank of Guatemala.
Any bank which grants loans, or effectuates other
active credit operations, at rates of interest exceeding
the maximum rates fixed by the Monetary Board in
accordance with the first paragraph of this article,
shall be subject to the penalties provided for in the
laws against usury.
Art. 100. The Monetary Board shall determine
the maximum rates which the banks may establish
or pay to their clients upon the various classes of
deposits, issue of obligations and any other passive
credit operations.
When the Monetary Board deems it desirable, it
may abstain from fixing maximum rates on specific
classes of passive credit operations, and leave the
matter to the discretion of the banks.
If a bank engages in passive credit operations on
which it establishes or pays interest in excess of the
maximum rates fixed by the Monetary Board in
accordance with the first paragraph of this article,
the Bank of Guatemala shall advise the Ministry of
Economy, in order that the Ministry may fine the
guilty bank up to five times the amount of the
excessive interests established or paid.
Art. 101. Any change which the Monetary Board
may decree with respect to maximum rates for the
active and passive operations of the banks, shall
govern only future operations, and shall not apply
to those effectuated prior to the effective date of
the change.
Limitation on security issues—Art. 102. The
Monetary Board may, if it deems it essential to prevent excessive security issues, subject to previous
authorization by the Bank of Guatemala the issue
of securities or other obligations by the banks, taking
into consideration the economic and monetary situation of the country and the absorption capacity of
the market.
Selective control—Art. 103. The Monetary Board
shall restrict the granting of bank credit for speculative purposes, and shall encourage a distribution of
credit conforming to the general interests of the
national economy, using to this end the powers
284




expressly granted by the laws as well as other provisions of a general character.
In case of a pronounced inflationary trend in
bank credit, the Monetary Board may, with the
concurrent vote of four of its members, through
the establishment of ceilings on bank portfolios,
limit in a general manner and without discrimination, the maximum volume of bank loans. Such
ceiling may not be maintained for more than a
year, except in cases of exceptional gravity and by
unanimous vote of the members of the Monetary
Board.
Open mar\et operations—Art. 104. Intervention
of the Bank of Guatemala in the open market shall
be exercised through the purchase and sale of securities defined as eligible by the present law, and
issued either by the Bank of Guatemala itself or by
other entities.
Such operations shall be directed toward stabilizing the money market, through the temporary withdrawal from circulation of excess funds exerting
inflationary pressures upon the economy, and the
placement of additional funds in circulation whenever desirable to combat deflationary tendencies.
Art. 105. For purposes of monetary stabilization,
the Monetary Board may order the issue by the
Bank of Guatemala of freely negotiable credit obligations, denominated "stabilization bonds". The
Monetary Board shall determine:
a) The interest rates to be earned by such bonds;
b) The maturity dates;
c) The conditions under which they shall be repaid, and the manner in which the Bank may effect
extraordinary amortization; and,
d) The currency in which they shall be exchanged and paid, the Board being allowed to contract the obligation in gold or foreign exchange
when circumstances so advise.
The Bank of Guatemala may repurchase its
stabilization bonds, either in the market at a price
not less than their face value, or through redemption at par and by lot if the Bank has reserved the
right to effect extraordinary amortization.
Art. 106. The stabilization bonds acquired, amortized or redeemed by the Bank of Guatemala, ordinarily or extraordinarily, shall be immediately retired and shall no longer be considered assets of
the institution.
Interests due and bonds not presented for payment within 10 years from the date at which they
become payable shall be cancelled in favor of the
Bank of Guatemala.
Art. 107. As long as the net reserves of the
Monetary Stabilization Fund exceed 25 per cent
of the annual average of exchange sales during the
FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
three preceding years, the Bank of Guatemala may
acquire for its own account:
a) Bonds or obligations legally issued or guaranteed by the Government or by public entities;
b) Bonds or obligations legally issued by official
or semi-official financial institutions;
c) Other first-class national bonds or obligations,
defined as eligible by the vote of at least five members of the Monetary Board.

nating in the inflow of foreign exchange, or to
promote their investment in noninflationary operations, or to secure their absorption through fiscal
provisions directed toward social improvements.
Chapter VI
Relations with the State

Functions—Art. 111. The Bank of Guatemala
shall exercise the functions of advisor, fiscal agent
The bonds or obligations issued or guaranteed and banker of the State.
by the State or by public entities must be of a gradFund for the regulation of the bond market—
ual and cumulative amortization, not to extend Art. 112. As agent of the State, the Bank of Guateover a period exceeding 10 years. The Monetary mala shall form a "Fund for the Regulation of the
Board must make sure that such bonds and obli- Bond Market".
gations have been issued in accordance with a fiThis fund shall be administered by a "Security
nancial plan adapted to the possibilities of meeting Commission", composed of the President and Manathe service of the debt; and shall attend to the in- ger of the Bank and the Ministers of Finance and
clusion in the respective budgets of the assignments Economy. The resolutions of the Commission shall
necessary to secure the fulfillment of these obliga- be adopted by concurrent vote of at least three of
tions.
its members.
Art. 108. The purchases of bonds and obligations
Art. 113. The Fund for the Regulation of the
referred to in the preceding article shall be adjusted Bond Market shall consist of:
to. the situation of the money market, so to maina) The amounts initially contributed for its contain the money supply at normal and noninfla- stitution by the State, in accordance with the transitionary levels.
tory provisions related to this law;
The Bank of Guatemala shall especially use such
b) Other contributions of the State in conformity
purchases to combat movements of a deflationary with special laws or through budgetary assignments;
character. When inflationary tendencies exist, the
c) The net profits of the Bank of Guatemala,
Bank shall be under obligation to contract its hold- which, in accordance with Article 11 of this law,
ings of such securities, through sales to the public are earmarked for the increase of the Fund; and,
or through regular or extraordinary amortization.
d) Idle funds resulting from budgetary surTime deposits—Art. 109. When inflationary ten- pluses, or unused balances of the National Treasury
dencies exist, the Monetary Board may authorize which may be temporarily included in the resources
the acceptance by the Bank of Guatemala of private of the Fund by decision of the Monetary Board,
time deposits. In case of such action, the Board with the favorable vote of the Minister of Finance.
shall determine at the same time the interest rates,
maturities and other pertinent conditions. Such
Art. 114. The administration and investment of
authority shall be cancelled as soon as the inflation- the resources of the Fund for the Regulation of
the Bond Market shall be directed toward the stabiary danger has passed.
Actual operations of receipt and withdrawal of lization of the quotations on securities issued or
the deposits may be made through the medium of guaranteed by the State or by public entities, and
banks authorized and qualified for the purpose of such other official or semi-official obligations as
by the Monetary Board; but the funds deposited may be decided upon by the Security Commission.
Such stabilization shall be accomplished through
may not be maintained in the banks and must be
credited immediately to the Bank of Guatemala, the purchase and sale of these bonds and obligations
in the open market, with avoidance of any interwhich shall be responsible for their repayment.
Inflationary inflows of foreign exchange—Art. vention which would run counter to fundamental
110. In periods of excessive inflows of foreign ex- trends of the market and threaten the exhaustion
change of an inflationary character, if it is not of the Fund's resources.
Art. 115. The profits realized through the investpossible for the Bank to reduce the money supply
to normal levels through the use of its ordinary in- ments of the Fund for the Regulation of the Bond
struments of monetary policy, the Board shall re- Market, either from purchase and sale operations
quest the Executive Power to propose to the Con- or through the receipt of interest on bonds and
gress of the Republic the adoption of legal measures obligations acquired, shall accrue to the Fund itself,
tending either partially to sterilize the funds origi- in order to increase its resources and capacity for
MARCH

1946




285

FOREIGN BANKING LAWS AND REPORTS
action and to accumulate reserves to cover possible
losses in future operations.
Official banking operations—Art. 116. The Government of the Republic and, in general, all agencies of the State, shall effect all their remittances,
exchange and monetary transactions, within the
country as well as abroad, through the medium of
the Bank of Guatemala.
Official deposits—Art. 117. The cash balances of
the National Treasury, of public entities and of other
official agencies shall be deposited in the Bank of
Guatemala, with the exception of the amounts
handled in the offices themselves, in conformity with
the law, for payments of small amount.
Trust deposits in favor of the State, or any of its
agencies, as well as all classes of judiciary deposits,
shall also be made in the Bank of Guatemala.
The Bank of Guatemala may accept the custody
of securities, documents and other valuable objects
belonging to the State or its agencies.
Art. 118. The Monetary Board may, with the
favorable vote of the Minister of Finance, and depending on the line of action which the monetary,
exchange and credit situation makes advisable:
a) Maintain official deposits in one or more
banks of the country, or keep them temporarily
sterilized in the Bank of Guatemala; and,
b) Invest idle amounts in foreign exchange, or in
foreign securities of the types mentioned in Article
77, or in national bonds or obligations, through
their temporary inclusion in the Fund for the
Regulation of the Bond Market, in accordance with
Article 113 of this law.

Guatemala shall charge for the services which it
renders the State and its agencies the rates and
commissions agreed upon with the respective authorities.
The Bank shall not pay interest upon Government deposits nor upon deposits of public entities.
Financial advice—Art. 123. Whenever the Government of the Republic intends to effectuate any
credit operation abroad, the Minister of Finance
shall request the opinion of the Monetary Board before deciding on the operation. Similar advice
must also be requested by all official institutions
for their credit operations abroad.
The advice of the Board shall be based on the
gold and foreign exchange resources and obligations
of the country, and on the incidence of the contemplated operation upon the balance of payments
and the volume of the money supply.
Whenever the Government of the Republic or
official institutions intend to contract loans within
the country itself, they shall also request the previous advice of the Monetary Board, in order that
the Board may communicate its opinion on the advisability of the project and coordinate its monetary
and credit policy with financial and fiscal policy.

Title V
Balances and Publications
Balances—Art. 124. The Bank shall prepare and
publish, within the first eight days of each month,
a general balance sheet showing the statement of its
assets and liabilities as of the last business day of
the- preceding month. Similarly, the Bank shall
publish monthly a table of the money supply of the
Fiscal operations—Art. 119. The bank of Guate- country and a summary of all balances of the other
mala shall open a general cash account for the banks, presenting summary consolidated figures
National Treasury, in which all liquid funds of the under the various accounting classifications. These
data shall be published in the official gazette,
Government of the Republic shall be deposited.
Transfers of funds from this account to other and in special bulletins.
secondary accounts shall be made only by order of
Financial year—Art. 125. The financial year of
the competent officer of the National Treasury, the Bank of Guatemala shall be the calendar year.
with the approval of the Court of Accounts.
Annual Report—Art. 126. Before May 31 of each
Art. 120. The Bank of Guatemala may take year the Bank of Guatemala shall publish an Ancharge of the collection of public revenues, directly nual Report containing:
or indirectly, in accordance with such agreements
a) An analysis of the financial situation of the
as it may conclude with the Government of the Re- institution and of its operations during the past
public.
year;
Such funds shall be collected for the account and
b) A report and analysis of the monetary, finanat the risk of the Bank of Guatemala, and shall be cial and economic events of importance to the coundeposited in the general cash account of the Na- try; and,
tional Treasury.
c) The information necessary to explain the
Art. 121. In the execution of fiscal operations monetary, credit and exchange policy of the Bank.
for the State, the Bank of Guatemala may use the
Art. 127. The Annual Report shall include, in
services of one or more banks maintaining branches
or agencies in the departments of the Republic.
appendices, pertinent tables and graphs, and espeRemuneration of sen/ices—Art. 122. The Bank of cially:

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FEDERAL RESERVE BULLETIN

FOREIGN BANKING LAWS AND REPORTS
a) The monthly movement of the money supply,
distinguishing between:
i) Notes, coin and official and private deposits
of monetary character;
ii) That part of the money supply attributable
to external factors, and that part which corresponds to internal monetary creation by the
Bank of Guatemala and the other banks;
iii) The various factors of expansion and
contraction which have determined the internal
monetary creation;
b) The final statement of the balance of payments for the past year, the net inflow or outflow
of international reserves, and the monthly movement of exchange rates;
c) Price indexes for both the Republic and the
principal foreign countries of importance to Guatemala as purchasers, sellers or competitors; and the
comparative price movements of the principal national export products;
d) The monthly movement, in summary, of exports and imports, by volume and value;
e) The principal data on receipts and expenditures of the public Treasury, and on the national
debt, both internal and external;
f) The monthly movement, in condensed form,
of the accounts of the Bank of Guatemala and of
the other banks, according to the groupings and
classifications which the Manager of the Bank shall
determine, in agreement with the Director of the
Department of Economic Research and the Superintendent of Banks, and with the approval of the
Monetary Board;
g) A list of the stabilization bonds matured or
called in the past 10 years, but not yet presented
for payment; and,
h) The text of important legal or administrative
provisions adopted during the preceding year which
relate to the functions of the Bank of Guatemala.
Art. 128. The balances, accounts and statements
of the Bank of Guatemala shall be signed by the
officers responsible for their preparation and, in
addition, by the President and the Manager of the
Bank.
Other publications—Art. 129. The Bank of
Guatemala shall publish, in periodicals having wide
circulation within the country, and preferably in
the official gazette:
a) The resolutions establishing or modifying
the minimum rediscount rates of the Bank of
Guatemala, and the maximum rates upon active
and passive operations of the banks;
b) The resolutions establishing or modifying
the minimum bank reserves and regulating the
clearing system; and,
MARCH

1946




c) The provisions of general character applicable
to exchange and banking activities, adopted by the
Bank of Guatemala under the authority conferred
on it by law for the regulation of currency, credit
and exchange.
The provisions referred to in this article shall become effective on the dates established for their
application, which dates may never be prior to the
date of their publication.
Title VI
General Provisions

Injunctions—Art. 130. The Bank of Guatemala
is forbidden to:
a) Rediscount, discount, buy and sell credit documents at charge of:
i) The titular or alternate members of the
Monetary Board; the Manager, officers or employees of the Bank of Guatemala, their wives,
and their minor children;
ii) The President of the Republic, the Ministers of State, the secretaries of the Presidency,
their wives, and their minor children, and the
firms or companies in which the persons referred
to in this clause hold participation or interest,
with the exception of the banking institutions
operating within the country;
b) Grant extensions, renewals, or substitutions
of the credit documents acquired by the Bank, or
of the advances and loans made by it, except in
special cases, upon determination by the Monetary
Board; in such cases the Board may extend the obligation once only, and for a period not to exceed
one-half of its original period. Exception shall
be made for credits granted for the financing of
operations of price stabilization in accordance with
Article 85, clause (e), of this law;'
c) Effect any operations not authorized by this
law or by the Monetary Law, except those which,
though not prohibited, are compatible with its
central banking character and necessary for the
fulfillment of its duties and functions.
The members of the Monetary Board, officers
and employees of the Bank of Guatemala, who authorize, or acquiesce in, any prohibited operation
shall be removed from their positions; in addition,
they shall be held personally and jointly responsible
for any harm or damage their action has caused.
Tax exemptions—Art. 131. The Bank of Guatemala shall be exempt from all kinds of taxes, rates
and assessments, fiscal or municipal, now in force
or to be established in the future.
The preceding exemptions cover all movable or

287

FOREIGN BANKING LAWS AND REPORTS
immovable property of the Bank of Guatemala,
its resources, profits and income of every kind, as
well as all kinds of deeds, contracts, and business
which it may transact; but they shall apply only
to taxes for which the Bank itself is liable, and not
to taxes payable by individuals who negotiate or
contract with the institution.
Art. 132. The Bank of Guatemala shall be fully
exempt from custom duties for the import and
export of gold and metals used in monetary coinage, and for the importation of all equipment needed
for the organization, installation and functioning
of its offices.
The exemptions granted in the preceding paragraph shall be subject to the procedure established
by the laws of the Republic, and the importing and
exporting shall be effected with complete freedom
from fiscal and consular duties, as well as from any
other assessments, taxes, rates and surcharges related to the import or export of the merchandise,
or collected by reason thereof.
Notwithstanding the exemption from import
duties, the Bank of Guatemala shall give preference to national products when they can be obtained under conditions equal to those applying to
imports.
Amendments—Art. 133. Amendments to the
present law shall require for their approval the
favorable vote of two-thirds of the representatives composing the Congress of the Republic.
Abrogation of laws in conflict with present law—
Art. 134. Decree No. 67 of the Revolutionary Council of Government is hereby abrogated, together
with all laws, decrees, resolutions and provisions
contrary to the present law.
Transitory provisions—Art. 135. The notes issued
by the Central Bank of Guatemala and the national

288




coin which form the present monetary circulation
of the Republic shall continue with their same
value, and shall circulate legally with unlimited
legal tender, as long as they are not legally replaced
by the notes and coin to be issued by the Bank of
Guatemala.
Art. 136. A special law shall establish the transitory provisions relating to the organization of the
Bank of Guatemala and to the transfer in its
favor of the monetary functions in charge of the
present Central Bank of Guatemala.
Art. 137. The present law shall become effective
10 days after its publication in the official gazette.
Nevertheless, the provisions granting attributions, powers and functions to the Bank of Guatemala and to the Monetary Board shall enter into
force three days after the resolution in which the
Executive Power shall declare the Bank of Guatemala to be established.
The present decree shall be sent to the Executive
Power for its publication and enforcement.
Given in the Congressional Palace of the Republic: in Guatemala City, on the eleventh of
December, nineteen hundred and forty-five, second
year of the Revolution.
JULIO BONILLA G.

President
E. ZEA GONZALEZ

JULIO VALLADARES C.

Secretary

Secretary

National Palace: Guatemala City, twentieth of
December, nineteen hundred and forty-five.
Publish and execute.
J U A N JOSE AREVALO.

The Minister of State for Economy and Labor
M. NORIEGA M.

FEDERAL RESERVE BULLETIN

NATIONAL SUMMARY OF BUSINESS CONDITIONS
[Compiled February 26, and released for publication February 28]

Output at factories declined further in January
and the early part of February owing to work
stoppages. Production and employment in most
nonmanufacturing lines, however, continued to
advance and the value of retail trade was maintained considerably above last year's level.
INDUSTRIAL PRODUCTION

Wage disputes sharply reduced output in the
iron and steel and electrical machinery industries
during January and the early part of February.
These decreases were oflset in part by increased
output in most other manufacturing lines and in
mining. The Board's index of total industrial production was at a level of 159 per cent of the 1935-39
average in January, as compared with 164 in
December.
Steel mill operations, which averaged 83 per cent
of capacity in the first three weeks of January,
dropped to around 6 per cent during the succeeding four weeks. Since settlement of the wage dispute in the steel industry, output has recovered
sharply and during the last week of February operations were scheduled at 59 per cent of capacity.
Activity in machinery industries declined about
5 per cent in January, mainly because of work
stoppages in plants of leading electrical equipment
producers after January 15. Output of most other

types of machinery continued to increase. Activity
in the automobile industry rose in January, even
though plants of the leading producer remained
closed by a labor-management dispute. About twice
as many automobiles and trucks were assembled
in January as in December. Passenger car assemblies
were at an anuual rate of 700,000 cars which, however, was only about one-fifth of the 1941 rate.
Lumber production rose, considerably in January
and there were substantial increases in output of
most other building materials from previous low
levels. Production gains were also recorded in January at textile and paper mills, at printing and publishing establishments, and in the furniture, tobacco,
chemical, and rubber products industries.
Output of minerals rose 5 per cent in January,
reflecting large increases in output of anthracite and
bituminous coal and a small gain in production of
crude petroleum. Coal production in January and
the first part of February was at a rate about 8 per
cent above a year ago.
EMPLOYMENT

Employment at trade establishments in January
showed a much smaller decline than is usual after
the Christmas season and employment in most
other industries continued to advance. Construction
EMPLOYMENT IN NONAGRICULTURAL ESTABLISHMENTS
MILLIONS OF PERSONS

MILLIONS OF PERSONS

INDUSTRIAL PRODUCTION
PHYSICAL VOLUME SEASONALLY ADJUSTED, 1935-39-100

260

-

V-

f

-

/

- 240

\

A

-

1940

1941

1942

1943

1944

1945

Federal Reserve index. Monthly figures, latest shown are for
January.
MARCH

1946




Bureau of Labor Statistics monthly estimates, adjusted for
seasonal variation by Federal Reserve. "Other" group includes
transportation, public utilities, finance, service and miscellaneous
industries. Proprietors and domestic workers are not included
in these estimates. Latest figures shown are for January.

289

NATIONAL SUMMARY OF BUSINESS CONDITIONS
employment in January was double the level in the
same month last year, and, following large increases
since last autumn, employment in the trade, finance,
service, and miscellaneous industries was substantially larger than a year ago. Employment at
factories was about one-fifth lower than at the beginning of 1945 as reductions in munitions employment was only partly offset by increases in other
employment. Unemployment rose somewhat further
by the middle of January to a level of 2,300,000
persons.
DISTRIBUTION

Value of department store sales in January was
15 per cent above last year and in the first half of
February the increase was larger. Retail sales at
stores selling furniture, building materials, and
other durable goods were from 25 to 40 per cent
above a year ago in January and the total value of
retail trade since the first of the year has been about
one-fifth higher than during the same period last
year.
Railroad freight traffic was reduced from the
middle of January to the middle of February owing
mainly to the work stoppage in the steel industry.
Shipments of agricultural commodities, coal, and
general merchandise, however, remained at high
levels.
COMMODITY PRICES

Federal price policies were modified in the
middle of February to permit increases in ceilings
made necessary by Federally approved wage-rate

BANK CREDIT

Treasury deposits increased by more than one
billion dollars in the five weeks ending February
20, reflecting large Treasury tax receipts, reduced
expenditures, and sales of savings bonds and tax
savings notes in excess of securities redeemed.
Deposits, other than Government and interbank,
showed little change during this period, in contrast
to developments in former post-drive periods when
funds were shifted rapidly from Treasury balances
to accounts of businesses and individuals. Bank
loans made for purchasing and carrying Government securities were further reduced, while commercial, industrial, and agricultural loans continued
to increase.
Banks continued to increase their holdings of
Government securities, purchasing bonds in the
market and Treasury certificates from the Federal
Reserve Banks. Nonreporting banks drew upon
their balances with city correspondents to increase
their loans and investments. City banks met this
and other drains in part by selling bills to the
Reserve Banks.
MEMBER BANKS IN LEADING CITIES

COST OF LIVING
1935 -39-100

PER CENT

advances and sellers now may ask for immediate
price relief rather than waiting six months. Accompanying this action steel prices were raised by
8 to 9 per cent. Ceiling prices for a number of other
manufactured products, including certain foods,
cotton goods, paper, and lumber, have also been increased in recent weeks.

PER

160

AxF00D

f \

/N-/ 1

^ L L V T B /IS

120
110

^ \

-

RENT —

100

80
1939

1940

1941

Bureau of Labor Statistics' indexes. Last month in each
calendar quarter through September 1940, monthly thereafter.
Mid-month figures, latest shown are >for January.
'

290




Demand deposits (adjusted) exclude U. S. Government and
interbank deposits and collection items. Government securities
include direct and guaranteed issues. Wednesday figures,
latest shown a r e tor
* e b - 20-

FEDERAL RESERVE BULLETIN

FINANCIAL, INDUSTRIAL, AND COMMERCIAL STATISTICS
UNITED STATES

Member bank reserves, Reserve Bank credit, and related items
Federal Reserve Bank discount rates; rates on industrial loans, guarantee
fees and rates under Regulation V; rates on time deposits; reserve
requirements; margin requirements. .
Federal Reserve Bank statistics. .
Guaranteed war production loans. .
.
Deposits and reserves of member banks.
Money in circulation
Gold stock; bank debits and deposit turnover
Deposits and currency; Postal Savings System; bank suspensions. .
All banks in the United States, by classes
All insured commercial banks in the United States, by classes.
Weekly reporting member banks
.
Commercial paper, bankers' acceptances, and brokers' balances. .
Money rates and bond yields. . .
Security prices and new issues...
Corporate earnings and dividends.
Treasury
finance
Government corporations and credit agencies.
Business indexes
....
Department store statistics. .
Consumer credit statistics. .
Wholesale prices
Gross national product, national income, and income payments.
Current statistics for Federal Reserve chart book.

293

294-295
295-299
299
299-300
301-302
302
303
304-305
306-307
308-311
312
313
314-315
316
317-319
320
321-330
331-333
334-335
336
337
338-339

Tables on the following pages include the principal available statistics of current significance relating
to financial and business developments in the United States. The data relating to the Federal Reserve
Banks and the member banks of the Federal Reserve System are derived from regular reports made to
the Board; index numbers of production are compiled by the Board on the basis of material collected
by other agencies; figures for gold stock, money in circulation, Treasury finance, and operations of
Government credit agencies are obtained principally from statements of the Treasury, or of the agencies
concerned; data on money and security markets and commodity prices and other series on business
activity are obtained largely from other sources. Back figures for banking and monetary tables, together
with descriptive text, may be obtained from the Board's publication, Banking and Monetary Statistics;
back figures for most other tables may be obtained from earlier BULLETINS.

MARCH

1946




291

MEMBER BANK RESERVES AND RELATED ITEMS
WEDNESDAY FIGURES

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

30

30

25

20

15

10

1939

1940

1939

1940

1941

1942

1943

1944

' 1945

1946

1941

1942

1943

1944

1945

1946

Wednesday figures, latest shown are for Feb. 20.

292




See p. 293.
FEDERAL RESERVE BULLETIN

MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS
[In millions of dollars]
Member
bank reserve
balances

Reserve Bank credit outstanding
U. S. Government
securities
Discounts
and
advances Total

Date

Monthly averages of
daily figures:
1944—Nov
Dec
1945—Jan
Nov
Dec
1946—Jan

436
265
118
636
381
232

End of month figures:
1944—Nov. 3 0 . . .
Dec. 31. ..
1945—Jan. 3 1 . . .
Nov. 3 0 . . .
Dec. 3 1 . . .
1946—Jan. 3 1 . . .

Treasury
bills
and
certificates

All
other

2,354
2,798
2,770
2,943
3,059
2,443

Gold
stock
All
other 1 Total

TreasTreasury deury
Money Treas- posits
curury
with
rency in cir- cash Federal
culaoutholdtion
Restandings
serve
ing
Banks

Other
FedNoneral
memReber de- serve
posits
accounts Total

Excess2

19,009 20,708
19,612 20,657
19,387 20,582
24,389 20,033
24,744 20,047
24,298 20,106

4,116
4,125
4,129
4,290
4,322
4,375

24,738
25,207
25,243
28,151
28,452
28,158

2,340
2,355
2,371
2,268
2,269
2,265

262
666
532
419
625
648

1,579
1,595
1,501
1,347
1,247
1,282

395
403
403
485
493
505

14,520
14,168
14,048
16,043
16,027
15,921

473 18,388 16,031 2,357
80 18,846 16,035 2,812
176 19,006 16,272 2,734
775 23,472 20,393 3,079
249 24,262 21,196 3,067
294 23,264 20,913 2,352

496 19,357 20,688
819
20,619
370 19,552 20,550
450
20,030
580
20,065
418 23,976 20,156

4,122
4,131
4,127
4,303
4,339
4,406

25,019
25,307
25,290
28,211
28,515
27,917

2,327
2,375
2,371
2,239
2,287
2,293

138
440
648
866
977.
845

1,561
1,598
1,634
1,209
1,308
1,295

395
402
402
483
495
506

14,728 ,124
14,373 ,625
13,884
869
16,022 1,024
15,915 1,471
15,682 1,089

Wednesday figures:
1945—Apr. 4 . . .
Apr. 11. ..
Apr. 1 8 . . .
Apr. 2 5 . . .

220 19,580
323 20,091
341 20,153
508 20,444

17,414
17,975
18,037
18,331

2,167
2,116
2,116
2,113

455
349
478
358

20,255 20,418
20,763 20,417
- --- 20,396
21,310 20,374

4,117
4,118
4,117
4,120

25,865
25,939
26,068
26,074

2,379
2,364
2,374
2,371

335 1,420
409 1,553
430 ,594
651 ,563

438
439
437
437

14,353
14,593
14,582
14,708

May 2 . . .
May 9 . . .
May 1 6 . . .
May 2 3 . . .
May 3 0 . . .

569 20,479
552 20,720
487 20,668
724 20,929
886 21,023

18,374
18,617
18,555
18,809
18,891

2,104
2,103
2,113
2,120
2,132

358
318
432
327
349

21,406 20,374
20,352
21,587 20,351
21,980 20,271
22,258 20,270

4,130
4,132
4,137
4,142
4,141

26,204
26,312
26,372
26,399
26,500

2,382
2,384
2,376
2,319
2,315

423
447
102
526
426

,571
,463
,541
,592
,619

438 L4.892
927
439 15,029
961
_..
438 15,246 1,045
440 15,117
866
439 15,371 1,113

June 6 . . .
June 13. . .
June 20. ..
June 27. ..

912
85:
307
203

20,896
21,103
21,507
21,693

18,126
18,323
18,710
18,896

2,771
2,780
2,797
2,797

398
392
473
315

22,207 20,268
22,347 20,268
22,287 20,265
22,211 20,263

4,145
4,146
4,145
4,144

26,513
26,533
26,536
26,628

2,314
2,292
2,297
2,314

352
170
347
687

,546
,550
,710
,774

443
444
452
454

15,452
15,771
15,354
14,760

July 3 . . .
July 1 1 . . .
July 1 8 . . .
July 2 5 . . .

39
73
126
229

21,745
21,544
21,613
21,570

18,948
18,747
18,816
18,771

2,798
2,798
2,798
2,799

464
411
430
331

22,249 20,213
22,028 20,214
22,170 20,213
22,129 20,212

4,145
4,145
4,144
4,144

26,834
26,932
26,901
26,926

2,285
2,230
2,274
2,279

667 1,647
585 1,617
690 ,553
594 ,539

450
453
450
450

14,722 1,408
14,570 1,136
14,660 1,048
14,699
994

Aug. 1 . . .
Aug. 8 . . .
Aug. 1 5 . . .
Aug. 2 2 . . .
Aug. 29. ..

399
353
312
400
44:

21,877
21,910
21,869
22,296
22,358

19,066
19,099
19,058
19,466
19,516

2,811
2,811
2,811
2,829
2,841

288
342
601
447
263

22,564 20,152
22,606 20,151
22,782 20,130
23,142 20,088
23,063 20,088

4,198
4,197
4,198
4,201
4,215

27,130
27,269
27,351
27,506
27,600

2,260
2,269
2,257
2,248
2,262

678
538
398
671
397

,532
,588
,643
,557
,577

454
457
458
458
458

14,861
14,833
15,004
14,992
15,070

Sept. 5...
Sept. 12...
Sept. 19. ..
Sept. 26...

377 22,435
45' 22,808
301 22,965
422 23,186

19,670
20,014
20,116
20,306

2,765
2,795
2,850
2,880

380
412
441
285

23,192 20,088
23,677 20,096
23,707 20,095
23,892 20,093

4,216
4,216
4,222
4,222

27,750
27,793
27,777
27,729

2,269
2,267
2,268
2,263

304
598
428
961

,529
,538
,525
,506

463
465
475
475

15,180
966
15,329
964
15,552 1,039
15,274
893

Oct.
Oct.
Oct.
Oct.
Oct.

314 23,212
313 23,272
316 22,901
389 23,089
439 23,276

20,297
20,357
19,985
20,192
20,379

2,916
2,916
2,916
2,898
2,898

294
338
482
312
272

23,821 20,072
23,923 20,040
23,699 20,039
23,790 20,038
23,987 20,036

4,248
4,257
4,262
4,270
4,278

27,853
27,962
27,952
27,974
28,049

2,249
2,248
2,244

,268
,282

648
535
293
295
429

,469
,419
,324
,349
,373

484
485
482
482
483

15,420
15,537
15,700
15,751
15,723

Nov. 14. ..
Nov. 21. ..
Nov. 28...

508 23,076
596 23,448
630 23,343
792 23,646

20,179
20,510
20,372
20,627

2,898
2,938
2,970
3,019

292
455
359
326

23,877 20,035
24,498 20,034
24,331 20,032
24,764 20,031

4,285
4,284
4,297
4,297

28,137
28,178
28,198
28,169

2,268
2,265
2,272
2,269

261
580
410
557

,310
,313
,360
,351

484
486
484
485

15,737
928
15,994 1,163
15,937 1,043
16,261 1,293

Dec. 5...
Dec. 12. ..
Dec. 19...
Dec. 26...

345 23,525
312 23,493
360 23,668
492 24,037

20,474
20,440
20,602
20,970

3,052
3,053
3,067
3,067

359
460
829
643

24,229 20,029
24,264 20,045
24,859 20,066
25,172 20,065

4,303
4,317
4,326
4,334

28,279
28,370
28,557
28,649

2,242

8
627
718
1,199

,304
,204
,284
,282

487
488
496
500

16,242
15,669
15,906
15,658

,594
,296
,332
,213

1946—Jan. 2...
Jan.
9...
Jan. 16...
Jan. 23...
Jan. 30...

222 24,092
215 23,859
210 23,437
207 23,341
310 23,297

21,602
21,377
21,030
20,968
20,945

2,490
2,482
2,407
2,373
2,352

533
463
426
373
291

24,847 20,065
24,536 20,046
24,072 20,111
23,922 20,135
23,898 20,157

4,352
4,362
4,377
4,385
4,404

28,491
28,297
28,119
27,977
27,914

2,306

771
,299
758 ,307
272 ,257
578 .239
762 1,298

498
505
505
506
507

15,900
15,822
16,145
15,859
15,681

,439
,266
,423
.169
,061

Feb.
6...
Feb. 13...
Feb. 20...

289 23,227
411 23,253
352 23,017

20,876 2,352
20,904 2,349
20,692 2,326

4,413 27,929
4,424 27,967
4,434 27,955

2,306
2,301
2,318

716 1,226
864 1,173
940 1,235

516 15,717 Pl.224
516 15,693 P 1 , 2 3 8
516 15,490 Pl.056

3...
10...
17...
24. ..
31...

Nov.* 7...

18,129 15,775
18,693 15,895
18,726 15,956
23,333 20,390
23,708 20,649
23 ,590 21,147

445
654
543
420
654
476

324 23,840 20,157
270 23,933 20,157
417 23,787 20,233

2,283

,023
,284
,114
,167
,498
,311

934
946
806
835

1,098
1,237
1,454
1,362

1,063
1,066
1,132
1,018
986

1,001
1,027
1,032
1,002
904

P Preliminary.
Includes industrial loans and acceptances purchased shown separately in subsequent tables.
End of month and Wednesday figures are estimates.
Back figures.—See Banking and Monetary Statistics, Tables 101-103, pp. 369-394; for description, see pp. 360-366 in the same publication.

1
2

MARCH

1946




293

FEDERAL RESERVE BANK DISCOUNT RATES
[In effect February 28.

Per cent per annum]

Discounts for and advances to member banks
Advances secured by
Government obligations maturing or
callable in one year
or less (Sec. 13)

Federal Reserve
Bank

Rate

Effective
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.

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

Advances secured by
Government obligations
maturing or callable
beyond one year and Other secured advances
discounts of and
[Sec. 10(b)J
advances secured by
eligible paper
(Sees. 13 and 13a)i
Rate

1942
27,
1942
30,
1942
17,
1942
27,
1942
28,
1942
15,
1942
17,
1942
27,
1942
30,
194*2
27,
1942
17,
1942
28,

Effective
Sept. 1, 1939
Aug. 25,1939
Mar. 21, 1942
Apr. 11, 1942
Mar. 14,1942
Mar. 21, 1942
Feb. 28,1942
Mar. 14, 1942
Mar. 28,1942
Apr. 11,1942
Mar. 21, 1942
Apr. 4, 1942

Rate

Effective

Advances to individuals, partnerships,
or corporations other than member banks
secured by direct obligations of the U. S.
(last par. Sec. 13)

To nonmember banks
Rate

Oct. 27,
1942
Oct. 30,1942
Oct. 17,
1942
Sept. 12,
1942
Oct. 28,
1942
Oct. 15,
1942
Aug. 29, 1942
Mar. 14, 1942
Oct. 30,
1942
Oct. 27,
1942
Oct. 17,
1942
Oct. 28,1942

Effective

To others
Effective

Rate

Sept. 1, 1939
Aug. 25, 1939
Mar. 21, 1942
Apr. 11,1942
Mar. 14,1942
1939
Sept. 16,
Sept. 1, 1939
1939
Sept. 16,
Mar. 28, 1942
1939
Sept. 16,
1939
Sept. 16,
Apr. 4, 1942

Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.
Oct.

2
2
2
2

2H
2

27,
30,
17,
27,
28,
15,
17,
27,
30,
27,
17,
28,

1942
1942
1942
1942
1942
1942
1942
1942
1942
1942
1942
1942

1
Rates shown also apply to advances secured by obligations of Federal intermediate credit banks maturing within 6 months.
NOTE.—Maximum maturities for discounts and advances to member banks are: 15 days for advances secured by obligations of the Federal
Farm Mortgage Corporation or the Home Owners' Loan Corporation guaranteed as to principal and interest by the United States, or by obligations
of Federal intermediate credit banks maturing within 6 months; 90 days for other advances and discounts made under Sections 13 and 13a of the
Federal Reserve Act (except that discounts of certain bankers' acceptances and of agricultural paper may have maturities not exceeding 6 months
and 9 months, respectively); and 4 months for advances under Section 10(b). The maximum maturity for advances to individuals, partnerships, or '
corporations made under the last paragraph of Section 13 is 90 days. Back figures.—See Banking and Monetary Statistics, Tables 115-116, pp.
439-443.
FEDERAL RESERVE BANK BUYING RATES ON BILLS
FEDERAL RESERVE BANK RATES ON INDUSTRIAL LOANS
AND COMMITMENTS UNDER SECTION 13b
IPer cent per annum]
OF THE FEDERAL RESERVE A C T 1
Maturities not exceeding five years
In effect bePrevious
Rate on
Maturity
[In effect February 28. Per cent per annum]
ginning—
rate
Feb.28

H

To industrial or
commercial
businesses

Apr. 30, 1942

l

Treasury bills *'.
Bankers' acceptances:2
1- 90 days
91-120 days
121-180 days

Oct. 20, 1933
Oct. 20, 1933
Oct. 20, 1933

1
1

1

Established rate at which Federal Reserve Banks stand ready
to buy all Treasury bills offered. Effective Aug. 3, 1942, purchases
of such bills, if desired by the seller, were made on condition that the
Reserve Bank, upon request before maturity, would sell back bills of
like amount and maturity at the same rate of discount. Since May
15,2 1943, all purchases have been made subject to repurchase option.
Minimum buying rates on prime bankers' acceptances.
Back figures.—See Banking and Monetary Statistics, Table 117,
pp. 443-445.
GUARANTEE FEES AND MAXIMUM INTEREST AND COMMITMENT RATES CHARGEABLE UNDER REGULATION
V ON LOANS GUARANTEED BY WAR DEPARTMENT,
NAVY DEPARTMENT, AND MARITIME COMMISSION UNDER EXECUTIVE ORDER NO. 9112 AND
CONTRACT SETTLEMENT ACT
OF 1944
[Rates in effect February 28]
FEES PAYABLE TO GUARANTOR BY FINANCING INSTITUTIONS

Percentage of loan guaranteed

80 or less
85
90 .

.

. .

95

Over 95

Guarantee fee
(In terms of percentage of amount
of interest payable
by borrower)1
10
15
20
30
50

Federal
Reserve
Bank

To financing institutions
On discounts or
purchases

On
loans2

On
commitments

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

Portion
for which
institution is
obligated

Remaining
portion

On
commitments

(4)

8
()

•8

2H-5
11H

1
See table on maximum interest and commitment rates chargeable under Regulation V for rates on guaranteed Section 13b loans.
2
Including loans made in participation with financing institutions.
3
Rate charged borrower less commitment rate.
4
Rate charged borrower.
6
May charge rate charged borrower by financing institution, if
lower.
8
Charge of H per cent is made on undisbursed portion of loan.
Back figures.—See Banking and Monetary Statistics, Table 118,
pp. 446-447.
MAXIMUM RATES ON TIME DEPOSITS
Maximum rates that may be paid by member banks as established by
the Board of Governors under provisions of Regulation Q
[Per cent per annum]

Nov. 1,1933- Feb. 1, 1935- Effective
Jan.31, 1935 Dec.31,1935 Jan. 1, 1936
MAXIMUM RATES THAT MAY B E CHARGED BORROWERS BY
FINANCING INSTITUTION?

[Per cent per annum]
Maximum rate of i n t e r e s t . . . .
Maximum commitment rate 2 .
1
2

Guarantee fee is charged only on guaranteed portion of loan.
Based on average daily unused balance of the maximum principal
amount of the loan. The financing institution may, in the alternative, charge a flat fee of not to exceed $50, without regard to the
amount or maturity of the commitment.

294



Savings deposits
Postal savings- deposits
Other deposits payable:
In 6 months or more
In 90 days to 6 months. . . .
In less than 90 days
NOTE.—Maximum rates that may be paid by insured nonmember
banks as established by the F. D. I. C , effective Feb. 1, 1936, are the
same as those in effect for member banks. Under Regulation Q the
rate payable by a member bank may not in any event exceed the maximum rate payable by State banks or trust companies on like deposits
under the laws of the State in which the member bank is located.

FEDERAL RESERVE BULLETIN

MARGIN REQUIREMENTS *
[Per cent of market value]

MEMBER BANK RESERVE REQUIREMENTS
[Per cent of deposits]
Net demand deposits1
Central
reserve
city
banks

Period in effect

June
Aug.
Mar.
May
Apr.
Nov.
Aug.
Sept.
Oct.

21,
16,
1,
1,
16,
1,
20,
14,
3,

1917-Aug. 15, 1936..
1936-Feb. 28, 1937..
1937-Apr. 30, 1937..
1937-Apr. 15,1938..
1938-Oct. 31,1941..
1941-Aug. 19, 1942..
1942-Sept. 13, 1942..
1942-Oct. 2, 1942..
1942 and after

Time
deposits
Reserve Country
(all
city
banks member
banks
banks)
10
15
17K
20
17H
20
20
20
20

13

19H

22%
26
22%
26
24
22
20

7

Regulation T:
For extensions of credit by brokers
and dealers on listed securities

3
4^

10H

Feb. 5,
1945July 4,
1945

Prescribed in accordance with
Securities Exchange Act of 1934

\lH

6
5
12
6
14
6
14
6
6
14
14
1
Demand deposits subject to reserve requirements, i. e., demand
deposits other than war loan deposits, minus cash items in process of
collection and demand balances due from domestic banks.

July 5,
Effec1945tive
Jan. 20, Jan. 21.
1946
1946

50
50

75
75

100
100

50

Regulation U:
For loans by banks on stocks

75

100

1

Regulations T and U limit the amount of credit that may be extended on a security by prescribing a maximum loan value, which is a
specified percentage of its market value at the time of the extension; the
"margin requirements" shown in this table are the difference between
the market value (100%) and the maximum loan value.
Back figures.—See Banking and Monetary Statistics, Table 145, p. 504.

PRINCIPAL ASSETS AND LIABILITIES OF ALL FEDERAL RESERVE BANKS
[In thousands of dollars]
Wednesday figures
Item
Feb. 27
Assets
Gold certificates
Redemption fund for
F. R. notes

End of month

1946
Feb. 20

Feb. 13

1946
Jan. 30

Feb. 6

Jan. 23

Jan. 16

February

1945

January

February

17,266,565 17,248,560 17,188,565 17,188,565 17,188,565 17,163,565 17,163,565 17,266,563 17,188,565 17,724,865
782,367

794,410

794,408

794,425

794,424

794,424

796,381

782,368

794,423

620,810

Total gold certificate reserves.... 18,048,932 18,042,970 17,982,973 17,982,990 17,982,989 17,957,989 17,959,946 18,048,931 17,982,988 18,345,675
Other cash

353,515

Under repurchase
option
Other
Certificates:
Special
Other
Notes
Bonds
Guaranteed

349,199

356,110

339,219

313,990

357,973

358,700

264,374

312,610

366,015

243,975

264,990

160,105

162,900

307,400

249,215

320,776

40,000

45,000

45,040

45,040

47,040

47,040

40,000

45,040

380,075

352,610

411,015

289,015

310,030

207,145

209,940

347,400

294,255

320,776

1,589

Industrial loans
U. S. Gov't securities:
Direct:

347,008

40,000

Total discounts and
advances

348,732

340,075

Discounts and advances:
For member banks...
For nonmember
banks, etc

1,754

1,751

1,762

1,783

1,843

1,826

1,546

1,799

3,801

5,320,458 5,343,071 5,283,470 5,214,383 5,244,960 5,172,169 4,912,161 5,196,921 5,144,726 5,027,092
7,785,774 7,754,464 7,776,914 7,721,064 7,643,274 7,609,864 7,588,025 7,841,189 7,721,064 6,803,294
7,546,211 7,594,211 7,843,711 7,940,211 8,056,711 8,186,211 8,529,911 7,546,211 8,046,711 4,917,140
1,372,700 1,378,700 1,401,700 1,404,700 1,404,700 1,426,200 1,459,700 1,372,700 1,404,700 1,559,721
946,892
946,892
946,892
946,892
946,892 1,132,072
946,892
946,892
946,892
946,89"

Total U. S. Govt.
securities.including guaranteed
22,972,035 23,017,338 23
3,252,687 23,227,250 23,296,537 23,341,336 23
securities
3,436,689 22,903,913 23,264,093 19,439,319
Other Reserve Bank
322,969
415,386
267,780
395,313
415,960
289,160
423,616
394,157
322,139
371,443
credit outstanding
Total Reserve Bank
credit outstanding 23,676,668 23,787,088 23,933,233 23,840.166 23,897,510 23,921,767 24,072,071 23,648,172 23,976,107 20,158,053
Liabilities
Federal Reserve notes.. 24,124,304 24,151,094 24,155,038 24,149,470 24,147,899 24,208,912 24,342,950 24,130,539 24,153,383 22,162,307
Deposits:
Member bank — reserve account
15,555,461 15,490,106 15,693,102 15,716,698 15,681,187 15,859,412 16,145,179 15,537,355 15,681,691 14,228,453
U. S. Treasurer—gen829,035
826,157
940,449
762,397
845,456
864,040
460,184
577,706
272,196
716,22
eral account
808,48
781,274
888,398 1,191,796
872,265
780,650
749,834
837,273
835,651
Foreign
828,188
426,179
425,407
406,127
423,312
411,230
401,953
421,398
422,058
389,096
398,13
Other deposits
Total deposits

17,584,326 17,665,216 17,730,288 17.659,246 17,741,256 17,676.344 17,674,424 17,558,894 17,821,672 16,269,529

Ratio of gold certificate
reserves to deposit and
F. R. note liabilities
combined (per cent)..

43.3

43.1

42.9

43.0

42.9

42.9

42.7

43.3

47.7

MATURITY DISTRIBUTION OF LOANS AND U. S. GOVERNMENT SECURITIES HELD BY FEDERAL RESERVE BANKS
[In thousands of dollars]
February 27, 1946
Discounts and advances
Industrial loans
U. S. Government securities

MARCH

1946




Total

Within
15 days

16 to 30
days

31 to 60
days

61 to 90 91 days to 6 months
days
6 months to 1 year

380,075 302,660
52,890
17,850
6,675
89
1,589
6
21
1,397
45
6
22,972,035 3,845,102 2, 134,927 5, 425,492 4, 442,332 1,786,792 4,286,700

1 year to 2 years to
2 years
5 years
14

11
360,000

Over
5 years

690,690

295

STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS
[In thousands of dollars]
Total
Assets
Gold certificates:
Jan. 23.
Jan. 30
Feb. 6
Feb. 13
Feb. 29
Redemption fund
for F. R. notes:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Total gold certificate reserves:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Other cash:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Discounts & advances:
Secured by
U. S. Govt.
securities:
Jan. 2 3 . . .
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
Other:
Jan. 2 3 . . .
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
Industrial loans:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
U. S. Govt.
securities:
Bills:
Under repurchase
option:
Jan. 2 3 . . .
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
Other bills:
Jan. 2 3 . . .
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
Certificates:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Notes:
Jan. 2 3 . . . .
Jan. 3 0 . . . .
Feb. 6 . . . .
Feb. 1 3 . . . .
Feb. 2 0 . . . .
Bonds:
Jan. 2 3 . . . .
Jan. 3 0 . . . .
Feb. 6 . . . .
Feb. 1 3 . . . .
Feb. 2 0 . . . .
Total U. S. Govt
securities:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Total loans and
securities:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

Boston

New
York

Philadelphia

Cleveland

Richmond

San
Francisco

St.
Louis

Minneapolis

Kansas
City

Dallas

951,735 2,781,907
955,293 2,839,347
961,999 2,767,999
986,229 2,762,164
995,661 2,833,424

556,293
553,642
562,883
580,231
547,107

327,154
321,814
325,487
324,501
325,692

575,980
568,159
571,462
576,303
565,278

460,836 2,608,374
465,690 2,537,329
470,665 2,514,288
461,934 2,554,099
457,326 2,600,141

145,042
145,042
145,042
145,042
145,042

42,921
42,921
42,921
42,921
42,922

20,119
20,119
20,119
20,119
20,119

35,178
35,178
35,178
35,177
35,177

26,086
26,086
26,086
26,085
26,086

111,582
111,582
111,582
111,580
111,580

5,448,895 882,978 ,190,632 958,431 996,864 2,926,949 599,214
5,493,836 900,109 ,153,067 973,872 1,000,422 2,984,389 596,563
5,547,361 889,004 170,114 983,623 1,007,128 2,913,041 605,804
5,502,035 874,706 167,276 969,976 1,031,357 2,907,206 623,152
5,476,288 879,358 182,770 944,641 1,040,789 2,978,466 590,029

347,273
341,933
345,606
344,620
345,811

611,158
603,337
606,640
611,480
600,455

486,922
491,776
496,751
488,019
483,412

,719,956
:,648,911
,625,870
,665,679
,711,721

13,239
13,717
12,634
11,229
11,323

38,795
43,422
40,269
40,703
40,238

Atlanta

Chicago

17,163,565
17,188,565
17,188,565
17,188,565
17,248,560

729,738
735,795
733,069
738,489
750,252

5,340,766
5,385,707
5,439,232
5,393,914
5,368,167

822,152
839,283
828,178
813,881
818,533

,112,864
,075,299
,092,345
,089,508
,105,002

895,766
911,207
920,958
907,312
881,977

794,424
794,424
794,425
794,408
794,410

58,979
58,979
58,979
58,978
58,978

108,129
108,129
108,129
108,121
108,121

60,826
60,826
60.826
60,825
60,825

77,768
77,768
77,769
77.768
77,768

62,665
62,665
62,665
62,664
62,664

17,957,989
17,982,989
17,982,990
17,982,973
18,042,970

788,717
794,774
792,048
797,467
809,230

339,219
356,110
349,199
347,008
348,732

28,966
29,504
29,968
32,957
32,971

63,811
62,570
67,017
64,334
70,042

23,771
24,807
24,207
24,002
23,165

29,209
27,847
30,605
28,397
31,366

23,769
26,417
25,597
27,269
26,634

32,705
37,037
32,644
33,599
29,074

42,982
46,715
44,938
44,309
45,340

18,947
19,389
18,739
17,382
16,537

6,704
7,270
5,952
6,027
4,370

16,321
17,415
16,629
16,800
17,672

160,145
265,030
244,015
366,015
312,610

6,405
10.500
18.050
19.850
19,255

91,275
120,630
101,185
181,135
145,310

1,250
4,220
6,150
11,090
16,865

4,500
23.535
21.735
49,885
26,985

500
2,500
4,000
3,600
5,800

5,500
11,780
9,780
5,480
3,300

12,650
17,050
16,400
37,800
51,400

7,540
15,290
16,040
3,000
10,000

12,100
20,100
15,800
14,800
17,500

18,425
36,425
24,875
27,375
15,175

47,000
45,000
45,000
45,000
40,000

3,008
2,880
2,880
2.880
2,560

15,651
14,985
14,985
14,985
13,320

3,901
3,735
3,735
3,735
3,320

4,371
4,185
4,185
4,185
3,720

2,209
2,115
2,115
2,115
1,880

1,786
1,710
1,710
1,710
1,520

6,298
6,030
6,030
6,030
5,360

1,598
1,530
1,530
1,530
1,360

1,175
1,125
1,125
1,125
1,000

1,551
1,485
1,485
1,485
1,320

1,504
1,440
1,440
1,440
1,280

3,948
3,780
3,780
3,780
3,360

1,843
1,783
1,762
1,751
1.754

106
106
106
106
101

5,172,169
5,244,960
5,214,383
5,283,470
5,343,071

89,415
71.910
57,535
91.583
93,765

2,714,252
2.678.061
2.698.384
2.687.194
2,779,895

232,266
220,526
224,901
242,476
250,551

134,690
113,510
107,670
115,420
108,180

37,571
40,413
38,963
35,383
70,621

16, 740
25,828
19,988
18,688
21,188

1,498,036
1,488,064
1,520,154
1,536,714
1,454,044

106,631
125,031
117,486
101,267
113,879

34,290
57,395
51,500
55,700
38,590

49,410
62,365
56,066
40,949
32,102

27,303
34,792
30,946
28,446
15,421

231,565
327,065
290,790
329,650
364,835

7,609,864
7,643,274
7,721,064
7,776,914
7,754,464

629.961
650,239
666,982
645,169
662,288

534
47,825
57,380
51,999

571,627
597,391
609,205
614.961
614,589

993,194
1,045,264
1,043,822
1,041,821
1,050,278

747,220
750,011
756,510
760,377
758,951

633,391
635,696
641,062
644,256

1,051,593 449,747 296,992
1,024,978 445,734 284,331
1,038,025 435,813 272,882
1,031,101 464,353 291,500
643,078 988,837 485,704 309,762

537,414
529,460
517,175
535,053
565,983

429,682
421,600
426,848
436,505
444,490

1,269,043
1,258,036
1,264,915
1,254,438
1 ,178,505

8,186,211
8,056,711
7,940,211
7,843,711
7,594,211

561,202
551,935
543,648
536,780
518,982

2,056,643
2,025,462
1,997,228
1,973,864
1,913,577

618,977
'609,081
600,191
592,827
573,779

779,847
766,959
755,435
745,883
721,134

512,855
504,642
497,265
491,154
475,340

424,070 1,051,215
417,285 1,034,688
411,191 1,019,809
406,142 1,007,484
393,085 975,629

402,334
396,105
390,487
385,832
373,813

222,818
219,165
215,896
213,188
206,172

398,490
392,177
386,501
381,796
369,636

358,347
352,758
347,720
343,549
332,772

799,413
786,454
774,840
765,212
740.292

1,426,200
1,404,700
1,404,700
1,401,700
1,378,700

97,773
96,230
96,177.
95,924
94,219

358,309
353,142
353,328
352,736
347,402

107,838
106,194
106,180
105,941
104,166

135,866
133,720
133,645
133,292
130,919

89,350
87,985
87,971
87,770
86,297

73,881 183,143
72,755 180,400
72,744 180,414
72,580 180,041
71,363 177,122

70,093
69,062
69,080
68,950
67,865

38,818
38,212
38,195
38,098
37,430

69,425
68,377
68,375
68,229
67,107

62,430
61,503
61,515
61,393
60,413

139,274
137,120
137,076
136,746
134,397

946,892
946,892
946,892
946,892
946,892

64,914
64,868
64,832
64,800
64,710

237,891
238,049
238.175
238,284
238,596

71,596
71,584
71,575
71,566
71,541

90,205
90,139
90,088
90,043
89,915

59,322
59,309
59,300
59,291
59,269

49,052
49,043
49,036
49,030
49,012

46,537
46,554
46,566
46,578
46,610

25,772
25,758
25,747
25,736
25,707

46,093
46,092
46,091
46,091
46,089

41,449
41,459
41,466
41,473
41,492

92,468
92,431
92,401
92,376
92,304

23,341,336
23,296,537
23,227,250
23,252,687
23,017,338

1,443,265
1,435,182
1,429,174
1 434.256
1,433,964

5,367,095
5,295,248
5,334,940
5,309,458
5,331,469

1,602.304 2.133,802
1,604,776 2,149,592
1,612,052 2,130,660
1,627,771 2,126,459
1,614,626 2,100,426

,446,318 1 ,197,134 3,905
1,580 1,075,342
,442,360 1,200,607 3
1,849,736 1.082,486
,440,009 1,194,021 3,880,017 1.059.432
,433.975 1,190,696 3,876,964 1 066.980
,450,478 1,177,726 3,717,279 1,087,871

618,690
624,861
604,220
624,222
617,661

,100,832 919,211 2,531,763
1
1,098,471 912, 112 2,601,106
1,074,208 908,495 2.560,022
1,072,118 911,366 2.578,422
1,080,917 894,588 2,510,333

23,550,324
23,608,350
23,518,027
23,665,453
23,371,702

,452,784
,448,668
,450,210
,457,092
,455,880

5,474.021
5,430,863
5,451,110
5,505,578
5,490,099

1,609,150 2,142,673 1,449,069
1,614,369 2M77.312 1,447,014
1,623,554 2,156,580 1,446,163
1,644,202 2 ,180,529 1,439,729
1,636,425 2,131,131 1,458,197

631,965
646,086
621,145
640,147
636,161

1,120,808 920,715 2,535,711
1,136,381 916,552 2,604,886
1,100,568 909,935 2,573,802
1,100,978 912,806 2,594,202
1,097,412 895,868 2,514,713

296



45,129
45,129
45,129
45,128
45,128

3,000
10,000
12,000
1,020

42
39
39
39
39

1,695
1,638
1,617
1,606
1,614

121,593
121,606
121,615
121,624
121,647

1,204,420 3,924,528 1,084,480
1,214,097 3,872,816 1,099,306
1,077.002
1,205,511
1,197,886 3,920,794 1,071,510
1,182,546 3
1,099,23i

FEDERAL RESERVE BULLETIN

STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS—Continued
fin thousands of dollars]
Total

Due from foreign
banks:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Federal Reserve
notes of other
banks:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Uncollected
items:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20..
Jan. 23.
Jan. 30
Feb. 6 . . .
Feb. 13
Feb. 2 0 . . .
Other assets:
Jan. 23
Jan. 30
Feb. 6..
Feb. 13
Feb. 20
Total assets:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Liabilities
Federal Reserve
notes:
J a n . 23
J a n . 30
Feb. 6
Feb. 13
Feb. 20
Deposits:
Member bank
—reserve
account:
Jan. 2 3 . . .
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
U. S. Treasurer-general
account:
Jan.23...
Jan. 3 0 . . .
Feb. 6 . . .
Feb.13...
Feb. 2 0 . . .
Foreign:
J a n . 23
J a n . 30
Feb. 6
Feb. 13
Feb. 20
Other:
Jan. 23
J a n . 30
Feb. 6
Feb. 13
Feb. 20
Total deposits:
Jan. 23
Jan. 30
Feb. 6
Feb. 13 . .
Feb. 20
Deferred availability items:
Jan. 23
Jan. 30
Feb.
6.....
Feb. 13
Feb. 20

NewYork

Boston

Philadelphia

Cleveland

Richmond

Chicago

Atlanta

Kansas
City

Minneapolis

St.
Louis

San
Francisco

Dallas

4
4
4.
4
4

15
15
15
15
15

3
3
3
4
4

3
3
3
3
3

4
4
4
4
4

3
3
3
3
3

9
9
9
9
9

40,585
42,462
44,580
43,889
44,526

13,618
13,779
12,015
12,157
12,773

16,623
13,923
12,698
9,975
11,808

7,812
7,387
6,928
6,796
7,285

6,797
7,180
5,584
4,445
4,489

7,844
7,230
7,555
5,151
6,865

4,702
4,463
4,305
3,419
4,841

26,697
24,875
26,156
21,348
24,052

199,017
193,438
177,724
174,268
219,074

171,823
150,230
148,349
150,041
152,335

213,977
142,408
133,206
144,602
150,590

346,013
313,019
316,545
300,461
347,062

112,940
90,966
86,337
94,247
90,290

56,937
51,702
48,802
46,928
52,299

118,897
101,262
108,285
104,098
108,194

110,021
84,407
85,282
80,365
91,597

211,667
215,521
215,935
234,675
221,712

3,313
3,301
3,301
3,301
3,289

3,979
3,979
3,979
3,979
3,970

2,762
2,762
2,762
2,762
2,762

1,568
1,565
1,565
1,565
1,565

3,108
3,107
3,111
3,111
3,111

2,058
2,056
2,054
2,054
2,053

1,263
1,261
1,261
1,262
1,262

2,591
2,591
2,585
2,585
2,585

829
829
826
826
826

1,863
1,856
1,857
1,857
1,857

14,648
15,664
13,546
14,214
14,470

4,698
4,613
4,173
4,305
4,420

6,319
6,724
6,340
6,589
6,640

4,145
4,196
3,773
4,011
4,066

3,541
3,672
3,370
3,478
3,459

9,413
8,777
7,986
8,173
8,185

3,760
3,832
3,591
3,670
3,645

1,818
1,788
1,644
1,643
1,719

3,083
3,201
2,964
3,077
3,131

3,086
3,148
2,709
2,800
2,846

6,537
6,822

6,484
6,630
6,956

2,419,728
2,420,924
2,422,082
2,448,162
2,459,752

11,445,722
11,442,035
11,448,015
11,455,492
11,556,944

2,646,129
2,673,289
2,670,247
2,680,834
2,691,113

3,584,745
3,575,832
3,556,041
3,569,263
3,584,262

2,650,589
2,646,958
2,654,852
2,637,682
2,633,166

2,466,697
2,412,984
2,395,443
2,424,648
2,420,800

7,269,631
7,242,761
7,200,781
7,194,044
7,168,026

1,829,214
1,819,502
1,800,458
1,818,815
1,809,074

1,052,760
1,057,223
1,029,997
1,045,075
1,046,114

1,880,706
1,871,421
1,845,230
1,844,173
1,836,318

1,539,517
1,514,895
1,512,445
1,499,467
1,490,716

5,541,235
5,546,302
5,496,382
5,565,103
5,521,258

24,208,912
24,147,899
24,149,470
24,155,038
24,151,094

1,446,315
1,443,392
1,445,025
1,449 534
1,451,085

5,290,402
5,281,664
5,278,582
5 281 526
5,285,235

1,614,071
1,608,848
1,610,907
1,614,768
1,614,656

2,059,995
2,054,470
2,053,351
2,054,572
2,048,281

1,700,692
1,696,808
1,696,015
1,692,262
1,695,174

1,456,968
1,453,434
1,455,830
1,453,057
1,450,556

4,393,861
4,383,933
4,392,404
4,397,612
4,393,255

1,047,850
1,047,113
1,048,884
1,046,588
1,046,963

546,494
545,091
546,714
548,028
548,135

902,149
901,109
901,833
900 365
898,275

607,112
604,744
604,702
602,348
600,978

3,143,003
3,127,293
3,115,223
3,114,378
3,118,501

15,859,412
15,681,187
15,716,698
15,693,102
15,490,106

712,394
686,534
696,088
686,423
677,971

4,920,723
4,869,699
4,867,704
4,850,463
4,835,663

789,696
793,609
790,252
779,724
764,516

1,192,375
1,150,010
1,171,360
1,148,216
1,133,948

703,208
690,174
715,765
708,951
697,729

743,096
729,853
739,002
757,403
738,465

2,280,018
2,284,430
2,290,380
2,270,411
2,207,001

595,013
589,110
588,802
601,996
591,522

385,721
386,289
381,695
381,454
379,287

775,908
771,845
761,391
776,509
758,800

755,728
730,761
744,530
734,675
728,595

2,005,532
1,998,873
1,969,729
1,996,877
1,976,609

577,706
762,397
716,227
864,040
940,449

27,706
57,254
48,908
95,454
89,619

103,099
118,806
216,242
256,469
251,567

28,696
44,844
48,722
68,160
81,726

46,894
68,563
53,302
77,149
94,521

32,842
53,330
42,057
43,739
42,876

28,019
38,431
24,529
30,216
40,535

125,128
131,951
95,114
81,836
126,537

39,944
41,664
29,440
40,830
33,628

34,044
45,461
29,238
34,341
40,019

44,472
50,340
36,034
25,528
33,102

32,033
57,748
44,150
34,085
39,524

837,273
872,265
828,188
749,834
808,482

51,197
53,622
50,691
45,714
49,769

2 307,019
2 318,360
2 302,670
2 276,441
2 294,370

65,931
68,860
65,356
58,866
63,912

73,875
77,156
73,230
65,958
71,613

37,335
38,993
37,009
33,334
36,191

30,185
31,526
29,922
26,951
29,261

106,443
111,171
105,514
95,037
103,184

27,008
28,208
26,772
24,114
26,181

19,859
20,741
19,686
17,731
19,251

26,214
27,378
25,985
23,405
25,411

25,419
26,548
25,197
22,695
24,641

401,953
425,407
398,133
423,312
426,179

4,697
3,675
4,236
3,887
4,610

307,999
328,150
298,315
331,981
334,405

3,266
4,563
3,829
3,178
3,158

8,019
8,688
9,050
8,965
9,626

3,547
3,412
5,488
3,048
2,746

3,399
3,742
3,559
2,647
3,036

7,172
8,555
7,517
5,893
3,582

10,794
11,125
9,701
9,444
10,056

2,858
3,433
3,839
3,901
4,359

582
1,394
1,534
1,765
1,940

1,497
1,028
1,790
1,005
1,043

34,829
54,005
48,491
76,233
66,795
66,788
69,702
66,156
59,588
64,698
48,123
47,642
49,275
47,598
47,618

17,676,344
17,741,256
17,659,246
17,730,288
17,665,216

795,994
801,085
799,923
831,478
821,969

5,638,840
5,635,015
5,684,931
5,715 354
5,716,'OO5

887,589
911,876
908^159
909 928
913,312

1,321,163
1,304,417
1 300288
1,309,708

776,932
785,909
800^319
789 072
7 79,?5 42

804,699
803,552
797,012
817,217
811,297

2,518,761
2,536,107
2,498,525
2,453,177
2,'440,'304

672,759
670,107
654,715
676 384
661,387

442,482
455,924
434,458
437,427
442,916

847,176
850,957
824,944
827,207
819,253

814,677
816,085
815,667
792,460
793,803

2,155,272
2,170,222
2,133,651
2 180,296
2,155,720

1,836,990
1,727,921
1,607,716
1,685,762
1,787,810

138,445
137,257
137 836
127,711
147,136

322,113
330,546
288,849
262,955
359,687

94,852
102,683
101,119
105,862
112,771

147,439
160,479
139,121
157,489
169,202

143,811
134,942
129,115
126,732
128,661

180,630
131,337
117,892
129,494
133,958

275,927
241,091
228,071
261,100
252,187

87,174
80,702
75,183
74,050
78,861

47,447
40,147
32,566
43,268
38,676

110,112
97,962
96,936
94,967
97,089

97,293
73,494
71,404
83,877
75,016

191,747
197,281
189,624
218,257
194,566

110
110
110
110
110

7

172,325
159,729
152,042
137,670
153,913

137
137
137
1
37
137

10
10
10
9
9

10
10
10
10
10

5
5
5

6,376
5,882
4,251
4,499
5,209

22,195
14,997
13,932
13,846
19,016

6,170
4,096
3,349
3,930
3,748

12,906
13,455
10,689
8,215
9,301

2,208,323
2,016,971
1,929,745
1,953,432
2,203,086

137,551
136,640
140,275
150,576
150,898

413,441
415,394
346,356
346,792
478,336

116,039
121,984
122,649
126,379
140,699

33,360
33,329
33,305
33,306
33,284

1,352
1,348
1,348
1,348
1,348

8,674
8,674
8,656
8,656
8,656

65,023
66,538
60,555
62,806
63,746

3,975
4,101
3,975
4,216
4,209

44,326,673
44,224,126
44,025,973
44,182,758
44,217,543

c

1
2

After deducting $73,000 participations of other Federal Reserve Banks.
After deducting $529,833,000 participations of other Federal Reserve Banks on Jan. 23; $553,365,000 on Jan. 30; $525,210,000 on Feb. 6; $473,057,000 on Feb. 13; and $513,608,000 on Feb. 20.

MARCH

1946




297

STATEMENT OF CONDITION OF THE FEDERAL RESERVE BANKS, BY WEEKS—Continued
lln thousands of dollars!
Total

Other liabilities
including accrued div.:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Total liabilities:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Capital Acc'ts:
Capital paid in:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Surplus
(section 7):
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Surplus
(section 13b):
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Other capital accounts:
Jan. 30
Jan. 23
•Feb. 6
Feb. 13
Feb. 2 0 . . . . .
Total
A VJLdl

1IQ1"\I1I ti AO
lldUlllLlcb

and
capital
accounts:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Commitments to
make
industrial loans:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

New
York

Boston

Philadelphia

Cleveland

Richmond

Atlanta

Chicago

St.
Louis

Minneapolis

Kansas
City

Dallas

San
Francisco

9,841
9,933
10,283
10,314
10,133

425
448
492
479
517

2,548
2,479
2,937
2,552
2,490

439
495
540
608
549

841
954
929
1,019
972

472
468
452
551
531

391
470
380
429
431

2,169
2,174
2,145
2,120
2,065

296
317
356
397
380

675
336
470
511
496

337
363
381
409
402

43,732,087
43,627,009
43,426,715
43,581,402
43,614,253

2,381,179
2,382,182
2,383,276
2,409,202
2,420,707

11,253,903
11,249,704
11,255,299
11,262,387
11,363,417

2,596,951
2,623,902
2,620,725
2,631,166
2,641,288

3,529,438
3,520,320
3,500,343
3,513,368
3,528,163

2,621,907
2,618,127
2,625,901
2,608,617
2,603,908

2,442,688
2,388,793
2,371,114
2,400,197
2,396,242

7,190,718
7,163,305
7,121,145
7,114,009
7,087,811

1,808,079
1,798,239
1,779,138
1,797,419
1,787,591

1,037,098
1,041,498
1,014,208
1,029,234
1,030,223

1,859,774
1,850,391
1,824,094
1,822,948
1,815,019

179,146
179,508
179,785
179,965
180,142

10,703
10,701
10,707
10,720
10,731

63,848
63,935
63,967
63,976
63,985

13,280
13,350
13,375
13,399
13,422

18,002
18,023
18 046
18,075
18,090

7,321
7,350
7,351
7,367
7,408

6,520
6,605
6,624
6,654
6,664

21,384
21,396
21,430
21,450
21,468

5,704
5,712
5,717
5,724
5,745

3,914
3,920
3,930
3,932
3,935

5,897
5,900
5,901
5,911
5,923

6,126
6,130
6,232
6,246
6,256

16,447
16,486
16,505
16,511
16,515

358,355
358,355
358,355
358,355
358,355

22,439
22,439
22,439
22,439
22,439

116,860
116,860
116,860
116,860
116,860

28,946
28,946
28,946
28,946
28,946

33,745
33,745
33,745
33,745
33,745

15,593
15,593
15,593
15,593
15,593

14,450
14,450
14,450
14,450
14,450

53,029
53,029
53,029
53,029
53,029

12,939
12,939
12,939
12,939
12,939

8,869
8,869
8,869
8,869
8,869

11,891
11,891
11,891
11,891
11,891

10,670
10,670
10,670
10,670
10,670

28,924
28,924
28,924
28,924
28,924

27,428
27,428
27,428
27,428
27,428

3,012
3,012
3,012
3,012
3,012

7,205
7,205
7,205
7,205
7,205

4,501
4,501
4,501
4,501
4,501

1,007
1,007
1,007
1,007
1,007

3,326
3,326
3,326
3,326
3,326

762
762
762
762
762

1,429
1,429
1,429
1,429
1,429

527
527
527
527
527

1,073
1,073
1,073
1,073
1,073

1,137
1,137
1,137
1,137
1,137

1,307
1,307
1,307
1,307
1,307

2,142
2,142
2,142
2,142
2,142

29,657
31,826
33,690
35,608
37,365

2,395
2,590
2,648
2,789
2,863

3,906
4,331
4,684
5,064
5,477

2,451
2,590
2,700
2,822
2,956

2,553
2,737
2,900
3,068
3,257

2,442
2,562
2,681
2,779
2,931

2,277
2,374
2,493
2,585
2,682

3,071
3,602
3,748
4,127
4,289

1,965
2,085
2,137
2,206
2,272

1,806
1,863
1,917
1,967
2,014

2,007
2,102
2,207
2,286
2,348

1,990
2,067
2,164
2,240
2,321

2,794
2,923
3,411
3,675
3,955

44,326,673
44,224,126
44,025,973
44,182,758
44,217,543

2,419,728
2,420,924
2,422,082
2,448,162
2,459,752

11,445,722
11,442,035
11,448,015
11,455,492
11,556,944

2,646,129
2,673,289
2,670,247
2,680,834
2,691,113

3,584,745
3,575,832
3,556,041
3,569,263
3,584,262

2,650,589
2,646,958
2,654,852
2,637,682
2,633,166

2,466,697
2,412,984
2,395,443
2,424,648
2,420,800

7,269,631
7,242,761
7,200,781
7,194,044
7,168,026

1,829,214
1,819,502
1,800,458
1,818,815
1,809,074

1,052,760
1,057,223
1,029,997
1,045,075
1,046,114

1,880,706
1,871,421
1,845,230
1,844,173
1,836,318

1,587
1,605
1,606
1,581
1,559

164
164
164
164
164

648
673
674
660
638

300
300
300
300
300

200
200
200
200
200

342
398
299
319
365

906
1,031
902
920
935

1,519,424 5,490,928
1,494,721 5,495,827
1,492,072 5,439,400
1,479,004 5,513,851
1,470,162 5,469,722

1,539,517 5,541,235
1,514,895 5,546,302
1,512,445 5,490,382
1,499,467 5,565,103
1,490,716 5,521,258

185
178
178
178
178

90
90
90
79
79

FEDERAL RESERVE NOTES—FEDERAL RESERVE AGENTS' ACCOUNTS, BY WEEKS
[In thousands of dollars!
Total
Federal Reserve notes
outstanding (issued
to bank):
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Collateral held against
notes outstanding:
Gold certificates:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 30
Eligible paper:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
.
U. S. Govt. securities:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Total collateral:
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

25,374,577
25,281,326
25,247,166
25,200,094
25,203,486
10,628,000
10,618,000
10,693,000
10,693,000
10,854,000
137,495
209,665
196,100
272,850
230,925

Boston

New
York

Philadelphia

Cleveland

Richmond

St.
Minne- Kansas
Louis apolis
City

Dallas

San
Francisco

942,845 646,721 3,354,298
935,655 648,118 3,329,884
936,294 645,411 3,316,963
937,238 644,218 3,304,706
936,563 643,888 3,317,074

635,000 600,000 680,000 1,660.000 300,000 175,000
635,000 600,000 680,000 1,660,000 300,000 165,000
635,000 600,000 655,000 1,760,000 300,000 165,000
635,000 600,000 655,000 1,760,000 300,000 165,000
635,000 600,000 655,000 1,720,000 300,000 165,000

280,000 169,000 1,649,000
280.000 169,000 1,649,000
280,000 169,000 1,649,000
280,000 169,000 1,649,000
280,000 169,000 1,850,000

460,000 3,520,000
460,000 3,520,000
460,000 3,520,000
460,000 3,520,000
460,000 3,520,000
6,405
10,500
18,050
19,850
19,255

91,275
120,630
101,185
181,135
145,310

500,000
500,000
500,000
500,000
500,000
1,250
4,220
6,150
11,090
16,865

500
2,500
4,000
3,600
5,800

100,000 2,000,000 1,200,000 1,550,000 1,225,000
1,100,000 2,000,000 1,200,000 1,550,000 1,225,000
1,100,000 2,000,000 1,200,000 1,550,000 1,225,000
1,100,000 2,000,000 1,200,000 1,550,000 1,225,000
1,100,000 2,000,000 1,200,000 1,550,000 1,225,000

26,072,126
26,152,696
26,106,586
26,167,11
26,298,804

1,566,405 5,611,275
1,570,500 5,640,630
1,578,050 5,621
1,185
1 579.850 5
>,701,135
1 ,579,255 5,665,310




Chicago

1,523,095 5,525,134 1,683,137 2,155,365 ,782,293 1,546,008 4,544,368 1,106,860 564,453
,144,267 779,334 1,538,944 4,523,675 1,106,305 562,152
1,520,565 5,510,007 1,682,420 2.
,137,814 ,778,247 1,537,889 4,517,747 1,106,887 559,594
1,517,936 5,513,544 1,678,840 2.
:
,
1,513,632 5,511,804 1,680,600 2. 135,493 ,777 907 1,518,552 4,508,293 1,106,734 560,917
1,509,848 5,509,468 1,692,055 2,133,101 ,777,419 1,516,244 4,502,447 1,104,486 560,893

15,306,631
15,325,031
15,217,486
15,201,267
15,213,879

298

Atlanta

1,701,250 2, 185,000
1 ,704,220 2, 185,000
1,706,150 2, 185,000
1,711,090 2, 185,000
,716,865 2, 185,000

1,825,500
1,827,500
1,829,000
1,828,600
1,830,800

7,540
15,290
16,040
3,000
10,000
900,000 2,900,000
900,000 2,900,000
900,000 2,800,000
900,000 2,800,000
900,000 2,800,000
1,580,000
1,580,000
1,555,000
1,555,000
1,555,000

4,560,000
4,560,000
4,560,000
4,560,000
4,520,000

12,100
20,100
15,800
14,800
17,500

931,631 400,000
950,031 400,000
942,486 400,000
926,267 400,000
938,879 400,000

18,425
36,425
24,875
27,375
15,175

10,000
12,000
1,020

700,000 500,000 1,900,000
700,000 500,000 1,900,000
700,000 500,000 1,900,000
700,000 500,000 1,900,000
700,000 500,000 1,900,000

,239,171 587,100 998,425 669,000 3,549,000
,265,321 585,100 016,425 669,000 3,549,000
258,526 580,800 1,004,875 669,000 3,559,000
,229,267 579,800 1,,007,375 669,000 3,561,000
248,879 582,500 995,175 669,000 3,751,020
FEDERAL RESERVE BULLETIN

MEMBER BANK RESERVES AND BORROWINGS
[Averages of daily figures. In millions of dollars]

WAR PRODUCTION LOANS GUARANTEED BY WAR DEPARTMENT, NAVY DEPARTMENT, AND MARITIME
COMMISSION THROUGH FEDERAL RESERVE
BANKS UNDER REGULATION V
[Amounts in thousands of dollarsl
Guaranteed
loans
outstanding

Guaranteed loans
authorized
to date
Date

Portion
guaranteed

Total
amount

Number

Additional
amount
available to
borrowers
under guarantee agreements
outstanding

1942
June 30. . .
Sept. 30.. .
Dec. 31. . .

565
1,658
2,665

310,680
944.204
2,688,397

1943
Mar. 31. . .
June 30. . .
Sept. 30. . .
Dec. 31. . .

3,534
4,217
4,787
5,347

3,725,241
4,718,818
5,452,498
6,563,048

1,245,711 999,394
1,428,253 1,153,756
1,708,022 1,413,159
1,914,040 1 ,601,518

1,865,618
2,216,053
2,494,855
3,146,286

1944
Mar. 31
June 30
Sept. 30
Dec. 30

5,904
6,433
6,882
7,434

7,466,762
8,046,672
8,685,753
9,310,582

2,009,511
2,064,318
1,960,785
1,735,970

3,615,963
3,810,797
4,301,322
4,453,586

1945
Mar. 31
June 30
Sept. 30
Dec. 31

7,886 9,645,378 1,599,120 1,365,959 3,963,961
8,422 10,149,315 1,386,851 1,190,944 3,694,618
8,695 10,313,868 1,073,892 916,851 3,043,674
'966,595
8,757 10,339,400 510,270 •435,345

1946
Jan. 31

8,761 10,340,275

137,888
69,674
356,677
230,720
632,474 1,430,121

81,108
427,918
803,720

1,680,046
1,735,777
1,663,489
1,482,038

427,278

363,048

764,093

r

Revised.
NOTE.—The difference between guaranteed loans authorized and sum
of loans outstanding and amounts available to borrowers under guarantee agreements outstanding represents amounts repaid, guarantees
available but not completed, and authorizations expired or withdrawn.

INDUSTRIAL LOANS BY FEDERAL RESERVE BANKS
[Amounts in thousands of dollars]

Number

Approved
Loans Commit- Particiments pations
but not
outoutcom- 1 standing2 outding
standin standing
pleted (amount)
(amount) (amount)
Amount (amount)

1934
1935
1936
1937
1938
1939
1940
1941

984
1,993
2,280
2,406
2,653
2,781
2.908
3,202

49,634
124,493
139,829
150,987
175,013
188,222
212,510
279,860

20,966
11,548
8.226
3,369
1,946
2,659
13,954
8.294

13,589
32,493
25,526
20,216
17,345
13,683
9,152
10,337

8,225
27,649
20,959
12,780
14,161
9.220
5,226
14,597

1,296
8,778
7,208
7,238
12,722
10,981
6,386
19,600

1942
June 24.
Dec. 3 1 .

3,352
3,423

338,822
408.737

26,346
4,248

11,265
14,126

16,832
10,661

1943
June 30.
Dec. 31.

3,452
3,471

475,468
491,342

3,203
926

13,044
10,532

12,132
9,270

19,070
17,930

1944
June 30.
Dec. 30.

3,483
3,489

510,857
525,532

45
1,295

11,366
3,894

4,048
4,165

3,493
3,502
3,505
3,511

528,936
537,331
540,241
544,961

85
70
130
320

4,214
3,252
3,166
1,995

3,321
5,224
4,291
1,644

3,512

545,372

195

1,579

1,843

MARCH

1946




Chicago

876
864
939
921

5,654
5,625
6,394
6,357

3,882
3,848
4,576
4,590

1945—Dec. 28
1946—Jan. 4
Jan. 11
Jan. 18
Jan. 25
Feb. 1
Feb. 8
Feb. 15
Excess reserves:
1944—Dec
1945—Jan
Dec
1946—Jan

15,828
15,914
15,954
16,110
15,908
15,782
15,767
15,696

4,065
4,037
4,054
4,078
4,071
4,074
4,065
4,027

919
919
923
933
922
911
905
901

6,307
6,349
6,368
6,443
6,342
6,295
6,264
6,250

4,537
4,608
4,610
4,655
4,573
4,502
4,533
4,518

.284
,114
,491
,311

28
11
48
7

2
3
14

359
297
418
337

895
804
-•1,011
958

1945—Dec. 28
1946—Jan. 4
Jan. 11
Jan. 18
Jan. 25
Feb. 1
Feb. 8
Feb. 15
Borrowings at Federal
Reserve Banks:
1944—Dec
1945—Jan
Dec
1946—Jan

,356
,466
,398
,433
,224
Pl,193
*>1,196
PI,182

26
25
18
22
14
17
18
12

346
407
369
385
287
271
276
278

••975
1,020
1,000
1,017
917
P899
P896

265
118
334
185

186
39
192
94

43
51
96
66

36
28
46
25

482
291
234
231
219
273
317
378

307
191
102
103
76
89
111
140

74
43
57
53
67
114
123
144

101
57
75
75
75
69
82
92

1945—Dec. 28
Jan. 4
Jan. 11
Jan. 18
Jan. 25
Feb. 1
Feb. 8
Feb. 15

p Preliminary
' Revised.
i Weekly figures of excess reserves of all member banks and of
country banks are estimates. Weekly figures of borrowings of all member banks and of country banks may include small amounts of Federal
Reserve Bank discounts and advances for nonmember banks, etc.

DEPOSITS OF COUNTRY MEMBER BANKS IN LARGE AND
SMALL CENTERS *
[Averages of daily figures. In millions of dollars]
In places of 15,000
and over population

In places of under
15,000 population

Demand
deposits
except
interbank2

Time
deposits

Demand
deposits
except
interbank2

Time
deposits

14,961
'17,187
17,523

5,926
7,275
7,415

9,485
'11,835
12,103

4,110
5,106
5.200

Boston
New York
Philadelphia. . . .
Cleveland

2,257
3.428
1,264
1,554

804
1,866
651
831

371
1,159
970
1,098

210
1,021
762
714

Richmond
Atlanta
Chicago
St. Louis

1,214
1,696
2,164
634

349
436
1,198
294

892
716
1,606
1,010

397
178
810
236

Minneapolis
Kansas City
Dallas
San Francisco. . .

583
532
936
1,260

252
100
110
525

702
1,514
1,438
628

369
179
56
269

January 1945
December 1945
January 1946

1

Includes applications approved conditionally by the Federal Reserve Banks and under consideration by applicant.
2
Includes industrial loans past due 3 months or more, which are not
included in industrial loans outstanding in weekly statement of condition of Federal Reserve Banks.
NOTE.—The difference between amount of applications approved and
the sum of the following four columns represents repayments of advances, and applications for loans and commitments withdrawn or
expired.

New
York

Reserve Country
city
banks banks*

3,756
3,711
4,118
4,054

1,046

Applications
approved
to date

Central reserve
city banks

14,168
14,048
16,027
15,921

2,365
2,501
2,018
1,086

1946
Jan.31. .

Total reserves held:
1944—Dec
1945—Jan
Dec
1946—Jan

11,063
2,706

1945
Mar. 31.
June 30.
Sept. 30.
Dec. 31.

Month, or
week ending Friday

26,430.
17,305

Date (last
Wednesday
or last day
of period)

All
member 1
banks

r
1

Revised.
Includes any banks in outlying sections of reserve cities which have
been given permission to carry the same reserves as country banks.
All reserve cities have a population of more than 15,000.
2
Includes war loan deposits, shown separately for all country banks
in the table on the following page.

299

DEPOSITS, RESERVES, AND BORROWINGS OF MEMBER BANKS
[Averages of daily figures.1

In millions of dollars]

Gross demand deposits
Class of bank
and
Federal Reserve district

Total

Interbank

U. S.
Government
war loan
deposits*

Other

Demand
deposits
ad-

Net
demand
deposits*

Time
deposits5

Demand
balances
- due
from
domestic
banks

Reserves with Federal
Reserve Banks

Total

Required

Excess

Borrowings
at
Federal
Re- t
serve
Banks

First half of January 1946
All m e m b e r banks

104,781

13 ,888

21,793

69,100

64,453

71,538

24 ,391

7,058

1 5 , 965

14 ,547

1,418

184

Central reserve city banks
New York
Chicago...

28,205
6,321

4 ,657
1 ,321

6,905
1,538

16,644
3,461

15,169
3,198

19,795
4,338

1 ,272
722

67
187

4 , 036
926

4 ,035
911

1
15

108

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

39,321
2,455
647
2,882
4,528
2,487
2,502
4,669
2,330
1,278
3,204
2,683
9,656

6 ,605
312
33
382
601
420
714
553
696
360
1 ,066
674
794

8,079
653
137
670
1,053
512
483
1,023
476
325
518
502
1,727

24,639
1,490
477
1,829
2,874
1,555
1,305
3,093
1,159
594
1,620
1,507
7,136

22,438
1,385
449
1,693
2,662
1,425
1,154
2,880
1,018
516
1,416
1,376
6,464

27,006
1,653
456
1,999
3,087
1,717
1,704
3,103
1,607
800
2,166
1,753
6,961

9 ,826
173
279
193
1 ,156
415
367
1 ,780
290
151
319
283
4 ,420

2,127
46
26
77
181
139
170
337
112
77
323
304
335

6 , 381
346
113
423
727
410
404
783
349
173
494
428
1, 731

5 ,989
341
108
411
687
368
363
727
338
169
> 452
368
1 ,657

391
5
5
12
41
41
41
56
10
4
42
61
73

54
5
1
5

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

30,933
2,729
4,664
2.259
2,680
2,288
2,665
3,857
1,801
1,384
2,149
2,539
1,918

1 ,304
93
92
14
29
182
271
85
156
92
98
160
31

5,271
629
1,152
446
533
376
386
665
215
210
190
230
239

24,358
2,007
3,420
1,799
2,118
1,729
2,008
3,107
1,430
1,082
1,861
2,149
1,648

23,650
1,918
3,287
1,752
2,066
1,658
1,939
3,047
1,390
1,052
1,835
2,103
1,603

20,399
1,801
3,039
1,517
1,745
1,459
1,722
2,522
1,243
902
1,444
1,667
1,339

12 ,572
1 ,009
2 ,878
1 ,405
1 ,538
741
612
2 ,001
528
620
278
167
794

4,676
220
355
254
357
396
503
621
310
246
500
612
303

4 , 622
370
731
379
456
321
360
620
259
216
291
335
285

3 ,610
313
598
297
337
249
278
473
206
164
219
243
235

1,012
58
133
82
120
72
82
147
54
52
72
91
50

23
3
14
1

4
8
4
5
14

2
1
1

Second half of January 1946
All m e m b e r banks

104,397

13,409

21,522

69,466

65,201

72,186

24,542

6,679

15,880

14,670

1,210

187

Central reserve city banks
New York
Chicago

28,010
6,286

4,553
1,275

6,769
1,508

16,689
3,502

15,383
3,254

19,902
4,353

1,281
728

70
181

4,071
916

4,057
914

13
2

80
1

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

39,254
2,462
642
2,870
4,539
2,494
2,476
4,676
2,322
1,251
3,167
2,680
9,675

6,356
300
29
375
590
412
678
535
675
347
1,016
654
747

8,013
650
136
670
1,043
507
473
1,020
468
321
511
497
1,716

24,884
1,512
478
1,825
2,906
1,575
1,325
3,121
1,179
583
1,639
1,529
7,213

22,837
1,418
452
1,703
2,704
1,452
1,175
2,918
1,043
517
1,452
1,400
6, 6jO4

27,272
1,673
459
1,998
3,122
1,738
1,698
3,146
1,619
795
2,179
1,767
7,077

9,877
175
281
194
1,161
418
370
1,793
291
152
320
290
4,432

2,014
46
22
80
177
138
161
314
103
71
297
294
311

6,335
353
112
423
735
403
388
778
348
171
484
413
1,727

6,047
345
109
411
694
373
362
737
341
168
455
371
1,681

288
7
3
12
41
30
26
42
6
3
29
42
46

78
1
1
3
14
"9"
13
8
11
17
1

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

30,847
2,707
4,687'
2,237
2,684
2,263
2,688
3,847
1,789
1,362
2,135
2,529
1,919

1,225
87
87
14
31
156
258
80
146
84
94
159
30

5,232
628
1,138
442
529
373
382
663
215
207
191
228
237

24,391
1,993
3,462
1,782
2,125
1,734
2,048
3,104
1,429
1,071
1,851
2,141
1,652

23,727
1,911
3,334
1,739
2,077
1,665
1,983
3,050
1,395
1,043
1,827
2,094
1,610

20,659
1,801
3,101
1,515
1,762
1,477
1,784
2,545
1,251
909
• 1,462
1,685
1,367

12,655
1,017
2,896
1,419
1,551
749
616
2,013
532
622
280
164
795

4,414
206
335
243
351
359
471
597
297
223
468
583
281

4,559
352
723
372
451
311
359
611
254
216
286
339
286

3,652
313
608
297
340
252
287
477
207
165
222
246
239

908
39
115
75
111
60
72
134
47
51
65
93
47

28
6
15
2

1
Averages of daily closing figures for reserves and borrowings and of daily opening figures for other columns, inasmuch as reserves required are
based on deposits at opening of business.
2
Figures include Series E bond deposit accounts, but do not include certain other demand deposits of the U. S. Government with member banks
and, therefore, differ from figures for U. S. Government deposits shown in other published banking data. See also footnote 3.
1
Preceding column minus (a) so-called "float" (total cash items in process of collection) and (b) U. S. Government demand deposits (other
than war loan and Series E bond accounts) on the latest available call report date.
4
Demand deposits subject to reserve requirements, i. e., demand deposits other than war loan deposits, minus cash items in process of collection
and demand balances due from domestic banks.
5
Includes some interbank and U. S. Government time deposits; the amounts on call report dates are shown in the Member Bank Call Report,

300



FEDERAL RESERVE BULLETIN

UNITED STATES MONEY IN CIRCULATION, BY DENOMINATIONS
[Outside Treasury and Federal Reserve Banks. In millions of dollars]
End of year and
month

Total
in circulation1

Coin and small denomination currency2

Large denomination currency2
Unassorted

Total

Coin

3$1

$2

$5

1933.
1934.
1935.
1936.
1937,
1938.
1939.
1940.
1941.
1942.

5,519 4,167
5,536 4,292
5,882 4,518
6,543 5,021
6,550 5,015
6,856 5,147
7,598 5,553
8,732 6,247
11,160 8,120
15,410 11,576

442
452
478
517
537
550
590
648
751
880

402
423
460
499
505
524
559
610
695
801

33
32
33
35
33
34
36
39
44
55

1944- -February.. . .
March
April
May
June
July
August
September...
October
November...
December. . .
1945—January
February....
March
April
May
June
July
August
September...
October
November.. .
December. . .

20,824
21,115
21,552
22,160
22,504
22,699
23,292
23,794
24,425
25,019
25,307
25,290
25,751
25,899
26,189
26,528
26,746
27,108
27,685
27,826
28,049
28,211
28,515

15,004
15,100
15,342
15,731
15,925
16,034
16,410
16,715
17,089
17,461
17,580
17,456
17,778
18,000
18,353
18,715
19,183
19,599
20,141
20,235
20,381
20,500
20,683

1,018
1,029
1,039
1,055
1,065
1,077
1,092
1,105
1,125
1,144
1,156
1,150
1,158
1,170
1,180
1,196
1,205
1,223
1,236
1,243
1,252
1,263
1,274

877
881
885
903
906
910
921
937
948
962
987
950
953
954
957
972
981
995
1,003
1,001
1,000
1,009
1,039

27,917 20,126

1,261

985

$1,000 $5,000 $10,000

$100

$500

1,342
1,326
1,359
1,501
1,475
1,481
1,576
1,800
2,545
4,096

1,360
364
618
1,254
337
577
1,369
358
627
1,530
399
707
1,542
387
710
1,714
409
770
2,048
460
919
2,489
538 1,112
3,044
724 1,433
3,837 1,019 1,910

125
112
122
135
139
160
191
227
261
287

237
216
239
265
288
327
425
523
556
586

8
5
7
7
6
17
20
30
24
9

10
7
16
18
12
32
32
60
46
25

8
10
5
8
7
5
2
4
4
3

5,832
5,905
6,040
6,198
6,326
6,388
6,562
6,731
6,960
7,157
7,224
7,, 242
7,381
7,539
7,754
7,911
8,193
8,400
8,700
8,816
9,004
9,095
9,201

5,823
6,017
6,212
6,431
6,581
6,667
6,884
7,081
7,339
7,561
7,730
7,837
7,974
7,900
7,837
7,814
7,565
7,511
7,546
7,592
7,671
7,713
7,834

3,054
3,152
3,270
3,371
3,458
3,516
3,642
3,765
3,918
4,056
4,153
4,228
4,317
4,266
4,210
4,192
4,044
4,013
4,038
4,071
4,123
4,154
4,220

426
444
456
473
481
487
502
516
532
546
555
566
571
550
527
513
483
472
466
464
461
457
454

777
814
836
887
912
911
929
939
963
981
990
990
994
965
932
909
868
847
832
825
816
811
801

9
9
9
9
9
9
9
9
10
10
10
10
10
9
9
8
8
8
8
8
7
7
7

22
22
23
23
22
22
22
22
23
23
24
21
24
23
33
33
31
32
22
21
21
20
24

3
1
1
2
2
2
2
2
2
3
3
3
1
1
1
1
2
2
2
2
2
2
2

2,217 6,568 9,027 7,794 2,316 4,224

445

779

7

22

$10

$20

719
771
815
906
905
946
1,010
1,129
1,355
1,693

1,229
1,288
1,373
1,563
1,56$
1,611
1,772
2,021
2,731
4,051

70
70
70
72
72
73
75
75
76
78
81
77
75
73
73
73
73
73
73
72
71
71
73

1,952
1,951
1,964
2,003
2,010
2,016
2,053
2,078
2,103
2,129
2,150
2,102
2,135
2,132
2,151
2,186
2,215
2,250
2,301
2,288
2,274
2,279
2,313

5,255
5,265
5,344
5,498
5,544
5,569
5,706
5,789
5,877
5,990
5,983
5,936
6,076
6,132
6,238
6,377
6,515
6,659
6,826
6,815
6,779
6,783
6,782

69

Total

$50

1,534
1,576
1,618
1,668
1,699
1,722
1,780
1,829
1,893
1,946
1,996
2,022
2,059
2,088
2,126
2,159
2,132
2,139
2,180
2,204
2,243
2,264
2,327

1
2

Total of amounts of coin and paper currency shown by denominations less unassorted currency in Treasury and Federal Reserve Banks.
Includes unassorted currency held in Treasury and Federal Reserve Banks and currency of unknown denominations reported by the Treasury
3
as destroyed.
Paper currency only; $1 silver coins reported under coin.
Back figures.—See Banking and Monetary Statistics, Table 112, pp. 415-416.
UNITED STATES MONEY, OUTSTANDING AND IN CIRCULATION, BY KINDS
[On basis of circulation statement of United States money. In millions of dollars]
Money held in the Treasury
Total outstanding, As security
against
Jan. 31,
Treasury
gold and
1946
cash
silver
certificates
Gold
Gold certificates
Federal Reserves notes.. .
Treasury currency—total.
Standard silver dollars
Silver bullion
Silver certificates and Treasury notes of 1890.
Subsidiary silver coin
Minor coin
United States notes
Federal Reserve Bank notes
National bank notes
Total—January 31, 1946...
December 31, 1945.
January 31, 1945...

20,156
18,034
25,273
4,406

18,034

22,122

32,108

123
49

494
1,772
,108
862
318
347
496
118

For
Federal
Reserve
Banks
and
agents

336
1,772

15,168

2,815
1,283
359

51
23,867
3,999

51
24,388
4,075

53
21,533
3,704

136

2,293
2,287
2,371

15;168
15,047
15,558

136

117

1,828
819
306
307
487
117

13
7
5
3
1
20,142
19,967
20,217

Money in circulation1
Money
held by
Federal
Reserve
Jan. 31,
Banks and Jan. 31, Dec, 31,
1945
1945
1946
agents

1,873
832
307
316
494
117

1,562
751
282
316
554
123

27,917
28,515
25,290

1

Outside Treasury and Federal Reserve Banks. Includes any paper currency held outside the continental limits of the United States; totals
for other end-of-month dates shown in table above, totals by weeks in table on p. 293, and seasonally adjusted figures in table on p. 302.
2
Includes $1,800,000,000 Exchange Stabilization Fund and $156,039,431 held as reserve against United States notes and Treasury notes of
1890; the balance resulting from reduction in weight of the gold dollar, also included, is not shown in the circulation statement beginning July 31.
3
To avoid duplication, amount of silver dollars and bullion held as security against silver certificates and Treasury notes of 1890 outstanding
is not included in total Treasury currency outstanding.
4
Because some of the types of money shown are held as collateral or reserves against other types, a grand total of all types has no special
significance and is not shown. See note for explanation of these duplications.
NOTE.—There are maintained in the Treasury—(i) as a reserve for United States notes and Treasury notes of 1890—$156,039,431 in gold
bullion; (ii) as security for Treasury notes of 1890—an equal dollar amount in standard silver dollars (these notes are being canceled and retired on
receipt); (iii) as security for outstanding silver certificates—silver in bullion and standard silver dollars of a monetary value equal to the face
amount of such silver certificates; and (iv) as security for gold certificates—gold buHion of a value at the legal standard equal to the face amount
of such gold certificates. Federal Reserve notes are obligations of the United States and a first lien on all the assets of the issuing Federal
Reserve Bank. Federal Reserve notes are secured by the deposit with Federal Reserve agents of a like amount of gold certificates or of gold
certificates and such discounted or purchased paper as is eligible under the terms of the Federal Reserve Act, or of direct obligations of the United
States. Federal Reserve Banks must maintain a reserve in gold certificates of at least 25 per cent, including the redemption fund which must be
deposited with the Treasurer of the United States, against Federal Reserve notes in actual circulation; gold certificates pledged as collateral may
be counted as reserves. "Gold certificates" as herein used includes credits with the Treasurer of the United States payable in gold certificates.
Federal Reserve Bank notes and national bank notes are in process of retirement.

MARCH

1946




301

ANALYSIS OF CHANGES IN GOLD STOCK OF
UNITED STATES
[In millions of dollars]

MONEY IN CIRCULATION WITH ADJUSTMENT FOR
SEASONAL VARIATION
[Outside Treasury and Federal Reserve Banks. In millions of dollars]
Amount—
unadjusted
for seasonal
variation

Date
End of year figures:
1939
1940
1941
.,
1942
1943
1944
1945

7
8
11
15
20
25
28

Amount—
adjusted for
seasonal
variation

Change in
seasonally
adjusted
series1

598
732
160
410
449
307
515

+742
+ 1,134
+2,428
+ 4 250
+5,039
+ 4 858
+3,208

Monthly averages of daily
figures:
1944—September
October
November
December

23,525
24,112
24,738
25,207

23,572
24,112
24,664
24,957

+468
+540
+552
+293 •

1945—January
February
March
April
May
June
July
August
September
October
November
December
1946—January
February

25,243
25.527
25,850
26 009
26,351
26,561
26,918
27,392
27,765
27,943
28,151
28,452
28,158
27,944

25,167
25,527
25,928
26,219
26,537
26,694
26,972
27,530
27,821
27,943
28,067
28,170
28,074
27,944

+210
+360
+401
+291
+318
+157
+278
+558
+291
+ 122
+ 124
+ 103
-96
-130

Gold
stock
at end
of
period

Period

19342
1935
1936
1937
1938
1939
1940
1941
1942.
1943
1944
1945

Increase
in gold
stock

8 238
4 202 5
1,887 2
10,125
11 258
1 132 5
312,760
1 502 5
14 512
1 751 5
17,644
3 132 0
21 995
4 351 2
22,737
741 8
22,726
-10.3
21,938
— 788 5
20 619 — 1 319 0
—553 9
20,065
3

1945—February.. .
March
April
May
June
July
August
September..
October
November..
December. .
1946—January.. . .
February...
Jan.-Feb

20,506
20,419
20,374
20,270
20,213
20,152
20,088
20,073
20,036
20,030
20,065
20,156

P2O,232
P20,232

Earmarked
gold: decrease
or increase (—)

Net
gold
import

1
1
1
1
1
3
4

133 0
739 0
116 (S
585 s
973
574 ?
744 s
982 4
315 7

68 9
—845 A
— 106 3

-43.8
-87.3
-45.1
-103.3
—57 3
-60.6
-64.6
-15.0
-36.9
-6.2
35.2
91.0
P76.2
P167.2

1.9

-19.1
2
-18
—83
_7
-12
13
-4

4

s

0
3
5
3
8
19 3
P154 1
(4 )

e

82 6
2

—85 9
— 200 4
—333 5
—534 4
—644 7
—407 7
-458.4
—803 6
—459 8
—356 7
-37.4
-46.9
-53.2
-66.9
96 0
-100.3
-63.0
-19.0
34.6
-38.2
-4.3
5c
—12 5
s-5.8
6
-18.3

Domestic
gold
production1
92 9
110 7
131 6
143 9
148 6
161 7
170 2
169 1
125.4
48 3
35 8
34 8
2.3
2.4
2.3

2 6
25
2.1
3.4
2.9
3.8
4.0
3.8

/3.8
/3.8
P7.7

e
P Preliminary.
/ Figure carried forward.
Corrected.
Annual figures through 1944 are estimates of the United States
Mint. Annual figure for 1945 and monthly figures are those published
1
in table on p. 342, adjusted to exclude Philippine Islands production
For end of year figures, represents change computed on absolute
received in United States.
amounts in first column.
2
NOTE.—For discussion of seasonal adjustment factors and for back
Figures based on rate of $20.67 a fine ounce in January 1934 and
figures on comparable basis see September 1943 BULLETIN, pp. 822-826.
$35 a fine ounce thereafter.
3
Because of an apparent recent change in the seasonal pattern around
Includes gold in the Inactive Account amounting to 27 million
the year end, adjustment factors have been revised somewhat for dates
dollars on Dec. 31, 1936, and 1,228 million on Dec. 31, 1937.
affected, beginning with December 1942; seasonally adjusted figures
* Not yet available.
6
for money in circulation, as shown in Banking and Monetary Statistics,
Gold held under earmark at the Federal Reserve Banks amounted
Table 111, p. 414, and described on p. 405, are based on an older series
to 4,312.1 million dollars on Feb. 28, 1946. (Corrected figure for
of adjustment factors.
Jan. 31 is 4,306.4 million.) All of this was earmarked directly for foreign account except 102.8 million dollars which was earmarked in the
name of a domestic bank as security for a foreign loan.
NOTE.—For back figures, see Banking and Monetary Statistics, Table
156, pp. 536-538, and for description of statistics see pp. 522-523 in
the same publication.
BANK DEBITS AND DEPOSIT TURNOVER
[Debits in millions of dollars]

Debits to total deposit accounts except
interbank accounts

1

Annual rate of
turnover of total
deposits except
interbank

Year and month
Total, all
reporting
centers

New
York
City 1

140
other
centers1

Other
reporting
centers2

1937
1938
1939
1940
1941
1942—old series3
1942—new series3
1943
1944
1945

469,463
405,929
423,932
445,863
537,343
607,071
641,778
792,937
891,910
'•974,102

197,836
168,778
171,382
171,582
197,724
210,961
226,865
296,368
345,585
»-404,543

235,206
204,745
218,298
236,952
293,925
342,430
347,837
419,413
462,354
479,760

36,421
32,406
34,252
37,329
45,694
53,679
67,074
77,155
83,970
'89,799

1945—January
February
March
April
May

82,756
70,249
81,077
74,139
81,724
98,024
79,163
73,208
71,169
81,616
79,401
'•101,577
89,132

34,990
29,065
31,884
29,413
33,678
41,725
33,590
29,388
28,545
34,984
32,246
45,035
38,819

40,305
34,724
41,722
37,846
40,643
47,716
38,286
36,767
35,718
39,006
39,255
47,774
41,977

7,461
6,461
7,471
6,881
7,403
8,583
7,287
7,054
6,906
7,626
7,900
''8,766
8,337

June

July
August
September
October
November
December
1946—January

New
York
City

333 other
reporting
centers

Debits to demand
deposit accounts
except interbank
and Government

Annual rate of
turnover of demand
deposits except interbank and Government

New
York
City

100 other
leading
cities

New
York
City

100 other
leading
cities

215,090
186,140
200,636
217,744
270,439
308,913
369,396
403,400
412,800

29.5
25.1
21.0
17.1
17.3
18.0
20.5
22.4
24.2

22.4
19.9
19.4
18.6
19.4
18.4
17.4
17.3
16.1

34,801
30,024
36,008
32,430
34,418
41,870
32,662
30,796
30,631
33,474
34,616
41,070
35,546

27.0
24.3
22.9
20.8
21.4
28.9
25.6
19.7
22.9
22.4
23.5
31.8
28.3

16.9
16.0
16.1
15.5
15.3
18.9
16.1
13.7
14.9
14.4
16.5
19.5
16.2

. •••-•••
16.5
17.1
18.3

u.i
11.7
10.8
9.7

193,143
164,945
167,939
167,373
193,729
200,337
258,398
298,902
351,602

18.6
17.7
17.0
17.2
18.8
22.0
17.5
14.4
16.5
18.1
18.1
23.1
18.5

9.9
9.7
10.0
9.9
10.1
11.3
9.2
8.2
9.1
8.8
9.9
10.9
9.1

30,826
• 25,416
28,924
25,115
28,384
36,951
29,190
24,803
26,534
29,990
28,423
37,046
34,165

r
1
2
3

Revised.
National series for which bank debit figures are available beginning with 1919.
Annual figures for 1936-1942 (old series) include 133 centers; annual figures for 1942 (new series) and subsequent figures include 193 centers.
See p. 717 of August 1943 BULLETIN for description of revision beginning with May 1942; deposits and debits of new series for first four
months of 1942 partly estimated.
NOTE.—Debits to total deposit accounts, except interbank accounts, have been reported since 1942 for 334 reporting centers; the deposits from
which rates of turnover have been computed have likewise been reported by most banks and have been estimated for others. Debits to demand
deposit accounts, except interbank and U. S. Government, and the deposits from which rates of turnover have been computed have been reported
by member banks in 101 leading cities since 1935; yearly turnover rates in this series differ slightly from those shown in Banking and Monetary
Statistics, Table 55, p. 254, due to differences in method of computation.

302



FEDERAL RESERVE BULLETIN

DEPOSITS AND CURRENCY—ADJUSTED DEPOSITS OF ALL BANKS AND CURRENCY OUTSIDE BANKS
[Figures partly estimated. In millions of dollars]
Total
deposits
adjusted
and
currency
outside
banks

Total
demand
deposits
adjusted
and
currency
outside
banks

Total
deposits
. adjusted

Demand
deposits
adjusted1

1929—June
December

55,171
54,713

26,179
26,366

51,532
51,156

1933—June
December

41,680
42,548

19,172
19,817

36,919
37,766

22,540
22,809
14,411
15,035

1937—June
December
1938—June
December
1939—June
December
1940—June
December

57,258
56,639
56,565
58,955
60,943
64,099
66,952
70,761

30,687
29,597
29,730
31,761
33,360
36,194
38,661
42,270

51,769
51,001
51,148
53,180
54,938
57,698
60,253
63,436

1941—June
December
1942—June
December
1943—June
December
1944—June
December

74,153
78,231
81,963
99,701
110,161
122,812
136,172
150,988

45,521
48,607
52,806
62,868
71,853
79,640
80,946
90,435

151,200
150,800
150,600
150,900
152,600
June
162,785
July*
163,500
August P
163,400
September*.... 162,800
OctoberP
163,800
November*.. .. 168,100
December* . . . . 175,000
1946—January?
176.400

92,300
93,800
95,100
98,100
100,800
94,150
97,600
100,000
101,600
104,500
107,000
101,900
102,700

End of month

1945—January
February
March
April
May

Time deposits
United
States
Government
deposits2

Currency
outside
banks

Total

Commercial
banks 3 *

Mutual
savings
banks 4

Postal
Savings
System 5

381
158

28,611
28,189

19,557
19,192

8,905
8,838

149
159

3,639
3,557

852
1,016

21,656
21,715

10,849
11,019

9,621
9,488

1,186
1,208

4,761
4,782

25,198
23,959
24,313
25,986
27,355
29,793
31,962
34,945

666
824
599
889
792
846
828
753

25,905
26,218
26,236
26,305
26,791
27,059
27,463
27,738

14,513
14,779
14,776
14,776
15,097
15,258
15,540
15,777

10,125
10,170
10,209
10,278
10,433
10,523
10,631
10,658

1,267
1,269
1,251
1,251
1,261
1,278
1,292
1,303

5,489
5,638
5.417
5,775
6,005
6,401
6,699
7,325

65,949
68,616
71,027
85,755
94,347
103,975
115,291
127,483

37,317
38,992
41,870
48,922
56,039
60,803
60,065
66,930

753
1,895
1,837
8,402
8,048
10,424
19,506
20,763

27,879
27,729
27,320
28,431
30,260
32,748
35,720
39,790

15,928
15,884
15,610
16,352
17,543
19,224
21,217
24,074

10,648
10,532
10,395
10,664
11,141
11,738
12,471
13,376

1,303
1,313
1,315
1,415
1,576
1,786
2,032
2,340

8,204
9,615
10,936
13,946
15,814
18,837
20,881
23,505

127,500
126,700
126,400
126,400
127,800
137,688
138,000
137,400
136,600
137,400
141,600
148,200
150,200

68,600
69,700
70,900
73,600
76,000
69,053
72,100
74,000
75,400
78,100
80,500
75,100
76,500

18,300
15,600
13,400
9,800
8,200
24,381
20,800
17,300
14,300
11,700
13,100
24,600
24,600

40,600
41,400
42,100
43,000
43,600
44,254
45,100
46,100
46,900
47,600
48,000
48,500
49,100

24,600
25,200
25,700
26,300
26,700
27,171
27,800
28,500
29,100
29,600
29,800
30,200
30,600

13,600
13,700
13,900
14,100
14,300
14,426
14,600
14,800
15,000
15,100
15,300
15,400
15.500

2,400
2,500
2,500
2,600
2,600
2,657
2,700
2,800
2,800
2,900
2,900
2,900
3,000

23,700
24,100
24,200
24,500
24,800
25,097
25,500
26,000
26,200
26.400
26,500
26,800
26,200

Preliminary. rRevised. includes demand deposits, other than interbank and U. S. Government, less cash items in process of collection
ay
ese
ote
dU
Governm
2
B i i
Beginning with D b
ith December 1938 i l d
1938, includes U i t d S tt t s T
United States Treasurer's ti * deposits, open account.
'
s tint* ded i
t
0
Excludes interbank t m e deposits and postal savings redeposited in banks.
time
redepoitd i
b k
trba
4
B i i
i l b k fi
ld
Beginning J
June 1941 the commercial bank figures exclude and mutual sayings bank figures include three member mutual savings banks
1941, h
6

Includes both amounts redeposited in banks and amounts not so redeposited; excludes amounts at banks in possessions.
NOTE.—Except on call dates, figures are rounded to nearest 100 million dollars. See Banking and Monetary Statistics, p. 11, for description
and Table 9, pp. 34-35, for back figures.

POSTAL SAVINGS SYSTEM

BANK SUSPENSIONS l

[In millions of dollars]
Assets
DeposEnd of month itors'
balances1

Total

Cash
in depository
banks

U. S. Government
securities

Total

Direct

1939—Dec... 1,279
1940—Dec.. . 1,304
1941—Dec.. . 1,314
1942—Dec.. . 1,417
1943—Dec... 1,788
1944—Dec.. . 2,342

1,319
1,348
1,396
1,464
1,843
2,411

53
36
26
16
10
8

1,192
1,224
1,274
1,345
1,716
2,252

1,046
1,078
1,128
1,220
1,716
2,252

1945—Jan. . .
Feb.. .
Mar...
Apr.. .
May..
June. .
July..
Aug.. .
Sept...
Oct. ..
Nov...
Dec. ..
1946—Jan....

2,477
2,536
2,590
2,646
2,696
2,751
2,809
2,867
2,921
2,968

8
8
8
8
8
8
7
8
8
6

2,308
2,363
2,426
2,463
2,518
2,574
2,625
2,674
2,737
2,780

2,308
2,363
2,426
2,463
2,518
2,574
2,625
2,674
2,737
2,780

2,404
2,458
2,513
2,563
2,609
2,659
2,720
2,785
2,836
2,880
P2.910
P2.930

Cash
reserve
Guar- funds,
anetc.2
teed
146
146
146
126

74
88
95
102
118
152
162
164
156
175
170
169
176
185
176
182

P2,979

p Preliminary.
Outstanding principal, represented by certificates of deposit.
Includes working cash with postmasters, 5 per cent reserve fund
and miscellaneous working funds with Treasurer of United States, accrued interest on bond investments, and accounts due from late postmasters.
Back figures.—See Banking and Monetary Statistics, p. 519; for
description, see p. 508 in the same publication.
1
2

MARCH

1946




Number of banks suspended:
1934-39
1940.. . .
1941
1942
1943. . .
1944
1945
1946—Jan -Feb

Nonmember
banks

Member
banks

Total,
all
banks

National

291

15

22
8
9

4

4

2

1
0
0

Non-

InState sured insured

6

189

81

18
3
6

3
1
3

2
1

Deposits of suspended banks
(in thousands of dollars) :2
1934-39
. . 125,991 14 616 26,548 44,348 40,479
1940.
1941
1942
1943
1944
1945
1946—Jan.-Feb

5,943
256
3,726 3 144
1,702
6,223 '4^982
405
0
0

5,341
503

1,375
1,241
405

346
79
327

1
Represents banks which, during the periods shown, closed temporarily or permanently on account of financial difficulties; does not
include banks whose deposit liabilities were assumed by other banks
at the time of closing (in some instances with the aid of Federal Deposit
Insurance Corporation loans).
2
Deposits of member banks and insured nonmember banks suspended are as of dates of suspension, and deposits of noninsured nonmember banks are based on the latest data available at the time the
suspensions were reported.
Back figures.—See Banking and \Monetary Statistics, pp. 283-292;
for description, see pp. 281-282 in the same publication.

303

BANKS IN THE UNITED STATES, BY CLASSES*
LOANS, INVESTMENTS, DEPOSITS, AND NUMBER OF BANKS
[Amounts in millions of dollars]
Loans and investments
Class of bank
and
call date

Deposits

Investments

Other

Total

Total

U.S.
Government
obligations

Other
securities

Loans

Total1

Interbank*

Number
of banks
Demand

Time

All banks:
1938—Dec. 31.
1939—Dec. 30.
1940—Dec. 31.
1941—Dec. 31.
1942—Dec. 31.
1943—Dec. 31.
1944—June 30.
. ;
Dec. 30.
1945- -Tune 30.
Dec. 31 •

48,831
50,885
54,170
61,101
78,137
96,966
108,70-7
119,461
129.639
139,750

21,261
22,169
23,751
26,616
23,915
23,601
25,424
26,015
27,979
30,500

27,570
28,716
30,419
34,485
54,222
73,365
83,284
93,446
101,661
109,250

17,953
19,402
20,983
25,488
45,932
65,932
75,737
85,885
93,657
100,700

9,617
9,314
9,436
8,997
8,290
7,433
7,547
7,561
8,004
8,550

61,319
68,225
75,963
81,780
99,796
117,661
128,605
141,449
151,033
164,550

7,484 28.695
9,883 32,492
38,518
10,941
10,989 44,316
61,395
11,318
75,561
11,012
11,219 83,588
91,644
12,245
96,725
12,605
14,100 104,650

25,140
25,850
26,504
26,476
27,083
31,08a
33,797
37,559
41,702
45,800

15,207
15,035
14,895
14,825
14,682
14,579
14,553
14,535
14,542
14,553

All commercial banks:
1938—Dec. 31
1939—Dec. 30
1940—Dec. 31
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31
1944—June 30
Dec. 30
1945—Tune 30
Dec. 3 1 "

38,669
40,667
43.922
50,722
67,391
85,095
95,731
105,530
114,505
123,450

16,364
17,243
18,792
21,711
19,217
19,117
21,010
21,644
23,672
26,150

22,305
23,424
25,130
29,011
48,174
65,978
74,722
83,886
90.833
97,300

15,071
16,300
17.T59
21,788
41,373
59,842
68,431
77,558
84,069
90,000

7,234
7,124
7,371
7,223
6,801
6,136
6,290
6,329
6,764
7,300

51,041
57,702
65,305
71,248
89,132
105,923
116,133
128,072
136,607
149,150

7,484 28,695
9,883 32,492
38,518
10,941
10,989 44,316
11,318 61,395
75,561
11,012
11,219 83,588
12,245 91,644
12,605 96,725
14,100 104,650

14,862
15,32?
15,846
15,944
16,419
19,350
21,326
24,183
27.276
30,400

14,652
14,484
14,344
14,277
14,136
14,034
14,009
13,992
14,000
14,014

All insured commercial banks:
1938—Dec. 31
1939—Dec. 30
1940— Dec. 31
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31
1944—June 30
Dec. 30
1945—June 30

37,470
39,289
42,556
49,288
66,240
83,507
93,936
103,382
112,353

16,021
16,863
18,394
21,258
18,903
18,841
20,729
21,352
23,376

21,449
22,426
24,161
28,030
47,336
64.666
73,207
82,030
«8,978

14,506
15,566
17,063
21,046
40,705
58,683
67,085
75,875
82,401

6,943
6,859
7,098
6,984
6,631
5,983
6,122
6,155
6,577

49,772
56,069
63,461
69,411
87,803
104.094
114,145
125,714
134,245

7,254
9,523
10,539
10,654
11,144
10,705
11,038
12,074
12,401

27,849
31,483
37,333
43,061
60,504
74,309
82,061
89,761
94,910

14,669
15,063
15,589
15,697
16,154
19,081
21,045
23,87926,934

13,655
13,531
13,438
13,426
13,343
13,270
13,264
13,263
13,277

32,070
33,941
37,126
43,521
59,263
74,258
83,587
91,569
99,426
107,150

13,208
13,962
15,321
18,021
16,088
16,288
18,084
18,676
20,588
22,800

18,863
19,979
21,805
25,500
43,175
57,970
65,503
72,893
78,838
84,350

13,223
14,328
15,823
19,539
37,546
52,948
60,339
67,685
73.239
78,300

5,640
5,651
5,982
5,961
5,629
5,022
5,164
5,208
5,599
6,050

43,363
49,340
56,430
61,717
78,277
92,262
101,276
110,917
118.378
129,500

7,153
9,410
10,423
10,525
11,000
10,555
10,903
11,884
12,230
13,750

24,842
28,231
33,829
38,846
54,523
66,438
73,488
79,774
84,400
91,450

11,369
11,699
12,178
12,347
12,754
15,268
16,884
19,259
21.748
24,300

6,338
6,362
6,486
6,619
6.679
6,738
6,773
6,814
6.840
6,884

All national banks:
1938—Dec. 3 1 . . .
1939—Dec. 30. . .
1940—Dec. 3 1 . . .
1941—Dec. 3 1 . . .
1942—Dec. 3 1 . . .
1943—Dec. 3 1 . . .
1944—June 30. . .
Dec. 30. . .
1945—June 30. . .

20,903
21,810
23,648
27,571
37,576
47,499
53,343
58,308
63,177

8,469
9,022
10,004
11,725
10,183
10,116
11,213
11,480
12,369

12,434
12,789
13,644
15,845
27,393
37,382
42,129
46,828
50,808

8,691
9,058
9,735
12,039
23,744
34,065
38,640
43,292
47,051

3,743
3,731
3,908
3,806
3,648
3,318
3,490
3,536
3,757

27,996
31,559
35,787
39,458
50,468
59,961
65,585
71,858
76,533

4,499
5,898
6,574
6,786
7,400
7,159
7,402
8,056
8,251

15,587
17,579
20,885
24,350
34,499
42,605
46,879
50,900
53,698

7,910
8,081
8,329
8,322
8,570
10,196
11,304
12,901
14,585

5,224
5,187
5,144
5,117
5,081
5,040
5,036
5,025
5,015

State member banks:
1938—Dec. 31
1939—Dec. 30
1940—Dec. 31 2
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31
1944—June 30
Dec. 3 0 . . . . .
1945—June 30

11,168
12,130
13,478
15,950
21,687
26,759
30,244
33,261
36,249

4,738
4,940
5,316
6,295
5,905
6,171
6,870
7,196
8,219

6,429
7,190
8,162
9,654
15,783
20,588
23,373
26,065
28,030

4,532
5,271
6,088
7,500
13,802
18,883
21,699
24,393
26,188

1,897
1,920
2,074
2,155
1,980
1,705
1,674
1,672
1,842

15,367
17,781
20,642
22,259
27,808
32,302
35,690
39,059
41,844

2,653
3,512
3,849
3,739
,600
3,397
3,501
3,827
3,980

9,255
10,652
12,944
14,495
20,024
23,833
26,609
28,874
30,702

3,459
3,617
3,849
4,025
4.184
5,072
5,580
6,357
7,163

1,114
1,175
1,342
1,502
1,598
1,698
1,737
1,789
1,825

All member banks:
1938—Dec. 31...
1939—Dec. 30...
1940—Dec. 31...
1941—Dec. 312...
1942—Dec. 31. . .
1943—Dec. 31. . .
1944—June 30. ..
Dec. 30...
1945—June 30. . .
Dec. 31 «...

' Estimated. Figures have been rounded to the nearest 50 million dollars.
* These figures do not include data for banks in possessions of the United States and therefore differ from those published by the Comptroller
of the Currency and the'Federal Deposit Insurance Corporation for national banks and insured banks, respectively.
1
Beginning June 30, 1942, excludes reciprocal bank balances, which on Dec. 31, 1942, aggregated 5,13 million dollars at all member banks and
525 million at all insured commercial banks.
8
During 1941 three mutual savings banks, with total deposits of 8 million dollars, became members of the Federal Reserve System. These
banks are included in both "member banks" and "insured mutual savings banks," are not included in "commercial banks," and are included
only 8once in "all banks."
Decreases in "noninsured nonmember commercial banks" figures reflect principally the admission to membership in the Federal Reserve
System of one large bank with total loans and investments aggregating 554 million dollars on Dec. 31, 1942.
* Beginning June 30, 1942, includes Bank of North Dakota, a nonmember bank not previously included in these statistics; on Dec. 31, 1941,
its deposits, excluding interbank deposits, were 33 million dollars and ks loans and investments 26 million.
Backfigures.—SeeBanking and Monetary Statistics, Tables 1-7, pp. 16-23; for description, see pp. 5-15 in the same publication.

304



FEDERAL RESERVE BULLETIN

ALL BANKS IN THE UNITED STATES, BY CLASSES '—Continued
LOANS, INVESTMENTS, DEPOSITS, AND NUMBER OF BANKS
[Amounts in millions of dollars]
Loans and investments

Deposits

Investments

Class of bank
and
call date

Total

Loans
Total

U. S.
Government
obligations

All n o n m e m b e r commercial b a n k s :
1938—Dec 31
1939—Dec. 30
...
. . . .
1940—Dec 31
1941—Dec. 31
.
. . .
1942—Dec. 31
1943—Dec 31
1944—June 30
Dec 30
1945—June 30
Dec. 31 «

6,598
6,726
6,796
7,208
8,135
10,847
12,155
13,972
15,091
16,300

3,156
3,281
3,471
3,693
3,132
2,832
2,929
2,971
3,087
3,350

3,442
3,445
3,325
3,515
5,003
8,014
9,226
11,002
12,005
12,950

Insured n o n m e m b e r commercial
banks:
1938-—Dec 31
1939—Dec. 30
1940—Dec 31
1941—Dec. 31
1942—Dec 31
1943—Dec. 31
1944—June 30
Dec. 30
1945—June 30

5,399
5,348
5,429
5,774
6,984
9,258
10,360
11,824
12,940

2,813
2,901
3,074
3,241
2,818
2,556
2,648
2,678
2,790

2,586
2,447
2,356
2,533
4,166
6,702
7,712
9,146
10,150

1,283
1,238
1,240
1,509
3,162
5,739
6,752
8,197
9,170

1,199
1,378
1,367
1,434
1,151
1,588
1,795
2,148
2,152

343
380

856
998

565
733

397
452

314
276
281
292
297

969
982

837
1,312
1,514
1,856
1,855

696
742

667
1,160
1,347
1,682
1,668

10,162
10,218
10,248
10,379
10,746
11,871
12,976
13,931
15,134
16, 300

4,897
4,926
4,959
4,905
4,698
4,484
4,414
4,370
4,307
4,350

5,265
5,292
5,289
5,474
6,048
7,387
8,562
9,560
10,827
11,950

2,883
3,102
3,224
3,700
4,559
6,090
7,306
8,328
9,588
10,700

972
1,329
1,655
1,693
2,007
7,525
8,489
9,223
10,063

461
605
637
642
740
3,073
3,111
3,110
3,089

511
724
1,018
1,050
1,267
4,452
5,378
6,113
6,974

280
422
548
629
861
3,844
4,752
5,509
6,368

9,190
8,889
8,593
8,686
8,739
4,345
4,487
4 708
5,071

4,436
4,321
4,322
4,263
3,958
1,411
1,302
1 260
1,218

4,754
4,568
4,271
4,424
4,781
2,935
3,185
3 448
3,853

2,603
2,680
2,676
3,071
3,698
2,246
2,554
2 819
3,220

Noninsured n o n m e m b e r commercial
banks:
1938—Dec 31
1939—Dec. 30
1940—Dec. 31
1941—Dec. 31
1942—Dec 313 4
1943—Dec 31
1944—j u n e 30
Dec 30
1945—j u n e 30
All m u t u a l savings b a n k s :
1938—Dec. 31
1939—Dec. 30
1940—Dec 312
.
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31
1944—June 30
Dec. 30
1945—June 30 e
Dec 31

»

Insured m u t u a l savings b a n k s :
1938—Dec 31
1939—Dec. 30
1940—Dec 312
1941—Dec 31
1942—Dec. 31
1943—Dec. 31
. . . '.
1944—ijune 30
Dec. 30
I945—June 30
Noninsured m u t u a l savings b a n k s :
1938—Dec 31
1939—Dec 30
1940—Dec. 31
1941—Dec 31
1942—Dec 31
1943 Dec 31
1944—June 30
Dec 30
1945—June 30

Other

Other
securities

1,848 1 SQ4
1,971
474
1,936
,389
2 251
264
3,829
,174
6 899
115
.128
8,099
9 880 1 122
10,839 1,166
11,700 1,250

Total 1

Interbank 1

Number
of banks
Demand

Time

7,678
8,362
8,875
9,539
10,864
13,671
14,869
17 168
18,242
19,650

331
473
518
464
318
457
315
362
375
350

3,853
4,260
4,689
5,470
6,872
9,123
10,100
11,870
12,326
13,200

3,493
3 629
3,668
3 605
3,674
4 091
4,453
4 936
5,541
6,100

8,314
8,122
7,858
7,661
7,460
7,299
7,239
7,181
7,163
7,130

1,303
1,209
1,116
1,025
1,004
962
960
949
979

6,409
6,729
7,032
7,702
9,535
11,842
12,880
14,809
15,880

101
113
116
129
145
149
135
190
171

3,007
3,252
3,504
4,215
5,981
7,870
8,573
9,987
10,510

3,300
3,365
3,411
3,358
3,409
3,823
4,172
4,632
5,199

7,317
7,169
6,952
6,810
6,667
6,535
6,494
6,452
6,440

291
265
273
239
170
153
168
174
187

1,269
1,633
1,843
1,837
1,329
1 829
1,989
2 358
2,362

230
360
402
335
173
307
181
171
204

846
1,008
1,185
1,255
891
1,253
1,527
1,883
1,815

193
264
257
247
265
269
281
304
343

997
953
906
851
793
764
745
729
723

2,382
2,190

750

10,278
10,523
10 658
10,532
10,664
11,738
12,471
13,376
14,426
15,400

10,278
10,523
10 658
10,532
10,664
11,738
12,471
13,376
14,426
15,400

555
551
551
548
546
545
544
543
542
539

232
303
470
421
405
608
626
604
607

1,012
1,409
1,818
1,789
2,048
7i(534
8 235
8,910
9,671

1,012
1,409
1,818
1,789
2,048
7,534
8,235
8,910
9,671,

48
51
53
52
56
184*
192
192
192

2,150
1,887
1,595
1,353*
1,084
689
631
629
633

9,266
9,114
8,840
8,743
8,616
4,204
4,236
4 466
4,754

9,266
9,114
8,840
8,743
8,616
4,204
4,236
4 466
4,754

507
500
498
496
490
361
352
351
350

? 065
L,774
,489
L ,297
1,257
L, 232
,240

For footnotes see page 304.

MARCH

1946




305

ALL INSURED COMMERCIAL BANKS IN THE UNITED STATES, BY CLASSES*
LOANS AND INVESTMENTS
[In millions of dollars]
Loans

Class of bank
and

Total
loans

call date

and

investments

Investments

Loans for
purchasing
or carrying
securities

Commercial,
in-

U. S. Government obligations
Obliga-

AgriRealesclud- culCon- Other
ing
tur- T o
tate sumer loans Total
Total open- al brokloans loans
ers
To
market
a n d others
paper
deal-

Direct
Total

ers

tions
of

States Other
CerGuar- a n d secuan- politi- rities
tinBills cates Notes
teed cal
of inBonds
subdebtdiviedsions
ness

All insured commercial banks .-i
1938—Dec. 31
37,470
1940—Dec. 3 1 . . . 42,556
1941—Dec. 3 1 . . . 49,288
1942—Dec. 3 1 . . . 66,240
1943—Dec. 3 1 . . . 83,507
1944—June 3 0 . . . 93,936
Dec. 30. . . 103,382
1945—June 30. .. 112,353

16,021
18,394
21,258
18,903
18,841
20,729
21,352
23,376

5,636
7,178
9,214
7,757
7,777
7,406
7,920
7,501

1,060
1,281
1,450
1,642
1,505
1,474
1,723
1,632

3,857
4,468
4,773
4,646
1,414
4,437
2,221 2,296 4,364
2,269 2,265 4,343
3,113 3,601 4,413

3 583
4,077
4,545
2,269 1,042
1,868 918
1,862 1,106
1,888 944
2,108 1,008

21,449
24,161
28,030
47,336
64,666
73,207
82,030
88,978

14,506
17,063
21,046
40,705
58,683
67,085
75,875
82,401

Member banks,1
total:
1938—Dec. 31. . . 32,070
1940—Dec. 3 1 . . . 37,126
1941—Dec. 31. . . 43,521
1942—Dec. 3 1 . . . 59,263
1943—Dec. 31. . . 74,258
1944—June 30. . . 83,587
Dec. 30. . . 91,569
1945—June 30. .. 99,426
Dec. 31*. . 107,143

13,208
15,321
18,021
16,088
16,288
18,084
18,676
20,588
22,786

5,179
6,660
8,671
7,387
7,421
7,023
7,531
7,095

2,716
3,228
3,494
1,089
3,423
1,023 1,398
3,274
1,023 2,200 2,130 3,207
1,198 2,249 2,108 3,209
1,125 3,089 3,407 3,248

? 853
3'273
3! 692
1,847 870
1,484 848
1,467 1,033
1,505 877
1,688 934

18,863
21,805
25,500
43,175
57,970
65,503
72,893
78,838
84,357

13,222
15,823
19,539
37,546
52,948
60,339
67,685
73,239
78,308

3,262
3,384
4,072
4,116
4,428
5,479
5,760
7,069
7,333

1,594
2,125
2,807
2,546
2,515
2,430
2,610
2,380

5
6
8
21
24
64
30
53

5,072
7,527
8,823
13,841
15,566
17,190
18,243
18,687
18,810

158
3,857
1,142 1,663 894
6,044 207
1 245 2 977 1,615
7,265 311
1,623 3,652 1,679
12,547 1,855 2,144 2,056 5,420 1,071
14,563 1,328 3,409 1,829 7,014 984
16,157 1,258 4,242 2,805 7,650 201
17,179 913 3,740 3,745 8,592 189
2
17,492 424 3,538 3,607 9,920
17,575

1,969
539
696
2,377
954
2,760
832
3,973
4,554 1,004
5,124 1,064
5,443 1,184
5,730 1,250
5,931 1,332

335
492
732
658
763
710
738
671

17
5
6
6
6
11
17
13

207
263
300
290
279
277
348
304

New York City:*
1938—Dec. 3 1 . . .
1940—Dec. 31. . .
1941—Dec. 31. . .
1942—Dec. 31. ..
1943—Dec. 3 1 . . .
1944—June 30. . .
Dec. 30. ..
1945—June 30. . .
Dec. 31*. .
Chicago:2
1938—Dec. 31. . .
1940—Dec. 31. . .
1941—Dec. 31. . .
1942—Dec. 3 1 . . .
1943—Dec. 31. . .
1944—June 30. . .
Dec. 30. . .
1945—June 30. . .
Dec. 3 1 P . .

8,335
10,910
12,896
17,957
19,994
22,669
24,003
25,756
26,143

712
865
972

1,002

663
614
950

885
727
662
597
922

973
642
594
934

775
652
598
538
839

787
465
412
787

220
190
169
193
323
751
859

121
130
123
117
107
93
86
76

535
468
554
303
252
232
253
270

70
54
52
32
52
130
163
299

12
19
22
23
22
21
24
23

6*5
84
96
62
45
49
45
50

242
119
115
207
114
194
97
153
267
217
409
903
311
777
371 1,147

1,230
1,436
1,527
1,486
1,420
1,385
1,379
1,378

1,054
1,657
1,742
2,528 1,539
43
42
48
34
102
102
163
159

Reserve city banks:
1938—Dec. 31. . .
1940—Dec. 31. ..
1941—Dec. 31. . .
1942—Dec. 31. . .
1943—Dec. 3 1 . . .
1944—June 30. . .
Dec. 30. . .
1945—June 30. . .
Dec. 3 1P

11,654
13,013
15,347
20,915
27,521
30,943
33,603
36,572
40,104

4,-963
5,931
7,105
6,102
6,201
6,761
6,822
7,155
8 508

2,063
2,589
3,456
2,957
3,058
2,787
3,034
2,883

Country banks:
1938—Dec. 31. . .
1940—Dec. 31. . .
1941—Dec. 3 1 . . .
1942—Dec. 3 1 . . .
1943—Dec. 31. . .
1944—June 3 0 . . .
Dec. 30. . .
1945—June 30. ..
Dec. 3 1 P . .

10,113
10,826
12,518
16,419
22,188
24,850
28,520
31,368
34,966

4,444
5,309
5,890
5,038
4,654
4,780
4,910
5,114
5,612

1,186 483
25
21
1,453 590
1,676 659
20
17
1,226 772
1,084 713 - 25
33
1,096 671
32
1,149 . 802
32
1,162 755

148
153
251
179
223

18
14
40
34
34

1 :01

1*322
l!512
808
658
650
660
757

243
201
183
161
197
345
310
422

1,353
1,644
1,823
1,797
1,725
1,708
1,719
1,771

674
528
536
547
611

110
75
64
59
82
166
156
193

1,141
1,240
1,282
1,225
1,165
1,159
1,136
1,167

730
803
8*^4
422
385
395
383
420

312
301
350
313
315

1, 154

1 400
1,530
393
381
392
351
362

'6^727
13,218
15,466
15,300
17,204

3,648 8,000 2,568
2^756 9^925 3,719
3,159 12,797 4,102
5,799 20,999 2,718
7,672 30,656 2,501
11,834 34,114 963
15,778 39,848 978
43
16,454 45,870

6\285
12,071
14,228
13,982
15,584

3,389
2,594
3,007
5,409
6,906
10,640
14,127
14,723

290
662
988

4,462
4,636
4,708
3,971
2,831
286
652
971

4,363
4,360
4,466
3,748
2,633

7,208 2,340 2,448 3,192
9,091 3,486 3,013 2,970
11,729 3,832 3,090 2,871
18,948 2,540 2,965 2,664
27,265 2,345 2,729 2,294
30,118 887 2,834 2,331
34,927 902 2,857 2,350
33 3,102 2,497
40,266
3,253 2,797
517
695
729
593
444
456
468
567
606

698
788
830
701
558
577
596
629
629

141
188
182
166
158
204
160
154
181

176
186
193
186
155
169
185
196
204

1,224 2,997 740 808
984
771 3 281 1,049
956
751 4,248 1,173
1,723 6,810 811 954
749
913
2,497 9,943
3,893 10,689 402 963
440 1,000
5,181 11,987
10 1,100
5,689 13,906
1,126

866
893
820
821
726
735
740
794
911

1,430
1,681
1,806
3,141
3,550
4,060
4,258
4,480
4,598

1,114
1,307
1,430
2,789
3,238
3,688
3,913
4,130
4,213

59
297
256
397
199
367
250
127

6,691
7,081
8,243
14,813
21,321
24,183
26,781
29,417
31,596

5,018
5,204
6,467
13,038
19,682
22,484
25,042
27,523
29,559

57
103
295

5,669
5,517
6,628
11,380
17,534
20,071
23,610
26,253
29,354

3,233
11
732 l',893
45
433 2,081
3,269
110
4,377
481 2,926
9,172 671 " i ^251 1,240 5,436
15,465 1,032 3,094 2,096 8,705
18,009 926 3,362 3,355 10,114
21,552 882 3,466 4,422 12,540
24,094 762 4,194 4,613 14,504
26,961

1,441
1,802
1,914
1,704
1,320

"637
877
1,038
1,045
1,253

'i',253

4,691
5,586
5,730
6,598

3,011 3,932
3,608 3,491
3,651 3,333
3,533 3,098
3,287 2,696
3,393 2,730
3,422 2,733
3,684 2,892

291
145
153
391
484
587
779
814

655
752
903

1,282
1,602
1,665
1,809
1,936

109
112
119
83
74
31
31

597
710
861
574
538
252
241
21

982 1,453
1,146 1,102
1,222 1,028
1,252 956
1,214 855
1,212 849
1,230 829
1,281 878
1,340 1,053

Insured nonmember commercial banks:
1938—Dec. 31. .. 5,399 2,813
1940—Dec. 3 1 . . . 5,429 3,074
1941—Dec. 31. . . 5,774 3,241
1942—Dec. 3 1 . . . 6,984 2,818
1943—Dec. 31. . . 9,258 2,556
1944—June 30.. . 10,360 2,648
Dec. 30. . . 11,824 2,678
1945—June 30. . . 12,940 2,790

457
518
543
370
356
383
389
406

348
416
478
553
482
452
525
506

28
21
20
16
16
21
21
24

173
70
73
67
74

2,586
2,356
2,533
4,166
6,702
7,712
9,146
10,150

1,283
1,240
1,509
3,162
5,739
6,752
8,197
9,170

4
10
17
99
276
242
223
198

259
162
152
390
766

793
834

1 069
442
2,053
1,147
3,395
1,238 1,194 4,002
1,319 1,652 4,928
1,620 1,731 5,611

228
234
271
179
156
76
76
10

563
595
563
569
560
560
566
584

739
521
462
435
403
400
383
396

Preliminary.
* These figures do not include data for banks in possessions of the United States and therefore differ from those published by the Federal
Deposit Insurance Corporation.
1
During 1941 three mutual savings banks with total deposits of 8 million dollars became members of the Federal Reserve System. These
banks are included in "member banks" but are not included in "all insured commercial banks."
2
Central reserve city banks.

306



FEDERAL RESERVE BULLETIN

ALL INSURED COMMERCIAL BANKS IN THE UNITED STATES, BY CLASSES *—Continued
RESERVES AND LIABILITIES
fin millions of dollars]
Time deposits

Demand deposits
Re-

Class of bank
and
call date

All insured Commercial banks: 1
1938—Dec. 3 1 . .
1940—Dec. 3 1 . .
1941—Dec. 3 1 . .
1942—Dec. 3 1 . .
1943—Dec. 3 1 . .
1944—June 30. .
Dec. 3 0 . .
1945^-June 30. .

serves
with
Cash
Federal in
Revault
serve
Banks

8,694
13,992
12,396
13,072
12,834
12,812
14,260
14,806

950

1,234
1,358
1,305
1,445
1,464
1,622
1,474

M e m b e r banks, 1
total:
746
1938—Dec. 3 1 . . 8,694
991
1940—Dec. 3 1 . . 13,992
1941—Dec. 3 1 . . 12,396 1,087
1942—Dec. 3 1 . . 13,072 1,019
1943—Dec. 3 1 . . 12,835 1,132
1944—June 30. . 12,813 1,143
Dec. 30. . 14,261 1,271
1945—June 30. . 14,807 1,150
Dec. 3 1 P .
New York City:2
1938—Dec. 3 1 . .
1940—Dec. 3 1 . .
1941—Dec. 3 1 . .
1942—Dec. 3 1 . .
1943—Dec. 3 1 . .
1944—June 30. .
Dec. 30. .
1945—June 30. .
Dec. 31P.

DeBalances mand
dewith
posits
doad- 4
mestic
banks 3 justed

503
6,595
702
9,677
673
9,823
813
10,234
893
9,743
940
10,030
948
11,063
11,217 1,119

1,762
8,167
9,950
18,757
19,754
23,478

4,240
6,185
6,246
6,147
5,450
5,799
6,354
6,486

22,293
30,429
33,754
42,570
52,642
51,829
57,308
59,133

501
6,510
700
9,581
671
9,714
811
10,101
891
9,603
937
9,904
945
10,881
11,064 1,106

1,709
7,923
9,444
17,634
18,509
21,967

109
122
141
82
61
60
76
64

7,168
11,062
10,761
11,899
13,899
13,254
14,042
14,643

884

902
821
811
899
929

35
42
43
39
38
41
43
33

235
319
298
164
158
179
177
180

1,688
1,941
2,215
2,557
3,050
3,070
3 ,041
3,152

Reserve city banks:
1938—Dec. 3 1 . .
1940—Dec. 3 1 . .
1941—Dec. 3 1 . .
1942—Dec. 3 1 . .
1943—Dec. 3 1 . .
1944—June 30. .
Dec. 30. .
1945—June 30. .
Dec. 3 1 P .

2,354
4,027
4,060
4,940
5,116
5,109
5,687
5,882

321
396
425
365
391
399
441
396

1,940
2,741
2,590
2,202
1,758
1 922
2,005
2,029

7,214
9,581
11,117
14,849
18,654
18 405
20,267
20,682

Country banks:
1938—Dec. 3 1 . .
1940—Dec. 3 1 . .
1941—Dec. 3 1 . .
1942—Dec. 31. .
1943—Dec. 3 1 . .
1944—June 30. .
Dec. 30. .
1945—June 30. .
Dec. 3l*\

1,353
1,857
2,210
2,842
3,303
3,438
3,909
4,117

322
452
526
542
611
618
684
632

1,956
3,002
3,216
3,699
3,474
3,638
4,097
4,213

204
243
271
287
313
322
352
324

1,423
2,017
2,325
2,934
2,996
2,978
3,434
3,473

1,051
1,021

ForDomestic3 eign

25,198
33,820
37,845
48,221
59,921
59,197
65,960
68,048

68
102
93
72
92
85
102
89

31
31
31..
31..
31..
30. .
30. .
30. .

Certified
U. S. States and
and
Gov- political offiern- subdi- cers'
ment visions checks,
etc.

5,663
8,202
8,570
9,080
8,445
8,776
9,787
9,959

4,104
7,057
5,105
4,388
3,596
3,455
3,766
3,879

Chicago:2
1938—D ec .
1940—D ec .
1941—Dec.
1942—Dec.
1943—Dec.
I944—j u n e
Dec.
1945—June
Dec.

Interbank
deposits

2,687
4 032
3,595
3,209
2,867
3,105
3,179
3,271

437
641
607
733
810
852
851
989

658
997

1,090
1,132
1,174

9
8
8
12
14
15
16
19

838
666

790
616

139
48
866

4,186
3,395
6,150
6,722
7,618

2,942
3,298
3,677
3,996
4,352
4,402
4,518
4,698

1,077
1,219
1,669
1,550
1,354
1,240

2,386
2,724
3,066
3,318
3,602
3,638
3,744
3,877

1,009
1,142
1,573
1,460
1,251
1,138

280
370
319
263
252
213
199
229

23,475
32,398
36,544
47,122
58,338
57,351
64,133
65,494

157
160
158
97
68
68
64
66

86
69
59
61
124
108
109
105

575
522
492
397
395
407
423
482

21,119
29,576
33,061
42,139
51,820
50,756
56,270
57,417
62,912

142
141
140
87
62
63
58
61

61
56
50
56
120
104
105 .
102

195
7,273
471 . 11,357
450 11,282
448 12,501
710 14,373
722 13,740
361 14,448

6
5
6
3
4
11
11
16

547
913

3,41 14,789
15,712

1,105
1,400
1,499

29
27
34
38
44
41
33
29

1,597
1,905
2,152
2,588
3 097
3,040
3,100
3,124
3 160

2,719
3,919
4,302
4,831
4,770
4 757
5,421
5,510

424
53
327
49
54
491
63 1,982
63 3,373
65 6,453
70 6,157
90 7,655

796
995

1,144
1,319
1,448
1,464
1,509
1,516

170
228
286
385
475
384
488
422

7,034
9,468
11,127
15,061
18,790
18,367
20,371
20,559
22,281

113
107
104
63
41
37
33
31

6,224
446
633
7,845
790
9,661
957
13,265
994
17,039
951
17,099
19,958 1,149
20,656 1,108

143
2
151
2
225
2
4 1,090
5 1,962
5 3,926
8 4,230
8 5,195

1,128
1,184
1,370
1,558
1,727
1,743
1,868
1,939

154
187
239
272
344
314
369
346

5,215
6,846
8,500
11,989
15,561
15,609
18,350
18,945
21,759

48
50
53
243
506

555
574
611
678
750
764
775
820

48
58
68
76
96
90
103
101

2 356
2,822
3,483
4,983
6,518
6 595
7,863
8,078

972

83
90
127
665
713

2,904
3,391
4,092
5,651
7,279
7,368
8,652
8,915

85
95
108
133
141
126
182
153

2
3
2
2
2
3
3
13

1,124
1,245
1,511

14,009
14,998
15,146
15,697
18,561
20,530
23,347
26,346

18
11
10
10
46
84
122
65

6,434
6,673
6,841
7,055
7,453
7,709
7,989
8,340

10,846
11,687
11,878
12,366
14,822
16,448
347 18,807
392 21,254

6
3

5
39
75
111
52

5,424
5,698
5.886
6'l01
6,475
6,696
6,968
7,276

29
64
96
40

1,593
,615
I ,'648
1,727
L,862
,907
.966
2^023

5
7
7
8

36
51
29
23
26
17
17
19

5

181
174
233
178
174
218
167
193

1,027
1,105

IndiCapividuals, Bortal
partner- row- acships, ings counts
and corporations

462
435
418
332
327
333

595
971

31P.

Insured nonmember commercial b a n k s :
1938—Dec 31
1940—Dec. 3 1 . .
1941—Dec. 31
1942—Dec 31
I943—Dec. 31
1944—June 30
Dec. 30'. '.
1945—June 30 .

U.S.
IndiGov- States
viduals
ernand
partner- Inter- ment politships, bank and
ical
and corPostal subdiporaSav- visions
tions
ings

9
8

652
768
778
711
816
861
977

1,082

4

1
1
1

452
496
476
453
505
543
619
663

257
270
288
304
326
343
354
362

17
19
20
22
56
45
40
39

269
226
243
169
151
158
154
166

4,233
4,505
4,542
4,805
5,902
6,567
7,561
8,529

1,777
1,904
1,967
2 2,028
2,135
2,207
2,327
3 2,450

23
29
30
20
17
15
14
14

44
33
31
32
56
52
57
54

147
150
146
140
149
157
175
207

5,509
5,917
6,082
6,397
7,599
8,477
9,650
10,981

6
3
4
3
10
11
16
9

1,798
1,909
1,982
2,042
2,153
2,239
2,321
2,440

15
18
18
10
6
5
6
5

25
13
8
5
4
4
4
4

113
87
74
65
68
74
76
90

3,163
3,311
3,276
3,339
3,750
4,094
4,553
5,105

11
8
6
5
6
9
10
13

1,010

2
2

i

975
956
955
979

1,015
1,022
1,065

p Preliminary.
3
Beginning June 30, 1942, excludes reciprocal bank balances, which on Dec. 31, 1942, aggregated 513 million dollars at all member banks and
525 million at all insured commercial banks.
* Demand deposits other than interbank and U. S. Government less cash items reported as in process of collection.
For other footnotes see page 306.
Back figures.—See Banking and Monetary Statistics. Table 18-45. pp. 72-103 and 108-113.

MARCH

1946




307

WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE
LOANS AND INVESTMENTS
[Monthly data are averages of Wednesday figures.

In millions of dollars]

Loans

Date or month

Total
loans
and
invest- Total
ments

Commercial,
industrial,
and
agricultural

For purchasing
or carrying securities
To brokers
and dealers

To others

U.S.
U. S.
Govt. Other Govt. Other
seob- curi- ob- cunligaligations ties tions ties

Total—101 Cities
1945—January

59,590 12,356 6,405 1,196

1945—September..
October
November..
December..

61,765
60,988
61,646
67,752

12,761 6,096
12,438 6,267
13,034 6,659
15,746 7,148

Investments

1,396
1,263
1,382
1,881

U. S. Government obligations

Real- Loans
estate to Other Total
loans banks loans

726 1,236

357 1,053

1,306 47,234 44,345 2,813 10,008 9,238 21,673

850
858
843
854

398
402
401
434

1,473
500
568
1,684

1,390
1,004
1,044
2,560

1,060
1,062
1,068
1,086

1946—January

68,066 15,367

7,272 1,675

774 2,345

432 1,102

1945—Nov. 28

62,381 13,632

6,778 1,674

807 1,222
819
832
901
865

2,458
2,697
2,589
2,495

427
437
442
432

1,079
1,081
1,091
1,091
1,095
1,098
1,101
1,106
1,107

49,004
48,550
48,612
52,006

45,655
45,264
45,373
48,710

1,259
1,284
1,070
1,958

1,596 48,749 45,501

15,253
15,951
15,952
15,829

6,964
7,128
7,241
7,259

67,948
67,838
68,220
68,112
68,211

15,890
15,310
15,224
15,221
15,190

1,910
1,636
1,586
7,275 1,636
7,300 1,608

881 2,531
763 2,418
765 2,303
732 2,252
729 2,225

427
420
421
429

68,223 15,135
67,943 15,074
68,182 15,181

7,342 1,535
7,361 1,524
7,386 1,558

715 2,184
706 2,153

701 2,128

429 1,110
431 1,118
465 1,125

r
New York City
1945—January

21,500 5,140

2,454

942

547

602

144

60

320 16,360 15,405

843 3,346 3,340 7,713

1945—September..
October
November..
December. ..

21,591
21,281
21,342
23,875

5,397
5,173
5,415
6,837

2,295
2,415
2,597
2,792

,135
,021
,134
,529

628
623
628
632

597
377
325

183
185
179
194

83
68
54
72

409
417
434
462

280
395
209
580

1946—January.

23,754 6,412

2,837

,317

570

185

45

1945—Nov. 28

21,677 5,759 2,647

,403

607

191

49

1946—Jan. 2
Jan. 9
Jan. 16
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

1,091
918

129 660 51,887
98 ,682 52,083
96 ,699 52,150
71 1,699 51,904
83

,714
,684
,708
,708

52,058
52,528
52,996
52,891
1,703 53,021

48,654
48,817
48,827
48,541

2,164
2,031
1,962
1,674

11,193 9,052 26 ,233
11,187 9,116 26 ,471
11,218 9,078 26,555
11,186 9,073 26
"',598

48,674
49,133
49,629
49.531
49,656

1,761
1,958
2,030
,756
1,742

12,130
12,371
12,593
12,716
12,778

8,036 26 ,737
7,968 26,825
7,
,003
7,961 27,089
7 ,944 27,184

106 1,714 53,088 49,716 1,703 12,868 7 ,931 27,202
58
~" 52,869 49,485 ,526 12,788 7,921 27,242
80 1,738 53,001 49,586 1,514 12,894 7 ,945 27,226

16,194
16,108
15,927
17,038

2,811
2,779
2,750
3,155

3,019
2 ,986
2 ,939
2,916

1,070
,055
,060
,077
,128

101
64
66
54

455
455
465
474

17,206
16,917
17,050
16,979

16,151
15,857
15,973
15,851

743
525
610
441

3, 243
3,069
3,132
3,

1946—Jan. 2
Jan. 9
Jan. 16
Jan. 23
Jan. 30

23,904
23,641
23,770
23,698
23,758

6,798
6,328
6,283
6,335
6,315

2,821
2,815
2,853
2,842
2,853

,513
,251
,240
,303
,279

631 1,048
565 960
567 877
547 859
541 846

176
173
178
183
213

67
30
25
60
42

478
471
479
478
479

17,106
17,313
17,487
17,363
17,443

15,987
16,200
16,400
16,275
16,360

523
626
587
470
560

3,384 2 ,665
,673
3,
3,,553 2 ,723
3,,525 2 ,720
3,,527 2 ,715

533
523
522

834
819
819

186
186
216

91
43
66

477 17,532 16,446
481 17,381 16,299
486 17,318 16,227

634

213

3,951

254

179

3,801
3,852
4,062
4,356

261
242
248
352

793
222
235 627
215
719
222 1,469

1946—January

44,312

8,955 4,435

358

204 1,427

1945—Nov. 2 8 . . . . 40,704 7,873 4,131

271

200

866

Dec. 5 . . . .
Dec. 1 2 . . . .
Dec. 1 9 . . . .
Dec. 2 6 . . . .

43,323
44,120
44,150
43,916

8,642
8,954
9,050
8,991

4,263
4,331
4,400
4,430

348
352
352
355

205 1,351
210 1,544
244 ,517
230 ,462

U946—Jan. 2 . . . .
Jan. 9 . . . .
Jan. 1 6 . . . .
Jan. 2 3 . . . .
Jan. 3 0 . . . .

44,044
44,197
44,450
44,414
44,453

9,092
8,982
8,941
8,886
8,875

4,428
4,427
4,443
4,433
4,447

397
385
346
333
329

250
198
198
185
188

Feb. 6 . . . . 44,408 8,853 4,456
44,333 8,845 4,463
Feb. 13
Feb. 2 0 . . . . 44,520 8,837 4,466

323
309
308

182 1,350
183 1,334
179 1,309

,483
,458
,426
1,393
1,379

982

215 993
217 995
222 1,004
240
1,021
247
1,039
225
1,009
229 ,013
239 ,017
247 ,026
246 ,026
251
247
243
246
249

,031
,035
,037
,043
,045

243 1,047
245 1,054
249 1,060

955

2 ,934 9,229

198
198
195
186

7,364
7,265
7,619
8,909

163

1,098

356
1,107
1,153
1,072
1,033

7,216

12 3,372
3»384
3,415

164 2,736 2,864 9,082

614
622
657
635

40,174
39,707
40,304
43,877

9 3,367
9 3,360
8 3,365

553 3,492 2,699 9,498

,369
,644
,541
,562

38,090

10 3,384

11 3,395
1

442 15,918 14,848

2,701
2,797
2,841
2,829

1945—September..
October.. . .
November..
December..

10 3,363

477 17,342 16,244

6,611
6,997
6,902
6,838

Outside
"New York City
1945—January

3,233
3,266
3,323

1,229
1,141
1,072
1,080

23,817
23,914
23,952
23,817

23,815 6,282 2,886 1,212
53,610 6,229 2,898 1,215
2,
!3\662 6,344 2,920 1,250

3,374
3,248

8,853
8,805
8,955
9,305

14,965
14,967
14,855
15,958

Dec. 5
Dec. 12
Dec. 19
Dec. 26

Feb. 6
Feb. 13
Feb. 20

3,349
3,286
3,239
3,296

975 9,832 8,953 25,729

67,140
68,034
68,102
67,733

Dec. 5
Dec. 12
Dec. 19
Dec. 26

613 2,889

10,258 9,301 24,826
9,853 9,159 24,959
9,798 9,049 25,444
"
11,196 9,080 26
",464

63 1,704 52,699 49,325 1,849 12,518 7,981 26,968

416 1,073

1,717
1,996
1,893
1,917

Total

CerOther
tificates
Guar- secuof in- Notes Bonds an- rities
Bills
debtteed
edness

2,942 9,319
2,904 9,325
,886 9,346
9,413
9,429
9,535
9,558
9,556

,119
,113
,087
,088
1,083

540 3,608 2,728 9,568
473 3, 528 2 ,735 9.562
375 3,592 2,756 9,503

1,087
1,082
1.091

986 30,874 28,940 1,970 6,662 5,898 13,960

450 1,934

1,064 32,810
32,442
1,134 32,685
1,222 34,968

30,690
30,297
30,518
32,752

1,227 35,357 33,081
1,154 32,831 30,653
1,205
1,227
1,234
1,225

34,681
35,166
35,100
34,925

32,503
32,960
32,854
32,690

979 7,447 6,282 15,973
889 7,0746,173 16,154
861 7,048 6,110 16J489
8,0416,164 17,159
1,378
9,026 5,282 17,470
1,296
7,096 6,089 16,647
811
1,421 7,9506,118 17,004
1,506 8,1186,174 17,152
1,352 8,086 6,174 17,230
1,233 8,0106,187 17,252

1,238
1,332
1,443
1,286
1,182

8, 746
8,901
9,,040
9,191
9,251

5,371
5,295
5,271
5,241
5,229

9 2,120
2,145

10'2,167

10 2,216
2,276
10 2,178
10 2,178
2,206
2,246
8 2,235

17,324
17,396
17,468
17,531
17,628

2,265
9 2,282
2,280
2,272
6 2,282

1.237 35,555 33,270 1,163 9,260 5,203 17,634
1,242 35,488 33,186 1,053 9,260 5,186 17,680
1,252 35,683 33,359 1,139 9,302 5,189 17,723

10 2,285
7 2,302
6 2,324

1.236 34,952 32,687
1,213 35,215 32,933
1.229 35,509 33,229
1.230 35,528 33,256
1,22435,578 33,296

Back figures.—See Banking and Monetary Statistics, pp. 127-227.

.308




FEDERAL RESERVE BULLETIN

WEEKLY REPORTING MEMBER BANKS—NEW YORK CITY AND OUTSIDE—Continued
RESERVES AND LIABILITIES
[Monthly data are averages of, Wednesday figures. In millions of dollars] ,
Time deposits,
except interbank

Demand deposits,
except interbank

Date or month

ReDeBalserves
with lash ances mand
dewith
Fedin
posits
eral vault domestic ad- 1
Rebanks justed
serve
Banks

Total 101 Cities
1945—January....
h
1945—September. .
October
November...
December...

10,129
10,307
10,491
10,223

570
569
603
643

1946—January

10,218

592

1945—Nov. 28

10,741

627

Dec. 5
Dec. 12
Dec. 19
Dec. 26

10,485
10,037
10,237
10,133

1946—Jan. 2
Jan. 9
Jan. 16
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

Individuals, States Certified
part- a n d
and
u. s.
ner- political
offiGovships,
subcers'
ernand
cor- divi- checks ment
etc.
pora- sions
tions

Domestic
banks
States U. S.
and Governpolit- ment
Forical
eign
and
sub- Postal Debanks
divi- Sav- mand Time
sions ings

585 2,260 35,506 35,842 1,777

987 12,941 7,643

113

46 9,419

904

1,009 10,074 8,968
1,135 8 571 9,087
1,186 8|218 9,186
1,359 16 242 9,200

111
108
106
100

9,741
9,921
10,419
10,795

1,085
1,105
1,116
1,145

598
651
654
668

1,882
1,983
2,266 39,751 40,011 2,112
37,884 1,957
2,507
37,591
37,888 1,997
2,431
37,648
40,230 2,181
2., 273
40,247
518 37,452 37,726 1,984
570 37,381 37,990 1,893
525 37,974 38,160 1,969
2,416 37,556 37,662 1,981

10,217
10,175
10,375
10,236
10,088

610
613
583
568
585

2,595 37,066 37,674
2,448 37,384 37,491
2,526 37,728 38,257
2,352 38,037 38,084
2, 238 38 ,026 37,933

10,133
10,110
10,004

545 2,231 37,821 37,650 2,138
604 2,309 37 ,542 38,170 2,140
573 2,275 37,687 37,727 2,141

9,340

New York City
1945—January....

3,345

3,671
3,767
3,809
3,636

86
87
98
106

1946—January

3,654

1945—Nov. 28

2,175 38,748 38,894
,331 39,458
2,:

91

1945—September. .
October
November...
December...

1,949
1,934
1,956
2,024
2,123

10,790

1,189

200 4,995 69,711

43 10,432

1,126

663 4,949 12,715

1,131
1,132
1,154
1,162

354
258
328
451

4,967
4,955
4,958
4,954

22,979
16,934
18,443
12,801

232
161
162
187
259

4,993
4,996
4,995
4.997
4,995

18,273
16,258
16,578
15,664
14,929

1,492
1,274
1,418
1,251

15,958
16,761
16,149
16 100

9,188
9,190
9,195
9 ,228

102
102
97
99

10,871
10,812
10,833
10,666

1,631
1,151
1,220
1,195
1,073

16,660 9 .304
,360
16
16;165 9,376
9,402
16,032
16 ,227 9 ,416

99
101
101
'105
106

11,061
10,986
11,213
10,562
10,131

1,273 16 291 9 ,442
1,117 16,_348 9 ,464
1,196 16,387 9,496

115
117
120

44 10,212

590 5,543
618
724
726
862

91

13,534 13,934

214

739

3,924

98

14,956 15,278

280

910

Dec. 5
Dec. 12
Dec. 19
Dec. 26

3,693
3,557
3,634
3,659

96
107
109
112

13,469
13,425
13,677
13,625

13,970
13,928
14,108
13,999

191
189
183
213

1946—Jan. 2
Jan. 9
Jan. 16
Jan. 23
Jan. 30

3,690
3,612
3,647
3,690
3,631

95
97
87
86
92

13,387
13,420
13,403
13,734
13,728

13,965
13,739
13,897
14,036
14,033

3,64 ;
3,63:
3,630

85
96
95

13,728 13,982
13,461 13,928
13,567 13,898

5,995

494 2,234 22,738 22,623

6,458
6., 540
6,682
6,587

484
482
505
537

2,151
2,186
2,241
2,478

24,550
24,770
25,040
24,043

24,353
24,520
24 ,884
23,883

57,165
63,464
63,039
78,116

8,547 9,194

172

1945—September. .
October
November..
December...

4,862
4,905
4,942
4,959

102

168
219
261
194

Outside
New York City
1945—January

141 4,617 65,627
348
312
533
348

110

14,541
14,938
15,127
14,001

14,198
14,561
14,711
13,548

Bor- Cap- Bank
row- ital
debacings counts its*

1,254 16,237 9,372
1,376

12,768 13,219

Feb. 6
Feb. 13
Feb. 2 0 . . . .

Individuals,
partnerships,
and
corporations

Interbank
deposits

899

10,180
10,065

1,224
1,229
1,219

290 5,025 15,761
350 5,029 13,140
297 5,036 16,882

2,985

817

69 1,792 30,826

2,941
3,031
3,138
3,335

971
986
992

122
869 26,534
100
884 29,990
227
28,423
240 1,900 37,046

963
808
887
791

4,005 1,119
3,370 1,085
3,077 ,100
6,361
1,090
6,263
1,118
3,096
1,101
6,469 1,097
6,576 1,094
6,215 *,081
6,183 1,089

3,374
3,312
3,381
3,272

203
191
188
221
268

998
661
726
721
588

6,478
6,226
6,232
6.154
6,224

1.104
1,121
1,119
1,121
1,123

266
281
247

823 6,234 1,125
647 6,250 1,125
748 6,257 1,138

10 3,183
10 3,136

1,605

397 7,398 6,744

1,714
1,764
1,851
1,763

391
411
460
497

6,069
5,201
5,141
9,881

7,849
8,002
8,086
8,110

3,356
3,175

1,016
1,059

119 1,922 34,165
359

1,896

5,888

1,001
1,003
1,028
1,031

191
165
261
344

1,903
1,901
1,901
1,893

10,614
7,915
9,147
5,742

3,433
3,374
3,555
3.261
3,154

1,054
1,068
1,046
1,050
1,076

166
90
98
113
130

1,922
1,924
1,925
1,925
1,919

8,957
7,942
8,350
7.758
7,080

3,156

1,096
1,099
1,090

154 1,936
159 1,937
130 1,940

7,462
6,053
8,203

1,002

6,434

87

72 2,825 34,801

6,800
6,890
7,281
7,460

114
119
124
129

226 2,993 30,631 '
212
33,474
306
048 34,616
108
059 41,070

515 9,974 8,254

7,434

130

81 3,073 35 ,546

5,451 8,093

7,257

124

304 3,053 6,827

9,489 8,091
9,9348,114
9,917 8,139

• - - 8,096

7,497
7,500
7,452
7,394

130
129
126
131

163
93
67
107

3,064 12,365
3,054 9.019
3,057 9,296
3,061. 7,059

8,200
8,239
8,257
r
8,281
10,003 8,293

7,628
7,612
7,658
7,301
6,977

129
130
131
131
128

66
71
64
74
129

3,071
3,072
3,070
3,072
3,076

450 10,057 8,317
470 10,098 8,339
448 10,130 8,358

7,024
7,029
6,929

128
130
129

136 3,089 8,299
191 3,092 7,087
167 3,096 8,679

1946—January

6,564

501 2,403 24,114 23 ,954 1,783

1945—Nov. 28

6,817

529 2,247 25,291 24,952

Dec. 5
Dec. 12
Dec. 19
Dec. 26

6,792
6,480
6,603
6,474

502
544
545
556

2,480
2,545
2,500
2,390

23,983
23,956
24,297
23,931

23.756
24,062
24,052
23,663

1,793
1,704
1,786
1,768

529
466
531
460

1946—Jan. 2
Jan. 9
Jan. 16
Jan. 23
Jan. 30

6,527
6,56.
6,728
6,546
6,457

515
516
496
482
493

2,565 23,679
2,423 23,964
2,500 24, 325
2,319 24,303
2,214 24 ,298

23,709
23,752
24,360
24,048
23,900

1,746
1,743
1,768
1,803
1,855

490
494
474
485

Feb. 6
Feb. 13
Feb. 20

6,486
6,478
6,374

460 2,205 24,093 23 ,668
508 2,282 24,081 24,242
478 2,250 24,120 23 ,829

1,872
1,859
1,894

1,901

•-

10,182
9,874
9,933
9,878

9,316
8,316
8,228
7,906
7,849

* Revised.
Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection.
Demand
Monthly and weekly totals of debits to demand deposit accounts except interbank and U. S, Government accounts.
~>.

1
2

MARCH

1946




309

WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS
LOANS AND INVESTMENTS
[In millions of dollarsl
Loans

Federal Reserve
district and date

Boston
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
New York*
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Philadelphia
Jan. 23 .
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Cleveland
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb 20
Richmond
Jan. 23
Jan. 30
Feb 6
Feb. 13
Feb. 20
Atlanta

To others

U.S.
U. S.
Govt. Other Govt Other
seseob- curi- ob- curiliga- ties liga- ties
tions
tions

Real- Loans
estate to Other Total
loans banks loans

472
481
484
485
485

46
52
35
42
42

23
24
22
22
15

51
51
47
47
46

18
18
18
19
19

70
70
70
70
71

2
2
2
4
4

123
120
122
124
125

26,003
26,077
26,127
25,925
25,990

6,719
6,694
6,660
6,610
6,728

2,990
3,003
3,036
3,048
3,068

1,319
1,290
1,223
1,230
1,268

552
546
538
527
527

900
886
873
857
857

206
236
208
208
238

148
147
148
150
151

60
42
91
43
66

544
544
543
547
553

19,284
19,383
19,467
19,315
19,262

2,836
2 849
2,853
2,822
2,832

549
554
558
552
J5.53

244
251
256
255
254

11
9
8
8
8

33
33
33
30
30

74
73
70
70
70

11
11
10
10
10

33
32
33
34
34

1
2
1
1
1

142
143
147
144
146

5,375
5,406
5,396
5,398
5,400

1,111
1,108
1,106
L,103
ins

435
433
432
438
438

71
71
72
63
61

21
23
22
25
30

260
261
258
252
251

14
14
14
14
14

157
157
158
158
159

2 232
2,237
2,243
2 247
2,252

396
397
401
400
406

173
174
174
175
176

5
5
10
7
9

6
6
6
5
5

78
78
78
81
80

10
10
10
10
10

50
50
50
49
51

2,311
2,299
2,309
2,315
2,330

516
511
507

245
246
245
245
242

3
2
2
2
2

10
10
9
9
8

132
129
123
120
120

8
8
8
9
8

24
24
24
25
25

42

285

82

165

504
498
10,006 J R56 1 002
10,004
,842
995
9,951
,845
991
9 908
991
831
S1(S
9 971
989

Jan. 23

23
30
6...
13
20

To brokers
and dealers

L . S Government ob igations

805
818
800
813
807

Jan. 30
Feb. 6
Feb. 13
Feb. 20
Chicago*

Jan.
Jan
Feb.
Feb.
Feb.

For purchasing
or carrying securities

. . . 3,419
3,443
3,443
3,424
3,424

Jan. 23

Jan. 30
Feb 6
Feb. 13
Feb 20
St. Louis

Total
loans
and
invest- Total
ments

Commercial,
industrial,
and
agricultural

Investments

2,227
2 218
. . . . 2,218
2,217
2,221
....

Minneapolis
Jan. 23
Jan 30
Feb 6
Feb. 13
....
Feb 20
Kansas City
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Dallas
Jan. 23
Jan 30
Feb 6
Feb.13
Feb. 20.
San Francisco
Jan 23
Jan. 30
. .
Feb: 6 ,
Feb 13
Feb. 20
City of Chicago *
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20

608
605
605

607
613

344
343
344

1,396
1,398
1 409
1,398
1,395

260

344
348
125

257
258
255
250

125
126
125
122

2,503
2,486
2,488
2,501
2,511

434

252

126

589
583
582
578
579

389
386
389
384
387

18,099
18,204
18,284
18,137
18,073

52S
615
,591
511
419

3,923
3,927
4,011
3,936
3,981

2,958
2,967
2,985
2,995
3,022

2,287
2 295
2,295
2,270
2,279

2,082
2 091
2,088
2,063
2,072

141
145
141
129
126

404
405
411
404
404

292
292
284
279
275

J ?AS

1,249
t,252
1,251
L.267

205
204
207
207
207

148
149
150
153
155

4,264
4,298
4,290
4,295
4,292

3,988
4,018
4.008
4,010
4,003

1,049
1,066
1,077
1,080
1,078

648
644
645
650
644

2,242
2,241
2,242
2,244
2,233

276
280
282
285
289

2
2
2
6
2

68
72
71
71
73

1,836
1,840
1,842
1,847
1,846

1.764
L767
1,769
L 773
1,772

49
67
44
36
48
71
69
71
74
.57

211 1.065
211 ,066
209 ,061
208 .070
208 .072

72
73
73
74
74

3
3
3
2
1

91
89
93
92
92

1,795
1,788
1,802
1,811
1,832

L,644
1,638
L.652
1,661
1,682

57
57
67
67
71

1
1
1
1
2

151
150
150
150
150

7,578
7,589
7,536
7,495
7,570

351

3,562
3,567
3,570
3,571
3,556

2

572

337

244
241
238
239
243
1,154
1,158
1,146
1,132
1,144

834
836
840
849
844

8,150
152 8,162
153 8,106
152 8,077
153 8,155

508
503
506
505
522
2,509
2,534
2,530
2,536
2,533

40
27
31

302
304
301

325
326
324

815
820
817

2

5

82
80
81

165
166
166

116

39

272

80

167

5
5
4

5
5
5

68
68
68

15
14
13

70
70
70

71
71

3
4

26

1

27
28
28
28

1
1
1
1

40

1

6
6

69
65

2

3

47

13
15
5

3
3
3
3

45
44
43
41

5
4
4
4

4

55

1
1
1
1

2,614 2,542
2,625 2,552
2,643 2,567
2,611 2,534
2,617 2,537

154

281
279
277

4
5

i ±fr±

100
105
113
82
86

42
41
41

125
135
123

Total

CerOther
tificates
Guar- secuBills of in- Notes Bonds an- rities
debtteed
edness

2
2
4

1.619
L ,613
L,613
97 1,610
99 L.608
99
98
97

1,484
J .477
L,477
L,474
,474

51 L, 136 L,081
50 L, 141
.083
151 1,095
51
50 1,143 1,086
50 1,145 1,088

330
290
256

417
421
428
421
435

1 478
1,483
1,490
485
10,691
10,693
10,695
10,693
10,650

72
73
76
77
80
2
2
2
2
1

1,185
1,179
1,183
1,178
1,189

573
570
582

585

4

136
136
136

31
23
31

310
313

308
306

237

168

825
832
645

15
22
13
24

238
243
244
243

159
159
159
153

671
671
670
668

58
56
57
57

135
134
55

9
9
9
9

41
41
41
41

1
1
1
1

72
72
72
72

2,069
2,049
2,054
2,070
2,082

1,923
1,902
1,907
1,923
1,933

64
71
86
93

566
570
569
574

386
379
380
378

876

2
2
2
2

54
53
52
51

397

886
887
888
888

146

254
252
250
249

4
4
4
4

568

437
434
431
429
666
666

387
388

1
1

4
4

31
31

2
1

212
214

646
650

29

1
1

62
62

135

1,458
1,446
1,436
1,444
1,463

528
526

4

78 1,520
78 1,508
77 1,498
78 1,506
78 1,526

72
56

390

1

139
136

664

59

510

213

654

139 6,317
6,319
138 6,327
143 6,314'
142 6,357

5,888
5,889
5,897
5,885
5,919

237 1,682
192 1,705
203 1,699
180 1,694
156 1,716

4,432
4,415
4,371
4,341
4,425

280
243
214
201
295

2,186
2 174
2 162
2,170
2,188
7 618
7 620
7,624
7 618
7,668

1 301
1 301
1,297
1 301
1,311

6,087
6,056
6,012
5,979
6,053

1,274
1,288
1,278
1,263
1,250

664
662

2

9

71

h
6

131
124

606

1
1
45

24
27
27
26
31

29

163

27

292

607

45

29

28

293

28
28
27

293
294
295

136

28
28
28

163

42
41
43

753
745
742
742
739

121
119
130
118
112

35
35
34
34
32

184
182
181
179
177

73
73
72
72
72

37
37
37
37
37

85
83
82
81
81

389
390
612
616
625

156
154
151

32
32

82

61
74

213
516

1,592
1,606
1,599
1,596
1,592

511
218

62

659
655

963 3,004
960 3,027
960 3,030
974 3,032
967 3,076
659
662
657
646
638

147
147
147
149

62
63
2
5

5
5
4

429
430

430
429
438

l!904
1,901
1,898
1,900

367
367
363
375
378

• Separate figures for New York City are shown in the immediately preceding table and for the City of Chicago in this table.
for the New York and Chicago Districts, as shown in this table, include New York City and Chicago, respectively.

The figures

310



4,799
4,782
4,734
4,716
4,803

FEDERAL RESERVE BULLETIN

WEEKLY REPORTING MEMBER BANKS—BY FEDERAL RESERVE DISTRICTS—Continued
RESERVES AND LIABILITIES
fin millions of dollars]
1

Federal Reserve
district and date

Boston (6 Cities)
Jan 23
Jan. 30
Feb 6
Feb. 13
Feb. 20
New York (8 cities)*
Jan. 23
Jan. 30
Feb 6
Feb. 13
Feb. 20
Philadelphia(4 cities)
Jan. 23
Jan 30
Feb. 6
Feb. 13
Feb. 20
Cleveland (10 cities)
Jan. 23
Jan 30
Feb. 6
Feb 13
Feb 20
Richmond (12 cities)
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Atlanta (8 cities)
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
Chicago (12 cities)*
Jan. 23
Jan. 30
Feb. 6
Feb.13-.
Feb. 20
St. Louis (5 cities)
Jan. 23
Jan. 30
Feb. 6
Feb 13
Feb. 20 .
Minneapolis (8 cities)
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb 20
Kansas City(12 cities)
Jan. 23
Jan. 30
Feb 6
Feb 13
Feb. 20
Dallas (9 cities)
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20.
San Francisco (7 cities
Jan. 23
Jan. 30
Feb. 6
Feb. 13
Feb. 20
City of Chicago *
Jan 23
Jan 30
Feb 6
Feb 13
Feb. 20

ReBalDeserves
with Cash ances mand
with
deFederal vault do- posits
mestic ad- 1
Rebanks usted
serve
Banks

472
449
451
456
457

57
58
55
58
56

125
114
109
115
113

2,133
2,134
2,115
2,117
2,112

3,948
3,871
3 892
3,890
3,896

117
123
116
129
126

114
106
113
114
116

15,087
15,086
15,079
14,818
14,944

431
430
428
423
420

29
31
29
33
32

90
83
77
81
78

1,814
1,818
1,806
1,774
1,774

773
738
757
736
729

76
76
71
78
76

211
205
208
214
211

2,984
2,957
2,951
2,921
2,931

341

39

332

38

Demand deposits
except interbank
Individuals, States Certiand
fied
part- politand
nerical
offiships, subcers'
and
divicor- sions checks,
etc.
porations

907
913
914
915
915

432
433
435
436
437

458
15 ,183
526
15 ,163
1S 09 3
530
15 ,070 " 562
537
15 ,022

758
633
861
675
781

6,595
6,671
6,681
6,700
6,710

1,779
1,781
1,784
1,785
1,798

23
24
26
27
29

1 ,875
1 ,883
1 ,867
1 ,872
1 ,842

45
43
45
45
50

22
24
19
23
22

719
727
729
730
733

224
224
225
226
225

2
2
2
2
2

3 ,005
? ,981
2 ,949
3 ,on
2 ,959

139
135
139
132
135

47
55
52
56
53

1,135
1,148
1,156
1,158
1,162

1,242
1,244
1,246
1,250
1,253

25
25
32
32
34

79

31

503

346

2

91
82
86

81

29

508

347

2

36
39
37

382
380
383
393
380

30
31
28
30
29

155
147
153
162
156

1,270 1 ,206
1,275 1 ,182
1,279 1 ,192
1,295 1 ,228
1,300 1 ,??3

1,457
1,473
1 468
1,453
1,403

89

401

92
88
99
89

405
403
411
403

342

22

23
21
23
22

115

339
338
351
344
199
200
197
193
197

10
11

453
461
452

24
25
22
25
23

289 1 390
266 1,383
266 1,370
286 1 404
290 1,408

401
386
399
383
384

25
26
24
26
24

293
271
258
275
273

1,376
1,364
1,364
1,358
1,380

1,037
1,029
1,017
1,029
1,013

50
51
46
53
49

287
283
278
277
277

3,520
3,509
3,472
3,517
3,506

897
906

35
36

909
907
863

35
41
36

464
442

11
10

3,331
3,224
3 226
3,252
3,206

131
134
166
181
150

2,081
2,076
2 093
2,094
2,097

8,131
7,458
7,861
6,359
8,634

1
3
6
9
15

255
255
256
256
256

579
545
612
491
650

4
25
23
51

479
480
481
482
483

836
897
840
715
922

384
377
377
377
372
588
570
567
556
549

7
7

7
7
7
7
7

4
4
4
4
4

453

5

3

423

5

4

28

134

410

3
5
8

134

395

135
135
135

406
408
446

461
465
467
468
470

418
420
419
422
424

4
4
4
4
4

3
2
2
2
2

607
571
586
593
583

1
1
1
1
1

8
8
8
8
7

5
10
6
5
3

123
123
124
125
125

386
387
390
372
415

31
83
87
99
83

2,321
2,365
2,374
2,381
2,387

/-1844
1,850
1,855
1,854
1,858

r(>

4

4
4
4
4

1,764
1,693
1,721
1,718
1,699

5

25

9

591

592
595
595
596

1,926
2,007
2,244
1,783
2,248

16

480

342

1

1

1
1
1
1

1
1
1
1

672

133

390

455
455
450
454

1,078 1 ,131
1,066 1 ,110
1,052 1 ,100
1,075 \ ,139
1,075 1 ,1?3

64

16
14
14
16

485
488
494
495

343
345
346
347

650
656
650
677
651

76
82
83
79
76

13
12
11
10
10

369
372
374
375
374

1 377
L

162
164
160

28
28
27

493 292
498 292
501 • 293

29
27

503
505

6
6
6
6

211
211
212
213
213

5
4
4
4

2

9
7
28
41
7

2
2
2
2

15
16
3
10

2
2
2
2
2

12
19
16
15
18

87
87
87
87
87

254
246
249
202
271

891
901

13
32
20

465
434
453

23
11

147
147
148
148
148

406
518

132
133
136
137
137

406
366
384
386
448

548
548
549
549
549

1,194
1,167
1,205
1,077
1,239

347
347
1

22
23
23
23
2

657
662
664
644
359
341
347

940

c

1
1

2

294
295

1
1

2
2

909
905

650
609
592
600
592

1

497
478
465
470
460

43
42
44
46
46

1 252
1,197
1,213
1,209
1,209

21
19

80
87
90
92
88

34
29
26
25
25

481
483
485
490
492

271
271
273
274
273

14
14
14
15
14

2

1,353
1,398
.386

3,551
3,537
3,489
3,633
3,565

180
167
168
167
164

110
107
101
103
100

1,568
1,592
1,610
1,620
1,629

2,001
2,000
2,006
2,014
2,022

27
27
27
27
27

7

185 3,296 3,327
185 3,298 3,316
192 3,241 3,247
187 3,206 3,310
185 3,225 3,249

180
187

39 1,507
42 1,539
42 1,544
43 1,549
38 1,554

752
757

198
197
203

1,053
1,078
1,098
1,101
1,092

5
4
3

433

1,396

687
647
708
603
685

5
5
5

?80
5,402
5,451 5 ,304
5,348 «i 71S
5,285 5 ,309
160
5,278

:1,365

287
288
288
288
289

11
12
11
11
11

3
3
2
2
2

5
7
17
18
13

437
428
417

16
15
14
13
17

159
168

14
16
16
16
18
1
1
1
1
1

27
27
25
25
26

7
7
7

195
200
198
197
196

1,351
,350
L 409
,390

317
297
299
298
291

2
2
2

512
514
515

66
65
69
71

2
2
2
2
2

349
350
351

28
28
28

669
679
678
664
666

Interbank
deposits

Domestic
banks
States U. S.
Bor- Cap- Bank
Govital
and
ernacpolit- ment
For- ings counts its2
ical
eign
and
sub- Postal Debanks
Time
divisions Sav- mand
ings

39
42
33
42
34

351
339
339

96
95
94
94
98

Individuals,
U. S. partGov- nerern- ships,
ment and
corporations

113
117
114
lt)6
116

2 ,109
2 ,102
2 ,089
2 ,098
2 ,094

176 1,314 1 3?1
151 1,304 1 ?99
159 1,307 1 ,303
163 1,314 1 ,324
149 1,313 1 ,31?

112
113
117
111

Time deposits,
except interbank

759
756
758

7

19
19
19

10
12

2

132
133
133
134

380
409
338
406

373 1,249
374 1,353
376 1,486
376 1,149
377 1,458

r
Revised.
* See note on page 310. .
1
Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection.
3
Debits to demand deposit accounts except interbank and U. S. Government accounts.

MARCH

1946




311

COMMERCIAL PAPER AND BANKERS' ACCEPTANCES
fin millions of dollars]

OUTSTANDING

Dollar acceptances outstanding
Held by
End of m o n t h

Commercial
paper
out1
• standing

Based on

Accepting banks

Total
•outstanding

Others 2
Total

Own
bills

Bills
bought

Imports
into
United
States

Exports
from
United
States

Dollar
exchange

Goods stored in or
shipped between
points in
United
States

Foreign
countries

1944—October
November
December

142
167
166

115
115
129

85
84
93

40
44
44

45
40
50

30
32
35

79
74
86

13
14
14

(3)
(3)
(»)

21
24
25

2
4
3

1945—January
February
March
April
May
June
July
August
September
October
November
December

162
157
147
119
103
101
107
110
111
127
156
159

130
126
128
117
104
107
117
128
135
135
145
154

98
97
96
.90
82
80
90
101
104
100
107
112

48
52
54
52
51
44
45
50
52
53
58
64

50
46
42
38
32
36
45
50
52
46
49
48

32
29
32
. 26
22
27
226
28
31
35
38
42

86
87
87
81
72
74
81
91
98
95
100
103

13
12
11
10
9
10
9
10
11
12
15
18

(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)
(3)

25
24
25
24
22
20
22
25
23
22
23
26

5
4
4
2
2
3
4
2
3
6
6
7

1946—January

174

166

126

71

55

40

109

20

(3)

29

8

1
2

As reported by dealers; includes some finance company paper sold in open market.
None held by Federal Reserve Banks except on July 3 1 , 1945, when their holdings were $486,000.
" Less than $500,000.
Back figures.—See Banking and Monetary Statistics, Table 127, p p . 465-467; for description, see p . 427.

CUSTOMERS' DEBIT BALANCES, MONEY BORROWED, AND PRINCIPAL RELATED ITEMS OF STOCK EXCHANGE
FIRMS CARRYING MARGIN ACCOUNTS
[Member firms of New York Stock Exchange.

Ledger balances in millions of dollars]

Credit balances

Debit balances

End of month

Debit
Debit
Customers' balances in balances in
firm
debit
partners'
balances investment investment
(net)i
and trading and trading
accounts
accounts

Customers'
credit balances 1
Cash on
hand
and in
banks

Money
borrowed 2
Free

Other
(net)

Other credit balances
In firm
In partners'
investment investment
and trading and trading
accounts
accounts

In capital
accounts
(net)

1936—June
December...
1937—June
December...
1938—June
December...
1939—June
December...
1940—June
December...

1,267
1,395
1,489
985
774
991
834
906
653
677

67
64
55
34
27
32
25
16
12
12

164
164
161
108
88
106
73
78
58
99

219
249
214
232
215
190
178
207
223
204

985
1,048
1,217
688
495
754
570
637
376
427

276
342
266
278
258
247
230
266
267
281

86
103
92
85
89
60
70
69
62
54

24
30
25
26
22
22
21
23
22
22

14
12
13
10
11
5
6
7
5
5

420
424
397
355
298
305
280
277
269
247

1941—June
December...
1942—June. . .
December...
1943—June
December...
1944—June
December...

616
600
496
543
761
788
887
1,041

11
8
9
7
9
11
5
7

89
86
86
154
190
188
253
260

186
211
180
160
167
181
196
209

395
368
309
378
529
557
619
726

255
289
240
270
334
354
424
472

65
63
56
54
66
65
95
96

17
17
16
15
15
14
15
18

7
5
4
4
7
5
11
8

222
213
189
182
212
198
216
227

1945—February. . .
March
April
May.
June
July
August
September. .
October
November. .
December . .

31,'034
31,065
31,094
1,223
31,141
31,100
31,084
31,063
31,095
1,138

121

14

13

264

13

302

1946—January,...

31,168

73O
3722
3701
3742
853
3
824
3758
3762
3743
3711
795

e

s 734

3 727

e

11

333

220

12

413

313

540
3553
3575
3583
549
3580
3573
3594
3632
3639
654

112

29

* Estimated. Complete reports now collected semiannually; monthlyfiguresfor three items estimated on basis of reports from a small number
of large firms.
1
Excluding balances with reporting firms (1) of memberfirmsof New York Stock Exchange and other national securities exchanges and (2) of
firms' own partners.
2
Includes money borrowed from banks and also from other lenders (not including member firms of national securities exchanges).
8
As reported to the New York Stock Exchange. According to these reports, the part of total customers' debit balances represented by balances
secured by U. S. Government securities was (in millions of dollars): November, 181; December, 196; January, 193.
NOTE.—For explanation of these figures see "Statistics on Margin Accounts" in BULLETIN for September 1936. The article describes the
method by which thefiguresare derived and reported, distinguishes the table from a "statement offinancialcondition," and explains that the last
column is not to be taken as representing the actual net capital of the reporting firms.
Backfigures.—SeeBanking and Monetary Statistics, Table 143, pp. 501-502, for monthlyfiguresprior to 1942, and Table 144, p. 503, for data
in detail at semiannual dates prior to 1942.

312



FEDERAL RESERVE BULLETIN

OPEN-MARKET MONEY RATES IN NEW YORK CITY
[Per cent per annum]

Year,
month, or
week

Prime
commercial
paper,
4- to 6months 1

U.S. Government
security yields
Prime Stock
exbank- change
9-to 12ers'
call
month
accept- loan
to
certifi- 3-year53ances,
re90 1
month cates taxable
new2
of in- notes
days
bills*
als
debtedness
.373
1.34
1.00
.44
.75
44
375
79
1.00
1.33
.375
1.00
.44
.81
1.18

COMMERCIAL LOAN RATES
AVERAGES OF RATES CHARGED CUSTOMERS BY BANKS
IN PRINCIPAL CITIES
[Per cent per annum]
Total
19 cities

.69
73
.75

1945—February. .
March
April
May
July
August....
September.
October. . .
November.
December..

.75
.75
.75
.75
.75
75
.75
.75
.75
.75
.75

.44
.44
.44
.44
.44
44
.44
.44
.44
.44
.44

1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00
1.00

.375
.375
.375
.375
.375
.375
.375
.375
.375
.375
.375

.77
.78
.77
.80
.81
.80
.82
.84
.83
.84
.84

1946—January.. .
February . .

.75
.75

.44
.44

1.00
1.00

.375
.375

.79
.76

/€

Vie

1.00
1.00
1.00
1.00
1.00

.375
.375
.375
.375
.375

.77
.78
.77
.76
.75

1937 average1. . .
1938 average1. ..
1939 average....
1940 average
1941 average....
1942 average
1943 average....
1944 average. . . .
1945 average....

2.59
2.53

1.73
1.69

2.88
2.75

3.25
3.26

2.78
2.63
2.54
2.61
2.72
2.59
2.39

2.07
2.04
1.97
2.07
2.30
2.11
1.99

2.87

2.51

3.51
3.38
3.19
3.26
3.13
3.02
2.73

2.55
2.60
2.41

1.95
1.98
1.88

2.58
2.62
2.45

3.23
3.29
2.99

1942—March
June
September
December.
1943—March. . .
June.....
September
December.

2.48
2.62
2.70
2.63

1.85
2.07
2.28
2.09

2.48
2.56
2.66
2.63

3.20
3.34
3.25
3.26

2.76
3.00
2.48
2.65

2.36
2.70
2.05
2.10

2.76
2.98
2.71
2.76

3.24
3.38
2.73
3.17

2.63
2.63
2.69
2.39

2.10
2.23
2.18
1.93

2.75
2.55
2.82
2.61

3.12
3.18
3.14
2.65

1945—March
June
September
December.

2.53
2.50
2.45
2.09

1.99
2.20
2.05
1.71

2.73
2.55
2.53
2.23

2.91
2.80
2.81
2.38

1.10
1.03
1.06
1.07
1.06
1.04
1.00

1

7

/i«

Vie
Vl6
Vie

11 Southern and
Western
cities

1941—June
September
December.

1.22
1.18
1.14
1.16
1.16
1 16
1.17
U.19
1.17
1.14
U.15

Week ending:
Jan.26
Feb. 2 . . . .
Feb. 9 . . . .
Feb. 16
Feb.23....

7 Other
Northern and
Eastern
cities

1944—March.. . .
June
September
December.

1943 average
1944 average
1945 average

June

New
York
City

1
2

Monthly figures are averages of weekly prevailing rates.
The average rate on 90-day stock exchange time loans was 1.25 per
cent during the entire period.
3
Rate on new issues offered within period.
* From Sept. 15 to Dec. 15, 1945, included Treasury notes of Sept.
15, 1948 and Treasury bonds of Dec. 15, 1950; beginning Dec. 15,
1945, includes only Treasury bonds of Dec. 15, 1950.
Back figures.—See Banking and Monetary Statistics, Tables 120-121,
pp. 448-459, and the BULLETIN for May 1945, pp. 483-490.

1
Prior to March 1939 figures were reported monthly on a basis not
strictly comparable with the current quarterly series.
Back figures—See Banking and Monetary Statistics, Tables 124-125
pp. 463-464; for description, see pp. 426-427.

BOND YIELDS 1
[Per cent per annum]
U. S. Government
Year, month,
or week

7 to 9
years
Taxable

15 years and
over
Partially tax
exempt

Corporate (Moody's) 4
Municipal
(highgrade)2

Corporate
(highgrade)3

By groups

By ratings
Total

Taxable

Aaa

Aa

A

Baa

Industrial

Railroad

Public
utility

Number of issues.

1-5

1-5

1-9

15

5

120

30

30

30

30

40

40

40

1943 average
1944 average....
1945 average. . . .
1945—February .
March. .. .
April
May
June
July
August. . .
September.
October.. .
November.
December.

1.96
1.94
1.60
1.77
1.70
1.62
1.57
1.56
1.58
1.59
1.56
1.50
1.42
5
1.38

1.98
L.92
L.66
1.75
L.70
L.68
L.68
L.63
L.63
1.68
L.68
L.62
L.56
1.51

2.47
2.48
2.37
2.38
2.40
2.39
2.39
2.35
2.34
2.36
2.37
2.35
2.33
2.33

2.06
L.86
L.67
L.71
L.61
L.57
1.58
L.58
L.57
L.70
L.79
1.76
1.70
1.64

2.64
2.60
2.54
2.56
2.51
2.49
2.53
2.54
2.53
2.56
2.56
2.54
2.54
2.54

3.16
3.05
2.87

2.73
2.72
2.62

3.91
3.61
3.29
3.41
3.38
3.36
3.32
3.29
3.26
3.26
3.24
3.20
3.15
3.10

2.85
2.80
2.68
2.69
2.68
2.69
2.68
2.68
2.68
2.68
2.67
2.65
2.64
2.64

2.99
2.97
2.89

2.65
2.62
2.61
2.62
2.61
2.60
2.61
2.62
2.62
2.62
2.61

3.13
3.06
2.87
2.94
2.92
2.90
2.88
2.86
2.85
2.85
2.85
2.84
2.81
2.79

3.64
3.39
3.06

2.93
2.91
2.90
2.89
2.87
2.85
2.86
2.85
2.84
2.82
2.80

2.86
2.81
2.71
2.73
2.72
2.73
2.72
2.69
2.68
2.70
2.70
2.70
2.68
2.68

3.16
3.11
3.07
3.05
3.03
3.00
3.02
3.05
3.03
2.99
2.96

2.95
2.94
2.94
2.93
2.89
2.87
2.86
2.85
2.84
2.81
2.79

1946—January..
February .

1.31
1.28

2.21
2.12

1.57
1.49

2.43
2.36

2.73
2.68

2.54
2.48

2.62
2.56

2.73
2.70

3.01
2.95

2.57
2.54

2.89
2.83

2.71
2.65

Week ending:
Jan.26. ..
Feb. 2 . . .
Feb. 9 . . .
Feb. 1 6 . . .
Feb.23...

1.30
1.30
1.28
1.27
1.28

2.18
2.17
2.14
2.10
2.10

1.53
1.52
1.49
1.48
1.49

2.39
2.37
2.37
2.36
2.36

2.71
2.69
2.68
2.67
2.67

2.52
2.50
2.49
2.48
2.48

2.60
2.59
2.57
2.56
2.56

2.71
2.70
2.70
2.69
2.69

3.00
2.98
2.96
2.94
2.94

2.56
2.55
2.54
2.54
2.54

2.88
2.86
2.84
2.82
2.82

2.69
2.68
2.67
2.65
2.64

(6)
(6)

(6)
(6)
(6)
(6)
<•)

1
2
4

Monthly and weekly data are averages of daily figures, except for municipal bonds, which are based on Wednesday figures.
Standard and Poor's Corporation.
3 u . S. Treasury Department.
Moody's Investors Service, week ending Friday. Because of limited number of suitable issues, the industrial Aaa, Aa, and A groups have
been 6 reduced from 10 to 3, 6, and 9 issues, respectively, and the railroad Aaa, Aa, and A groups from 10 to 7, 6, and 9 issues, respectively
Beginning Dec. 15, 1945, includes Treasury bonds of June 1952-54, June 1952-55, December 1952-54, and March 1956-58.
8
No partially tax-exempt bonds due or callable in 15 years and over.
Back figures.—See Banking and Monetary Statistics, Tables 128-129, pp. 468-474, and the BULLETIN for May 1945, pp. 483-490.

MARCH

1946




313

SECURITY MARKETS 1
Stock prices5

Bond prices
Corporate4
Year, month, or week

U.S.
Government2

Municipal
(highgrade)3 Highgrade

Medium- and lower-grade
Industrial

Total

Volume
of trading7 (in
thousands of
Public shares)
utility

Common (index, 1935-39=100)

Railroad

Pre-6
De- ferred
Public faulted
utility

Total

Industrial

Railroad

Number of issues.

1-9

20

20

15

15

402

20

28

1943 average. . . .
1944 a v e r a g e . . . .
1945 average. . . .

100.50
100.25
102.04

131.8
135.7
139.6

120.3
120.9
122.1

109.5
114.7
117.9

117.0
120.5
122.2

97.6
107.3
115.1

114.0
116.3
116.3

44.0
59.2
75.4

172.7
175.7
189.1

92
100
122

94
102
123

89
101
137

82
90
106

1,032
971
1,443

1945—February. .
March....
April
May
June
July
August
September.
October. . .
November.
December.

101.81
101.56
101.68
101.74
102.38
102.46
102.22
102.02
102.38
102.60
102.68

138.7
140.7
141.6
141.3
141.5
141.6
138.8
137.0
137.7
139.0
140.1

122.7
122.9
122.3
122.1
122.3
121.7
121.6
121.9
122.0
121.9

117.6
118.1
118.2
117.9
118.1
117.9
117.2
117.1
117.7
118.3
119.0

121.9
122.9
123.1
122.1
122.2
122.2
121.7
121.4
122.0
122.5
123.1

114.3
114.8
115.0
115.0
115.5
115.2
114.4
114.4
115.3
116.6
117.5

116.5
116.5
116.5
116.5
116.7
116.4
115.5
115.6
115.7
116.0
116.2

68.1
68.9
71.9
77.5
81.4
80.4
75.6
74.5
76.6
78.9
82.1

185.5
187.7
190.9
191.2
190.9
189.6
188.1
186.7
188.0
192.2
195.3

113
112
114
118
121
118
118
126
132
137
140

115
114
117
120
122
119
119
128
135
139
142

125
124
129
135
144
140
131
138
145
154
157

97
96
98
101
106
108
107
111
114
121
120

1,664
1,195
1,273
1,357
1.S28
951
1,034
1,220
1,556
1,961
1,626

1946—January...
February. .

104.59
106.03

141.6
143.4

123.8
124.5

119.7
120.0

123.9
124.4

118.9
119.6

116.3
116.1

84.9
85.4

197.9
200.5

145
143

148
146

164
160

124
124

2,183
1,776

Week ending:
Jan. 26
Feb. 2
Feb. 9 . . . .
Feb.16
Feb.23

105.01 142.4
105.22 142.6
105.74 143.3
106.33 143.5
106.31 143.3

124.3
124.4
124.6
124.5
124.5

120.0
120.1
120.0
120.0
120.1

124.2
124.6
124.3
124.4
124.4

119.1
119.3
119.7
119.7
119.6

116.6
116.4
116.1
115.8
116.1

85.4
87.1
87.0
85.7
84.6

198.9
199.4
199.4
200.0
201.2

145
149
149
145
141

148
151
152
147
143

166
168
169
162
154-

125
127
127
124
122

1,878
2,393
1,621
1,723
1,900

15

15

50

10

1
Monthly and weekly data are averages of daily figures, except for municipal bonds and for stocks, which are based on
2
Average of taxable bonds due or callable in 15 years and over.
3
Prices derived from average yields, as computed by Standard and Poor's Corporation, on basis of a 4 per cent 20-year
4
Prices derived from averages of median yields, as computed by Standard and Poor's Corporation.
6
Standard and Poor's Corporation.
6
Prices derived from averages of median yields on noncallable high-grade stocks on basis of a $7 annual dividend.
7

Wednesday figures.
bond.

Average daily volume of trading in stocks on the New York Stock Exchange.
Back figures.—See figa
Banking and Monetary Statistics, Tables 130, 133, 134, and 136, pp. 475, 479, 482, and 486. respectively, and the BULLETIN
a
M
1945
483490
for May 1945, pp. 483-490.
NEW SECURITY ISSUES
[In millions of dollars]
For refunding

For new capital

Year or month

1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

. . .

Total
(new Total
and
(dorefund- mestic
and
ing)
foreign)

Domestic

Total

6,214 1,972 1,949
3,937 2,138 2,094
4,449 2,360 2,325
5,842 2,289 2,239
4,803 1,951 1,948
5,546 2,854 2,852
2,114 1,075 1,075
642
640
2,174
'913
'896
'4,216
'•7,956 '1,762 '1,752

State
and
municipal

Corporate
Total

Bonds
and Stocks
notes

735
22 1,192
712
157 1,225
971
873
481
931
383
924
751
736
461
518 1,272
1,062
342
624
108
176
374
90
235
'646
'15
471
26 '1,255

839
817
807
287
601
889
506
282
'422
'602

2
9

'44
'29
'68
101
'158
1
212
107
'105
209
60
161

'19
'24
'33
50
'103

131

10

1945—January. . '641
February. '222
March.. . . '563
April
'759
May
»"584
June
'169
July
1,229
August. . . '510
September. '879
October.. . 1,338
November. 223
December. '838

'144
'44
'92
128
'187
52
249
i*4
'142
'243
'94
'243

'144
'44
'92
126
'186
52
249
144
'142
'238
'94
241

99
6
24
19
28
43
35
37
37
29
'34
80

346

200

200

68

1946—January...

Federal
agencies1

Domestic

""V
2

1

34
64
35
103
28
107

352
408
67
97
135
173
118
92
'224
'654

Total
(doFor-2 mestic
and
eign
foreign)

4,242
1..799
2,089
3,553
2,852
2,693
1,039
2 1,532
17 '3,303
'10 '6,194
23
44
35
50
2
1

Total

4,123
1,680
2,061
3,465
2,852
2,689
1,039
1,442
'3,288
'6,146

'497
'497
25
178
163
5
471
471
35
'631
'631
51 ""2
397
395
55
1
'117
'117
1
981
981
178
'366
'366
43
'737
'732
'70
106
5 1,096 1,070
129
129
31
594
594
54 " '3
122

146

146

State
and
municipal

Federal
agencies^ Total

Corporate

Foreign-

Bonds
and Stocks
notes

353 3,387 3,18*7 200
382
856 352
281 1,209
191
31
665 1,267 1,236
129
137
1,733 1,596
195 1,537
193
344 2,026 1,834
482
126
698 1,557 1,430
435
407
11
418
181
440
603
82
685
497
259
404 '418 '2,466 '2,178 288
912 '4,911 '4,256 '655
324
23
8
150
30
9
8
31
7
9
38
7
3

195
18
25
46
19
30
200
20
17
42
44
255

'279
'137
296
'555
367
'79
750
'338
'705
989
78
337

'246
'137
265
'530
272
'79
623
'297
'645
820
60
282

3

30

113

55

33

' "3i"

119
119
28
88
4

90
15
48
"l5

25
95 " 2
127
41
60
169
18
55

' 5
26

58

r
Revised.
1
Includes publicly
2

offered issues of Federal credit agencies, but excludes direct obligations of U. S. Treasury.
Includes issues of noncontiguous U. S. Territories and Possessions.
Source.—For domestic issues, Commercial and Financial Chronicle; for foreign issues. U. S. Department of Commerce.
subject to revision.
Back figures.—See Banking and Monetary Statistics, Table 137, p. 487.

314



Monthly figures

FEDERAL RESERVE BULLETIN

NEW CORPORATE SECURITY ISSUES 1
PROPOSED USES OF PROCEEDS, ALL ISSUERS
[In millions of dollars]
Proposed uses of net proceeds
Year or month

Estimated
gross
proceeds2

Estimated net
proceeds3 !

New money
Total

1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

Plant and
equipment

Retirement of securities
Working
capital

Bonds and j Preferred
notes I stock

Total

2,332
4,572
2,310
2,155
2,164
2,677
2,667
1,062
1,170
3,202
5,800

2,266
4.431
2.239
2,110
2,115
2,615
2,623
1,043
1,147
3.142
5.691

208
858
991
681
325
569
868
474
308
657
996

111
380
574
504
170
424
661
287
141
252
581

96
47S
417
177
155
145
207
187
167
405
415

1,865
3,368
1,100
1,206
1,695
1,854
1.583
396
739
2,389
4,447

1,794
3,143
911
1,119
1,637
1,726
1,483
366
667
2,038
4,017

190
87
59
128
100
30
72
351
430

1944—July
August. . .
September
October...
November
December.

210
219
463
742
380
182

206
215
453
729
373
178

63
61
29
125
33
66

37
27
18
10
17
9

26
34
11
115
17
57

131
151
415
594
338
109

107
149
375
570
224
106

24
2
40
24
115
3

1945—January..
February.
March
April
xMay

275
212
221
632
485
91
925
433
780
1,057
117
462

35
28
48
102
136
5
190
80
99
150
20
103

14
16
28
55
49

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

281
215
226
643
496
92
944
440
795
1,077
121
470

147
41
50
97
7
75

21
12
19
47
88
3
43
39
49
53
13
27

240
177
171
513
331
79
719
297
668
854
70
327

221
160
158
501
278
72
581
278
634
798
51
286

19
17
13
12
53
7
138
19
35
56
19
41

1946—January..

253

245

111

63

40

118

56

_j Repayment! Other
of
other debt purposes

62

June

71

170
154
111
215

226

23
49

36
7
26
19
28
35
27
47
124

69

174
144
138
73
49

124

5
1
14
12
1
5
50
1
19
4
121

3
6
6
11
6
12
34

PROPOSED USES OF PROCEEDS, BY MAJOR GROUPS OF ISSUERS
[In millions of dollars]
Railroad
Year or month

Public utility

57
139
228
24
85
115
253
32
46
102
115

1944—July
August
September..
October. . ..
November.
December.

21
134
189
36
52
82

21
19
10
2
4

1945—January
February..
March....
April
May
June
July
August
September.
October. . .
November.
December.

119
108

119
96

360
75

346

1946—January...

Other

Total
Total
Retire- All
Total
Retire- All
Retire- All
Retire- All Total
net
New ment of other
net
net
New ment of other
New ment of other
net
New ment of other
pro- money securi- pur- 1 pro- money securi- pur- 4 pro- money securi- pur- 4 pro- money securi- pur- 4
ceeds
ties
poses ceeds
ties
ties
poses ceeds
poses
poses ceeds
ties
120
774
338
54
182
319
361
47
160
602
1,436

1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

Industrial

54
558
110
30
97
186
108
15
114
500
1,320
115
179
35
48
82

246

57
93
74
266
219

68

50

105
84
270

7

1,250
1.987
751
1,208
1,246
18 1.180
1,340
464
469
1.400
2,196

10

62
31
167
499
272
21

30
63

89
180
43
245
317
145
22
40
61
5
3
5
9
7

1,190
1,897
611
943
1.157
922
993
292
423
1.343

2,083
56
26

155
485
265
20

774
30
27 .280
50 1,079
86
831
47
584
13
961
30
828
27
527
25
497
17 1,033
51 1,865
1
2
6
5

150
80
90
136
43
56
121
146
71
76
149

122
390
71
16
102
155
94
4
21
107
194

74
439
616
469
188
167
244
293
228
454
732

550
761
373
226
353
738
463
89
199
504
984

121
47
91
191
47
34

37
36
12
115
22
24

74
10
77
74
23
7

1
3
6
3
2
42

82
27
93

28
9
41

54
16
50
38
89
49
301
111
38
107
26
106

47
6
23
6
9

1C
18
4
15
2
2
40
13
10
27
27
27

15

46
218
57
8
9
42
55
4
13
61

72
152
7
7
88
9
18

4
20
7
1
5
104
21

4
42
60

4
3
47

13

65
60
124
139
184
30
301
115
371
565
42
200

65
60
122
127
183
30
297
110
364
523
35
169

118
223
59
480
221
130
218
4-9
166

117
3
163
63
87
89
17
51

43

43

181

98

64

1
1
4

1
2
29
2

"s
10
3

5
1
4
15
15

1
2
8

Estimates of new issues sold for cash in the United States. Current figures subject to revision.
Gross proceeds are derived by multiplying principal amounts or number of units by offering price.
Estimated net proceeds are equal to estimated gross proceeds less cost of flotation, i.e., compensation to underwriters, agents, etc., and expenses.
penses
« Includes repayment of other debt and other purposes.
Source.—Securities and Exchange Commission; for compilation of back figures, see Banking and Monetary Statistics (Table 138, p. 491), a publication of the Board of Governors.

MARCH

1946




315

QUARTERLY EARNINGS AND DIVIDENDS O F LARGE CORPORATIONS
I N D U S T R I A L CORPORATIONS
[In millions of dollars]
Profits and
dividends

Net profits,1 by industrial groups

Year or quarter
Total

Iron
and
steel

Machinery

Automobiles

Other
transportation
equipment

Nonferrous
metals
and
products

Other
durable
goods

Oil
Foods, produc- Indusbevering
trial
ages,
and
chemiand
cals
tobacco refining

Other
nondurable
goods

MiscellaNet
neous
1
serv- profits
ices

Dividends

Preferred

Common

629

47

69

15

68

77

75

49

45

30

80

74

152

152

152

1,465
1,818
2,163
1,769
1.800
1,896

146
278
325
226
204
194

115
158
193
159
165
174

223
242
274
209
201
222

102
173
227
182
180
190

119
133
153
138
128
115

70
88
113
90
83
88

151
148
159
151
162
175

98
112
174
152
186
220

186
194
207
164
170
187

134
160
187
136
149
147

122
132
152
161
171
184

847
1 028
1 137
888
902
970

90
90
92
88
86
86

564
669
705
552
556
611

Quarterly
1941—i
2
3
4

509
547
558
549

86
84
81
72

44
48
46
55

79
73
60
61

53
56
56
62

39
36
38
40

23
28
30
32

36
43
44
37

29
42
56
46

49
53
52
52

44
48
49
46

28
33
44
47

285
295
282
275

22
23
23
24

150
165
170
221

1942—j
2
3
4%

413
358
445
553

52
52
51
72

38
35
36
49

46
25
46
92

2
46
2 43
2 43
2 50

36
32
34
36

19
18
22
30

32
32
42
44

35
27
42
49

39
35
41
48

39
27
35
35

31
32
52
46

205
174
213
296

21
23
20
23

134
135
125
158

430
433
461
477

52
47
51
53

39
41
41
45

47
50
52
53

248
246
2
46
2 41

34
32
31
31

19
22
20
23

39
37
43
43

36
42
49
58

41
41
40
47

36
36
39
38

39
38
50
44

209
221
226
246

21
22
21
22

127
132
127
170

444
459
475
518

47
46
47
55

40
40
38
55

52
55
55
59

2 52
2 47
247
2 43

29
30
28
28

20
22
21
25

38
43
45
49

49
52
56
64

42
43
49
53

36
37
37
37

39
43
52
50

224
210
244
272

21
22
20
23

142
149
137
184

492
3 508
427

49
53
38

38
42
35

3 63
a 77
45

2 50
2 47
2 34

31
27
23

21
21
19

45
46
46

62
64
61

48
45
43

39
38
36

45
47
49

3 250
'269
223

20
22
21

142
145
143

Number of companies..
1939
1940
1941
1942
1943 .
1944

1943—i
2
3
4

. . .

1944—i
2
3
4

. . . .
. . . .
3

1945—i
2
3

PUBLIC U T I L I T Y CORPORATIONS
[In millions of dollars]

Railroad4
Year or quarter

1939
1940
1941
1942
1943
1944

Operating
revenue
3,995
4,297
5,347
7,466
9,055
9,437

..

1941—i
2
3
4

Quarterly

, . .
....

1942—1
2

3
4
1943—i

...

2

3
4
1944—i
2
3
4

1945—i
2

3

1,152
1,272
1,468
1.454

Income
before
income
tax'

Electric power5
Income
before
income
tax*

Net
income1

Dividends

246

2,647
2,797
3,029
3,216
3,464
3,618

629
692
774
847
914

535
548
527
490
502

444
447
437
408
410

69
103

28
36

751
723

209
182

154
126

(8)

189

34

750

183

107

Net
income1

Dividends

93
189
500
902
873

126
159
186
202
217

96
145
267

126
249
674

1,658
2,211
1,971

Telephone 6

668

Operating
revenue

915

499

390

Income
before
income
tax*

Net
income 1

1,067
1,129
1,235
1,362
1,537
1,641

227
248
271
302
374
399

191
194
178
163
180
174

175
178
172
163
168
168

295
308
311
321

67
69
66
68

43
44
45
46

44
45
44
40

Operating
revenue

Dividends

138

87

805

200

139

1,483
1,797
2,047
2,139

178
390
556
534

90
198
286
327

24
46
30
101

816
770
792
839

234
196
195
222

131
104
105
150

98
96
84
131

324
337
342
359

72
75
72
83

41
41
39
43

44
42
39
38

2,091
2,255
2,368
2,340

515
608
653
435

214
244
250
166

29
52
36
100

864
835
859
906

254
221
210
228

136
118
114
133

99
100
99
113

366
382
391
398

88
96
94
96

42
44
45
48

40
42
43
43

2,273
2,363
2,445
2,356

458
511
550
452

148
174
180
165

31
55
30
130

925
886
878
929

262
241
207
205

135
123
111
130

94
102
94
101

400
406
409
426

97
101
98
104

42
43
43
46

42
42
42
43

2,277
2,422
2,231

425
504
229

139
187
125

30
72
29

971
909
887

292
233
211

139
123
116

102
96
92

436
444
449

115
109
103

46
45
44

41
44
43

166

1
2
"Net profits" and "net income" refer to income after all charges and taxes and before dividends.
Partly estimated.
3
Revised net profits figures for the first six months of 1945, published by General Motors Corp., have been allocated by quarters as follows:
1st, 49 million dollars; 2nd, 62 million.
* Class I line-haul railroads, covering about 95 per cent of all railroad operations.
6
Class A and B electric utilities, covering about 95 per cent of all electric power operations. Figures include affiliated nonelectric operations.
6
Thirty large companies, covering about 85 per cent of all telephone operations. Series excludes American Telephone and Telegraph Company, the greater part of whose income consists of dividends received on stock holdings in the 30 companies.
7
8
After all charges and taxes except Federal income and excess profits taxes.
Not available.
Sources.—Interstate
Commerce Commission for railroads; Federal Power Commission for electric utilities (nonelectric operations and quarterly figures prior to 1942 are partly estimated); Federal Communications Commission for telephone companies (except dividends); published
reports for industrial companies and for telephone dividends. Figures for the current and preceding year subject to revision, especially for war
producers whose contracts are under renegotiation. For description of data and back figures, see pp. 214-217 of the March 1942 BULLETIN.

316



FEDERAL RESERVE BULLETIN

UNITED STATES GOVERNMENT DEBT—VOLUME AND KIND OF SECURITIES
[On basis of daily statements of United States Treasury. In millions of dollars]
Marketable public issues1

Total
gross
direct
debt

Total
interestbearing
direct
debt

1942—Dec
1943—June
Dec
1944—June....
Dec

108,170
136 ,696
165,877
201,003
230,630

107,308 76,488 6,627
135,380 95,310 11,864
164,508 115,230 13,072
199,543 140,401 14,734
228,891 161,648 16,428

1945—Feb. . . . .
Mar
Apr
May
June....
July
Aug
Sept
Oct
Nov
Dec, ,
1946—Jan
Feb

233,707
233,950
235,069
238,832
258,682
262,045
263,001
262,020
261,817
265,342
278,115
278,887
279,214

231,854
232,026
233,063
235,761
256,357
259,781
260,746
259,630
259,439
262,849
275,694
277,456
277,912

End of month

TotaP

162,379
162,625
162,680
162,652
181,319
183,080
183,334
182,833
182,790
185,112
198,778
199,633
199,810

Nonmarketable public issues

CertifiTreasury cates of Treasury Treasury
indebtbills
notes
bonds
edness

16,399
16,921
17,041
17,049
17,041
17,025
17,038
17,018
17,026
17,026
17,037
17,042
17,032

Total 2

Special
U. S. Treasury issues
savings tax and
bonds savings
notes

Noninterestbearing
debt

Fully
guaranteed interestbearing
securities

10,534
16,561
22,843
28,822
30,401

9,863
9,168
11,175
17,405
23,039

49,268
57,520
67,944
79,244
91,585

21,788.
29,200
36,574
44,855
50,917

V 27,363

34,606
40,361

6,384
7,495
8,586
9,557
9,843

9,032
10,871
12,703
14,287
16,326

862
L,316
L,37O
1,460
1,739

4,283
4,092
4,225
1,516
1,470

30,396
34,544
34,478
34,442
34,136
34,472
34,430
35,072
35,021
35,021
38,155
41,502
41,413

23,039
18,588
18,588
18,588
23,497
23,498
23,498
23,498
23,498
23,498
22,967
19,551
19,551

92,349
92,377
92,377
92,377
106,448
107,890
108,172
107,049
107,049
109,371
120,423
121,358
121,635

52,345
51,833
52,460
54,517
56,226
57,143
57,379
56,278
56,072
57,028
56,915
57,168
57,206

41,698
42,159
42,626
43,767
45,586
46,508
46,715
46,741
46,786
47,473
48,183
48,588
48,692

9,927
8,948
9,109
10,031
10,136
10,119
10,148
9,021
8,776
9,058
8,235
8,107
8,043

17,130
17,567
17,923
18,592
18,812
19,558
20,033
20,519
20,577
20,710
20,000
20,655
20,897

1,853
1,923
2,006
5,071
2,326
2,264
2,255
2,391
2,378
2,492
2,421
1,431
1,301

1,114
1,119
1,132
1,151
409
484
515
527
541
536
553
545
539

15,050
21,256

1
2

Including amounts held by Government agencies and trust funds, which aggregated 7,006 million dollars on Jan. 31, 1946.
Total marketable public issues includes Postal Savings and prewar bonds, and total nonmarketable public issues includes adjusted service and
depositary bonds not shown separately.
3
Including prepayments amounting to 947 million dollars on securities dated June 1, 1945, sold in the Seventh War Loan, beginning on May
14, 1945.
4
Including prepayments amounting to 54 million dollars on securities dated Nov. 15, 1945, and Dec. 3, 1945, sold in the Victory Loan, beginning 5on Oct. 29, 1945.
Including prepayments amounting to 192 million dollars on securities dated Dec. 3, 1945, sold in the Victory Loan, beginning on Oct. 29, 1945 .
Back figures.—See Banking and Monetary Statistics, Tables 146-148, pp. 509-512.
UNITED STATES GOVERNMENT MARKETABLE PUBLIC
SECURITIES OUTSTANDING, FEBRUARY 28, 1946
[On basis of daily statements of United States Treasury. In millions
of dollarsl
iue and coupon rate

Amount

Treasury bills 1
Mar. 7, 1946
Mar. 14, 1946
Mar. 21, 1946
,
Mar. 28, 1946
Apr. 4, 1946
Apr. 11, 1946
Apr. 18, 1946
Apr. 25, 1946
.May 2, 1946
May 9, 1946
May 16, 1946
May 23, 1946
May 31, 1946
Cert, of indebtedness
Mar. 1,1946
Vs
Apr. 1,1946
%
May 1,1946
%
June 1,1946
%
Aug. 1, 1946
J4
Sept. 1, 1946
Vi
Oct. 1,1946
Ji
Nov. 1, 1946
H
Dec. 1,1946
%
Tan. 1,1947
J4
Feb. 1, 1947
Ji
Treasury notes
Mar. 15, 1946
July 1, 1946
Dec. 15, 1946
Mar. 15, 1947
Sept. 15, 1947
Sept. 15, 1947
Sept. 15, 1948
Treasury bonds
Mar. 15, 1946-56..
June 15, 1946-48
June 15, 1946-49..
Oct. 15, 1947-52..
Dec. 15, 1947
Mar. 15, 1948-50
Mar. 15, 1948-51..
June 15, 1948
Sept. 15, 1948
Dec. 15, 1948-50
June 15, 1949-51
1

1,303
1,302
1,317
1,304
1,303
1,316
1,312
1,317
1,316
1,315
1,309
1,301
1,317
4,147
4,811
1,579
4,799
2,470
4,336
3,440
3,778
3,768
3,330
4,954
1,291
4,910
3,261
1,948
2,707
1,687
3,748

Issue and coupon rate

Amount

Treasury bonds—Cont.
Sept. 15, 1949-51
2
Dec. 15, 1949-51
2
Dec. 15, 1949-52... 3 H
Dec. 15, 1949-53... 2K
Mar. 15, 1950-52
2
Sept. 15, 1950-52... 2K
Sept. 15, 1950-52
2
Dec 15, 1950
IK
June 15, 1951-54... 2K
Sept. 15, 1951-53
2
Sept. 15, 1951-55
3
Dec. 15, 1951-53.. .2%
Dec. 15, 1951-55
2
Mar. 15, 1952-54... 2K
June 15, 1952-54
2
June 15, 1952-55... 2 K
Dec 15, 1952-54
2
June 15, 1953-55
2
June 15, 1954-56...2 yi
Mar. 15, 1955-60...2 %
Mar. 15, 1956-58... 2K
Sept. 15, 1956-59... 2K
Sept. 15, 1956-59... 2%
June 15, 1958-63... 2%
June 15, 1959-62.. .2%
Dec 15, 1959-62... 2 yi,
Dec. 15, 1960-65... 2K
June 15, 1962-67... 2K
Dec. 15, 1963-68... 2K
June 15, 1964-69... 2 xH
Dec 15, 1964-69... 2 /2
Mar. 15, 1965-70... 2 y2
Mar. 15, 1966-71. ..2 Y2
June 15, 1967-72... 2K
Sept. 15, 1967-72... 2K
Dec. 15, 1967-72... 2K

510
1,024
5,825
1,501
8,662
725
681
2,611
1,449
982
3,823
919
5,284
3,458
1,485
2,118
2,831
3,761
3,838
5,197
3,481
7,967
2,716
11,668

Postal Savings
bonds
2K
Conversion b o n d s . . . . 3
Panama Canal l o a n . . 3

117
13
50

1,292
2,098
491
1,786
1,963
1,186
4,939
2,635
1,627
7,986
755
1,118

2

489
31,036
3819
759
701
1,115
1,223
3,062
451
571
1,014

Total direct issues... 199,810
Guaranteed securities
Federal Housing Adroin,
Various

39

Sold on discount basis. See table on Open-Market Money Rates,
p. 2313.
Called for redemption on Mar. 15, 1946.
8
Called for redemption on June 15, 1946.

MARCH

1946




UNITED STATES SAVINGS BONDS
[In millions of dollars]

Month

RedempAmount Funds received from sales during tions and
in
outmaturities
standing
at end of
All
All
Series Series Series
month
G
E
F
series
series

1944—Aug....
Sept....
Oct.. . .
Nov....
Dec. . .

36,883
37,323
37,645
38,308
40,361

1945—Jan
Feb.. . .
Mar....
Apr.. . .
May. . .
June. . .
July...
Aug
Sept....
Oct
Nov....
D e c . ..
1946—Jan.. . .
Feb.. . .

41,140
41,698
42,159
42,626
43,767
45,586
46,508
46,715
46,741
46,786
47,473
48,183
48,588
48,692

499
591
599
807

602
692
695

1,023
2,386.

18
16
14
43
125

848
889
838

804
653
712
684

1,540
2,178
1,295

1,195
1,468
1,032

700
514
625

571
420
510
865
908
641
367

1,184
1,254

960
622

279
283
401
382
365

42
31
27
23
63
178
47
22
18
8
54
83
40
30

1,855

1,074

85
85
83
174
406
228
164
151
130
282
532
215
107
76
107
265
262
278
225

341
323
464
404
426
403
428
531
528
616
533
559
629
565

Maturities and amounts outstanding, February 28, 1946
Year of
. maturity
1946
....
1947
1948
1949
1950
1951
1952
1953
1954
1955
1956
....
1957
1958
Unclassified. .
Total

All
series
294
422

496
802
989
1,639
4,841
8,861
11,894
10,843
4,100
3,102
512
-104
48,692

Series
B-D

Series

E

Series
F

Series
G

""213"
584
659
738
586
60

1,175
2,293
2,417
2,775
2,516
452

2,841

11,628

294
422

496
802
989
442

3,446

1,197
4,841
7,473
9,016
7,766
587

30,881

317

OWNERSHIP OF UNITED STATES GOVERNMENT SECURITIES, DIRECT AND FULLY GUARANTEED
[In millions of dollars]

End of month

Total
interestbearing
securities

Held by U. S. Government agencies
and trust funds
Special
issues

Public
issues

Privately held1
Held
by
Federal
Reserve
Banks

Other investors

Total

Commercial
banks

Mutual
savings
banks

Insurance
companies

Marketable
issues

Nonmarketable
issues

1942—June
December
1943—June
December
1944—June
December

76,517
111,591
139,472
168,732
201,059
230,361

7,885
9,032
10,871
12,703
14,287'
16,326

2,738
3,218
3,451
4,242
4,810
5,348

2,645
6,189
7,202
11,543
14,901
18,846

63,249
93,152
117,948
140,244
167,061
189,841

26,410
41,373
52,458
59,842
68,431
77,558

3,891
4,559
5,290
6,090
7,306
8,328

9,200
11,300
13,100
15,100
17,300
19,600

10,700
14,800
18,700
23,700
30,700
35,200

13,000
21,100
28,400
35,500
43,300
49,200

1945—April
May
June
July..
August
September
October
November
December

234,194
236,912
256,766
260,265
261,261
260,156
259,980
263,386
276,246

17,923
18,592
18,812
19,558
20,033
20,519
20,577
20,710
20,000

5,262
5,217
6,128
6,105
6,121
6,123
6,175
6,134
7,038

20,455
20,954
21,792
21,717
22,530
23,328
23,276
23,472
24,262

190,554
192,149
210,034
212,885
212,577
210,186
209,952
213,070
224,946

77,400
77,500
84,069
85,300
84,500
83,500
84,200
85,600
90,000

8,700
8,700
9,588
9,800
10,000
10,000
10,000
9,800
10,700

20,500
20,100
22,700
22,700
22,500
22,500
22,400
'22,300
24,100

33,300
33,100
39,500
40,100
40,300
40,000
39,400
'40,400
45,300

50,700
52,700
54,200
55,000
55,300
54,200
54,000
55,000
54,800

1
Figures for insurance companies and other investors have been rounded to nearest 100 million dollars for all dates, and figures for commercial
banks and mutual savings banks have been rounded to nearest 100 million for all dates except June and December for which call report data are
r
available. Back figures.—See Banking and Monetary Statistics, Table 149, p. 512.
Revised.

SUMMARY DATA FROM TREASURY SURVEY OF OWNERSHIP OF SECURITIES ISSUED OR GUARANTEED
BY THE UNITED STATES *
[Public marketable securities. Par values in millions of dollars]

Total
outstanding

U. S.
Govern- Fed- Com- Mument eral mer- tual fnsursav- ance Other
agen- Recial
cies serve banks ings comand Banks 0)
banks panies
trust
funds

Total:2
1944—Dec.. .
1945—June..
July. .
Aug...
Sept..
Oct...
Nov. .
Dec...

162,843
181,353
183,114
183,369
182,870
182,829
185,151
198,820

5,338
6,112
6,083
6,092
6,094
6,146
6,104
7,009

Treasury bills:
1944—Dec.. .
1945—June..
July..
Aug.
Sept
Oct.! .
Nov. .
Dec..

16,428
17,041
17,025
17,038
17,018
17,026
17,026
17,037

6
3
9
15
18
21
18
5

Certificates:
1944—Dec.. .
1945—June..
July. .
Aug...
Sept..
Oct.. .
Nov. .
Dec...

30,401
34,136
34 ,'472
34,430
35,072
35,021
35,021
38,155

62
47
45
46
55
77
62
38

Treasury notes:
1944—Dec.. .
1945—June..
July..
Aug...
Sept..
Oct...
Nov. .
Dec...

23,039
23,497
23,498
23,498
23,498
23,498
23,498
22,967

Guaranteed
securities:
1944—Dec.. .
1945—June..

1,194

End of month

July..

Aug...
Sept..
Oct...
Nov. .
Dec...

34
34
35
37
39
39
41

18,761 39,670
20,930 45,652
21,146 45,939
21,273 45,837
21,437 45,227
21,501 44,512
21,375 45,679
23,183 51,046

18,846 72,045
21,792 77,484
21,717 78,609
22,530 77,862
23,328 76,939
23,276 77,547
23,472 78,935
24,262 82,830

8,183
9,382
9,621
9,775
9,845
9,847
9,587
10,491

11,148
12,962
12,810
13,254
13,234
13,172
12,593
12,831

4,113
2,798
2,737
2,193
2,035
1,978
2,306
2,476

1
1
2
2
10
6
14

1
4
1

4,887
6,032
6,096
6,400
7,184
7,206
7,800
8,364

15,032
16,789
16,812
16,413
16,209
16,230
16,358
18,091

136
92
96
158
211
221
171
91

310
420
454
423
494
553
561
360

9,974
10,756
10,968
10,991
10,918
10,735
10,070
11,211

60 1,566 15,411
52 1,685 16,076
52 1,698 16,211
52 1,762 16,058
53 1,933 15,830
80 1,920 15,834
71 2,102 15,678
8 2,120 15,701

336
242
244
247
260
258
223
179

568
601
598
587
581
591
607
576

5,098
4,841
4,695
4,793
4,841
4,815
4,817
4,383

960
10
10
11
12
12
13
11

6
2
2
2
.2
2
3
3

22
13
13
13
13
13
14
14

203
3
3
2
4
4
3
6

1
6
6
7
7
7
7
7

3

1,159
1,273
1,466
1,574
1,721
1,850
i 2,094
1 1,723

Total
outstanding

End of month

Treasury bonds:
Total:
1944—Dec.. .
1945—June..
July..
Aug...
Sept..
Oct...
Nov. .
Dec...
Maturing within
5 years:
1944—Dec.. .
1945—June..
July. .
A.UK

* • " & •

•

•

Sept..
Oct...
Nov.
Dec..
Maturing in 5-10
years:
1944—Dec.. .
1945—June..
July. .
Aug...
Sept..
Oct...
Nov. .
Dec...
Maturing in 10-20
years:
1944—Dec. .
1945—June..
July. .
Aug...
Sept..
Oct...
Nov. .
Dec...
Maturing after 20
years:
1944—Dec.. .
1945—June..
July..
Aug...
Sept
Oct.;.
Nov. .
Dec...

91,585
106,448
107,890
108,172
107,049
107,049
109,371
120,423

U. S.
Govern- Fed- Com- Mu- Insurmer- tual
ment eral
sav- ance Other
cial
agen- Recies serve banks ings combanks panies
and Banks C1)
trust
funds
5,173
5,968
5,936
5,937
5,926
5,926
5,911
6,915

1,243
1,113
1,113
1,114

977
977
977
947

36,508
41,795
42,822
43,170
42,834
43,477
44,564
46,535

7,704 17,859
9,045 19,892
9,278 20,079
9,365 20,251
9,360 20,348
9,360 20,343
9,176 20,192
10,217 22,230

23,098
28,636
28,661
28,334
27,604
26,964
28,551
33,579

7,824
8,939
8,939
8 939
7,725
7,725
8 214
10,879

518
547
530
532
381
379
456
481

4,834
5,770
5,814
5,803
5,126
5,177
5,387
7,282

137
172
175
183
181
184
173
161

556
375
350
352
320
304
277
257

1,777
2,074
2,069
2 068
1,714
1,681
1 917
2,697

44,087
48,155
48,423
48,425
49,180
49,180
49,180
46,484

,504
L.333
L.322
1,319
L.398
,396
L,386
,340

24,445
29,147
29,954
30,209
30,798
31,241
32,125
31,317

3,556
3,400
3,228
3,101
3,056
2,970
2,705
2,460

4,230
4,267
4,194
4,163
4,179
4,066
3,945
3,840

10,357
10,009
9,725
9,631
9,749
9,506
9,021
7,534

14,445
16,727
17,307
17,446
16,748
16,748
16,880
20,532

1,028
1,054
1,058
1,057
982
985
907
967

5,354
4,562
4,667
4,687
4,388
4,451
4,371
5,406

1,887
2,458
2,673
2,814
2,868
2,928
2,966
3,298

2,612
2,471
2,476
2,534
2,493
2,505
2,458
2,995

3,563
6,179
6,433
6,352
6,020
5,880
6,178
7,865

25,227
32,626
33,219
33,360
33,394
33,394
35,095
42,526

3,366
4,146
4,140
4,141
4,141
4,140
4,139
5,073

1,873
2,317
2,385
2,470
2,521
2,609
2,679
2,532

2,125
3,010
3,200
3,266
3,257
3,277
3,333
4,300

10,462
12,779
13,061
13,199
13,357
13,466
13,511
15,141

7,401
10,375
10,435
10,284
10,120
9,900
11,432
15,482

* Figures include only holdings by institutions or agencies from which reports are received. Data for commercial banks, mutual savings
banks, and the residual "other" are not entirely comparable from month to month. Since June 1943 the coverage by the survey of commercial
banks has been expanded. Figures in column headed "other" include holdings by nonreporting banks and insurance companies as well as by
other investors. Estimates of total holdings (including relatively small amounts of nonmarketable issues) by all banks and all insurance companies for certain dates are shown in the table above.
1
Including stock savings banks. On Dec 31, 1945, commercial banks reporting to the Treasury held 30,538 million dollars of U. S. Government securities due or callable within one year out of a total of 70,546 million outstanding.
2
Including 196 million dollars of Postal Savings and prewar bonds not shown separately below.

318



FEDERAL RESERVE BULLETIN

SUMMARY OF TREASURY RECEIPTS, EXPENDITURES, AND RELATED ITEMS
[On basis of daily statements of United States Treasury. In millions of dollars]
Change
in
general
fund
balance

MisTransTrust
Income taxes1 cella- Social
NaTotal
neous Secu- Other Total Net Inter- tional fers to Other budget Defiacest
extrust
inter- rity
rerere- 3 on
deac- pendi- expend- cit counts
nal
ceipts ceipts ceipts debt fense counts, tures itures
etc.4
With- Other reve- taxes
etc.
nue1
held2

Period

Increase
gross
debt

Fiscal year ending:
16,094 4,553 1,508 1,230 23,385 22,282 1,808 72,109
June 1943
435 3,827 78,179 55,897 -1,861 +6,515 64 ,274
June 1944
8,393 26,262 5,291 1,751 3,711 45,408 44,149 2,609 87 ,039
556 3,540 93,744 49,595 +4,051 + 10,662 64 ,307
June 1945
10, 289 24 ,884 6,949 1,793 3,824 47,740 46 ,457 3,617 90 ,029 1,646 5,113 100,405 53,948 +798 +4,529 57,679
1945—February. .
March
April
May
June
July
August
September.
October....
November.
December..

1,295
883
600
1,282
826
669
1,200
768
572

1946—January...
February. .

1,627
4,935
1,567

745
3,930
1,073
466
3,440
1,021
449
1,076
707 2,659

552
520
534
557
561
718
877
573
689
602
516

341
96
46
337
69
66
306
69
58
257
69

172 3,987 3,767
473 6,908 6,892
221 2,967 2,929
477 3,398 3,085
529 5,916 5,914
228 2,754 2,695
2,997
432
5,189
342
241 2,581 2,530
225 2,609 2,374
170 4,122 4,118

554 2,201
1,086 1,704

645
584

51
310

397
191

48
45
236
296
335
530
162
34
38

373
513
455
757
460
547
695
564
617
348
384

7,460
9,433
7,968
9,275
9,641
8,557
7,354
6,611
5,950
4,656
5,445

309 3,417
118 2,702

3,848 3,819
3,875 3,678

684
148

482
543

4.891 1,073
3,510 + 168

Period
Net
receipts

Net expenditures
in checking acExInvest- pendi- counts of
Governments tures
ment
agencies

Other

Receipts

-276
+39

1,300
242
1,120
3,763
19,850
3,362
956
-980
-203
3,524
12,773

-577
+534

772
327

General fund of the Treasury (end of period)

Details of trust accounts, etc.
Social Security
accounts

,693 +101
292
,540 +262
036
,040
911
+9
6,190
,741
+686
3,727 -1,050 + 15,073
5,862
,615
-116
4,357
,451
-50
1,422
,497
-95
3,420 +302
,321
2,282
632
+390
1,327 + 113 + 11,558

6,948
8,246
7,139
8,156
7,837
7,324
6,398
5,365
5,124
4,224
4,244

91
628
139
66
1,009
156
99
647
172
84
817

Assets

Investments

Total

Expenditures

Deposits
in
Federal
Reserve
Banks

Deposits
in
special
depositaries

Total
liabilities

Other
assets

Balance
in
general
fund

Fiscal year ending
June 1943
June 1944....
June 1945

2,810
3,202
3,239

2,350
2,816
2,757

456
380
453

2,194
4,403
1,178

1,117
1,851
3,820

655
1,313
2,444

133
192
-571

10,149
20,775
25,119

1,038
1,442
1,500

7,667
18,007
22,622

1,444
1,327
997

643
607
421

9,507
20,169
24,698

1945—February. .
March
April
May
June
July
August
September.
October
November.
December..

432
66
122
592
217
312
543
52
132
419
54

208
227
48
271
482
203
239
241
-66
38
198

37
43
40
42
42
51
56
91
146
143
149

313
-407
71
-154
778
222
-26
51
-274
-79
-395

250
270
412
530
701
579
336
407
284
295
260

122
128
228
296
663
441
172
163
80
65
54

-98
84
137
-21
3
89
487
9
228
158
195

17,734
15,722
11,809
10,055
25,119
22,469
19,018
16,582
13,307
14,849
26,520

1,384
1,547
1,224
1,140
1,500
1,252
1,300
1,755
1,124
1,372
1,674

15,265
13,055
9,492
7,941
22,622
20,303
16,874
13,989
11,389
12,694
24,044

1,085
1,120
1,093
974
997
914
844
839
794
784
802

420
445
443
430
421
386
387
447
494
404
517

17,313
15,277
11,366
9,625
24,698
22,082
18,631
16,134
12,813
14,445
26,003

-36
-13

178
178

-9
9

810
393

583

548

25,851
26,414

1,011
1,209

24,030
24,447

810
758

424
453

25.427
25,961

1946—January. . .
February..

178
355

534

1
3

2
Details on collection basis given in table below.
Withheld by employers (Current Tax Payment Act of 1943).
Total receipts less social security employment taxes, which are appropriated directly to the Federal old-age and survivors insurance trust fund.
< Excess of receipts ( + ) or expenditures ( —).
Back figures.—See Banking and Monetary Statistics, Tables 150-151, po. 513-516.

INTERNAL REVENUE COLLECTION^
[On basis of reports of collections.

In millions of dollars]
Miscellaneous internal revenue

Income taxes
Period
Total

Fiscal year
June
June
June

Current Withindi- held 1
vidual

Current Back Excess Other
corpo- taxes profits profits Total
taxes taxes
ration

Victory
tax

ending:
1943.... 16,299 5,771
33,028 10,254 '7,638
1944
1945.... 35,062 8,567 10,263

686 4,137
785 4,763
1 4,422

3,024 1,889
690
3,158
759 1,892
4,996 1,737
61
2,408
907
915
2,406
201 1,751
4,025 1,127
46
June
2,242
318 1,249
July
1,916
87 1,461
August
32
September. . . 3,553 1,112
2,031
271 1,094
October
41 1,405
November. . . 1,856
2,742
539
27
December

43
57
956
160
70
858
161
74
768
191
105
660

126
143
59
-26
79
79
75
62
46
47
50
105

270
301
2,170
443
295
1,895
429
.228
1,584
421
248
1,398

151

222

536

1945—January
February....
March
April
May

1946—January
1

3,189

1,670

604

i

-1

•

557 5,064
705 9,345
661 11,004

Manufacturers'
Capi- Estate Alco- Toholic
and
tal
and bever- bacco Stamp
stock gift
age
taxes taxes retailers'
tax
excise
taxes taxes
taxes

84 4,571
137 5,353 1
144 6,960

11
6
6
13

547
510
560
517
571
572
791
824
531
706
605
512

6

643

6
13
9
10
21
8

329
381
372

' " ios
209
7
30

447 1,423
511 1,618
643 2,310

924
988
932

45
51
66

Miscellaneous
taxes

670
732
729 1,075
1,207 1,430

49
37
89
75
64
62
49
69
34
44
44
45

206
195
171
171
180
191
198
199
198
243
230
188

78
66
74
68
83
93
84
108
101
120
98
62

6
6
6
5
6
6
6
5
6
7
8
7

117
116
104
97
116
104
121
102
93
122
112
107

90
90
117
100
121
116
228
132
93
140
113
102

61

221

96

8

136

121

Withheld by employers (Current Tax Payment Act of 1943).

MARCH

1946




319

GOVERNMENT CORPORATIONS AND CREDIT AGENCIES
[Based on compilation by United States Treasury Department. In millions of dollars]
PRINCIPAL ASSETS AND LIABILITIES
Liabilities, other than
interagency items

Assets, other than interagency items l

Corporation or agency
Total Cash

All agencies:
Mar. 31,
June 30,
Sept. 30,
Dec. 31,

1945.
1945.
1945.
1945.

31,309
33,552
34,247
33,844

768
700
815
925

Classification by agency
Dec. 31, 1945
Department of Agriculture:
Farm Credit Administration:
Banks for cooperatives
268
Federal intermediate credit banks. .
298
Federal land banks
1,231
Production credit corporation
124
Regional Agricultural Credit Corp..
16
17
Other3
Federal Farm Mortgage Corp
191
Rural Electrification Administration.
416
War Food Administration:
Commodity Credit Corp
1,311
Farm Security Administration.'.....
458
Federal Crop Insurance Corp
39
Federal Surplus Commodities Corp.
3
National Housing Agency:4
Federal Home Loan Bank Administration:
Federal home loan banks
Federal Savings and Loan Insurance Corp.
Home Owners' Loan Corp
Federal Public Housing Authority
and affiliate:
Federal Public Housing Authority.
Defense Homes Corp
Federal Housing Administration
Federal National Mortgage Association.
R.F.C. Mortgage Company

U. S. PriBonds, notes,
Gov- vately
Land,
and debenernstruc- Undis- Other tures payable Other ment owned
tribtures,
asliabil- inter- interuted
est
U. S.
and
ities
est
Govt. Other equip- charges sets Fully
guarsecu- secu- ment
Other
anteed
rities rities
by U.S.

5,789
5,544
5,409
5,290

1,756
1,679
1,756
1,683

2,960
2,507
2,487
2,288

Investments

196
231
1,016

43
43
145
67

388
375
368
325

16,734
20,164
20,816
21,017

1,001
772
442
472

1,913
1,811
2,154
1,845

99
320

1,150
502
551
555

1,237
1,163
1,135
1,113

195

118

840

161
15

552
66
168
7
50

286
1
19
7
38

491
9
3

1,970

69

125

36
3

21

3

222
64

244

27
()
252
6
80
2
7
78

6,912

312

8,654

1
1
6

34

1!
1
130 649

580

172
3
950 7,876
6
11
152
103
150
642

2
12
43
3
259
13

897

30

551
65
128
7
47

1,630

()
19

lj

14
7,813
1

49

95

100
884

106

991 1,131

8
230

314
449

46

506

135
49
24

1,034

451
459
465
472

252
51
169
123
14
15
181
416

2
6
5

165
919

132
179
16
1
16
2
7
21
149

23 ,510
27 ,266
27 ,610
27 ,492

55

3

65

4,962
4,162
4,486
4,212

245
792

4
13
173
407

335

Reconstruction Finance Corp. 5
10,283
Office of Emergency Management:
Smaller War Plants Corp
175
War Shipping Administration
8,825
Coordinator of Inter-American Affairs. .
17
Export-Import Bank
256
931
Federal Deposit Insurance Corp
272
Federal Works Agency
741
Tennessee Valley Authority
3,739
U. S. Maritime Commission
All other

CommodiLoans ties,
resupceiv- plies,
able
and
materials

147
721
3,395
1,684

139

272

8
734
102 3,638

1,909

CLASSIFICATION OF LOANS BY PURPOSE AND AGENCY
Dec. 31, 1945
Purpose of loan

Fed.
Fed.
Fed. Farm inter- Banks
land Mort. medi- for coate
banks Corp. credit operatives
banks

1,088
To aid agriculture
To aid home owners
To aid industry:
Railroads
Other
To aid financial institutions:
Banks
Other
Other
72
Less: Reserve for losses.
Total loans receivable
1,016
(net)

242

231

197

Com- Rural
Elecmodity trificaCredit
tion
Corp. Adm.
99

407

Farm
Security
Adm.

Home
Owners'
Loan
Corp.

ExFed.
Fed.
Public home R.F.C. portand
ImHous- loan affiliport
ing
Auth. banks ates Bank
(2)
43

467
852

195

70
173

231

(2)

(2)
196

99

407

147

12

320

840

286

195

2,948
961

18
83

28
32
582 ' *252"
3
(2)
1,036

Sept.
1945
All 30, all
agen- agencies
cies

145 2,878
896
1

205
149

286

All
other

252

223
232

232
185

12

40
227
1,232
438

43
132
1,365
457

238 5,290

5,409

' iii'
133

1
3
4
5

2
Assets are shown on a net basis, i.e., after reserves for losses.
Less than $500,000.
Includes Agricultural Marketing Act Revolving Fund and Emergency Crop and Feed Loans.
All assets and liabilities of the United States Housing Corp. have been liquidated.
Includes War Assets Corporation (formerly Petroleum Reserves Corporation), Rubber Development Corporation and U. S. Commercial
Company, which were transferred to the Reconstruction Finance Corporation from Foreign" Economic Administration under Executive Order
9630, and War Damage Corporation.
NOTE.—'This table is based on the revised form of the Treasury Statement beginning Sept. 30, 1944, which is on a quarterly basis. Quarterly,
figures are not comparable with monthly figures previously published. Monthly figures on the old reporting basis for the months prior to Sept.
30, 1944, may be found in earlier issues of the BULLETIN (see p. 1110 of the November 1944 BULLETIN) and in Banking amd Monetary Statistics
Table 152, p. 517.

320



FEDERAL RESERVE BULLETIN

BUSINESS INDEXES
[The terms "adjusted" and "unadjusted" refer to adjustment of monthly figures for seasonal variation]
Construction
contracts
awarded (value)3
1923-25=100

Industrial production
(physical volume)* 2
1935-39=100

Year
and
month

Income
payments
(value)
1935-39
100

Manufactures
Total
Durable

Adjusted

P166

71
83
66
71
98
89
92
100
100
99
107
93
80
67
76
80
86
99
112
97
106
117
125
129
132
140
P137

63
63
56
79
84
94
122
129
129
135
117
92
63
28
25
32
37
55
59
64
72
81
122
166
68
41
68

344
351
356
359
358
360
365
368
374
376
365

174
174
175
176
177
177
178
179
179
180
174

131
133
131
129
117
134
135
138
136
133
137

240
240
238
23
236
236
232
23:
234
234
232
230

369
367
364
361
356
354
347
348
342
344
341
343

176
177
175
172
169
169
165
168
168
169
173
173

230
23
23!
229
225
220
211
188
171
164
167
161

345
346
345
336
323
308
292
239
194
186
'191
185

175
176
176
174
173
173
165
157
156
154
158
156

140
141
142
140
138
144
143
140
134
124
138
133

P167

P159

P139

229
232
236
239
238
241
245
248
249
247
239

1944
January...
February..
March
April
May
,
June
July
August
September
October. . .
November
December

227.
232.4
231.9
231.1
232.1
233.9
233.2
234.0
232.5
235.
237.5
239.0

243
244
241
239
236
235
230
232
230
232
232
232

1945
January.. .
February..
March
April
May
June
July
August
September
October...
November,
December.

241.9
245.
244.1
242.3
241.9
244.6
243.4
236.0
229.0
231.4
2235.7
P233.8

234
236
235
230
225
220
210
186
167
162
168
163

P239.

209.4

1946
January

All
other

139
142
139
140
143
142
139
142
143
143
143
137

212.8
214.8
216.
216.8
219.3
222.9
224.

232
235
237
239
237
240
242
244
247
247
241

122.9
109
92.3
70.6
68.9
78.7
87
101.3
107
98.5
105.4
113.
138.0
174.6
213.0
233

203.5
206.9
208.8

Residential

102
85
63
52
45
60
59
65
49
60
61

84
93
53
81
103
95
107
114
107
117
132
98
67
41
54
65
83
108
122
78
109
139
201
279
360
353
P274

1943
February..
March
April
May
June
July
August
September
October. . .
November.
December

Total

Nonagricultural

Factory

Department WholeFacsale Cost of
tory Freight store
comliving4
carload- sales
ray
modity 1935-39
ings'
rolls4
(valprices*
100
1935-39 ue)*
1939 =
100 1935-39 1926
100
= 100
100

AdAdAdAdAd- Unad- AdAdAd- Unad- UnadAdAdjusted justed justed justed justed justed justed justed justed justed justed justed justed

72
75
58
73
88
82
90
96
95
99
110
91
75
58
69
75
87
103
113
89
109
125
162
199
239
235
P203

1919
1920
1921
1922
1923
1924
1925
1926
1927
1928
1929
1930
1931
1932
1933.....
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

Nondurable

Minerals

Employment4
1939=100

P159

62
60
57
67
72
69
76
79
83
85
93
84
79
70
79
81
90
100
106
95
109
115
142
158
176
171

44
30
44
68
81
95
124
121
117
126
87
50
37
13
11
12
21
37
41
45
60
72
89
82
40
16
26

79
90
65
88
86
94
120
135
139
142
142 102.6
125 95.5
84 86.1
40 75.5
37 76.0
48 83.8
50 87.6
70 94.9
74 100.9
80 94.4
81 100.0
89 104.7
149 117.5
235 126.7
92 130.9
61 127.5
102 P121.8

103.
104.
79.
88.
101,
93,
97,
98.
96.
96.
103.
89
75.
64,
71
83,
88,
96
105
90
100
107
132
154
177
169
P143

103.2
123.5
79.7
85.5
108.4
101.2
106.6
109.9
107.9
109.1
116.4
94.1
71.2
49.2
52.8
67.8
78.0
90.5
108.2
84.2
100.0
114.5
167.5
245.2
334.4
339.1
P277.3

120
129
110
121
142
139
146
152
147
148
152
131
105
78
82
89
92
107
111
89
101
109
130
138
137
140
135

Adjusted

83
99
92
94
105
105
110
113
114
115
117
108
97
75
73
83
88
100
107
99
106
114
133
150
168
186
207

Unadjusted

Unadjusted

138.6
154.4
97.6
96.7
100.6
98.1
103.5
100.0
95.4
96.7
95.3
86.4
73.0
64.8
65.9
74.9
80.0
80.8
86.3
78.6
77.1
78.6
87.3
98.8
103.1
104.0
105.8

124.5
143.2
127.7
119.7
121.9
122.2
125.4
126.4
124.0
122,6
122.5
119
108
97.6
92.
95.
98.1
99.1
102.7
100.8
99.4
100.2
105.2
116.5
123.6
125.5
128.4

75
96
118
112
89
73
79
91
104
121
134
150

48
59
72
70
58
50
54
61
69
S3
94
108
P60

131.6
132.0
131.4
130.9
131.0
131.4
130.9
130.1
130.1
130.2
130.1

173.1
175.1
176.2
176.9
179.0
180.1
180.2
179.6
180.6
181.5
179.9

172.5
174.6
175.4
175.8
178.3
180.2
181.4
180.8
181.4
181.9
180.3

308.9
318.0
324.9
330.4
336.1
335.8
343.1
349.5
354.9
359.7
350.7

139
138
136
135
127
141
140
140
137
139
143

161
'160
159
168
169
166
165
172
'176
'168

102.5
103.4
103.7
104.1
103.8
103.2
103.1
103.1
103.0
102.9
103.2

121.0
122.8
124.1
125.1
124.8
123.9
123.4
123.9
124.4
124.2
124.4

130.0
129.6
128.9
128.0
127
127
127.5
127.3
126
125
125.3
125.7

140
119
87
68
55
80
79
89
61
78
81

178.1
177.1
174.6
171.8
170.1
169.2
167.6
166.8
164.9
163.3
162.6
163.0

177.5
176.5
174.1
171.0
169.1
168.6
167.7
167.9
166.0
164.1
163.0
163.3

350.0
349.7
346.3
339.8
339.2
339.5
331.7
335.0
333.8
335.1
331.8
336.8

142
140
138
138
139
142
142
139
137
141
137

174
'174
183
'174
183
176
189
187
187
193
'204
196

103.3
103.6
103.8
103.9
104.0
104.3
104.1
103.9
104.0
104.1
104.4
104.7

124.2
123.8
123.8
124.6
125.1
125.4
126.1
126.4
126.5
126.5
126.6
127.0

126.6 162.9 162.4 335.2
126.7 162.5 162.0 333.7
126.7 160.6 160.2 330.2
125.1 157.6 156.9 321.5
124.4 154.5 153.6 307.0
123.4 151.0 150.5 302
122
145.5 145.6 286
121.5 141.1 142.1 256
115.8 121.4 122.4 214.2
115.4 '120.6 '121.4 -•212
'116.4 121.2 121.6 '212.5
117.4 121.3 121.6 215.5

'144
139
145
141
140
140
139
128
127
118
133
127

197
211
220
'182
188
202
218
200
'200
'212
'225
216

104.9
105.2
105.3
105.7
106.0
106.1
105.9
105.7
105.2
105.9
106.8
107.1

127.1
126.9
126.8
127.1
128.1
129.0
129.4
129.3
128.9
128.9
129.2
129.9

133

226

107.1

129.9

P148 P119.3 P122.7 P122.2

••191

r
* Average per working day.
P Preliminary.
Revised.
1
Department of Commerce series on value of payments to individuals.
2
For indexes by groups or industries, see pp. 322-325. For points in total index, by major groups, see p. 339.
3
Based on F. W. Dodge Corporation data; for description, see p. 358 of BULLETIN for July 1931; by groups, see p. 329 of this BULLETIN.
4
The unadjusted indexes of employment and pay rolls, wholesale commodity prices, and cost of living are compiled by or based on data of
the Bureau of Labor Statistics. Nonagricultural employment covers employees only and excludes personnel in the armed forces.
5
For indexes by Federal Reserve districts and other department store data, see pp. 331-333.
Backfiguresin BULLETIN.—For industrial production, August 1940, pp. 825-882, September 1941, pp. 933-937, and October 1943, pp. 958-984;
for factory employment, January and December 1943, pp. 14 and 1,187, respectively, and October 1945, pp. 1054-1055; for department store sales,
June 1944, pp. 549-561.

MARCH 1946




321

INDUSTRIAL PRODUCTION, BY INDUSTRIES
{Adjusted for Seasonal Variation)
| Index numbers of the Board of Governors.

1935-39 average = 100]

1944

1945

Industry
Dec. Jan. Feb. Mar. Apr. M a y June July Aug. Sept. Oct. Nov. Dec. Jan.

Industrial

Production—Total.

232

234

236

235

230

225

220

210

186

167

162

168

163

249

251

252

252

247

240

233

222

194

173

168

173

169

343

345

346

345

336

323

308

292

239

194

186

191

185

167

197

202

210

206

204

192

187

155

163

146

167

165

105

190
215
181
456

188
219
176
526

226
180
552

198
234
189
561

188
232
184
573

190
229
182
567

181
214
173
505

182
203
172
421

161
164
142
319

166
171
154
296

129
159
139
307

158
178
160
306

164
173
156
294

431

431

436

419

405

393

371

310

230

232

231

230

709

706

695

676

651

610

572

535

27 Z

258

250

218

216

235

235

242

236

231

218

207

188

142

105

120

135

94

101

229

253

257

267

263

248

219

196

165

138

143

146

144

186

187

191

193

194

188

184

183

171

150

148

147

247

280

284

296

291

272

234

202

162 '133 '141

146

Lumber and Products

122

126

123

121

119

118

116

110

107

98

91

93

P!09

Lumber. .
Furniture.

111
142

118
142

112
146

110

109
140

108
138

104
138

98
134

98
124

89
115

76
120

7?
133

P95

160

161

161

164

175

177
61
217
97
110
162
260

200
79
243
97
110
172
220

186
50
235
106
116
177
218

181
3
244
119
124
183
217

189
29
246
131
143
'203
'218

156

Manufactures—Total

Durable Manufactures. .
Iron and Steel. . .
Pig iron
Steel
Open hearth. .
Electric
Machinery

163

>221

Manufacturing Arsenals and Depots1.
Transportation Equipment
Automobiles
(Aircraft; Railroad cars; Locomotives; Shipbuilding—Private and Government) 1
Nonferrous Metals and Products.
Smelting and refining
(Copper smelting; Lead refining; 1Zinc smelting;
Aluminum; Magnesium; Tin)
Fabricating
(Copper products; Lead shipments; Zinc shipments; Aluminum products; Magnesium
products; Tin consumption) 1

Stone, Clay, and Glass Products. . ,

163

Nondurable Manufactures.

162

163

166

167

162

166

174
51
218
90
116
171
307

Glass products
Plate glass
Glass containers
Cement
Clay products
Gypsum and plaster products. . .
Abrasive and asbestos products..
Other stone and clay products 1 . .

169

164
60
200
87
125
182
302

168
56
207
87
122
185
305

175
61
216
86
124
183
306

183
62
225
85
122
180
300

179
61
221
85
115
168
295

176
43
223
95
121
172
298

193
62
239
93
117
179
287

154

158

156

159

146

143

150

134
138
215

131
128
215

135
133
226

132
125
228

138
234

127
58
172
136
145
125
136

142
82
186
154
158
149
144

147
93
191
156
156
156
149

150
'89
193
160
163
156
154

149
104
184
156
158
153
154

Leather, tanning
Cattle hide leathers
Calf and kip leathers
Goat and kid leathers
Sheep and lamb leathers
Shoes

109

108

119

112

116

110

109
128
79
50
133
109

98
112
75
47
130
114

112
125
97
52
151
123

107
121
89
46
145
116

109
-•125
83
51
140
120

114
132
91
49
139
108

151

147

138

144

143

150

151

138

135

130

127

129

133

136

P143
90
179
206

P148

P154

89
181
222

85
171
208

P148
75
160
201

P145

87
175
196

72
155
156

65
149
146

P132
60
144
136

132
135
134
95
128

141
144
142
103
142

140
146
136
116
133

133
126
144
151
110

141
120
165
179
125

129
99
159
197
134

155
153
158
189
135

155
171
138
138
148

176

176

174

173

165

157

155

153

149

150

132

134

141
146
215

139
145
215

144
152
215

142
150
214

137
143
218

138
142
221

121
123
220

123
123
213

152
57
215
165
170
157
166

146
49
225
156
162
148
159

151
44
238
160
170
146
169

149
43
249
156
166
142
166

142
36
233
147
153
139
161

146
42
243
151
161
137
165

144
40
234
152
162
137
161

117
33
185
124
129
117
129

113

121

122

122

121

127

115
127
86
72
154
113

Leather and Products.

175
150

114

Textile fabrics
Cotton consumption
Rayon deliveries
Nylon and silk consumption 1 . . .
Wool textiles
Carpet wool consumption..
Apparel wool consumption.
Woolen and worsted yarn..
Woolen yarn
Worsted yarn
Woolen and worsted cloth .

138

141

173
152

Textiles and Products

146

113
125
85
68
155

119
137
89
63
148
123

117
132
88
69
144
126

118
134
95
61
146
125

115
132
91
62
132
126

119
137
97
56
137
132

158

160

160

153

131

125

138

140

P132

P132

83
163
172

81
162
175

P138
84
168
189

87
181
204

146
149
147
123
143

146
135
169
101
129

146
139
165
104
129

134
137
139
88
121

114

Manufactured Food Products....

155

Wheat flour
Cane sugar meltings1
Manufactured dairy products .
Butter
Cheese
Canned and dried milk. .
Ice c
cream
Meat p ki
packing
Pork and lard
P k an
Beef
Veal
Lamb and mutton
p

Revised.

Preliminary.

322



155
130

P145

78
154
179
158
164
149
175
149

l

>150

131
146
122
• 87
105

Series included in total and group indexes but not available for publication separately.

FEDERAL RESERVE BULLETIN

INDUSTRIAL PRODUCTION, BY INDUSTRIES—Continued
(Adjusted for Seasonal Variation)
[Index numbers of the Board of Governors.

1935-39 average = 100]
1946

Industry
Dec.

Jan. Feb. Mar. Apr. M a y

June July Aug. Sept. Oct. Nov. Dec, Jan.

Manufactured Food Products—Continued
Other manufactured foods
Processed fruits and vegetables.
Confectionery
Other food products
Alcoholic Beverages.

159
146
138
165

162
162
137
167

165
163
143
170

169
180
151
169

168
170
156
169

161
149
151
165

155
139
129
163

150
134
108
161

139
101
107
155

146
109
108
162

148
'128
108
160

152
127
113
165

•156 159
138 P137

216

212

168

173

169

213

170

148

144

136

139

193

173

192

174
0
74
355

167
198
452
346

167
11
250
312

153
0
156
265

152
0
67
283

139
0
61
291

139
0
57
318

147
199
448
293

149
55
399
306

181
52
236
365

182
70
218
420

199
83
223
427

197
130
274
343

131

121

123

123

120

128

139

128

150

160

167

154

112

143

95
155
108

85
147
95

95
145
97

93
147
91

91
143
90

92
156
94

93
177
90

91
195
98

106
206
99

111
216
96

110
194
94

87
139
64

104
185
71

135

136

137

141

140

141

142

135

131

143

143. 142

134

P134

132
150
115

132
152
111
95
214
137
129
153
85
119
147
128
76

134
156
113
98
227
139
130
152
87
125
143
127
83

137
157
113
101
227
139
134
157
84
127
148
133
82

136
160
114
103
234
141
132
158
79
126
144
129
80

136
160
108
103
236
140
133
161
78
125
141
132
80

137
160
116
103
236
138
134
160
75
126
139
139
79

131
149
120
93
227
122
128
149
73
122
146
133
80

129
146
118
92
219
120
126
141
74
126
142
135
72

138
152
124
100
223
126
136
165
77
125
142
141
81

139
154
124
101
227
129
137
157
80
133
147
147
79

138
153
114
103
223
131
136
158
79
132
145
140
81

132
137
95
100
195
120
131
143
78
132
149
140
86

130
145
81
134
146
128
86

104

105

105

105

105

106

105

109

115

114

112

118

84

84

83

85

85

85

93

96

96

92

102

273 276

Malt liquor
Whiskey
Other distilled spirits.
Rectified liquors

201

272

268

150
174
126
126

145
166
134
131

Industrial Alcohol from Beverage Plants1.
Tobacco Products
Cigars
Cigarettes
Other tobacco products.
Paper and Paper Products.
Paper and pulp
Pulp
Groundwood pulp
Soda pulp
Sulphate pulp
Sulphite pulp
Paper
Paperboard
Fine paper
Printing paper
Tissue and absorbent paper
Wrapping paper
Newsprint. . ^
Paperboard containers (same as Paperboard).
Printing and Publishing.
Newsprint consumption
Printing paper (same as shown under Paper).

97
212
133
129
145
93
125
156
125
85

Petroleum and Coal Products.
Petroleum refining
Gasoline
Fuel oil..
Lubricating oil
Kerosene
Other petroleum products1'.
Coke
By-product coke
Beehive coke

P267

'240

P!56

155
173
138
140

148
177
136
132

132
151
119
116

129
152
120
122

147
164
133
144

144 P137

Paints
•.

Rayon
Industrial chemicals
Explosives and ammunition 1 . .
Other chemical products 1

167
163
296

167
162
'335

168
163
367

171
164
387

161
157
284

168
161
406

163
155
421

165
158
400

153
148
332

152
150
224

116
115
145

'148
144
276

154
150
286 P274

312

Chemical Products.
Soap

273 269

317

318

319

318

319

318

307

265

239

230

'230

231 P235

141
137
242
396

142
136
244
396

140
136
241
400

139
135
244
402

135
134
241
405

131
134
240
407

134
132
243
412

139
130
243
409

133
122
222
368

136
126
237
386

139
124
'238
371

142
124

142
127
243
380

P147

-•244
-370

P208

P130
P247

P388

Rubber Products. . .

239

247

247

236

233

224

222

218

193

172

191

192

204

Minerals—Total .

137

140

141

142

140

138

144

143

140

134

124

138

133 P139

Fuels

141

145

146

147

145

143

150

148

146

139

126

143

137

132
138
109
146

140
151
96
148

143
150
112
148

142
149
115
150

136
138
131
150

125
145
47
152

148
153
129
151

140
146
117
153

135
144
102
152

142
148
114
138

112
110
120
133

149
159
112
141

142 P 1 5 9
94 P 1 1 5
139 P 1 4 3

111

111

111

111

111

110

109

109

105

106

108

109

108

168

170

170

170

169

167

168

168

162

161

164

163

161

Coal

Bituminous coal. .
Anthracite
Crude petroleum
Metals.
Metals other than gold and silver..
Iron ore
(Copper; Lead; Zinc)1
Gold
.
Silver

r

P146
P151

r
1

Revised.
P Preliminary.
Series included in total and group indexes but not available for publication separately.
NOTE.—Series on petroleum refining, usually published in this table, is in process of revision. For description and back figures see BULLETIN
for October 1943, pp. 940-984, September 1941, pp. 878-881 and 933-937, and August 1940, pp. 753-771 and 825-882.

MARCH

1946




323

INDUSTRIAL PRODUCTION, BY INDUSTRIES
(Without Seasonal Adjustment)
[Index numbers of the Board of Governors.

1935-39 average = 100]
1945

1944

1946

Industry
Dec. Jan. Feb.

Mar. Apr. M a y

June July Aug. Sept. Oct.

Nov. Dec. Jan.

230

230

232

232

229

225

220

211

188

171

164

167

161 P155

248

248

249

249

245

240

234

223

196

177

171

173

167 P159

342

343

345

344

335

323

308

292 ••240 1 9 5

198

197

202

210

206

204

192

187

155

190
215
181
456

188
219
176
526

192
226
180
552

198
234
189
561

188
232
184
573

190
229
182
567

181
214
173
505

182
203
172
421

431

431

436

431

419

405

393

. . . 709

706

695

676

651

610

235

235

242

236

231

218

229

253

257

267

263

186
Smelting and refining
(Copper smelting, Lead refining, Zinc smelting; Aluminum; Magnesium; Tin) 1
Fabricating
.
...
. . . 247
(Copper products; Lead shipments; Zinc shipments; Aluminum products; Magnesium
products; T i n consumption) 1

187

191

194

194

Industrial

Production—Total

Manufactures—Total
Durable Manufactures
Iron and steel

.

...

Pig iron
..
Steel
Open hearth
Electric

.
. . . .

Machinery

Transportation CQuipment

.

Automobiles
(Aircraft; Railroad

. . . .
Locomotives;

cars;

.
Ship-

Nonferrous Metals and Products

Lumber and Products

.

166
171
154
296

129
159
139
307

158
178
160
306

164
173
156
294

371

310

230

232

231

230

P221

572

535

405

273

258

250

218

P216

207

188

142

105

120

135

248

219

196

165

189

183

182

171

r

138
150

r

133

'143

P105

94 P 1 0 1

146

144

148

141

1-141

146

146

148

280

284

296

291

272

234

202

162

113

114

115

119

120

121

116

113

104

94

95

87

P100

99
142

97
146

101
144

108
140

112
138

113
138

107
134

108
124

98
115

82
120

81
123

133

P138

156

156

161

165

167

166

168

165

166

167

rl62

161
60
196

163
56
201

175
61
216

183
62
225

186
62
230

71
116

66
118

71
119

190
61
236

175
43
221

82
120

102
115

169
3
227

169
295

102
120

183 204
61
79
226 '247

175
298

179
287

162
260

187 P 1 9 4
217 P 2 1 8

175
307

176
302

177
305

177
306

81
119

177
300

89
115

110
113

192 176
50
4
242 237
122
112
123
r
114
122 »-123
176 182 183
220 218 215

P80

159 P166

108
128

186
29
241
107
P133

171

Wool textiles
Carpet wool consumption
Apparel wool consumption .
^Voolen and worsted yarn
Woolen yarn
^Vo^sted yarn
. . .
^^oolen and worsted cloth




171

172

173

167

159

161

158

158

154 P 1 5 4

153

149

150

150

132

134

144

141

146

143 P150

139
145
215

144
152
215

142
150
214

137
143
218

138
142
221

138
144
220

121
123
220

123
123
213

134
138
215

131
128
215

135
133
226

132
125
228

144

117

127

142

147

150
r

149

152

146

151

149

142

146

2

57
215
165
170
157
166

49
225
156
162
148
159

44
238
160
170
146
169

43
249
156
166
142
166

36
233
147
153
139
161

42
243
151
161
137
165

40
234
152
162
137
161

114

125

122

122

121

114
. . . 127
84
73
146
113

113
128
83
68
144
114

128
148

116
132

117
134

115
132

93

68
140
126

91

87

66
162
123

87

63
143
125

150

Food Products

Wheat flour
Cane sugar meltings1
Manufactured dairy products
Butter
Cheese
Canned and dried milk
Ice cream
Meat packing
Pork and lard
Beef
Veal
Lamb and mutton

324

172

155

. . . 113

143

141

142

122

130

132

122

P94

P88

69
120
140

P98 P116 P149 P178 P 2 0 9 P 2 1 2 P 1 8 5 P 1 5 5 P 1 2 0 PIOO
71
77
89 112 124 109
93
72
62
50
133 151 189 234 254 223 191 164 139 112
157 186 231 272 284 257 214 185 127 105

171
195
150
114

139
132
156
89

146

152

131

182
225
138
130
145

138
234

P84

184
217
149
165

.

Leather tanning
Cattle hide leathers
Calf and kip leathers
Goat and kid leathers
. . .
Sheep and lamb leathers
Shoes

* Preliminary.

172

150

141
146
215

Textile fabrics
Cotton consumption
Ravon deliveries

170

152

Nondurable Manufactures
Textiles and Products

Revised.

165

161
164
142
319

163
51
202

Glass products
Plate glass
Glass containers
Cement
Clay products
Gypsum and plaster products
Abrasive and asbestos products
Other stone and clay products1

r

167

159

Stone, Clay, and Glass Products

Manufactured

146

97
142

,

Leather and products

184 P 1 6 5

163

113

.

Lumber
Furniture

187 '191

..

61
111
138

135
129
150
98
126

33
185
124
129
117
129

58
172
136
145
125
136

126

107
103
120

61
142
126

116
132
99
57
135
132

78

79

49
123
109

145

146

150

133

134

132

125
125
131
86
118

132
135
134
98
130

89
193
160
163
156
154

82
186
154
158
149
144

93
191
156
156
156
149

107

118

113

117

110

97
109

108
122

nn

46
145
116

130
86
50
148
120

113
132

46
134
114

110
123
95
52
148
123

157

151

166

153

151

133

128

139

136

134

139
144
139
103

131
129
137
116

132

127

119
97
146
148
108

91

134
95
179
197
134

133
93
173
224
140

r

171
179
164
202
135

104
184
156
158
153
154

89

50
132
108
147 P139
135 P 1 3 9
47
104
105
155
191
125
81
111

Series included in total and group indexes but not available for publication separately.

FEDERAL RESERVE BULLETIN

INDUSTRIAL PRODUCTION, BY INDUSTRIES—Continued
(Without Seasonal Adjustment)
[Index numbers of the Board of Governors. 1935-39 average = 100]
1946

1945

1944
Industry
Dec. Jan. Feb.
Manufactured Food

Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. Jan.

155
114
139
169

148
105
141
160

149
103
144
161

148
99
140
162

148
104
130
162

145
97
117
162

146
107
96
165

157
174
88
165

154
165
115
158

176
242
139
165

146

191

158

139

148

147

162

214

175

140
0
81
355

137
198
414
346

150
11
228
312

142
0
136
265

160
0
44
283

158
0
36
291

175
0
35
318

184
199
400
293

121 121

118

117

115

128

145

95
142
95

85
147
93

95
136
94

93
137
91

91
133
90

92
156
95

93
186
92

134

136

138

141

141

142

132
150
117
97
212
133
129
145
93
125
151
125
84

132
152
115
95
214
137
129
153
85
119
145
128
76

134
157
118
98
227
139
131
152
87
125
148
127
83

137
158
121
101
227
139
134
157
84
127
148
133
82

136
162
125
103
234
141
132
158
79
126
145
129
82

137
161
117
103
236
140
133
161
78
125
141
132
81

106

99

104

107

108

88

79

83

87

90

268

273

276 272

268

273 269

141
165
132
123

143
171
129
126

150
174
125
132

145
166
132
134

145
167
141
123

149
174
143
122

148
177
136
124

156
175
134
124

155
173
137
135

132
151
119
115

129
152
120
122

167 167
163 162
296 ••335

168
163
367

171
164
387

161
157
284

168
161
406

163
155
421

165
158
400

153
148
332

152
150
224

116
115
145

r

148
144
276

154
150
286 P 2 7 4

313

316

319 • 321 320

318

315

303

261

239

232

'231

232 v233

141
137
242
396

139
133
244
396

139
135
241
400

139
135
244
402

137
131
241
405

135
130
240
407

138
130
243
412

137
129
243
409

132
124
222
368

135 139 140
131 130 125
237 »-238 r 244
386 371 '370

239

247

247

236

233

224

222

218

193

172 r191

192

204 P208

131

134

135

136

140

141

147

145

143

137

125

134

126 P132

141

145

146

147

145

143

150

148

146

139

126

143

137 P146

132
138
109
146

140
151
96
148

143
150
112
148

142
149
115
150

136
138
131
150

125
145
47
152

148
153
129
151

140
146
117
153

135
144
102
152

142
148
114
138

112
110
120
133

149
159
112
141

132
142
94
139

Products—Continued

Other manufactured foods
Processed fruits and vegetables ...
Confectionery
Other food products
Alcoholic Beverages
Malt liquor
Whiskey
Other distilled spirits
Rectified liquors

J»146

164
165
142
168

158
117
134
173

108

199

214

201

188

170
55
216
306

183
52
324
365

169
70
566
420

154
83
467
427

157
130
301
343

133

155

169

173

157 104

142

83
170
88

91
204
95

106
220
106

111
225
103

110
198
97

87
128
57

104
185
70

142

134

131

144

143

142

134 P134

137
160
117
103
236
138
134
160
75
126
142
139
80

130
147
107
93
227
122
128
149
73
122
140
133
78

129
144
104
92
219
120
126
141
74
126
142
135
71

138
150
110
100
223
126
136
165
77
125
142
141
81

139
153
115
101
227
129
137
157
80
133
148
147
79

138
153
121
103
223
131
136
158
79
132
145
140
82

131
137
96
100
195
120
131
143
78
132
145
140
84

130
145
81
134
144
128
86

106

105

99

107

110

117

118

114

114

88

84

76

87

94

101

104

96

94

r

171 M66

Industrial Alcohol "from Rpvprape Plants 1
Tobacco Products
Cigars
Cigarettes
Other tobacco products

..

Paper and Paper Products
Paper and pulp
*
Pulp
Groundwood pulp
Soda pulp
.
Sulphate pulp
Sulphite pulp
...
Paper
Paperboard
. ..
Fine paper
Printing paper
Tissue and absorbent paper
Wrapping oaoer
Newsprint
Printing and Publishing
NewsDrint consumption
Printing paper (same as shown under Paper). .
Petroleum and Coal Products
Gasoline
Fuel oil
Lubricating oil
Kerosene
Coke
By-Droduct coke
Beehive coke
Chemical Products
Paints
Soap
Rayon
Industrial chemicals

Rubber Products. ...

.

Minerals—Total
Fuels

....

Coal
Bituminous coal
Anthracite
Crude petroleum

P240

P184 P156

P173

147 P 1 4 4 P 1 3 7
164
133
148

r

r

142
127
243
380

68

Metals
Metals other than gold and silver
Iron ore
(Copper; Lead; Zinc)1
Gold
Silver

68

68

72

109

131

129

125

124

123

116

80

95
63

98
68

104
80

166
216

207
304

204
301

196
289

192
289

21
53

21
56

21
61

21
54

20
47

23
42

25
46

P159
P115
P143

80
50

23
56

175
245
32
54

111
108

24
62

188
281
29
51

P151

61

94
61

P144
P127
P247
P388

34
52

r
Revised.
v Preliminary.
Series included in total and group indexes but not available for publication separately.
NOTE.—Series on petroleum refining, usually published in this table, is in process of revision. For description and back figures, see BULLETIN
for October 1943, pp. 940-984, September 1941, pp. 878-881 and 933-937, and August 1940, pp. 753-771 and 825-882.
1

MARCH

1946




325

FACTORY EMPLOYMENT AND PAY ROLLS, BY INDUSTRIES
(Without Seasonal Adjustment)
[Index numbers of the Bureau of Labor Statistics, 1939=100]
Factory employment
Industry Group or Industry

Annual
1944

Factory pay rolls

1945
1

1945

Jan.

Oct.

1946

Nov.

Dec.

Jan.

Annual
1944

1945

19451 Dec.

Jan.

Oct.

Nov.

Dec.

Total

169.1 143.4 162.4 121.4 121.6 121.6 122.2 339.1 277.3 336.8 335.2 212.7 212.5 215.5
231.4 181.6 219.4 136.4 136.6 134.4 135.6 474.2 354.1 463.6 461.5 233.8 231.7 230.2
119.9 113.2 117.4 109.5 109.8 111.5 111.6 206.9 202.2 212.8 211.7 192.1 193.8 201.1

Iron and Steel and Products
Blast furnaces, steel works, e t c —
Steel castings
•
Tin cans and other tinware
Hardware
Stoves and heating equipment
Steam, hot-water heating appa> ratus
Stamped and enameled ware
Structural and ornamental metal
work

172.0
124.3
249.4
121.2
130.0
136.0

Electrical Machinery
Electrical equipment
Radios and phonographs
Machinery except Electrical
Machinery
and
machine-shop
products
Engines and turbines
Tractors
Agricultural, excluding tractors...
Machine tools
Machine-tool accessories
.....
Pumps
Refrigerators...'

Durable goods... .
Nondurable goods.

Transportation Equipment, except Autos
Aircraft, except aircraft engines. .
Aircraft engines
Shipbuilding and boatbuilding

148.8
117.9
207.5
125.0
116.7
122.0

'169
'290
186
184
180

•202.2 211.9
174
181
•282
297
186
202
178
195
182
199

350.1 297.1 354
322.4 274.4 332

358
337

230
•200

238
209

413.3 287.6 402

395

187

188

290.1 232.3 273.7 173.4 177.8 179.6
162
249.5 204.4 238
166
161
144
132
292.3 216.0 271
129

520.7 413.1 512.
457.0 364.0 452
552.3 409.2 537

513.2 278.3 290.3
454 '254
265
540
218
238

231.9 197.7

435.6

357.0

429.8 428.9 '273.6 '272.6

425.4
801.8
295.8
324.9
383.1
473.6
695.4
273.6

350.0
590.0
262.1
283.0
320.0
375.7
525.1
216.5

808
294
322
381
452
650
287

121.5 125.4 126.8
115
173
170
117
111
104
'97
111
105

186.2 160.2 183
159.9 138.8 157

133
'110

139
115

145
121

210.7 159.7 2Q6

116

120

123

231.1
376.1
187.9
161
215.6
275.4
326.3
151.9

196.7
303.2
171.2
146.6
182.0
226.5
260.1
126.1

223.8 165.7 165.9 166.2 169.8
223
365
186
160
203
258
305
149

1483.5
.7 1333.6
1800.5 1062.5 1613
2745.9 1535.4 2395
1642.1 962.0 1474

269.7
206.0
369.9
213.8
234.6
226.1

321.4
226
455
216
276
269

182
213
99

161
229
161
135
'142
181
215
112

161
207
165
145
146
184
217
98

405.1
'320
331
532

349.2
'309
301
413

328.7 320.1 3082.6 1810.3 2952.4
3452.7 2041.9 198
308
4845.1 2578.8 4295
246
387
3514.2 2018.7 3446

163
230
158
129
-•158

Automobiles

178.9

Nonferrous Metals and Products
Primary smelting and refining.. . .
Alloying and rolling, except aluminum
Aluminum manufactures

182.3 163.2 182
312.4 242.2 284

Lumber and Timber Basic Products. . . .
Sawmills and logging camps
Planning and plywood mills

116.
80.
99.

Furniture and Lumber Products
Furniture
Stone, Clay and Glass Products
Glass and glassware
Cement
Brick, tile, and terra cotta
Pottery and related products

105.6
99.2

141.8 172.3 '110.2 '123.7

129
'153

137
'163

91.7

421
790
295
322
379
458
649
271
2900.1
3257
4335
313

•200.4

254
222
196
298.4
261
263

'268
380
220
230
'255
271
386
159

'263
367
229
231
'233
270
385
176

277.4
265
368
235
249
245
279
406
144

687.5
'537
444
893

565.7
'513
393
642

566.6
527
346
660

94.1

141
173

105.6 110.6
72.9 76
91.2 97

96.3
67
83

96.8
67
84

98.6
68
86

98.0 103.3
90.4 96

89.8
82

93.6
85

98.1 101.6
90

Textile-Mill and Fiber Products
Cotton goods except small wares. .
Silk and rayon goods
Woolen and worsted manufactures
Hosiery
Dyeing and finishing textiles

114.
109.8 111.6 109.8 107.4
129.5 122.4 126
110
124
72.9 75.2 69
85
85
75.6 75.3 73
83*
79
123.8 116.9 119
120
117
98.3 92.5 96.0 90.6 91.1
111.0 104.7 109
101
102
75.
71
72.0 74
71
101.1 94.7 98
94
96
66.5 61.8 63
62
64
91.9 85.3 90
80
'81

Apparel and Other Finished Textiles. . .
Men's clothing, n.e.c
Shirts, collars, and nightwear
Women's clothing, n.e.c
Millinery

112.1 102.6 107.
96.7 87.1 92
75.3 69.5 70
80.6 74.3 79
78.3 75.1 80

97.2

317.9 324.8 '165.5 185.6

129.7

351.9 296.4 341.3 343.0 '222.0 '234.8
323.2 251.3
264
'222 nil
239
340.9 302.5 348
355
223
560.1 420.0 512
530
'235 '254

186.8 159.4 176.3 '128.1 '134.3 136.9
129
176.1 136.5 143 '125 '126

Leather and Leather Products
Leather
Boots and shoes

318.9
223.7
460.8
203.1
265.5
256.8

321.2
224
457
219
274
267

'120.6
'110
177
113
98
101

169.8
122
240
125
130
137

241.3
225

212.9 190.4 200.1 199.2 169.1 164.
114
150.2 132.7 139
138
117
137
169.0 156.3 167
167
140

165.6
113
142

329.7

240.0

247
267

180.7
164

190.5 180.6
178.6 165.8 180

194.0 161.9 166.5
151
180
147

111.0 113.0
113
89
88
123

190.2
205.4
112.0
120.8
190.4

186.
195.4
122.4
126.6
184.4

192.1
204
114
118
194

189.0 184.9 177.4 186.1
184
171
202
196
137
135
107
139
148
139
133
117
195
185
187
188

95.3
107
73
99
66

96.6

173.8
204.1
136.4
191.6
105.4
151.4

171.5
204.6
139.4
184.5
101.0
147.0

179.0 176.
212
210
138
142
194
195
103
106
152
157

168.1
199
143
178
105
'137

171.3
200
142
184
109
143

184.1
216
149
200
113
164

101.0 100.6 100.9 101.7
81
81
82
72
72
70
75
75
76
75
74
75

192.8
163.6
131.3
140.3
117

185.3
153.7
127.2
136.3
122.3

195.0
165
128
144
113

183.6 177.7
'137
132
131
136
142
110
135

182.6
141
134
141
120

158.4 164.8 163.2 164.7 161.
147
151
145.3 148.8 146
148.1 146
144
140.
148

91.3
85.0
79.8

89.5
83.5
78.5

90.
84
79

84
78

90.6
86
80

93.
90
82

Food and Kindred Products
Slaughtering and meat packing.. .
Flour
Baking
Confectionery
Malt liquors
'.
Canning and preserving

126.1
130.6
115.
112.
116.5
139.
102.£

120.
110.
120.9
110.0
109.4
144.4
98.

119.
128
119
111
118
137
78

125.
105
126
110
108
151
-125

121.9
110
125
110
111
150
'93

120.
120
125
110
111
148
80

116.

Tobacco Manufactures
Cigarettes
Cigars

89 A
126.
70.

87.2
125. 128
65.5 65

87,
120
69

84.

127
68

r
91.
131
71

198.
165
126
149
131

161.
146
146

175.4
162
157

201.5
216.1
191.0
166.8
191.1
202.8
194.3

206.
185
'212
181
198
225
179

210.6
212
222
181
202
227
167

'171.
208
149

163.3
185
149

200.0
181.4
210.
173.5
187.
217.
195.

164.
158.
192.3 203.
136.
138

207.1
228
199
177
211
205
163

198.0
222
206
168
198
195
154

177.
223
147

166.4 rl81.
211
218
134
159

207.
173
'224
177
188
226
252

' Revised.
1
Annual indexes for 1945 were computed by the Board of Governors and are preliminary.
NOTE.—Indexes for major groups and totals have been adjusted to final 1943 data made available by the Bureau of Employment Security
of the Federal Security Agency. Back data and data for industries not here shown are obtainable from the Bureau of Labor Statistics. Underlying figures are for pay roll period ending nearest middle of month and cover wage earners only. Figures for" January 1946 are preli minary.

326



FEDERAL RESERVE BULLETIN

FACTORY EMPLOYMENT AND PAY ROLLS, BY INDUSTRIES—Continued
(Without Seasonal
Adjustment)
[Index numbers of the Bureau of Labor Statistics, 1939=100]
Factory employment
Industry Group or Industry

Annual

Factory pay roll
1946

1945

1945

1944

Annual

Jan.

116.9
105.8
115.4
112.1

Oct.

Nov.

Dec.

Jan.

1944

19451

Dec.

Jan.

Oct.

Nov.

Dec.

118.5
107
119
112

117.5
106
115
115

119.3
108
115
116

122.4
111
118
118

123.7

194.2
178.9
193.2
180.6

197.7
183.3
189.9
184.7

200.5
185
198
185

Paper and Allied Products
Paper and pulp
Paper goods, n.e.c
Paper boxes

119.7
106.5
122.1
115.6

198.3
183
198
182

201.2
187
184
193

204.9
190
186
197

212.2
197
198
203

Printing and Publishing
Newspaper periodicals
Book and job

99.3
99.9 98.8 102.5 105.9 108.1 108.8 134.8 144.3 141.2 139.8
118
101
103
116.9 126.1 122
92.9 94.2 92
97
160
110
113
116
150.2 161.9 160
105.9 106.8 106

150.7
133
169

158.5
138
178

163.2
142
184

Chemicals and Allied Products
Drugs, medicines, and insecticides
Rayon and allied products
Chemicals, n.e.c
Explosives and safety fuses
Ammunition, small-arms
Cottonseed oil
Fertilizers

211.6

256.6
269
'189
261

258.9

184.0
109.1
170.6
1091.4
1410.2
108.8
116.9

193.4 217.8
179.3 179
112.9 112
162.8 166
993.2 1311
1040.1 1431
104.3 130
120.1 123

'153.5 154.3
175
174
'118
115
157
159
417
'338
243
264
119
136
108
111

153.4
177
120
163
277
233
128
118

151.8

126.0 '122.8 '130.7 131.3
122
131
131
126
'100
'103
106
102

133.5

377.9 384.2 r259.6
269
273
272
'186
182
180
261
291
293
-•636
1970 1999
2815.0 2049.0 2633 2915
472
265
217.0 222.1 289
276
250
250.2 275.9 250
269
367.7 338.3
269.2 274.6
174.2 184.1
294.2 284.9
1673.8 1510.9

Products of Petroleum and Coal
Petroleum refining
Coke and by-products

123.4 126.6
121.0 126.3
105.3 101.7

Rubber Products
Rubber tires and inner tubes... .
Rubber goods, other

163.8 153.8 164.9 '144.3 '149.2 156.5 159.1 292.7 274.8 308.5
293.0 279.8 319
170.2 167.1 179
163
169
178
252.0 234.2 256
140.7 128.6 138
115
119
124

Miscellaneous Industries
L». Instruments, scientific
Photographic apparatus

566.4 414.9
167.2 147.0

173.0

154.2

167.8
532
162

137.6
203
130

130.3 133.4
216
202
120
125

140.3

213.
222.5 221.9
206.4 217.1 215
184.2 184.3 182

'•528
488
306
240

221.7 '196.8 '223.4
'218
216
'190
'184
189
'163
323.2
342
261

330.1 292.8 332.2 334.3
1057
1075.0 771.1 1058
278
271.9 243.1 259

r

r

237.0
240
202

239.8
240
207

276

195
269
474
437
280
256
221.9
214
193
255.7
257
223

229.1 '236.1 250.0
346
'325
336
189
198
203

For footnotes, see page 326.
FACTORY EMPLOYMENT
(Adjusted for Seasonal Variation)
[Index numbers of the Board of Governors, 193.9 =1001
1944

1946

1945

Group
Dec.

' Revised.

Feb.

Mar.

Apr.

May

June

July

Aug.

Sept.

163.0
219.7
118.3

Total
Durable
Nondurable

Jan.

162.9
219.8
118.0

162.5
219.1
117.8

160.6
215.9
117.1

157.6
210.3
116.1

154.5
204.1
115.4

151.0
196.7
115.0

145.5
187.6
112.3

141.1
180.0
110.3

121.4 '120.6 121.2
138.3 '136.1 136.4
108.1 '108.4 '109.3

v Preliminary.

Oct.

Nov.

Dec.

121.3 P122.7
134.4 P136.0
111.0 J»112.2

NOTE.—Back figures from January 1939 may be obtained from the Division of Research and Statistics. '

HOURS AND EARNINGS OF WAGE EARNERS IN MANUFACTURING
[Compiled by the Bureau of Labor Statistics]

Industry Group

INDUSTRIES

Average hourly earnings (cents per hour)

Average hours worked per week

1945

1945

1944

Nov. Dec. Aug. Sept. Oct.

Nov. Dec.

Nov.

Dec.

Aug.

Sept.

Oct.

All Manufacturing. . .

45.3

45.6

40.7

41.4 '41.6 '41.2

41.6

103.5 104.0

102.4

95.7

98.5

Durable Goods

46.7

47.1

41.1

41.0 '41.6 '41.1

41.5

113.6

114.0

111.3

107.2

46.8
46.3
48.2
47.8
45.5
46.9
43.0
44.4
44.1

47.4
46.6
48.9
48.4
45.7
47.6
42.3
44.3
44.1

41.7
41.2
42.7
41.7
33.5
43.3
40.5
40.6
41.6

41.8
40.8
43.0
38.8
36.5
42.5
40.8
42.3
41.8

'42.0
'41.2
42.6
37.4
'38.3
'43.2
40.6
'42.1
42.1

42.4
41.5
42.9
39.8
36.1
43.4
39.2
42.8
42.1

108.9
104.9
113.4
131.8
128.0
105.8
79.1
83.3
91.0

109.5
105.9
114.6
130.9
127.9
106.9
79
84.4
91.3

110.9
103.8
113.4
129.7
124.5
106.7
81.3
83.5
93.9

108.9
101.4
111.9
126.4
122.4
104.4
81.9
83.3
93.7

'107.8
103.1
111.8
'125.0
'121.9
'104.8
78.4
'84.1
93.2

43.2

43.5

40.3

41.8 '41.5

41.3

41.7

87.7

88.3

90.9

90.3

9Q.9

42.8
37.7
41.6
46.0
45.0
46.6
41.4
45.7
47.1
46.6
45.5 45.7

38.4
33.2
39.3
43.3
39.0
44.0
40.7
43.4
46.9
41.8
41.8

Nov.

106.3

Iron and Steel and Products
Electrical Machinery
Machinery Except Electrical
Transportation Equipment Except Autos.
Automobiles
Nonferrous Metals and Products
Lumber and Timber Basic Products
Furniture and Finished Lumber Products.
Stone, Clay, and Glass Products
Nondurable Goods.
Textiles—Mill and Fiber Products
Apparel and Other Finished P r o d u c t s . . . .
Leather and Manufactures
Food and Kindred Products
Tobacco Manufactures
Paper and Allied Products
Printing, Publishing and Allied Industries.
Chemicals and Allied Products
Products of Petroleum and Coal
Rubber Products
Miscellaneous Industries
' Revised.

MARCH

Jan.

42.3
38.0
41.2
45
44.2

40.6
36.2
40.6
44.7
42.3
45.9
42.2
43.4
44.9
43.0
42.2

'42.1
41.1
'43.0
'39.1
'38.4
'43.2
42.2
42.7
42.5

40.4
'36.7
40.9
'44.1
42.0
45.8
41.6
43.3
'42.6
41.4
42.0

40.3
'36.0
39.6
44.4
40.4
45.7
41.7
'42.7
'44.1
40.2
'42.1

40.7
72.2
72.5
36.4 82.4 83.1
40.6 81.9 82.4
45.4 85.9 86.5
39.1 73.5
73.8
45.5 86.3 86.4
41.5 110.4 110.8
42.7 95.6 96.4
43.1 118.6 120.0
40.8 110.7 113.0
42.4 97.5 98.5

77.0
84.6
85.7
88.2
76.5
88.0
114.4
100.3
122.2
111.9
97.5

'99.1

Dec.
99.7

106.9
'108.1
'104.4
'112.4
'124.7
'122.0
105. i78. i
'84.4
92.
'91.8

76.3 '77.3 '78.6
87.8 87.5 86.4
85.3 85.2 85.7
88.0 89.5 90.8
78.6 79.3 80.7
89.3 '89.7 '90.2
115.8 115.5 ••117.1
99.2 '99.1 »-98.9
121.7 '120.4 '122.0
109.8 '110.0
95.1 95.7 '96.3

nn.o

109.1
105.8
113.4
124.7
122.2
106.3'
81.0
85.2
94.0
92.8
79.5
87.6
88.1
91.6
80.6
91.1
118.6
100.2
123.7
111.2
98.4

NOTE.—Back figures are available from the Bureau of Labor Statistics.

1946




327

ESTIMATED EMPLOYMENT IN NONAGRIGULTURAL ESTABLISHMENTS, BY INDUSTRY DIVISION
[Thousands of persons]

Total

Manufacturing

30,353
31,784
35,668
38,447
39,728
38.698
^36,982

10,078
10,780
12,974
15,051
16,924
16,121
P13.899

1941—September
October
November
December

36,774
36,892
36,991
36,864

1942—January
February
i March.
April
May
June
July
August
September
October
November
December

Year and month

fining

Construction*

Transportation and
public
utilities

Trade

Finance,
service,
and miscellaneous

Federal,
State, and
local
government

6,618
6,906
7,378
7,263
7,030
7,044
P7.173

4,160
4,310
4,438
4,447
4,115
4,348
P4.589

3,988
4,136
4,446
5,203
5,890
5,911
*5,887

' 947

1,753
1,722
2,236
2,078
1,259

P779

P833

2,912
3,013
3,248
3,433
3,619
3,761
P3.822

13,580
13,642
13,752
13,748

1,000
1,003
1,004
1,002

2,327
2,295
2,248
2,115

3,331
3,355
3,369
3,367

7,548
7,537
7,526
7,487

4,454
4,472
4,479
4,493

4,534
4,588
4,613
4,652

37,057
37,195
37,391
37,724
37,981
38,204
38,581
39,042
39,171
39,452
39,597
39,898

13,879
14,041
14,255
14,463
14,649
14,865
15,143
15,442
15,644
15,798
16,048
16,333

996
981
976
982
982
981
982
973
962
954
944
933

2,102
2,090
2,055
2,054
2,048
2,057
2,077
2,101
2,077
2,136
2,095
2,041

3,372
3,357
3,382
3,402
3,419
3,419
3,433
3,448
3,448
3,484
3,503
3,525

7,481
7,414
7,331
7,319
7,280
7,206
7,210
7,222
7,227
7,224
7,132
7,136

4,520
4,491
4,523
4,541
4,521
4,532
4,520
4,518
4,382
4,330
4,255
4,229

4,707
4,821
4,869
4,963
5,082
5,144
5,216
5,338
5,431
5,526
5,620
5,701

1943—January
February
March
April
May
June
July
August
September
October
November
December

39,934
39,935
40,066
39,891
39,740
39,775
39,876
39,737
39,475
39,486
39,526
39,479

16,506
16,682
16,831
16,858
16,837
16,908
17,059
17,097
17,051
17,108
17,152
16,995

927
924
915
908
893
893
888
878
876
869
859
863

1,899
1,734
1,604
1,476
1,358
1,263
1,164
1,082
1,020
.864

3,540
3,556
3,574
3,588
3,597
3,620
3,634
3,639
3,633
3,671
3,683
3,687

7,133
7,064
7,110
7,006
6,988
7,017
7,061
7,015
7,006
7,006
7,000
6,962

4,146
4,146
4,121
4,110
4,102
4,112
4,127
4,110
4,079
4,078
4,119
4,127

5,783
5,829
5,911
5,945
5,965
5,962
5,943
5,916
5,810
5,818
5,822
5,981

1944—January
February
March
April
May.
June
July
August
September
October
November
December

39,454
39,352
39,123
38,865
38,749
38,766
38,700
38,654
38,400
38,159
38,044
38,164

16,910
16,819
16,642
16,391
16,203
16,093
16,013
15,943
15,764
15,614
15,529
15,554

862
862
852
848
843
848
833
830
822
812
808
802

830
786
737
719
673
677
653
648
627
609
611
619

3,720
3,780
3,780
3,763
3,768
3,765
3,753
3,762
3,735
3,748
3,771
3,789

7,096
7,043
7,046
6,982
6,997
7,012
7,084
7,059
7,065
7,077
7,052
7,015

4,170
4,173
4,165
4,257
4,363
4,475
4,505
4,514
4,488
4,384
4,359
4,304

5,866
5,889
5,901
5,905
5,902
5,896
5,859
5,898
5,899
5,915
5,914
6,081

1945—January
February
March
April
May
June
July
August
September
October
November
December
1946—January

38,426.
38,469
38,456
37,963
37,746
37,465
37,231
36,888
35,151
'35,029
»-35,330
35,630
36,221

15,633
15,595
15,445
15,178
14,885
14,534
14,130
13,762
12,022
••11,893
'11,906
11.876
12,054

805
802
796
765
732
798
784
780
780
714

633
658
691
736
782
828
868
858
883
940

'789
798
814

'984
1,075
1,190

3,797
3,848
3,846
3,811
3,802
3,792
3,801
3,803
3,774
'3,806
'3,870
3,916
3,946

7,210
7,164
7,214
7,004
7,056
7,039
7,117
7,121
7,215
'7,258
'7,312
7,345
7,674

4,394
4,404
4,438
4,466
4,513
4,521
4,558
4,597
4,603
4,745
4,894
4.936
5,016

5,954
5,998
6,026
6,003
5,976
5,953
5,973
5,967
5,874
5,673
5,575
5,684
5,527

1944—July
August
September
October
November
December

38,731
38,744
38,571
38,360
38,347
38,889

16,013
16,023
15,843
15,692
15,607
15,632

833
834
826
816
812
806

686
700
671
652
629
594

3,809
3,818
3,791
3,767
3,771
3,770

6,942
6,918
6,994
7,148
7,299
7,611

4,618
4,582
4,488
4,340
4,315
4,304

5,830
5,869
5,958
5,945
5,914
6,172

1945—January
February
March
April
May
J u n e . . . . .*
July
August
September
October
November
December
1946—January

37,952
37,968
38,062
37,791
37,679
37,549
37,273
36,984
35,321
'35,231
'35,631
36,339
35,706

15,555
15,517
15,368
15,102
14,811
14,534
14,130
13,831
12,082
'11,952
'11,966
11,935
11,994

801
798
796
761
728
794
784
784
784
718

582
599
636
699
798
845
911
927
945

3,740
3,771
3,788
3,792
3,802
3,830
3,858
3,860
3,831
'3,825
'3,870
3,896
3,887

7,030
6,985
7,084
6,990
7,021
7,004
6,975
6,979
7,143
'7,331
'7,568
7,969
7,482

4,350
4,360
4,394
4,444
4,513
4,589
4,672
4,666
4,603
4,698
4,845
4,936
4,966

5,894
5,938
5,996
6,003
6,006
5,953
5,943
5,937
5,933
5,701
5,575
5,769
5,472

1939
1940
1941
1942
1943
1944
1945

845
916
970
891
835

679

SEASONALLY ADJUSTED

936
891

UNADJUSTED

,

'793
802
810

1,006
'1,014
1,032
1,095

* Includes Contract Construction and Federal Force Account Construction.
' Revised.
P Preliminary
NOTE.—Unadjusted data compiled by Bureau of Labor Statistics. Estimates include all full- and part-time wage and salary workers in
nonagricultural establishments employed during the pay period ending nearest the 15th of the month. Proprietors, self-employed persons, domestic
servants, and personnel of the armed forces are excluded. January 1946 figures are preliminary. For back seasonally adjusted estimates see
BULLETIN for June 1944, p. 600. Back unajusted data are available from the Bureau of Labor Statistics.

328



FEDERAL RESERVE BULLETIN

CONSTRUCTION CONTRACTS AWARDED, BY TYPE OF CONSTRUCTION
[Figures for 37 States east of the Rocky Mountains, as reported by the F. W. Dodge Corporation. Value of contracts in millions of dollars]
Nonresidential building

Residential
building

Total
Month

Factories

1944

Year

1944

1945

1944

1945

159.2
137.2
176.4
179.3
144.2
163.9
190.5
169 3
175.7
144.8
164.9
188.5

January
February
March
April
May
June
July
August
September
Qctober
November
December

1945
140.9
147.0
328.9
395.8
242.5
227.3
257.7
263 6
278.3
316.6
370 1
330.7

41.0
24.9
35 2
37.8
34.5
30.6
25.8
23 3
24.5
23.8
23 3
23.9

19 5
19.3
26 9
42.7
47.2
41 8
46.3
42 7
42.6
59.9
88 4
86.1

34.0
29.9
48.7
33.0
27.1
24.4
38.3
40.0
49.0
37.7
52.9
57.6

45.2
66.6
160.4
174.5
43.4
25.5
51.5
75.5
98.3
85.4
107.9
92.6

348.4

563.5

Commercial

1,994.0 3,299.3

1944

1945

1944

1945

7 5
8 7
8.5 1-0.2
10 0
4 4
12.3
5.4
9.5
3.8
18 8
10 5
19.8
10.1
6 4
25 5
45 5
7.6
60.8
3.5
62 8
5 3
65.5
3.8

4.1

4.5
7.4
6.1
5.8
8.7
5.6
7.9
6.4

7.7
7.1
9.5

80.8

Other

1945
4 9
3.0
4 6
4.3
5.1
10 5
13.4
10 4
10 2
18.6
7 0
8.2

21 1
23.1
19 5
25.0
17.1
18 9
30.2
22 4
24 2
20.0
28 3
27.1

23 9
17.6
36 3
49.9
29.4
35 6
36.9
32 0
27 0
30.8
30 0
27.3

50 3
55.1
61 3
72.0
55.8
70 7
80.5
69 4
64 1
52.2
48 0
66.6

39 8
32.0
90 6
111.9
107.9
95.0
89.9
77.5
54.6
61.1
74.0
51.0

69.2

100.2

276.7

376.8

746.1

885.4

1945

1944

472.7 1,027.0

Educational

Public works
and public
utilities

1944

346 A

Negative because of revision of a prior month's entry.
CONSTRUCTION CONTRACTS AWARDED, BY OWNERSHIP
[Figures for 37 States east of the Rocky Mountains, as reported by the
F. W. Dodge Corporation. Value of contracts in millions of dollars]
Total

Public ownership Private ownership

1944 1945 1946

1946

1944 1945 1946 1944 1945 1946

Month

January....
February...
March
April

159
137
176
179
May
144
June
164
July
191
August
169
September.. 176
October
145
November. . 165
December. . 188
Year

CONSTRUCTION CONTRACTS AWARDED, BY DISTRICT
[Figures for 37 States east of the Rocky Mountains, as reported by the
F. W. Dodge Corporation. Value of contracts in thousands of dollars]

141
147
329
396
243
227
258
264
278
317
370
331

1,994 3,299

358

122
109
133
133
98
122
148
125
127
102
103
114

75
74
221
309
148
82
108
67
43
61
61
62

37
28
43
46
46
42
42
44
49
43
62
74

47

1,435 1,311

559

66
73
107
87
95
146
149
196
235
256
309
269

311

Federal Reserve district

1945

Jan.
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago....
St. Louis
Minneapolis
Kansas City
Dallas

Dec.

Jan.

18 059
54,330
19,587
39 675
36,565
30 818
70,156
21,635
13,660
18,929
34,087

14 889
43,388
13,452
49,626
33,717
30,189
65,384
30,211
14,568
12,413
22,848

5.821
10,425
6,731
9,623
22,316
28,550
19,149
8,792
2,698
11,628
15,216

357,501

330,685

140,949

. . .

Total (11 districts)

1,988
NOTE.—Data for most recent month preliminary.

LOANS INSURED BY FEDERAL HOUSING ADMINISTRATION
[In millions of dollars]
Title I Loans

Year or month

Total

Property
improvement

Small
home
construction

Mortgages on
1- to 4- Rental War
and
family
housing
houses group (Title
(Title housing VI)
(Title
ID
ID
94
309
424
473
669
736
877
691
243
216
219

1935
1936 .
1937
1938
1939
1940
1941
1942
1943 . . .
1944
1945

320
557
495
694
954
1,026
1,186
1,137
942
886
684

224
246
60
160
208
251
262
141
96
125
189.

1945—Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
Dec

67
68
60
53
62
56
52
45
44
62
60
55

8
19
13
10
14
13
12
12
11
26
28
23

*'
*
*
*
*
*

19
14
17
15
22
19
19
18
16
19
21
20

1946—Jan

56

17

*

27

13
25
26
21
15
1
*
*
*

2
2
11
48
51
13
13
6
*
7
3
*

*
*
2
*
1

1946




End of month

Total

Savings
Com- Mutual
and
mersavloan
cial
ings
banks banks associations

Insur- Federal Other'
ance
com- agenpanies cies1

13
284
601
537
272
39
34
30
28
26
24
21
15
14
17
11
11
12

1936—Dec.
1937—Dec.
1938—Dec.

771
1,199

430
634

27
38

110
149

118
212

1939—June
Dec

•Less than $500,000.
NOTE.—Figures represent gross insurance written during the period
and do not take account of principal repayments on previously insured
loans. Figures include some reinsured mortgages, which are shown in
the month in which they were reported by FHA. Reinsured mortgages
on rental and group housing (Title II) are not necessarily shown in the
month in which reinsurance took place.
MARCH

INSURED FHA HOME MORTGAGES (TITLE II) HELD IN
PORTFOLIO, BY CLASS OF INSTITUTION
[In millions of dollars]

1,478
1,793

759
902

50
71

167192*

1940—Mar
June
Sept
Dec

1,949
2,075
2,232
2,409

971
1,026
1,093
1,162

90
100
111
130

1941—Mar
June
Sept
Dec.

2,598
2,755
2,942
3,107

1,246
1,318
1,400
1,465

1942—Mar
June
Dec

3,307
3,491
3,620

1943—June
Dec.

365

228

8

56

41

5

27
53
90

271
342

32
77
137
153

94
133

201
208
216
224

392
432
480
542

171
182
190
201

124
127
141
150

146
157
171
186

230
237
246
254

606
668
722
789

210
220
225
234

160
154
178
179

1,549
1,623
1,669

201
219
236

856
264
940
272
276 1,032

237
243
245

200
195
163

3,700
3,626

1,700
1,705

252
256

284 1,071
292 1,134

235
79

158
159

1944—June
Dec.

3,554
3,399

1,669
1,590

258
260

284 1,119
269 1,072

73
68

150
140

1945—June
Dec

3,324
3,156

1,570
1,506

265
263

264 1,047
253 1,000

43
13

134
122

x
The RFC Mortgage Company, the Federal National Mortgage
Association, the Federal Deposit Insurance Corporation, and the
United States Housing Corporation.
'Including mortgage companies, finance companies, industrial banks,
endowed institutions, private and State benefit funds, etc.
NOTE.—Figures represent gross amount of mortgages held, excluding terminated mortgages and cases in transit to or being audited at the
Federal Housing Administration.

329

MERCHANDISE EXPORTS AND IMPORTS
[In millions of dollars]
Merchandise exports 1

Merchandise imports2

Excess of exports

Month
1941

1942

1943

1944

1945

1941

1942

1943

1944

1941

1945

1942

1943

1944

1945

January
February
March

325
303
357

482
483
637

749
728
988

1,124
1,107
1,197

P903
P887
Pl,030

229
234
268

254
254
272

229
234
249

301
314
359

P334
P325
P365

96
69
89

228
230
365

520
494
739

823
793
838

P569
P561

April
May
June

387
385
330

717
542
650

989
1,092
1,003

1,231
1,455
1,297

Pl,005
Pl,135
P87O

287
297
280

235
191
215

258
281
295

361
386
332

P366
P372
P360

100
88
50

482
351
435

731
811
708

869
1,069
965

P639
P763

July
August
September....

365
460
425

659
705
732

1,265
1,280
1,269

1,197
1,191
1,194

P893
P737

278
282
262

213
186
196

302
316
286

294
304
282

P356
P360
P335

87
178
162

446
518
536

963
964
983

903
887
912

P378
P180

October
November. . . .
December

666
492
653

803
788
883

1,238
1,073
1,288

1,144
1,187
939

P455
P639

304
281
344

200
168
358

329
311
281

329
323
336

P344
P322

P736

P301

362
211
309

603
620
525

909
762
1,006

815
863
603

Pill '
P317
P434

Jan.-December

5,147

;,080 12,963 14,261 P9,805

3,345

2,742

3,372

3,921

P4,140

1,802

5,338

9,591

10,341

P514

P665

P537

P5,665

p Preliminary.
1
including Dotn domestic and roreign mercnandise.
Including both
foreign merchandise.
General imports, including merchandise entered for immediate consumption and that entered for storage in bonded warehouses.
Source.—Department of Commerce.
Back figures.—See BULLETIN for April 1940, p. 347; February 1937, p. 152; July 1933, p. 431; and January 1931, p. 18.
o

f"**~«.~— i

i

-.— j,—

i

i

i:

—.

i

-

I-

J

J

i-_

FREIGHT CARLOADINGS, BY CLASSES
[Index numbers: 1935-39 average=100]
ForTotal Coal Coke Grain Live- est
stock prod- Ore
ucts

REVENUES, EXPENSES, AND INCOME OF CLASS I
RAILROADS
[In millions of dollars]
Mis- Mercel- chanlane- dise

ous

Total
railway
operating
revenues

lcl
...

Annual

1939
1940
1941
1942
1943
1944
1945

101
109
130
138
137
140
135

98
111
123
135
138
143
134

102
137
168
181
186
185
172

107
101
112
120
146
139
151

96
96
91
104
117
124
124

10~)

114
139
155
141
143
129

110
147
183
206
192
180
169

101
110
136
146
145
147
142

97
96
100
69
63
67
68

SEASONALLY
ADJUSTED

Annual
1939
1940
1941
1942
1943
1944
1945

. .

Net
railway
operating
expenses
income
Total
railway

3,995
4,297
5,347
7,466
9,055
9 437
P8,902

3,406
3,614
4,348
5,982
7,693
8,343
8,052

1,485
1,362
1,093
P850

589
682
998

Net
income

93
189
500
902
874
668
P450

1944—November
December.

141
137

142
127

181
166

150
134

135
128

138
135

153
133

149
151

68
68

SEASONALLY
ADJUSTED

1945—January..,
February.,
March. . . ,
April
May
June
July
August.. . ,
September
October. . .
November.
December.

144
139
145
141
140
140
139
128
127
118
133
127

141
139
137
126
126
143
136
128
143
109
148
133

176
178
190
180
193
181
193
167
155
113
167
164

128
119
134
160
167
155
157
163
146
158
167
153

120
121
129
124
120
121
121
115
114
123
145
140

142
133
134
133
137
144
140
133
125
109
110
106

161
168
218
204
204
170
171
166
174
134
134
117

157
152
159
153
151
146
146
132
126
125
133
130

66
66
67
71
69
68
67
64
66
69
74
74

1944—October
November..
December..

791
788
780

709
697
711

82
91
69

46
57
33

1945—January.. . .
February.. .
March
April

1946—January..

«3

148

127

152

126

122

118

134

78

766
781
796
799
796
831
791
705
691
657
668
628

673
678
698
704
704
725
696
648
655
620
608

93
103
98
96
92
106
95
57
36
37
61

60
68
63
62
57
71
61
22
4
5
P27

P674

p-36

1944—October
November..
December..

818
780
757

720
689
687

98
91
70

60
64
41

1945—January.. . .
February.. .
March
April

751
713
813
779
823
820
796
755
679
697
661
614

678
640
713
687
723
724
699
669
635
643
600
651

73
73
100
92
100
96
97
87
44
54
61
-37

39
37
63
56
65
66
63
51
9
20

UNADJUSTED

1944—November,
December.

144
128

142
127

181
175

147
126

170
124

135
120

138
41

155
142

70
65

1945—January. . ,
February. ,
March. . . ,
April
,
May
June
July
August... ,
September
October. .
November,
December.

132
130
136
139
142
145
143
132
137
128
136
119

141
139
137
126
126
143
136
128
143
109
148
133

185
188
192
176
191
178
187
160
154
111
167
172

128
117
124
141
147
158
188
176
163
158
164
144

115
97
102
111
108
99
97
109
150
189
183
135

128
128
134
133
143
149
140
140
135
115
108
94

40 '144
42 142
63 151
203 151
268 152
263 150
273 148
249 133
261 136
215 136
114 139
36 123

63
64
68
71
69
68
67
65
69
72
75
71

1946—January..

123

148

133

152

120

109

29

123

74

r
Revised.
NOTE.—For description and back data, see pp. 529-533 of the BULLETIN for
June 1941. Based on daily average loadings. Basic data compiled by Association of American Railroads. Total index compiled by combining indexes for
classes with weights derived from revenue data of the Interstate Commerce
Commission.

330



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

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

P34

P Preliminary.
NOTE.—Descriptive material and back figures may be obtained from the Division of Research and Statistics. Basic
data compiled by the Interstate Commerce Commission.
Annual figures include revisions not available monthly.

FEDERAL RESERVE BULLETIN

DEPARTMENT STORE STATISTICS
[Based on value figures]
MONTHLY INDEXES OF SALES
[1935-39 average = 100]
Federal Reserve district
Year and month

United
States
Boston

Philadelphia

Cleveland

Richmond

Atlanta

Chicago

St.
Louis

83
99
92
94
105
105
110
113
114
115
117
108
97
75
73
83
88
100
107
99
106
114
133
150
168
186
207

95
110
108
112
119
121
123
127
128
126
128
123
114
90
84
90
92
100
104
100
104
108
126
140
148
162
175

84
100
96
99
106
110
116
120
123
124
129
126
116
91
86
91
93
101
106
99
101
106
119
128
135
150
169

106
126
120
122
135
134
135
138
133
127
128
118
105
83
80
88
91
102
107
96
104
111
129
143
151
168
184

84
106
94
95
108
106
109
110
110
110
116
105
93
68
69
81
86
101
111
96
106
114
138
153
167
182
201

73
81
78
75
85
87
92
96
95
95
96
92
86
68
68
81
87
98
105
101
109
120
144
170
194
214
235

88
105
90
85
94
91
95
99
100
100
98
91
79
60
62
78
84
97
105
103
113
123
145
162
204
244
275

80
83
98
96
102
106
108
114
116
101
88
67
68
79
86
100
109
98
107
116
135
149
161
176
193

105
103
115
114
120
121
119
120
122
110
97
76
72
83
85
97
106
102
111
119
143
158
179
200
227

113
126
117
112
120
119
124
119
117
110
110
105
98
79
76
85
90
99
104
101
106
109
122
133
149
165
186

183
'174
183
176
189
187
187
193
'204
196
197
211
220
'182
188
202
218
200
'200
'212
'225
216

155
157
164
155
160
158
162
165
168
174

152
141
150
144
150
152
149
151
161
157

173
161
168
158
169
157
170
167
182
170

183
166
181
166
191
182
180
190
204
190

213
200
212
208
212
215
219
228
231
221

228
221
233
237
262
243
247
260
271
258

168
166
170
165
178
180
181
185
189
190

'193
'185
'201
189
'198
207
'210
'207
'213
'218

167
166
193
157
160
177
183
166
167
177
183
188

149
165
189
150
156
169
177
165
161
172
182
181

173
189
204
162
170
185
198
175
175
184
202
184

186
204
222
174
179
197
220
189
187
209
220
211

r233
238
250
210
210
235
252
235
225
248
250
237

268
274
274
234
243
277
300
274
268
292
298
288

184
202
207
168
170
184
197
189
193
199
208
206

226

186

185

205

214

267

307

170
172
178
163
142
157
196
209
248
319

1919
1920
1921
1922
1923
1924
1925
1926
1927
1928
1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

New
York

144
161
162
144
110
118
170
184
207
300

139
137
142
133
100
111
158
173
206
269

162
158
161
142
116
123
173
189
229
303

167
172
179
157
140
159
191
204
244
304

203
194
211
183
152
177
232
249
293
372

156
171
212
174
183
186
163
168
209
230
274
351

132
130
187
156
158
165
127
125
176
196
225
322

123
137
176
142
148
155
118
120
171
196
235
307

133
149
200
152
163
167
137
136
178
208
255
327

145
163
214
171
177
187
161
165
199
224
264
338

179

147

154

158

167

Minne- Kansas Dallas
City
apolis

San
Francisco

119
124
123
125
119
117
111
96
74
73
85
89
99
107
100
105
110
127
149
184
205
230

93
112
92
86
91
94
98
103
101
103
104
96
81
61
62
76
80
97
105
106
112
117
138
157
212
246
277

67
80
75
78
91
93
99
106
107
110
112
104
94
71
68
77
86
100
106
100
109
117
139
169
200
221
244

159
157
160
151
165
173
162
158
189
175

194
181
192
192
212
203
200
214
244
208

244
237
242
239
256
253
252
250
258
256

219
201
214
210
222
222
216
229
253
234

211
'222
'233
'202
'213
220
'237
225
'232
'238
'240
239

181
208
205
157
162
172
187
186
185
180
219
193

241
246
240
199
203
218
243
214
217
241
265
225

'260
271
269
256
264
268
300
272
278
289
288
287

247
257
249
219
234
233
255
231
232
245
273
256

209

232

211

270

306

263

221
228
228
199
197
216
257
273
317
417

159
166
170
160
139
151
185
197
231
295

185
183
197
170
154
178
212
221
268
333

141
159
162
151
130
153
184
179
218
269

182
183
194
177
168
191
220
225
263
338

227
228
228
203
194
220
265
275
314
417

198
192
200
193
184
202
225
239
297
373

'175
191
250
193
209
207
181
194
239
271
318
398

214
236
282
227
238
233
225
244
279
307
348
466

147
162
200
165
170
178
154
158
197
213
254
320

173
187
233
192
209
198
185
194
234
255
303
365

136
144
186
156
164
171
147
165
210
204
252
297

178
194
233
195
205
200
192
201
239
253
286
367

211
239
269
228
248
228
228
237
292
318
352
467

197
217
232
205
219
215
211
210
243
254
321
407

200

246

167

191

158

200

248

211

SEASONALLY
ADJUSTED

1944—March
April
May
June
July
August
September
October
November
December

,

1945—January
February
March
April
May
June
,
July
August
September. . . .
October
November.
December
1946—January
UNADJUSTED

1944—March
April
May
June
July
August
September....
October
November....
December
1945—January
February
March
April
May
June
July
August
September
October
November
December

,

1946—January

' Revised.
NOTE.—For description and monthly indexes for back years, see pp. 542-561 of BULLETIN for June 1944.

MARCH

1946




331

DEPARTMENT STORE STATISTICS—Continued
SALES, STOCKS, AND OUTSTANDING ORDERS
[As reported by 296 department stores in various Federal Reserve
districts]

WEEKLY INDEX OF SALES
[Weeks ending on dates shown. 1935-39 average

100]

Without seasonal adjustment
Amount

( I n millions of do' lars)

Sales
(total

Stocks
(end of
month)

for

month)
1939
1940
1941
1942
1943
1944
1945

Outstanding

orders
(end of
month)

Index of stocks
(1935-39 average
= 100)
Seasonally
adjusted

Aug.
Unadjusted
Sept.

average...
average...
average...
average...
average...
average...
average...

128
136
156
179
204
227
255

344
353
419
599
508
534
564

108
194
263
530
560
728

1944—June....
July....
Aug
Sept
Oct
Nov
Dec
1945—j a n .
Feb
Mar
Apr
May....

198
162
198
234
257
300
385

523
517
574
583
607
580
451

592
631
579
561
577
613
P618

157
165
172
161
156
144
138

150
148
165
167
174
167
130

198
198
284
209
231
236
191
213
243
298
334
429

463
494
524
566
591
601
592
625
620
624
602
462

768
819
772
725
671
697
722
671
652
700
777
764

148
149
148
156
165
181
189
187
171
161
150
141

133
142
151
162
170
172
170
179
178
179
173
133

P224

P487

P897

June

July....
Aug
Sept
Oct
Nov
Dec
1946—Jan

July

99
101
120
172
146
153
162

P!56

P140

Oct.

Nov.

1942
11. . . .112
18. . . .105
25. . . .103
1. . . .105
8. . . .122
15. . . .125
22. . . .126
29. . . .142
5. . . .165
12. . . .140
19. . . .152
26. . . .172
3 . . . .183
10. . . .171
17. . . .166
24. . . .172
3 1 . . . .168
7

14.
21.
28.
Dec. 5.
12.
19.
26.

July

Aug.

Sept.

Oct.

182 Nov.
. . .182
. . .182
. . .176
. . .250 Dec.
. . .295
. . .333
. . .222

2

9.
16.
23.
30.
Feb.
6.
13.
20.
27.
Mar, 6
13.
20.
27.

1944
8. . . .116
15. . . .145
22. . . .138
29. . . .132
Aug. 5. . . .137
12. . . .148
19. . . .149
26. . . .171
Sept. 2. . . .194
9. . . .177
16. . . .196
23. . . .193
30. . . .196
Oct.
7. . . .218
14. . . .221
21. . . .209
28. . . .207
215
Nov. 4
11. . . .231
18. . . .252
25. . . .236
Dec. 2. . . .304
9. . . .365
16. . . .377
23. . . .369
30. . . .123
July

July
Aug.
Sept.

Oct.

Nov.

Dec.

1944

1943
T

1943
10. . . .113
17. . . .126
24. . . .124
3 1 . . . .118
7. . . .131
14. . . .131
21. . . .146
28. . . .145
4. . . .169
11. . . .156
18. . . .179
25. . . .176
2. . . .175
9. . . .188
16. . . .189
23. . . .194
30. . . .187
6
.202
13. . . .211
20. . . .223
27. . . .201
4. . . .269
11. . . .297
18. . . .321
25. . . .274

117 Jan
. . .146
. . .139
. . .125
. . .126
. . .143 Feb.
. . .178
. . .155
. . . 162
.150 Mar.
. . .144
. . .147
. . .155

1

8.
15.
22.
29.
5.
12.
19.
26

4.
11.
18.
25.

1945
110 Jan
6
145 Jan.
13. . . .166
. . .143
. . .146
20. . . .160
. . .144
27. . . .161
. . .137 Feb.
3 . . . .163 Feb.
. . .146
10. . . .172
. . .142
17. . . .176
. . .142
24. . . .177
3
146 M a r
182 Mar.
.204
10
. . 153
17. . . .214
. . .160
. . .172
24. . . .226
. . .182
3 1 . . . .230

1945
14. .
21. .
28. .
4. .
11. .
18. .
25. .
1. .
8. .
15. .
22. .
29. .
6. .
13. .
20. .
27. .
3. .
10. .
17. .
24. .
1. .
8. .
15. .
22. .
29. .

. .167
..157
. .153
. .167
. .176
. .124
. .182
..194
. .177
. .213
. .220
. .209
. .242
. .245
. .237
. .233
. .236
. .261
. .275
. .258
. .326
. .401
..433
. .421
..158

1946
5. . 135
12. . . .188
19. . . .191
26. . . '189
2. . . .196
9. . . .215
16.. ..209
23. . . .212
2
9

16. .
23. .
30. .

r
Preliminary.
Revised.
Back figures.—Division of Research and Statistics.

Revised.
NOTE.—Revised series. For description and back figures see pp
874-875 of BULLETIN for September 1944.
SALES BY FEDERAL RESERVE DISTRICTS AND BY CITIES
[Percentage change from corresponding period of preceding year]

Jan. Dec. Year

United

States.

Boston
New Haven. . .
Portland
Boston
Springfield . . . .
Worcester
Providence.. . [

Jan. Dec. Year

1946 1945 1945

1946 1945 1945

+15 + 10 + 11 Clev eland-cont.
Youngstown....
+12 +8
+9 Erie
+ 5 +2
+ 3 Pittsburgh
+ 11 +3 + 5 Wheeling

+ 13 + 10
+2 + 1
+8

+8

+ 12 + 7

+25 + 14
New
York...
Bridgeport
+9 + 6
Newark
+26 + 13
A l b a n y . . . . . . . +60 + 19
Binghamton... +26 + 17
+32 + 8
Buffalo
Elmira
\ + 15 + 11
Niagara Falls..
+6 + 10
New York City +24 + 16
Poughkeepsie.. +31 + 10
+21 + 18
Rochester
Schenectady.
+9 + 6
Syracuse
+38 + 15
Utica
+ 12 + 7

+ 12 + 14
+21 + 14
+20 + 16
+ 17 + 12
+ 11 Richmond
+14 +7
+5
+ 13 Washington
+ 11 + 9
+ 9 Baltimore
+ 13 + 5
Raleigh, N. C...
+ 13 Winston-Salem.. +8 + 7
+7 +7
+ 4 Charleston, S. C.
-6
-6
+ 14 Greenville, S. C. + 8 + 1
+23 Lynchburg
+ 11 + 8
-7
-5
+ 15 Norfolk
+18 + 17
+8 Richmond
+9 Charleston,
+ 17 + 14
+ 8 W. Va
+28 + 12
+ 14 Clarksburg
+ 14 H u n t i n g t o n . . . . +19 + 13
+ 12
+15 + 12
+8 Atlanta
+ 14 Birmingham.... + 11 + 8
-6
-4
+ 4 Mobile
Montgomery. . .
0 + 14
+ 10 Jacksonville.... +10 +5
+24 +20
+ 16 Miami
+35 +5
+7 Orlando
„ +23 + 13
+9 Tampa
+22 + 19
+5 Atlanta
+22 + 15
+ 18 Augusta
+ 2 -2
+ 10 Columbus
Macon
+ 10 Baton Rouge. . . + 14 + 14
+33 + 19
+9 New Orleans. . . +11 +13
+2 Bristol, T e n n . . . + 15 +25
+ 14 Jackson
+ 10 + 16
+8 Chattanooga. . . +22 + 11
- 5 +2
+ 15 Knoxville
+ 4 Nashville
+ 19 + 18

Philadelphia. . +20 +8
Trenton..
+31 + 14
Lancaster. . . .
+ 17 +5
Philadelphia... + 14 +7
Reading.
+25 +5
Wilkes-Barre ' +27 + 16
York...:
+ 17 +4
Cleveland....
+15 + 11
Akron
+ 10 +5
Canton
+ 12 -2
Cincinnati....
+ 15 + 16
Cleveland....
+ 14 +7
Columbus... .
+ 16 + 15
Springfield. . .
+7 +2
Toledo
+ 4 +8
+8
" Revised.
Data nut avaiiauie.

332



Chicago
Chicago
Peoria
Fort Wayne.. .
Indianapolis...
Terre Haute...
Des Moines. . .
+9 Detroit
+ 8 Flint
+6 Grand Rapids.
+ 10 Lansing
Milwaukee... .
-2
+ 13 Green Bay
Madison
+ 15
-1 St, Louis
+ 15 Fort Smith
Little Rock
+ 18 Quincy
+12 Evansville
+ 16 Louisville
r+12 East St. Louis.
St. Louis
+9 St. Louis Area.
-3
Springfield....
+ 19 Memphis
+ 10
+ 17 Minneapolis. .
+9 Minneapolis. . .
+ 11 St. Paul
+ 19 Duluth-Superior
+20
City...
+5 Kansas
+9 Denver
Pueblo
+ 17 Hutchinson... .
+8
Topeka
+ 16 Wichita
+ 14 Joplin
+ 14 Kansas City. . .
+8
St. Joseph
+ 17 Omaha

+ 15
+ 6
+ 12
+ 14
+ 10

Jan. Dec.

Year
1945

1946 1945
+14

+9

Jan. Dec. Year

1946 1945 1945

-{-10 Kansas

City—

+ 18 + 9 + 11 cont.
+ 16 r+12 '+13 Oklahoma City. . + 6
*
+ 15 + 15 Tulsa
+7
+ 12 + 8 + 12 Dallas
+18
+20 +16
+31 Shreveport
+ 13 + 12 +17 Corpus Christi. . + 8
+4
+2 +8 r_|_
+5 Dallas
+23
-9

0

+ 14 + 11
+ 12 +2
+ 15 + 13
*
'+7 '

+18
+10

+6
+10
+ 15 + 6

+1

+20
+12

+7
+ 14
i

+ 14 + 13
*
+1
+ 9 + 10
+9 + 10
+22 + 19
+ 13 '+8
+17 r+11
+ 19 + 15
+ 16 + 13
0
+5
+12

+ 18 + 12
*

+8

+9 + 7
+ 1 +9
+ 7 +2
*
+8
+ 13 +7
0
+ 17
+ 16 + 13

7

Fort Worth

+ 17 Houston

+7 San A n t o n i o . . . .
+ 14 San Francisco. .
+ 16 Phoenix
+ 11 Tucson
+ 13 Bakersfield
+ 12 Fresno
+ 13 Long Beach
+ 14 Los Angeles
+ 1 Oakland and
+ 12 Berkeley
+5 Riverside and
+ 14 San Bernardino.
+ 14 Sacramento
+ 19 San Diego
+ 12 San Francisco.. .
San Jose
+13 Santa Rosa
+ 16 Stockton
+ 16 Vallejo and
+5 Napa
+ 12 Boise and
Nampa
+ 15 Portland
+ 10 Salt Lake City. .
+ 14 Bellingham
+14
+ 3 Everett
+ 11 Seattle
+ 12 Spokane
+ 10 Tacoma
+ 11 Yakima

+9

+8

+v

+ 12
+ 14

r\12 • + 12

+ 11 ++6
13
++v + 11
14 + 15

+ 19 ++v +23
12 + 7
+24 + 24
+9 +10 •+11
+ 13 '+15 + 16
+23 '+18 + 11
13
+ 17 '+14 + 13
+ 19 '+14 + 12
+
+8 + 10 + 13
+ 12 + 15
+8 +5
+7 '+8
+ 15 '+15
- J r+l

r

+S

'+9
'+9
'+2
+ 6 ' + 8 + 12
10
+ 15 + 15 + 15
+ 9 + 16 +
+ 13
-5
+6
0
-7
+7
+7 + 4 + 13
+5
+ 11 - 2
10
+ 17 + 12 ++9
+20 +6
+ 10
+20 +8
-1
+8 + 11
+8 +5 +8
+ 13 + 14
+1 '+4 +7
+3

FEDERAL RESERVE BULLETIN

DEPARTMENT STORE STATISTICS—Continued
SALES AND STOCKS, BY MAJOR DEPARTMENTS
Per cent change from a year ago (value)
Number
of stores
reporting

Department

Ratio of stocks to sales

Stocks (end
of month)

Sales during period

December

Dec.
1945
GRAND TOTAL—entire store
MAIN STORE—total
Women's apparel and accessories
Coats and suits
Dresses
Blouses, skirts, sportswear, etc
Juniors' and girls' wear
Infants' wear
Aprons, housedresses, uniforms
Underwear, slips, negligees
Corsets, brassieres.
Hosiery (women's and children's)
Gloves (women's and children's)
Shoes (women's and children's)
Furs
Neckwear and scarfs
Handkerchiefs
Millinery
Handbags and small leather goods
Men's and boys' wear
Men's clothing
Men's furnishings, hats, caps
Boys' clothing and furnishings
Men's and boys' shoes and slippers
Home furnishings
Furniture, beds, mattresses, springs
Domestic floor coverings
Draperies, curtains, upholstery
Major household appliances
Domestics, blankets, linens, etc
Lamps and shades
China and glassware
Housewares
Piece goods
Cotton wash goods
Small wares
Lace, trimmings, embroideries, ribbons
Notions
Toilet articles, drug sundries, and prescriptions
Jewelry and silverware
Art needlework
Stationery, books, and magazines
Miscellaneous
Luggage
BASEMENT S T O R E - t o t a l
Women's apparel and accessories
Men's and boys' clothing and furnishings
Home furnishings
Piece goods
Shoes

325
330
310
302
306
281
322
329
337
321
238
266
240
275
163
298

Dec.
1945

1945

1944

+11
+11
+2

348
348
345

Year
1945

+12
+ 12
+ 13
+ 14
+ 19
+20
+ 18
+9
+ 11
+8
+21
0
+ 12
+ 18
+7
+ 10
+8
+ 13
+ 10
+14
+ 18
+ 14
+9
+24
+ 13
+ 19
-4
+6
+ 107
+2
+23
+ 14
+34

+2
+2
+3

1.1

1.2

1.1

1.2

1.1
1.9
0.9
1.1
1.2
1.4
1.1
0.4
2.0
0.4
0.6
1.6

1.0
1.9
1.1
1.1
1.1
1.2
1.2
0.4
1.7
0.6
0.7
2.1
1.9

1.0

0.9
0.8
1.1
2.1
0.7
1.4
1.9
2.2
3.0
2.4
2 2
1.6
1.6
1.7
1.6
2.7

_2

+5
+ 14
+ 11
+4
+8
+7

-31

+7
+ 16
+3
+ 18
+8
+7
+ 11
+ 12
+7
+ 15
+5
-\-33
+24
+19
+ 12
+4

317
226
297
276
172
308
229
231
268
179
287
220
214
219

+362
+ 10
+27
+ 16

+60

282
114

-18

331
120
219
312
295
233
235

+ 17
+8
+ 16

296
219
208
194
160
123
50
132

+25
+32

+ 14
+23
+3
+21

+6
+2

+ 14
+ 11
+8
+14

-10

+ 14
+ 18
+ 15
+1
-15
+24
-41
-2
-11

+23
+20
+31
+ 18
+4

0.8

-36
-64
-31

0.6

0.7
0.4
1.2
1.0

-7
-31

+9
+4
+4
+ 12
+58

2.0
2 6
2.3

+26
+22
+26

1.7
1.7
2.2
1.6
1.7
1.2
1.9
2.1
1.2
1.1
2.0
0.9
0.7
0.8
1.2
1.1
0.8
1.7
1.4
1.9

-15

+8

-30
-30

+11
+6
+ 15
+6
+ 16

+20
+4
+ 17
+ 14
+23
+ 16
+38
+15
+22
+1
+9

-4

+ 10
+ 14

+ 11
+ 12
+9
+8
+ 13
+5
+ 12
+ 13

-24

+4

— 23
-1

2.3
2.0

1.2
2.0
2.1
1.2
1.1
1.8
0.8
0.8
0.9
1.2
1.1
1.2
1.8
2.1
2.2

NOTE.—Group totals include sales in departments not shown separately. Figures for basement store are not strictly comparable with those
for main store owing chiefly to inclusion in basement of fewer departments and somewhat different types of merchandise. The ratio of stocks to
sales is obtained by dividing stocks at the end of the month by sales during the month and hence indicates the number of months' supply on hand
at the end of the month in terms of sales for that month.
SALES, ACCOUNTS RECEIVABLE, AND COLLECTIONS
Percentage of total sales

Index numbers, without seasonal adjustment, 1941 average = 100
•Year and month

Accounts receivable
at end of month

Sales during month

Cash
sales

Instalment
sales

Chargeaccount
sales

Total

Cash

Instalment

1944—December

244

324

104

P182

46

128

79

135

64

4

32

1945—January
February
March
April

126
126
178
133
147
149
121
rl36
'154
190
212
270

164
163
230
171
190
194
163
182
203
245
272
357

57
57
73
52
55
52
48
58
63
90
101
108

96
98
141
107
117
117
88
99
118
147
165
204

43
40
40
37
35
34
32
32
33
36
41
48

97
84
96
88
88
88
76
76
85
99
113
144

'80
69
77
65
64
61
57
57
59
71
77
79

rl67
128
120
128
122
121
117
104
103
122
143
148

63
63
63
62
63
63
66
65
63
63
62
64

4
4
3
3
3
3
3
4
4
4
4
4

33
33
34
35
34
34
31
31
33
33
34
32

141

186

60

108

45

108

81

192

63

May

June

July
August
September
October
November
December
1946—JanuaryP

Charge
account

Collections during
month

Instalment

Charge
account

Instalment

Charge
account

4

33

^Preliminary.
'Revised.
NOTE.—Data based on reports from a smaller group of stores than is included in the monthly index of sales shown on page 331.

MARCH

1946




333

CONSUMER CREDIT STATISTICS
TOTAL CONSUMER CREDIT. BY MAJOR PARTS
[Estimated amounts outstanding. In millions of dollars]
Instalment credit
End of month
or year

Total
consumer
credit

1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945
Jan
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
Dec
Jan

Total
instalment
credit

Sale credit
Loans
Total

Automobile

1

Singlepayment
loans2

Charge
accounts

Service credit

Other

,637
,839
,528
,082
,905
,378
,419
,771
,467
,036
,008
,205
,956
,526
,377
,790
,666

2,515
2,032
1,595
999
1,122
1,317
1,805
2,436
2,752
2,313
2,792
3,450
3,744
1,491
814
835
P903

1,318
928
637
322
459
576
940
1,289
1,384
970
1,267
1,729
1,942
482
175
200
P227

197
104
958
677
663
741
865
147
368
343
525
721
802
1,009
639
635
P676

652
674
619
516
459
532
802
1,065
1,195
1,271
1,671
2,057
2,237
1,505
1,186
1,248
Pl.514

2,125
,949
,402
962
776
875
,048
.331
,504
,442
,468
,488
,601
,369
,192
,220
,497

1,749
1,611
1,381
1,114
1,081
1,203
1,292
1,419
1,459
1,487
1,544
1,650
1,764
1,513
1,498
1,758
Pl.981

596
573
531
491
467
451
472
520
557
523
533
560
610
648
687
729

5,487
5,330
5,581
5,448
5.494
5,641
5.594
5.588
5,638
5.937
6,278
P6.666

2,013
1,966
1,990
1,988
2,004
2,031
2,038
2,034
2,054
2,133
2,239
P2,417

777
741
731
723
718
719
712
706
717
754
805
P903

192
186
184
184
184
188
192
196
202
210
219
P227

585
555
547
539
534
531
520
510
515
544
586
P676

1,236
1,225
1,259
1,265
1,286
1,312
1,326
1,328
1,337
1,379
1,434
P1,514

1,206
1,188
1,181
1,212
1,258
L.320
1,346
1,359
1,358
1,380
1,441
Pl.497

1,534
1,438
1,669
1,506
1,488
1,544
1,459
1,441
1,470
1,666
1,835
Pi,981

734
738
741
742
744
746
751
754
756
758
763
P771

P6,448

1945

3,167
2,706
2,214
1,515
1,581
1,849
2,607
3,501
3,947
3,584
4,463
5,507
5,981
2,996
2,000
2,083
P2.417

P2.427

P882

P239

P643

Pl,545

P1,533

PI.709

P779

1946

P Preliminary.
1
Includes repair and modernization loans insured by Federal Housing Administration.
2
Noninstalment consumer loans (single-payment loans of commercial banks and pawnbrokers).
CONSUMER INSTALMENT LOANS
[Estimated amounts outstanding. In millions of dollars]

CONSUMER INSTALMENT SALE CREDIT, EXCLUDING
AUTOMOBILE CREDIT
[Estimated amounts outstanding. In millions of dollars]
Department
Total,
End of excluding stores
and
month or
automailyear
mobile
order
houses
1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945
1945
Feb
Mar
Apr
May
June
July
Aug
Sept
Oct
Nov
Dec
1946

Jan

Furniture
stores

Household
appliance
stores

Jewelry
stores

1,197
1,104
958
677
663
741
865
1,147
1,368
1,343
1,525
1,721
1,802
1,009
639
635
P676

160
155
138
103
119
146
186
256
314
302
377
439
466
252
172
183
P198

583
539
454
313
299
314
336
406
469
485
536
599
619
391
271
269
P283

265
222
185
121
119
131
171
255
307
266
273
302
313
130
29
13
P14

56
47
45
30
29
35
40
56
68
70
93
110
120
77
66
70

585
555
547
539
534
531
520
510
515
544
586
P676

171
162
162
158
154
150
145
142
144
156
173
P198

249
240
238
237
238
237
235
232
235
247
262
P283

12
12
11
11
10
11
11
11
11
11
12
P14

61
54
50
48
48
49
47
45
44
44
47

P643

P190

P272

P14

P Preliminary.

334



P74

P66

All
other
retail
stores

133
141
136
110
97
115
132
174
210
220
246
271
284
159
101
100
P107
92
87
86
85
84
84
82
80
81
86
92
P107
P101

End of
month or
year

1929
1930
1931
1932
1933....
1934
1935
1936
1937
1938
1939....
1940
1941
1942
1943
1944
1945
1945

Jan
Feb

Total

652
674
619
516
459
532
802

1,065
1,195
1,271
1,671
2,057
2,237
1,505
1,186
L,248
p 1,514

L.236
L.225
Mar
L.259
Apr
L.265
May. . . . L.286
June....
1,312
July
1,326
Aug
1,328
Sept
1,337
Oct
1,379
Nov
1,434
P1,514
Dec
1946
Pl,545
Jan

Insured
Industrial
Com- Small
Miscel- repair
loan banking Credit laneous and
mercial combanks 1 panies com- 2 unions lenders modernization
panies
loans1
43
45
39
31
29
44
88
161
258
312
523
692
784
426
312
358

263
287
289
257
232
246
267
301
350
346
435
505
535
424
372
388

219
218
184
143
121
125
156
191
221
230
257
288
298
202
165
175

32
31
29
27
27
32
44
66
93
112
147
189
217
147
123
119

P471

P445

P200

P124

359
357
374
377
388
400
406
406
413
428
448

378
372
381
381
384
389
391
389
387
395
409

172
168
171
172
177
181
182
182
182
186
193

116
114
116
116
116
118
119
118
116
117
120

P471

P44S

P200

P492

P446

P203

95
93
78
58
50
60
79
102
125
117
96
99
102
91
86
88
P93

*25
168
244
148
154
213
284
301
215
128
120

P181

P124

87
86
87
87
87
88
88
88
87
88
90
P93

P181

P123

P93

P188

124
128
130
132
134
136
140
145
152
165
174

P Preliminary.
1
These figures include only personal instalment cash loans and retail
automobile direct loans, shown on the following page, and a small
amount of other retail direct loans (25 million dollars at the end of
January 1946), not shown separately.
2
This series is in process of revision.
3
Includes only loans insured by Federal Housing Administration.

FEDERAL RESERVE BULLETIN

CONSUMER CREDIT STATISTICS—Continued
CONSUMER INSTALMENT CREDITS OF COMMERCIAL
BANKS. BY TYPE OF CREDIT
[Estimates. In millions of dollars]

Month or year

Outstanding at end of
period:
1939
1940
1941
1942
1943
1944

Total

Automobile
retail

Other
retail,
purchased
Pur- Direct and
chased loans direct

Repair
and
modernization
loans1

Personal
instalment
cash
loans

1,093
1,450
1,694
845
514
559
731

218
311
411
136
55
57
65

164
253
310
123
81
99
146

155
217
288
143
68
75
97

209
247
234
154
89
83
121

347
422
451
289
221
245
302

1945—January. . .
February..
March. . . .
April
May
June
July
August
September.
October. . .
November.
December ?

562
556
573
579
592
609
619
622
633
659
694
731

56
55
56
55
55
56
56
57
58
60
62
65

100
101
107
109
112
116
118
119
122
128
135
146

80
76
76
77
78
79
79
79
79
83
90
97

82
83
84
86
89
93
96
100
103
109
116
121

244
241
250
252
258
265
270
267
271
279
291
302

1946—January?..

770

70

154

125

313

Volume extended during month:
1945—January...
February..
March. . . .
April
May
June
July
August.. . .
September.
October. . .
November.
December**

96
86
114
101
110
116
107
108
106
131
140
147

20
19
24
21
22
24
22
23
23
28
29
32

17
12
15
16
18
15
13
15
13
19
21
24

7
7
9
10
10
12
11
12
12
15
16
13

43
39
54
45
50
53
50
47
46
56
60
64

1946—January?..

155

33

27

14

62

1945P

P Preliminary.
Includes not only loans insured by Federal Housing Administration
but also noninsured loans.
1

Jan.

Percentage change
from corresponding
month of preceding
year

Jan.

Dec.
1946? 1945
Net sales:
Total
Cash sales
Credit sales:
Instalment
Charge account
Accounts receivable, at
end of month:
Total
Instalment
Collections during
month:
Total
Instalment
Inventories, end of
month, at retail value.
* Preliminary
»

MARCH

1946




Month or year

Nov.
1945

Dec.
1946? 1945

Credit
unions

463
503

413
380

42
41

498
376

1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945?

340
250

38
34

33
42
67
105
148
179

202
234
288
354
409
417

304
384
423
563
619
604

489
536

257
320

983
798

558
408

372
247

809
876
978

364
403
465

228
234
233

38

22
19
20
19
18
18
23

763
927
792
636
744
938

1944
June
July
August
. . .
September
October
November
December

69

75

63
64
60
61

73
70
67
68
77

34

72

. 106

37

1945
January
February
March
April

66
62

58
56

33
30

82
69
75

94
70
78

42
34
39

May

June

July
August
September
October
November
December?
1946
January?

61

33
35
33
34

16
16
23
18
20
21
19
18

81
75
'73
72
88
94
101

82
76
71
74
89
97
133

40
37
36
36
44
45
49

16
20
22
24

102

76

45

20

T
P Preliminary.
Revised.
1
These figures for loans made include only personal instalment cash
loans and retail automobile direct loans, which are shown elsewhere on
this page, and a small amount of other retail direct loans (7 million
dollars in January 1946) not shown separately.
2
This series is in process of revision.

-^28
-29

+ 15
+28

-31
-23

+ 15

+4
+ 10
+3
0

+38
+62
+41
+21

+ 16
+30
+12
+ 15

+ 19
+37
+ 13
+28

-7
-5

+9
+ 10

+6
+5

+4
+9

+4
+6

+3
+2

+ 10
+5

-2
-1

+3
+4

+ 17
+25

+ 12
+ 11

+ 11
+ 14

+4

-10

-2

+ 11

+6

+6

Charge
accounts

Instalment accounts
Month

1944
December

Furniture
stores

37

23

39

21
21
24
22
23
23
24
23
23
27
27
24

35
32
36
36
40
43
42
48
49
52
51
48

29
28
32
30
33
33
31
31
30
31
'35
46

31

24

54

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

Department
stores

32

1945

January?

Household ap- Jewelry
stores
pliance
stores

Department
stores

'32
30
36
30
32
32
31
33
35
40
40
36

Nov.*
1945

+7

Commercial Small loan Industrial
banking
companies companies2
banks*

RATIO OF COLLECTIONS TO ACCOUNTS RECEIVABLE i

FURNITURE STORE STATISTICS
Percentage change
from preceding
month

CONSUMER INSTALMENT LOANS MADE BY PRINCIPAL
LENDING INSTITUTIONS
[Estimates of volume made in period. In millions of dollars!

1946

62
61
61
66
61
64
64
62
63
63
66
67
61

r
? Preliminary.
Revised.
1
Ratio of collections during month to accounts receivable at beginning of month.

335

WHOLESALE PRICES, BY GROUPS OF COMMODITIES
[Index numbers of the Bureau of Labor Statistics.

1926 = 100]

Other commodities
Year, month, or week

All
commodities

Week ending:
1945—Oct. 13. .
Oct. 20. .
Oct. 27. .
Nov. 3. .
Nov. 10. .
Nov. 17. .
Nov. 24. .
Dec. 1. .
Dec. 8. .
Dec. 15..
Dec. 22. .
Dec. 29. .
1946—Jan. 5 . .
Jan. 12..
Jan. 19..
Jan. 26. .
Feb. 2. .
Feb. 9 . .
Feb. 16..
Feb. 2 3 . .

105.3
105.5
105.7
105.9
106.1
106.3
106.7
106.8
106.5
106.7
106.8
107.0
106.8
106.7
106.7
106.8
106.8
107.1
107.2
107.4

Foods

104.9
88.3
64.8
48.2
51.4
65.3
78.8
80.9
86.4
68.5
65.3
67
82.4
105.9
122.6
123.3
128.2
126.2
127.0
127.2
129.0
129.9
130.4
129.0
126.9
124.3
1-27.3
131.1
131.5
129.9

1929
1930
1931
1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945
1945—January..
February.
March....
April
May
June
July
August. . .
September
October...
November
December.
1946—January..

Farm
products

99.9
90.5
74.6
61.0
60.5
70.5
83.7
82.1
85.5
73.6
70.4
71
82.7
99.6
106.6
104.9
106.2
104.7
104.7
104.6
105.8
107.0
107.5
106.9
106.4
104.9
105.7
107.9
108.6
107.3

91.6
85.2
75.0
70.2
71.2
78.4
77.9
79.6
85.3
81.7
81.3
83.0
89.0
95.5
96.9
98.5
99.7
99.1
99.2
99.2
99.3
99.4
99.6
99.7
99.9
99.8
100.1
100.2
100.5
100.8

109.1
100.0
86.1
72.9
80.9
86.6
89.6
95.4
104.6
92.8
95.6
100.8
108.3
117.7
117.5
116.7
118.1
117.5
117.6
117.8
117.9
117.9
118.0
118.0
118.0
118.7
118.6
118.8
118.9
119.4

90.4
80.3
66.3
54.9
64.8
72.9
70.9
71.5
76.3
66.7
69.7
73.8
84.8
96.9
97.4
98.4
100.1
99.6
99.7
99.7
99.6
99.6
99.6
99.6
99.6
100.1
101.0
101.1
101.4
101.6

83.0
78.5
67.5
70.3
66.3
73.3
73.5
76.2
77.6
76.5
73.1
71.7
76.2
78.5
80.8
83.0
84.0
83.3
83.3
83.4
83.5
83.7
83.9
84.3
84.8
84.1
84.2
84.6
84.8
84.9

100.5
92.1
84.5
80.2
79.8
86.9
86.4
87.0
95.7
95.7
94.4
95.8
99.4
103.8
103.8
103.8
104.7
104.0
104.2
104.
104.
104.3
104.
104.
104.7
104.9
105.0
105.2
105.6
105.7

95.4
89.9
79.2
71.4
77.0
86.2
85.3
86.7
95.2
90.3
90.5
94.8
103.2
110.2
111.4
115.5
117.8
116.8
117.0
117.1
117.1
117.3
117.4
117.5
117.8
118.0
118.3
118.7
119.5
120.0

94.0
88.7
79.3
73.9
72.1
75.3
79.0
78.7
82.6
77.0
76.0
77.0
84.4
95.5
94.9
95.2
95.2
94.9
94.9
94.9
94.9
94.9
95.0
95.3
95.3
95.3
95.5
95.7
96.1
96.0

94.3
92.7
84.9
75.1
75.8
81.5
80.6
81.7
89.7
86.8
86.3
88.5
94.3
102.4
102.7
104.3
104.5
104.5
104.5
104.5
104.5
104.5
104.5
104.5
104.5
104.6
104.7
104.7
104.7
106.2

82.6
77.7
69.8
64
62
69
68
70.5
77.8
73.3
74.8
77.3
82.0
89.7
92.2
93.6
94.7
94.2
94.6
94.6
94.8
94.8
94.8
94.8
94.8
94.8
94.8
94.8
94.8
95.3

126.3
126.9
127.7
129.1
129.5
130.3
132.1
132.0
130.3
131.3
131.5
132.7
131.3
130.0
129.3
129.9
129.7
130.4
131.0
131.1

105.2
105.8
106.0
106.6
107.0
107.2
108.7
108.5
108.1
108.3
108.6
109.5
108.0
107.6
107.3
106.8
106.7
107.1
108.0
108.3

100.0
100.1
100.1
100.1
100.2
100.3
100.3
100.4
100.5
100.5
100.5
100.6
100.6
100.7
100.8
100.9
100.9
101.1
101.1
101.1

118.4
119.1
119.1
119.1
119.1
119.1
119.1
119.4
119.4
119.4
119.4
119.4
119.4
119.4
119.4
119.4
119.8
120.0
120.1
120.1

99.9
99.9
99.9
100.0
100.5
100.5
100.5
100.6
100.6
100.6
100.6
100.6
100.6
101.0
101.1
101.1
101.1
101.1
101.1
101.1

84.5
84.5
84.7
84.5
84.5
84.6
84.6
85.1
85.2
85.2
85.2
85.3
85.2
85.5
85.5
85.4
85.4
85.8
85.7
85.6

104.8
105.
105.2
105.2
105.3
105.3
105.3
105.3
105.3
105.3
105.3
105.3
105.3
105.4
105.4
105.8
105.8
105.8
105.8
105.8

118.0
118.1
118.1
118.2
118.6
118.6
118.7
118.7
118.7
118.8
118.8
118.9
119.1
119.2
119.8
119.9
119.9
119.9
120.0
120.2

95.3
95.5
95.
95.
95.
95.6
95.6
96.1
96.1
96.1
96.1
96.1
96.1
96.1
96.1
96.0
96.0
96.0
95.9
96.0

106.3
106.3
106.
106.
106.
106.
106.
106.
106.
106.
106.
106.
106.4
106.4
106.6
106.6
106.8
106.8
106.8
108.0

94.6
94.6
94.6
94.6
94.6
94.6
94.6
94.6
94.6
95.0
95.0
95.0
95.0
95.0
95.0
95.0
95.0
95.3
95.4
95.4

ChemiHides and Textile Fuel and Metals Building cals and
Houseleather
lighting ind metal
furnish- Miscelallied
products products materials products materials products ing goods laneous

Total

Annual
Subgroups
1944
Farm Products:
Grains
Livestock and poultry
Other farm products
Foods:
Dairy products
Cereal products
Fruits and vegetables
Meats
Other foods
Hides and Leather Products:
Shoes
Hides and skins
Leather
Other leather products
Textile Products:
Clothing
Cotton goods
Hosiery and underwear
Silk
Rayon
Woolen and worsted goods.. .
Other textile products
Fuel and Lighting Materials:
Anthracite
Bituminous coal
Coke..
Electricity
Gas
Petroleum products

1945

Annual
Jan.

Dec.

Jan.

126.9 129.7 129.3 133.2 133.8
124.6 132.5 131.1 129.6 131.5
120.7 124.3 121.5 131.3 126.9
110.5 111.1 110.8 113.8 115.0
94.8 95.2 94.7 95.7 95.8
121.3 122.8 114.4 128.7 125.7
106.1 107.8 106.4 107.9 108.1
95.0 96.6 97.3 100.6 96.2
126.3
109.9
101.3
115.2

126.4
117.0
102.2
115.2

126.3
114.8
101.3
115.2

126.8
117.6
104.1
115.2

127.9
117.6
103.8
115.2

107.1 107.4 107.4 107.4 107.4
115.7 121 A 119.7 125.5 125.6
70.9 71.7 71.5 73.5 75.2
30.2 30.2 30.2 30.2 30.2
112.7 112.7 112.7 112.7 112.7
100.6 101.1 100.9 101.9 101.9
95.6 99.0 95.3 103.4 103.9
120.3 123.1 120.5 125.0 125.1
130.3 132.5 130.7 134.9 134.9
60.0
59.6
75.7 77.*7
77.2
63.9 63.5 64.3 61.6 61.5

Subgroups
Metals and Metal Products:
Agricultural implements..
Farm machinery
Iron and steel
Motor vehicles
Nonferrous metals
Plumbing and heating
Building Materials:
Brick and tile
Cement
Lumber
Paint and paint materials.
Plumbing and heating
Structural steel
Other building materials..
Chemicals and Allied Products:
Chemicals
Drugs and Pharmaceutical
Fertilizer materials
Mixed fertilizers
Oils and fats
Housefurnishing Goods:
Furnishings
Furniture
Miscellaneous:
Auto tires and tubes
Cattle feed
Paper and pulp
Rubber, crude
Other miscellaneous

1944

1945

1945
Jan.

Dec

1946
Jan.

97.3 97.8 97.5 98.1 98.1
98.4 98.8 98.7 99.1 99.1
97.2 99.2 97.7 101.0 101.2
112.8 112.8 112.8 112.8 112.8
85.8 85.8 85.9 85.8 85.7
92.2 93.4 92.4 95.0 95.0
101.7
95.8
153.3
105.2
92.2
107.3
103.1

112.4
99.4
155.1
106.9
93.4
107.3
104.4

110.4
97.4
153.8
106.3
92.4
107.3
103.5

116.7
100.5
157.8
107.8
95.0
107.3
105.9

116.9
101.0
158.5
107.8
95.0
107.3
106.6

96.1 96.1 95.8 97.1 97.1
108.8 109.0 106.9 112.3 112.1
81.3 81.6 81.9 81.9 81.9
86.4 86.6 86.6 86.6 86.6
102.0 102.0 102.0 102.0 101.7
107.3 107.6 107.5 107.9 109.7
101.4 101.5 101.5 101.6 102.8
73.0 73.0 73.0 73.0 73.0
159.6 159.6 159.6 159.6 159.6
107.1 108.8 107.6 109.3 112.0
46.2 46.2 46.2 46.2 46.2
97.0 98.9 98.2 98.9 98.9

* Backfigures.—Bureauof Labor Statistics, Department of Labor.

336



FEDERAL RESERVE BULLETIN

GROSS NATIONAL PRODUCT, NATIONAL INCOME, AND INCOME PAYMENTS
[Estimates of the Department of Commerce.

In billions of dollars]
1945 by quarters

Annual totals

Seasonally adjusted
annual rates

Unadjusted
1937

1938

1939

1940

1941

1942

1943

1944

1945
1

Gross national product
Government expenditures for
goods and services
Federal Government

19.5
17.7

14.5
12.4

95.6
87.8

99.2
91.3

79.5
71.6

57.7
49.8

69.0
6.1
7.9
9.4
2.7

20.5
1.4
2.0
1.2
0.4

21.3
1 7
2.0
1.6
0.6

16.3 10.8
1 4
1.6
1.7
2.1
3.1
3.5
1.0
0.8

82.2
5.6
7.8
3.9
1.8

85.3
6.0
7.8
7.1
2.4

65.2
6.4
7.9
12.5
2.9

43.3
6.5
8.0
14.2
3.7

0.5
1.1

0.8
1.9

0.1
0.3

0.1
0 4

0.2
0 5

0.3
0.6

6.4

1.3

1.5

1.8

1.8

5.2

14.4
6.8

16.0
7.9

16.7
8.8

26.5
18.6

'62.7
'55.3

'93.5
'86.2

'97.1
'89.5

83.0
75.1

1.4
2.8
6.5
6.1
7 6
8 1
7 9
7.7 10.9 14.8
3 3
3 6
4 3

13.3
5 3
7 9
'19.1
'5 3

'50.3
5 0
7.4
'7.6
'2.9

'81.3
4.9
7.4
'2.5
'1.6

'83.7
'5.7
'7.7
'2.0
1.6

0.6
'1.0

2.0
1.6

87.7

Gross national product
Deductions:
Business tax and nontax
liabilities
Depreciation and depletion
Other business reserves. . .
Capital outlay charged to
current expense
Adjustments:
For inventory revaluation.
For discrepancies
National income
Additions:
Transfer payments
Deductions:
Corporate savings
Contributions to social insurance funds
Income payments to individuals
..

25.1
23.1

13.6
6.1

2.4
2 0

2.8
2 5

1.3
'1 6

55

6 9

8 9

5.1

3.1

4.0

-0.5

-0.6

-1.7

1

C)

0)

0.9

1.8

0.8

1.5

0.2
61.7
6.4
32.6
22.7

0.3
65.7
7.4
34.4
23.9

80.6

88.6

97.1 '120.2 '152.3 '187.4 '197.6 197.3 49.8

9.0
6 1
1.0

8.3
6.2
0.5

10.4
6 2
0.8

12.4
6 4
0.7

18.5
7 0
0.8

23.1
7 6
'0.6

27.4
'8.0
'0.5

'29.7
'8.2
'0.5

28.6
8 2
0.5

7 3
2 0
0.1

0 8

0 5

0 7

0 9

1 3

1 1

0 8

0 9

1 1

0 2

-0.7
0
71.5

+0.9

1.7

-0.4 -0.4
0
0
-0.4
64.2 70.8 77.6

C1)
0.2
74.6
9.1
40.1
25.4

0.1
'82.0
6.3
47.9
'27.8

-2.1
'-0.2
96;< 122.2

'-1.5 '-1.8

0)
'91.3
6.6
55.1
'29.7

4

24.0
21.9

97.1 '120.2 '152.3 '187.4 '197.6 197.3 49.8

3.5

3

47.0 204.5 206.3 195.7 182.8

88.6

4 5
6 3
Net change in business ini
?
1.1
ventories
Net exports of goods and
0.1
services
1.1
Net exports and monetary
0.4
0.1
use of gold and silver....
Consumer goods and services.. . 62.5 58.5
6.0
Durable goods
7.6
Nondurable goods
J54.9 J52.5
Services.

2

48.7

80.6

Residential
Other
Producers durable equip-

1

51.8

87.7

War
Nonwar
7.5
State and local governments.
Private gross capital formation. 11.6
Construction
3 7

4

3

2

-0.2

0.4 - 0 . 4 - 0 . 2

'-0.1 -0.1
C1)
0)
'98.5 104.9 24.7 25.0
6.7
7.4
1.7
1.5
60.0 64.4 15.0 14.9
'31.8 33.1
8.4
8.2

-0.2 -0.1
0)
C1)
'1.5 ' - 2 . 2 - 2 . 0 - 0 . 8
149.4 160.7 161.0 40.9

6.1

7.0

7.2

0.4 - 0 . 2 - 1 . 3 - 0 . 2

0.2

1.6

0.5 - 1 . 7 - 1 . 0

2.5

1.9

0.6

C1)

25.7 29.5
1.7
2.5
15.7 18.8
8.3
8.2

-0.1 -0.1 -0.1 -0.1
105.0 100.0 103.7 110.9
6.7
8.4
7.2
7.1
65.2 59.5 63.3 69.5
32.6 33.7 33.3 33.0

47.0 204.5 206.3 195.7 182.8

51.8

48.7

7 5
2 0
0.1

7 3
2.0
0.1

6 5
2.0
0.1

0 2

0 3

0 3

C1)

0)

0.6 - 0 . 8 - 1 . 0
41.3 39.8 39.0 167.6 166! 2 158^4

2.4

2.4

2.6

2.5

2.7

3.2

5.3

8 1

1 5

1 7

1 9

3 0

-0.8 -1.5

0.4

1.8

4.0

4.4

5.5

5.4

4.5

1.6

1.5

1.1

0.2

1 7

1 9

2 0

2 1

2 6

3 2

3 8

3 9

3 8

1 0

1 0

0 9

72.3

66.2

70.8

76.2

92.7

117.3

143.1

156.8 160.7

39.8

40.4

39.7

40.9 163.7 163.2 158.6 156.9

72.3

66.2

70.8

76.2

92.7

117.3

143.1

156.8 160.7

40.9 163.7 163.2 158.6 156.9

3.1
1 4
1.7

3.J
1 6
1.7

3.1
1 3
1.9

3.3
1.4
1.9

4.0
2.0
2.0

6.7
4.7
2.0

'18.6
16.6
2.0

'19.4
'17.4
'2.

69.2
62.5
6.7

62.9
58.5
4.4

67.7
61.7
6.0

72.9
65.7
7.3

88.7
74.6
14.2

110.6
'82.0
'28.6

National income
71.5
Total compensation of employee 48.3
Salaries and wages
45.0
Supplements
3 3
Net income
of
proprietors....
11.9
Agricultural. . .
5.
Nonagricultural
6.8
Interest and net rents
7.4
Net corporate profit
3.9
4.7
Dividends
0 8
Savings

64.2
45.1
41.2
3.9
10.1
4.C
6.

70.8
48.1
44.2
3.8
11.2
4.3
6.9
7.4
4.2
1.
3 8
3.2
1 5 0 4

77.6
52.3
48.6
3.7
12.0
4.4
7.6
7.5
5.8
4 0
1 8

96.9
64.5
60.8
3.7
15.8
6.3
9.6
8.0
8.5
4 5
4 0

122.2 149.4 160.7 161.0 40.9 41.3 39.8 39.0 167.6 166.2 158.4 150.7
84.1 106.3 116.0 114.5 29.8 29.8 28.2 26.7 119.6 118.3 113.0 105.7
80.8 103.1 112.8 111.4 29.0 29.0 27.5 26.0 116.4 115.1 110.0 102.7
3.2
0.8
3.3
3.1
3.2
0.8
0.8
0.7
3.2
3.2
3.0
2.9
5.8
23.5
20.6
24.1 25.6
5.7
6.6
7.5 26.3 25.8 25.1 26.0
2.6
11.9
9.7
11.8 12.5
2.5
3.4
4.1 13.3 13.2 12.2 12.1
3.2
11.6
10.9
12.3 13.
3.2
3.2
3.5 13.0 12.6 12.9 13.9
3.1
9.7
8.8
10.6 11.8
2.9
2.8
3.0 11.4 11.7 11.9 12.2
2.6
9.8
8.7
9.9
9.0
2.6
2.1
1.7 10.4 10.4
8.4
6.8
1
4 3
4 3
4 5
4 5
1 0
1 0
I i
4 4
5 5
5 4
4 5
1 5
1 6
0 2

Income payments to individuals
Personal taxes and nontax
payments
Federal
State and local
Disposable income of individuals
Consumer expenditures. . .
Net savings of individuals.

39.8

40.4

39.7

21.0
18.9
2.1

8.7
8.1
0.6

4.9
4.3
0.6

3.8
3.5
0.3

124.6 '137.4 139.7
'91.3 '98.5 104.9
'33.3
'38.9 34.9

31.1
24.7
6.4

35.5
25.0
10.5

35.9
25.7
10.2

0 9

3.7
3.0
0.6

22.1
20.0
2.1

21.7
19.5
2.1

20.6
18.5
2.1

19.7
17.6
2.1

37.2 141.7 141.6 138.0 137.3
29.5 105.0 100.0 103.7 110.9
7.7 36.7 41.6 34.3 26.4

1
Less than 50 million dollars.
' Revised.
NOTE.—Detail does not always add to totals because of rounding. For a general description of above series see the Survey of Current Businessf
May and August, 1942, and March, 1943.
Back figures: For annual totals 1929 through 1936, see the Survey of Current Business, May, 1942 and April, 1944. For quarterly estimates,
1929 through 1944, see the Survey of Current Business April 1944, and February, 1946.

MARCH 1946




337

CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK*
ON BANK CREDIT, MONEY RATES, AND BUSINESS
Chan
book
page

1946
Jan.
23

WEEKLY FIGURESi

Jan.
30

Feb.
6

Feb.
13

Feb.
20

1946
Nov.

Dec,

Jan.'

In billions of dollars

MONTHLY FIGURES

In billions of dollars

RESERVES AND CURRENCY

RESERVES AND CURRENCY

Reserve Bank credit, total
U. S. Govt. securities, total
Bills
Certificates
Notes
Bonds
Discounts and advances
Gold stock
Money in circulation
Treasury cash
Treasury deposits
Member bank reserves
2,
Required reserves
Excess reserves6
Excess reserves (weekly average), total*
New York City
Chicago
Reserve city banks
Country banks e

.42

.62

16.04
5.21
6.38
4.45
14.88
5.18
6.08
3.61
1.17

16.03
5.06
6.39
4.58
14.53
4.99
5.98
3.56
1.50

24.30
20.11
28.16
2.26
.65
15.92
4.97
6.36
4.59
14.61
4.96
6.02
3.63
1.31

1.88
4.26
28.21
7.71
15.88
4.62

2.07
4.53
28.51
7.84
15.98
4.70

2.07
4.54
27.92
7.79
15.59
4.53

168.10
P80.50
P48.00
P26.50
P13.10

P175.OO
P75.1O
P48.50
P26.80
P24.60

P176.4O
P76.50
P49.10
P26.20
P24.60

6.28
1.44
1.84

P6.67
Pl.50
Pl.98
P.77
P2.42
Pi.51
P.90
P.23
P.68

P6.45
Pl.53
Pl.71
p.78
P2.43
Pl.55
P.88
P.24
P.64

2C

263.39 276.25

278.00

20
20
20
20

109.37
75.55
57.03
20.71

121.36
78.10
57.17
20.65

23.92 23.90 23.84 23.93 23.7' Reserve Bank credit
old stock
23.34 23.30 23.23 23.25 23.02
12.78 12.89 12.94 13.06 13.10 Money in circulation
7.59 Treasury cash
8.19
7.84
8.06
7.94
1.38 Treasury deposits
1.43
1.40
1.40
1.40

.95
.21

.95
.31

20.14 20.16
27.98 27.91
2.28
2.30

.58

.76

15.86 15.68
14.69 14.62
1.17
1.06
1.22 Pl.19

.01
.01
.29
.92

P.90

68.11
49.53
38.04
16.08
15.22

68.21
49.66
38.03
16.27
15.19

.02
.01
.27

MEMBER BANKS IN LEADING CITIES

Total—101 cities:
Loans and investments
U. S. Govt. obligations
Demand deposits adjusted
U. S. Govt. deposits
Loans
New York City:
Loans and investments
U. S. Govt. obligations, total
Bonds
Certificates
Notes and guar. securities
Bills
Demand deposits adjusted
U. S. Govt. deposits
Interbank deposits
Time deposits
Loans, total
Commercial
For purchasing securities:
Brokers'—on U. S. Govts
Brokers'—on other securities...
To others
Allother
100 cities outside New York:
Loans and investments
U. S. Govt. obligations, total
Bonds
Certificates
Notes and guar. securities
Bills
Demand deposits adjusted
U. S. Govt. deposits
Interbank deposits
Time deposits
Loans, total
Commercial
For purchasing securities
All other

Chart
book
page

24.39
20.03
28.15
2.27

.95 Member bank reserves, total. .
Central reserve city banks. .
.35
Reserve city banks
20.16 20.16 20.23
Country banks
27.93 27.97 27.96
2.3: Required reserves, total
2.30
2.31
Central reserve city banks. .
.94
.86
.72
Reserve city banks.
15.72 15.69 15.49
Country banks
14.49 P14.46 P14.43
)xcess reserves, total
,
Pi.22 Pl.24 Pl.06
Balances due from banks:
Pi. 20 Pl.18
Reserve city banks
,
.01 ".03
.02
Country banks
.01
.01
Money in circulation, total.
.28
.28
Bills of $50 and over
P.90 P. 89
$10 and $20 bills
Coins, $1, $2 and $5 bills. . .
.95
.41

.95
.29

24.74
20.05
28.45
2.27

ALL BANKS IN U. S.

14
14
14
14
14

68.22
49.72
37.82
16.34
15.14

67.94
49.49
37.54
16.39
15.07

68.18
49.59
37.69
16.43
15.18

15 23.70 23.76 23.82 23.61 23.66
15 16.28 16.36 16.45 16.30 16.23
16 9.56 9.56 9.57 9.56 9.50
16 3.53 3.53 3.61 3.53 3.59
16 2.72 2.72 2.73 2.74 2.76
16
.38
.47
.47
.56
.54
15 13.73 13.73 13.73 13.46 13.57
15 6.16 6.23 6.24 6.26 6.27
15 4.31 4.23 4.25 4.28 4.23
15 1.14 1.14 1.15 1.15 1.16
15 6.34 6.32 6.28 6.23 6.34
17 2.84 2.85 2.89 2.90 2.92
16
16
17
17
15
15
16
16
16
16
15
15
15
15
15
17
17
17

1.30

.55

1.28

.54

1.21

1.22

.53

.52

1.04

1.06

1.02

.60

.58

.63

.59

44.41
33.26
17.53
9.19
5.25
1.29
24.30
9.91
7.46
8.37
8.89
4.43
2.16
2.30

44.45
33.30
17.63
9.25
5.24
1.18
24.30
10.04
7.14
8.38
8.88
4.45
2.15
2.28

44.41
33.27
17.63
9.26
5.21
1.16
24.09
10.09
7.18
8.41
8.85
4.46
2.10
2.30

44.33
33.19
17.68
9.26
5.20
1.05
24.08
10.13
7.19
8.43
8.85
4.46
2.07
2.31

1.01

Treasury bills (new issues)
24
Treasury notes (taxable)
24
Treasury bonds (taxable)
24, 26
High-grade corporate bonds (5 issues). 26
Corporate Aaa bonds
26
Corporate Baa bonds
26

.375
1.06
2.18
2.39
2.52
3.00

.375
1.07
2.17
2.37
2.50
2.98

.375
1.06
2.14
2.37
2.49
2.96

.375
1.04
2.10
2.36
2.48
2.94

CONSUMER CREDIT

Consumer credit, total
18
Single payment loans
18
Charge accounts
18
Service credit
18
Instalment credit, total
18, 19
Instalment loans
19
Instalment sale credit, total.
19
Automobile
19
Other
19

44.52
33.36
17.72
9.30
5.20
1.14
24.12
10.17
7.09
8.45
8.84
4.47
2.05
2.33

.375
1.00
2.10
2.36
2.48
2.94

.76
2.24
1.43

.81
.22
.59

TREASURY FINANCE

1.25
.52 U. S. G o v t . obligations o u t s t a n d ing, total interest-bearing. .
1.04
By classes of securities:
.62

Per cent per annum

MONEY RATES, ETC.

Total deposits and currency.. . ,
Demand deposits
Time deposits
"urrency outside banks
LJ. S. Govt. deposits

Bonds (marketable issues)..
Notes, cert., and bills
Savings bonds and tax notes
Special issues
By m a t u r i t i e s :
5 years and over
5-20 years
5-10 years
W i t h i n 5 years
W i t h i n 1 year
Certificates
Bills
Holdings of U. S. G o v t . obligations:
Commercial b a n k s
Fed. agencies and t r u s t funds.
Federal Reserve Banks
M u t u a l savings b a n k s
Insurance companies
Other investors, total
M a r k e t a b l e issues

120.42
78.16
56.91
20.00

20 101.32 109.70 110.63
67.28
67.17
66.22
20
46.59
46.59
49.29
20
89.00
83.80
89.08
20
68.51
63.24 68.57
20
41.50
35.02
38.16
20
17.04
17.03
17.04
20
21
21
21
21
21
21
-21

85.60 90.00
26.84 27.04
24.26
23.47
9.80
10.70
'22.30 24.10
'95.40 100.10
r
40.40 45.30

27.70
23.26

Per cent per annum
MONEY RATES, ETC.

In unit indicated
Stock prices (1935-39=100), t o t a l . . . .
Industrial
Railroad
Public utility
Volume of trading (mill, shares)

27
27
27
27
27

145
148
166
125

149
151
168
127

149
152
169
127

1.88

2.39

1.62

145
147
162
124
1.72

BUSINESS CONDITIONS
2

Steel production (% of capacity)
Electric power prod. (mill. kw. hrs.). .
Freight carloadings (thous. cars)
Department store sales (1935-39=100)
Wholesale prices (1926=100), total. . .
Farm products
Other than farm and food

37
37
45
45
49
49
49

5.1

5.9

6.0

5.5

4,034 3,983 3,983 3,949

709
189

723
197

713
215

707
209

106.8 106.8 107.1 107.2
129.9 129.7 130.4 131.0
100.9 100.9 101.1 101.1

Corporate Aaa bonds
"". R. Bank discount rate (N. Y.)
Treasury bills (new issues)
141
143
154
122
1.90
itock prices (1935-39 =100):
Total
Industrial
Railroad
15.2
Public utility
Volume of trading (mill, shares).
723
212 Brokers' balances (mill, dollars):
Credit extended customers. ..
107.4
Money borrowed
131.1
Customers' free credit balances
101.1

23
23
23

2.62

2.54
.50
.375

2.61

.50

.50

.375

.375

In unit indicated
27
27
27
27
27
29
29
29

137
139
154
121

140
142
157
120

1.96

1.63

1,095

1,138

711
639

795
654

145
148
164
124
2.18
1,168
734
727

For footnotes see page 339.

338



FEDERAL RESERVE

BULLETIN

CURRENT STATISTICS FOR FEDERAL RESERVE CHART BOOK—Continued
Chart
book
page
MONTHLY FIGURES—Cont

1945
Nov.

Dec

Jan.

MONTHLY FIGURES—Cont.

In unit indicated

BUSINESS CONDITIONS

Income payments (mill, dollars) :4
Total
30
Salaries and wages
30
Other
30
Cash farm income (mill, dollars):
Total
31
Livestock and products
31
Crops
31
Govt. payments
31
Armed forces (mill, persons)
32
Civilian labor force (mill, persons):
Total
32
Male
33
Female
33
Unemployment
32
Employment
32
Nonagricultural
33
Agricultural
33
Industrial production:4
Total (1935-39 = 100)
35
Groups (points in total index):
Durable manufactures
35
Nondurable manufactures
35
Minerals
35
New orders, shipments, and inventories
(1939 = 100):
New orders:
Total
36
Durable
36
Shipments:
Total
36
Durable
36
Nondurable
36
Inventories:
Total
36
Durable
36
Nondurable
36
Factory employment and pay rolls (1939
= 100):
Pay rolls
38
Employment
38
Hours and earnings at factories:
Weekly earnings (dollars)
39
Hourly earnings (cents)
39
Hours worked (per week)
39
Nonagricultural employment (mill, persons) :4
Total
40
Manufacturing and mining
40
Trade
40
Government
40
Transportation and utilities
40
Construction
40
Construction contracts 4 (3 mo. moving
average, mill, dollars):
Total
41
Residential
48
Other
41
Residential contracts (mill, dollars) :4
Total
42
Public
42
Private, total
42
1- and 2-family dwellings
42
Other
42
Freight carloadings:4
Total (1935-39 = 100)
43
Groups (points in total index):
Miscellaneous
43
Coal
43
All other
43
Department stores (1935-39 = 100) :*
Sales
44
Stocks
44
Exports and imports (mill, dollars):
Exports
46
Excluding Lend-Leasc exports
46
Imports
46
Excess of exports excluding Lend-Lease
exports
46
Cost of living (1935-39 = 100):
All items
47
Food
47
Clothing
47
Rent
47

Chart
book
page

BUSINESS CONDITIONS

2,250
1,057
1,153
40
9.2

1,802
956
830
16
7.9
53.3
36.1
17.2
2.0
51.4
44.2
7.2

53.7
37.6
16.2
2.3
51
44.
6.8

168

163

72.5
73.9
21.1

70.1
73.0
20.2

'184
'171

P190

'203
'202
'204

P194
P192
P195

'169
'174
'164

49
49
49

106.8
131.1
100.2

107.1
131.5
100.5

107.1
129.9
100.8

1945

P878

P659
'6.*2

Apr.-

June

QUARTERLY FIGURES
MONEY RATES

Bank rates on customer loans:
Total, 19 cities
New York City
Other Northern and Eastern cities. . . .
Southern and Western cities

P159

23
25
25
25

SECURITY MARKETS

P63.4 Corporate security issues:
Net proceeds:
P74.6
All issues
P21.1
Industrial
Railroad
Public utility
New money:
All issues
Industrial
Railroad
Public utility

Oct.Dec.

JulySept.

Per cent per annum

P167
P170
P164

P169

Jan.

Dec

In unit indicated

I,537

53.4
35.3
18.2
1.7
51.7
43.3
8.4

Nov.

1946

Cont.

Wholesale prices (1926 = 100):
Total
Farm products
Other than farm and food

13,195 v13,086
8,488 P8.377
4,707 P4,709

1945

2.50
2.20
2.55
2.80

2.45
2.05
2.53
2.81

2.09
1.71

2.23
2.38

In millions of dollars
28
28
28
28

1,208
400
435
354

2,139
831
459
786

1,636
433
315
807

28
28
28
28

244
184
32
13

369
313
26

272
157
46
41

5
1945

Mar.
20

CALL DATE FIGURES

212.5
121.6

215.5
121.6

'40.82
'99.1
'41.2

41.43
99.7
41.6

35.3
12.7
7.3
5.6
3.9
1.0

35.6
12.7
7.3
5.7
3.9
1.1

385
81
304

443
104
339

95
1
94
68
26

107
11
96
82
14

96
2
94
72
22

133

127

133

73.0
31.4
28.3

71.5
28.3
26.8

73.5
31.6
27.5

'225
150

216
'141

226
156

J>639
P524
P322

P736
P548
>301

June

30

Dec.
31

In billions of dollars

P122.2
ALL MEMBER BANKS

P201

129.9
141.4
149.4
108 3

P7.7
P5.5

P3.9
Pi.2

P247

'129.3
140.1
'148.7

P36.2
P12.9

129.9
141.0
149.5

Loans and investments, total
10
U. S. Govt. obligations, total
10
Bonds
11
Certificates
11
Notes
11
Bills
11
Guaranteed obligations
11
Other securities, total
10
State and local government obligations
11
Other securities
11
Loans, total
10
Commercial
11
Real estate
11
Brokers'
11
Agricultural
11
Demand deposits adjusted
10

90.52
67.92
(6)
(5)
(5)
(5)
(5)
5.39

99.43 P107.14
73.24 P78.31
40.27
15.58
14.72
2.63
.03
5.60
P6.05

2.99
2.40
17.22
(5)
(5)
(5)
(5)
61.17

3.10
2.50
20.59
7.10
3.25
2.53
1.13
59.13

12
12
12
12
12
12

27.95
20.41
1.47
6.07
18.60
1.73

31.49
21.62
1.55
8.32
17.80
1.79

12
12
12
12
12
12

33.45
25.30
1.80
6.35
21.74
8.28

36.57 P40.10
27.52 »29.56
1.89
*2.04
7.15
P8.51
20.68
8.76

13
13
13
13
13
13

29.13
22.20
2.12
4.81
20.84
10.54

31.37
24.09
2.16

P22.79

CLASSES OF BANKS

Central reserve city banks:
Loans and investments, total
U. S. Govt. obligations
Other securities
Loans
Demand deposits adjusted
Time deposits
Reserve city banks:
Loans and investments, total
U. S. Govt. obligations
Other securities
Loans
Demand deposits adjusted
Time deposits
Country banks:
Loans and investments, total
U. S. Govt. obligations
Other securities
Loans
Demand deposits adjusted
Time deposits

5.11

P32.07
P21.79
Pl.62
P8.67

P34.97
P26.96
P2.39
P5.61

20.66
11.26

* Estimated.
P Preliminary.
' Revised.
Figures for other than Wednesday dates are shown under the Wednesday included in the weekly period.
Capacity base changed effective Jan. 2, 1946. Revised figures for earlier weeks are: Jan. 2, 83.8; Jan. 9, 85 .2; and Jan. 16, 79.5.
For charts on pages 20, 23, and 27, figures for a more recent period are available in the regular BULLETIN tables that show those series.
Adjusted for seasonal variation.
Figures available for June and December dates only.
* Copies of the Chart Book may be obtained at a price of 50 cents each.
1
2
3
4
5

MARCH

1946




339

INTERNATIONAL FINANCIAL STATISTICS

PAGE

Gold reserves of central banks and governments. .

341

Gold production

342

Gold movements .

342

Net capital movements to United States since January 2, 1935. .

343-348

Central banks

349-352

Money rates in foreign countries.

353

Commercial banks

354

Foreign exchange rates. .

355

Price movements:
Wholesale prices

356

Retail food prices and cost of living.

357

Security prices

357

Tables on the following pages include the principal available statistics of current significance relating
to gold, international capital transactions of the United States, and financial developments abroad.
The data are compiled for the most part from regularly published sources such as central and commercial
bank statements and official statistical bulletins, some data are reported to the Board directly. Figures
on international capital transactions of the United States are collected by the Federal Reserve Banks
from banks, bankers, brokers, and dealers in the United States in accordance with the Treasury Regulation of November 12, 1934. Back figures for all except price tables, together with descriptive text,
may be obtained from the Board's publication, Banking and Monetary Statistics.

340




FEDERAL RESERVE BULLETIN

GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS
[In millions of dollars]
End of month United
States
1938—D ec . . m
1939—Dec
1940—Dec
1941—Dec
1942—Dec
1943—Dec
1944—Dec.

14,512
17,644
21,995
22,737
22,726
21,938
20,619

Argentina 1
431
466
353
354

1658
1939
n 111

1945—Feb. .. . 20,506
20 419
Mar
Apr. . . 20,374
20 270
Atay
20,213
June
20 152
July
20,088
Aug
20 073
Sept
20,036
Oct
20,030
Nov
20,065
Dec.
1946—Jan
20,156
End of month
1938—Dec
1939—Dec
1940—Dec.
1941—Dec
1942—Dec.
1943—Dec
1944—Dec.

Hungary

409
409
409
409
409
409
409
409
407
404

Iran
(Persia)
26
26
26
26
34
92
128

37
24
24
24
24
24
24

1945—Feb.
Mar
Apr.
M^ay

British Canada
India

Brazil

581
609
734
734
735
734

32
40
51
70
115
254
329

274
274
274
274
274
274
274

192
214
27
5
6
5
6

30
30
30
31
36
54
79

24
21
17
16
25
59
92

732
715
715
714
713
712
712
694
698
711
716

340
341
341
342
342
342
352
352
P357
P356

274
274
274
274
274
274
274
274
274
274

6
5
6
4
6
7
6
7
5
5
7

80
80
80
81
80
82
82
82
82
82
82

95
97
99
100
102
103
104
106
114
115
127
128

Italy

Japan

Java

193
144
120

164
164
164
5

80
90
140
235
4

216

Aug.
Sept
Oct.
Nov.. .
Dec

1946—Jan....
Sweden

Switzerland

Turkey

1938—Dec
1935)—Dec
1940—Dec
1941—Dec
1942—Dec
1943—Dec
1944—Dec

321
308
160
223
335
387
463

701
549
502
665
824
964

29
29
88
92
114
161
221

1945—Feb. . .
Mar
Apr.
May .
June....
Tuly
Aug
Sept.
Oct.

475
474
472
470
478
478
479
479
475
474
482

End of month

Nov
Dec

1946—j a n
T
1

1 052
1,061
1 072
1 103
1,105
1 069
1 073
1,084
1,085
1 111
1 109
1 104
1 099

Chile

New
Mexico Nether- Zealand
lands

221
225
225
225
234
234
234
236
236
236
241

29
32
47
47
39
203
222

998
692
617
575
506
500
500

23
23
23
23
23
23
23

221
220
219
219
231
230
255
255
250
296
294
288

164

P128
P128
P128
P128
P131
P131

June .
July

Colombia

Belgium

500
500
500
500
500
270
270
270
270
270
270

Cuba

Czecho- Denslomark
vakia

1
1
1
16
46
111
126
131
141
151
166

• 171
176
176
186

Yugoslavia

B.I.S.

Other
countries 6

2,690

69
68
90
100
89
121
157

52
52
29
41
68
89
130

57
59
82
4
83

14
7
12
12
21
45
37

166
178
170
166
185
229
245

164
166
168
173
175
179
189
195
195
195

147
147
161
161
176
176
186
191
191
202
202
212

37
37
39
39
39
39
39
39
39
39
39

246
246
246
247
247
248
248
248
247

7

1
1

r
245
r

248

P248

p
Revised.
Preliminary.
Figures through March 1940 and for December 1942, December 1943, and December 1944
include, in addition to gold of the Central Bank held at home, gok of the Central Bank held
abroad and gold belonging to the Argentine Stabilization Fund.
2
On May 1, 1940, gold belonging to Bank of Canada transferred to Foreign Exchange Control Board. Gold reported since that time is gold held by Minister of Finance.
3
Figure for December 1938 is that officially reported on Apr. 30, 1938.
4
Figures relate to last official report dates for the respective countries, a s follows : Java—
Jan. 31, 1942; Norway—Mar. 30, 1940; P(3 and—July 31, 1939; Yugoslavia—Feb. 28, 1941.
5
Figure for February 1941; beginning Mar. 29, 1941, gold reserves no longer reported separately.
6
These countries are: Albania Algeria, Austra ia, Austria through Mar. 7, 1938 Belgian
Congo, Bolivia, Bulgaria, China, Costa Rica beginning July 1943, Danzig through Aug. 31,
1939, Ecuador, El Salvador, Estonia, Finland, Guatemala, Iceland, Ireland beginning February
1943, Latvia, Lithuania Morocco, and Siam. Figures for certain of these countries have
been carried forward from last previous official report.
7
Gold holdings of Bank of England reduced to nominal amount by gold transfers to British
Exchange Equalization tAccount during 1939.
NOTE.—For back figures, see Banking and Monetary Statistics, Tables 156-160, pp. 536-555,
and for a description of figures, including details regarding special internal gold transfers affecting the reported data, see pp. 524-535 in the same publication.

MARCH 1946




27
28
28
28
28
28
28

61
61
61
61
61
61
61
61
61
61
61

44
44
44
44
44
44
44
44
44
44
38

52
52
52
52
52
52
52
52
52
52

1,777
1 777
1,777
1 777

Poland Portugal

4

85
84

69
69
59
59
59
60
60

28
28
28

1,777
1 777
1,540
1,540
1,090

Rumania

South
Africa

133
152
158
182
241
316

220
249
367
366
634
706
814

3525

834
848
851
865
878
886
909
938
954
943
914

106
108
109
109
109
109
109
108
108
108

60
60
60
60
60
60
60
60
60
60

30
30
30
30
28
28
28
28
28
28
28
28

Venezuela

29
29
29
29
29
29
29

2,430
2,709
2,000
2,000
2,000
2,000
1,777

20
20
20
21
25
31
32

Uruguay

Greece

55
55
52
52
52
52
52

94
94
84

United
Kingdom

Germany

53
53
52
44
44
44
44

Peru

23
23
23
23
23
23
23
23
23
23

France

83
56
58
61
61
61
61

Norway

4

Egypt

Spain

42
42
91
105

Governmen : gold reserves 1 not included
n previous figures
United
End of month United King- France
States
dom
1938—Dec
1939—Mar

80
154

2
759
1 732

May

June...
Sept.
Dec

1940—June
Dec. ..
1941—June
Dec

1942—June...
Dec. ..
1943—June
Dec

1944—June
Dec

1945—Mar.. .

June

Sept

85
164
156
86
48
89
25
8
12
11
43
21
12
32
81
20

331
559
477

Bel-

44
17

3

876
292

4

151

17
17
17
17
17
17
17
17
17
17
17
17

1
Reported at infrequent intervals or on delayed basis: U. S.—Exchange Stabilization Fund
(Special A/c No. 1); U. K.—Exchange Equal ization Account ; France—Exchange Stabilization
Fund and Rentes Fund Belgium—Treasury.
2
Figure for end of September
3
Reported figure for total British gold reserves
on Aug. 31, 1939, less reported holdings of Bank
of 4England on that date.
Figure for Sept. 1, 1941.
NOTE.—For available back figures and for details regarding specia internal gold transfers
affecting the B ritish and French institutions, see
Banking and Monetary Statistics, p. 526, and
BULLETIN for February 1945, p. 190.

341

GOLD PRODUCTION
OUTSIDE U. S. S. R.
[In thousands of dollars]
Year or
month

1934..
1935..
1936..
1937..
1938..
1939..
1940..
1941..
1942..
1943..
1944..

Estimated
world
production
outside
U.S.S.R. 1
823,003
882,533
971,514
1,041,576
1,136,360
1,208,705
1,297,349
1,288,945

Total
reported
monthly
708,453
752,847
833,895
893,384
958,770
,020,297
,094,264
,089,395
968,112
738,471
663,960

South
Africa

Production reported monthly
North and South America
Africa
MexRhoWest I Belgian United J CanColom-I Chile
Africa2 | Congo^ States* \ ada 5
desia
bia
$1 = / J 6 / « grains of gold 9/wfine; i. e., an ounce of fine gold =$35.
12,153
6,549 108,191 104,023 23,135 12,045
8,350
13,625
7,159 126,325 114,971 23,858 11,515
9,251
16,295
7,386 152,509 131,181 26,465 13,632 9,018
20,784 8,018 168,159 143,367 29,591 15,478 9,544
24,670 8,470 178,143 165,379 32,306 18,225 10,290
28,564 8,759 196,391 178,303 29,426 19,951 11,376
32,163 3 8,862 210,109 185,890 30,878 22,117 11,999
209,175 187,081 27,969 22,961
32,414
9,259
130,963 169,446 8 30,000 20,882 6,409
29,225
48,808 127,796
19,740
19,789
6,081
35,778 101,980
18,445
19,374
7,131

366,795
377,090
396,768
410,710
425,649
448,753
491,628
504,268
494,439
448,153
429,787

1,733
1,674
1,610
1,686
1,718
1,673
1,645
1,679
1,668
1,680
1,664
/1,664
/I,664

2,828
2,463
2,342
2,446
2,328
2,563
2,516
2,078
3,528
2,926
3,836
4,020
3,832

1,610
1,610
1,575
1,610
1,610
1,575
1,575
1,610
1,610
1,610
1,610
1,400
1,470

1,162
1,882
1,379
1,382
1,836
1,736
1,460
1,518
1,459
1,400
1,319
1,224
n , 224

8,012
8,166
7,432
8,004
7,831
7,614
7,426
7,357
7,411
7,404
8,034
7,726
8,391

Austra-I British
lia8 | India 1

1,166
868
807
848
1,557
3,506
5,429
7,525
8,623
7,715
7,865

24,264
25,477
28,053
28,296
28,532
28,009
29,155
27,765
26,641
23,009
20,746

53,446 34,836
55,199 36,216
50,782 33,698
54,703 36,458
54,096 35,937
53,934 36,073
53,213 35,800
53,373 36,311
53,560 34,199
52,953 35,313
55,937 36,809
P 5 5 , 0 1 7 36,005
P54.679 35,043

1944— Dec..
1945—Tan..
Feb..
Mar..
Apr..
May.
June.
July.
Aug..
Sept..
Oct..
Nov..
Dec.

Other
Nicaragua 7

506
486
372
542
526
528
574
538
464
370
425
'425
/425

30,559
31,240
40,118
46,982
54,264
56,182
55,878
51,039
42,525
28,560
16,310

11,223
11,468
11,663
11,607
11,284
11,078
10,157
9,940
8,960
8,820
6,545

765
672
590
615
560
631
574
393
595
570
559
592
634

1,470
1,470
1,260
1,365
1,225
1,190
1,295
1,400
2,065
1,190
1,190
1,470

525
560
525
595
525
350
350
490
560
490
490
490
525

n, 470

Gold production in U. S. S. R.: No regular Government statistics on gold production in U. S. S. R. are available, but data of percentage changes
irregularly given out by officials of the gold mining industry, together with certain direct figures for past years, afford a basis for estimating annual
production as follows: 1934, 135 million dollars; 1935, 158 million; 1936, 187 million; 1937, 185 million; 1938, 180 million.
P Preliminary.
/ Figure carried forward.
1
Annual figures through 1940 are estimates of U. S. Mint; annual figure for 1941 based on monthly estimates of American Bureau of Metal
Statistics.
2
Beginning April 1941, figures are those reported by American Bureau of Metal Statistics. Beginning January 1944 they represent Gold
Coast only.
3
Beginning May 1940 monthly figures no longer reported. Annual figure for 1940 estimated at three times production for first four months
of the year.
* Includes Philippine Islands production received in United States. Annual figures are estimates of United States Mint. Monthly figures
represent estimates of American Bureau of Metal Statistics, those for 1944 having been revised by adding to each monthly figure $59,421 so that
aggregate for the year is equal to annual estimate compiled by Bureau of Mint in cooperation with Bureau of Mines.
6
Figures for Canada beginning 1944 are subject to official revision.
6
Beginning April 1942, figures no longer reported. Annual figure for 1942 is rough estimate based on reported production of $7,809,000 in
first three months of year.
7
Gold exports, reported by the Banco Nacional de Nicaragua, which states that they represent approximately 90 per cent of total production.
8
Beginning December 1941, figures are those reported by American Bureau of Metal Statistics. For the period December 1941-December
1943 they represent total Australia; beginning January 1944, Western Australia only.
9
Beginning May 1940, figures are those reported by American Bureau of Metal Statistics.
NOTE.—For explanation of table and sources, see BULLETIN for February 1939, p. 151; July 1938, p. 621; June 1938, p. 540; April 1933, pp
233-235; and Banking and Monetary Statistics, p. 524. For annual estimates compiled by the United States Mint for these and other countries,
in the period 1910-1941, see Banking and Monetary Statistics, pp. 542-543.
GOLD MOVEMENTS
U N I T E D STATES
[In thousands of dollars at approximately $35 a fine ounce]
Net imports from or net exports (—) to:
Year
Total
or
net
month imports

United
Kingdom

19341 1,131,994 499,870
1935 1,739,019 315,727
1936 1,116,584 174,093
1937 1,585,503 891,531
1938 1,973,569 1,208,728
1939 3,574,151 1,826,403
633,083
1940 4,744,472
3,779
982,378
1941
1,955
315,678
1942
88
68,938
1943
-845,392 -695,483
1944
160
1945 -106,250

France

Belgium

Netherlands

Sweden

8,902 94,348
260,223
3 227,185
934,243
3,351 71,006
573,671
2
-13,710 90,859
6,461
6
81,135 15,488 163,049 60,146
3,798 165,122 341,618 28,715
241,778
977 63,260 161,489
1
1
1,747

Switzerland

Canada

Mexico

Other
Latin
American Republics

28,153
30,270
86,829
12,402
29,359
13,667
95,171
968
39,966
72,648
30,790
7,511
38,482
111,480
54,452
39,485
36,472
76,315
1,363
65,231
33,610
86,987 612,949
57,020
29,880
90,320 2,622,330
128,259
16,791
899 412,056
61,862
.40,016
5 208,917
39,680
-3,287
66,920
13,489
46,210 -109,695 -108,560
15,094 -41,748
53,148

Philippine
Islands
12,038
15,335
21,513
25,427
27,880
35,636
38,627
42,678
321

"io3

South
Africa

Australia

Japan

British
India

All
other
countries

4 76,820
21,095
12
1,029
28,529
75,268
65
3,498
20,856
77,892
8
23,280
8,910
181 246,464 50,762
34,713
13,301
401 168,740 16,159
39,162
74,250 22,862 165,605 50,956 t68,623
103,777 184,756 111,739 49,989 3 284,208
67,492 292,893 9,444 9,665 * 63,071
129
20,008
4,119
528
-8,731
307
152
18,365
3,572
199
-133,471
357
106

1945

June

July
Aug.
Sept.
Oct.
Nov.
Dec.
1946
Jan.p

-83,758
-6,979
-12,339
13,496
-4,317
789
19,253

27
41
64

154,070

218
481
848
11,796
463
272
37,131

315
11,524
517
272
329
355
247

1,815
1,583
1,192
951
1,115
1,698
-18,499

151,270

391

1,729

100

2
19
11

3
3

20
22
16
11
12
15
9

-86,152
-20,589
-15,014
407
-6,236
— 1,562
297

23

654

P Preliminary.
1
Differs from official customhouse figures in which imports and exports for January 1934 are valued at approximately $20.67 a fine ounce.
2 Includes $28,097,000 from China and Hong Kong, $15,719,000 from Italy, $10,953,000 from Norway, and $13,854,000 from other countries.
3 Includes $75,087,000 from Portugal, $43,935,000 from Italy, $33,405,000 from Norway, $30,851,000 from U. S. S. R., $26,178,000 from Hong
Kong, $20,583,000 from Netherlands Indies, $16,310,000 from Yugoslavia, $11,873,000 from Hungary, $10,416,000 from Spain, and $15,570,000
from other countries.
4
Includes $44,920,000 from U. S. S. R., and $18,151,000 from other countries.
6
Includes $133,980,000 to China and $509,000 from other countries.
NOTE.—For back figures see Banking and Monetary Statistics, Table 158, pp. 539-541, and for description of Statistics, see p. 524 in the same
publication.

342



FEDERAL RESERVE BULLETIN

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES
NET CAPITAL MOVEMENT TO UNITED STATES SINCE JANUARY 2, 1935
[Net movement from United States, (—). In millions of dollars]
TABLE 1.—TOTAL CAPITAL MOVEMENT, BY TYPES
Increase in foreign banking
funds in U. S.
Total

From Jan. 2, 1935, through—

Total

Official

Other

Decrease
in U. S.
banking
funds
abroad

Foreign
securities:.
Return
of U. S.

funds

Domestic
securities:
Inflow of
foreign
funds

Inflow in
brokerage
balances

259.5
616.0
899.4
1,412.5

57.7
213.8
350.7
603.3

-2.0
-4.5
9.8

59.7
207.7
355.2
593.5

155.0
312.8
388.6
361.4

31.8
43 7
40.1
125.2

-6.2
15.8
90.3
316.7

21.1
29.8
29.8
6.0

1,511.1
1,949 2
2,283.3
2,608.4

578.4
779 0
898.5
930.5

44.4
35.9
37.4
81.1

534.0
743.1
861.1
849.4

390.3
449.0
456.2
431.5

114.4
180 5
272.2
316.2

427.6
524.1
633.3
917.4

.4
16.5
23.2
12.9

2,931.4
3,561.9
3,911.9
3,410.3

1,121.6
1,612.4
1,743.6
1,168.5

62.8
215.3
364.6
243.9

1,058.8
1,397.1
1,379.0
924.6

411.0
466.4
518 1
449.1

319.1
395.2
493 3
583.2

1.075.7
L,069.5
1,125.1
L.162.0

4.1
18.3
31.9
47.5

1938—Mar. 30
June 29
Sept. 28
Dec. (Jan. 4, 1939)

3,207 2
3,045.8
3,472 0
3,844.5

949.8
786.2
1,180.2
1,425.4

149.9
125.9
187.0
238.5

799.9
660.4
993.2
1,186.9

434 4
403.3
477 2
510.1

618 5
643.1
625 0
641.8

L,150.4
1,155.3
,125.4
,219.7

54.2
57.8
64.1
47.6

1939—Mar
June
Sept
Dec.

4,197.6
4,659.2
5,035.3
5,021.2

1,747.6
2,111.8
2,479.5
2,430.8

311.4
425.3
552.1
542.5

1,436.2
1,686.5
1,927.3
1,888.3

550.5
607 5
618.4
650.4

1 ,188.9
1 ,201.4
1 ,177.3
1 ,133.7

63.9
74.0
83.1
80.6

5,115.9
5,440.7
5,748.1
5,727.6

2,539.0
2,830.1
3,092.8
3,159.0

539.1
922.3
1,112.3
1,200.8

1,999.9
1,907.8
1,980.5
1,958.3

631.6
684 1
773.6
775.1

646.7
664.5
676.9
725.7
761.6
785 6
793.1
803.8

1,095.0
1
L,042.1
987.0
888.7

88.7
98.9
101.6
100.9

5,526.5
5,575.4
5,510 3
5,230.7

3,148 8
3,193.3
3,139 5
2,856.2

1,307.7
1,375.1
1,321.7
1,053.7

1,841.0
1.818.2
1,817 7
L,802.6

767 4
818.6
805 3
791.3

812 7
834.1
841 1
855.5

701.8
631.2
623.5
626.7

95.9
98.2
100.9
100.9

1942—Mar (Apr. 1)
June 30 2
Sept. 30
Dec. 31

5,082.4
5,495.3
5,654.9
5,835 0

2,684.0
3,075.9
3,212.6
3,320.3

932.0
1,211.7
1,339.1
1,412.0

1,752.0
1,864.2
1,873.5
L.908.3

819.7
842.3
858.2
888.8

849.6
838.8
830.5
848 2

624.9
632.0
646.1
673.3

104.3
106.2
107.5
104.4

1943—Mar. 31
June 30
Sept. 30
Dec. 31
1944—j an . 3i
Feb. 29.
Mar. 31
Apr. 30
May 31
June 30

6,147.1
6,506.4
6,771.3
7,118 6

3,643.4
4,002.6
4,130.6
4,496.3

1,723.1
2,071.4
2,190.9
2,461.5

1,920.3
1,931.2
1.939.7
2,034.8

898.7
896.9
888.6
877.6

810.5
806.8
929.3
925 9

685.9
687.9
708.1
701.1

108.6
112.1
114.8
117.8

7,272.9
7 418 6
7,462.9 .
7,464 3
7,458.9
7,459.6

4,658.2
4 833 2
4,885.4
4,881 0
4,882.7
4,851.7

2,649.3
2,815.7
2,856.0
2,780.5
2,726.8
2,661.4

2,009.0
2,017.5
2,029.4
2,100.6
2,155.9
2,190.3

870.8
843 5
868.0
873 4
872.9
856.6

931.7
924 2
904.1
905 4
903.2
929.8

695.1
698.8
685.8
686.2
680.1
702.4

117.0
118.9
119.6
118.3
119.9
119.1

July 31
Aug 31
Sept. 30
Oct. 31
Nov. 30
Dec. 31
1945—jan 3i
Feb. 28
Mar. 31
Apr 30
May 31
June 30

7,423 4
7 440 9
7,430.9
7,460 2
7,530.5
7,475.7

4,740.8
4 732 3
4,661.2
4,680 3
4,775.1
4,612 5

2,622.9
2 589 5
2,498.8
2,489.8
2,541.0
2,372.2

2,117.9
2,142.8
2,162.3
2,190.4
2,234.1
2,240.3

850.6
869 7
883.5
891.3
872.7
805.8

1,005.8
1 009 7
1,026.2
1,025 8
1,025.3
1,019.4

706.9
709.4
737.8
735.8
732.4
911.8

119.3
119.9
122.2
127.1
125.0
126.3

7 633 1
7,755.4
7,739 1
7 797 3
7,857.7
8,071 9

4 723 9
4,887.3
4,909 9
4 958 2
5,004.5
5,261.4

2 468 7
2,587.3
2,555.6
2 588 9
2,634.0
2,903.6

2,255.2
2,300.0
2,354.3
2,369.2
2,370.5
2,357.9

848 2
859.8
848.5
844 7
845.7
760.4

1,025 9
1,033.4
1,029.6
1,061 6
1,088.9
1,069.9

909.0
845.0
820.6
802.5
785.0
848.4

126.1
129.9
130.5
130.4
133.6
131.8

3 078 8
3,096.2
3,107.5
33,110.0

2,363.9
2,408.8
2,487.2
32,620.9

810 2
••829.0
f-865.3
3875.5

1 073 7
1,058.4
''1,056.9
1,005.2

843.2
831.6
818.4
795.1

127.1
129.1
134.6
3134.4

1935—Mar.
June
Sept.
Dec.

(Apr. 3)
(July 3)
(Oct. 2)
(Jan. 1, 1936)

1936—Mar.
June
Sept.
Dec.

(Apr. 1)
d u l y 1)
30
30..

1937—Mar. 31

. . . .

,

June 30
Sept. 29
Dec 29

29
28....
27
(Jan. 3, 1940)

.

. .

1940—Mar. (Apr. 3)
Tune (Tuly 3) .
Sept. (Oct. 2)
Dec. (Jan. 1, 1941)
1941—Mar. (Apr. 2)
June (July 2)
Sept (Oct. 1)
Dec. 31

July
Aug
Sept
Oct

31
31
30
31

, .

8 296 8
••8,353 2
»8 469 9
*
8,541.1

5 442 6
5,505.0
5,594 8
35,731.0

6.1

r
1

Revised.
This category made up as follows: through Sept. 21, 1938, funds held by foreign central banks at the Federal Reserve Bank of New York;
beginning Sept. 28, 1938, also funds held at commercial banks in New York City by central banks maintaining accounts at the Federal Reserve
Bank of New York; beginning July 17, 1940, also funds in accounts at the Federal Reserve Bank of New York which had been transferred from
central bank to government names; beginning with the new series commencing with the month of July 1942, all funds held with banks and bankers
in the United States by foreign central banks and by foreign central governments and their agencies (including official purchasing missions, trade
and shipping missions, diplomatic and consular establishments, etc.).
2
The weekly series of capital movement statistics reported through July 1, 1942, was replaced by a monthly series commencing with July 1942.
Since the old series overlapped the new by one day, the cumulative figures were adjusted to represent the movement through June 30 only. This
adjustment, however, is incomplete since it takes into account only certain significant movements known to have occurred on July 1. Subsequent
figures are based upon new monthly series. For further explanation, see BULLETIN for January 1943, p. 98.
3
Amounts outstanding Oct. 31, in millions of dollars: total foreign banking funds in United States, 6,396.8, including official funds, 3,747.6
and other funds, 2,649.2; United States banking funds abroad, 260.0; and brokerage balances (net due "foreigners"), 57.5.
NOTE.—Statistics reported by banks, bankers, brokers, and dealers. For full description of statistics see Banking and Monetary Statistics,
pp. 558-560; for back figures through 1941 see Tables 161 and 162, pp. 574-637, in the same publication, and for those subsequent to 1941 see
BULLETIN for September 1945, pp. 960-974.

MARCH

1946




343

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
NET CAPITAL MOVEMENT TO UNITED STATES SINCE JANUARY 2, 1935—Continued
[Net movement from United States, (—). In millions of dollars]
TABLE 2.—TOTAL CAPITAL MOVEMENT, BY COUNTRIES
From Jan. 2, 1935, through—

Total

United
King- France
dom

Netherlands

Switzerland

5
7
9
6
3

130. 4
335. 5
607. 5
557. 5
773. 0

123 9
140 5
165 9

24 . 0
45 .6
22 . 1
32 .2
58 . 0

130 . 0
228 .5
312 .2
472 . 0
752 .9

1,200.6
2,051.3
2,653.0
3,054.2
3,790.1

150.5
106.3
155.3
229.4

70.9
201.2
410.6
384.6
483.4

455 6

922 .7
891 . 8
850 . 9
954 . 8

4,056.6
3,626.3
3,608.1
4,192.8

411.7
340.5
425.1
760.3

606.8 562.3 90.2
567.5 567.7 128.6
835.8 787.7 178.3
951.0 1,013.1 201.4

Germany

Italy

1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.

(Jan 1, 1936). .
30
29
(Jan. 4, 1939). .
(Jan. 3, 1940). .

1,412.5
2,608.4
3,410.3
3,844.5
5,021.2

554.9
829.3
993.7
1,183.8
1,101.3

210.2
299.5
281.7
339.6
468.7

114
229
311
328
470

1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.

(Jan. 1, 1941). . . 5,727.6
31
5,230.7
31
5,835.0
31
7,118.6

865.2
674.1
837.8
1,257.7

670.3
639.9
625.9
636.8

464. 4
474. 0
487. 7

911. 5
725. 7
592. 1
629. 1

175
179
179
178

9
9
5
6

55 . 4
50 .5
48 . 1
48 .2

1,078.8
1,090.0
1,008.6
1,053.6
1,048.9
1,026.0
1,029.3
1,066.2
1,075.0
1,018.8
946.7
937.8

635.2
585.7
566.6
558.3
506.5
477.6
453.0
521.7
542.4
499.8
463.9
510.9

502. 7
506. 2
503. 3
506. 3
505. 7
506. 3
506. 8
513. 0
516. 1
518. 1
518. 1
523. 8

654. 4
664.3
659. 6
666. 4
673. 0
670. 7
677. 1
679. 7
689. 9
695. 6
698. 4
705. 2

179 0
179 1

61 . 5
63 . 1
66 . 7
69 . 8
72 . 0
75 .5

1944—Nov. 30
Dec. 31
1945—Jan. 31
Feb. 28
Mar. 31
Apr. 3 0 . . .
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31

7,530.5
7,475.7
7,633.1
7,755.4
7,739.1
7,797.3
7,857.7
8,071.9
8,296.8
'•8,353.2
'8,469.9
8,541.1

36 6

83.1

179.0

179
179
179
179
179
179
179
179
179

0
2
2
0
0
0
2
3
5

77.5

80 . 0
85 .2
89 .6
94 .2
98 . 0

Other
Total
Europe Europe

Canada

Latin
1
America Asia

(2)

128.3
184.0
224.6
214.2
431.0

982.7 4,094.2 1,015.6 1 ,194.7 1,062.7
4,081.8 976.4 1 ,193.7 1,020.9
3,949.0 1,030.8 1 ,250.2 1,199.2
4,003.9 1,081.3 1 ,262.4 1,200.1
3,952.9 1,135.4 1 ,234.2 1,205.3
3,925.8 1,194.9 1 ,263.0 1,202.9
3,926.4 1,204.7 1 ,324.3 1,193.8
4,057.5 1,276.7 1 ,353.8 1,175.5
4,140.6 1,361.4 1 ,411.7 1,175.5
4,060.2 r1,441.8 'r 1.392.1 1,238.7
4,034.8 l,469.9 l,413.3 1,316.3
4,073.2 1,477.9 1 ,404.7 1,321.3

993 . 3
965 .2
970 .5
967 . 6
990 .5
1 ,003 . 6
1 ,017 . 9
1 ,053 . 0
1 ,059 .2
1 ,134 .2
1 ,118 . 1

All
other1
12.7
21.4
15.9
36.2
87.4

163.3
203.0
204.1
207.7
211.4
210.7
208.5
208.4
207.6
220.3
235.2
264.1

TABLE 3.—INCREASE IN FOREIGN BANKING FUNDS IN U. S., BY COUNTRIES
From Jan. 2, 1935
,through—

Total

United
King- France
dom

Netherlands

Switzerland

Germany

Italy

Latin
Other
CanTotal
1
Europe Europe ada America Asia
60.7
79.7
109.4
208.6
470.0

1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.

603.3
(Jan. 1, 1936)...
30
930.5
1,168.5
29. .
(Jan. 4, 1939)... 1,425.4
(Jan. 3, 1940). . . 2,430.8

128.6
163.5
189.3
364.0
376.1

129.6
144.2
111.8
155.3
256.1

55.7
65.9
76.3
87.9
190.9

-.8
72.4
2.7
109.8
9.6
288.4
205.1 - 1 1 . 8
362.7 - 2 0 . 1

7 .3
23 .0
6 .9
1 .7
19 .7

1940—Dec.
1941—Dec.
1942—Dec.
1943—E>ec#

(Jan. 1, 1941)... 3,159.0
2,856.2
31. . .
3,320.3
31
4 496.3
31. . .

293.3
328.6
493.3
939.4

458.0
416.5
394.5
404.1

160.3
161.0
170.0
176.7

494.7 - 2 2 . 9
326.2 - 2 3 . 1
166.3 - 2 2 . 7
192 7 - 2 3 . 7

.9
- 3 .4
- 6 .2
-6 9

789 7
804 4
726 4
777 0
772 9
758 s
770 7
800. s

413.8
356 6
338.9
329 6
286.4
258 3
235.0
292.2
318 8
276.6
233.3
280.2

190 1
193 1
190 0
192 6
192 2
192 ?
192 7
196. 7

214.4
221 4
219.8
227 1
234.5
234.1
240.1
243.2
250 6
255.8
259.7
266.5

-23.6
—23.4
-23.4
—23.4
-23.3
-23.3
-23.5
-23.5
-23.5
-23.4
-23.4
-23.2

5.7
70
10 .7

1944—Nov. 30. .
Dec. 3 1 .
1945—Jan. 31
Feb. 28. . .
Mar. 31
Apr. 30. . .
May 31. .
June 30. . .
July 31. . .
Aug. 31
Sept. 30.
Oct. 31

4,775.1
4 612 5
4,723.9
4 887 3
4,909.9
4,958 2
5,004.5
5,261.4
5,442 6
5,505.0
5,594.8
5,731.0

810 6

762 6
684 8
678 9

199 ?

201 4
204 0
211 4

n
15 .7
19 1
22 .5
?S 6
29 ?

33 .6
38 .2
41 .7

All
other1

453.5
588.9
791.7
1,010.7
1,655.4

46.0
86.8
76.3
101.6
174.5

33.5
149.3
166.3
127.6
215.1

58.8
90.4
126.2
163.3
325.4

11.5
15.2
8.0
22.2
60.5

603.7 1,986.3
561.1 1,766.9
502.5 1,697.5
589.0 2,271.2

334.1
273.1
399.5
704.7

326.4
296.7
482.8
578.7

450.9
418.0
598.7
779.7

61.3
101.6
141.9
162.0

2,181.2
2,193.7
2,032.9
2,093.2
2,061.3
2,045.9
2,057.3
2,202.7
2,291.7
2,179.0
2,141.4
2,185.4

848.7
818.6
868.1
962.3
1,021.2
1,056.8
1,053.4
1,159.3
1,241.8
1,341.9
1,384.1
1,443.9

784.8
794.7
848.7
855.4
842.5
872.0
913.5
955.4
979.2
965.8
989.0
976.2

828.9
635 9
804.5
803 8
809.3
808.3
807.7
770.5
757.6
834.7
882.5
899.8

131.5
169 7
169.7
172 5
175.7
175 2
172.7
173.5
172 3
183.6
197.6
225.7

1
Latin
Canada America Asia

All
other*

591
634
570
576
582
606
619
670

0
7
5
7
8
8
7

0
706 8

672 4
744 8
729 9

TABLE 4.—DECREASE IN U. S. BANKING FUNDS ABROAD, BY COUNTRIES
From Jan. 2, 1935, through—

Total

United
King- France
dom

Netherlands

1935—Dec. (Jan. 1, 1936)
1936—Dec. 30
1937—Dec. 29
1938—Dec. (Jan. 4, 1939)
1939—Dec. (Jan. 3, 1940)

361.4
431.5
449.1
510.1
650.4

208.8
178.0
207.4
206.2
252.2

48.1
62.0
65.3
68.4
73.8

1940—Dec. (Jan. 1, 1941)
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31

775.1
791.3
888.8
877.6

269.2
271.2
279.4
272.1

872.7
805.8
848.2
859.8
848.5
844.7
845.7
760.4
810.2
'829.0
'865.3
875.5

267.4
266.1
266.2
264.6
268.8
266.6
261.5
264.1
267.2
260.4
267.1
270.5

1944—Nov. 30
Dec. 31
1945—Jan. 31
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31

Switzerland

Germany

Italy

-3.3
-4.4
-5.6
12.9

1.6
2.7
2.6
2.6
2.9

29.7
66.0
105.1
141.7
177.8

13.7
16.3

74.6
76.9
77.8
77.9

17.7
17.6
18.1
18.3

6.5
5.4
6.6
5.1

77.7
77.7
77.6
77.6
77.6
77.6
77.8
77.8
77.8
77.8
77.8
78.1

18.3
18.3
18.3
18.3
18.3
18.1
18.2
18.0
18.3
18.2
18.0
18.0

4.8
6.8
6.2
7.3
7.2
7.2
7.3
2.7
4.5
6.1
5.4
5.1

-.4

Other
Total
Europe Europe

20.1
37.3
24.9
30.4
51.6
18.7
66.8 -46.5
52.6 -21.5

-1.6
-4.4
-8.7
-7.0

60.3
62.7
58.6
55.1

43.2
17.7
68.3
55.7

34.8
64.7
93.8
102.7

2.1
-1.2
6.6

64.9
64.8
61.8
68.1
69.0
69.9
67.3
39.1
47:7
51.4
53.3
60.7

51.2
37.0
36.1
40.7
23.9
23.0
40.1
23.5
58.2
'51.4
'47.4
54.4

96.0
77.7
87.6
88.2
88.1
86.4
77.9
79.9
81.4
68.4
98.3
91.7

-1.6

13.7
15.5

22.0
26.9
33.8
28.4

310.2
343.7
409.3
460.9
563.5

-4.6
36.9
-21.7
35.9
56.5

191.6
196.8
196.7
196.9

25.3
25.8
26.2
26.2

49.8
53.6
56.8
60.0

634.7
647.4
661.5
656.5

196.9
196.9
196.9
196.9
196.9
196.9
196.9
196.9
196.9
196.9
196.9
196.9

26.2
26.2
26.2
26.2
26.2
26.2
26.2
26.2
26.2
26.2
26.2
26.4

70.9
34.6
70.7
70.3
70.4
70.6
70.1
30.9
30.3
69.4
70.9
69.4

662.2
626.6
662.0
661.2
665.3
663.3
658.0
616.5
621.2
655.0
662.5
664.4

6.5

8.8

7.5

.8
1.7
2.2
2.1
2.4
1.5
1.8
2.9
3.8
4.2

' Revised.
* Prior to Jan. 3, 1940, the figures under Asia represent Far East only, the remaining Asiatic countries being included under "All other."
* Inflow less than $50,000.

344



FEDERAL RESERVE BULLETIN

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
NET CAPITAL MOVEMENT TO UNITED STATES SINCE JANUARY 2, 1935—Continued
[Net movement from United States, (—). In millions of dollars]
TABLE 5.—FOREIGN SECURITIES: RETURN OF U. S. FUNDS, BY COUNTRIES
(Net Purchases by Foreigners of Foreign Securities Owned in U. S.)

From Jan. 2, 1935,through—
1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.

(Jan.

30. . .
29

United
King- France
dom

Netherlands'

Switzerland

Germany

Italy

Other
Europe

7. 4
10. 4
21.
27. 3
29. 4
31. 0
31 s

-1.2
13.7
30.4
36. 1
45. 0

13.3
22.5
26.6
33.5
36.6

2.9
9.4
13.5
22.0
27.6

46 1
87. 9
115.
167. 8
189. 0

46. 0
44
44. 7

28.1
28.1
28.0
27.9

196 4
201. 8

33. 0

36.5
36.5
36.5
36.5

210 1

143. 1 - 3 9 .7
1 .7
278 3
10 S
366. 4
440. 6
- 9 .7
495. 2 - 7 .6
25 .0
510 0
521 3
4
- 3 0
526 3
530 3
41 .2

1942—Dec. 31. .
1943—Dec. 31
30
31

36.5
36.5
36.5
36.5
36.5
36.5
36.5
36.5
36.5
36.5
36.5
36.5

27.7
27.6
27.6
27.6
27.6
27.6
27.6
27.6
27.6
27.6
27.6
27.6

210 4
210 4
210 4

530
530
528

31. .
28

31 .
30

31 .

June 30. .
July 3 1 . .
31

Sept. 30
Oct. 31. .

125. 2
316. 2
583 9
641. 8
725. 7

67 .8
116 .1
136 8
127 .7
125 .5

6 .8
18 .2
22 8
26.1
42.1

803. 8
855
848. 9
925. 9

128 .6
127 6

43.4
51 6

4

S? 4

127 .6

50 .6

1 025
1,019. 4
1,025 9
1 033
1,029 6
1 061 6
1,088. 9
1,069. 9
1,073. 7
1 058
r
l,056 9
1,005 2

1, 1936)...

(Jan. 4, 1939)...
(Jan. 3, 1940). . .
1940—Dec. (Jan. 1, 1941). . .
1941—Dec. 31
1944—Nov.
Dec.
1945—j a n .
Feb.
Mar.
Apr.
May

Total

127 0
126 .5
124 8
9
125

0
121 6
120 8
118 9
119 0
119 o
119 1
119 .2

31. 6

44. 9

50 9
51.0
510

33. 6
33. 6
33. 6

44. 4
44. 5
44.

51 9
S1 4
51
SI 2
S1 3
S1
51 9
S1 9
51 . 1

33
33.
33
33.
33.
33.
33
33
33

6
6
5
S

s
7

44 7
44. 7
44 7
44. 5
44. 7
45 0
45 0
45
45 5

207 6

210
210 •^
210 1
210 0

210.1
210
210
210
211

1
1

9

1

Total
Europe

4
1
4

529 1
528 0
525 4
524 1
577 S
522 8
522 9
523 9
524 . 6

Canada

in

5

104 .9
111 S
118 1

in

9

147 1
171 4
15? 0
1
1S5 7
8
82 . 1

1
Latin
America Asia

All
other1

12 .7
15 .7
0
m .4
1 67
184 .0

7 .9
17 .0
?4 S
33 .8
42 .8

1.1
3.5
6 8
9.7
11.3

202 .3

53 .0
61

13.5
16 6
18.0
19.9

1

?4e> 4
272 .3

62 .2

?99 0
302 . 0
303

61 4
61 .3
61 3

7
30S 1
306 1
310 4
317 4
314 7
S16
317 6
314 . 9

61 s
61 5

61 5

61 7
61 7
61 7
61 7
61 8
61 . 8

21 1
21.0
21.1
21 0
21.1
21 2
21.2
21.3
21.3
21 7
21.8
21.9

1
Latin
America Asia

All
other1

s

61.9

TABLE 6.—DOMESTIC SECURITIES: INFLOW OF FOREIGN FUNDS, BY COUNTRIES
(Net Purchases by Foreigners of U. S. Securities)
*
From Jan. 2, 1935, through—
1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.

Total

(Jan. 1, 1936). . .
316.7
30
917.4
29
1,162.0
(Jan. 4, 1939). . . 1,219.7
(Jan. 3, 1940) . . . 1,133.7

United
King- France
dom

Netherlands

Switzerland

Germany

Italy

Other
Europe

Total
Europe

-.1
-3.3
-4.9
-5.5
-4.9

12.9
38.5
55.7
56.6
60.4

286.2
818.0
1,041.6
1,094.1
1,004.4

2.8
32.6
37.6
25.7
-2.6

3.7
15.5
18.2
23.7
30.1

21.4
44.1
54.7
65.2
87.6

2.6
7.1
9.8
11.1
14.3

2.7

64.9
67.3
75.3
86.3

851.3
615.0
644.7
645.7

-18.4
-44.7
-45.1
-58.2

25.6
28.1
35.2
40.5

17.6
17.5
27.7
62.5

12.6
10.9
10.9
10.6

100.5
103.2
103.0
102.4
93.7
92.5
93.5
96.4
95.3
96.5
96.4
96.4

626.3
633.7
629 0
621.4
598 9
591.2
585 9
611.0
602 1
600.0
600.8
592.4

-28.2
-28.1
-27.4
-84.2
-85.7
-95.9
-106.7
-91.7
-98.5
-105.4
-117.9
-126.4

53.3
54.9
55.7
55.4
55.2
55.1
52.8
58.5
57.2
56.1
55.1
54.6

70.4
240.5
241 1
241.9
241 7
241.9
242 7
260.4
272 2
270.9
270.6
264.4

10.6
10.7
10 7
10.6
10 5
10.3
10 3
10.3
10 2
10.0
9 8
10.0

Latin
America Asia*

All
other1

149.8
367.7
448.7
472.6
328.1

23.4
64.7
70.3
76.9
76.6

50.5
157.6
213.8
212.1
227.7

55.1
200.2
275.3
304.1
344.7

-5.4
-7.5
-17.4
-22.8
-28.2

74.4
74.9
80.5
82 7
70.0
77.3
77 2
76.9
68 0
67.1
66 4
77.6
71 7
71.1
78 5
78.3

233.2
236.7
236.9
239.9

348.1
336.4
360.5
367.3

-29.1
-30.1
-30.9
-30.8

239.4
239.0
239 0
239.1
239 1
239.4
239 3
241.3
240 9
240.7
237.8
235.5

369.2 - 3 0 . 8
368.5 - 3 0 . 8
366 1 - 3 0 . 8
363.3 - 3 0 . 8
362 2 —30.8
360.1 - 3 0 . 8
359 4 - 3 0 . 7
363.1 - 3 0 . 7
363 5 - 3 0 . 7
362.0 - 3 0 . 7
360.2 - 3 0 . 7
360.9 - 3 0 . 7

1940—Dec. (Jan. 1, 1941). . .
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31

888.7
626.7
673.3
701 1

157.1
-70.1
-77.6
— 100 3

1944—Nov. 30
Dec. 31
1945—Jan. 31
Feb. 28.
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31

732.4
911.8
909 0
845 0
820 6
802 5
785 0
848.4
843 2
831.6
818 4
795.1

-123.5
-125.4
— 127 4
-131.7
— 135 4
— 139.2
— 142 8
-138.9
— 140 3
-141.5
— 143 4
-149.9

-i

-!i
.6
1.5
1.9
1.8
2.1

2.1
2.2
.8

2.2
1.9
1.8
1.8
1.9

Canada

TABLE 7.—INFLOW IN BROKERAGE BALANCES, BY COUNTRIES
(The Net Effect of Increases in Foreign Brokerage Balances in U. S. and of Decreases
in Balances Held by Brokers and Dealers in U. S. with Brokers and Dealers Abroad)
Germany

Italy

1.3
— .9
5.0
6.8
9.3

2.5
9 1
10.8
9.6
17.8

-.2
9
-.1

.1
.3
.1
.2
.1

1.4
.4
5.0
5.2
5.0

7.6
22.6
44.0
47.9
71.6

-4.5
-7.6
3.5
1.8
8.7

1.0
—4 2
-.5
-.9
1.6

2.9
2 1
.5
-1.5
-3.4

19.9
19.9
20.7
21.5

13.4
17.6
17.5
19.9

16.2
13.5
13.7
19.3

-.2
-.2
— .1
-.2

.2
.2
.2
.3

7.9
8.0
8.7
9.4

74.3
75.7
78 1
89.1

10.7
14.1
15.2
17.6

9.2
3.9
4.2
3.8

6.0
6.3
6 0
6.0

22.7
23.1
21.9
22.9
23.1
23 1
22.6
22.8
22 8
23.1
23 1
23.2

21.3
22 3
22.4
22.7
22.6
23 0
23.1
23.5
24.2
24.4
24 7
25.2

21.6
23.0
22.9
23.9
24.5
24 7
25.8
26.0
26.4
26.6
27.8
27.3

-.1

.3
.3

10.0
10.5
10.6
10.8
10.5
10 5
10.3
10.6
10.6
10.8
11.1
11.3

94.1
97.7
96.6
99.0
99.4
100 0
101.1
104.8
102.7
103.4
106.1
106.4

16.7
16.2
16.7
17.0
17.0
17 0
19.3
17.9
17.3
18.2
18.6
17.6

6.4
5.1

6.0
5.6

6.3

4.7

Total

1935—Dec. (Jan. 1, 1936) . . .
1936—Dec. 30 . .
1937—Dec. 29
1938—Dec. (Jan. 4, 1939). . .
1939—Dec. (Jan. 3, 1940). . .

6.0
12 9
47.5
47.6
80.6

4 0
11.5
13.4
19.4

2.4
10.4
11.5
12.9
20.1

100.9
100.9
104 4
117.8

17.0
16.8
17 4
18.8

125.0
126 3
126.1
129.9
130 5
130 4
133 6
131.8
127 1
129.1
134 6
134.4

18.2
18 5
18.5
18.6
18.6
18 4
19.1
21.7
18.5
18.2
19 1
19.1

1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.

(Jan. 1, 1941). . .
31
31 .
31

1944—N OV . 30
Dec. 31
1945—j a n . 31
Feb. 28 .
Mar. 31
Apr. 30
May 31. . . .
June 30
July 3 1 . . .
Aug. 31
Sept. 30
Oct. 31
r
1
2

Netherlands

Switzerland

United
King- France
dom

From Jan. 2, 1935, through—

— .7

(3)

-.2
-.2
-.1

.3
.3

j

.3
.3

-.1

1
(2)

.3

.3
.4
.4
.4
.4

Other
Total
Europe Europe

Canada

-.9
(3)

.3
2.1
.7
8
9

1.3

7.5

3.9

2.3
4.5
4.5

3.0
2.7
3.2
3 2

1.8
1 8
1 8
1.9
1 9
1 9
1 9
1.9
1 9
2 0
22

3.6

2.2

7.2
7.5
70
4.1
2.3

4.8
4.7
4 4

Revised.
Prior to Jan. 3, 1940, the figures under Asia represent Far East only, the remaining Asiatic countries being included under "All other."
3
Inflow less than $50,000.
Outflow less than $50,000.

MARCH

1946




345

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
SHORT-TERM FOREIGN LIABILITIES AND ASSETS REPORTED BY BANKS IN THE UNITED STATES, BY COUNTRIES
[In millions of dollars]
LIABILITIES
NethUnited
erKing- France
lands
dom

Switzerland

Germany

Italy

Other
Total Can1
Latin
Europe Europe ada America Asia

76.9
205.5
235.7
261.5
436.1

33.9
163.5
176.3
143.9
187.4

12.9
68.6
78.8
89.1
101.8

13.7
86.1
123.5
302.1
218.8

29.9
29.0
32.0
39.0
17.8

18.8
26.1
41.7
25.7
20.4

46.8
232.9
107.5
686.3
126.3
814.3
156.0 1,017.1
255.5 1,237.8

99.3
145.3
186 1
175.6
201.8

122.8
156.3
263 9
280.9
248.5

130.1
188.9
200 2
236.0
274.3

1939—Dec. (Jan. 3, 1940). . .
1940—Dec. (Jan. 1, 1941). . .
1941—Dec 31
1942—Dec 31
1943—Dec. 31

448.2
3,057.0
3,785.2
365.5
3,482.4
400.8
3,987 5
554 6
5,153.7 1,000.8

288.2
490.1
448.6
432.3
439.9

204.9
174.3
174.9
186.6
193.3

376.3
508.4
339.9
184.2
210.6

9.5
6.7
6.6
7.5
6.5

38.5
17.9
15.4
12.1
11.3

516.9 1,882.6
650.6 2,213.5
608.0 1,994.0
643.4 2,020.7
722.1 2,584.5

274.6
434.3
373.2
507 4
812.6

336.0
447.3
417.7
597 7
693.7

491.4 72.5
616.9 73.3
583.9 113.6
712 1 149 6
887.6 175.3

1944— Nov 30
Dec. 31

5,432.0
5,269.4

851.0 449.6
865.7 392.3

206.7
209.7

232.3
239.3

6.7
6.8

24.0
25.3

724.0 2,494.4
767.7 2,506.9

956.6
926.5

899.4
909.3

936.8 144.7
743.8 182.9

Dec. 312
1945—Jan. 31

5,271.4
5,382.8

865.7 401.2
787.8 383.6

209.7
206.6

239.3
237.8

6.8
6.8

27.3
31.0

767.7 2,517.8
703.6 2,357.1

926 5
976.0

909 3
963.3

743 8 174.0
912.4 174.1

Jan 312
Feb. 28
Mar 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept 30
Oct. 31

5,389.7
5,553.1
5,575.7
5,624.0
5,670.4
5,927.3
6,108.5
6,170.8
6,260 6
6,396.8

787.8
838.3
834.2
819.9
832.1
861.8
872.0
824.0
746 2
740.2

419.0
409.8
366.6
338.5
315.1
372.3
399.0
356.7
313.4
360.3

206.6
209.3
208.8
208.8
209.3
213.3
215.8
218.0
220.6
228.1

237.8
245.0
252.5
252.0
258.0
261.2
268.5
273.8
277.7
284.4

6.8
6.8
6.9
7.0
6.7
6.7
6.8
6.9

31.0
33.8
36.0
39.4
42.9
43.9
49.5
53.9
58.5
62.0

703.6
709.8
715.8
739.9
752.7
803.0
839.8
805.4
877.9
862.9

Date

Total

1934—Dec. (Jan. 2, 1935). . .
1935—Dec. (Jan. 1, 1936). . .
1936—Dec. 30
1937—Dec 29
1938—Dec. (Jan. 4, 1939). . .

597.0
1,200.2
1,491.6
1,729.6
1,996.6

•. .

6.9
7.1

2,392.5
2,452.8
2,420.8
2,405.5
2,416.9
2,562.3
2,651.3
2,538.6
2,501 0
2,545.0

976.0
1,070 3
1,129.1
1,164.8
1,161.3
1,267.3
1,349.8
1,449.9
1,492 1
1,551.8

970.2 912.4
976 9 911 7
964.0 917.2
993 5 916 2
1,035.0 915.6
1,076 9 878 4
1,100.7 865.5
1,087.4 942 6
1,110 6 990 4
1,097.7 1,007.7

All
other1
12.0
23.4
27.1
20.0
34.1

138.6
141.4
144.5
144.1
141.6
142.4
141.2
152.5
166 5
194.6

LIABILITIES—SUPPLEMENTARY DATA
Other Europe
Belgium

Denmark

Finland

1939—Dec. (Jan. 3, 1940). . 516.9
1940—Dec. (Jan. 1, 1941). . 650.6
1941—Dec 31
608.0
643 4
1942—Dec. 31
1943—Dec. 31
722.1

159.2
144.8
117.3
121 8
122.9

28.1
17.3
18.1
17 7
13.9

21.4
16.5
5.7
79
7.7

1944—Nov. 30
Dec 31
1945—jan# 3i
Feb. 28.
Mar. 31
Apr. 30
May 3 1 . . .
June 30
July 31
Aug. 31 .
Sept. 30
Oct. 31

124 3
124.3
121.8
123.5
133.7
139.7
147 3
142.1
150.5
149 9
218 6
195.6

13 4
14.8
14.4
14.2
14.4
13.7
13.4
13.7
13.7
14 4
16 8
20.1

71
7.1
7.0
6.6
7.1
7.0
6.8
6.7
6.6
6.7
72

Date

Other
Europe

724 0
767.7
703.6
709.8
715.8
739.9
752 7
803.0
839.8
805 4
877 9
862.9

6.7

Greece* Luxembourg3

Norway

39.3
43.5

18 3
18.4

56 3
48.7
65 2
132.4
158.9

48.7
48.7
48.7
48.6
50.6
52.5
53.7
56.6
60.5
63.2
66.1
68.7

18 5
18.6
18.5
18.6
18.6
18.5
19.1
19.3
22.9
22.9
22 9
22.9

Yugo- All
RuPortugal" mania* Spain* Sweden USSR" slavia8 other

186.6
220.8
185.4
187.2
194.7
199.9
194.0
240.6
236.6
187.1
184.4
182.7

35.7
53.4

9.4
9.3

49.8
54.5
42.0
41.3
35.4
39.4
36.6
40.6
46.4
39.0
45.5
45.2

9 4
9.5
9.4
9.1
9.3
9.3
9.3
9.3
9.3
9.7
9.2
9.2

17.5
31.8

142 2
235.4
210 7
153.5
163.2

14.3
12.3

17.7
9.9

43.3
43.4
38.2
41.1
27.3
31.5
37.6
31.8
36.9
40.4
32.6
24.4

148.0
152.1
148.6
152.3
157.7
158.0
160.2
165.4
183.7
194.3
199.1
213.5

12 9
16.1
12.7
12.9
8.6
12.8
17.5
20.9
22.3
25.7
25 4
24.4

5 8
5.7
5.7
5.7
5.8
5.8
5.6
5.7
5.2
5.1
5 2
5.2

109.8
187.9
191.0
57.9
76.9
56.2
52.1
51.0
48.7
52.8
51.8
51.7
50.3
45.2
46.9
45.0
44.5

Latin America

Date

Latin
BoAmer- Argen- livia* Brazil Chile
tina
ica

1939—Dec. (Jan. 3, 1940)
1940—Dec. (Jan. 1, 1941)
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31

336.0
447.3
417.7
597.7
693.7

1944—Nov. 30
Dec. 31
1945—Jan. 31

899.4 84.6
909.3 93.9
963.3 89.3

Jan. 312
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31

970.2
976.9
964.0
993.5
1,035.0
1,076.9
1,100.7
1,087.4
1,110.6
1,097.7

57.7
115.4
75.7
67.6
69.8

89.3
89.9
73.4
73.1
70.0
73.2
82.5
75.1
78.0
77.2

43.4
67.1

37.0
47.9
62.5
12.4 100.3
12.2 70.4

57.4
55.0
54.4

85.2
83.6
85.0

54.4
53.2
52.1
51.3
54.9
66.8
64.6
64.5
63.2
63.6

85.0
82.8
81.5
77.2
76.6
76.2
82.3
90.2
93.2
83.1

7.0
6.9
7.4
8.1
8.2
7.5
8.0
7.0
6.2
6.6

36.4
36.2
50.5
67.7
98.7

26.8
28.5
27.3
34.5
54.0

18.7 142.7
17.7 140.8
19.9 160.2
19.9
18.9
17.1
18.5
17.7
19.2
17.2
18.0
17.9
17.9

10.8
12.6

160.2
156.9
128.2
133.3
138.8
146.2
164.4
163.0
181.5
179.2

Colombia*

NethFrench
erWest
lands
Other
Costa Cuba Indies Mex- West Pana- Peru* Vene- Latin
and
zuela* AmerRica*
ico Indies ma6
Guiand
ica
ana4
Surinam4

4.9
2.6

58.8
55.0
37.7
95.7
70.4

7.1 131.1
7.4 139.3
7.0 139.1

3.1
4.4
4.6

139.1
136.6
141.2
160.2
169.6
190.4
153.9
156.9
154.5
145.4

4.6
5.1
5.4
5.2
6.3
6.3
8.6
7.3
7.8
7.3

20.7
41.2

34.0
58.7
42.1
36.9
57.6

17.7
17.4

90.7
83.1
99.3

35.8
36.0
35.3

67.7
69.1
69.4

25.8
27.7
29.2

20.9
24.2
29.4
31.5
49.0

99.3
114.2
129.0
140.1
158.4
163.8
177.2
158.7
164.4
164.3

35.3
35.5
34.3
33.7
32.5
29.2
31.5
31.7
32.9
33.6

76.3
78.7
82.5
81.8
83.1
86.2
89.6
87.8
89.1
90.5

29.2
29.7
32.7
33.9
33.9
35.5
35.8
38.8
38.8
42.6

49.0
43.9
49.4
43.2
48.2
41.5
50.2
43.0
44.3
48.5

85.3
105.6
121.8
64.2
95.4
120.0
119.8
121.5
121.5
124.6
129.9
133.8
136.6
134.8
134.9
145.3
138.6
138.1

For footnotes see p. 347.

346



FEDERAL RESERVE BULLETIN

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
SHORT-TERM FOREIGN LIABILITIES AND ASSETS REPORTED BY BANKS IN THE UNITED STATES.
BY COUNTRIES—Continued
[In millions of dollars]
LIABILITIES—SUPPLEMENTARY DATA—Continued
Asia and All Other

Date

1939—Dec.
(Jan.
1940—Dec.
(Jan.
1941—Dec.
1942—Dec.
1943—Dec.

Asia

3, 1940). .
1, 1941). .
31
31
31

India,
BurFrench
ma,
China Indo-1 Hong and
Kong
China
Ceylon1

71.4

491.4 167.0
616.9
'583.9
712.1
887.6

Japan
Egypt
Bri- (incl. Neth- Philand French Union
Koertish
All Aus- New
of
rea) lands ippine Tur- Other other2 tra- Zea- Anglo- Mo- South Other
1
Ma- 1 and
Iskey Asia
Egyp- rocco
East
lia land tian
laya Man- Indies1 lands
Africa
Sudan
churia

207.5
156.8
360.9 ' 27.'4
574.2 27.4

110.3
69.9
"i.'o 4.8 160 A
4.1 110.1
.9
1.2
4.0 113.6
1.3
4.0 110.5

1944—Nov. 30
Dec. 31

936.8 607.2
743.8 427.3

27.4 22.9 39.3
27.4 22.9 22.1

Dec. 313
1945—Jan. 31

743.8 427.3
912.4 573.9

27.4 22.9 22.1
27.4 22.6 20.8

1.3
1.3

4.0
4.0

27.4
27.4
27.4
27.5
27.5
27.5
27.5
27.6
27.6
27.5

1.3
.9
.9
.9
.8
1.0
.9
.9
.9
1.0

162.4
45.6
264.9
30.7
36.8 29.9 36.2
37.9 35.4 55.5

73.3
113.6
149.6 23.1 '4.8 ' "6.'8 " 12." i ' 11.0 '9i.'8
175.3 25.3 5.1
6.1
4.5 124.1
10.3
39.2 20.3 61.7 144.7 40.0 3.6
7.2
5.2 84.2
4.4
40.4 23.', 64.2 182.9 52.9 3.5
7.3
4.3
8.3 106.5

4.0 111.1
3.9 113.5
4.0 116 5
4.0 115.4
4.0 117 6
4.1 111.3
4.3 112.6
3.9 108.8
4.2 99.3
4.2 104.4

Jan. 313.
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31
c
1
2
s

912.4
911.7
917.2
916.2
915.6
878.4
865.5
942.6
990.4
1,007.7

573.9
556.9
554.4
546.9
•541.7
519.6
501.1
578.7
588.5
591.7

22.6
22.8
21.9
21.6
21.9
22.0
21.9
21.7
21.9
21.7

20.8
21.1
21.3
23.5
26.6
23.2
24.1
25.3
28.9
33.2

58.5 72.5

29.1

165.4

91.1
61.6
41.6 13.'i
23.9 18.2

110.5
111.1

40.4 23.7 64.2 174.0 52.9 3.5
40.2 37.1 74.C 174.1 34.2 5.6
40.2
42.8
40.4
43.8
45.2
49.6
52.5
50.4
92.0
89.7

37.1
46.0
50 4
51.6
50.7
51.5
50.8
51.2
50.5
50.5

74.0
76.4
80.1
80.9
79 4
68.6
69.6
74.2
76.7
83.7

138.6
141.4
144.5
144.1
141.6
142.4
141.2
152.5
166.5
194.6

34.2
34.9
34 6
34.5
32 0
30.7
27.8
27.6
28.5
29.0

5.6
4.8
4 1
3.6
3.5
3.3
3.3
4.6
3.1
3.7

7.3
8.4

4.3
4.2

8.3 97.6
8.9 112.8

8.4
8.8
9.0
9.8
9 5
11.0
10.8
13.6
13.6
17.3

4.2
4.1
3 9
4.1
4 3
3.6
4.0
4.7
5.8
7.7

8.9
8.0
7 4
7.1
6 0
6.4
4.7
5.8
8.4
6.4

77.4
80.8
85 5
85.0
86 2
87.4
90.5
96.2
107.1
130.4

Corrected.
Prior to June 30, 1942, included under "Other Asia."
Country breakdown not available until June 30, 1942.
See footnote 2 for main table.

Footnotes to table on p. 346.
1
Prior to Jan. 3, 1940, the figures under Asia represent Far East only, the remaining Asiatic countries being included under "All other."
2
Certain of the figures are not strictly comparable with the corresponding figures for preceding months owing to changes in reporting practice
of various banks. The cumulative figures in Tables 1, 2, and 3 of "Net Capital Movement to the United States" have been adjusted to exclude
the unreal movements introduced by these changes. Figures shown above are adjusted to compare with those of previous months.
3 Prior to June 30. 1942, included under "AH other."
4
Prior to June 30, 1942, included under "Other Latin America."
6
Included "Canal Zone" prior to June 30, 1942.
•
NOTE.—For previous changes or corrections in the reporting practices of reporting banks (similar to those indicated in footnote 2 above),
which occurred on Aug. 12, 1936, Jan. 5, 1938, Oct. 18, 1939, and May 7, 1941, see Banking and Monetary Statistics, pages 578-584. For changes
subsequent to 1941, which occurred on Apr. 1 and June 30, 1942, Sept. 30 and Oct. 31, 1943, and Mar. 31, 1944, see BULLETIN for September
1945, pp. 967-970.

ASSETS
Total

Date

United
King- France
dom

Nether
lands

Switzerland

Germany

Italy

Other
Total
Europe Europe

Canada

Latin
America

Asia1

All
other1

1934—Dec.
1935—Dec.
1936—Dec.
I937—Dec
1938—Dec.

1,139.9
(Jan. 2, 1935)
(Jan. 1, 1936) . . . .
778.6
30
672.6
655 0
29
(Jan. 4, 1939) . . . . 594.0

296.9
88.1
114.1
84 8
86.0

80.5
32.5
16.8
13 5
10.3

18.6
19.0
21.9
23.0
24.2

8.2
6.6
5.4
5.5
5.5

231.7
202.0
165.1
126.1
89.4

27.2
13.5
10.9
20.8
13.5

80.0
71.2
57.8
52.9
45.9

743.2
433.0
392.1
326.5
274.9

96.3
100.9
59.4
118.0
60.4

174.6
154.5
141.1
114.4
99.1

117.4
80.1
67.2
78.9
144.1

8.5
10.1
12.9
17.2
15.5

1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—T3ec.

(Jan. 3, 1940)
(Jan. 1, 1941) . . . .
31
31
31
.

508.7
384.0
367 8
246.7
257.9

39.9
23.0
20.9
12.6
19.9

4.9
4.2
1.8
1.3
1.1

5.7
.9
1.1
.5
.4

5.2
1.5
2.6
1.5
3.0

53.4
39.6
34.4
34.0
33.9

11.8
2.0
1.5
.4
.4

51.4
29.9
26.2
22.3
19.0

172.2
101.0
88.4
72.6
77.6

39.7
36.0
33.6
34.3
37.8

113.3
122.7
148.3
99.7
112.2

174.1
117.8
87.9
35.3
26.3

9.3
6.4
9.7
4.8
3.9

1944—Nov.
Dec.
I945—j an<
Feb.
Mar
Apr.
May
June
July
Aug.
Sept.
Oct.

30
31
31
28
31
30
31
30
31
31
30
31

262.8
329 7
287.3
275.6
286 9
290.8
289.8
375 0
325. 2
r
306.5
r
27O 2
260.0

24.6
25 9
25.8
27.4
23 2
25.4
30.5
27 9
24.8
31.6
24 9
21.5

1.4
1.4

.3
.3

3.3
1.3

8.2
44.4

.3

1.9

.4

8.4

1.5
1 5

.3
.3

.8
.9

.3
.3

8.7
8.7

.9
.8
5.4

.3
.3
.3

8.4
8.9

1.2
1.2

.3
.4

3.6
2.0

1.2
1.0

.6
.6

2.7
3.0

71.9
107.5
72.1
72.9
68.8
70.8
76.2
117.6
113.0
79.1
71.7
69.8

28.0
28.1
31.1
24.8
23.9
23.0
25.6
53.8
45.2
41.5
39.6
32.2

116.8
131.0
131.9
127.3
144.1
145.0
127.9
144.5
109.8
"•116.6
»-120.6
113.6

33.0
51.4
41.5
40.9
41.0
42.6
51.1
49.2
47.7
60.7
30.8
37.3

13.0
11.7
10.6
9.7
9.2

.5
.4
.7

33.9
33.9
33.9
33.9
33.9
33.9
33.9
33.9
33.9
33.9
33.9
33.9

.3
.3

1.5

. . . .

1.4
1.3
1.3

.3
.3

48.2
48.7
9.7

.3
.1

8.1
9.6

9.3
9.0
9.9

9.5
8.5
7.6
7.2

r
1

Revised.
Prior to Jan. 3, 1940, the figures under Asia represent Far East only, the remaining Asiatic countries being included under "All other."
NOTE.—The figures in this table are not fully comparable throughout since certain changes or corrections took place in the reporting practice
of reporting banks on Aug. 12, 1936, and Oct. 18, 1939. (See Banking and Monetary Statistics, Table 161, pp. 589 and 591.) On June 30, 1942,
reporting practice was changed from a weekly to a monthly basis. For further information see BULLETIN for September 1945, pp. 971-974.

MARCH

1946




347

INTERNATIONAL CAPITAL TRANSACTIONS OF THE UNITED STATES—Continued
SHORT-TERM FOREIGN LIABILITIES AND ASSETS REPORTED BY BANKS IN THE UNITED STATES,
BY COUNTRIES—Continued
[In millions of dollars]
ASSETS—SUPPLEMENTARY DATA
Other Europe
Other
Europe

Bel-

Denmark

1939—Dec. (Jan. 3, 1940)
1940—Dec. (Jan. 1, 1941)
1941—Dec. 31
1942—Dec. 31
1943—Dec. 31

51.4
29.9
26.2
22.3
19.0

6.5
1.5
1.1

3.2

1944—Nov. 30.
Dec. 31.
1945—Jan. 31.
Feb. 28.
Mar. 31.
Apr. 30.
May 31.
June 30.
July 31.
Aug. 31.
Sept. 30.
Oct. 31.

8.2
44.4
8.4
8.7
8.7
8.4
8.9
48.2
48.7
9.7
8.1
9.6

Date

s

8
()
00

Finland

Greece1 Luxembourg1

1.4
1.8
1.9
5.6
7.6

.8

()
1.5

PorRutugal1 mania1 Spain

Yugo- All
USSR1 slavia1 other
28.0
24.5
22.1
8.4
5.0
5.0
5.1
5.0
5.1
5.0
5.1
4.9
4.8
4.9
4.9
5.1
5.0

2.4
1.4

1.1
.6
.6
.6
.6
.6
.6
.6
.6
.6
.6
.6
.6
.6

()
8
8
()

Sweden

3.2
3.2

8.7
1.0
.6
.4
.2

.6
.8
.7
.6
.5
.6
.6
.5
.2
.3
.3
.2

.8
1.8
.9
1.2
1.3
.9
1.5
.9
.9
1.4
.9
1.0

.3
.2
.2
.2
.2
.2
.3
.3
.7
1.5
.3
.5

3.6

()

(2)

Norway

35.

.1

Latin America

Date

1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.

Latin
BoAmer- Argen- livia3 Brazil Chile
ica

(Jan. 3, 1940).
(Jan. 1, 1941).
31
31
31

113.3
122.7
148.3
99.7
112.2

16.8
11.9
16.8
6.9
15.3

116.8
131.0
131.9
127.3
144.1
145.0
127.9
144.5
109.8
116.6
120.6
113.6

3.9
3.1
2.8
2.9
5.5
8.7
7.7
8.3
14.1
11.0
12.8
10.8

1944—Nov. 30.
Dec. 31.
1945—Jan. 31.
Feb. 28.
Mar. 31.
Apr. 30.
May 31.
June 30.
July 31.
Aug. 31.
Sept. 30.
Oct. 3 1 . .

3.0
1.8

32.2
33.1
38.0
16.7
18.9

9.7
13.4
14.9
15.3
16.6

1.4
1.8
1.7
1.2
1.3
1.4
1.3
1.2
1.2
1.3
1.1
1.8

24.4
25.3
24.8
23.8
22.7
24.1
25.5
30.6
26.9
24.4
21.7
18.2

8.7
9.0
8.5
8.5
7.8
8.7
8.4
7.0
8.4
6.3
7.5
6.8

Colombia*

NetherFrench
lands
West
Other
West
Costa Cuba Indies
Vene- Latin
3
Indies Pana- Peru* zuela3 AmerMexico
and
Rica
ma4
and
Guiica
Suriana3
nam3

20.7
12.2

10.5
11.7
.3
8.3
20.1

5.9
6.1
7.6
4.8
11.2

14.8
15.5
15.5
13.5
16.0
14.7
15.1
16.8
16.3
17.1
16.7
14.2

33.9
47.4
49.2
50.1
60.9
57.1
39.1
49.7
10.3
14.5
18.3
17.0

8.0
8.6
9.3
8.4
9.1
8.8
8.7
8.9
10.2
8.7
9.0
9.7

1.0
2.1
2.4
2.1
1.1

2.8
1.4

3.9
3.8

37.2
44.4
57.3
14.2
8.7

.5
.2
.7
.4
.4
.4
.4
.4
.7
.9
.3
.3

5.6
5.1
4.1
3.7
4.0
4.9
5.8
5.6
5.5
5.2
5.2
5.7

12.1
11.7
11.8
11.4
13.1
13.0
12.6
12.3
12.4
23.7
24.1
25.4

Asia and All Other'

Date

1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.

(Jan. 3, 1940)
(Jan. 1, 1941)
31
31
31

1944—Nov. 30
Dec. 31
1945—Jan. 31
Feb. 28
Mar. 31
Apr. 30
May 31
June 30
July 31
Aug. 31
Sept. 30
Oct. 31

India,
French Hong Burma,
Indo-5 Kong and
Asia China
China
Ceyl s
174.1
117.8
87.9
35.3
26.3

22.0
23.7
23.5
11.1
1.7

1.9
1.7
3.1
.9
1.0

33.0
51.4
41.5
40.9
41.0
42.6
51.1
49.2
47.7
60.7
30.8
37.3

1.6
1.5
1.7
1.2
1.3
1.3
1.1
1.2
1.0
1.1
1.1
1.2

.9
.9
.9
.9
.9
.9
.9

Japan
Egypt
Bri- (incl. Neth- Philand
Union
Koertish rea) lands ippine Tur Other All 6 Aus- New Anglo- French of
tra- Zea- Egyp- Mo- South Other
Ma-5 and
Is- key5 Asia other lia land
East
tian rocco Africa
laya Man- Indies5 lands
Sudan
churia

2.2
2.0

102.1
55
18.9
.5
.5

1.6
1.7

21.6
26.4
14.0
22.6
19.5
23.0
14.4 1.8 2.0
13.9 3.2 1.8

4.2
22.3
12.4
12.1
11.8
12.1
19.4
16.8
14.5
15.0
8.0
7.2

.5
.5
.5
.5
.5
.5
.5
.5
.5
.5
.5
.5

1.5
1.5
1.4
1.4
1.4
1.4
1.4
1.4
1.4
1.4
1.4
1.4

13.8
13.8
13.9
13.9
13.9
13.9
13.9
13.6
13.9
26.0
13.6
13.0

1.4
1.8
2.0
1.8
1.8
1.9
2.0
2.0
2.2
2.1
2.3
1.6

9.3
6
9.7
4.8 1.0
3.9
.5

8.9 13.0
8.8 11.7
8.6 10.6
9.0 9.7
9.1 9.2
10.5 9.3
11.8 9.0 1.0
12.5 9.9
.9
13.1 9.5 2.1
13.6 8.5 1.0
2.9 7.6
.7
11.4 7.2
.7

1.7
2.4

1.2
.7

11.0

1.0
1.0
L.I
L2
L.I
L.2
L.2
>.4
L.6
L.8
L.6
L.5

9.7
8.3
7.2
6.7
6.7
6.1
6.0
5.2
5.0
4.5
4.1

r
1

Revised.
Prior to June 30, 1942, included under "All other."
2 Less than $50,000.
3
Prior to June 30, 1942, included under "Other Latin America."
* Included "Canal Zone" prior to June 30, 1942.
5
Prior to June 30, 1942, included under "Other Asia."
6
Country breakdown not available until June 30, 1942.

348



FEDERAL RESERVE BULLETIN

CENTRAL BANKS
Assets of issue
department

Assets of banking department

Liabilities of banking department

Bank of England
(Figures in millions of
pounds sterling)

Cash reserves
Other
assets2

Goldi

Coin
260.0

Notes

.2
.6
.6
.8
1.0
.5
.6
.6
.8
.8
1.0
.9
.3
.9
.9
1.9

26.3
38.8
31.6
23.6
58.7
47.1
35.5
46.3
41.1
51.7
25.6
13.3
28.5
26.8
11.6
11.6

1929—Dec. 25.
1930—Dec. 31.
1931—Dec. 30.
1932—Dec. 28.
1933—Dec. 27.
1934—Dec. 26.
1935—Dec. 25.
1936—Dec. 30.
1937—Dec. 29.
1938—Dec. 28.
1939—Dec. 27 .
1940—Dec. 25.
1941—Dec. 31.
1942—Dec. 30.
1943—Dec. 29.
1944—Dec. 27.

145.8
147.6
120.7
119.8
190.7
192.3
200.1
313.7
326.4
326.4
* .2
.2
.2
.2
.2
.2

1945—Feb. 28.
Mar. 28.
Apr. 25.
May 30.
June 27.
July 25.
Aug. 29.
Sept. 26.
Oct. 31.
Nov. 28.
Dec. 26.

.2
.2
.2
.2
.2
.2
.2
.2
.2
.2
.2

1,250.0
1,250.0
1,250.0
s 1,300.0
1,300.0
5
1,350.0
1,350.0
1,350.0
1,350.0
1,350.0

M,400.0

1.7
1.5
1.3
1.2
1.3
.9
.4
.2
.4
.5
.4

1946—Jan. 30.

.2

1,400.0

.5

260.0
275.0
275.0

260.0
260.0
260.0
200.0
220.0
230.0
580.0
5 630.0
s 780.0
5 950.0
5
1,100.0
5 1,250.0

Discounts
and advances

Note
circulation3

Deposits
Bankers'

Securities

Public

Other

Other
liabilities

8.5
17.5
9.2
28.5
4.3
4.0
6.4
3.5
2.5
5.1

84.9
104.7
133.0
120.1
101.4
98.2
94.7
155.6
135.5
90.7
176.1
199.1
267.8
267.9
307.9
317.4

379.6
368.8
364.2
371.2
392.0
405.2
424.5
467.4
505.3
504.7
554.6
616.9
751.7
923.4
1,088.7
1,238.6

71.0
132.4
126.4
102.4
101.2
89.1
72.1
150.6
120.6
101.0
117.3
135.7219.9
223.4
234.3
260.7

8.8
6.6
7.7
8.9
22.2
9.9
12.1
12.1
11.4
15.9
29.7
12.5
11.2
9.0
10.3
5.2

35.8
36.2
40.3
33.8
36.5
36.4
37.1
39.2
36.6
36.8
42.0
51.2
54.1
48.8
60.4
52.3

17.9
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
18.0
17.9
17.9
17.9
17.9
17.9
17.8

33.1
14.5
15.0
30.6
15.1
44.5
24.3
20.3
28.1
22.6
20.3

8.5
18.6
20.1
9.6
3.8
1.8
7.2
3.6
11.2
11.3
8.4

261.1
268.4
269.9
254.3
324.2
263.6
295.3
331.7
288.9
301.6
327.0

1,217.1
1,235.8
1,235.2
1,269.6
1,285.2
1,305.7
1,325.9
1,329.9
1,322.2
1,327.6
1,379.9

207.8
218.9
229.6
212.4
262.3
229.1
238.2
279.1
244.2
250.2
274.5

18.1
8.9
8.5
14.8
12.7
10.3
16.0
5.5
9.2
10.5
5.3

60.5
57.0
50.5
50.7
51.6
53.6
55.0
53.1
57.4
57.7
58.5

18.0
18.1
17.7
17.8
17.9
17.9
18.0
18.1
17.7
17.8
17.8

68.8

5.5

289.6

1,331.4

279.7

11.0

55.9

17.9

22.3
49.0
27.3
18.5
16.8

7.6

Liabilities

Assets

Bank of Canada
(Figures in millions of
Canadian dollars)

1935—Dec. 31..
1936—Dec. 31..
1937—Dec. 31..
1938—Dec. 31. .
1939—Dec. 30. .
1940—Dec. 31..
1941—Dec. 31..
1942—Dec. 31. .
1943—Dec. 31..
1944—Dec. 30..

Gold

Sterling
and United
States
dollars

Dominion and provincial government
securities

Deposits
Other
assets

Shortterm6

Note
circulation1

Other
liabilities8
Chartered
banks

Other

Dominion
government

Other

4.2
9.1
14.9
28.4
64.3
38.4
200.9
.5
.6
172.3

30.9
61.3
82.3
144.6
181.9
448.4
391.8
807.2
787.6
906.9

83.4
99.0
91.6
40.9
49.9
127.3
216.7
209.2
472.8
573.9

8.6
8.2
21.7
5.2
5.5
12.4
33.5
31.3
47.3
34.3

99.7
135.7
165.3
175.3
232.8
359.9
496.0
693.6
874.4
1,036.0

181.6
187.0
196.0
200.6
217.0
217.7
232.0
259.9
340.2
401.7

17.9
18.8
11.1
16.7
46.3
10.9
73.8
51.6
20.5
12.9

19.1
17.8
27.7

7.7
13.4
14.4
9.3
13.3
28.5
35.1
24.0
55.4
209.1

1945—Feb. 28..
Mar. .31..
Apr. 30..
May 3 1 . .
June 30.
July 31.
Aug. 3 1 .
Sept. 29..
Oct. 3 1 .
Nov. 30..
Dec. 31..

170.4
177.1
196.6
177.9
174.4
174.4
176.1
176.1
176.1
159.0
156.8

891.6
926.5
937.7
1,068.3
1,073.8
1,034.7
1,031.5
1,028.9
1,109.4
1,168.1
1,157.3

595.5
608.7
621.7
533.5
559.5
558.3
584.0
591.4
590.6
629.4
688.3

29.0
33.2
49.7
42.0
34.4
56.5
62.3
34.9
39.5
69.5
29.5

1,028.6
1,048.7
1,062.3
1,055.8
1,063.2
1,078.8
1,097.9
1,112.4
1,136.6
1,113.8
1,129.1

397.6
422.0
448.9
464.8
492.0
441.1
444.4
442.9
474.2
495.2
521.2

27.9
18.7
39.5
33.6
43.9
57.5
32.6
39.6
51.0
159.1
153.3

37.2
52.7
50.8
32.4
35.9
37.6
39.7
22.4
32.4
27.4
29.8

195.1
203.4
204.2
235.1
207.1
208.8
239.2
213.9
221.3
230.5
198.5

1946—Jan. 31..

101.8

1,143.8

686.2

33.2

1,088.1

505.9

187.2

34.2

149.6

180.5
179.4
179.8
185.9
225.7

.8
2.1
3.5
3.1
17.9
9.5

6.0

1
Through February 1939, valued at legal parity of 85 shillings a fine ounce; thereafter at market price, which fluctuated until Sept. 6, 1939,
when it was officially set at 168 shillings per fine ounce; the latter rate remained in effect until June 9, 1945, when it was raised to 172 shillings
and three pence.
2
Securities and silver coin held as cover for fiduciary issue, the amount of which is also shown by this figure.
3
Notes issued less amounts held in banking department.
< On Jan. 6, 1939, 200 million pounds sterling of gold (at legal parity) transferred from Bank to Exchange Equalization Account; on Mar. 1,
1939, about 5.5 million pounds (at current price) transferred from Exchange Account to Bank; on July 12, 1939, 20 million pounds transferred from
Exchange Account to Bank; on Sept. 6, 1939, 279 million pounds transferred from Bank to Exchange Account.
s
Fiduciary issue increased by 50 million pounds on June 12, 1940, Apr. 30, Aug. 30, and Dec. 3, 1941, and Apr. 22 and July 28, 1942; by
70 million pounds on Dec. 2, 1942; and by 50 million pounds on Apr. 13, Oct. 6, and Dec. 8, 1943, Mar. 7, Aug. 2, and Dec. 6, 1944, and on
May 8, July 3, and Dec. 10, 1945.
6
Securities maturing in two years or less.
7
Includes notes held by the chartered banks, which constitute an important part of their reserves.
8
Beginning November 1944, includes a certain amount of sterling and United States dollars.
9
On May 1, 1940, gold transferred to Foreign Exchange Control Board in return for short-term Government securities (see BULLETIN for
July 1940, pp. 677-678).
NOTE.—For back figures on Bank of England and Bank of Canada, see Banking and Monetary Statistics, Tables 164 and 166, pp. 638-640
.and pp. 644-645, respectively; for description of statistics see pp. 560-564 in same publication.

MARCH 1946




349

CENTRAL BANKS—Continued
Liabilities

Assets
Bank of France
Foreign
exchange

Gold*

27.
26.
30.
30.
29.
28.
27.
30.
30.
29.
28.
26.
31.
31.
30.
28

1945—Jan. 25.
Feb. 22.
Mar. 29.,
Apr. 26.
May 31.
Aug. 30.
Sept. 27.
Oct. 31.
Nov. 29.
Dec. 27.

25,942
26,179
21,111
4,484
1,158
963
1,328
1,460
911
821
112
42
38
37
37
42

41,668
53,578
68,863
83,017
77,098
82,124
66,296
60,359
58,933
87,265
597,267
5
84,616
84,598
84,598
84,598
75,151
75,151
75,151
75,151
75,151
75,151
75,151
75,151
565,152
65,152
5
129,817

1929—Dec.
1930—Dec.
1931—Dec.
1932—Dec.
1933—Dec.
1934—Dec.
1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.
1944—Dec.

Advances to
Government

Domestic bills

(Figures in
millions of francs)

Open
2
market 2 Special

Other

5,612
5,304
7,157
6,802
6,122
5,837
5,800
5,640
5,580
7,422
11,273
43,194
42,115
43,661
44,699
47,288

For occupation
costs3

Other
assets

8,624
8,429
7,389
3,438
4,739
3,971

42 47,842
42 47,894
44 48,483
44 48,257
45 48,141
46 48,703
46 49,363
47 60,087
45 62,210
68 '23,038

1,379
652
1,797
2,345
661
12
169
29
48
16
9
2

27
153
303

9,712
8,465
10,066
7,880
5,149
3,646
4,517
5,368
7,543
18,592

72,317
142,507
210,965
326,973
426,000

26,360
23,473
16,601
14,967
10,162
12,936
14,242
20,442
26,073
25,548

426,000
426,000
426,000
426,000
426,000
426,000
426,000
426,000
426,000
426,000

Other2

17,698
31,909
20,627
34,673
63,900
69,500
68,250
64,400
15,850
7,700
17,550
20,900
19,750

8,124
9,510
11,275
11,712
11,173
11,500
11,705
12,642
11,733
18,498
20,094
23,179
22,121
21,749
21,420
6
35,221
6
45,435
6
37,903
6
42,093
6
43,634
6
35,403
6

41,666
H2.717
646,152
«45,859
639,122

Deposits
Note
circulation
Govern- C.A.R.4
ment
68,571
76,436
85,725
85,028
82,613
83,412
81,150
89,342
93,837
110,935
151,322
218,383
270,144
382,774
500,386
572,510

,737
,624
898
,311
322
,718
,862
,089
,461
061
,914
984
,517
770
578
748

562,416
568,900
580.123
580,944
548,945
469,652
496,258
528,945
545,795
570,006

3,196
778
775
756
774
80,246
53,598
30,793
21,708
12,048

Reichsbank
(Figures in millions of
reichsmarks)

Reserves of gold and
foreign exchange
Total
reserves

31.
31.
31.
31.
30.
31.
31.
31.
31.
31.
30.
31.
31.
31.
31.

2,687
2,685
1,156
920
396
84
88
72
76
76
78
78
77
76
77

1944_Mar. 31.
Apr. 29.
M a y 31.
June 30.
July 31
Aug. 31.
Sept. 30
Oct. 31
Nov. 30.
Dec. 30.

77
77
77
77
77
77
77
77
77
77

1945—Jan. 31.
Feb. 28.

77
77

1929—Dec.
1930—Dec.
1931—Dec.
1932—Dec.
1933—Dec.
1934—Dec.
1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.

Gold
2,283
2,216
984
806
386
79
82
66
71
71
71
71
71
71
71

71

Bills (and
checks),
including
Treasury
bills

7,850
11,698
22,183
20,072
13,414
15,359
8,716
13,655
19,326
25,595
14,751
27,202
25,272
29,935
33,137
37,855

1,812
2,241
1,989
2,041
1,940
1,907
2,113
2,557
3,160
2,718
925
3,586
3,894
4,461
4,872
7,078

50,382
43,697
39,951
42,302
57,231
50,005
53,156
52,552
53,447
57,755

41,400
64,580
16,857
10,724

Assets

Other

Other
liabilities

4,852
4,797
5,075
4,950
7,701
4,600
4,506
5,617
4,540
4,087

Liabilities
Securities

Security
loans

Eligible
as note
cover

Other

Other
assets

Note
circulation

Deposits

Other
liabilities

656
638
1,065
1,114
735
827
853
765
861
1,621
2,498
2,066
2,311
1,664
2,337

5,044
4,778
4,776
3,560
3,645
3,901
4,285
4,980
5,493
8,223
11,798
14,033
19,325
24,375
33,683

755
652
755
540
640
984
1,032
1,012
1,059
1,527
2,018
2,561
3,649
5,292
8,186

736
822
1,338
1,313
836
1,001
923
953
970
,091
,378
,396
,493
,680
,980

2,848
2,572
4,242
2,806
3,226
4,066
4,552
5,510
6,131
8,244
11,392
15,419
21 656
29,283
41,342

251
256
245
176
183
146
84
74
60
45
30
38
32
25
27

259
445
349
221
106
557
804
32
107
87
1

92
102
161
398
322
319
315
303
286
298
393
357
283
210
65

40,379
40,909
42,159
42,150
43,222
45,829
50,821
53,954
56,939
63,497

46
38
28
26
38
42
47
46
62
112

1
1
1
1
1
1
67
70
69
1

33
31
23
27
21
20
25
24
21
45

2,281
2,525
2,096
2,397
2,396
2,275
2,510
2,351
2,795
2,351

33,792
34,569
35,229
35,920
36,888
38,579
42,301
44,704
46,870
50,102

7,237
7,179
7,240
6,754
6,813
7,480
9,088
9,603
10,829
13,535

,788
,833
,915
2,004
2,054
2,185
2,160
2.216
2,264
2,445

64,625
70,699

199
307

81
112

60
61

2,083
2,591

51,207
55,519

13,566
16,419

2,353
1,909

1
Gold revalued on Dec. 26, 1945, on basis of 134,027.90 francs per fine kilogram.
For details on previous devaluations see BULLETIN for
May 2 1940, pp. 4®6-407; January 1939, p. 29; September 1937, p. 853; and November 1936, pp. 878-880.
For explanation of this item, see BULLETIN for July 1940, p. 732.
3
By a series of Conventions between the Bank of France and the Treasury, dated from Aug. 25, 1940, through July 20, 1944, advances of
441,000 million francs were authorized to meet the costs of the German army of occupation.
4
Central Administration of the Reichskreditkassen.
5
In each of the weeks ending Apr. 20 and Aug. 3, 1939, 5,000 million francs of gold transferred from Exchange Stabilization Fund to Bank
of France; in week ending Mar. 7, 1940, 30,000 million, in week ending Oct. 11, 1945, 10,000 million, and in week ending Dec. 27, 1945, 53,000
million francs of gold transferred from Bank of France to Stabilization Fund.
6
Includes 9,447 million francs charged to the State to reimourse the Bank for the gold turned over by it to the National Bank of Belgium
on Dec. 22, 1944.
7
Forty billion francs of gold increment resulting from revaluation used to cancel an equal amount of Treasury bonds.
8
Gold not shown separately in weekly Reichsbank statement after June 15, 1939.
NOTE.—For back figures on Bank of France and Reichsbank, see Banking and Monetary Statistics, Tables 165 and 167, pp. 641-643 and
pp. 645-647, respectively; for description of statistics see pp. 562-565 in same publication.

350



FEDERAL RESERVE BULLETIN

CENTRAL BANKS—Continued
Central Bank
(Figures as of last report
date of month)
Central Bank of the Argentine
Republic (millions of pesos):
Gold reported separately
Other gold and foreign exchange
Government securities
Rediscounted paper
Other assets
Note circulation
Deposits—Member bank
Government
Other
Certificates of participation in
Government securities
Other liabilities
C o m m o1n w e a l t h Bank of Australia (thousands of pounds):
Gold and foreign exchange
Checks and bills of other banks. .
Securities (inch Government and
Treasury bills)
Other assets
Note circulation
Deposits of Trading Banks:
Special
Other
Other liabilities
National Bank of Belgium
(millions of francs):
Gold*
Foreign exchange
Loans to Government
Other loans and discounts
Claim against Bank of Issue... .
Other assets
Note circulation
Demand deposits
Blocked Treasury account2
Notes and blocked accounts 4 ....
Other liabilities
Central Bank of Bolivia (millions
of bolivianos):
Gold at home and abroad
,
Foreign exchange
Loans and discounts
Securities—Government
Other
Other a,ssets
Note circulation
Deposits
Other liabilities
National Bank of Bulgaria 6
Central Bank of Chile (millions
of pesos):
Gold
Discounts for member banks...
Loans to Government
Other loans and discounts
Other assets
Note circulation
Deposits—Bank
Other
Other liabilities
Bank of the Republic of Colombia
(thousands of pesos):
Gold
Foreign exchange
Loans and discounts
Government loans and securities.
Other assets
Note circulation
Deposits
Other liabilities
National Bank of Czechoslovakia
in Prague 7 (millions of koruny):
Gold
Foreign exchange
Loans and discounts
Other assets

1945
Jan.

Dec.

Nov.

Jan.

Central Bank
(Figures as of last report
date of month)

1945

1946
Jan.

Dec.

Nov.

Jan.

National Bank of Czechoslovakia
in Prague—Continued
C
Note circulation—Old
2,192 C 2,841 35,647
1,242
New
24,233 17,847
2,483
Deposits
93,411 99,501 17,079
873
Other liabilities
10,627 12,880 13,600
166
150 National Bank of Denmark
(millions of kroner):
2,722
2,317
97
Gold
97
1,719
83
1,410
Foreign exchange
22
110
88
516
525
Clearing accounts (net)
121 2,946 2,847
199
191
32
Loans and discounts
41
75
101
Securities
88
73
180
126
Govt. compensation account 8 . . .
85
65
7,611
229
179
Other assets
147 4,979 4,491
Note circulation
1,610
1,421
1,561
Deposits—Government
2,737 2,829 2,543
177,460 176,712 177,783
Other
3,634 3,618 3,037
1,063
1,863
1,610
485
443
Other liabilities
280
Central Bank of Ecuador
419,092 426,160 410,568
(thousands of sucres):
13,731
(Oct.)
15,813 13,
Gold
190,464
288,843 288,639
193,714 199
Foreign exchange (net)
118,365 160,439
Loans and discounts
131,895 117,607
230,689
236,780 233,
Other assets
90,598 85,695
27,074
32,865 32,
Note circulation
337,865 304 ,625
155,719
150,617 150
Demand deposits
263,650 300 ,570
Other liabilities
28,187 47,184
9
383 31,166 32,094 National Bank of Egypt (thousands of pounds) :
4,820
688
915
Gold
6,241
6,241
270 44,686 30,416
Foreign exchange
18,063 15,659
1,095 2,442
769
Loans and discounts
6,083 6,144
597 64,597 64,589
British, Egyptian, and other
1,283 2,183
342
Government securities
299,913 265,124
376 66,761 44,329
Other assets
27,596 22,738
3,237 3,535
444
Note circulation
142,232 117,078
493 314,493 10,493
Deposits—Government
64,722 69,868
589 62,029 73,279
Other
135,914 115,540
1,127
147
1,003
Other liabilities
15,028 13,421
Central Reserve Bank of El Salva(Oct.)'
dor (thousands of colones):
768
600
Gold
33,008 33,027 33,222
550
414
Foreign exchange
37,382 36,252 31,306
372
289
1,086
Loans and discounts
1,789
2,113
630
626
Government debt and securities.
6,337 6,452 6,007
42
41
Other assets
1,327
1,892
1,725
234
78
Note circulation
46,022 44,607 46,737
1,459
,256
Deposits
27,655 27,796 19,556
1,008
701
Other liabilities
7,008 6,654
6,887
129
91
6
Bank of Finland
Bank of Greece 6
6
National Bank of Hungary
340
287
277 Reserve Bank of India (millions of
rupees):
447
384
321
Issue department:
701
706
710
Gold at home and abroad. .
444
444
605
444
597
979
Sterling securities
,738
9,293
11,053 10,693
1,664 1,205
Indian Govt. securities
,892
578
578
578
2,612
2,516
Rupee coin
416
126
170
146
489
456
Note circulation
198
12,109 11,764 10,340
184
208
Banking department:
325
352
313
Notes of issue department..
102
122
113
Balances abroad
3,746
5,641
5,623
Treasury bills discounted. .
23
8
82
221,
164,928
201
Loans to Government
2
4
87,
114,965
Other assets
222
276
352
25,
26,348
Deposits
5,934 5,814 3,832
65, 549
66,202
Other liabilities
262
234
240
28,235
30,
Central Bank of Ireland (thousands
166,737
204,
of pounds):
145,440
174,
Gold
2,646
2,646 2,646
2,646
88,501
51,
Sterling funds
34,918 36,287 34,809 29,147
Note circulation
37,564 38,933 37,455 31,793
6
,51
1,517
1,517 Bank of Japan
6
869
813
786 Bank of Java
1,227
3,300
871

,520
1,160 3,938
,557 129,579 60,085

c Corrected.
1
Beginning Aug. 27, 1945, figures published in the balance sheet of the Commonwealth Bank cover central banking operations only, while
previously these statements included the operations of the General Banking Division.
2
Gold revalued provisionally at 49.318 francs per gram. The resulting increment is held for the account of the Treasury and is shown on
the liabilities side under "Blocked Treasury account."
3
In addition to the gold increment includes notes not presented for exchange and forfeited to the State.
* Includes current accounts transferred and to be transferred to blocked accounts and old notes not declared.
5
Latest month available.
6
For last available report from the central bank of Bulgaria (January 1943), see BULLETIN for July 1943, p. 697; of Finland (August 1943),
see BULLETIN for April 1944, p. 405; of Greece (March 1941) and Japan (September 1941), see BULLETIN for March 1942, p. 281; of Hungary
(November 1944), see BULLETIN for January 1946, p. 99; and of Java (January 1942), see BULLETIN for March 1943, p. 278.
7
First statement available since liberation is that for July 31. Until May 1945, known as the National Bank of Bohemia and Moravia.
8
In December 1945, State-guaranteed German assets, formerly included in "Clearing accounts" and "Other assets," were transferred to
Government compensation account.
9
Items for issue and banking departments consolidated.

MARCH

1946




351

CENTRAL BANKS—Continued
Central Bank
(Figures as of last report
date of month)
Bank of Mexico (millions of pesos):
Metallic reserve1
"Authorized" holdings of securities, etc
Bills and discounts
Other assets
Note circulation
Demand liabilities
Other liabilities
Netherlands Bank (millions o
guilders):
Gold2
Silver (including subsidiary coin)
Foreign bills
Discounts
Loans
Other assets
Note circulation—Old
News
Deposits—Government
Blocked
Other
Other liabilities
Reserve Bank of New Zealand
(thousands of pounds):
Gold
Sterling exchange reserve
Advances to State or State undertakings
Investments
Other assets
Note circulation
Demand deposits
Other liabilities
Bank of Norway4
Bank of Paraguay—Monetary
Dept. 5 (thousands of guaranies):
Gold
Foreign exchange
. . . .
Loans and discounts
Government loans and securities.
Other assets
Note circulation
Demand deposits
Other liabilities
Central Reserve Bank of Peru
(thousands of soles):
Gold and foreign exchange
Discounts
Government loans
Other assets
Note circulation
Deposits
Other liabilities
Bank of Portugal (millions of escudos):7
Gold
Other reserves (net)
Nonreserve exchange
Loans and discounts
Government debt
Other assets
..
Note circulation
Other sight liabilities
Other liabilities
National Bank of R u m a n i a 4
South African Reserve Bank 8
(thousands of pounds):
Gold
Foreign bills
Other bills and loans
Other assets
Note circulation ..
. . .
Deposits
Other liabilities
Bank of Spain (millions of pesetas):
Gold
. .
...
Silver
Government loans and securities.
Other loans and discounts... .
Other assets

1945

1946

Jan.

E ec.

Nov

Jan

746
1 ,94
39
78
1 618
1 ,367
179

,539
167
119
397

1,

386
,493
489

4

809

,881

37 S04

4 ,951
1 003
46 91S
73
4 713

3,323
25,671
3,009
10,142
475
26,011
14,731
1 878

,53:

147
117
440
1 011

93
4

,540
206

148
10?
5 189

,596
519
46 5

368
483

82

1 ,549
403
4
1 334
1 ,096
17

713

71
4

60

105

489

387
246

? 80?
74 ,177

7 80?
42 ,784

30 865
5 799

77 901

9?1

11 ,737
1 678

4 9 79S
67 153
4 616

39 770
43 19?
3 891

3
22
4
10
1
26
14
1

3 ,323
28 471
4 841
10 145
404
27 121
18 503
1 560

332
886
832
727
068
312
786
747

159 487 121 882
037 18 881
033 450 175
649 7? 879
483 881 414 407
756 457 70 899
9Q
568

36 868

78 511

(Aug.)6
1 419

6 383
9 670

1 414

5 649
9 194

98?

760

020
76?
7 717
10 884
885

020
78?
7 415
10 059
844

1

1

14 4S7 00 649
043 42, 679 24 356
8 594
3, 747
604
737 106, 835 98 238
879 66 7S4 56 474
593 96 05 5 69 641

10 9 0 9

59
3
01
67

?09
4 899

5, 409

5 7?0

188
597
15, 892
4, 244
79?

166
609
15, 959
3, 506
1 ,717

1,

1,

Central Bank
(Figures as of last report
date of month)

1945

1946

Ja n .

Dec.

Nov.

Jan.

Bank of Spain—Continued
Note circulation . . . .
265
17 94
Deposits—Government
2 ,033
2 ,89
Other
3 ,164
9 79
Other liabilities
S8
494
Bank of Sweden (millions of kronor)
1 06
1 04
1 052
Gold. . . .
Foreign assets (net)
7S
553
81
Swedish Govt. securities and advances to National Debt Office
1 ,500 1 ,43
1 ,339Other domestic bills and advance
32
42
4
1 170
1 ,153
Other assets
19
Note circulation
2 ,782
2 ,546
2 ,377
1 ,048
Demand deposits—Government
53483
199
Other
492
82
739
Other liabilities
737
78
Swiss National Bank (millions of
francs):
4 757
70S
4 777
Gold
577
Foreign exchange
'165
95
185
125
Loans and discounts .
183
145
104
MQ8
89
110
Other assets
81
84
7, 615
3 835
Note circulation
79S
409
1 ,110
1 ,093
1 ,241
Other sight liabilities
1 ,261
Other liabilities
306
28S
296
298
Central Bank of t h e Republic of
Turkey (thousands of pounds):
300 9 9 6 9 9 4 6 9 9 9 76 3 8 2
Gold
Foreign exchange and foreign
59 ,206 55 869 74 ,489clearings
743 049 776 073 836 ,401
Loans and discounts.. . .
7? 9 9 6 68 378 14 282
Securities
77 191 97 9 6 0 9 5 607
Other assets
..
88? 475 894 375 941 58?
Note circulation
91 871 8S 586 85 5 8 6
Deposits—Gold
139 953 137 853 185 694
Other
Other liabilities
..
89 100 204 4S8 74 300
Bank of t h e Republic of Uruguay
(thousands of pesos):
Issue department:
(Oct.)6
Gold and silver. . .
122,751 22 751
Note circulation
158,063 51 771
Banking department:
Gold and silver
186,825 33 241
Notes and coin
23 X4K 29 270
Advances to State and to
9 944 18 088
government bodies....
95 014 91 589
Other loans and discounts. .
95 549
Other assets
90
87 620 63 025
Deposits
48
04 711
Other liabilities
Central Bank of Venezuela (thousands of bolivares):
47, 582 17 093 16, 903 9 8 7S1
Gold10
3 5 , 963 64 658 37, 672 04 751
Foreign exchange (net)
10 157 14, 310 70 310
Credits to national banks. . . .
17, 794 11 9 3 4 IS 409 9 9 0 3 0
Other assets
Note circulation—Central Bank. 75, 936 75, 379 40, 338 98, 328
9 813 10, 36S 16 643
National banks 9
0 9 144 11 131
771 SO S78
Deposits
7, 821 10, 292
Other liabilities
7, 037
6 , 820
National Bank 4of t h e Kingdom
of Yugoslavia
Bank for International Settlements 1 1 (thousands of Swiss gold
francs):
18, 285 18, 285 14, 039Gold in bars
Cash on hand and on current
account with banks
41 , 669 41 9Q9 44 913Sight funds at interest
10, 888
9, 806 12, 8ia
Rediscountable bills and acceptances (at cost)
81, 790 82, 328 77, 361
750
8 856
Time funds at interest
9, 7S0
98 935 9 9 760 9 9 331
Sundry bills and investments. . .
93
98
140
Other assets
Demand deposits (gold)
16, 942 16, 956 1 9 , 5 6 0
Short-term deposits (various
currencies):
Central banks for own account
3, 670 3, 178
6, 599
1 49 S 9 0?1
Other
9 178
Long-term deposits: Special ac7 9 , 001 ? 9 , 001 79, 001
counts
0 3 , 301 0 3 , 204 0 0 , 12a
Other liabilities

r

Revised.
Includes gold, silver, and foreign exchange forming required reserve (25 per cent) against notes and other demand liabilities.
Gold revalued in July 1945 from 2,098 to-2,970 guilders per fine kilogram.
Notes issued before October 1945 were gradually withdrawn from circulation and deposited in "blocked" accounts in accordance with the
currency reform decrees effected between June and October 1945.
4
For last available reports from the central banks of Norway (March 1940) and Yugoslavia (February 1941), see BULLETIN for March 1942,
p. 282; and of Rumania (June 1944), see BULLETIN for March 1945, p. 286.
5
The Bank of the Republic of Paraguay was reorganized in September 1944 under the name of Bank of Paraguay. The new institution is
divided into a Monetary, a Banking, and a Mortgage Department. The first official balance sheet of the Monetary Department, which assumes
central banking functions, was issued for the end of December 1944.
6
7
Latest month available.
Valued at average cost beginning October 1940.
8
9
Beginning July 1945, end-of-month statements have been available.
Includes small amount of non-Government bonds.
10
Beginning October 1944, a certain amount of gold, formerly reported nin the Bank's account, shown separately for account of the
Government.
See BULLETIN for December 1936, p. 1025.
1
2
3

352



FEDERAL RESERVE BULLETIN.

MONEY RATES IN FOREIGN COUNTRIES
DISCOUNT RATES OF CENTRAL BANKS
[Per cent per annum]
Central bank of—
Date
effective

United
Ger- Bel- Neth Swe- Switz
erKing- France many gium erlands den land
dom

Rate
Feb.
28

Central
bank of—

Central
bank of—

Date
effective

Rate
Feb.
28

Date
effective

2Y2

VA

2Y2

Italy
Japan....
Java
Latvia. . .
Lithuania

Nov. 28, 1935
Dec. 1, 1940
Feb. 8, 1944
Dec. 16, 1936
July 18, 1933
Oct. 28, 1945

Mexico
Netherlands .
New Zealand.
Norway
Peru
Portugal

June
June
July
Jan.
Aug.
Jan.

4,
27,
26.
8,
1,
12,

1942
1941
1941
1946
1940
1944

Jan. 15, 1946
M a y 26, 1938
Mar. 30, 1939
Oct. 1, 1935
Dec. 3, 1934

Rumania
South Africa.
Spain
Sweden
Switzerland..

May
June
Dec.
Feb.
Nov.

8,
2,
1,
9,
26,

1944
1941
1938
1945
1936

France
Germany
Greece
Hungary
Ireland

2V2

Mar. 21, 1940
Mar. 1, 1936
Jan. 16, 1945
Nov. 8, 1940

3
British India. .
5
Bulgaria
Canada
1^
Chile
3-4>
Colombia
4
Czechoslovakia

1V2

Albania
Argentina
Belgium
Bolivia

Denmark
Ecuador
El Salvador. . .
Estonia
Finland

In effect Dec. 31,
1936
Jan. 28, 1937...
June 15
July 7
Aug. 4
Sept. 3
Nov. 13
May 10, 1938...
May 13
May 30
Sept. 28
Oct. 27
Nov. 25
Jan. 4,1939...
Apr. 17
May 11
July 6
Aug. 24
Aug. 29
Sept. 28
Oct. 26
Dec. 15
Jan. 25, 1940...
Apr. 9
May 17
Mar. 17, 1941...
TVtay 29
June 27
Jan. 16,1945...
J a n . 20
Feb. 9
In effect Feb. 28,
1946

Jan. 20,
Apr. 9,
Feb. 11,
Oct. 22,
Nov. 23,

Turkey
United Kingdom
U. S. S. R . . . .
Yugoslavia. .

July

1945
1940
1945
1940
1943

4
3.29
3
5
6

Sept. 11, 1944
Apr. 7, 1936
Jan. 14, 1937
Feb. 17, 1940
July 15, 1939

1, 1938

Oct. 26, 1939
July 1, 1936
Feb. 1, 1935

NOTE.—Changes since Jan. 31: None.

2Y2

OPEN-MARKET RATES
[Per cent per annum]
United Kingdom
Month

Bankers'
acceptances
3 months

Treasury
bills
3 months

Day-today
money

1929—Dec.
1930—Dec.
1931—Dec.
1932—Dec.
1933—Dec.
1934—Dec.
1935—Dec.
1936—Dec.
1937—Dec.
1938—Dec.
1939—Dec.
1940—Dec.
1941—Dec.
1942—Dec.
1943—Dec.
1944—Dec.

4.76
2.30
5.85
1.02
1.06
.57
.71
.83
.75
.96
1.23
1.03
1.03
1.03
1.03
1.03

4.75
2.34
5.60
1.04
1.15
.47
.68
.84
.75
.93
1.24
1.01
1.01
1.01
1.01
1.00

1945—Jan..
Feb..
Mar.
Apr..
May

1.03
1.03
1.03
1.03
1.03
1.03
1.03
1.03
1.03
.83
.53
.53

.01
.00
.00
.01
.00
1.00
1.00
1.00
1.00
.75
.51
.50

June

July.
Aug.
Sept.
Oct..
Nov.
Dec.

Germany

Netherlands

Private
discount
rate-

Day-today
money

Private
discount
rate

Money
for
1 month

4.23
1.60
4.27
.81
.77
.70
.75
.78
.75
.80
1.03
1.00
1.03
1.00
1.00
1.02

6.98
4.82
7.33
3.88
3.88
3.50
3.00
3.00

8.14
5.54
8.45
4.91
4.97

3.52
1.39
1.57
.37
.52
.60
3.20
.76
.13
.13
2.25
2.25

.87
.86
.59
.00
.00
.00
.08
.48
.50
.50
.75

1.00
1.00
1.00
1.00
1.03
1.13
1.13
1.13
1.13
.96

2.13
2.13
2.13

.63
.63

Bankers'
allowance
on deposits

2.13
2.13
2.13

2.96
2.86
2.39
1.95
1.98
1.96
1.92

Sweden

Switzerland

Loans
up to 3
months

Private
discount
rate
3.15
18
75
50
50
50
50
25
1.00
1.00
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25
1.25

NOTE.—For monthly figures on money rates in these and other foreign countries through 1941, see Banking and Monetary Statistics, Table
172, pp. 656-661, and for description of statistics see pp. 571-572 in same publication.

MARCH 1946




353

COMMERCIAL BANKS
United Kingdom

(11 London clearing
banks. Figures in
millions of pounds
sterling)

Liabilities

Assets

1

Cash
reserves

Money at
call and Bills dis- Treasury Securities Loans to
deposit
counted receipts 2
short
notice

Deposits

Other
assets

Total

Demand

Time

Other
liabilities

1938—December.
1939—December.
1940—December.
1941—December.
1942—December.
1943—December.
1944—December.

243
274
324
366
390
422
500

160
174
159
141
142
151
199

250
334
265
171
198
133
147

314
758
896
,307
,667

635
609
771
999
1,120
,154
,165

971
1,015
924
823
794
761
772

263
290
293
324
325
349
347

2,254
2,441
2,800
3,329
3,629
4,032
4,545

1,256
1,398
1,770
2,168
2,429
2,712
3,045

997
1,043
1,030
1,161
1,200
1,319
1,500

269
256
250
253
236
245
250

1945—January. . .
February. .
March
April
May
June
,
July
August... .
September
October. . .
November
December.

460
455
464
472
482
494
500
511
518
513
496
536

198
188
180
180
196
195
198
233
226
201
229
252

159
140
149
109
120
135
181
195
215
189
296
369

,663
,639
,681
,821
,882
,939
,994
,993
,971
,925
,703
,523

,165
,160
,153
,140
,126
,128
,123
,126
,146
,178
,201
1,234

765
769
780
749
757
774
767
769
771
799
809
827

301
305
299
300
297
331
300
292
299
308
318
374

4,462
4,405
4,459
4,525
4,617
4,752
4,819
4,875
4,898
4,859
4,789
4,850

2,968
2,904
2,944
2,994
3,064
3,147
3,205
3,236
3,266
3,277
3,254
3,262

1,495
1,501
1,516
1,530
1,553
1,605
1,613
1,638
1,632
1,582
1,535
1,588

248
250
246
245
243
243
244
244
247
254
263
265

Assets
Canada
(10 chartered banks.
End of month figures
in millions of
Canadian dollars)

Liabilities

Security
loans
abroad
and net Securities
Other
due from
loans and foreign
discounts banks

Entirely in Canada
Cash
reserves

Security
loans

Other
assets

Note
circulation

Deposits payable in Canada
excluding interbank deposits
Other
liabilities
Total

Demand

Time

1938—December.
1939—December.
1940—December.
1941—December.
1942—December.
1943—December.
1944—December.

263
292
323
356
387
471
550

65
53
40
32
31
48
92

940
1,088
1,108
1,169
1,168
1,156
1,211

166
132
159
168
231
250
214

1,463
1,646
1,531
1,759
2,293
2,940
3,611

535
612
570
653
657
744
782

85
80
71
60
42
34

2,500
2,774
2,805
3,105
3,657
4,395
5,137

840
1,033
1,163
1,436
1,984
2,447
2,714

1,660
1,741
1,641
1,669
1,673
1,948
2,423

843
963
846
962
1,049
1,172
1,289

1945—January..
February.
March. . . .
April
May
June
July
August...
September
October. .
November
December.

567
539
544
598
622
622
591
581
582
640
646
694

95
80
78
82
125
123
135
112
109
130
239
251

1,156
1,125
1,094
1,047
1,299
1,142
1,079
1,021
1,002
1,009
1,372
1,274

244
254
219
269
251
248
237
242
237
242
229
283

3,571
3,624
3,606
3,799

731
717
708
750
775
766
769
789
750
812
888
779

32
31
31
30
29
29
28
28
27
27
26
26

5,049
5,021
4,938
5,210
5,616
5,540
5,269
5,229
5,269
5,573
6,013
5,941

2,525
2,390
2,214
2,475
3,053
2,894
2,528
2,396
2,331
2,582
3,197
3,076

2,524
2,631
2,725
2,735
2,563
2,646

1,283
1,287
1,280
1,306
1,312
1,326
1,316
1,324
1,344
1,392
1,350
1,386

Assets

France
(4 large banks. End
of month figures in
millions of francs)

3,885
996
802
835
3; 960
4,159
4,015
4,038

Cash
reserves

Due from
banks

Bills discounted

741
2,833
2,935
2,992
2,816
2,865

Liabilities

Loans

Deposits

Other
assets
Total

Demand

Time

Own
acceptances

Other
liabilities

1938—December.
1939—December.
1940—December.
1941—December.
1942—December.

3,756
4,599
6,418
6,589
7,810

4,060
3,765
3,863
3,476
3,458

21,435
29,546
46,546
61,897
73,917

7,592
7,546
8,346
8,280
10,625

1,940
2,440
2,229
2,033
2,622

33,578
42,443
62,032
76,675
91,549

33,042
41,872
61,270
75,764
91,225

537
571
762
912
324

721
844
558
413
462

4,484
4,609
4,813
5,187
6,422

1943—October. .
November
December.

7,133
7,203
8,548

3,877
3,960
4,095

88,289
86,754
90,897

14,215
14,361
14,191

2,448
2,653
2,935

108,368
107,200
112,732

107,100
105,811
111,191

1,268
1,390
1,541

411
404
428

7,182
7,326
7,506

1944—January. .
February.
March. . .
April
May
June
July
August...

7,510

4,125
4,116
4,010
4,000
4,056
4,039
3,970
3,933

90,024
91,847
92,648
95,337
96,443
96,245
101,529
100,287

13,737
13,936
16,481
16,568
16,666
16,584
16,758
17,731

1,676
1,618
1,775
1,853
2,014
2,087
2,261
2,522

110,485
112,846
115,558
118,370
120,312
122,149
127,704
127,160

108,883
111,164
113,696
116,449
118,307
120,102
125,493
124,627

1,601
1,682
1,862
1,922
2,005
2,048
2,212
2,533

419
412
404
382
413
403
368
435

6,168
6,035
6,366
6,505
6,546
6,780
7,000
7,054

7,776

7,414
7,499
8,092
10,377
10,555
10,175

x
# Through August 1939, averages of weekly figures; beginning September 1939, end-of-month figures, representing aggregates of figures reported
by individual banks for days, varying from bank to bank, toward the end of the month.
2
Represent six-month loans to the Treasury at \y% per cent through Oct. 20, 1945, and at Y% per cent thereafter.
NOTE.—For back figures and figures on German commercial banks, see Banking and Monetary Statistics, Table 168, pp. 648-655, and for
description of statistics see pp. 566-571 in same publication.

354



FEDERAL RESERVE BULLETIN

FOREIGN EXCHANGE RATES
[Averages of certified noon buying rates in New York for cable transfers.
Australia
(pound)

Argentina
(peso)
Year or month
Official
1937
1938
1939 . .
1940
1941
1942
1943
1944
1945

Special
Export

32 959
32 597
30.850
29 773
29.773
29.773
29.773
29.773
29.773

223.704
23.704
24.732
25.125
25.125

Dec

29.773
29.773
29.773
29.773
29.773
29.773
29.773
29.773
29.773
29.773
29.773

25.125
25.125
25.125
25.125
24.125
25.125
25.125
25.125
25.125
25.125
25.125

1946—Jan

29.773

Official

25.125

.

.

1945—Feb
Mar
Apr
May

June
Tuly

Aug
Sept
Oct
Nov.

Year or month

2

322.80
322.80
322.80
322.80
322.80
2
322.80
322.80
322.80
322.80
322.80
322.80

Free

Belgium
(franc)

Brazil
(cruzeiro1)
Official

Free

8.6437
5.8438
6.0027
6.0562
6.0575
6.0584
6.0586
6.0594
2
321'.17 22'. 2860 6.0602

5.1803
5.1802
5.1802
5.1802
5.1802
5.1802
5.1802
5.1802
5.1802
5.1802
5.1802

British BulIndia garia
(rupee) (lev)

393.94
389.55
353.38
305.16
321.27
321.50
2321.50

321.35
320.87
320.70
321.31
321.41
321.41

3.3752
3.3788
3.3704
23.3760

Official

Free

32.2883
2.2879
2.2857
2.2839

6.1983 37.326 1.2846
100.004
36.592 1 2424
99.419
33.279 21.2111
96.018
30.155
290.909 85.141
90.909 87.345
30.137
90.909 88.379
30.122
90.909 89.978
30.122
90.909 89.853
30.122
90.909 90.485
30.122
30.122
30.122
30.122
30.122
30.122
30.122
30.122
30.122
30.122
30.122
30.122

90.909
90.909
90.909
90.909
90.909
90.909
90.909
90.909
90.909
90.909
90.909

321.41 2.2840 6.0602 5.1802 30.122

2.1811 4.0460
2 . 1 J 6 7 2.8781
1.9948 2.5103
1.8710 22.0827
22.0101

40.204
40.164
40.061
40.021
2
39.968

.9055
.8958
.8153
2.6715

30.694
30.457
27.454
22.958
224.592

Chile
(peso)
Official

China
(yuan
ShangExport hai)

5.1697
5.1716
5.1727
5.1668
25.1664

24.OOOO 29.606
4.0000 21.360
4.0000 11.879
4.0000
6.000
2
2
4.0000
5.313

90.553
90.295
90.506
90.753
90.828
90.736
90.475
89.908
90.358
90.736
90.725

90.909 90.712

GerFinColom- Czecho- Denmany Greece Hong Hunland
gary
bia
slovakia mark (mark- France (reichs- (drach- Kong
(franc)
(dollar) (pengo)
ma)
(peso) (koruna) (krone)
mark)
ka)
22.069
21.825
20.346
219.308

Canada
(dollar)

5.1248
5.0214
5.0705
5.1427
5.1280
5.1469
5.1802

6.0602
6.0602
6.0602
6.0602
6.0602
6.0602
6.0602
6.0602
6.0602
6.0602
6.0602

In cents per unit of foreign currency

19.779
19.727
19.238
18.475
219.770

Italy
(lira)

Japan
(yen)

5.2607
5.2605
5.1959
5.0407
25.0703

28.791
28.451
25.963
23.436
223.439

NethNew
Mex- erlands Zeaico
(guild- land
(peso)
er)
(pound)

1937
1938
1939
1940
1941
1942
1943
1944
1945

56.726
55.953
57.061
57.085
57.004
57 052
57.265
57 272
57.014

1 9711

27.750
22.122
19.303
18.546
20.538
20 569
20.577
20 581
20.581

1945—Feb
Mar
Apr

57 140
57.036
56 980
56 980
56.980
56 980
56 980
56.980
56 980
56.980
56 980

2 0189
2.0189
2.0189
2 0186
1.7822

20 582
324.42
20.582
324.42
20 582
324.42
20.582
324.42
324.42
20.582
322.69
20.582
322.16
20 581
321.99
20.578
322.60
20.57-8
20.578 437.933 322.70
20.579 37.933 322.70

56.980

.8410

20.580 37.933 322.70

May

June
July

Aufif
Sept..
Oct

Nov
Dec
1946—jan#

m

Year or month

3.4930
3.4674
23.4252

2

Straits Swe- SwitzSouth
Norway Poland Portu- Ruma- Africa Spain Settle- den
erland
nia
gal
(krone) (zloty) (escudo) (leu) (pound) (peseta) ments (krona) (franc)
(dollar)

United
Kingdom
(pound)

Official
1937
1938
1939
1940
1941
1942
1943
1944
1945

24.840
24.566
23.226
222.709

18.923
18.860
218.835

4.4792
4.4267
4.0375
3.7110
2
4.0023

.7294
. 7325
.7111
2.6896

Dec

1946—J an

400.50

Feb
Mar

June

July

Sept
Oct

Nov.

396.91
392.35
354.82
306.38
322.54
322.78
324.20
324.42
2
37.933 323.46

Uruguay
(peso)
Controlled

Noncontrolled

489.62 6.053 57.973 25.487 22.938
494.40 79.072
484.16 5.600 56.917 25.197 22.871
488.94 64.370
440.17 10.630 51.736 23.991 22.525
443.54 62.011 236^789
397.99 9.322 46.979 223.802 22.676 2403.50 383.00 65.830 37.601
398.00 29.130 247.133 23.829 223.210 403.50 403.18 65.830 43.380
46.919
398.00
403.50 2403.50 65.830 52.723
403.50 403.50 65.830 52.855
398.00
65.830 53.506
403 50
398.00
399.05
2403.50 2403.02 65.830 55.159
398.00
398.00
398.00
398.00
398.00
398.30
400.50
400.50
400.50
400.50
400.50

1945

Free

55.045
55.009
53.335
253.128

403.50
403.50
403.50
403.50
403.50

402.95
402.69
402.49
403.24
403.38
403.37

65.830
65.830
65.830
65.830
65.830
65.830
65.830
65.830
65.830
65.830
65.830

Yugoslavia
(dinar)

2.3060
2.3115
2.2716
2.2463
22.2397

54.197
54.197
54.253
54.265
54.265
55.489
56.125
56.175
56.282
56.290
56.290

403.38 65.830 56.290

1
2
3
4

Prior to Nov. 1, 1942, the official designation of the Brazilian currency unit was the "milreis."
Average of daily rates for that part of the year during which quotations were certified.
Based on quotations beginning Sept. 24.
Based on quotations beginning Nov. 2.
NOTE.—For back figures, see Banking and Monetary Statistics, Table 173, pp. 662-682. For description of statistics see pp. 572-573 in same
publication, and for further information concerning developments affecting the averages during 1942 and 1943 see BULLETIN for February 1943,
p. 201, and February 1944, p. 209.

MARCH

1946




355

PRICE MOVEMENTS IN PRINCIPAL COUNTRIES
WHOLESALE PRICES—ALL COMMODITIES
[Index numbers]
United
States
(1926 =
100)

Year or month

1926

100
65
66
75
80
81
86
79
77
79
87
99
103

67
67
72
72
75
85
79
75
83
90
96
100

103
103

104
106

695

103
103
103
103
103

221
221
221
221
221
222
222
223
222
220

3 88

167
167
168
168
168

106
106
106
105
106

103
104
103
103
103

170
171
171
170
169

107
107

1946—January

100
102
114
111
115
146
172
189
196
196

96
91
90
90
96
111
107
111
143
184
210
218
223

161
180
178
186
198
238
251
278
311
329

70
63
62
68
76
89
95
99
116
132

166
169

105
105
105
106
106

1945—January
February
IVIarch.
April
IVIay
June
July
August
September
October
November
December

901

144

i 92
i 90
i 96

Netherlands
(1926-30
= 100)

237

97
93
98
102
104
106
106
107
110
112
114
116

2

U26

65
63
63
62
64
76
72
74

Japan

(1928 =
100)

134

427
398
376
338
411
581
653
707

106

197
196
194
191
191

124

Switzerland
(July 1914,
= 100)

(October
1900 =
100)

Italy

Germany
(1913 =
100)

86
86
88
89
94
109
101
103
137
153
159
163

100

1932
1933
1934
1935
1936
1937
1938
1939
1940
1941
1942
1943
1944
1945

1

France
(1913 =
100)

Sweden
(1935 =
100)

195
195
196
196
196

United
Kingdom
(1930 =
100)

Canada
(1926 =
100)

219
214

'191

169
169

103
103

221

172

107

r Revised.
Approximate figure, derived from old index (1913 =100).
Average based on figures for 5 months; no data available since May 1940, when figure was 919.
Average based on figures for 5 months; no data available since May 1940, when figure was 89.
Sources.—See BULLETIN for January 1941, p. 84; April 1937, p. 372; March 1937, p. 276; and October 1935, p. 678.

1
2
3

WHOLESALE PRICES—GROUPS OF COMMODITIES
[Indexes for groups included in total index above]

Year or month

Raw and Fully and
chiefly
partly
manumanufactured factured
goods
goods

Foods

Industrial
products

70
73
73
74
81
78
75
82
89
92
93
94

88
83
85
87
92
102
97
97
133
146
158
160
158

85
87
90
90
96
112
104
106
138
156
160
164
170

Farm
products

Foods

Other
commodities

Farm
products

100

100

100

100

100

100

48

61

70

48

55

70

51
65
79
81
86
69
65
68
82
106
123
123

61
71
84
82
86
74
70
71
S3
100
107
105

71
78
78
80
85
82
81
83
89
96
97
99

51
59
64
69
87
74
64
67
71
83
96
103

57
64
66
71
84
73
67
75
82
90
99
104

1926
1932
1933
1934
1935
1936 ..
1937
1938
1939
1940
1941
1942
1943
1944
1945

100

105

105

94

158

104
105
105
105
105
106

104
105
105
105
105
106

94
94
94
94
94
94

156
157
156
156
156
160

150

107
106
105
106
108

100
100
100
100
100

108
106
104
106
106
106

107
106
105
105
105
105

94
94
94
94
94
94

161
161
158
158
158

118

87
96
102
105
105
106
108
111
112
US
119

88
91
92
94
96
94
95
99
100
102
102

113
116

119-

121
125
126
126
1291
133;
134
135

175

158

89

176
176
175
175
175

158

130

91

173
173
174
174
175
175

180

132

1946—January

IndusIndusAgricul- trial raw trial finand semi- ished
tural
products finished products
products

175

99
99
99
99
99
100

129
127
124
127
131

May

June

c
Corrected.
Sources.—See

106

105
105
105
106
107
108

128

July
August
September
October
November
December

( 1913=100

129

126
127
127
129
130
130

1945—January
February
March
April

Germany

United K i n g d o m
(1930=100)

Canada
(1926=100]

United States
(1926=100)

130

c

109

101

107

101

B U L L E T I N for M a y 1942, p . 4 5 1 ; M a r c h 1935, p . 180; a n d M a r c h 1931, p . 159.

356



FEDERAL RESERVE

BULLETIN

PRICE MOVEMENTS IN PRINCIPAL COUNTRIES—Continued
COST OF LIVING
[Index numbers]

RETAIL FOOD PRICES
[Index numbers]

Year or
month

SwitzUnited
United
CanKingGerNether- erland
States
ada
dom
many
lands
(1935-39 (1935-39 (July (1913-14 (1911-13 (June
= 100)
= 100)
= 100)
= 100) 1914
1914
= 100)
= 100)

1934 .
1935
1936 . .
1937
1938...
1939
1940...
1941
1942 .
1943
1944
1945
1945-January
February
March. . . .
April
May

June

July
August....
September.
October.. .
November.
December.
1946-January...

94
100

93
95

95
97
106
124
138

118
120

124
118

98
103
104

101
105
98

122
125
130
139
141

122
122
122

120
127
130

101
106
116
127
131

141
164
168
161
166

136
139

131
133

168
170

137
137

130
131

168
168

136
137

131
131

123
128
129
132
134

168
168

139
141
142
141
139
139

132
133
136
136
134
133
134
134

169
169

141

P133

96
98

169

96
96

141
143

121
123

99
103
101

115 1934
114 1935
120 1936
130 1937
130 1938
132 1939
146 1940
175 1941
200 1942
211 1943
215 1944
215 1945

98
101
102

147
154
156

125
125
126

129
128

140
136
132

130
137
137
138
151

137
139

140
148

102
106
112
117
118

158
184
199
200
199

126
128

119
119

201
203

208
209

127
127

119
119

202
202

119
119

128
129
129
129
129
129

119
120
120
121
120
120

202
202

203
204
207
205
203
203

129
130

120
120

203
203

209
209
209
209
210
210
211
210
210
208
207
207

130

P120

203

127
127

1946-January...

126
130
133
137
139

1

99
100
105
117
124

216 1945-January...
216
March. . . .
216
April
216
216
May
217
June
217
July
216
August
September.
216
October .
213
November
210
December
210

168
170
176
172
169
169

140
141

130
2140

SwitzUnited
Nether- erGerKingCanUnited
land
lands
dom
many
ada
States
(1935-39 (1935-39 (July (1913-14 (1911-13 (June
1914
= 100)
= 100)
= 100)
= 100)
1914
= 100)
= 100)

Year or
month

3

174
193
203

^Preliminary.
1
Revised index from March 1936 (see BULLETIN for April 1937, p. 373).
2
Average based on figures for 3 months; no data available since March 1940, when figure was 141.
3
Average based on figures for 5 months; no data available since May 1940, when figure was 149.
Sources.—See BULLETIN for May 1942, p. 451; October 1939, p. 943; and April 1937, p. 373.
SECURITY PRICES
[Index numbers except as otherwise specified]
Common stocks

Bonds
Year or month

Number of issues. .

United
States
(derived
price)1

15

(1926 = 100)
United
Kingdom
France
Germany
(December (1938=100)2 (average
1921 =100)
price)3

87

50

1939
1940
1941.
1942
1943
1944
1945

113.8
115.9
117.8
118.3
120.3
120.9
122.1

112.3
118.3
123.8
127.3
127.8
127.5
128.3

114.2
6114.2
9 143.4
146.4
146.6
150.5
P152.1

1945—January. . . .
February...
March
April
May
June
July
August
September. .
October
November. .
December...

121.6
121.9
122.7
122.9
122.3
122.1
122.3
121.7
121.6
121.9
122.0
121.9

128.5
128.7
128.7
129.3
128.1
127.8
128.3
128.3
128.2
128.5
127.8
127.5

153.8
154.2
154.4
153.1
153.8
151.9
151.1
150.6
150.9
150.2
150.3
P151.2

1946—January....

123.8

3 139
99.0
100.7
103.0
6
103.3

Netherlands 4

United
States
(1935-39
= 100)

8

402

90.9
777.9
84.3
94.7
98.5

Nether-

United
Kingdom

Germany

278

«

94.2
88.1
80.0
69.4
91.9
99.8
121.5

75.9
70.8
72.5
75.3
84.5
88.6
92.4

108.4
113.0
111.8
114.4
118.2
120.7
118.4
117.9
126.1
132.0
136.9
139.7

91.0
90.6
91.1
92.0
92.8
92.8
93.7
91.4
92.0
93.2
94.5
94.2

94.1
114.6
136.8
142.1
145.0

France
lands
(1938 = 100)2 (1930 = 100)

2

295

112
6
140
»308
479
540
551
P450

100

89.7
895.0
129.0
131.5
151.0

512
505
498
469
414
386
360
421
477
467
441

144.8

Preliminary.
1
Figures represent calculated prices of a 4 per cent 20-year bond offering a yield equal to the monthly average yield for 15 high-grade corporate bonds. Source.—Standard and Poor's Corporation; for compilations of back figures on prices of both bonds and common stocks in the
United States see Banking and Monetary Statistics, Table 130, p. 475, and Table 133, p. 479.
2
Published by the Ministry of National Economy with new base of 1938 =100. Figures are for the last Friday of each month. The number
of bonds included in the new index was increased to 50 (formerly 36). The index for stocks was based on 300 issues until Dec. 6, 1945, and on 295
thereafter as a result of the nationalization of five banks. For complete information on the composition of the bond and stock indexes see "Bulletin
de la Statistique Generale" December 1942, pp. 511-513, and July-August 1942, pp. 364-371, respectively. For back figures for both indexes
from 3 1938 through 1941 on a monthly basis see "Bulletin de la Statistique Generale" for October-December 1944, pp. 274-276.
Since Apr. 1, 1935, the 139 bonds included in the calculation of the average price have all borne interest at 4}% per cent. The series prior
to that date is not comparable to the present series, principally because the 169 bonds then included in the calculation bore interest at 6 per cent.
4 Indexes of reciprocals of average yields. For old index, 1929-1936, 1929 = 100; average yield in base year was 4.57 per cent. For new index
beginning January 1937, Jan.-Mar. 1937 =100; average yield in base period was 3.39 per cent.
6
This number, originally 329, has declined as the number of securities eligible for the index has diminished. In May 1941 it was down to"287.
6
Average based on figures for 5 months; no data available June-Dec. 7 Average based on figures for 7 months; no data available May-Sept.
8
Average based on figures for 9 months; no data available May-July.
• Average based on figures for 10 months; no data available Jan.-Feb.
Sources.—See BULLETIN for November 1937, p. 1172; July 1937, p. 698; April 1937, p. 373; June 1935, p. 394; and February 1932, p. 121.

MARCH 1946




357

BOARD OF GOVERNORS
OF THE FEDERAL RESERVE SYSTEM
MARRINER S. ECCLES, Chairman

M. S. SZYMCZAK
JOHN K. MCKEE
ELLIOTT THURSTON,
CHESTER MORRILL,

RONALD RANSOM, Vice Chairman
ERNEST G. DRAPER
R. M. EVANS

Assistant to the Chairman

Special Adviser to the Board of Governors

OFFICE OF THE SECRETARY
S. R. CARPENTER, Secretary
BRAY HAMMOND, Assistant Secretary

DIVISION OF BANK OPERATIONS
EDWARD L. SMEAD, Director
J. R. VAN FOSSEN, Assistant Director
J. E. HORBETT, Assistant Director

LEGAL DIVISION
DIVISION OF SECURITY LOANS
GEORGE B. VEST, General Counsel
CARL E. PARRY, Director
J. LEONARD TOWNSEND, Assistant General Counsel BONNAR BROWN, Assistant Director
DIVISION OF PERSONNEL ADMINISTRATION
ROBERT F. LEONARD, Director
DIVISION OF RESEARCH AND STATISTICS
WOODLIEF THOMAS, Director
DIVISION OF ADMINISTRATIVE SERVICES
CHANDLER MORSE, Assistant Director
LISTON P. BETHEA, Director
FRED A. NELSON, Assistant Director
DIVISION OF EXAMINATIONS
LEO H. PAULGER, Director

C. E. CAGLE, Assistant Director

FEDERAL
OPEN MARKET COMMITTEE
S. ECCLES, Chairman
SPROUL, Vice Chairman

MARRINER
ALLAN

OFFICE OF ADMINISTRATOR FOR WAR LOANS
EDWARD L. SMEAD, Administrator
GARDNER L. BOOTHE, II, Assistant Administrator

FEDERAL
ADVISORY COUNCIL
CHAS. E. SPENCER, JR.,

BOSTON DISTRICT

Vice President
JOHN C. TRAPHAGEN,

N E W YORK DISTRICT

DAVID E. WILLIAMS,

PHILADELPHIA DISTRICT

JOHN H. MCCOY,

CLEVELAND DISTRICT

A. L. M. WIGGINS,

RICHMOND DISTRICT

RONALD RANSOM

ROBERT STRICKLAND,

ATLANTA DISTRICT

M. S. SZYMCZAK

EDWARD E. BROWN,

CHICAGO DISTRICT

IRA CLERK
ERNEST G. DRAPER
R. M. EVANS
HUGH LEACH
JOHN K. MCKEE
W. S. MCLARIN, JR.

C. S. YOUNG

Secretary
S. R. CARPENTER, Assistant Secretary
GEORGE B. VEST, General Counsel
J. LEONARD TOWNSEND, Assistant General Counsel
WOODLIEF THOMAS, Economist
E. A. KINCAID, Associate Economist
JOHN K. LANGUM, Associate Economist
EARLE L. RAUBER, Associate Economist
O. P. WHEELER, Associate Economist
JOHN H. WILLIAMS, Associate Economist
ROBERT G. ROUSE, Manager of System Open Market
Account
CHESTER MORRILL,

358



President
JAMES H. PENICK,

ST. LOUIS DISTRICT

JULIAN B. BAIRD,

MINNEAPOLIS DISTRICT

A. E. BRADSHAW,

KANSAS CITY DISTRICT

ED H . WINTON,

DALLAS DISTRICT

RENO ODLIN,

SAN FRANCISCO DISTRICT

WALTER LICHTENSTEIN, Secretary
HERBERT

V. PROCHNOW, Acting Secretary

FEDERAL RESERVE BULLETIN

CHAIRMEN, DEPUTY CHAIRMEN, AND SENIOR OFFICERS OF FEDERAL RESERVE BANKS
Federal Reserve Chairman1
Bank of
Deputy Chairman

President
First Vice President

Boston....

Laurence F. Whittemore
William Willett
Allan Sproul
L. R. Rounds

New York.

Albert M. Creighton
Henry I. Harriman
Beardsley Ruml
William I. Myers

Vice Presidents
E. G. Hult
J. C. Hunter2

Carl B. Pitman
O. A. Schlaikjer

E. O. Douglas
J. W. Jones
H. H. Kimball
L. W. Knoke
Walter S. Logan
A. Phelan

H. V. Roelse
Robert G. Rouse
John H. Williams
V. Willis
R. B. Wiltse

Philadelphia. .

Alfred H. Williams
Thomas B. McCabe
W. J. Davis
Warren F. Whittier

E. C. Hill
Wm. G. McCreedy

C. A. Mcllhenny 2
Philip M. Poorman
C. A. Sienkiewicz

Cleveland. . . .

George C. Brainard
Reynold E. Klages

Ray M. Gidney
Wm. H. Fletcher

W. D. Fulton
J. W. Kossin 3
A. H. Laning

B. J. Lazar
Martin Morrison
W. F. Taylor

Richmond. . . .

Robert Lassiter
W. G. Wysor

Hugh Leach
J. S. Walden, Jr.

Claude L. Guthrie3
E. A. Kincaid
R. W. Mercer

C. B. Strathy
Edw. A. Wayne

Atlanta. . .

Frank H. Neely
J. F. Porter
Simeon E. Leland
W. W. Waymack

W. S. McLarin, Jr.
Malcolm H. Bryan
C. S. Young
Charles B. Dunn

V. K. Bowman
L. M. Clark

H. F. Conniff
S. P. Schuessler

Allan M. Black2
Neil B. Dawes
J. H. Dillard
E. C. Harris

John K. Langum
O. J. Netterstrom
A. L. Olson
Alfred T. Sihler

St. Louis......

Russell L. Dearmont
Douglas W. Brooks

Chester C. Davis
F. Guy Hitt

Minneapolis. .

Roger B. Shepard
W. D. Cochran

J. N. Peyton
O. S. Powell

Kansas City. ,

H. G. Leedy
Robert B. Caldwell
Henry 0. Koppang
Robert L. Mehornay

Dallas

J. R. Part en
R. B. Anderson

R. R. Gilbert
W. D. Gentry

E. B. Austin3
R. B. Coleman
H. R. DeMoss

John Phillips, Jr.
G. H. Pipkin
D. W. Woolley3
W. E. Eagle
W. H. Holloway
L. G. Pondrom

San Francisco.

Henry F. Grady
Harry R. Wellman

Ira Clerk
C. E. Earhart

J. M. Leisner3
H. N. Mangels

H. F. Slade
W. F. Volberg

Chicago

Wm. E. Peterson
O. M. Attebery
William B. Pollard
A. F. Bailey
Henry H. Edmiston C. A. Schacht
C. M. Stewart
E. W. Swranson
H. G. McConneli
Sigurd Ueland
A. W. Mills2
Otis R. Preston
Harry I. Ziemer
O. P. Cordill
L. H. Earhart
C. O. Hardy

OFFICERS IN CHARGE OF BRANCHES OF FEDERAL RESERVE BANKS
Federal Reserve
Bank of
New York

Buffalo

Federal Reserve
Bank of

Chief Officer

Branch

I. B. Smith*

Minneapolis. . . . Helena
Kansas City. . . . Denver
Oklahoma City
Omaha

Cincinnati
Pittsburgh

B. J. Lazar
J. W. Kossin5

Richmond

Baltimore
Charlotte

W. R. Milford4
W. T. Clements*

Atlanta

Birmingham
Jacksonville
Nashville
New Orleans

P. L. T. Beavers*
Geo. S. Vardeman, Jr.*
Joel B. Fort, Jr.*
E. P. Paris4

Chicago

Detroit

E. C. Harris5

St. Louis

Little Rock
Louisville
Memphis

A. F. Bailev6 6
C. A. Schacht
William B. Pollard5

Also Federal Reserve Agent.

MARCH

1946




R. E. Towle*
G. H. Pipkin5
0. P. Cordill5 5
L. H. Earhart

5

Cleveland

1

Chief Officer

Branch

2

Cashier.

3

W. E. Eagle5 8
L. G. Pondrom
W. H. Holloway*

El Paso
Houston
San Antonio

Dallas

W. N. Ambrose*
D. L. Davis*
W. L. Partner4
C. R. Shaw*

San Francisco.. . Los Angeles
Portland
Salt Lake City
Seattle

Also Cashier.

4

Managing Director.

5

Vice President.

359

FEDERAL RESERVE SYSTEM
BOUNDARIES OF FEDERAL RESERVE DISTRICTS
AND THEIR BRANCH TERRITORIES

3
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====

BOUNDARIES OF FEDERAL RESERVE DISTRICTS
BOUNDARIES OF FEDERAL RESERVE BRANCH TERRITORIES

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BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM

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FEDERAL RESERVE BANK CITIES

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FEDERAL RESERVE BRANCH CITIES

OCTOBER I. 1945
VE SYSTEM,

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