Full text of Federal Reserve Bulletin : May 1919
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FEDERAL RESERVE
BULLETIN
ISSUED BY THE
FEDERAL RESERVE BOARD
AT WASHINGTON
MAY, 1919
WASHINGTON
GOVERNMENT PRINTING OFFICE
1919
FEDERAL RESERVE BOARD.
EX OFPICIO MEMBERS.
CARTER GLASS,
Secretary of the Treasury, Chairman.
JOHN SKELTON WILLIAMS,
W. P. G. HARDING, Governor.
ALBERT STRAUSS, Vice Governor.
ADOLPH 0. MILLER.
CHARLES S. HAMLIN.
Comptroller of the Currency.
J. A. BRODERICK, Secretary.
GEORGE L. HARRISON, General Counsel.
W. T. CHAPMAN, Assistant Secretary.
W. M. IMLAY, Fiscal Agent.
II. PARKER WILLIS,
M. JACOBSON, Statistician.
F. I. KENT,
Director, Division of Analysis and Research.
Director, Division of Foreign Exchange.
OFFICERS OF FEDERAL RESERVE BANES.
Federal Reserve Bank
of—
Chairman.
Deputy governor.
Governor.
Boston
Frederic H. Curtiss... Chas. A. Morse..
New York.
Pierre Jay
Benj. Strong, jr.
Philadelphia
Cleveland
i R. L. Austin.
: I). C. Wills...
E. P. Passmore.
E. 11. Fancher.
Richmond
i Cald well Hard y
George J. Seay.
Atlanta
Chicago
j Joseph A. McCord....j M. B. Wellborn. .
! Wm. A. lleath
j J. B. McDoiigal..
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
! Win. McO. Martin
j John IT. Rich
Asa E. Ramsay
Wm. F. Ramsey
I John Perrin
IXC. Biggs
Theodore Wold...
J . Z . Miller, j r . . .
R. L. Van Zandt.
J. U. Calkins
i Assistant to governor.
('ashler.
Chas. E. Spencer, jr.. C. C. Bullen.
0. C. Biillen
R. H. Treman
L. II. llendricks.
J. IL Case
L. F. Sailer
J. F. Curtis
W. A. Dyer.
Wm. II. Hutt, jr
H. G. Davis.
M. J. Fleming x
l
Frank J. Zurlinden .
Geo. H. Keesee.
C. A. Peple
R. II. Broaddufl
M. W. Bell.
L. C. Adelson
S. B. Cramer.
C. R. McKay
1
0. G, McCIoud ....
J. W. White.
0. M. Attebery
8. S. Cook.
R. A. Young
x
C. A. Worthington . J. W. Helm. 2
Lynn P. Tallev.
Lynn i \ Talley
Ira Clerk.
\Vm. A. Dav 3 I
2 Acting cashier.
s Assistant deputy governor.
MANAGERS OF BRANCHES OF FEDERAL RESERVE BANKS.
Federal Reserve Bank of—
Manager.
New York:
Buffalo branch
Hay M. Gidney.
Cleveland:
Cincinnati branch
Pittsburgh branch
L. W. Manning.
Geo. De Camp.
Richmond:
Baltimore branch
Morton M. Prentis.
Atlanta:
New Orleans branch
Jacksonville branch
Birmingham branch
Marcus Walker.
Geo. R. De Saussure.
A. E, Walker.
Chicago:
Detroit branch
R. B. Locke.
Federal Reserve Bank of—
.Manager.
St. Louis:
Louisville branch
Memphis branch
Little Rock branch.
W. P. Kincheloe.
J. J. Heilin.
A. F. Bailey.
Kansas City:
Omaha branch
Denver branch
0. T. Eastman.
C. A. Burkhardt.
Dallas:
El Paso branch
Sam Ft. Lawder.
San Francisco:
Salt Lake Citv branch..
Seattle branch
Spokane branch
Portland branch
C. IT. Stewart.
0. J. Shepherd.
C. A. McLean.
C. L. Lamping.
SUBSCRIPTION PRICE OF BULLETIN.
The Federal Reserve Bulletin is distributed without charge to member banks of
the system and to the officers and directors of Federal Reserve Banks. In sending
the Bulletin to others the Board feels that a subscription should be required. It has
accordingly fixed a subscription price of §2 per annum. Single copies will be sold at
20 cents. Foreign postage should be added when it will be required. Remittances
should be made to the Federal Reserve Board. Member banks desiring to have the
Bulletin supplied to their officers and directors may have it sent to not less than 10
names at a subscription price of $1 per annum.
No complete sets of the Bulletin for 1915, 1916, or 1917 are available.
TABLE OF CONTENTS.
Page.
Review of the month
Business and financial conditions during April
Special reports by Federal Reserve agents
National bank deposits and holdings of ¥nited States securities and war paper
Rates of interest in the New York market
War operations of the German Reichsbank
Central banking in Belgium during the period of German occupation
Regulation F relating to trust powers of national banks
Acceptance liabilities of member banks
Loans on security of Liberty bonds
Victory Liberty loan circular issued by the Treasury Department
Condition of national banks
Practice of handling bills of exchange in foreign countries
Comparative statement showing principal assets and liabilities of leading banks of issue
Commercial failures reported
State banks and trust companies admitted to the system during the month
Charters issued to national banks during the month
Foreign branches of national banks
Banks granted authority to accept up to 100 per cent of capital and surplus.Fiduciary powers granted to national banks
Rulings of the Federal Reserve Board
Division of Foreign Exchange
Law Department
Bank transactions during March-April
Wholesale prices in various countries
Wholesale prices in the United States
Discount and interest rates prevailing in various cities
Physical volume of trade
Discount and open market operations of the Federal Reserve Banks
Resources and liabilities of the Federal Reserve Banks
Federal Reserve note account of Federal Reserve Banks and agents
Member bank condition statement
-.
Imports and exports of gold and silver
Estimated stock of money in the United States
Discount rates in effect
Operation of the Federal Reserve clearing system
Foreign exchange rates
Abstract of condition of State member banks
:
IV
407
416
420
428
429
430
435
438
440
441
442
446
447
463
464
465
465
466
466
466
467
469
471
473
476
479
482
484
492
498
502
505
509
510
510
511
512
513
FEDERAL RESERVE BULLETIN
VOL.
5
MAY 1, 1919.
No. 5
Amounts of Treasury certificates issued in
anticipation of—Continued.
Victory loan, due—Continued.
As announced in the last issue of the FEDERAL
Aug. 12
$542,197,000
RESERVE BULLETIN, the fifth
Sept. 9
646,025,000
Progress with &
t o r victory loan,
Oct. 7
591,308,000
J
the Victory loan.
. .
;
REVIEW OF THE MONTH.
consisting of 84,500,000,000 of
notes, has been offered to the public for general
subscriptions, the campaign beginning on April
21 and to end on May 10. The initial response
in all parts of the country bore out the expectation already expressed that the new notes
would make a wide appeal both to those
who regarded it as a patriotic duty to subscribe and to those who recognized the unusual investment value of the new securities.
The fact that the issue of notes was about
25 per cent smaller than had been expected
had the effect of encouraging subscriptions, the
amount offered constituting a far smaller burden on the market than would the larger issue
which was first suggested.
With the proceeds of the Victory Liberty
loan in hand, the Treasury
Conditioner D
.
^
t
m
fc
u
L
Treasury.
meet maturing certificates ol
indebtedness placed in the hands of the banks
prior to the actual offering of the notes. In
the following table is furnished a statement of
the certificates now outstanding, with dates of
maturity, as well as of the dates and amounts of
the installments payable on the Victory loan
and of the dates and probable amounts payable
on income-tax account:
Amounts of Treasury certificates issued in
anticipation of—
Victory loan, due—
May 20
$572,494,000
June 3
751,684,500
June 17
600,101,500
Julyl
687,381,500
July 15
620,578,500
July 29
532,381,500
Total
5,544,151,500
June, 1919, tax payments, due June 16.
729, 897,000
Installment payments on account of
Victory loan due on or prior to—
May 10
July 15
Aug. 12
Sept. 9
Oct. 7
Nov. 11
450, 000, 000
450,000,000
900,000,000
900, 000, 000
900, 000, 000
900, 000, 000
Total
4, 500, 000, 000
Installment payments on account of
income and excess profits taxes due
(amounts estimated)—
Juno 15
1,000,000,000
Sept. 15
1,000,000,000
Dec. 15
1, 000, 000, 000
From this it will be seen that practically
the entire incoming funds of the department
will be needed for the purpose of meeting the
steadily recurring demands brought to bear
upon it for maturing certificates of indebtedness and for current expenditure which is now
running at about $1,400,000,000 per month.
Any further increase in expense will accordingly have to be met from the proceeds of new
financing, involving the sale of additional notes
or bonds as circumstances may require. It
was this situation which was referred to by
the Secretary of the Treasury in his statement
relative to the Victory loan, in which he said:
As the remaining war bills are presented, further borrowing mustfeedone. I anticipate that the requirements of
the Government in excess of the amount of taxes and
407
408
FEDERAL RESERVE BULLETIN,
other income can, in view of the decreasing scale of
expenditure, be readily financed by the issue of Treasury
certificates from time to time as heretofore, which may be
ultimately refunded by the issue of notes or bonds without
the aid of another great popular campaign, such as has
characterized the Liberty loans.
In view of the fact that the -fifth loan is, as
definitely announced by the Secretary, the
last of the series of great popular war loans, it
will be necessary to determine a new method
of providing for a considerable volume of
Government expenses between now and the
close of the calendar year 1919. What this
method will be has been only very broadly
indicated by the Secretary of the Treasury in
the passage already quoted. Whatever the
amount may actually be when Government
expenditures have been positively determined,
and whatever may be the method employed for
selling the notes or bonds, the necessity will remain of placing upon the market by some
means a very considerable amount, and allowance for this demand must accordingly be
made in all calculations relating to financial
conditions during the remainder of this calendar year.
With the offering of the fifth loan the FedGovernment as e r a l Government appears as a
a commercial bor- competitor of private enterrower,
prises which are in the market
for capital. In former loans the rate of interest
established by the Government has been, at
least for the time being, below that recognized
by the market as rendering a commercial rate
of return on capital investment. This is
demonstrated by the fact that issues of all
the preceding loans have sold below par, that
which retained its value best being the first
or original Liberty loan issued at 3 | per cent
with complete tax exemption. But it has
been true that in proportion as the Government
securities lost their tax exemption privileges
they declined in value on the market, notwithstanding that the rates were raised from 3J
per cent for the first loan to 4J per cent for
the fourth loan. The new Victory notes,
issued under the fifth loan offering, are expected not only by the Government but in
MAY
1, 1919.
banking and financial circles to maintain their
parity, thus showing that the Government in
fixing the terms of the notes has adjusted
itself to the prevailing price for capital. This
is a new situation and one of which account
must be taken in estimating the probable
future development of borrowing and investment under existing conditions. The question
now arises whether the figure paid by the Government may be taken as indicating that there
has occurred a readjustment of the rate of
return on capital and that for- some time to
come a higher rate of interest is to be expected.
The whole investment situation has been
complicated bv such a variety
The investment - / ,
•"
,
situation
factors since.we e n t e r e d
the war that the shrinkage in
values sustained by many of our leading
investment securities may not safely of itself
be taken as an indication of recapitalization
or adjustment to a new level of interest return. Subsequent to the conclusion of the
armistice and prior to the placing of the fifth
Liberty loan there was an interruption to normal development of business, due to the fact
that whereas war demands had been suspended,
peace demands had not }ret begun to make
themselves effectively felt. It was an epoch of
" readjustment" and of transition from war to
peace. The fifth loan marks, financially speaking, the close of this transition period, and
future sales of securities, whether governmentally or privately issued, will have to be adjusted to the new basis of yield. On the whole,
this alteration is a desirable change in the
conditions which have heretofore existed and
gives promise of the early restoration of
stability and normal equilibrium in the investment market. It probably means also that
the Government's offerings of securities will
be more and more taken by investors who
purchase them because they desire to hold and
retain them.
The entry of the Government into the investment market upon what may be regarded as
practically a normal basis synchronizes with
the reopening of industrial activity upon a
MAY
1, 1919.
substantially parallel footing. The close of the
month of April finds business apparently readjusted to the new circumstances, at least temporarily, and ready to proceed with current activities in the belief that existing conditions
will not, for a reasonable time at least, be very
materially altered. This situation is reported
to the Board by Federal Reserve agents from
all parts of the country, it being their view that
the present state of things is beginning to be
recognized as, in effect, "normal" for the time.
The development of business during the
month of April has been enDevelopment of
business.
CQ
m to
°
This
ig
indicated
by the reports received by the
Federal Reserve Board from Federal Reserve
agents throughout the country, which say that
not only has there been an increasing ability to
absorb the floating supply of labor, but that in
many sections of the country the resumption
of industry and the development of business
activity are distinctly promising. In the East
there has been a tendency to resume the investment of capital in building, a fact which
has meant renewed activity in real estate operations, thus promising relief from the conditions
of congestion which had afforded a threat of
some serious discomfort and danger to the
city populations. While in basic industries
the restoration of full business activity is slow
and inadequate, the outlook is to-day better
than at any time since the conclusion of the
armistice. One thing that has materially assisted the recovery of a normal tone by business has been the promising crop outlook.
According to the forecast of agricultural conditions issued by the Department of Agriculture,
the condition of winter wheat at the opening of
April was 99.87 per cent, or the largest percentage ever recorded on the largest acreage ever
planted in the United States. This promise, if
realized, should bring about a gross yield of
837,000,000 bushels of winter wheat. The
situation, however, which at the time of the
armistice, it was feared, might bring with it a
serious financial problem appears to be in a
fair way of being relieved by reason of the
409
FEDERAL RESERVE BULLETIN.
outlook for heavy demand for foodstuffs abroad,
indicated by those conversant with European
problems.
Even if the Government should be obliged
to carry some burden, due to its guaranty of
the price of wheat, this would not alter the fundamental influence that has for many years past
been exerted by a great crop upon prosperit}^
and business the country over. On the contrary, it tends to stimulate the farmer, through
the promise of an assured price for his yield,
and will doubtless have the effect of " making
trade good" in all those parts of the country
where the purchasing power of the farmer is
the strongest element in ordinary business
demand.
The fact reported by many Federal Reserve
agents that the business com-
7
?
thought that it may profitably await a further considerable reduction in
prices and is now contenting itself with the
development of trade along lines dependent
upon at least the temporary maintenance of
existing levels, indicates that the "readjustment" that had been expected ever since the
conclusion of the armistice can not, under
existing conditions, be as rapid and thorough as
had been hoped and thought. The decline of
prices which has already occurred has been
chiefly confined to relatively few basic commodities, and while these enter extensively as
materials of production into the manufacture
of consumable goods, competition has not yet
served to restore the level of general prices at
retail to even the new basis which has been
reached in the underlying or essential lines referred to. On the other hand, world conditions have been such as either to hold certain
classes of prices practically stable or even in
some cases to bring about a slight upward
trend. Particularly has this been true in some
instances where, through Government control,
the price level had been held down to a basis
lower than that which it would naturally have
assumed. The net result, as shown in the
Board's price index, therefore, is a slight ad-
410
FEDERAL BESEEVE BULLETIN".
vance in the general level. This bears out the
view often expressed in the FEDERAL RESERVE
BULLETIN that the underlying and most general factor tending to sustain the present high
level of values is the credit and banking situation, inflated as it is throughout the world.
So long as the condition of inflation referred
to continues to exist as at present, it must be
expected that reductions of price will occur
slowly as a result of changes in the demand
for and supply of commodities. This will in
some cases bring about reductions in the
levels of values, but in others will produce
corresponding and offsetting variations in the
opposite direction. Prices will thus be subject
to temporary oscillations, but in order to bring
about any broad and far-reaching readjustment affecting the relationship of all commodities to the unit of purchasing power, inflated credit conditions must be eliminated,
and the business community must be placed
upon practically the footing in relation to
credit and money which it is normally to
occupy.
In the readjustment which has thus far taken
place, remuneration of labor
a&es ail lci
"
has
been very little changed,
ftp
bor.
Some reductions of wages have
occurred either directly or indirectly, but on
the whole wages have continued on the war
level. Indeed, some of the most important
readjustments of prices that have occurred in
basic industries have been made without waiting
upon readjustment of "labor costs.7' There
is little present indication that labor costs
will experience much change during the next
few months, and the problem of further industrial and business readjustment is thus reduced in effect to the question whether general
demand will be sustained at present levels in
degree sufficient to afford employment to both
labor and capital. Some factors which have
been observed during the past month seem to
support such a view. Retail trade throughout
the country is almost uniformly reported good,
many establishments stating that it is largely
in excess of the corresponding month of last
MAY
1, 1919.
year. Further, the revival which is beginning
in the building trades appears to afford additional evidence of the same kind. Against
such a belief is the fact that the basic trades,
such as steel manufacture, copper mining, and
others, have not by any means been restored
to a normal condition but are still running, and
apparently likely to run for some time to comef
upon a very much reduced schedule of hours and
output. It is, moreover, to be noted that in
thoseindirstries in which price cutting has been
most thorough and effective, as in some of the
textiles, the revival of demand and the restoration of normal conditions has been most complete and apparently stable. The less immediate future of industry and the basis upon which
industry is to be carried on, thus remains unsettled just as it for some time past has been*
The restoration of the final balance between
prices, wages, and consumption is deferred and
the manner and time of its working out will depend much upon conditions of international
competition and the restoration of national
solvency in the principal countries of the world*
Index number changes for the month of
March and such information as
n
. °
is obtainable for the month of
April indicate that the downward movement of the price level has been
arrested. The Bureau of Labor's index number
for wholesale prices showed 200 as against 197
for February, while reports of Federal Reserve
agents up to about the middle of April indicate
a higher level of prices in various lines. In
foodstuffs particularly the apparent tendency
to decline has been more than offset, and there
is again an observed tendency to advance.
These changes seem S3^mpifcomatic of revival
of demand which had been partially suspended
as the result of uncertainty and hesitation
after the conclusion of the armistice. They
once more indicate what has often been
referred to in the BULLETIN—that permanent reduction of prices to anything approaching the old normal level can not be expected
to occur without a readjustment of the volume of banking credit to correspond with.
MAY
1, 1919.
FEDERAL RESERVE BULLETIN.
the current volume of commerce and business
as reflected in the offerings of liquid commercial
paper. One factor urgently necessary in effecting such a readjustment or reorganization is
the absorption of Government securities and
their elimination from the investment holdings
of the banks. According to Federal Reserve
agents, it may be possible to effect such an
Improvement of bank investments by the end
of the current year. Whenever the time may
be, it will not be reasonable until then to look
for any very marked readjustment of the general
price level. Individual prices will fluctuate,
and some will fall as the result of temporary
changes in supply and demand or in consequence of special conditions of overproduction
or undersupply in given lines. Such fluctuations in one direction will tend to be offset by
corresponding variations in others, and the
general level of prices will remain substantially
the same as before. The problem now before
the community is that of bringing about a
readjustment of prices to the normal volume of
credit, and this is a task which can not be
accomplished save during a period of time sufficient to permit the restoration of bankers7
credits to a normal position.
The readjustment of business to a new price
basis is, however, proceeding, and the increased
activity of trade due to the revival of purchasing under the prospective great increase in
agricultural output and the general disposition
throughout the country to abandon the attitude of hesitation and postponement, which
has been characteristic for some time past, has
rendered the question of control of prices by
public authority less urgent than it seemed to
be a few weeks ago. What is now happening
seems to indicate that business will, after a
period of initial readjustment in prices, proceed upon a level not far removed from that
established during the war, leaving the question
as to the ultimate level of prices to the future
and to more slowly acting forces. The problem of strengthening the structure of credit
and of eliminating from that structure all
elements of weakness will then continue as a
1X5631—19
2
411
permanent factor in the situation, pending the
time when banking policies have been so developed and applied in practice as to bring
about the restoration of prices to a stable and
normal basis.
Ever since the suspension of the "pegging"
of exchange there has been disImportatfons
.
. fa
{
f }
ff
and prices.
&
have upon our trade with Great
Britain. The view has been expressed in
some quarters that the resulting state of the
exchanges would lead to heavy exportation of
goods to the United States, the proceeds
thereof to be available to pay for or settle
outstanding interest claims and perhaps accruing installments of principal obligations, or,
at all events, to liquidate new and heavy
purchases of material from this country.
Developments during the past few weeks
have raised a very serious doubt how far any
such movement is to be expected. In many
lines European costs are now apparent^
higher than in the United States, this being
true of textiles and other items in which
Great Britain seemed formerly to enjoy a
decided competitive advantage. The existence
of high money costs abroad will necessarily
alter the competitive situation which had
existed before the war, and will raise the
question how foreign countries are actually to
pay off their indebtedness unless the price
situation is favorable to shipments of goods to
the United States. Adjustment of international price levels to the altered conditions of
the different countries is a necessary step
to the readjustment of international trade
on a stable basis. Normally there would be
a division of labor or production between
countries such as to give to each a comparative advantage in those industries for which
it was relatively most favorably circumstanced,
even though there might be other countries
which possessed an absolutely greater advantage. In the present instance, the difficulty
in the case lies in the fact that the United
States has already reached a position where
it is able to produce more of the goods
412
FEDERAL RESERVE BULLETIN.
which are wanted by its consumers and
which formed the basis of much of its international trade, while it of course is the chief
source of supply at present for the food surplus
representing the difference between consumption and production which is needed in Great
Britain, as well as many of the raw materials
such as cotton and copper which Great Britain
and other countries must have in order to
reestablish their industry.
Recognizing the fact that foreign countries
are not now in a position to
A local market b u y fredy from t h e United
te foreign securi- g ^
^ ^
^
on
rf
rent funds, discussion has been
active during the past few weeks with respect
to the methods to be employed in the maintenance of our export trade. There has been
a general expression of opinion to the effect
that such maintenance must necessarily be
dependent upon som© form of financing in the
United States. The funds placed by Congress
at the disposal of the Treasury Department
for use in extending accommodation to foreign
Governments are now nearly absorbed. It
would appear, therefore, to be one of the developments to be expected in the near future that
private capital should in some way be applied
to the financing of exportation to foreign countries. One plan that has been suggested has
been that of establishing a satisfactory market in the United States for the purchase and
absorption of foreign securities. The establishment of such a market will inevitably call
for a substantial amount of education and
development since American investors have
not been much in the habit of sending their
funds outside of their own country. Not
only is this true, but the question may also be
raised whether foreigners are willing to pay
the rates which are necessary to attract the
investment of American capital. Prior to the
war the general level of yield that could be
realized upon foreign securities was definitely
lower than that which was paid by American
stocks and bonds of somewhat similar rank,
and accordingly the flow of capital was from
Europe and toward the United States, rather
MAY
1, 1919.
than in the opposite direction. The question
whether European enterprises will find it
worth while to pay what they must in order
to obtain the use of funds originating in the
United States, is a new problem. Closely
related to the price at which capital can be
obtained is the further question of the basis on
which such capital can be converted into goods
at price levels now prevailing in the American
market. If the goods are deemed essential,
even at the prevailing level of prices, the
question of borrowing capital at correspondingly high charges may be regarded as merely
one element in the question of purchase and
sale, as applied to the goods themselves. To
the extent that the imported goods, therefore,
are of an ''essential" character—that is to say,
needed for immediately necessary purposes
whose importance is so great as to warrant
the purchase of the needed materials under
almost any conditions, the price charged for the
use of capital employed must be regarded as
simply one element in the necessary and inevitable cost of obtaining essential materials for
the reconstruction of industry.
In connection with the question of methods
for the financing of export
"Investment t r a d
through the distributrusts."
.
n » .
tion ol foreign securities to
American buyers, it has been several times
suggested within the past few weeks that there
be established in the United States "investment trusts/' similar to those well understood
in Europe. Indeed, a beginning has already
been made in this line of development. The
purpose of investment trusts is that of promoting a market for the purchase of foreign
obligations by setting up an intermediary in
the shape of an American financial institution
between the foreign borrower and the American
investor, thereby to minimize the risks
which might be thought to attach to foreign
loans. The plan thus suggested is practically equivalent to the organization of companies which purchase and hold issues of
foreign stocks and bonds. Such concerns buy
selected issues of securities, diversifying them
so far as practicable, both as to kind of indus-
MAY
1, 1919.
FEDERAL RESERVE BULLETIN".
try and as to the location of the enterprise
whose securities are purchased. As a rule, the
holdings of such a company include many and
very diverse blocks of securities originating
not only with national and local governments,
but also with public utility concerns and with
industrial and private corporations of various
kinds. While it is true that there are some
such investment trusts which devote themselves entirely to the purchase and distribution of the securities of a particular industry
and which therefore work upon a principle
different from that just outlined, eliminating
the risk not by diversification but by intensive
study and close control, the general idea in
both classes of undertakings is identical and is
that of obtaining for the small private investor the opportunity to purchase and share
in a large body of carefully selected securities
whose conditions of issue, legal status, and, in
fact, all details relating to which, have been
thoroughly investigated. The plan referred
to has not been pursued in the United States,
but probably some such method of reaching
the investor will be useful if the purchase
and holding of foreign securities is to become
very widely diffused, inasmuch as the average
man has not the facilities for investigating
and determining the character of the bonds
and stocks that are offered to him, and of
course none for participating in underwriting
enterprises or in plans to profit from the
general absorption and sale of large issues.
What has been said shows how the organization of investment trusts of
I n v e s t m e n t the kind outlined will operate
trusts and export L, aic• -, m.
,,
. *
,
tra€|e.
° *
tiie regular and
steady absorption of securities
offered by foreign buyers of American goods.
The investment trust, from this standpoint,
would be made highly beneficial to those who
participated in it simply as investors. In the
present situation, however, the establishment
of companies for foreign financing will serve a
very much larger end. This end is the facilitation and promotion of the export business
of the United States. It is highly probable
that in present circumstances the proceeds
413
will be used in purchasing American supplies
and materials even though there has been no
express stipulation that the proceeds growing out of such advances shall be spent in
the country from which the capital is derived or that they shall be used in the
purchase of machinery, materials, and the like,
produced by designated concerns or groups
of concerns. In the present situation, the
extension of our actual export trade in materials is more feasible than ever before because
of the fact that the United States occupies so
conspicuous, not to say unique, a position as
a creator and furnisher of capital in international business. Occupying the position it
does, the Nation is thus able to make its own
terms for the furnishing of capital. I t may
be able, in other words, within limits to establish its own price for goods sent to foreign
countries, taking its payment in the form of
securities which are then distributed to buyers,
but, clearly, good judgment and moderation
in fixing the terms of the loans and the conditions of purchase will be required if a satisfactory and permanent relationship is the object
aimed at. Foreign countries will not buy if the
price charged them for goods is so high as
to make the investment unprofitable, nor will
they purchase at all unless the capital is supplied to them upon reasonable terms. Success in the further development of our export
business, therefore, depends not only upon
wise financing but upon moderation and tactful
dealing in handling the whole investment
situation.
During the month of April there has been
Development of further tendency on the part of
exchange situa- foreign exchange quotations to
lon#
settle to something like their
normal basis. Sterling bills have not fallen
below the quotation reached immediately after
the withdrawal of Government support, but on
the contrary have tended to recover, at one
time reaching a point about midway between
the rate current when the "pegging" process
was suspended and that which was reached
soon after the withdrawal. As the "stabilized" rate was 4.76 per pound, and as the low
414
FEDERAL, RESERVE BULLETIN.
point touched by sterling quotations was 4.58,
the intermediate point would be 4.67, and during
the latter part of April market prices have tended
to move irregularly about that figure, although
frequently below it. On the other hand, quotations for French francs have steadily tended
lower, reaching at one time the quotation of
6.14 francs to the dollar, while Italian lire
have maintained a downward tendency which
has brought them as low as 7.5 lire to
the dollar. The neutral exchanges, although
fluctuating sharply after the withdrawal of
Government support from sterling and lire,
have practically become stabilized and have
within recent weeks shown only a relatively
small tendency toward fluctuation or depreciation. The weeks which have elapsed since the
withdrawal of Government support have been
a period of transition during which the development of a final level of exchange was not
possible, owing to uncertainty respecting the
future. As soon as the immediate future of
trade has reached a more definite basis under
the peace treaty, it may be expected that quotations for foreign exchange will adjust themselves upon some more stable basis. Meanwhile, uncertainty with respect to the probable
course of quotations has naturally tended to
unsettle the attitude of dealers with respect to
remittances to foreign countries.
The question how far the falling off in the price
of sterling and other foreign currencies wiU in fact
operate, as
has so frequently been represented, to reduce the demand for American
goods in those countries whose currency is thus
at a discount in the United States, is an interesting subject of discussion. The economic
view on this point has been that as the value
of a country's currency in terms of another
declined, the purchasing power of that currency sustained a corresponding decline, with
the result that its imports would cost it more.
Importers, it was supposed, would therefore
be less able and less inclined to purchase goods
abroad, with the result that their demand for
foreign merchandise would be reduced and
accordingly their importations \70uld fall off,
MAY
1, 1919.
the situation thus tending to restore international trade to its older basis. Assuming that
conditions of trade are normal and that there
have been no serious interferences with demand
and supply, this theory may be regarded as
tenable.
A new situation, however, is created whenever it appears that the purchases of one
country in another are practically unavoidable and that they consist of essential commodities, the need for which is so great as to
render demand for them practically irrespective of price. In such circumstances a reduction in the purchasing power of currency
can not be expected to exert more effect than
would a corresponding general increase in
prices of the commodities established while
currency values were upon their original level.
Another aspect of this question also demands
some consideration. After a reduction in the
value of a foreign currency has taken place,
resulting in lowering its purchasing power in
the way just assumed, there is a tendency on
the part of demand and supply to adjust
themselves to this new basis. Should there
be no further drop in exchange values and consequently no further disturbance of purchasing
power on that score, it is fair to suppose that
international trade will be readjusted upon the
new level of relationships which has thus been
introduced. It is not supposed, for example,
that trade between gold and silver using countries is obstructed by the fact that the currency
of one country is of lower purchasing value
than another, unit for unit, but only by
the fact that irregularity in exchange quotations renders such international trade uncertain
and unstable. If the reduction in the value
of one currency in terms of another represents
practically a definite fall from the old level to
the new, with comparatively little fluctuation
or variation thereafter, there is little reason to
suppose that the trade between the two nations
will be materially affected by the fact that one
currency now has a value which is permanently
or semipermanently lower than that of the
country with which it is engaged in trade.
This situation should be kept carefully in mind
MAY 1,1919.
in considering the statements frequently made
in respect to the probability that a fall in the
value of sterling exchange will result in a continuously lower volume of importations from
the United States to Great Britain. In fact,
there is thus far comparatively little evidence
of any such influence. A much greater effect
has been exerted by the regulations of the
British Government designed to restrain the
importation of commodities.
During the month ending April 18 there was
The banking a net reduction of more than
position.
$200,000,000 in United States
war securities held by member banks. Large
decreases in certificate holdings between
March 14 and March 21 were due to the
Government's redemption of $800,000,000 of
tax certificates. There was a falling off of
about $400,000,000 in the general certificate
holdings of reporting banks by April 4. In
the aggregate the United States war securities
and war paper held by the member banks
decreased from 4,035.3 millions on March 14
to 3,810.7 millions on April 18, being 26.6 per
cent of the loans and investments of all reporting b anks. During practically the same period,
but closing on April 25, Federal Reserve Banks
increased their war paper holdings to a total of
1,760.7 millions, or 69 millions more than the
corresponding total on March 21. At the same
time there has been a continued liquidation of
acceptances on hand. Discount operations in
the aggregate increased as compared with
February, and also as compared with March
a year ago. War paper discounted was 95.6
per cent of all bills discounted as compared
with 41.7 per cent in March, 1918. During the
month of March the number of member banks
increased from 8,748 to 8,761, while the number
of discounting members increased from 3,091 in
February to 3,575 in March.
During the month ending April 10 the net
Gold move- inward movement of gold was
ment.
$6,395,000, as compared with
a net inward movement of $3,880,000 for the
month ending March 10.
The gain in the country's stock of gold
since August 1, 1914, was $1,079,726,000,
as may be seen from the following exhibit:
415
FEDERAL RESERVE BULLETIN,
[In thousands of dollars; i. e., 000 omitted.]
I
!
Excess
of
| Imports. Exports. imports
over
exports.
Aug. 1 to Dec. 31, 1914
Jan. 1 to Dec. 31, 1915
Jan. 1 to Dec. 31,1916
Jan. 1 to Dec. 31,1917
Jan. 1 to Dec. 31,1918
Jan. 1 to Apr. 10,1919
j
i
!
!
;
'
Total
23.253
451,955
685,745
553.713
61,950
19,483
104,972
31,426
155,793
372.171
40,848
11,163
i 81,719
420,529
529,952
181,542
21,102
8,320
".1,796,099 I 716,373 1,079,726
_. .._ j
1
... _!
i
Excess of exports over imports.
Of the gold imports for the month, amounting to $10,345,000, receipts of $6,037,000 came
from Canada and $2,500,000 from Hongkong,
the remainder coining largely from the Dutch
East Indies and Mexico. Gold exports, amounting to $3,950,000, were consigned chiefly to
Venezuela, Colombia, and Mexico.
At a meeting of governors of Federal Keserve
The acceptance Banks with the Federal Resituation,
serve Board at Washington on
March 20-22, the following report was made:
The discussion developed the fact that there is a growing
tendency on the part of member banks to misuse and possibly abuse the right of acceptance credits in domestic
transactions. These abuses doubtless grow, in many
cases, out of a lack of knowledge of what are correct practices, and to some extent out of difficulties incident to the
war. The principal abuses noted were in the employment
of acceptance credits for transactions which are in fact
loans upon commodities. In such cases the use of the
acceptance credits is frequently a subterfuge to escape the
provisions of section 5200 of the Nati©nal Bank Act, and
in other cases an improper drawing of bills against domestic shipment of goods. It is the belief that it would be a
mistake to endeavor to correct these practices through
general regulations applying to the purchase of bills by
the reserve banks.
After full consideration of the situation the
Federal Reserve Board has requested a committee of Federal Reserve agents to prepare
suitable acceptance literature designed to explain the acceptance principle and to guide the
development of acceptance methods among the
banking community with a view to improving
present practices, and at the same time with
the object of stimulating the wider use and
application of the acceptance principle, both
in domestic and foreign trade under sound and
safe conditions.
416
FEDERAL RESERVE BULLETIN.
MAY
1, 1919.
BUSINESS AND FINANCIAL CONDITIONS DURING APRIL, 1919.
During the month of April business prospects
have improved, retail trade has increased in
volume, prices have apparent^ assumed a more
stable position, and business generally is considered on a stronger and better footing. The
floating supply of labor which had threatened
a considerable amount of unemployment during
the months of February and March has been
partially absorbed and the prospect of a large
grain crop promises still further opportunity
for the use of the entire labor supply. Federal
Reserve agents almost without exception report a growth in confidence and improvement
in general trade and industrial conditions.
Manufacturing is still retarded in steel and
some other basic industries, but there is improvement in the copper and lead situation.
Textile manufacturing, both in wool and cotton, particularly the former, is improving. The
export trade of the month has been large and
financial conditions have been quiet and reassuring.
In the First Federal Reserve District "the
turn in the tide of business which was beginning to be felt a month ago, becomes increasingly evident each week, and the impression is
becoming general that no lower price level will
be established at least for some time. This is
having the effect of encouraging buyers to place
orders with more confidence, and manufacturers
are going ahead in a surprisingly satisfactory
manner. It will be a long time before all sections of this district are back again on a strictly
peace basis and before labor and materials are
again evenly distributed, but the period of
unemployment and stagnant business, which
many expected, shows no sign of materializing,
and the trend is decidedly in the other direction." From the Second Federal Reserve District it is reported that growth in confidence is
manifested "in the more numerous advance
orders placed with wholesalers for the fall.
Certain lines in the ordinary distributive trade,
such as jewelry, automobiles, and musical instruments, are very active. Retail trade, including the mail-order business, has continued
to expand, and production in textile mills has
increased." District No. 3 reports retail trade
"wonderfully good and reports from all parts
of the district very encouraging." Reports
from District No. 4 state that " the whole industrial field is breathing easier, and gains along
practically every line, while in many cases
infinitesimal in scope, reflect a condition which
gives indication of progress both steady and
permanent." From District No. 5 it is stated
that there is indication of "increasing confidence and stability"; from District No. 6 that
''during the past month there has been an
increase in practically all lines of business";
from District No. 7 that "fundamental conditions, aside from a lack of confidence in the
stability of the present price level, are considered sound"; from District No. 8 that "business activity continues to improve with the
further readjustment of prices, and in some
lines it is practically normal"; from District
No. 9 that " the general outlook throughout the
district is very good "; from District No. 10 that
"a more hopeful spirit seems to prevail and in
most lines of industrial activity things have
assumed a cheerful aspect." The Tenth District further speaks of "unparalleled prospects
for bumper crops" and of an increase in buying.
In the Eleventh District it is stated that " a
sound and normal business is being transacted";
from the Twelfth District it is reported that
"manufacturing and industry are fair, but increased activity is expected, due to improved
labor conditions," while agriculture and stockraising enterprises are said to be in excellent
condition.
Possibly the most conspicuous feature of the
whole business situation is found in the fact
that prices have apparently been somewhat
"stabilized." Marked declines are still reported
here and there in some special lines, but from
nearly all districts it is reported that the uncertainty concerning prices has been mitigated
and that business men now expect that existing
levels of prices will be substantially maintained
for some time to come. The Bureau of Labor's
MAY 1,1919.
FEDERAL RESERVE BULLETIN.
commodity index numbers show that the
decline in prices noted during the past three
months has now not only been checked, but
that prices as a whole have apparently taken
a flight turn upward, the general index number
increasing from 197 to 200.'' This general
situation, as further analyzed in the Board's
compilations, shows that during March the
decrease in price of producers7 goods continued,
the index number for the group standing at
189 as compared with 191 for the month of
February. The decrease is paralleled by a
decrease in the prices of raw mineral products,
the index number for which group stands at 170
as compared with 173 for the month of February.
The index numbers in the case of consumers7
goods and the other groups of raw materials,
however, show an increase. This is particularly
marked for farm products and animal products
in the latter group, the index numbers increasing
respectively from 222 to 235 and from 208 to
216. During the early part of April a further
strengthening of prices in many lines has been
noted. Efforts at Government price fixing are
still under consideration, the difficulty of bringing about a definite adjustment in connection
with steel, coal, and other basic articles having
as yet proved insuperable. This leaves those
industries without a standard price level recognized by the Government, but with the expectation on the part of dealers that prices will not
decline materially below present figures.
The most important industrial development
during the month of April has undoubtedly
been the Government's estimate for acreage
and production of the principal agricultural
crops. The forecast for grain was made public
on Aprils and showed a condition of 99.87 per
cent, or the highest condition percentage ever
recorded on the largest acreage ever under cultivation, so far as winter wheat was concerned.
The estimated yield of winter wheat under
these circumstances is 837,000,000 bushels,
with other cereal crops in almost equally
promising condition so far as can be forecast
at this season. From the wheat district of the
Middle West it is stated that spring wheat
417
seeding is well advanced and that conditions
are satisfactory, while winter wheat and other
cereals have come through the season in excellent condition. On the Pacific coast crop
conditions are unusually favorable, wheat
sown in the fall has wintered well, the acreage
of winter wheat is considerably greater than
that of last year, while other products of the
soil promise an unusually abundant outturn.
Practically all growing crops in the South
and Southwest are reported as satisfactory,
there being a good outlook both for increased
acreage and for large yield per acre. The
movement of grain to the markets continues in
smaller volume, due to heavy marketing in the
fall and early winter. Domestic flour demand
and the opening of foreign markets to American
wheat has tended to raise prices, lieceipts of
corn at the principal markets are comparatively small and the same is true of oats and
other grains. Flour milling has improved
during the month and in some sections is as
much as 50 per cent above the total for the
corresponding date in 1918. Production during the month of March was 10,247,000 barrels,
as compared with 7,736,000 during the month
of February and 12,994,000 during January.
The stocks at the mills show an increase from
3,544,000 at the close of February to 4,578,000
barrels at the close of March. As for live stock,
movements to the primary markets of the
Southwest show some decrease as compared
with a year ago, while a steady rise in hog
prices since the removal of the Government
guaranteed figure of $17.50 has been observed.
The price of hogs at about the middle of April
was $20.09. The decrease in the receipts of
hogs during March has been especially pronounced, receipts at 60 markets for the month
being 3,632,874, as compared with 4,404,751
during February and 4,444,406 during March,
1918. The figures of receipts of cattle and of
sheep likewise show a falling off from the
figures for March, 1918, though both are slightly
above the figures for February of the present
year. This condition is reflected in reduced
purchases by packers during March. The
418
FEDERAL RESERVE BULLETIN".
reports indicate that packers' operations in
primary markets were reduced 9 per cent in
cattle, 1 per cent in hogs, 5.7 per cent in calves,
as compared with purchases for slaughter in
March, 1918. Stocks of beef in the United
States on April 1 are reported to show a heavy
decline from the March 1 figure, although for
pork products no material change is noted.
There appears to have been a continuance of
the heavy export movement of meat products
which was so well sustained during the winter
months. The fact that the industry has been
released as of April 1 from industrial control
by virtue of a proclamation signed by the
President, leaves the price and movement of
the product to be regulated by demand and
supply. In the cotton-growing regions the
prospect for yield is satisfactory, weather
conditions having been good, but owing to
efforts to bring about a curtailment of acreage it is now estimated in some sections that
a reduction in the total area of land under
cultivation amounting to as much as 15 per
cent to 20 per cent of the acreage of 1918 will
be effected.
In the manufacturing industry fundamental
interest continues to center around the steel
situation. This is still undecided because of
the failure to arrive at a definite price policy
for the coining months. So far as known, the
schedule of prices tentatively agreed upon between the Government and representatives of
the industry during March has continued practically in effect. Latest reports indicate that
the mills of the United States Steel Corporation are running at 74 per cent of capacity,while
independents are running at 45 to 50 per cent
of capacity. Pig-iron production during March
was 3,090,243 tons, as compared with 3,141,180
tons during February, the respective index
numbers being 133 and 136. Steel-ingot production likewise declined, production in March
being 2,262,265 tons, corresponding to an
index number of 111, as compared with
2,688,011 tons during February, the index
number for the latter month being 121.
The unfilled orders of the United States Steel
MAY
1, 1919.
Corporation have continued to decline, standing at the close of March at 5,430,572 tons, as
compared with 6,010,787 tons at the close of
February, the index numbers, respectively, being 103 and 114. It is reported from Dallas
that the present situation in the copper industry "has nothing about it to stimulate,
enthusiasm," the market being practically at
a standstill, while during the past month there
have been quotations as low as 14\ cents. The
curtailing of output from 30 per cent to 50
per cent has had little effect on reducing the
world's surplus, as sales have not equaled the
reduced output. These conditions have been
in process of slow rectification since the middle
of the month. The copper situation has
become more encouraging during the month
of April, some considerable sales being reported at prevailing prices. Lead ores have
declined in value, but the demand for them
remains firm, and there is no accumulation of
surplus stocks. Zinc has shown a downward
tendency, but with comparatively heavy shipments. Production of both metals has been
considerably decreased during the past several
months. In coal, production continues at
about the same rate, but the present demand
is naturally very light. Orders for the coming winter's supply have not yet begun, while
some plants which are usually heavy consumers have suspended demand. In the
West Virginia district conditions show little
improvement, and sales of mining machinery
are slow. Bituminous coal production during
the month of March was 33,716,000 tons, as
compared with 31,497,000 tons during the
month of February. The daily production
of anthracite coal declined somewhat from
the February figures, total production for
the month being 3,938,907 tons, as compared with 3,871,932 tons during February.
The respective index numbers were 70 and 74.
Figures for production of both bituminous and
anthracite coal are very much below those of
a year ago, when bituminous coal production
was 48,631,115 tons, and that of anthracite
7,276,777 tons, the index numbers being7
1, 1919.
FEDERAL KESEKVE BULLETIN.
respectively, 131 and 129. The production
of beehive coke has continued to decline,
amounting during March to 1,768,449 tons,
corresponding to an index number of 68 as
compared with 1,822,894 tons during February,
the index number for which was 75. In
lumber, markets show generally a firm tone,
with demand still up toward the output and
practically no decline in prices, but on the
contrary, advances in various grades.
In general manufacturing, conditions still
continue somewhat "spotty." In many sections mills have smaller stocks than usual,
but with an improving demand both for goods
and for yarns, while many factories are estimating on new orders and showing a larger
interest in the situation. The depleted condition of retail stocks has led to purchases of
a hand-to-mouth variety, even on the part of
dealers who do not wish to commit themselves very fully as to the future. Greater
activity in preparation for the spring trade is
reported by wholesalers and jobbers. It is
predicted in some quarters that demand from
now on will be sufficient to enable the South
to dispose without further sacrifice of the
cotton it is carrying. Labor conditions in
the cotton-milling regions are still unsettled.
In the woolen trade demand for men's wear
has become very much more active. A large
volume of orders has been developed during the
month of April. From Richmond it is reported that business is still dull with the
underwear and blanket mills, but in other lines
mills are reported as having realized much
benefit from the policy of drastic price reduction initiated two months ago. The industry
is now regarded as being once more upon a normal basis so far as volume is concerned, while
raw wool has recently sold at auction upon a
basis of parity with the Government prices.
The automobile industry is apparently fully
occupied and is running on the basis of about
90 per cent of existing facilities. In leather
and shoes the principal companies have reported phenomenal profits and prices are
strongly maintained with abundant orders.
115631—19
3
419
The lifting of the English • embargo on the
cheaper grades of leather has stimulated foreign demand.
General labor conditions are improving.
From many of the manufacturing districts they
are reported as fairly satisfactory. The question of wage readjustment has made comparatively little progress and labor continues to be
employed on nearly a war basis of remuneration.
The volume of unemployment on the Pacific
coast is very much less than a month ago, and
the same is true of New England. From many
sections a shortage of farm hands is reported.
Partial revival in the building trades promises
to open a considerable new field of demand for
labor heretofore unemployed or obliged to seek
occupation in other lines of industry. The
labor situation is less satisfactory on the
Atlantic seaboard than in the interior, due to
the fact that considerable numbers of returned
soldiers have failed to redistribute themselves
to their points of origin. In the Middle West,
especially in the chief agricultural regions, the
situation has decidedly improved.
Export trade during the month has continued large, although it consists predominantly
of raw materials and articles for further manufacture. Nevertheless, interest in the export
trade continues unabated, and several important developments have occurred during
the month. Shipping rates have shown a
decided downward tendency, while the organization of an investment trust for the purpose
of encouraging the absorption of foreign
securities has made a beginning in the practical
financing of export business. The organization
of associations under the Webb law for the purpose of facilitating foreign trade, indicates a
continuous interest on the part of manufacturers, both large and small, in the development
of markets abroad. Two export organizations
have been formed by important members of
the packing industry and twenty-five large
lumber mills have united for the same purpose.
Similar activity is reported in a number of
other lines. A cotton export corporation organized to facilitate the distribution of cotton
420
FEDERAL RESERVE BTJLLETHsT.
in other countries and its steady movement
from the United States is projected. The announced action of the economic council at
Paris, made public on April 23, by virtue of
which the black list is to be abolished and the
system of licensing exports for shipment to
foreign countries terminated, is regarded in
many lines of trade as promising a much better
opportunity for foreign shipments. Parallel
action has been announced by the War Trade
Board on April 28.
Financially the month has been quiet. The
Board's compilation of interest and discount
rates from the principal centers shows relatively few fluctuations and these not of a
character to indicate any decisive trend. The
greatest variations have been noted in connection with call money, which has fluctuated
from 3 \ per cent to 6i per cent, but has been firm
during the latter part of the period at around
5J per cent. The supply of bank acceptances
has been small and the total volume in the
market indicates a falling off. There has been
a tendency to shorten maturities of commercial
paper considerably, while the demand for the
best names has been very satisfactory. The
opening of the Liberty loan campaign on April
21 has tended to hold various industrial enterprises in check, pending the completion of the
Government's requirements. As a rule, the
policy of bankers has been to conserve their
lending power until after the loan has been fully
disposed of. Some tendency to liquidation was
noticed among the banks prior to the offering
of the Victory loan, the effort of these institutions being to reduce their outstanding commitments wherever reasonably possible. Federal Reserve notes have increased somewhat
during the early part of the month, but later
showed a slight tendency to fall off. The
prospects for moderate accommodation to
business and industry appear to be encouraging,
most banks having still a substantial margin of
lending power.
MAT
1, 1919.
SPECIAL REPORTS OF BUSINESS CONDITIONS.
REPORTED BY DISTRICT NO 1.
There has been a decided change in the wool
market since last month. The London market
opened with upset prices 1\ per cent below
the former established prices. Corresponding
reductions in upset prices were made by this
Government. In neither case were the reductions reflected in sales prices, as bidding
for fine wool has become quite spirited in both
markets, sending the prices above the former
level. The Government is succeeding in disposing of its wool very rapidly, with only small
withdrawals occurring at the Boston auctions.
The new clip is just beginning to move in
Arizona, and is being sold by the growers at
much higher prices than had been anticipated.
With mill requirements for wool steadily increasing, and with little foreign wool coming to
this market, it would seem that wool will continue at high prices for a considerable period.
From the low point in woolen mill production,
which was reached more than a month ago,
there has been a very rapid increase until now
production is approaching 70 per cent of normal capacity with individual mills varying
by wide margins from the average.
Only the finer grade goods are in active
demand, as the tendency seems to be to get
away from such grades as had been used to
make Army cloth. Mills which were especially
adapted for those lines, therefore, are not
receiving as many orders as they desire.
Much of the change in mill production has
been brought about by the placing at the end
of the season of orders which ordinarily would
have been placed much earlier in the year.
It has been this congestion of orders at the
last minute that threw the mills into the market
for wool. In some cases the need for wool
was so acute that shipments to the mill were
made by express. These were the conditions
which caused the spirited bidding at the recent
auctions.
Although sales of cotton goods are far below
normal for this season of the .year, there has
been a decided improvement both in the numbers of orders received by cotton manufacturers, and in the prices at which they were
taken. Orders now received will show a small
margin of profit as compared with those placed
earlier this year which involved actual loss.
MAY
1. 1929.
FEDERAL RESERVE BULLETIN.
421
More mills are in operation, and those which the demand continued fairly strong, being
were operating on reduced schedules are now somewhat -stronger in the Middle West and
running at nearly full time. A few mills on the Pacific coast than elsewhere in the
that a month ago were taking business regard- country. There has been a tendency toward
less of profit in order to keep running, now lower rates, and at the middle of April the
find themselves operating at full capacity with market was on a 5{ per cent to 5i- per cent
basis with perhaps the greater volume of
orders booked up to July.
The real demand comes for goods for earty business being transacted at the lower rate.
delivery. Little business is being booked for Buyers are reported to prefer either very short
the future, as the mills expect to obtain even ! maturities or six-month maturities to those of
better prices later on7 and-as uncertainty still four or five months, the former being immediprevails among buyers. Sales of the staple ately eligible for rediscount at the Federal
continue extremely light, with a. feeling of Reserve banks and the latter assuring a yield
general improvement over the condition pre- at the present basis for six months. The
vailing a month ago. Light buying at this preference for longer maturities is taken by
time, which is usually the most active period some as an indication that buyers anticipate
of the year, is due, perhaps, to the extremely lower interest rates. The supply of nbw bank
heavy sales of last fall, which resulted, in the acceptances continued very small, and some
case of New Bedford, in shipments of cotton dealers have reported that they were practically
being so far this season more than 10 per cent sold out at times. There was a fairly strong
in excess of those of the corresponding period demand, particularly for prime bills "of short
maturities. The rate remained unchanged, at
in the season of 1917-18.
Stocks of hides and skins have been badly 4J; per cent for 90-day bills. Call money was
depleted in the world markets. Government considerably firmer than during the preceding
price restrictions had feeen put on when the four weeks' period. The renewal rate rose
market was lower than normal and so tanners from 4 per cent on March 18 to 6 per cent on
were enabled to buy leather at low prices. March 20, but ruled between 5 and 6 per cent
Upon removal of these restrictions prices of j during the remainder of the period, going
hides advanced rapidly. As yet leather made j below 5 per cent on only four days. It befrom higher pricea hides has not come on to came distinctly firm at 6 per cent toward the
the market. Sales are continually being made end of the second week of April. Time money
at slightly firmer prices with foreign purchasers of all maturities, for use in collateral loans
on the street, continued scarce and firm at 5f
taking any surplus available for export.
Shoes are still being made from this com- to 6 per cent, with demand light at those rates.
paratively low priced leather, with, the result There was practically no change in rates
that prices are steady. As present supplies of charged by banks to customers on commercial
leather become exhausted and are replaced by loans.
leather made from high priced hides, increased
Banking position.—Bank clearings at New
costs are bound to be reflected in the retail York for March totaled 816,486,973,689, an
price of shoes. Meantime, the shoe manufac- increase of 13.9 per cent over March, 1918,
turers are experiencing extremely good busi- caused in part by the unusually large volume
ness. Many are running to almost normal of transactions on the New York Stock Excapacity. A marked increase has been noticed change. Weekly clearings for the period under
in the sales of men's shoes, and total sales in review were as follows:
number of pairs and values greatly exceed Week ending—
those of last year. Collections are good, one
Mar. 20
$4, 243, 521, 000
Mar. 27
3, 650, 249,000
firm reporting less than 1 per cent of actual
Apr. 3
4, 087,988, 000
oveidue bills outstanding.
Apr. 10
3, 934,277 000
;
REPORTED BY DISTRICT NO. 2.
Interest rates.—The commercial paper market was even quieter during the period under
review than during the preceding four weeks.
Dealers report that the amount of new paper
coming into the market is smaller than it has
been for many months. On the other hand,
Loans, discounts, and investments of New
York Clearing House banks decreased steadily
from $4,923,000,000, in round numbers, on
March 15, to $4,778,000,000, on April 5, and
then rose sharply during the following week
to $4,946,000,000 on April 12. Net demand deposits of these institutions moved within a
422
FEDERAL RESERVE BULLETIN.
narrower range and were $3,933,900,000 on
April 12, as compared with $3,977,000,000
on March 15. Out-of-town banks report the
demand for loans as normal and state that
their deposits continue to increase. The
amount of Federal Reserve notes in circulation
continued to increase gradually until April 8,
after which there was a slight decline.
Foreign exchange.—Foreign exchange rates
were irregular throughout practically all of the
period under review, this being especially true
of English, French, and Italian exchange.
With the exception of three countries in the
Far East and four in South America, all rates
moved in favor of the United States. The
following table shows the weekly movement in
demand rates on England, France, Italy, and
Japan:
Date.
Mar. 19.
Mar. 26.
Apr. 2
Apr. 8..
Apr. 15.
Italy.
6.375
7.40
7.30
7.27
7.41
Japan.
0.5075
.5075
.5150
.51125
.5125
MAY
1, 1919.
class of merchandise is noticeable, and an
excellent business for the balance of the year
is anticipated. Collections have been good
as the buying public seems to have been
educated to pay their bills more promptly.
The iron and steel industry is quiet at present
some plants operating at 50 per cent of capacity
and selling only one-half of the pig-iron made.
The ultimate outcome, however, is believed to
be favorable. The Hines-Redfield controversy
has had a very depressing effect. Many concerns v/hich had anticipated placing orders for
their steel requirements have now decided to
hold off awaiting the result of the controversy.
Many would be in the market for material, but
on account of the unsettled conditions, they
continue to defer purchasing their requirements. Taken as a whole, collections are fair.
The pottery manufacturers in the Trenton
district, one of the most important in the
country, and a considerable portion of whose
products go into buildings, state that so far
this year business has been the poorest for a
long time. The replies to inquiries are, however, hopeful, as it is believecf buildings of all
descriptions are needed in almost every city
throughout the country, and that the erection
of them must soon begin. Some concerns are
operating their plants to about one-half
capacity, accumulating goods for a demand
which they anticipate will come later in the
year. Collections have feeen good with what
sales have been made.
The woolen industry picked up considerably
in March and there is now a big Semand for all
grades of wool and wool substitutes. Woolen
mills and manufacturers of men's and women's
wear are all busy. Business is rather dull with
the underwear and blanket mills, although it is
believed that they, too, will soon be running
full again. In view of the conditions in the
woolen mills, the wool market has strengthened
considerably and wools have sold at the recent
Government auctions on a par with the Government allotment prices in operation during
the war. This is particularly true of the fine
and fine medium grades.
Stock and bond market.—Dealings in stocks
on the New York Stock Exchange during
March were the greatest in volume for any
month since December, 1916, and the greatest
for any March in 12 years. From early in
February until the middle of March prices
rose rapidly, but the next two weeks showed a
slight decline. During the first two weeks in
April there was a rise which slightly more than
offset the loss of the preceding fortnight.
Bond prices netted very little change during
the period under review. There was practically no change in the prices of outstanding
Liberty bonds following the announcement of
full particulars concerning the Victory Liberty
loan. The Annalist record of the average
prices of 50 representative stocks was 77.03 on
April 12, as compared with 76.42 on March 15;
and of 40 representative bonds, 76.81 on April
12, as compared with 76.55 on March 15. The
board of governors of the New York Stock
Exchange, on April 9, rescinded the regulation
in effect since November 1, 1917, requiring
REPORTED BY DISTRICT NO. 4.
members to make daily reports of short sales
to the business conduct committee of the
Conditions in the steel trade present a situaboard.
tion which is far from satisfactory. Indeed,
steel and allied lines are in such a muddled
REPORTED BY DISTRICT NO. 3.
condition as to make a wholly accurate resume
Retail trade continues wonderfully good, and of the situation all but impossible. Opinion
reports from all parts of the district are very seems to be quite in accord in believing that
encouraging. The demand for the better the net results of attempts on the part of
MAY
l r 1819.
'FEDERAL RESERVE BULLETIN.
various agencies, both private and governmental, to fix "reasonable" prices have had
an effect which tends to discourage rather
than stimulate activity. This is particularly
true in view of certain reactionary forces
which were brought to bear soon after the
price-fixing policy had been definitely advocated, and partially put into operation. There
is. however, a wide as well as somewhat bitter
divergence of views as to whether, in the
abstract, price fixing is the panacea for conditions at present prevailing in^ the steel field.
Some magnates are of the opinion that price
fixing is the only practical solution, while
other authorities are placing their hopes on a
policy of absolutely no regulation with a
complete reliance upon what they term the
"inevitable" laws of "supply and demand."
Although during the past month some plants
and furnaces have reopened on conservative
working schedules, the gain in most instances
has been offset, if not slightly exceeded, by
further retrenchment and reduction of output
by other concerns. The sluggish market is
not characteristic of the Pittsburgh district
alone, but is noticeable in other centers, particularly at Youngstown. Much impatience,
considerable criticism, and widely differing
views as to the proper remedy for the whole
situation represent, in a word, the conditions
of the hour.
With reference to specific lines in the steel
industry, it is interesting to note that the
branch" furnishing materials to automobile
manufacturers is enjoying, perhaps, the greatest
activity. While this branch is not running at
full capacity, it is running on a scale which
is not only encouraging but which holds bright
prospects If or the future. There is, for instance,
rather abundant evidence of still greater expansion in the plans of truck builders. The demand for sheet steel for these purposes is
regarded everywhere as gratifying, and is
apparently the real cause for the undertone of
optimism which seems to prevail generally,
even in places where present conditions are
anything but encouraging.
That division of the steel industry in which
the lowest percentage of operating activity
is noted is that depending on the railroads for
its source of demand. Inasmuch as the
Nation's steam carriers are said to absorb
normally about 20 per cent of the steel output
of the country, it will be seen that this situation has a dampening effect on conditions
generally. Moreover, it is the belief of those
423
in a position to know that conditions in this
line can not materially improve until Congress, which will probably be called in special
session at any early date, provides some
practical modus operandi for financial relief.
The pig-iron market shows a sympathetic
lull, with but slight hope for better things for
the immediate future. While no well-defined
decline in price has occurred, a slightly competitive market is putting in its appearance.
Although some inquiries are reported for
cranes and other heavy equipment, bookings
are few in number, the bulk of the inquiries
apparently being made for estimating purposes
only.
The steel industry, to summarize, is at present the victim of conflicting views and prices
which the consumer believes are not justified
by present conditions. The trade is hoping
that some influence which will restore* the
equilibrium will soon manifest itself, and when
this occurs opinion is unanimous in believing
that business which is at present dammed up
completely will flow forth in such volume as
to make for a healthy, permanent prosperity.
The decks, so to speak, a*re well cleared for
action.
REPORTED BY DISTRICT NO. 5.
While general conditions still disclose irregularities, they indicate increasing confidence and
stability. There has been souse reduction in
prices of canned goods and other food commodities. Prices of shoes and leather are
firm and trade active. Tobacco manufacturers are less active and prices of all grades
of tobacco have declined, but most of the crop
has been marketed at very high prices. Cotton
goods and notions are steadier and manufacturers are limiting production and awaiting
with confidence improved market conditions
as soon as foreign markets can be reached.
One manufacturer of overalls reports decided
improvement in orders. Some sales of goods
have been made on a close margin, or without
profit, rather than disorganize forces or pile
up merchandise. Cotton futures have advanced 3 or 4 cents recently and a better
demand is reported for spot cotton. Several
points report sales of fair quantities of the
staple at 26 to 27J cents per pound for average
lines of good grade. These figures are higher
than the quotations for futures.
The weather has been warm and farmers
have done much work preliminary to spring
424
FEDERAL RESERVE BULLETIN'.
planting. Wheat prospects are good for this
stage of the crop's growth. Indications are
for a reduced acreage in cotton, an increase for
tobacco, and a large corn crop. Truck crops
are normal, except a reduction in potatoes, and
there is a promise of an increase in other food
products—cattle, hogs, dairy products, etc.
Farmers universally are reported prosperous,
even in the cotton sections, although there is
complaint of low prices for peanuts, soy beans,
and cowpeas, and difficulty in moving these
cro
Conditions in the coal regions do not show
signs of improvement, and sales of machinery
to coal and oil operators are slow. Pipe plants
are only operating on short time. Plow and
wagon manufacturers are busy and report
business good.
MAY
1, 1919.
March, 1919, is less by 113,533 tons than for
the same months last year.
Steel mills are working full time. They have
enough orders for steel to keep them actively
employed for many months. The unfilled steel
tonnage of the United States Steel Corporation
in March is reported to be 5,430,572 tons, compared with 6,010,787 tons in February. There
is reported no shortage of labor and no labor
complications in this industry.
Owing to heavy export demand the turpentine market has been very active, and large
shipments will be made as soon as transportation can be provided. Prices on rosin are good
with very little movement. Owing to unfavorable weather the present crop is several
weeks late.
REPORTED BY DISTRICT NO. 7.
REPORTED BY DISTRICT NO. 6.
Wide interest is being manifested in the
movement to organize a cotton export corporation. The question is being discussed at meetings of various kinds throughout the district
and every present indication is that it will be
carried to a successful end. Committees have
been appointed to study the matter and to
work out details of operation. The benefits to
be derived from such an organization can hardly
be overestimated. Not only will cotton prices
be stabilized, because of a gradual marketing
of the crop the year around, but the producer
will have a ready and a certain market at all
times for his cotton. Another important result
will be the release to other lines of business of
large sums which have yearly been tied up in
cotton during the marketing season and for
some time thereafter.
Coal production continues at about the same
rate as previously reported The output for
March, 1919 (two large coal producing companies not reporting), is stated to be 1,436,517
tons, an increase of 285,596 tons over the output for February. The demand lor coal at
present is very light. Orders for the winter's
supply have not begun and some manufacturing plants which have been large users of
coal have ceased operations.
QrAj 16 of the 32 pig-iron furnaces in the
Birmingham district are now operating, and
others will cease to operate unless a more
active demand for pig iron takes place. The
output for March was 169,042 tons, as compared with 191,550 tons for February. The
pig-iron output for January, February, and
The automobile manufacturers in Detroit and
in other centers are experiencing a good business, with satisfactory prospects ahead, and
this activity extends into the accessory plants.
Detroit apparently occupies the position of
having as large a volume of this class of business as can be handled there with the present
man power. It is estimated that the automobile industry now has readjusted itself to a
peace basis at about 90 per cent of the existing
facilities; but it is not expected that the output
of 1915 and 1916 will be reached this year,
excepting possibly in low-priced vehicles. The
domestic demand for cars is good, and the
present purchases largely are to replace cars
which would have been sold or junked in 1917
or 1918 had the war not intervened.
Efforts to stabilize steel prices had a beneficial effect in stimulating inquiry, but this was
offset somewhat by the attitude taken by the
Railroad Administration in the matter of the
baying of steel for railway needs. The adoption of highway construction programs in several States is beginning to find its reflection in
a healthier business sentiment.
Building operations are gradually increasing,
but the most reassuring feature in the Middle
West is the activity in the preparatory steps
for building, rather than any actual construction. Owing to weather conditions, as well as
hesitancy in regard to price, construction has
not been up to expectations. Engineers and
architects, however, report plans in the making
in excess of any period in the last five years.
It is very difficult to find a vacant home in
Chicago or in the immediate vicinity. The de-
MAY
1, 1919.
FEDERAXi EESERVE BULLETIN.
mand for apartments is keen, and people seeking houses frequently find it necessary to buy
because it is almost impossible to rent one.
The demand for summer homes is close to, if
not in excess of, the supply, and people to-day
are occupying summer homes and installing
stove heat because of inability to supply their
needs temporarily in the city.
Similar conditions, although possibly not so
intensified, are reported from other cities.
This situation, of course, is the outgrowth of
the restricted building in the last two years.
Manufacturers of lumber and of building materials, as well as those engaged in actual construction work, are convinced a building boom
is near at hand. The present activities in
building, so far as Chicago and the immediate
vicinity is concerned, have been confined
chiefly to repair or alteration work of more or
less an emergent character, and to factory and
other commercial buildings, where owners are
obliged to protect individual interests.
Building material prices are on the down
grade, with the exception of lumber. During
the last month there has been a decline of at
least 15 per cent in cast iron radiation, 10 per
cent in cast iron boilers, 10 per cent in pipes,
and about 20 per cent in fittings, but with these
reductions plumbing and heating contracts are
still 90 per cent above the normal market
period from 1914 to 1915. Brick manufacturers have a very large supply on hand, arid
are not operating at the present time.
A similar condition is found among lumber
manufacturers and dealers. The lumber mills
at this season are obliged to cut their winter
accumulated supply of logs, hence are producing lumber faster than it can be absorbed
by the market. The prospective demand for
lumber, however, is very good and the lumber
producer is confronted by the same labor conditions and costs experienced in other industries
and hence resists any price recession.
Large stocks of cement are available and also
of miscellaneous building materials, while manufacturers of structural steel are willing to take
large and small contracts for immediate delivery. Cement prices are about 70 per cent
higher than the prewar level, but costs of
manufacturing are higher by about the same
per cent. One conspicuous feature in the
cement industry is that there are practically
no purchases except for immediate use, which
means that the stocks of cement in the hands
of dealers and users are at the minimum, and
425
presages a quick improvement in production
when the construction work gets well Under
way.
Not only in the building line but in practically all lines of industrial activity the price
situation seems to be the greatest stumbling
block, buyers apparently feeling that the price
level has not reached normal.
REPORTED BY DISTRICT JSTO. 8.
Business activity continues to improve with
the further readjustment of prices, and in some
lines it is practically normal. A large dry
goods company reports that all of its factories
are running full time, and that the demand for
its products is about 80 per cent of normal.
It states that declines of from 25 per cent to
30 per cent have taken place in cotton piece
goods, underwear, shirts, hosiery and dress
goods, with practically no change in linens,
silks, and ribbons. A large wholesale general
merchandise house reports that the demand
for its merchandise is about 20 per cent above
normal. Woolen mills report an active business, one stating that it has sufficient orders on
hand to carry it for six months. Clothing
manufacturers also report a larger volume of
business than at this time last year. The boot
and shoe industry continues active, with prices
firm. Wholesale milliners report substantial
increases in the number and amount of their
sales as compared with last year. A large
drug concernstates that its business is from
15 per cent to 20 per cent better than at this
time last year, and that there is an increasing
demand for many sundries and specialties
which may be classified as luxuries. Wholesale grocery houses also report a larger volume
of business than at this time last year, some reporting increases in sales of from 20 per cent
to 25 per cent. Hardware dealers state that
their business is improving and that their sales
compare favorably with last year. Some
branches of the iron and steel industry are
still below normal, though increased activity
is anticipated. One large steel concern states
that its business is seriously affected by the
lack of demand from the railroads. Manufacturers of brick and clay products report that
their business is still below normal, but that
they are looking for a good business with the
revival of building and construction work later
in the year. The electrical line is also looking
for increased activity.
426
FEDERAL RESERVE BULLETIN.
REPORTED BY DISTRICT NO. 9.
The general outlook throughout the district
is very good. Spring planting is everywhere
in progress, but has been somewhat retarded
in South Dakota and parts of Minnesota by
rains and snow, the resulting moisture being
to the advantage of the farmers, except that
it has made the ground too wet for seeding
and temporarily delayed planting. Spring
seeding is well advanced throughout Montana,
and moisture conditions are satisfactory. Conditions in North Dakota are very good, wheat
seeding is general, and soil and weather conditions are favorable.
Montana's winter wheat has come through
in excellent shape, and there has been very
little of the crop that was winter killed. There
will fee an increase of Durham wheat acreage
in North Dakota, and over the district as a
whole barley and oats will doubtless show an
increase. Winter rye has come through in
good condition, and has been greatly benefited
by moisture so far this spring. The flax
acreage in North Dakota may be somewhat
decreased, but in Minnesota and South Dakota
will be about the same, with the probability of
a slight increase in Montana. With favorable
weather, seeding should be completed by the
middle of May, which will not be much later
than in an ayerage«season, although the planting season will probably be somewhat late over
the district as a whole.
REPORTED BY DISTRICT NO. 10.
March operations in the oil fields were abou^
the same as operations in February, and it i s
not expected that the improvement promised
for early spring will have materialized during
April, owing to the severe wind and snowstorms in mid-April, which did great damage to
rigs and retarded operations. Daily production has been running slightly under 300,000
barrels in the Kansas-Oklahoma fields since
the 1st of March, the total output of these fields
for March being a little over 9,000,000 barrels.
More wells were completed in Kansas and
Oklahoma in March than in February, but
there was a falling off in new daily production
from the February record. The March field
summaries are:
Completions.
Kansas
Oklahoma
Wyoming
March, 1919
February, 1919.
203
657
14
874
871
Production.
6,055
30,050
1,725
37,830
50,373
MAY
1, 1919.
The number of rigs and wells drilling at the
close of March in the oil fields of the three
States was 23 in excess of the number at the
close of February. The number at the close
of March in each of the three States was:
Kansas, 496; Oklahoma, 1,419; Wyoming, 303.
Abundance of labor and excellent weather
conditions have resulted in unusual mining production, in spite of efforts to curtail the output
of zinc and lead ores in the Missouri-KansasOklahoma district. Along with better working
conditions there has come an increased efficency
of labor with the return of the soldiers. There
has also been a slight reduction in the cost
of mining, particularly on hard iron and
powder, .with a prospect of further reduction.
Lead ores at the beginning of March averaged $62 to $65, but was reduced to $60 and $61
by the end of the month. The high price in
the early part of the month was the result of
local competition and after this passed the
market became more normal. The demand
for lead ores remains firm and there is no
accumulation of surplus.
Zinc ores showed a downward tendency in
March, the average price dropping from $40 to
$45 at the beginning of the month, to $37.50
and $42.50 at the close. Calamine ores containing 40 per cent zinc were steady at $25 to
$27.50 per ton. Shipments of zinc ores were
comparatively heavy throughout the month.
In the Colorado mining districts conditions
are somewhat unsettled. Low price base
metals, associated with steadily increasing
costs of living, have put operators in a serious
dilemma, for they can no longer produce with
profit at present cost of labor. j£n announced
reduction of $1 a day in wages at Leadville has
been met with threats of a strike by miners.
The large molybdenum interests at Climax
have suspended operations, as have also tungsten operators in Boulder county. On the
other hand, there is slightly more activity in
Gilpin and Clear Creek counties. The general
outlook is encouraging unless there is some
radical change in the metal markets.
Coal operations have shown no apparent
increased activity and production is close to
50 per cent of normal, with no apparent increase in demand.
REPORTED BY DISTRICT NO. 11.
Dry.
45
176
2
223
240
Gas.
The vast area of the district and the wide
difference in latitudes make it difficult to
reconcile the numerous reports on crop conditions. Summarized, however, they are exceptionally favorable. Weather conditions have
MAY 1,
1919.
FEDEEAL KESERVE BULLETIN.
been good and permitted of planting on a
large scale. The condition of the small grain
crop shows further improvement during the
past month, and the district will make an
unprecedented yield. In the Rio Grande
valley the truck crops have been above the
average, and other growing crops in that
section are in excellent shape. In the Roswell
section, where farming is done principally by
irrigation, prospects for alfalfa and fruits,
which are quite important commodities there,
were never better. Prospects are also encouraging for an increased acreage in grain crops in
the dry lands. In practically every county of
the district the season in the ground is the
best in recent years, and while weather conditions will determine the outcome, for the
present at least, the prospects for bountiful
crops are most encouraging.
Except for the recent severe weather in the
Panhandle and eastern New Mexico, and
probable losses, livestock conditions could be
reported as extremely favorable. No definite
reports have been received as to the losses
sustained in the recent storms. They are,
however, believed to be negligible. Range
conditions are reported as ideal. Cattle,
fattened on grass, are now being shipped to the
markets, and they are reported to be in good
quality and bringing satisfactory prices. This
early marketing has enabled cattlemen in the
southeastern counties to liquidate their indebtedness, and it means generally prosperous conditions. Stocker cattle are in heavy demand and
are bringing unusually high prices. The price
of hogs recently reached a high level when a fraction over $20 per hundred pounds was paid at
the Fort Worth market for hogs of good quality.
With the rains over the entire Southwest and
fine prospects for a heavy feed crop, the outlook
for increased hog production is promising.
The present situation in the copper industry
district has nothing about it to stimulate enthusiasm. The market is practically at a standstill
and during the past month there have been
quotations as low "as 14 J cents. The curtailing
of output from 30 to 50 per cent has had no
effect in reducing the world surplus, as the sales
have not nearly equalled the reduced output.
The output of the mines has been decreased
to as low a point as possible commensurate
with the maintenance expense, and forces have
been cut proportionately. Nevertheless, the
operators have paid particular attention to the
question of unemployment, and have not
released those employees longest in their service. The slump in copper, the cut in wages
and reduction of forces Has been reflected by a
115631—19
4
427
smaller volume of business being transacted by
the merchants drawing trade from this industry.
REPORTED BY DISTRICT NO. 12.
During the past month the numberV, of
unemployed throughout the district has been
greatly reduced. It is reported that in California there is now a surplus of 12,000 workmen, as compared with 19,600 a month ago.
Of these 4,500 are in San Francisco, 7,00(Hn
Los Angeles and vicinity, and 400'in Oakland.
They include 7,300 unskilled laborers, 1,400
agricultural workers, 800 unskilled shipworkers,
and 685 clerks. In Oregon, there is an estimated surplus of 3,955 against 8,985 on
February 1, of which 1,455 are skilled and
2,500 common or semiskilled. There is, however, in that state a shortage of farm hands
numbering about 250. In Washington the
unemployed number 7,000 and include many
skilled, and semiskilled workers formerly employed in the shipyards bisilding wooden ships,
ihis is a decrease of 3,000 from the total
reported last month. With offers of wages
ranging from $65 to $75 per month and board
and lodging, there is an estimated shortage of
from 800 to 1,000 farm laborers in Washington.
In Utah labor conditions have improved, but
there is still a surplus of 5,000. Estimates from
Arizona place the total number of unemployed
at 4,000, mostly miners. Idaho reports a
shortage of agricultural workers and no unemployed except a few miners. In Nevada a
small surplus of clerks and truck drivers is noted.
Reports from a selected group of department stores and wholesale drygoods firms in
nine of the largest cities of the Twelfth Federal
Reserve District indicate that retail trade is
exceedingly active, but that wholesalers are
experiencing some difficulty in disposing of
their stocks. This situation is said to be the
result of a desire on the part of retailers to
liquidate their stocks and to buy for present
needs only. Several retail firms state that
their buying policy has remained unchanged
during the past two months, others report
greater confidence in making future commitments which are for periods ranging in length
from two to six months, and some are placing
orders for .fall delivery although not in so
great a volume as normally. Prices since
November have had a downward tendency and
the prevailing opinion among wholesalers and
retailers is that the next few months will witness further, although gradual, declines. The
greatest reductions are being made in staple
cotton and woolen goods, although they are
still selling at high levels.
428
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Deposits and War Paper.
Much attention has been focussed upon the
great growth of national-bank deposits during
the past few months, the apparent view entertained by some being that this growth in
deposits represents a corresponding growth in
strength or in regular business activity. The
following table has been compiled for the purpose of comparing at different dates the rate of
growth in deposits, while there is also stated,
so far as can be obtained, the amount of
Government obligations held and the volume
of war paper secured by such obligations.
From this comparison it will be seen that during
the period for which statistics are available the
growth in the volume of holdings of war obligations and war paper has been greater than
the rate of increase of the deposit accounts.
It is noted in the case of many individual
banks that the general correspondence between
the loans and discounts on the one hand and
deposits on the other, which represents their
ordinary or normal business, has disappeared,
loans and discounts being very much smaller
than the deposits carried on their books. This
condition of affairs is particularly noteworthy
in the case of some of the larger city banks
and is explainable by the fact that a large
proportion of bank assets has gone into the
form of actual investments rather than discounted bank paper.
National-hank deposits and holdings of United States war securities and war paper.
[In millions of dollars; i. e., 000,000 omitted.]
Gross
deposits.
Date.
Mar. 5
Mav 1
June 20
Sept.11
Nov. 20
Dec. 31
Mar. 4
Mav 10
1917
1918.
June 29
Aug. 31
Nov.l
Dec. 31
Mar. 4
. .
1919.
Net
deposits.1
War paper discounted
War paper held
Holdings of—
bv Federal Reserve
Total
secured b y Net
Banks.
holdings
amount
of
war
on which
obligations
reserve is
and war
computed. Liberty Treasury
Liberty Treasury
paper.
certifiDate.
Amount.
bonds. eertifi-"
bonds.
cates.
cates.
12,958.2
13.080.3
12,771.8
13,230.5
14,794.1
14,442.5
10,491.3
10,605.0
10,641.2
11,028.8
12,415.2
11,749.6
10,489.2
10,283.5
10,084.2
10,082.8
10,348.8
10,556.5
217.9
702.9
609.6
14,435.5
14,380.4
14,0.16.1
13,879.7
15,041.4
15,414.2
11,871.1
11,765.8
12,013.1
11,815.8
12,645.6
12,588.9
10,462.4
10,310.4
10,127.9
10,456.7
10,767.5
11,562.5
475.5
861.3
730.5
668.0
1,374.3
1,214.0
876.9
299.7
1,652.1
618.8
996.1
457.7
406.8
42.0
1,807.0
2,113.0
982.1
1,020.4
36.7
15,291.9
12,848.8
11,283.7
1,029.3
1 870 7
1 034 7
40.8
• .
_
.
|
1917, June 22
Sept. 14
Nov. 23
Dec. 28
2 83.2
2 21.5
2 365.4
283.4
3,253.2
1918, Mar.
May
June
Aug.
Nov.
Dec.
1
10
28
30
1
31
249.2
612.3
434.5
896.2
1,252.9
1,453.8
3,975.5
1919, Mar.
7
1,701.5
iii.i
i
354.7
1
Gross deposits, less amount due from banks and bankers and items in process of collection, also less clearing house exchanges and cheeks on
local2 banks.
Includes only collateral notes secured by United States war obligations, but not customers' paper thus secured.
MAY
f
Rates of Interest in. the New York Market.
Changes in interest rates for three tj^pes of
paper in the New York market are shown in
the chart below. The rates for 1914 to 1918
are taken from the "Review of Economic
Statistics77 issued by the Harvard Committee
on Economic Research on January 1, 1919, and
the rates for the three months of 1919 are from
the Bank and Quotation Section of the Commercial and Financial Chronicle. For 1914
and 1915 the Review of Economic Statistics
took the figures from W. C. Mitchell's articles
in the Journal of Political Economy (v. 21,
p. 512; v. 24, p. 146): for 1916 and 1917 from
the Financial Review for 1918, p. 76 and 77,
and for 1918 from the above-mentioned section
429
FEDEEAL RESERVE BULLETIN.
1, 1019.
of the Commercial and Financial Chronicle.
Mr. Mitchell's method of computation was followed throughout, viz: in reducing the weekly
rates given in the source to monthly averages,
each week was placed in that month in which
fell the majority of its days. Both the high and
lowfigureswere included in making the averages.
(W. C. Mitchell, Business Cycles, p. 149.)
The kinds of paper for which quotations were
taken are as follows:
1. Good single-name commercial paper
running 4 to 6 months.
2. Choice double-name commercial paper running 60 to 90 days.
3. Call loans at the New York Stock
Exchange.
RATES OF INTEREST ON COMMERCIAL PAPER ANP ON
CALL LOANS IN T/fENEIV YORK MARKET, 1914 TO 1319.
Curve f: State on Jour-to-SCz Months 3a?Ler.
Gzrve2:Jtateon Sixty -tv-Ninety ZkiyJhjier.
O . - Sate on Cll
C
IBIS
fSt?
IBI8
I 1919
480
FEDERAL BESERVE BULLETIN.
WAR OPERATIONS OF THE GERMAN
REICHSBANK.
Following is a statement based upon the
weekly statements of the Reichsbank and the
annual reports of the same institution.
At the outbreak of the war the gold reserve
of the German Keichsbank was 1,253 million
marks.1 Immediately upon the declaration
of war the Government took measures to conserve and if possible to increase this reserve.
Chief among these measures were the deposit
by the Government of the war chest accumulated since the Franco-Prussian war, prohibition of gold exports, and a widespread popular
campaign to induce the public to turn in the
gold in its possession. As early as 1909 the
Reichsbank notes had been made legal tender.
The gradual growth of the gold reserve continued until May 31, 1917, when it reached the
maximum of 2,567.1 million marks. Occasional declines in the reserve were due to exports of gold to neutral countries made for the
purpose of affecting favorably the exchange
value of the mark. Such declines may be
noted in the amount of gold reported on April
30, 1915, on June 3O7 1917, and on April 30,
1918. These efforts, however, proved futile
in the face of excesses of imports over exports,
and the mark exchange continued to fall.
The signing of the armistice brought a slight
recovery during the remainder of the year.
The Keichsbank report attributes this improvement in part to the increasing difficulty
of importing raw materials and in part to an
increasing demand for German marks, considerable amounts of which were known to be
shipped clandestinely to evacuated territory
and there exchanged at prevailing fixed rates,
which are much more favorable than market
rates. The increase in the gold reserve shown
for September and October, 1918, may be due
to the receipts of gold exacted from Russia by
the treaty of Brest-Litovsk. Since the signing
of the armistice the gold reserve has declined
from 2,550 million marks on October 31, 1918,
to 2,254 millions on January 31, 1919.
1
The mark nominally equals 23.8 cents.
MAY
1, 1919.
Discounts and advances of the Reichsbank,
which represent for the most part advances to
the Imperial Government, were reported as
2,283 million marks on July 31, 1914, just
before the war broke out; 54 months later, on
January 31, 1919, this amount had increased
nearly twelvefold, to 27,108 million marks.
The increase during these four and one-half
years was not continuous, however, as will be
seen by reference to the accompanying table
and curve. There were large increases preceding each great war loan which, came in
March and September of each year, followed
by decided declines immediately after the consummation of each loan, the new level after
each peak, however, being higher than that
recorded for the months preceding the loans.
The great increase in discounts and advances
on dates immediately before the flotation of
the loans are due to borrowing by the Government in anticipation of the proceeds of bond
sales and in a much smaller degree to borrowing
by the public and by commercial banks for the
purpose of making payments on the bonds.
Upon receipt of the proceeds of the bonds the
Government would redeem the bulk of its unfunded obligations held by the Reichsbank,
with the result that the amount of discounts
and advances would show a sharp decline,
which, however, was not sufficient to bring the
amount back to the old level. The decline
recorded after the eighth war loan in October,
1918, was not so great in proportion as those
following the previous loans, and after the
signing of the armistice the bill holdings of the
bank increased by leaps and bounds from
20,686 millions on October 31 to 27,422 millions
on December 31, 1918, an increase of about
6-7 billions during the two months. During
January, 1919, the figures showed a decline of
about 300 million marks. A comparison of the
reports at the end of 1917 and at the end of
1918 shows that discounts and advances nearly
doubled during the year, increasing from 14,596
millions to 27,422 millions. In explanation of
the great increase in loans to the Government
the Reichsbank in its report for 1918 mentions that private capital showed strong re-
MAY 1,1919.
FEDERAL RESERVE BULLETIN.
luctance to invest in long-term securities and
that considerable liquidation of Government
securities was taking place, while at the same
time it became increasingly difficult for the
German Government to secure credits in
neutral countries. As a consequence the large
expenditures occasioned by demobilization
had to be met largely by loans obtained from
the Reichsfoank.
On the other side of the balance sheet, the
demand liabilities of the Reichsbank, other
than notes in circulation, i. e., largely demand
deposits of the Government, increased from
793 million marks at the end of 1913 to 1,759
millions at the end of 1914, and continued to
grow, reaching 2,359 millions in 1915, 4,563
millions in 1916, 8,034 millions in 1917, and
13,820 millions at the close of 1918.
Greater than the growth in deposit liabilities
and more indicative of the trend of affairs is
the growth in fiduciary circulation. The
Eeichsbank notes in circulation increased
steadily from the beginning of the war with
slight declines following the flotation of the
loans, when as a result of cash payments by
the public on subscriptions considerable
amounts of bank notes would find their way
back into the coffers of the Reichsbank and
thereby decrease the amounts of outstanding
circulation. On July 31, 1914, there was a
total of 2,904.4 million marks of notes in circulation, by December 31 of the same year the
amount had increased to 5,049.9 millions. At
the end of 1915 notes outstanding were 6,917.9
million marks; at the end of 1916, 8,059.7
million marks; at the end of 1917, 11,467.7
million marks, and at the end of 1918, 22,188.0
million marks. Since then the figure has increased further to 23,647.6 millions on January
31, 1919. While the notes in circulation increased continuously throughout the war the
r ate of growth during the first three years of
the war was comparatively moderate. During
1915 the rate of increase was about 37 per cent;
during 1916, 17 per cent; and during 1917, 42
per cent; but during 1918 the note circulation
increased 106 per cent. From October 31, just
431
before the armistice, to January 31, 1919, the
volume of the Reichsbank notes in circulation
increased by nearly 7 billion marks, or by about
67 per cent in four months. A large portion of
these notes found their way into enemy territories (Poland, Lithuania, Belgium, France;
etc.) occupied by the German armies, largely
as a result of the practice of th© German military to pay with German currency for requisitioned supplies.
The notes issued directly by the bank and
shown in its balance sheet as a liability are not
all the paper currency circulating in the country. Immediately after the beginning of the
war the Government adopted the policy tried
out during previous wars and established a
number of loan banks (Darlehenskassen) which
loaned money to the public on securities and
nonperishable commodities. These banks
were authorized to issue their own notes
(Darlehenskassenscheine) up to an amount
equivalent to the loans made by them. According to the original act establishing these
loan banks the total amount of their notes was
not to exceed 1,500 million marks. The law
provided, however, that this maximum oould
be raised by order of the Federal Council
(Bundesrat). The first increase of this maximum was authorized as early as November 11,
1914. Since then further expansion became
necessary, as may be seen from the large increases in the reported amounts of these notes
outstanding. The notes were issued in small
denominations and obtained a wide circulation owing to the scarcity of subsidiary coins.
On August 31, 1914, there were 70 million
marks of these notes in circulation; on December 31 of the same year, 446 millions. Since
that time the amount has increased enormously. At the end of 1917 it was 6,266
millions; just before the armistice was signed
it was 9,430 millions and on January 31, 1919,
it was 10,170 millions.
{Statistics of the loan bank notes for August
31, 1914 and 1915, and monthly from August
31,1916, to January 31, 1919, are shown in the
table following.
432
FEDERAL KESERVE BULLETIN.
Loan bank notes issued, held by the Reichsbank, and in
circulation.
The war operations of the Reichsbank have
been very profitable. From 67 million marks
in 1914 net earnings rose to 106 million during
1915,, were somewhat lower in 1916 and 1917.
but reached the maximum figure of 111 millions in 1918. The rate of dividends received
by the shareholders based on the bank's
180,000,000 marks of capital was as follows:
In 1914, 10.24 per cent; in 1915, 8.97 per cent;
in 1916, 8.68 per cent; in 1917, 8.72 per cent;
and in 1918, 8.68 per cent.
[In millions of marks.]
Date.
1914, Aug. 31..
1915, Aug. 3 1 . .
1916, AUK. 31...
'Sept. 30..
Oct. 3 1 . .
Nov. 30..
Dec. 31. 1917, Jan. 3 1 . .
Feb. 28..
Mar. 3 1 . .
Apr. 30..
May 31..
June 30..
July 3 1 . .
Aug. 31. .
Sept. 29..
Oct. 31 . .
Nov. 30..
Dec. 31 - .
1918, Jan. 31...
Feb. 28..
Mar. 30..
Apr. 30..
May 3 1 . .
June 29..
July 31 - .
Aus. 31..
Sept. 30.
Oct. 3 0 . .
Nov. 30..
Dec. 3 1 . .
1919, Jan. 3 1 . .
Held in
JReichsbank.i
Total.
243
1.020
2,034
2,44.4
2,528
2,902
3,408
3,458
3,826
4,242
4,512
4,662
5,076
5,352
o,860
6,524
6' 738
7,024
7,690
7,962
8,326
8,588
8,896
9,474
9,692
10,514
11,502
12,606
14,112
15,626
16,158
i
i
!
I
I
!
i
!
!
In circulation.
173
252
418
498
338
426
534
388
450
488
614
552
554
628
776
1,094
1, 132 :
1,1.64 I
1,424 !
1,372 i
1,430 I
1,656 i
1,650 j
1,726 j
1,892 j
1,956 |
2,278 i
2,756 i
3,176 I
4,122
5,518 !
5,988 !
1
Including amounts held as cover lor treasury notes.
ber, 1915, this amount has been 120 million marks.
70
768
1,616
1,986
2,190
2,476
2,874
3,070
3,376
3,754
3,898 | Net earnings
4,110
4.522
4,724
5,084 i
5,430
5, 606
5,860
6,266
6,288 Net earnings
War t a x
6,532
6,670 ! Regular tax
Reserve
fund
6,938
7,170 Dividends
7,582
7,736
8,236
8,746
9,430
9,990
10,108
10,170
Since Septem-
To the 23,648 million marks of imperial bank
note circulation there should therefore be added
10,170 millions of loan bank notes, making a
total of 33,818 million marks of fiduciary currencyissued by the two bank authorities. These
notes apparently are put into circulation
largely by the Reichsbank, which receives them
from the Darlehenskassen in exchange for its
own notes. The Reichsbank retains part of
the loan bank notes, which according to the
law of August 4, 1914, may be counted as part
of the bank's one-third legal reserve cover for
its own bank notes and to a limited extent also
as cover for the 360 million treasury notes, the
maximum issue authorized at the outbreak of
the war. On January 31, 1919, 5,988 million
marks of the loan bank notes were held in the
Reichsbank, which, added to the 10,170 millions
in circulation, brings the total amount of such
notes outstanding to 16,158 million marks, indicating that loans aggregating this amount
were made by the loan banks.
MAY 1, 1919.
of the German Reichsbank and their distribution.
i
[In thousands of mar Vs.]
1914
•
;
!
1915
67,011 j 106,482
j 50,973
34,446
42,498
4,921
6,071
16,142
18,442
1917
97,276
44,069
32,835
4,691
15,681
1918
!
\\
1/
!
!
110,839
90,534
4,368
15,637
The manner in which the distribution of net
earnings is calculated can best be explained by
showing the actual distribution of the 1917 netearnings:
Thousands
of marks-
Net earnings for 1917 were
From this amount deduct an amount equivalent to
the average of the net earnings for the three prewar years 1911-1913
Leaving excess net earnings of
Of this excess three-fourths were allotted to the
Government
This amount subtracted from the total net earnings
(97,276) leaves a balance of
Normal minimum dividend to stockholders—3J
per cent on the paid-in capital of 180,000,000
marks
Leaving a balance of
Of this balance 10 per cent was transferred to
special reserve against war losses
Leaving an amount for further distribution of
This amount was divided by assigning to the Government three-fourths of the 46,907. (35,181) less
one-half of the amount transferred to special
reserve (2,346)
And to the shareholders one-fourth of the 46,907
(11,727) less one-half of the amount transferred
to special reserve (2,346)
97, 276
38, 518
58, 758
44,069
53, 207
6, 300
46, 907
4,691
42,216
32, 835
9, 381
As a final result of these elaborate calculations the Government received 79 per cent of
the net earnings of 1917, the reserve fund re-
MAY 1,1919.
433
FEDERAL RESERVE BULLETIN.
ceived 5 per cent, and the stockholders 16 per Gold reserve, notes in circulation, and discounts and advances
of the German Reichsbank—Continued.
cent. Had the distribution been made on the
prewar basis, the Government would have reNotes in circulaDiscounts and
Gold in vault.
tion.
advances.
ceived 68 per cent and the stockholders 32 per
cent, so that the Government's share was
Date.
Millions I Millions Millions I Millions Millions Millions
increased by about 8.7 million marks, the stockof
of
| of
of
of
of
marks. dollars. marks, j dollars. marks. dollars.
holders' share was reduced by about 13.5 million
i
marks, while the reserve fund against war
1915.
575.8 6,157.6 1,465.5 7,483.7 1,781.1
2,419.4
30..
losses, which is of course a war institution, was Sept.
2,428.8
578.1 5,946.4 1,415.2 4,225.4 1,005.6
Oct. 30...
2,435.3
Nov. 3 0 . .
579.6 5,999.4 1,427.9 4,687.5 1,115.6
credited with about 4.7 million marks,
2,445.2
Dec. 31...
582.0 6,917.9 1,646.5 5,816.2 1,384.3
A table showing the gold reserve, notes in
1916.
31...
2,435.5
583.9 6,502.4 1,547.6 5,294.8 1,260.2
circulation, and discounts and advances of the Jan.
Feb. 29...
2,457.1
584.8 6,554.3 1,560.0 5,797.2 1,379.7
Mar. 31...
2,460.1
585.5 6,9,88.1 1,663.2 8,124.4 1,933.6
Reichsbank from the beginning of the war to Apr. 29... 2,461.8 585.9 6,696.9 1,593.9 5,138.1 1,222.9
May 31....
2,464.4
586.5 6,737.6 1,603.5 5,507.9 1,310.9
January 31,1919, is appended hereto, followed June
30...
2,465.7
586.8 7,240.5 1,723.2 6,621.5 1,575.9
July 29....
2,467.8
587.3 7,024.4 1,671.8 6,554.7 1,560.0
by a diagram illustrating the changes in these Aug. 3 1 . . . 2,469.0 587.6
7,117.9 1,694.1 7,090.2 1,687.5
Sept. 30...
2,484.8
591.4 7,370.0 1,754.1 10,769.3 2,563.1
three items.
Oct. 3 1 . . . .
2,506.1
596.4 7:260.0- 1,727.9 7,891.4 1,878.2
Nov. 30..,
Dec. 30...
2,518.5
2,520.5
599.4
599.9
7,333.7
8,054.7
1,745.4
1,917.0
1917.
Jan. 3 1 . . . .
Feb. 28....
Mar. 31....
Apr. 30....
May 31....
June 30...,
July 3 1 . . . .
Aug. 3 1 . . .
Sept. 29...
Oct. 2 3 . . . .
Nov. 3 0 . . .
Dec. 31....
2,524.4
2,527.3
2,530.6
2,532.6
2,567.1
2,457.3
2,402.2
2,403.0
2,404.0
2,404.5
2,405.3
2,405.6
600.8
601.5
602.3
602.8
611.0
584.8
571.7
571.9
572.2
572.3
572.5
572.5
7,858.5
8,107.2
8,616.0
8,315.4
8,285-2
8,698.7
8.852.7
9,337.1
10,204.9
10,138.7
10,622.3
11,467.7
1,870.3
1,929.5
2,050.6
1,979.1
1,971.9
2,070.3
2,106.9
2,222.2
2,428.8
2,413.0
2,528.1
2,729.3
8,190.0
8,997.9
13,606.0
8,714.8
9,364.5
10,962.5
11,127.8
11,364.6
15,632.5
11,553.1
12,234.2
14,596.1
1,949.2
2,141.5
3,238.2
2,074.1
2,228.8
2,609.1
2,648.4
2,704.8
3,720.5
2,749.6
2,911.7
3,473.9
1918.
Jan. 3 1 . . . .
Feb. 28....
Mar. 30....
Apr. 30....
May 3 1 . . . .
June 29....
July 3 1 . . . .
Aug. 3 1 . . .
Sept. 30...
Oct. 3 1 . . . .
Nov. 3 0 . . .
Doc. 3 1 . . . .
2,406.1
2,407.8
2,408.5
2,344.0
2 345.7
2,346.2
2,347.3
2,348.1
2,447.4
2,550.0
2,308.4
2,262.0
572.7
573.1
573.2
557.9
558.3
558.4
558.7
558.8
582.7
607.1
549.6
537.1
11,138.9
11,310.8
11,977.8
11,820.8
12,002.7
12,510.4
12,704.5
13,639.1
15,334.4
16,661.6
18,609.9
22,188.0
2,651.1
2,692.0
2,850.7
2,813.4
2,856.6
2,977.5
3,023.7
3,246.1
3,651.0
3,967.0
4,430.9
5,282.8
13,105.5
13,048.5
16,034.3
13,887.8
14,644.7
16,670.9
15,988.5
17,674.2
23.836.1
20,685.8
22,141.4
27,422.0
3,119.1
3,105.5
3,816.2
3,305.3
3,461.7
3,967.7
3,805.3
4,206.5
5,675.3
4,925.2
5,271.8
6,529.0
1919.
Jan. 3 1 . . . .
2,253.7
536.6
23,647.6
5,630.4
27,107.6
6,454.2
Gold reserve, notes in circulation, and discounts and advances
of the German Reichsbank.
Gold in vault.
Date.'
Notes in circulation.
Discounts and
advances.
Millions Millions Millions Millions Millions Millions
of
of
of
of
of
of
marks. dollars. marks. dollars. marks. dollars.
1914.
July 31
Aug. 3 1 . .
Sept. 30..
Oct. 3 1 . . .
Nov. 3 0 . .
Dec. 31...
1,253.2
1,556.5
1,716.1
1,858.3
1,991.3
2,077.2
298.3
370.4
408.4
442.3
473.9
498.1
2,909.4
4,234.9
4,490.9
4,170.8
4,205.4
5,045.9
692.4
1,007.9
1 068.8
992.7
1.000.9
i;200.9
2,283.3
4,855.0
4,786.4
2,809.1
2,968.2
3,959.4
543.4
1,155.5
1,139.2
668.6
706.4
942.3
1915,
Jan. 15...
Feb. 27...
Mar. 31...
Apr. 30... . . .
May 3 1 . . .
June 30...
July 31... . . .
Aug. 3 1 . .
2,163.8
2,270.6
2,337.5
2,268.5
2,379.5
2,387.6
2,400.7
2,410.2
515.0
540.4
556.3
539.9
566.3
568.2
571.4
573.6
4,658.6 1,108.7
4,862-7 1,157.3
5,624.0 1,338.5
5,310.3 1,263.9
5,317.9 1,265.7
5,840.3 1,390.0
5,538.2 1.318.1
5,564.3 1,324.3
3,826.3
4,138.2
6,876.6
3,807.2
4,164.4
4,933.4
4,801.6
4 957.0
910.7
984.8
1,636.6
906.1
991.1
1,174.1
1,142.8
1,179.8
8,088.1 1,925.0
9,619.5 2,289.4
GOLD IN VAULT, BANK NOTES IN CIRCULATION, ETC.,
OF THE GERMAN REICHSBANK, SINCE THE OUTBREAK OF THE IYA,
sooo
4500
w
M.4Y 1, 1910.
FEDERAL RESERVE BULLETIN.
435
Central Banking in Belgium During the Period agreed to send a mission to London and also to
Havre to request authority for the return of
of German Occupation.!
A record of financial service to Belgium during the period of occupation by the German
armies is presented in the Annual Reports of
the National Bank of Belgium and the Soeiete
Generaie de Belgique for 1918.1
The following discussion is based largely on the
reports of the two leading Belgian institutions,
supplemented by data drawn from several contemporary sources. Belgium's liberation from
German domination makes it possible for the
banks to tell the story of their struggle with the
enemy, in which, despite overwhelming odds,
the banks were able to stand their ground.
When the war broke out financial commotion
bordering on panic manifested itself in Belgium. In this emergency the banks joined
forces by forming, under the leadership of the
Societe Generaie, a bank syndicate with a capital of 100,000,000 francs. The National Bank
of Belgium agreed to discount the joint organization's paper after the creation of a guarantee
fund of 400,000,000
francs in securities. This
action b}7 the Belgian banks put a temporary
stop to the panic, but the German invasion
continued, and soon Brussels was in the hands
of the Germans. One of the principal objectives of the German financial commission which
followed the army of occupation was to secure
the gold and securities of the National Bank
of Belgium, the country's bank of issue. In
fact, the German military between August 10
and September 2 had seized a total of 8,515,000
francs at the bank's branch offices at Hasselt,
LiSge, Dinant, Mons, and Ath. Warned by
these seizures, the head office of the bank
avoided a similar experience by sending its
metallic reserve amounting to about 300,000,000 francs, its securities, supply of notes, and
plates, for safekeeping to Antwerp, and. thence,
before Antwerp fell into the hands of the enemy,
to the Bank of England.
As a result of this precaution the bank's
treasure was saved, but the bank was no. longer
able to supply the country with currency and
was facing a very serious situation. It issued
200,000,000 francs of1 emergency notes ("billets
de compte courant' ), but this issue was soon
exhausted. The German authorities demanded
the return of the notes and plates from London,
and, in order to gain time, the National Bank
1 La Banque Nationale de Belgique sous 1'occupation aliemande.
1914-1918.
Rapport au Rpi, 1918.
Societe Generate de Belgique, Compte Eendu a Passemblee generale
des actionnaires. Aunee, 1918.
115631—19
5
the treasure to Belgium. As was to be expected, this request was refused. The German
authorities then decided to withdraw the privilege of note issue from the National Bank of
Belgium, ostensibly on the ground that they
could not have dealings with the institution
while it was acting as fiscal agent of the Belgian
Government which had control of the cash and
notes of the bank.
There was some danger that the German
authorities might establish in Belgium loan
banks of the type of the German Oarlchenskassen with the privilege of note issue. The
Belgian banks saw in this plan a grave danger to the credit machinery and the business organization of the country. Another
effort was then made to obtain permission
from the Belgian authorities in Havre to
return the note plates to Belgium, but the
request was again refused. The Belgian minister of finance, however, gave a written assurance that under no circumstances would
the Belgian Government dispose of the metallic reserve of the National Bank or of the
plates or notes already printed. In case the
management of the National Bank in Havre,
contrary to expectations, should proceed to the
issue of notes it would notify the bank's executive committee in advance, the issue would be
made for the bank's account and the Belgian
Government would not derive any profits from
the operation.
In order to avoid the introduction into
Belgium of currency under German control, the
leading banks, including the National Bank,
after consulting with many prominent public
men, agreed to have the Societe Generaie de
Belgique, the oldest banking corporation in
the country, assume the functions of a bank
of issue which it had performed prior to 1850.
The Societe Generaie was to have an issue
department only so long as the German occupation continued, and was to keep its accounts
of receipts and disbursements in such manner
as to make it possible to turn over the entire
department and all its profits to the National
Bank not later than three months after evacuation. The German authorities accepted this
action of the Belgian banks, but in publishing;
the account of the arrangement they wrongly
gave the impression that they had withdrawn1
| the issue privilege from the National Bank as
a punishment for its unwillingness to cooperate
with the invader and had of their own choice
436
MAY 1, 1019.
FEDERAL RESERVE BULLETIN.
intrusted it to the Societe Generale de Belgique. As a matter of fact, they had merely
acquiesced in an arrangement previously made
by the banks and probably were not- cognizant
*of the full significance of the agreement
among the banks. The notes of the National
Bank, of which there were about 1,600,000,000
francs in circulation, retained their legaltender quality.
It may be of interest in. this connection to
quote from Gen. von Bissing's official statement of December 22, 1914, in which he gives
the German version of the conflict with the
National Bank:
The actions of the National Bank and of the Belgian
minister of finance are in violation of law and statutes.
They violate the organic law by which the Belgian Government established the National Bank of Belgium and
expose the country to a grave danger. For the Belgian
minister of finance could use the cash of the bank, the
financial reserve of the country, directly or indirectly
for war purposes. The very foundation of the fiduciary
currency amounting to 1,600,000,000 francs would thereby
be shaken. All this constitutes a grave menace to the
vital interests of the Belgian people. The German Government finds itself confronted with the possibility that
the Belgian Government, for the purpose of carrying on
warfare against the German authorities, may issue notes1
of a bank operating in the occupied territory of Belgium.
It was apparently to meet this argument
that the Belgian Government gave a written
assurance to the representative of the National
Bank that no such proceedings would be
undertaken during the war without the assent
of the bank authorities.
As early as September 26 the German military authorities issued an order to all the Belgian banks over the signature of GovernorGeneral von der Goltz to the effect that they
"must not, during the war, conduct their
business in a manner contrary to German
interests." This vague and comprehensive
order led to many conflicts, to the arrest and
deportation to Germany of the president of
the National Bank, and to many arbitrary
measures of the invaders. Of particular gravity proved the conflicts between the two note
institutions and the German authorities in
connection with the war contributions imposed
upon the country and with the transfer to
Germany of the two banks' vault reserves.
the Germans to discount and issue notes
against the short-term obligations ("bons")
of the Belgian provincial authorities exacted
from them in payment of the war contributions
imposed by the German military authorities,
who threatened in case of refusal to invest the
debt obligations of the provincial governments
with legal-tender quality. This was a device
adopted by the Germans for the purpose of
rendering immediately available the proceeds
of contributions collected from the Belgian
people. The bank was reluctant to assist the
fiscal policy of the German military authorities, But, after consulting many prominent
Belgians, decided that it had no choice but to
comply, as no good could come from its opposition, since it was considered essential to keep
the privilege of note issue in the hands of a
Belgian institution.
The National Bank was likewise closely concerned with the war contributions. After the
first few months, during which contributions
were imposed on towns and municipalities as
the invasion proceeded, the German authorities determined to impose contributions on
the nation as a whole and to have them
apportioned among the Provinces. As nearly
as can be estimated these contributions were
as follows:
Bate,
First contribution
Second contri bution..
Third contribution -..
Fourth
. _.__ con tribution..
Fifth contribution
Sixth contribution
Dec. 10,1914
Nov. 10,1915
Nov. 20,1916
May 21,1917
| Nov. 20,1917
I Mav 24,1918
Total for tine period of occupation.!
Amount.
Francs.
480,000,006
480,000,000
300,000,000
360,000,000
360,000,000
300,000 000
2,340,000,000
During the first two years payments were
demanded at the rate of 40,000,000 francs a
month; during the following six months at the
rate of 50,000,000, and during the last two
years at the rate of 60,000,000. These
amounts, together with the approximately
200,000,000 francs of local contributions, bring
the total amount of war contributions to
more than 2,500,000,000 francs.
The German authorities collected the contributions through the banks of the country, and
THE BANKS AND THE WAR CONTRIBUTIONS.
the National Bank stood the brunt of the conSoon after the establishment of the issue flict through remonstrances and passive resistdepartment of the Societe Generate it was ance against the exactions of. the invader.
confronted with the demand on the part of Appeals were made to the governor-general,
arguments based on The Hague convention
i Gezets-und Verordnungsblatt fur die okkupierten Gebieto Belgians,
were advanced, and in the case of the last two
December 24,1914.
MAY 1,1919.
437
FEDERAL RESERVE BULLETIN.
contributions appeals'! were made to the
Emperor himself. All these efforts, however,
proved entirely useless. Further resistance
appeared futile, and in order to ward off worse
consequences the National Bank decided to
assist the other banks in financing these huge
payments by using the note issue power of the
Societe Generale. Only in the case of the
second contribution did the bank persevere in
its determination to have nothing to do with
the payment, and this course of action cost the
bank a fine of 50,000 francs.
.FORCIBLE REMOVAL OF THE JBAXKs' RESERVES.
Another grave conflict between the German
authorities and the banks occurred as a result
of the demand that the German marks in the
vaults of the National Bank and the Societe
Generale be delivered to the Germans for
shipment to Berlin. This demand seems to
have been prompted by the desire of the
Esichsbank authorities to improve the reserve
position of the Reichsbank through reduction
of the volume of outstanding Reichsbank
notes, against which a minimum of one-third
cover had to be maintained and the transformation of the bank's note liability into a
deposit liability which required no fixed
reserve. German mark notes had circulated
in|Belgium at a compulsory rate of/exchange
of 1.25 francs per mark since the beginning of
the occupation, and a large amount of these
notes had found its way into the vaults of the
two leading banks. The German authorities
peremptorily ordered the Societe Generale and
the Banque Nationale to give up their stock
of German money, threatening to take possession of the banks by force in case of refusal to
comply. The banks realized that they were
powerless and agreed to offer no resistance, on
condition, however, that the German authorities themselves remove the funds so as to
emphasize the fact that this was an act of
violence. This was done early in September,
1916, the amount removed from the two banks
on that date being 430,000,000 marks.1
Together with removals on subsequent occasions, the total removals are stated to have
been 600,000,000 marks, credited to the banks
as 750,000,000 francs at the enforced rate of
exchange of 1.25 francs per mark. Interest at
the rate of 4 per cent was fixed to be paid by
the German authorities on these removed
funds. The interest, however, was not to be
based on 750,000,000 francs, but on the current
exchange value of 600,000,000 marks, which
was considerably
less than the arbitrary equivalent in francs.1 It is reported that since the.,
signing of the armistice these amounts have been
returned to the Belgian banks.
During the occupation the Belgian banks
had made efforts to maintain the Belgian note
circulation at as low a level as possible and to
keep the German marks in actual circulation,
in order to avoid their accumulation in the
banks whence they were likely to be taken to
Berlin. After the armistice was signed the
policy of the banks was reversed, and efforts
were made to retire German marks from circulation in Belgium. The amount involved was
very large, owing to the fact that the Germans
had paid for what they requisitioned in Belgium
in German marks, and had required payments to
them to be made largely in Belgian francs, In
order to get control of these marks the banks
agreed to accept 75 per cent of the subscriptions
to the postwar Government loan in marks. As
a result of this and of the return of the German
notes by the German Government, the Society
G&ierale and the National Bank have a claim
on the German Government in the form of notes
estimated at between 5,000,000,000 and 7,500,000,000 marks, guaranteed to the banks by the
Belgian Government, which in turn has the
pledge of the German Government to
redeem
these marks at 1.25 francs per mark.2
RELIEF WORK.
In addition to their service in safeguarding
the currency of the nation both banks did a
great deal to help the various societies that
were working for Belgian relief. The Committee for ReliefJ in Belgium (Comite National
de Secours et d Alimentation) which operated
under the chairmanship of Mr. Ernest Solvay,
was granted by the Soci6te Generale a loan of
50,000,000 francs at a critical time, without
security and without interest. In addition the
bank subscribed 300,000 francs a year as its
contribution to the cause. The bank also contributed 100,000 francs to the antituberculosis
campaign.
Nor did the Societe Generale confine its activities to helping Belgians alone. During the
period of occupancy it loaned to France for the
aid of destitute French inhabitants in the in-
1
Journal dcs Eeonomistes, 15 No\>, 1916, p. 319.
Fernand Passelecq: Les deportations beiges a 1 a lumiere dcs
2 The larger estimate is from L'Economiste Europcen
EL
for Mar. 21,
documents allemands. Paris, 1917, p. 159.
1919, p. 188.
1
438
FEDERAL RESEKVE BULLETIN.
vaded territories a total of 74,000,000 francs,
and to French towns and municipalities in the
invaded region a total of 32,000,000 francs, so
that its assistance to the French people
-amounted to over 100,000,000 francs. The
National Bank, in its turn, did a great deal to
help the stricken Belgian population hj establishing throughout the country loan banks
from which small advances for indispensable
living expenses secured by personal property
could be obtained at 3 per cent. A cooperative
mortgage loan association was also organized
by the bank to help small owners of real estate.
The bank also paid to needy persons and public
institutions the interest on their holdings of
Belgian Government bonds, the total outlay
for this purpose amounting to 200,000,000
francs.
Both the Societe Generaie and the National
Bank utilized Paris and London credits to
arrange secretly for advances to their Belgian
customers living abroad. The German authorities imposed a fine of 312,500 francs on the
Societe Generaie on the mere suspicion of these
activities. The National Bank also used its
connection .with the Swiss National Bank and
the Nederlandsche Bank to assist in the transmittal of money and goods by Belgians to their
relatives held prisoners in Germany.
Immediately after Germany's withdrawal
from Belgium the Societe" Generaie restored the
department of issue to the National Bank and
consummated the original plan of administering the note issue function merely as a trust
for the central National Bank, which was thus
able to resume its normal functions as soon as
the country regained its independence.1
PROPERTY DESTRUCTION BY THE GERMAN
AUTHORITIES.
While the Soci6te Gen&rale, the National
Bank and other financial institutions of Belgium were making every effort to maintain the
economic life of the country during the occupation, the German authorities were actively
endeavoring to ruin Belgian industry. Soon
after the occupation the Germans removed
1
Dunns the period of occupation the Societe Generale issued about
1,500,000,000 francs of notes. The notes in circulation on different dates
were as follows:
Franca.
Nov. 18, 1915
543,216,000
Dec. 28, 1916
849.968! 000
Dec. 20, 1917
],, 118,649.000
Sept. 2(5, 1918
1,452,947,000
The total circulation of Belgian bank notes, including the outstanding
notos of the National Bank, amounted, therefore, at the close of German
occupation to about 3,000,000,000 francs, covered by a metallic reserve
of about 300,000,000 francs of gold and silver held in the Bank of England
and repatriated since.
MAY
1, 1919.
much raw material and supplies from Belgian
industrial establishments. Later they dismounted a great many machines and carried
them bodily to Germany; still later, when the
shortage of iron, brass, and copper became
acute, they did not hesitate to take the metals
from many costly plants, a large number of
which were razed to the ground. What the
Germans could not use they destroyed, so that
the damage wrought to the industries of the
country besides running into billions of francs
can not be repaired for many years to come.
The decline in the production of coal in Belgium, in spite of the great and continuous demands of the military authorities, is indicative
of the decline in Belgian industries. The coal
companies controlled'by the Societe Generaie,
which produced over 5,000,000 metric tons of
coal in 1913, yielded only 3,000,000 metric
tons, or 60 per cent of the 1913 amount, in
1918. In the fall of 1918 the coal mines in'the
Mons region were greatly endangered by the
military situation. As the German armies
retreated the general staff decided to destroy
the mines. All work was stopped. Pumping
and ventilating were discontinued, and orders
were issued to blow up the machinery. It was
only as the consequence of threats of retaliation
by the allies that this catastrophe was averted
and that, instead of destroying the machines,
the Germans confined themselves to removing essential portions of the machinery. The
same treatment was accorded to the coal mines
in the Hainaut region lying between the French
frontier and Brussels.
Trust Powers of National Banks.
The following regulation, relating to the
exercise by national banks of trust powers
authorized under the provisions of section 11,
subsection (k), of the Federal Reserve Act
as amended by the act of September 26, 1918,
was issued by the Federal Reserve Board on
April 15:
(Regulation F. series of 1919.
I.
Superseding Regulation F of 1917.)
STATUTORY
PROVISIONS.
The Federal Reserve Act as amended by the act of
September 26, 1918, provides in part:
SEC. 11. The Federal Reserve Board shall be authorized and empowered:
(k) To grant by special permit to national banks applying therefor, when net in contravention of State or local
M,IY
1, 1919.
law, the right to act as trustee, executor, administrator
registrar of stocks and bonds, guardian of estates, assignee,
receiver, committee of estates of lunatics, or in any other
fiduciary capacity in which State banks, trust companies,
or other corporations which come into competition with
national banks are permitted to act under the laws of the
State in which the national bank is located.
Whenever the laws of such State authorize or permit
the exercise of any or all of the foregoing powers by State
banks, trust companies, or other corporations which compete with national banks, the granting to and the exercise
of such powers by national banks shall not be deemed
to be in contravention of State or local law within the
meaning of this act.
National banks exercising any or all of the powers
enumerated in this subsection shall segregate all assets
held in any fiduciary capacity from the general assets
of the bank and shall keep a separate set of books and
records showing in proper detail all transactions engaged
in under authority of this subsection. Such books and
records shall be open to inspection by the State authorities
to the same extent as the books and records of corporations
organized under State law which exercise fiduciary powers,
but nothing in this act shall be construed as authorizing
the State authorities to examine the books, records, and
assets of the national "bank which are not held in trust
under authority of this subsection.
No national bank shall receive in its trust department
deposits of current funds subject to check or the deposit
of checks, drafts, bills of exchange, or other items- for
collection or exchange purposes. Funds deposited or
held in trust by the bank awaiting investment shall be
carried in a separate account and shall not be used by
the bank in the conduct of its business unless it shall
first set aside in the trust department United States
bonds or other securities approved by the .Federal Reserve
Board.
In the event of the failure of such bank the owners
O.L the funds held in trust for investment shall have a lien
on the bonds or other securities so set apart in addition
to their claim against the estate of the bank.
Whenever the laws of a State require corporations
acting in a fiduciary capacity to deposit securities with
the State authorities for the protection of private or court
trusts, national banks so acting shall be required to make
similar deposits and securities so deposited shall be held
for the protection of private or court trusts, as provided by
the State law.
National banks in such cases shall not be required to
execute the bond usually required of individuals if State
corporations under similar circumstances are exempt
from this requirement. National banks shall have power
to execute such bond when so required by the laws of
the State.
In any case in which the laws of a State require that a
corporation acting as trustee, executor, administrator,
•r in any capacity specified in this section, shall take
439
.FEDERAL RESERVE BULLETIN,
an oath or make an affidavit, the president, vice president, cashier, or trust officer of such national bank may
take the necessary oath or execute the necessary affidavit.
It shall be unlawful for any national banking association to lend any officer, director, or employee any funds
held in trust under the powers conferred by this section.
Any officer, director, or employee making such loan, or
to whom such loan is made, may be fined not more than
$5,000, or imprisoned not more than five years, or may be
both fined and imprisoned, in the discretion of the court.
In passing upon applications for permission to exercise
the powers enumerated in this subsection, the Federal
Reserve Board may take into consideration the amount of
capital and surplus of the applying bank, whether or not
such capital and surplus is sufficient under the circumstances of the case, the needs of the community to be
served, and any other facts and circumstances that seem
to it proper, and may grant or refuse the application accordingly: Provided, That no permit shall be issued to any
national banking association having a capital and surplus
less than the capital and surplus required by State law
of State banks, trust companies, and corporations exercising such powers.
II. APPLICATIONS.
A national bank desiring to exercise any or all of the
powers authorized by section 11 (k) of the Federal Reserve
Act, as amended by the act of September 26, 1918, shall
make application to the Federal Reserve Board, on a form
approved by said Board, for a special permit authorizing
it to exercise such powers. In the case of an original application—that is, where the applying bank has never been
granted the right to exercise any of the powers authorized
by section 11 (k), the application should be made on Form
61. In the case of a supplemental application—that is,
where the applying bank has already been granted the
right to exercise one or more of the powers authorized by
section 11 (k). the application should be made on Form
61-b. Both forms are made a part of this regulation and
may be obtained from the Federal Reserve Board or any
Federal Reserve Bank.
III.
SEPARATE DEPARTMENTS.
Every national bank permitted to act under this section
shall establish a separate trust department, and shall place
such department under the management of an officer or
officers, whose duties shall be prescribed by the board of
directors of the bank.
•IV. CUSTODY OF TRUST SECURITIES AND INVESTMENTS.
The securities and investments held in each trust shall
be kept separate and distinct from the securities owned by
the bank and separate and distinct from one another.
Trust securities and investments shall be placed in the
joint custody of two or more officers or other employees
designated by the board of directors of the bank and all
such officers and employees shall be bonded.
440
FEDERAL RESERVE BULLETIN.
MAY
1, 1919.
cash, securities, accounts, and investments of the trust
department of the bank at the same time that examina
Funds received or held in the trust department of a tion is made of the banking department.
national bank awaiting investment or distribution may be
IX. CONFORMITY WITH STATE LAWS.
deposited in the commercial department of the bank to
the credit of the trust department, provided that the bank
Nothing in these regulations shall be construed to give
first delivers to the trust department, as collateral security, a national bank exercising the powers permitted under the
United States bonds, or other readily marketable securities provisions of section II (k) of the Federal Reserve Act, as
owned by the bank, equal in market value to the amount amended, any rights or privileges in contravention of the
of the funds so deposited.
laws of the State in which the bank is located within the
meaning
of that act.
VI. INVESTMENT OF TRUST FUNDS.
V. DEPOSIT OP FUNDS AWAITING INVESTMENT OR
DISTRIBUTION.
(a) Private trusts.—Funds held in trust must be invested
in strict accordance with the terms of the will, deed, or
other instrument creating the trust. Where the instrument creating the trust contains provisions authorizing the
bank, its officers, or its directors to exercise their discretion
in the matter of investments, funds held in trust may be
invested only in those classes of securities which are
approved by the directors of the bank. Where the instrument creating the trust does not specify the character or
class of investments to be made and does not expressly
vest in the bank, its officers, or its directors a discretion in
the matter of investments, funds held in trust shall be
invested in any securities in which corporate or individual
fiduciaries in the State in which the bank is located may
lawfully invest.
(h) Court trusts.—Except as hereinafter provided, a
national bank acting as executor, administrator, or in any
other fiduciary capacity, under appointment by a court
of competent jurisdiction, shall make all investments
under an order of that court, and copies of all such orders
shall be filed and preserved with the records of the trust
department of the bank. If the court by general order
rests a discretion in the national bank to invest funds held
in trust, or, if under the laws of the State in which the bank
is located corporate fiduciaries appointed by the court
are permitted to exercise such discretion, the national
bank so appointed may invest such funds in any securities
in which corporate or individual fiduciaries in the State
in which the bank is located may lawfully invest.
VII.
BOOKS AND ACCOUNTS.
All books and records of the trust department shall oe
kept separate and distinct from other books and records
of the bank. All accounts opened shall be so kept as to
enable the national bank at any time to furnish information
or reports required by the Federal or State authorities,
and such books and records shall be opened to the inspection of such authorities.
VIII. EXAMINATIONS.
Examiners appointed by the Comptroller of the Currency or designated by the Federal Reserve Board will be
instructed to make thorough and complete audits of the
X. REVOCATION OP PERMITS.
The Federal Reserve Board reserves the right to revoke
permits granted under the provisions of section 11 (k)y
as amended, in any case where in the opinion of the board
a bank has willfully violated the provisions of the Federal
Reserve Act or of these regulations or the laws of any
State relating to the operations of such bank when acting
in any of the capacities permitted under the provisions of
section 11 (k), as amended.
XI.
CHANGES IN REGULATIONS.
These regulations are subject to change by the Federal
Reserve Board; provided, however, that no such change
shall prejudice any obligation undertaken in good faith
under regulations in effect at the time the obligation was
assumed.
Acceptance Liabilities of Member Banks.
In the table below are given figures showing
changes in acceptance liabilities of national
banks and other member banks of the Federal
Reserve system. Since November 1 of the
past year these liabilities show a continuous
decline from $521,823,000 to $480,624,000 on
December 31, 1918, and $451,264,000 on
March 4 of the present year. The latter total
is made up of 8269,173,000 of acceptance liabilities of national banks and $182,091,000 of
like liabilities of other member banks. Of the
latter total $124,485,000 represents acceptance
liabilities of the New York trust company and
State bank members, $14,998,000 of like liabilities of Boston trust company members, and
$42,608,000 aggregate acceptance liabilities of
State bank and trust company members outside these two cities.
MAY 1, 1919.
441
FSEEBAL RESERVE BULLETIN.
Acceptance liabilities of national and other member hanks.
[In thousands of dollars; i.e. 000 omitted.]
[In thousands of dollars; i. e.? 000 omitted.]
i Aug. 31, I\ov. 1,
1
New York
Boston
Philadelphia
Pittsburgh
Cleveland
Detroit
Cincinnati
Indianapolis
Richmond
Baltimore
Atlanta
New Orleans
Charleston, S. C
Chicago
St. Louis
Minneapolis
Dallas
San Francisco
Portland, Oreg
Seattle
Allother
1918.
1O1O
j U03,201
| 42,356
i 10,418
i
2.896
I
7; 478
920
763
1,097
2,721
4,412
500
348
1,074
20,967
1,179
7,509
11,057
1,722
794
12,881
1918.
Dec. 31,
1918.
Dec. 31, Feb. 28, | Mar. 31,
1919.
i 1919.
1918.
Mar. 4,
1919.
136,742 ; 120,897
49,133 ! 44,170
25,633 j
19,995
5,484
4,664
6,999
8,168
1.699
2,700
'563 i
'659
1,830 j
1,718
4,270 j
4,815
1,135 i
i;066
739 !
984
2,393 i
2,734
1,511
1,505
26,859 I
29,677
9.535 !
11,837
8.536 i
3,374
3,075 !
2,940
9,909 I
9,627
5,493 !
3,323
1,169
1,301
29,952
28,947
112,762
41,723
15,418
4,290
6,651
1,629
2,494
1,510
4,430
1.638
'317
1,982
1,353
21,032
11,928
1,635
1,325
11,870
2,864
1,089
21.233
832,719
189,104
269,173
182,091
Bills accepted by:
Member banks
Nonmember trust companies
Nonmember State banks
Private banks
Foreign bank branches and agencies.
Total bank acceptances
Trade acceptances:
Domestic
Foreign
Total acceptances
234,323
2,545
10,442
19,740
12,994
j 280,244
I
2,536
j
4,388
219,423
2,418
15,110
22,062
13,586
185,207
2,172
15,561
15,263
12,885
271,488 j 231,088
730 !
3,691 ;
319
4,207
j 287,168 I 276,920 i
!
235,614
Loans on Security of Liberty Bonds.
The Comptroller of the Currency on April 27
issued the following:
By authority of acts of Congress approved September 24,
1918, and March 3, 1919, the Comptroller of the Currency
has to-day issued a regulation, approved by the Secretary
451,264
521,823
480,024
of the Treasury, extending until January 1,1920, the period
1
in which national banks are permitted to make loans to
Including figures for Brooklyn and Bronx.
2 No data.
customers on the security of Liberty bonds and Victory
On the last-named three dates the Federal loan notes in excess of 10 per cent of their capital and surReserve Banks report the following holdings plus as provided for by section 5200, United States Revised
Statutes, as amended. The ruling substantially removes
of paper bought in the open market:
all limitation on loans by national banks, where Liberty
Nov. 1,1918
8377,066,000 bonds or Victory loan notes are deposited as security for
Dec. 31, 1918
292,196,000 loans to the extent of not less than 105 per cent of the
Mar. 4,1919
266,176,000 amount borrowed.
An analysis of the reports of all national banks as of
These holdings are made up of bills accepted
March 4, 1919, shows that although a majority of the 17
by both member and nonmember banks, also billion dollars of Liberty bonds issued were placed by
by private and foreign banks and of a small national banks, nearly all of the bonds so placed went to
amount of trade acceptances. On December the customers of the banks and not to the banks themselves.
31, 1918, for instance, the Federal Reserve The total amount of Liberty bonds of all four issues held by
Banks held $234,323,000 member bank accep- national banks March 4,1919, was only 872 million dollars,
less than 5.2 per cent of the total amount of Liberty
tances, or about 80 per cent of the total of this or
bonds sold. The records also tell us that the total amount
class of acceptances outstanding on that date. of money which the national banks were lending on
On February 28 these holdings were $219,423,- March 4 on the security of Liberty bonds was only 973
000, or nearly 82 per cent of the total member million dollars, or 4.86 per cent of their total resources.
bank acceptance liabilities reported four days These figures show that if there should be deducted from
the total resources of the national banks on March 4, 1919,
later.
their aggregate holdings of Liberty bonds plus the total
As throwing further light on the total accep- amount of money which they are loaning on Liberty bonds,
tances afloat in the United States, the following their resources would still be 2,193 million dollars more than
figures giving classified acceptance holdings of | they were on March 5,1917, a month before our declaration
the Federal Reserve Banks on the last of De- | of "war.
In addition to their holdings ci Liberty bonds, the nacember, 1918, and of February and March of Ij tional
banks owned March 4, last. 1,870 million dollars of
the present year may be of interest:
j United States certificates of indebtedness. The amount
All national banks
Other member banks.
Total member banks...
243,772
305,101
175,523
44.2
MAY 1, 1919.
FEDERAL RESEBVE BULLETIN.
of money which they reported to be lending to their cus- each. In no one of the States of Maine, Delaware, Montomers and correspondents on United States certificates of tana, Wyoming, Colorado, New Mexico, L'tah, Nevada,
indentedness was only 40 million dollars.
and Arizona did the loans made by country national banks
on Liberty bonds amount to as much as one million dollars.
LIBERTY BONDS OWNED BY NATIONAL BANKS.
Of the 872 million dollars of Liberty bonds owned by all
the national banks March 4, last, the three central reserve
cities of New York, Chicago, and St. Louis held 135 million,
and all other reserve cities held 225 million; while the investments of the country banks in Liberty bonds amounted
to 512 million dollars.
The central reserve and reserve cities whose holdings of
Liberty bonds amounted to 5 million dollars or more were:
New York, 123 million dollars; Pittsburgh, 26 million;
Philadelphia, 23 million; San Francisco, 14 million; Washington, 13 million; Nashville and St. Paul, 8 million each;
Richmond and Cleveland, 7 million each; Baltimore, Chicago, and Detroit, 6 million each; Boston, Houston, Kansas City, and St. Louis, 5 million each.
The States whose country national banks owned March 4,
last 10 million dollars or more of Liberty bonds were, in the
order named: Pennsylvania, 95 million dollars; New
York, 54 million; New Jersey, 35 million; Illinois, 23
million; Massachusetts, 22 million; Ohio and Indiana, 18
million each; Virginia and Texas, 15 million each; California, 14 million; Connecticut and Iowa, 12 million each
West Virginia, Oklahoma, North Carolina, South Carolina,
and Michigan, 10 million each.
By geographical sections, the bonds of the four Liberty
loans held by the national banks in the New England States
aggregated 54 million dollars; in the Eastern States, 394
million; in the Southern States, 156 million; in the Middle
States, 164 million; in the Western States, 49 million: in
the Pacific States, 55 million.
LOANS ON LIBERTY BONDS BY NATIONAL BANKS.
Of the 973 million dollars loaned hy the national banks
on Liberty bonds, 103 million dollars were loaned by national banks in the New England States, 585 million in
the Eastern States; 90 million in the Southern States, 146
million in the Middle States, 18 million in the Western
States, and 31 million in the Pacific States.
The central reserve and reserve cities whose national
banks on March 4, 1919, were lending on Liberty bonds as
much as 10 million dollars or more were, in the order
named: New York. 332 million; Philadelphia, 109 million
Boston, 51 million; Chicago, 38 million; Pittsburgh, 34
million; Cleveland, 24 million; Richmond, 17 million;
San Francisco, 11 million; Baltimore, 10 million.
The only States whose country national banks were loaning an aggregate of as much as 5 million dollars or more on
Liberty bonds were: New York, 30 million dollars; Massachusetts, 29 million; Pennsylvania, 28 million; New Jersey, 22 million; Connecticut, 14 million; Virginia, 8 million; Texas and Ohio, 7 million each; Illinois and California, 6 million each; South Carolina and Indiana, 5 million
BANKS WELL FIXED TO ACCOMMODATE BORROWERS ON
VICTORY NOTES.
These figures indicate that our national banks have only
a small fraction of their resources invested either in Liberty
bonds or in loans secured by Liberty bonds, and that these
banks are now in a particularly favorable position to assist
in making the present Victory loan an overwhelming
success.
Victory Liberty Loan.
Department Circular No. 138, issued by the
Treasury Department on April 21, 1919, relative to the Victory loan, is as follows:
The Secretary of the Treasury invites subscriptions, at
par and accrued interest, from the people of the United
States, for $4,500,000,000 of United States of America convertible gold notes of 1922-1923 of the Victory Liberty
loan, authorized by an act of Congress approved September 24, 1917, as amended and supplemented by the acts
of Congress approved April 4, July 9, and September 24,
1918, and March 3, 1919 (Victory Liberty ioan act). The
notes are offered in two series.
DESCRIPTION OF NOTES.
Four and three-quarters per cent series.—The 4J per cent
convertible gold notes of 1922-1923 shall be exempt, both
as to principal and interest, from all taxation now or hereafter imposed by the United States, any State, or any of
the possessions of the United States, or by any local taxing
authority, except (a) estate or inheritance taxes, and
(b) graduated additional income taxes, commonly known
as surtaxes, and excess-profits and war-profits taxes, now
or hereafter imposed by the United States, upon the income or profits of individuals,, partnerships, associations,
or corporations. The notes of said series shall bear interest
at the rate of 4 | per cent per annum.
Three and three-quarters per cent series.—The 3J per cent
convertible gold notes of 1922-1923 shall be exempt, both
as to principal and interest, from all taxation (except
estate or inheritance taxes) now or hereafter imposed by
the United States, any State, or any of the possessions of
the United States, or by any local taxing authority. The
notes of said series shall bear interest at the rate of 3f per
cent per annum.
Denominations; both series.—Bearer notes with interest
coupons attached will be issued in denominations of 150,
$100, $500, §1,000, |5,000, and 110,000. Notes registered
as to principal, and as to interest payable after December
15, 1919, will be issued in denominations of S50, $100,
MAY
1, 1919.
FEDERAL EESEUVE BULLETIN.
$500, $1,000,15,000, $10,000, $50,000, and §100,000. Such
registered notes will have coupons attached thereto for
interest payable December 15, 1919. Provision will be
made for the interchange of notes of different denominations and of coupon and registered notes and for the transfer of registered notes, without charge by the United States,
under rules and regulations prescribed by the Secretary
of the Treasury.
Date of notes, interest dates, maturity, and redemption;
both series.—The notes will be dated and bear interest
from May 20, 1919, and will mature on May 20, 1923.
Interest will be payable on December 15, 1919, and thereafter semiannually on June 15 and December 15, and on
May 20, 1923. The principal and interest of the notes
are payable in United States gold coin of the present
standard of value. The notes may be redeemed, at the
option of the United States, under such rules and regulations as the Secretary of the Treasury may prescribe, on
June 15 or December 15, 1922, in whole or in part, as to
either or both series, at par and accrued interest, on four
months' notice of redemption given in such manner as
the Secretary of the Treasury shall prescribe. In case of
partial redemption of either or both series, the notes to
be redeemed will be determined by such method as may
be prescribed by the Secretary of the Treasury. For
convenience in case of any partial redemption, the notes
will be issued in several blocks of approximately equal
face amount and bearing distinguishing letters. From
the date of redemption designated in any such notice of
redemption interest on notes called for redemption shall
cease.
Conversion privilege.—Any holder of notes of either
series shall have the option of having the notes held by
him converted at par into notes of the other series, with
adjustment in rlspect, to accrued interest but otherwise
without charge by the United States, under such rules
and regulations as may be prescribed by the Secretary
of the Treasury. Such rules and regulations may provide for the suspension of 3uch privilege of conversion
from time to time, in respect to all or any part of the
notes of either or both series, (a) to and including July
15, 1919, to facilitate deliveries upon the original issue,
(b) for a period not exceeding one month before any interest payment date, and (c) for the period, or any portion thereof, from the date of any notice of redemption
(but not more than four months and one week prior to
the date of redemption) to and including the date of
redemption designated in such notice. In any event, on
the date of redemption designated in any such notice of
redemption the privilege of conversion of all notes thereby
called for redemption shall cease, and if all the notes of
either series be called for redemption, the privilege of
conversion of notes of the other series shall cease. The
notes are interconvertible, the privilege of conversion
extending to notes issued upon conversion as well as
notes issued upon original subscription. The privilege
115631—19
6
443
of conversion continues throughout the life of the notes
subject to the provisions hereof and of such rules and
regulations.
MISCELLANEOUS PROVISIONS OF LAW AND REGULATIONS,
Additional tax exemption for Liberty bonds.—In addition
to ail other exemptions provided by law, the interest received on and after January 1,1919, on an amount of bonds
of the first Liberty loan converted, dated November 15.
1917, May 9, 1918, or October 24,1918, the second Liberty
loan, converted and unconverted, the third Liberty loan,
and the fourth Liberty loan, the principal of which does
not exceed $20,000 in the aggregate, owned by any individual, partnership, association," or corporation, shall be
exempt from graduated additional income taxes, commonly known as surtaxes, and excess-profits and warprofits taxes, now or hereafter imposed by the United
States, upon the income or profits of individuals, partnerships, associations, or corporations: Provided, That no
owner of such bonds shall be entitled to such additional
exemption in respect to the interest ©n an aggregate principal amount of such bonds exceeding three times the
principal amount of notes of the Victory Liberty loan
originally subscribed for by such owner and still owned
by him at the date of his tax return.
Note purchase fund.—The Secretary of the Treasury is
authorized, from time to time, until the expiration of one
year after the termination of the war (as fixed by proclamation of the President), to purchase notes of this issue
at such prices and upon such terms and conditions as he
may prescribe. The par amount of notes of this issue
which may be purchased in the 12 months' period beginning on the date of issue shall not exceed one-twentieth
of the par amount of such notes originally issued, and in
each 12 months' period thereafter shall not exceed onetwentieth of the amount of the notes of such issue outstanding at the beginning of such 12 months' period. The
average cost of the notes of this issue purchased in any
such 12 months' period shall not exceed par and accrued
interest.
Cumulative sinking fund.—The Victory Liberty Loan
Act provides in section 6 (a) as follows: "That there is
hereby created in the Treasury a cumulative sinking fund
for the retirement of bonds and notes issued under the first
Liberty bond act, the second Liberty bond act, the third
Liberty bond act, the fourth Liberty bond act, or under
this act and outstanding on July 1, 1920. The sinking
fund and ail additions thereto are hereby appropriated for
the payment of such bonds and notes at maturity, or for
the redemption or purchase thereof before maturity by
the Secretary of the Treasury at such prices and upon such
terms and conditions as he shall prescribe, and shall be
available until all such bonds and notes are retired. The
average cost of the bonds and notes purchased shall not
exceed par and accrued interest. Bonds and notes purchased, redeemed, or paid out of the sinking fund shall
444
FEDEEAL RESERVE BULLETIN.
be canceled and retired and shall not be reissued. For
the fiscal year beginning July 1, 1920, and for each fiscal
year thereafter, until all such bonds and notes are retired
there is hereby appropriated, out of any money in the
Treasury not otherwise appropriated, for the purposes of
such sinking fund, an amount equal to the sum of (1) 2J
per centum of the aggregate amount of such bonds and
notes outstanding on July 1, 1920, less an amount equal
to the par amount of any obligations of foreign Governments held by the United States on July 1, 1920, and (2)
1>he interest which would have been payable during the
fiscal year for which the appropriation is made on the
bonds and notes purchased, redeemed, or paid out of the
sinking fund during such year or in previous years."
Further privileges.—The notes will be receivable as security for deposits of public moneys, but will not bear the
circulation privilege.
MAY
1, 1919.
dering the service to subscribers as a patriotic duty.
Only the Federal Reserve Banks are authorized to act as
fiscal agents of the United States in connection with the
operations of selling and delivering notes of the Victory
Liberty loan.
Terms of application.—Applications must be accompanied by payment of 10 per cent of the amount of notes
applied for. No payment other than the 10 per cent
required upon application should accompany any application for an aggregate amount of notes in excess of SI0,000.
Applications for an aggregate amount of notes not in exces
of $10,000 may, at the option of the subscriber, be accompanied by payment in full, at face value without interest,
for the note or notes applied for. Applications must be
for notes to an amount of $50 or some multiple thereof.
The subscriber should indicate on the application blank
whether coupon or registered notes are desired; if no
preference is indicated, either coupon notes or registered
APPLICATION, ALLOTMENT. PAYMENT, AND DELIVERY.
notes may be delivered. All applications will be deemed
Official agencies.—The agencies designated by the Sec- to be for notes of the 4 | per cent series, except applicaretary of the Treasury to receive applications for the notes tions specifying notes of the 3 | per cent series; but the
now offered are the Treasury Department in Washington, subscriber may, nevertheless, at any time before compleand the Federal Reserve Banks in Boston, New York, tion of payment, by notice in writing, elect to receive
Philadelphia, Cleveland (with branches at Cincinnati notes of either series in the first instance.
and Pittsburgh), Richmond (with branch at Baltimore).
Time of closing application books*—Applications accomAtlanta (with branches at New Orleans, Birmingham, panied by payment as aforesaid must reach the Treasury
and Jacksonville), Chicago (with branch at Detroit), St. Department or a Federal Reserve Bank, or one of said
Louis (with branches at Little Rock, Louisville, and branches, or some incorporated bank or trust company
Memphis), Minneapolis, Kansas City (with branches at within the United States (not including outlying terriOmaha and Denver), Dallas (with branch at El Paso) tories and possessions), not later than the close of business
and San Francisco (with branches at Salt Lake City, on May 10, 1919. Applications received by any incorPortland, Seattle, and Spokane). The Federal Reserve porated bank or trust company on or before May 10. 1919,
Banks have been designated as fiscal agents of the United must, by such bank or trust company, be transmitted to,
States, to receive applications, to give notices of allot- or covered by its own subscription to. the Federal Reserve
ments, to receive payments, and to make delivery of the Bank, of the district in which it is located, reaching such
notes allotted. Subscribers may send their applications, Federal Reserve Bank not later than the close of business
accompanied by the required payment, direct to any of on May 20, 1919, accompanied by payment as aforesaid.
said banks or branches.
The right is reserved by the Secretary of the Treasury to
Subscribers' agencies.—Large numbers of National banks, close the subscription on any earlier date, to reject any
State banks, and trust companies, investment bankers, applications, and to waive delay in making application
express companies, newspapers, department stores, and and payment.
t
other corporations, firms, and organizations have patriotiAllotment.—Applications from any one subscriber for
cally offered to receive and transmit applications for the an aggregate amount of notes not in excess of $10,000 will
notes without expense to the applicants. The Secretary be allotted in full. Applications for an aggregate amount
of the Treasury appreciates the value of these offers, and of notes in excess of $10,000 will be received subject to
will have application blanks widely distributed, through allotment. The issue will be limited to §4,500,000.000,
the Federal Reserve Banks, to these institutions through- except as it may be necessary to increase the amount of
out the country. Subscribers' agencies must transmit or the issue in order to make allotment in full on applications
cover by their own subscriptions all applications received from subscribers for aggregate amounts of notes not in
by them; in the latter case they must specify the number excess of §10,000, and except as it may be necessary to
of subscribers and the aggregate amount of notes sub- increase or decrease the amount of the issue in order to
scribed for by each and furnish such further information facilitate allotment, and the Secretary of the Treasury
as may be prescribed by the Secretary of the Treasury; reserves the right to reject any application for an aggregate
and allotment may be based upon such information. No amount of notes in excess of $10,000, to make allotment of
commissions will be paid upon subscriptions, and those part of the amount of notes applied for, to make allotment
who receive and transmit applications are therefore ren- in full upon applications for smaller amounts, and to make
MAY 1,1919.
FEDERAL RESERVE BULLETIN.
reduced allotments upon, or to reject, applications for
larger amounts, and to make classified allotments and
allotments upon a graduated scale; and his action in these
respects will be final. The Secretary of the Treasury can
not undertake to collate applications with a view to the
precise ascertainment of the aggregate amount of notes
applied for by each subscriber and, while reserving the
right to reject any application or to reduce the amount of
notes applied for in any case where it appears that the
aggregate amount of notes applied for by any one subscriber is not truly shown on the face of any one application, the allotment may be based upon the several applications and reports filed with the several Federal Reserve
Banks and the Treasury Department and without collation within or as between the said banks and the Treasury
Department; and his action in these respects shall be
final. Allotments will be made before June 3, 1919,
and the basis of allotment will be publicly announced.
Notices of allotment will be mailed promptly thereafter
by the several Federal Reserve Banks.
Terms of payment— Payment for notes allotted, in
addition to the 10 per cent paid on application, must be
made so as to reach a Federal Reserve Bank or a branch
thereof as follows: Ten per cent on July 15, 20 per cent on
August 12, 20 per cent on September 9, 20 per cent on
October 7, and 20 per cent on November 11, 1919, with
accrued interest from May 20, 1919, on the five deferred
installments. Receipt of installment payments made to
official agencies prior to payment in full will be acknowledged by the several Federal Reserve Banks. Payments
must be made when and as herein provided under penalty
of forfeiture of any and all installments previously paid,
and of all right and interest in the notes allotted. Payment for notes allotted may be sooner completed, but only
so as to reach a Federal Reserve Bank or a branch thereof
on May 20, 1919, or, with accrued interest from May 20,
1919 (the previous installment or installments having been
duly paid), on July 15, August 12, September 9, or October
7, 1919. Payment for notes allotted to subscribers for
aggregate amounts of notes in excess of $10,000 can not
be completed on May 20, but may be completed, with
accrued interest from May 20,1919, after public announcement of the basis of allotment, on a date or dates, not
earlier than June 3, nor later than June 17, 1919, named
in the announcement of allotments, or on any later installment date. Upon applications for aggregate amounts
of notes in excess of §10,000, no payment other than the 10
per cent required will be received with the application,
and in case of partial allotments upon such applications
the excess of the 10 per cent payment will be applied
upon the next installment or installments and no accrued
interest will be charged on that part of any installment
covered by the amount so applied; and in case of the allotment of less than 10 per cent of the amount applied for.
the balance of the 10 per cent payment made with the
application will be returned as promptly as possible
445
without interest. In case of the rejection of any application, the 10 per cent payment made with the application
will be returned as promptly as possible without interest.
Payment in United States Treasury certificates of indebted-
ness.—Payment of (1) the first installment of 10 per cent
upon application, or (2) completion of payment upon
application, or on May 20, 1919, when and as permitted
hereunder, or (3) completion of payment on the date or
dates, not earlier than June 3, nor later than June 17,
1919, named in the announcement of allotments, when
and as permitted hereunder, may be made in Treasury
certificates of indebtedness of Series V of any issue not
previously matured. Payment on July 15, 1919, and
subsequent installment dates, may be made in Treasury
certificates of the issues, if any, maturing or called for
redemption on the said installment, dates, respectively.
Treasury certificates will be received at their face value.
The accrued interest on Treasury certificates (which,
in the case of payment of the first installment, or payment
in full, when and as permitted hereunder, on or before
May 20,1919, will be computed to May 20, 1919, or earlier
maturity) will be paid to the subscriber. Treasury certificates thus presented must not be of a larger face value
than the amount then to be paid on the subscription,
and subscribers should obtain certificates in appropriate
denominations in advance. Treasury certificates of any
series acceptable in payment of taxes will not be accepted
in payment on subscriptions for notes.
How to make payments.—It is strongly recommended
that subscribers avail themselves of the assistance of their
own banks and trust companies, in which case they will,
of course, make payments through such institutions. In
cases where they do not do so, subscribers should make
payment either to the Treasury Department in Washington or to a Federal Reserve Bank, or branch thereof, in
cash, or by bank draft, certified check, post-office money
order, or express company money order, made payable to
the order of the Secretary of the Treasury, if the application is filed with the Treasury Department in Washington
(thus: "The Secretary of the Treasury, Victory liberty
Loan Account"), or, if the application is filed elsewhere,
made payable to the order of the Federal Reserve Bank
of the district in which the application is filed (thus:
"Federal Reserve Bank of
, Victory Liberty Loan
Account"). Incorporated banks and trust companies in
the United States, duly qualified as special depositaries
of public moneys under Department Circular No. 92 as
amended and supplemented April 17, 1919, may, up to
the amount for which such depositaries respectively shall
be qualified in excess of then existing deposits, when so
notified by Federal Reserve Banks, make payment by
credit of amounts payable hereunder on or before May 20,
and on the date or dates not earlier than June 3 nor later
than June 17, 1919, named in the announcement of allotments, and, if and to the extent from time to time authorized by the Secretary of the Treasury, on later installment
dates.
446
FEDERAL RESERVE BULLETIN.
MAY
i,
City, which shows a reduction) exceed by 305 million dollars the greatest resources ever reported.
The official records show that since March 5, 1917, there
have been placed through the national banks of the country
about 51 per cent, or a clear majority, of the seventeen
billion dollars of Liberty bonds sold in this period. These
banks are now in an exceptionally strong position to aid
in marketing the Victory loan and to extend to their
customers any help that may be needed to carry tlieir
purchases.
These giant operations have not only occasioned nodrain or depletion in the assets of the national banks, but
during this same period their resources have actually
increased 4,038 million dollars, and their deposits liave
grown 2,342 million dollars.
Exceedingly favorable and striking features of the
present situation are the healthy distribution and dissemination of resources, deposits, and loans of the banks, and
the absence of the congestion and concentration in a
few cities of capital and credit which were baneful, dangerous influences in our banking and" currency system
before the passage of the Federal Reserve Act.
Deposits March 4,1919, aggregated $15,299,807,000—an
increase of 861 million dollars as compared with March 4.
1918; and an increase of 2,342 million dollars over March 5.
1917. The increase in deposits as compared with December 31, 1918, in the whole country, outside of New York
City, was $287,293,000. The reduction in New York City
was 410 million dollars. The increase in deposits of the
national banks since December 31, 1918, has been mainly
in the country districts.
The 10 States whose country national banks have shown
the largest increase in deposits since December 31 are:
Iowa, 45 million; Pennsylvania, 37 million; Illinois, 34
million; Kentucky, 25 million; Ohio, 19 million; Nebraska,
18 million; Massachusetts, 14 million; Wisconsin and
Michigan, 13 million each; and New York, 12 million
dollars. The only State whose country national banks
show a decline in deposits of as much as 3J million dollars
was Georgia, where the reduction was 6 million.
The central reserve and other reserve cities showing the
largest increases in deposits between December 31, 1918,
and March 4, 1919, were: Chicago, 32 million dollars;
Omaha, 19 million; Louisville, 17 million; Milwaukee 12
million; Des Moines, 11 million; Sioux City, 8 million;
Fort Worth, Cedar Rapids, and Albany, 7 millions each.
CARTER GLASS,
Loans and discounts March 4, 1919, amounted to 9.691
Secretary of the Treasury.
million dollars—an increase of 552 million dollars as compared with March 4, 1918; and an increase of 978 million
dollars as compared with March 5,1917, but a reduction of
Condition of National Banks.
227 million dollars as compared with December 31, 1913,
The following statement was issued by the The percentage of loans and discounts to deposits on
office of the Comptroller of the Currency on March 4, 1919, was 63.35 per cent; March 4, 1918, 63.30
per cent; March 5, 1917, 67.25 per cent.
April 14:
Bills payable and rediscounts on March 4, 1919,.
The returns just completed show that the resources of amounted to 1,451 million dollars—an increase of 794
the national banks March 4, 1919, amounted to 20,017 million dollars as compared with March 4, 1918; and of
million dollars. These figures (except as to ~New York 1,381 million dollars as compared with March 5. 1917; due
Delivery.—Notes will be delivered promptly after due
completion of payment therefor. Notes of the 4} per cent
series may be delivered prior to May 20, 1919. to subscribers for aggregate amounts of notes not in excess of $10,000,
who make payment in full in cash upon application on or
before May 10, 1919. In making deliveries before May
20, 1919, the right is reserved to deliver notes of the
largest denomination or denominations, not exceeding
$1,000, contained in the respective amounts of notes subscribed for. A limited amount of notes of the 4J per
cent series will be made available to incorporated banks
and trust companies within the United States prior to
May 10, 1919, for delivery to subscribers for aggregate
amounts of notes not in excess of $10,000, but only upon
the terms and conditions set out in the official application
blank (Form L and C 182) provided for that purpose.
Notes will be delivered by the several Federal Reserve
Banks as fiscal agents of the United States as far as practicable in accordance with written instructions given by
the subscribers, and, within the continental United States,
at the expense of the United States.
Interest.—As the notes are dated May 20, 1919, no accrued interest will be due on subscriptions for aggregate
amounts of notes not in excess of $10,000, paid for in full
on or before that date, when and as permitted herounder.
No rebate of interest will be allowed either on account of
full payment in advance of May 20, 1919, or on account
of the first installment of 10 per cent. Upon completion
of payment when and as permitted hereunder, on the
date or dates, not earlier than June 3 nor later than June
17, 1919, named in the announcement of allotments, or
upon completion of payment on July 15, August 12, September 9, October 7, or November 11,1919, the subscriber
will be required to pay accrued interest from May 20,
1919, on the deferred installment or installments at the
respective rate or rates borne by the notes to be delivered.
Further details.—The Secretary of the Treasury reserves
the right to make special arrangements for subscriptions
for the notes at not less than par from persons in the military or naval forces of the United States.
Further details may be announced by the Secretary of
the Treasury from time to time, information as to which,
as well as forms for application, may be obtained from the
Treasury Department or through any Federal Reserve
Bank.
MAT 1,1919.
principally to money borrowed temporarily on United
States certificates of indebtedness and Liberty bonds.
Of the 1,451 million dollars of bills payable and rediscounts
shown March 4, 1919, 1,014 million was represented by
bills payable with the Federal Reserve Banks, and 48
million dollars by bills payable with other than Federal
Reserve Banks, leaving a balance of 389 million dollars of
rediscounts, including those with Federal Reserve Banks.
United States bonds, including Liberty bonds and
United States certificates of indebtedness held March 4,
1919, amounted to 3,681 million dollars. This is an increase of 1,560 million dollars over March 4,1918, and an increase of 2,967 million dollars over March 5,1917. Of the
(jcvernment bonds and certificates of indebtedness held
March 4,1919, approximately 700 million dollars are bonds
of the old issues which are pledged as a basis for circulation. About one billion represents bonds of the first four
Liberty loans still held by the national banks, the remainder of the United States Government obligations
owned being the short term certificates of indebtedness.
Other bonds, securities, etc., held March 4, 1919,
amounted to 1,701 million dollars—a reduction as compared with March 4. 1918, of 114 million dollars; and a
shrinkage as compared with March 5, 1917, of 69 million
dollars; but an increase over December 31, 1918 of 18 million dollars.
Capital, surplus, and undivided profits of national banks
on March 4, 1919, amounted to 2,330 million dollars, an
increase over March 4, 1918, of 92 million dollars; and an
increase over March 5, 1917, of 159 million dollars.
The circulation of national banks March 4, 1919, was
674 million dollars—an increase of about 13 million dollars
over March 5, 1917, but a reduction since December 31,
1918, of 3 million dollars.
The cash on hand and due from Federal Reserve Banks
March 4,1919, was 1,858 million dollars—an increase over
March 4,1918, of 165 million dollars, and an increase over
March 5, 1917, of 214 millions dollars.
The lawful reserve held by the national banks March 4,
1919, was 1,151 million dollars, or 77 million in excess of
the amount required. The excess reserve reported December 31, 1918, was 69 million dollars. The percentage of
reserve held by country banks March 4, 1919, was 7.53
per cent. The highest percentages among the States as
reported were: New Mexico, 8.47 per cent; Alabama, 8.25
per cent; Louisiana, 8.22 per cent. The States reporting
the lowest percentages of reserve were: Wyoming, 6.95
per cent; Iowa, 7; Illinois, 7.11;Connecticut, 7.19 per cent.
The percentages of reserve carried in the three central
reserve cities of New York, Chicago, and St. Louis,
respectively, were 14.49 per cent; 13.16 per cent; 13.42
per cent. The other reserve cities averaged 10.42 per
cent, and those showing the highest percentages were:
Des Moines, 13.20; Spokane, 12.28; Brooklyn, 11.80; San
Antonio, 11.66. The reserve cities showing the lowest
reserve were: El Paso, 4.90 per cent; Kansas City, 6.99;
Albany, 7,63 per cent, and Omaha 8.39 per cent.
447
FEDERAL RBSEEVE BULLETIN.
Practice of Handling Bills of Exchange in Foreign
Countries.1
AUSTRALIA.
[Commercial Attache* Philip B. Kennedy, Melbourne.]
Exports to the United States are financed either by the
establishment of credits by the United States buyers
under which drafts are drawn or by direct telegraphic
transfer remittances at date of shipment. But methods
and details differ somewhat according to the product
exported.
The Imperial Government deposits credit in London t<s
the order of the Australian Government. Local sellers of
wool are paid f. o. b. Australia, it is therefore necessary
to secure payment in Australia in return for London credit.
The Australian Associated Banks have divided this wool
financing between themselves at an agreed ratio.
Of Australian wool prior to the war about 15 per cent was
consigned to London for sale. Banks usually advanced
a reasonable percentage of the value of the wool to the
seller and negotiated a 60-day draft on London for the
approximate amount. The wool was put in the hands of
a London broker who sold it before the draft came due.
The grower received the excess due him through his bank.
The 85 per cent of Australian wool which has been sold
at local sales must be paid for by the buyers in cash. The
universal custom is for wool buyers to pay through the
medium of a letter of credit issued to their order upon
local banks. Usually the banks are instructed in the
letter of credit to honor drafts upon presentation of bills
of lading and other shipping documents covering the purchase in question. In some instances instructions are
given to permit of payment prior to shipment, but this
must be definitely stated in the letter of credit, otherwise
the banks will not take the risk.
LETTERS OP CREDIT ISSUED ON SEVERAL BANKS.
The reason why letters of credit issued to wool buyers
should be drawn upon five or six Australian banks is not
to give the buyer an opportunity to "shop around" for
the lowest rates, since there is only one rate on wool bills
which is agreed to by the associated banks, and changed
from time to time according to the exchange situation.
The letter of credit should be made out to five or six
Australian banks because any given bank may stop buying
wool bills if it has too much money in London to balance .
with drafts for imported merchandise drawn upon it.
Banks, on the other hand, which may need money in
London to meet obligations do not have to bid for it in
the open market; it comes to them more or less automatically. When a letter of credit is made out to five or six
banks the wool buyer may always be certain of finding a
bank which will buy wool bills at the set rate.
British wool bills are normally drawn for 60 days, American bills frequently for 90 days, due to the fact that our
1
From Commerce Reports, Mar. 23, Mar. 25, and Apr. l, 1919.
448
FEDERAL RESERVE BULLETIN.
financing has been handled through London, additional
time being required for the round mail between London
and Boston or New York.
In normal times the banks compete very keenly for this
'"'open" business, as the wool bills are called. They do
not cut rates, but they expect their officials to pull the
business on the basis oi! personality and service. This
shows us the bunker in the role of business getter.
FINANCING OF MEAT EXPORTS.
There are about 12 export meat works in Australia.
They pay cash to the farmers for cattle on delivery, either
using their own capital or borrowing from the banks.
Meat is normally sold either c. i. f. e. or f. o. b. Australian
port, or by consignment to be sold in London on delivery.
Business other than London, of which there is considerable, especially to the East, is c. i. f. e. or f. o. b. Australian port. Meat is usually invoiced to the agent for the
exporter or to the direct buyer, and the exporter draws on
him with shipping documents attached. Freight is payable in Australia in exchange for bills of lading. Insurance is usually booked in London under open cover, the
premium being paid by agents in London on certain specified forms of declaration for insurance by exporter, he
arranging his own finance with the agent accordingly.
The exporter usually books freight ahead to meet his
requirements. The exporter places meat in the ship
slings at his own expense.
EXCHANGE ON WHEAT EXPORTS HANDLED BY ASSOCIATED
BANKS.
The Associated Australian Banks divide the exchange
on wheat exports by arrangement. An enormous export
surplus of wheat has accumulated in Australia.
Before the war wheat exports were handled independently in Sydney, Melbourne, Adelaide, and Perth. In
each city three to five companies controlled the bulk of
the business. The three great companies which handled
most of the wheat export throughout Australia were John
Darling & Co., James Bell <fc Co., and Dreyfuss. Their
virtual monopoly was based upon an ability to book shipping space ahead. Banks advance money to these firms
to enable them to carry wheat, on condition that exchange
be handled through them. Banks not in position to make
advances would be almost shut out of the exchange business. Bills are drawn in about the same fashion as for
meat.
CREDIT IS OPENED BY THE AMERICAN IMPORTER.
The local seller draws usually under a credit opened by
the American importer with ordinary trading banks.
(For the sake of caution it may be well to make credits
payable upon several banks for other commodities than
wool, although wool is the big business and the one in
which this problem especially arises.) Such a credit
generally provides that drafts are drawn at sight, 30, or 60
days. Wool bills on the United States are often drawn
for a longer period, because of the additional time taken
for the round mail from London. This may be feasible
for other commodities.
COMPARISON BETWEEN
DOLLAR DRAFTS AND STERLING
DRAFTS.
From an exchange point of view there is no difference
between dollar drafts and sterling drafts, excepting the
conversion rate. Dollar exchange is based upon the
London-New York sight rate. There is no real dollar
exchange. Where banks issue payment in dollars they
are speculating on the New York-London sight rate?
since they carry slight funds in New Y«rk. They get a
better rate of interest in London (New York only 2 per
cent on open accounts) and have more use for their money.
The Australian banks all have branches in London. For
the present, dollar payments are to be recommended only
for convenience. It is only a question as to whether the
customer or the Australian bank will speculate on the
New York-London sight rate. When this rate is fluctuating the banks will be sure to protect themselves on their
quotations. Most local exporter's bills are drawn in sterling at sight and 30 days.
HOW CREDIT AND DRAWING ARE ARRANGED.
In arranging a credit and drawing the bank in New
York advises the bank in London that it desires a credit
established. The bank in London passes it out to its
Australian branch or agent, by whom it is advised to the
beneficiary. The common usance of such bills is 60 days.
They are negotiated almost invariably through the bank
with whom the credit is established, never through
brokers.
There is no open exchange market in Australia. The
associated banks fix rates which all are to charge on
London. Sometimes a local bank will charge a customer
more than this rate and occasionally less. The rates
require a little watching, but is it bad form to shop around.
Rates outside of London being based upon London, there is
virtually little fluctuation in other rates charged by various
banks. Exchange rates are locally quoted on the first day
in each week in the newspapers. Bills are customarily
domiciled in Perth, Adelaide, Melbourne, Sydney,
Brisbane, and Hobart.
The banks rarely see New York rates of discount and
exchange. They know the conversion rate dollars into
sterling every week. Ninety per cent of reimbursements
being in London, they are not pecuniarily interested in
the daily fluctuations elsewhere.
The Bank of New South Wales receives a cable once a
week as to the New York-London sight rate and gives out
this rate to other banks. There is only one basis for
exchange rates, which is the New York - London
sight. Australian banks do not bother with any further
refinements.
MAT
1, 19.19
EXCHANGE
FEDERAL RESERVE BULLETIN.
TABLES
NOT
PUBLISHED—DISCRIMINATION
FAVORS LONDON.
Exchange tables, dollars into local currency, are not
published in Australia, and local banks neither get quotations of Mew York discount rates nor quote "forward"
rates of New York discount.
The usual margin of profit between selling and buying
quotations is 17s. 6d. (84.23). During the war the rates
were considerably higher.
The only discrimination is in favor of bills drawn on
London. It is all a matter of currency. Banks explain
this by saying that they know sterling values, but conversion rates into other currency are a day to day factor.
For instance, the bank in buying a bill on New York to-day
knows that the conversion rate is 4.78, but has to risk that
rate going against it while the bill is in transit.
Since there is no open exchange market in Australia the
local banks are content to be a tail to the London kite.
They let London attend to international exchange problems. When we consider that local banks have offices
in London and that most of their business has been done
with London this appears natural.
COMMISSIONS AND STAMP CHARGES IN THE IMPORT
TRADE.
Commission for collecting clean and documentary items
on Melbourne is the same, one-fourth per cent. This is
usually spoken of as 5s. per cent (5s. in £100). To this
must be added the exchange on London for a sterling draft.
The total cost of collecting clean items on various other
cities is one-fourth per cent commission plus exchange
for draft and duty stamps.
Australian banks agree upon fixed rates of exchange
between various internal cities for local business. Oversea drafts, however, are negotiated at identical rates for
capital seaport cities.
It is contrary to custom for banks to undertake to obtain
acceptance if bill is not left for collection.
The bill stamp charges for clean and documentary items
drawn on our country are as follows: If drawn on Victoria,
demand items, Id.; currency, ad valorem, for each £25
up to £100, 6d. If over £100, for each £50 or portion
thereof, Is. If drawn on Queensland, New Zealand, or
Fiji, Is. on every £25 or fraction thereof. If drawn on
Western Australia, 6d. for every £25 or part thereof, and
Is. for every £50 or part thereof on amounts over £100.
If drawn on New South Wales, South Australia, Tasmania,
6d. on every £25 or part thereof, regardless of amount.
DRAWEE USUALLY PAYS STAMP DUTIES.
It is the usual but not invariable practice for the drawee
to pay these charges. To be certain, however, that the
drawee pays for stamps the clause, "Payable with all
charges," should be included. Terms before the war
were often c. i. f. e. (cost, insurance, freight, and exchange).
At present very little, if any, business is being done on
this basis. American export commission houses, which
449
send forward a large proportion at the bills for Australian
import trade, having paid cash in New York, expect to receive the face amount. Their 2-J- to 5 per cent commission
is absolute!y net. American banks which send '' forward''
bills direct to Australia originating with their customers
should be sure of the terms of the transaction. American
importers can specify that the rail amount of the quoted
price be paid, all charges for exchange to be met by the
importer.. This will enable the quotation of bedrock
prices which the importer wishes to secure. A large
number of bills have been coming forward from banks all
over the United States. The Bank of New South Wales
allowed me to look through one of their mail receipts of
American bills. I was surprised at the variety of the originating banks representing all parts of the United States.
Even banks in fairly small cities were represented.
Australian banks make deductions for stamp charges,
but not for postage on. letters. Unless the words ; ' Payable
with all charges'7 appear the value of the stamps is generally deducted from the amount remitted. Charge is
also made for stamps on checks remitted to the exporter
in payment of collections.
CUSTOMS REGARDING PROTESTED BILLS.
In case of protest the amount of the charge is £1 Is.
Noting fee is 7s. 6d. (Noting fee in New South Wales is
10s. 6d.) In the event of the item being paid after protest, the charges are collected from the drawee.
Banks do not protest unless specially instructed to do so.
They note the bill and this may at any time be extended
into a protest. Currency bills noted for nonacceptances
are presented at the notarial due date, and if dishonored,
noted for nonpayment. Noting must be done within
48 hours after dishonor to reserve recourse.
Collection and banking charges on bills drawn upon
merchants are added to the face amount of the bill and
paid at due day, unless the terms are c. f. i. e. When
exchange is not specified in the terms, usage puts it upon
the importer.
It is not customary for the importer to assume any other
supplementary charges. Occasionally a draft is drawn
bearing interest from date to receipt of proceeds by drawer.
Local banks guarantee payment of drafts accepted by
approved firms only under their letters of credit; or. in
special cases, in which instructions to deliver documents
on payment under a currency draft are ignored.
BANKS ACCEPT CONSIGNMENTS, AND ALSO PARCELS FOR
DELIVERY.
When supporting drafts are in the hands of a bank, or
shipment is made under its letter of credit, it will accept
consignment of goods. But before making such consignments the exporter will do well to inquire as to the repute
of the banking firm in question. Banks will also accept
parcels to be delivered to consignees against payment or
acceptance of draft. No charge is made for this
service.
450
FEDERAL RESERVE BULLETIN.
MAY 1, 1919.
turnee. Goods to be returned do not have to be cleared
customhouse, and there is no duty. If duty has already
been
paid full refund is made, except in the case of a few
The customhouse allows seven days after final discharge
from the boat in which to make entry. But in Sydney the kinds of shipments, such as tobacco.
time limit is 48 hours. No fine, however, is imposed for
HOW DRAFTS SHOULD BE PHRASED.
failure to make entry within the specified time limit.
Goods not entered in this period are placed in the King's
The customary phrase to be included in drafts drawn on
warehouse, the charges for storage being 4d. ($0.08) per ton, Australia in United States dollars in order to enable rewith 4s. (10.97) per ton added for delivery. The con- mittance of the face amount of such bills without any
signee eventually pays these charges.
deduction whatever is: "Payable with exchange, comThere should be an understanding with the importer mission, stamps, and all costs for a sight draft on New York
as to whether goods should be consigned to him or to a in dollars." The precise wording required should be recustoms agent. Many local firms are prepared to do their quested from individual banks, although the above would
own clearing and have objected seriously to American firms probably meet any case, the consignee probably being
liable for any fluctuations and not the bank."
consigning to customs agents or freight forwarders.
Banks arrange for storage of goods in cases of necessity,
The phrase to be included in drafts drawn in United
the charge being the same as that at the King's ware- States dollars in order to enable remittance of the face
house—drayage, 3s. 5d. (10.34) per ton; agency clearance, amount of such bills plus collection charges is the same
3s-. 6d. (§0.85); sighting, if necessary, Is. 6d. ($0.36).
as above with the addition, "plus agent's commission
Banks will arrange for insurance on goods in warehouse. per cent." A docket of charges should be inclosed. If
The usual premium for good risks is 7s. to 8s. ($1.86) for draft is to include interest in addition to the above-named
£100, with a minimum premium payment of 4s. 6d. charges, add: " Interest at
per cent from date of draft
($1.09). Consignee eventually pays for storage and insur- to approximate date of arrival of proceeds in New York."
ance.
Acceptors retiring drafts before maturity are allowed
interest at the rate of 1£ per cent per annum. This is
DOCUMENTS NEEDED IN FOREIGN SHIPMENTS.
customary, but not provided by law. There is no charge
If goods arrive in advance of the related documents a connected with dishonored items beyond the protest fee
bank guaranty may be used in lieu of the missing bill of
already mentioned, excepting the duty stamp.
lading, but the Customs Department requires an invoice.
In New South Wales the estimated amount of duty must
CHINA.
also be deposited before goods are cleared.
[Commercial Attach^ Julean Arnold, Peking.]
No other documents than bills of lading and invoices are
needed in connection with foreign shipments, but the
Exports to the United States are sometimes financed
invoice should state the price for home consumption in the under the form of a documentary credit, which some banks
country of origin at the date of shipment. For conven- do not regard as a credit at all. As a rule, this is opened
ience it is well also to inclose a packing sheet.
at the request of an importer, who specifies the bank
At most ports of Australia it is customary to permit the through which the credit is to arrive, dependent upon the
drawee to examine the goods, but the ports of New South particular bank where the exchange is booked to cover
Wales form an exception.
that specific transaction. Confirmed bankers' credits, or
If bills of lading are made out either "to order" or to irrevocable credits, are also used in China. These call
the order of the consignee it is possible for the latter to for no comment, as they are well known in the United
obtain possession of the goods without producing the bills States. "Packing" credit, too, is occasionally utilized.
of lading. But in either instance a guaranty would have This is an arrangement by which the importer authorizes
to be made which would fully protect the holder of the bill the local banker to pay the exporter the value of the merof lading.
chandise as soon as the goods are packed and ready for
Bill of lading can not be made out so as to give the shipment. Such cargo is usually hypothecated to the
consignor full control of the merchandise, because the ship bank until the goods are actually shipped, when, in
will not deliver goods under such bills of lading. The exchange for the shipping documents, the bank deducts
safest way is to indorse the bill of lading over to the bank the amount advanced and gives the exporter the balance
which is to handle the draft.
in his favor.
The usance most common is 90 days, but shipments are
SHIPPING AGENTS WILL SELL OR RETURN GOODS.
made also on 30, 60, and 120 days by mutual arrangement
Banks do not undertake sale or return of goods to con- between buyer and seller. Business at sight draft is also
signor, except that when such requests are made they are a common occurrence, and with strong financial houses
placed in the hands of a shipping agent, whose expenses this usance is preferred to all others on account of the
the bank pays, recouping itself by drawing on the re- greater facility in exchange.
CUSTOMHOUSE PRACTICES—STORAGE OF GOODS—
INSURANCE RATES.
MAY I, 1019.
FEDERAL RESERVE BULLETIN".
PREVAILING RULES GOVERNING BILLS OF EXCHANGE.
451
All the big banks of China obtain regular quotations of
discount rates from New York banks. "Forward" rates
must be quoted, as practically always the settlement of
bills is on a "forward" basis.
The margin of profit calculated in the purchase of firstclass commercial bills is based on New York or other American discount rates, and is usually about l/8d. higher than
these rates.
The question as to whether it is more advantageous to
draw dollar bills on New York or sterling bills through
New York, payable London, depends entirely on the
cross rate existing between New York and London. The
majority of local exporter's bills are drawn in gold dollars.
The rules governing bills of exchange are based on the
laws of the countries concerned and the custom, of each
settlement—French, British, American, etc.—in Shang- COLLECTION PRACTICES IN IMPORTANT TRADE—PROTESThai, For example, a bill drawn in New York on China
FEES.
would be stamped in accordance with American law, and
the American rules regarding protest, presentation, etc.,
In the matter of import procedure the general practice
would apply, while British laws would be applicable to in Shanghai is to charge about one-fourth per cent for colbills drawn in London on Shanghai.
lections on both clean and documentary items. This is
the total cost for clean items at treaty ports. The total
CREDIT OPENED BY THE BUYER.
cost at such ports for documentary items does not exceed
The credit arrangement is made by the buyer at home. one-half per cent. If the bill is not left for collection the
In opening a documentary credit the importer signs a commission for obtaining acceptance is one-eighth per
form in which he gives the name and address of the ex- cent. There are no stamp charges.
Because of extra-torritoriality in China the amount of
porter in whose favor the credit is to be opened and states
whether one or a series of drafts is to be drawn. He also charges in case of protest depends upon the consulate of
gives particulars of the merchandise to be shipped and the nationality concerned, but is cheaper than ordinarj?
agrees to effect the marine insurance. In consideration solicitors' or lawyers' fees. If the item is paid after proof the banker's allowing the exporter to draw on him up test, charges are usually collected from the drawee. Colto a specified amount, the importer engages to accept any lection charges are usually paid by drawers on free bills,
pay credit. Each bill drawn under such an arrangement unless other arrangement is made. The importer bear3
is accompanied by a full set of shipping documents— these charges if goods come on credit opened by him.
invoice, bills of lading, insurance policy, etc.—all duly Other supplementary charges are subject to special arhypothecated to the bank as security for the due payment rangement.
of the bills.
LOCAL BANKS GUARANTEE PAYMENTS.
Most of the bills in connection with the Eastern trade
are on an interest basis, 6 or 7 per cent being charged from
If provided for in letter of credit, local banks will guarthe date of the bill to the approximate due date of proceeds antee the payment of drafts accepted by approved firms,
in the hands of the bank making payment.
charging about one-eighth per cent per month. They will
Bills are negotiated direct with the bank, although the not generally accept the consignment of goods unless
exchange is practically always settled through brokers.
specially arranged for and at one-fourth per cent plus
charges. For a similar charge parcels will be received to
DAILY QUOTATIONS RECEIVED FROM NEW YORK—SETTLE- be delivered to consignee against payment or acceptance
MENT ON "FORWARD" BASIS.
of draft.
Exchange rates are quoted on the basis of telegraphic
PROCEDURE—PINES—INSURANCE IN
CUSTOMHOUSE
transfer, and are published daily by the Hongkong and
WAREHOUSE.
Shanghai banks, which give exchange rates on London,
Fifteen days from date of departure of steamer are
France, New York, Japan, and India. Daily telegraphic
allowed for making entry at the customhouse. For each
reports are received from New York.
Where bills are domiciled depends entirely on the 5-day period over this limit a fine of 20 haikwan taels is
customer's domicile. The majority of credits are domi- imposed on the steamship company and paid eventually
ciled in New York or Boston; but others drawn on the by the consignee. The Government does not store goods,
United States are domiciled in Chicago, San Francisco, but the banks will arrange for storage in cases of necessity,
the rates for this service and for drayage depending on the
Philadelphia, and smaller cities.
Several books of exchange tables are published by Kel- character of the goods. Insurance while in warehouse
ley & Walsh, Shanghai, which convert sterling, gold dol- may be arranged at a premium equal to 0.4 per cent of the
lars, and yen into local currency. The Commercial Press value of the goods. If delay in taking delivery is due to
(Ltd.) also publishes the Far Eastern Exchange Tables, the consignee, all such charges as these are payable by
him.
compiled by F. X. Sequeira.
115831—19
7
452
FEDEBAL RESERVE BULLETIN.
USUAL DOCUMENTS REQUIRED—BANKS ATTEND TO SALE
OR RETURN OF GOODS.
MAY 1, 1919.
London. The market for bills drawn in dollars on New
York is generally on a parity with that for other bills.
Local exporters' bills are drawn in sterling and gold
dollars, the usance of such bills being from demand 30 to
90 days. Practically all of the gold-dollar bills are negotiated direct, and the sterling bills through brokers.
Exchange rates are quoted locally as the number of gold
dollars equal to 100 Straits dollars or number of pence
equal to 1 Straits dollar. Bills are customarily domiciled
in New York or London.
New York rates of discount and exchange are not
publicly quoted locally. However, private quotations
are received by the banks for their own information.
The banks keep themselves posted by cable on daily
fluctuations of exchange rates in the principal financial
centers of the world. Quotations on New York are always
current. Exchange tables (dollars into local currency)
are available in the Straits Settlements, but are published
by Noronha & Co., Hongkong. All local banks get
regular quotations of discount rates from New York, but
"forward" rates are not quoted.
In the event of the arrival of goods in advance of the
related documents they may be obtained without any
additional charges by giving a letter of guarantee to the
shipping company.
Invoice, bill of lading, and shipping papers are the
usual documents required by Jaw. Whether the consignee
can obtain goods without producing bills of lading which
have been made out" to order" is a matter of arrangement.
If goods are made out to the order of the consignee, he may
get them, provided the shipping company has confidence
in his standing. To give the exporter absolute control of
goods, the bills of lading should be made out to his order
and indorsed by the bmik here. It is not customary to
permit examination of goods before delivery without
specific instructions from the exporter.
Banks will, at request, attend to the sale of goods or will
return goods. For the latter, application must be made to
the customhouse for reexport of goods, and they must be
cleared; but, if they are foreign goods, no duty need be
COMMISSION AND STAMP CHARGES PAID BY DRAWEE.
paid. Duty already paid will be refunded, provided the
goods are in the original shipping package with original
In the import trade the commission for collecting clean
marks and numbers.
(i. e., without documents) items on Singapore is one-eighth
per cent, but if there is exchange involved the collection
PHRASEOLOGY.OF DRAFTS.
is usually made free of commission. Some banks charge
The inclusion in drafts of the phrase, " United States commissions for collecting documentary items on Singagold $—•—, payable at the collecting bank selling ratepore in some instances. The total cost of collecting clean
for T/T or s/d on New York," will enable remittance of and documentary items in the Federated Malay States
the full face amount of the bills. For remittance of the varies from one-eighth to one-quarter per cent, while the
full amount plus collection charges, add to the above usual commission for obtaining acceptance, if bill is not
phrase, "plus collecting charges." If it is also desired to to be left with bank for collection, is one-eighth per cent.
The bill stamp charges for clean and documentary items
enable remittance of above charges plus interest, specify,
"and interest at
per cent from (date) till approxi- drawn on the Straits Settlements are 5 cents per $100. No
deductions for stamp charges are ever made by a local
mate date of arrival in New York."
In what currency drafts shall be made for the payment bank from a remittance to an American bank in payment
of bills drawn in local currency is a matter of arrangement. of such collections, as the drawee usually meets the
There is no legai^provision as to the rate of exchange charges. Neither is any deduction made for stamps on
that shall be"4 applied .on bills drawn in foreign currency. checks remitted to an American bank. In the event of an
item being paid after protest, the charges are collected
This depends on the bank selling rate.
Acceptors of drafts retired beioreAmaturity are allowed from the drawee, as the bank is generally content with
recovering the principal. Local merchants sometimes re2 per cent interest, but this rate is not fixed by law.
In addition to the charge mentioned above on protested fuse to pay collection charges and banking charges on bills
items, the banks charge a commission of one-eighth per drawn upon them. These charges are generally adjusted
cent for the return of clean, and one-fourth per cent for between the importer and the seller. It is not customary
the return of documentary items wiiich|have been dis- for the importer in the Straits Settlements to make or ashonored. Such charges are generaliyJImade against sume any other supplementary payments of charges.
account.
BANKS ACCEPT GOODS FOR DELIVERY.
STRAITS SETTLEMENTS.
[Consul Harry Campbell, Singapore.]
Exports from the Straits Settlements to the United
States are mainly financed by telegraphic transfer on
London. The local seller, as a rule, draws under a credit
opened by the American importer, which credit is usually
opened in Mew York, andfdrafts drawn on New York or
Local banks do not guarantee the payment of drafts accepted by approved firms. Neither do the banks accept
the consignment of goods, but parcels may be sent to a
bank for delivery to consignee against payment or acceptance of draft. The charges are one-eighth per cent, but
if exchange is involved the transaction is generally effected free of charge.
STORAGE OP GOODS—WAREHOUSE INSURANCE RATES.
Singapore being a free port, there is no customhouse.
and hence no regulations concerning the time allowed for
entry of goods. Banks do not customarily arrange for
storage of goods, but this might be done in case of necessity.
Banks will arrange for insiu'ance in warehouse. The
premium in any specified warehouse of brick and/or iron
and/or wood is 50 cents per §100 per annum; in any specified warehouse of brick and/or iron with tile roof, 40 cents
per $100 per annum. Another policy, known as the floating policy, may be secured on goods in any Singapore
harbor warehouse at Tanjong Pagar and/or Keppel Harbor,
for 60 cents per $100 per annum; or on goods in any Singapore harbor warehouse at Tanjong Pagar and/or Keppel
Harbor and/or P. & O. Co.'s premises, for 75 cents per $100
per annum. This last-named policy is perhaps of greater
importance than the others, as it covers merchandise in
any warehouse where the goods may happen to be stored.
In case of inflammable material special rates are fixed
according to the nature of the goods.
Rates on fire insurance policies taken out for brief periods onfy are one-tenth the annual rate for 10 days, one-fifth
annual rate for 30 days, one-third annual rate for 60 days,
one-half annual rate for 90 days, two-thirds annual rate for
6 months, and four-fifths the annual rate for 9 months.
For periods exceeding 9 months the annual rate is charged.
The annual rates on which these short-term rates are based
are those mentioned above.
CONSIGNEE
PAYS
CHARGES—EXAMINATION
PERMITTED.
OP
GOODS
It is customary for the consignee eventually to pay
storage and insurance charges. Goods rarely arrive in
Singapore before the relating documents. However,
should this occur, storage and insurance are the usual expenses connected therewith, although delivery can usually
be secured by making formal declaration that documents
have not been received but will be delivered upon arrival.
Consular invoices are not necessary for shipments to the
Straits Settlements. It is customary to permit examination of goods by drawee without an inquiry to the United
States by cable or letter. Should bills of lading be made
out "to order," it is possible for the consignee to obtain
possession of the goods without producing the bills of
lading, provided possession is gained under a bank guaranty. An American concern can retain absolute control
of the merchandise by holding a complete set of bills of
lading.
BANKS DO NOT ATTEND TO SALE OR RETURN OF GOODS.
If the clients of an American bank wish to sell goods
shipped to the Straits Settlements, they should get in
touch with a selling agent, as a local bank will not attend
to such sale. Should the American bank instruct the
local bank to have the goods returned to the shipper, the
453
FEDEKAL RESERVE BULLETIN.
1, 1819
bill of lading would be handed to a local shipping agent
for his attention. Before these goods could be shipped,
it would be necessary at the present time to secure an
export permit from the Registrar of Imports and Exports.
Singapore is a free port with the exception of slight duties
on petroleum, cigars and cigarettes, opium and liquors.
Should such goods be returned to the United States, duties
would be refunded.
PHRASES TO BE USED IN DRAFTS.
American banks, when drawing on the Straits Settlements in United States dollars or any other foreign currency, should include the phrase, "With all charges and
stamp duty included.'' The use of this phrase will enable
the local bank to remit the face value of such bills without
any deduction whatever. Should American banks wish
the face amount of such bills, plus their collection charges,
remitted, they should use the phrase, "With all charges
and stamp duties included, plus our collection charges of
$
.'' In case it is desired that the remittance include
interest, the following phrase should be used: "With all
charges and stamp duties included, plus our collection
charge of $
with interest at
per cent per annum
from date of bill to approximate due date in New York."
The Singapore banks will remit proceeds of bills in United
States dollars without loss of exchange, as the fluctuation
of exchange falls on the drawee.
BILLS IN FOREIGN CURRENCY BEAR INTEREST—CHARGE ON
RETURNED ITEMS.
If a bill is drawn on this colony in other than the local
currency, it is not customary for the drawee to pay such
bill by a draft purchased from another bank in the Straits
Settlements. There is no provision by law or trade
custom as to the rate of exchange that shall be applied on
bills where drafts are drawn in foreign currency. Most
of the bills that are drawn in foreign currency bear the
interest clause. No rebate is allowed acceptors for retiring drafts before maturity. Any small expenses, such as
local transportation, etc., would be properly chargeable
in connection with the return to an American bank on
dishonored items. The charge on such items would be
one-eighth to one-fourth per cent. The local branch
would probably request the head or branch office in New
York to collect such charges.
ALGERIA.
[Consul A. C. Frost, Algiers.]
Exports to the United States diminished rapidly during
the war, owing to lack of tonnage and to the fact that
Algerian products were required more and more by France.
Generally, the American importer is obliged to pay in
pounds on London or in francs on Paris before shipment
of the goods.
The local seller would ordinarily draw through the
Credit Lyonnais or Societe General© on the Paris office
of the company.
454
FEDERAL RESERVE BULLETIN.
The market for bills drawn in dollars on New York,
compared with other bills, is ascertained in the Paris
market. Local exporters' bills are usually drawn in
francs.
A credit is opened against documents consisting of
invoice, bill of lading, and insurance policy. Bills are
negotiated directly at the local banks. Exchange rates
are based on the Paris rate, being 10 to 20 centimes ($0.04)
per dollar above that rate. The bills are generally domiciled at Paris or Marseille.
SECURING GOODS WITHOUT
M A Y I , 1919.
DOCUMENTS.
To secure the goods before the arrival of the bill of
lading the navigation company will accept a bank guaranty. The expenses are said to be small. If the missing
document is the certificate of origin, the presentation of
which entails the benefit of the minimum tariff on merchandise which is entitled to it, the consignee or his
representative makes a declaration at the customhouse
to the effect that the said certificate of origin will be
produced within a certain time; in default of which, the
DAILY NEWS OF EXCHANGE RATES FROM PARIS.
duty will subsequently be assessed on the basis of the
Local banks receive a daily telegram from Paris as to general tariff. After declaration, verification, and receipt
the New York rates. These rates are also given in the of the minimum tariff the goods may then be removed.
Paris papers, which reach Algiers several days later. All There are no expenses in connection with this formality.
information comes from Paris as to exchange rates throughDOCUMENTS NEEDED.
out the world. Dollar bills, drafts, etc., are converted
into local currency according to the Paris rate. The
A consular invoice is ordinarily not necessary. An
price on gold coin is determined by the Bank of Algeria. invoice is necessary only for steel declared as "ordinary"
There are no exchange tables (dollars into local cur- instead of "fine, for tools." All steel bars valued at or
rency) published or obtainable here. Local banks get over 75 francs ($14.48) per 100 kilos (220.46 pounds) is
no regular quotations of discount rates from New York or charged as "fine steel, for tools" (the duty being higher
other American banks, except from their principal office than for ordinary steel). The value must be included
in Paris. They charge sufficient to cover their local in the declaration and justified by the production of the
expenses on the business they forward to Paris.
original invoice vised by the French consul.
A bill of lading is required by law, in addition to the
ALGERIAN IMPORTER PAYS COLLECTION AND STAMP CHARGES.
documents above mentioned.
At the present time most purchases from the United
The person in possession of the bill of lading is recogStates are paid against documents at the American port.
nized by the customs officials as the owner of the goods.
The Algerian purchaser pays the commissions demanded
He is authorized, at his request transmitted in a provisory
by the local bank.
declaration, to examine the merchandise and verify the
Simple or documentary checks coming from abroad pay
quality and the weight, under control of the customs
a fixed charge of 20 centimes ($0.04). The bills of exofficials.
change must be stamped according to the tariff of 5 cenWhen bills of lading are made to order, it is not possible
times (SO.01) per 100 francs ($19.30). The stamp is usually
to secure the goods without producing the bill of lading
paid for by the person presenting the draft.
except by bank guaranty. Generally, the same applies
The expenses of collection and banking charges are
to bills made out to the order of the consignee. The
generally paid by the one presenting the bill. There are,
customhouse delivers the merchandise to the bearer of the
however, numerous exceptions to this.
bill of lading.
It seems to be the policy of the banks to accept few
risks. Judging by American standards, ultraconservative
SALS AND RESEIPMENT OF MERCHANDISE.
policies appear to prevail.
In case clients desire to sell the goods, the banks will
BANKS ACCEPT CONSIGNMENTS, PARCELS FOR DELIVERY, attend to the sale.
ARRANGE FOR. STORAGE.
In case the merchandise remains in the customs wareBanks accept the consignment of goods. The condi- house, no import duty having been paid, reexportation is
tions vary according to the nature of the merchandise. easy and without complicated formalities. This can be
A common rate is approximately 5 centimes per square operated by the simple production of a transshipment
meter (§0.096 per 1.2 square yards) per day. Parcels are permit bearing a stamp of 0.05 franc (approximately $0.01).
also accepted for delivery to consignee against payment This document is drawn up at the customhouse by the
of draft.
bearer of the bill of lading. In case the goods have been
In case of necessity, a bank will arrange for the storing really entered, the tribunal can be requested to nominate
of goods, the rate being determined by the nature of the another consignee who will take charge of the goods and
goods. The insurance is also arranged for, the amount reach an agreement with the shipper.
varying according to the nature of the goods. It is cusWhen the duty has actually been paid, it is very doubttomary for these expenses to be paid by the one at fault; ful if reimbursement could be secured. Reimbursement
the bank, however, looks to the sender of the goods for can not, in principle, be made in the case of goods rereimbursement.
shipped abroad. The director can, however; decide if
FEDERAL RESERVE BULLETIN.
IVIAI I, 1910.
it is proper ^/authorize the restitution of .this duty in the
ease of merchandise which has not ceased faf be^under the
control of the customs authorities.
In drafts drawn on Algeria in the United States, it is
preferable to remit in francs or at the Paris sight rate.
When a bill is drawn on Algeria in other than French
currency, it is not customary, although sometimes done,
for the drawee to pay such bill by a draft purchased from
another local bank. There is no provision of law or trade
custom as to the rate of exchange on drafts drawn in a
foreign currency. It all depends upon the Paris .market.
The rate of interest allowed acceptors for retiring drafts
before maturity is at present 6 per cent. The rate is not
fixed by law.
Besides the protest fees in connection with dishonored
item? there are the charges for correspondence.
EGYPT.]
[Consul Arthur Garrels, Alexandria.];'
Exports from Egypt to the United States are almost
entirely financed by bills on London, the local seller
drawing under a credit opened there by the American
importer. Bills vary from three to five months, some are
drawn clean and others with documents attached.
There is no local direct market for dollar exchange.
The small amount offered is purchased by local banks for
resale in London or other continental financial centers.
By far the larger part of locally drawn bills are in pounds
sterling. Credits are arranged by cables received by local
exporters from their European offices, agents, or from some
bank.
All bills are sold in the open market through brokers.
Rates are quoted by banks on telegraphic advice from
European connections. It is customary to domicile bills
at the place where the credit has been opened.
FREQUENCY OF EXCHANGE QUOTATION'S.
New York exchange rates are not locally quoted. Local
banks are in constant telegraphic touch with their European
connections and so keep themselves informed of any exchange markets in which they might be interested. Local
banks purchase dollar drafts at prevailing European rates
plus a charge to cover ordinary commission and interest.
Exchange tables from, dollars to Egyptian currency and
-ace versa are not published. New York discount rates
are not received by local banks, nor are ''forward" rates
oi New York discount quoted. During the cotton season
in the ordinary course of trade local banks do not seek a
•orofit in the purchase oi London or continental bills.
Discount rates are not considered in the purchase of foreign
bills. If any discrimination exists against American bills
m favor of bills on other countries, it is due principally to
toe fact that local banks have but meager, if any, direct
American connections.
455
COMMISSIONS FOR COLLECTIONS.
The commission for collecting clean and documentary
items on Alexandria is 0.1 per cent. Total cost of collecting clean and documentary items on Cairo is 0.1 per
cent; on other towns the cost varies from one-fourth to
three-fourths of 1 per cent, according to geographical
location. For obtaining an acceptance of a bill which is
not left for collection a commission is charged oi' 6 piasters
tariff ($0.29955) plus postage.
Bills of exchange are not subject to stamp tax in Egypt.
PROTEST FEES—LAW REGARDING PROTEST.
The minimum protest charges in the immediate vicinity
of the law courts is 38 piasters tariff ($1.90) for bills under
10 piasters ($0.50) and 58 piasters tariff ($2.90) for those
above that amount. For protests made at a distance the
traveling expenses of the protesting officer are to be added.
Banks make a charge of 10 piasters tariff (SO.499) for their
trouble in connection with protested items. When a bill
is paid after protest the charges are collected from the
drawee. Protests have to be lodged at the mixed tribunals.
They aue effected by the " huissier," or marshal. In order
to have recourse for nonpayment on the indorsers of a bill
it must be deposited with the court before 10.30 a. m. on
the day following its due date. A sight bill may be lodged
lor protest at any time. The following is an abbreviated
extract, from the commercial code governing the administration of the mixed tribunals in Egypt.
"Par. 181. Protests for nonacceptance or nonpayment
are made up in the forms prescribed for every document
drawn up by the marshal. Protest shall be made only
upon refusal of acceptance or payment, which shall be verified by protest at the place of the domicile of the person by
vrhoin the bill was payable, of the person who undertook to
pay it in case of need, and of the person who accepted for
honor supra protest. This may be done in a single document of protest.
"Par. 182. The document of protest contains a literal
transcript of the bill, the acceptance, the indorsements
and orders appearing on the bill, and a summons to pay the
amount of the bill. It states whether the party liable to
pay is present or absent, the grounds of the refusal to pay,
the inability or the refusal to sign, and the declaration of
the marshal. A statement of the acknowledgement of the
debt is proof only if it be signed and sealed by the party.
"Par. 183. No document in the form of a certificate
drawn up by persons engaged in commerce or other persons
can supply the place of a document of protest made in the
forms prescribed, except in the case herein provided, when
the bill is missing.
"Par. 184. The marshals or other persons appointed to
make protests are bound, on pain of dismissal and liability
for costs and damages to the parties, to serve exact copies
of all protests and to transcribe them literally day by day
456
FEDERAL RESERVE BULLETIN.
MAY i, 1913.
and in order of date in a special book, numbered, Warehouses Co.. which is the only concern recognized by
initialed, and kept in the form prescribed for official the Egyptian Government for storage in bond. Goods
may remain in bond for the period of one year, at the exregisters."
piration of which duty must be paid. The goods, howIMPORTERS DO NOT PAY COLLECTION" CHARGES.
ever, may remain in the bonded warehouses indefinitely.
It is not the custom for merchants to pay collection or Charges for storage in bond vary according to the nature
banking charges on bills drawn upon them. Such charges of the goods from $0.50 to $1.12J per ton per month.
are deducted from the proceeds upon remittance. SomeDRAYAGE CHARGES—INSURANCE RATES.
times bills are received drawn ''payable with all charges
added." Such items always give rise to complaint, and
While banks own their own warehouses, they are inthe charges are difficult to collect. It is not customary for tended almost exclusively for the storage of raw cotton and
importers in Egypt to make or assume other supplementary cotton seed and are seldom used for the storage of merpayments or charges. The following is the practice in re- chandise. Insurance rates on raw cotton are very high,
gard to the payment of exchange differences on bills drawn and all goods stored in the same building with cotton are
in a currency foreign to that of the country:
subject to the same insurance premium.
English and French moneys (gold) are tariffed by law.
Rates for drayage vary greatly, but are never excessive
The parity of the pound sterling ($4.8665) is fixed at 97J and are far less than prevailing rates in the United States.
piasters tariff, and the 20-franc piece (S3.86) at 77.15 pias- Banks occasionally arrange for the storage and insurance of
ters tariff. Unless bills drawn in sterling or franc contain merchandise, but as a rule such business is passed to the
the stipulation inserted in the body of the bill, i. e. "pay- Egyptian Bonded Warehouses Co. This company mainable at the current rate of exchange," they are considered tains largefloatingopen policies, and in most cases can insure
as being payable at the tariff rates and a loss in exchange more economically than may be done through ordinary
may result in the remittance of the proceeds. It is not an channels. The usual rate of insurance on merchandise
uncommon practice for importers to accept to pay bills at the deposited in the bonded warehouses is 0.45 per cent per
current rate of exchange. It is, however, advisable to have a annum. For shorter periods the rates are proportionately
clear understanding with the drawee on the point. It is also higher.
advisable to instruct a collecting agent whether ©r not to
It is customary for the consignee to pay storage and
protest a bill in the event of a drawee refusing to pay a loss insurance charges when the goods have been stored for
incurred by exchange. The cost of protesting very often his account. In such cases it is usual to issue delivery
exceeds the sum of such loss. Bills expressed in currencies orders with the stipulation to be delivered "against payother than English or French are understood to be payable ment of all charges."
at the current rate of exchange of the collecting bank.
BANKS DO NOT GUARANTEE PAYMENTS NOR ACCEPT
CONSIGNMENTS.
DELIVERY IN ADVANCE OF DOCUMENTS—PHRASING
BILLS OF LADING.
OF
In the event of goods arriving before the related documents, shipping companies will effect delivery under
guaranty of a reputable bank. It is customary for banks
to give such guaranty on behalf of their clients. Such
services are frequently rendered free of charge. When
there is a charge it seldom exceeds one-fourth of 1 per cent.
Neither consular invoices nor other documents are required for shipments made to Egypt. It is not customary
in Egypt to permit examination of goods by the drawee
without permission from remitting bank. If bills of
lading are made out either "to order" or to his order, it is
possible for consignee to obtain possession of the goods
under banker's guaranty. The usual procedure to insure
WAREHOUSING AND STORAGE CHARGES.
control of the goods by the remitting bank is to issue bills
Goods must be withdrawn from customs within nine of lading in shipper's name and indorse them in blank.
days after passing through the doors. No fine is imposed
HOW GOODS ARE DISPOSED OF OR RETURNED.
for failure to make entry of goods within nine days specified. At the expiration of the stipulated time goods are
When shippers desire to dispose of merchandise, local
placed in the customs stores and warehousing charges banks will arrange such sales. With a certain class of
begin at varying rates, which average about 5 cents per goods it is generally most suitable to dispose of them by
package per day, irrespective of size. Goods may be public auction. Banks usually intrust the carrying out
stored in bond in the warehouses of the Egyptian Bonded of such sales to the Egyptian Bonded Warehouses Co.,
The leading local banks do not entertain the business
of guaranteeing the payment of drafts accepted by firms.
Local banks accept to take delivery of merchandise and
to warehouse it either in their own warehouse or in bond
for account of third parties. It is not usual, however,
to undertake the sale of goods sent on consignment.
Banks accept parcels sent to be delivered to consignee
against payment of acceptance of draft. The charges for
such business would not exceed the actual out-of-pocket
expenses connected with the handling of the parcels plus
the usual collection commission.
i: 1, 1019,
FEDERAL EESEEVE BULLETIN".
especially in instances where goods are deposited with
them. They see that publicity is given to the sale. If
the value of the goods to be sold is of importance, interested
dealers are notified.
When banks are instructed to return goods, the forwarding is usually intrusted to the Egyptian Bonded Warehouses
Go. Import duty is not assessed on returned goods, but
such goods are subject to an export duty aggregating
1J per cent. There is a refund of 99 per cent of customs
duty paid in Egypt when goods are reexported within six
months after payment of duty.
457
MOROCCO.
[Consul General Maxwell Blake, Tangier.]
Exports to the United States are financed hy confirmed
credits opened in European banks—usually in London or
Paris—by the American bankers of the purchasers, and the
local seller draws under these credits. Such credits are
opened in sterling or franc3 and no question of dollar
exchange, therefore, arises.
Practically no bills in dollars are drawn on New York,
and such bills would be at a disadvantage in relation to
drafts on London or Paris under existing conditions, there
being little or no market for dollar drafts.
CLAUSES TO BE INSERTED IN DRAFTS,
Bilk drawn are invariably negotiated through a local
There being no fixed rate for dollar exchange, drafts bank branch.
expressed in that currency are payable at the bank's
The common usance of such bills is 00 days' sight, but
selling rate oi drafts on New York. The drawer, therefore, periods of 30 and 90 days are frequent.
has no exchange loss to support. If it is desired to receive
proceeds free of all charges, it is necessary to insert in the
HOW EXCHANGE RATES ARE RECEIVED AND QUOTED.
body of the draft the phrase '''payable with all bank
Exchange rates are quoted locally through the medium
charges." Drawees in Egypt, however, are usually unwilling to pay bank charges. In order to receive remit- of exchange brokers, who. having obtained the rate from
tance for the face amount of bills plus the remitting bank's the banks, make visiting rounds to the merchants advising
collection charges it would be necessary to instruct the them of the rates of various currencies.
New York rates are not quoted at all. Daily cables are
local bank to charge the drawee a rate of commission amply
large to permit the bonifying of its charges to the remitting received by local banks from London, Paris, and Madrid
bank. But, as previously stated, insistence on payment regarding the exchange of the pound sterling, the franc,
of such charges invariably leads to trouble with the and the peseta.
Information regarding exchange in other financial
drawee. Clear instruction should be given the local bank
in regard to the course to be pursued if payment of such centers is obtained from the daily papers issued in London
charges is refused. This is necessary in order to avoid and Paris, which arrive in Morocco with a delay of from
expenses for cables, protests, etc. Such expenses usually four to seven days.
No direct quotations on New York being available on the
represent a sum larger than the amount in dispute. In
order to enable local banks to remit face amount of bills Moroccan market, dollars are converted into Spanish
plus remitting bank's collection charges and interest, the currency, francs, or Hassani currency (the latter very
following phrase should be included in the draft: "Payable rarely) through the medium of the pound sterling. Howwith all bank charges, including interest at 5 per cent from ever, a deduction of one or two points would be made by
date of
to
" Bills so drawn are practically the local banker to cover any contingent adverse fluctuation pending the liquidation of the draft so purchased.
unknown in Egypt.
No exchange tables of dollars into local currency are
MISCELLANEOUS INFORMATION.
published in Morocco. No local banks get regular discount
rates from New York or other American banks. "ForIf a bill is drawn on Egypt in other than local currency ward" rates of New York discount are not quoted.
it is not customary to pay such bill with a draft purchased
The margin of profit is usually calculated at one point
from another bank. Such procedure is rare and the col- plus interest during the period in which the draft is in
lecting bank reserves the right to refuse payment by draft transit. No fixed discount rate is taken. The actual
issued by another bank.
average discount rate is 7 per cent per annum.
As previously outlined, the conversion value of the
It can not be said that discrimination exists in Morocco
pound sterling and the French gold 20-franc piece is against American dollar drafts. Drafts on London or
established by law. Drafts drawn in those currencies are Paris would, of course, be preferred, owing to the lack of
payable at the rate so fixed.
facilities for the exchange of bills on America.
Acceptors retiring drafts before maturity are generally
allowed a rate of interest equal to 1 per cent below the Bank
C OLLSCTIO N COM MISS10NS—STAMP CHARG ES—PROTEST
of England discount rate. Such rate is not fixed by law.
PROCEDURE.
In returning protested items banks usually add a comThe average commission charged by local banks in
mission of 10 piasters tariff ($0.50) to the protest charges.
Charges accruing to local banks for returned items may be Morocco for collection of clean items on this city or on
places where branches are established is one-fourth per
paid to the nearest correspondents of those banks*
458
FEDERAL EESERVE BULLETIN.
cent. The average commission charged for collecting documentary items is one-fourth per cent plus one-eighth per
cent. A mean rate for collecting clean items on various
cities, in all parts of the Shereefian Empire, is one-half
per cent. An additional one-eighth per cent is charged
for the collection of documentary drafts.
A commission of Is. to Is. 6d. is charged by local banks
in Morocco for obtaining acceptance of a bill which is not
left with the bank for collection.
There are no stamp charges in respect of bills of exchange
drawn on Morocco.
In a case of protest the amount of the charges depends
upon the nationality of the drawee, the protest being made
before the consular authorities under whose jurisdiction
the drawee is found. The drawee is liable for the protest
charges.
Owing to the existence of the capitulations in Morocco,
the laws of European countries relating to protests of bills
of exchange are applicable by the various consular tribunals to their respective citizens residing io Morocco.
1, 1919.
DRAYAGE, STORAGE, AND INSURANCE RATES.
In the event of a consignee being unable to take up his
goods covered by documentary draft, thecollecting banker,
upon] instructions from the shipper or his bankers, may
take possesssion of the goods and hold them at the disposal
of the parties concerned. There exist no warehouses for
such contingencies, but storage may be provided for.
- The average rates of drayage are about SI per ton. The
storage charges would depend upon the nature of the
merchandise.
Upon request of the parties concerned, insurance would
be effected on goods in warehouse.
The average annual premium is one-fourth per cent.
For a period not exceeding 15 days, one-tenth the annual
rate is charged; for not exceeding one month, two-tenths
the annual rate; one-tenth being added for each additional
month up to nine months, after which the full annual
premium is charged. The minimum premium for shortterm insurance, however, is 1 shilling per £100 valuation.
The consignee would, of course, be liable for such
MOROCCO MERCHANTS WILL NOT PAY BANKING CHARGES. charges: but, should the contingency arise, the very nature
of the circumstances would appear to preclude the recovery
Merchants in Morocco almost invariably refuse to bear of the charges.
collection and banking charges on bills of exchange drawn
OBTAINING GOODS WITHOUT DOCUMENTS.
on them, or to assume any other supplementary charges.
If the drawer of a bill of exchange on a Morocco merchant
In the event of goods arriving before the related docudesires to recover collection and banking charges, such ments, possession can usually be taken thereof under
expenses should be covered in his price quotations. The substantial monetary guaranties if the bill of lading is
drawee will, of course, pay these in such case unsuspect- made out to personal order. If the bill of lading is made
ingly, but would refuse to bear these costs if openly pre- out to open order greater difficulty arises. There is no
sented to him.
general rule in this connection, arrangements depending
Local banks do not guarantee the payment of drafts entirely upon the standing and reputation of the conaccepted by approved firms. Very exceptionally some of signee and his personal relations with the shipping agents.
the local native merchant-bankers have guaranteed such
No consular certificate is required in connection with
bills, discounting them at 2 to 3 per cent above the usual shipments to Morocco, no other documents beyond the
discount rates. Neither do the local banks accept con- invoice being needed.
signment of goods, but parcels may be sent to them to be
It is not customary for the local banker to permit the
delivered to consignee against payment or acceptance of examination of goods by drawee unless the latter is a
draft, tho charges in such C&SD being similar to those levied person of known reliable character. It must be menon documentary collections, namely, five-eighths per cent. tioned, however, that the drawee can, without authorization, manage to inspect his goods by adroit negotiations
CUSTOMHOUSE REGULATIONS.
with the customs officials.
To give the bankers of the shipper absolute control of
The time allowed by the customhouse for making entry
goods,
the bills of lading should be made outjto the perof the goods is 20 days in Tangier and in the ports of the
Spanish zone of influence—Larache, Arzilla, and Tetuan. sonal order of their correspondents in Morocco.
REEXPORTATION OF GOODS.
In the ports of the French zone—Kenitra, Rabat, Casablanca, M&zagan, S&ffi, and Mogador—this period is limited
Banks do not attend to the sale of goods, but if so into 10 days.
structed they will have goods reexported. No permit is
Storage charges at the rate of 2 pesetas Hassani (26 cents) necessary for this, and no difficulty would be experienced
per 100 kilos (220.46 pounds) or fraction thereof per month in normal times. If they have not been withdrawn from
or fraction of a month is made on merchandise remaining the customhouse, lighterage charges amounting to about
in the customhouse beyond the periods specified. These $1.50 per ton plus storage dues would have to be paid.
storage charges should be borne by the consignee.
It would not be necessary to clear the goods through the
If the goods remain in the customhouse for a period of six customhouse, and duty would not be levied. But if
months or longer they are sold by public auction for the She goods have to be returned after having been cleared
account of whom it may concern and the customs dues and through the customhouse, it would not be possible to
storage charges are deducted from the proceeds.
obtain a refund of duty.
MAY 1,1919.
FEDERAL RESERVE BULLETIN.
WORDING OF DRAFTS.
The customary phrase to be included in drafts drawn
on Morocco, in order to enable collecting bank to remit
to the drawers the face amount of the bill without any
deduction whatever, is "Payable at bankers' selling rate
of exchange on
." (New York or London, or
Paris, etc., as the case may be.)
To enable the collecting banker to remit face amount
of bill plus collection charges, the bill should embody the
phrase "Payable at bankers' selling rate of exchange on
, plus collection charges."
If in addition interest is to be collected, the above phrase
is inserted in the bill with the addition of the words "plus
interest."
PAYMENT OF BILLS DRAWN IN FOREIGN CURRENCY.
If a bill is drawn on Morocco in other than local currency, the drawee is required to pay such bill by a draft
purchased from another bank in Morocco, unless he accepts the rate of exchange demanded by the collecting
bank.
There is no provision by law or trade custom as to the
rate of exchange which shall be applied on drafts drawn
on foreign currency.
A rate of interest from 2J- to 3 per cent is customarily
allowed acceptors for retiring drafts before maturity.
In the case of a protested or dishonored bill, there would
be collecting charges beyond the protest expenses; The
payment of such charges would, in general, be made
through the agents or correspondents in New York of (lie
Moroccan bankers.
SOUTH AFRICA.
{.Vice Consul Charles H. Heisler, Cape Town.]
459
New York rates of discount and exchange are quoted
through cable intelligence in the local daily newspapers.
One bank only receives regular cables.
Local banks do not keep themselves posted on daily
fluctuations of exchange rates in the principal financial
centers of the world. Only alterations in the Bank of
England rates affect the merchants in this country, and
even then the influence is not so marked as in other
countries.
The National Bank of South Africa receives regular
cables from its New York agency as to rates in New York.
All banks are notified when there are alterations in the
Bank of England rate.
All local banks receive regular quotations of discount
rates from their New York agencies by mail. The one
bank cited above receives regular quotations by cable.
"Forward" rates of New York discount are not quoted.
Nothing is available regarding the margin of profit !
usually calculated in the purchase of first-class commercial bills and time bills, the banks offering no information
on this subject.
HOW BILLS SHOULD BE DRAWN.
Sooth African banks naturally prefer bills of exchange
to be drawn on London. This is partly due to the fact
that exports from this country to countries outside of the
British Empire are small as corn pared with those to the
United Kingdom. It must also be remembered that the
important South African banks are British banks and, as
stated, they naturally prefer all bills to be on London.
COMMISSION FOR COLLECTING ITEMS IN THE IMPORT TRADE.
The commission charged by South African banks for
collecting clean or documentary items on this city is £ per
cent, exchange, postage and stamp duty being also payable. A similar commission is charged as the total cost
of collecting clean, as well as documentary, items on
various cities in South Africa. When a bill is not to be
left with the bank for collection, the bank's commission
for obtaining acceptance is likewise \ per cent.
The usual charges on a draft bill remitted to banks in
this country from America for collection are: Commission
HOW CREDIT IS ARRANGED.
at J per cent; exchange at the rate of the day for demand
The ordinary method of arranging a credit and drawing- drafts on New York; postage, Is. (24 cents); stamps, ad
is for the buyers to obtain credit through their bankers valorem.
AMOUNT AND PAYMENT OF STAMP CHARGES.
in the United States, the shippers drawing on a bank
named in credit through their bankers. Credits are
Stamp charges for clean and documentary items drawn
usually cabled on acceptance of order by seller. Some on this country are the same. Stamp charges on sight
sellers hold very large credits, against which orders are drafts amount to Id. (2 cents). A stamp charge of Id. (2
sent from time to time.
cents) is also made on currency drafts of £10 ($4.8.66) and
The bills are negotiated through local banks and are under, while for a currency draft exceeding £10 but not
always domiciled in London. There are no bill brokers exceeding £50 ($243.33) the charge is 6d. (12 cents); therein South Africa.
after 6d. (12 cents) is charged for every additional £50
(§243.33) or part thereof.
FREQUENCY OF EXCHANGE QUOTATIONS.
The payment of these charges depends on how^the]bill
Exchange rates are quoted once a week in the daily is drawn. Usually American correspondents draw their
newspapers. Information of this kind is generally obtain- bills "plus all charges," in which case all charges are paid
by the drawee of the bill.
able from the local banks.
115631—19
8
Exports to the United States are usually financed by
letters of credit on London, against which banks generally make advances for goods held to their order. The
local seller ordinarily draws under a credit opened by the
American importer. Many local firms make this a strict
rule. This credit is generally opened in America at 90
days', or sometimes 120 days', sight. Practically all bills
drawn on New York are in sterling.
460
FEDERAL RESERVE BULLETIN.
MAY 1, 1919.
Deductions for these stamp charges are made by local
banks from remittances to banks in other countries in
payment of such collections, unless the charges are paid
by the drawee; then, of course, no deductions are made.
No charge is made by some banks here for stamps on
checks remitted to other banks in payment of their collections. But other banks charge Id. (2 cents) for each
check.
be less than one-fourth per cent. Such a guaranty is.
however, often given in the form of letters of credit, and
the usual charges are one-fourth to one-half per cent.
It is not customary for South African banks to accept
the consignment of goods, though small parcels may be
addressed through the post office to consignees in care of
one of the banks. In such case delivery of the parcel can
only be obtained when the bank has signed the release
form after consignees have duly paid or accepted the relaFEES AND PROCEDURE FOR PROTESTED BILLS.
tive draft. There is no charge when the parcel is taken
In case of bills being protested, the following noting fees over by the drawee within a few days. Should the bank,
are charged: Presenting for noting, 6s. 8d. ($1.62), with an however, be put to any expense such as storing, clearing,
additional charge of 6s. Id. ($1.48) for each notice sent to insuring, etc., such expenses, if not paid by the drawee,
drawer, acceptor, or indorser.
must be paid by the drawer.
The usual charge on a bill noted against drawer and
ENTRY OF GOODS—FINES AND DOCK RENT.
drawee only is: Noting, 6s. 8d. ($1.62); notice to acceptor,
6s. Id. ($1.48); notice to drawers, 6s. Id. ($1.48); total,
After the arrival of goods at South African ports, the
18s. lOd. ($4.58).
time allowed by the customhouse for clearing the goods
Any out-of-pocket expenses incurred by notary public free of fine is 24 hours after notices have been posted in the
such as cab or car hire, will also be charged.
harbor offices signifying the arrival of the carrying vessel.
In the event of the item being paid after protest, the An exception is made in the case of steamers bringing their
charges are, as a rule, collected from the drawee.
own shipping documents which could not have been reIt is customary to note all bills which are dishonored by ceived at an earlier time by any other reasonable means,
nonpayment after acceptance. When a bill is noted or in which case the time is extended to 36 hours.
protested it must be noted on the day of its dishonor. The
A fine of 3d. (6 cents) per harbor ton is imposed for failure
protest may be subsequently extended as of the date of the to clear within the time limit.
noting. Where the acceptor of a bill becomes insolvent
When the goods have not been cleared in the time specior assigns his estate, or suspends payment before it fied and a fine is imposed, it is customary for the agent of
matures, the holder may note the bill for better security the foreign shipper to charge the fine to the same party to
against the drawer and indorsers. It should be remem- whom the bank is instructed, to debit the charge for clearbered that a protest must contain a copy of the bill and be ing the goods, which is usually the consignee. It is imsigned by the notary.
possible to state whether consignees are able to recover the
To preserve recourse against the drawer or indorsers on amount of the fine in cases where it can be shown that the
the bill, the bill must be presented for payment within the shippers are at fault in not having posted the documents
business hours on the date of maturity by a duly qualified in time.
notary public at the place where the bill is made payable,
In addition to the fine, goods which are not cleared
and notices of dishonor duly dispatched by the notary to within 72 hours of the notice of the arrival of the vessel
the parties concerned.
having been, posted in the harbor offices are liable to dock
IMPORTER PAYS COLLECTION AND BANKING CHARGES.
rent at the rate of 3d. (6 cents) per harbor ton per day for /
Merchants in this country generally pay the collection days, and after 7 days at the rate of Is. (24 cents) per
and banking charges drawn upon them, especially with harbor ton per day until sent by order of the customs deregard to bills received from America, as practically all partment to the King's warehouse. The harbor departsuch bills bear a clause under which all charges are paid ment's charge for placing goods in the King's warehouse
by the drawee. The payments of such charges are, how- is 4s. (96 cents) per harbor ton. The customs department
ever, a matter of arrangement between the buyer and then charges King's warehouse rent at the rate of Is. 3d.
seller. Other supplementary payments or charges are (30 cents) per harbor ton per week.
It is customany for the banks to debit these charges to
not paid or assumed by importers in this country.
the
same party to whom they are instructed to debit the
If the bill does not contain the clause mentioned or a
clearing
charges, which is usually the consignee. Whether
similar clause the collecting charges are deducted from the
the
consignees
are able to recover the amount of these
amount remitted to the drawer, or party for whose account
charges
in
cases
where it can be shown that the shippers
the bill is being collected.
are at fault for not posting the documents in time, is imBANKS RARELY GUARANTEE PAYMENTS OR ACCEPT CON- possible to say.
SIGNMENTS.
WAREHOUSE HANDLING AMD STORAGE CHARGES.
Local banks do not as a rule guarantee payment of drafts
accepted by approved firms, but should they have occaIn cases of necessity, the banks arrange for the storing
sion to perform a service of this kind, the charge would not of goods. The rate for delivery when transferring the
MAY 1,1919.
FEDERAL RESERVE BULLETIN".
461
goods from the docks to town warehouses is 3s. Gel. (85
cents) per harbor ton. The labor charge for receiving
into storehouse is 9d. (18 cents) per harbor ton, while (>d.
(12 cents) per harbor ton per week is charged for storage
of the goods. When the goods are to be delivered, the
labor charge for loading at time of delivery is 9d. (18 cents)
per harbor ton. No figures are obtainable regarding the
charge for delivery from the warehouses, as this charge
varies, of course, according to the address of the consignee,
and it is said that there are no fixed raxes according to
the distances the goods have to be moved.
The local banks arrange for the insurance on goods in
the warehouse in such cases, the rate of insurance being
stated by one bank as 3d. (6 cents) per cent per week,
and by another bank as 5s. (§1.22) per £100 ($486.65) per
annum. It is customary for the banks to charge storage
and insurance expenses to the same party to whom they
are instructed to debit the clearing charges, which is
usually the consignee.
consignee without question, but permission would not be
granted to permit the opening of the cases and examination of the contents without the proper authority.
DOCUMENTS REQUIRED—LIMITED EXAMINATION OF GOODS
PERMITTED.
The customary phrase to be included in drafts drawn
on this country in United States dollars or any other foreign
currency in order to enable banks in this country to remit
to banks in the United States the face amount of such
bills without any deduction whatever is: "Payable with
all collecting charges as well as exchange at the current
rate for demand drafts on New York."
The customary phrase to be included in drafts drawn
on this country in United States dollars or any other foreign
currency in order to enable the banks in this country to
remit to banks in the United States the face amount of
such bills, plus the collection charges of the American
banks is: "Payable with all collecting charges and principal charges as well as exchange at the current rate for
HOW BILLS OF LADING SHOULD BE MADE OUT.
It is possible for consignees to obtain possession of
goods on bills of lading made out "to order" without producing the bills of lading. This is accomplished by means
of a guaranty to the steamship company holding them
free from all liability, but such guaranties are not accepted
unless a local banker joins in them. This guaranty is
only signed by the bank when the drawee is personally
known to them and is of undoubted reliability.
Consignees can not obtain delivery of goods on bills of
lading made out to the order of themselves without production of the bills of lading, except by means of a banker's guaranty similar to that mentioned in the preceding
paragraph.
Bills of lading made out to the order of the shipper give
the most complete control of the merchandise. ConOBTAINING SHIPMENTS WITHOUT DOCUMENTS.
signees can then only obtain possession of the goods by
If the arrival of the goods is known before the relative producing the bill of lading properly indorsed, or giving
documents are to hand, the consignee usually endeavors the steamship company a banker's guaranty, in which
to obtain delivery by means of the banker's guaranty in case the shippers are of course fully secured.
lieu of bill of lading and to clear the goods by the producPROCEDURE FOR SALE OR RETURN OF GOODS.
tion of such evidence as to quality, value, etc., as the
importer is able to supply. In such cases the customs
In case it is desired that the goods be sold after arrival
authorities almost invariably demand a cash deposit in the local bank interested is represented at such sales.
addition to the duty pending arrival of the relative docuIn such instances, where it is necessary to have the
ments. The deposit is always recoverable on production goods returned to the shipper, a permit to export must
of the relative documents within the time allowed, which first be obtained. The necessary freight space is then
is usually three months, but should the duty be overpaid secured and the goods shipped according to instructions.
the overpayment is not recoverable. Bankers join in
Customs entries must be passed for all goods exported.
guaranties for such purposes only when the consignee is In the case of duty paid it is an '''ordinary export entry,"
known to them and they are satisfied as to his reliability. and in the case of goods in bond it is an "export for wareThe usual expenses connected with clearing without house entry."
Goods which are in bond in this country may be exported
the complete relative documents are extra cartage from
searcher's office at the rate of 2s. Cd. (Gl cents) per harbor without payment of any duty. Goods upon which duty
ton, the searcher's office fees, which are usually Cd. (12 has been paid are, of course, exported as duty-paid goods.
The South African customs do not grant refunds in cases
cents) per package, and a small extra agency fee according to the circumstances for arranging and making the where duty has been paid and the goods passed out of
deposit with the customs authorities, usually about one- customs control.
half per cent.
PHRASES TO BE INCLUDED IN DRAFTS.
Consular certificates for shipments from the United
States to this country are not necessary when goods are
the produce or manufacture of the United States.
The other documents required for clearing purposes for
goods from the United States are bills of lading and manufacturer's or supplier's invoices and shipper's statement,
showing in detail ail charges up to c. i. f. at the South
African port. The invoices must bear or be accompanied
by certificates of home consumption value on the prescribed forms.
After the arrival of goods, agents usually allow examination of the outward appearance of goods by drawee or
462
FEDERAL RESERVE BULLETIN.
demand drafts on New York." If interest is also to be
remitted the phrase is: "Payable with all collecting
charges and principal charges of interest (from date of
bill to approximate date of payment in New York) as well
as exchange at the current rate for demand drafts on
New York."
Banks in South Africa do not guarantee to remit proceeds
of bills in United States dollars without loss of exchange, as
the*exchange rate may fluctuate while remittance is in
transit.
RETIRING OP DRAFTS—RETURN OF DISHONORED ITEMS.
When a bill is drawn on this country in other than local
currency, the foreign currencies are changed at the rate
of the day into English currency and the proceeds remitted to New York in dollars or sterling.
To bills drawn in a foreign currency it is the invariable
custom of the local banks to apply the exchange rate of
the day.
Acceptors are generally allowed interest at the rate of
2\ per cent per annum for retiring drafts before maturity,
but such a rate is not fixed by law.
In returning dishonored noted bills, South African
banks require from correspondents the amount of noting
charges plus stamps affixed, payment of such charges being
made through their New York agencies.
JAMAICA.
[Consul Ross Hazoltinc, Port Antonio.]
The export trade of Jamaica is chiefly with the United
States, hence most of the bills are drawn in dollars, and
these have a ready market. Bills covering shipments to
America are drawn on New York or Boston; credit is
opened by the importer, who lodges cash or satisfactory
securities with his banker, to be drawn against by sight
drafts with bills of lading attached.
Dealings with Europe are in sterling, and the bills are
invariably domiciled in. London. New York's sterling
rate is quoted by the local banks whenever fluctuations
occur.
New York discount and exchange rates are quoted
regularly by all local banks, advices being received by
cable from the New York agencies of these banks. Drafts
are converted at New York rates. The purchasing rate
for time bills on American banks is also based on New
York quotations.
MAT 1, 1919.
RULES GOVERNING PROTESTED ITEMS.
When an intend bill is dishonored it is not necessary to
preserve the recourse against the drawer and indorser.
But a foreign bill must be duly protested; otherwise the
drawer and indorsers are discharged. The amount of
charges in case of protest is a matter of lawyer's fee, no
fixed rule governing the charge; in the event the item is
paid after protest the charges are collected from the drawee.
STORAGE AND CARTAGE RATES—INSURANCE
FACILITIES.
The time allowed after arrival at the customhouse for
making entry of the goods is 14 days. There is no fine
for exceeding this time limit. Goods are placed in storage
for three months, after which they are liable to be sold;
but in practice they rarely are sold. Legal warehouse
charges are made for government storage at reasonable
rates for the first three months. The rate after three
months is one-fourth the original rate. There is a lengthy
itemized schedule, but for ordinary merchandise the original charge is $0.06 per cubic foot. Cartage rates are $0.06
per parcel, or $0.18 per dray load. Consignee customarily
pays storage and insurance charges.
In case instructions are given by the drawer, the local
bank will arrange for private storage of goods. But it is
preferable to store in the King's warehouse. Private warehouse rates are variable. Local banks, if instructed, will
also arrange for insurance of goods, the rate being approximately $5 per year per 300 cubic feet at $300 valuation.
The consignee eventually pays storage and insurance fees.
If goods arrive in advance of the related documents they
may be delivered under bond of indemnity to the shipping
company without extra expense.
CONDITIONS GOVERNING EXAMINATION AND CONTROL OF
GOODS.
The only document required by law in connection with
foreign shipments is the invoice. The examination of
goods is permitted at the discretion of the customs officials
and the bank without special instructions from the shipper.
If bills of lading are made out to the order of the consignee,
the consignee may obtain possession without producing
the bills of lading by giving bond. To give the exporter
absolute control of the merchandise the bills of lading
should be made out to the order. of the local bank at
destination.
If instructed through the client's bank, the local bank
will undertake the sale of goods to other than the consignee.
COMMISSION RATES AND STAMP CHARGES.
For the return of undelivered goods consular invoice and
The commission for collecting either clean or documen- bill of lading is necessary. They are cleared as in transit,
tary items is J to J per cent, plus interest on time Tbills. without duty; and if duty has already been paid on them
Commission fdr obtaining acceptance if the item is not a refund may be secured.
left for collection is discretionary.
PHRASEOLOGY OP DRAFTS.
Stamp charges never exceed 2d. for £5 ($0.04 for §24.33),
or 2s. for £100 (§0.48665 for §486.65). Whether these
To enable a remittance of full face amount of bills,
charges are paid by the drawee depends on how the bill drafts should be drawn payable "with exchange"; if colis drawn up. No stamps are required on checks remitted lection charges are also to be remitted, the draft should be
by the local importer in payment of collections due.
drawn payable with exchange, interest, and all other
463
FEDERAL RESERVE BULLETIN.
MAY 1 , 1 9 1 9 .
charges. There is no legal provision regarding bills drawn
in local currency, and whether payment is made by draft
purchased in this country is a matter of bank agreements.
In addition to the lawyer's fee in case of protests a stamp
of the value of 4s. (SO.97) is required. There are no
further charges.
Comparative Statement of Leading Banks of
Issue December 31,1914 and 1918.
In continuation of similar figures printed on
page 998-997 of the October (1918) BULLETIN,
there is presented below a comparative statement showing the condition of the leading
central banks of issue in 1914 immediately
preceding the outbreak of the war and at the
close of December 1918, i. e., shortly after the
conclusion of the armistice. For the Federal
Reserve Banks and the Bank of Italy figures
for the earlier year relate to the close of December.
In order to facilitate comparisons between
the several banks the various asset and liability items, as on previous occasions, have
been arranged under uniform heads. This, of
course, involved considerable regrouping of the
original items, especially on the asset side of
the statements, and considerable swelling of
the sundry assets. I t is thought, however,
that, notwithstanding the sometimes arbitrary
groupings, the general effect of the war on the
metallic reserves and the loans and advances,
particularly to the Government, on the asset
side and of the deposit and note accounts on
the liability side are brought out with sufficient
clearness.
In place of the figures for the Russian State
Bank, which has not published its condition
statement since October 29, 1917, the present
compilation presents comparative data for the
Bank of Java.
Comparative statement showing principal assets and liabilities of the leading hanks of issue at dates specified.
[In thousands of dollars: i. e., 000 omitted.]
Federal Reserve |
Banks.
I
Dec. i Dec.
31, i 27,
1914. | 1918.
Ban!?: of
England.
J u l y i Dec.
29..
25,
1914. ! 1918.
German
Reichsbank.
Bank of France. | Bank of Italy.
July
30,
1914.
Dec.
26,
1918.
Dec.
31,
1914.
Dec.
31,
1918.
July
31,
1914.
i Dec.
! 31,
! 1918.
157,827
298,261] 538,
Austro-llunga- j Kiksbank,
rian Bank.
j Sweden.
July
23,
1914.
Dec.
31,
1918.
July
Dec.
31,
31,
1914. ! 1918.
ASSETS.
Gold coin and bullion. 211,32J.;2.084,445
Silver and other metallic reserve
17,823;
8,720
!
{ 799,279 604,009]
i, 5(57 i 384,994 X
!
!}236,633
;
11 120,689) 61,441:1
Total metallic
vault reserve. 259,144:2,093,171 185,567J
....I
5,829
Gold held abroad
Foreign credits
|
6,770
Government securities
205
28,869
Bonds, consols, e t c . . .
282,077 443,343
Short-term securities .
Other
Government !
47,219
securities
| 8,755
Total
,
! 8,S60; 358,765 143,343
Notes of other banks !
of issue
i 4,624
30,491
Loans and discounts..! 9,909 2,006,611 230,222
Advances on bullion |
I
and specie, sccuri- i
:
ties, merchandise, |
etc
!
Securities
j
734
Sundry assets
| 9,237 • 28,006
Total
384,994; 919,968
399,641',
725,450: 236,633
172,717
393,162!
450/339
149,645
484,582;
8,195
5,634
15,416
401,614 165,405
146,443
234,633
22,418;
|
77,173j 308,162
53,074 24,746 76,532
11,524
l,408J
98
64,598 26,154 76,630
I
f 12,155j 6,306,038|
7,9601,254,599;-!
' 1,502,954;ijI 7,332 14,
I.
7,9601,254,599! 12,156] 7,S09,892j
42,905
307,818
29,180; 147,202
39,486i
39,542
43,610! 515,062
>,794
59,031
13,564 12,239
80,58214,070,125 105,76511,034,678
471,746
4,
363,670; 513,572,309,825•
41,019i
41,057 J100,13
1311 ,012,2601
963 j 680,518
38,600J3,348,550
399,6411
65,409j
14,890
2,740!
715
495,296;6,530,49l'l67,718
7,332 14,638
90,4781 I ,
588,959! 42,303 94,014
|
48,1211
1,429 37,790 l,691,5J2i.
59,9431.
94,392! 37,159! 64,349
253,4741
51,90l| 569,0601 23,358
48,708
1,351
813 34,244
292,608 4,522,873 559,132J1,269,217jl, 695,912|6,581,085 633,69012,409,569J1,064,081:8,937,025J615,196j 10,558,856; 92,059J281,824
!
LIABILITIES.
35,223 34,74.0
34,740,
42,876 42,546
42,516! 11,900 13,400
42,840=
8,292 13,515
17,726I
18,492
22,629 6,5151
8,5091 2,975 3,350
.
_
,
.
_
.
21,555 40,320
51,329'! 299,515:3,291,924 59,012 1,446,806! 18,440 36,049
456,676 118,0351 514,115
|
342,149J1,289,885J5,838,172j 417,3521,780,108 692,442:5,285,182 431,489 8,713,207 54,367:218,027
347,788|
48! 105,914 224,167 j 9,728;
10,785
4,377! 10,998
11,558! 294,414j 75,634
70,822
70,822J
35,222
16,992
15,8501
,
8,206
61,869
„ _ , _ . 115,
115,059! 73,834
264,830! 725,289! 182,881
Capital paid in
18,051I 80,681
Surplus
i
1,134
! 63,367
G ov eminent deposits.
263,9481,520,016
() ther deposits
Bank notes in circulation
,
10,00012,802,366 184,566i
531
! 55,309
Sundry liabilities
Total
292,608-4,522,873 559,1321,269,217J1,695,912|6,584,085J 633,690-2,409,5691,064,08l'8,937,025J615,196J10,558,856!92,059:281,824
i Including notes of foreign banks of issue.
464
FEDERAL EESERVE BULLETIN.
M A T 1, 1919.
Comparative statement showing principal assets and liabilities of the leading hanks of issue at dates specified—Continued.
[In thousands of dollars: i. e., 000 omitted.]
Norges Bank,
Norway.
National Bank,
Copenhagen,
Denmark.
Bank of
Bank of Spain.
N e tSfands,
Bank of Japan.
Bank of Java.
i
i
July
31,
1914.
Swiss National
Bank.
.Dec. 31, Julv 31, Dec. 31, July 24,1 Dec. 28,! J " l y
1914.
1914. j 1918. j ,£h
1918.
1918.
!
i
Dec.
Dec. 29, Mar. 31, Dec. 31,
28, July
23, Dec.
31, | June
30, 1918. ' 1914.
1918.
1918.
1914.
1914.
1918.
ASSETS.
Gold coin and "bullion. 11,676
Silver and other metallic reserve
Total metallic
vault reserve. 11,676
Gold held abroad
10,249
Foreign credits
Government securities
Bonds, consols, e t c . . .
Short-term securities.
Other Government securities
32,691;
32,691
24,410
24.410
19,568!
105,7'
52,159
430,072J 65,140 277.
77,155
52,813
80,041 j 258,757 357,287
12,418
43,423
3,656
11,2741
11,668
5,779
248,861; 554,008; 68,477 280,590
38,409
91,315
24,086
49,202
13,237
23,137
13,237
23,137
31 ,!?3i
4,403;
i
j
[ 5,003
29,199
37,252
J
0,534!
96,246
132,686
2,307i
27,098;
9
65,870
152,579
1, Wx
5,017
368
3,106
5,243
2,602
50,046
172,692
66,518
Capital paid in
6,700
Surplus
3,651
Government deposits. I- 3,862
Other deposits
,
Bank notes in circulation
, 33,788
Sundry liabilities
2,0-15
9,380
4,569
34,051
Total.
2
113,349
9,627
164,790
\\
1,499
10,967
I 11,176
15,953!
28,515
27,377
76,061
49,007
I] 794 "16," 684
7,847
248,336
1,809
9,775j
10,482 204,488j 415,096
13,674 33,348
3,564 3,569
1,731 6,608
1,885
5,003
220,287 35,430;i01,554| 18,099
112,620
\\
24,798 56,085
3,612 3,560
928 36,533
2,
2,446
5,594
939,647138,248 479,821
67,247
235,655
577,59611,097,103
8,040 8,040 4,825
2,011 2,042
471
1,904 35,563| 28,819
4,825
664
35,455
18,675! 18,694
18,551! 19,322
254,585! 479,419
10,913! 39,104
640,029 124,796 429,717;
83,176!
188,311
, ;
,
6,400
1^497 4,454) 2,606j
274,854! 536,702
939.647 138,248 479,8211 67,24?! 235,655
577,5961,097,1031
2,249
13,536
792
17,33!
95,434; |
l,071|
Total.
253,757) 357,287
16,8811.
07,047;
.1
Notes of other "banks
of issue
Loans and discounts.. 20,452
Advances on bullion
and specie, securities, merchandise,
etc
1,646
3,635
Securities
2T~"
Sundry assets
34,753
3,43o!
143,063! 123,936: 3,307
654
61,086 126,548
LIABILITIES.
Total.
50,046
7,236
7,236
2,199
2,488
8591 96,931
5,4961;|\f 30,646/
4S,244i 39,525i 120,60'
76,44S; 12,092!
2,952
172,692; 66,548: 164,790
373,557
28,950
5,404
1,256
225,032
3,8
2,412
1,255
2,412
1,465
•38,157
47,470 79,449
2,0
5,065
61,086| 126,548
than last year in all of the 12 districts,
notably in the third, seventh, and ninth disWith a 32.2 per cent reduction in number tricts, and only in the eighth, tenth, eleventh,
during three weeks of April, commercial and twelfth districts is the indebtedness larger
failures in the United States, as reported to than in March, 1918.
R. G. Dun & Co., disclose no departure from
the remarkably favorable exhibit that has
Failures during March.
been made for a long period. The statement
for March, the latest month for which complete
Number.
Liabilities.
statistics are available, further demonstrates
Districts.
that the after-war readjustment is causing no
1919
1918
1919
1918
serious business disturbance; indeed, the 629
insolvencies of March are less than in any month
101
159 SI, 689,623 S2,527, 491
since October, 1899, excepting the 602 of First
102
Second
185 4,033,0*8
5
"'
22
Third
99
769,932
1, 420,861
February, this year, and are the smallest for Fourth....
51
93 1,170,267
1, 754,144
March back to 1894. While the liabilities, Fifth
36
54
457,495
522,255
52
93
679,250
789,201
813,595,471, are the largest since last Novem- Sixth
86
Seven til...
194 1,351,560
800,141
h 347.297
31
Eighth....
49
368,639
ber, they are the lightest for March back to Ninth
13
46
56,947
71S'. 231
30
1907 and are 4,000,000 below the total of that Tenth
34
582,871
218' 624
17
Eleventh.,
31
252,971
192,997
month of 1918. When the March defaults Twelfth...
105 2,182,908
1, 782,100
are separated according to Federal Reserve
Total.
629
1,142 13,595,471 ! 17,672,331
districts, it is seen that the number is smaller
Commercial Failures Reported.
MAT
1, 1919.
465
FEDERAL RESERVE BULLETIN.
State Banks and Trast Companies Admitted.
The following list shows the State banks and
trust companies which have been admitted to
membership in the Federal Reserve System
during the month of April.
One thousand and nine State institutions
are now members of the system, having a total
capital of $366,563,175, total surplus of
$418,363,161 and total resources of $7,908,461,501.
Capital. Surplus. Total resources.
District No. 1.
Franklin. County Trust Co., Greenfield,
Mass.
Waltnam Trust Co., Waltham, Mass
§200,000 8100,000,32,721,760
200,000 100; 000 4,8
reCapital. Surplus. Total
sources.
District No. 12.
Bank of Easle, Eagle, Idaho
Bank of Camas Prairie. Grangeville,
Idaho
Security Savings Bank, Erigham, U t a h . .
$25,000!.
§191,097
50,000! $50,000
50,000| 13; 000
866,345
653,174
NOTE:
Changes of names.
Mercantile Trust & Deposit Co., New York, N. Y., to Mercantile Trust
Co., New York, N. Y.
Sullivan Bank & Trust Co., Montgomery, Ala., to Merchants Bank of
Montgomery, Montgomery, Ala.
Voluntary
liquidations.
First Standard Bank & Trust Co., Maysville, Ky.
Farmers & Stockgrowors Bank, Salt Lake City, 'Utah.
The Security Bank, "Webster, S. Dak. (reincorporated and admitted
under the name of the Security Bank & Trust Co., Webster, S. Dak.).
Consolidation.
The Mercantile Trust Co. and the Union Trust Co., of Little Rock, .Ark.,
have consolidated under the name Union & Mercantile Trust Co.
District No. 2.
Tvtcchanics Bank, Brooklyn, N. Y
1,600,000 320,000 34,706,847
The Fidelity Trast Co. of Buffalo, N. Y . . 1,000,000 1,000,000 19,026 685
Ironbound Trust Co., Newark, N. J
200,000; 100.000 7,353,873
District No. S.
Burlington City Loan & Trust Co., Burlington, N. J
The Berks County Trust Co., Heading, Pa.
100,000
250,000
100,000j 1,684,332
155,000 4,137,295
District No. 4.
The Shadyside Bank, Shadysido, Ohio. -.
The Union Savings Bank "& Trust Co.,
Steubcnville, Ohio
The Farmers & Merchants Bank Co.,
Metamora, Ohio
35,000
250,000
25,000
3,9
250,000 3,482,390
5,500
297,831
District No. 5.
T h e Peoples B a n k , Newbcrn, N . C .
100,000
50,000 1,834,593
25,000
200,000
6,000
50,000
312,108
250, GOO
District No. 6.
S t a t e B a n k of Reform, Reform, Ala
B a n k of Tennessee, Nashville, Term
District No. 7.
Kempf Commercial & Savings Bank,
Chelsea, Mich
Macomb County Savings Bank, Lenox
and Richmond, Mich
Citizens Bank of Delavan, Dclavan, V/is.
40,000
40,000
776,341
50,000
60,000
10,000
25, OOOj
712,809
87b, 970
50,000
1,500
305,616
5,000
175,516
District No. 8.
First State Bank, Prescott, Ark
District No. 9.
Valley County Bank, Ilinsdale, Mont
Security Bank & Trust Co., Webster, S.
Dak
I
25,000
60,000
25,000 1,601,387
District No. 10.
First State Bank, Clinton, O kia
j
50,000
5,000
510,094
75,000
40,000
25,000
11,000
674,995
183,386
35,000
3,000
104,463
District No. 11.
Gonzales State 'Bank & Trust Co., Gonzaies, Tex
Farmers State Bank, Rice Tex
First Guaranty State Bank, Seymour,
Tex
New National Bank Charters.
The Comptroller of the Currency reports the
following increases and reductions in the number of national banks and the capital of national banks during the period from March 29,
1919,. to April 25, 1919, inclusive:
Banks.
Now charters issued to
16
With capita! of
SI, 205,000
Increase of capital approved for
25
With new capital of
2,250,000
Aggregate number of new charters and
banks increasing capital
41
With aggregate of new capital authorized
3,455,000
Number of banks liquidating (other than
those consolidating with other national
banks under the act of June 3, 1864)
5
Capital of same banks
230,000
Number of banks reducing capital
0
Reduction of capital
0
Total number of banks going into liquidation or reducing capital (other than those
consolidating with other national banks
under the act of June 3, 1864)
5
Aggregate capital reduction
230,000
Consolidation of national banks under the
act of Nov. 7. 1918
3
Capital
'.
775, 000
The foregoing statement shows the aggregate
of increased capital for the period of the
banks embraced in statement was
3,455, 000
Against this there was a reduction of capital
owing to liquidation (other than for consolidation with other national banks under the act of June 3, 1864) and reductions of capital of
230,000
Net increase
3, 225,000
468
FEDERAL RESERVE BULLETIN.
Foreign Branches.
MAY
1, 1919.
DISTRICT N O . 2.
executor, administrator, assignee, receiver:
A list of foreign branches of national banks Trustee,
First National Bank, Paterson, N. J.
which opened for business during April, 1919, Guardian
of estates, assignee, receiver, committee of
is given below:
estates of lunatics:
National City Bank, New York City:
Camaguey, Cuba, opened April 2, 1919;
Plaza Once, Buenos Aires, opened April 15, 1919.
Acceptances to 100 Per Cent.
National Bank of New Jersey, New Brunswick, N. J.
Trustee, executor, administrator, registrar of stocks and
bonds, guardian of estates, assignee, receiver, committee
of estates of lunatics:
National Bank of Ogdensburg, Ogdensburg, N. Y.
Peekskill National Bank, Peekskill, N. Y.
DISTRICT NO. 3.
Since the issue of the April BULLETIN the Trustee, executor, administrator, registrar of stocks and
guardian of estates, assignee, receiver, committee
following banks have been authorized by the bonds,
of estates of lunatics:
Federal Keserve Board to accept drafts and
First National Bank, Milford, Del.
bills of exchange up to 100 per cent of their
National State Bank, Camden, N. J.
Clearfield National Bank, Cleariield, Pa.
capital and surplus:
Mercantile Trust & Deposit Co., New York, N. Y.
National Newark & Essex Banking Co., Newark, N. .1.
Phoenix & Third National Bank, Lexington, Ky.
Liberty Bank. St. Louis, Mo.
Penn National Bank, Philadelphia, Pa.
Guardian of estates, assignee, receiver, committee of
estates of lunatics:
Peoples National Bank, Laurel, Del.
Second National Bank, Wilkes-Barre, Pa.
DISTRICT NO. 6.
Fiduciary Powers Granted to National Banks. Assignee and receiver:
Calcasieu National Bank of Southwest Louisiana,
Lake Charles, La.
The applications of the following banks for
executor, administrator, registrar of stocks and
permission to act under section ll(k) of the Trustee,
bonds, guardian of estates, assignee, receiver:
Federal Eeserve Act have been approved by
First National Bank of Acadia Parish, Crowley, La.
the Federal Reserve Board during April:
DISTRICT NO. 9.
DISTRICT NO. 1.
Trustee, executor, administrator, registrar of stocks and
bonds, guardian of estates, assignee, receiver, committee
Trustee, executor, administrator, registrar of stocks and
bonds, guardian of estates, assignee, receiver, committee
of estates of lunatics:
of estates of lunatics:
Western Montana National Bank, Missoula, Mont.
First National Bank, Grand Forks, N. Dak.
Massasoit-Pocasset National Bank, Fall River, Mass.
Metacoiriet National Bank, Fall River, Mass.
DISTRICT NO. 10.
National Bank of Methuen, Methuen, Mass.
Northampton National Bank, Northampton, Mass.
Trustee, executor, administrator, registrar of stocks and
National Mabaiwe Bank, Great Barrington, Mass.
bonds, assignee, receiver:
First National Bank, Provincetown, Mass.
First National Bank, Loveland, Colo.
First National Bank, Concord, N. H.
Trustee, executor, administrator, registrar of stocks and
Trustee, executor, administrator, assignee, receiver:
bonds:
Woburn National Bank, Woburn, Mass.
Farmers National Bank, Topeka, Kans.
Guardian of estates, assignee, receiver, committee of
estates of lunatics:
DISTRICT NO. 12.
Agricultural National Bank, Pittsfield, Mass.
Registrar of stocks and bonds, guardian of estates, assignee,
Trustee, executor, administrator, guardian of estates,
receiver, committee of estates of lunatics:
assignee, receiver, committee of estates of lunatics:
Peoples National Bank, Barre, Vt.
First National Bank of Coos Bay, Marshfield, Oreg.
Vermont National Bank, Brattleboro, Vt.
1,161ft.
FEDERAL EESEBVE BULLETIN.
467
RULINGS OF THE FEDERAL RESERVE BOARD.
Below are published rulings made by the
Federal Reserve Board which are believed to
be of interest to Federal Reserve Banks and
member banks.
Collection Facilities of Federal Reserve Banks.
Under the provisions of section 13 of the
Federal Reserve Act a Federal Reserve Bank
is authorized to receive from "any of its member banks * * * deposits of * * * checks and
drafts, payable upon presentation, and also,
for collection, maturing notes and bills; or,
solely for purposes of exchange or of collection,
may receive from other Federal Reserve Banks
* * * checks and drafts payable upon presentation within its district, and maturing notes
and bills payable within its district."
Under the provisions of this part of section 13
it is clear that a Federal Reserve Bank may
property receive from its own member banks
for collection and credit when paid, maturing
notes and bills, whether or not payable in its
own district and drafts, with or without bills
of lading attached, payable upon presentation;
whether or not payable in its own district.
The Board believes that it is necessary for a
Federal Reserve Bank to render these services
to its own member banks in order to afford to
them the facilities which axe obviously contemplated by the law.
It should be noted that the services outlined above relate solely to collections made
by a Federal Reserve Bank for its own member
banks of items payable either within or without
Its own district. Under the terms of section 13,
however, there is another kind of service which
a Federal Reserve Bank is authorized to perform—that is, the collection of checks and
drafts payable upon presentation within the
district in which the Federal Reserve Bank is
located and the collection of maturing notes
and bills payable within that district when
forwarded to the Federal Reserve Bank by any
other Federal Reserve Bank. It should be noted
that this section does not authorize the Federal
Reserve Bank to collect maturing notes and
bills payable within its own district which are
forwarded to it for collection by any member
bank located outside of its own district. This
service is limited to items sent to a Federal
Reserve Bank by its own member banks or by
other Federal Reserve Banks.
Section 16 of the Federal Reserve Act, on
the other hand, authorizes a Federal Reserve
Bank to receive from any member bank,
regardless of its location, checks and drafts
drawn upon any member bank located in the
district of such Federal Reserve Bank. This,
however, is the only collection service which a
Federal Reserve Bank may perform directly
for any member bank located outside of its
own district, and it does not authorize such
Federal Reserve Bank to collect for such member banks maturing notes or bills or drafts
drawn upon firms, individuals, or corporations
other than its own member banks even if they
are payable in the district of the Federal
Reserve Bank.
Stamp tax on drafts drawn against shipments from the
United States.
Because of the constitutional restriction
against taxes on exports, drafts which are
drawn against shipments from the territorial
United States, including the District of Columbia, Hawaii, and Alaska, to foreign countries
are not subject to stamp tax under provisions
of the 1918 Revenue Act, even though accepted
or delivered or both accepted and delivered
within the United States. Shipments from
the territorial United States to the Canal Zone,
Virgin Islands, Porto Rico, and the Philippines
are not considered shipments to foreign countries, but drafts against shipments to Porto
Rico, the Virgin Islands, and the Philippines
are exempt from stamp tax by express legislation even though such shipments are not
considered shipments to foreign countries.
468
FEDERAL RESERVE BULLETIN.
Substitution of security for acceptances in excess of 10
per cent limit.
Section 13 of the Federal Reserve Act provides that no member bank shall accept,
whether in a foreign or. domestic transaction,
for any one person, company, firm, or corporation to an amount in excess of 10 per cent
of its capital and surplus, unless the bank is
secured either by attached documents or by
some other actual security flowing out of the
same transaction as the acceptances. The
question often arises as to whether or not documents issued under the following circumstances
constitute some other actual security within
the meaning of this section.
A corporation ships goods consigned to its
own agent; it draws a time draft on its own
bank with the bills of lading attached; the
bank accepts, the acceptance being in excess
of 10 per cent of its capital and surplus. The
question is whether the bills of lading may be
released by the bank to the agent who is the
consignee, provided that the agent substitutes
therefor other drafts secured by bills of lading
covering the same goods which were being
shipped by the agent to various dealers. The
Board is of the opinion that the new drafts,
secured by bills of lading covering the same
goods, do constitute some other actual security
within the meaning of section 13, and that the
accepting bank may properly release the original bills in favor of these other drafts, even
MAY
1, 1919.
though the aggregate of acceptances for the
same customer exceeds 10 per cent of its
capital and surplus.
Generally speaking, the bill of lading drafts
substituted for the original bills of lading are
drafts drawn on certain dealers and presented
to the accepting bank for collection, the proceeds to be applied to the payment of the
original acceptance. The Board believes that
this security is not only an actual security
within the meaning of the act, but also that
it grows out of the same transaction as the
original acceptance and that, therefore, the
substitution may properly be made.
Inspection of goods covered by bill of lading drafts.
An express provision in a bill of lading
authorizing the consignee to inspect the goods
before acceptance of the draft to which the
bill of lading is attached, does not affect the
negotiability of the draft.
[See opinion of General Counsel in Law Department, p. 472.]
Acceptances covering domestic shipments of goods.
A draft drawn upon a national bank covering current domestic shipments of goods is
not eligible for acceptance by such bank under
the provisions of section 13 of the Federal
Reserves Act, unless shipping documents are
attached at the time of acceptance.
[See opinion of General Counsel in Law Department, p. 471.J
MAT 1,1910.
FEDERAL RESERVE BULLETIN.
489
RULINGS OF THE DIVISION OF FOREIGN EXCHANGE.
Following are rulings of the Division of
Foreign Exchange, Federal Reserve Board,
made under Executive order of January 26,
1918, and subsequent to the issuance of " Instructions to dealers" of January 26, 1918.
The terms "person," "dealer," "correspondent," "customer," and such other terms as
have a special meaning, are used in these rulings as prescribed in the Executive order
above.
serve Banks or the Division of Foreign Exchange applications for travelers' letters of credit in excess of $5,000, instructions to open commercial letters of credit or to make
transfers of funds for the purpose of purchasing commodities to be warehoused, or applications to open commercial
credits for the purpose of exporting goods from one foreign
country to another foreign country. The withdrawal of
these requirements does not remove the responsibility
from "dealers" of taking proper declarations of nonenemy
interest, nor from reporting to the Division of Foreign
Exchange before taking any action in case they have reason to believe that any transaction requested of them
would, if carried out, be detrimental to the interests of the
Change in regulations as to credits to foreign corre- United States.
spondents.
JANUARY 24, 1919.
The regulation issued June 11, 1918, and reading as
follows:
"'Dealers' having the accounts of foreign correspond- Prohibition of ruble transactions.
ents on their books are prohibited from accepting credits
Until otherwise instructed the exportation or importato such accounts which are not accompanied by the name tion of Russian rubles, or the transfer of funds for their
of the party making the original request that the deposit purchase by persons and dealers in the United States as
be made, and by name of the party to whom the foreign
institution receiving the credit is to pay the funds, and for described under the Executive order of the President of
whose account such payment is made, and the purpose of January 26, 1918, is prohibited.
the deposit must also be stated. It is important that this
FEBRUARY 14, 1919.
order be noted by all bankers, individuals or others in the
United States without regard to whether they are' dealers'
or not. This information will be required in addition to
Lira exchange.
the regular customers' statement.
"Deposits received for the credit of dollar accounts of
American restrictions removed.—All restrictions as to the
foreign correspondents on the books of American'dealers' sale or purchase of lira exchange by "dealers," as defrom * persons,' as defined in the Executive order, outside scribed under tke Executive order of the President of
of the United States must bear the same information, and
'dealers' should notify their foreign correspondents that January 26, 1918, are hereby removed until otherwise
when arranging to have deposits made in this country for instructed.
their account that such information must follow the
MARCH 21, 1919.
deposit."
Has been amended to the following extent:
Italian Government regulations in force.—The Institute
"Until otherwise instructed the above regulation is
dei Cambi in Italy, which has charge of the Italian exhereby withdrawn in so far as
it
applies
to
advices
following the deposits to 'dealers,7 but 'dealers' accepting such changes in that country under the supervision of the Italdeposits are still required to demand customers' state- ian Government, has not yet withdrawn any of its regulaments from
those making the deposits who may not be tions, and until it does so it is necessary for American
'dealers/ !?
dealers in carrying out their transactions in Italy to opJANUARY 13, 1919.
erate in accordance with the rules of the Italian Institute
of Exchange. Such rules do not affect the buying or
Forms 1~K, 1-KA not required.
selling of lires by dealers in the United States, but the
Until otherwise instructed "dealers," as defined under buying or selling of dollars in Italy are entirely subject to
the Executive order of the President of January 26, 1918, the rules of the institute. The* institute in New York
will not be required to make commodity reports to the will be in the market to buy or sell lires as it is considered
advisable, but at the moment is not selling cable lire under
Division of Foreign Exchange on Forms 1-K and 1-KA.
6.45.
JANUARY 24, 1919.
MARCH 22, 1919.
Removal of restrictions on letters of credit.
Until further notice "dealers," as defined under the Transfers of funds.
Commencing with the dates indicated and until otherExecutive order of the President of January 26, 1918, will
not be required to present for approval to the Federal Ee- wise instructed. " dealers " as denned under the Executive
470
FEDERAL RESERVE BULLETIN.
order of the President of January 26, 1918, have been
authorized to make transfers of funds to persons not
enemies or allies of enemies residing in the following
countries, territories, or provinces:
November 30, 1918.—Belgium and Alsace Lorraine,
provided such remittances are made in Belgian or French
francs.
February 3, 1919.—Syria and Mesopotamia.
February 4, 1919.—Roumania, Serbia, and territory
included in the line set out in article 3 of the military
clause of the armistice protocol of November 3, 1918,
which is covered by the following extract from article 3:
•'From Pic Umbrail to the north of the Stelvic it will
follow the crest of the Rhetian Alps up to the sources of
the Adige and the Eisach, passing thence by Mounts
Reschon and Brenner and the heights of Oetz and Zoaller.
The line thence turns south, crossing Mount Toblach and
meeting the present frontier Oarnic Alps. It follows this
frontier up to Mount Tarvis and after Mount Tarvis the
watershed of the Julian Alps by the Col of Predil, Mount
Mangart, the Tricorno (Terglou), and the watershed of
the Cols di Podberdo, Podlamscan, and Idria. From
this point the line turns southeast toward the Schneeberg,
excludes the whole basin of the Save and its tributaries.
From Schneeberg it goes down toward the coast in such a
way as to include Castua, Mattuglia, and Volosca, in the
evacuated territories.
" I t will also follow the administrative limits of the
present Province of Dalmatia, including to the north
Lisarica and Trivania and to the south territory limited
by a line from the (Semigrand?) of Cape Planca to the
summits of the watershed eastward, so as to include in
the evacuated area all the valleys and water courses flowing
toward Sebenico, such as the Circola, Kerka. Butisnica^
and their tributaries. It will also include all the islands
in the north and west of Dalmatia from Promuda, Solvo.
Ulbo, Scherda, Maon, Pago, and Puntadura in the north
up to Moleda in the south, embracing Santandres, Busi,
Liza. Lasina, Tercela, Cursola, Cazza, and Langusta, as
well as the neighboring rocks and islets and passages, only
excepting the Islands of Great and Small Zirona, Bua.
>"olta, and Brazza.'"'
February 10, 1919.—Finland.
February 14, 1919.—Bohemia and Moravia, as existing
r;ii August 1, 1914. These Provinces are at present under
control of the Czecho-Slovak National Council.
February 17, 1919.—Bulgaria, Turkey in Asia. Turkey
in Europe, and all Black Sea ports.
February 24, 1919.—Colonies owned or controlled by
Germany on August 1, 1914.
March 3, 1919.—Adriatic ports, including all territory
adjacent thereto under the military occupation of the
Associated Governments, Albania and Montenegro.
March 6, 1919.—Grand Duchy of Luxemburg and that
part of Germany bordering upon the Rhine occupied by
troops of the allies.
March 20, 1919.—Croatia, Slavonia. Bosnia, Herzegovina, and Dalmatia.
April 1, 1919.—Esthonia, Poland, and the AustrianHungarian Monarchy as it existed previous to August 1,
1914, with the exception of Hungary.
April 16, 1919.—Lithuania and Latvia.
1919.
Purchases of exchange from American Relief Administration.
Until otherwise instructed, "dealers" as defined under
the Executive order of the President of January 28, 1918,
are hereby prohibited from purchasing exchange except
from, the American Relief Administration, 115 Broadway,
New York City, upon any of the following countries: Finland, Poland, Czechoslovakia, German-Austria. Jugoslavia,
Serbia, Roumania, Bulgaria, Turkey. It will also be
necessary for such "dealers" to make arrangements direct
with the American Relief Administration in order to make
remittances to such countries.
This regulation is issued for the purpose of enabling the
American Relief Administration to make use of such
foreign currencies in the countries concerned as are
received by it for food being shipped. Full details as to
how remittances may be carried out can be obtained from
the American Relief Administration, 115 Broadway. New
York City.
Dealers who carry out their foreign exchange transactions
through metropolitan correspondents must apply direct to
such correspondents for information and not to the American Relief Administration. The system which has been
devised, while making possible the accomplishment of
remittances desired, will at the same time be of great
service in getting food into the territory described.
APRIL 22,
1919.
Confirmations of incoming cablegrams revoked.
Until otherwise instructed, the requirement issued by
the Division of Foreign Exchange on June 11, 1918, prohibiting "dealers,"as defined under the Executive order
of the President of January 26, 1918, from acting upon
confirmations of cablegrams received by them where the
original cablegram in part or in whole has never been
delivered, and also requiring that all confirmations of
cablegrams be delivered to certain Federal Reserve
Banks, dependent upon their destinations, is hereby revoked, with the exception of confirmations referring to
any cablegrams which might cover transactions either
directly or indirectly with territory not formally opened
to trade and transfers of funds.
APRIL 29.,
1919.
Transfers oi* funds to Germany.
The War Trade Board, at the request of the Supreme
Economic Council, has issued a general license through
the Bureau of Enemy Trade, which authorizes the transfer
of funds to Germany, provided the proceeds are used for
the purchase of food to be shipped to Germany, and until
otherwise instructed, "dealers. ; 'as defined under the
Executive order of the President of January 26. 1918,
are permitted to make transfers of funds to Germany
through the American Relief Administration, in accordance with regulations issued April 22. 1919, covering the
making of similar remittances to various other Central
European countries.
APRIL 30,
1919.
MAY 1,1919.
FEDEBAL RESERVE BULLETIBT.
471
LAW DEPARTMENT.
The following opinions of General Counsel
In the case of drafts growing out of transhave been authorized for publication by the actions involving the exportation or importaBoard since the last edition of the BULLETIN: tion of goods, the law is very much more
liberal and authorizes the acceptance whether
Acceptances covering domestic shipments of goods.
or not shipping documents are attached
A draft drawn upon a national bank covering current
at the time of acceptance. In the ease of
domestic shipments of goods is not eligible for acceptance
foreign
transactions, therefore, if the acby such bank under the provisions of section 13 of the
cepting
bank
is reasonably satisfied that the
Federal Keserve Act unless shipping documents are
attached at the time of acceptance.
draft actually grows out of a transaction
involving the exportation or importation of
APRIL 29, 1919.
goods,
it is eligible for acceptance whether
The attached letter raises the question
or
not
the exportation or importation had
whether a national bank may accept a draft
actually
commenced at the time of acceptdrawn upon it by a fruit growers' association
ance
and
regardless of whether or not shipcovering the shipment of fruit from California
ping
documents
were attached at the time
to various parts of the United States if the draft
of
acceptance.
If
the acceptance grows out of
is not secured by shipping documents at the
a
transaction
involving
domestic shipments
time of acceptance.
of
goods,
however,
the
bank
has no option
Section 13 of the Federal Reserve Act proin
the
matter
and
should
not
accept any
vides in part that—
such draft which is not secured by the
"Any member bank may accept drafts or
bills of exchange drawn upon it * * * appropriate shipping documents at the time
which grow out of transactions involving the of acceptance.
domestic shipment of goods, provided shipIn this connection there is an opinion
ping documents conveying or securing 7 title printed on page 765 of the October, 1917,
are attached at the time of acceptance/
BULLETIN to the effect that that provision
It is clear that the intention of Congress of section 13 which authorizes any member
was strictly to limit the acceptance of drafts bank to accept drafts based upon the domestic
growing out of transactions involving the shipment of goods, provided shipping docudomestic shipment of goods and in order to ments are "attached," should not be coninsure compliance with this requirement it strued so as to require that the documents
was expressly provided that the drafts be be physically fastened to the draft. It is
secured at the time of acceptance by the sufficient if the accepting bank has possession
shipping documents conveying or securing of the documents and a lien on the goods
title to the goods involved in the transaction represented by such documents at the time
which the acceptance is to finance. Under of acceptance. In the case under considerathe terms of the law, therefore, it does not tion, however, it is intended to accept drafts
seem that a draft drawn by the fruit growers' even before the bills of lading covering the
association is eligible for acceptap.ee by a shipments which they are to finance have
member bank even if drawn to finance the been issued so that it is impossible for the prodomestic shipment of goods unless the ship- visions of the law which require shipping docuping documents are attached at the time of ments to be attached at the time of acceptance
acceptance.
to be complied with.
472
FEDERAL RESERVE BULLETIN.
MAY
I, 1919.
Inspection of goods covered by bill of lading drafts.
An express provision in a bill of lading authorizing the
consignee to inspect the goods before acceptance of the
draft to which the bill of lading is attached does not
affect the negotiability of the draft.
APRIL 19, 1919.
issued by the War Finance Corporation, the
principal of which does not exceed $5,000, are
"inadmissible assets" under the provisions of
section 325 of the revenue act of 1918, but
that bonds of the War Finance Corporation the
principal
of which exceeds $5,000 are admisThe question has been asked whether there
sible
assets
within the meaning of that act.
is any impropriety in placing in a bill of lading
a provision allowing an inspection of the goods
TREASURY DEPARTMENT,
COMMISSIONER OP INTERNAL REVENUE,
covered by the bill of lading before the conWashington, April 18, 1919.
signee of the goods accepts the draft to which
SIR: I have the honor to acknowledge receipt of your
the bill of lading is attached.
letter of April 10, 1919, requesting to be advised whether
Under the provisions of the negotiable in- the 5 per cent bonds of the War Finance Corporation are
struments law, the drawee of a draft is allowed inadmissible assets under the provisions of section 325 of
24 hours after presentment in which to deter- the revenue act of 1918.
mine whether or not he will accept, so that any The term "inadmissible assets" is defined in the aforesection of the act to mean "stocks, bonds, and other
delay in accepting which does not exceed.24 hours said
obligations (other than obligations of the United States)
would not necessitate protest for nonacceptance. and dividends the interest from which is not included in
This would give the drawee of the draft a rea- computing net income." Section 213 (b) of the act prosonable time in which to avail himself of the vides that the interest on bonds issued by the War Finance
opportunity offered by the shipper to inspect Corporation shall be exempt from taxation to the extent
in the act authorizing the issue of such bonds;
the goods before accepting the draft. In any provided
and it is provided in section 16 of the War Finance Corporaevent, a provision in the bill of lading author- tion act that the bonds issued by the War Finance Corporaizing the inspection of the goods could not in tion shall be exempt, both as to principal and interest,
any way affect the negotiability of the draft to from all taxes except estate and inheritance taxes, and
which the bill of lading is attached. There also from graduated additional income, excess profits and
war profits taxes on the interest on an amount of such bonds
does not appear, therefore, to be any reason the principal of which does not exceed $5,000. Under the
why a shipper of goods should not in the bill terms of section 17 of the War Finance Corporation act such
of lading expressly authorize the consignee of bonds are not obligations of the United States.
those goods to make an inspection before ac- It is accordingly held that the bonds of the War Finance
cepting the draft to which the bill of lading is Corporation, the principal of which does not exceed $5,000,
are inadmissible assets. Bonds of the War Finance Corattached.
poration, the principal of which exceeds $5,000, are ad-
War Finance Corporation bonds as "inadmissible assets"
within meaning of revenue act of 1918.
The following letter from the Acting Commissioner of Internal Revenue rules that bonds
Respectfully,
J. H. CALLOW,
Acting Commissioner
AT 1,1919.
473
FEDERAL. RESERVE BULLETIN.
BANKS TRANSACTIONS DURING MARCHAPRIL.
Debits to individual account reported by
clearing-house banks in 151 leading cities for
the five weeks ending April 23 averaged 7,392.8
millions, or slightly in excess of the average
for the preceding four weeks. Following the
week ending March 19; when as the result of
large income-tax payments total debits to
individual account ran in excess of 8 billions,
the week ending March 26 brought a considerable reaction, the shrinkage in the total debits
to individual account amounting to nearly
16 per cent. For the week ending April 2 the
total increased to 7,734 millions, the larger
figure reflecting apparently dividend and interest payments made at the close of the quarter.
Another increase, bringing the total beyond
the 8 billion mark, is recorded for the week
ending April 16 preceding the Easter holidays.
Debits to bank account follow a more even
course, with a maximum total for the week
ending April 16, and a minimum for the following week.
Weekly figures of clearing-house bank debits to deposit accounts.
[In thousands of dollars; i. e., 000 omitted.]
Debits to banks-' and bankers' account.
Debits to individual account.
District.
Mar. 26. j Apr. 2.
Apr. 9. ; Apr. 16.
Apr. 2.
Apr. 9.
Apr. 23.
i '
No. 1—Boston:
Bancor
Boston
Fall River
Hartford
Holyoke
Lowell
New Bedford
New Haven
Providence
Springfield
Waterbury
Worcester
No. 2—New York:
Albany
Binghamton
Buffalo
New York
Passaic
Rochester
Syracuse
No. 3—Philadelphia:
Altoona
Chester
Harrisburg
Johnstown
Lancaster
Philadelphia
Reading
Scranton
Trenton
Wilkes-Barre
Wi 11 iam spor t
Wilmington
York
No. 4—Cleveland:
Akron
Cincinnati
Cleveland
Columbus
Dayton
Erlie
Grecnsburg. Pa
Lexington
Oil City
Pittsburgh
Springfield
Toledo
"Wheeling
Youngstovv-n
No. 5—Richmond:
Baltimore
Charleston
Charlotte
Columbia
Norfolk
Raleigh
Richmond
!
i
j
I
!
!
;
|
i
I
I
''
2,217
230,188
7,612
16,187
2,924
4,043
5,685
13,628
26,961
13,745
5,921
15,386
2,578
258.664
6; 338
19,741
2,771
4.773
5; 060
17,545
28,282
14,118
5,549
15,837
2,565
213,759
5,802
22,686
2,608
4,035
4,860
14,811
25,392
13,602
5,865
11,986
2,715
258,310
6,236
21,592
2,724
4,584
7,425
20,995
28,600
14,227
7,655
12,900
2,379
219,335
5,826
19,314
2,439
3,526
6,510
14,758
32,146
9,369
5,920
12,274
I
I
!
!
j
!
i
i
:
1
337
175,424
245
1,301
470
276
154
682
1,441
610
481
1,141
274
185,781
174,572
270
327
1,644
1,646
505
346
238
398
88
342
578
643
1,362
1,503
314
811
452 ,
759
2,019 !
1,176
186,
1,
1,
305
173,199
315
1,339
517
360
357
295
1,436
317
482
1,234
11,234
10,643
13,489 I 10,843
23,621 ! 11,409
20,711
20,508
20,707
'. 15,756
3,928 j
2,989
2,829
3,214
!
2,458
10,157
10,937
9,341 j
8,793
60,398 !
8,380
52,979
54,477
68,028
I 47,644
3,409,070 4,084,229 3,846,617 4,316,299 3,668,540 jl,602,128 1,707,913 11,696,601 1,684,487 1,507,762
349
288
336
3,291 I
247
215
3 485
3,298
2,817
j
2,542
558
532
732
582
24,739 I
568
26,544
28,714
26,693
! 20,839
574
628
565
556
12,162 j
513
10,817
12,497
14,201
!
9,720
i
|
I
j
I
|
!
i
i
;
I
j
;
j
!
-
',
;
j
|
!
I
;
'
i
'
I
i
i
•
!
!
!
2,822
4,580
3,114
2,633
4,422
289,971
3,726
11,779
8,015
5,743
3,25S
7,704
3,4S9
10,451
337,045
4,272
11,784
8,247
6,509
3,033
8; 676
5,084
2,361
2,657
2,519
3,719
3,938
3,826
3,864
3,718
4,029
2,744
2,762
3,068
4,504
5,118
6,748
273,149 281,702 275,049
3,859
3,000
4,255
11,052
9,357
11,102
8,503
7,999
8,775 i
5.237
5,840
5,752 i
3; 491
3,017
3,182 !
8,607 I 9,255
8,069 !
3,421 I 3,483
4,205 |
16,600
45,5SS
128,679
23', 079
10;i27
6,054
1,976
6,450
2,468
187,673
2,419
23; 535
6.670
14,018
17.434
56; 856
148,400
25,351
12,714
7,614
1,068
5,526
2,3(50
159,207
3,223
27,335
7,771
11,034
17,475 ! 12,476 ;.
51,837 | 71,200 ! 45,837
133,680 j 184,727 i 124,736
26,935 i 31,498 i 26,810
M,634 ' 10,702 ! 5,874
6,013
5,969 i
5,777
1,748
1,976 i
2,160
4,653 i 4,501
4,590
2,998
2,601 i
2,646 !
138,667 I 150,534 i 175,173
3,823 i
2,489
3,289 j
21.988 ! 33.517 , 25,306
7,627
6', 551 i 7; 614
1 3 ; 3 5 6 •• 17,103 j 9,408
66,357
6,745
3,800
6,490
16,248
3,400
18. MA
2,363
4,561
3,260
2,931
80,533
7,040
3,100
6,689
17,104
4,626 j
22,121 !
21
2
177
208
1,976
276
18
122
79
354,161
76
200
111
227
309,856
1,771
167
64
947
1,824
166
59
931
1,613
244
81
632
1,859 :
181 j
326
1
213
206
303,183
1,752
292
114
1,146
685
720
185
42,550
115,926
5,030
519
98
39,273
100,617
5,878
628
: 2,608
•: 2,339
i" 258,692
2; 323
:
10,553
4,769 ; 6,592
776
619 !
2,465
2,533
302,804
2,151
8,461
6,44.8
1,492
127
868
107
40,947
99,788
3,564
572
60
611
40,167
99,826
5,740
729
78
92
39,623
96,318
5,943
648
76
3,870
2,328
311,809
1,951
7,495
5.926
'381
2,770
I
2,454
I
i 274.593
2; 111
{
! 8,517
! 6,225
'592
j
2,368
2,598
289,753
1,872
73,071 ! 34,408 : 43,823
73,186 1 74,695 !
3,374 ' 3,087
8', 077 ! 7,196 '' 7,147 !
3,400
3,800 i 5,100 ! 5,100 ! 4,100 !
3,175 I 3,256
5,876 i 5,386 !
6,256 !
18,303 1 18,577 i 18,614 ! 20,409
16,764 :
2,850 ; 6,211
10,000 I 3,800 1 5,400 !
21,700 i 21,763 i 23,856 I 57,653 : 56,270
486
9
162
112
364,412
7 4 1 •:
38,872 •
2', 977 :
8.600 !
3,275 ;
22,573-'
3,500 I
44,335 :•
34,006
3,343
7,500
2,791
21,144
.2,900
48,100
33,320
3,165
9,500
2,875
23,287
3,200
50,081
474
FEDERAL RESERVE BULLETIN.
MAY I. 1919,
Weekly figures of clearing-house bank debits to deposit accounts—Continued.
[In thousands of dollars; i. e., 000 omitted.]
Debits to banks 7 and bankers' account.
Debits to individual accounts.
District.
Mar. 26.
No. 6—Atlanta:
Atlanta.
Augusta
Birmingham..
Chattanooga..
Jacksonville..
Knoxville
Macon
Mobile..
Montgomery
Nashville
Now Orleans
Pensacola
Savannah
Tampa
Vicksburg
No. 7—Chicago:
3 a y City
Bloomington
Cedar Rapids
Chicago
Davenport
Decatur
Des Moines
Detroit
Dubuque
Flint.
Fort "Wayne
Grand Rapids
Indianapolis
Jackson
Kalamazoo
Lansing
Milwaukee
Pooria
Rockford, 111
Sioux City
South Bend
Springfield
Waterloo, Iowa
No. 8—St. Louis:
Evansville
Little Rock
Louisville
Memphis
St. Louis
No, 9—Minneapolis:
Aberdeen
Billings
Duluth
Fargo
Grand Forks
Great Falls
Helena
Minneapolis
St. Paui
Superior
Winona
No. IO-7-Kansas City:
Atchison.:
1
Bartlcsville, Okla...
Colorado Springs
Denver
Joplin
Kansas City, Kans..
Kansas City, Mo
Muskogce, Okla
Oklahoma City
Omaha
Pueblo
St. Joseph
Topeka
Tulsa
Wichita
No. 11—Dallas:
Albuquerque
Austin
Beaumont
Dallas
El Paso
Fort Worth
Gal vest on
Apr. 16. I Apr. 23.
20,454
6,257
12,175
8,339
9,443
4,650
5,084
6,073
3,973
20,326
49,099
1,772
12,150
4,830
1,713
23,427
5,267
12,249
7,563
12,715
5,103
7,237
6,568
4,468
18,020
53,892
2,042
14,455
4,925
1,549
2,233
2,582
4,523
573,793
5,446
3,010
18,171
93,294
1,773
8,583
4,375
12,348
25,563
2,030
2,843
6,122
550,649
7,014
3,782
16,815
96,480
1,913
5,519
2,848
3,379
45,713
10,035
4,942
15,151
2,646
4,567
2,851
3,691
6,793
32,806
23,489
110,801
1,185
1,913
11,956
2,579
1,170
1,971
1,922
77,285
29,864
1,324
820
4,299
18,373
27,633
3,030
2,730
4,081
46,394
9,687
5,309
14,362
3,143
4,591
3,973
4,076
6,475
34,518
23,951
115,795
22,490
5,291
11,993
7,164
10,685
5,384
5,298
6,679
4,463
23,356!
59,900
1,999
11,107
4,768
1,679
23,760
5,727
9,082
9,851
13,990
5,628
5,398
6,336
5,897
22,256
56,196
2,043
11,283
5,604
2,090
22,884
5,833
11,055
8,426
8,982
5,448
5,483
6,093
4,427
22,009
53,073
1,748
11,481
4,946
1,813
2,354
2,569
2,370
3,021
3,064
2,970
5,499
2,768
4,743
574,967 570,197 558,079
7,108 j 5,704
6,933
3,147
3,535
3,314
18,703 ; 17,225
18,050
80,370 i 110,632 106,717
2,027 j
1,939
2,302
7,060 i
4,839 .
8,766
4,811 i 5,006
4,570
12,938 i 14,470
14,279
26,412 I 31,745
28,295
3,389 j 4,253
3,566
2,743 j 3,196
3,326
3,995
4,058
4,313
46,777 | 53,861
44,244
10.439 ! 12,494
9,718
4,956
4,743
3,820
12,881
14,247
13,421
3,646
3,547
2,863
4,954 !
4,750
3,314 I 2,959 j
3,238
Mar. 26. j Apr. 2. • Apr. 9. j Apr. 16. Apr. 23.
j
,
27,379
2,958
4,141
4,439
9,828
8* 691
917
867
16,619
34,630
1,111
7,373
3,175
176 '
! 24,033 I 23,466
| 2,164 ' 2,256
4,414
5,089
3,608
4,783
i 9,111
9,559
' 1,708
1,545
10,114
9,603
781
978
1,044
1,450
18,673
22,492
| 32,620
31,711 j
I 1 ~"
806 '
I
7,340
I 3,312
3,400
70 I
119
87
23,251
2,127
3,739
3,685
9,118
1,396
7,016
710
909
15,350
32,011
883
6,892
3,145
26,001
2,512
6,169
4,804
8,781
1,560
10,172
906
1,149
16,408
34,704
740
7,838
3,110
51
350
437
1,095
1,269
12,159 ! 9,276
579,328
603,596
1,880
2,455
526
733
33,714
34,285
50,570
53,539
1,348
34
2,049
1,097
4,011
4,088
24,064
23,663
15
97
541
525
199
242
28,463
33,400
2,404
2,902
375
332
11,522
13,549
1,719
1,748
1,815
2,744
1,151
1,544
552
286
32,490
2,347
194
14,660
1,562
1,687
1,336
399
784
9,279
520,546
2,026
533
35,253
40,572
1,960
40
1,496
3,931
20,764
74
414
178
30,031
2,162
186
15,888
2,422
1,158
1,345
654
1,021
10,536
579,689
2,353
632
40,227
39,799
1,386
36
2,175
4,054
23,162
78
611
157
32,500
2,564
158
15,562
2,065
2,109
1,830
2,643
5,494
41,020
22,231
123,997
2,072
5,197
34,019
21,586
110,164
33,164
22,521
131,763
1,687
6,174
35,943
22,935
128,382
2,596
6,000
33,589
24,422
118,692
911
914
3,602
2,443
1,321
3,124
2,923
70,444
41,078
173
1,051
1,052
3,705
2,325
1,340
2,944
3,298
75,375
43,138
157
1,115
1,002
997
5,597
1,506
1,161
3,217
3,426
49,201
39,757
193
1,082
994
3,765
2,279
1,129
2,811
3,339
65,775
35,126
107
905
85
609
22,727
566
5,101
524
837
10,170
564,953
1,579
473
36,723
49,597
1,682
37
1,670
3,847
21,918
4,522
7 927
33.440
23,924
131,675
j 5,655
8,506
i 33,830
! 25,954
j 133,782
1,523 i
1,438
2,354 I
2,602
19,256 ! 14 671
2,633
1,646 i
1,475
1,295 :
2,497
2,248 !
2,569
2,102 !
98,812 ! 72,526
39,033 I 36,020
1,887 i 1,692
1,064 ! 1,235
; 1,398
! 2,517
I 20,288
1,891
I 1,401
2,701
! 2,019
j 82,995
i 30,859
i 1,853
i
947
1,489
1,079
2,036
1,032
23,944
3,811
2,G36
2,332
1,202 i
940
2,197 I 2,649
2,175! I 3,241
67,017
66,549
30,912
39,065
1,998
57
959
I 1,012
j 2,689
I 2,382
! 28,834
I 3,399
I 2,829
I 88,284
' 3,431
13,175
59,062
4,952
19,789
4,820
20,349
9,119
2,534
32,069
3,044
3,301
87,161
3,095
12,713
52,694
3,592
19,679
4,286
16,672
8,567
655
74
691
22,716
601
5,197
171,636
1,935
9,618
70,646
'905
17,660
1,629
8,399
14,461
579
33
943
19,629
665
4,966
160,317
1,986
9,070
61,088
829
17,635
1,614
9,177
12,579
|
1,071
I 21,781
I
505
i
5,588
155,187 I 175,955
2,419 i 2,095
9,694 ! 9,977
77,501
65,377
693
1,088
17,371
16,580
1,651
1,999
8,061
8,380
12,123
12,848
824
22,879
414
4,634
162,887
1,924
8,980
56,710
945
15,964
1,664
8,494
12,493
1,400
2,646
3,592
31,472
6,052
16,385
6,011
3,810
7,850
573
45,425
8,269
35,966
5,423
3,590
2,186
479
43,147
8,060
43,179
4,473
4,008
3,656
2,738
2,490
600
622
41,057
48,630
7,922
8,462
35,919
37,012
5,997 I 5,286
3,949
1,936
545
44,947
7,930
35,762
4,584
1,026 !
1,941
2,237
2,151 i 2,153
27,059 I 33,528
3,168 I
2.728
2,933
3; 080
77,390 I 83,859
3,237 I 3,360
10,928 ! 11,559
64,776 i 65,632
3,471 I 3,278
17,525 i 16,676
4,427 I
4,981
19,053 I 20,082
6,590 I 9,010
926
2,083
2,246
31,362
2,760
3,009
86,703
3 487
13,835
51,500
3,071
18,819
4,731
15,666
7,829
1,250
2,980
4,517
26,437
5,852
14,937
4,860
1,556
2,797
3,558
27,790
6,652
17,359
1,585
3,600
3.436
25,567
7,003
16,604
5,973
1,510
2,930
3,606
28,835
6,542
16,578
5,801 i
3,994
7,363
34,527
32,255
126,023
913
1,801
641
140
641
MAY 1, 1919.
475
FEDERAL. RESERVE BULLETIN.
Weekly figures of clearing-house bank debits to deposit accounts—Continued.
[In thousands of dollars; i. e., 000 omitted.)
Debits to banks' and bankers' account.
Debits to individual account.
'District.
Mar. 26.
No. M.—Dallas—Continued.
Houston
San Antonio
Shreveport
Texarkana
Tucson
Waco
.No. 12—San Francisco:
Boise
Fresno
Long Beach
Los Angeles
Oakland
Ogden
Pasadena
Portland
Reno
Sacramento
Salt Lake City
San Diego
San Francisco
San Jose
Seattle
Spokane
Stockton
Tacoma
Yalnma
20,441
5,761
5,938
1,293
1,639
2,674
1
1,942
6,058
2,506
59,936
13,269
4,486
2,744
31,502
1,743
9,777
12,555
4,262
135,834
3,291
49,403
8,366
3,847
11,627
2,046
1
Apr. 2 j Apr. 9.
22,445
5,896
5,386
1,476
1,531
2,509
1
20,752
16,645
4,546
],42i
1,822
2; 919
Apr. 16. j Apr. 26.
24,217
16,673
4,898
1,772
1,618
3,120
26,213
5,420
4,811
1,223
1,705
2,495
1
Mar. 26.
Apr. 2.
Apr. 9. \ Apr. 16.
Apr. 23
42,067
44,049
41,233
43,898
44,004
""3,*87i"
224
1,273
1,833
3,493
286
1,212
1,470
3,665
290
3,737
369
1,516
1,567
1,344
1,709
3,153
318
1,463
1,554
9,958
3,233
184
41,392
2,214
5,259
144
21,612 I
1,951
3,804
17,591
364
90,714
1,746
20,927
6,955
2,535
8,078
287
6,721
2,873
185
39,867
2,600
5,730
184
20,888
2,398
4,115
17,115
5,308
3,117
232
47,012
2,802
5,114
694
26,549
1,905
4,939
15.979
'499
109,433
1,830
17,895
7,980
5,032
7,312
220
2,224
5,285
2,117
2,335
2,931
5,826
5,488
5,502
6,597
3,803
2,789
3,177
97
3,229
3,523
60,855
40,827
63,486
58,763
65,156
12,725
2,068
12,541
12,895
12,594
4,339
4,804
4.398
4,340
4,636
3,293
3,057
343
3,196
2,599
41,048
41,958
22,648
30,002
35,934
2,299
1,487
2,534
2,363
2,331
9,017
12,292 j 12,348
10,780
3,815
13,173 i 13,686
14,932
14,870
16,232
3,371 .
3,202
4,563 j 2,979
262
146,478 132,552 i 146,336 131,490 105,622
3,332 . 1,597
3; 662
3,561 i 3,884 ;
38,945 i 37,110 j 47,001 j 41,297
15,821
8,940
8 372 !
8,620 ! 10,211
7,479
4,886
4,176 '
4,123 !
2,230
5 354 !
9 238
9,468 ! 11,165 ] 12,347
6,355
2,298
2,141
2,287 ! 2,333 i
394
97,896
2,370
14,364
7,240
3,578
7,359
241
5,952
3,219
31
42,337
2,581
6080
111
26,818
1,713
4,363
16,760
328
98,800
1,970
18,957
8,722
223
Figures comprise debits to individual as well as to banks' and bankers' accounts.
Recapitulation, showingfiguresfor clearing-house centers reporting for each of the five weeks.
fin thousands of dollars; i. e., 000 omitted. J
T>isiric't.
No.
No.
Mo.
No.
No.
No.
No.
Xo.
No.
No.
No.
No.
1—Boston
2—New York
S—Philadelphia...
4—Cleveland
5—Richmond
6—Atlanta
7—Chicago
8—St. Louis
9—Minneapolis...
10—Kansas City..
11—Dallas
12—San Francisco
Grand total
Debits to individual account.
! Number
of
i centers
'included. Mar. 26. i Apr. 2. Apr. 9. I Apr. 16. Apr. 23.
I
Debits to banks' and bankers' account.
Mar. 26.
Apr. 2.
Apr. 9. i Apr. 16. Apr. 23,
180,156
344,497 381.256 327,971 ! 387,963 333,796 182,562 193,525 182,915 194,109
3,508,029 4,219; 668 3,968,940 14,434,045 3,796,679 1,623,245 1,732.105 1,717,813 .,706,768 1,531,429
307,953
351,256 408,216 338,679 I 341,136 337,121 364,460 358,504 313,781 368,862
472,807
458,736 469,365 423,110 i 525,917 438,520 478,691 443,802 453,270 448,006
125,428
121,584
141,213 139,783 j 136,733 138,537 124,174 136,456 124,132 119,784
124,905
166,338 179,480 182,256 ! 185,141 173,501 123,890 110,282 121,295 124,565
756,434
847:776 840,772 842,122 ! 878,658 851,081 749,125 691,367 763,280 795,538
185,299
177,580 184,815 201,488 I 207,727 204,162 195,385 173,038 195,342 195,121
117,284
131,989 171,220 139,358 i 148,869 136,534 121,714 127,915 135,500 107 139
299,453
243,517 260,952 245,944 I 261,437 250,320 326,949 301,077 314,400 323,885
150,145
98,579 103,011 103,955 i 108 100 109,485 156,584 155,624 146,512 157,215
249,642
365,194 374,019 350,839
372,449 240,958 238,918 236,118 263,852
151 5,815,075 |7,733,987 7,264,445 18,008,319 7,142,185 4,687,737 \4,662,613 4,704,358 4,804,844
4,500,935
476
FEDERAL RESERVE BULLETIN.
WHOLESALE PRICES IN VARIOUS
COUNTRIES.
MAY
1, 1919.
the United States Bureau of Labor Statistics
about 280, and the French Statistique Generaie
45, to mention several cases. When a smaller
In the accompanying tables there are prelist of commodities is chosen, there is a tensented various index numbers of wholesale
dency to include only articles in their raw or
prices for the United States, Great Britain,
semimanufactured
state, and previous studies
Canada, Australia, France, Italy, and Japan.
have
shown
that
the
prices of such commodiIn the first table, for which the Board is inties
on
the
whole
show
wider oscillations than
debted to the United States Bureau of Labor
those
of
manufactured
goods.
Moreover, such
Statistics, the numbers have been shifted to
numbers
on
the
whole
will
also
have a larger
the 1913 base. In making the shift the average
7
representation
of
producers
goods,
the prices
for the year 1913 shown by the original comof
which
are
less
steady
than
those
of conpilers was taken as 100, and index numbers
7
sumers
goods.
While
series
constructed
in
for the period were restated in terms of the
this
manner
will
be
more
sensitive
than
those
new base by dividing these numbers by the
original index number for the year 1913. embracing a larger list of commodities, on the
In the case of certain of the numbers, due other hand, to measure the changes in wholeto the technical methods employed in their sale prices at large, it is evident that samples
construction, the results obtained by shifting must be drawn for all the various groups of
the base in this manner are only approxi- commodities that behave in peculiar ways.
mately accurate. In the second table the Differences in weighting, that is, in the relative
index numbers cover the period since Janu- importance assigned to various groups of comary, 1918, and are shown in their original form, modities, and individual commodities within
different bases being employed by the several the group, also have great influence upon the
final results. Here again there is great divercompilers.
It will be apparent that the increase in prices sity. An exact system, of weights based on
in the United States on the whole has been less some definite criterion may be employed, or,
than in Great Britain, in which the increase in on the other hand, no formal weighting may be
turn has been less than in France and Italy. attempted. Dun's index number is weighted
No exact measurement of the relative increase by per capita consumption, Bradstreet's by
in prices in one country as compared with including several quotations for each of the
another is, however, possible, as the methods more important articles; but the latter is
employed in the construction of the index vitiated in considerable measure by the renumbers shown differ greatly. It will be duction of original quotations to prices per
observed that the various numbers shown for pound, thus assigning to some high-priced
the United States and for Great Britain also articles excessive influence upon the final
differ widely from each other. The differences results. For index numbers comprising a
are due to various causes, chief among which smaller list of commodities the favorite method
are the number and kind of commodities in- is by including several quotations for the more
cluded. Bradstroets include 96 commodities, [important articles.
MAY
1, 1919.
477
FEDERAL RESERVE BULLETIN.
Wholesale prices in the United States and certain foreign countries.
[Index numbers expressed as percentages of the index number for 1913.]
United States.
1890.
1895.
1900.
1905..
1910..
1913.
1914.,
1915.
1916.
1917.
1918.,
January..
April
July
October..
January..
April
July
October..
January...
February..
March
April
May
June
July--August
September.
October
November.
December..
January
February..
March
April
May
June
July
August
September.
October
November.
December..
January...
February.
March
April
Bureau
!
O£
! Labor
, Statisi tics: 294
!1 commodities.
(vari; able).
Year and month.
January..
April
July
October..
1
United Kingdom. ! Canada. !
Australia.
! New
, South
DeCom- . Wales
partmon- ; Monthly
ment
wealth , StatisStatisSaner- !
of
Bureau ; tlcal
tic] ue
beck: 45 ] Labor:
of Cen- • BulleGencom- I 272
sus and !
tin:
craie:
commodities.
Statis- 1 Num45 commodities, tics: 92 ; ber of modities.
(varicom- i comable). modities. ' modities
i1 not
shown.
81 i
85
73
88
85
92
100
100
127
160
205
226
71
80
84
92 I
100
100
110
134
174
205
104
106
101
101
99
102
2
2
2
2
118
125
126
134
103
108
111
112
149
157
157
175
97
70
82
84
92
100
106
147
138
153
;
!
84
88
100
95
114
137
153
100
102
140
188
252
98
102
101
95
2 100
2 100
2 101
2 107
2127
2 153
2 167
2H2
101
109
115
117
2
124
2 135
2 142
2 158
127
132
132
138
2138
2137
2 138
2 139
123
137
134
140
2 179
2 190
187
193
199
203
205
211
208
207
207
212
214
218
15-1
160
163
189
177
179
179
181
179
179
183
187
M40
150
151
151
150
153
152
152
156
152
147
163
215
225
230
248
256
266
268
270
280
284
293
304
219
220
221
223
225
226
227
230
232
233
230
231
190
194
199
199
204 j
207 !
210
210
211
214
215
213
2 173
161
165
156
155
164
163
130
170
164
160
313
319
327
333
335
329
337
350
355
3G0
358
353
217
215
213
211
206
f
!
!
I
i
1914.
1915.
1916.
1917.
1918.
1919.
1
100
102
109
113
2 146
2 158 i
2 166 i
a
Average for January and July.
Quarter beginning in specified month.
NOTE.—Monthly figures shown for Brads treat and for Dun are for first of month.
France.
181 i
180 j
179!
85
m
2 198
349
478
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Movement of wholesale prices since January, 1918.
United Kingdom.
United States.
Bureau of
Labor
Statistics:
294 commodities
(variable;
month).
January
February
March
April....".".
May
Juno
July
August
September
October
November..
December
January
February
March
1918
185
187
187
191
191
193
198
202
207
204
200
1919
202 |
197
200 i
Bradstreet:
96 commodities
(first of
following
month).
Dun:
200 commodities
(first of
following
month).
Statist
(Sauerbeck):
45 commodities
(end of
month).
France.
Italy.
': Japan.
Department of Statistique R. Bachi: Oriental
Labor:
Generate:
39 com- Economist
(Tokio)
272 com45 commodities
(end of
modities
modities
(month).
month).
(variable; (month).
month).
18.0776
18.0507
18.4431
18.9133
19.0043
19.1849
19.1162
19.0485
19.0167
18.9110
19.0151
18.5348
227.020
227.977
230.313
226.665
224.843
232.575
232.058
232.882
233.227
230.529
230.375
230.146
57.85
58.18
58.67
59.41
60.16
61.05
61.28
62.67
62.38
62.10
62.12
60.94
186.2
187.3
188.0
189.8
191.1
192.3
192.9
195.9
197.1
197.8
195.3
196.0
257.1
263.5
269.2
269.4
275.8
280.6
284.0
284.3
285.3
289.6
290.9
17.6344
17.2244
17.2795
22©. 050 !
217.037 |
219.973 I
58.51
57.96
57.23
192.1
187.5
286.5 i
279.8 j .
These differences in methods of construction
point to differences in the use to which the numbers should be put. The adaptation of index
numbers to specific purposes has been recognized in several ways. Certain series of index
numbers of the prices of foodstuffs have been
prepared, the Annalist and Gibson numbers in
the first table being examples of numbers of
this type. Again, in many of the series embracing smaller lists of commodities, the more
sensitive character of which has been remarked,
the aim has been to obtain series largely for use
as ' 'business barometers. ;; Finally, there may
be mentioned the grouping of commodities
E conomist:
44 com- !
modities
(end of
month).
Canada.
: i
361.6
369.2
378.1
385.4
387.8
380.0
389.9
405.0
410.5
416.1
413.7
407.9
457.6
478.6
496.8
505.6
515.4
523.5
540.6
544.1
545.8
555.9
357.9
352.9
193.5
199.2
204.5
203.6
204.8
204.0
213.9
223.4
227.3
229.3
223.7
215.2
403.5
349.0 j
211.7
204.7
which is commonly practiced by the compilers
of index numbers, additional index numbers
for the subsidiary groups being computed. I t
must, however, be recognized that the majority
of these classifications have been based, not
upon the distinctive price fluctuations of the
various groups chosen, but *upon technical
characteristics, building materials, for example,
being distinguished from fuels, etc. It is thus
seen that the apparently contradictory conclusions often shown by various index numbers
may be readily explained, and that they by no
means destroy the value and cast doubt upon
the legitimacy of the device itself.
MAY
1, 1919.
FEDERAL RESERVE BULLETIN.
WHOLESALE PRICES.
In continuation of figures shown in the
April BULLETIN there are presented below
monthly index numbers of wholesale prices for
the period July, 1918, to March, 1919, compared
with like figures for March of previous years;
also for July, 1914, the month immediately
preceding the outbreak of the great war, and
index numbers for the years 1914 to 1918, in
elusive. The general index number is that of
the United States Bureau of Labor Statistics.
In addition there are presented separate numbers for certain particular classes of commodities in accordance with plans announced in previous issues of the BULLETIN.
Quotations for three commodities, namely,
tickings (Amoskeag, 32 inch), onions (fresh, Chicago), and whisky (Bourbon, barrels, 4 years in
bond), have been omitted. On the other hand,
quotations for overcoatings (soft faced, black, 24
ounces), which had been dropped temporarily,
have been secured for the months^of February
and March, and the commodity was again inthe latter month. Index numbers for March are
eluded in the calculation of the indexfnumber*f or
provisional, due to the fact that certain data
were not received in time to render them available for use in the calculations.
During March a checking of the fall in
prices remarked for the two previous months
is indicated. The general index number of
the Bureau of Labor Statistics has increased
from 197 to 200. The increase has been due
to the increase in the prices of consumers' goods
and of raw materials, the. index numbers of
both groups showing an increase. On the
other hand, the index number for the group
of producers7 goods has decreased from 191 to
189. Among the commodities included in
this group the only important instances of
increase are afforded by cement, lime, linseed
oil, and rope. On the other hand, decreases
in price occurred for an extended list of commodities, among which certain metal products,
in particular steel billets, plates and rails, and
structural steel, bar iron and copper wire,
lubricating oil, rosin, jute, cotton and worsted
yarns, oleo oil and certain chemicals, such as
sulphuric acid and glycerin, may be mentioned.
4-79
While the index number for the group of
raw materials has increased from 192 to 198.
the index number for the mineral products
subgroup has continued its decline from the
high level of 183 in November and now stands
at 170, as compared with 173 for the month
of February. The decrease is due to considerable decreases in the prices of cokecopper, and pig iron, the changes in price of
other commodities included in the group being
insignificant. The increase in the index number for the forest products subgroup, from 148
to 149, is due entirely to a rise in the price of
North Carolina pine surfaced boards, which
was the only commodity included in the subgroup to change in price. On the other hand,
considerable increases occurred in the index
numbers for both the farm products and
animal products subgroups. The former now
stands at 235, as compared with 222 for the
month of February. The increase is due to
increases in the prices of wheat, corn, oats,
rye, barley, flax, hay, tobacco, and cotton
as quoted in New York, the New Orleans
quotation for the latest named commodity
affording the only instance of a decline in
price. The increase in the index number for
the animal products subgroup, from 208 to 218,
is due largely to the increase in the prices of
hogs and sheep, as well as to lesser increases
in the prices of cattle, poultry, silk, and wool.
Increase in the price of Brazilian goat skins was
almost offset by decreases in the prices of calfskins and one of the grades of packer hides.
The index number for the group of consumers7 goods increased from 197 to 200. Unlike the other groups and subgroups, both
decreases and increases in price occurred for
an extended list of commodities. The commodities which increased in price were principally foodstuffs, in particular butter and
cheese, various meats, lard, corn meal, wheat
flour, apples and oranges, coffee, whisky.
illuminating oil, and shoes. Decreases In
price occurred in the case of certain textile
products, especially print cloth, cotton underwear and hosiery, suitings, and women's
dress goods, as well as for milk, peanuts, beans.
wrapping paper, and soap.
480
FEDEEAL RESERVE BULLETIN.
MAY 1, 1919.
Index numbers of wholesale prices in the United States for principal classes of commodities.
[Average price for 1913=100.]
E a w materials.
Year and month.
Farm
products,
July, 1914
March, 1915
March, 1916
March, 1917
March, 1918
July, 1918
August, 1918
September, 1918
October, 1918...
November, 1918.
December, 1918.
January, 1919...
February, 1919..
March, 1919
Animal
products,
Forest
products,
106
96
114
156
178
209
215
219
209
208
208
207
208
216
97
94
97
103
135
140
143
143
143
150
150
147
148
149
102
114
110
169 i
249
237
246
255
240
234
237
232
222
235
Mineral
products.
AH commodities
•*>\t (Bureau of
Producers' "onsumers'
goods.
Labor StaTotal raw
goods.
tistics index
materials.
number).
88
88
114
191
172
180
180
180
181
183
182.
177
173
170
98
110
160
187
196
200
204
198
197
198
195
192
196
92
95
103
101
112
156
189
202
205
209
210
214
216
212
201
206
:so
171
287
196
199
203
205
205
399
194
191
389
I
i
|
!
99
89
114
160
187
198
202
207
204
206
206
202
197
200
In order to give a more concrete illustration j for certain commodities of a basic character,
of actual price movements there are also pre- j The actual average monthly prices shown in
sen ted in the following table monthly actual j the table have been abstracted from the records
and relative figures covering the same period I of the United States Bureau of Labor Statistics.
Average monthly wholesale prices of commodities.
[Average price for 1913=100.]
Corn, Mo. 3,
Chicago.
Wheat. No. 1,
Cotton, middling, northern
spring,
New Orleans.
Minneapolis.
Wheat, No. 2,
red winter,
Chicago.
Cattle, steers,
good to choice,
Hides, packers',
heavVnative
steers, Chicago.
Chicago.
Year and month.
Average
price per
bushel.
July, 1914
March, 1915
March. 1916
March; 1917
March, 1918
July,1918
August, 1918
September, 1918
October, 1918
November, 1918
December, 1918
January, 1919
.February, 1919
March ,1919
S0.7044
. 7133
.7150
1.1181
1.5563
1.5900
1.6225
1.5313
1.3270
1.2675
1.4290
I.3750
1.2763
1.4588
Rela- Average Rela-" Average
tive price per live price per
price. pound. price. bushel.
114
116
116
182
253
258
264
249
216
206
232
223
207
237
Hogs, light,
Chicago.
Year and month.
SO. 1331
.0836
.1177
.1764
. 3291
. 2945
. 3038
. 3578
.3150
. 3007
.2958
. 2850
.2694
.2681
105
66
93
139
259
232
239
282
248
237
233
223
212
2.11
WooL Ohio, aggrades, scoured.
S0.8971
1.4724
1.1409
1.9844
2.1700
2.1700
2.2231
2.2169
2.2155
2.2206
2.2205
2.2225
2.2350
2.3275
Rela- Average Relative price per tive
price. bushel. price.
Average |
83
155
115
201
220
228
226
227
227
227
234
241
238
239
$9.2188
8.2333
8.9688
11.868S
13.2313
17.6250
17.8250
18.4100
17.8563 |
18.1563 !
18.3600 j
18.4125
18.4688
18.5750
103
169
131
227
248
248
255
254
254
254
254
254
256
266
Hemlock,
New York.
Average |
Average Rela- Average | Relaprice per! Relative price pel- tive price per | tive
100 | price.
pound. price. M feet, j price.
pounds, j
§0.8210
1'. 5311
1.1328
1.9781
2.1700
2.2470
2.2325
2.2363
2.2345
2.2375
2.3088
2.3788
2.3450
2.3575
Yellow pine,
0 coring,
New York.
? Average Relaprice per tive
pound. price.
tivl
IJrice-
pounds.
SO. 1938
. 2300
.2275
.3050
.2625
. 3240
. 3000
. 3000
. 3000
.2900
. 2900
. 2800
.2800
.2763
108
97
105
140
156
207
210
216
210
213
216
216
217
218
105
125
124
166
143
176
163
163
163
158
158
152
152
150
Coal, anthracite, Coal, bituminous,
stove, New York
run of mine,
1 id ewater.
Cincinnati.
Average Rela- Average Rela- | Average Relaprice per tive price per tiye I price -per tive
M ieet. price. long ton. price. | short ton. pride.
i
Julv,1914
March, 1915
March. 1916
March, 1917
March, 1918
July, 1918
August, 1918....
September, 1918
October, 1918...
November, 1918.
December, 1918.
January, 1919...
February, 1919..
March, 1919
7563
7500
4688
3688
1250
0000
7750
0700
0938
7063
4400
4125
4688
8550
104
80
112
170
206
213
234
237
214
209
206
206
207
223
50.4444
. 5571
. 6714
.9286
1.4545
1.4365
1.4365
1.4365
1.4365
1.4365
1.4365
1.1200
1.0909
1.2000
94 $24.5000 i
118 21.5000
143 23.2500 I
197 25.5000
309 30.5000
305 34.5000
305
305
305
305
305
255 36.0000
232 36.0000
255 36.0000
101 $42.0000
89 41.0000
96 40.0000
105 42.0000
126 60.0000
142 60.0000
63.0000
63.0000
63.0000
63.0000
63.0000
149 63.0000
149 64.0000
149 64.0000
94
92
90
94
135
135
141
141
141
141
141
141
144
144
$4. 9726
1816
2742
6744
^642
f>P68
5992
9000
9000
8071
0500
9500
9500
9044
102 I
104 |
112
128 ,
130 '
130 j
136 |
136 j
154
157
157
3 57
156
I
S2.2000
2.2000
2.2000
5.00G0
3.6000
4.1000
4.1000
4.1000
4.1000
4.1000
4.1000
4.1000
4.0000
4.0009
100
100
100
227
164
186
186
186
186
1S6
186
186
182
182
MAY l f 1919.
481
FEDEKAL BESBBVE BULLETIN".
Average monthly wholesale prices of commodities—Continued.
[Average price for 1913=100.]
Coal, T'ocahoni&s^ Norfolk.
Coke. Conn ell svilie.
Copper, ingot,
electrolytic,
New York.
Lead, pig,
desilverized,
New York.
Petroleum, crude,
Pennsylvania,
at wells.
Pig iron, basic.
Year and month.
Average Rela- I Average I Rela- Average Rela- ! Average j llela- i Average
price per tive ' price per ! tive price per tive • price per j tiyo f price per
long tor. price. ! short ton. price. pound. price. ]• pound, j price. ! barrel.
July, 1914
March, 1915
March, 1916
March, 1917
March, 1918
July, 1918
August, 1918
September, 1918
October, 1918
November, 1918
December, 1918
January, 1919
February, 1919
March.1919
100 i
95 i
100
S3.0000
2.8500
3.0000
6.5000
4.4120
4.6320
4.6320
4.6320
4.6320
4.6320
4.6320
4.6320
4.6320
4. 6320
SI.8750
1.5750
3.0000
8.5000
217 I
6. 0000
.147;
154 I 6.0000
6.0000
154 i
0.0000
154 !
6.0000
154 I
6.0000
154 i
0.0000
154 j
]54; 5. 78J3
5.2188
154 I
123
348
246
246
246
246
24!)
246
246
237
214
183
154 i
SO. 13*0
. 1403
. 2700
. 3625
. 2350
. 2550
. 2600
.2600
. 2600
.2600
.2540
.2038
.1731
.1509
So
93
172
230
149
162
165
165
165
165
161
130
110
96
?0.0390
. 0390
. 0640
. 0950
.0724
. 0S02
. 0805
.0805
.0805
. 0805
. 0667
.0558
. 0508
. 0524
I
Cotton yarns,
northern cones,
10/1.
Leather, solo,
hemlock'No. i.
Steel, billets,
Bessemer,
Pittsburgh.
89 !
89 !
145 i
216 !
165 i
182
183
183
183 '
183 !
152 i
127 |
115 ]
119:
Steel, plates,
tank, Pittsburgh.
Average Relaprice per tive
long ton. price.
$1.7500
1.5000
2.4000
3.0500
4.0000
4.0000
4.0000
4.0000
4.0000
4.0000
4.0000
4.0000
4.0000
4.0000
813.0000
12.5000
18.2000
32.2500
33.0000
32.0000
32.0000
32.0000
33.0000
33.0000
33.0000
30.0000
30.0000
28.9375
Steel, rails, open
hearth,
Pittsburgh.
88
85
124
219
224
218
218
218
224
224
224
204
204
197
Worsted yarns,
2-32 's crossbred.
Year and month.
Average j Reia- i Average Relaprice per j tive ! price per tive
pound, price, pound. price.
Average
price per
ton.
Rela- Average Rela- j Average I Relative price per tive i price per I tive
price. pound. price. ! long ton. j price.
Ayeraee
price per
pound.
Relative
price.
I
July, 1914
March, 1915
March, 1916
March, 1917
March, 1918
July,1918
Auffust. 1918
September, 1918.
October, 1918
November, 1918..
December, 1918..
January, 1919
February, 1919...
March, 1919
SO.2150
.1450
.2200
.3100
.5745
.6412
.6400
.6100
.0100
.5927
.5500
.5000
.4200
.4000
97
66
99
140
260
290
289
276
276
268
249
226
190
181
Ueef, carcass,
good native
steers, Chicago.
SO.3050
108
.3350
.5950
.4550
.4900
.4900
.4900
.4900
.4900
.4900
.4900
.4.900
.4900
119
211
161
174
174
174
174
174
174
174
174
174
Coffee, ilio No. 7.
Year and month.
Average
price per
pound.
July, 1914
March, 1915
March, 1916
March, 1917
March, 1918
July, 1918
August, 1918
September, 1918.
October, 1918....
November, 1918..
December, 1918..
January, 1919
February, 1919.,.
March, 1919
$19.0000
19.7000
-12.4000
66.2500
47.5000
47.5000
47.5000
47.5000
47.5000
47.5000
45.1000
43.5000
43.5000
42.2500
74
76
164
257
184
184
184
184
184
184
175
169
169
164
SO.0113
.0113
.0255
.0438
.0325
.0325
.0325
.0325
.0325
.0325
.0310
.0300
.0300
.0291
76
76
172
296
220
220
220
220
220
220
209
203
203
197
Flour, wheat,
standard patents, Hams, smoked,
1914-1917,1919,
Chicago.
standard war,
1918. Minneapolis.
$30.0000
30.0000
30.0000
40.0000
57.0000
57.0000
57.0000
57.0000
57.0000
57.0000
57.0000
57.0000
57.0000
54.5000
Illuminating oil,
150° fire test,
New York.
Average Rela- Average Rela- Average | Rela- Average
price per tive price per tive price per i tive price per
pound. price. barrel. price. pound. | price. gallon.
SO. 0882
.0775
.0925
.0975
.0891
.0855
.0853
.0959
.1040
.1069
.1725
.1547
. 1544
.1602
!
!
!
|
!
88
80
77
86
93
96
155
139
139
144
S4.5938
7.4850
5.8813
9.6313
10.0938
10.7020
10.2100
10.2100
10.2100
10.2100
10.2100
10.2750
10.5500
11.2125
100
163
128
210
220
233
223
223
223
223
223
224
230
245
SO. 1769
. 1425
.1769
.2288
.3028
.3025
.3225
.3281
.3361
.3541
.3670
.3494
.3338
.3381
106
86
106
138
182
182
194
197
202
213
221
210
201
203
100
100
100
133
190
190
•190
190
190
190
190
190
190
182
£0.1200
. 1200
.1200
.1200
.1600
.1710
. 1750
. 1750
.1750
.1750
.1750
.1750
.1750
.1810
Relative
price.
97
97
97
97
130
139
142
142
142
142
142
142
142
147
SO.6500
. 6200
. 9200
1.2700
2.1000
2.1500
2.1500
2.1500
2.1500
2.1500
2.0000
1.7500
1.7000
1.5000
84
80
118
W>4
270
277
277
277
277
277
257
225
219
193
Sugar, granulated,
N e w York.
Average i '.lieiap r i c e p c r j tive
pound. I price.
SO. 0420
. 0571
. 0659
. 0706
. 0730
. 0735
. 0735
. 0845
.0882
.0882
.0S82
.0882
.0882
.0882
98
134
154
165
171
1.72
172
198
207
207
207
207
207
207
DISCOUNT AND INTEREST RATES.
OO
purchase such Government obligations has generally been
extended at lower rates, either at the rate borne by such
obligations or at a rate slightly higher. The table also shows
quotations in New York for demand paper secured by prime
bankers7 acceptances, a type of paper which made its appearance in the New York market several months ago. Quotations for new types of paper will be added from time to time
as deemed of interest.
There has been no marked movement in rates during the
period under review. From practically all centers it is reported
that rates are unchanged. Changes in rates for various types
of paper likewise are not marked, instances of increase and
decrease ins ucli rates being approximately equal in number.
The majority of the relatively small number of changes which
occurred are found in the low rates, customary rates, in particular, affording but few instances of change.
in the following tables are presented actual discount and
interest rates prevailing in the various cities in which the
several Federal Reserve Banks and their branches are located
during!the 30-day periods ending March 15 and April 15,
1919. Quotations are given for prime commercial paper,
both customers' and
purchased in the open market, interbank loans, bankers7 acceptances, and paper secured by prime
stock exchange or other current collateral. Separate rates
are quoted for paper of longer or shorter maturities in the
first-named and last-named classes. In addition, quotations
are given for commodity paper secured by warehouse receipts and for cattle loans, as reported from centers in which
such paper is current.
Quotations are also given of rates charged on ordinary
loans to customers secured by Liberty bonds and certificates
of indebtedness. Assistance to customers to enable them to
Discount and interest rates prevailing in various centers.
DURING 30-DAY P E R I O D E N D I N G MAR. lo, 1919.
Prime commercial paper.
District
JO to 90
days.
No.
No.
No.
No.
No.
No.
No.
No.
No.
No.
H. L.
a
G
54 G
5
4
! 6 5
G
5
"5?
62
6
6
6
6
6
7
8
7
5
6
6
6
54 G
51 54-6 G
G
6
6
6
8
6
7
5
5
54 6
54 6
54 6
6 6
6 •7
6
G
G
G
6
G
7
8
7
6
V
5
5
5J
6
52
54
6
54
6
3
6
6
8
6
7
6
8
6
8
6
7
8
8
8
6
6
6
6
6
.6
6
7
6
5
5
5\
54
51
54 6 •
5 6 '8
54 5 54 | 6
54 51
6 '
6 i 6
5
6
0
54
6
54
G !
6-71
5
54
• 54
6 6
6 ft
54 6 6
6 6 !
G 8 8
5 G | 54
G G 1 54
6 6 |G
6 64
G 8 54
5
5
6
o}\ 54
6 ; 6
54 . 54
6 i 6
54 ! 54
0
8
6
54 G 5
6
6
6-7
6
5 6
g.i 5 6
8 54 6
6 6 G
8 6 8
6 5 G
8 6 6
8 6 G
8 0 7
8 G 8
54
54
6
54
4 to 6
months.
Indorsed.
Collateral loans—stock exchange or
other cun-ont.
! Uuindorsed.
II L. C. ii. h. a.
//. L. C.
5 5J ! 54 L. a 54 5 54
5 5i
5 54 | 6 5 51 6 4J 5-54
5
• G
G
54 G
54 G
30 to 90
days.
Bankers' acceptances,
60 to 90 davs.
! Interbank
j loans.
/-! i
O:i j
5 5H4 6
5
5* 54 6
G 6 6
54 54 6
5 5
44 5
5 54
5
5
ft 6
5* 6
6 6
5
6
54 51
54 ! ft 5
5
G
54! 6
6 i 6
6 '6
5} 5 4 • 0
51
6
54 54
(i 6
5 6
51 54
5
5
ft 6
5
51 5* 5 51
5 j 6 5 54
5
5 j 54 5
6
•
4
5
? ff ?
... .1
G
8
6
6
5 5-i"-5i: 6
5
L.
„
*
4f
41
6
6
}
G
5
6
6
?
a
54 54
4354-5$;
5
6
5
6
54 6
6
6
54 6
44 j 5
I
! 6
6
6
i 6
6
6
| 7 6 7
4ft 41 4A| 4ft 41 4ft
5
6
41 6 | 6
41 4ft 4\ | 41
5
6 5 6
6 54 6
6 6 0
41 4ft 4ft| ±h
6
6 6
7 5 6 6
7 54 6
7 6 ~
6
6
6 5 6 6
8 6
6 54 54sY'""4i""4s 1
6 6
44 1 5
6 6
5 j
7 6
6 6
54 5 54 5
00
No.
4 to 6
months.
'SO
No.
1.. Boston
2.. New York a.
3.. . Philadelphia
4.. .j Cleveland...
! Pittsburgh..
I Cincinnati...
5.. .; R i c h m o n d . .
j Baltimore...
6.. .i Atlanta
! Birmingham
Jacksonville.
New Orleans
7.. Chicago
: Detroit
8.. .! St. L o u i s , . . .
• Louisville...
! Memphis....
Little Rock.
9.. Minneapolis.
10. Kansas City.
Omaha
Denver
Dallas
11.
El Paso.......
12. .1 San Francisco
! Portland
Seattle
Spokane
Salt Lake City.
Open market.
(?us(,om.ers.
City.
41 6
4ft 41
41 41
6 6
6
5
6
5
8
6
G
8
7
8
6
5
6
ft
G
6
8
6
6
64
7
7
6
8
6
8
8
8
8
a Rates for demand paper secured by prime bankers' acceptances, high 6, low 4\, customary U.
.Discount and interest rates prevailing in various centers—Continued.
.DURING 30-DAY PERIOD ENDING APRIL 15,1919.
!
Prime commercial paper.
District.
30 to 90
days.
No.l..
.No. 2 . .
No. 3 . .
No. 4 . .
No. 5..
No. 6..
No. 7..
No. 8..
No. 9..
No. 10.
No. 11.
No. 12.
IT.
6
Boston
New York a....1. 0
Philadelphia..
6
l
Cleveland
,6
Pittsburgh....i 6
Cincinnati
6
Richmond
.6
Baltimore
6
Atlanta
6
Birmingham.-I 8
Jacksonville...! 7
New Orleans.. 6
Chicago
i6
!
Detroit
6
St. Louis
i6
Louisville
,6
Memphis
6
Little R o c k . . . , 8
Minneapolis... 51
Kansas City... 7
Omaha
\6
Denver
•8
Dallas
:8
E l Paso
i8
San Francisco..! 8
Portland
8
Seattle
I8
Spokane
j8
Salt Lake City : 8
L. C.
5 54
5 51-5}
5 "5."
5 G'
5 6
54 6
54 6
51 6
51 G
6 6
6 7
51 6
5 6
5 51
51 6"
5~
54
51
5
5\
51
6"
6
5
6
5
6
6
6
6-7
51
6
6
6
6
8
6
G
6
7
7
P>ankers' acceptances,
60 to 90 days.
Open market.
Customers.
City.
4 to 6
\
30 to 90
L.
a H.
months, j
days.
L.
.
4 to 6
C. i .//. L. C.
5 5? 51 5 5 | ! oi 5 51
5 5J i ft" 51; 54 6 51 54
5.1; 5-i l o:i 5 51 ; 8 5 5-i
5
8
••-...
r
51 (i i » i '5["o4* o4""5i""o4"i:
54 6" ! 8" 6" 6"
6 6
54 6
5.1 5-i 6 5.J; 6
5i
6
6
5i
5{
5
5J54
6
5^
54
5
5
6
6
G
7
6 ,
5-^—6 54
6^6"
6 I 54
8 I oi
6 ...
6-7 ' .
0 ! o\
6 " 8"
6
G
6
ft
8"
8
6
6
6
5
51 !
5i- 6"
5.1; 5 2
_
_
5[5}—54:
54 "54"
~r " r !'
5'- 5 i
6
8
6
5'L G
5^ 6
o i 5.}
/.-.
5
41
5
5
5i
5
f»
C. II.
51 !4-1
5-51| 4§
54 ! 4\
5 4!4£
6
51 i 4}
L. C. j II. L. C.
If. L. C. \ II.
C.
54
4ft 4ft I 4ft 4;1- 4ft 6 5& 5& j 6
5:J
41 4'-4g 6 4-&4.t-4iy 64 3? 5^ ": "
4j 4ft4^4^41
5* I 6 5i- G
4! 414ft 4ft 4?
6
6
5 G
4} 4ft
4-^41 4£
6 , 6
5} 6
f
4'r
4ij
5
44
44
6
ft
G
6
6
G
6
54
G
6
51 i
5:]- 54 5 j
5
54 6
6" 6
ft
8
7
7
«
ft
ft
Si'
5? -f
ft
6
5! 51
6^ 6"
;5.1
>1 54 !
ft
5l"
ft
51
54
6 8
54 G
5" 6
6
6
6
51
ft"
6
6
G
G
G
7
Si6
6
G
6
ft
4',-
44
6
44
6
44
6
5
8
41
6
6
6
6
G
fi
41 41-51
4' 6 "
41 44
5
(j
5
6
a
5
. G61
. J ft
6
6
6
G
: 8
6
i 8
ft
I ft
4"t
6
4.1..
ft
! 6
j6
1
8
. G
4&
! 8
8
1
6
..i 8
G
6
• 8
6
ft
ft
5
. 8
G G
5
ft
54 G
54 6
6
6
6
7
54 ft
8&
51 54-6
ft 6
f> 54
6
5
5
6
ft 6-7
ft ft
6
5
r>
G
G
ft
5
f>
G
0
ft
6
8
ft
6
6
6
6
6
6
6
7
6
5J-6
6
5*
6
6
7
6
6
6
8
G
8
6
G
G
7
7
I Secured by
Secured byj Liberty
warehouse bonds and
receipts, !i certificates
etc.
of indebt• odness.
Cattle
loans.
3 to 6
months.
Unindorsed. j Demand, j 3 months.
_
ft
54 5[51-54 6 54 o\ \ 4ft 41 •11-4A
54 5[ 5 l 1 54 54 54
ft
"" ~" " ' ' " ' o"" ol
~'~' ft 4' 54l
HJ 5 5- !
5 5 - 41 44 4 4*
44
5 6 4?
5 51 i 51
6 6 : 6"
c,
51 54 6
51
Indorsed.
: months.
I Collateral loans—stock exchange or
|
other current.
6
6
6
6
8
0*
6
ft
6
8
7
64
6
6
6
6
6
8
6
8b
ol 5*
o-/
6 0"
8 G
6 5
8 6
8 6
8 6
8 G
;
8 G 7
51 | 6
i
!
a Rates for demand paper secured by prime bankers' acceptances, high 6, low 4J, customary 4^-5.
V.
6i
51-6
6
6
6
6
6
6
6
6
7
6
t8
6
6
G
7
6
ft
6
6
8
8
G
ft
6
7
7
//.
L.
a
11.
6
8
7
61
6"
L.
c. 11.
I 5
6
6
6
6
ft G
6
6
6
ft
54 6
54
6" 6
6
6
5i
6 6
6
6 6
8
6 7
8
6 6
6
51 6
6
6
6
6
6
L.
a
4{ 4^
4-{- 4-?-5
4\ 4*
4i 6
5
51
5
5"
5
5
4.1 5
41 6
41 5-6
5 6
41- 5
5 51
5
6"
44 54
5 6"
41 5
5
; 1 _ 111111' "53-" 54" 5 4 1 5 4 5 5
6 7-8 i 8 54 6-7 I 8 5 6
5 51-6
6 1.
41 6
G
6 ;.
6 6
8 18 6 6
5 7
I 9 8 8 ;
4:1 5-6
4\ 6
oo
CO.
484
MAY 1, 1919.
FEDERAL RESERVE BULLETIN".
PHYSICAL VOLUME OF TRADE.
In continuation
of tables in the April
there are presented in the following tables certain data relative to the physical volume of trade. The
FEDERAL RESERVE BULLETIN
January issue contains a description of the
methods employed in the compilation of the
data and the construction of the accompanying index numbers. Additional material will
be presented from time to time as reliable
figures are obtained.
Live-stock movements.
[Bureau of Markets.]
Eeceirrts.
Shipments.
•. aliue and
calves, 60
markets.
Hogs, 60
markets.
and
Sheep, CO Horses
mules, 44
markets.
markets.
Total, ail
kinds.
Cattle and
calves, 54
markets.
Hogs, 54
markets.
Head.
1,701,160
Head.
4,444,406
Head.
1,258,869
Head.
127,964
Head.
7,532,399
Head.
667,989
Head.
1,747,669
Head. !
564,975 |
Head.
123,114
Head.
3,103,747
July
August
September..
October
November..
December..
2,110,835
2,009,744
2,799,913
2,832,022
2,625,381 I
2,132,491 I
3,113,281
2,476,190
2,386,475
3,421,641
4,605,158
5,569,356
1,585,735
2,129,325
3,303,955
3,234,026
2,535,115
1,640,365
51,393
80,122
124,201
146,072
135,344
72,471
6,861,244
6,695,381
8,614,544
9,633,761
9,900,998
9,414,683
665,800
850,363
1,219,333
1,300.084
1,232)771
785,770
949,301
849,618
786,917
896,258
1,216,860
1,429,251
734,539 !
1,198,691 !
2,059,990 |
2,069,057 I
1,446,523 !
716,100 j
45,549
76,653
114,023
140,845
131,308
7.1,243
2,395,189
2,975,325
4,180,263
4,408,244
4,027,462
3,002,364
1919.
January
February
March
2,111,704
1,440,829
5,861,685
4,404,751
3,632,874
1,567,613
1,131)805
1,216,988
110,411
82,526
9,651,413
7,059,411
6,420,397
March
iSig
1, otti; 597
761,168 1,546,875
,„_„ . 1,288,134
528,326
563893 I 1,272,654
563,893
markets.
I Horses and!
all
I mules, 44 Total,
kinds.
! markets'.
608,016
418,827
481,907
106,459
3,022,518
76,512
2,311,799
64,332 I 2,382,786
I
Receipts and shipments of live stock at 15 western markets.
Chicago, Kansas City, Oklahoma City, Omaha, St. Louis, St. Joseph, St. Paul, Sioux City, Cincinnati, Cleveland, Denver, Fort Worth, Indianapolis, Louisville, Wichita.]
RECEIPTS.
[Monthly average, 1911-1913=100.]
Cattle and calves.
Head.
March
'..
July
August
September
October
November,
December
January
February
March
1919.
Relative.
Hogs.
Horses and mules. |
Head. | Relative.
Head.
Relative.
Total, all kinds.
Head. I Relative. I Head
Relative.
h, 300,097
129 3,482,064
158
886,157
65
77,883
5,746,201
124
I.o97,193
i, 588,553
12,249,017
2,267,534
2.053,359
"'706,945
168
158
223
225
204
2,530,414
1,970,086
1,775,842
2,570,525
3,431,782
4,197,313
115
90
81
117
156
191
11,141,488
11,424,677
12,408,609
2,357,524
11,677,537
1,114,761
84
104
176
173
123
36,782
54,271
82,656
83,574
64,482
36,153
118
180
182
140
79
5,405,877
5,037,587
6,516,124
7,279,157
7,227,160
7,055,172
117
109
141
158
156
153
56,631
48,786
41,805
123 7,395,419
114 5,371,679
91 4}S26,924
160
125
105
75,602
184 2,155,793 j
150
31,379
51,923
74,473
84,393
63,589
37,072
76
127
182
206
155
90
1,672,469 !
2,055,827 I
2,921,022
3,045,570
2,548,135
1,858,945 j
|
138 1,991,065 i
125 1,574,447
102 1,681,200
116
143
197
212
177
129
!
I:, 650,046
ji, 096,118
II, 094,614
104 4,603,335
116 3,451,894
109 2,842,663
209 1,079,377
168 ! 774,891
129 ! 847,842
SHIPMENTS.
March.
1818.
July
August
September
October
November
December
January..
"February.
March
504,229
495,211
652,440
932,131
994,943
j 921,831
I 588,425
124 1,233,754
255
122
160
229
245
227
145
137 483,151
124 751,886
101 1,426,120
100 1,479,774
136 903,283
163 445,987
662,728
599,577
488,298
486,460
659,432
787,461
342,208
96
149
265
294
179
1919.
589,362
404,296
423,819
145 988,035
107 881,507
104 i 925,802
204
195
191
357,386
240,815
289,742
56,282
47,829
41,837
139
118
117
MAY 1,1919.
485
FEDERAL RESERVE BULLETIN.
of certain meat products.
[Department of Commerce.]
[Monthly average 1911-1913=100.]
Beef, canned.
Beef, pickled I
and other cured, j
Beef, fresh.
Pounds.
I'oands.
l a m and shoulders, cured.
P( . OflT ,
rounds.
PoundI ,
j
Pickled pork.
Lar*.
Poun(i
Relative.
,
Pounds.
|
!
3 918.
March
31,982,302 11,809
62,064,261 jo, 003 | 1,592,114
July
August
September..
October
November..
December..
13,528,808
17,129,337
7,349,591
9,999,121
13,313,420
7,776:239
32,056,016 2,584 I 2.651,413
45; 160,708 i3,641 l', 742,970
34,071.; 816 i2,747 3.009,998
26,449,372 -2,132 0', 752,660
62,835,161 15,065 i 4,291', 030
34,161,848 12,754 3,786,847
99 1119,893,655 i
85 j 68. 857,586
us i 4i; 621,488 :
215 i 58. 131,739 :
161 , 721 861.969 :
142 1126'. 437^385
17,436,495 ' 1,403 \ 6,030,937
13,729,993 ='1,186 3,035,120
14,651,276 ,1,181 3,749,394
!
226 |l01. 000,122 • 603 i 54,848,433 367 i 37,850,338
146 !ll4|',842; 525 • 735 ! 49,283,053 !i 354 !< 68,972,779
140 1151, 086,397 . 902 85,712,426 574 97,239,435
1916.
January
February...
March
2,042
12,585
11,109
11,509
2,009
11,174
j
!
12,636,000 i1,907
8.151,723 il,318
8^997,973 ;1,358
60 j155.603,947 [ 929
716
411
249
347
435
755
77,729,798 I 521 ' 08,721,464
156
3,968,600 .
90
55,368,812
45,816,637 i
36,190,919 ;
25,430,106 '
20,127,671 '
38,939,568 ••
156
118
76
105
62
4,676,888
3,032,954
2,843,374 i
2,089,654 ;.
2,783,873
2,025,778 :
106
69
64
47
63
46
86 2,273,683 \
168 i 1,956,362 i
51
47
48
371 . 68,600,261
307 ! 51,920,658
24.2 ! 33,267,902
170 !j 46,025,020
135 27,285,088
261*37,724,398
j
221 I 2,141,508 i
i
1
Grain and flour.
U. S. Food Administration.]
GRAIN MOVEMENT.
[In thousands of bushels; i. 0., 000 omitted.]
Wheat.
Shipments.
Corn.
Stocks at
close of
month.
Receipts. 'Shipments.
Oats.
Stocks at
close of
month.
:
: Stocks at
Receipts. : Shipments.: close of
month.
;
1918.
12,415 I.
July
August
September.
October
November.
December..
196,060
287,652
,200
241;260 •
155,065
178,916 !
94,823
L60,162
150,636
ISO)077
138,438
127,612
81,422 |
163, 027
246. fi30 :
2S(V, 169:!
254; 474
253, 767 !
59,466 :
48,131 i
62,137 ;
59,437 !
47,024 '
59,237 i
54,792
42,999
40,453
47,501
41,886
50,312
37,7i._
31,919 !
25,559
28,522
25,727 !
21,646 '
23.427
90,006 .
177.324
126;138
110,620 :
86,871 '
80,199 •
SO,405
51,662
73,938
245, 683 !
2.1!), 30(>;
228, S4<) i
98,648 ;
36,603 •
34.001 i
79,935
37; 601
40,103
30,448
27,365
26,454
102,887 '
57.599 "
56', 436
87,893
124,597
102,510
107,693
95,008
81,220
39,097
37,923
86,030
104,739
103,943
88,300
83,363
89,613
58.920
66', 941
85,811
82,025
94;616
1919.
January—
February..
Mh'
Barley.
Receipts. |Shipments.
June
July
August
September.
October—
November.,
December..
Rye,
Stocks at
dose of
month.
!
Receipts. ;Shipments.
Total grains.
Stocks at
close of
month.
Receipts. Shipments. :
Stocks at
close of
month.
14,285
21,340 i
27,002 :
23,889 •
22,697 1
23,255 j
7,0/7
0,923
15,295
19,843
21, 153
22,287
i
10,606 :.
16,984 !
27,174 I
37,782 i
40,670 I
39,991 j
40,320 j
474 i
422 .
16, 092 ".
20, 667 "
17, 521 !
15. 7 2 1 •
2,024
4,449
7,409
15,047
13,552
8,721
2; 912 i
6,128 !
12,854 j
17.309 !
19', 199 I
25,779 i
363,291
542,869
517,569
455,873
329,778
357,328
246,609 i
342,130 I
322,303 '
340,161 I
310,037 I
290,152 ;
102,093
171,160
307,918
430,587
473,818
423,610
426,656
27,687 I
16,432 i
20,326 !
27,130
17.231
22.349
40.673
38'. 886
48i 881
16,686 :
7,857 :
10,493 !
10,201
9.419
141555
30,031
27,966
31,146
375,906
178,598
191,751
287,374 !
174,833 !
217,886 !
432,646
395,548
429,946
1018.
2.1S1;.
1919.
January...
February.
March
486
MAY 1, 1019,
FEDERAL RESERVE BULLETIN,
Grain and flour—Continued.
WHEAT FLOUR PRODUCTION.
[In thousands of barrels; i. e v 000 omitted.]
Stocks at
Stocks at
Production. mills at close
Production. mills at close
of month.
of month.
1918.
June
July
1,109
1,606
2,386
3,064
3,422
3,387
6,780
10,391
11,835
11,752
11,175
Set^ember
October
November
1918.
December . .
1919.
January
Februarv
March
11,759
3,260
12,994
7,736
10,247
3,341
'3,544
4,578
Receipts of grain and flour at nine seaboard centers.
(Boston, New York, Philadelphia, Baltimore, New Orleans, San Francisco, Portland (Oreg.), Seattle, Tacoma; receipts of flour not available
for Seattle and Tacoma.]
[Compiled from reports of trade organizations at these cities.]
[Monthly average 1911-1913=100.]
Rye.
Oats.
Corn.
Wheat.
Barley.
Total grain
and flour.*
Flour.
Total grain.
1918
Rela- Bushels. Rela- Bushels. Rela- Bushels. Rela- Bushels. Rela- Bushels. 5 1 a " Barrels. Rela- Bushels. RelaBushels. tive.
tive.
tive.
tive.
tive.
tive.
tive.
tive.
March
July
August
September..
October
November.,
December..
!
25 9,630,495
2716,998,591
. I 3,515,673
.123,930,107
.123,786,074
."18,778,5381
.: 9,854,356'
.|2'1.221,S63l
2811,128,285
19011,473,105
1O
" 582,856j
149 519,755!
.„ 786,141
78
1921.1,273,489
3217,122,372
41i2,970,341i
16|5,304,250|
15.8,662,9721
2215,253,154!
36'9,817,268
!
.• 9.768,801:
.•• 7; 805,8111"
.13,789,851;
781,411,366
"" 783,263
66
109 636,127
4019,275,187;
24j4,713,794!
18^3,254,9141
j 3,148,674
1919
J anuary
February...
March
1
1
1
641,793
174 23,297,891
103|l,547,529
148 30,261,772
110-
150 86,551
61 802,582
63 170,847 120 714,1031
112 435,549! 307 730,332!
1,332,7611 1,642
140 2,
1111,332,239] 938 653 880?
207 1,107,437: 7791.,915,83l|
4812. ,655,463
43 29,1,258,503
44 30:1,839,061
181,422
53 29' iox,
•
879,770
3917,879,'
115 38', 335,888
561,266,706
129; 589,303
136! 783,902
12911,543,121
791,656,205
169 3,258 924
12118,355,640
11,910,367
14,366,620
148 36,125,467
159 25,332,693
312 53,001,046
67
116
125
132
92
193
195 566,191!! 3981,738,326'
106 2,299,664 1,734
69 3,880,424| 2,731 2,285', 954:
105 22,759,871
64(16,597,986!
138:23,847,270
100 2,026,246
78!l,302;061
105.1,644,676
194 31,877,978
134122,457,261
157|31,248,312
116
88
114
147
452
Flour reduced to its equivalent in wheat on basis of 4£ bushels to barrel.
Stocks of grain at eight seaboard centers at close of month.
[Boston, New York, Philadelphia, Baltimore, New Orleans, Newport News, Galveston, San Francisco.]
[Compiled from reports of trade organizations at these cities.]
[Bushels.]
March
1913.
July
August
September
October
November
December
January
February
March
1919.
Wheat.
Corn.
Oats.
1,245,486
Barley.
Total grain.
3,612,784
3,681,993
201,709
3,004,079
11,746,051
3,384,466 \
16,041,604 i
14,313,717 i
13,423,169 J
13,904,426 !
14,359,694 !
736,504
649,169
181,619
115,879
252,225
302,980
4,136,167
2,464,705
3,153,590
4,591,014
3,548,473
6,074,067
28,633
153,275
144,646
1,550,686
2,385,828
2,248,272
1,059,197
1,720,251
2,208,017
2,697,141
2,845,916
2,767,606
9,344,967
21,029,004
20,001,589
22,377,889
22,936,868
25,752,619
15,365,491
12,635/613
12,732,472
645,317
417,520
346,543
5,495,937 1,972,696
6,110,159"! 1,735,876
5,650,120, 1,920,348
3,047,346
3,930,405
4,403,665
26.526,787
24; 829,633
25,053,148
NOTE.—-Figures for San Francisco include also" stocks at Port Costa and Stockton.
Rye.
1,1919.
487
FEDERAL RESERVE BULLETIN.
California shipments of citrus and deciduous fruits.
Oranges.
Carloads.
1918.
Ma*ch
Julv
A.ugust
September
October ..
November..
December
. .
January..
Febnia^v
1519.
.
Lemons.
Relative.
Total
deciduous
fruits.
Total citrus fruits.
Carloads.
Relative.
Carloads.
Relative.
Carloads.
2,125
87
544
134
2,669
94
914
767
549
485
1,125
3,505
37
31
22
20
46
146
561
732
275
639
676
722
139
181
68
158
167
178
1,475
1,499
824
1,124
1,801
4,287
52
53
29
39
63
150
3,120
3,180
5 313
128
139
209
531
658
897
131
174
221
3,651
3,838
6,010
128
144
211
3,758
9,126
5,879
7,143
1,044
267
109
198
67
Sugar.
[Data of International Sugar Committee for ports of Boston, New York, Philadelphia, Savannah, New Orleans, Galvcston, San Francisco.]
[Tons of 2,240 pounds.]
Receipts.
1918.
Julv
August
September...
October..
November
Raw stocks
at close of
month.
Meltings.
Receipts.
Raw stocks
at close of
month.
Meltings.
i
;•
i9i8.
135,061 ;' December
109 392
56,978 l!
3919.
77,233 .Tanuarv
50' 989 ,i February
r
320,908 :'
263 383
210,745 '
207,560 i!
17'* 528
288,449
218 690
176,867
242,912
138 141
!
'•
;
Ma c:h .
'
92,785
123,091
13,774
243 806
389 815
355 710
197,145
337 420
Sol', 010
66,189
322 757
10C>! 8S9
[Data for ports of New York, Boston, Philadelphia.]
[Weekly Statistical Sugar Trade Journal.]
[Tons of 2,240 pounds. Monthly average 1911-1913=100.]
Receipts
March
1918.
Julv..
August...
September
October
i Raw stocks at !
• close of month. !
Meltings
R cla-
i
Receipts.
j
Rcla- !
Tons. !*!
Tons.
210,213 j 114
216,000
118 |
25,475
15
186,225 | 101
1591252 1 87
145,555 ! 79
151.703 1 82
221,000
175' 000
139,000
156)000
120 1
55,322
i
39 375
46,809
42,522
32
23
27
25
76 I
85 1
- itivS:
139 343 i
58 751
Tons, j
Tons.
Relative.
32
i
139.000 :
92'000 I
76
50
43,112
11,490
25
7
93
105
126
147,000 ;
229,000 i
26L.000 '
80
134
142
36,544
90 716
62,187
53
36
1918.
November.
December
7fi
I
1919
January
Februarv
March ."
1
I
Tons
tive. 1
9T
Raw stocks at
close of month.
Meltings.
1
172,051
283,172
232,471
488
MAX 1, 19
FEDERAL RESERVE BULLETIN,
Lumber.
[From reports of manufacturers' associations.]
[M feet.]
Southern pine.
Western pine.
!
i
i.
No. | Produc- j ShipI Produc-1 Shipof i tion. ! ments.
tion.
j ments.
mills.
mills. |
North Carolina pine.
No. Produc-i ShipNo. Produc- Shipof
of
ments. mills.
tion. I ments.
i ments. mills. tion.
tion.
i
March
Eastern white pine.
Douglas fir.
i
—
1918.
189 j 407,682 . 427,943 38,44 I 105,133
94,104
201
202
190
202
194
204
1919.
January
February..
March
200 ! 330,137 325,241 21,49 ' 40,354 68,910
195 i 328,069 | 309,494 24.48 ' 46,037 71,103
198 ! 378,752 ! 381,12527'. 48 ! 71,426 81,328
412,002
391,648
346,069
321,214
312,126
310,068
453,786
437,776
350,628
353,266
353,810
322,831
26
24,691
37,992
35,824 | 27,684
123 j 269,100 ! 266,300
130 292,200 ! 275.000
26
*™ 316.000 I 248.000
28
106
115 356', 487 I 324', 080 27,21
16
121 261,189 240,986
11
127 222,389 221,720
86,658
95,942
72,937
32,787
23,529
799
59,412
51,327
38,711
26,152
23,828
14,176
31,517
24,118
31,908
27,912
32.596
34,815
34,377
34,963
36,478
36.012
21.570
7.585
6; 802
7.118
15.172
17; 081
17,525
28,629
25,806
32,110
23,869
18,034
22.672
103 | 259,600 j 217,500
42,45 147,533 i 112,915
44,47 151.156 • 109,402
130;029
45 , JL3U,
U2U j 80,859
42,47 , 121,850 79,701
38.46
~~ "• i 90,078 74,103
27^46 ! 63.315 63,823
July
August
September.
October
November.
December..
122
122
120
13 j
15 |
11 |
225,GS8 i 227,129
228.031 238,035
254,650 ! 255.544
R E C E I P T S A N D S H I P M E N T S OF L U M B E R AT CHICAGO.
[Chicago Board of Trade.]
[Monthly average 1911-1913=100.]
Receipts.
M feet.
March
1918,
July
August
September
October
Receipts.
Shipments.
Relative.
M feet.
261,784
137,431
243,598
208,963
171,515
130,503
98,145
78,707
68,133
70,590
179
!
j
!
i
128
103
92
Mfeet.
November.
December.
|1 January..
Februarv.
| March....
Shipments.
Relative.
M feet.
Relative.
191G.
142,230
163,908
1019.
67 i
77 |
134,604 i
97,511 !
124,040 !
72,723
60,831
47,922
45,585
61,653
62
64
61
Coal and coke.
[Bituminous coal and coke, U. S. Geological Survey; anthracite coal, Anthracite Bureau of Information.]
[Monthly average 1911-1913=100.]
Bituminous coal, esti- A n t h r a c i t e coal, ;
mated
monthly
shipments o v e r 'production.
nine roads.
\
Coke, estimated monthly production.
Beehive.
By-product.
Totai,
Short tons. Relative. Long tons, i Relative, j Short tons. Relative Short tons. Relative. Short tons. | Relative.
1918.
March
48,631,115
7,276,777
129 ! 2,630,433
101
2,051,206
233 ! 4,681,639
134
July
August
September
October
Novemjer
December
55,587,312
55,732,092
51,757,334
52,885,813
44,386,987
40,634,525
7,084,775
7,180,923
6,234,395
6,286.366
5,278,659
5,736,260
126 i
128 i
111 1
112 j
94
102
108
102
98
100
89
86
2,300,673
2,387,675
2,410,798
2,563,183
2,523,746
2,562,048
261
271
274
291
287
291
140
144
143
148
139
138
41,473.000
31,497', 000
33,716,000
112 ' 5,934,241
91 ! 3,871,932
91 ; 3,938,908
6,779,482
257 12,772,392 \
January
February
March
1919.
2,813,910
2;857,072
2,570,238
2,611,885
2,339,197
2,255,296
105 ! 2,401,567
74 1,822,894
70 1,768,449
5,114,583
5,044,747
4,981,036
5,175,068
4,862,943
4,817,344
122
MAY 1,191D.
489
FEDERAL EESERVE BULLETIN
Movement of crude petroleum in United States.
[U. S. Geological Survey.;
[Barrels of 42 gallons each.]
Stocks at
end oi.'
month.
Marketed.
Barrels.
' Relative. I
!
ItUS.
March
July..'.
August
September
October
:
j
•
j
•'
j
;
158
152
150
160
I
Barrels.
Barrels.
Relative,
Barrels.
i
154
29,539,000
30.361.000
29; 211'. 000
28,674,000
30.592,000
Stocks at
end o(.
month.
149,118,000 |,
':
141,475,000
139,472,000
135,680,000
134,838,000
November.,
December.,
January-.-.
February..
March..'...
19.18.
28,347,000 |
28,071,000 j
148
146
131.205,008
12S;3IL000
29,863,000
28,5ii;ooo !
30,412.000 |
15d
.138
159
129, 5-"-8 000
128 010, 000
131. 110, 000
1010.
Total output of oil refineries in United States.
[Bureau oi" Mines.]
: Crude oil run I Gasoline
(barrels), i (gallons).
;
1918.
March
Julv
August
September
October
November
December
Stocks at the close of month.
191?.
Gas and fuel Lubricating
(gallons).
(gallons).
269,827,968
151,228,007
587,985,804
69,503,331
I
I
j
28,239,662
29,170,718
28; 534,275
28,390,431
29,237,767
27,411,636
26,958,157
332,022,095
330,335,046
314,595,959
314,251,318
312.968,640
291,744. 465
156.828,826
149; 678,850
164,993.798 I
164,928; 640 !
109,378,105
161:742,713
658,439,682
071,113,871
653,085,050
061,780,441
604,403,494
587,873; 987
79,303,107
72,892.879
70.593.079
72; 244;633
72,178,602
34,987,842
i
j
!
26,967,332 I 303,710,556 i 158,501,260 j 589,630,056
553,853,753
25,232,876 \ 283,518,194 | 164,181,787
i
68,304,613
52,503,072
•
!
:
January
February
Kerosene
(gallons).
March...
13,122,241
July 3 1 . .
Aug. 3 1 . .
Sept. 30,
Oct. 3 1 . .
Nov. 30..
Dec. 3J ..
14,026,525
13,940,595
14,462,100
15,438,576
15,222.401
15.749'. 771
;
526,382,386
356,530,540 ' 483,447,727 I
146,572,393
519.012,839 !
569,016,413 I
583,407,789 ! !
596.116,351
583,777,918 I
659,001.357 i
136,460.207
137;496; 986
147,425.551)
135,198; 542
132,923,478
138,853,574.
349,928,604
432,807, 129
285,446,538
424,281, 481
269,772,723
436,628, 907
250,328,369
419,409, 944
270,072.011 ! 397,804, 012
297,326! 983 j 380,117.
191.9.
Jan. 31
February 28
i 15,380,185= 383.212,692
332,393,181 i 346,411,414 i 158,370,431
: 14,820,601 j 458,449,187 ! 303,062,436 i 692,816,000 j 152,297,L62
Iron andsteel.
[Pig-iron production, Iron Age; steel-ingot production, American Iron and Steel Institute.]
[Monthty average, 1911-1913=100; iron ore, monthly average, May-Nov., 1911-1313= 100.]
Pig-iron production.
Gross tons. I Relative.
1913.
March
July
August.
September.
October....
November..
December..
January...
February..
March....
1919.
I Unfilled orders r J. S.
Steel-ingot production. ; Steel Corporation at
i close of nibnth.
Gross tons, j Relative.! Gross tens.
Relative.
213,091
420,988
389,585
418,270
486,941
354,074
433,617
139
148
146
148
151
145
148
3,110,381
3,113,635
3,083,680
3,197,658
3,352;196
3,060,154 (
2,992,306 I
130
130
129
134
140
128
125
9,056,404
8,883,801
8,759,042
8,297,905
8,353,293
8,124,663
7,379,152
172
302,260
940,168
090,243
143
136
133
3,107,778
2,704,683
2,662.265
130
121
6,684.268
6,010,787
5, 430,572
127
114
no
166
157
158
154
140
NOTE.—Figures of steel-ingot production during 1918 are for 29 companies; during 1919, for 30 companies. Index numbers shown, !:.r.vevGL-,
form a continuous series.
490
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Imports of pig tin*
[Department of Commerce.]
[Monthly average, 1911-1913=100.]
!
Pounds.
19IS.
March
July
August
September
October
November
Relative. j:
13,529,209
15,567,667
16,317,437
10,630,666
9,885,984
10,734,179
-
Pounds.
i;
149 I; December
171
180 January..
117 Februarv.
109 March.:..
118
1919.
Relative.
5,887,063
65
8,461,444
6,271.977
8,284', 970
93
74
91
Textiles.
[Silk, Deoartment of Commerce; cotton, Bureau of the Census; wool, Bureau of Markets; idle machinery, Jan.-Sept., 1918, inclusive, National
Association of Wool Manufacturers.]
[Cotton, monthly average crop years 1912-1914=100; silk, monthly average 1911-1913=100.]
Cotton cons!-jm> I
tion.
~ |
Bales.
1918.
March
y
August
September..
October
November..
December..
1919.
January
February...
March..
April
Percentage of idle woolen machinery on first of month j
to total reported.
Imports of raw silk.
Cotton
spindles
active
during
month.
Wool consumption
(pounds).
Spinning spindles, i
Looms.
i
Wider Under I
than 50- 50-irichi
inch reed reed I
space.
Relative.
C o mbs.
Worste'd.j Pounds. ! Relative.
j
; 571,202
127
33,789,656
58,878,147
8.2
8.0
12.7 j 2,199,167:
107
541,792
534,914
• 490, 779
440,833
•157,376
472,941
120
119
109
98
102
105
33,674,896
33,646,811
33,524,275
32,760,623 \
33,121,507
33,652,612
50,951,651
51,516,457
47,648,413
48,692,509
38,282, 723
32,355,081
10.4
12.2
13.8
18.3
21.1
22.5
10.2
14.3
15.1
24.3
26.8
24.9
5.9
6.0
7.0
9.3
11.1
13.8
13.2
15.3
20.2
18.8
30.1
27.4
98
186
194
138
114
131
556,721
433,516
433,720
124 ]
103 j
33,856,472
33,282,593
32,642,376
32,573,970
23,186,818
29,320,063
40.3
52.3
58.1
48.4
32.6
41.5
42.4
32.2
38.7
39.1
26.5
37.5
48.6
52.7
36.1
4.6!
1,997,314 !
3,813,595 !
3,973,754 j
2,814,270 1
2,336,345 !
2,680,863 !
j 1,461,827
| 1,742,812
i 1,784,412
!
71
91
87
NOTS.—Figures of idle wool machinery for Nov. 1 and Dec. 1 are not entirely comparable withprevious figures, due to the fact that later figures are
lor number of machines running on single shift, while earlier figures count as two a machine running double time. The effect is, however, small.
Production of wdod pulp and paper.
[Federal Trade Commission.]
[Net tons.]
Wood i News
print.
1918.
July
August
September
October
November
December
262,377
240,741
237,624
270,849
j-273; 973 \
103,348
113,826
00,528
88,155
97,093
107.129
Book.
Paper
board.
Wrapping.
69, 458
76, 439
66, 581
60. 743
67, 262
64. 501
177,931
192,810
168,384
143,373
152,321
134,103
70,526 34,609
71.249 36,910
61,390 37,833
56,""" 28,533
61,681 ! 33,429
51,947 i 29,975
Fine.
1919.
January
February...
March
Wood
pulp.
News
print.
Book.
Paper
board.
Wrapping.
Fine.
283,270
238,228
278,675
116,154
103,248
114,746
70,443
62,616
63,699
140,859
125,208
136.175
50,490
45,480
48,069
27,675
24,600
23,514
l f 1919.
MAY
491
FEDERAL RESERVE BULLETIN.
Tax-paid manufactured tobacco products in the United Slates (excluding Porto Rico and Philippine Islands).
[Commissioner of Internal Revenue.]
Cigars.
j Cigarettes. ;
: Chewing
j
—-i andsmokI Small.
| ^gtobacco.
1
—
Small.
Large.
February — ! 555,137,877
Number.
Number.
I Number.
66,306,271 12,718,702,135
July
J
August
I
September... |
October
|
November...]
684,609,533
624,491,239
585,400,449
594,764,527
537,794,904
79,237,849
60,880,910
60,556,000
63,111,160
63,177,200
1-918.
!
Cigars.
;:
;.
r
!;
Large.
Pounds.
••
1918.
35,520,128 ;| December...
3,796,878,822
3,442,446,234
3,403,205,736
3,027,300,975
2,986,775,643
1919.
36,607,578 :
40,764,853 j January..
37,893,818 ! February.
39,440,893 !
32,618,009 !
Cigarettes.
Small.
Small.
Chewing
and smoking tobacco.
Number.
527,586,098
Number.
Number.
59,139,250 2,788,379,210
Pounds.
25,276,695
518,706,482
476,329,947
72,458,974 3,079,212,253
60,138,630 3,126,274,662
29,308,616
27,472,269
Output of locomotives and cars.
[Locomotives, United States Railroad Administration; cars, Railway Car Manufacturers' Association.]
Output of cars.
Locomotives.
Domestic Foreign
comshipped. pleted.
1918.
March
JulyAugust
September
October
November
Domestic.
Number.
Number.
214
267
295
224
77
213
313
252
Locomotives.
Total.
Foreign.
Number. Number. Number.
5,050
10,816
5,766
3,312
7,722
4,410
2,437
4,847
7,284
3,564
2,666
6,230
2,681
4,555
7,236
2,330
6,743
9,093
Output of cars.
Domestic Foreign
comshipped. pleted.
Domestic.
Total.
Foreign.
Number. Number. Number. Number. Number.
3,402
7,876
281
11,278
177
|
1918.
! 33ecember
|
1919.
j January
! February
] March
8,172
6,623
5,978
84
164
128
282
135
258
3,635
4,657
5,795
11,807
11,280
11, 773
Vessels built in United States, including those for foreign nations, and officially numbered by the Bureau of Navigation.
[Monthly average 1911-1913=100.]
Number.
March .
. .
1918
138
193
July
177
170
202
August
September...
October
November...
171
Gross
tonnage.
Gross
! Number. tonnage.
Relative.
147,145
229,931
295,349
308,470
357,532
357,660
639
951
1,222
1,276
1,479
1,480
1918
December
1919.
January
February
March
Relative.
153
283,359
1,173
132
136
185
264,346
271,430
298,005
1, 094
1,203
1,233
Tonnage of vessels cleared in the foreign trade.
[Department of Commerce.]
[Monthly average 1911-1913=100.]
Per-
Net tonnage.
Total.
American.
1918.
March
July
August
September
October
November
1,053,942
2,093,310
2,332,577
2,009,194
1,875,947
l,770;935
1,963,471
2,941,171
2,808,466
2,290,872
2,163,383
1,991,725
3,017,413
5,034,481
5,141,043
4,300,068
4,039,330
3,762,660
Net tonnage.
of ! Relative.
j Rela- Ameri-!
can
to
! tivo. total.
78
129
132
111
104
97
34.9
41.6
45.4
46.7
46.4
47.1
138
164
179
185
184
186
I American.! Foreign.
1918.
December
191-9.
January
February
March..
1,141,319
Total.
2,053,517
3,194,836
1,1.66,391 1,896,123
1,262,487 1,671,070
j 1,161,416 1,737,171
062,514
933,557
898,587
Percentage
of
RelaRela- Ameri- tive.
tive. can to
total.
82
35.7
141
75
38.1
43.0
40.1
151
170
158
Net ton-miles, revenue and nonrevenue.
[United States Railroad Administration.]
March
July
August
September
October
November
1918.
33,912,399,000 |.' December.
38,761,291,000
38,469,847,000 j January
38,502', 137,000 1 February
39,548, m?., 0()#
3o,533.026,000 March
1918.
1919.
33,659,507,000
30,383,169,000
25,681,943,000
28,952,925,600
492
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
DISCOUNT AND OPEN-MARKET OPERATIONS OF THE FEDERAL RESERVE BANKS.
Discount operations during the month of
March aggregated $5,473,564,174, compared
with $4,980,935,514 during February and
$754,933,533 for March of the past year. Of
the total bills discounted during the month
under review the share of war paper was 95.6
per cent, compared with 95.2 per cent the
month before and 41.7 per cent for the month
of March, 1918. About 48 per cent of the
total discounts for March and a slightly larger
percentage of the war paper discounted during
the month are reported by the New York
bank, these percentages being considerably
lower than for the earlier months of the year.7
Discounts for the month of member banks
notes secured by eligible paper show an increase since February from $24,299,755 to
$50,175,825, largely at the Boston bank.
Trade acceptances discounted during the month
totaled $8,546,013, of which $2,293,995 were
based upon transactions in the foreign trade
and handled largely by the New York bank,
while the remainder were bills representing
transactions in the domestic trade. In addition the banks report the discount during the
month of $790,715 of bankers7 acceptances,
also of $179,308,739 of ordinary secured and
unsecured commercial and agricultural paper.
About 98 per cent of all discounts is represented by 15-day paper, i. e., bills maturing
within 15 days at the time of discount by the
Federal Reserve Bank. Discounts of 6-month
paper, i. e., agricultural and live-stock paper
maturing after 90 days but within 6 months
from date of discount with the Federal Reserve Bank, totaled $8,239,348, the banks at
Chicago, Kansas City, Dallas, and San Francisco reporting over 90 per cent of these discounts. Nearly 88 per cent of the total bills
were discounted at the 4 per cent rate and
about 11 per cent at the 4i per cent rate.
The average maturity of the paper discounted
during the month works out at 10.15 days,
compared with 10.71 days for the month of
February, all the banks, except Chicago and
San Francisco, showing shorter average maturities of the paper discounted during the more
recent month. The calculated average rate
of discount remains unchanged at 4.15 per
cent, though the three eastern banks show
slightly lower average rates than the month
before.
On the last Friday of the month the banks
held a total of $1,886,240,000 of discounts, as
against $1,879,820,000 at the close of February
and $583,228,000 about the close of March,
1918. Of the total discounts held, 89.6 per
cent was war paper, as against 88.7 per cent
the month before and 52.1 per cent on the corresponding date in 1918. Higher than average
percentages of war paper holdings are shown
for the three eastern, also the Cleveland and
Chicago banks. Holdings of agricultural paper
about the close of the month totaled $33,986,000,
as against $7,376,000 on the corresponding
date in 1918, while holdings of live-stock paper
were $33,387,000, the banks at Kansas City,
Dallas, and San Francisco reporting practically the entire amount of this class of paper.
During the month under review the number
of member banks grew from 8,748 to 8,761,
while the number of discounting members increased from 3,091 in February to 3,575 in
March. All the Federal Reserve Banks, except
those at New York, Richmond, and Atlanta,
report substantial increases in the number of
member banks accommodated, as may be seen
from the following exhibit, showing for each
Federal Reserve Bank the number of member
banks at the end of the last two months, also
the number of members discounting during
these two months:
Federal Reserve district.
Number of member banks in district.
Feb. 28.
Boston
New Y o r k . . . .
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis...
Kansas City...
Dallas
San Francisco.
Total...
Mar. 31. February. March.
423
722
663
821
568
427
424
723
665
821
568
424
1,353
1,356
512
873
514
874
737
653
737
;,748
Number of member banks accommodated.
8,761
152
403
322
143
266
236
301
167
128
313
403
257
208
403
341
177
263
214
597
171
142
366
421
272
3,091
3,575
Bills bought in open market during March,
either directly or through the intermediary of
the New York bank, totaled $163,740,709 as
against $147,410,093 the month before. Of
the larger total $158,852,456 are bankers'
acceptances, of which over 60 per cent are based
MAY 1, 1919.
493
FEDERAL EESERVE BULLETIN.
upon foreign trade transactions and about 40
per cent upon transactions in the domestic
trade. Purchases of trade acceptances reported by three banks, largely in the foreign
trade, totaled $4,087,988 as against 82,805,364
the month before. The average maturity of
all bills bought in open market during the
month was 42.69 days as against 45.67 days
the month before, while the average rate of
discount charged by the banks works out at
4.24 per cent for each of the two months.
Holdings of purchased acceptances declined
from $276,920,000 on February 28 to $235,614,000 at the end of March. Of the March
total bankers' acceptances constitute $231,088,000. Of the latter over 80 per cent is
represented by member bank acceptances.
Holdings of trade acceptances at the close of
March reported by four banks totaled $4,526,000, of which $4,207,000 were foreign trade
acceptances, largely oriental paper, held by
the New York and San Francisco Banks.
Total investment operations of each Federal Reserve Bank during the months of March, 1919 and 1918.
[Figures do not include rediscounts and sales of discounted and purchased paper between Federal Reserve Banks.]
Bills discounted j Bills bought in
for members. • i open market.
Federal Reserve Bank.
Boston
Now York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas Citv
Dallas
".
San Francisco
.•
m
Total Mar., 1919
Total Mar., 1918
Total 3 months ending Mar. 31,1919.
Total 3 months ending Mar. 31,1918.
3331, 408,710 !
2,631, 731,390 I
832 991,680
249, 341,010 I!
335, 314,546
144, 222,477 !
341, 888,147 .
18,5, 126,941
20 981,095 i
124, 905,789 I
103, 845,502
171 806,857
§13,227.576
53,250', 195
1,828,063
13,331,247
3,365,168
3,171,230
33,710,550
9,925,288
12,462,554
4,476,105
1,080,000
13,912,733
5,473,564,174 j
754,933,533 j
16,448,881,953 '
2,385,607,850
163,740,709
138,996,364
512,642,508
417,890,979
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta .•
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
T ot al Mar., 1919
Total Mar., 1918
Total 3 months ending Mar. 31,1919
Total 3 months ending Mar. 31,1918
United States
certificate of
3£ per cent. 4 per cent. ; 4| percent. indebtedness.
Total United
States securities.
$2,000,000
49,386,500
4,550,000
2,772,500
$2,000,000
49,387,500
4,550,000
2,772,500
$1,000
I, 000
•I
;•••»
I|
I
164^666
1,000
1,327,650 $8,495,750 |
1,000 1,000,000
4,101,050 34,806,688
€94,903
1,000
1,487,415
Total investment operations.
United States bonds.
Federal Reserve Bank.
Municipal warrants.
165,050
325,425
1,010,000
1,010,000
2,500,000
24,370,000
873,500
500,000
731,000
2,500,000
24,370,000
873,550
500,000
896,000
88,693,500
1,089,231,860
1,243,467,500
2,118,965,860
88,859,550
1,099,055,260
1,244,793,925
2,157,873,598
March, 1919.
$346,636,316
2,734,369,085
839,369,743
265,444,757
338,679,714
148,403,707
375,598,697
197,552,229
57,813,649
130,255,444
105,425,502
186,615,590
March, 1918.
841,805,408
1,336,322,932
46,003,593
74,032,730
158,462,635
33,596,588
132,755,063
45,217,434
26,887,172
32,366,838
24,745,932
10,883,735
5,726,164,433
1,993,080,060
4,962* 859," 842
494
FEDERAL RESERVE BULLETIN.
MAY
1, 1919.
Average amount of earning assets held by each Federal Reserve Bank during March, 1919, earnings from each class of earning
assets, and annual rates of earnings on basis of March, 1919, returns.
Average balances for the month of the several classes of earning assets.
Discounted
bills.
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas.:
San Francisco
Total March, 1919
Total March, 1918
Purchased
bills.
Total March, 1919
Total March, 1918
6,588,193
1,900,718
Total.
$11,216,847
32,688,151
1,919,778
50,051,734
6,805,192
7,289,231
41,275,717
16,014,429
32,203,000
12,869,706
1,719,613
48,733,912
$14,147,298
63,620,062
15,524,916
13,949,110
6,609,200
8,362,987
21,092,421
9,963,335
9,545.000
14,896;304
8,302,645
8,089,775
$3,871
$169,904,754
841,853,574
204,604,529
173,910,959
108,062,206
93,432,601
244,782,281
95,420,214
65,143,000
107,510,415
62,516,615
151,284,725
1,861,531,639
567,474,932
262,787,310
318,777,830
194,103,053
235,961,369
3,871
528,499
2,318,425,873
1,122,692,630
United
Discounted Purchased
States
bills.
bills.
securities.
$501,
2,566,
652,
384,
338,
275
658,
244,
79^
313,
210,
3(33,
Municipal
warrants.
$144,540,609
745,545,361
187,159,835
109,910,115
94,647,814
77,776,512
182,414,143
69,442,450
23,395,000
79,744,405
52,494,357
94,461,038
Earnings from—
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
United States
securities.
Calculated annual rates of earnings from—
Municipal
warrants.
Total.
$39,991
114,693
6,806
179,570
26,449
28,113
151,146
57,334
116,390
47,291
6,732
176,948
$24,514
152,274
28,823
25,517
10,991
14,390
37,737
17,931
24,038
27,904
14,953
19,144
$16
$565,964
2,833,352
688,392
589,527
375,500
318,050
846,997
319,829
220,176
38S;779
232,015
559,379
951,469
1,001,075
398,282
720,306
10
1,836
7,937,§60
3,(583,935
Discounted
bills.
Purchased
bills.
United
States
securities.
Municipal warrants.
Total.
Per cent. Per cent. Per cent. Per cent. Per cent.
4.08
4.20
2.04
3.92
4.05
4.07
2.82
3.96
4.10
4.17
2.18
3.96
4.12
4.22
2.15
3.99
4.07
4.43
2.00
3.90
4.17
4.54
2.03
4.01
4.96 I
4.27
4.31
2.11
4.07
4.15
4.22
2.12
3.95
4.01
4.26
2.97
3.88
4.63
4. S3
2.21
4.20
4.71
4.01
2.12
4.36
4.53
4.28
2.79
4.35
4.16
3.94
4.26
3.92
2.41
3.59
4.96
4.09
4.02
3.86
Bills discounted during the month of March, 1919, distributed by classes; also average rates and maturities of bills discounted
by each Federal Reserve Bank.
Member
Federal Reserve Bank.
Boston
New Y"ork
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Total March, 1919
Total March, 1918
Customers'
paper
secured by
United
States war
obligations.
Secured by
United States
war
obligations.
Otherwise
secured.
89,613,744
23,259,399
18,750,461
8,721,389
4,286,367
920,623
3,551,591
2,857,375
1 125
898,402
339,594
2,121,314
$281,146,560
2,539,834,662
788,215,567
235,031,600
318,440,638
130,975,650
323,238,820
168,920,450
20,693,700
100,535,139
93,877,680
158,511,020
$37,010,500
75,321,384
63,669,906
5,159,421,498
251,445,794
* Includes $15,000 in the foreign trade.
banks' collateral
notes.
Trade acceptances.
acS-
Total.
accept-
Average
i Average ! rate
! maturity (365-day
I in days.
per cent.
'"7,"699,"i54"
328,500
38,000
i $510,189
$101,823
83,025,924
2 3,581,639
114,545
64,941,145
396,659 .
25,628,993
427,305 I
5,160,716
850,340
9,812,201
606,231
11,687,973
267,882
11,787,177
335,582
12,349,834
503,700
18,876
267,894
699,096
15,067,746
109,681
9,190,047
3
743,033
s'j 10,389,089
$331,408,740
2,631,731,390
832,991,680
249,341,010
335,314,546
144,222,477
341,888,147
185,126,941
20,981,095
124,905,789
103,845,502
171,806,857
8.27
8.36
7.28
12.28
9.98
16.64
16. 28
12.87
15.42
21.87
20.22
16.58
4.02
4.07
4.13
4.31
4.18
4.15
4.18
4.19
4.72
4.42
4.47
50,175,825
52,396,589
8,546,613 i
1(5,230,557
5,473,564,174
754,933,533
10.15
22.25 j
4.15
4.08
1,925,000
32,000
3,042,671
100,000
2 Includes $1,974,870 in the foreign trade.
179,308,739
368,194,716
»Includes 8304,125 in the foreign trade.
MAY 1,1919.
495
FEDERAL RESERVE BULLETIN".
Bankers9 and trade acceptances in the foreign and^ domestic trade and finance bills purchased during the month of March,
1919; also average rates and maturities of total bills purchased by each Federal Reserve Bank.
Bankers' acceptances.
Federal Reserve Bank.
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago .
St. Louis
Minneapolis
Kansas City
Dallas.
San Francisco
Total
February, 1919
Januar:/, 1919
Rediscounts
In the
domestic
trade.
In the
foreign
trade.
Trade acceptances.
S3,855,994
14,496,982
1,149,811
5,577,406
1,895,668
2,433,287
15,645,013
4,207,721
4,420,588
1,922,641
115,000
7,337,938
59,371,582 .$13,227,576
35,773,731 50,270,713
678,252
1,828,063
7,376,843 12,954,249
1,469,500
3,365,168
737,943
3,171,230
17,740,537 33,385,550
5,717,567
9,925,288
7,941,966 12,362,554
2,553,464
4,476,105
965,000
1,080,000
5,468,022 12,805,960
63,058,049
95,794,407
61.877,545
95,679,683
In the
domestic
trade.
Total.
Finance
bills.
In the
foreign
trade.
Total.
$2,608,349
$2,608,349
82,845
376,998
Average
Average
rate
Total bills maturity
(365-day
purchased. in days.
basis)
per cent.
34.10
36.89
39.38
46.57
69.82
66.65
35.39
36.52
57.64
58.48
52.76
60.58
4.19
4.18
4.17
4.19
4.56
4.56
4.18
4.21
4.20
4.38
4.57
4.33
1,102,641
1,102,641
4,132
513,227,576
53,250,195
1,828,063
13,331,247
3,365,168
3,171,230
33,710,550
9,925,288
12,462,554
4,476,105
1,080,000
13,912,733
158,852,456
294,153
3,793,835
4,087,988
800,265
163,740,709
42.69
4.24
81,258,204 143,135.749
100,932; 543 196,612; 226
549,382
1,241,615
2,255,982
1,939,095
2,805 364
3,180,710
1,468,980 147,410,093
1,698,770 201,491,706
45.67
55.51
4.24
4.28
§294,153
$.371,133
325,000
100,000
and sales of discounted and purchased paper between Federal Reserve Banks from Jan. 1 to Mar. 31, 1919.
[In thousands of dollars, i. e., 000 omitted.}
Rediseounted or sold by Federal Reserve Bank of—
Rediseounted or
purchased by
Federal Resorve
Bank of—
10,017
5,035 I
15,085
>,071 !.
-
'
5,088 i
!
5,053 i:
10,100 !
I
10,038 Ij
Atlanta.
January. February. March. J January, iFebruary. March.
January. February.; January. [February. March.
New York
Cleveland
Chicago
St. Louis
Minneapolis...
Kansas City...
San Francisco.
Richmond.
Philadelphia.
New York.
Boston.
10,004 j
20,079
4,191
30,000
6,013
10,000
25,000
5,000
20,000
!
i
!
i
!
10,000
!
;
:
!
30,000
January,
5,000
15,000
5,000
30,000
5,000
31,190
"*5,"666
5,010 ;
5,060 :.
Total.
15,027 I
30,251 !
10,141 j
37,867 |
24,270 j
16,017
30,000
60,000 I
10,000 j
30,000 j
60,000 j
36,190
Purchased bills..
Discounted bills.
5,010 1
10,017 !
20,223'
10,028 !
10,141 I
;
37,867
24,270!
;
j
16,017 j
30,000
60,000 :
10,000 i
30,000
60,000 j
36,190
17,729 j
.Rediseounted or sold by Federal Reserve Bank of—
Rediseounted or ::
p u r c h a s e d by
MinneFederal Reserve ; apohs.
Bank of—
January.
New York
Cleveland
Chicago
St. Louis
Minneapolis
Kansas City
San Francisco
'.
'
I
;
!
'
4G
20,000
'
37,500 I
March.
0,000
45,000
January. | February.
46 ;.
15,105 1
61,194 I
38,566
5,010
12,500
Total.
Purchased bills
Discounted bills
January, j February.
Purchased
bills.
All Federal Reserve Banks.
Dallas.
March.
15,135
82,585
5,071
40,038
5,060
17,729
21,000
105,079
10,000
56.691
5; 000
32,500 :•
37,500 !
53,500
119,921
165,618 i
197,770
32,500 ;
37,500 |
53,500
15,197
104,724
58,090 !
107,528 ;
24,270
173,500
46 !
Discounted
bills.
Total,
51,
248,
15,
135,
1?:
20,223
25,136
5,071
19,282
10,070
17,720
97,557
31,017
223,722
10,000
116,013
5,000
385,752
496
FEDERAL RESERVE
Amounts
BULLETIN
MAY 1,1919.
of bills discounted and acceptances and warrants bought by each federal Reserve Bank during the 3 months eliding
Mar. 31, 1919. distributed by maturities.
30-day maturities.
15-day maturities.
60-day maturities.
Federal Reserve Bank.
Acceptance's.
Discounts.
S953,537. 094' $17,148,902
8,640,738'. 107: 41,278,219
495.144
2,129,714; 6841
2,597', 232
626,795, 444:
454,000
859,186, 340!
172,765
396,235, 4911
9,955,460
885,216, 210
422,958, 776 10,319,472
100,000
49,285, 248
211,423
267,918, 078
532,000
247,511, 164!
2,164,081
470,467, 938
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Warrants.
Acceptances.
Total.
Discounts.
'399,989,206!
152,421. S7, 836,785i ,
|127,177,963|
18,413
266,228! 24, 911,735
! 24,533,867
814,770
6,575
719,097!
! 26,951,505
71,439
029,374 j 18, 922,131
282,069
i 23,190,090
109,640' 6, 080,450
511,767
SI, 000| 19,216,026
546,952 5, 668,074
I 33,587,642 2.370,580
872,5011 18, 715,141
! 12,570,931
255,873
233,036,! 3, 337,895
582.442i
' 10,701,644
296,175; 10.405,469
;
20,159,150 9.647)168
794,469! 4) 364,681
745.000
108,896!
i 14,853,896 9'. 023,426
. . , 38,891,555 3)546.299
572,199. 22, 319,356 . .
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
I
San Francisco
is ', 700,988124,121,487
Total
Percent
Discounted
Discounts.
43,433,494-.
1,000451,823,475 26,316,969
i
bills, including
816,773,887
84,240,427
3.811,720
10;144,199
8,195,832
4,069,713
14)788,216
7, 860,510
943,147
4,582,470
4,304,810
6,407,823
122,689,260
Acceptances.
Accept- I
ances. I
Discounts.
166,122,754
l.o!
Over 90-day maturities.
90-day maturities.
Federal Reserve
Bank.
Total.
8970,685,996 S6,626,996i 810,146,891
8,682,016,3261 4,441,475! 79.798,952
1,555,520!
2,130,209,8281
2'.256,200
3,137,311!
629,392,676
7,006,888
7,567,832 i
859,640,340
628,000
3,677,771!
396,408,256
391,942
3.744,173! 11,044,043
895,171,670;
3)165,924i
433,278,2481
4,694,586
199,0381
49,385,2481
744,109
3,772,869
268,129,501'
809,603
3,609,810!
248,043,164'
635,000
1,934,775!
472,632,019
4,533,048
85,428,698 16,034,993,272
94. c
15,949,564,574
Total.
Per rent
Acceptances.
Discounts.
rotal.
Total,
So,791,168 $22,820,012 $28,611,180
39,195,990 59)293,407
20,097,417
2,326,903
686,991
3,013,894
12,878,168
29,453,424 42,331,592
11,200,437
2,779,036 13,979,473
8,802,219
2,844,832! 11,647,051
7,678,461
23,055,961 30,734,422
4,292,232
13,069,019 17,361,251
425,247
16,234,362 16,659,609
11.612,939
8,329)014 19,941,953
121081,7961
2,173,000 14,254,796
4,678,9411
19,351,422 24,030,363
101,865,928J
179,993,063 281,858,991
1.7
Total.
Discounts.
Total.
S918
18,413
6,575
$400,000
471,439
10,000
292,069
511,767
2,370,580
255,873
582'. 442
9.647,168
9)023,426
3,546,299
Acceptances.
Warrants.
3
Total."
058,108.597 $57,952,590
767,561)640 185)184,896
157,322,779
4,253,105
650,911,736 58,379,675
895,346,318
9,951.486
422,774,200
9,077.613
913,881,925 62.720'. 605
439.905,841 31,470)972
of)' 788.150 27,483,940
308; 74 a) 523! 13'. 714,719
286,335,092
4'. 085,000
497)200,152 48,367,907
$1,116,008,597
8,952,746,536
2,161,575,884
'709,291,431
905.297,804
SI, 000
431,852,813
976,602,530
471,376,813
78.272,090
322)4601242
200,420)092
5-15,568,059
410,000 26,726,969 16,448,881,953 512,642,508
0.2
1.00016,961,525,461
...'....!
100.0
member bank's collateral notes, held by each Federal Reserve Bank on the last Friday in March
1919, distributed by classes.
[In thousands of dollars; i. e., 000 omitted.]
Federal Reserve Bank.
Member banks' collateral notes.
Customers'
i
papers
j AgricL!Ul- I
secured by
Live-stock
tural
paper.
Govern- Secured by
paper.
ment war
GovernOtherwise
obligations. ment war
secured.
obligations.
Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis...
Kansas City....
Dallas
San Francisco.,
Total.
Percent
Total, March, 1918
Percent
I
|
:
1
191
53
31
3,249
2,519
10,385
192
591
3,749
8,910
4,115
246
468
19,267
9,098
4,005
33,986
1.8
7,376
1.3 !
Trade acceptances.
69,639
586,433
144,813
100,488
72,845
60,731
191,379
63,133
28,547
48,850
20,796
70,192
1,725
10
2,718
100
33,387 I
233,095 j 1,457,846
13,314
10,239
1.8 i
24,300 !
4.2!
12.3 1
168,416 !
28.9 1
0.7
25,064
4.3
0.5
21,778
120
3
79,228
75,554
28,101
14,070
13,711
4,525
7,899
3,402
46
1,323
1,122
4,114
77.3
185,488
23.2
75
7,9
667
20
1,199
2,939
436
453
1,202
1,010
816
440
16
766
Bankers'
acceptances.
357
72
20
623
......
......
962
0.1
All other
discounts.
3,421
26,298
11,866
1,729
7,619
10,298
1,448
10,220
405
9,263
10,718
10,002
Total.
i
!
!
j
;
153,920
691,487
185,289
116,891
100,354
79,273
214,645
78,356
30,073
91,223
51,311
93,418
103,287
1,886,240
5.5
200,811
34.4
100.0
583,228
100.0
MAY 1, 1919.
497
FEDERAL RESERVE BULLETIN.
Acceptances purchased and held by each Federal Reserve Bank on March 31,1919, distributed by classes of accepting
institutions,
[In thousands of dollars; i. e., 000 omitted.)
Bank acceptances.
Federal Reserve Bank.
|
iNonmemMember j ber trust Nonmember State Private
banks, i combanks.
banks.
, panies.
Trade acceptances.
Foreign |
bank j
branches; Total.
and !
Grand
!
Domestic! Foreign.
Total.
i
Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis...
Kansas City...
Dallas
San Francisco.
Total:
Mar. 31,1919..
Feb. 28,1919..
Jan. 31,1919..
Mar. 31,1918..
Mar. 26,1917..
14,089 ;
347
22,768
622
1,604 i.
25,586 i
1,104
7,054
6,150 i.
38,261 ;
49
12,314 ;.
21,169 i.
1 873 !..
27,270 |
185,207 ;• 2,172
219.423 ' 2,418
224; 237 ii 2,178
275,144
1,360
43,457 ! 22,515
659
6,371
151
1,389
2,188
4,692
418
2,563
12
394
336
2,375
813
331 !
231
1,291
37
68
500
2,049 I
375 i
3,061
3,512
3,707
15,561
15,110
11,986
1,884
645
15,263
22,062
22,163
31,779
17,504
12,885
13,586
15,119
8,562
250
483
4,181
1,522
17,766
38,634
2,173
32,164
7,054
6,162
39,103
13,381
26,884
8,319 I
1 873 '
37,575
i 231,088
! 271,488
", 275,683
! 318,729
i 84,371
13
13
1,818
1,818
17,766
41,155
2,173
32,338
7,054
6,162
39,116
13,381
26,884
8,319
1,873
39.393
4,207
3,691
3,739
7,992
4,526
4,421
5,610
8,015
1,212
235,614
276,920
281,293
326,744
85,583
197
2,324
2,521
122
52
""174
319
730
1,871
23
1"
498
FEDERAL RESERVE BULLETIN.
MAY
1. 1919.
BESOUBCES AND LIABILITIES OF THE FEDERAL RESERVE BANKS.Loan operations of the Government during
the period March 21 to April 25 were composed
chiefly of the issuance of the ninth series of
Treasury certificates dated April 10, amounting
to over 646 million dollars and of the redemption before maturity, early in April, of Treasury
certificates due May 6. In addition the
Federal Reserve Banks successfully floated a
200 million dollar loan for the War Finance
Corporation. The effect of all these operations on the loan portfolio of the Federal
Reserve Banks is seen in the-increase of the
war paper holdings between April 4 and April
11 from 1,674.9 to 1,767.4 millions, the high
level reached during the period under review.
The beginning of the Victory loan campaign
and the rather heavy calls for funds by the
Government during the following weeks prevented any material reduction in this loan
account, the April 25 total of 1,760.7 millions
being 69 millions in excess of the corresponding
total on March 21. Other discounted bills on
hand fluctuated around 200 millions and
stood at about 190 millions on both the initial
and final dates. As a result the share of war
paper in the total discounts shows a slight rise
to over 90 per cent, larger percentages obtaining for the eastern and the Chicago banks.
Additional rediscounting between Federal
Reserve Banks largely of 15-day war paper and
bankers' acceptances may be noted. Aggregate
contingent liabilities of the rediscounting banks
on their operations show an increase from 83.7
to about 98.1 millions. These figures are exclusive of substantial amounts of acceptances
held through purchase from the New York bank
without its indorsement.
Continuous liquidation of acceptances on
hand is shown, the April 25 holdings (185.8
millions) being 76,1 millions less than five
weeks previous. All the banks except New
York, Richmond, and Dallas report considerable reduction of their acceptance holdings.
United States short-term securities on hand,
largely 1-year 2 per cent Treasury certificates
to secure Federal Reserve bank note circulation,
show a steady growth from 172.5 to 191.5
millions, this increase corresponding to an
increase in Federal Reserve bank note circulation from 142.4 to 158.8 millions. Total
earnings assets show an increase for the period
of 11.7 millions and on April 25 stood at
2,354.9 millions.
Partly in consequence of further Government deposits and partly as the result of the
release of " earmarked" gold and investment in
the New York market, the gold resources of
the system increased by 28.4 millions. Since
the begininng of the year the gain in gold by
the Federal Reserve Banks has been in excess
of 11 millions, compared with about 153
millions of gold gained during a corresponding
period in 1918.
Net deposits on April 25 totaled 1,752.1
millions, or 16.5 millions less than five weeks
before, while Federal Reserve notes in circulation increased by 38.9 millions, or at the weekly
rate of about 7.8 millions, as against 11 millions
per week for the four weeks immediately preceding. Considerable additions to their outstanding circulation are shown for Boston, New
York, Chicago, and Atlanta, the other banks
reporting either small increases or decreases.
As the result of the relatively large gain in
reserves, the decrease in net deposits and only
moderate increase in. the Federal Reserve note
liabilities the banks' reserve percentage shows
a rise from 51.6 to 52.1 r>er cent.
MAY 1,1919.
499
FEDERAL RESERVE BULLETIN.
Resources and liabilities of each Federal Reserve Bank at close of business on Fridays, Mar. 28 to Apr. 25, 1919.
RESOURCES.
[In thousands of dollars; i. e., 000 omitted.]
Gold coin and certificates:
Mar.28
Apr. 4
Apr.ll
Apr.18
Apr.25
Gold settlement fund, Federal
Reserve Board:
Mar.28
Apr. 4
Apr.ll
Apr.18
Apr. 25
Gold with foreign agencies:
Mar.28
Apr. 4
Apr.ll
Apr.18
Apr.25
Gold with Federal Reserve
Now
York.
2,974
3,171
3,414
3,753
2,975
249,978
248.989
247; 798
255,616
256,236
46,423
34,780
47,782
41,523
37,738
190,414
224,280
145,010
176,507
189,501
39,619
44,010
46,281
4.2,331
42,122
408
2,011
408
2,224
2,158
2,206
2,209
2,226
8,105
8,172
8,187
8,275
8,061
22,656
22,707
23,209
22,971
22,960
73,231
58,533
82,945
50,415
58,242
21,448
26,883
27,382
26,882
24,119
12,084
11,312
17,095
17,770
•12,061
80,424
101,181
'""561
,561
',991
115,261
525
204
175
816
140 11,627
117 18,798
263 19,690
106 22,980
125 19,089
"Mar.28
54,059 268,301 55,305 140,971
Apr. 4
55,500 281,596 74,640 135,119
Apr.ll
53,778 279,939 70,073 133.975
Apr.18.....
52,058 277,386 68,438 130'. 845
Apr.25
60,405 276,335 76,069 138,796
Gold redemption fund:
24,688 30,097
557
Mar28.t
12,710
25,000 9,934 i 393
Apr. 4
14,082
25,000 13,363 I 1,671
Apr.ll
16,481
25,000 15,135 1 623
Apr.18
18,969
25,000 7,636 ' 844
Apr.25
11,492
Total gold reserves:
Mar.28
|116,574 735,392 125,569 226,911
Apr. 4
1107,533 779,865 1128,701 212,843
Apr.ll
1121,455 697,747 !l29,980 2 J 8 , 2 8 1
Apr.18
jll6,303 , 734,509 i 126,010 204,863
Apr.25
1112,610 ! 747,072 1125,952 214,971
Legal tender notes, silver, etc.:
|
53,089 !
1,089
324
Mar.28
! 6^310
52,784 i
1,116
229
Apr.4
! 6,176
53,659
:
1,068
276
Apr.ll
j 6,082
1,181
320
Apr.18
' 6,371 ! 52,502 |
54,539
I
1,302
643
Apr.25
j 6,150 j
Total cash reserves:
j
i
!
Mar.28
1122,884 ' 788,481 125,893 i228,000
Apr.4
1113,709 832,649 1128,930 213,959
751,406
:i30,25G ;219,349
127,537
Apr. 11
122,674 787,011 !l2G,330 120(5,044
Apr. 18
801,611
1126,595 '216.273
118,760
Apr.25
Bills discounted:
Secured by Government
war
obligations 1—
148,867 601,987 172,914 i 114,559
Mar.28
148,631 628,697 1109,249 120,577
Apr.4
151,733 692,682 174,204 131,219
Apr.ll
671,095 |16G,448 120,582
Apr.18
,148,018
,
Apr.25
.....1157,068 685,022 1182,109 122,102
All o t h e r !
20,500 12,375 ; 2,332
Mar.28
5,053
4,849
Apr.4..
25,572 13,182 j 3,022
5,564
31,587 !I 13,186 j 7,
Apr. 11
28,744 14,088 ; 8,469
5,864
Apr. 18
24,045 ; 9,501 i 5,935
Apr. 26
j 5,376
^Includes bills discounted j
for other Fed-eral Reserve i
Banks:
|
15,950 !
! 29,980
Apr. 11
j
10,000 i
' 25;ooo
Aor.lS..
i
10,000 I
I 20,000
Apr.25
i
,
San
At- | Chi- St. • Minns-1 Kansas
lanta. cago. Louis. ; apolis. j City. Dallas. Francisco.
Phila- Cleve- Richdelphia. land. mond.
Boston.
139
156
6,076
7,091
7,114
7,150
121
22,806
18,565
27,190
22,361
25,211
25,429 12,210 30,145
30,178 15,030 29,601
31,332 7,269 39,881
29,994 7,358 37,814
33,535 5,621 36,606
291
40,763 42,119 269,506 I 40,737
38,521 42,577 239,512 j 43,903
35,944 41,291 242,786 41,704
33,749 42,837 245,896 i 42,564
31,515 43,699 255,723 j 40,393
10,057
6,271
8,243
9,552
11,086
4,572
4,994
5,727
5,244
4,603
74,696
73,833
73,775
72,392
68,946
67,055
67,055
72,300
74,126
68,424
358
484
547
587
543
1.010
1J061
1,185
1,3C8
1,348
75,054
74,317
74,322
72,979
69,489
68,065
68,116
73,485
75,494
69,772
^404,794 !
387,230 !j
418,435
,424,297 !
.426,222 I
86,556
86,182
89,157
83,080
91,138
65,256
60,836
67,952
68,975
70,682
199,278
1206,595
202,040
1200,298
195,872
13,798
12,902
11,112
9,472
11,692
j 30,186 '
22,849
25,509
26,086
30,957
51,104
30,730
30,139
29,325
, 28,207
:
2,582
2,947
2,029
1,929
2,512
1,468
1,771
3,264
597
2,185
133,038
104,682
115,078
118,128
113,436
68,737
73,077
73,970
72,528
75,976
38,641
41,184
34,287
33,828
32,072
1138,394
144,969
-152,075
158,863
1154,955
2,142,305
2,150,950
12,142,880
12,162,157
2,169,216
115 i
112 I
119 i
130 I
72;
2,195
2,237
2,219
2,273
2,275
112
114
124
80
137
j
i
!
i
i
256
206
232
289
327
68,219
67; 678
69,109
68,702
70,936
;j 08,849j 40,836 ! 136,65012,210,524
I 73,191 ! 43,421 1145,175 12,218.628
i 74,094 i 30,506 152,307 12,211,989
! 72,008 ! 30,101 j159,152 2,230,858
! 76.113 ! 34,347 ,155,282 2,240,152
75,080
73,527
80,866
76,010
77,717
75,938
64,404
73,420
72,159
67,971
i 66,536
I73,806
;73,068
I71,320
j71,774
28,593
44,707
42,040
37,069
37,705
50,173
40,559
43,405
45,370
42,369
I 21,918
14,594
23,240
21,910
26,350
! 74,373
i 74,483
70,719
1
78,995
78,421
1,691,010
1,674,916
1,767,459
1,720.960
1,7(K)J 672
14,017 15,367 i 11,820
13,516 16,545 i 10,896
12,805 10,134 ! 9,620
10,976 !17,701 i 9,325
11,474 i 16,510 ! 9,074
1,480
1,459
3,431
7,294
9,552
41,050
41,812
42,643
43,471
42,855
29,393
29,747
28,848
29,283
28,591
19,045
19,564
18,340
16,027
15,135
195,230
193,066
200,465
201,314
189,740
m
i
.i
J
563,577
612,711
610,196
612,365
605,809
38,725 17,565 93,915, 1,113,070
38,140 17,131 102,804 1,100,173
36,877 17,898 98,040 1,082,444
35,372 17,427 109,622 1,085,519
34,614 16,789 107,404 1,109,949
! 75,823
I 64,292
! 73,307
i 72,029
i 67,899
1,206 i 2,155 1
I
981 1 2,178 i
; 1,370 ! 2,228 !
! 1,353 ! 2,248
! 1,321 ; 2,279
326,791
333,384 "
335,162
346,145
340,022
204
5.273 5,695 4,153
4,903 6,935 4 , " "
5,750 2,372
4,937 ! 3,015 7,041
5,873 j 3,520 7,728
103,588 72,925
|386,249 ! 71,349
1417,085
! 78,638
!
422,944 ! 73,762
.424,901 ! 75,438
10,545
10,793
10,890
10,830
8,760
Total.
:
j
40,582 :
53,560 i
i 50,9(54 '
15,000
10,000 I
10,000 l
'
!
i
!.
\
1.
101,492
98,560
90,964
500
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Resources and liabilities of each Federal Reserve Bank at close of business on Fridays,
Mar. 28 to Apr. 25, 1919—Contd.
RESOURCES—Continued.
{In thousands of dollars; i. e., 000 omitted.]
I
I
Bos- 1 New
Phila- Cleve- RichAtton. • York. delphia. land. mond. lanta.
Bills bought in open market:
Mar.28
15,425
Apr.4
7,152:
Apr.ll
8,032:
Apr.18
6,402:
Apr. 25
9,694,
United States Government longterm securities:
Mar.28
538
Apr.4
538:
Apr.ll
540 !
Apr.18
539!
Apr. 25
539 I
United States
Government
short-term securities:
Mar.28
14,416 j
Apr.4
15,416 i
Apr.ll
15,416 1
Apr.18.
16,416i
Apr. 25
16,716
All other earning assets:
Mar.28
Apr.4
Apr.ll
Apr.18
Apr. 25
Total earning assets:
Mar. 28.'.
184,299
Apr.4
176,586
Apr. 11
181,285
Apr.18
177,839
ApT. 25
189,393
Bank premises:
Mar. 28
800
Apr.4
1 800
!
Apr.ll
800
Apr.18
•
800
Apr. 25
i
800
Uncoliccted items and other de- I
ductions from cross deposits: j
Mar.28
1
54,387
!
Apr.4
52,616
!
Apr.ll
55^912
!
Apr.18
•
62,349
Apr. 25
51,099
5 per cent redemption fund ;
against Federal Reserve bank •
notes:
•j
Mar.28
716
Apr.4
|
716
Apr.ll
j
745
Apr.18
1 816
Apr. 25
.-I
816
All other resources:
37,452
32,694
29,719
24,017
21,254
41,329 1 2,270
55,612 | 3,192
57,017 1 1,021
54,730
914
46,903
826
1,306
1,306
1,306
1,306
1,305
!
6,527
6,166
5,741
5,577
5,713
7,155
7,420
7,170
6,705
7,474
i
64,088 15,330
64,873 16,356
69,544 j 16,2S1
69,521 ! 17,280
68,821 17,276
14,076
14,048
14,416
16,031
15,498
i 41,2.14 13,453
; 39,291 13,334
! 31,173 ! 11,052
I 27,548 ! 8,476
j 24,556 | 5,976
!
1,083 ! 1,234
1,083
1,234
1,083
1,234
1,083
1,234
1,234
1,089
1,385
1,385
1,385
1,385
1,385
San !
St. Minne- Kansas
i Total.
Louis. apolis. City. Dallas. FranCisco, i
Chicago.
8,474
8,474
8,474
8,474
8,974
1,783
2,173
1,923
1,888
1,813
43,667 i
38,316 •
34,507 j
33,920 !
38,559 i
3,967
8,867 i 3,967
3,967
8,867
3,967
8,867
3,967
8,867
2,633
2,632
2.632
2.633
2,033
4,400
4,400
4,400
4,400
4,900
5,708
6,512
7,083
6.044
5,973
8,366
8,846
7,394
5,479
4,273
1,153
1,153
1,153
1,153
1,153
116
116
116
116
116
16,612 ! 10,068
16,612 ! 11,568
17,612 12,068
18,612 12,068
19,612 13,068
9,236
6,014
5,934
6,248
6,013
6,479
9,078
8,809
8,819
,
1204,274
i203,364
1206,077
1200.715
211', 157
I
3,302
500
3,302
500
3,372
500
3,372
500
3,372
500
161,262
166,955
162.866
174.489
157.974
1,830
1,586
1.800
L812
l',836
an aan
169,502
! 171,424
1183,706
1176,182
165,872
100
100
875
875
875
114,118
113,113
114,033
106,451
116,898
! 94,655 276,948 103,030
I 95,372 ;283,519 110,757
I 95,349 ,271,435 108,961
: 94,379 '268,636 102,342
! 97,220 1261,026 101,045
295 1
296 :
296 j
296 1
312 I
217
217
217
217
217
3
3
22
114.471
H06;018
|1O8,579
J109.200
j104)843
541
541
541
541
541
400
400
400
400
400
68,694
85,184
80,795
81,038
77,437
43,142
47,328
44,079
45,072
41.034
20,161 55,536
15,078 47,282
18,727 49,408
11,175 i 51,515
13.580 I 49,065
106
2S2
226
1,426
1,266
407
404
474
520
487
2,936
61,461
54,881
62,378
61,448
65,621
145,426
141,507
1139,287
i137,619
(140,721
221
221
221
221 !
221 I
k335,285
12,314,555
;2,399,383
12.335,334
|2;354;S70
400
400
400
400
J00
9,712
9'. 713
10', 558
10,558
10.574
j
69,662 ' 49,675 50,241 ! -10,010
65,0191 46,056 45,713 ! 29.745
61,377' 43;026 41,712 i 31', 844
^ i p;ii
51,243 ; 32.339
49,683i j! 54,546
64,377 ! 5(X 791 41,799 ! 30,512
825
825
825
850
2,936
2; 936
68,891
81,954
78,237
74,527
74,978
27,138
27,134
27,136
27,137
27,135
173,797
178,646
185,711
189.038
191,501
22
637
671
727
875
827
279
231
162
90
65
i
;
!
;
!
401
437
415
441
423
226 !
282 !
233 !
255 I
211 I
688
656
089
702
689
17,892 I 29,404
17,231 • 26,752
18,560 ! 2S.078
22', 493 I 19.504
27,173 ! 251770
345
346
334
334
348
856
358
358
358
!
352 i
612
463
Mar.28
417
1,745
672
732
204
113 ! 408
852
704 I
1,078 i
206
496
Apr.4
j
182
1,818
829
727
211
135
416
870
770 !
205
451
Apr.ll
,
212
1,992
1,089'
506 i
247
456
570
122
828
654 j
2
347
397 1,351 ,
Apr.18
j!
288
1,706
274
474
699
132
859
770 •
1 1 452 2 1,096
251
Apr. 25
264
1,846
304
514
727
171
660 j 1,027
Total resources:
i
Mar.28
|363,503 11,754,830 1401,776 448.377 240,339 [203,960 754,510 1222,404 165,329 ,240,352 121,459 ;313,089
Apr.4
1344,609 (1,782,370 i399,467 432; 706 ;234,748 1194,093 759,878 ',232,768 161,853 '227,963 116.870 1315,060
Apr.ll
'366,491 (1,773,492 J400,124 448,134 '231,031 201,515 1774,397 1233,168 170,745 '233,626 (118,653 '321,258
Apr.18
1364,766
, ,
11,794,386 ,378,751 438,919 i232,410 203,217 779,032 224,759 158,248 1234,899 1121,367 1317,892
Apr. 25.
361,132 jl, 792,735 '404,468 435,093 j229,659 198,395 1769,614 221,128 156,911 |231,624 128,370 1323,558
1 Includes bankers' acceptances
bought from other Federal
Reserve Banks:
With th eir indorsementApr. 11
i
10,048
1,753 i.
186
9,212
Apr.18
j
744 1.
187
254;.
Apr. 25
!
6,718 1
187
Without their indorsement—;
1,050 L
Apr.ll
!
5,497 !
11,190
Apr.18
i
4,854 I
9; 317
. 3,170
Apr. 25
3,706 '
.; 14,603
8,071
i
I
:
r
2
3
Includes Government overdraft of $630,000.
Includes Government overdraft of 8640,000.
j
I
!
I
i
3
3
798,210
776,060
852,056
825.996
826,096
248,107
240,790
218,590
190,885
185.822
i
378 | 4,477 !
377
4,476 j
377
4,476
377 1 4 477 |
377 ! 4,476 !
I
5,375
5,375
5,360
5,360
5,360
29,466
26,594
23,841
21,229
18,781
660,066
644,959
636,384
655,446
830,S14
7,067
<>'. 792
6,988
8,454
8,176
7,274
7,738
7,332
7,995
8,301
jo, 229,928
(5,202,385
15,272,634
5,248,646
5,252,687
11,987
10,143
7,159
24,566
17,341
26,380
MAY 1,1919.
501
FEDERAL RESERVE BULLETIN.
Resources and liabilities of each Federal Reserve Bank at close of business on Fridays, Mar. 28, to Apr. 25, 1919—Contd.
LIABILITIES,
[la thousands of dollars; i. e., 000 omitted.!
Boston.
New ! Phila- | CleveYork. IdelphiaJ land.
Rich- I
mond. !
Atlanta.
I
San
Francisco.
Kansas
City.
MinneSt.
Louis. apolis.
Chicago.
Total,
I
Capital paid in:
Mar. 28
Apr. 4
Apr. 11
6,775 ;
6.783 I
8.784
6,784 <
6,793 ,
2,996 i
2,996 !
2,996 ]
2,996 I
2,996 i
20,928
20,929
20,956
20,956
21,099
Apr.l8
Apr.25
Surplus fund:
21,117
Mar. 28
21,117
Apr. 4...
21,117
Apr. 11
21,117
Apr.18
21,117
Apr. 25
Government deposits:
28,557 ! 51,959
Mar.28
12,235
25,079
Apr. 4
28,661
23,776
Apr.ll
17,501 ! 17,169
Apr.18
j 11,182 i 23,189
Apr.25
Dae to members reserve account:
Mar.28
!l00,820 ! 065,138
Apr. 4
! 94,919 j 698,383
]
Apr.ll
96.905 : 685.637
Apr.18
! 95,906 ; 707,853
Apr.25..*
101,912 ! 702,830
Deferred availa bilitv items:
i 41,420 i 119,110
Mar.28
"
i 41,228 1 126,755
Apr. 4
! 40,938 ! 124,228
Apr: 11
146,174 ] 127,069
Apr.18
1
Apr.25
40,800
118,009
O ther deposits, including foreign
government credits:
" Mar.28
127 ! 105,393
Apr. 4
341 j 109,978
1,736
110,119
Apr.ll
,
3,290
118,400
Apr.18
122,422
Apr. 25
(545
Total gross deposits:
170,924
Mar.28
941,600
148)723
Apr. 4
960,195
168,240
Apr.ll
949,760
Apr.18
162,871
970,491
Apr. 25
986,450
1154,539
Federal Reserve notes in actual
circulation:
|166,874
Mar.28
723,160
169,609
Apr. 4
736,433
171,265
Apr.ll
738,128
174,092
Apr.18
738,169
177,737
Apr.25
738,812
Federal Reserve bank notes in
circulation—net liability:
Mar.28
."
13,555
33,628
14,007
Apr. 4
34,497
14,710 I 33,920
Apr.ll
15,396
Apr. IS
33,808
16,010
34,775
Apr.25
All other liabilities:
2,379 |
Mai-. 28
14,397
2,431 I
9,199
Apr. 4
2,496
9,611
Apr.ll
2,627
9,845
Apr.18
3,057
10,482
Ai>r.25
Total liabilities:
. 363.503 11,754,830
Mar.28
.;3i4.)G99 (1, 782,370
Apr. 4
Am*. 11
, 368,191 ,1,773,492
364,768 ',1,794,386
.\pr.l8
361,132 11,792,735
Apr.25
7.587 j
7,587 :
7,585
7,585
7,585 |
9,218
9.218
9)210
9,209
9,225
4,113
4,112
4,165
4,180
4,184
3,195
3,190
3,192
3,201
3,236
2,608 I
2,608
2,608
2,608
3,552
3,552
3,552
3,552
3,552
2,196
2,196
2.196
2)196
2,196
1,510
1,510
1,510
1,510
1,510
1
11,371 | 3,825
11,406 I 3,825
11 418
3,826
11,404
3,826
11,404
3,828
2,970
2,971
2,974
2,978
2,977
3.740
3; 740
3,742
3,748
3,749
3,198
3,198
3,200
3,201
4,721
4,699
4,698
4,702
4,702
81,641
81,858
81,750
81,774
82,015
416
§>416
6 416
6,416
6,416
1,603
1,603
1,603
1,603
1,603
1,415
1.415
1,415
1)415
1,415
2,421
2,421
2,421
2,421
2,421
1,184
1,184
1,184
1,184
1,184
2,448
2,448
2,448
2,448
2,448
49,466
49,466
49,466
49,486
49,466
9,297
8,948
12,606
7,304
5,961
5,358
3,356
12,899
5,075
2,074
10,930
6,769
10,238
6,284
4,923
7,195
4,151
3,661
4,351
5,985
11,423
6,924
9,205
6,375
4,381
168,147
85,008
169,972
106,561
91,726
58,709
05,013
59,668
61,415
59,789
50,336
48,391
">0,498
48,193
48,334
78,013
66,819
67:322
75)061
71,468
37,673
38.607
37)421
37,789
39,895
78,303
82,140
83,869
83,337
83,907
1,631,167
1,655,298
1,628,693
1,655,860
1,664,320
11,688
12,250
8,933
6,915
8,897
?:(), 680
14.516
12) ?,oo
16,456
18,568
22,459
13,285
13,824
17,280
15,993
20,534
484,906
487,593
487.153
496) 788
±01, 005
114
77
85
56
63
6,2715,752
5,744
5,506
7,124
117,271
120.426
128)48i
131,307
135,057
13,545
7,312
6,820
5,005
8,904
18,252
5,072
24,772
12,928
8 838
7,848
2,060
1,307
2,865
2,915
5,544
3,888
1,686
918
187
30,483
20,681
14,603
94,259
102,988
99,679
93,438
103,265
il27,514
H31,585
124; 603
,126,462
|124,554
55,325
54,134
53,561
51,635
52,942
( 45,064
^
42,134
'• 4o'.8.")()
i 45)401
i 44,381
240,013
-.«,„, *«„
'223,6S0
i229.370
J231,043
60.680
54,117
58.681
43,172
"~ " ~
56,151
! 42,814
j 39,375
i 37,803
!
i 42,358
'""
! 41,402
| 38,216 I 26,588
j 36,767 20,307
| 35,651 22,242
'I 42,005
'
24,667
i 3S,190 22,828
54,840
62,657
52,444
63,185
54,184
31,289
33,70i
36,264
32,366
33,438
181
57
83
107
232
2, 111
2,108
2,334
1,844
1,924
303
648
337
327
74,678
65,413
73,719
74,063
68,927
297,882
295.137
308,941
315,080
301,754
I 99,710
107,965
109,186
101,422
99,515
67,957
64,276
72,546
80,424
59,711
1120,267
1107,791
! 114,100
|115,916
|112,183
59,498
55,390
57,623
60,764
68,4.02
109,282
108,640
116,098
111,211
115,946
2,401,491
2,348,325
2,414,299
2,390,516
2,382,708
7SS i
986 i
788 i
752 j
658 j
602
320
370
442
327
i
|
I
!
i
j
i
j
!
575
279
216
241
34,057
36,230
34,316
34,913
!
!
j
!
1 0 6 ''•
64 i
146
310
255
879 I
169,272
185,103
165,971
142,367
168,978
1188,982 ! 101,439
1176,352 93,040
i 187,548 90,567
i 182,190 93,717
1175,121 91,182 j
206,086
208,696
206,336
208,296
206,593
1232,612
|229,221
'233,042
1227,698
'230,595
125,198
128)946
127,604
125,792
125,391
; 115,975
[115,173
114,078
115,216
(115,333
417,546
425,120
-125,279
423,145
426,455
108,015
109,222
107,763
|l06,357
,104,095
87,058
87,151
87,692
87)221
86,481
! 09,615
I 99,520
! 98,740
I 98)063
! 98,420
50,107
49,565
49,011
48,523
47,728
188,500
191,014
189, 650
191,129
791,912
2,521,776
2,5-17,670
2,548,588
2,543,70 i
2,549,552
14,372 ! 12,376
15,170 j 12,614
15,526 ' 12,981
' " ' "
15,668 14,383
16,276 14,590
5,238
5,249
5,217
5,185
5,246
7,709
7,856
8,017
8,200
8,282
19,116
19,440
19,860
20,333
20,813
8,377
9,108
9,805
10,521
11,014
5,288
5,332
5,377
5,430
5,511
I 12,933
I 13,010
I 13,055
i 13)101
I 13,170
6,468
6,504
6,555
6,5S1
6&M
8.480
6) 482
6,537
0,468
6,495
145,540
149,449
151,560
155,074
158,848
1,851 i 1,607
2,003 j 1,719
2,098 j 1,801
2,227 ! -1,8872,428
2.010
1,155
1,205
1,282
1,340
1,460
893
951
999
1,027
1,107
2,179
2,359
2,483
2,654
2 772
871
955
985
1,030
1,073
1,004
1,029
1,080
1,114
1,157
1,658
1,777
1,827
1,934
2,055
30,014
25,817
26,971
28,112
30,098
=8,377 210,339 203,960 751.510 (222,404 165,329 ;2iO,352 ,121,459
401,776 448,
!2,7()« 234,748 194,093 759)878 232,788 161,853 i227,963 118,870
399.467 13?
170,745 '233. 626 118,653
100,124
158,248 1234)899 121,367
378,751
156,'Jll '231,624 128,370
104.468
313,089
315,060
321,258
317,892
323,558
641 ! 1,378
70S i 1)481
741
1,568
777
1,850
816
1,681
5,220,92S
5,202) 385
5,272,63!
5,248.616
5.252', ftS7
MEMORANDA.
Contingent liability as indorser I
onDiscounted
paper
,
counted with other Fed- !
eral Reserve Banks—
Apr. 11
Apr. 18.
Apr. 25.
Bankers' acceptances sold
to other Federal Reserve I
BanksApr. 11.
Apr. 18.
Apr.25.
101,492
98,560
90.964
11,987
10,143
7.159
502
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Maturities of bills discounted and bought, United States Government short-term securities, and municipal warrants.
[In thousands of dollars; i. e., 000 omitted.]
Within 15
Bills discounted:
Mar. 28
,
!
Apr. 4
Apr. 11
• - - 18
-~
Apr.
A w . 25
Bills bought:
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Apr. 25
United States short-term securities:
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Apr. 25
Municipal warrants:
Mar. 2 8 . . .
Apr.4
Apr. 11
Apr. 18
Apr.25
]
31 to 60
days.
16 to 30
115,670
108,788
103,634
96,412
80,574
1,529,010
1,531,100
1,731,817
1,667.271
1,648,426
154,729
57,467
76,460
74,823
78,600
75,751
78,832
68,050
60,702
71,998
61,563
50,859
46,792
51,327
81,882
87,303
78,501
67,807
52,688
23,919
24,704
29,375
29,896
28 738
1.611
'250
103
518
4,078
3,624
3,826
6,715
i
j
i
|
61 to 90
51,427
52,050
52,742
58,325
123,022
Over 90
days.
21,252
21,315
22,264
23.806
23,567
1,886,240
1,867,982
1,967,924
1,922,274
1,950,412
8;
15,567
16,173
ft), 398
14,176
21,105
6,506
3,890
3,749
3,184
373
Total.
240,790
218,590
196,885
1S5,822
142,854
145,974
147,352
151,882
155,572
173,797
178,646
185,711
189,038
191,501
3
FEDERAL RESERVE NOTESFederal Reserve note account of each Federal Reserve Bank at close of business on Fridays, Mar. 28 to Apr. 25, 1919.
[In thousands of dollars; i. e., 000 omitted.]
New
Boston. York.
Phila- Cleve- Rich- I Atdelphia. land. mond. i lanta.
Chicago.
St.
Minne- Kansas
Louis. apolis. City. Dallas. Francisco.
Total.
Federal Reserve notes received
from agent—net:
171,826 794,189 215,532 245,073 130,456 120,080 444,561 120,161 88,120 105,722 51,449 218,539 2,705,708
Mar. 28
177,267 799,684 215,768 242,122 132,214 118,288 446,207 123,178 88,346 106,537 51,058 214,428 2,711,089
Apr. 4
178,545 810,386 215,400 242,718 131,057 117,487 449,881 122,378 89,255 104,674 50,452 211,804 2,724,097
Apr. 11
180,825 820,434 2L8,606 240,467 129,662 119,083 452,599 121,079 88,791 103,109 49,772 211,846 2,736,384
Apr. 18
184,172 814,163 216,536 2-41,063 129,508 119,319 452,418 118,528 87,973 103,611 49,184 215,928 2,732,403
Apr.25
Federal Reserve notes held "by
bank:
4,952 71,029 9,446 12,431 4,258 4,105 27,015 12,146 1,002
G, 107
1,342 30,039 183,932
Mar. 28
7,658 68,251 9,072 12,901 3,208 3,115 21,087 13,950 1,195
6,017
1,485 23,414 160,419
Apr. 4
7,280 72,258 9,064 9,676 3,453 3,409 24,602 14,615 1,563
1,441 22,214 175,509
5,934
Apr. 11
1,249 20,717 192,G80
6,733 82,205 10,370 12,769 3,870 3,867 29,445 14,722 1,507
5,106
Apr. 18
3,980 25,903 14,433
1,456 24,016 182,851
6,435 75,351
4,117
1,492
5,191
10,468
Apr.25
Federal Reserve notes in actual
circulation:
166,874 723,160 206,086 232,642 126,198 115,975 417,540 108,015 87,058 99,615 50,107 188,500 2,521,770
Mar. 28
169,609 736,433 205.090 229,221 128,946 115,173 425,120 109,222 87,151 99,520 49,565 191,014 2,547,670
Apr.4
171,265 738,128 206,336 233,012 127,004 114,078 125,279 107,703 87,692 98,740 49,011 189,050 2,548,588
Apr. 11
174,092 738,169 208,296 227,098 125,792 115,210 123,145 106,357 87,224 98,003 48,523 191,129 2,543,704
Apr. 18
177,737 738,812 !20G,593 230,595 125,391 115,333 426,455 101,095 86,481 98,420 47,728 191,912 2,549,552
Apr.25
Gold deposited with or to credit
of Federal Reserve agent:
54,059 208,301 I 55,305 140,971 40,703 42,119 209,506 40,737 51,10-1 38,725 17,565 93,915 1,113,070
Mar. 28
55,500 281,596 ! 71,640135,119 38,521 42,577 239,512 43,903 30,730 38,140 17,131 102,804 1,100,173
Apr.4
53,778 279,939 70,073 133,975 35,944 41,291 242,780 41,704 30,139 36,877 17,898 98,010 1,082,444
Apr. 11
52,058 277,380 03,488 130,845 33,749 42,837 245,890 42.564 29,325 35,372 17,427 109,022 1,085,519
Apr. 18
60.405 276,335 76,069 138,796 31,515 43,699 1255,723 IO!393 28,207 34,614 10,789 107,404 1,109,949
Apr.25
Paper delivered to Federal Reserve agent:
732,816 161,480 153.228 105,152 78,973 255,859 84,702 58,989
53,094 127,201 2,080,228
Mar. 28
160,632 709,881 151,876 154,206 104,308 82,061 202,431 88,787 70,315 91,217 46,514 115,032 2,037,260
Apr. 4
165,329 781.206 148,025 166,890 101,340 81,278 249,347 85,G2S 66,075 93,442 54,011 118,439 2,111,610
Apr. 11
160,884 755;169 152,730 158,223 99,843 80,342 245,547 88,975 62,070 94,320 53,081 113,540 2,004,724
Apr. 18
172,138 755,970 1142,687 148,517 102,398 80,278 236,938 86,486 61,143 89,497 56,754 111,300 2,044,106
Apr.25
MAY 1, 1919.
503
FEDERAL RESERVE BULLETIN.
Federal Reserve note account of each Federal Reserve agent at close of business on Fridays, Mar. 28 to Ayr. 25, 1919,
[In thousands of dollars; i. e., 000 omitted.]
Boston.
RichAt- j Chimond. i lanta. cago.
San
St.
Minne- Kansas
Louis. apolis. City. Dallas. Francisco.
Total.
FEDERAL RESERVE NOTES.
Received from Comptroller:
Mar. 28
278,320 1,411,780 341,420 338,940 214,820 212,960 1570,640 180,600
Apr. 4
28(3,920 1,418,380 347,220 338,940 215,620 212,960 1574,560 181,320
Apr. 11
'286,400 1,446,980 347,220 341,740 220,820 213,360 1579,400 184,320
Apr.18
1291,040 1,473,280 352,820 342,620 221,220 217,000 1585,360 184,6,60
Apr. 25
1302,640 1,479,980 352,820 343,020 |222,220 !219,000 |587,760 190,220
Returned to Comptroller:
I
!
Mar.28
! 81,354 473,991 103,688 60,107 55,004 ! 37,965 ! 90,239 44,269
Apr. 4
! 82,913 486,296 106,352 63,558 57,246 j 38,507 i 93,633 45,102
Apr.ll
85,635 497,594 110,920 66,702 59,823 ! 39,793 j 97,279 47,302
Apr. 18
88,355 509,246 113,554 69,833 62,018 40,747 i 99,690 48,941
Apr.25
! 91,008 522,217 116,924 72,137 64,252 41,881 104,902 51,112
Chargeable to Federal Reserve!
agent:
•
Mar.28
1196,966 937,789 237,732 278,833 1159,816 i 174,995 480,401 136,331
198,007 932,084 240,868 275,382 (158,374 174,453 1480,927 136,218
Apr. 4.
200,765 949,386 236,300 275,038 160,997 173,567|482,12i 137,018
Apr.ll
202,685 964,034 239,266 272,787 il59,202 1176,253 (485,670 135,719
Apr.18
211,632 957,763 235,896 270,883 157,968 1177,119 J482,858 139,108
Apr.25
In hands of Federal Reserve
agent:
Mar.28
25,140 143,600 22,200 33,760 29, 360 54, 915 35,840 16,170
Apr.4
20,740 132,400 25,100 33,260 26 160 56, 165 34,720 13,040
Apr.ll
22,220 139,000 20,900 32,320 29 940 56, 080 32,240 14,640
Apr.18
21,860 143,600 20,600 32,320 29 540 57, 170 33,080 14,640
Apr.25
27,460 143,600 19,360 29,820 28 460 57 800 30,440 20,580
Issued to Federal Reserve Bank
less amount returned to Federal Reserve agent for redemption:
Mar.28
171,826 794,189 215,532 245,073 130,456 ! 120,080 444,561 120,161
Apr. 4
177,267 799,684 215,768 242,122 132,214 1118,288 1446,207 123,178
Apr.ll
178,545 810,386 215,400 242,718 131,057 1117,487 ;449,881 122,378
Apr.18
180,825 820,434 218,660 240,467 129,662 '119,083 (452,590 121,079
Apr.25
184,172 814,163 216,536 241,063 129,508 i 119,319 1452,418 118,528
Collateral held as security for
outstanding notes:
Gold coin and certificates on
handMar. 28
j
183,740
2,504 !...
33,270
Apr.4
i
183,740 I
•25; 870
2,504 !...
Apr.ll
I
24,870
183,740
2,504,...
Apr.18
1
21,870
183,740
2,504
Apr .25
1
25,625
183,740
2,500
Gold redemption fund—
j
Mar.28
9,059
14,561 12,415 12,701 2,763 1,615 5,841
806
Apr.4
11,500
12,856 14,751 14,249 2,521 3,073 5,447 2,973
Apr.ll
9,778
11,198 15,183 14,106 1,944
2,787 5,801 3,773
Apr.18
9,058
8,646 12,549 13,975 1,749
3,333 5,391 2,134
17,595 14,180 13,171 1,515
Apr.25
11,405
2,199 5,178 1,963
Gold settlement fund, Fed- j
era! Reserve Board—
|
!,890 915,000 3 8,000 38,000 263,665 39,931
Mar.28
1 45,000 70,000
1,889 9|5,000 3 6,000 37,000 234,065 40,930
Apr. 4
i 44,000 85,000
1,889 9*5,000 3 4,000 36,000 236,985 37,931
Apr.ll
! 44,000 85,000
Apr.18
43,000 85,000 5,889 915,000 3 2,000 37,000 240,505 40,430
Apr.25
49,000 75,000 6 1'.,889 10 0,000 3 0,000 39,000 25G,545 38,430
Eligible paper
minimum required—1
77,961 175,055 79,424
Mar.28
1117,767 525,888 160,227 104,102
141,128 107,003 93,693 75,711 206,695 79,275
Apr.4
121,767
Apr.ll
124,767 530,448 145,328 108,742 95,113 76,196 207,095 80,674
Apr.18
128,767 543,048 150,228 109,622 95,913 76,246 206,694 78,515
Apr. 25
1123,767 537.828 140,467 102,267 j 97,
75,620 196,695 78,135
1
124,880
124,880
126,880
126,880
128,880
159,700
159,700
159,700
159,700
160,700
101,960
101,960
101,960
101,960
101,960
256,420
256,420
259,620
260,020
269,320
4.192,440
4j 212,880
4,268,400
4,316,560
|4,358,520
25,770
26,144
26,735
27,549
28,167
39,598
40,183
41,446
42,951
43,709
27,196
27,630
28,3.63
28,833
29,471
31,881
35,992
41,756
42,174
45,392
jl, 071,062
1,103,556
11,143,348
! 1,173,891
1,211,172
120,102 74,764
119,517 ! 74,330
118,254 i 73,597
116,749 I 73,127
116,991 j 72,489
!
224,539
220,428
21.7,864
217,846
223,928
3,121,378
3,109,324
3,125,052
3,142,669
3,147,348
99,110
98,736
100,145
99,331
100,713
19,990
10,390
10,890
10,540
12,740
14,380
13,980
13,580
13,580
13,380
j 23,315
! 23,280
j 23,145
i 23,355
| 23,305
6,000
6,000
6,000
6,000
8,000
415,670
395,235
400,955
406,285
414,945
88,120
88,346
89,255
88,791
87,973
105,722
105,537
104,674
103,169
103,611
51,449
51,050
! 50,452
! 49,772
| 49,184
218,539
214,428
211,864
211.846
215,928
2,705,708
2,714,089
2,724,097
2,736,384
2,732,403
12,581
12,581
11,581
11,581
11,581
13,052
13,052
13,052
13,052
13,052
2,052
2,178
1,587
2,773
2,155
3,365
2,780
3,517
2,012
3,254
36,000
15,500
15,500
13,500
13,000
35,360
35,360
33,360
33,360
31,360
37,016
57,616
59,116
59,466
59,766
66,997
67,397
67,797
67,797
08,997
For actual amount, see "Paper delivered to Federal Reserve agent," on p . 502.
2,799
2,866
3,133
2,662
2,524
245,147
237,747
235,747
232,747
236,498
10,656
13,326
11,731
11,313
9,690
78,633
88,520
84,538
75,595
84,829
2,185
1,684
3,184
3,184
2,684
83,259
89,478
86,309
98,309
97,714
789,290
773,906
762,158
777,177
788,622
33,884
33,919
32,554
32,345
32,395
124,624
111,624
113,824
102,224
108,524
1,592,638
1,613,916
,641,654
1,650,865
,622,454
504
FEDERAL RESERVE BULLETIN.
MAY
1, 1919.
Amounts of Federal Reserve notes received from and returned to other Federal Reserve Banks for redemption or credit during
the period Jan. 1 to Mar. 31. 1919.
New York.
Boston.
Received. ! Returned. ! Received.
I
Boston
New York
Philadelphia...
Cleveland
Richmond
Atlanta
Chicago
St Louis
Minneapolis...
Kansas C i t y . . .
Dallas
San Francisco.,
Total.
Returned.
Received.
Returned.
Received.
! 88,020,000 j $8,519,100
$776,100
10,260,050
§967,000
16,545,000
$324,100
5,783,150
2,611,000
"2*323*866'
"3* 075," 666'
81,282,150
7,292,350
3,075,000
2,480,000
3,129,500
727,000 , 1,367,770
1,648,000 I 4,091,000
393,000 1,196,415
282,000
217,500
406,000
300,300
136,000
291,200
250,000
535,460
1,775,850
495,900
4,957,300
440,850
486,550
408,750
139,100
226,350
Richmond.
Returned. I Received.
Returned.
j
i8,173,500 !$14,850,750
926,000
1,657,200
352,750 1,287,950
593,500
1,202,850
431,020
463,050
665,000
1,454,550
171,445
284,350
70,500
279,650
72,300
386,700
89,600
116,500
270,790
291,700
11,816,405
i
Cleveland.
Philadelphia.
16,375,000
6,132,650
7,216,250
3,743,330
546,000
649,800
746,700
1,981,555
16,923,250
7,379,950
8,666,250
4,391,650
8,089,650
1,980,900
1,165,400
1,778,350
801,050
3,110,300
1,991,250
666,600
529,000
156,575
56,500
57,150
92,500
161,820
22,275,250 | 52,633,460 ! 62,805,850 17,071,345
26,909,000
22,778,645
17,648,900
$1,222,450
8,636,450
2,515,000
1,866,100
8602,750
7,197,500
4,676,500
3,124,500
1,269,500
600,165
118,000
190,400
160,200
326,610
1,882,250
2,754,500
901,250
983,500
874,750
228,750
203,75C
18,773,525
23,430,000
I
Atlanta.
Boston
New York
Philadelphia...
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis...
Kansas C i t y . . .
Dallas
San Francisco.
Total
Received.
Returned.
§455,650
4,253,550
703,000
527,450
1,892,250
§426,070
3,782,580
847,235
1,343,070
1,810,150
1,230,000
2,369,285
92,000
292,650
919,150
260,530
2,088,715
2,490,495
379,230
999,025
1,313,100
265,655
12,995,515
15,745,325
Chicago.
St. Louis.
Received. I Returned.
Received, j Returned.
Received.
Returned.
Received.
$180,085
1690,000 I 3281,250
5,680,000 •' 1,966,050 ' 1,684,675
374,500
1,232,500 i
395,000 i
4,182,500 ! 491,700 ! 1,196,415
602,425
1,266,500 | 898,250 j
1,264,500 I 2,513,495 2,376,785
2,777,500 ! 5,791,525
"5," 783* 525' " 2," 852," 500*'.
2,891,500
4,215,500
191,000 I
465,940
3,962,500 ! 1,317,650 j 2,471,840
1,600,450
736,400
764,000 i
873,000 i 1,484,285
2,102,185
2,324,500 I
365,705 j
458,520
§278,050
1,165,400
282,000
512,550
983,500
388,730
4,244,000
467,540
877,500
537,000
91,500
226,000
114,000
90,500
2,863,500
197,500
474,550
136,450
992,770
553,000
111,000
872,000
8361,800
1,703,100
382,000
430,350
801,250
683,450
3,821,000
2,437,730
546,500
130,650
313,800
193,900
305,150
1,681,950
1,370,650
474,550
1,115,850
1,416,655
760,450
693,400
34,431,525 28,435,000
9,925,540
5,733,500
13,699,685
6,675,10C
SI, 450,650
8,045,050
1,648,000
5,267,550
2,758,500
2,147,715
12,070,600 j 17,086,995
San Francisco.
Dallas.
Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
,
Minneapolis...
Kansas City..
Dallas.
San Francisco.
Total
Minneapolis.
Kansas City.
Returned.
874,300
676,300
Total.
Returned.
Received.
$111,700
800,000
136,000
156,700
215,750
1,034,350
726,000
1,423,985
77,500
717,950
888,250
655,800
125,950
240,650
145,800
891,650
631,400
836,900
118,350
997,600
$243,400
2,277,700
252,000
325,850
163,500
226,455
1,925,500
371,145
763,500
494,900
381,700
$320,340 I $14,483,200
2,636,105
54,573,200
433,835 ! 26,689,000
581,960 I 18,387,450
415,490 I 20,643,500
311,880 ' 15,071,565
2,404,270 i 26,794,000
457,230 i 16,684,485
5,570,500
1,119,855
6,168,, 100
1,678,555 i
628,035 ' 5,542,750
8,905,985
812,269,495
60,028,860
29,104,120
22,951,795
18,673,215
13,200,315
34,365,360
12,205,625
9,970,525
14,517,070
6,482,270
8,980,725
7,425,650
10.987,555 j 219,513,735
242,749,375
491,905
284,550
! 5,891,840
5,016,900
Returned, i Received.
Returned.
Received.
MAY 1, 1919.
505
FEDERAL RESERVE BULLETIN.
CONDITION OF MEMBER BANKS.
These increases apparently are due largely to investment by reporting banks in the newry issued
Between March 14 and April 18 weekly re- bonds of the War Finance Corporation.
ports of condition of about 770 member banks
Aggregate holdings of United States war
in 100 leading cities indicate a net reduction securities and war paper decreased from 4,035.3
of over 200 millions in their holdings of United millions on March 14 to 3,810.7 millions on
States war securities, largely Treasury certifi- April 18 and constituted 26.6 per cent of the
cates. Large decreases in certificate holdings loans and investments of all reporting banks,
shown between March 14 and 21 follow the compared with 27.7 per cent on the earlier date.
taking up by the Government on or about For the New York City member banks a decline
March 15 of about 800 millions of tax certifi- of this ratio from 32 to 31 per cent and for the
cates, while subsequent reductions are ap- member banks in all the 12 Federal Reserve
parently due to the redemption by the Govern- Bank cities a decline from 29.1 to 27.8 per
ment prior to maturity of the Treasury certifi- cent may be noted.
cates due on May 5. The result of these operaDuring the same period Government deposits
tions is seen in a reduction of about 400 mil- fluctuated between a minimum of 452.8 millions in the certificate holdings of reporting lions on April 4 and 723.8 millions on April 11,
banks by April 4. In consequence of the allot- subsequent to the certificate issue of April 10.
ment of the ninth issue of certificates in antici- Other demand deposits (net) show a sharp depation of the Victory loan, holdings on the cline after March 14, undoubtedly as the result
following Friday increased by 267.6 millions, and of the large income tax payments due on
stood at 2,079.5 millions on April 18, compared March 15. An increase of 139 millions is shown
with 2,241.2 millions on March 14.
on April 18, the New York banks alone reportUnited States bonds other than circulation ing a gain under this head of 60.7 millions.
bonds on hand indicate a practically steady For the four-week period there is shown a net
though slow decline from 676.1 to 637.3 mil- loss of 125.3 in net demand deposits of all relions, the decrease of 38.8 millions reflecting porting banks. Demand deposits of the New
largely the amount of Liberty bonds acquired York banks reached a high level of 4,357.5
during the period on the partial payment plan millions on April 4 and stood at 4,337.5 milby customers of the reporting banks. I t is lions on April 18, or only slightly below the
noteworthy that no decrease in bond holdings March 14 total. Time deposits show a steady
is reported by the New York member banks. increase, the total on April 18, 1,714.2 millions,
Loans secured by United States war obligations, being about 45.7 millions in excess of the total
largely Liberty bonds, declined from 1,118.1 to shown on the earlier date. In harmony with
1,094 millions, liquidation of these loans being the decline in their deposits the banks report
reported largely by tlie banks in the Federal Re- a decrease in their reserve balances with the
serve Bank cities. All other loans and invest- Federal Reserve Banks from 1,298.3 to 1,276
ments show increase of 66.3 millions, of which millions, all classes of banks sharing in this
36.3 millions represent the increase of the mem- decrease. Cash in vault shows a nominal gain
ber banks in the 12 Federal Reserve Bank cities. from 348.8 to 350 millions.
Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve
Bank cities and in Federal Reserve branch cities as at close of business on Fridays from Mar. 21, 1919, to Apr. 18, 1919.
1. ALL REPORTING MEMBER BANKS.
[In thousands of dollars; i. c. 000 omitted.]'
Boston.
Number
of
Phila*
delphia.
Cleveland.
Richmond
San |
AtMinne- Kansas
St.
Fran- | Total.
tlana. Chicago. Louis. apolis. City. Dallas. Cisco.
I
reporting
banks:
Mar. 21.,
Mar. 28
Apr. 4
Apr. 11
Apr. 18
United States bonds to
secure circulation:
Mar. 21
Mar.28
Apr. 4
Apr. 11
Apr. 18
New
York.
90
90 I
90:
90 I
90 ;
106
106
106
106
106
14,402
14,402
14,402
14,402
14,409 j
48,165
48,836
49,787
49,896
•19,671 |
11,594
11,597
1.1,597
11,597
11,597 ]
40.882
40.883
40,960
40,915
40,915
i 25,190
i 25.190
I 25'190
! 25,220
25,241
47
47
47
47
47
i
j
i
!
I
101
101
101
101
101
15,265 I 19,911
15,265 I 19,911
15,265
19,911
15,265
19,911
15,265
19'. 910
37
37
37
37
37
16,908
16,908
16.908
16', 908
16 90*
6,820
6,820
6,870
6,870
13,984
13,984
13,984
13,984
18,275
18,275
18,324
18,324
ti'.STO j 13,984 18,324
53
53
53
53
53
772
772
773
773
773
35,685
35, 685
35,685
35.658
35; 685
267,081
267, 756
268,883
• 268,950
268,779
506
FEDERAL RESERVE BULLETIN.
MAT
1, 1919.
Principal resources and liabilities of member banks in leading^ cities, including member banks located in Federal Reserve Bank
cities and in Federal Reserve branch cities as at close of business on Fridays from Mar. 21. 1919, to Apr. 18, 1919—Con.
1. ALL R E P O R T I N G MEMBER BANKS—Continued.
[In thousands of dollars; i. e, 000 omitted.]
Cleveland,
Other United States
bonds, including Liberty bonds:
Mar.21
19,606
Mar,28
19,408
Apr. 4
19,251
Apr. 11
19,075
Apr. 18
18,336
United States certificates
of indebtedness:
Mar.21
117,327
Mar. 28
97,053
Apr. 4
92,521
Apr. 11
113,501
Apr. 18
116,625
Total United States securities owned:
Mar.21
151,335
Mar. 28
130,863
Apr. 4
126,174
Apr. 11
146,978
Apr. 18
149,370
Loans secured by United
States' bonds and certificates:
Mar.21
91,575
Mar.28
92,695
Apr. 4
! 93,464
Apr. 11
j 91,772
Apr. 18
! 85,284
Other loans and investments:
Mar.21
784,384
Mar.28
\ 780,975
Apr. 4
! 777,023
Apr. 11..
780,162
Apr. 18
793,482
Totalloans and investments:
Mar.21
1,027,294
Mar.28
1,004,533
Apr.4
996,661
Apr. 11
11,018,912
Apr. 18
|l,028,136
Reserve with Federal j
Reserve Bank:
|
Mar.21
i 56,269
Mar.28
j 72,080
Apr.4
! 62,681
Apr. 11
i 68,530
Apr. 18
! 65,668
Cash in vault:
j
Mar.21
1 23,339
Mar.28
\ 23,268
Apr.4
! 23,736
Apr.ll
24,224
Apr. 18
i 22,752
Not demand deposits on |
which reserve is com- ;
puted:
I
Mar.21
697,984
Mar.28
692,275
Apr.4
694,288
Apr.ll
713,371
Apr. 18
731,264
Time deposits:
Mar.21
110,508
Mar.28
110,464
Apr.4
111,175
Apr.ll
i 111,099
Apr. 18
112,057
Government deposits:
Mar.21
67,525
Mar.28
58,959
Apr.4
44,963
Apr.ll
56,292
Apr. 18
52,692
St.
MinneLouis. apolis.
RichAtmond. lanta.
20,272
20,257
20,127
20,327
20,241
34,913
33,150
35,414
34,449
33,594
665,441
680,825
646,365
647,493
637,264
267,333 69,755 44,294
255,061 66,679 43,152
243,564 65,732 42,882
261,568 73,463 49,283
262,003 74,112 46,120
56,456
49,905
53,265
57,637
58,491
30,762
30,677
30,310
36,135
36,311
109,320
105,445
100,562
111,068
113,656
2,022,018
1,900,673
1,841,783
2,109,440
2,079,489
72,335
70,264
67,665
67,676
63,327
48,094
47,722
46,098
46,699
45,011
31,674
30,300
29,891
29,900
30,390
905,205
848,462
825,844
985,191
3:957,000
135,698
130,978
126,727
141,931
132,908
151,914
142,273
131,389
133,681
135,569
67,810
67,038
65,524
75,177
75,824
66,144
63,950
63,463
70,805
70,870
1,234,374
1,178,947
1,155,414
1,319,802
1,294,952
184,661 I
179,870 j
173,708
188,354 i
177,793 !
265,131
253,420
240,014
242,272
239,811
141,094
139,950
136,812
147,096
146,076
113,083
109,515
108,619
115,970
116,525
351,642
337,152
322,983
339,222
336,096
64,398 21,150
62,180 20,789
59,508 19,363
57,743 18,609
54,183 17,148
I
!
564,675
564,843
549,743
550,865
544,536
I
j
1142,744 !
142,292 j
141,372 !
141,573 j
140,402 I
95,508
92,419
92,330
93,328
93,463
39,576
39,334
39,350
38,217
37,473
22,895
22,321
22,460
22,188
22,839
90,591
89,763
89,229
93,072
91,029
4,018,054
4,019,748
4,009,529
4,039,017
4,021,758
621,736 j
623,251 i
620,671
613,398
611,895 j
979,135
990,326
982,510
986,070
992,851
371,228
374,252
372,345
371,980
376,392
307,804
302,830
299,426
302,908
300,191
5,817,103
5,763,538
5,714,686
5,909,684
5,861,246
949,141
945,413
935,751
943,325
930,090
1,339,774
ll, 336,165
(1,314,854
1,321,670
1,326,125
551,898
553,536
548,507
557,293
559,941
641,621
625,881
651,075
640,022
662,121
60,174
61,527
63,699
67,307
58,870
93,050
87,965
92,794
87,692
85,546
32,822
36,074
34,752
35,126
34,618
34,132
31,245
32,775
31,605
35,462
4,710,214
4,684,975
4,738,984
4,662,636
4,751,827
655,435 |
653,426 f
648,129
645,302
645,700 I
265,084
270,359
271,961
271,271
276,500
22,300 i
22,436 I
22,605 !
22,728 |
309,613
268,910
202,386
407,213
336,997
45,639 !
38,903 !
28,464 j
41,460
36,193 i
22,193 I
107,813 62,045 94,135
104,376 60,798 90,874
102,003 60,361 90,521
108,980 66,854 94,394
108,168 63,878 95,052
25,055
27,145
26,427
26,509
25,462
179,918 2,954,540
174,280 2,829,254
68,761 171,661 2,757,031
74 786 181,175 3,025,883
74 876 182,935 2,985,532
11.115
10,707
10,889
11.116
11,614
11,103
11,381
12,221
12,290
12,365
7,296
7,071
7,164
6,839
6,815
21,418
21,847
22,102
22,363
22,700
1,123,551
1,121 818
1,106 751
1,110,132
1,093,982
1,405,472
11,412,709
1,388,708
1,386,878
|1,401,535
386,881 j, 1,976
385,610 232,437
385,159 243,987
388,035 244,860
388,940 248,054
445,984
446,840
449,932
444,667
441,388
172,744
171,871
176,964
176,880
177,030
511,165
512,111
512,040
502,522
513,196
10,233,563
10,252,960
10,218)294
10,237,377
10,266,712
443,782
434,666
430,505
441,066
439,555
|l,S47,705
1,839,624
1,800,920
1,819,172
1,828,660
519,749
517,131
513,589
523,524
522,570
302,136
303,942
315,237
322,830
323,546
551,222
549,095
552,674
551,351
548>805
249,349
248,151
252,889
258,505
258,721
712,501
708,238
705,803
706,060
718,831
14,311,654
14,204,032
14,082,076
14,373,392
14,346,223
28,016
29,706
27,359
28,843
30,640
151,990
157,517
160,584
154,287
161,477
40,385
23,531
22,849
23,300
24,758
21,931
41,885
47,297
38,582
38,600
43,372
17,179
16,615
18,687
16,961
18,126
49,413
48,924
51,304
50,641
52,094
1,236,335
1,244,821
1,267,552
1,252,477
1,275,986
17,271 13,600
17,121 13,446
17,498 13,200
18,354 13,719
16,835 14,197
59,440
60,416
62,578
64,246
60,712
9,614
9,820 10,495
If), 359 10,223
10,265
8,425
9,660
8,238
15,159
14,864
14,652
15,453
15,041
8,553
10,489
8,605
9,233
8,682
19,985
20,269
18,714
20,374
20,204
347,755
350,048
349,579
356,145
349,952
i
118,219 ! 20,007
119,500 19,115
118,232 19,007
121,411 18,836
119,160 19,009
Total.
23,695
26,985
23,272
22,773
22,577
37,369
37,295
35,384
34,826
33,288
I
I
I
1
San
Dallas. Francisco.
10,931
10,826
10,609
10 701
10,888
281,004
281,649
279,783
284,715
288,281
I
I
City.
108,442
1316,700
1322,573
324,536
|326,965
1,171,657
1,185,086
1,176,472
1,191,787
L, 211,073
296,381
296,373
299,783
298,380
299,346
221,984
223,442
221,802
228,908
214,664
388,208
387,716
385,089
386,309
384,100
]l56,825
1154,888
!152,695
159,258
161,888
422,406
429,341
430,568
436,516
445,604
10,058,842
10,054,438
10,097,465
10,017,102
10,186,109
294,202 I 77,104 104,215
422,228
294,521 ! 77,838 104,708
423,634
295,519 78,518 105,611
423,959
290,939 79,051 108,704 ! 425,440
295,763 ] 80,505 112,588
427,727
95,066
95,457
96,214
99,954
98,178
53,797
54,318
54,544
55,167
55,236
67,170
66,558
67,685
68,321
67,036
28,021
28,183
28,306
29,044
29,375
135.404
135,919
136,043
136,522
136,886
1,674.992
1,684,259
1,691,971
1,698.117
1,714,579
88,679 27,544 12,057
88,740 22,969 10,368
62,120 17,457 6,284
63,688 23,444 12,312
76,304 21,340 10,417
23,121
18,740
12,263
14,486
12,964
15,767
14,552
11,287
17,752
15,362
791,559
790,072
786,328
753,936
770,550
62,957
54,252
44,439
52,162
58,521
19,038
16,298
12,277
19,707
18,539
237,747
240,144
240,754
246,163
243,128
42,735
39,710
41,523
18,105
15,810
10,891
15,259
13,342
690,045
608,561
452,831
723,775
652,671
507
FEDERAL RESERVE BULLETIN.
MAY 1,1910.
Principal resources and liabilities of member banks in leading cities, including member banks located in Federal Reserve Bank
cities and in Federal Reserve branch cities as at close of business on Fridays from Mar. 21,1919, to Apr. 18,1919—Contd.
2. MEMBER BANKS IN F E D E R A L RESERVE BANK CITIES.
[In thousands of dollars; i. e., 000 omitted.]
j Boston
New i Phil a- ! Clevc- RichYork. idelphiaJ land. mond.
Atlanta.
San
St. •' Minne- Kansas Dallas. I FranChicago. Louis.
\ apolis. City.
i Cisco.
Total.
i
Number of reporting banks: \
\
9 I
15 ;
Mar 21
1
21
65 i
41
255
7i
7
15 i
255
9I
Mar.28
21
65 !
41
i
256
15 i
Apr. 4
21
65 !
41
256
15 •
Apr.ll
21
65 i
41
256
15 ;
Apr.18
21
65;
41
United States bonds to secure
!
circulation:
!
!
4,060 i 18,500
Mar.21
1 4,278
37,947! 7,587 3,098 2,873 3,800
1,169 10,553 I 2,741 4,745
102,251
4,060 I 18.500
Mar.28
' 4,278
38,618 j 7,587 3,998 2,873 3,800
1,169 10,553 ! 2,741 4,745
102,922
103,958
4,745 4,060 j 18; 500
Apr. 4
1 4,278
39,569! 7,587 4,031 2,873 3,800
1,169 10,553 ' 2,791
103,967
2,791 4,745 4,060 j 18,500
Apr.ll
I 4,278
39,580 ! 7,587 4,031 2,873 3,800
1,169 10,553
103.642
2,791 4,745 4,060 ! 18,500
1,168 10,553
Apr.18
i 4,278
39,256 i 7,587 4,031 2,873 3,800
Other United States bonds, in- |
|
!
eluding Liberty bonds:
i
i
27,151 12,135 1,528
6,538 4,724 13,(533 ! 369,758
Mar.21
10,015 242,611 ! 28,546 11,926
25,956 11,996 1,432
6,645 4,895 13,578 ! 370,087
Mar.28
9,934
243,884 128,628 12,326 I 7', 515 i 3,298
6,547 4,867 14,451 j 362,427
Apr. 4
9,844; 242,585 I 26,857 10,757 j 7,320 i 3,121
23,877 10.682 1,519
6', 674 5,168 13.335 • 363,896
Apr.ll
9,746 ! 247,177 ; 26,317 10,453 i 7,609 i 3,188
22,428 10;211 1,590
5,053 13; 266 ! 361,528
1,587
6,588
21,438 9,012
Apr.18
1 9,081! 251,489 ' 24,838 9,371 j 7,087 I 2; 718
United States certificates of in-1
j
i
debtedness:
I
!
Mar.21
1 72,289! 833,718 |120,169 37,712 i 10,501 I 9,531 ! 157,174 47,720 j 18,531 j 16,856 I 13,84438,189 '1,376,234
Mar.28
! 55,465 ! 779,743 1116,182 34,711 I 10,453 ! 9,405 I 151,364 45,963 18,295 j; 15,415 j 13,939 35,708 11,286,643
Apr. 4
! 53,145 ! 758,090 ; 112,089 i 30,926 I 10,438 i 9,388 i 146,121 45,400 j 18,475 15,589 ! 13,955 33,750 jl,247,366
Apr.ll
! 70,860 i 910,015 : 126,300 I 28,051 I 11,588 I 10,043 1 152,267 51,643 ! 20,394 i 17,224 I 15,11438,462 (1,451,961
Apr.18
! 73,045 | 881,911 jll7, 111 28,753 ! 12,191 • 10,058 151.141 52,287 i 17,877 j 17,623 | 15,171 38,904 j 1,416,072
Total United States securities •
owned:
i •'
'
I
Mar.21
i 86,582 il, 114,276 i156,302 53,636 20,951 I 16,705 185,494 70,408 j 22,800 \ 28,139 i 22,628
Mar.28
! 69,677 11,062,245 152,397 51.035 20,841 1 16,503 178,489 68,512 •; 22,468 i 26,805 I 22,89467,786 |1,759,652
Apr. 4
! 67,267 !l,040,244 1146,533 45; 714 20,631 i 16,309 171,167 66,635 j 22,785 ! 26,881 i 22,88266,701 il, 713,749
Apr.ll
i 84,884 11,196,772 ! 160,204 42,535 22,070 I 17,031 175,864 72,407 24,775 I 28,643 I 24,342 70,207 11,919,824
Apr.18
! 86,404 jl, 172,656 149,536 42,155 22,151 i 16,576 173,747 71,852 22,255 ! 28,956 I 24,284 70,670 |1,881,242
Loans secured by United i
|
States bonds and certificates:j
I
65,703 19,450 6,484 - 2,860 2,024 10,686 891,409
Mar.21
i 71,133 525,337 1137,530 29,954 15,392 ! 4,856
64,862 21,159 6,384 ! 2,966 1,786 11,239 890,989
Mar.28
i 72,692 525,200 1136,429 28,174 14.970 ! 5,128
1,897 11,095 874,840
64,657 20,266 6,393 ) 2,904
Apr. 4
! 73,406 510,580 1135,992 27,071 15; 382 ! 5,197
67,605 20,272 6,524 ! 2,947 1,769 11,083 876,660
Apr. 11
1 71,612 511.151 j136,095 27,666 14,839 i 5,097
65,738 19,214 6,632 •• 2,903 1,798 11,051 861,128
Apr.18
! 66,232 505,796 1134,953 ! 26,867 14,537 ! 5,407
Other loans and investments: !
Mar.21
|556,973 3,624,293 i546,371 274,735 71,226 58,765 875,800 263,655 j 98,136 ,158,126 42,852 195,054 16,765,986
Mar. 28
1553,693 3,617,397 1548,036 280,696 71,421 58,594 882,924 261,025 1100,742 j159,800 42,194 196,854 |6,773,376
Apr. 4
!550,395 3,605,803 |o45,603 275,524 67,697 56,559 880,930 261,377 112,097 1160,847 43,757 193,157 16,733,746
Apr.ll
1552,023 3,632,539 1539,133 278,629 67,951 58,894 849,253 263,143 113,446 156,333 45,525 192,326 ,749,19o
Apr.18
1563,332 3,613,301 537,971 283,985 68,172 59,038. 863,028 263,359 111,722 154,758 45,572 196,511 », 760,749
Total loans and investments: I
Mar.21
i714,688 5,263,906 1840,203 358,325 107,569 80,326 1,126,997 353,513 127,420 1189,125 67,504 276,062 9,505,638
Mar.28
1696,062 |5,204,842 |836,S62 359,905 |lO7,232 80,225 jl, 126,275 350,696 129,594 ilS9,571 66,874 275,879 9,424,017
Apr. 4
1691,068 15,156,627 1828,128 j348,309 103,710 78,065 |l,096,754 348,278 1141,275 !190,632 68,536 270,953 19,322,335
Apr.ll
,708,519 15,340,462 !835.432 1348,830 104,860 81,022 jl, 092,722 1355,822 |144,745 i 187,923 71,636 278,706 19,545,679
Apr.18
|715,968 (5,291,753 !822;460 353,007 104,860 81,021 il, 102,513 354,425 140,609 ,186,617 71,654 278,232 19,503,119
Reserve with Federal Reserve j
Bank:
Mar.21
-..! 41,866 610,173 ! 54,353 | 21,209 5,554 5,727 104,040 29,611 10,703 I 12,856 4,385 17,276 917,753
110,305 28,038 !10,875 ! 16,546 3,761 18,406 925,176
6,224
Mar.28
j 58,003 590,635 I 55,121 21,345 5,917
" - — j 57^590 24,641 5,851 5,254 111,947 31,245 i 11,111 i 11,118 4,822 18,282 947,471
Apr. 4
! 48,051 617^567
6,061
104,811 28,583 11,536 ! 10,575 4,304 17,426 929,282
5,346
22,286
Apr.ll
j 54,296 603,466 60,592
6,051 110,846 30,660 9,596 j 13,326 4,760 19,907 954,312
Apr.18
! 51,326 626,406 | 52,458 23,167
Cash in vault:
i
I
35,715 5,493 2,587 ! 4,206 1,511 5,410 201,656
Mar.21
! 14,502 104,542 | 15,867 7,139 2,251 2,433
1,697
5,652 204,640
35,258 5,608 4,739 | 3,878 1,967
2,460
Mar.28
! 14,377 105,900 j 15,895 7,209
4,913 204,087
2,395
37,225 5,997 4,285 j 3,942 1,650
Apr. 4
! 14,712 j 104.297 i 15,287 7,748 1,636
1,845
7,717
5,132
37,455
5,820
2,447
2,503
I
4,096
206,270
1,758
Apr. 11
i 15,192 106)448 j 15,857
1,734
4,918 200,217
2,530
35,311 5,366 2,256 ! 3,862 1,620
Apr.18
| 14,126 104,977 15,585 7,932
Net demand deposits on which I
reserve is computed:
i
Mar.21
:532,507 4,314,240 572,184 179,505 53,369 43,021 793,633 (197,205 97,479 !l31,061 41,411 168,439 7,124,054
Mar.28
1532,197 4,294,280 570,637 181,939 53,306 43,891 807,712 1197,905 100,739 1134,116 39,743 171,791 7,128,256
!
169,277 7,166,614
Apr. 4
529,102 4,357,532 564,062 178,147 52,321 43,749 797,722 1200,045 101,515 '128,155 44,987 -._,-..
Apr. 11
'540,742 |4,276,755 561,811 167,118 52,470 43,956 794,988 |197,995 101,656 130,618 46,127 170,019 17,084,255
199,914
128,288
170,596
808,835
92,808
52,057
177,192 7,167,179
47,963
44,444
Apr.18
,547,201 4,337,478 560,403
Time deposits:
13,874
1128,249
18,072
7,961
12,776
64,708
3,024
10.009 682,017
19,767
162,889
Mar.21
34,54® 206,088
~~ """ 128,827 13,176 19,731 162,533 64,566 18,485 7,773 3,012 101189 688,049
Mar.28
134,603 211,137 13,987
129,472
18,544
7,866
13,257
19,603
64,814
3,044
9,983 689,478
162,045
Apr. 4
134,851 211,881 14,118
Apr.ll
|34,815 211,024 13,919 123,815 13,690 19,621 163,057 65,251 18,529 7,999 3,086 10,225 685', 031
696,111
19,284
127,763
18,656
7,765
14,024
65,558
3,066
10,487
164,056
Apr.18
135,628 215,988 13,836
Government deposits:
i
i
11,898
503,109
2,519
i
2,292
54,605
20,557
4,695
|
11,291
Mar.21
! 49,710 283,766 42,141 | 19,635
441,200
54,062 ! 16,985 4,065 ! 9,649 10,815
Mar.28
43,174 246,734 36,164 I 15,354 2,163 ! 2,035
331,793
6,659
13,152
2,946
;
1,763
I
1,522
8,895
37,668
Apr. 4
32,495 186,241 26,375 i 14,077
570,260
36,445 18,371 4 444 6,533 11,446
Apr.ll
41,499 386,906 38,209 22,020 2,511 ! 1,876
493,591
15,985
3,507
|
5,369
2,749
i
1,566
9,535
Apr.18
39,073 318,400 33,292 19,697
44,418
i
„,«!,,„,„
508
FEDERAL RESERVE BULLETIN.
MAY 1, 1919.
Principal resources and liabilities of member banks in leading cities, including member banJcs located in Federal Reserve Bank
cities and in Federal Reserve branch cities as at close of business on Fridays from Mar. 21,1919, to Apr. 18,1919—Contd.
3. MEMBER BANKS IN F E D E R A L RESERVE BRANCH CITIES.
[In thousands of dollars; i. c , 000 omitted.]
Dallas IISan Fran•istrict.8
CleveRichAtlanta j Chicago St. Louis Kansas
land
mond
City
District.! District. 2 District.»I District.* District .5 District.6
Number of reporting banks:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
United States bonds to secure circulation:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Other United States bonds, including Liberty
bonds:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
nited States certificates of indebtedness:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Total United States securities owned:
Mar. 21
Mar. 28
•
Apr. 4
Apr. 11
-•
Apr. 18
Loans secured by United States bonds and certificates:
Mai\ 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Other loans and investments:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Total loans and investments:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
!
Apr. 18
!
Reserve with Federal Reserve Bank:
\
Mar. 21
!
Ma r. 2 8
1
Apr. 4
|
Apr. 11
i
Apr. 18
!
Cash in vault:
j
Mar. 21
j
Mar. 28
Apr. 4
Apr. 11
Apr. 18
•
Net demand deposits on which reserve is computed:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Time deposits:
Mar. 21
Mar. 28
Apr. 4
Apr. 11
Apr. 18
Government deposits:
Mar. 21
Mar. 28
Apr. 4
A or. 11
Apr. 18
39
39
39
39
39
19
19
19
19
19
23,610
23,616
23,616
23,616
23,616
5,091
5'. 091
5,091
5.091
5,091
48,018
45,878
45,253
45,804
42,726
8,044
7,801
7; 702
8.057
8,030
13,342
12.451
12,249
12.319
11,747
82,852
77,481
73,057
79,283
78,570
27,048
26.493
26!092
31,527
31,723
37,724
36.676
36'. 520
41.202
41,152
154,486
146;975
141,926
148,703
144,912
21 I
21 i
21 i
21 i
21
I
5,085
* !
5,085
5', 085
5:085
5,085
12
12
12
12
12
1.805
1,805
1,805
1.805
l'. 805
18
18
18
18
18
(j
17
17
17
17
17
Total.
0
6
0
6
28
28
28
28
28
160
160
160
160
160
5,005
5,005
5,005
5.005
5,005
4.487
4'. 487
4'. 487
4', 487
4.487
1.255
1.255
1,255
1'.255
1,255
8,485
8.485
8.485
8.485
8,485
51,829
54.829
54,829
54.829
54,829
17,782
17,282
10.907
16;577
16,109
8.076
7,930 !
7,824 '
7.596
7,334
7,882
7,590 I
7,871
7.344
7;334
2.050 i 13.962
2.039 ! 13.172
2.043
13; 814
2! 046
14.015
2,002
13,180
119.156
111.143
113;063
113,758
108!462
59,398
57'. 084
52,848
60', 997
60,837
19,765
18.445
18.024
19.441 I
19,270 ;
20.712
19,777
19.355
2i;526
21,641
40,183
39.385
38,885
44,675
44'. 844
56.151 j 78.985
54; 212 j 76.171
71.560
53,854
79.379
58,006
78.75i
57,984
32,846 !
31,380 !
30,853 "
32.042
31,609
55,319
53,910
54,978
55,450
56,255
12,488
12,761
12,322
11.938
Hi 548
12,456
11,699
11,600
11,676
11,661
10,069
10,319
10.238
11.195
10;844
4,232
4.551
4', 738
4.835
4,765 |
513,636
518,216
517,454
516,878
519,651
112,084
112,625
113.781
113,085
115,390
161,682
162,214
161,233
161,499
160,474
723,441
719,107
714,358
721,031
720,818
164,755
164,771
164,988
169.698
171.782
56,247
51,308
52,863
50,561
47^ 873
15,443
14,825
15,557
14,105
17,460
52.682
51,511
48,307
53!129
54,712
303,319
290,975
277,339
312;763
313,682
33.081
31', 854
31,713
33.357
33,402
3.138
3.508
3', 136
5.658
5,777
6.443
6.802
6! 434
8,959
9,034
75,129
73,168
70,606
75,029
76', 377
477,304
459.947
445;831
481.350
476,973
5.081
5! 334
6,255
6.120
6.083
374
377
381
382
380
6.348
6! 174
6'. 227
6,397
6,739
106,307
105,131
106', 799
107,993
108.275
248,616
248,911
248,275
256,349
2,55,549
107,263 I 149,340 I 13,926
108,753 ' 147,614
13,731
108,199 148,316
13,885
109,439
151,534
13,680
110,037 150,768
13,805
208,840
209,530
212,857
202,928
209,417
1,515,393
1,521,597
1,524,000
1,525,392
1,535,091
230,289
228,125
226,747
231,781
230,119
337,670
335,401
330,073
346,923
345,144
144,341
144,084
143.790
146!316
140,411
187,502
184,802
186,284
191,011
190,313
20,743
20,913
20,700
23,021
23,219
290,323
288,872
289,090
284,954
292,533
2,099,064
2,086,675
2,070,030
2,114,735
2,120,339
12,113
14,427
12,856
13,311
12,904
14,903
16,120
14,484
15,972
16,827
21,284
21,014
20,869
23,442
24,075
9,792
9,533
10,383
10,08-1
10,009
15,607
10,320
14,007
14,794
16,035
1,225
1,194
1,545
1,118
1,650
20,903
19,890
21,602
21,310
21,027
152,194
149,812
148,709
150,592
150,400
4,907
5,376
5,320
6,009
5,098
6,572
6,271
6,241
6,314
6,837
11,082
11,595
11,897
12,510
12,090
3,390
3,516
3,501
3,579
3,400
5,-169
5.588
5; 293
5,744
5, 798
498
545
594
7,502
7,598
0,801
7,810
8,326
55,085
55,267
55,215
50, GQo
59,570
460,836 I
457,119 I
457,583 i
441,141 I
453,558 I
103,504
107,855
111,939
111,903
116,108
135,048
134,605
134,431
138,206
136,291
147.420
149;758
148.727
16?; 508
171,409 I
89,116
88,055
89,297
90,134
88,833
129,083
128,230
130,950
133,758
134,920
93,378 i
93,612
93,950 i
95,100 !
95,709 i
14,711
14,701
15,255
15,402
15,117
50.982
5i;337
51,930
54,909
59,154
164,992
166,473
100,434
160,677
1(57,602
23.254
23;755
24,214
27,485
25,350
36,344
30,355
30,029
30,947
37,168
35,407 i
32,007 '
25,275 I
23,335 j
32,371 i
9,519
8,361
6,572
11,747
10,484
10,759
9,248
6,204
8; 971
8.0.10
20,352
20,352
14,135
13', 746
19,043
1 Pittsburgh and Cincinnati.
2 Baltimore.
* New Orleans, Jacksonville, and Birmingham.
* Detroit.
D
!
6,542 '
5;024 j
4,107 !
4,789 i
4,941 ;
1
5,630 j
4,567 i
2,799 i
3,892 I
3,797
11,207 I
11.000 I
10:954 !
10:720 !
10; 042 i
5.430 !
5; 087
5,730
5,778
5,709 1
102,457 '
105,082 ; :
107,315
170,507 :
172,372 I
1,238,671
1,242,310
1.251,232
i; 201,003
1,284,139
93.990 i
94'. 024 :
93!971 :
94; 097 '•
94.150 ,
483,087
-185.944
488; 149
496.395
500;025
1,140 I.
962 !.
072 |.
2,895 j.
2,745 .
Louisville, Memphis, and Little Rock,
c Omaha and Denver.
7
El Paso.
8
Spokane, Portland, Soattle, and Salt Lako City.
89,349
81,121
59,764
69,375
81,391
,1919.
509
FEDERAL RESERVE BULLETIN.
IMPORTS AND EXPORTS OF GOLD AND SILVER.
Gold imports and exports into and from the United States.
[In thousands of dollars; i. e., 000 omitted.]
10 days end- 11 days ond- 10 days ending'Mar.
ing Ar>r.
insfMar.
10, 191i>.
20,1919.
31, 1919.
Total since
Jan. 1,1919.
Total, Jan.
1,1918, to
Apr. 12,1918.
IMPORTS.
Ore and base bullion
Bullion, refined
United States coin
Foreign coin
Total
1,035
6
28
428
5,903
2
378
56
2,509
4,854
6,984
7,645
3,229
4,319
2,483
132
1,069
6,333
2,943
19,483
10,163
3,268
9,207
EXPORTS.
DomesticOre and base bullion
United States mint or assay office bars
Bullion,refined..
. . .
.
Coin
.
744
2,337
848
1
135
1
10,985
744
2,337
15
848
6
11,122
41
12,501
304
744
2,352
854 '
11 lfis
12,805
. ..
Total
Foreign coin
Total exports
26
Excess of gold imports over exports since Jan. 1,1919, $8,320,000. Excess of gold imports over exports since Aug. 1,1914, $1,079,726,000.
Silver imports and exports into and from the United States.
[In thousands of dollars; i. e., 000 omitted.]
Total, Jan.
1 to Mar.
31, 1918.
10 days end- 11 days ending Mar. 20. ing Mar. 31.
10 days ending Apr. 10,
19i9.
Total since
Jan. 1,1919.
IMPORTS.
Ore and base bullion
United States mint or assay office bars
Bullion, refined
. .
United States coin
Foreign coin
Total
1,638
2,478
15,761
17,691
500
20
82
2,995
172
1,604
6,903
21
7,960
203
2,323
1,930
347
21
265
249
23
172
3,244
195
1, 776
2,271
3.080
20,532
17,410
2,374
22,906
7,595
2,511
33
715
83
45, 727
26,589
415
8
22,199
690
11,596
4,977
38
57,323
31,566
453
10,142
798
72,734
22,900
16,011
89,345
907
202
75
1,372
2, 407
535
103
1,861
1,227
2 396
1,371
3 088
75, 822
3 679
26,579
17,290
EXPORTS.
Domestic:
Ore and base bullion
United States mint or assay office bars
Bullion, refined
Coin
Total
Foreign:
Bullion, refined
Coin
Total
Total exports
3
982
11,124
305
1,103
3
3
144
679
3 767
93'112
Excess of silver exports over imports since Jan. 1, 1919, $70,206,000. Excess of silver exports over imports since Aug. 1, 1914, 5319,966,000.
510
FEDERAL RESERVE BULLETIK*.
MAT 1,1919.
Estimated general slock of money held by Treasury and by the Federal Reserve system, and all other money in the United
States, April 1, 1919.
General stock
of money in
the United
States.
Gold coin2
Gold certificates
Standard silver dollars
Silver certificates
Subsidiary silver
Treasury notes of 1890
United States notes
Federal Reserve notes
Federal Reserve bank notes
National-banknotes
Total:
April 1,1919
Mar. 1,1919
Feb. 1, 1919
Jan. 1,1919
Dec. 1,1918
Nov. 1,1918
Oct. 1,1918
Sept. L 1918
Aug. 1," 1918
July 1,1918
Jan. 1,1918
Apr. 1,1917
§3,092,415,909
328,434,930
*243,"387,"4i8"
:
346,681,016
' 2,695,714,210
;
155,632,180
•
724; 487,192
586,752,855 i
560, 299,924 !
611, 628,810 |
780, 793,606
669,576,580
590, 173,171
391, 008,277 .
092,955,371 |
895, 089,799 I
742,225,784 I
256, 198.271 i
312, 109.272 i
:
Held in the
United States
Treasury as
assets of the
Government. 1
Hold by or for
Federal Reserve Banks
and agents.
§353,098,171
12,445,046
51,510,656,040
450,785,415
8,781,975
3 3,455,904
15,994,562
50,348,326
12,828,092
67,465,856
* 55,752,082
142,744,280
9,444,817
13,531,253
*"*38,"448,'40i'
550,628,454
545,695,945
489.831,726
454,948,160
416,383,232
399,321,725
380,246,203
369,937,060
390,798,058
356,124,750
277,043,358
258,198,442
2,195,151,766
2,169,183,676
2,252, 757,560
2,220: 705,767
2,123;208,487
2,125,198,801
2,084. 774,897
2,070; 371,803
2,054, 455,993
2,018! 361,825
1,723: 570,291
952; 934,705
Held outside
the United
States Treasury and Federal Reserve
system.
Amount per
capita outside
the United
States Treasury and the
Federal Reserve system.
8403,256,743
374,619,540
81,062,200
198,370,635
227,486,468
1,771,719
274,934,372
2,502,621,604
133,359,271
643,490,083
4,840,972,635
4,851,420.303
4,869,039;524
5,105,139,679
5,129,984,861
5.065,652,645
4,925,987,177
4,652,646,508
4,449,835,748
4,367,739,209
4,255,584,622
4,100,976,125
$45.17
45.33
45.56
47.83
48.13
47.59
46.34
43.83
41.97
41.31
40.5339.54
1 Includes reserve funds against issues of United States notes and Treasury notes of 1890 and redemption funds held against issues of nationaJbank
notes, Federal Reserve notes, and Federal Reserve Bank notes.
3
Includes balances in gold settlement fund standing to the credit of the Federal Reserve Banks and agents.
3 Includes standard silver dollars.
* Includes Treasury notes of 1890.
DISCOUNT RATES.
Discount rates of each Federal Reserve Bank approved by the Federal Reserve Board up to Apr. 30, 1919,
Maturities.
Discounts.
Federal Reserve Bank.
Within 15
including
I member
banks'
collateral
notes.
Agricultural and
live-stock
paper
over 90
days.
Trade acceptances.
Secured by G. S. certificates of indebtedness or Liberty loan
bonds.
Within 15
days,
including
member
banks'
collateral
notes.
16 to 90
days.
Boston
New Y o r k l . .
Philadelphia.
Cleveland
Richmond....
Atlanta
Chicago
St. Louis
Minneapolis..
Kansas City..
Dallas
San Francisco
1
Rates for discounted bankers' acceptances maturing within 15 days, 4 per cent; within 16 to 80 days, 4\ per cent; and within 61 to 90 days,
4$ per
cent.
2
Rate of 4 per cent on paper secured by fourth Liberty loan bonds where paper rediscounted has been taken by discounting member banks
at rate
not exceeding interest rate on bonds.
3
Four per cent on paper secured by United States certificates of indebtedness.
* Rate of 4 per cent on paper secured by fourth Liberty loan bonds where paper rediscounted has been taken by discounting member banks
at rate not exceeding interest rate on bonds; also on paper secured by United States certificates of indebtedness.
NOTE 1.—Acceptances purchased in open market, minimum rate 4 per cent.
NOTE 2.—Rates on paper secured by War Finance Corporation bonds, 1 per cent higher than on commercial paper of corresponding maturities*
NOTE 3.—In case the 60-day trade acceptance rate is higher than the 15-day discount rate, trade acceptances maturing within 15 days will be
taken at the lower rate.
NOTE 4.—Whenever application is made by member banks for renewal of 15-day paper, the Federal Reserve Banks may charge a rate not exceeding that for 90-day paper of the same class.
M A Y 1,1919.
511
FEDERAL, RESERVE BULLETIN.
OPERATION OF THE FEDERAL RESERVE CLEARING SYSTEM MAR. 16 TO APR. 15, 1919.
Items drawn on banks in
Federal Reserve city
(daily average).
Items drawn on banks in Total items drawn on
district outside Fedbanks in own Federal
eral Reserve city (daily
Reserve district (daily
average).
average).
Number, i Amount.
Number.
18,221 ! $21,755,677
71,642.172
27,630^693 |
8,144,199
5,407,561
2,551,781
27,277,000
8,819,434
9,057,487
9,780,048
2,109,107
3,280,982
Boston
New York
Philadelphia..
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis.. Kansas City...
Dallas
San Francisco.
26,294 j
28,261 i
10,794 !
2,757 i
3,154 i
23,161 !
7,062 |
6,644 !
6,832 i
1,417 I
4,220 ;
Total:
Mar. 16 to Apr. 15,1919.
Feb. 16 to Mar. 15, 1919.
Jan. 16 to Feb. 15,1919..
Mar. 16 to Apr. 15,1918.
138,817 ! 197,4f>6,121
109,083
168,567,377
90,944 I 198,935,424
55,034 | 159,441,188
I t e m s d r a w n on
banks in other districts (daily aver-
Amount.
9,838 311,124,598
. 32,899 15,671,169
23,447 8,880,916
3,769 3,941,804
8,911 5,330,451
3,451 2,756,208
1,515,000
7,136
358,163
985
1,357,585
1,490
6,856 5,282,098
3,424 1,664,221
1,728,071
1,123
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Total:
Mar. 16 to Apr. 13, 1919
Feb. 16 to Mar. 15, 1919
Jan. 16 to Feb. 15, 1919
Mar. 16 to Apr. 15, 1918
85,049
126,853
46,079
70,890
52,459
26,830
73,221
40,664
26,187
71,736
27,581
686,512
640,346
599,951
271,506
Items handled by
both parent bank
and branches (daily average).
Number.
2,225
292
3,807
416
1,173
"3," 629*
1,160
4,256
Amount.
I Number.
$12,416,657
54,171,779
6,158,107
23,732,552
13,563,172
6,574,173
12,612,000
7,737,225
2,341,607
12,805,365
7,558,317
7,471, SOS
103,270
153,147
74,340
81,684
55,216
29,984
96,382
47,726
32,831
78,568
167,142,262
171,714,589
158,360,759
98,201,962
825,329
749,429
690,895
326,540
Amount.
334,172,334
125,813,951
33,788,800
31,876,751
18,970,733
9,125,934
39,S89,000
16,556.659
11,399J094
22,585,413
9,667,424
10,752,290
43,183
!
i
i
i
364,598,383
340,281,966
355,296,183
257,643,150
| I t e m s d r a w n on
j Treasurer of UnitNumber
I ed States (daily Number
nonmember member
j average).
banks in banks on
district. par list.
Amount.
Number.
Amount.
0,217 82,399,600
51,348 25,543,595
8,990 3,251,242
SI, 485,020
6,574 2,207,151
345,777
3,769
504 464 i
1,760,778
5,897 1,240,204 i
359,000
21,423 4,093,000
352,957
10,025 1,445,170
1,597
175,303
" 1," 884," 877"
7,673
454,154
193,024 i
4,832
519,634
2,648,372 i 5,843 7,496,409
425
725
665
819
569
428
1,342
517
875
999
739
243
322
350
885
295
288
2,804
1,339
1,292
2,186
249
911
8,765
8,729
8,717
8,059
11,084
10,885
10,622
9,525
i
4
101,329
100,963
89,972
| 53,725
59,610,264
55,760,559
58,431,530
53,391,691
16,958 9,029,805 ! 137,228 49,329,926
15,047 9,774,269 114,863 46,746,505
12,807 11,036,400 126,051 63,221,002
7,793 8,942,976
59,228 31,563,675
512
MAY 1,1919.
FEDERAL BESERVE BULLETIN.
FOREIGN EXCHANGE RATES.
Monthly ranges of exchange rates on leading foreign money centers, quoted in New York during the four months ending
April, 1919.
January.
Exchange L
at par. I
London:
60-day banker's bills, dollars
for£
Sight drafts. -dollars for £ . . .
Paris
francs for 100 dollars..
Milan
lire for 100 dollars..
Prague
dollars for 100 kronen
Vienna
do.._
Brussels.. -francs for 100 dollars..
Madrid...dollars for 100 pesetos..
Amsterdam, dollars for 100 florins.
Stockholm.dollars for 100 kroners.
Copenhagen
do
Christiania
do
Zurich
francs for 100 dollars..
Buenos Aires, dollars for 100 gold
pesos i
Rio de Janeiro, dollars for 100
paper railreis *
Valparaiso, .dollars for 100 pesos *.
Yokohama.. .dollars for 100 yen..
Hongkong, dollars for 100 Hongkong dollars
Shanghai, dollars for 100 Shanghai
taels
London average price of silver at
nominal rate of £ ($4.8665)
New York average price of silver..
1
Low.
4.73125
4.8665
4.7575
4.8665
518.1347 546.25
518.1347 637.25
20.30
20.30
518.1347 ! 570.00
20.05
19.30
41.125
40.20
28.10
26.80
25.90
26.80
27.25
26.80
518.1347 495.00
February.
April.
March.
High.
Low.
High.
Low.
4.73125
4,7575
547.50
637.00
4.7325
4.7585
545.625
636.25
4.565
4.585
602.50
775.00
4.7325
4.758
546.50
636.25
560.00
20.14
42.75
29.10
26.80
28.10
482.00
568.00
20.08
41.10
28.00
25.90
27.10
496.00
563.00
21.10
41.25
28.15
26.125
27.375
485.50
628.00
20.125
40.125
26.70
25.10
25.65
502.50
567.00
21.10
41.125
28.15
26.00
27.15
483.00
4.57
4.60
609.50
757.50
5.60
5.00
642.00
20.10
40.125
26.625
24.75
25.625
503.00
High.
Low.
4.73125
4.7585
545.50
636.50
High.
96.48
101.50
102.75
101.50
102.45
99.00
102.375
98.875
2 54.62
36.50
49.85
25.00
20.20
51.25
26.75
21.19
52.25
25.50
17.71
51.00
26.10
20.45
51.50
25.75
17.30
50.75
26.375
18.97
51.00
25.75
18.73
50.75
'I
4.645
4.6725
588.00
702.00
6.67
5.70
623.00 £
20.375"
41.25 »
27.125
25.375
26.125
492.00
101.15
27.00
20.33
51.375
78.00
81.00
74.00
78.00
73.50
75.25
75.00
80.25
122.00
126.00
114.00
123.00
108.00
114.00
109.00
117.75
1.06181
1.01125
Cable rates on New York.
1.05309
1.01125
1.05464
1.01125
2
Rate for a gold milreis.
1.07164
1.01125
MAY 1,1919.
FEDERAL JRESEKVE BULLETIN.
CONDITION OF MEMBER BANKS.
Substantial liquidation of bank investments
in United States bonds more than offset, however, by large increases in Treasury certificate
holdings is indicated by the consolidated
statement of the Federal Reserve Board, showing condition on March 4, 1919, of 7,756
national banks and 969 other member banks.
Between December 31, 1918, and March 4,
1919, loans and discounts (including overdrafts) show a decline from 13,562 to 13,437
millions, notwithstanding the gain between the
two dates in the number of reporting banks and
the increase in the total of loans secured by
United States war obligations carried by the
reporting institutions. Total loans and investments (less fixed investments) are given as
21,577 millions, compared with 20,335 millions
at the end of 1918. Of the March 4 total,
Liberty bonds shown among the assets of the
reporting institutions constituted 1,340 millions, as against 1,588 millions at the close of
1918. Treasury certificates owned increased
from 1,303 millions to 2,690 millions, while
loans secured by United States war obligations,
largely Liberty bonds, went up from 1,402
millions at the close of the past year to 1,497
millions on March 4 of the present year. It m ay
be seen, therefore, that the total funds of the
member banks invested in United States war
securities and war paper have increased from
about 4,300 to 5,528millions, or by 1,228millions
during the first nine weeks of the present year.
These figures disregard, howTever, differences
in amounts of paper held under rediscount
with the Federal Reserve Banks on the two
dates. Between the end of 1918 and March 4 of
the present year, according to the records of the
Federal Reserve Board, the amount of war paper
held under rediscount by the 12 Federal Reserve
Banks decreased from 360 to 240 millions, while
the amount of other paper held under rediscount
declined from 285 to 184 millions.
Aggregate reserve balances of all member
banks (with the Federal Reserve Banks) declined from 1,655 to 1,633 millions. Of the
latter total, 483 millions, or about 30 per cent,
constitutes the share of trust company and
State bank members. Cash in vault shows a
513
still heavier decline, from 675 to 564 millions,
though it is probably true that the cash holdings at the close of the year, as the result of
the holiday trade, were abnormally large. A
decrease from 816 to 479 millions is shown in
the total of clearing-house exchanges, the
larger figure reflecting largely the heavy dividends, interest, and other payments due at
the end of the year.
On the liability side, while total gross deposits show a small decline from 21,483 to
21,409 millions, considerable changes are shown
for the several classes of deposits. Thus, government deposits, mainly as the result of the
large loan operations of the Government, went
up from 472 to 884 millions, and time deposits
from 3,834 to 4,092 millions, while demand
deposits other than Government deposits declined from 13,309 to 12,709 millions. Of the
total gross deposits 6,196 millions, or about
29 per cent, is given as the share of the nonnational member banks, while of the total
Government deposits the share of these banks
was slightly in excess of one-third.
Acceptance liabilities of all member banks
are shown as 451 millions, or 29 millions less
than at the beginning of the year. Of the
total, 182 millions, or over 40 per cent, was the
share of the nonnational member institutions,
largely trust companies in New York City.
In harmony with the larger scale of Government loan operations, the aggregate of bills
payable with the Federal Reserve Banks shows
an increase from 1,159 to 1,476 millions, or of
27.4 per cent. For member banks, other than
national banks, an increase in this item from
342 to 462 millions, or of 35 per cent, is noted.
Rediscounts, chiefly with the Federal Reserve
Banks, show a decline from 730 to 528 millions
for all member banks and a relatively much
larger decline from 228 to 139 millions for
members other than national banks.
The difference between 528 millions, the
total rediscounts of member banks, and 427
millions, the amount of paper held under
rediscount with Federal Reserve Banks on the
same date, indicates approximately the amount
of paper held under rediscount with banks
other than Federal Reserve Banks.
514
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Abstract of reports of condition of member State banlcs and trust companies in each Federal Reserve district on Mar. 4, 1919.
[In thousands of dollars, i. e., 000 omitted.]
District
District
District
District
District
District
Districts
No. 4
No. 5
No. 6
No. 2
No. 3
No. 1
No. 7 (296
(32 banks). (102 banks). (31 banks). (73 banks). (39 banks). (55 banks). banks).
RESOURCES.
Loans and discounts
Overdrafts
Customers' liability under letters of credit
Customers' liability account of acceptances
Liberty bonds (exclusive of Liberty bonds borrowed)
Other United States bonds (exclusive of United States bonds
borrowed)
United States certificates of indebtedness
"War savings and thrift stamps actually owned
Stock of Federal Reserve Bank
Other bonds, stocks, and securities (exclusive of bonds,
stocks, and securities borrowed)
Banking house
Furniture and fixtures
Real estate owned other than banking house
Lawful reserve with Federal Reserve Bank
Items with Federal Reserve Bank in process of collection
Due from banks and bankers
Gold coin and certificates
All other cash in vault
Exchanges for clearing house, also checks on banks in same
Outside checks and other cash items.
Interest earned b u t not collected
Other assets
Total..
319,585
94
140,580
208
285,703
158
725
16,747
7,380
23,613
64,934
118
1
673
5,882
34,492 i
23
2,009
613
84,745
139
2,751
9,374
20
475
149,987
13,410
1,007
4,317
27,719
1,954
40,928
187 i
9,929 !
4,038
514
496
1,974
14,271
13,802
1,642,156
441
7,907
114,179
156,015
144
00,751
134
1,742
57
393,062
188
8,457
86,320
8,562
385
228
36,712
8,163
31,259
1,733
12,393
495,061
42,656
35,845
96,402
6,996
405
2,785
19,337
3,636
14,199
433
4,838
5,946
999
626
1,387
132,283
7,202
12,938
49,457
2,052
208
475
6,413
605,236 j 3,598,070
352,963
661,562 i
27,483
30,931
8,956
124,808
161,302
41,397
21,528
45,472
8,156
32,164
59,621
10,049
1,434
1,830
1,306
443
19,566
358,995
5,864
93,066
899
605,236
4,833
8,440
6,988
1,888
350,220
1,983,460
106,723
219,775
168,498
266,078
1,312
7,084
125,369
!
19.895
j
| 3,598,070
352,963
661,562
35,129
53,101
10,206
2,661
779
5,919
263,890
27,849
192,045
9,684
11,608
1,818
198
786
4,809
947
9,573
95
2,437
124,769
434
4,965
12,845
1
17,698
76
779
17,912
6,316
562
2,658
11,925
2,842
25,405
557
5,568
731,359
393
429
18,127
53,074
5,310
150,239
'346
4,165
209,862
15,394
2,309
2,056
78,752
9,407
104, 23
2,936
28,434
i
579
185
28
114,973
7,158;
1,991 j
124
1,106 j
19,805
7,527
855
2,049
245,691 ! 1,446,951
LIABILITIES.
Capital stock paid in
Surplus fund
Undivided profits, less expenses, and taxes paid
\
Interest and disc«unt collected or credited in advance, but
not earned
Amount reserved for taxes accrued
Amount reserved for interest accrued
.
Due to Federal Reserve Bank
Due to banks and bankers
Demand deposits
Certified and cashier's or treasurer's cheoks outstanding
Time deposits
United States deposits
Bills payable with Federal Reserve Bank
Brlls payable other than with Rederal Reserve Bank
Cash, letters of credit, and travelers' checks outstanding
Acceptances
Other liabilities
TotalLiability for rediscounts, including those with Federal
lleserve Bank
24,395
14,122
320
6,807
183,065
525
32,322
12,805
38,648
726
323
3,169
387
116
14,690
220,362
2,549
248,529
20,371
40,600
100 |
725'
915
7,380 I
1,151 |
684
505
9,455
6,728
2,193
16,300 I
10,759 !
2,370 |
73,920
67,196
17,431
261
73 !
217 i
2|
6,913 I
46,330 I
1,259 !
29,093 I
2,885 j
8,109 I
595 !
771
341
3,170
320
1,548
136
n i
31,256 j 89,450
104,507 i 513,001
1,933 i
9,918
49,873 I 568,110
5,947 ! 39,573
14,091 ! 41,683
631 j
768
2i
441
673 i """6*692"!
18,102
956 i
185
1,733
114,973 j
2,665
245,691 | 1,446,951
9,417 !
10,537
515
FEDERAL RESERVE BULLETIN".
MAY 1,1919.
Abstract of reports of condition of member State banks and trust companies in each Federal Reserve district on Mar. 4, 1919.
[In thousands of dollars, i. e., 000 omitted.]
Total
District
District
District
District
District
United
No. 9
No. 10
No. 12
No. 8
No. 11
(43 banks). (72 banks). (29 banks). (107 banks) (90 banks). (969 banks).
KESOUECES.
Loans and discounts
O verdrafts
Customers' liability under letters of credit
Customers' liability account of acceptances
Liberty bonds (exclusive of Liberty bonds borrowed)
Other United States bonds (exclusive of United States bonds borrowed)
United States certificates of indebtedness
War savings and thrift stamps actually owned
Stock of Federal Reserve Bank
Other bonds, stocks, and securities (exclusive of bonds, stocks, and
securities borrowed)
Banking house
Furniture and fixtures
Real estate owned other than banking house
Lawful reserve with Federal Reserve Bank
\
Items with Federal Reserve Bank in process of collection
Due from banks and bankers
Gold coin and certificates
All other cash in vault
Exchanges for clearing house, also checks on banks in same place
!
!
Outside checks and other cash items
Interest earned but not collected
!
0 ther assets
!
Total.
53,963 j
102 !
55,443
124
40,193
200
87,350
504
2,300
28
8,212
40
260
154
3,027
2
6,005
23
262
351
3,455
343
2,790
50
1,181
6,607
41
18,163
55
464
3,731,973
3,120
8,352
168,964
311,424
6,547
819,012
1.145
22', 983
36,253
5,703
707
1,674
19,616
5,605
4,621
957
294
205
3,712
256
12,094
204
1,433
853
392
122
74
10,567
978
150
137
6,185
1,790
15,688
172
1,523
1,948
340
25 i
105 |
1,436
457
501
3,055
356
7,732
74
1,755
662
314
14
13,555
2,284
607
1,818
7,714
1.301
15,896
549
3,155
3,506
1,170
358
331
1,132,795
106,510
7', 860
23,084
483;426
64,106
497,151
17,091
111,582
181,024
22,230
16,285
64,397
90,122
104,648 i
467
4,272
4,194
1,388
224
350,880
LIABILITIES.
7,801,061
;
Capital stock paid in
I
Surplus fund
:
Undivided profits, less expenses and taxes paid
;
Interest and discount collected or credited in advance, but not earned.. :
Amount reserved for taxes accrued
!
Amount reserved for interest accrued
i
Due to Federal Reserve Bank
|
Due to banks and bankers
i
Demand deposits
j
Certified ana cashier's or treasurer's checks outstanding
;
!
Time deposits
!
United States deposits
!
Bills payable with Federal Reserve Bank
Bills payable other than with Federal Reserve Bank
;
Cash,"letters of credit, and travelers' checks outstanding
!
Acceptances
!
Other liabilities
Total.
Liability for rediscounts, including those with Federal Reserve Bank..'
185,938
344
15
6,958
4,057
8
33,481
51
1,333
23,925
20,515
4,719
263
414
373
j.
36,831 j
134,152 j
3,374 I
80,269 '
11,658 |
26,829 i
275 !
16 !.
6.938 |.
' 329 I
350,880 i
7,334
6,612
2,240
843
55
106
117
5,447
3,312
864
232
104
161
15,834
26,542
3,268
33,610
2,036
701
122
16,739
51,037
2,270
20,372
2,267
949
222
'
50 i
211 j
12,928 I
60,181 i
1,540 i
58,594 !
3', 375 :
6,990 •
1,211 j
43 i
1,087 !
6S I
360,468
415,006
99,991
8,753
18,570
12,241
2.606
606;029
3,717,482
137,844
1,440,371
295,228
401,768
8,624
7,588
182,092
26,400
65,356 j
164,609 I
7,801,061
3,768 J
13S.854
7,438 i
2,587 !
801 i
37 j
40|
35 I
4 i
4,795 i
35,250 |
62.1 '•
6,758 ••
1.418 '
2,968 ;
2,342 i
1 '••
90,122
305 i
104,648 j
815 j
2,922 |
11,388 i
4,343 :
2,212 I
166 I
199 |
284 !
516
MAY 1, 1919.
FEDERAL RESERVE BULLETIN.
Abstract of reports of condition of member State banks and trust companies of the Federal Reserve System on Mar. 4,1919,
arranged by classes.
[In thousands of dollars; i. 8., 000 omitted.]
! Other
j reserve
Country
j city banks banksn (76"
4
I
(146
'
Total
Total.
United
United
States (969 ; States (930
banks)
ban ks)
Mar. 4,
Dec. 31,
1919.
1918.
RESOURCES.
SI,872,961 §1,052,285
Loans and discounts
496
Overdrafts
1,395
8,164
Customers' liability under letters of credit
187
Customers' liability account of acceptances
136,793
29,558
Liberty bonds (exclusive of Liberty bonds borrowed)
140,831
81', 351
Other United States bonds (exclusive of United States bonds borrowed)
4,257
629
United States certificates of indebtedness
407,655
251,881
War savings and thrift stamps actually owned
106
407
Stock of Federal Reserve Bank
10,242
7,971
Other bonds, stocks, and securities (exclusive of bonds, stocks, and securities borrowed)
497,744 . 376.947
40,590 i
40', 290
Banking house
' 688 i
Furniture and fixtures
2,668
5,998 I
Real estate owned other than banking house
.,
12,515
300.418 I 117,332
Lawful reserve with Federal Reserve Bank
34:914 !
Items with Federal Reserve Bank in process of collection
22,329
226,844 i 150,811
Due from banks and bankers
10,802
Gold coin and certificates
2.695
39,796
All other cash in vault
35.514
143,611
Exchanges for clearing house, also cheeks on banks in same place
20,423
9,945 !
Outside checks and other cash items
7,954
12,173
Interest earned but not collected
2,597
48,739
Other assets
10,110
Total.
1,229
1
2.613
89,242
1.661
159.476
' 632
4,770
$3,731,973
3,120
8:352
168', 964
311,424
6,547
819,012
1,145
22;983
$3,630,678
3; 383
12;959
168,713
375,045
3,883
321,977
1,714
22,545
258,104
25,630
4.504
4,571
65,676
6,863
11-9,496
3,594
36,272
7,990
4,331
1,515
5,548
1,132,795
106,510
7,860
23,084
483,426
64,106
497,151
17,091
H i ; 582
181,024
22,280
16,285
64,397
1,097,597
105,050
7,401
22,046
474,579
61,498
543,316
20,428
133,592
307,918
35,395
17.170
115;226
3,953,767 ! 2,236,8-19
1,610,445
7,801,061
7,482,113
114,988
152,706
31, MO
2,645
6,361
3,169
208
143,678
936,248
16,693
582,761
76,541
130,183
2,906
24S
31,945
4,060
100,246
61,374
24,273
1,106
I,o2o
2,476
2,143
56,451
686,959
8,915
537,009
40,401
77,949
5,718
4
2,173
1,723
360,468 j
41,-), 006
99,991
8,753
18,570
12,241
2,606
606,029
3,717,482
137,844
1,440,371
295,228
461,768
8,624
7,088
182,092
26,400
3;>0,110
409,680
93,315
8,111
15,007
9,156
1,109
628,139
3,851,970
1,361,020
160,464
342,009
18,963
16,335
175,523
41,202
3,953,767 | 2,236,849
1,610,445
54,540
10.3
,28,735
7.0
$806,727
LIABILITIES.
Capital stock paid in
Surplus fund
Undivided prq.fi ts, less expenses and taxes paid
Interest and discount collected or credited in advance, but nor earned.
Amount reserved for taxes accrued
Amount reserved for interest accrued
Due to Federal Reserve Bank
Due to banks and bankers
Demand deposits
Certified and cashier's or treasurer's checks outstanding
Time deposits
United States deposits
Bills payable with Federal Reserve Bank
,
Bills payable other than with Federal Reserve Bank
Cash letters of credit and travelers' checks outstanding
Acceptances
Other liabilities
Total
Liability for rediscounts, including those with Federal Reserve Bank
Ratio of reserve with Federal Reserve Bank to net deposit liability (per cent)
145,234
200,927
44,208
5,002
10,684
6,596
255
405,900
2,094,275
112,236
320,601
178,286
253,636
i
!
i
!
i
7,336 i
147,974 i
20,617 I
55,579 i
12.9 !
7,801,061
138,8o4 I
11.0 i
7,482,113
~2287o44
11. 0
MAT 1,1919.
517
FEDERAL RESERVE BULLETIN.
Abstract of reports of condition of all member banks in each Federal Reserve district on Mar. 4,1919 {including 7,756 national
banks and 969 State banks and trust companies).
[In thousands of dollars; i. e., 000 omitted.]
District
District
No. 1 (423 No. 2 (724
banks).
banks).
RESOURCES.
Loans and discounts
. . .
. .
Overdrafts
Customers' liability under letters of credit
.
Customers' liability
account of acceptances
Liberty bonds 1
Other United States securities1 . .
War savings and thrift stamps actually owned
Stock of Federal Reserve 1Banks
Other bonds, stocks, etc. . . .
Banking house
...
. . .
Furniture and fixtures
Other real estate owned.
.
Lawful reserve with Federal Reserve Bank
Items with Federal Reserve Bank in process of collection..
Due from banks and bankers....
Cash in vault
Exchanges for clearing house, also checks on banks in
District
District
District
District
District
No. 3 (663 No. 4 (820 No. 5 (568 No. 6 (420 No. 7 (1,341
banks).
banks).
banks).
banks).
banks).
980,819
458
135
56,897
69,478
233,889
384
0,775
225,935
29,460
1,915
1,297
100,981
26,811
115,385
44,872
4,177,464
960
8,736
228,490
422,902
1,142,312
559
20,909
992,580
84,639
3,684
10,346
668,942
86,806
319,827
143,291
851,172
434
0
16,201
159.977
257J 665
439
7,573
381,074
31,354
3,367
6,239
104,490
34,513
97,450
47,958
1,173,624
883
11
21,009
137,377
341,145
745
9,213
409,521
54,023
3,973
10,718
132,761
35,880
217,140
61,165
627,087
1,019
12
12,199
96,000
146,731
365
4,113
89,314
24,942
2,747
2,811
55,585
19,721
96,776
30,729
480,984
1,280
62
10,025
59,182
131,414
392
3,160
47,003
19,262
2,819
5,818
45,738
12,362
103,639
24,089
2,025,131
2,707
568
42,601
148,803
501,826
1,402
11,282
388,175
50,188
6,689
7,167
231,664
42,932
428,831
94,785
22,891
4,046
3,267
2,866
3,770
457,750
18,035
7,351
23,110
65,937
31,590
2,284
4,001
3,174
0.075
23,378
2,963
7,868
5,009
2,098
15,239
4,455
3,168
1,500
1,180
16,668
5,298
2,412
1,061
1,297
61,165
13,707
5,681
6,533
3,321
1,932,331
8,884,630
2,047,630
2,650,504
1,235,693
973,965
4,075,258
Capital stock paid in
. .
Surplus fund
Undivided profits, less expenses and taxes paid
Interest and discount collected but not earned . .
.
Amount reserved for taxes accrued
Amount reserved for interest accrued. .
Due to Federal Reserve Bank
Due to banks and bankers
Demand deposits
Certified and cashier's or treasurer's checks outstanding...
Time deposits.
United States deposits
.
Bills pavable with Federal Reserve Bank
Bills payable other than with Federal Reserve Bank
-Cash letters of credit and travelers' checks outstanding
Acceptances
National bank notes outstanding. .
. . .
United States bonds borrowed
Other bonds and securities borrowed
•Other liabilities
.
119,540
105,050
47,240
6' 188
3,704
1.956
938
133.156
1,006.086
14,276
232,915
80,682
58,511
1,867
'320
60,053
49,798
5,717
487
3,241
317,607
382,973
140,563
18,380
27,712
10,345
5,373
1,372,458
4,213,472
287,529
592,897
307,298
081.833
4,021
14,972
241,745
83,750
70,304
1,961
42,837
99,446
153,061
38,451
4,200
2,877
1,617
127
185,558
890,497
10,142
305.533
58,034
180,082
1,906
74
1(5,299
54.038
35,809
121
9,098
155,825
151,844
49,680
4,685
5,832
2.099
670
272,565
1,108,250
10,945
580,866
67,213
91,334
1,869
153
21.108
9()| 037
22,299
1,045
6,125
83,089
56,230
18,464
4.182
1,221
1,531
1,887
123,338
496'. 400
8,320
241,917
29,208
85,805
6,947
5
12,385
52,455
7,091
388
4,824
65,244
41,970
13,103
2,406
935
745
611
110,531
420,570
5,581
168' 722
25,813
58,637
3,558
35
11,213
39.967
976
127
3.221
223,422
160,616
55,686
8.131
9,703
3,430
379
652,213
1,572,131
29,005
975,197
102,793
115,257
5.216
L299
42', 983
78,702
7'185
1,131
30,779
Total
Liability for rediscounts, including those with Federal
Reserve Bank.. .
.
.
.
1,932,331
8,884.630
2,047,630
2,650,504 • 1,235,693
973,965
4,075,258
124,154
152,903
35,184
21,776
27,186
Outside checks and other cash items.
Due from United States Treasurer
Interest earned but not collected
Other assets
. .
Total
LIABILITIES.
1
i
]
!
!
i
i
!
!
!
22,642
Exclusive of bonds borrowed by State bank and trust company members.
29,624
518
FEDERAL RESERVE BULLETIN".
MAY 1, 1919.
Abstract of reports of condition of all member banks in each Federal Reterve district on Mar. 4, 1919 (including 7,7o6
national banks and 969 State banks and trust companies.)
(In thousands of dollars; i. e., 000 omitted.]
District
No. 8 (510
banks).
District
District
District
District
No. 9 (872 No. 10 (996 N o , 11 (736 N o . 12 (652
banks).
banks).
banks).
banks).
Total
United
States
(8,725
banks).
BESOUKCES.
Loans and discounts
Overdrafts
Customers' liability under letters of credit
Customers' liability account of acceptances
Liberty bonds *
Otiier United States securities *
War savings and thrift stamps actually owned
Stock of Federal Reserve Bank
Other bonds, stocks, etc.*
Banking house
.'
Furniture and fixtures
Other real estate owned
Lawful reserve with Federal Reserve Bank
Items with Federal Reserve Dank in process of collection
Due from banks and bankers
Cash in vault
Exchanges for clearing house, also checks on banks in same place
Outside checks and other cash items
Due from United States Treasurer
Interest earned but not collected
Other assets
Total.
566,479
765,477
2,055
785
17,646
65,678
216,945
423
4,659
119,039
24,918
5,661
8,327
75.517
7,434
174,300
32,269
23,976
4,272
3,121
4,335
636
13,420,315
16,991
10,688
432,072
1,340.082
3,476;676
6,243
81,376
2,880,808
229,173
27,115
24,317
5,227
2,465
2,959
347
445,060
1,7.8
9
2,573
45,640
94,446
371
3,194
12,235
17,210
3,463
4,469
37,385
15,290
91,602
17,883
10,377
6,758
2,345
1,537
1,054
1,048,833
1,443,061
814,649
1,557,473
27,810,769
65,543
34,341
15,243
2,489
1,844
1,456
29
175,094
375,157
11,588
302,040
22,922
5,672
969
14
3,486
29,S01
436
133
476
81,115
44,033
18,849
4,544
1,606
926
297
310,680
647,956
19,804
184,072
30,055
36,857
6,605
274
1,604
47,102
3,466
794
2,422
69.487
38', 559
14,767
3,240
1,187
270
132
82,243
404,548
9,119
57,749
18,511
42,450
15,209
65
2,476
44,579
5,508
174
4,376
106,121
51,312
23,901
1,607
1,734
1,276
30
184,710
675,766
21,927
270,241
44,822
72,802
6,399
577
17,830
62,184
5,170
319
8,745
1,466,268
1,269,007
458,601
63,088
59,711
26,562
10,473
3,797,242
12,273,002
435,814
4,092,477
884,280
1,476,397
56,322
17,955
451,265
673,386
171,105
6,841
120,973
814,649
1,557,473
27,810,769
33,586
27,163
527,750
154
19,411
50, 736
147,397
305
• 3,822
87,605
19,031
2,273
3,565
61,445
24,228
118,397
20,504
12,468
2,912
2,085
1,562
561,481
1,304
0
3,312
• 30,572
133,935
439
2,945
55,442
15,784
2,945
3,787
48,647
4,479
143,951
19,128
9,635
4,718
1,912
4,221
196
1,140,742
79,829
48,406
16,054
3,036
1,356
9.11
1,474
-i-
765,537
2,669
216
1,708
53,737
128,971
419
3,731
72,945
18,097
3,249
3,780
69,371
42,785
68,324
1,632,526
337,484
2,136,571
563,788
709,454
74,675
45,676
57,867
87,400
LIABILITIES.
Capital stock paid in
Surplus fund
Undivided profits, loss expenses and taxes paid
Interest and discount collected but not earned
Amount reserved for taxes accrued
Amount reserved for interest accrued
Due to Federal Reserve Bank
Due to banks and bankers
Demand deposits
Certified and cashier's or treasurer's checks outstanding..
Time deposits
,
United States deposits
Bills payable with Federal Reserve Bank
Bills payable other than with Federal Reserve Bank
Cash letters of credit and travelers' checks outstanding..
Acceptances
National bank notes outstanding
United States bonds borrowed
Other bonds and securities borrowed
Other liabilities
Total
.
j
|
j
j
161 I
4,829 !
1,146,742 i 1,048,833 1 1,443,061
Liability for rediscounts, including those with Federal Reserve Bank.
194,696
462,1(59
7,578
174,328
36,329
47,]57
1,156
167
20,023
40,873
7,084
17,360 !
2,153 |
34,019
i Exclusive of bonds borrowed by State bank and trust company members.
519
FEDERAL RESERVE BULLETIN.
MAT 1,1919.
Abstract of reports of condition of all member banhs of the Federal Reserve System on Mar. 4, 1919, arranged by classes
(including 7,756 national banks and 969 State banks and trust companies).
[In thousands of dollars: i. e., 000 omitted.]
Central re- Other reserve citi- serve city
banks (101 banks (510
banks).
Country
banks
(8,114
banks).
Total
Total
United
United
States
States
(8,725
banks).
banks).
Mar.4,1919. JDec.31,1918.
RESOURCES.
Loans and discounts
Overdrafts
Customers' liability under letters of credit
Customers' liability account of acceptances
Liberty bonds *
Other United States securities*
War savings and thirft stamps actually owned
Stock of Federal Reserve1 Bank
Other bonds, stocks, etc.
Banking house
Furniture and fixtures
Other real estate owned
Lawful reserve with Federal Reserve Bank
Items with Federal Reserve Bank in process of collection
Due from banks and bankers
Cash in vault
Exchanges for clearing house, also checks on banks in same place..
Outside checks and other cash items
Due from United States Treasurer
Interest earned but not collected
Other assets
Total
-
$4,494,245 84,053,706
968
4,393
9,208
1,421
279,443
136,429
322,516
379,194
1,116,632
1,013,221
176
1,169
24,967
22,139
815,280
787,733
80,483
132,642
1,197 i
8,240
7,939 |
26,060
741,379 i
456,933
116,912 i
189,954
424,009 |
761,193
145,847 I
159,869
493,192 i
168,635
19,596 !
28,238
0,260
14,602
20,073
12,299
65,960
14,139
£4,872,364 813,420,315
5 | $13,545,960
11,630
16,991
16,349
59
10,688
26,163
432,072
16,200
460,215
638,372
1,340,082
1,588,425
1,346,823
3,476,676
1,875,780
4,898
6,243
8,209
34,270
81,376
8®,645
1,277,855
2,827,547
175,783
386,860
33,348
42,785
41,901
31,325
68,324
67,058
434,214
1,632,526
1,654,742
30,618
337,484
347,882
2,136,571
951,369
2,193,772
563,788
258,072
675,180
709,454
47,627
1,194,122
74,675
26,841
106,676
45,676
24,808
45,569
57,867
25,495
51,980
87,400
7,301
135,795
i 9,183,460 j 8,375,037 | 10,252,272 j 27,810,769
27,330,830
LIABILITIES.
Capital stock paid in
Surplus fund
Undivided profits, less expenses and taxes paid
Interest and discount collected but not earned
Amount reserved for taxes accrued
Amount reserved for interest accrued
Due to Federal Reserve Bank
Due to banks and bankers
Demand deposits
Certified and cashier's or treasurer's checks outstanding.
Time deposits
United States deposits
Bills payable with Federal Reserve Bank
Bills payable other than with Federal Reserve Bank
Cash letters of credit and travelers' checks outstanding..
Acceptances
National bank notes outstanding
United States bonds borrowed
Other bonds and securities borrowed
Other liabilities
434,091
332,984 !
413,257 ;
402,706
135,325
121,708
21,235
20,471
34,916
17,760
8,878 j
6,748
255 !
2,619 !
1,808,244 • 1,557,023 '
4,200,307
3,449,982
300,473 i
79,303
445,193 j 1,040,087
381,909
309,764
636,677 |
493,874
350 i
10,153
16,009 !
1,748
293,696 i
141,063
48,823 |
170, (ill
66,761 i
71,801
1,590 ;
2,716
40,749 i
30,578 i
699,193
452,984
201,568
21,382
7,035
10,936
7,599
431,975
,622,713
56,038
2,007,197
192,607
345,846
45,819
198
16,506
453,952
32,543
2,535
43,646
1,466,268
1,269,007
458,601
63,088
59,711
26,562
10,473
3,797,242
12,273,002
435,814
4,092,477
881,280
1,476,397
56,322
17,955
451,265
673,386
171,105
6,841
120,973
1,459,095
1,254,535
431,782
56,987
53,105
21,109
10,020
3,794,055
13,309,303
3,834,320
471,632
1,159,273
80,527
38,021
480, 624
676,311
12,390
187,741
Total
Liability for rediscounts, including those with Federal Reserve Bank
Ratio of reserve with Federal Reserve Bank to net deposit liability (per cent)
1
Exclusive oi bonds borrowed by State bank and trust company members.
730,051
10.4
520
FEDERAL RESERVE BULLETIN.
MAY 1, 1919.
Classification of loans and discounts of State banks and trust companies, members of the Federal Reserve System, as shown
by their condition reports for Mar. 4, 1919.
[In thousands of dollars; i. e., 000 omitted.]
Total,
Total,
United
District District District District District District District District District District; District District United
States
States
No. 3 No. 4 No. 5 No. 6 No. 7 No. 8 No. 9 No. 10 No. 11 No. 12
No. 2
No. 1
(969
(930
(296
(43
(55
(72
(29
(107 , (90
(102 I (31
(39
(32
(73
banks).
banks),
banks). banks). j banks); banks). banks). banks). banks). banks). banks). banks). banks ).i banks). Mar. 4, Dec. 31,
1919.
1918.
On demand, not secured by collateral.. 22,625
On demand, secured
by Liberty bonds
and United States
Treasury
certificates ol indebtedness
2,416
On demand, secured
by other collateral.. | 51,716
On time, not secured
.by collateral
jl46,721
On time, secured by
Liberty bonds and
United States Treasury certificates of
13,301
indebtedness
On time, secured by
45,785
other collateral
Secured by real estate
mortgages or other
real estate Hens or
31,000
deeds
Acceptances of other
5,682
banks discounted
Acceptances of this
bank purchased or
339
discounted
Loans and discounts
not classified
28,902 | 8,119
11,161
23,165 I 2,675
2,381
787
474,209 | 64,311 59,459
9,288
495,589 ! 24,260 76,504 28,085
48,379
7,149
22,893
1,117
7,618
3,512
25,402 106,212
36,081
42,915 280,630
61,936
20,698 | 19,943
11,959
6,529 31,294
11,249
3,115
189
108
364
194
3,097 I 3,029
2,775
5,151
6,423
129,141
44,526 i
130,808
37,312
140,730 j 842,729
38,400 1,247,640 !l, 207,064:
5,364
880
2,486 : 1,774
2,818
376,957
300,270
14,657
20,410 ! 17,634
21,455
648,812
660,695-
9,120 138.801 19,218
11,044
3,513
12,951
355,182
362,365
3,374
940
330
81
54;597
55,702
615
2,125
20,559
17,597
14,620
16,841
4,058
4.3,396°
4,291
27,355
65,282 i 5,469
|
I
13,581
158
14,166
132 ,
161 !
556
i
!
19
123
3,043
6,347
5
303
Total shown by
reports
319,585 1,642,156 |140;8S5 285,703 | 65,204 124,769 1731,420 185,949
Less adjustment due
to inclusion of rediscounts in loan classification by some
.! 270
305
banks
Total loans and
319,585 1,642,156 j] 40,580 285,703 | 04,934 124,769 [731,359 .85,938
discounts
2,194
3,068
17,523 42,734 14,466 29,371 139,680 45,524
281, 216 19,649
239.573
2,243
53,963
55,443
40,213
20
53,963
55,443
40,193
87,474 3,732,764 3,631,383
124
791
705
87,350 3,731,973 3,630,678
INDEX.
Acceptances:
Page.
Acceptance credits, report relative to, by governors of Federal Reserve Banks
415
Acceptance liabilities of member banks
440
Banks granted authority to accept up to 100
per cent of capital and surplus
466
Draft covering domestic shipment of goods
471
Federal Reserve agents to prepare literature on. 416
Holdings, distributed by classes of accepting
institutions
497
Inspection of goods covered bv bill of ladingdraft
472
Purchases during March, also average rates and
maturities
495
Substitution of security for acceptances in excess of 10 per cent limit.
468
Agricultural paper held on last Friday in March...
496
Algeria, practice of handling bills of exchange i n . .
453
Australia, practice of handling bills of exchange in.
447
Austro-Huiigarian Bank, statement showing condition of
463
Bank of England, statement showing condition of..
463
Bank of France, statement showing condition of...
463
Bank of Italy, statement showing condition of
463
Bank of Japan, statement showing condition of
464
Bank o( Java, statement showing condition of
464
Bank of Netherlands, statement showing condition
of
--...
464
Bank of Spain, statement showing condition of
464
Bank transactions—debits to deposit account
473-475
Belgium, banking in, during period of German occupation
435-438
Bills of exchange, practice cf handling in foreign
countries
*
447-463
Bonds of War Finance Corporation as "inadmissible
assets " within meaning of revenue act of 1918... 472
Branches, foreign, of national banks
466
Business conditions throughout the Federal Reserve
districts
"
416-427
Certificates of indebtedness, amounts issued in anticipation of Victory loan
407
Charters issued to national banks during April
465
Charts:
Interest rates on commercial paper and on call
loans in New York market, 1914-1919
429
War operations of the German Reichsbank...
434
Check clearing and collection:
Collection facilities of Federal Reserve Banks. 467
Operation of system
511
China, practice of handling bills of exchange i n . . .
450
Clearing-house bank debits
'.
473-475
Commercial failures reported
464
Comptroller of the Currency:
Condition of national banks, statement of, regarding
446
Loans by national banks on security of Liberty
bonds, statement of, regarding
441
Debits to deposit account, weekly figures of
473-475
Denmark, National Bank of Copenhagen, statement
showing condition of
464
Page.
Discount and interest rate prevailing in various
cities
'
482-483
| Discount operations:
|
March, by classes of paper
492-497
jMember banks, number of, accommodated in
I
March
492.
| Discount rates in effect
510
Division of Foreign Exchange, rulings of. (See
Rulings.)
Earning assets of Federal Reserve Banks, average
amount of each class held during March
494
Earnings of Federal Reserve Banks:
Annual rate, based on March, 1919, returns
494
A [arch, from each class of earning assets
494
_ jt, practice of handling bills of exchange in
453
England, Bank of, statement showing condition of..
463
Exchange rates, foreign
512
Export trade, development of
413-414
Failures, commercial, reported
464
Federal Reserve Banks, resources and liabilities
of
498-502
Federal Reserve notes:
Interdistrict movement of
504
Note account of Federal Reserve Banks and
agents
502-504
Fiduciary powers:
Granted to national banks
466
Regulation F of Federal Reserve Board
438-440
Foreign banks of issue, statement showing condition of
463-464
Foreign branches of national banks
466
Foreign exchange
413-415
Foreign Exchange, Division of, rulings. (See
Rulings.)
Foreign exchange rates
512
Foreign securities, plan of establishing market for.
in the United States
412
France, Bank of, statement showing condition of..
463
German Reichsbank:
Statement showing condition of
463
War operations of
430-433
Gold, imports and exports of
415, 509
Governors of Federal Reserve Banks, report by,
relative to acceptance credits
415
Imports and exports of gold and silver
509
Index of wholesale prices
476-481
Interest rates:
On commercial paper and call loans in New
York market,, 1914-1919
429
Prevailing in various cities
482-483
Internal Revenue Commissioner, ruling of, relative
to War Finance Corporation bonds as "inadmissible assets"
472
Investment trust for promoting a market for purchase
of foreign obligations
412-413
Italy, Bank of, statement showing condition of
463
Jamaica, practice of handling bills of exchange in..
462
Japan, Bank of, statement snowing condition of...
464
Java, Bank of, statement showing condition of
464
INDEX.
II
Labor and wages
410
Law department:
Acceptances covering domestic shipment of
goods
.m
- . . 471
Inspection of goods covered by bill of lading
draft
472
War Finance Corporation bonds as " inadmissible assets" within meaning of revenue act
of 1918
472
Liberty bonds:
Holdings of, by national banks
428
Loans by national banks on security of
441
Liberty loan, fifth or Victory, circular of Treasury
Department giving description of note3, etc. -. 442-446
Live-stock paper held on last Friday in March
496
Maturities:
Average of acceptances purchased during
March
493,495
Average of bills discounted during March . . . 492,494
Of the several classes of earning assets each
Friday
494
Member banks:
Abstract of reports of condition of
515-520
Condition reports of banks in selected cities.505-508
Number of, discounting during March
492
Number of, in each district
492
Money, stock of, in the United States
510
Morocco, practice of handling bills of exchange in.. 457
National banks:
Charters issued to, during the month
465
Comptroller's statement showing condition of.. 446
Deposits and holdings of war paper
428
Fiduciary powers granted to
428
Foreign branches of
466
Loans by, on security of Liberty bonds
442
Netherlands" Bank of, statement showing condition of
464
Norwav, Norges Bank, statement showing condition
of...".
:
464
Open market operations—acceptances, United
States bonds, certificates of indebtedness, and
municipal warrants purchased during March... 393-492
Physical volume of trade
484-491
Prices:
Index of wholesale
476-481
International price levels, adjustment of
411
Movement of
409,410
Regulation F of Board., relating to trust powers of
national banks
438-440
Resources and liabilities:
Federal Reserve Banks
498-502
Foreign banks of issue
463-464
Member banks
505-508
Review of the month:
The Victory loan
407
Government as commercial borrower
408
Review of the month—Continued.
The investment situation
408
Development of business
409
Wages and labor
410
Movement of prices
410
A local market for foreign securities
412
Investment trusts
412
Development of exchange situation
413
The banking position
415
Gold movement
415
The acceptance situation
415
Rulings of the Division of Foreign Exchange.
469-470
Rulings of the Federal Reserve Board:
Collection facilities of Federal Reserve Banks. 467
Stamp tax on drafts drawn against shipments
from the United Slates
T
467
Substitution of security for acceptances in excess of 10 per cent limit
468
Inspection of goods covered by bill of lading
draft
468
Acceptances covering domestic shipments of
goods
468
Silver, imports and exports of
509
South Africa, practice of handling bills of exchange
in
459
Spain, Bank of, statement showing condition of
464
Stamp tax on drafts drawn against shipments from
the United States
:
467
State banks and trust companies admitted to system during month
.".. 465
Sterling exchange
413-414
Straits Settlements, practice of handling bills of exchange in
".
452
Sweden Riksbank, statement showing condition of. 463
Swiss National Bank, statement showing condition
of
1
464
Tax, stamp, on drafts drawn against shipments from
the United States
467
Trade, physical volume of
484-491
Trust companies admitted to system during the
month
465
Trustee, executor, etc., powers granted. (See Fiduciary powers.)
Victory loan
407-4.08
Circular of Treasury Department relative t o . . 442-446
Description of notes, etc
442-446
Wages and labor
410
War Finance Corporation, bonds of, as "inadmissible
assets" within meaning of revenue act of 1918.. 472
War paper:
Amount discounted during March
494
Amount held on last Friday in March..,
496
Holdings of, by national banks
428
Wholesale prices, index of:
In various countries
476-478
In the United States
479-481
@FedFRASER