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DIVISION OF I N T E R N A T I O N A L F I N A N C E
BOARD OF GOVERNOR#
13
No. 116
1
/^CAPITAL MARKET DEVELOPMENTS ABROAD
J
LIBRARY
AUG
121963
FEDERAL RESERVE
August 7, 1963
j
|
I e
France
II. Nine Charts on Capital Market Developments Abroad
I
OF RICH MO!; J
. I.j France?
Money and Capital Markets, April-July 1963
More official measures to restrain inflation and a sharp tightening of
the money market were the major new developments on the French financial scene
in the period under review. Official gold and foreign exchange reserves again
rose rapidly although less so than last year. So far, there have been no
important repercussions in French markets of the recent U.S. measures to aid its
balance of payments. In late July, France prepaid an additional $220 million
of debts to the U.S. and the IBRD.
Another increase in the minimum liquidity ratio of the French banks,
affective May 31, was the prime source of much tighter conditions in the market
for short-term funds. Over the end of June, banks were obliged to rediscount
heavily in excess of their ceilings at the Bank of France, and pay the high
penalty rates charged for such accommodation. Rates for day-to-day money in the
market place soared as high as 8-1/2 per cent on some occasions» The market
was still relatively tigfit as July drew to a close»
Other steps to contain inflationary pressures were taken on the fiscal
front. To soak up some pf the very large supply of liquid assets in the economy,
on May 20 the French Treasury floated a 1 billion franc long-term bond issue
subscribable in cash only. The estimated budget deficit for 196 3 has been held
to the now-customary 7 billion francs despite authorizations for an additional
U per cent of supplementary expenditures, in part to pay for the recent wage and
salary increases of public sector employees. Railroad and electricity rates
have been increased, some new business taxes have been voted, and the estimate
of receipts from existing taxes has been raised. In previous years since 195*8,
the deficits actually realized have been under the 7 billion franc estimate and
their financing has not been inflationary.
Official reserves, adjusted for special official transactions^
increased $300 million in the second quarter and about $100 million in the first
three weeks of July. These large gains were, however, more than $100 million less
than in the corresponding period of last year. The trade balance has been much
less favorable, but net capital inflow has continued to run ahead of 1962. Tighter
money market conditions have induced French banks to step up their net borrowings
in the Euro-dollar market.
The long-term capital market in France will be affected by the findings
of the committee headed by M. Maurice Lorain, Chairman of the Board of the
Societe G^n^rale. The Lorain Committee, appointed in June 1962, submitted in
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(Decontrolled after six months)
.
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2
-
June 1963 its recommendations on ways to increase the flow of savings into longterm securities. Among the Committee's recommendations were:
a. Creation of open-end investment companies, which until now have
not been allowed in France;
b. Encouragement of the issuance of convertible bonds and of participating bonds (whereby the bondholder may participate in profits)5
c.
Permitting the issuance of preferred stock;
d. Partial tax exemption of bond interest, to reduce the relative
attractiveness of savings deposits and public Treasury bills which are
wholly exempt from personal income,tax; and
e. Measures to induce banks to place
and long-term loans.
more funds in long-term bonds
After announcement of the recent measures designed to cut the U.S,
payments deficitsy^the franc fell very slightly below its upper limit from July
19 to July 22, but thereafter has been back at its ceiling.
Money market. The Paris money market became progressively tighter
during the second quarter in response to new measures to restrain credit expansion
in France, After a temporary easing in early July, market rates were moving up
again as the month-end approached. Market conditions do not appear to have been
affected by the rise in the U,S. discount rate on July 17.
In early May it was announced that, effective May 31, the banks' minimum
liquidity coefficient would be raised again, this time from 3^ to 36 per cent.
This new move followed closely the rise in the coefficient from 32 to 3£ per cent
that had been effective on March 31. The March action effectively locked up
the banks' excess holdings of assets eligible for meeting the requirement.
But because the banks did not need to seek additional funds on any large scale
in the market or from the Bank of France, market rates were little affected.
In both March and April, the normal end-of-month tightening caused the day-to-day
money rate against private paper to rise only briefly above the key level of
about 3-1/2 per cent, (See table 1,) This is the rate paid on Bank of France
rediscounts of short-term inland commercial bills that do not exceed the ceilings
imposed by the Bank c-n such rediscounts.1/ Market rates significantly above or
below 3-1/2 per cent are regarded as indicating market tightness or ease, respectively.
Much tighter conditions began to prevail when the 36 per cent liquidity
cv.efficient went into effect. At the end of May, banks began to rediscount with
1/ The Bank of France accords a preferential rate of 3 per~ cent on its rediscounts
and open-market purchases of both short-term export paper and Treasury bills, wftile
rediscounts of most medium-term paper are made at 3«95> per cent. There are no
ceilings on either export or medium-term paper.
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Table 1. France: Rates for Day-to-Day Money vs. Private Paper, 1963
Monthly average
January
February
March
-
Day
June
6
13
20
27
3.38 - 3.63
3*20 - 3.63
3.38 -3.50
3.13 - T . #
3.63 - U.fr
W 5 - 5»25
3.•50
%j0 - 3.63
3.38 - 3.50
U.50 - L.75
July
h - 6o25 11 - 3.50 18 - 3.50 25 - 5.00 -
Day
March 28 -April k •11 -18 -2k -May
2 -9
16 -22 -30 -.
Source:
— 6.00
- 3*63
-1.50
- 6.50
3*39
3.U5
3.U3
-
1,25
3.50
3.3U
6.00
6.75
L.50
3.63
5.25
Bank of France
the Bank of France at the U-l/2 per cent ("hell") and 6 per cent ("super-hell")
rates applied to rediscounts exceeding 100 and 110 per cent, respectively, of
their ceilings. Although the banks can rediscount medium-term paper and export
paper without limit, this facility cannot be employed to offset pressures' caused
by a higher liquidity coeffecient because these types of paper are among the
assets which are eligible for meeting the requirement itself.
In the market, the rate oh day-to-day money against private paper
touched 6 per cent on several occasions between May 31 and June 6. Subsequently,
at the end of June, usual mid-year pressures on bank liquidity and certain special
factors added to the pressure. For the first time in more than p. year, banks
had heavy recourse to penalty-rate rediscounting from June 21 to July
In the market,
day-to-day money- was at or above 6 per cent in this period. sometimes commanding
as much as 8-1/2 per cent. ( Rates above 6 per cent reflect certain market imperfections, since the banks can rediscount without limit at 6 per cent.)
Conditions eased after July k* But the market remained highly vulnerable
to any forces that might tighten it again, since bank liquidity could not be
further compressed. A tightening bega'n on July 2k, as the month-end approached
and as customers began to make heavy withdrawals of currency to meet vacation needs.
On July 25, day-to-day money against private paper ranged between 5 and 5-1A
per cent.
In April the French Treasury instituted a thrice-monthly auction system
for financial-Treasury bills (i.e., bills sold to banks and other financial
institutions) in lieu of the former open-tap system, The purpose of that innovation
was to divert into bonds or bank loans the funds employed in Treasury bills held
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in excess of banks1 required holdings (15 p-r cent of deposits), The auction
system has not so far resulted in apnrer ^.nbly .ower rates on free investments
in Treasury bills *
(Banks still rece.ivv the former tap rates on their
compulsory holdings.) On the 2-year bills, which made up 92 per cent of total
financial Treasury bills outstanding at the end of 1962, the free investment
auction rate of 3-1/8 per cent on July 5 and July 16 was identical with the
former -trTo rate still paid on compulsory headings; for one year bills the rate
was l/d lower on July 5 but returned to the compulsory-holdings rate on July 16,
(See Table 2,) In the case of 3-month bills, free investment rates at the
July 5 and 16 auctions were 1/8 and 3/8 lower than under the old system. However,
the 3-month bills comprised only 2 per cent of all bills outstanding at the end
of last year. Rates at the auctions in April-June are not available,
Table 2.
France:
Purpose:
Maturity:
Financial Treasury Bill Rates, 1961-63
Banks' Required Holdings
Free Investment
3-mos. 1-yr, 2-yrs, 3 mos, 1-yr. 2-yrs.
Open-Tap Rates
2.$00
3.12S
3.375
2.500
3.125
3.375
2.#0
2.500
3.125
3.000
3.375
3.250
2.500
2.500
3.125
3.000
3.375
3.250
January 1 to February 2l±
2,-500 3.000
February 25 to first auction 2,375 2,875
3.250
3.125
2.500
2.375
3.000
2.875
3.250
3.125
3.125
3.125
3.125
n.a,
n.a. n.a.
3.250 2.750 3.125
2,000 2,875 3.125
January 1 to March 11
March 12 to December 31
1963
Auction Rates
•19S3
April-June
July 5
16
2,375
2.375
2.375
2.875
2.875
2.875
Sources: Conseil National du Credit (tap rates) and Bank of France
(auction rates).
Bond market. Long-term bond yields rose moderately for approximately
the first half of the period under review, but then declined again to around
the end-March levels, The yield on public-sector bonds rose from 5»U3 per cent
on March 29 to 5=59 per cent on May 17, and the yield on corporates from 6,02
per cent at the end of March to 6.12 per cent on June 1U. (See Table 3,) After
attaining these peaks, yields fell by July 19 to 5.38 per cent on public sector
and to 6.0 per cent on corporate bonds.
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Table 3. France: Long-Term Bond Yields, 19(2-63
Redeemable jinnris
Public sector
1962 - March
June
September
December
1963
March
June
Corporate
Last week of month
TTtC
5.56
5.5o
5.U6
Z
W
6.23
6.10
6.05
6.02
5.1)3
5.38
6.05
Week mding:
March 29
April 11
26
•May10
17
31
June
Hi
28
July 12
19
Sources:
5.13
5.U3,
5.1ih
5.52
5.59
5.5k
5.37
5.38
5.U6
5.38
S/'o perpetual
rents of 19^9
End of month:
5.12
S.06
U.96
L.86
5.05
5.08
2&Z
6.02
6.02
5.99
6.05
6.11
5.05
5.05
5.05
5.06
5.07
6.06
. 5.00
6.05
5.08
6.12
.6.06
6.00
5.08
5.07
5.08
Bank of France (redeemable bonds) and IBHD (rente)
Stock market. French stock prices continued to decline slowly '
throughout most of the period under review, with a small recovery developing
in mid-July. There were no apparent effects on French stocks of the proposed
U.S. interest equalization tax. The daily stock price index on July 2h was
down U.6 per cent from March 29 and 11.3 per cent from the end of 1962.
(See Table U.)
Prices retreated in April in response to rumors of imposition of a
capital gains tax to help cover the increased public sector wage and salary
costs, as well as of a large State loan to soak up liquidity. The announcement
of the government's financial program in early May included no capital gains
tax, and the State loan was smaller than expected. However, taxes on corporation
reserves were increased, and this discouraged the market to some extent. The
gradual descent of prices in May, June, and early July was accompanied by a
minimum of public participation; professionals dominated the trading, A sudden
return of the public to the market was associated with a trisk 5 per cent rise
in the index between July 10 and 17. The proposed U.S. interest equalization tax
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caused a drop in foreign shares quoted on the Paris Bourse. But French shares
continued firm, the index remaining unchanged between July 17 and 2 It.
(December 29, 1961 = 100)
1962 - Weekly index
High (April 27) - lilt.8
Low (November 9) 96.3
December 28
- 103.6
1963 - Weekly index
June
July
1963 - Weekly index
High (January It) - 10lt,6
Low (July 5)
89.5
March 29
9^.8
April 11
98.1
26
95.5
May
10
9U.8
2lt
93.1
Source:
7
21
5
12
19
-
92.6
91.1
89.5
91.0
91.9
1963 - Daily index
July 17
18
19
22
23
2U
-
91.3
90.3
90.0
90.0
90.1
91.3
INSEE
Gold market. The gold market, was generally featureless until the third
week of July when President Kennedy's proposed measures to aid the U.S. balance
of payments led to a rise in gold prices. From the end of March to July 17, the
price of the Napoleon coin fluctuated in a narrow range between ltl.0 and ltl.£
francs» - (See Table 5.) Prices tended to decline just prior to each month-end
and then to rise again, in response to normal monthly fluctuations in the
economy's needs for cash. The announcement on July 18 of the steps designed to
help the dollar caused some apprehensions about the U.S. currency. The Napoleon
rose from Ul.2 francs on July 17 to ltl.6 francs on the 2ltth, the highest price
,,^-in over three months. But it fell again to ltl.lt francs on July 2J?.
New issues. The.volume of new security issues made another substantial
year-to-year gain in the first quarter. In the second quarter, the French.
Treasury floated its first long-term loan since 1958 in order to reduce the
large supply of liquid funds at the disposal of the economy.
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_Table
France: Price of Napoleon Gold Coin, 1962-6V
(in francs)
1962
High (October 2k)
Low (April 27)
December 28
1963 - Monthly average
January
February
March
April
May
1963 - day
- U3 »50
- 39.20
- U0.70
April 3 - Ul.30
17
30
15
29
12
26
10
17
25
26
May
U0.9U
June
Ul.13
11.31
July
U0.85
la. 25
-
Ul.50
Ul.20
Ul.30
Ul.00
Ul.20
Li.00
Ul.20
Ul.20
Ul.60
Ul.Uo
"•<ot I»"o".r security Issues, 1761-63
Table 6.
(In millions of francs)
Issues by Sector
Treasury
Public authorities
Public crodit institutions
national <;ntarprises
Competitive sector
Stocks
Bonds
Participations
Total
19(1
I'irst
"lg2
160
1,900
2,010
5,810
(3,000) (3,700)
(2,090) (1,820)
( 2UG) ( 290)
2U0
1,600
1,670
5,330
8,8U0
9,880
carter
~I?o3
900
1,050
1,010
1,3U0
1,210
1,190"
( 880) ( 860)
( 2k0) ( 260)
(
90)
3,120
(
70)
3,580
Yields to Lender on'Major Loans, First Quarter of 196j
Credit Foncier do France
T7£l
^lectricite' r\c France
5.55
Caisse
uc
Credit Apric.le
5.62
tCleber-Colombes
5.72
z
Ste, Lorraine de Developpement
et d'Expansion "Lordex".
5.6U
Groupement des Grands Magasins
et Marrasins Populaires
5.70
Source: Conseil National du Crcuit
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Net new issues in January-March were 15 per cent more than in the
corresponding quarter of 1962, (See Table 6.) This gain somewhat exceeded the
12 per cent increase in the full year 1962 over the year 1961, All of thr
incre-:as registered in. loans of the public credit institutions ; airily of
the Credit I-'oncier de France and the Caisse Nationale de Credit /K;r~cole) and
of the national enterprises (notably Electricity He France)» In"thj competitive
(largely private) sector, both stock and bond issues were virtually unchanged
from a year earlier.
The Treasury issue, launched -en-May 20 and suoscribable only in cash,
was part of the general anti-inflation program begun by the French authorities
last February. Its purpose was t > soak up some of the supply of liquid assets
in the hands of the public. As shown in Table 7, liquid assets represented by
currency, demand, time, and savings accounts with banks, public Treasury bills
and certain other claims have risen very fast in recent years. The French authorities have of late come to regard their magnitude as an added potential threat
to the price level.
Table 7. France; Supply of Selected Liquid Assets, 1959-63
(in billions of francs, end. of period) 1
1959
Money Supply
Currency
Demand deposits
bo.2
Other Liquid Assets
^Commercial oank time deposits K d
and deposit certificates
5.U
Savin ;s deposits
26.2
Public Treasury bills
15.9
Bonds of the Caisse Nationale
de Credit Agricole
. 1.3
Total
132.7
December
1961
110.6
1962
65.0
79a
I960
55.3
5&1.
70.U
7.6
9.7
3U,7
30.2
19. h
23.3.
Tiarch
81,8
11.0
L0.8
26.9
1962
1963
131.6
"3i',7
66,3
Jld
80.0
36.0
10.5
11.3
35.1
L2.6
27.8
2U.3
1.9
2.7
3.1
3.8
U.3
151.9
181.0
212.5
185.6
217,6
Source: Conseil National du Credit
Tne loan, issued at par wit' a li-l/? per cent coupon, was for 1 billion
francs, which was not large in comparison with some other postwar Treasury loans.
The bonis are to be amortized b. . lot over fifteen years. The redemption price
will rise to 102-1/2 in the sixth through t:;nth years and to 105 in the remaining
years. Unlike some earlier Treasury loans, the bonds are not exempt from death
and gift taxes. However, as with previous Treasury issues, the interest is
exempt from personal income tax. The loan was fully subscribed in one day*
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Foreign trade, After remaining unchanged between the fourth and first
quarters, seasonally-adjusted imports in April were up 7 per cent from the first
quarter level and rose another 8-1/2 per cent in May, (See Table 8.) However,
exports soared in April to nearly 15 per cent above the first quarter average
and rose slight further in May. As a result, the trade deficit averaged only
$25 million per month in April-May compared with $1;2 million in the first quarter.
Table 8, France: Seasonally-adjusted foreign Trade, 1962-63
(In millions of dollars; monthly average or month)
Quarter
1962 - I
II
III
IV
196] - I
Month
1963 - January
February
March
April
May
Innorts c.i.f.
Exports
Balance
576
587
639,
663
661
620
602
609
62k
619 .
W
+15
659
613
711
706
766
607
625
625
710
713
-30
. t -
-52
+12
-86
+ h
-53
Source:
International reserves. France's official reserves of gold and foreign
exchange increased a further $259 million in the second quarter. (See Table 9*)
The gain would have been $300 million in the absence of special official transactions including a $6l million advance debt repayment by France to the IBRD in
late April and receipt in early April of a $33 million indemnity payment from
Germany, the last of three such annual payments. In the first three weeks of
July reserves appear to have risen about $100* million, according to the Bank of
France's weekly statement.
Seasonal increases in tourist receipts contributed to the rise in accruals
from $93 million in April (adjusted) to $150 million in May. The smaller increase
in June of $57 million reflected scheduled debt payments (interest and principal)
of $63 million (of which $62 million to the U. S. and $1 million to Canada).
These reserve gains have been heavy but since March they have been smaller than
in the comparable months of last year,
.
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The reduced reserve gains recently reflect the much larger trade deficit
with foreign (i.e., nonfranc area) countries in 1963 than in 1962: from March
to June, there was a $237 million defict on this trade in 1963 compared with a
$7U million surplus last year. (See Table 10.)
Despite the widened trade deficit, reserve accruals have continued to
be large because of greater capital inflow and increased net borrowings abroad by
French banks. The net foreign liabilities of the French commercial banks increased
$L8 million in March and a further $16 million in April (See Table 11) and the
French financial press believes this process has continued since then. Tighter
credit conditions have prevailed in France since last winter's moves to restrict
bank credit expansion. This net borrowing by French banks was even larger earlier
this year—$150 million in January-February—and was a major explanation of the
extremely heavy accretions ($279 million) to official reserves in those two months
(when tourist receipts are negligible). The French press has also speculated
that the political situation in Italy and the new tax laws in Belgium have caused
funds to flow to France.
The French authorities have continued the policy of prepaying external
debts. In the last week of July, $160 million of debts to the United States were
paid ahead of schedule, and another prepayment of $$9 million was made on debts
to the IBRD.
Table 9.
France;
Official Reserve Changes, 1962-63
(In m i l l i o n s of d o l l a r s )
19
January
February
March
April
May
June b/
July-December
19
6 2
A d j u s t e d —'/
Actual
Month:
+ 60
+ 53
65
+164
+ 97
+174
+ 45
+156
+123
+174
-
+ 82
8
+126
6 3
Actual
Adjusted
+134
+145
+109
+ 52
+150
+ 57
+134
+145
+109
+ 93
+150
+ 57
+279
+368
+647
+279
+409
+788
+599
Totals:
January-February
March-June
January-June
January-December
+118
+427
+545
+671
a
+105
+535
+640
+1,239
a./ A d j u s t e d for debt p r e p a y m e n t s , c h a n g e s in IMF p o s i t i o n , I n d e m n i t y p a y m e n t s
from G e r m a n y , and c h a n g e s in r e c i p r o c a l b a l a n c e s w i t h the F e d e r a l R e s e r v e System.
_b/ F i g u r e s for June reflect s c h e d u l e d debt p a y m e n t s ($71 m i l l i o n in 1962 and
$63 m i l l i o n in 1 9 6 3 ) , i n c l u d i n g i n t e r e s t and p r i n c i p a l .
S o u rces:
IMF s t a t i s t i c s and p r e s s r e l e a s e s of M i n i s t r y of F i n a n c e .
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Table 10.
France;
- 11 -
Trade with Foreign Countries, January-June, 1962-63
(In millions of dollars)
Imports c.i.f.
Exports
Balance
426
472
516
462
506 "
469
455
469
538
475
501
513
+29
- 3
+22
+13
- 5
+44
898
1,953
2,851
924
2,027
2,951
+26
+74
+100
January
February
March
April
May
June (preliminary)
535
495
622
625
668
567
475
481
537
559
584
565
-60
-14
-85
-66
-84
- 2
Totals:
January-February
March-June
January-June
1,030
2,482
3,512
956
2,245
3,201
-74
-237
-311
1962
January
February
March
April
May
June
Totals:
January-February
March-June
January-June
1963
Source:
INSEE
Table 11.
France:
1961
December:
1962
March:
June:
September:
December:
Net Foreign Position of Commercial Banks, 1961-63
(In millions of dollars; end of m o n t h )
-25
-26
-115
-158
-118
1963
January:
February:
March:
April:
-258
-268
-316
-332
a/ Assets and liabilities with foreigners in foreign currencies and French
francs. A minus sign indicates a net liability position.
Source:
OECD
Europe and British Commonwealth Section.
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INTEREST A R B I T R A G E , U N I T E D S T A T E S / C A N A D A
Thuridoy ligi
1 3 - M O N T H TREASURY BILL RATES
j RATE D I F F E R E N T I A L A N D F O R W A R D C A N A D I A N D O L L A R
RATE DIFFERENTIAL W I T H F O R W A R D E X C H A N G E C O V E R :
NET INCENTIVE IN FAVOR 0 1 CANADA +
M
U
I960
1961
1*962
J
1963
$
INTEREST ARBITRAGE, NEW Y O R K / L O N D O N
Friday figures
P«r ( # n l
3 - M O N T H TREASURY BILL RATES
I
LONDON
RATE D I F F E R E N T I A L A N D 3 - M O N T H F O R W A R D STERLING
RATE DIFFERENTIAL W I T H F O R W A R D E X C H A N G E COVER
p»r a n n u m
INTEREST A R B I T R A G E FOR G E R M A N C O M M E R C I A L B A N K S
Friday llgum
3 - M O N T H TREASURY BILLS_, I N T E R B A N K L E N D I N G RATE A N D
- E U R O D O L L A R DEPOSIT RATES
T
GERMAN INTfRRANK
" T l O A N RATI
GERMAN TREASURY I l i l S
RATE D I F F E R E N T I A L A N D F O R W A R D DEUTSCHE MARK
SPREAD IN fAVOR Of f R A N K f U R T :
RATE DIFFERENTIAL W I T H F O R W A R D E X C H A N G E COVER
N i l INCENTIVE:
I
I
J
IN FAVOR Of fRANMfORT ( + ) "
0
* Nole:
Special forward rale available la German commercial bonk*
M
INTEREST A R B I T R A G E , F R A N K F U R T /
Friday
LONDON
figures
3 — M O N T H TREASURY BILLS A N D I N T E R B A N K L E N D I N G RATES
RATE DIFFERENTIAL A N D 3 — M O N T H F O R W A R D STERLING
J
i
/ * V ~ \ x G E R M A N TREASURY BILLS
i,i—p.-,—
G E R M A N I N T E R B A N K L O A N RATE
V
|
RATE DIFFERENTIAL W I T H F O R W A R D E X C H A N G E COVER
V —
chor
'
5
V
SHORT-TERM INTEREST RATES *
__l
I
s
(
\
^ - j T £ U 6 0 - D 0 l l A 8 - lOHDOk-V —
7
CANADA
I
/
1
"X* 3-rnonlh ireoiur y bill roles I or all countries except Japan (3 month interbank deposit rale) and Switzerland ( i month deposit rale f
"J* 3- month rate f or U S dollar deposits in London
LONG-TERM BOND YIELDS
ixlAAl
V*"
\"/
1960
1961
I N D U S T R I A L STOCK INDICES'
S>>
Nolo:
Jopon:
index of 225 i ndi Una! and of,her siocLi
the
CANADA
Tokyo exchange.
SPOT E X C H A N G E RATES - M A J O R CURRENCIES A G A I N S T U . S . DOLLAR
A b o v
_ 1
1
= \
1
1
i
i
i
i
1
1
1
1
1
1
1
1
1
i
1
i
i
i
1
swiss reANC
ft/
:V
V
—\rS
U.K. STIRLING
I.
V I
v .
J
-V\ 3 /--
1
'
r
a
pv
A
( M A N MAR K
^
T
N
i
-A
l
V
.;
Below
;
^
A r ~
T \
1
v\
V
V\ \
-x/JPX
v
r f
1^
J
~ V ~
-
-
" r V J
/ DUTCH
'
B E L G I A N FRANC
-
-
F
M
A
M
J
J
Par
.U.S.
dollar
Ab
J
par
1 ,
A
S
O
N
D 'J
F
M
A
M
J
J
A
S
0
N
D
J
F~
M
A
M
J
J
A
S
O
H
D
.8 .
par
3 - M O N T H F O R W A R D E X C H A N G E RATE
A G A I N S T U. S. D O L L A R S
DISCOUNT
A G A I N S T P O U N D STERLING - L O N D O N
PREMIUM +
—
v
u. S. DOLLAR x ^ , ^ '
A G A I N S T P O U N D STERLING - L O N D O N
fix/
19 62
1963
@FedFRASER