Full text of H.16 Capital Market Developments : August 7, 1961

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M S f 1< e 4 -

/

Not f o r Publication
1

-&FT2R SIX MONTHS
August 7 , 1961.

a.m.
AUG 8
T£L£.u

198)

CAPITAL MARKET DEVELOPMENTS
IN THE UNITED STATES

|$Hti uding Monthly Review of Capital Market Developments)

O F RICHMOND

Public s e c u r i t y f i n a n c i n g to obtain new c a p i t a l was i n moderate
volume l a s t week, but i s expected t o be l i g h t t h i s week. Last week, ending August h, l a r g e s e c u r i t y o f f e r i n g s by corporations aggregated $105
m i l l i o n while State and l o c a l government bond i s s u e s t o t a l e d $86 m i l l i o n .
This week, ending August 11, one l a r g e corporate bond i s s u e of $20 m i l l i o n
i s scheduled f o r s a l e and two S t a t e and l o c a l bond i s s u e s with par value
of $39 m i l l i o n are on t h e calendar.
Bond y i e l d s . Yields on Aaa-rated corporate and U. S. Government
long-term bonds reached new h i g h s f o r the year l a s t week, i n c r e a s i n g 3-and
5 b a s i s p o i n t s , r e s p e c t i v e l y ; y i e l d s on Aaa-rated State and l o c a l government
bonds d e c l i n e d one b a s i s point w h i l e t h o s e on Baa-rated municipals were
unchanged.
Short- and intermediate-tern i n t e r e s t r a t e s . Y i e l d s on Treasury
b i l l s and 3 - 5 year Government o b l i g a t i o n s rose l a s t week. Y i e l d s on 3 month b i l l s i n c r e a s e d 6 b a s i s p o i n t s while those on 6-month b i l l s rose
5 b a s i s p o i n t s . Y i e l d s on intermediate-term o b l i g a t i o n s a l s o i n c r e a s e d
6 b a s i s p o i n t s t o reach a new high f o r the y e a r . The average e f f e c t i v e
rate f o r Federal funds at 2 . 0 5 per cent was up 120 b a s i s p o i n t s from the
r e v i s e d average f o r t h e week ending July 28. Other s h o r t - and intermediatet e r a i n t e r e s t r a t e s were unchanged.
FNMA secondary market operations. Secondary market mortgage
purchases by t h e f e d e r a l National Mortgage A s s o c i a t i o n rose somewhat i n
June a f t e r l i t t l e change i n May; o f f e r i n g s of mortgages to the A s s o c i a t i o n ,
which had begun t o turn up in May, increased f u r t h e r . Sales continued v e r y
sharply down from the h i g h reached i n April and were a t the lowest l e v e l
s i n c e l a s t November.
Stock p r i c e s . Common stock p r i c e s , as measured by Standard and
Poor's composite index of 500 s t o c k s , increased 1 - 1 / 2 per cent l a s t week,
c l o s i n g a t a new high of 67.68 on Friday. Trading volume averaged 3 . 8
m i l l i o n shares a day, an i n c r e a s e of 0 . 3 m i l l i o n shares from the
previous week.
Capital markets in J u l y . The volume of new corporate s e c u r i t y
f i n a n c i n g remained l a r g e in J u l y , t o t a l i n g c l o s e t o $ 1 . 0 b i l l i o n , only
s l i g h t l y l e s s than the very l a r g e volume of t h e immediately preceding
months. New State and l o c a l government bond f i n a n c i n g , however, d e c l i n e d
sharply t o about $1*50 m i l l i o n , the s m a l l e s t s i n c e l a s t October.




-3The corporate bond market was under considerable pressure early
in July as new issue volume continued large and y i e l d s on seasoned
corporate bonds increased further.* However, as i t became apparent that
the volume of new o f f e r i n g s f o r the rest of the summer would be q u i t e small,
investor reception of new issues improved markedly and bond yields s t a b i l i z e d .
Late in the month y i e l d s rose again, influenced by the increase in the
British Bank Rate and the President's defense speech. For the month as a
whole, y i e l d s on seasoned Aaa-rated corporate bonds rose 8 basis points t o
k.kS per cent (daily b a s i s ) . At t h i s l e v e l y i e l d s were 2h basis points
above t h i s y e a r ' s low and only 16 basis points below t h e i r early i960 peak.
Average new issue y i e l d s (adjusted to an Aaa b a s i s ) , r e f l e c t i n g l a r g e l y
the improved market sentiment around mid-month, declined about 5 basis
points from t h e i r June average to about b.60 per cent.
The l i g h t volume of new State and l o c a l government financing in
July enabled underwriters to reduce substantially their very large volume
of advertised inventories and municipal bond y i e l d s declined. Dealers'
inventories of unsold s e c u r i t i e s were reduced by nearly $100 million during
the month to a t o t a l of only s l i g h t l y over $i|00 million. Yields on Aaa-rated
municipal bonds declined jj. basis points from t h e i r end of June l e v e l
(which was a l s o t h e i r high f o r the year) to 3.33 per cent on July 28.
Common stock prices changed l i t t l e on balance during the f i r s t
three weeks of July i n moderate trading volume. The l a s t week of the month,
however, prices increased sharply, r e f l e c t i n g primarily i n i t i a l investor
reaction to the President's speech. Most of the price increase occurred
in heavy trading (over I4.0 million shares a day) during the two days
immediately following the speech. For the month as a whole, prices, as
measured by Standard and Poor's index of 500 stocks, rose 3 per cent to
66.76, 1 per cent below t h e i r mid-May high, and trading volume averaged
3.0 millio n shares a day.
More d e t a i l e d information concerning recent capital market
developments i s presented i n the attached e x h i b i t s .

Capital Markets Section,
Division of Research and S t a t i s t i c s ,
Board of Governors of the federal reserve System.




t
LOJN6-T8KM BOND YIELDS

HIGH-GRADE

LOWER-GRADE




I t m m tour
"miijumn

Exhibit B - Tables f o r Exhibit A

-5-

Long-tenn Bond Yields
High-grade
Corporate

Date

/

a a

U. S. Govt,
long-teiro 2 /

y

(per cent)
1951* - Low
1957 - High
1958 - Low
1959-60 - High
i960 - Low
1961 - High
Low
July
July
July
July
Aug.
v

7
11*
21
28
1* 2 /

"

2.1*5

State and
local
government
Aaa 3/
1.90

Spread between
U. S. Govt, and
Corporate jI State and
Aaa
11local Aaa

1*. 2 3 (9/9)

1*.U5 (8/1*)
1*. 21 (3/17)

3.75 (8/s)
3.91* (8/1*) ^
3.70 (5/12)

2.99
3.37 (7/6)
> 1 2 (2/23)

.30
.60
.22
.59
.19
.57
.1*0

1*.39
1*.1*1
1*.1*1
1*. 1*2
1*.1*5/

3.92
3.92
3.88
3.89
3.91*

3.37
3.36
3.3k
3.33
3.32

.1*7
.1*9
.53
.53
.51

2 . 8 5 (4/23)

(8/6)
3 . 7 6 (10/18)
3 . 0 7 (4/25)
U. 1*2 (1/8/60)

l*.ll* (9/27)
3.55 (5/2)
l*.6l (1/29/60)

3.1*5

2.61*

3.65

(9/2)
(8/29)
(5/1)
(9/24/59)
(9/1)

.30
.50
.31*
.92
.53
.76
.1*6
.55
.56
.51*
- .56
.62

Lower-grade
Corporate
Baa 1 /

State and
l o c a l govt.
Baa y

Spread between
Aaa and Baa
State and
Corporate
l o c a l govt.

(per cent)
1951* - Low
1957 - High
1958 - Low
1959-60 - High
1960 - Low
1961 - High
Low
July
July
July
July
Aug.

7
lli
21
28
1* 2 /

3.. W* (12/31)

5.10
1*.51
5.36
U. 98
5.12
5.oo

(H/20)
(7A1)
(2/12/60)
(9/9)

2.93 (8/5)
U. 5 1 (a/29)
3.61* (5/1)
lt.l*6 (1/7/60)
3 . 9 8 (12/29)

(1/27)
(V21)

5.07

5.08

5.09
5.10
5.11'

.52
1.27

il

.71

.81

.67
3.91*
3.95
'3.93
3.93
3.93

.68

.67
.68
.68

.66

g / Preliminary.
1 / Weekly average of dally figures* Average term of bonds Included i a 23 <.26 years*
2/ Weekly average of daily f i g u r e s . The series Inoludea bonds due or c a l l a b l e i n 10 year* or more,
3/ Thursday figures* Only general obligation bonds are included* average term l a 20 y e a r s .
Note*—Highs and lows are for individual s e r i e s and may be on d i f f e r e n t dates f o r d i f f e r e n t s e r i e s ,
Fbr spreads, high r e f e r s t o widest, and low t o narrowest,
,




.96
1.21
.93
1.08
36
•93.
.57

:g
.61

EXHIBIT C
SHORT-

AND

INTERMEDIATE-

TERM

INTEREST RATES

G O V E R N M E N T
w..k'y

mis

_J/

(V, 3 - S T E A R I S S U E !
V r

w

W r wT~

X/A

B . D I S C O U N T RATE

11 i
I 3 - MONTH 8
M a r k e t Yie

1

BANKS

AND

OTHER

PRIVATE




BORROWERS

Effective Rale '

-7-

E x h i b i t D - T a b l e s l'or E x h i b i t C
S i o r t - and I n t e r m e d i a t e - t e r n I n t e r e s t h a t e s
Government

Date

Discount
rate
1/

i
[
}
i
i
|
|

1 9 5 L - Low
1957 - High
1 9 5 8 - Low
1 9 5 9 - 6 0 - High
i 9 6 0 - Low
1 9 6 x - High
Low

1.50
3.50
1.75
1*.00
3.00
3.00
3.00

.61
3.61*
.58
4.59
2.11
2.56
2.17

I
|
|
»
I

July
July
July
July
Aug.

3.00
3.00
3.00

2.31
2.25
2.19
2.22
2.28 '

7
ll*
21
28
1* £ /

3.00
3.00

Yields
6-month
bills 2/
(per cent)

3-month
b i l l s 2/

(6/11)
(10/18)
( 5/29)
(1/8/60)
(10/28)
(3/3)
(1/27)

3.02
5.07
2 . 38
2.75
2.35

(12/26)
(1/8/60)
(12/30)
(3/3)
U/28)

S p r e a d b e t w e e n y i e l d s on
3 - m o n t h b i l l s and y i e l d s on
6-mo. b i l l s ) 3 - 5 y r . i s s u e s

3-5 year
issues 2/

1.66
l*.0l*
2.11*
5.00
3.1*0
3.71*
3.15

(4/30)
(10/18)
(6/6)
(12/24/89)
(12/30)
(8/1*)
(5/12)

.26

:5

2.2+6

i-i?

.18
.21
.20
.21*
.23

3.66

2.39
2.1*6
2.51

.38
1.1*7
.92

.25
.12

3.69
3.72

2.1*9

.66
.86
.01*
1.81

3.68
3.71*

1.1*7
1.1*6
1.1*6

Banks a n £ , Oth'eiv P r i v a t e B o r r o w e r s
Prime
rate 1/

F i n a n c e company
paper 3 /

Federal
f u n d s U/

Date

Stock Exchange
c a l l loan 1 /

^1951* - Low
f;1957 - H i g h
$ 1 9 5 8 - Low
fp.959-60 - High,
•'-I960 - Low
- High
tl96l
%
Low

3.00
ll,50
3.50
5.50
U.SO
1*.50
l*.5o

3.00
1*.50
3.50
5.00.
1*.50
l*.5o
1*.50

1.25(12/31)
3 . 8 8 (11/15)
1'.13 (8/8)
5l. 1 3 (1/22/60)
2; 8 8 (12/30)
2.88 (3/10)
2.50 (7/28)

3.50
.13
1*.00
.95
2.85
.1*3

.July
July
July
July
Aug.

l*.5o
l*.5o
l*.5o
l*.5o
l*.5o

l*.5o
l*.5o
l*.5o
l*.5o
1*.50

2.50
2.50
2.50
2.50
2.50

1.30
.85
2.05

Spread between
3 - m o . b i l l s and
f i n a n c e co. paper

(per cent)

7
ll*
21
28
1* p /
1/

(11/8)
(V29)
(5/13/60)
(12/2)
(2/17)
(1/27)

:$•

0
.63
-.35

1.02
.22
.56
.11

.31
.28
.22

Weekly rate show* ls,Ul*» i n effeot at end of period. Dleoouat rate l e for Federal Reaerve Bertt of New York.
Stock Exchange call loan rot* I s going rate on oall loans secured by customers' stook exohange collateral a t
Nan York City banks, M a e rate la that charged by large banks on ahort-tere loans to business borrowers of
•the highest credit standing.
2/ harU*t yield; weekly averages computed from dally closing bid prices. Series of 3-5 year issues consists of
eelooted notes and bonds.
•
3/ Average of dally rates published by finance companies for directly planed paper for varylsg m a t i r l t l e s In ths
90-179 day rap%e.
4/ Weekly average of daily effective r a t e , which i s ths rate for the heaviest vol wee of purchase and sale transactions
as reported to the Federal Reserve Bank of New York.
'
Xotf.—Klghs and lows are for individual series and may be on d i f f e r e n t dates for different dates for d i f f e r e n t s e r i e s .
Digitized for F»r
FRASER
spreads, high r e f e r s to widest, and low to narrowest.



.*>
EXHIBIT E
STOCK

MARKET

y
STOCK MARKET CREDIT

•XrCHANGE IN SERIES r~

FEDERAL N A T I O N A L
SECONDARY

MORTGAGE

MARKET

ASSOCIATION

OPERATIONS

Monthly




M i l l i o n s of d o l l a r s

Exhibit F - Tables f o r Exhibit E

-9-

Stock Market
Stock price
index 1 /

Date

Common
Trading
stock
volume 3/
yields 2 / (millions
(per cent) of shares)

Stock market customer credit
Customers1
Bank
debit balloans to
ances•k/
"others" 5 /
(In millions of dollars)

Total

1957-60 - High
Low
1961 - High
Low

39.1*8 (12/29/57)
67.68 (8/1*)
58.1*8 (1/6)

3.08
1*.72
2.89
3.32

1*.9
1.1*
5.8
2.7

l*,76i* (4/59)
3,551* (1/58)
5,386(5/61)
li,lil6(l/61)

3,1*01 (4/59)
2,1*82 (12/57)
1*,060(5/61)
3,253(1/61)

June
JulyJuly 21
July 28
Aug. 1* j o /

65.62
65.38
61*. 86
66.71
67.68

2.99
2.98
3.02
2.93
2.89

3.3
3.0
2.7
3.5
3.8

5,358
n.a.
n.a. :
n.a.
n.a.

1*,015
n.a.
n.a.
n.a.
n.a.

6 0 . 5 1 (7/31/59)

1:S

1,376
1,36k

n.a e -»Not a v a i l a b l e .
— 2/ Pr»>lJitli;ary.
1 / Standard and P o o r ' s composite Index of 500 ccrsmon s t o c k s , weekly o l o s l r g p r l o e » , 1941-43=10. Monthly data a r e
averages of d a l l y f i e u r e o r a t h o r t h a n of F r i d c y ' s o n l y . High:' and lows are f o r MtJayfi' data only,
2/ Standard and P o o r ' s ocmpoclte stock y i e l d baaed on Wednesday data converted t o weekly c l o s i n g p r i c e s by f e d e r a l
Reserve. Yields ahotm a r e f o r d a t e s on which p r i c e Index reached I t s high or low.
3 / Averages of d a l l y t r a d i n g volu-ia on t h e New York Stock Exchange.
A j End of month f i g u r e s f o r member firms of the Mew York Stock Dcchange which c a r r y margin accounts; excludes balances
secured by U. S . Government o b l i g a t i o n s .
5 / Wednesday f i g u r e s f o r weekly r e p o r t l i g member banks. Excludes loans f o r purchasing or carrying U. S. Government
s e c u r i t i e s . P r i o r t o J u l y 1 , 1959, such l o i n s are excluded only a t banks i n How York and Chicago. Weekly r e p o r t i n g
banks account f o r about 70 per cent of loans t o o t h e r s . For f u r t h e r d e t a i l see B u l l e t i n .

Federal National Mortgage Association Secondary Market Operations 1/

i960 - June
July
Aug.
Sept.
Oct.
Nov.
Dec.
Jan.
1961
Feb.
Mar.
Apr.
May
June

Purchases
Estimated Offerings to FNHA
by
Immediate
Standby
Total
PM-1A.
purcha se commitment
(In millions of dollars)
60.8
6.1
93.7
99.9
93.7
5.1
82.9
88.0
75.6
1U.8
89.1
lOli.O
63.0
69.8
73.1
H
58.8
111.
6
68.6
83.2
51.2
It. 8
56.9
61.7
1*5.5
1.9
51. U
53.3
la. 2
2.1
1+8.1
50.1
2.6
33.7
33.7
36.3
31.6
29.8
33.7
21.8
li
2l*.0
26.U
21.3
2.8
32.2
35.0
25.1*
1.0
1*6.9
1*7.9

Sales
by
1.0
3.2
.1

.8

1.1
8.9
23.3
26.2
70.7
115.1*
165.6
10l.lt

17.2

c o n t r a c t r e l a t e s t o proposed mortgages, on housing not y e t under c o n s t r u c t i o n , which the s e l l e r
must u s u a l l y d e l i v e r w i t h i n one y n a r . PuroHsee Include those under both 1 ronediate purchases and
ntandby commitment c o n t r a c t s . Data exclude FNHA a c t i v i t y under Special Assistance and Management
end Liquidating Programs.




Exhibit G
Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
"

1961
January
February
March

580
66?
562

April
May
.ine

2,115
2/1,223
0/l,lh9

uuly
August
September

e/1,000 .
e / 600

October
November
December
JLst
2nd
3rd
4th

quarter
quarter
quarter
quarter

1 s t half
Three quarters
Year

New ca p i t a l
Corporate 1 /
State and l o c a l 2/
1 I960
1 1959
1961
1 I960
! 1959
^

821
738
646

708
661
759

1,01* .

•894
785
887

678
V550
e/l,O50

• 736
967
726

535

703

e/450
e/750

570

T&
I?,

890
' 956
852

7lO

s

900 *

700
611
568

;

648 .

6%

s

719
51*5
991 .

987

1*92
606
683

Mi3
521
WO

31*8
501
491

593
liSO
1,78

1,809
£/U,487

2,145
2,382
2,128
2,698

2,204
2,567
1,979
2,642

2,128
e/2,278

1,880
2-, 256
X>780
1,31*0

2,lli5
2,li88
I,li33
1,521 .

2/6,296

4,527
6,955
9,653

а, 771
б,750
9,392

e/4,406

1*,136
5,916
7,257

li,63li
6,067
7,588

Excluding finane e companies J /
1st
2nd
3rd
4th

quarter
quarter
quarter
quarter

/a

Year
ej7
1/
2/
2/

1,716
2,165
2,018
2,347

1,999
2,412
1,716
2,503

8,246

8,630

Estimated.
Securities and Exchange Commission estimates of net proceeds,
Investment Bankers Association of America estimates of principal amounts,
Total new capital i s s u e s excluding offerings of sales and consumer finance
companies.




Other Security Offerings
(In millions of dollars)
Gross long-term 1 /
Federal afrency 3/
Foreign government 2/
I960
|
1961
|
1961
|
I960
1 195?
January
February
March

6 .
29
20

April
May
June

—

61

,

July
August
September
October
November
December

2
175
70

81
60
2

34
72
ho

58
50
42

25
1
36

85
1
35

31
2
41

Year

'

533

252

182
150
150

100
149

148
354

160

April
May
June

103

58
140
-80
70
-146
-157

1

199
175
—

—

—

mm mm

««r

. —

33
30
70

160
149
181

86

547

1,672

707

mm -

Federal agency 3/

-4
181
4

-144
-162
-174

-196
-202
-59

197
-25
-197

-79
-67

-277
170
320

-82
176
33

4
286
362

July
August
September

-175

57
392
131

95
23
-201

•s

October
November
December

-16
50
-189

-81
-176
-117

-23
-33
-250

280
240
44

18

362

-633

1,969

Year
g/
1/

48

•

98
150

199

State and l o c a l government 5 /
January
February
March

1959

Preliminary.
These date d i f f e r from those In Bchlblt 0 In that re fundi
Issues, as well as new capital leeuee, are Included.
Loi«-ter» e e o t r l t l c s are defined as thoss maturing In more than one year.
y
Iooludee seeurltlea offered In the United Statee by foreign govornaente and their eubdlvlelone and by international organisations. Source I Securities and Exchange Commission.
3/ Ieouee not guarantied by the U. S, 0overwent. Source* long-term, Seeurltlea and txchange Coamiseleni shorttene , Treaairy Department aad Inderal Heeerve.
4 / Theee 4xta d i f f e r from t h e n In fehlblt 0 and above In that they represent new offerings lofts retirements, whether
from the proceeds of refunding leeuee or from other funds, fete Include only issues with original maturity of one
year or l e s e .
5 / Principally tax and bond anticipation notce, warranto or c e r t i f i c a t e s and Public Mousing Authority note*. l a
ooa» instances PHA notes included may have a somewhat longer term than one year. Sourcei Bond Buyer and
federal f f s e r v e .




Large Long-term Public Security Issues f o r New Capital
(Other than U. S. Treasury) 1 /
Proceeds of Large Issues Offered
(In millions of dollars)
Month

State and
local
government

Corporate

I960 - July
August
September
October
November
December
1961 - January
February
March
April
May
June
July

303
581
266
$66
m
260
Ui7
267
70
1,572
557
532
1*75

Other 2 /
__

191
298
367
I46
186
222
391
360
1*05
383
256
616
179

75
25
77
150
99
67
25
151

Large Individual Issues Offered August 1 through li
Issuer

Type j /

Amount
Coupon
rate or Off ering
(millions Maturity
of
net i n t e r - y i e l d
dollars)
e s t cost

Rating

CORPORA. TE
Texas Eastern Trans. Co.
Texas Eastern Trans. Co.
Long Island Lighting Co.
Kimberly-Clark Corp.

Deb.
Conv.pfd.stk.
1st mtg. bds.
S.F. deb.

30.0
20.0
25.0
30.0

1981

5-3/8

5.38

Ba

1991
1986.

5
k-5/8

1*.90
1*.63

A
Aa

STATE AND LOCAL GOVERNMENT
State of Maryland
Public Housing Authority
Sacramento USD, C a l i f .
OTHER
None




G.O.
G.O.

16.9
60.3
10.0

196W6
1962-2002
1963-86

2.92
3.1*5
3.39

Aaa
2.00-3.10
1.1*0-3.63 Aaa
1.85-3.53 1*/Aa

H-U

1-2
iootnotus

1/

Includes corporate and other security offerings of t>15 million and. over;
State and l o c a l government security offerings of *10 million and over.
2 / Includes foreign government and International bank f o r Reconstruction and
Development i s s u e s and non-guaranteed issues by federal agencies.
In the case of State and l o c a l government s e c u r i t i e s , G. 0. denotes general
obligations; Rev.-Ut., revenue obligations secured only by income from
public u t i l i t i e s ; Rev.-Q.Ut., revenue bonds secured only by revenue from
q u a s i - u t i l i t i e s ; Rev.-S.T., revenue bonds secured by revenue from s p e c i f i c
taxes cnly; Rev.-Rent., revenue Londs secured solely bj l e a s e payments.
b/ 1986 maturity no': reoffered
,




•llj-

Forthcoming Large Long-term Public Security Offerings f o r New Capital
(Other than U. S. Treasury) 1/
Expected Proceeds from Forthcoming Large Issues
During month following
date shown

Date of
computation

Corporate

July 29
Aug. 31
Sept. 30
Oct. 31
Nov. 30
Dec. 3D
Jan. 31
Feb. 28
Mar. 31
Apr. 28
May 31
June 30
July 31

596
216
576
ao
260
91
110

55

1,580
5h2
1*87
521
170

J

Otter 2 /

275
283
212
258
2i|2
142
181
307
559
236
k31
195
I4O6

77
50

15
75

Subsequent to
date shovfri
State and
Corporate l o c a l govt, Other 2/
1,006
731
836
585
335
1,036
l,0lt6
1,125
1,700
687
611
666
255

32U
283
336
391
560
682
360
638
806
579
771
291
537

127
50

15
75

Forthcoming Large Offerings, as of August ii
Issuer

Type

Amount
Approximate date
(millions
of o f f e r i n g
of dollars)

CORPORATE
Northern State Power Co.
Consumers Power Co.
Clark Equipment Credit Corp.
Commerce t ) i l Refining Corp.
Realty Collateral Corp.

1st mtg. bds.
1st mtg. bds.
Deb.
Deb., bds. & com.
Coll. t r . notes

20.0
I4O.O
20.0
1*5.0
20.0

Aug. 9
Aug. 16
Indefinite
Indefinite
Indefinite

1I4.0
25.0
10.0
225.0
25.0
20.0
10.0

Aug. 8
Aug. 8
Aug. 15
Aug. 16
Aug. 22
Aug. 29
Indefinite
Indefinite
Indefinite
Indefinite

STATE AND LOCAL GOVERNMENT
St. Petersburgh, Fla.
Pennsylvania General State Authority
Washington Sub. Sanitary D i s t . , Md.
State of California
Cook County, I l l i n o i s
San Diego Unif. Soh. D i s t . , C a l i f .
Orleans Parish Sch. D i s t . , La.
Dade County, Florida
Jacksonville Expressway Auth.
State of Kentucky
OTHER




Rev.-Ut.
Rev.-Rent.
G.O.
G.O.
G.O.
G.O.
G.O.
G.O.
Rev.-Ut.
G.O.

16.0

lo.o

35.0

Footnotes

—"

-15-

*—Included in table for f i r s t time.
1/

Includes corporate and other issues of $15 m i l l i o n and overj State and
l o c a l government i s s u e s of $10 million and over.
Includes foreign government and International Bank f o r Reconstruction aid
Development i s s u e s and non-guaranteed issues by federal agencies.
Note.—Deletions for reasons other than sale of issue: None.
2/

}




-16-

Exhibit K
Yields on New and Outstanding
Electric Power Bonds, Bated Aa and A 1/
Da oe

1952-1960 - high
Low

5.30 (12/8/59)
2.93 (3/31/51)

87
-8

4.60
4.55
4.44

11
7
-2

4.37

8

4. 80
k.67
It.50 2/
4.57

43
29
13
20

4.65

27

4.87

41

4.65

14

A-rated offering y i e l d s
Actual 1 A r , l o u n t a b o v e

5.65 (9/18/59)
3-00 (3/17/54)

123
-15'

4.60
4.65
4.47
4.53
4.4o
4.65 2 /
4.80 2 j

-2
5
-13
5
-5
17
32

4.72

19

4.80

27

4.94
5.12
4.92

40
55
36

4.93

29

4-90

20

!

I

1961 - Jan. 12
18
25
Feb. 8
16
16
Mar. 23
2k
Apr. 13
21
26
27
May 17
18
19
23
26
June 8
13
28
July 13
26

Aa-rated offering y i e l d s
Amount above
Actual
(per cent) seasoned y i e l d s
(basis points)

1/

2/

Covers only 30-year f i r s t mortgage bonds, as reported in Moody's Bona Survey.
Except where indicated, the actual y i e l d figure and the amount above seasoned
y i e l d s are averages of o f f e r i n g s during the indicated period and of the d i f f e r ences between these new offering y i e l d s and y i e l d s on seasoned issues of
similar quality f o r t h e same day. Average maturity for the seasoned i s s u e s
varies from 26 to 28 years.
Provides f o r a 5-year period during which i s s u e may not be called f o r refunding a t a lower coupon rate. Monthly averages so marked include one or more
i s s u e s with such a provision. Other issues have no such provision*