View original document

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

DECONTROLLED AFTER SIX M05T5S

tonfidential

(F.R.)

February 1, 1971

5 CAPITAL
L
MARKET
VEEDPMENTS

Capital Markets Section, Division of Research and Statistics,
Board of Governors of the Federal. Reserve System, Washington, D. C.




INDEX
3-5

Developments in the Corporate and Municipal Bond Markets

6-7

Capital Market Yields

8-13

Capital Market Volume

14-17 Stock Market
18-33

Mortgage Market

SYMBOLS:
e Estimate
p Preliminary
r

Revised

n.a. Not available




TABLE 1: Yields, Volume and Reception

- WEEK ENDING:

1971 - Jan.
1
:

YIELDS
MOODY'S
SEASONED
NEW ISSUE 1
Aaa

CORPORATE BOND MARKET
VOLUME 2 '
PER CENT
GROSS
SOLD BY END
BONDS SCHEDULED
OFFERINGS
OF WEEK
WITHIN 28 DAYS

1
8
15
22
29

7.59
7.31
6.98
6.76

7.48
7.45
7.42
7.36
7.19

345
797
330
525

80
95
93
69

773
1,054
748
n.a.
n.a.

5

n.a.

n.a.

350e

n.a.

n.a.

Feb.

WEEK ENDING:

MOODY'S
SEASONED
Aaa

YIELDS
BOND BUYER
SEASONED 20
BOND INDEX

MUNICIPAL BOND MARKET
VOLUME2
PER CENT
GROSS
SOLD BY END
OF WEEK
OFFERINGS

BONDS SCHEDULED
WITHIN 28 DAYS

1971 - Jan.

1
8
15
22
29

5.25
5.40
5.00
4.95
4.95

5.58
5.74
5.39
5.13
5.16

42
561
822
507
709

82
86
94
81
48

1,377
1,653
1,278
1,201
1,027

Feb.

5

n.a.

n.a.

300e

n.a.

n.a.

1 Derived by adjusting to a Aaa basis, new issues of publicly-offered corporate bonds
with call protection, rated A, Aa, or Aaa by Moody's Investors Service (except serial
and convertible issues, offerings of natural gas pipeline and foreign companies, and
bonds guaranteed by the Federal Government.)•
2 Millions of dollars unless otherwise indicated.
Note:

See footnotes to Table 3




TABLE 2: Details on Inventories
DATE
OFFERED

AMOUNT
(MIL. $)

1/28
1/27
1/26

50.0
15.0
200.0

DATE
OFFERED | RELEXSED

CORPORATE BONDS IN SYNDICATE END OF LATEST WEEK
ORIGINAL
RATING AND
ISSUER
YIELD CALL PROTECTION
COUPON
Assoc. Dry goods
General Tel. of Wisconsin
S. Western Bell Tel.

7-1/8
7-1/8
6-7/8

7.15
7.10
6.80

A
10 years
A
6 years
Aaa 6 years

ESTIMATED PROPORTION SOLD
90%
50%
257=

CORPORATE BONDS RELEASED FROM SYNDICATE DURING LATEST WEEK
ORIGINAL INCREASE RATING AND ESTIMATED PROAMOUNT
ISSUER
COUPON
IN YIELD CALL PROT. PORTION RELEASED
YIELD

None

INVENTORIES 1
MUNICIPALS
BLUE LIST
|
IN SYNDICATE

DATE
1971 - Jan.

1
8
15
22
29

939
810
711
689
758

235
196
96
111
350

C0RP0RATES
IN SYNDICATE
263
95
48
22
162

N.C. - No call protection.
1
All figures in millions of dollars. Blue List is daily average for week ended Friday, except for latest week i
for FRASER is daily average of three days ended Wednesday. All other figures are as of Friday.
which

Digitized


TABLE 3: High Grade Bond Yields
NEW
CORPORATE
Aaa 1

DATE

5.90
5.18

(1/20)
(8/9)

4.85
4.07

(1/26)
(8/8)

(12/5)
(2/21)

7.84
6.55

(2/26)
(1/12)

6.97
5.96

(12/26)
(1/24) .

6.90
4.82

(12/18)
(1/28)

(6/19)
(12/18)

8.60
7.48

(7/3)
(12/31)

7.55
6.17

(5/29)
(12/18)

7.12
5.33

(5/29)
(12/11)

1969 - High
Low

8.85
6.90

1970 - High
Low

9.30
7.68

1

- —

7.59
7.31
6.98
6.76

BOND
BUYER'S
SEASONED
MUNICIPALS 4

(1/27)
(9/13)

7.02 (12/13)
6.13 •(8/30)

1
8
15
22
29

U.S. GOVERNMENT
20-YEAR
CONSTANT
MATURITIES 3

6.55
5.95

1968 - High
Low

1971 - Jan.

MOODY'S SEASONED
CORPORATE
Aaa 2

7.48
7.45
7.42
7.36
7.19

6.44
6.36
,6.21
6.09*
6.05

5.58
5.74
5.39
5.13
5.16

New corporate issues, with call protection, adjusted (as described in
footnote 1 of Table 1) to a Aaa basis.
2
Weekly average of daily figures. Average term of bonds included is
22-24 years.
3
Weekly average of daily figures.
4
Thursday figures. The average rating of the 20 bonds used in this index
! falls midway between the four top groups as classified by Moody's Investors Service.
Note--Highs and lows are for individual series and may be on different dates
for different series.




TABLE 4: Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
GROSS PROCEEDS
CORPORATE

PERIOD

1

STATE AND LOCAL 2
1970

1969

1968

1
j
!

1,340
1,214
1,551

1,262
987
538

1,178
1,158
1,404

!
t

j

1,801
1,110
737

1,318
1,143
1,395

:

:

1,647
995
1,088

1
|
•

1,338
1,355
1,728

1,097 - 1,469
808
1,699
1,444
559

2,129
1,767
2,054

1,860
1,742
2,2l4e

1,280
886
816

2,230
1,021
1,115

6,218
7,354
6,332
6,840

5,178
5,704
5,133
5,950

4,105
3,730
4,421
5,816

2,787
3,648
2,464
2,982

3,840
3,856
4,612
4,366

!

13,572
19,904
26,744

10,882
16,015
21,965

7,835
12,256
18,072e

6,435
8,899
11,881

7,956
12,008
16,574

;

1970

1969

1968

January
February
March

2,636
1,802
3,539

2,075
2,045
2,098

1,771
1,608
1,799

April
May
June

3,170
3,909
3,389

2,748
2,076
2,530

1,428
1,866
2,411

July
August
September

2,768
2,274
3,518

2,478
1,427
2,427

2,143
1,432
1,557

October
November
December

3,851
4,050e
3,700e

1,933
2,375
2,532

7,977
10,468
8,560
11,601
18,445
27,005
38,606e

1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

Excluding finance companies 3
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

6,170
7,037

5,107
5,427
4,785
5,654
20,973

Year

Securities and Exchange Commission estimates of gross proceeds.
Investment Bankers Association of America estimates of principal amounts.
Total gross proceeds excluding offerings of sales and consumer finance
companies.




TABLE 5: New Corporate Security Issues, Type of Issue and Issuer
(In millions of dollars)

QUARTER
OR
MONTH

TOTAL

PUBLICLY
OFFERED

GROSS PROCEEDS BY
TYPE OF ISSUE
COMMON
AND
MEMO:
ISSUES INCLUDED
PRIVATELY PFD.
MFG.
PLACED
STOCK
FOREIGN
CONVERTIBLE

GROSS PROCEEDS BY
TYPE OF ISSUER
PUBLIC
UTILITY

COMMUNICATIONS

OTHER
ISSUERS

6,840

3,479

1,053

2,307

115

809

1,314

1,967

598

2,961

7,977
10,468
8 560
11,601

4,577
6,994
5,987
7,640

1,235

222
135
83
n.a.

922
710
287
786

2,584
2,445
2,314
2,869

2,085

914
1,385

2,147
2,190
1,659
2,576

2,714
2,996

766
2,162
868
1,320

2,543
3,048
2,663

1969 - Dec.

2,532

1,346

514

672

48

401

601

600

277

1970 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.,
oct.5
Nov.f'
Dec.-'

2,636

1,595
1,068
1,914

516
266
471
447
399
436
320
205
389
385
300
700

525
468
1,154
701
468
1,021
617
338
704
1,076

61

387
2£9
286
398
230
82
107 >
59
121
386
200
200

811
357
1,416
689
817
939
638
682
994
1,094
1,025
750

639
540
906
1,109
600
1,103
843
630
1,241
1,101
970
925

234

1969 - IV
1970 - I
II
III

1

1,802

3,539
3,170
3,909
3,389
2,768
2,274
3,518
3,851
4,050
3,700

2,022

3,041
1,931
1,831
1,731
2,425
2,390
2,950
2,300

1,282

800
700

33

128
89

20
26

68
11
4
4
n.a.
n.a.

Other issuers are extractive, railroad and other transportation^ real estate
and finance, and commercial and other.
Source: Securities and Exchange Commission. Quarterly supplements are available.




2,812

226

306
62
1,747
353
144
279
445
370
675
275

4,417
1,054
952
680
911
1,310
744
994
1,143

682

838
1,287
1,380
1,750

TABLE 6: Large Long-term Public Security Issues for New Capital
(Other than U.S. Treasury)1
January 8,thru J a n u a r y 1 9 7 1

TYPE ;

AMOUNT
(MILLIONS
OF
DOLLARS)

MATURITY

COUPON
RATI'.-'OR
NKI I.;TV:RI ST COST

1
OFFER- Moony ,
RAT I N( i
ING
YI ]: Li)
•

Corporates
B. F. Saul Real Estate Invest.
Trust.
Commonwealth Edison Co.
Alabama Gas
Union Electric Co.
Northwestern Bell Tel. Co.
Pub. Serv. Co. of Ind.
National Lead Co.
Carolina Pwr. & Light Co.
Western Auto Supply Co.
Associates Corp.
Industrial Nat'1 Corp.
Macy Credit Corp.
Florida Pwr. & Lt. Co.
Elizabeth Wtr. Co.
1st. Penna.Banking Trst. Co.
Arvin Industries
Oscar Mayer's
Cities Service Co.
Cities Service Co.
Madison Gas & Elec.
Safeco Corp.
Pacific Gas Trans. Co.
Walter!E. Heller & Co.
Food Fair Stores Inc.
Tampa Electric
Galbreath 1st. Mtg. Invest.
Dallas Pwr. & Lt. Co.




Debs.
1st. Mtg.
1st. Mtg.
1st. Mtg.
bds.
Debs.
1st. Mtg.
Debs.
1st. Mtg.
S.F. debs.
Debs.
Debs.
Debs.
1st. Mtg.
Bds.
Cap. Notes
S.F. debs.
Debs.
Notes
Debs.
1st. Mtg.
Notes
1st. Mtg.
Debs.
Debs.
1st. Mtg.
Conv. debs
w/w
Cum. pref.

17.0
100.0
16.0

1990
2001
1996

8. 00
7.50
8. 75

8. 00
7.45
8. 65

50.0
150.0
50.0
100.0
65.0
50.0
50.0
25.0
30.0
80.0
17.0
25.0
15.0
40.0
50.0
100.0
15.0
25.0
40.0
20.0
35.0
30.0

2001
2011

7.88
7. 88
7. 63
7.50
7.38
,85
7.
8.
,50
.25
8.
.38
7,
.63
7,
.88
7,
6 .88
9 .38
7 .85
7 .00
7 .65
7 •75
,00
7.
.00
8,
.13
9,
8 .38
7 .25

7. 75
,85
7.
7.55
7.52
7.33
,85
7.
,25
9.
.35
8,
.32
7,
7 .54
7 .63
6 .88
9 .38
7 .85
6 .95
7 .65
.60
,95
6.
.95
7,
9 .18
8 .38
7 .15

15.0
20.0

1981

--

1995
2001
1996
1990
1996
1977
2001
1977
1978
1996
1996
1978
2001
2001
1990
1991
1996
2001

—

1

\

——

Aaa
A
Aa
Aaa
A
A
Aa
A
-—
—

Aa
A
Baa
A
A
A
Aa
Baa
Baa
Aa

—
--

—

TABLE 6: Large Long-term Public Security Issues for New Capital
(Other than U.S. Treasury)1
January 8
• ^

ISSUER

Gen'l Telephone Co. of Wis.
American Finance System Inc.
Jos Schlitz Brewing Co.
Outboard Marine Corp.
Southwestern Bell Tel. Co.
Jias Walter Corp.
Associated Dry Goods Corp.




TYPE 2

AMOUNT
(MILLIONS
OF
DOLLARS)

1st Mtg.
15.0
S.F. Debs
30.0
Debs.
50.0
Debs.
35.0
Debs.
200.0
Conv. Deb. 30.0
S.F. Debs. 50.0

MATURITY

2001
1979
1996
1996
2011
1991
11996

COUPON
RATE OR
NET INTEREST COST
7.13
8.88
7.20
7.75
6.00
5.75
7.13

OFFERING
YIELD
7.10
8.88
7.20
7.80
6.80
5.75 .
7.15

thru January 29, 1971
MOODY'!
RATING

A
A .
A
Aaa
__

A

TABLE 6: Large Lone;-term Public Security Issues for New Capital (continued) (Other than U.S. Treasury)1

J
ISSUER

TYPE 2

AMOUNT
(MILLIONS
OF
DOLLARS)

10.0
Washington Suburbati Sanitary Dist Bonds
10.0
G.O.
Vineland, N.J.
\
100.0
Rev.
Kentucky Turnpike Auth.
30.0
Rev.
San Antonio, Tex.
1 75.0
G.O.
New Jersey, State of
,
56.0
The Chicago Pub. Bldg.
Rev.
'
15.0
Oregon, State of
G.O.
60.0
Oregon, State of \
G.O.
New York State Dormitory Auth.
30.7
Rev.
35.0
Wisconsin, State of
G.O.
Connecticut Health & Ed Fac.
10.9
Auth.
Rev.
10.0
Birmingham, Ala.
G.O.
5.7
Birmingham, Ala.
G.O.
18.0
Hillsborough Co. STSD #1 Fla.
G.O.
115.0
*North Carolina
G.O.
27.0
! Rev.
Port of Seattle, Wash.
25.0
G.O.
Dallas Co., Tex.
100.0
Metro Wtr. Dist. of So. Calif.
G.O.
236.0
New York City
G.O.
33.6 •
Georgia Education Auth.
I Rev.
10.4
Attleboro, Mass.
G.O.
12.2
Rev.
. Sacramento MUD, Calif.
37.8
Rev.
Sacramento MUD, Calif.
10.0
Jefferson Co., N. Y.
G.O.
25.0
Norfolk, Va.
G.O*
250.0
New York St. Urban Dev. Corp.
G. 0.
Montgomery Co., Md.
30.0
G.O.
10.0
East
Baton Rouge Parish, La.
G.O.
20.0
Greater Chicago Metro Sant.Dist. G.O.
Rev. notes 15.0
Washington Pub. Supply System
14.8
Bonds
San Juan Puerto Rico
DigitizedPenna, State of
for FRASER
75.0
G.O.
20.0
University of Tex.
Rev.
http://fraser.stlouisfed.org/ Austin

Federal Reserve Bank of St. Louis

January 8, thru January 29.1971
COUPON
1
RATE OR
! OITF.R- MOODY'S
MATURITY NET INTER - '
RATING
I,
;C
EST COST
| VILLI)
1972-2001
1972-1996
1974-1990
1972-1992
1998-2001
1973-1991
1972-1991
1975-1978
1973-2002

5.99
5.30

3.20-6.50
3.00-5.80

A
Aa

5.17
5.23
6.01
4.80
4.90
6.58
4.67

3.00-5.50
3.69-5.75
3.50-6.50
3.00-5.60
3.65-5.30
3.50-7.00
3.00-5.50

Aaa
Aaa
A-l
Aa
Aa

#73-2002
1971-98
1971-88
1972-91
1972-81
1973-01
1972-91
1981-00
1972-01
1972-931972-90
1974-90
2011
1971-94
1972-91
1972-2011
1972-01
1972-91
1973-91
1974

7.20
5.32
5.03
5.02
3.79
6.40
4.46
5.86
6.98
4.43
4.34
5.60
5.60
4.50
4.23

4.006.00
2.90-6.30
3.00-6,25
4.00-5.40
2.75-3.90
3.50-6.90
2.90-5.20
4.10-5.70
4.70-7.40
2.50-4.90
2.90-5.10
3.00-4.80
5.75
2.60-5.00
2.75-5.70
3.00-5.30
3.10-4.89
3.00-5.35
3.20-6.00
N.R.

--

--

—

4.87
4.77
5.03
3.45
5.19
5.17
5.67

--

•

i

A
A
A
A-l
A
Aa
Baa-1
Aa
Aa
Aa
Aa
Aa
Aa
A
A
A-l
—
—
---

T A B L E b:

ISSUER

,

State and Local
New Hampshire, State of
New Hampshire, State of
Utica Comm. S/D, Mich
Mississippi, State of
Phoenix, Ariz.
City of Atlanta and Fulton Co.
Rec. Auth., Ga.
Ohio, Wtr. Dev. Auth
Hennepin Co., Minn. Area Voc.
Tech. Indp. Sch. Dist. #287
Housing Assistance Admin.
San Francisco BART
Connecticut, State of
Other
Federal Home Loan Bank
FNMA
FNMA
Penn Central Transp. Co.
Penn Central Transp. Co.
*
1
2

- 3

Large Long-term Public Security Issues for New Capital (continued)
(Other than U.S. Treasury) 1

TYPE

2

AMOUNT
(MILLIONS
OF
DOLLARS)

MATURITY

COUPON
RATE OR
NET INTER-EST COST

I
I OFFER! INC,
| YIELD

31.1
8.0
14.0
30.0
10.0

1972-91
1972-81
1973-2000
1976-90
1976-87

4.10
3.50
5.49
4.25
5.46

2.50-4.60%
2.50-4.60
3.30-5.90
3.25-4.63
4.25-5.90

Rev.
. Rev.

' 17.0
25.0

1977-2000
1973-92

5.04
5.68

3.35-5.60
3.50-5.90

Bds.
G.O.
G.O.

13.0
134.6
50.0
100.0

1974-92
1971-2011
1973-81
1972-91

4.73
4.95
4.03
4.26

3.20-5.35
2.40-5.20
3.10-4.25
2.50-4.70

Bds.
Debs.
Debs.
'
fr. Ctf.
:r, Ctf.

250.0
250.0
300.0
50.0
50.0

1975
1982
1974
1974
1986

6.10
6.65
5.65
5.65
6.13

6.10
6.65
5.65
5.65
6.01

G.O.
G.O.
G.O.
G.O.
Air. Rev.

MOODY'S
RATING

Aaa
Aaa
Baa
Aa
Baa
Baa
. ——

A
Aaa
A
Aaa

—. ——

i
nights offering.
Includes corporate and other security offerings of $15 million and over;
State and local security offerings of $10 million and over.
In case of State and local government securities, G.O. denotes general obligation;
Rev.-Ut., revenue obligations secured only by income from public utilities;
Rev.-Q.-Ut. , revenue bonds secured only by income from quasi-uti lities; Rev.-S.T.,
revenue bonds secured by revenue from specific taxes only; R e v . - R e n t r e v e n u e
bonds secured solely by lease payments.
includes -foreign government and International Bank for Reconstructi-orx, a n f
,t
Development issues and non-quaranteed issues by Federal Agencies.




——
—-

12
TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury)1
(continued)
As of January 29, 1971

,

ISSUER

TYPE

AMOUNT
(MILLIONS
OF
DOLLARS)

Corporates
60.0
Debs.
Penna. Pwr. & Lt. Co.
65.0
1st. Mtg.
Niagara Mohawk Pwr. Co.
40.0
1st. Mtg.
Pacific Pwr. & Lt. Co.
1st. Mtg. bds.
40.0
Pub. Serv. Co. of Colo.
100.0
Debs.
Uniroyal Inc.
30.0
1st. Mtg.
Texas Pwr. & Lt. Co.
30.0
Debs.
Reliance Elec. Co.
500.0
Debs.
American Tel. & Tel. Co.
36.0
1st. Mtg.
Central Pwr. & Lt. Co.
30.0
Bds.
Indiana & Mich. Elec. Co.
49.5
1st. Mtg.
Georgia Pwr. Co.
90.0
Debs.
Wisconsin Tel. Co.
49.5
Houston Lighting & Pwr. Co. Bds.
35.0
Jersey Central Pwr. & Lt. Cc Bds.
50.0
Bds.
Northern States Pwr. Co.
South Carolina Elec. &
35.0
Bds.
Gas Co.
45.0
1st. Mtg.
Gen'l Tel. Co. Florida
McCulloch Properties Credit
30.0
Debs.
Corporation
20.0
Notes
Microdot Inc.
50.0
Bds.
Beneficial Corp.
25.0
Bds.
Beneficial Corp.
100.0
Con debs.
Occidental Petroleum Corp.
20.0
Notes.
Monumental Corp.
16.0
1st. Mtg.
Alabama Gas Co.
50.0
Bds.
Maine Yankee Atomic Pwr. Co.
75.0
Debs.
Columbia Gas System Inc.
35.0
1st. Mtg.
Duquense Lt. Co.
200.0
Debs.
Pacific Tel. & Tel. Co.
50.0
Debs.
Swift & Co.
60.0
1st. Mtg.
Burlington Northern, Inc.
125.0
Conv. Debs.
Georgia-Pacific Corp.
200.0
New England Tel. & Tel. Co. j}ebs.




APPROXIMATE DATE
OF OFFERING

Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.

1
2
2
3
3
4
8
9
9
10
16
16
16
18
23

Feb. 24
Feb. 25
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Mar. 2
Mar. 4
Mar. 8
Mar. 9
Mar.
Mar.
Mar.
May 25

-

13
TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury)1
is of Januarv29. 1971
AMOUNT
(MILLIONS
APPROXIMATE DATE
ISSUER
TYPE
OF OFFERING
OF
DOLLARS)

!

Alaska
G.O.
California
Bds.
Los Angeles DWAP
Rev. .
Bds.
Ann Arundel Co. Md.
Prince William Co. Va,
G.O.
Hartford, Conn.
G.O.
Detroit, Mich.
- Rev.
Tennessee
G.O.
New York, State of
Bds.
Peabody, Mass.
G.O.
Peabody, Mass.
G.O.
San Antonio, Texas
Rev.
Los Angeles Co. Fid. Ctr.
Dist., Cal.
G.O.
Los Angeles Co. Fid. Ctr.
Dist., Cal.
Bonds
Virginia Public Sch. Autt l G.O.
*Los Angeles Harbor Dept.
Cal.
G.O.
Ohio, State of
G.O.
Roanoke, Va.
G.O.
Broward Co. S/D, Fla
G.O.

*
1
2

21.3
100.0
18.0
18.0
15.0
14.4
20.0
66.0
96.0
11.0
11.0
10.0

Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.
Feb.

2
2
2
2
3
4
9
9
10
11
11
11

24.0

Feb. 16

24.0
25.0

Feb. 16
Feb. 18

16.0
75.0
10.0
18.6

Feb. 24
Feb. 25
Mar. 2
Mar. 3

: ..
>

Included in table for first time.
.
Includes corporate and other issues of $15 million and over; State and local
Government issues of $10 million and over.
Includes foreign government and International Bank for Reconstruction and
Development issues and non-guaranteed issues of Federal Agencies.




TABLE 8: Stock Prices and Volume
TRADING; VOLUME 2

STOCK PRICES 1
DATE

NYSE 3
INDEX

D.J. - IND.

AMEX 4

NYSE

AMEX

1968 - High
Low

61.27(11/29 985.21(12/13)
825.13 (3/21)
48.66(3/5)

33.24(12/20)
21.97(3/25)

17.1(7/12)
8.3(3/29)

9.3(1/19)
2.9(3/29)

1969 - High
Low

50.32(5/14) 968.85(5/14)
49.31(7/29) 769.93(12/17)

32.91(1/3)
25.02(7/29)

16.5(3/29)
8.6(8/29)

8.0(1/31)
3.6(11/21)

1970 - High
Low

52.36(1/5)
17.69(5/26)

842.00(12/29)
631.16(5/26)

27.02(1/8)
19.36(5/27)

18.5(12/4)
7.8(8/14)

7.1(1/2)
1.8(8/14)

838.92
837.01
845.70
$31.31
868.50

22.75
23.10
23.52
23.93
24.32

15.6
14.0
17.4
18.1
20.2

4.4
3.6
4.3
4.7
5.3

1971 - Jan.

1.

1
8
15
22
29

50.23
50.46
51.16
52.11
52.64

Figures other than highs and lows are Fridays only,
for the year and are not necessarily for Fridays.

Highs and lows are

NYSE is the New York Stock Exchange; AMEX is the American Stock Exchange.
Volume figures are daily averaged for the entire week, (millions of shares).
Trading is normally conducted for 5-1/2 hours per day and 5 days per week,
or 27-1/2 hours per week. In recent years, however abbreviated trading to
the extent, and over the time periods, shown below:
Hours/
Days/
Hours/
Through:
Day
From
Week
Week
August 20, 1967
August 8, 1967
20
4
5
March 1, 1968
January 22, 1968
20
4
5
22
December 31, 1968
5-1/2
June 30, 1968
4
July 3, 1969
20
January 3, 1969
4
5
December 31, 1969
4-1/2
22-1/2
July 7, 1969
5
January 2, 1970
May 1, 1970
5
25
5
3.

12/31/65= 50

4.

Average dollar value of shares listed.




15

TABLE 9: Security Credit

END OF PERIOD

CREDIT EXTENDED TO
MARGIN CUSTOMERS BY:
BROKERS1 I BANKS 2 I TOTAL

CUSTOMERS'
NET DEBIT
BALANCES

NET CREDIT
CUSTOMERS' NET EXTENDED BY
BROKERS AND
FREE CREDIT
DEALERS 3
BALANCES

Outstanding;
1969 - Dec.

4,970

2,580

7,550

7,445-

2,803

4,642

1970 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

4,680
4,570
4,520
4,360
4,160
4,150
3,800
3,810
3,920
4,010
4,010
4,030

2,430
2,370
2,370
2,330
2,290
2,290
2,290
2,300
2,330
2,270
2,320
2,330

7,110
6,940
6,890
6,690
6,450
6,150
6,090.

6,683
6,562
6,353
5,985
5,433
5,281
(4)
(4)
(4)
(4)
(4)
(4)

2,626
2,563
2,441
2,248
2,222
2,009
(5)2,180
2,083
2,236
2,163
2,197
2,286

4,057
4,099
3,912
3,724
3,211
3,272
(4)
(4)
(4)
(4)
(4)
(4)

6,110
6,250

6,280
6,330
6,360

Change in
Outstanding;
1969 - Dec.

-100

60

-40

334

190

144

1970 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

-290
-110
- 50
-160

-150
- 40

-440
-170
- 50
-200
240
-300
- 60
- 20
140
30
52
28

-762
-121
-209
-368
-552
-152

-177
-163
- 22
-193
- 26
-213
171
97
153
- 73
34
89

-585
42
-187
-188
-513
- 61

200

- 10
-350
- 10
110
90
2
18

- 40
- 40

10
30

60
50

10

Margin debt, as reported by the New York Stock Exchange. Although margin debt
until March 1968 included loans secured by U.S. governments, the amount of such
loans included is thought to have been small.
"Bank loans to others than brokers and dealers for purchasing or carrying securities other than U.S. governments."
The difference between customers' net debit balances and customers' net free credit balances, this figure represents the net credit extended by brokers and
dealers to the nonfinancial public.
NOTE: With the exception of bank loan data, figures are supplied by the New York
Stock Exchange and are end of month data. . Bank loans are for weekly reporting
large commercial banks. Broker data includes loans for regulated securities; bank
data includes loans for the purpose of purchasing or carrying any security, whether
regulated or not.




TABLE 10: Savings Flows at Nonbank Depositary Intermediaries
($ millions)
MUTUAL SAVINGS BANKS
REGULAR DEPOSITS 3
NET
ANNUAL
NEW
MONEY:
NET
GROWTH
1
FLOW
RATE

SAVINGS & LOAN ASSOCIATIONS
SHARE CAPITAL
NET
ANNUAL
NEW
GROWTH
MONEY :
NET
1
FLOW
RATE

DEPOSITS
ANNUAL
NET
GROWTH
RATE 1
FLOW

NET
NEW
MONEY '

Not Seasonally Adjusted
4,203
2,549
4,199

1968
1969
1970 &/
1969- Oct.
Nov.
Dec.

1970

497
268
437
444
531
557

1
2
3

July
Aug.
Sept.
Oct.
Nov.
Dec. J>/

8.8
4.7
7.6
7.7
9.1
9.5

6.3
3.4
7.5

11,635
6,568
15,247

-406
226
1,069

-430
207
-387

-544
483
1,640

-696
386
-624

1,130
1,098
2,696

1,064
1,044
1,154

1,406
1.595
3.596

1,202
1,432
1,454

7,432
4,019
11,048

138
388
300

276
497
900

6.0

2,738
-1,003
5,288

1,143
-763
; 860
266
179
-237

-138
257
571

1970 - Oct.
Nov.
Dec E/

7.0
4.0
6.3

3.1

8.2

Seasonally Adjusted
1,776
15.5
785
6.8
1,393
11.9
1,399
11.9
1,092
9.2
1,721
14.3

2,273
1,053
1,830
1,843
1,623
2,278

3,881
-1,766
6,148

13.3

6.1

10.5
10.5
9.2

12.8

Annual growth rate for monthly data is the annualized monthly percentage increase in deposits.
Net New Money is new deposits net of both withdrawals and interest. Data for S&Ls are for
insured associations only, which represent 96% of industry total resources.
Regular deposits at mutual savings banks exclude .items such as Christmas club and certain
escrow accounts, which represent a very small part of total deposits.
SOURCE: National Association of Mutual Savings Banks and Federal Home Loan Bank Board.




TABLE 11: Mortgage Commitments at Selected Thrift Institutions 1
OUTSTANDING COMMITMENTS
ALL
MUTUAL
SAVINGS
SAVINGS & .
BANKS
LOAN
(N.Y. STATE)
ASSOCIATIONS

DATE

TOTAL

NET CHANGE
ALL
SAVINGS &
LOAN
ASSOCIATIONS

(Billions of Dollars, Seasonally Adjusted)

1969 - Sept.
Oct.
Nov.
Dec.
1970 - Jan.
Feb.
Mar.
Apr.
May
June
July

9.2
8.9

8.6

8.4

82
.
7.9
7.6
7.8

8.0
8.2
8.6

6.4

6.1
5.9
5.8

5.6
5.4
5.2
5.4
5.8

6.1
6.5

2.8
2.7
2.7

2.6
2.6
2.5
2.5
2.4

2.2
2.1
2.0

-.26

.13
.24

.22

r.38

1/

-.18
-.23

-.13
-.09

-.12

-.13

-.22

-.31
-.33 x
-.24 X
-.25
-.17
-.30

MUTUAL
SAVINGS
BANKS
(N.Y. STATE)

.04
-.07
-.05
-.13
-.14
-.09
r-.04

-.18

'

-.23

-.21
.26

.38
.30
r.42

2.0
r.33
6.8
r.24
9.8
Aug.
r7.1
.39
r.24
1.9
9.1
Sept.
9.3
.32
Oct.
.39
1.9
7.4
.33
.34
1.9
7.5
9.4
Nov.
Based on data from Federal Home Loan Bank Board and Savings Banks Associations of
New York State. Net changes are derived directly from unrounded outstandings
levels as reported and after seasonal adjustment by Federal Reserve. Subtotals
may not add to totals because of rounding. Mutual Savings Banks and total data
include building loans beginning August 1967.




-.06

r-.08

-.10
-.06
-.07

18

TABLE 12: Net Change in Mortgage Holdings1
FINANCIAL INSTITUTIONS
LIFE
MUTUAL
SAVINGS &
INSURANCE
COMMERCIAL
SAVINGS
LOAN
COMPANIES
BANKS
BANKS
ASSOC.
Not Seasonally Adjusted

TOTAL
INCLUDING
FNMA-GNMA
18,105

20,016

23,781
24,051

15,782
18,219.
21,273
19,676

4,705
4,639
6,677
5,535

2,720
3,153
2,787
2,682

3,761
7,520
9,350
9,407

4,596
2,907
2,459
2,052

1,042
1,475

300

2,120

200

151
325

450
533

141
417

2,184

1,932

300

183

1,322
1,664

127

1,913

1,315

314

279

571

151

1,469
1,542
1,330
1,351
1,485
1,749
2,083
1,817
2,091
2,074

919
1,044
809
844
1,050
1,281
1,575
1,409
1,727
1,754
1,958

231
199
140
76
65
81
165
168
228
195
224
312

25
143
186
188
155

452
482
322
385
631
777
1,055
983
1,103
1,189
1,427
1,702

211
220
161
195
199
222
213
83
151

1,636

200
Seasonally Adjusted

2,186

201
142
175
245
170
176

200
131

Monthly data for commercial banks based on Federal Reserve estimates benchmarked
to Call Report data on real estate loans outstanding as available. Other data
derived from mortgage debt outstanding as reported separately by National Assn.
of Mutual Savings Banks, Federal Home Loan Bank Board, Institute of Life Insurance
and, through August 1968, the Federal National Mortgage Association, and thereafter by FNMA and the Government National Mortgage Association. Data for mutual
savings banks and for Life Insurance companies may differ somewhat from those
derived from regular quarterly series because of minor conceptual differences for
which adjustments are not made in the monthly series. Altogether, these groups
accounted for 87 per cent of the net increase estimated for all holders in 1967.




19

TABLE 13: Net Increases in Mortgage Debt Outstanding
Billions of dollars, SAAR QUARTER

TOTAL

RESIDENTIAL3

1- to 4FAMILY

MULTIFAMILY

COMMERCIAL

MULTI-AND
COMMERCIAL

FARM

I

1966-11
IV

18.6
15.1

10.9
9.1

8.3
7.0

2.6
2.1

5.5
4.1

8.2
6.0

2.2
1.8

1
i

1967 - I
ii
ill
IV

15.9
20.7
26.6
27.3

10.3
13.9
19.2
19.8

7.0
10.5
15.3
16.0

3.3
3.4
3.9
3.8

3.9
5.0
4.9
4.8

7.3
8.4
8.8
8.4 ;

1.8
1.8
2.5
2.8

1968 - Ip
I*
IIIp
IV p

27.7
26.2
26.0
29.6

19.0
18.2
17.7
20.2

15.8
15.0
14.1
16.4

3.1
3.2
3.4
3.8

6.4
5.9
6.5
7.5

9.4
9.2
10.2
11.1

2.3
2.2
1.8
1.8

1969 - I p
IIP
IIIp
IVp

31.3
28.9
26.5
30.4

29.0
21.5
19.3
18.3

18.6
16.8
14.6
13.0

4.4
4.7
4.7
5.3

6.2
5.2
5.3
5.4

10.4
10.1
10.0
10.7

2.2
2.2
1.8
1.4

1970 - I p
H>
IIIp
IV p

20.3
23.4
26.9

13.8
16.9
20.9

8.8
11.5
15.0

5.0
5.4
6.0

5.0
5.0
4.2

9.8
9.8
10.1

1.5
1.5
1.7

-

Derived from data on mortgage debt" outstanding from Fed^rlToeposit Insurance
Corporation, Federal Home Loan Bank Board, Institute of Life Insurance, National Association of Mutual Savings Banks, Departments of Commerce and Agriculture, Federal National Mortgage Association, Federal Housing Administration
Veterans Administration and Comptroller of the Currency. Separation of non- !
farm mortgage debt by type of property, where not available, and interpolation !
and extrapolations, where required, estimated mainly by Federal Reserve.
May differ somewhat from delated flow"of funds serFe? mainly because of more
aggregative type of seasonal adjustment.
Residential mortgage debt includes nonfarm only and is sum of 1-to 4- family
and multifamily mortgage debt combined.




TABLE 14: FNMA Weekly "Auction" Results

WEEK
ENDED

COMMITMENTS IN $ MILLIONS
IMPLICIT YIELD2(per cent)
ACCEPTED
1-YEARN
TOTAL
90TOTAL
901-YEAR 1
66OFFERED
MONTH & OVER
& OVER
DAY
DAY
M0NTH

Aug.

10
24

441.3
575.0

180.2
215.1

41.4
48.8

91.0
124.4

47.8
41.9

9.03
9.03

9.03
9.03

9.04
9.03

Sept.

8
21

384.2
207.8

200.1
195.3

45.6
40.1

117.0
121.5

37.5
33.7

9.06
9,01

9.04
9.01

9.04
9.02

Oct.

5
19

267.5
352.5

149.8
149.7

62.2
53.2

73.1
88.1

14.5
8.4

8.90
8.89

8.92
8.90

8.97
8.95

Nov.

2
16

341.5
222.4

181.2
170.3

100.1
75.8

62.4
79.4

18.7
15.1

8.90
8.89

8.93
8.90

8.93
8.92

Dec.

7
14
28

166.5
165.5
60.6

127.8
124.7
48.1

54.7
42.1
17.2

60.9
72.1
28.9

12.2
10.5
3.0

8.56
8.51
8.41

8.54
8.43
8.36

8.57
8.47
8.40

Jan.

25

44.6

35.5

9.'
9

25.6

--

7.84

7.96

Note: Under the FNMA auction system, approved sellers of Governmentunderwritten mortgages bid for FNMA forward purchase commitments, subject to an over-all dollar limit announced^ by FNMA in advance. Bids
accepted by FNMA are for delivery at the seller's option, and at any
time within the specified period. Bids on proposed homes relate to
construction not yet started on which mortgages may be delivered only
after completion and occupancy.
1

For "proposed construction" of new homes only.

2

Average secondary market yield after allowance for commitment fee and
required purchase and holding of FNMA stock, assuming prepayment of
15 years for 30-year Government-underwritten mortgages. Yields shown
are gross, before deduction of 38 basis points fee paid by investors
to servicers.
Prior to August 10, 1970 the servicing fee was 50 basis points.




23.
TABLE 15: Private Housing Starts and Permits
STARTS
SEASONALLY ADJUSTED
ANNUAL RATE
TOTAL 1-FAMILY 2 OR MORE

1969 - Nov.
Dec.

1,280

1970 - Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept. r
Oct. r
Nov. p

1,059
1,306
1.392
1,224
1,242
1.393
1,603
1,425
1,509
1,570
1,692

1,402

TOTAL

18.8 3.9
23.2 4.2

74.7
57.9

i,in

3.4
3.9
4.8
5.4
5.2
5.1
5.3
5.6
5.3
5.8
5.5

46.5
52.9
84.7
90.6

1,013
1,137
1,099
1,263
1,321
1,305
1,275
1,326
1,371
1,506
1,508

762
776

518

626

94.6
84.1

577
725
708
697
728
835
827
838

482
581
684
527
514
558
776
776
587
627
689

66.4
74.3
114.7
128.4
125.0
135.2
140.8
128.7
130.9
139.6
126.9

881
881
933

BUILDING
PERMITS
(SEASONALLY
ADJUSTED
ANNUAL
R4TE) 2
T

UNADJUSTED
TYPE OF FINANCING
FHA | VA | OTHER

16.5
17.5
.25.2
32.4
37.1
40.7
43.4
34.1
34.3
40.4
33.7

80.8
89.4
92.1
87.7
91.2
91.8
87.7

r,23?

Total starts are Census estimates including farm for both permit-issuing and
nou-issuing areas. A dwelling unit is started when excavation begins; all units
in an apartment structure are considered started at that time. FHA and VA
starts are units started under commitments by these agencies to insure or guarantee the mortgages. As reported by FHA and VA, a unit is started when a field
office receives the first compliance inspection report, which is made befpre
.
footings are poured in some cases but normally after the foundations have been
completed. Other starts are derived as a residual, although total and FH^ and
VA starts are not strictly comparable in concept or timing; other starts {include both units financed by conventional mortgages and units without mortgages.
2 Building permits before January 1963 are Census estimates for about 10,00b areas
^Identified as having a local building permit system in 1959. Estimates beginning
January 1963 are for approximately 12,000 and beginning January 1967 13,000, or
all known permit-issuing pla.ces. Unlike starts, seasonally adjusted building per;
mits reflect direct adjustment for differences in the number of working days per j
month, as well as other differences in timing and coverage.
j
1




22

TABLE 16: Mortgage and Bond Yields
FHA
MORTGAGES

DATE

CONVENTIONAL
MORT25-YEAR 30-YEAR
GAGES
3
2

SPREAD BETWEEN YIELDS
ON C0NV. &
FHA MORTGAGES

NEW
Aaa CORPORATE
BONDS
4

SPREAD BETWEEN
YIELDS ON NEW
CORPORATE BONDS
AND
FHA MORTGAGES

1959-60 - High
1961-66 - Low
1966 - High
1967 - High
- Low
1968 - High
Low
1969 - High
Low

6.26
5.43
6.73
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.

n.a.
5.44
6.81
6.81
6.29
7.52
6.78
8.62
7.99

6.30
5.80
6.70
6.70
6.40
7.40
6.75
8.35
7.55

.23
.25
.30
.11
-.12
.12
-.27
.40
.13

5.25
4.41
5.82
6.51
5.18
6.79
6.15
8.75
6.91

1.69
.77
1.16
1.28
.27
1.20
.26
1.08
-.13

1970 - Aug.
Sept.
Oct.
Nov.
Dec.

n.a.
n.a.
n.a.
n.a.
n.a.

9.07
9.01
8.97
8.90
8.40

8.60
8.50
8.50
8.45
8.30

-.47
-.51
-.47
-.45
-.10

8.48
8.42
8.63
8.34
7.80

.59
.59
.34
.56
.60

Neither mortgage nor bond yields include allowance for servicing costs which are
much higher for mortgages than for bonds. Generally, bonds pay interest semiannually; mortgages, monthly. Mortgage yields, if computed as equivalent to
a semi-annual interest investment, would be slightly higher than given in the
table.
Based on FHA-field-office opinions about average bid prices in the private
secondary market for new-home mortgages for immediate delivery. Separate
data available for 25-year and—beginning July 1961—30-year mortgages with
minimum downpayments, weighted by probable volume of transactions. Yields
computed by FHA, assuming prepayment period of 12 years for 25-year mortgages
and 15 years for 30-year mortgages. Over the period for which they can be
compared, the movement of the two mortgage yield series has been similar.
Dashed lines indicate periods of adjustment to changes in contractual interest
rates.
Based on FHA-f ieM-of f ice opinion on typical interest rates (rounded) on conventional first mortgages prevailing in the market areas of insuring officecities. Beginning with April 1960, rate relates only to new-home mortgages;
prior to that date, rate related to both new jas well as. existing-home mortgages. Dashed line indicates this change in (the series.
See note for Table 1.




23
TABLE 17: Conventional Mortgage Terms

DATE

NEW HOMES
CON- FEES &
TRACT CHARGES EFFEC- MATURITY
RATE
(PER
(YEARS)
TIVE
(PER
CENT) RATE
CENT)
2
3

LOAN/
PRICE LOAN
RATIO AMI.
(PER ($000)
CENT) " 4

1

EXISTING HOMES
CON- PEES &
LOAN/
CHARGES EFFEC- MATU- PRICE
TRACT
(PER
RATE
TIVE
RITY RATIO
CENT) RATE (YEARS) (PER
(PER
CENT)
CENT)
2
3

LOAN
AMT.
($ooo:
4

1969
Nov.
Dec.

25.3
25.4

7.97
8.07

0.96
1.06

8.13
8.25

8.16
8.23
8.29
8.23
8.28
8.31
8.32
8.35
8.31
8.33
8.25

1.08
1.09
1.11
1.02
0.98
0.99
1.01
0.98
1.03
1.05
0.99 x

8.34 25.0
8.41 24.2
8.47 25.0
8.40 24.8
8; 45 25.3
8.48 25.1
8.49 25.1
8.52 24.8
8.48 25.2
8.51 25.1
8.41 - 25.3,

72.8
71.9

24.6
25.0

8.00
8.08

0.90
0.93

8.15
8.24

22.6
22.9

70.4
70.6

20.1
20.8

8.13
8.23
8.26
8.20
8.18
8.19
8.21
8.25
8.27
8.20
8.17,

0.94
1.02
0.98
0.90
0.94
0.98
0.95
0.89
0.88
0.88
0.84

8.29
8.41
8.43
8.35
8.34
8.36
8.37
8.41
8.42
8.35
8.31

22.4
22.4
22.6
22.8
22.8
23.0
23.1
23.1
22.8
22.8
22.7

70.3
70.2
70.4
70.4
70.3
71.5
71.5
71.7
71.7
71.5

.20.5
20.4
20.6
20.4
21.1

1970
Jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.'
Oct.r/
Nov.

25.1
69.3
71.8 .24.9
25.1
71.1
24.5
71.1
25.3
71.7
25.6
71.3
24.9
71.5
25.5
71.6
25.3
72.7
24.8
72.4
72.0 , 25.3.

21.5
21.7
21.4
21.0
20.5
71.6, 21.1

1 Compiled by Federal Home Loan Bank Board.in cooperation with Federal Deposit Insurance
.
Corporation. Data are weighted averages based on probability sample survey of characteristics of conventional first mortgages originated by major institutional lender
groups (including mortgage companies) for purchase of single family homes. Data exclude loans for refinancing, reconditioning or modernization; construction loans to
home-builders; and permanent loans which are coupled with construction loans to ownerbuilders. Related series on conventional mortgage rates only, based on unweighted
opinions of field-office directors of the Federal Housing Administration, are available
somewhat sooner than the results of the FHLBB'-FDIC survey, and are included-in the case
of new home mortgage rates—in Table 16.
2 • Fees and charges—expressed as a percentage of the principal mortgage amount--include
loan commissions, fees, discounts, and other charges which provide added income to the
lender and are paid by the borrower. They exclude any closing costs related solely to
transfer of property ownership.
3

Includes fees & charges amortized over a 10 year period in addition to the contract
interest rate.

4

Derived by FRB.





Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102