Full text of H.16 Capital Market Developments : January 6, 1969

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DECONTROLLED AFTER SIX MONTHS
Jan.

6. 1969

U n-. * 47 v
• rV
>• w
-XVB3ASK
L-y HlCH^iOND:-

/JUL

CAPITAL
MARKET
DEVELOPMENTS

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




2

INDEX
3-5

D e v e l o p m e n t s in the Corporate and Municipal Bond Markets

6-7

Capital Market Y i e l d s

8-13

Capital Market Volume

14-17. Stock Market
18-33

Mortgage Market




/

TABLE 1: Yields, Volume and Reception
YIELDS
WEEK ENDING:'
NEW ISSUE
1968 - Dec.

1969 - J a n .

6
13
20
27
3
10gy

6.81
6.92
6.86

1

MOODY'S Aaa

'

6.33
6.45
6.48
6.53

; —

135
310
100
r/49

6.55

0/
300

n.a.

"

CORPORATE BWD MARKET
VOLUME2
PER CENT
GROSS
SOLD BY END
BONDS SCHEDULED
OFFERINGS
OF WEEK
WITHIN 28 DAYS
69
95
100
100

327
409
445
r/788
844
n. a.

n.a.

' • \

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

YIELDS
WEEK ENDING:

1968 - D e c .

1969 - J a n .

MOODY'S
Aaa

6"
13
20
27

4.40
4.45
4.57
4.57

4.76
4.82
4.84
4.85

232
490
189
19

3
10£/

4.57

4.85

11
340

80
92
81
97

j- ' • • :
91V-

n. a.

BONDS SCHEDULED
WITHIN 28 DAYS
/

673.
494
328
r/431

r

'

n. a.
n.a.
• •!

•

r '
•
1 D e r i v e d by a d j u s t i n g t o an Aap b a s i s , new i l s s u e s o f p u b l i c l y - o f f e r e d , c o r p o r a t e b o n d s
w i t h c a l l p r o t e c t i o n , r a t e d A, A a , o r Aaa biy M o o d y ' s I n v e s t o r s S e r v i c e ( e x p e c t s e r i a l
a n d c o n v e r t i b l e i s s u e s , o f f e r i n g s of n a t u r a l g a s p i p e l i n e and f o r e i g n c o m p a n i e s , and
b o n d s g u a r a n t e e d by t h e F e d e r a l G o v e r n m e n t . )
/.
2 M i l l i o n s of d o l l a r s u n l e s s o t h e r w i s e i n d i c a t e d .
n . a . - - Not a v a i l a b l e .




TABLE 2: Details on Inventories
DATE
OFFERED

CORPORATE BONDS IN SYNDICATE EflD OF LATEST WEEK
ORIGINAL
RATING AND
YIELD CALL PROTECTION
ISSUER
COUPON

AMOUNT
(MIL. $/)

ESTIMATED PROPORTION SOLD

NONE

'
.

.

OFFERED

DATE
| RELEASED

:

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

AMOUNT

x

DATE
1968 - D e c .

6
13
20
;
27
3E./
1969 - J a n .

.
• . NONE

INVENTORIES
MUNICIPALS
BLUE LIST
| . IN SYNDICATE
834
761 .
679
594
546

1

242
195
186
n.a.
100

N . C . - No c a l l p r o t e c t i o n . . p D a i l y a v e r a g e of t h r e e d a y s ended W e d n e s d a y .
o t h e r s a s of F r i d a y ; i n m i l l i o n s of d o l l a r s .
^ '




- '
i

CORPORATES
IN SYNDICATE
'

40
55
r/10
9
0

l Blue L i s t i s d a i l y average;

BONDS IN SYNDICATE
Millions of dollars

—i
i —i
|
i
i
i
i
r
r
CORPORATE BONDS IN SYNDICATE

T—T—i—r

~T

!

1— I

I I .

I

I.

I

\

200
100

Hill

lill

l . l l l •llliL

i l l I «l

I
I I
I
I
I
I ~T T
MUNICIPAL BONDS IN SYNDICATE

ill

_1

lhl
n—i—r

••

I

'I

I;

1

I

I

7 — i — i — r — r

300

200
100
i •"i
SEPT.

MAR.

DEC

67




JUN

1968

:I

V

SEPT.

DEC.

MAR.

I

i

i

i

JUN.

1969

i

i

i

SEPT.

..i

i
DEC

TABLE 3: High Grade Bond Yields
>'

:
DATE

•

NEW CORPORATE
ISSUES(ADJUSTED
TO Aaa BASIS)

1966 - H i g h
Low

5.99(9/2)
4.82(1/7)

1967 - H i g h
Low
1968 - H i g h
Low
1968 - D e c .

6
. 13.
20
27
1969 - J a n . ,
3£/

p
1
2
3

.

MOODY'S SEASONED
CORPORATE
Aaa t

U . S . GOVERNMENT
•20-YEAR
CONSTANT
MATURITIES 2

SEASONED
STATE AND LOCAL
GOVERNMENT
Aaa 3

5.52 ( 9 / 9 )
4.73(1/7)

5.04(2/9)
4.50(1/21)

4.04(8/25)
3.39(1/10)

6.55(12/8)
5.11(2/10)

6.24(2/29)
5.00(2/10)

5.73(11/17)
4.48(1/20)

4.15(12/28)
3.25(2/9)

7.02(12/13)
6.13(8/30)

6.53(12/27)
5.95(9/13)

5.90(12/20)
5.18(8/9)

4.57(12/26)
3.80(8/8) '

6.33
6.45
6.48
6.536.55 -

5.76
5.79
5.90
6.06
5.94

6.88
7.02
6.86

.

,

—

-

• —

^

4.40
"4.45
4.57
4.57
4.5?-/

Preliminary.
,
Weekly a v e r a g e , of d a i l y f i g u r e s . A v e r a g e t e r m of b o n d s i n c l u d e d i s 2 2 - 2 4 y e a r s .
Weekly a v e r a g e of d a i l y f i g u r e s .
T h u r s d a y f i g u r e s . Only g e n e r a l o b l i g a t i o n b o n d s a r e i n c l u d e d ; a v e r a g e t e r m i s 20
years.
SOURCE: MOODY'S INVESTORS SERVICE
N o t e - - H i g h s a n d l o w s a r e f o r i n d i v i d u a l s e r i e s and may b e on d i f f e r e n t d a t e s f o r d i f ferent series.




HIGH GRADE BOND YIELDS

Per cent

N E W CORPORATE Aaa H

^MOODY'S
^
CORPORATE Aaa

v

U S. GOVT. 20-YR.
CONSTANT MATURITIES

MOODY'S MUNICIPAL Aaa

1965



1967

1968

1969

TABLE 4: Long=term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)
NEW CAPITAL
CORPORATE1

PERIOD ;

January
February
March
j

April|
May.
June

-:

J u l

-

1969p

1968p

1967

1,750e

1,706 >
1,568
1,740

1,648
1,398
2,317

1,385
1,825
2,334
2,091
1,394
1,497

'

'

y
August
September

-

October
November
December

e/1,900
e/1,725
o/l,625 .

1st
2nd
3rd
4th

5,014
5,544
4,982
e/5,425

Quarter .
Quarter
Quarter
Quarter

-

1st half .
Three q u a r t e r s
Year
.

STATE AND LOCAL 2

10,558
15,540
e/20,965 .

v

-

1969p

1968p

1967

1,OOOe

1,135
1,152
1,379

1,482
1,196
1,438

1,973
1,474
2,611

1,310
1,131
1,392

1,111
1,229
1,497

2,457
2,406
1,723

1,446
1,677
1,330

2,289
1,467
2,336

2,187/
1,025e/1,000

974
1,400
1,182

3,666
3,833
4,453 z
e/4,212/

4,119
3,837
3,131'
3,556

5,364
6,058
6,584
6,092

Year

Quarter
Quarter
Quarter
Quarter

4,943
5,265
,

|

e
p
1
2
3

'

11,421
18,007
24,098

E x c l u d i n g f i n a n c e companies
1st
' 2nd
3rd
4th

.
" "

,

943
858
1,300

7,499
7,956
11,952 . 11,087
e/16,164/
14,643
3

5,207
5,913
6,338
5,657
23,115

E s t i m a t e d by F e d e r a l R e s e r v e .
Preliminary.
S e c u r i t i e s and Exchange Commission e s t i m a t e s of n e t p r o c e e d s .
I n v e s t m e n t B a n k e r s A s s o c i a t i o n of A m e r i c a e s t i m a t e s of p r i n c i p a l a m o u n t s .
T o t a l new c a p i t a l i s s u e s e x c l u d i n g o f f e r i n g s of s a l e s and consumer f i n a n c e
companies.
N o t e : D u e t t o r o u n d i n g ' c o m p o n e n t s may n o t a d d .




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

QUARTER
OR
MONTH
1967 - I
III
IV
1968 - I
II
III
1967 - Nov.
Dec.
1968 - J a n .
Feb.
Mar.
Apr*
May
June
July
Aug.
Sept.
Oct.g/
Nov.e/

NET PROCEEDS
FOR NEW CAPITAL

GROSS PROCEEDS FOR NEW CAPITAL
AND REFUNDING1
CQMMON
AND
ISSUES INCLUDED
PUBLICLY PRIVATELY PFD.
STOCK
FOREIGN
CONVERTIBLE
OFFERED
PLACED
5,464
6,208
6,833
6,294
5,178
5,705
5,133

3,263
4,017
4,064
3,107
2,465
3,105
2,606

1,811
1,465
1,551
2,137
1,724
1,644
1,361

1,500*
2,385
1,771
1,607
1,800
1,428
1,867
2,418
2,144
1,433
1,556
2,099
1,810

645
1,087
903
• 796
7J56
' ,719
1,046
1,340
1,244
637
725
1,016
935

551
1,020
546
585
593
438
521
685
528
400
. 433
574
' 500

390
726
678
1,051
989
956
1,166

A

304
278
322'.
226
441
- 271
300
385
372
396
398
509
375 '

60
65
234
93
313
172
124
19
30
16
61 ,
236
31
89
52
47
• 49
28
24

;

PUBLIC
UTILITY

553
' 962
1,632
1,327
584
758
i,% 7

2,442
3,014
2,792
2,527
1,855
1,653
1,599

298
608
224
161
199
.139
380
239
605
211
221
395

512
1,109
537
556
761
353
550
. 750
818
349
4
432
e/575
500

997
1,268
1,219
1,255
1,-334^
1,201
1,143
404
278
417
546
431
178
549
474
236
438
469
e/550
405

1 2

COMMUNICATIONS

OTHER
ISSUES

543
548
595
269
411
529
483

1,382
1,228
1,97.6
2,040
1,356
2,159
1,758

82
68
186
.
147
78
189
103
237
236
92
155
e/75
145

469
881
566
321
469
663
622
874
801
515
442
e/700
~ 675

e E s t i m a t e d by F e d e r a l R e s e r v e . X G r o s s p r o c e e d s e x c e e d n e t p r o c e e d s ' by t h e c o s t of
p Preliminary,
flotation.
2 F o r t o t a l s e e T a b l e 4 ; - o t h e r i s s u e r s a r e e x t r a c t i v e , r a i l r o a d and o t h e r t r a n s f o r a t i o n ,
r e a l e s t a t e and f i n a n c e , and c o m m e r c i a l and o t h e r .
SOURCE: S e c u r i t i e s and E x c h a n g e C o m m i s s i o n .
Quarterly supplements are a v a i l a b l e .
n.a.
Not a v a i l a b l e .
" ''




T^BLE 6: Large Long-term Public Security Issues for New Capital
(Other than U.S. Treasury)
\

ISSUER

TYPE

DECEMBER 1968
AMOUNT
(MILLIONS
- OF
MATURITY
DOLLARS)

Corporate,
New E n g l a n d P w x / Co.
Union E l e c t r i c
S a n D i e g o Gas & E l e c . Co.
Tampa E l e c t r i c Company
Saturn Industries
A p p a l a c h i a n Power
N a t i o n a l Bank o f D e t r o i t
Western Massachusetts Elec,
Lone S t a r Gas Company
G.M.A.C.
>
A s s o c i a t e s I n v e s t m e n t Co.
B a l t i m o r e Gas & E l e c t r i c Co.
C a r t e r Group
Witco Chemical Corp.
*Chris Craft Industries
Reading & Bates Offshore
Dwelling Co.




COUPON
RATE OR •
NET INTEREST COST

OFFERING
YIELD

MOODY'S
RATING

'

20.0
1st mtg. bds.
Com. s t k .
56.7
35.0
1st mtg. bds.
30.0
1st mtg. bds.
Conv. s u b . d e b s . 1 5 . 0
1st mtg. bds.
45.0
Conv. c a p . n o t e s 5 0 . 0
1st mtg. bds.
15.0
S.F. debs.
30.0
Debs.
100.0
Debs.
35.0
30.0
1st mtg. bds.
Conv. d e b s . * *
15.0
Conv. s u b . d e b s . 1 5 . 0
Cony. s u b . d e b s . 2 1 . 5

1998

7-3/8

7.20

1998
1998
1993
1998
1993
1998
1993
1990
1988
1998
1993
1993
1989

7
7-1/4
5
7-1/2
5
7-3/8
7-1/4
7-1/8
77
6
4-1/2
6

7 .00
7.10
5.00
7.40
5.00
7.28
7.25
7.19
7.45
6.92
6.00
4.50
6.00

Conv. d e b s .

1988

5-1/2

5.50

20.0

Aa
'

,

'
'

•

Aa
Aa
A

'

Aa
A
Aaa
' ——

Baa
B
B

TABLE 6: Large Long-term Public Security Issues for New Capital (continued)
(Other than U.S. Treasury) 1
DECEMBER 1968

ISSUER

TYPE

AMOUNT
(MILLIONS
OF
DOLLARS)

COUPON
RATE OR
NET INTEREST COST

OFFERING
YIELD

1970-99
1970-84
1993
1970-89
1998
1969-97

5.28
5.50
n.a.
4.52
n.a.
4.88

4.00-5.50
4.00-5.30
5-3/8
3.50-4.60
5,88
3.60-4.9(£'

1969-98

5.79

3.70-5.75

A

1970-88
1974-2003
1974-2003
1971-93
1973-93
1973-93
1971-88
1974*97
1998
2003

4.81

3.75-4.90
4.80-5.75
4.80-5.90
4.45-5.50
n.a.
n.a..
4.00-5,00
4.75-5.75
5.85
5.50

A-l
A
Baa
Baa

MATURITY

MOODY'S
RATING

S t a t e & l o c a l Government
3.0.
' 10.0
Philadelphia, Pennsylvania
Philadelphia, Pennsylvania
3.0.
19.5
Hancock C o . , Kentucky
, Rev. - R e n t .
19.6 '
3.0.
Norfolk, Virginia
12.0
Rev. - R e n t .
D e t r o i t , Michigan
25.0
N a s s a u C o . , New Y o r k
3.0.
38.0
F l o r i d a Outdoor R e c r e a t i o n
Development Council
Rev.
20.0
Rockfotd Sch. D i s t . #205,
Illinois
G.O.
10.0
R e v . - R e n t . (ele<v) 9 8 . 6 1
New M a d r i d , M i s s o u r i
New M a d r i d , M i s s o u r i ..
R e v j - R e n t , (alum) 8 5 . 0
26.0
Butler Co., Pennsylvania
Rev. - R e n t .
P o r t Huron, Michigan
lev. -Rent.
22.0
lev. -Rent.
Itawamba C o . , M i s s i s s i p p i
11.2
Rev. - R e n t .
Nevada, M i s s o u r i
15.5
40.0
C o u r t l a n d I n d . D e v . B d . , A l a . Rev. - R e n t .
S a n F r a n . R e d e v , A g e n c y , C a l i f , Rev. - R e n t .
13.2
P o r t o f New Y o r k A u t h o r i t y
100.0
Rev. - Q . - U t .




n.a.

n. a.
n.a. •:
n.a.
n.a.
n.a.
n.a.
n.a.
5.56

Baa-:
Baa-:
A
Aa
- —

A

- -

Aaa
A
A

TABLE 6: Large Long-term\Public Security Issues for* New Capital (continued)
(Other than U.S. Treasury) 1
DECEMBER 1968

TYPE 2

ISSUER

AMOUNT
(MILLIONS
,
OF
DOLLARS)

• '
,
J* COUPON
RATE OR
MATURITY NET INTEREST COST

OFFERING
YIELD

MOODY'S
RATING

S t a t e & l o c a l Government
F l o r i d a D e v e l o p m e n t Comm.
F l o r i d a D e v e l o p m e n t Comm.
Ocean Highway & P o r t A u t h . ,
Florida
Ononadga C o . , N. Y.
• . /

Rev.-Q.-Ut.
Rev.-Q.-Ut.

23.0
10.0

1974-98 .
1977-2008

Rev.-rent.
G.O.

34.3
10.0

1993
1969-97

, n.a.
n.a.
n.a. *
4.60

4.70-6.00
4.90-6.00
5.75
3.60-4.80

Baa
Aa

•

Other
x

NONE

•(

*
1

Rights offering. ; n.a.
Not a v a i l a b l e .
I n c l u d e s c o r p o r a t e and o t h e r s e c u r i t y o f f e r i n g s of $15 m i l l i o n and o v e r ;
S t a t e and l o c a l s e c u r i t y o f f e r i n g s of $10 m i l l i o n and o v e r .
2
I n c l u d e s f o r e i g n g o v e r n m e n t and I n t e r n a t i o n a l Bank f o r R e c o n s t r u c t i o n and
D e v e l o p m e n t i s s u e s and n o n - g u a r a n t e e d i s s u e s by F e d e r a l A g e n c i e s .
3
I n c a s e of S t a t e and l o c a l g o v e r n m e n t s e c u r i t i e s , G.O. d e n o t e s g e n e r a l o b l i g a t i o n ;
R e v . - U t . , r e v e n u e o b l i g a t i o n s s e c u r e d o n l y by income f r o m p u b l i c u t i l i t i e s ;
R e v . - Q . - U t . ' , r e v e n u e b o n d s s e c u r e d o n l y by income f r o m q u a s i - u t i l i t i e s ; R e v . - S . T . ,
r e v e n u e b o n d s s e c u r e d by r e v e n u e f r o m s p e c i f i c t a x e s o n l y ; R e v . - R e n t . , r e v e n u e
b o n d s s e c u r e d s o l e l y by l e a s e p a y m e n t s .
4
Bonds d u e 1 9 8 8 - 9 7 n o t r e o f f e r e d .
FRASER
* * T h e s e b o n d s w e r e s o l d i n u n i t s w h i c h a l s o i n c l u d e d s t o c k and w a r r a n t s .

Digitized for


TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury) 1
As of J a n u a r y 6» 1969
@

ISSUER

TYPE

AMOUNT
(MILLIONS
OF
• DOLLARS)

APPROXIMATE DATE
' OF OFFERING

Corporate
1 s t mtg. bds.
40.0
Penria. Power & L i g h t Co.
Sr. sub. debs.
15.0
*D.P.A.
N o r t h w e s t e r n B e l l -Telephone
Company
75.0
Debs.
25.0
Pfd. stk.
N o r t h e r n S t a t e s Power
Cleveland E l e c t r i c Illumine
50.0
t i n g Company .
:
1 s t mtg. bds.
40.0
Panhandle E a s t e r n P i p e l i n e Debs.
16.5
Conv. s u b . d e b s , .
Famous A r t i s t s S c h o o l s
DuqUesne L i g h t Company
1st mtg. bds.
25.0
1 s t mtg. bds.
70.0
Philadelphia Electric
Conv. s u b . d e b s , .
i5.o
;
Libby-McNeil & Libby
Debs.
50.0
j
•' T e x a s Gas T r a n s m i s s i o n
P u b l i c S e r v i c e Co. o f
1 s t mtg. bds.
40.0
Indiana
P u b l i c S e r v i c e Co. o f
20.0
1 s t mtg. bds.
New M e x i c o
Conv. d e b s .
25.0
\
Forest Qil Corporation
20.0
• S u r v e y o r Fund, I n c .
Conv. d e b s .
V i r g i n i a E l e c t r i c & Power
85.0
..
1 s t mtg. bds
Company
A l l e g h e n y Power S y s t e m
Com. s t k .
38.0
i y
P u b l i c S e r v i c e Co. o f
1 s t mtg. bds
25.0
Oklahoma
22.0 .
• G e n e r a l Telephone of Mich. Debs.
Conv. d e b s .
150.0
i T r a n s World A i r l i n e s
Conv. s u b . d e b s .
20.0
Kaufman and Broad
50.0
Debs.
• B e n e f i c i a l Finance
20.0
1 s t mtg. bds
C e n t r a l Hudson Gas & E l e c .
Southern C a l i f o r n i a
75.0
1 s t mtg. bds
E d i s o n Company
Conv. d e b s .
35.0
Purex C o r p o r a t i o n
Conv. s u b . d e b s .
15.0
Duplan C o r p o r a t i o n
20.0
'
Pfd. stk.
^ D a l l a s Power & L i g h t
25.0
1 s t mtg. bds
• P u g e t Sound Power & L i g h t
• K a n s a s C i t y Power & L i g h t
1 s t mtg. bds
26.0
Company
65.0
Com. s t k .
• S o u t h e r n Company
20.0
Com, s t k .
A l e x a n d e r ' s Dept. S t o r e s
30.0
Com. s t k .
G . S . I . Computer
15.0
Debs.
Tesoro Petroleum
Cap. n o t e s
20.0
y
Gamble-Skogmo, I n c . I
39.0
Com. s t k .
F. & M. S c h a e f e r C o r p .
Conv. s u b . d e b s . ^ 5 . 0
|
** I n s t r u m e n t S y s t e m s C o r p .
25.0
I n t e r n a t i o n a l L e i s u r e Corp. U n i t s
15.0
Conv. d e b s .
•Baystate Corporation!
Conv. s u b . d e b s .
25.0
•Sunshine Mining
j
7
0.0
Conv.
dc^bs.
•
• G . A. C.
15.0
Conv. d e b s .
*U.S. F i n a n c i a l ,




|

6
6

January
January
, January
January

i

•

7

?

January
8
January
8 !
8 : '
January
January • 9 ' •
J a n u a r y 13
January
13
J a n u a r y 14
January

14

January
January
January

15
15
17

January
January

21
21

January
January
January
• January
January
January

21
21
22
22
22
23

January
January
January
January
January

1

: i

.

23
28 .
28
29
30 .

February 4
February
Indefinite
™ Indefinite
Indefinite
Indefinite
r Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite
Indefinite

.

'

TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury)'

ISSUER

AMOUNT
(MILLIONS
OF
DOLLARS)

TYPE

APPROXIMATE DATE
OF OFFERING

S t a t e & l o c a l Government
Broward Co. , F l a . . S . T . D . # !
* W i l l i a m s p o r t Area J t . Sch.
Authority, Pennsylvania
S t a t e o f New J e r s e y
New York S t a t e D o r m i t o r y $
Authority
?
Springfield, Illinois
Penna. Higher Education
Facility
Los A n g e l e s C o n v e n t i o n &
E x h i b i t i o n Center Auth.
Hawaii, S t a t e of
*Omaha, Neb. , P u b l i c Power
District
*Fresno City, C a l i f o r n i a ,
U.S.D.
*Vigo Co. Sch B l d g . A u t h . ,
Indiana
* S t a t e of Oregon
*Kansas C i t y , M i s s o u r i
S t a t e of Maryland
*New York S t a t e
*San F r a n c i s c o , C a l i f o r n i a
P o r t of S e a t t l e , .
Washington
*Houston I . S . D . , Texas
^ B u f f a l o , New York
Delaware River J o i n t Toll
;
B r i d g e Commission
Cobb C o . , G e o r g i a
P e n n s y l v a n i a S t a t e Highway And B r i d g e A u t h .

G.O.

20.0

January

6

G.O.
G.O.

12.0
75.0

January
January

6
7

Rev. - R e n t .
Rev. - U t .

40.7
16.0

January
January

7
7

January

8

January
January

8
9

20.0

January

9

G.O.

16.2

January

14

Rev. - S . T .
G.O.
G. 0 .
G.O.
G.O.
G.O.

13.5
30.0
11.6
55.8
83.0
30.7

January
January
January
January
January
January

14
15
15
21
28
28

Rev. - R e n t .
G.O.
G.O.

20.0
12.0
19.3

January
January
January

28
28
29

Rev. -Q. - U t .
Rev. - U t .

20.0
32.5

January
Indefinite

Rev. -Q. - U t .

75.0

Indefinite

Conv. debs.'

20.0

January

Ext. loan bds.
S.F. debs w/wts.

20.0
15.0

January
Indefinite

'

25.0

Rev. - R e n t .
Rev. - R e n t .

20.5
30.0

Rev. - U t .

G.O.

•

- Other
Neon P r o d u c t s o f C a n a d a ,
Ltd.
*Banco N a c i o n a l d e O b r a s
y Servicios Publicos,
S.A.
Canadian . U t i l i t i e s , Ltd.

22

I n c l u d e s c o r p o r a t e and o t h e r i s s u e s o f $15 m i l l i o n and o v e r ; S t a t e and l o c a l
Government i s s u e s o f $10 m i l l i o n and o v e r .
I n c l u d e s f o r e i g n g o v e r n m e n t and I n t e r n a t i o n a l Bank f o r R e c o n s t r u c t i o n and
D e v e l o p m e n t i s s u e s and n o n - g u a r a n t e e d i s s u e s o f F e d e r a l A g e n c i e s .




i

TABLE 8: Stock Prices and Volume
STOCK PRICES

1966 - High
Low

94.06(2/9)
73.02(10/7)

995.15(2/9) - 17.00(4/21)
774.32(10/7) 12.07(10/7)

10.7(4/15)
5.0(9/23)

1967 - High
Low

97.59(9/25)
80.38(1/3)

943.08(9/25) 24:52(12/29)
786.41(1/3)
13.78(1/27)

12.3(12/29)
6.9(1/6)

1968 - High
Low

108.37(11/29)
87.72(3/5)

985.21(12/3) 33:25(12/20)
825.13(3/21) 22.00(3/22)

17.1(7/12)
8.2(3/29)

p
1

3
4

TRADING VOLUME2

S&P„
500

1968 - D e c . 6 107.93
i % 107.58106.34
27 304.74
1969 - J a n . 3j) 103.99

2

1

DATE

D.J.

- IND.

978.24
981.29
966.99
952.51
951.89

AMEX4

32.93
33.23
33.25
33.00
! 32.91

NYSE

16.4
16.3
r/16.6
v ;
11:4
11.6

.

AMEX
;

6.1(4/15)
1.3(9/23)

;

6.7(10/27)
, 2,1(1/6)
9.2(5/31)
2.9(3/29)
7.9
9.0
. 8.7
7.1

Preliminary.
v
,
F i g u r e s , e x c e p t h i g h s and lows a r e F r i d a y ' s o n l y . H i g h s ' a n d lows a r e f o r t h e
y e a f and a r e n o t n e c e s s a r i l y f o r F r i d a y ' s .
A v e r a g e s of d a i l y t r a d i n g volume on t h e New York and A m e r i c a n S t o c k E x c h a n g e s .
M i l l i o n s of s h a r e s .
•
'
\
1
1 9 4 1 - 4 3 = 10
. ,
Based on a c t u a l d o l l a r v a l u e , r a t h e r t h a n a f o r m u l a . ;




•

T

STOCK P R I C E S AND TRADING VOLUME
AMEX

Weekly'
STOCK

„

D.J.
, (Ind.)

S4I
(501

PRICES

30
27

AMEX PRICE LEVEL INDEX

24
1040 10
S&P's 500

18

860
D.J. IND.

AMEX TRADING VOLUME

20

NYSE TRADING VOLUME

......

„r ==: i:;
1965

1966




1967
z

! , i , i . „ i . , . . 1
1968

1969

8

TABLE 9: Stock Market Credit
NET CREDIT
CUSTOMERS.'
CUSTOMERS' NET EXTENDED BY
CREDIT EXTENDED TO CUSTOMERS BY: NET DEBIT ; FREE CREDIT
BROKERS AND
BANKS 2 | TOTAL
BROKERS1
BALANCES
END OF PERIOD
> BALANCES
DEALERS 3 L
Outstanding:
1967 - O c t .
Nov.
Dec.

6,010
6,050
6,300

2,420
2,440
2,460

8,430
8,490
8,760

7,111
7,200
7,948

2,513
2,500
2,763

1968 - J a n .
Feb.
Mar.
Apr.
v . May
June
July
Aug.
Sept,
Odt.£/

6,170
6,150 j
6,190 |
6,430 j
6,640
6,690
6,500 ;
6,460
6,390
6,300

2,430
2,420
2,370
2,350
2,360
2,410
2,420
2,490
2,520
2,560

8,600
8,570
3,560
8,780
9,000
9,100
8,920
8,950
8,910
8,860

7,797
7,419
7,248
7,701
8,268
8,728
8,860
8,489
r/8,723
. 8,865

2,942
2,778
2,692
2,979
3,064
3,293
3,269
2,984
3,126
3,402

Change i n
Outstanding:
1967 - O c t .
Nriv.
Dep.
1968 - Jan-.
Feb.
Mar.
Apr.
May.
June
July
Aug.
Sept.
Oct.j>/

1
;

2
3

'

4,598
4,700
5,183
4,855
4,641
1 4,556
4,722
5,204
5,435
5,591
5,505
5,589
5,463

.

"

220
40
250

80
20
20

300
60
270

168
89
748

112
-13
265

-130!
-20
40
240
210
50
-190
-40
-70
-90

-30
-10
, -50
-20
10
50
10
70
30
40

-160
-30
-10
220
220
100
80
30
-40
-50

151
378
-171
453
567
460
132
-371
234
142

-179
-164
-86
287
85
229
-24
-285
142
276

1
J
;
;

,

56
102
485
-328
-214
-85
166
482
231
156
-86
84
-126

I
M a r g i n d e b t , a s r e p o r t e d by t h e New York S t o c k E x c h a n g e . A l t h o u g h m a r g i n d e b t
' u n t i l March 1968 i n c l u d e d l o a n s s e c u r e d by U . S . g o v e r n m e n t s , t h e amount o f s u c h
l o a n s i n c l u d e d i s thought t o have been s m a l l .
"Bank l o a n s t o o t h e r s t h a n b r o k e r s and d e a l e r s f o r p u r c h a s i n g ox c a r r y i n g s e c u r i t i e s o t h e r than U.S. governments."
[
The d i f f e r e n c e b e t w e e n c u s t o m e r s ' n e t d e b i t b a l a n c e s and c u s t o m e r s njat f r e e c r e d i t b a l a n c e s , t h i s f i g u r e r e p r e s e n t s t h e n e t c r e d i t e x t e n d e d by b r o k e r s and
d e a l e r s t o t h e n o n f i n a n c i a l p u b l i c . NOTE: W i t h t h e " e x c e p t i o n o f b a n k l o a n d a t a ,
f i g u r e s a r e s u p p l i e d by t h e New York S t o c k E x c h a n g e arid a r e end of month d a t a .
Bank l o a n s a r e f o r w e e k l y r e p o r t i n g l a r g e c o m m e r c i a l b a n k s .




'

TABLE 10: Savings Flows at N on bank Depositary Intermediaries
»'
($ m i l l i o n s ) j •
—

DATE

SAVINGS & LOAN ASSOCIATIONS
MUTUAL SAVINGS BANKS *
NET
SHARE CAPITAL
NET
REGULAR DEPOSITS 3
NEW
ANNUAL
ANNUAL •
.NEW
2
MONEY
GROWTH
NET
GROWTH
MONEY 2
NET
FLOW
RATE 1
RATE 1
FLOW

TOTAL
DEPOSITS
ANNUAL
NET
GROWTH
FLOW
RATE 1

NET
NEW
MONEY 2 ;

Not S e a s o n a l l y A d j u s t e d
3,563
2,591
5,079

1965
1966
1967
1967 - S e p t .
Oct.
Nov.

550
210
321

1968 - S e p t .
Oct.
Nov. 2 /

505
202
. 350

June
July
Aug.
Sept.
Oct.
Nov.])/'
1
2
3

p

310
303
319
356
364
388

7.4%
4.9
9.3

—

6*. 0
5.9
6.2
6.8
6.9
7.4

1,527
227
2,376

8,396
.3,656
10,686

53
94
273

1,193
495
582

-36
89
285

——
- - - - -

8.3%
3.3
9.1

"

4,458e
-552
6,136

494
454
552

—

11,959
6,247
15,765

1,743
4
705
873

325 i ' 1 , 6 3 9
1,134
—
r/446
r/697
. r/495
1,003
'624
653 ,
Seasonally Adlusted
745
501
644
770
r/792
590

7.1
4.7
6.1
7.2
7.4
5.5

•—

—
—
- - -

'

1,055
804
963
1,126
r/1,156
978

5,985e
-325
8,512

8.0%
3.8
9.2

--

547
548
825

- -

287
r/535
909

—

6.7
5.1
6.1
7.1
7.2
6.1

——

"r

—
- -

Annual growth r a t e f o r monthly d a t a i s t h e a n n u a l i z e d monthly p e r c e n t a g e i n c r e a s e i n d e p o s i t s
N e t New Money i s t h e n e t c h a n g e i n d e p o s i t s n e t of b o t h w i t h d r a w a l s and i n t e r e s t .
D a t a f o r S&Ls
a r e f o r i n s u r e d a s s o c i a t i o n s o n l y , which r e p r e s e n t 96% of t h e t o t a l r e s o u r c e s of t h e i n d u s t r y .
R e g u l a r d e p o s i t s a t m u t u a l s a v i n g s banks e x c l u d e i t e m s such as C h r i s t m a s c l u b and c e r t a i n escrow
a c c o u n t s , w h i c h r e p r e s e n t a v e r y s m a l l p a r t of t o t a l d e p o s i t s .
SOURCE: N a t i o n a l A s s o c i a t i o n of M u t u a l S a v i n g s Banks and F e d e r a l Home Loan Bank B o a r d ,
Preliminary, r /
Revised.




SAVINGS FLOWS ( s e a s o n a l l y a d j u s t e d )
Monthly

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

1200

800

400

SAVINGS & LOANS

400

800
400
MUTUAL SAVINGS BANKS

400
1965




1967

1968

1969

TABLE 11: Mortgage Commitments at Selected Thrift Institutions

DATE

TOTAL "

OUTSTANDING COMMITMENTS
ALL
MUTUAL
SAVINGS
SAVINGS & •
BANKS
LOAN
(N.Y. STATE)
ASSOCIATIONS

TOTAL
,,,

1

NET CHANGE
ALL
SAVINGS &
LOAN
ASSOCIATIONS

MUTUAL
SAVINGS
BANKS
(N.Y. STATE)

( B i l l i o n s of D o l l a r s , S e a s o n a l l y A d j u s t e d ) 1 /
1967*Oct.
Nov.
Dec.
1968-Jan.
Feb.
Mar.
Apr.
Hay
June
July
Aug.
Sept.
Oct.
Nov.

1

8.3
8.5
8.5
8.4
8.5
8.6
8.8
8.6
8.6
8.8
9.0
9,1
9.5
9.6

5.7
5.8
5.9
5.8
5.9
6.1
6.2
6.1
6.0
6.1
6.2
6.2
6.5
6.4

,

2.7
2.7
2.6
2.6
2.5
2.5
2.5
2.6
2.6
2.7
2.9
2.9
3.0
3.2

.19
.16
-.04
-.05
.05
.18
.11
-.13
-.05
.19
.24
.11
-35
.14

.18
.15
.03
——

.10
.16
.11
-.15
. -.10
.11
.08
.07
.22
-.04

B a s e d on d a t a f r o m F e d e r a l Home Loan Bank B o a r d and S a y i n g s Banks A s s o i c a t i o n s of
New York S t a t e . N e t c h a n g e s a r e d e r i v e d d i r e c t l y f r o m u n r o u n d e d o u t s t a n d i n g s
l e v e l s a s r e p o r t e d and a f t e r s e a s o n a l a d j u s t m e n t by F e d e r a l R e s e r v e .
Subtotals
may n o t " a d d t o t o t a l s b e c a u s e of r o u n d i n g .




.01
.01
-.07
-.05
-.05
.02
. 0
.02
.06
.08
.16
.04
.13

17

MORTGAGE COMMITMENTS OUTSTANDING (saar)
Monthly




Billions o f dollars

TOTAL

S&L'S

MSB'S

1961

1963

1965

1967

1969

TABLE 12: Net Change in Mortgage Holdings 1
-

DATE

TOTAL
INCLUDING
FNMA

TOTAL

FINANCIAL INSTITUTIONS
SAVINGS
MUTUAL .
&
SAVINGS
COMMERCIAL
LOANS
; BANKS
BANKS

, LIFE
INSURANCE
COMPANIES

FNMA

1965 - I
.
II
III
IV

4,955
6,528
6,624
6,454

4,813
6,431
6,403
5,947

823
1,749
1,805
1,322

965
946
1,072
1,078

1,860
2,706
2,460
1,947

1,165
1,030
1,066 .
1,600

1966 - I
II
III
IV

5,734
6,009
4,237
3,212

4,618
5,120
3,445
2,619

975
1,656
1,300
774

753
513
739
715

1,671
1,674
350
86

1,219
1,277
1,056
1,044

1,116
889
792
593

1967 - I
V
II
III
IV

2,857
5,079
6,489
6,530

2,273
4,790
5,696
5,528

151
1,200
1,75V
1,537

770
786
839
758

492
2,147
2,585
2,364

860
657
521
869

584
289
793
1,002

1,421
1968 - J a n
Feb.
1,540
Mar.
1,788.
Apr.
1,969
May
2,227
2,101
June
I l y
1,819
Aug.
1,950
Sept. r / 1 ^ 5 3
O c t . r / 2 , 308
Nov.

1,071
1,236
1,514
1,723
1,992
1,881
1,667
1,809
1,845
i '/2,147

300
400
400
616
616
616
500
500
700
800
700

215
197
137
160
293
219
248
233 ,
221
313

381
542
789
879
957
877
719
675
809
r/846
""733

175
97
188
68
216
169
200
201
115
r/188

350
304
274
246
235
220
r/152
141
r/168
- 161
145

142
97
221
507

1 M o n t h l y d a t a f o r c o m m e r c i a l b a n k s b a s e d on F e d e r a l R e s e r v e e s t i m a t e s benchmarked
t o C a l l R e p o r t d a t a on r e a l e s t a t e l o a n s o u t s t a n d i n g a s a v a i l a b l e .
Other data
d e r i v e d f r o m m o r t g a g e d e b t o u t s t a n d i n g a s r e p o r t e d s e p a r a t e l y by N a t i o n a l A s s n .
of M u t u a l S a v i n g s B a n k s , F e d e r a l Home Loan Bank B o a r d , I n s t i t u t e of L i f e I n s u r a n c e
and tiie F e d e r a l N a t i o n a l M o r t g a g e A s s o c i a t i o n . D a t a f o r m u t u a l s a v i n g s b a n k s and
f o r l i f e i n s u r a n c e c o m p a n i e s may d i f f e r somewhat f r o m t h o s e d e r i v e d f r o m r e g u l a r
q u a r t e r l y s e r i e s b e c a u s e of m i n o r c o n c e p t u a l d i f f e r e n c e s f o r w h i c h a d j u s t m e n t s a r e
n o t made i n t h e m o n t h l y s e r i e s .




NET CHANGE IN MORTGAGE HOLDINGS
Monthly

•

Billions of d o l l a r s

3.0

2.5

TOTAL, INCL. FNMA

2.0

1.5

FINANCIAL INSTITUTIONS

1966




1967

1968

1969

QUARTER
1965 - I
II
III
IV

TOTAL
25.5 • .
25'. 3
25.7
26.2

29.1
1966 - I e /
II 2./ 2 3 . 6
IIIE/ 1 7 . 7
14.6
1
IVE/
16.2'
1967 - I E /
20.3
HE/
.

HIE/

-IVD/.
.1968 - l £ /
HE/

IIIE/
IVE/

1

2
•qJ

TABLE 13: Net Increases in Mortgage Debt Outstanding 1
( S e a s o n a l l y A d j u s t e d A n n u a l Rate*)
1 - t o 4- MULTIMULTI-AND
RESIDENTIAL2 FAMILY
FAMILY COMMERCIAL
COMMERCIAL

28;0
27.7
26.0
25.7
28.0

ia.6
18.5
19.3
19.6

15; 1
15.1
15 ; 5
15.8

3;5
3.5
3.8
3.8

.
4.2
. - 4.5
4,6

8;0
8.1
8;3
7.9

19;0
15 ; 3 .
10.6
9,2

14.7
12.1
8.3
7.2

4;3
3.3
2.3
2.0

7;0
6.1
5.1
4.0

11.7
9.4
7.7
5.6

9.9
13.7
19.1
__2(L-9-_

6.8
10.5
15.3

3;1
3.3
3.8

3.8
4.8
4.8

16.3
14.6
14.6

2.0
3.9
, - 3.4

18,2
18.5
18.0

^

4.4

;

;

.
6.3
5.3
5.5

FARM
2.2
2.1
2.2
2,4;
2;4
2.2
2.1
1.7

7.3 8.0
8.8
8,0.

1; 8
1.9
2.4

-6.6
9.2
9.2

2.5
2.3
2.3

D e r i v e d f r o m d a t a on m o r t g a g e d e b t o u t s t a n d i n g f r o m F e d e r a l D e p o s i t I n s u r a n c e
C o r p o r a t i o n , F e d e r a l Home Loan Bank B o a r d , I n s t i t u t e of L i f e I n s u r a n c e , N a t i o n a l A s s o c i a t i o n of M u t u a l S a v i n g s B a n k s , D e p a r t m e n t s of Commerce and A g r i c u l t u r e , F e d e r a l N a t i o n a l Mortgage A s s o c i a t i o n , F e d e r a l Housing A d m i n i s t r a t i o n ,
V e t e r a n s A d m i n i s t r a t i o n and C o m p t r o l l e r of t h e C u r r e n c y .
S e p a r a t i o n of n o n f a r m m o r t g a g e d e b t .by t y p e _ o f p r o p e r t y ' , w h e r e n o t a v a i l a b l e , and i n t e r p o l a t i o n s
and e x t r a p o l a t i o n s , w h e r e r e q u i r e d , e s t i m a t e d by F e d e r a l Home Loan Bank Board
and t h e F e d e r a l R e s e r v e .
R e s i d e n t i a l m o r t g a g e d e b t i n c l u d e s n o n f a r m o n l y and i s sum of 1 - t o 4 - f a m i l y
and multifamJLly m o r t g a g e de^jt combined *
Preliminary.




NET INCREASES IN MORTGAGE DEBT OUTSTANDING
Quarterly

Billions of dollars, seasonally adjusted annual rate

32

TOTAL

24

I 1 - 4 FAMILY

COMMERCIAL

MULTIFAMILY
1965




1967

1969

TABLE 14: FNMA Weekly "Auction" Results
\

WEEK
ENDED

TOTAL
OFFERED1

AMOUNTS IN $ MTT.T.IONS
ACCEPTED
906TOTAL
.1MONTH
DAY
YEAR

IMPLICIT YIELD
90DAY

6MONTH

1YEAR

Oct.

7
14
21
28

98.9
119.2
132.8
131'. 9

35.1
41.6
44.0
49.1

2.2
2.5
2.7
3.0

22.9
30.0
30.7
31.3

10.0
9.1
10.7
14.7

7.19
7.20
7.21
7.24

7.16
7.18
7.20
7.23

7.09
7.12
7.13
7,17

Nov.

4
11
18
25

125.1
144.4
167.0
161.4

53.8
48.1
50.3
59.7

4.9
8.4
10.3
11.1

29.5
29.3
28.8
33.7

19.4
10.3
11.1
15.0

7.26
7.29
7.33
7.37

7.26
7.30
7.35
7.40

7.19
7.23
7.26
7.30

Decw

2
9
16
23
30

119.9
105.1
93.7
123.3
104.4

57.9
56.1
}54;6
56,3
62.4

17.5
18.4
15.1
15.3
20.4

25.8
23.5
32,6
31.6
32.3

14.6
14.1
8.9
9.4
9.8

7.43
7.47
7.52
7.55
7.61

7.46
7,51
7.57
7.60
7.65

7.35
7\42
7.46
7.48
7.49

Jan.

6; > /

[60.0)

N o t e : T o t a l a c c e p t e d shown i n p a r e n t h e s i s f o r m o s t r e c e n t week i n d i c a t e s
FNMA a n n o u n c e d l i m i t b e f o r e t h e " a u c t i o n " d a t e . Y i e l d s a r e g r o s s t o FNMA
a n d a r e b a s e d on s u c c e s s f u l b i d p r i c e s a f t e r a l l o w a n c e f o r commitment f e e s
a n d i n i t i a l s t o c k p u r c h a s e r e q u i r e m e n t s and a s s u m i n g a p r e p a y m e n t p e r i o d
o f 15 y e a r s f o r 3 0 - y e a r m o r t g a g e s . O n e - y e a r commitments a r e f o r new homes
only,
1 . P e r c e n t o f t o t a l o f f e r e d t o FNMA w h i c h i s f o r o n e - y e a r commitments on
new h o m e s .
£./

Preliminary.




,

-

FNMA WEEKLY " A U C T I O N " RESULTS
$ Millions

120
A M O U N T OF ACCEPTED B I D S BY C O M M I T M E N T PERIOD

100

60
\

6-MONTHS
40

20

j l YEAR
9 0 DAYS

IMPLICIT YIELD
6 - M O N T H COMMITMENTS

8.0

7.6

7.2

6.8
AUGUST




1968

OCTOBER

DECEMBER

FEBRUARY

1969

/

TABLE 15: Private housing starts and Permits
STARTS
DATE

1967 - O c t .
Nov.
Dec.

1,496
1,590i
1,250|

1968 - J a n *
Feb.
Mar. '
Apr.
May
June
July
Aug.
Sept.
.
Oct.
. Nov.
|

1,456
1,537
1,511
1,591
1,364
1,365
1,531
1,518
1,592
1,562
1,677

913
952
797
912
1,075
920
922
838
790
904
867
944
960
885.

BUILDING
PERMITS
(SEASONALLY
ADJUSTED
ANNUAL
RATE) 2

TOTAL

UNADJUSTED
TYP E OF FINANCING
FHA VA
OTHER

583
638
453

135.4
118.4
80.1

19.4
15.2
15.7

5.3
4.5
3.6

110.7
98.7
60.8

1,253
1,204
1,368

544
462
591
669
526
575
627
651
648
602
792

80.5
84.6
126 o 6
162.0
140.9
137.9
139.8
136.6
134.3
140:0
122.7

13.9
17.0
19.6
22.6
20.5
19.8
18.8
20.9
18.6
21.4
17.5

3.4
4.1
4.5
5.4
5.5
5.0
4.9
4.8 .
4.6
5.3
4.2

63.2
63.5
102.4
134.0
114.9
113.1
116.2
110.9
111.1
113*2
101.0

1,148
1,394
1,416
1,340
1,280
1,281
1,289
1,290
1,393
1,378
1,390

SEASONALLY ADJUSTED
ANNUAL RATE
TOTAL 1-FAMILY 2 OR MORE

1 . T o t a l s t a r t s a r e C e n s u s e s t i m a t e s i n c l u d i n g f a r m f o r b o t h p e r m i t - i s s u i n g and
n o n - i s s u i n g a r e a s . A d w e l - l i n g u n i t i s s t a r t e d when e x c a v a t i o n b e g i n s ; a l l u n i t s
i n an a p a r t m e n t s t r u c t u r e a r e c o n s i d e r e d s t a r t e d a t t h a t t i m e . FHA and Va
s t a r t s a r e u n i t s s t a r t e d u n d e r commitments by t h e s e a g e n c i e s t o i n s u r e o r g u a r a n t e e t h e m o r t g a g e s . As r e p o r t e d by FHA and VA, a u n i t i s s t a r t e d when a f i e l d
o f f i c e r e c e i v e s t h e f i r s t c o m p l i a n c e i n s p e c t i o n r e p o r t , w h i c h i s made b e f o r e
f o o t i n g s a r e p o u r e d i n some c a s e s b u t n o r m a l l y a f t e r t h e f o u n d a t i o n s h a v e b e e n
completed. Capehart m i l i t a r y housing u n i t s a r e excluded. Other s t a r t s a r e
d e r i v e d a s a r e s i d u a l , a l t h o u g h t o t g l and FHA and VA s t a r t s a r e n o t s t r i c t l y
c o m p a r a b l e i n c o n c e p t o r t i m i n g ; o t h e r s t a r t s i n c l u d e b o t h u n i t s f i n a n c e d by c o n v e n t i o n a l m o r t g a g e s and u n i t s w i t h o u t m o r t g a g e s .
2 B u i l d i n g p e r m i t s b e f o r e J a n u a r y 1963 a r e C e n s u s e s t i m a t e s f o r a b o u t 1 0 , 0 0 0 a r e a s
i d e n t i f i e d a s h a v i n g a l o c a l b u i l d i n g p e r m i t system i n 1959. E s t i m a t e s b e g i n n i n g
J a n u a r y 1 9 6 3 , a r e f o r a p p r o x i m a t e l y 1 2 , 0 0 0 a n d b e g i n n i n g J a n u a r y 1967 1 3 , 0 0 0 , o r
a l l known p e r m i t - i s s u i n g p l a c e s . U n l i k e s t a r t s , s e a s o n a l l y a d j u s t e d b u i l d i n g p e r m i t s r e f l e c t d i r e c t a d j u s t m e n t f o r d i f f e r e n c e s i n t h e number of w o r k i n g d a y s p e r
m o n t h , a s w e l l a s o t h e r d i f f e r e n c e s i n t i m i n g and c o v e r a g e .
—
r

Revised.

p

Preliminary.




PRIVATE HOUSING S T A R T S A N D P E R M I T S
Millions of u n i t s

Monthly, a n n u a l r a t e s
SEASONALLY ADJUSTED DATA

2 0

HOUSING STARTS

1:2

BUILDING PERMITS

PER C E N T OF U N A D J U S T E D T O T A L S T A R T S

MULTI-FAMILY

40

GOVERNMENT UNDERWRITTEN
1963




1965

1967

1

1969

TABLE 16: Mortgage and Bond Yields
FHA
MORTGAGES

2

DATE
25-YEAR 30-YEAR
1957 - High
1958 - Low
1959-60 - High
1 9 6 1 - 6 6 --Low
-1966 - High
1967 - High
Low
1968 - High
Low
1968 - J u n e
July
Aug.
Sept.
Oct.
Nov.

n.a.
n.a.

CONVENTIONAL
MORTGAGES
3

5.63
5.35
6.24
5.43
6.73
n.a.
n.a.
n.a.
.n.a.

5.44
6.81
6.81
6.29
7.52
6.78

6.00
5.55
6.30 ,
5.80
6.70
6.65
6.40
7.30
6.75

' n.a.
n.a.
n.a.
. n.a.
n.a.
n.a.

7.52
7.42
7.35
7.28
7.29
7.36

7.25
7.30
7.30
7.30
7.25
7.30

SPREAD BETWEEN YIELDS
ON CONV, &
FHA MORTGAGES 4

i

1

NEW
Aaa CORPORATE
BONDS
5

SPREAD BETWEEN
YIELDS ON NEW •
CORPORATE BONDS .
AND
FHA MORTGAGES

.47
.15
.23
. .25
.30
.11
-.12
.02
-.27

4.94
3.65
5;25
4.12
5.82
6.53
5.20
6.66
6.24

1.58
.88
1.69
.77
1.11
1.26
.24
1.09
.27

-.27
-.12
-.05
.02
-.04
-.06

6.65
6.54
6.26
6.30
6.57
6.64

;87
.88
1.09
.98
.72
.72

'

'

N e i t h e r m o r t g a g e n o r bond y i e l d s t a k e i n t o a c c o u n t . s e r v i c i n g c o s t s w h i c h a r e
much h i g h e r f o r m o r t g a g e s t h a n b o n d s . G e n e r a l l y , b o n d s pay i n t e r e s t s e m i a n n u a l l y ; m o r t g a g e s , m o n t h l y . M o r t g a g e y i e l d s , i f computed a s e q u i v a l e n t t o
a s e m i - a n n u a l i n t e r e s t i n v e s t m e n t , would b e s l i g h t l y h i g h e r t h a n g i v e n i n t h e
table.
2 B a s e d on F H A - f i e l d - o f f i c e o p i n i o n s a b o u t a v e r a g e b i d p r i c e s i n t h e p r i v a t e
s e c o n d a r y m a r k e t f o r new-home m o r t g a g e s f o r i m m e d i a t e d e l i v e r y .
Separate
data a v a i l a b l e f o r 25-year and--beginning July 1961--30-year mortgages with
minimum downpayments, w e i g h t e d by p r o b a b l e volume of t r a n s a c t i o n s .
Yields
computed by FHA, a s s u m i n g p r e p a y m e n t p e r i o d of 12 y e a r s f o r 2 5 - y e a r m o r t g a g e s
and 15 y e a r s f o r 3 0 - y e a r m o r t g a g e s . Over t h e p e r i o d f o r w h i c h t h e y c a n b e
. c o m p a r e d , t h e movement of t h e two m o r t g a g e y i e l d s e r i e s h a s b e e n s i m i l a r .
Dashed l i n e s i n d i c a t e p e r i o d s of a d j u s t m e n t t o c h a n g e s i n c o n t r a c t u a l i n t e r e s t
rates.
,
3 Based on F H A - f i e l d - o f f i c e o p i n i o n on t y p i c a l i n t e r e s t r a t e s ( r o u n d e d ) on c o n v e n t i o n a l f i r s t m o r t g a g e s p r e v a i l i n g i n t h e m a r k e t a r e a s of i n s u r i n g o f f i c e
cities.
B e g i n n i n g w i t h A p r i l 1 9 6 0 , r a t e r e l a t e s o n l y t o new-home m o r t g a g e s ;
p r i o r t o t h a t d a t e , r a t e r e l a t e d t o b o t h new a s w e l l a s e x i s t i n g - h o m e m o r t g a g e s . . Dashed l i n e i n d i c a t e s t h i s c h a n g e i n t h e s e r i e s .
4 FHA m o r t g a g e y i e l d d a t a a r e f o r 2 5 - y e a r m o r t g a g e s t h r o u g h J u n e 1 9 6 1 ; 3 0 - y e a r
mortgages t h e r e a f t e r .
•
5
See n o t e f o r T a b l e I .
n.a.
Not a v a i l a b l e .
1




M O R T G A G E A N D BOND Y I E L D S
Monthly

.

f

Per c e n t

i i-! in 111 n m

HOME MORTGAGES:

Aaa CORPORATE BONDS:

1961




1963

1967

1969

TABLE 17: Conventional Mortgage Terms
•
NEW HOMES
CON- FEES &
TRACT CHARGES EFFEC- MATURITY
(YEARS)
(PER
RATE
TIVE
CENT) RATE
(PER
CENT)
3
2

DATE

LOAN /
PRICE LOAN
RATIO : AMT.
(PER ($000)
CENT)

1

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

LOAN
AMT.
($000)

1967
Oct.
Nov.
Dec.

6 .34
' 6 .33
6 .41

0.82
0.76
0.84

6 .47
6 .45
6 .54

25 . 4
25 . 3
25 . 4

21 .2
21 . 2
21 . 5

6.39
6.42
6.51

0.78
0.77
0.83

6 .52
6 .55
6 .64

22.5
22.7
23.1

72.9
74.5
74.3
73.4
73.2
74.4
' 73.7
73.6
74.2
74.5
74.2

21,.7
22 .2
22..4
22..2
22..1
22.,6
22. ,5
22. 8
22. 5
23. 1
22. >9

6.57
0.82
6.58
. 0.81
6.59
0.79
6.64
0.80
6.81
0.87
6.97
0.86
7.10
0.83
2
0.85
b*
0.82
7.11
0.84
7.09 •
7.07
0.81

6,.70
6,. 7 1
6..72
6..77
6.,95
i 7.,12
1
7.,23
7. 26
7 . 25
7 . 22
7.,21

22,7
22.6
23.0
22.6
22,5
22.6
22.5
22.7
22.6
22.5
22.7

73 . 0
72 . 9
73 . 1

17.3
18.3
18.4

!

1968
Feb.
• Mar.'
Apr.
May
June ;
July
Aug.
Sept. '
Oct. r j
Nov. £/

73.8
73.4
72.7

6.,39
0.86
6,.47
0.94
6..50
0.88_
6.. 5 7 .
0.88
6.,69
0.95
6. .88
0.95
7.,04
0.85
7. 10
0,87
7. 10
0.87
7 . 09
0.88
7,,07^ - 0 . 8 4

6.52
6,.62
6..64
6,.71
6,.84
7.,03
7.,17
7. 24
7 . ,24
7. 23
7.,21

25,. 4
25;,.5
25..7
25.,3
25..0
25. ,4
25. ,5
25. 5
25. 5
25. 6
25. ,4

73,.7 . 1 8 . 4
73,.6
18.0
18.6
73..3
72..8
18.3
73.,1
18.5
73.,1
18.4
72. 6
18.6
18.7
73. 0
72. 6
18.4
72. 4 ' 1 8 . 5
- 72.,8
19.1

r
1

Revised.
p Preliminary.
Compiled by F e d e r a l Home Loan Bank Board iiji c o o p e r a t i o n w i t h F e d e r a l D e p o s i t I n s u r a n c e
C o r p o r a t i o n . D a t a a r e w e i g h t e d a v e r a g e s b a s e d on p r o b a b i l i t y sample s u r v e y of c h a r a c t e r i s t i c s of c o n v e n t i o n a l f i r s t m o r t g a g e s o r i g i n a t e d by m a j o r i n s t i t u t i o n a l l e n d e r • g r o u p s , ( i n c l u d i n g m o r t g a g e c o m p a n i e s ) f o r p u r c h a s e of s i n g l e f a m i l y homes. D a t a e x clude loans f o r r e f i n a n c i n g , r e c o n d i t i o n i n g , or modernization; c o n s t r u c t i o n loans to
h o m e - b u i l d e r s ; a n d - - i n t h i s e x h i b i t - - p e r m a n e n t l o a n s which a r e c o u p l e d w i t h c o n s t r u c t i o n
l o a n s t o o w n e r - b u i l d e r s . Data p r i c j r t o 1965 on a c o m p a r a b l e " b a s i s w i t h t h e new s e r i e s
a r e p e n d i n g . R e l a t e d s e r i e s on c o n v e n t i o n a l m o r t g a g e r a t e s o n l y , b a s e d on u n w e i g h t e d .
o p i n i o n s of r e g i o n a l - o f f i c e d i r e c t o r s of t h e F e d e r a l H o u s i n g A d m i n i s t r a t i o n , a r e a v a i l arble somewhat s o o n e r t h a n t h e r e s u l t s of t h e FHLBB-FDIG s u r v e y , and a r e i n c l u d e d - i n t h e
c a s e o f new home m o r t g a g e r a t e s - - i n T a b l e 1 6 .

2

F e e s and c h a r g e s - - e x p r e s s e d a s a p e r c e n t a g e of t h e p r i n c i p a l m o r t g a g e a m o u n t - - i n c l u d e
l o a n c o m m i s s i o n s , f e e s , d i s c o u n t s , and o t h e r c h a r g e s which p r o v i d e added income t o t h e
l e n d e r and a r e p a i d by t h e b o r r o w e r . They e x c l u d e any c l o s i n g c o s t s r e l a t e d s o l e l y t o
t r a n s f e r of p r o p e r t y o w n e r s h i p .

3

I n c l u d e s f e e s & c h a r g e s a m o r t i z e d o v e r a 10 y e a r p e r i o d i n a d d i t i o n t o t h e c o n t r a c t
interest rate.




CONVENTIONAL MORTGAGE T E R M S
Monthly

'

r

Years

30
MATURITY

NEW
25

EXISTING
20

80
LOAN/PRICE RATIO

NEW
EXISTING
70

65
1963




1965

1967

1969
* C H A N G E IN S E R I E S