View original document

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

Not f o r p u b l i c a t i o n
H. 14

DECONTROLLED AFTER SIX MONTHS

J u l y 25, 1966

CAPITAL MARKETS DEVELOHtfENTS
IN THE UNITED STATES

{Corporate and m u n i c i p a l bond m a r k e t s . T h i s w e e k ' s t o t a l of
new m u n i c i p a l i s s u e s w i l l be a b o u t t w i c e t h e s i z e of l a s t w e e k ' s
r e l a t i v e l y * l i g h t volume. N e a r l y h a l f of t h e t o t a l i s a c c o u n t e d f o r
by New York C i t y bonds i n t h e amount of $113 m i l l i o n . New c o r p o r a t e
s e c u r i t y i s s u e s a g g r e g a t e l e s s t h a n t h e a v e r a g e f o r such i s s u e s o v e r
the past year.
Long-term P u b l i c S e c u r i t y O f f e r i n g s 1/
( I n m i l l i o n s of d o l l a r s )
Corporate
New C a p i t a l | R e f u n d i n g

S t a t e and l o c a l Government
New C a p i t a l I R e f u n d i n g

Sold:
52 week avg.
July

15
22

176

3

204

23 l r /
65

226r /
130

140

4

251

. --

Scheduled:
J u l y 29

1/ F e d e r a l R e s e r v e e s t i m a t e s b a s e d upon p u b l i s h e d r e p o r t s of i s s u e s
s o l d and s c h e d u l e d f o r o f f e r i n g : c o r p o r a t e r i g h t s o f f e r i n g s a r e
i n c l u d e d as of t h e d a t e s u b s c r i p t i o n r i g h t s e x p i r e .
There were no m a j o r c o r p o r a t e d e b t o f f e r i n g s l a s t week.
Seasoned cci p c ; £te y i e l d s advanced 4 b a s i s p o i n t s , w h i l e m u n i c i p a l
y i e l d s remained unchanged t o s l i g h t l y lower v
P r i v a t e h o u s i n g s t a r t s and p e r m i t s .
Private housing s t a r t s
which had dropped 14 p e r c e n t i n May, edged o f f somewhat more i n June
t o a s e a s o n a l l y a d j u s t e d a n n u a l r a t e of 1,288 t h o u s a n d . T h i s was
t h e l o w e s t r a t e i n t h e p a s t f i v e y e a r s and 18 p e r c e n t u n d e r a y e a r
earlier.
The d e c l i n e b r o u g h t t h e second q u a r t e r a v e r a g e t o 1,362
t h o u s a n d - - a t e n t h below t h e a v e r a g e f o r t h e f i r s t q u a r t e r of t h i s
y e a r as w e l l as f o r 1965 as a whole.
U n l i k e t h e May-June movement of s t a r t s , t h e f u r t h e r d e c l i n e
i n t h e r a t e of p e r m i t s was p a r t i c u l a r l y marked, a v e r a g i n g 14 p e r c e n t




H. 14

-2-

Yields i n S e c u r i t y Markets
L e v e l l a t e s t week

Change f r o m
p r e c e d i n g week

High-Grade
N o t e s and Bonds
Corporate
New
Seasoned

5.17

+4

4.75
5.22

-3

U.S. Government
Long-term
3-5 year

-2

S t a t e and l o c . Govt.
Moody's Aaa
Std. & Poor's high grade

3.77
3.93

Money Market
Federal funds
Treasury b i l l s
3-month
6-month

4.40

-88

4.89
4.99

44
-1

C o r p o r a t e Bonds S t i l l i n S y n d i c a t e

Blue L i s t of M u n i c i p a l D e a l e r ' s A d v e r t i s e d I n v e n t o r i e s
( I n m i l l i o n s of d o l l a r s )
L a t e s t Date
506

(7/19)




End of P r e v i o u s Week
530

Recent High
636

(2/17)

H. 14
from t h e a l r e a d y r e d u c e d r a t e i n May t o a l e v e l g e n e r a l l y below t h e
lows r e a c h e d i n 1960. Most of t h e d e c l i n e was i n m u l t i f a m i l y
s t r u c t u r e s , which dropped a f o u r t h f u r t h e r from May and a t h i r d
under a year e a r l i e r .
As i n May, a l l r e g i o n s s h a r e d i n t h e d e c l i n e
i n p e r m i t s , a t an a v e r a g e u n i f o r m l y a f o u r t h u n d e r t h e June 1965
levels.
G o v e r n m e n t - u n d e r w r i t t e n s t a r t s a c c o u n t e d f o r j u s t o v e r 15
p e r c e n t of t o t a l s t a r t s i n J u n e . The p r o p o r t i o n was l i t t l e changed
from t h e s h a r e i n June of o t h e r r e c e n t y e a r s .
S a v i n g s Flows i n J u n e . Net i n f l o w s of i n c o m e - y i e l d i n g c l a i m s
to d e p o s i t a r y - t y p e i n s t i t u t i o n s aggregated $3.0 b i l l i o n in June,
a d e c l i n e of o v e r $ . 4 b i l l i o n from a y e a r e a r l i e r .
Commercial banks
a c c o u n t e d f o r t w o - t h i r d s of t h e n e t i n f l o w by r e g i s t e r i n g a g a i n
i n t i m e and s a v i n g s d e p o s i t s of a l m o s t $ 2 . 0 b i l l i o n - - a 16 p e r c e n t
advance i n d e p o s i t g r o w t h o v e r t h e p r i o r y e a r . Net d e p o s i t
gains
a t b o t h s a v i n g s and l o a n a s s o c i a t i o n s ( $ 1 . 1 b i l l i o n ) and m u t u a l
s a v i n g s banks ( $ . 2 b i l l i o n ) f e l l below, by a wide m a r g i n , t h e June
1965 i n f l o w s .
More i n f o r m a t i o n on s a v i n g s f l o w s can be found on t h e f o l l o w i n g
table.
Stock p r i c e s .
Common s t o c k p r i c e s d e c l i n e d l a s t week i n
m o d e r a t e t r a d i n g . S t a n d a r d and P o o r ' s i n d e x of 500 s t o c k s f e l l 1 . 6 7
p o i n t s t o a F r i d a y c l o s i n g l e v e l of 8 5 . 4 1 . T r a d i n g volume a v e r a g e d
5.9 m i l l i o n s h a r e s a day.
More d e t a i l e d i n f o r m a t i o n c o n c e r n i n g r e c e n t c a p i t a l m a r k e t s
developments i s p r e s e n t e d in the a t t a c h e d e x h i b i t s .

C a p i t a l Markets S e c t i o n ,
D i v i s i o n of R e s e a r c h and S t a t i s t i c s ,
Board of Governors of t h e F e d e r a l R e s e r v e System.




P

-4SAVXNGS FLOWS

Year
or
Month

M u t u a l S a v i n g s Banks 3/
S a v i n g s & Loan A s s o c . 2 /
Commercial Banks 4 /
Per c e n t C u r r e n t
Change Per c e n t
Current
Change
Change
Per c e n t C u r r e n t
change
from
change ( m i l l i o n s )
from
change ( m i l l i o n s )
from
Total (millions)
previous
previous
previous
1/
year
vear
vear
Unadjusted

1960
61
62
63
64
65

14,621
7,559
20,040r/ 8,743
27,901r/
9,351
2 9 , 1 0 0 r / 11,072
2 8 , 9 5 7 r / 10,579
31,953r/ 8,384

1966 - Feb.
Mar.
Apr.
May
June

1,552
3,767
291
2,035
3,037

1966 - Feb,
Mar.
Apr.
May
June

1,442
2,273
1,171
l,362r/
1,9? )8

528
838
748
434
1,130

952
1,184
608
1,721
-493
• 2,195

14.4,
15.7
7.0
18.4
-4.5
-20. 7

1,362
1,912
3,038
3,255
4,236
3,582

412
550
1,126
217
981
-654

-51
-217
-655
-358
-473

-2.8
-20.6

203
356
-341
115
200

-165
-319
-73
-236

-31.7

11
-181
-297
-70
-242

- -

45.2
-29,5

135.0
64 o r /
t5 3r/
-4.sl/
-4.3r/
41.3r/

5,700
9,385r/
15,512r/
14;773r/
14,142r/
19,987r/

3.700
3,685r/
6,127r/
-739,/
-6317/
5,845r/

-38.8
-54.1

821
2,573
1,380
1,486
1,977

-986
725
89
199
276

-54.6
39.2
6.9
15.5
16, 2

5.4
-48.7
-91.7
-29.4
-72.0

226
1,675
1,226
872
1,666

-1,065
620
70
126
246

-81.5
58.8
6. 1
16.9
17.3

40.4
58.9
7. L
30. 1
1r
- 4

- -

Seasonally Adjusted
856
505
-82
323
238

' 74
-240
-610
-366
-523

9.5
-32.2
——

-53.1
-68.7

360
93
27
168
94

1/ Commercial b a n k d a t a a r e of t h e l a s t Wednesday of month e x c e p t J u n e 30 and December 31; o t h e r
d a t a a r e as of t h e l a s t day of t h e month.
2/ D a t a a r e f o r t h e n e t i n c r e a s e i n s a v i n g s c a p i t a l a t a l l o p e r a t i n g S&L's. S o u r c e : FHLBB.
3 / D a t a a r e f o r t h e n e t i n c r e a s e i n r e g u l a r d e p o s i t s — e x c l u d e s o t h e r d e p o s i t s of a
demand n a t u r e . S o u r c e ; M u t u a l S a v i n g s Banks A s s o c i a t i o n .
4 / D a t a a r e f o r t h e n e t i n c r e a s e i n s a v i n g s and t i m e d e p o s i t s a d j u s t e d a t a l l commercial b a n k s .
Source: Federal Reserve,




LONG-TERM BOND YIELDS, HIGH-GRADE

CORPORATE A a a

~

U.S. GOVERNMENT

S T A T E AND LOCAL GOVERNMENT A a a

1961

Date

1 9 5 9 - 6 0 - High
1 9 6 2 - 6 3 - Low
1965 - Lev
1966 - High
- Low
J u n e 24
July
1
8
15
22£/

1962

Corporate
Aaa 1 /

1963

1964

U.S. Govt.
long-term 2/

S t a t e and
local
government
Aaa 3 /

4 . 6 1 (1/29/60)
4 . 1 9 (3/29/63)
4 . 4 1 (3/12)
5.17(7/22)
4.73 (1/7)

4.42
3.85
4.13
4.78
4.42

5.07
5.10
5.12
5.14r/
5.17~"

4.58
4.69
4.72
4.78
4.75

(1/8/60)
(12/26/62)
(6/25)
(7/15)
(1/21)

1965

1966

Spread between
U. S . G o v t , a n d
Corporate
S t a t e and
Aaa
l o c a l Aaa

3 . 6 5 (9/24/59)
2 . 8 8 (11/8/62)
2 . 9 4 (2/11)
3.77 (7/21)
3.39(1/13)

. 5 9 (8/5/60)
. 2 1 (12/27/63)
.22

3.58
3.64
3.77
3.77
3.77

.49
.41
.40
.36r/
.42

.49
.14

.

. 9 2 (4/22/60)
. 8 0 (1/5/62)
.94
1.19
.95
1.00
1.05
.95
1.01
.98

v/ P r e l i m i n a r y #
y Weekly average of d a i l y f i g u r e s . Average term of bonds included i s 22-24 y e a r s ,
j J Weekly a v e r a g e of d a i l y f i g u r e s . The s e r i e s i n c l u d e s bonds due o r c a l l a b l e i n 10 y e a r s o r more*
y Thursday 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 bonds a r e i n c l u d e d ; average terra i s 20 y e a r s .
S o t e . — f l l j n s and lows a r e f o r i n d i v i d u a l a e r i e s and may be on d i f f e r e n t d a t e s f o r d i f f e r e n t
s e r i e s . F o r s p r e a d s , h i g h r e f e r s t o w i d e s t , and low t o n a r r o w e s t .




LONG-TERM BOND YIELDS, LOWER GRADE

6.0

5.5

STATE AND LOCAL GOVERNMENT Baa

m ii' tii' ' i

ii' ' ' ' ' ' i' '

1961

1962

Da t e

1959-60 - High
Year end - 1962
1964
1965
1966 - High
Low
June 24
July 1
8
15
22 £ /

' ' i' ' ' ii' i'

Corporate
Baa 1/

S t a t e and
l o c a l govt.
Baa 3/
(per c e n t )

' iiiii' i' ii ' ii' ' i' iiii
1965

1966

Spread between
Aaa and Baa
S t a t e and
Corporate
local govt.

5.36 (2/^2/60)
4.93
4.80
5.04
5.69 (7/22)
5.05 (1/14)

4.46 (3/7/60)
3.57
3.51
3.79
4.30 (7/21)
3.78 (1/20)

.84
.70
.37
.31
.54
.31

1.08
.63
.52
.39
.62
.38

5.61
5.60
5.63
5.68r/
5.69

4.13
4.16
4.30
4.30
4.30

.54
.50
.51
.54
.52

.55
.52
.53
.53
.53

Notes Tor footnotes Bee Exhibit i .




' iiiiiiiiii

1963
1964
Exhibit B -- Part II

3.0

1
EXHIBIT c. fori I
SHORT- AND INTERMEDIATE-TERM
GOVERNMENT

INTEREST RATES

Weehly

Per <em

J

3 5 YEAR I S S U E S
i- MONTH BILLS h
1
Mork.l Vi.ldi

F. R. DISCOUNT RATE
N

"

T

"k

zv

JJ

i
1

3-MOHTH BILLS

11111111111
1961

1 1 i i i i 1 i : II

I II 1 I 1 I 1 II 1
1962

1963

1964

1965

1966

Exhibit C -- Part II

Da t e

4.59 (1/8/60) 5 . 0 7 (1/8/60)

3-Vy£ar
issues,2/

S p r e a d b e t w e e n y i e l d s on 3 month b i l l s and y i e l d s on
6-mo. b i l l s ! 3 - 5 v r . i s s u e s

4.00
3.00
3.00
3.50
4.00
4.50
4.50
4.50

2.66
2.89
3.52
3.83
4.47
4 . 8 9 <7/22)
4.39 (6/24)

2.90
2.93
3.64
3.93
4.66
5.00 (7/15)
4.53 (6/24)

3.81
3.41
4.07
4.07
4.90 .
5.24 (7/15)
4.80 (4/8)

.79
.24
.04
.13
.10
.19
.24
.09

4.50
4.50
4.50
4.50
4.50

4.39
4.47
4.67
4.85
4.89

4.53
4.68
4.82
5.00
4.99

4.95
5.11
5.14
5.24r/
5.22

.14
.21
.15
.15
.10

F

8

J u n e 24
July
1
8
15
22%/

Yields
6-month
b i l l s 2/
(per cent)

I

1 9 5 9 - 6 0 - High
Year end - 1961
1962
1963
1964
1965
1966 - High
Low

Discount
3-month
ra te
b i l l s 2/
U

1.81
1.15
.52
.55
.24
.43
.64
.21
.56
.64
.47
.39r/
.33

Weekly rate shonn l e that in e f f e c t at end of period at the federal Reserve Bank of New Yoric,
Haricot yield# weekly averages computed from daily closing bid prices. Series of 3-5 year Issues
consists of selected notes and bonds.
Note.—Highs and
f o r individual s
and may be on d i
 lows are refers t o widest, e r i e s low to narrowest. f f e r e n t dates for different s e r i e s .
Tat spreads, high
and



E HBT D. Pan I
X II
SHORT- AND INTERMEDIATE-TERM INTEREST RATES,
BANKS AND OTHER PRIVATE BORROWERS

PRIME RATE

FINANCE COMPANY PAPER

F.R. DISCOUNT RATE
FEDERAL F U N D S

1961

Date

1 9 5 9 - 6 0 - High
Y e a r end - 1961
1962
1963
1964
1965
1966 - H i g h
Low
J u n e 24
July
1
8
15
22£ /

1962

Prime r a t e

1963

\_f

1965

1964

Finance
company
Federal funds 3/
paper
2/
(per cent)

5.00
4.50
4.50
4.50
4.50
5.00
5.75
5.00

5 . 13 ( 1 / 2 2 / 6 0 )
3.00
3.19
3.88
4.06
4.75
5.50 (7/22)
4.75 (1/7)

4 . 0 0 (5/13/60)
2.88
3.00
3.50
4.00
4.63
5.43 (7/1)
3.55 (1/21)

5.50
5.75
5.75
5.75
5.75

5.38
5.45
5.50
5.50
5.50

5.30
5.43
5.26
5.28
4.40

1966

Spread between
3 - m o . b i l l s and
finance co. paper

1.02
.34
.30
.36
.23
.28
.99
.20
.99
.98
.83
.65
.61

1/ Weekly r a t e shown i s t h a t i n e f f e c t a t end of p e r i o d . Prime r a t e i s t h a t charged by l a r g e banks
on s h o r t - t e r m loans t o business borrowers of the h i g h e s t c r e d i t standing*
2/ Average of d a i l y r a t e s published by f i n a n c e companies f o r d i r e c t l y placed paper f o r varying
m a t u r i t i e s i n the 90—179 day r a n g e .
3 / Weekly average of d a i l y e f f e c t i v e r a t e , which i s the r a t e f o r the h e a v i e s t vo}un» of purchase and
sale tran
ns
t
ed
Reserve Bank
York*
s a c t i olows as reported dti o i dh e l F s e reireasl and may be on of i Hewr e n t dates f o r d i f f e r e n t s e r i e s .
Note*—fligha and
are f o r i n v u a
d ffe
For s p r e a d s , high r e f e r s t o w i d e s t , and low t o narrowest.
http://fraser.stlouisfed.org/

Federal Reserve Bank of St. Louis

.

)

STOCK

MARKET

100
PRICES
80

i
STOCK MARKET CREDIT

60
C H A N G E IN S E R I E S
1

I VOLUME

|

YIELDS

1 l I l I I 1 II 1 1

111111111111
1963

1

1964

Exhibit E -- Part II

Common
Stock p r i c e
i n d e x 1/

1 9 6 1 - 6 2 - High
Low
Nov. 1963
J u l y 1965
1966 - High
Low

72.04(12/0/61)
52.68(6/23/62)

72.62
84.91
93.77(2/11)
85.41(7/22)

86.78
1 9 6 6 Hay
86.06
June
87.61
July 8
87.08
15
22b / 8 5 . 4 1

y i e l d s 2/
(per cent)

Trading
volume 3 /
(millions
of s h a r e s )

2.82
3.96
3.14
3.09
3.02
3.37

10.1
2.4
5.3
4.1
10.7
5.1

3.30
3.36
3.29
3.31
3.37

8.1
6.4
6.2
5.8
5.9

Stock market customer c r e d i t
Bank
Customers'
loans to
debit bal" o t h e r s " 5/
ances 4/
( I n m i l l i o n s of d o l l a r s )

Total

5,602[L>/61) 4 , 2 5 9 ( 1 2 / 6 1 )
4,424(3/61) 3,253(1/61)
7,298
5,586
6,833
4,863
5,835
7,997
5,55-1
7,726
7,905
*7,997
n. a.
n. a.
n. a.

5,768
*5,766
n. a.
n. a.
n. a.

1,418(5/9/62)
1,161(3/8/61)
1,712
1,970
2,241 (7/6)
2,137 (5/27)
2,137
2,231
2,241
2,223

l ^ l e x of 500 oocroon s t o c k s . weekly closing p r i c e s , 1941^43*10.
Monthly d a t a are averages of d a i l y f i g u r e s r a t h e r t h a n of f z i d a y ' s o n l y . High# and lows a r e f o r
2 / Standard and*Poox*s composite a took yield based on Wednesday data converted t o weekly olosing
pr i c e a by Federal Reserve. YleMs shown are f o r dates on which p r ic e index reached i t s high
3 / Averages of d a i l y t r a d i n g volume on the New York Stock Exchange. Teazlend f i g u r e s a r e averages of
daily figures for the year.
4 / End of month f i g u r e s f o r n m b e r f i r m s of the New York Stock Exchange which oarxy margin accountss
excludes balances secured by U. S. Government o b l i g a t i o n s .
5 / Wednesday figures f o r weekly r e p o r t i n g member banks. Excludes loans f o r purchasing or carrying
U. S. Government s e c u r i t i e s . Weekly reporting banks account f o r about 70 per oent of loans t o
o t h e r s , f o r f u r t h e r d e t a i l see B u l l e t i n .

*—New S e r i
 e s .


PRIVATE H O U S I N G STARTS AND PERMITS
SEASONALLY

ADJUSTED

DATA

HOUSING

STARTS_

'vYV-V-! V\

X
1959

1960

1961

1963

1962

1964

1965

1966

Building
permits
Unadtustcd
Typii of f i n a n c i n g Type 0 f i l o u s i n g ( s e a s o n a l l y
adjusted
Seasonally adjustMulti1-2
Unadjusted
annusl
Other
VA
FtlA
ed a n n u a l r a t e
family family
r a t e ) 2/
Starts

Total

Date

( T h o u s a n d s of u n i t s }
1965 - J u n e
July
Aug.
Sept,
Oct.
Nov.
Dec.
1966 - J a n .
Feb.

June

1,, 5 6 6
1,473
1,, 4 2 2
1,, 4 5 3
1 ,411
1 ,547
1 ,769
1,, 6 1 1
1,,374
1.,569
r / 1 . .502
r/ 1.295
" 1, 288

156
141
135
124
134
116
102
85
78
126
147
rA33
128

19
17
18
17
18
16
15
13
12
19
18
14
15

5
5
5
4
4
4
3
3
2
3
3
4
4

131 1 0 5 . 2
98.7
119
93.0
112
103
83.9
91.0
112
96
75.0
63.3
84
50.8
69
64
49.3
85.4
104
r / 126 r A 0 0 . 3
7/115 7/91.1
108
90.3

50,. 3
42, . 5
41, ,6
40, ,4
42, ,6
41, ,0
39, ,0
33.,8
28.,9
40. 9
r/46. 8
r/42.1
37. 5

1,254
1,243
1,217
1,180
1,259
1,282
1,325
1,262
1,191
1,293
1,169
r/1,098
941

1/ Total starts are Census estimates including farm for both permit-Issuing and noo-lseuing areas, A
dwelling unit ! • started when excavation begin#| a l l unite in & apartment structure are considered
n
started at that t i n * . FHA and VA starts are units started under cental tments by these agenclee to Insure
or guarantee the rortgages. As reported by ITU and VA, a unit i s started when a f i e l d o f f i c e receives
the f i r s t compliance inspection report, which i s made before footings are poured In some cases but
normally a f t e r the foundations have been completed, Capehart military housing units are excluded.
Other etarte are derived as a residual, although t o t a l and F A and V starts are not s t r i c t l y comparable
H
A
in concept or timing; other starts include both units financed by conventional mortgagee and units
without mortgagee.
2/ fhilldlng permits before January 1963 a r c Cenaw estimates f e r about 10,000 areas i d e n t i f i e d as
having a l o c a l W i l d i n g permit aya tern In 1959. Estimate s beginning January 1963, are f t r approximately
12,000, o r a l l knewn, p e m l t - l a s u i n g p l a c e s . Ualike s t a r t s , seasonally adjusted building pezmlts
r e f l e c t d i r e c t adjustment f o r d i f f e r e n c e s in the nuttber ef working days per month, as w e l l as o t h e r
differen
FRASER c e s In timing s.-d coverage.

Digitized for


YIELDS ON NEW AND SEASONED CORPORATE BONDS

NEW I S S U E S

SEASONED Aaa

I I I I I II II
1964

Exhibit G - Part I I
Yields on New Corporate Bond Issues Adjusted to an Aaa basis
Number Am't of Issues Average
yield
included (mil*
of
(per cent)
issues of dollars)

Number Am't o f I s s u e s Average
yield
included (mil.
of
(per cent)
issues of dollars)

Monthly averages:
5
1965 - Oct.
6
Nov.
Dec.
4
8
1966 - Jan.
10
Feb.
9
Ear.
13
Apr.
7
May
11
June
July
Aug.
Weekly averages
High

108.0
267.0
212.0
300.0
304.5
5 13.0
452.3
341.0
596.0

5.61 (7/15)
4.82 (1/7)

4.69
4.72
4.85
4.84
4.98
5.13
5.08
5.21
5.38

June

3
10

July

17
24
1
8
15

50.0
46.0
80.0
370.0
50.0

5.36
5.34
5.43
5.31
5.64*

90.0

5.61

22

29
5
12
19
26
Sept. 2
9

Aug.

10MMBN1HN&




t-v

Exhibit H

H.14

Long-term C o r p o r a t e and S t a t e and L o c a l Government
S e c u r i t y O f f e r i n g s and P l a c e m e n t s
( I n m i l l i o n s of d o l l a r s )
New C a n i t a l
1966
January
February
March

IP
r

April
May
June

quarter
quarter
quarter
quarter

let half
Three q u a r t e r s
Year

S t a t e and l o c a l 2 /
1964
1966
1965 £ /

1964

1,302
1,237
2,446

795
746
1,197

938
700
778

2/1,183
£ / 857
e / 857

804
872
904

947
776
810

£ / 1,554
E./ 1, 002
ej 2, 445

1,152
1,691
1,946

2,237
1,095
1,405

P/1,150
V/ 887
e/1,075

826
924
972

1,242
667
903

e/1,400

1,290
850
1,392

812
680
1,130

e/

986
648
966

906
780
892

924
1,325
1,496

953
669
1,642

794
1,021
754

801
529
948

2,738
4,789
3,533
3,745

2,416
4,738
2,621
3,264

.a/2,897
e/3,112

2,580
2,722
2,600
2,569

2,533
2,811
2,578
2,278

7,527
11,060
14,805

7,153
9,775
13,038

e/6,009

5,302
7,902
10,471

5,345
7,923
10,201

October
November
December
1st
2nd
3rd
4th

Cornorate
1965

4,985
e/5,001

e/9,986

700

Excluding f i n a n c e companies 3 /
1st
2nd
3rd
4th

quarter
quarter
quarter
quarter

Year
e/
E/
1J
2J
3/

2,547
4,348
3,283
3,188

2,043
4,258
2,477
2,997

13,3 66

11,775

Estimated by Federal Reserve.
Preliminary.
S e c u r i t i e s and Exchange Commie#ion e s t i m a t e s of n e t p r o c e e d s .
Investment Bankers A s s o c i a t i o n of America e s t i m a t e s o f p r i n c i p a l amounts.
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.




1

1}

Exhibit I
New C o r p o r a t e S e c u r i t y I s s u e s , Type of I s s u e
and I s s u e r
( I n m i l l i o n s of d o l l a r s )
r1
Quarter
or
Month

Gross p r o c e e d s f o r new c a p i t a l
and r e f u n d i n g 1/
Total
Bonds
Common Memo:
Publicly Privately
and F o r e i g n
Offered
Placed
pfd. issues
stock included

Net p r o c e e d s
f o r new c a p i t a l
Mfg.

P u b l i c CommuniUtility cations

1/ 2 /
Other
Issuers

' 1964 - I
II
,
III
*
iv

2,548
4,965
2,876
3,568

978
1,312
792
531

1,269
1,755
1,590
2,629

300
1,890
494
408

29
105
94
277

429
723
559
1,061

438
856
642
509

273
1,666
59
135

1,275
1,492
1,361
1,559

5 1965 - I
i
II
III
:
IV

3,007
5,043
3,912
4,030

905
1,864
1,575
1,226

1,673
2,259
1,955
2,264

429
920
383
540

243
215
263
300

1,072
1,679
1,119
1,145

541
609
786
610

91
255
323
177

1,034
2,246
1,304
1,815

i

5,094
5,143

1,774
1,909

2,586
2,231

734
1,002

345
n•3 •

1,860
2,053

969
837

602
373

1,553
1,739

1,233
1,773
2,038
1,443
930
1,538
986
1,398
1,646

422
694
748
542
369
664
287
613
326

648
630
980
780
468
706
574
529
1,161

162
449
309
122
93
168
124
257
159

33
49
134
27
87
150
99
101
99

540
698
441
399
307
414
273
402
470

176
248
184
202
297
287
158
209
243

15
143
98
102
25
196
92
43
43

422
602
1,223
587
222
495
401
671
741

1,339
1,273
2,482
1,592
1,026
2,525

460
560
753
628
481
800

692
583
1,311
754
477
1,000

187
130
417
209
68
725

93
118
133
55
33
n.a.

353
530
977
653
400
1,000

388
241
340
361
256
220

141
160
301
76
37
260

420
306
827
465
309
965

1966 - I
II
III
t 1965 - Apr.
May
^
June
^
July
Aug.
Sept.
Oct.
Nov.
Dec,
1966 - J a n . 3 /
Feb.
Mar.
Apr.j)/
May 2./
Junee/
July
Aug.
Sept.
£/
e/
1/
2/

Preliminary.
E s t i m a t e d by F e d e r a l R e s e r v e .
G r o s s p r o c e e d s exceed n e t p r o c e e d s by t h e c o s t of f l o t a t i o n .
For t o t a l s e e E x h i b i t H; 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 p o r t a t i o n ,
r e a l e s t a t e and f i n a n c e , and commercial and o t h e r .
3 / Does n o t i n c l u d e U.S. S t e e l $600 m i l l i o n c o n v e r s i o n of p r e f e r r e d s t o c k t o d e b e n t u r e s .
Somrce: S e c u r i t i e s and Exchange Commission.




Exhibit J
Other S e c u r i t y O f f e r i n g s
( I n m i l l i o n s of d o l l a r s )

n r n s n T.nng-rprm 1 (
TTnrAi gn r . n w r n m p n f 2 /
_i££5_
1964
1966

1 Q66
12
40
40
66
69

January
February
March
April
May
June
July
August
September
October
November .
December

218

91
33
74
5
52
75
2

4
82
69
30
75
26
20
13
7
180
72
58

420
661

38
73

Jan. - June

503
410
392
699

Jan.

-June

»

103
39 •
-319
580

129
185
325

239
150
375
375
179

510

286

1,414

275

636

2,732

1,205

238
91
-458
647
204

103
236
-407
442
81

308
-24
450
85
n. a.
n.a.

F e d e r a l Agency 3 /

2/462
2,/-331

£ / 50*

-82

-80

119
408
152
59
274
-366

>

275
260
160

775

New s h o r t - t e r m 4 /
S t a t e and l o c a l G o v e r m e n t 5 /
January
February
March
April
... _
May
June
July
August
September
October
November
December

Fprteral Agency 1 /
1964
1965

-9
127
176
7
-15
-208

-137
-174
117
-11
509
237
132
206
105
-309
202
-76

640

375

541

i -308
' -336
23 ;
97
183
239
-333 ,
167
1
. 525
113 ,
-3
-ioa

1,286
Year
368
453
801
£/ Preliminary,
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 ,
n.a.—Not available.
1J T h e s e d a t a
d i f f e r f r o m t h o s e i n E x h i b i t H i n t h a t r e f u n d i n g i s s u e s , a s w e l l a s new c a p i t a l i s s u e s ,
are included.
L o n g - t e r m s e c u r i t i e s a r e d e f i n e d a s t h o s e m a t u r i n g i n more t h a n o n e y e a r .
2 / I n c l u d e s s e c u r i t i e s o f f e r e d i n t h e U . S . b y f o r e i g n g o v e r n m e n t s and t h e i r p o l i t i c a l
s u b d i v i s i o n s and i n t e r n a t i o n a l o r g a n i z a t i o n s .
Source: S e c u r i t i e s and Exchange Commission.
3 / I s s u e s n o t g u a r a n t e e d by U . S . G o v e r n m e n t . S o u r c e :
L o n g - t e r m , S e c u r i t i e s and E x c h a n g e
Commission; s h o r t - t e r m , T r e a s u r y Dept. & Fed. R e s e r v e .
4 / These d a t a d i f f e r from those
i n E x h i b i t H a n d a b o v e i n t h a t t h e y r e p r e s e n t new o f f e r i n g s l e s s r e t i r e m e n t s , w h e t h e r
from the p r o c e e d s or r e f u n d i n g i s s u e s o r from o t h e r f u n d s . Data i n c l u d e only i s s u e s w i t h
o r i g i n a l m a t u r i t y o f one y e a r o r l e s s .
5 / P r i n c i p a l l y t a x and bond a n t i c i p a t i o n n o t e s ,
w a r r a n t s , or c e r t i f i c a t e s and P u b l i c Housing Auth. n o t e s .
I n some i n s t a n c e s PHA n o t e s
i n c l u d e d may h a v e a somewhat l o n g e r m a t u r i t y t h a n 1 y e a r .
Source:
Bond B u y e r & F e d e r a l
Re er e.
Digitizedsforv FRASER



H. 1 4
Exhibit K
Large Long-term Public Security Issues for New Capital
(Other than U. S. Treasury) 1/
Proceeds of Large Issues Offered
(In millions of dollars)

Total

196 5 - J u n e
July
Aug.
Sept.
Oct.
Nov.
Dec,
1966 - J a n .
Feb.
Mar.
Apr.
May
June

Coroorjite
Bonds
(other than
Convertible
convertibles)
bonds
343
455
211
530
190
559
212
370
391
544
481
351
636

801
477
299
530
246
736
262
485
545
890
643
401
1,317

Stocks

State
and
local
governments

138

320
22
62
40
33
50

——

144
115
70
271
106

- -

84
75
55
50
20

«. -

661

y

430
20
50
170
43
95

377
655
312
563
409
538
413
787
424
399
720
466
582

26
16

Other

—
—
—

55
60
—

275

L a r g e I n d i v i d u a l I s s u e s O f f e r e d J u l y 1 t h r o u g h 22

Issuer

Type 2/

Amount
(millions
of
dollars)

Maturity

Coupon
rate or
net interest cost

Offering
vield

Rating

Coroorate
•^Occidental Petroleum
Corp.
Consumers Power Co.
C&P T e l e p h o n e Co.
D o u g l a s A i r c r a f t Co.
Harvey Aluminum Co.
C o n s o l , E d i s o n Co.
S t a t e and Loc. Governmen
Warren Consol. Sch. D i s t ,
Michigan
U n i v e r s i t y of T e x a s
Alabama P u b l . S c h . &
College Auth.
Houston, Texas

Conv. s u b . d e b .
1 s t m t g . bds„
Deb.
Conv. sub i„ d e b .
Conv. s u b . d e b .
Pfd„ s t k .

62.0
65,0
25.0
75.0
25.0
50.0

1991
1996
2006
1991
1991

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

G. 0„
Rev,-Rent

11.0
11.0

1967-91
1967-86

4.29
3.81

3.80-4.25
3.60-3.75

A
Aaa

Rev.-Rent
G.O.

25.0
21.0

1967-86
1967-86

4.28
4.13

3.75-4.20
3.75-4.05

Aa




- -

5.75
5.55
4.75
5.50

Aaa
Aaa
Ba
B

K-2
Large I n d i v i d u a l I s s u e s O f f e r e d J u l y 1 t h r o u g h 22

Issuer
S t a t e and l o c . Govt.
S t a t e of
S t a t e of
Onondaga
Kentucky

Type 3 /

Amount
(millions
of
dollars)

Coupon
Offerr a t e or
Maturity net i n t e r - ing
Yield
est rate

Rating

(Cont'd)

Texas
Oklahoma
C o . , New York
T u r n p i k e Auth.

G.O.
G.O.
G.O.
Rev.-Q.-Ut.

10.0
12.0
15.0
120 0

1972-98
1969-90
1967-96
1971-2006

3.77
3.78
n.a.
4.81

1981

6-7/8

3.65-3.704/
3.70-3.75
3.60-3.75
4.75

Aaa
Aa
Aa

Other
Govt, of Mexico

Bonds

15.0

7.26

*--Rights offering.
n.a.--Not available.
c
1/ 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
J
l o c a l government 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 government 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 Development
i
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 .
'
37 I n t h e c a s e of S t a t e and l o c a l Government 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 s ;
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 from 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 bonds s e c u r e d o n l y by r e v e n u e from q u a s i - u t i l i t i e e ; R e v . - S . T . , r e v e n u e bonds
s e c u r e d by r e v e n u e from 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 bonds s e c u r e s s o l e l y
;
by l e a s e p a y me n ts .
4 / Bonds m a t u r i n g 1989-98 n o t p u b l i c l y r e o f f e r e d .
^




n
H. 14
Exhibit L
Forthcoming Large Long-term P u b l i c S e c u r i t y O f f e r i n g f o r Hew C a p i t a l
(Other than U.S. t r e a s u r y ) \ )
Expected Proceeds from Forthcoming Large I s s u e *
( I n m i l l i o n s of d o l l a r s )
During month f o l l o w i n g
d a t e shown
S t a t e and
Corporate
Other 2 /
local govt.
1965 - June 30
J u l y 30
Aug. 31
Sept.30
O c t . 29
Nov. 30
Dec. 31
1966 - Jane 31
Feb, 28
Mar. 31
Apr. 30
May 31
June 30

397
248
404
269
343
398
501
340
366
253
399
584
337

363
193
312
206
412
297
553
530
828
489
248
1,261
317

20
15
25
20
20
20
30
15

Corporate

Subsequent t o
d a t e shown
S t a t e and
local eovt.

410
340
636
303
489
344
676
931
1,176
606
1,034
1,261
619

524
353
450
331
578
458
582
461
504
334
546
584
353

Other 2 /
20
15
25
20
20
20
90
55
55
85
50

Forthcoming Large O f f e r i n g s as of J u l y 22

Type

Issuer

Charter
N o r t h w e s t e r n S t a t e s Power Company
F l o r i d a Power Corp.
J e r s e y C e n t r a l Pwr. & L t . Co.
Amer. T e l . & T e l . Co.
C o n t i n e n t a l T e l . Co.
^ N o r t h e r n 111. Gas Co,
* S o u t h e r n Cal» E d i s o n Co.
*Pan Am. World Airways
*Household F i n a n c e Corp.
*Air P r o d u c t s & Chem, I n c .
Northeast Airlines

Amount
(millions
of
dollars)

Approximate d a t e of
offering

Deb.
1 s t mtg. b d s .
Deb.
1st :
mtg. b d s ,
Deb.
Conv . s u b . d e b .
1st mtg. bds.
1 s t mtg. b d s .
Conv . s u b . d e b .
Notes
Pref . s t k .
Conv . sub. d e b .

35.0
45.0
20.0
30.0
250.0
25.0
20.0
80.0
175.0
75.0
20.0
22.0

J u l y 28
J u l y 28
J u l y 29
Aug. 3
Aug. 4
Aug. 11
Aug. 17
Aug. 24
Aug.
Aug.
Indefinite
Indefinite

G.O.
G.O.

33.4
112.9

J u l y 26
J u l y 26

S t a t e and l o c a l Government
C o l l e g e s of t h e S t a t e of T e x a s ,
Austin
*N.Y. C i t y , N.Y.




L-2
F o r t h c o m i n g Large O f f e r i n g s as of J u l y 22

Issuer

S t a t e and Loc.. Govt. ( C o n t ' d )
S t a t e of M i s s i s s i p p i
N a s h v i l l e & Davidson Co.
Metro., Govt, , T e n n e s s e e
*N,Y. S t a t e Dorm. Auth.
* D e t r o i t - W a y n e J t . Bldg. Auth.
* 0 r a n g e Co. C i v i c C e n t e r Auth.
Pa. S t a t e Gen Auth.
^Denver, C o l o r a d o
* T u l s a , Oklahoma
^Chicago, I l l i n o i s

Type

Amount
( millions
of d o l l a r s )

(Cont'd)

Approximate d a t e of O f f e r i n g

G.O.

17.4

July

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

15.9
19.8
14. 5
22.0
50.0
22.0
18.2
25.0

Aug. 2
Aug. 2
Aug. 9
Aug. 9
Aug. 9
Aug. 11
Aug. 16
Aug. 25

Bonds
Bonds

20.0
15.0

Indefinite
Indefinite

* - - I n c l u d e d in t a b l e for f i r s t time.
1/ 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 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 government
i s s u e 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 government 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 Development
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 of F e d e r a l A g e n c i e s .
Note:

D e l e t i o n s f o r r e a s o n s o t h e r t h a n s a l e of i s s u e :




::

i

Other
R e p u b l i c of I r e l a n d
Nippon T e l . & T e l . Pub. Corp.

\
f

None.

j

V

'
^

I?
Exhibit M

H.14

F o r e i g n Government and C o r p o r a t e S e c u r i t y O f f e r i n g s
and P l a c e m e n t s i n t h e U n i t e d S t a t e s
Part I:

S a l e Date

Amount
(millions
of
dollars)

Public Offerings

I s s u e r and D e s c r i p t i o n of I s s u e
A.

Sold May 1 t h r o u g h J u l y

6/2

30.0

C i t y of M o n t r e a l , C a n a d a - - 5-5/8% d e b e n t u r e s ,
m a t u r i n g 1991, r e o f f e r e d t o y i e l d
88%.

6/6

20.0

I n d u s t r i a l Development Bank of I s r a e l - - C u m . p r e f . s t k .

6/28

175.0

6/29

50.0

B r i t i s h Columbia Hydro.and Power A u t h . - - 5 - 5 / 8 % S . F .
b o n d s , m a t u r i n g 1991, r e o f f e r e d t o y i e l d 5.78%.

7/7

15.0

Govt, of M e x i c o - - 6 - 7 / 8 % b o n d s , m a t u r i n g 1981,
r e o f f e r e d t o y i e l d 7.26%.

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 - 5-3/8% b o n d s , m a t u r i n g 1991, r e o f f e r e d t o y i e l d 5.39%,

B.

Prospective Offerings

Indefinite

20.0

R e p u b l i c of I r e l a n d - - b o n d s

Indefinite

15.0

Nippon T e l e g r a p h and T e l e p h o n e P u b l i c C o r p . - - b o n d s

^--Included in table for f i r s t time.
& * - - I s s u e s o l d t o i n v e s t o r s o u t s i d e of U.S.
***--Issues subject to i n t e r e s t equalization tax.




V
M-2
Part II:

Date R e p o r t e d

P r i v a t e P l a c e m e n t s - R e p o r t e d May 1 t h r o u g h J u l y Amount
(millions
of
dollars)

I s s u e r and D e s c r i p t i o n of I s s u e

5/2

30.0

N o r t h w e s t e r n Pulp and Pwr. L t d . - - 5 - 5 / 8 % s e n i o r n o t e s ,
m a t u r i n g 1 9 8 5 - - n o i n f o r m a t i o n a v a i l a b l e on takedown.

5/2

46.5

P r i n c e A l b e r t Pulp Co. L t d , - - 5 . 2 0 % n o t e s , m a t u r i n g
1989--no i n f o r m a t i o n a v a i l a b l e on takedown.

5/4

15.0

New Brunswick E l e c . Power Commission-- % S . F . d e b ,
m a t u r i n g 1 9 9 1 - - n o i n f o r m a t i o n a v a i l a b l e on takedown.

5/10

20.0

B r i t i s h Columbia School D i s t . , C a p i t a l F i n a n c i n g A u t h . ^ 5-1/2% d e b e n t u r e s m a t u r i n g 1 9 8 6 - - n o i n f o r m a t i o n a v a i l a b l e on takedown.

5/17

11.5

I n t e r n a t i o n a l Pub. C o r p . - - 5 . 9 0 % n o t e s , m a t u r i n g 1977 and
1 9 8 1 - - n o i n f o r m a t i o n a v a i l a b l e on takedown.

5/31

15.0

Budd A u t o . Co. of Canada, L t d . - - 6-3/4% g t d . d e b e n t u r e s ,
m a t u r i n g 1 9 8 6 - - n o i n f o r m a t i o n a v a i l a b l e on takedown.

5/31

15.0

New Brunswick Power Commission - - 5-1/2% d e b e n t u r e s ,
m a t u r i n g 1991, no i n f o r m a t i o n a v a i l a b l e on takedowns

6/1

14.0

Govt, of t h e Bahama I s l a n d s - - b o n d s , m a t u r i n g 1981, no
i n f o r m a t i o n a v a i l a b l e on takedown.

7/6

31.0

S t e e p Rock I r o n M i n e s , L t d - - 6% 1 s t mtg- b d s , , m a t u r i n g
1987--no i n f o r m a t i o n a v a i l a b l e on takedown.

Note: For r e t r o s p e c t i v e d a t a on a g g r e g a t e f o r e i g n c o r p o r a t e and government s e c u r i t y
o f f e r i n g s i n t h e U n i t e d S t a t e s s e e E x h i b i t s I and J . T h e r e i s no s i m p l e r e l a t i o n s h i p
b e t w e e n t h e d a t a shown i n t h e E x h i b i t and t h a t shown i n E x h i b i t s I and J b e c a u s e t h e
l a t t e r i n c l u d e s p r i v a t e l y p l a c e d s e c u r i t i e s i n t h e p e r i o d i n which f u n d s a r e a c t u a l l y
takendown > b u t o n l y i n t h e amount of takedown w h i l e t h e p l a c e m e n t s shown i n t h i s e x h i b i t
.
a r e i n c l u d e d when r e p o r t e d , f r e q u e n t l y w i t h l i t t l e or no i n f o r m a t i o n c o n c e r n i n g t i m i n g
of t a k e d o w n s . F u l l o r p a r t i a l takedowns may t a k e p l a c e b o t h p r i o r and s u b s e q u e n t t o t h e
date a placement is r e p o r t e d .




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