Full text of H.16 Capital Market Developments : July 3, 1972
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D E C O N T R O L L E D AFTER S I X MOITTHg comcr/v;; L.5.8 Confidential (F.R.) \ July CAPITAL MARKET DEVELOPMENTS Capital Markets Section, Division of Research and Statistics, Board of Governors of the Federal Reserve System, Washington, D. C. 3, 1972 INDEX D e v e l o p m e n t s in t h e C o r p o r a t e and M u n i c i p a l B o n d Markets C a p i t a l Market Y i e l d s C a p i t a l Market V o l u m e S t o c k Market M o r t g a g e Market SYMBOLS: e Estimate p Preliminary r n.a. Revised Mot a v a i l a b l e 3 TABLE 1: Yields, Volume and Reception FIELDS MOODY'S SEASONED NEW ISSUE 1 Aaa WEEK ENDING: 1972 - J u n e 2 9 16 23 30 July 7 7.09 7.25 7.26 7.31 7.38 7.23 7.24 7.25 7.23 7.22 55e YIELDS BOND BUYER MOODY'S SEASONED 20 NEW ISSUE BOND INDEX WEEK ENDING: CORPORATE BOND MARKET VOLUME 2 PER CENT GROSS SOLD BY END BONDS SCHEDULED OFFERINGS OF WEEK WITHIN 28 DAYS 260 55 68 -290 375 73 n. a. 231 91 ri. a . 73 n. a. 244 1972 - J u n e 2 9 16 23 30 4.85 5.00 5.10 5.20 5.20 July 7 n. a . 5.15 5.31 5.36 5.43 5.43 n. a. MUNICIPAL BOND MARKET VOLUME2 PER CENT I GROSS SOLD BY END 1 OF WEEK | OFFERINGS 274 553 548 499 360 55 58 79 83 75 BONDS SCHEDULED WITHIN 28 DAYS 1,267 826 783 1,072 730 122e 1 D e r i v e d by a d j u s t i n g t o a Aaa b a s i s , new i 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 bonds w i t h c a l l p r o t e c t i o n , r a t e d A, Aa, or Aaa by Moody's I n v e s t o r s S e r v i c e ( e x c e p t s e r i a l and 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 bonds 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 Note: unless otherwise indicated. SUE f o o t n o t e s t o T a b l e 3 TABLE 2: Details on Inventories DAT I: OFFERED l .AMOUNT (MIL. S) 6/26 6/27 6/28 CORPORATE BONDS IN SYNDICATE END OF LATEST WEEK _ _ _ ... ' ~ ~1 1 ORIGINAL] RATING AND T ESTIMATED PROISSUER COUPON YIELD CALL PROTECTION | PORTION SOLD 1 20.0 75.0 30.0 L o u i s v i l l e Gas & E l e c t G e o r g i a Pwr Co W e s t e r n Mass E l e c t 7 1/2 7 1/2 7 3/4 7.,38 7.,52 7,.60 Aaa Aa Aa 5 yrs 5 yrs 5 yrs 907. 30% 60% \ OFFERED DATE | RELEXSED CORPORATE BONDS RELEASED FROM SYNDICATE DURING LATEST WEEK ORIGINAL INCREASE RATING AND IN YIELD CALL PROT. COUPON ISSUEk YIELD AMOUNT DATE 1972 - June N.C. l 2 9 16 23 30 INVENTORIES MUNICIPALS BLUE LIST | IN SYNDICATE 193 809 316 801 296 912r 224 938 204 774 1 CORPORATES IN SYNDICATE 133 33 109 78 67 - Non C a l l a b l e . A l l f i g u r e s in m i l l i o n s of d o l l a r s . Blue L i s t i s d a i l y average for week ended F r i d a y , e x c e p t f o r l a t e s t week of t h r e e days ended Wednesday. A l l other f i g u r e s are as of F r i d a y . which i s d a i l y average TABLE 3: High Grade Bond Yields DATE NEW CORPORATE Aaa 1 MOODY'S SEASONED CORPORATE Aaa 2 U . S . GOVERNMENT 20-YEAR CONSTANT MATURITIES 3 BOND BUYER'S SEASONED MUNICIPALS 4 High Low 9.30 (6/19) 7.68 (12/18) 8.60 (7/3) 7.48 (12/21) 7.55 (5/29) 6.17 (12/18) 7.12 (5/29) 5.33 (12/11) High Low 8.23 (5/12) 6.76 (1/29) 7.71 (8/13) 7.06 (2/12) 6.51 (6/18) 5.69 (3/23) 6.23 (6/24) 4.97 (10/21) High Low 7.42 (4/21) 6.86 (1/14) 7.36 (4/28) 7.16 (1/21) 6.19 (4/14) 5.96 (1/14) 5.54 (4/13) 4.99 (1/13) 7.09 7.25 7.26 7.31 7.38 7.23 7.24 7.25 7.23 7.22 5.97 6.01 6.01 6.00 6.03 5.15 5.31 5.36 5.43 5.43 June 2 9 16 23 30 New c o r p o r a t e i s s u e s , w i t h c a l l p r o t e c t i o n , a d j u s t e d ( a s d e s c r i b e d i n f o o t n o t e 1 of T a b l e 1) t o a Aaa b a s i s . Weekly a v e r a g e of d a i l y f i g u r e s . Average term of bonds i n c l u d e d i s 22-24 years. 3 Weekly a v e r a g e of d a i l y f i g u r e s . 4 Thursday f i g u r e s . The a v e r a g e r a t i n g of t h e 20 bonds used in t h i s i n d e x f a l l s midway between t h e four top groups as c l a s s i f i e d by Moody's I n vestors Service. N o t e - - H i g h s and lows a r e f o r i n d i v i d u a l s e r i e s and may be on d i f f e r e n t d a t e s for d i f f e r e n t s e r i e s . 1 2 TABLE 4: Long-term Corporate and State and Local Government Security Offerings and Placements (In millions of dollars) GROSS PROCEEDS CORPORATE PERIOD 1972 1971 STATE AND LOCAL 2 1970 January February March 3.,205 3 ,369 3, ,229 3,115 3,000 6,075 2,636 1,802 3,539 April May 3,300e 4,042 3,300e 4,375 3,170 3,909 3,389 July August September 1st 2nd 3rd 4th Quarter Quarter Quarter Quarter 1st half Three q u a r t e r s 1972 1970 2,732 1,851 2,258 1,340 1,214 1,555 2,086 1,891 2,167 2,013 1,647 996 1,085 2,768 1.989 1,903 2,098 1,348 1,359 1,758 3,777 1,728 2,264 1,924 1,748 2,190 6,841 6,081 5.990 1 1,947 2,068 3,980 9,803 1971 1,762 1,953 2,195 3,768 October November December 1 2 1 12,190 5,910e 10.447 10,764 11,939 6,060 4,109 3,728 4,465 5,862 23,844 34,325 45,089 18,445 27,005 38,944 12,912 18,902 24,962 7,837 12,302 18,164 10,468 S e c u r i t i e s and Exchange Commission e s t i m a t e s of g r o s s p r o c e e d s . I n v e s t m e n t Bankers A s s o c i a t i o n of America e s t i m a t e s of p r i n c i p a l amounts. TABLE 5: New Corporate Security Issues, Type of Issue and Issuer (In millions of dollars) TOTAL 11,688 10,447 10,764 Apr. May e / 1 PUBLICLY OFFERED 6,546 4,725 5,135 GROSS PROCEEDS BY TYPE OF ISSUE COMMON AND ISSUES INCLUDED PRIVATELY PFD. CONVERTIBLE STOCK FOREIGN PLACED 1,351 215 3,384 1,758 652 114 1,641 4,079 133 767 3,193 2,439 GROSS PROCEEDS BY TYPE OF ISSUER PUBLIC UTILITY COMMUNICATIONS OTHER ISSUERS1 3,130 2,202 2,543 2,910 2,651 3,041 896 2,263 1,053 4,753 3,331 4,164 MFG. 9,805 5,361 1,593 2,851 74 511 1,525 2,261 1,476 4,541 4,042 3,271 4,375 2,116 2,148 2,282 507 491 760 1,419 633 1,332 116 47 52 384 255 712 1,135 588 1,206 1,267 588 1,055 273 405 218 1,367 1,489 1,897 4,147 2,532 3,768 1,331 1,428 1,966 619 416 606 2,196 687 1,196 72 34 199 160 293 582 474 1,146 732 849 1,070 1,622 359 282 1,210 850 1,271 3,387 3,704 3,673 1,942 2,003 1,190 723 433 1,283 723 1,269 222 395 150 662 1,201 59 62 12 980 933 1,217 891 432 269 352 1,360 1,408 1,450 3,205 3,369 3,229 1,767 1,917 1,677 604 412 577 834 1,041 976 59 12 3 195 83 233 392 529 604 533 988 740 752 498 227 1,529 1,354 1,658 3,184 3,300 1,622 1,600 700 700 1,000 15 n.a. 92 210 572 900 1,211 875 177 375 1,222 1,150 861 811 Other i s s u e r s are 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 . Source: S e c u r i t i e s and Exchange Commission. Q u a r t e r l y supplements are a v a i l able. T A B L E f>: Large Long term P u b l i c Security Issues for New C a p i t . i l ( c o n t i m n rl) (Other than U.S. T r e a s u r y ) 1 ISSUER Corporate Consumers Power . C o l o r a d o I n t e r s t a t e Gas Tappan Co. W i l s o n C e r t i f i e d Foods S u t r o M t g e. I n v . Tr. N a t u r a l Gas P i p e l i n e Co. Iowa Pub. S e r v i c e Marathon Mfg. Co. Hartford Elec. Light Columbus & S o . Ohio E l e c . W h i t e Motor Co Duke Pwr Co. New J e r s e y T e l p h o n e Co. New J e r s e y B e l l T e l e . B a l t i m o r e - O h i o Ry» West Penn. Power F a i f c h i l d Camera & I n s t r u , C o n s . E d i s o n Co o f NY I n c . P u b l i c S v c . o f New Hamp. P u b l i c S v c . o f New Hamp. Philadelphia Electric Pullman Transport Leasing Pullman Transport L e a s i n g Meyer, Fred. I n c . Duquesne L i g h t Co F l a Pwr & L t . Columbia Gas S y s t e m s P u b l i c Svc o f New Max Long I s l a n d L i g h t i n g Co Pa E l e c t Portland Gen'l Elect Consumers Pwr Waste Management I n c . P i t t s t o n Co 1YPK AMOUNT (MILLIONS OF DOLLARS) 70.0 Bds. 35.0 bds. 27.4 Cm. S t . 25.0 Deb. 17.5 Sub. Deb. 40.0 Debs. 17.0 Bds. 22.9 Cm. S t . 35.0 Bds. 25.0 1 s t Mtge. 24.1 Cm s t C u m . P r e f . S t k 60.0 75.0 Debs. 50,0 Notes * 55.0 1 s t Mtge. 35.0 Bds. 17.0 Com. S t k . 123.1 Com. S t k . 15.0 Pref. 20.0 Bds. 100.0 Bds. 4.0 Eq. T r . 16.0 Eq. T r . 15.0 Conv. d e b . 35.0 1 s t mtge 50.0 Bonds 60.0 Debs 20,0 Bonds Com s t k ( r t i8 ) 3 9 . 4 25.0 Pref stk 30.0 Cum P r e f 70.0 Cum P r e f 26.4 Com s t k 65.0 Conv d e b s MATURITY J u n e 5 t h r o u g h June 3 0 , COUPON RATE OR MOODY'S 'H'Tl'.RNET INTERIl.(. RATING EST COST YIKLI) 2002 1992 7.50 7.50 7.375 7.548 1997 1982 1980 2002 8 6 6 7 8.40 6.75 6.95 7.45 Baa 2002 1979 7.50 7.00 7.45 6.75 Aa Aa 2012 1978 1997 2002 7.38 6.50 6.20 7.63 7.40 6.53 6.20 7.47 3/8 3/4 7/8 3/8 — • 2002 1998 1973-76 1992 1997 2002 2002 1997 2002 7.38 7.50 7.75 7.75 4.50 7 1/2 7 5/8 7 1/2 7 1/2 7.67 7.45 5.50-6.75 7.75 4.50 7.50 7.50 7.52 7.52 A —— A A — Aaa Aaa Ba Aa A Aa A Ba Aa Aa A A 8.00 7.95 7.72 - - - - 8.12 7.95 7.72 1997 4.00 4.00 Baa - - - - 1972 TABLE 6: Large Long-term Public Security Issues for New Capital (Other than U.S. Treasury) 1 ISSUER Corporate MCI Comm Corp L o u i s v i l l e Gas & E l e c t G e o r g i a Pwr T e l e P r o m p T e r Corp Lakehead P i p e l i n e o f Wise. Cooper L a b o r a t o r i e s Inc. W e s t e r n Mass E l e c t Baltimore das & E l e c t TYPE 2 Cm S t Bonds Bonds Cm S t Debs Debs 1 s t mtg Bonds AMOUNT (MILLIONS OF DOLLARS) 30.0 20.0 75.0 65.5 30.0 20.0 30.0 50.0 MATURITY __ 2002 2002 — 1997 - 1992 2002 2002 J u n e 5 , t h r o u g h J u n e 3 0 . 1972 COUPON MOODY'S OFFERRATE OR RATING ING NET INTEREST COST YIELD • *• 7 1/2 7 1/2 • . mm Aaa AA 7.60 4.50 7.60 7.48 A Ba Aa Aaa — - - 7.60 4 1/2 7 3/4 7 1/2 * 7.38 7.52 / T A B L E b: Large Long-term Public Security Issues for New Capital (continued) (Other than U.S. Treasury) 1 ISSUER S t a t e and L o c a l P a r t of Tacoma, Washington G e o r g i a - H i g h w a y Auth. HUD I l l i n o i s Housing Dev. Auth. Gainesville, Florida Los A n g e l e s DWAP Los A n g e l e s DWAP Reedy Creek Imp. D i s t . , F l a . C i n c i n n a t i , Ohio Seattle New York S t a t e Pwr A u t h o r i t y New York Pwr Auth Penna New York Job Dev. Auth. New J e r s e y E d u c a t i o n a l F a c . A u t h . New J e r s e y Educa. F a c . Auth. Houston Springfield, Missouri S p r i n g f i e l d , Missouri Montgomery County East Chicago, Indiana B e r g e n Co. N. J , Connecticut l O k l a . G i t . Muni. Imp. A u t h . , O k l a Chester C i t y . Sch. Auth., Pa. North E a s t Indp S / D , San A n t o n i o Tex. H i l l s b o r o u g h Co I n d . Dev. Auth, F l a . Kentucky Turnpike Auth Kentucky Turnpike Auth TYPE 2 G.O. Rev. Bdsi \ Rev. Rev. G.O. G.O. G.O . G.O . G.O. Rev. Rev. Rev. G.O. Rev. Rev. G.O. Rev. Rev. G.O. Rev. G.O. G JL Rev-Ref. G.O. t AMOUNT (MILLIONS OF DOLLARS) MATURITY June 5 t hroueh June COUPON 1 RATE OR : OFFER- MOODY'S NET INTERRATING i;.c. EST COST J YIELD 15.1 25.0 209.1 15.1 18.0 20.5 19.5 20.0 9.8 10.5 95.0 29.0 50.0 15.0 10.6 4.1 35.1 13.5 16.5 21.0 13.5 10.2 90.0 9.9 29.3 1976-2005 1976-97 1973-2013 1973-2015 1974-2000 1978-97 2012 1974-2002 1973-2002 1974-2012 2010 1986-95 1975-2002 1975-94 2007 1973-92 1973-92 1977-92 1992 1973-92 1973-97 1973-90 1973.-87 1972-1994 5.97 G.O. 10.0 1977-1995 5.06 G.O. Rev. Rev 27.0 121.7 37.6 2007 2008 1982-1992 5.75 6.13 4.90-5.88 - - 5.45 4.98 4.97 5.53 5.18 5.23 5.23 5.74 4.54&5.19 5.37 - - - 5.32 5.05 . 5.92-5.95 4.75 5.30 5.29 4.69 3.85-5.90 2.80-5.50 2.60-5.08 2.90-5.60 3.00-5.50 3.75-5.20 5.40 3.50-5.90 2.80-5.40 3.20-5.70 5.50 4.75-5.30 3.40-5.80 3.35-5.40 5.90-6.00 3.10-5.65 2.90-5.50 3.70-5.20 5.49 3.00-5.10 A Aa Aaa Aa A Aa Aa 2.90-5.25 2.80-4.75 5.10-5.50 Aa Aaa A 3.70-5.30 A-l 5.75 A A A —- - —— - - Aa A-l A-l A-l Aa Baa-1 Baa-1 Aa Aa Aa Aa - - T A B L E 6: Large Long-term Public Security Issues for New Capital (continued) (Other than U.S. T r e a s u r y ) ' June 5 , through June 3 0 , 1 ISSUER S t a t e and L o c a l Maine H e a l t h Fac Auth Maine H e a l t h Fac Auth C l e v e l a n d C i t y Sch D i e t Montgomery M e d i c a l C l i n i c Bd, Ala. Montgomery, A l a . , Med C l i n i c Bd. N a s h v i l l e and D a v i d s o n C o . , Tenn Metro G o v ' t King C o . , Wash Milwaukee C o . , Wis. Milwaukee C o . , Wis. Sacramento MUD, Cal Sacramento MUD, Cal C h e s t e r C i t y S c h o o l A u t h , Pa C h e s t e r C i t y S c h o o l Auth, Pa C h e s t e r C i t y S c h o o l A u t h , Pa New J e r s e y Mortgage F i n a n c e Agency West V i r g i n i a D e l a w a r e , S t a t e of C h i c a g o Park D i s t , 1 1 1 . A l e x a n d r i a , Va. W a s h i n g t o n Subr San. D i s t , Maryland p h o e n i x C i v i c P l a z a Bldg Corp. TYPE 2 1 s t mtg r e v 1 s t mtg Bonds AMOUNT (MILLIONS OF DOLLARS) MATURITY COUPON RATE OR NET INTER- • EST COST ] MOODY'S RATING 8.1 20.0 2002 1976-1987 1973-1992 Rev 3.8 1976-1987 4.20-5.90 Rev. 9.1 2000 6.20 G.O. G.O. G.O. G.O. Rev Rev Rev Rev Rev 10.0 30.0 14.7 4.2 12.2 37.8 16.0 5.5 7.1 1973-2002 1974-2012 1973-1991 1973-1991 1975-1991 2012 1972-1984 1989 1994 5.24 5.80 4.66 4.08 5.42 5.42 5.98 5.98 5.98 3 . 0 0 - 5 . 50 Aa 3 . 2 5 - 6 . 1 DO . A Aaa 2 . 9 0 - 5 . 50 Aaa 2 . 9 0 - 4 . 30 3 . 4 0 - 5 . 15 Aa 5.50 Aa Baa 2 . 7 5 - 5 . 90 6.00 Baa 6.10 Baa Rev G.O. G.O. G.O. G.O. 23.7 30.0 35.0 10.0 16.6 1973-1982 1973-1997 1973-1992 1973-1982 1973-1992 4.76 5.00 4.77 4.45 4.83 3 . 2 5 - 4 . 75 3 . 0 0 - 5 . 40 3 . 0 0 - 5 . 15 3 . 1 0 - 4 . 75 3 . 0 0 - 5 . 20 A-l Aa A-l A G.O. 23.2 1975-2009 5.33 3 . 5 0 - 5 . ,70 A 3 . 1 5 - 5 . ,40 A Rev Ref 19.2 1973-1988 6.25 L;.C YIKLD *— 4.10-5.90 3.10-5.75 — «- - A - - 1972 T A B L E 6: ISSUER S t a t e and L o c a l Tucson Comm. C e n t e r Auth, Inc. S t . L o u i s , Mo. Large Long term Public Security Issues for New Capital (contimu d) (Other than U.S. Treasury) 1 TYPE 2 Rev Ref G.O. AMOUNT (MILLIONS OF DOLLARS) 17.5 19.7 MATURITY COUPON I RATE OR NET INTEREST COST j 1973-1986 1973-1992 ,)ITKR i;.c YIELD 3.20-5.40 2.90-5.10 MOODY'S RATING Baa-1 Aa Other Farmers Home A d m i n i s t r a t i o n * 1 2 3 Notes 300.1 1977 6.45 6.45 Rights o f f e r i n g . 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 . In 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 m r a l o b l i g a t i o n ; 'lev. - U t . , revenue 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 . - l i t . , revenue bonds s e c u r e d o n l y by income from quas i - u t i 1 i t i us ; R u v . - S . T . , revenue bonds s e c u r e d by revenue from s p e c i f i c t a x e s o n l y ; R u v . - R u n t . , revunuu bonds s e c u r e d s o l e l y by l e a s e payments. I n c l u d e s f o r u 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 - q u a r a n t e e d i s s u e s by Federal A g e n c i e s . 13 TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital (Other than U.S. Treasury)1 (continued) 1972 A s o f J u n e 30, ISSUER TYPE M i c h i g a n C o n s o l Gas Bonds I n s t i t u t i o n a l I n v e s t o r s Trust Conv debs N o r t h e r n 111 Gas 1 s t mtg 1 s t mtg C e n t r a l Maine Pwr • Hanover Square R e a l t y I n v e s t o r i Conv debs Pref Pa Pwr & Lt 1 s t mtg P a c i f i c Gas & E l e c Co New England Pwr Co 1 s t mtg Gen'l Tel of Southeast 1 s t mtg *US N a t i o n a l Bank of Ore Deb P r o v i d e n t N a t ' l Bank Debs *Ford Motor C r e d i t Co Conv Deb Southern B e l l Bonds • C o n n e c t i c u t Lt & Pwr 1 s t mtg ' Toledo E d i s o n Bonds 1 s t mtg P u b l i c Svc o f Colorado Debs -Textron Inc. *HousehoId F i n a n c e Corp Debs i d - A t l a n t i c Banks I n c . Bonds *Dow Chemical Deb 1 s t mtg *Ohio E d i s o n Debs Bank America I n c Commercial C r e d i t Co Debs C e n t r a l Soya Debs Debs M e d i c a l Mtg I n v . Conv debs F i d e l c o Growth I n v e s t m e n t s American I n t e r n a t i o n a l Group Conv debs Inc. AMOUNT (MILLIONS OF DOLLARS) APPROXIMATE DATE OF OFFERING 35.0 30.0 40.0 25.0 25.0 35.0 125.0 25.0 25.0 25.0 21.0 175.0 210.0 50.0 30.0 50.0 50.0 100.0 20.0 100.0 60.0 100.0 100.0 30.0 50.0 25.0 July July July July July, July July July July July July July July July July July July July July INDEF August INDEF INDEF INDEF INDEF INDEF 30.0 INDEF 6 6 11 11 11 11 12 13 17 18 18 18 19 25 24 27 1 u TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital (Other than U.S. Treasury)1 As June 3 0 , ISSUER S t a t e and L o c a l New J e r s e y Wayne Co, Mich. ^Wisconsin * F l o r i d a S t a t e Bd of Education Oklahoma C i t y , Okla Oregon, S t a t e o f ^Louisiana New York, N.Y. * B o s t o n M e t r o . D i s t . , Mass. Ohio, S t a t e of * R o c h e s t e r , N.Y. Ohio Pub F a c i l i t i e s Comm *Texas Memphis, Tenn New York S t a t e Urban Dev Corp *Los A n g e l e s EWAP * 1 2 AMOUNT (MILLIONS OF DOLLARS) TYPE 1972 APPROXIMATE DATE OF OFFERING G.O. Rev. G.O. 75,. 0 14,. 7 43, . 0 July July July 6 6 10 Rev. G.O. G.O. G.O. G.O. G.O. G.O. G.O. Rev. G.O. G.O. 26,. 0 13,.4 75,. 0 54. .0 267.2 14.,9 75.,0 17.,5 75. .0 20.,0 16.,0 July July July July July July July July July July July 11 11 11 11 12 19 20 20 20 20 25 150. ,0 15. 0 July August 26 2 G.O. Rev. , Included in t a b l e for f i r s t time. 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 515 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 . 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 . 15 Table 8 STOCK PRICES AND VOLUME STOCK P R I C E S 1 - TRADING V O L U M E 2 - DATE NYSE I N D E X 3 - D J . INDUSTRIALS AMEX 4 - NYSE AMEX 1970 - High Low 52.36 (1/5) 37.69 (5/26) 842.00(12/29) 27.02 (1/8) 631.16 ( 5 / 2 6 ) 19.36 ( 5 / 2 7 ) 18.5 (12/4) 7.8 (8/14) 7.1 (1/2) 1.8 (8/14) 1971 - High Low 57.76 (4/28) 48.73 (1/4) 950.82 (4/28) 26.68 (4/28) 797.97(11/23) 22.72 (1/4) 22.1 (2/12) 11.0 (9/17) 6.7 (2/5) 2.7 (8/13) 1972 - High Low 61.38 (5/26) 56.23 (1/3) 971.25 (5/26) 28.53 (4/14) 25.61 (1/3) 889.30 (1/3) 21.2 (3/24) 14.0 (3/31) 7.4 (3/10) 3.9 (6/16) 5 12 19 26 59.30 59.19 60.54 51.38 941.23 941.83 961.54 971.25 27.53 27.48 27.86 27.94 14.4 14.4 15.6 16.5 4.0 4.1 4.4 4.4 2 9 16 23 30 60.95 59.35 60.04 59.89 59.31 961.39 934.45 945.06 944.69 929.03 27.85 27.44 27.50 27.37 27.24 15.3 14.3 15.5 13.9 13.9 4.0 4.3 3.9 3.6 3.7 1972 - May June NOTES: 1. Figures other than highs and lows are Fridays only. Highs and lows are for the year and are not necessarily for Fridays. 2. 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: Days / Hours/ Through: From Week Week January 3, 19*9 July 7, 1969 January 2, 1970 3. July 3, 1969 December 31, 1969 May 1, 1970 4 4-1/2 5 5 20 22-1/2 25 12/31/65 - 50 4. Average dollar value of shares listed. 8 16 TABLE 9: Security Credit END OF PERIOD CREDIT EXTENDED TO MARGIN CUSTOMERS BY: BROKERS1 | BANKS 2 I TOTAL CUSTOMERS' NET DEBIT BALANCES NET CREDIT CUSTOMERS' NET EXTENDED BY BROKERS AND FREE CREDIT DEALERS 3 BALANCES Outstanding: 1971 - May June July Aug. Sept. Oct. Nov. Dec. 4,620 4,720 4,790 4,850 4,930 4,950 4,910. 5,400 2 ,340 2 ,390 2 ,420 2 ,430 2 ,430 2 410 2 ,400 2 ,440 6,960 7,110 7,210 7,280 7,360 7,360 7,310 7,840 1972 - Jan. Feb. Mar. Apr. May 5,700 6,180 6,620 7,010 7,200 2 490 2 510 2,,520 2, ,530 2, ,560 8,190 8,690 9,140 9,540 9,760 (4) 2,550 2,440 2,210 2,200 2,100 2,160 2,170 2,220 (4) (4) (4) (4) (4) (4) (4) (4) 2,488 2,542 2,512 2,459 2,330 (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) (4) Change i n Outstanding: 90 150 100 70 80 1972 - May June July Aug. Sept. Oct. Nov. Dec. 90 100 70 60 80 20 -40 490 -20 -10 40 -50 530 1972 - Jan. Feb. Mar. Apr. May 300 480 440 390 190 50 20 10 10 30 350 500 450 400 220 2 3 —— 50 30 10 — - - - - - - —— - - - -110 110 230 -10 100 60 10 50 268 54 -30 -53 -129 — - - — — - - - - Margin 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 Exchange. A l t h o u g h margin 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 of such l o a n s i n c l u d e d i s t h o u g h t t o have been s m a l l . "Bank l o a n s t o o t h e r s than 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 or Carrying s e c u r i t i e s o t h e r than U . S . g o v e r n m e n t s . " 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 ' n e t 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 dealers to the n o n f i n a n c i a l public. NOTE: With t h e e x c e p t i o n o f bank 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 Exchange and a r e end o f month d a t a . Bank l o a n s a r e f o r weekly r e p o r t i n g l a r g e commercial b a n k s . Broker d a t a i n c l u d e s l o a n s f o r r e g u l a t e d s e c u r i t i e s ; bank d a t a i n c l u d e s l o a n s f o r t h e purpose o f p u r c h a s i n g or c a r r y i n g any s e c u r i t y , whether r e g u l a t e d or n o t . TABLE 10: Savings Flows at Nonbank Depositary Intermediaries ($ m i l l i o n s ) DATE MUTUAL SAVINGS BANKS NET REGULAR DEPOSITS 3 NEW ANNUAL 2 MONEY GROWTH NET FLOW RATE 1 SAVINGS & LOAN ASSOCIATIONS NET SHARE CAPITAL NEW ANNUAL NET GROWTH MONEY2 FLOW RATE 1 TOTAL DEPOSITS ANNUAL NET GROWTH RATE 1 FLOW NET NEW MONEY Not S e a s o n a l l y A d j u s t e d 1969 1970 1971 2,549 4,517 9,623 4.0 6.8 13.5 -763 936 5,678 4,068 10,965 28,244 1 9 7 1 - March April May 1,604 801 819 —— -- 955 651 710 4,108 2,211 2,160 1972 - March j ) / April £/ May e/ 1,507 464 680 773 280 n.a. 4,287 1,780 2,035 — 3.1 8.1 19.4 __ — — — — -1,003 5,285 20,652 6,617 15,482 37,867 2,627 2,092 2,081 5,712 3,012 2,979 2,532 1,668 n.a. 5,794 2,244 2,715 __ 2,369 2,867 11.4 13.7 -- 5,066 3,816 4,180 3,530 2.227 23.9 17.6 19.0 15.8 9.9 -- 3.4 7.7 17.5 — — -1,766 6,231 26,330 3,582 2,743 2,791 3,305 1,948 n.a. Seasonally Adjusted 1 9 7 1 - November December 659 836 10.0 12.5 1972 - J a n u a r y February March A p r i l &/ May e / 948 861 1,029 820 587 14.1 12.6 15.8 11-7 8.3 1 .2 3 1,710 2,031 12.1 14.2 —— 4,11a —— 2,955 3,091 2,710 1,640 28.4 19.9 20.5 17.7 10.5 —— - - -- —— — Annual growth r a t e for monthly data 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 new d e p o s i t s n e t o f b o t h w i t h d r a w a l s and i n t e r e s t . Data 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 , w h i c h r e p r e s e n t 96"L o f i n d u s t r y t o t a l r e s o u r c e s . 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 b a n k s e x c l u d e i t e m s s u c h a s 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 , which 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 o f Mutual S a v i n g s Banks and F e d e r a l Home Loan Bank B o a r d . 2 1 T A B L E 11: Mortgage Commitments at Selected T h r i f t Institutions OUTSTANDING COMMITMENTS ALL MUTUAL SAVINGS SAVINGS & BANKS LOAN (N.Y. STATE) ASSOCIATIONS 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 Adjusted) .17 .25 .34 .05 .01 .01 .14 .07 .12 .15 .22 .20 .09 B a s e d on d a t a from F e d e r a l Home Loan Bank Board and S a v i n g s Banks A s s o c i a t i o n s of New York S t a t e . Data f o r s a v i n g s banks and S&L's i n c l u d e a minor amount o f n o n r e s i d e n t i a l commitments. S&L commitments i n c l u d e l o a n s i n p r o c e s s . New 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 from unrounded o u t s t a n d i n g s l e v e l s as 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 . S u b t o t a l s may n o t add t o t o t a l s because of rounding. 19 TABLE 12: Net Change in Mortgage Holdings 1 FINANCIAL INSTITUTIONS LIFE MUTUAL SAVINGS & INSURANCE SAVINGS COMMERCIAL LOAN COMPANIES BANKS . ASSOC. BANKS TOTAL INCLUDING FNMA-GNMA TOTAL 23,781 24,074 21,736 41,647 21,273 19,699 16,827 39,259 6,677 5,404 2,462 9,940 1972 - J a n . Feb. Mar. Apr. May 2,527 2,811 4,012 4,006 n, a . 2,348 2,574 3,929 4,063 n. a . 700 600 1,000 1,100 1,300 1971 - Mar. Apr. May June July Aug. Sept. Oct. Nov. Dec. 3,005 3,057 3,300 4,136 4,186 4,168 3,924 3,657 3,647 4,325 2,983 3,113 3,260 3,935 3,878 3,656 3,458 3,267 3,345 4,083 690 685 864 1,219 977 901 902 884 752 826 1972 - J a n . Feb. Mar. Apr. May 3,123 3,315 4,208 4,057 n.a. 2,974 3,065 4,097 4,058 n.a. 888 754 1,061 1,084 1,261 DATE FNMA-GNMA Not S e a s o n a l l y A d j u s t e d 1968 1969 1970 1971 1 9,350 9,561 10,172 24,160 2,459 2,052 2,348 1,221 2,508 4,375 4,909 2,388 1,453 274 1,776 259 2,531 430 2,566 352 2,718 n. a. Seasonally Adjusted -79 -61 -32 45 n.a. 179 237 83 -57 . 284 401 293 318 386 374 400 306 329 465 522 1,801 2,082 2,036 2,309 2,455 2,252 2,122 1,977 2,058 2,357 91 53 42 21 72 130 128 77 77 378 -56 40 201 308 512 466 390 302 242 272 296 486 390 n.a. 1,813 2,042 2,571 2,506 2,569 1 -27 -21 58 n.a. 149 250 111 j.al r W 2,787 2,682 1,845 3,938 Monthly d a t a f o r commercial banks based 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 Report 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 . # O t h e r d a t a d e r i v e d from mortgage de bt 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 Mutual S a v i n g s Banks, F e d e r a l Home Loan Bank Board, I n s t i t u t e o f L i f e I n s u r a n c e and, through August 1968, t h 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 , and t h e r e a f t e r by FNMA and t h e Government N a t i o n a l Mortgage A s s o c i a t i o n . Data f o r mutual s a v i n g s banks and f o r L i f e I n s u r a n c e companies may d i f f e r somewhat from t h o s e d e r i v e d from 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 minor c o n c e p t u a l d i f f e r e n c e s f o r which a d j u s t m e n t s a r e not made i n t h e monthly s e r i e s . A l t o g e t h e r , t h e s e groups a c c o u n t e d f o r 87 per c e n t of t h e n e t i n c r e a s e e s t i m a t e d f o r a l l h o l d e r s i n 1971. TABLE 13: Net Increases in Mortgage Debt Outstanding B i l l i o n s of d o l l a r s , SAAR QUARTER TOTAL RESIDENTIAL 3 1- to 4FAMILY MULTIFAMILY COMMERCIAL 1 MULTI-AND COMMERCIAL FARM - I ' II III IV 16.0 20.8 26.3 27.2 10.3 14.0 18.9 19.7 7.0 10.6 15.1 15.9 3.3 3.4 3.8 3.8 3.9 5.0 4.9 4.7 7.2 8.4 8.8 8.5 1.8 1.8 2.5 2.8 - I II III IV 28,1 26.4 25.8 29.4 19.4 18.2 17.4 20.2 16.2 15.0 13.9 16.3 3.2 3.2 3.5 3.9 6.4 6.0 6.6 7.3 9.5 9.2 10.1 11.2 2.3 2.2 1.8 1.9 - I II III IVi 31.8 29.1 26.2 24.9 23.6 21.5 19.0 18.2 19.2 16.8 14.4 13.0 4.4 4.7 4.7 5.3 6.1 5.4 5.4 5.2 10.5 10.1 10.0 10.5 2.2 2.2 1.7 1.4 - I II III IV- 20.6 22.9 29.1 31.3 14.2 16.9 21.8 22.5 9.1 11.5 15.5 16.0 5.1 5.4 6.3 6.5 4.8 4.6 5.2 6.7 9.9 9.9 11.5 .13.2 1.5 1.5 2.1 2.2 - I II- 37.1 47.8 53.6 53.4 26.6 36.1 40.1 40.1 18.5 26.4 31.4 31.4 8.1 9.7 8.7 8.7 8._3 9.4 11*2 10.8 . 16.3, 19.1 11.5 2.2 2.3 2,3 2,5 56.3 42.6 32.4 10.1 11.6 21.7 2.JL nip ivt - Ie 19.9 1 D e r i v e d from d a t a on mortgage de bt o u t s t a n d i n g from 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 Board, I n s t i t u t e o f L i f e I n s u r a n c e , Nat i o n a l A s s o c i a t i o n of Mutual S a v i n g s Banks, Departments 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 nonfarm mortgage debt by t y p e of p r o p e r t y , where 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 , where r e q u i r e d , e s t i m a t e d m a i n l y by F e d e r a l R e s e r v e . 2 May d i f f e r somewnat from r e l a t e d f l o w o f funds s e r i e s m a i n l y b e c a u s e of more a g g r e g a t i v e type of seasonal adjustment. 3 R e s i d e n t i a l mortgage de bt i n c l u d e s nonfarm o n l y and i s sum of 1 - t o 4 - f a m i l y and m u l t i f a m i l y mortgage de bt combined. TABLE 14: FNMA Weekly "Auction" Results WEEK ENDED Jan. Feb. Mar. Apr. May June COMMITMENTS IN $ MILLIONS ACCEPTED 1-YEAR 6TOTAL TOTAL 4MONTH & OVER MONTH OFFERED 10 24 136.9 103.6 72.9 54.9 72.9 54.9 7 21 88.7 68.6 63.9 44.8 63.9 44.8 6 20 86.9 202.9 50.6 86.2 50.6 86.2! 3 17 258.8 347.4 178.5 176.3 178.5 176.3 1 15 30 364.9 266.3 133.4 336.4 188.2 76.4 336.4 188.2 76.4 12 26 83.5 97.6 48.1 76.6 48. L 76.6 - - — - — - —— - - — — — — —— - - — __ -- IMPLICIT YIELD (per c e n t ) 4MONTH 6M0NTH 1-YEAR & OVER 7.61 7.61 7.61 7.61 7.56 7. 54 7.56 7.60 7.63 7.63 7.62 7.62 7.62 NOTE: Under t h e FNMA a u c t i o n s y s t e m , approved s e l l e r s of Governmentu n d e r w r i t t e n m o r t g a g e s b i d f o r FNMA forward p u r c h a s e commitments. A v e r a g e s e c o n d a r y market y i e l d a f t e r a l l o w a n c e f o r commitment t e e and r e q u i r e d p u r c h a s e and h o l d i n g of FNMA s t o c k , assuming prepayment of 15 y e a r s f o r 3 0 - y e a r G o v e r n m e n t - u n d e r w r i t t e n m o r t g a g e s . Y i e l d s shown are g r o s s , b e f o r e d e d u c t i o n of 38 b a s i s p o i n t s f e e p a i d by i n v e s t o r s to servicers. T A B L E 15: P r i v a t e H o u s i n g Starts and Permits STARTS SEASONALLY ADJUSTED ! ANNUAL RATE | TOTAL |1-FAMILY 2 OR MORE DATE - May June July August September October November December - January February March r / April r/ May £ / 1 2 2,046 2,008 2,091 2,219 2,029 :2,038 2,228 2,457 2,487 2,682 2,369 2,101 :2,322 i 1,152 1,150 1,162 1,198 1,172 1,155 1,242 1,347 894 858 929 1,021 857 882 985 1,110 1,415 1,325 1,302 1,162 1,329 1,071 1,357 1,067 939 993 ; . TOTAL UNADJUSTED TYPE OF F I N A N C I N G FHA | VA OTHER 198,. 5 193,. 8 194, . 3 204. . 5 173. ,8 179. .7 176. ,4 152. ,1 40, . 7 46, . 1 42, . 9 45. . 8 48. .3 38. ,5 47. ,2 85. ,4 150. ,9 153. 6 203. 9 210. 5 223. 8 37. 27. 37. 29. 34. 4 8 7 1 1 1 8.4i 9 . 3I 9.2 9.4 8.7 8.1 9.1 7.4 7.5 8.0 10.5 8.5 9.4 BUILDING ' PERMITS (SEASONALLY ADJUSTED ANNUAL RATE) 2 149.4 138.4 141.1 147.0 116.8 133.1 120.1 59.3 1 ,927 1 ,849 2:,052 2.,006 1.,900 2. ,173 1,,952 2, ,292 106.0 117.8 155.7 172.9 180.3 2, ,105 2, 078 1, ,928 1, 928 1, 991 T o t a l s t a r t s a r e Census e s t i m a t e s i n c l u d i n g farm f o r both p e r m i t - i s s u i n g and noi.-issuing 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 in an apartment 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 starts are u n i t s s t a r t e d under commitments by t h e s e a g e n c i e s t o i n s u r e or guara n t e e the 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 office receives 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 , which i s made b e f o r e footings are poured in some c a s e s but 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 have been completed. Other s t a r t s a r e d e r i v e d as a r e s i d u a l , a l t h o u g h t o t a l and FHA and VA starts are not s t r i c t l y comparable i n c o n c e p t or t i m i n g ; o t h e r s t a r t s i n c l u d e both 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 . B u i l d i n g p e r m i t s b e f o r e January 1963 a r e Census e s t i m a t e s f o r about 1 0 , 0 0 0 a r e a s identified as h a v i n g a l o c a l b u i l d i n g permit s y s t e m i n 1959. Estimates beginning January 1963 a r e f o r a p p r o x i m a t e l y 1 2 , 0 0 0 and b e g i n n i n g January 1967 1 3 , 0 0 0 , or a l l known p e r m i t - i s s u i n g p l a c e s . Unlike s t a r t s , s e a s o n a l l y adjusted b u i l d i n g perm 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 working days per month, as w e l l as 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 . 13 TABLE 16: Mortgage and Bond Yields F H A I CONVENMORTGAGES 2 , TIONAL I MORT30-year ; GAGES 8.60 High Low 9.29 8.40 8.30 1971 - High Low 7.97 7.32 7.95 7.55 1 9 7 1 - Nov. Dec. 7.62 7.59 7.75 7.70 1972 - J a n . Feb. Mar. Apr. May 7.49 7.46 7.45 7.50 7.53 7.60 7.60 7.55 7.60 7.60 1970 SPREAD BETWEEN YIELDS ON CONV. & FHA MORTGAGES 5 NEW Aaa CORPORATE BONDS SPREAD BETWEEN YIELDS ON NEW CORPORATE BONDS AND FHA MORTGAGES 6 -.10 -.74 9.11 7.80 .99 .28 8.01 -.19 7.24 .50 -.36 .13 7.19 7.09 .43 .50 7.07 7.16 7.22 7.31 7.21 .42 .30 .33 .19 .39 .11 .11 .14 .10 .10 .07 .01 Neither mortgage nor bond yields include allowance for servicing costs which are much hi gher 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. 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 . D a t a shown a r e f o r 3 0 - y e a r m o r t g a g e s w i t h minimum d o w n p a y m e n t s , and 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 . Y i e l d s 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 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 . 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 c o n t r a c t 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 offices. S e e n o t e f o r T a b l e 1. Y i e l d s p r e a d e q u a l s c o n v e n t i o n a l m o r t g a g e r a t e l e s s FHA s e c o n d a r y m a r k e t y i e l d . Y i e l d s p r e a d e q u a l s FHA s e c o n d a r y m a r k e t y i e l d l e s s new Aaa c o r p o r a t e bond yield. 24 T A B L E 17: Conventional Mortgage Terms _NEW HOMES DATE CON- FEES & TRACT CHANGES EFFEC- MATURITY RATE (PER (YEARS) TIVE (PER CENT) RATE CENT) 2 3 LOAN/ PRICE LOAN RATIO AMT. (PER ( $ 0 0 0 ) CENT) 4 1 EXISTING HOMES CON- FEES & LOAN/ TRACT CHARGES EFFEC- MATU- PRICE (PER RATE TIVE RITY RATIO CENT) RATE (YEARS) (PER (PER 2 3 CENT) CENT) LOAN AMT. ($000) 4 1971 May June July Aug. Sept. Oct. Nov. Dec. 7.36 7.38 7.51 7.60 7.67 7.68 7.65 7.62 0.71 0.74 0.90 0.84 0.97 0.97 0.87 0.93 7.47 7.50 7.6& 7.74 7.83 7.84 7.79 7.77 26 . 1 26 . 3 26, . 3 26 . 2 25. . 8 26, .4 26. .7 26. .6 74 . 0 73,. 7 74, . 5 73, . 9 75. .3 75. ,5 75. .4 74. .5 26.7 27.2 27.1 26.5 25.9 26.3 27.3 26.5 7 .33 7 .38 7 .50 7 .58 7,. 6 3 7.. 6 2 7.. 5 6 7.. 5 1 0 .71 0,. 7 4 0, . 7 5 0.. 7 6 0. . 7 8 0. , 7 9 0. ,79 0 . ,78 7.45 7.50 7.63 7.71 7.76 7.75 7.69 7.64 24 . 0 24, . 3 24, . 2 24. . 5 24. .2 24. , 1 24. ,6 24. ,6 73 . 2 73 . 9 74 . 5 74 „ 2 74,. 5 74. . 2 74. .6 74. .6 23.3 28.3 23.2 23.5 22.5 22.9 23.2 23.9 7.62 Jan. Feb. 7.45 Mar. 7.38 Apr.r/ 7.38 May £ / 7 . 3 9 0.95 1.02 0.84 0.83 0.84 7.78 7.61 7.52 7.51 7.53 26. 27. 27. 27. 27. 75. 0 76. 5 76. 2 76. 0 76. 1 27.6 27.8 28.2 28.5 28.4 7. ,45 7. 3 5 7. 31 7 . 30 7 . 34 0. 0. 0. 0. 0. 7.58 7.48 7.44 7.42 7.46 24. 7 25.4 25. 1 25. 2 25. 1 74. ,7 75. 8 75. 6 75. 3 75. 3 24.1 24.8 24.4 24.9 24.4 1972 5 0 2 2 2 82 79 77 78 73 Compiled by F e d e r a l Home Loan Bank Board i n 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 Corporation. Data 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 survey of c h a r a c teristics 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 major i n s t i t u t i o n a l l e n d e r groups ( i n c l u d i n g mortgage c omp an ie 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. Data e x clude l o a n s 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 m o d e r n i z a t i o n ; c o n s t r u c t i o n l o a n s to h o m e - b u i l d e r s ; and permanent 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 to ownerbuilders. 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 mortgage r a t e s o n l y , based on unweighted o p i n i o n s of f i e l d - 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 Hou sin g A d m i n i s t r a t i o n , are a v a i l a b l e somewhat s o o n e r than t h e r e s u l t s of t h e FHLBB-FDIC s u r v e y , and a r e inc^.uded-in the c a s e o f new home mortgage r a t e s - - i n T a b l e 16. Fees and c h a r g e s - - e x p r e s s e d as a p e r c e n t a g e of t h e p r i n c i p a l mortgage 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 the 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 , o f property ownership. 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 the c o n t r a c t interest rate. 4 Derived by FRB.
@FedFRASER