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BBJCOUTHOELED AFTER SIX MOUTHS
L-S.fl Confidential (F.R.)
June 1. 1971

s~i\

CAPITAL
MARKET

k s- $

•tVtLOPMENTS

Capital Markets Section, Division of Research and S t a t i s t i c s ,
Board of Governors of the Federal R e s e r v e System, Washington, D. C.




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

SYMBOLS:

e

Estimate

p

Preliminary

r

Revised

n.a.

Not a v a i l a b l e




TABLE 1: Yields, Volume and Reception

YIELDS
MOODY'S
SEASONED
1
NEW ISSUE
Aaa

*

WEEK ENDING:

1971 - M a y

June

7
14
21
28

June

610
376
441
735

7.43
7.48
7.57
7.66

YIELDS
BOND BUYER
MOODY'S
SEASONED
SEASONED 20
Aaa
BOND INDEX

7
14
21
28

85
85
93e
99e

n.a.

300e

4

WEEK ENDING:

1971 - May

7.88
7.93
8.23
8.06

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

5.65
5.80
5.70
5.70

4

5.84
5.96
5.96
5.86

MUNICIPAL BOND MARKET
VOLUME2
PER CENT
SOLD BY END
GROSS
OF WEEK
OFFERINGS
280
550
851
534
280e

84
81
86
78
. n.a.

BONDS SCHEDULED
WITHIN 28 DAYS
1,505
1,299
966
n.a.
n.a.

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

Sec footnotes to Table 3




TABLE 2: Details on Inventories

|
1

DATE *
_ OFFERED
_

AMOUNT
(MIL. $)

5/25

OFFERED

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

35.0

DATE
| RELEXSED

May -

8.25

ISSUER

AMOUNT

INVENTORIES 1
MUNICIPALS
BLUE LIST.
|
IN SYNDICATE

DATE
1971 - Apr.

B'Way Hale

COUPON

8.25

A

10 yrs.

ESTIMATED PROPORTION SOLD
85%

ORIGINAL INCREASE RATING AND ESTIMATED PROIN YIELD CALL PROT. PORTION RELEASED
YIELD

CORPORATES
IN SYNDICATE

30

756

197

48

7
14
21
28

666
622
584r
576

125
167
168
199

90
82
33
15

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

Digitized


5
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
MUNICIPALS4

8.85
6.90

(12/5)
(2/21)

7.84
6.55

(12/26)
(1/12)

6.97
5.96

(12/26)
d/24)

6.90
4.82

(12/18)
(1/28)

1970 - High
Low

9.30
7.68

(6/19)
(12/18)

8.60
7.48

(7/3)
(12/31)

7.55
6.17

(5/29)
(12/18)

7.12
5.33

(5/29)
(12/11)

1971 - High
Low

,23
8.
6.
.76

(5/21)
(1/29)

7.66
7.06

(5/28)
(2/12)

6.42
5.69

(5/21)
(3/23)

5.96
5.00

(5/20)
(3/18)

-

1969 - High
Low

1971 - April
May

30

.81
7,

7.30

6.11

5.69

7
14
21
28

.88
7,
.93
7,
.23
8.
8 .06

7.43
7.48
7.57
7.66

6.25
6.33
6.42
6.29

5.84
5.96
5.96
5.86

1

New corporate issues, with call protection, adjusted (as described in
footnote 1 of Table 1) to a Aaa basis.
Weekly average of daily figures. Average term of bonds included is22-24 years.
Weekly average of daily figures.
3
4
Thursday figures. The average rating of the 20 bonds used in this index
falls midway between the four top groups as classified by Moody's Investors Service.
Note--Highs and lows are for individual series and may be on different dates
for different series.
2




V
•

:/

6
TABLE 4: Long-term Corporate and State and Local Government
Security Offerings and Placements
(In millions of dollars)

GROSS PROCEEDS
^

STATE AND LOCAL 2

CORPORATE1

PERIOD
1971

1970

1969

i

1971

1970

1969

January
February
March

3,115
3,000
6,075

2,636
1,802
3,539

2,075
2,045
2,098

1
|
!

2,702
1,833
2,107

1 ,340
,214
1:
,555
1:

1 ,262
987
538

April
May
June

3,910e

3,170
3,909
3,389

2,748
2,076
2,530

|

l,888e

,647
1,
996
1 ,085
=

1 ,801
,no
1:
737

July
August
September

2,768
2,274
3,518

2,478
1,427
2,427

,348
1.
,359
1.
,758
1.

1 ,097
808
559

October
November
December

3,777
4,182
3,980

1,933
2,375
2,532

,924
1,
,748
1.
2,
,190

,280
1:
886
816

7,977 ^
10,468
8,560
11,939

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

4,109
3,728
4,465
5,862

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

1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

12,190

18,445
27,005
38,944

13,572
19,904
26,744

j

6,642

6,435
,837
7,
,302
12.
is;164 i?;!f£

Excluding finance companies3
1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

Year

6,170
7,037

1
1
Securities arid Exchange Commission estimates of gross proceeds.
2 ' Investment Bankers Association of America estimates of principal amounts.
3
Total gross proceeds excluding offerings of sales and consumer finance
companies.




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

QUARTER
OR
MONTH

TOTAL

I

PUBLICLY
OFFERED

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

GROSS PROCEEDS BY
TYPE OF ISSUER
PUBLIC
UTILITY

COMMUNICATIONS

OTHER

6,994
5,987
7,827
8,369

1,282
914
1,421
1,516

2,190
1,659
2,690
2,306

135
83
226
84

710
287
737
824

2,445
2,314
3,169
3,794

2,812
2,714
3,406
3,197

2,
,162
868
1 ,346
=
1,606

3,
,048
2,
,663
,020
4,
3 ,594

3,170
1970 - Apr.
3,909
May
3,389
June
2,768
July
2,274
Aug.
Sept. 3,518
Oct. . 3,777
4,181
Nov.
3,979
Dec.

2,022
3,041
1,931
1,831
1,731
2,425
2,390
3,001
2,436

447
399
436
320
205
389
304
283
834

701
468
1,021
617
338
704
1,083
898
709

89
20
26
68
11
\ 4
56
11
159

398
230
82
107
59
121
388
184
165

689
817
939
638
682
994
1,006
1,107
1,056

1,109
600
1,103
843
630
1,241
1,101
1,350
955

62
1,747
353
144
279
445
371
693
282

1,310
744
994
1,143
682
838
1,300
1,033
1,687

1971 - JanJ
Feb.
Mar.
e/Apr.

2,033
2,201
4,135
2,160

594
275
647
450

489
524
1,293

43
3
38

99
168
557

716
661
2,417

676
1,069
1,452

391
683
532

1,332
587
1,675

390

1,390

860

340

872

1970 - II
III
IV
1971 - I

l

10,468
8,560
11,907
12,190

3,115
3,000
6,075
3,910

1,300

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




TABLE 6: Large Long-term Public Security Issues for New Capital
(Other than U.S. Treasury) 1
M a y 3 . thru M a y 3 0 , 1971

x

TYPE2
Corporates
Otter T a i l Pwr. Co.
Northern Ind. Pub. Serv. Co.
Midland Enterprises Inc.
National Can Corp.
G.M.A.C.
Wis. Pub. Serv. Corp.
Mississippi Pwr. Co.
Westinghouse Credit Corp.
G e n ' 1 Tel. of S.E.
Boston Edison Coy
Kansas Gas & Elec. Co.
Hartford National Corp.
T.W.A.
B l a c k and Decker
Southern New England Tel.
Chrysler Financial Corp.
flab i&ofc
Public Service Elec. & Gas Co.
Monongahela Power
Union Tank Car Co.
Southwestern Pub. Serv. Co.
Conn. Gen'l Mtg. & Realty Invest
Consolidated Nat. Gas Co.
Gen'l Tel. Calif.
Armstrong Cork Co.
Gen'l Cigar Co.
New England Elec. System
Crocker Nat'1 Corp.




AMOUNT
(MILLIONS
OF
DOLLARS)

16.0
1st. Mtg.
50.0
1st. Mtg.
15.0
Bds.
20.0
Debs.
200.0
Debs.
25.0
1st Mtg.
15.0
1st. Mtg.
Notes(7 yr.) 75.0
25.0
1st. Mtg.
1st. Mtg..
75.0
35.0
1st. Mtg.
S.F. debs.
25.0
Gtd. L o a n
53.6
Certf,
24.5
Com. Stk,
110.0
Debs.
Sub. Debs.
90.0
S.F. debs.
50.0

MATURITY

COUPON
RATE OR
NET INTEREST COST
8-3/4
8-1/8
8-7/8
8-3/8
8.00
8-1/4
8-3/8
7.20
8-3/4
8-1/8
8.13
. 8.50

2001
2001
1991
1996
1993
2001
2001
1978
2001
2001
2001
1996
1

OFFERING
YIELD

MOODY'S
RATING

8.60
7.95
8.93
8.42
8.10
8.20.
8.30
7.20
8.79
8.00
8.04
8.50

Baa
Aa
Baa
Baa
A
A
. —

Baa
Aa
—

Baa

11.00

11.00

--

--

--

2008
1986
2001

8.13
7.38
7.75

8.00
7.38
7.75

Aa

1986

Aa

1st. Mtg.
1st. M t g

70.0
20.0

2001
2001

8.38
8.88

8.32
8.70

Aa
A .

!iti?TrSt
1st. Mtg
Debs.
Debs.
Debs.
S.F. debs.
Com. Stk.
Com. Stk.
Conv. Sub
debs.

25.0
15.0
75.0
40.0
50.0
75.0
18.4
22.5
60.0

1991
2001
1996
1996
1996
1996

8.45
8.45
6.00
8.38
8.88
8.00

8.45
8.45
6.00
8.35
8.80
8.00

A
Aa

1996

5.75

5.75

Aa
Baa
A

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

Mav 3 :hru Mav 30
AMOUNT
(MILLIONS
ISSUER

TYPE2

OF

DOLLARS)

Coruorates fcon't)
200.0
Debs.
New England Tel. & Tel. Co.
Conv. debs . 25.0
Melville Shoe Corp.
50.0
1st. Mtg
Northern States Pwr. Co.
200.0
Debs.
Texaco Inc.
50.0
Chase Manhattan Mtg. & Realty Trst Sr. Notes
30.0
S.F. debs.
Grolier Inc.
60.0
Debs.
Stauffer Chemical Co.
35.0
S.F. debs.
/Broadway-Hale Stores Inc.




MATURITY

2004
1996
2001
2001
*1978
1991
1996
1996

COUPON
RATE OR
NET INTEREST COST
8.20
4.88
8.25
7.75
7.88
9.50
8.13
8.25

OFFERING
YIELD
8.20
4.88
8.18
7.75
7.88
9.50
8.22
8.25

MOODY1S
RATING

Aaa
Baa
Aa
Aaa
—

Baa
.

—

A

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

ISSUER
State\ and Local
Van Dyke Pub. Sch. Dist. , Mich.
Mass. Health & Ed. Fac. Auth.
Detroit, Mich.
Wash. Suburban Sanitary Dist. Md
*St. Clair Co. Bldg. Comm. 111.
Sacramento, Calif. Municipal
Utility Dist.

Erie Co. Water Authority
Puerto Rico Highway Auth.
Florida, State of
Florida, State of
Florida, State of
North Shore Sanitary Dist. of
Lake Co., 111.
Minn-St. Paul Metro Area, Minn.
Chicago Park, 111.
Texas
Connecticut
New York State Finance Agency
Nassau Co., N. Y.

Austin, Texas

Austin, Texas
Ohio, State of
West Virginia, State of
D a d e Co Port Auth., Fla.
D a d e Co. Port Auth. Fla
King C o . , Wash.
New Jersey Turnpike
Fairfax Co., Va.
New Housing Authority
New Orleans, La.
New Orleans, La.

New Orleans, La.



TYPE 2

AMOUNT
(MILLIONS
OF
DOLLARS)

10
May 3. thru May 30, 1971

MATURITY

COUPON
RATE OR
NET INTEREST COST

MOODY'S
RATING

6.05

3.25-6.40
4.00-5.75
3.50-7.40
3.20-6.15
4.00-6.40

1972-2001
1972-2001
1995
1974-88
2008

6. 11
6.12
6.74
5. 93
5. 93
5. 93

3.50-5.70
3.25-6.30
3.60-6.60
5.71
3.50-5.40
6.02

Aa
A

27.0
14.0
12.0
30.0
100.0
156.0

1974-88
1973-1990
1972-81
1979-87&98
1972-91
1972-2001

7. 76
5.13
4.
.67
4,
.50
5,
.05
6,
.62

3.75-6.00
3.20-5.90
3.20-5.00
4.40-5.00
3.10-5.60
3.50-6.75

A
Aa
A-l
Aaa
Aaa
A

48.0
6.0
6.6
75.0
. 45.0
3.5
21.3
10.4
125.0
30.0
196.9
4.0
1.8
14.0

1972-2000
1971-96
1972-96
1972-91
1972-96
1975-81
1998
1973-2011
1975
1972-1993
1971-2011
1972-90
1973-91
1972-95

5,
.69

3.25-6.30
2.80-5.70
3.00-6.20
3.20-5.50
3.40-6.40
5.75-7,00
8.00
3.75-6.75
4.63
3.50-6.50
2.90-5.90
3.10-5.90
3.55-6.10
3.20-6.50

A
Aa
Aa
Aaa
A-l
Baa
Baa
A

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

13.5
12.0
11.5
20.0
10.0

Rev.
Rev.
Rev.
Rev.
Rev.
Rev.

40.0
11.8
60.0
12.5
13.9
44.1

G.O.
Rev.
G.O.
G.O.
G.O.
G.O.
G.O.
Rev.
Rev.
G.O.
G.O.
Rev.
Rev.
G.O.
Rev.
G.O.
Bds.
1 Rev.
Rev.
|Rev.

1972-2000
1972-1981
1972-1986
1972-2001
--

6.25
5. 61
6.44

OFFERING
YIELD

•-

5,
.17
5 .50
8 .06
8 .06
6 .58
4 .63
5 .98
5 .74
5 .52
5 .78
. 5.81

—
—

Baa
A
A

—

Aa
Aa
Aa

A
Aaa
Aa
A
A-l

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

'
ISSUER
State and Local
Jacksonville Elec. Auth., Fla.
Jacksonville Elec. Auth., Fla.
Los Angeles Internat'l Airport,
Calif.
Phoenix Arizona
Phoenix, Arizona
Lower Col. River Auth., Tex.
Penna, State of
Providence, R.I.
Port of Seattle Wash .
New York St. Dorm Auth.
New York St. Dorm Auth.
Michigan, State of

TYPE 2

AMOUNT
(MILLIONS
OF
DOLLARS)

2001
1980-90

5.88
5.88

4. 60-5. 75
4. 60-5. 75

Aa
Aa

1973-81
1973-9092
1974-1990
1974-1991
1973-2000
1972-2001
1973-2001
1973-2002
1973-2002

9.08
5.42
5.58
5.62
5.75
5.96
6.39
6.73
6.75

9.08
3.40-6. 10
3.80-6. 10
3.
,60-6.01
3.
.50-6.30 .
3.
.25-6. . 0
,
,00
.00-7.
4.
.80
,
4. 00-6.
.00-6.
.80
4,

A-l
A-l
A
Aa
A-l
A
A
A

57.5

1973-87

4.75

3. 40-5. 10

400.0
30.0
30.0
70.0

1973
1981
1978
1997

5.70
7.38
C.00
9.00

5 .70
7 .28
8.10
9 .00

Rev.
Rev.

39.2
20.8

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

28.2
9.0
10.0
60.0
100.0
11.0
29.0
18.1
2.3

G.O.

G;O.

MATURITY

May 3, thru May 30, 1971
COUPON
1
RATE OR
! OFFER - MOODY'S
NET INTERI :X
I
RATING
EST COST
I YIELD

\

Other
Federal Home Loan Bank
Small Business Administration
Quebec (Province of)
Quebec (Province of)
*

Bds.
Debs.
Debs.
Debs.

•

—

A
A

Rights offering.

1

Includes corporate and other security offerings of $15 million and over;
State and local security offerings of $10 million and over.
2
In case of State and local government securities, G.O. denotes genera1 obligation;
!tev.-Ut., revenue obligations secured only by income from public utilities;
Rev. -Q. -lit. , revenue bonds secured only by income from quasi -utilities ; Rev. -S .T . ,
revenue bonds secured by revenue from specific taxes only; Rev.-Rent.,.revenue
bonds secured solely by lease payments.
3
Includes foreign government and International Bank for Reconstruct inn and
Development issues and non-quaranteed issues by Federal Agencies.
FRASER

Digitized for


12

TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury) 1

ISSUER

TYPE

Corporates
Quaker Oats Co.
Debs.
Sperry Rand Corp.
Debs.
Debs.
Equimark Corp.
Dennison Manufacturing Co.
Debs.
Debs.
Economics Laboratories Inc.
1st. Mtg.
' Kansas City Pwr. & Lt. Co.
Debs.
Itel Corp.
Atlanta Gas Light Co.
Bds.
Northern Nat. Gas Co.
Debs.
Debs.
Western Elec.
Falconbridge Nickel Mines Ltd Debs.
Georgia Pwr. Co.
1st. Mtg.
Debs.
*American Century Mtg. Inv.
Lomas & Nettleton Financial
Debs.
Corp.
Chase Manhattan Corp.
Conv. Debs.
Pub. Serv. Co. of N. Mexico
1st. Mtg.
Debs.
Equitable Gas Co.
Ohio Edison
—
1st. Mtg.
debs.
Genstar Ltd.
S.F. debs.
Harvey Aluminum Inc.
Detroit Edison Co.
1st. Mtg.
Debs.
United Jersey Banks
Bds.
Michigan Bell Tel. Co.
Debs.
Wometco Enterprises Inc.
International Multifood Corp. Debs.
Bds.
Marco
Phelps Dodge Corp.
Notes(7 yrs.)
S.F. debs.
Phelps Dodge Corp.
1st. Mtg.
Gen'l Waterworks Corp.
Com. Stk.
Baltimore Gas & Elec.
Debs.
Guardian Mtge. Investor
Debs.
Industrial Nucleonics
Notes
Monumental Corp.
Debs.
*Interlake Inc.
Bds.
Beneficial Corp.
Bds.
Beneficial Corp.
Notes
Microdot Inc.
Central Tel. & Utility Corp. 1st. Mtg.
Bds.
Gen'l Tel. Co. of the S.E.
]
1st. Mtg.
Dayton Pwr. & Lt. Co.
Pref stk.
Dayton Pwr. & Lt. Co.
]
Debs.
Occidental Petroleum Corp.
]
Prom. Notes
Republic Nat'1 Bk. of Dallas ]




AMOUNT
(MILLIONS
OF
DOLLARS)
50.0
100.0
15.0
20.0
20.0
27.0
30.0
15.0
60.0
100.0
50.0
100.0
25.0
50.0
200.0
20.0
17.5
60.0
25.0
50.0
100.0
20.0
150.0
15.0
25.0
100.0
50.0
100.0
25.0
75.6
30.0
15.0
20.0
60.0
25.0
50.0
20.0
20.0
40.0
45.0
20.0
100.0
35.0

APPROXIMATE DATE
OF OFFERING

June 1
June 2 :
. June 2
June 2
June 2
June 3
June 8
June 8
June 8
June 8
June 9
June 10
June 10
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June
June

10
10
14
15
15
15
16
17
17
21
21
29

TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury) 1

ISSUER

TYPE

Corporates (con't)
Debs.
Jersey Central Pwr. & Lt.
Texas Gas Transmission Corp. Debs.
Equity Sec.
Kentucky Utilities Co.
Bds.
Southwestern Elec. Pwr. Co.
1st. Mtg.
Kentucky Utilities Co.
Mass Mutual Life Insurance Co.Com. Stk.
Debs.
National Can Corp.
G.O.
Allegheny Co., Pa.
Los Angeles Dept. of Wtr. &
Pwr.




AMOUNT
(MILLIONS
OF
DOLLARS)

21.0
30.0
15.0
25.0
35.0
100.0
20.0
29.7

APPROXIMATE DATE
OF OFFERING

June
June
June
June
June
June
June
July 1

13a
TABLE 7: Forthcoming Large Long-term Public Security Offerings for New Capital
(Other than U.S. Treasury)'
^ o f K a y 3Q, 1971

ISSUER
State and Local
Illinois
Mukilteo S/D #6, Wash.
New Jersey
Memphis, Tenn.
New York State
University of Kentucky
*New Madrid, Mo.
Alaska
Troy, Mich. S/D
Port of Oakland, Calif.
Coastal Ind. Wtr. Auth. Tex.
Georgia Highway Auth.
West Virginia
Bergen Co., N.J.
Ohio, State
Louisiana Stadium & Expo. Dist.
Louisiana, State of
Mecklenburg Co., N.C.
San Bernardino, Calif. Redevp.
Agency
Oakland Co., Mich.
Cleveland City Sch. Dist.

*

1
2

TYPE

Poll. Bds.
G.O.
G.O.
G.O. & Rev.
Rev.
Rev.
Rev.
G.O.
G.O.
Rev.
Rev.
Ren. -Rev.
G.O.
G.O.
G.O.
Rev.
G.O.
G.O.
Bds.
G.O.
G.O.

AMOUNT
(MILLIONS
OF
DOLLARS)

APPROXIMATE DATE
OF OFFERING

June
June
June
June
June
June
June

100.0
10.0
75.0
12.0
90.0
63.8
63.0
23.8
24.0
20.0
25.0
20.0
45.0
10.9
40.0
113.0
34.6
10.0

June
June
June
June
June
June
June
June
June
June

13.5
13.3
16.0

2
3
3
8
8
9
9

June
June
June

—

9
9
9
15
15
16
16
24
29

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




M

STOCK PRICES AND VOLUME
STOCK PRICES 1 -

TRADING VOLUME 2 '

DATE
NYSE INDEX 3 "

D J . INDUSTRIALS

NYSE

AMEX *

AMEX

1969 - High
Low

50.32 (5/14)
49.31 (7/29)

968.85(5/14) 32.91 (1/3) 16.5 (3/29)
769.93(12/17) 25.02 (7/29) 8.6 (8/29)

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

1970 - High
Low

52.36 (1/5)
37.69 (5/26)

842.00(12/29) 27.02 (1/8) 18.5 (12/4)
631.16(5/26) 19.36 (5/27) 7.8 (8/14)

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

1971 - High
Low

57.76 (4/28) 950.82(4/28)
830.57(1/4)
49.73(1/4)

26.68 (4/28) 22.1 (2/12)
22.72 (1/4) 14.9 (4/2)

6.7 (2/12)
4.3 (1/8)

1971 - Apr.

May

2
9
16
23
30

55.58
56.33
57.06
57.32
57.27

903.04
920.39
940.21
947.79
941.75

26.20
26.41
26.49
26.51
26.47

14.9
19.0
20.6
18.4
20.6

5.0
5.6
5.8
5.1
5.3

7
14
21
28

56.67
56.35
55.59
54.69

936.97
936.06
921.87

26.24
26.15
25.87

17.2
16.0
L4.2r

4.7
4.8
4.1

907.81

25.71

13.2

3.7

NOTES:
Figures other than highs and lows are Fridays only.
Highs.and lows are for the year and are not necessarily for Fridays.
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:
Through:
January 3, 19^9
July 7, 1969
January 2, 1970

July 3, 1969
December 31, 1969
May 1, 1970

3.

12/31/65 - 50

4.

Average dollar value of shares listed.




Week

1

15
TABLE 9: Security Credit

END OF PERIOD

CREDIT EXTENDED TO
MARGIN CUSTOMERS BY:
BROKERS 1 j BANKS 2 ) TOTAL

1971 - Jan.
Feb.
Mar.
Apr.

CUSTOMERS1
NET DEBIT
BALANCES

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

"

Outstanding:
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

r"

4,360
4,160
3,860
3,800
3,810
3,920
4,010
4,010
4,030

2 ,330
2 ,290
2 ,290
2 ,290
2 ,300
2 ,330
2 ,270
2 ,320
2 ,330

6,690
6,450
6,150
6,090
6,110
6,250
6,280
6,330
6,360

4,000
4,090
4,300
4,530

2 ,300
2,
,330
2,
,360
2,340

6,300
6,420
6,660
6,870

Change in
Outstanding:
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

-160
-200
-300
- 60
10
110
90

1971 - Jan.
Feb.
Mar.
Apr—^

(4)
(4)
(4)
(4)
(4)

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

(4)
(4)
(4)
(4)

3,724
3,211
3,272

2,452
2,743
2,798
2,660

5,985
5,433
5,281

(4)

-

(4)
(4)
(4)
(4)
(4)
(4)

u

( 4 ) /
(4)
(4)
(4)
.

20

10
30
• 60
50
10

-200
-240
-300
- 60
20
140
30
50
30

- 30
90
210
230

• 30
30
30
20

- 60
120
240
210

——

•40
• 40
—
—

-368
-552
-152
—

—
—
—
-—
—

-193
- 26
-213
171
97
153
- 73
34
89
166
291
55
-138

-188
-513
- 61
^

—

—

--

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




TABLE 10: Savings Flows at Nonbank Depositary Intermediaries

($ millions)

DATE

SAVINGS & LOAN ASSOCIATIONS
MUTUAL SAVINGS BANKS
NET
REGULAR DEPOSITS 3
SHARE CAPITAL
NET
NEW
ANNUAL
ANNUAL
NEW
2
MONEY
NET
GROWTH
GROWTH
MONEY2
NET
1
1
FLOW
RATE
RATE
FLOW
Not Seasonally Adjusted
7,432
6.0
2,738
3.2
4,200
-1,003
11,173
8.2
5,295

4,203
2,549
4,466

1968
1969
1970
1970 - Feb.
Mar.
Apr.
1971 - Feb.
Mar.g/
Apr.&/

7.0
4.0
6.7

1,143
-763
936

246
510
6

--

160
-89
-136

205
1,655
207

__

907
1,604
775

——

811
955
625

2,444
4,103
2,000

— e.

—
—

—
--

TOTAL
DEPOSITS
ANNUAL
NET
GROWTH
RATE 1
FLOW

NET
NEW
MONEY 2

11,635
6,749
15,639

6.3
3.4
7.7

3,881
-1,766
6,231

177
537
188

451
2,165
213

——

337
448
52

2,340
2,626
n.a.

3,35
5,707
2,775

-—

3,151
3,581
n.a.

—
—

Seasonally Adjusted
Nov.
Dec.
1971 -Jan.
Feb.
Mar.r/
Apr . e /
1
2
3

540
796
885
939
1,287

9.3
14.5
15.5
15.8
21.2

1,150

18.6

—
—
-—

1,130
1,740
3,619
2,472
3,376

9.5
14.5
29.8
19.8
26.7

2,997

23.2

—
—
——

--

1^670
2,536
4,504
3,411
4 , 663
'

9.4
14.5
25.1
18.5
24.9

4,147

__

21.7

——
——
• m.

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




/
TABLE 11: Mortgage Commitments at Selected Thr'ft Institutions

DATE

Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1971

1

- Jan.
Feb.
Mar.

1

NET CHANGE
OUTSTANDING COMMITMENTS
\
ALL
ALL
MUTUAL
SAVINGS
TOTAL
SAVINGS &
SAVINGS &
TOTAL
BANKS
LOAN
LOAN
(N.Y. STATE)
ASSOCIATIONS
ASSOCIATIONS
(Billions of Dollars, S(:asonally Adjusted) 1 /

7.6
7.8
8.0
8.2
8.6

MUTUAL
SAVINGS
BANKS
(N.YA STATE)

5.2
5.4
5.8
6.1
6.5

2.5
2.4
2.2
2.1
2.0

-.31
-.08
.20
.17
.37

-.24
.21
.34
.26
4 1

-.07
-.13
- . 14
-.09
-.04

9.8
8.9
9.3
9.6
10.1

6.8
7.1
7.5
7.8
8.1

2.0
1.8
1.8
1.8
2.0

.21
.25
.30
.35
.51

.29
.36
.37
.34
.28

-.08
-.11
-.07
.01
.23

10.4
11.2
12.6

8.3
8.9
10.1

2.1
2.3

.25
.80

.20
.60

05
.20

2.5

1.36

1.16

.20

•

Based on data from Federal Home Loan Bank Board and Savings Banks Associations of
New York State. Data for savings banks and S&L's include a minor amount of nonresidential commitments. S&L commitments include loans in process. Net changes
are derived directly from unrounded Vitstandiiigs levels as reported and after
seasonal adjustment by Federal Reserves. Subtotals may not add to totals because
of rounding.
\
' )




18

TABLE 12: Net Change in Mortgage Holdings

TOTAL
INCLUDING
FNMA-GNMA

TOTAL

1

FINANCIAL INSTITUTIONS
LIFE
MUTUAL SAVINGS 6
=
INSURANCE
SAVINGS
LOAN
COMPANIES
BANKS
ASSOC.

COMMERCIAL
BANKS

Not Seasonally Adjusted
20,016
23,781
24,189
21,886

18,219
21,273
19,814
16,977

4,639
6,677
5,404
2,526

3,153
2,787
2,682
1,845

7,520
9,350
9,676
10,288

2,907
2,459
2,052
2,318

r1,064
1,099
1,137
1,425

*460
566
608
948

50
50
49
125

38
106
153
160

136
223
317
486

r236
187
89
177

1,327

1,305

100
300
400
500

239
180
346

941
1,162
rl,765
2,134

25

1,542
1,330
1,351
1,485
1,749
2,083
1,817
2,091
2,074
2,187
2,604

1,044
809
844
1,050
1,281
1,575
1,409
1,727
1,754
1,958
2,504

199
140
76
65
81
165
168
228
195
224
312

Seasonally Adjusted
143
186
188
155
201
142
175
245
170
176
256

482
322
385
631
777
1,055
983
1,103
1,189
1,427
1,704

220
161
195
199
222
213
83
151
200
131
232

498
521
507
435
46Q
508
408
364
320
229
100

-33
24
1,261
225
283
-87
1,425
217
445
n.a.
rl|774
380
r488
2,034
453
Monthly data for commercial banks based on Federal Reserve estimates benchmarked
to Call Report data on real estate loans outstanding as available. Other data
derived from mortgage debt outstanding as reported separately by National Assn.
of Mutual Savings Banks, Federal Home Loan Bank Board, Institute of Life Insurance
and, through August 1968, the Federal National Mortgage Association, and thereafter by FNMA and the Government National Mortgage Association. Data for mutual
savings banks and for Life Insurance companies may differ somewhat from those
derived from regular quarterly series because of minor conceptual differences for
which adjustments are not made in the monthly series. Altogether, these groups
accounted for 87 per cent of the net increase estimated for all holders in 1970.
1,760

1,793




19

TABLE 13: Net Increases in Mortgage Debt Outstanding

Billions of dollars, SAAR QUARTER

TOTAL

RESIDENTIAL 3

1- to 4FAMILY

MULTIFAMILY

COMMERCIAL

MULTI-AND
COMMERCIAL

FARM

8.2
6.0,

1.8

7.3
8.4

1.8

2.2

1966 - II
IV

18.6
15.1

10.9
9.1

8.3
7.0

2.6
2.1

5.5
4.1

1967 - I
II
III
IV

15.9
20.7
26.6
27.3

10.3
13.9
19.2
19.8

7.0
10.5
15.3
16.0

3.3
3.4
3.9
3.8

3.9
5.0
4.9
4.8

8.4

2.8

9.4
9.2
10.2
11,1

2.3
2.2
1.8
1.8

6.2

10.4
10.1

2.2

1.5
1.5
2.0
2.3

8.8

1968 - I
II
III
IV

27.7
26.2
26.0
29.6

19.0
18.2
17.7
20.2

15.8
15.0
14.1
16.4

3.1
3.2
3.4
3.8

6.4
5.9
6.5
7.5

1969 - I
II
III
IV

31.3
28.9
26.5
25.1

25.0
21.5
19.3
18.3

18.6
16.8
14.6
13.0

4.4
4.7

tl

5.2

1:1

IS:?

1970 - I
II
III P
IVp

20.3
23.4
28.5
30.3

13.8
16.9
21.0
21.4

8.8
11.5
15.0
15.1

5.0
5.4
6.0
6.3

5.0
5.0
5.5
6.6

9.8
9.8
11.5
12.9

1.8
2.5

2.2

l:i

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




20
TABLE 14: FNMA Weekly "Auction" Results

WEEK
ENDED

COMMITMENTS IN $ MILLIONS
IMPLICIT YIELD2(per cent)
ACCEPTED
TOTAL
1-YEARN
TOTAL
90901-YEAR 1
66OFFERED
& OVER
MONTH & OVER
DAY
DAY
MONTH

Jan. 25

44.6

35.5

--

7.83

7.96

-

8

23.4

23.3

9.9
10.6

25.6

Feb.

12.7

—

7.67

7.67

—

Mar.

1
15
29

186.0
193.5
122.5

51.8
74.0
66.9

15.2
17.9
36.7

29.3
41.2
26.3

7.3
14.9
3.9

7.43
7.33
7.32

7.43
7.45
7.44

7.56
7.55
7.54

Apr. 12
26

126.9
687.2

54.5 39.8
9.4
313.9 154.0 126.6

5.4
33.4

7.32
7.43

7.45
7.54

7.53
7.57

236.8 145.8
151.6 44.6

19.7
22.6

7.57
7.95

7.68
7.97

7.74
8.03

May
May

10
24

1,168.0
785.7

71.3
84.4

\

Note: Under the FNMA auction system, approved sellers of Governmentunderwritten mortgages bid for FNMA forward purchase commitments,
Bids
accepted by FNMA. are for delivery at the seller's option, and at any
time within the specified period. Bids on proposed homes relate to
construction not yet started on which mortgages may be delivered only
after completion and occupancy.
1 . For "proposed construction" of new homes only.
2

j Average secondary market yield after allowance for commitment fee and

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




21
TABLE 15: Private Housing Starts and Permits
_L

STARTS
SEASONALLY ADJUSTED
ANNUAL RATE
TOTAL 1-FAMILY 2 OR MORE

1970 - Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.

Nov,
^ D e c .

1971

Jan.
Feb.r/
M a r r/
Apr. e/

UNADJUSTED
TYP E OF FINANCING
VA
OTHER

708
1.392
1,224
697
728
1,242
835
1.393
1,603
827
838
1,425
881
1,509
890
1,583
934
1,693
2,054 1,240

684
527
514
558
776
587
627
693
759
814

114.7
128.4
125.0
135.2
,140.8
128.7
130.9
140.9
126.9
121.4

1,725
946
1,754
985
1,950 1,045
1,903 1,081

779
769
905
822

110.6

102.2

167.2
200.4

25.2
32.4
37.1
40.7
43.4
34.1
34.3
40.4
33.7
63.2

4.8
5.4
5.2
5.1
5.3
5.6
5.3
5.8
5.5
5.7

32.3 4.6
27.3 4.7
33.4 6.9
44.6 8.4

BUILDING
PERMITS
(SEASONALLY
ADJUSTED
ANNUAL
RATE)2

84.7
90.6
80.8
89.4
92.1
87.7
91.3
94.7
87.2
52.5

1,085
1,177
1,309
1,285
1,309
1,378
1,388
1,523
1,487
1,768

72.8
68.4
124.0
147.4

1,635
1,563
1,627
1,618

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




22
TABLE 16: Mortgage and Bond Yields *

FHA
MORTGAGES'
DATE
30-YEAR

CONVENTIONAL
MORTGAGES
3

SPREAD BETWEEN
YIELDS ON NEW
CORPORATE BONDS
AND
FHA MORTGAGES

6.79
6.15
8.75
6.91

1.20
.26
1.08
-.13

8.60
8.30

.10
.74

9.11
7.80

.99
.01

8.50
8.45
8.30

,47
.45
-<.10

8.63
8.34
7.80

.34
.56
.60

7.95
7.75
7.60

,a.
n,

7.24
7.28
7.46

n.a.
n.a.
-.14,

7.52
6.78
8.62
7.99

7.40
6.75
8.35
7.55

1970 - High
Low

9.29
8.40

1970 - Oct.
Nov.
Dec.

8.97
8.90
8.40

1971 - Jan.
Feb.
Mar.

--

7.32

NEW
Aaa CORPORATE
BONDS
4

. 02
.27
.13
.40

1968 - High
Low
1969 - High
Low

—

SPREAD BETWEEN YIELDS
ON CONV. &
FHA MORTGAGES

• -,

* &#

28

l

Neither mortgage nor bond yields include allowance for servicing costs which are
much higher for mortgages than for bonds. Generally, bonds pay interest semiannually; mortgages, monthly. Mortgage yields, if computed as equivalent to
a semi-annual interest investment, would be slightly higher than given in the
table.

2

Based on FHA-field-office opinions about average bid prices in the private
secondary market for new-home mortgages for immediate delivery. Data shown
are for 36-year mortgages with minimum downpayments, and weighted by probable
volume of transactions. Yields computed by FHA, assuming prepayment period
of 15 years for 30-year mortgages. Dashed lines indicate periods of adjustment to changes in contractual interest rates.

3

Based on FHA-field-office opinion on typical interest rates (rounded) on conventional first mortgages prevailing in the market areas of insuring officecities.

4

See note for Table 1.




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

DATE

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

1

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

]
LOAN
AMT.
($000)
4

1970
8 .29
8 .24
8 .28
8 .31
.32
8,
.35
8,
.31
8,
.33
8.
,26
8.
8.,20

1.11
1.02
0.98
0.99
1.01
0.98
1.03
1.05
0.99
1.07

8 .47
8 .41
8 .45
8 .48
8 .49
.52
8,
.48
8.
.51
8.
.43
8.
8.,38

25 .0
2 4 .8
25,
.3
25,
.1
25,
.1
24..8
25.,2.
25.,1
25.,3
25. 8

71 .1
71 .3
71 .7
.3
71,
71,
.5
71,
.6
72,
.7
72.
.4
72.
il
73. 8

25.1
24.5
25.3
25.6
24.9
25.5
25.3
24.8
25.2
25.8

8 .26
8 .19
8 .18
8 .19
.21
8,
.25
8,
.27
8,
.20
8.
.18
8.
8.,12

0.98
0.90
0.94
0.98
0.95
0.89
0.88
0.88
0.85
0.85

8 .43
8 .34
8.34
8 .36
8.37
.41
8,
8 .42
.35
8,
.32
8.
.26
8.

22 .6
22,
.7
22 .8
23,
.0
23,
.1
23..1
22,
.8
22..8
22..7
23. 3

70.4
70.2
70.3
71.5
71.5
71.5
71.7
71.5
71.5
71.9

20.6
20.4
21.1
21.5
21.7
21.4
21.0
20.5
21.1
21.7

1971
^Jan.
8. 03
Feb
7. 7 4
Mar.r/ 7. 52

0.92
1.00
0.83

8. 18
7. 91
7. 66

25. 8
26. 2
25. 9

73. 3
73. 9
73. 7

26.4
26.2
26.0

7. 9 4
7. 67
,47
7.

0.82
0.79
0.77

8.,08
7. 80
,60
7.

23. 5
24.0
24. 1

72.5
73.1
73.5

22.0
22.5
23.0

,36
Apr. 2./ 7.

0.74

.48
7,

26. 4

73. 7

26.5

.35
1.

0.74

7. 47

24.,1

73.5

23.0

Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

l.
-

Compiled by Federal Home Loan Bank Board in cooperation with Federal Deposit Insurance
Corporation. Data are weighted averages based on probability sample survey of characteristies of conventional first mortgages originated by major institutional lender
groups (including mortgage companies) for purchase of single family homes. Data exelude loans for refinancing, reconditioning or modernization; construction loans to
home-builders; and permanent loans which are coupled with construction loans to ownerbuilders. Related series on conventional mortgage rates only, based on unweighted
opinions of field-office directors of the Federal Housing Administration, are available
somewhat sooner than the results of the FHLBB-FDIC survey, and are included-in the case
of new home mortgage r a t e s — i n Table 16.

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

4

Derived by FRB.

•




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i
:

•
:

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I

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|
|
|
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y
§
§

&

Fees and charges—expressed as a percentage of the principal mortgage amount--include
loan commissions, fees, discounts, and other charges which provide added income to the
lender and are paid by the borrower. They exclude any closing costs related solely to
transfer of property ownership.

3

1

|
i

'

2

;

$
|
|
•

.?

|
|

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