Full text of H.16 Capital Market Developments : March 20, 1972

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

DECONTROLLED AFTER SIX

MONTHS
March 20, 1972

CAPITAL
MARKET
DEVELOPMENTS

Capital
Section, Oivieien •< Research w i StetitHct,
Beeri ef C t w w i n ef * e Fe*rd Reserve System, Weihinfte*. D C




INDEX
3-5

Developments in the Corporate and Municipal Bond Markets

6-7

Capital Market Yields

8-13

Capital Market Volume

14-17

Stock Market

18-33

Mortgage Market

SYMBOLS:
e

Estimate

p

Preliminary

r

Revised

n.a.

Not available




TABLE 1: Yields, Volume and Reception

WEEK ENDING:

YIELDS
MOODY'S
SEASONED
1
NEW ISSUE
Aaa

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

1972 - Feb.

4
11
18
25

7.22
7.30
7.10
7.11

7.25
7.29
7.28
7.26

285
655r
560r
223

77
79r
69r
70

n.a.
n e 3e
n.a.
n.a.

Mar.

3
10
17
24

7.16
7.12
.7.14
n, a.

7.25
7.24
7.22
n.a.

409
281
385
400e

98
89e
82e
n.a.

n.a.
n# a *
n.a.
n.a.

1972 - F eb.

4
11
18
25

YIELDS
MOODY'S
BOND BUYER
SEASONED 20
SEASONED
Aaa
BOND INDEX
5.10
5.35
5.00
5.27
5.00
5.24
4.95
5.28

Mar.

3
10
17
24

5.00
4.98
5.00
n.a.

WEEK ENDING:

5.29
5.18
5.32
n.a.

MUNICIPAL BOND MARKET
VOLUME 2
PER CENT
GROSS
SOLD BY END
OF WEEK
OFFERINGS
214
87
667
84
380
80
464 .
81
481
640
542
392

86
77
59
n.a.

BONDS SCHEDULED
WITHIN 28 DAYS
1,098
1,080
1,504
1,560
1,071
998
957
n.a.

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

See footnotes to Table 3




TABLE 2: Details on Inventories
DATE
_OFFERED

1

3/9
3/8
3/8
3/15
3/15
3/16

AMOUNT
(MIL. $)
70.0
35.0
60.0
25.0
50.0 .
70.0

DATE
OFFERED

CORPORATE BONDS IN SYNDICATE END OF LATEST WEEK
ORIGINAL
RATING AND
ISSUER
YIELD CALL PROTECTION
COUPON
First Bank Sye.
Wilson-Sinclair
Arizona Pub Serv
Kansas G & E
Columbia Gas
Western Union

6.75
7 7/8
7.45
7 3/8
7 1/2
7.90

6.75
7.96
7.45
7.35
7.45
7.90

N.R.
Baa
Aa
Aa
A
Baa

7
10
5
5
5
10

yrs
yrs
yrs
yrs
yrs
yrs

ESTIMATED PROPORTION SOLD
80%
90%
80%
35%
35%
75%

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

NONE

DATE
1972 - Feb. 18
25
Mar.

INVENTORIES 1
MUNICIPALS
BLUE LIST
|
IN SYNDICATE
773
765

135
170r

CORPORATES
IN SYNDICATE
133
194

3
715
140
27
10
724
196
31
17
782
301
95e
N.C. - No call protection.
1
All figures in millions of dollars. Blue List is daily average for week ended Friday,except for latest week
which is daily average of three days ended Wednesday. All other figures are as of Friday.




TABLE 3: High Grade Bond Yields

NEW
CORPORATE
Aaa 1

MOODY'S SEASONED
CORPORATE

U.S. GOVERNMENT
20-YEAR
CONSTANT
MATURITIES 3

BOND
BUYER'S
SEASONED
MUNICIPALS A

69 - High
Low

8.85 (12/26)
6.90 (2/21)

7.84 (12/26)
6.55 (1/12)

6.97 (12/26)
5.96 (1.24)

6.90 (12/18)
4.82 (1/28)

70 - 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)

71 - 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)

72 - Feb.

11
18
25

7.30
7.10
7.11

7.29
7.28
7.26

6.10
6.05
6.02

5.27
5.24
5.28

Mar.

«3
10
17

7.16
7.12
7.14

7.25
7.24
7.22

6.02
6.02
6.07

5.29
5.18
5.32

1

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




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

CORPORATE 1

PERIOD

1971

1970

2,732
1,851
2,258

1,340
1,214
1,555

3,170
3,909
3,389

1,891
2,167
2,013

1,647
996
1,085

4,147
2,532
3,768

2,768
2,274
2,518

1,989
1,903
2,098

1,348
1,359
1,758

3,387
3,704
3,673

2,777
4,182
3,980

1,728
2,264
2,068

1,924
1,748
2,190

12,190
11,688
10,447
10,764

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

6,841
6,081
5,990
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

1972

1971

1970

3,151
3,425e

3,115
3,000
6,075

2,636
1,802
3,539

April
May
June

4,042
3,271
4,375

July
August
September
October
November
December

January
February
March

1st
2nd
3rd
4th

Quarter
Quarter
Quarter
Quarter

1st half
Three quarters
Year

1
2

1972
1,762
. l,900e

Securities and Exchange Commission estimates of gross proceeds.
Investment Bankers Association of America estimates of principal amounts.




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

QUARTER
OR
MONTH

l

TOTAL

GROSS PROCEEDS BY
TYPE OF ISSUE
COMMON
BONDS
AND
MEMO:
ISSUES INCLUDED
PUBLICLY PRIVATELY PFD.
OFFERED
PLACED
STOCK
FOREIGN | CONVERTIBLE
8,369
1,516
2,306
84
724
6,546
1,758
3,384
215
1,351
4,725
1,641
4,079 . 114
652
5,135
2,439
3,193
133
767

GROSS PROCEEDS BY
TYPE OF ISSUER
PUBLIC
UTILITY

COMMUNICATIONS

OTHER
ISSUERS'

3,794
3,130
2,202
2,453

3,197
2,910
2,651
3,041

1,606
896
2,263
1,053

3,594
4,753
3,331
4,164

99
169
557

716
661
2,417

676
1,069
1,452

391
683
532

1,332
587
1,675

MFG.

- I
II
III
IV

12,190
11,688
10,447
10,764

- Jan.
Feb.
Mar.

3,115
3,000
6,075

2,033
2,201
4,135

594
275
647

489
524
1,293

43
3
38

Apr.
May
June

4,042
3,271
4,375

2,116
2,]%8
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

July
Aug.
Sept.

4,147
2,532
3,768

1,331
1,428
1,966

619
416
606

2,196
687
1,196

72
34
8

199
160
293

582
474
1,146

732
849
1,070

1,622
359
282

1,210
850
11,271

Oct.
Nov.
Dec.

3,387
3,704
3,673

1,942
2,003
1,190

723
433
1,283

723
1,269
1,201

59
62
12

222
395
150

662
811
960

933
1,217
891

432
269
352

1,360
1,408
1,450

3,151
- Jan.
Feb. e/ 3,425

1,767
1,825

552
550

829
1,050

59

254
378
529
750
75
1,075
Other issuer*? are extractive, railroad and other transportation, real estate
and finance, and commercial and other.
•Source: Securities and Exchange Commission. Quarterly supplements are available.

749
375

1,496
1^225




,

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

ISSUER

TYPE 2

AMOUNT
(MILLIONS
OF
DOLLARS)

Feb. 28 thru March 17. 1972
COUPON
MOODY'S
OFFERRATE OR
RATING
ING
NET INTERYIELD
EST COST

MATURITY

Corporate
New Eng Tel & Tel Co
Metropolitan Edison
Texas Eastern Transmission Corp
Texas Eastern Transmission Corp
Union Commerce Corp
GMAC
Indianapolis Pwr & Lt
Cousin Mtg & Equity Inv
Midland Enterprises Inc
Toledo Edison
Atico Mtg Investors
NCNB Corp
Chrysler Financial
First Bank Systems Inc.
Citizens & Southern Corp
Arizona Pub Serv Co
Wilson-Sinclair Co
Hamilton Bros. Exploration Co
Duquesne Light
Jersey Central Pwr & Lt. Co.
Pfizer, Inc
Public Svc of Okla
Baker Oil Tools
Columbia Gas System
Kansas Gas & Elect
Kansas Gas & Elect
First Wise Nat'l Bank of Mil.
Western Union
San Diego Gas & Elect




Com stk
53.5
Pref stk
35.0
1st mtg
60.0
Com stk
42.3
Debs
25.0
Debs
200.0
Bonds
40.0
Debs
30.0
1st ship mtg ,22.5
Cm stk
18.0
20.0
Debs
30.0
Debs
Debs
60.0
Debs
70.0
Conv debs
15.0
1st mtge
60.0
Debs
35.0
30.0
Comm stk
35.0
Pref stk
25.0
Pref
Con deb
100.0
30.0
Bonds
20.0
Debs
Bonds
50.0
15.0
Pref
25.0
Bonds
20.0
Notes .
70.0
Debs
Pref
15.0

--

•

——

--

--

--

1992

7.80

7.80

——

——

1997
1995
2002
1982
1992

7 7/8
7 1/4
7.40
6 1/2
7 7/8

--

1982
1992
1997
1979
1992
2002
1997
--

—*

7.88
7.31
7.40
6.50
7.90

-1

.

6 3/4
7.70
7 5/8
6 3/4
5 3/4
7.45
7 7/8

1997
2002
1997
1997
•

—

2002
1980
1997
--

—

Aa
--

Baa
-—
--—
--

A
Baa
—

--

7.85
4.00
7.38
7.80
7.50q
7.43
7.38
6.80
7.90

--

--

6.75
7.70
7.65
6.75
5.75
7.45
7.96
--

—

Baa

7.75
4.00
7.38
7.80
7.45
7.35
7.35
6.80
7.90

--

Baa
A
Aa
Baa
A
Aa
Aa
w

-

Baa
--

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

1
ISSUER

TYPE

2

AMOUNT
(MILLIONS
OF
DOLLARS)

MATURITY

COUPON
1
RATE OR
OFFER NET INTER- !
INC
EST COST J YIKLD

MOODY'S
RATING

State and Local
Passaic Valley Swr Comm.
Passaic Valley Swr Comm
Minneapolis St. Paul Metro Area
Metro Council, Minn.
\1 Anchorage, Alaska
Metro Wtr Dist., So. Cal.
Newark, N.J.
Washington, State of
Washington, State of
Triborough Bridge & Tun. Auth N.Y.
Nassau Co., N.Y.
New Britain, Conn.
New Britain, Conn.
Suburban Erie Bldg Auth
Texas, State of
Texas, State of
Dallas-Ft. Worth Reg Airport, Tex.
Dallas-Ft. Worth Reg Airport, Tex.
Philadelphia Sch Dist, Pa.
Jersey City, N.J.
Jefferson Co. Sch. Dist, Colo.
HAA
New Jersey Mtg Finance Agency
Erie Co, Pa Sub Bldg Auth
Lubbock, Tex.
Washington State Bd Coram Coll Ed
Onondaga Co. N.Y.
San Gabriel Valley Mun Wtr Dist,
Calif




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

7.5
16.2
33.7
10.0
100.0
15.0
10.0
20.0
75.0
52.2
3.9
8.9
20.3
27.5
12.5
97.0
15.0
40.5
12.8
22.0
224.8
30.0
20.3
12.0
10.0
11.4
17.5

1974-1991
2006

6.00
6.00

1975-1997
4.93
1974-1990
5.73
1983-20116,22 5.38
——
1973-1992
1973-1992
4.73
1973-1997
5.30
1977
4.19
1973-2002
4.92
1973-1997
4.98
1973-1992 .4.67
** —
1973-1987
1980-96
4.04
2011
4.04
2002
6.28
1979-1986
6.28
1974-97
6.61
—
1973-2003
4.83
1972-2012
4.90
1973-1982
4.53
1972-1987
1973-1992
4.43
1974-2002
5.20
1
1973-2000

--

1975-2002

5.16

3.30-5.80
6.10
3.20-5.20
3.35-6.00
5.10-5.35
3.50-6.75
2.60-5.10
2 .80-5.506(5 .75
4.00
2.70-5.50
2.70-5.20
2.70-5.20
—

Baa
Baa
Aa
Baa
Aa
Baa
Aa
A
A
A
——
-«• —

3.90-5.20
N.R.
6.20
4.75-5.75
4.00-6.90
3.50-6.60
2.70-5.10
2.40-5.00
3.00-4.60
2.60-5.35
2.50-5.60
3.00-5.70
2.75-5.00

Aaa
Aaa
Baa
Baa
Baa
Baa
A
Aaa

3.20-5.70

A-l

--

A

Aaa

TABLE 6: Large Long-term Rubric Security Issues for New Capit.il (continued)
(Other than U.S. Treasury)1
Feb. 28, thru Mar. 17, 1972
ISSUER

TYPE '

AMOUNT
(MILLIONS
OF
DOLLARS)

MATURITY

COUPON
|
RATE OR
• OFFERNET INTERi;x
EST COST J YIELD.

MOODY'S
RATING

State & Local
New Orleans, La.
New York State
Los Angeles Department
LOB Angeles Department
Puerto Rico
Greater Chicago Metro San
Diet, 111.
Baltimore, Md.
Mass House Finance Agency
Spring Branch IDS, Tex
Penna State Pub Sch Auth
Ohio, State of
University of Texas
Allegheny Co., Pa.

Bonds
G.O,
Elec Rev
Elec Rev
G.O.

11.0
39.2
20.5
19.5
50.0

1973-1996
1974-2022
1978-1997
2012
1974-1997

4.,86
5. 12
5.,29
5.,43
5,,22

G.O.
G.O.
Rev
Sch-Ref
G.O.
G.O.
Rev.
G.O.

20.0
35.0
20.0
17.0
59.0
46.0
50.0
28.0

1974-1992
1973-1991
1973-2012
1974-1999
1972-2009
1973-1992
1974-2002
1973-2002

4,,85
5.,00

2.90-5.25
3.00-5.50
3.85-5.25
--

3.20-5.80

'

5,,09
5,.61
4,,70
5.,21
5,.18

3.10-5.70
2.90-5.75
2.70-6.00
2.80-5.30
2.50
2.10-5.00
2.90-5.40
2.90-5.50

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

Rights offering.
Includes corporate and other security offerings of $15 million and over;
State and local security offerings of $10 million and over.
In case of State and local government securities, G.O. denotes general obligation;
Kev.-Ut., revenue obligations secured only by income from public utilities;
Rev.-Q.-Ut., 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.
Includes foreign government and International Bank for Reconstruction and
Development issues and non-guaranteed issues by Federal Agencies.




&

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

ISSUER

TYPE

AMOUNT
(MILLIONS
OF
DOLLARS)

APPROXIMATE DATE
OF OFFERING

Corporate
Ohio Edison
American Express Credit
Old Stone Mtg & Realty Tr
ITT Thorp Corp
Union Elect
First & Merchants Corp
Fruehauf Finance Co
Tuscon Gas & Elefct
U.S. Leasing Corp
New England Mutual Life InsCo
Fischbach & Moore, Inc
Pub Svc Elect & Gas
New England Tel & Tel Co
Federated Dept Stores
Harris-Intertype Corp
Pacific Gas & Elect
Atlantic City Elec Co
So. Natural Gas
Northern Ind. Pub Service Co
Instutional Investors Trust
Ohio Power
Nat'l Bank of Detroit
First Security Mtg Inv.
Laclede Gas Co
St. Regis Paper
MGIC Investment Corp
U.S. Ban Corp RE & Mtg Trust
Mississippi Power
Public Svc Elect & Gas
Larwin Mtg Inv
Public Svc Elect & Gas
Arkansas Pwr & Light
Consolidated Edison of N.Y.
N W Bell Tel
Monogahela B?r
Gen'l Tel Co of Pa.
McCulloch Prop Credit
Peoples Gas Lt & Coke
Duke B*r
Mobil Oil Corp




Pref
Debs
Conv deb
Debs
Cm st
Debs
Debs
1st mtg
Debs
Deb
Debs
Pref
Notes
Debs
Debs
Pref
1st mtg
Debs
1st mtg
Conv deb
1st mtg
Debs
Debs
Bonds
Conv deb
Conv deb
Debs
Debs
1st mtg
Debs
Pref
1st mtg
Debs
Debs
Debs
Debs
Debs
1st mtg
Bonds
Debs

36.0
70.0
15.0
35.0
55.0
25.0
50.0
25.0
15.0
50.0
25.0
50.0
100.0
50.0
15.0
50.0
20.0
60.0
50.0
30.0
25.0
50.0
25.0
22.0
60.0
50.0
25.0
25.0
125.0
25.0
15.0
35.0
150.0
' 150.0
30.0
16.0
30.0
40.0
100.0
300.0

March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
March
April
April
April
April
April
April
April
April
April
April
April
April
Indef

21
21
21
21
21
21
21
21
21
21
21
22
22
22
23
23
27
28
28
28
28
28
29
29

4
4
4
5
6
8
10
11
12
12
12
18

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

ISSUER

TYPE

'

AMOUNT
(MILLIONS
OF
DOLLARS)

As of March 17, 1972
APPROXIMATE DATE
OF OFFERING

State and Local
Suffolk Co. N.Y.
Newport News, Va„
Pennsylvania, State of
Georgia Education Auth
Minnesota, State of
Sacramento MUD, Cal
Indianapolis, Ind.
Arlington Co, Va.
Stamford, Conn.
Akron, Ohio
California, State of
Dade Co Sch Bd, Fla
Orlando, Fla
West Virginia, State of
Buffalo
Delaware River Port Auth, N.J.
Coral Gables Fla
Los Angeles Co Flood Control
Dist, Calif
University of Calif (Berkeley)
New York City, N.Y.

•¥•

G.O.
G.O.
G.O.
Ken-Rev
G.O.
G.O.
Bonds
CkO.
G.O.
G.O.
G.O.
Ref & Rev
Rev
G.O.
G.O.
G.O.
G.O. & Rev

25.4
10.0
50.0
17.0
60.0
28.0
10.0
25.0
26.9
10.0
40.0
13.0
10.7
40.0
35.1
160.0
21.2

March
March
March
March
March
March
March
March
March
March
March
March
March
March
April
April
April

21
21
21
21
22
22
22
22
23
27
28
28

G.O.
Rev.
G.O.

27.0
11.7
255.3

April
April
April

11
11
11

TrinliirloH in faKl o f r* F1 V C t*

28
29
4
5
11

+» 4 n-tzt

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




TABLE 9: Security Credit

END OF PERIOE

CREDIT EXTENDED TO
MARGIN CUSTOMERS BY:
BROKERS 1 | BANKS 2 J TOTAL

CUSTOMERS'
NET DEBIT
BALANCES

13
NET CREDI'J
CUSTOMERS' NET EXTENDED I
FREE CREDIT
BROKERS M
DEALERS
BALANCES

Outstanding:

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

'•

4,000
4,090
4,300
4,530
4,620
4,720
4,790
4,850
4,930
4,950
4,910
5,400

2,300
2,330
2,360
2,340
2,340
2,390
2,420
2,430
2,430
2,410
2,400
2,440

6,300
6,420
6,660
6,870
6,960
7,110
7,210
7,280
7,360
7,360
7,310
7,840

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

2,452
2,743
2,798
2,660
2,550
2,440
2,210
2,200
2,100
2,160
2,170
2,220

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

5,700

2,490

8,190

(4)

2,488

(4)

-30
90
210
230
90
100
70
60
80
20
-40
490

r30
30
30
-20

-20
-10
40

-60
120
240
210
90
150
100
70
80
--50
530

300

50

350

Change in
Outstanding:
1971 - jan.
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1972 - Jan.

—

50
30
10
—

—
—
—
—
—
-—
—
—

—
——
—

291
291
55
-138
-110
110
230
-10
100
60
10
50

—

--—
—

.

—
—
—
—
—
--

268

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




TABLE 10: Savings Flows at Nonbank Depositary Intermediaries
($ millions)

DATE

MUTUAL SAVINGS BANKS
REGULAR DEPOSITS 3
NET
ANNUAL
NEW
MONEY 2
GROWTH
NET
FLOW
RATE 1

SAVINGS & LOAN ASSOCIATIONS
SHARE CAPITAL
NET
ANNUAL
NEW
NET
. GROWTH
MONEY 2
FLOW
RATE 1

TOTAL
DEPOSITS
ANNUAL
NET
GROWTH
RATE 1
FLOW

NET
NEW
MONEY 2

Not Seasonally Adjusted
1969
1970
1971 £ /

2,549
4,517
9,623

December
1971 - January
February

1,218
791
906

December
1972 - January
February e/

1,180
850
800

1971

August
September
October
November
December j>/

1972 - January £/
February e/
1
2
3

4.0
6.8
13.5

-.

""
-~
--

-763
936
5,678

4,068
10,965
28,244

376
637
811

2,773
2,609
2,444

325
n.a.

539
683
599
659.
836

8.4
10.5
9.1
10.0
12.5

--

942
730

14.0
10.7

——

----

—

3.1
8.1
19.4

-1,003
5,285
20,652

6,617
15,482
37,867

1,161
2,476
2,340

3,991
3,383
3,350

3,135
1,168
—
2,700
3,116
2,650
-n.a.
Seasonally Adjusted
——
1,529
11.2
-2,125
15.4
2,071
14.8
—
1,710
12.1
2,031
14.2
--

4,315
3,550
3,450
2,068
2,808
2,670
2,369
2,867

10.3
13.8
13.0
11.4
13.7

4,117
2,787

5,059
3,517

23.8
16.2

--

28.4
18.8

--

3.4
7.7
17.5

--

-1,766
6,231
26,330

1,537
3,113
3,151
1,493
n.a.
——
——
——
-—

--

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

DATE

TOTAL

NET CHANGE
ALL
SAVINGS &
LOAN
ASSOCIATIONS

MUTUAL
SAVINGS
BANKS
(N.Y. STATE)

(Billions of Dollars, Seasonally Adjusted)
1970 - Jan. r/
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.

10.5
11.3

1972 - Jan.

l

8.4
9.0

2.1

16.6
16.6

13.1
13.2
13.2
13.1
13.2
13.1

2.3
2.5
2.7
3.0
3.1
3.1
3.1
3.2
3.3
3.4
3.6

17.0

13.3

3.7

12.6

10.1

13.7
14.5
15.9

11.6
12.8

16.2

16.3
16.4
16.1

11.0

.25
.76

1.28
1.15
.90
1.31
.30

.12

.08
.02
.20

.19

.07

1.11

.17
.25
.34
.05

.60
.90
.56

1.26

.29
.14
-.07
-.05

.09

.08
-.06

.30

.12

.16

.01
-.01
.14
.07

.12
.15

.18

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. New changes are derived directly from unrounded outstandings levels as reported and after seasonal adjustment by Federal Reserve. Subtotals may not add
to totals because of rounding.




TABLE 12: Net Change in Mortgage Holdings 1

DATE

TOTAL
INCLUDING
FNMA - GNMA

TOTAL

FINANCIAL INSTITUTIONS
LIFE
MUTUAL
SAVINGS &|
INSURANCE
SAVINGS
LOAN
COMPANIES
BANKS
ASSOC.
Not Seasonally Adius ted

COMMERCIAL
BANKS

FNMA-GNMA

23,796
23,867
21,945

21,288
19,492
17,035

6,677
5,404
2,462

2,798
2,533
1,956

9,344
9,572
:
10,254

2,469
1,983
2,363

2,508
4,375
4,910

- Oct.
Nov.
Dec.

3,731
3,593
4,616

3,275
3,246
4,327

900
800
700

331
473
596

1,979
1,941
2,338

65
39
693

456
347
289

- Jan.
Feb.

n.a.
n.a.

n.a.
n.a.

600
500

n.a.
n.a.

1,434
n.a.

n.a.
n.a.

n.a.
n.a.

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

2,033
2,184
3,005
3,057
3,300
4,136
4,186
4,168
3,924
3,657
3,647
4,325

2,043
2,219
2,983
3,113
3,260
3,935
3,878
3,656
3,458
3,267
3,345
4,083

394
475
690
685
864
1,219
977
901
902
884
752
826

200
217
401
293
318
386
374
400
306
329
465
522

1,348
1,426
1,801
2,082
2,036
2,309
2,455
2,252
2,122
1,977
2,058
2,357

101
101
91
53
42
21
72
130
128
77
77
378

-10
-35
22
-56
40
201
308
512
466
390
302
242

- Jan.
Feb.

n.a.
n.a.

n.a.
n.a.

788
654

n.a.
n.a.

1,794
n.a.

n.a.
n.a.

n.a.
n.a.

Seasonally Adlusted

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




17

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

1

TOTAL

RESIDENTIAL 3

1- to 4FAMILY

MULTIFAMILY

COMMERCIAL

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
IV

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

- Ir
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
nip
Hp

37.1
47.8
53.7
52.1

26.6
36.1
40.6
40.4

18.5
26.4
30.7
31.0

8.1
9.7
9.9
9.5

8.3
9.4
10.8
9.3

16.3
19.1
20.7
18.7

2.2
2.3
2*3
2.4

QUARTER

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.




TABLE 14: FNMA Weekly "Auction" Results
IMPLICIT YIELD 2 (per cent)
COMMITMENTS IN $ MILLIONS
ACCEPTED
3-4
1-YEAR 1
61-YEARN months
6TOTAL
TOTAL
3-4
& OVER
MONTH
OFFERED
3/
mo. 37 MONTH' & OVER

WEEK
ENDED
- Oct.

365.1
219.8

194.8
103.6

194.8
103.6

—
—

--

1
15
29

126.0
145.3
210.6

56.4
102.0
101.1

56.4
102.0
101.:L

—
--

——

13
27

232.5
222.7

70.2
148.1

70.:2
148. 1

72.9
54.9

72. 9
54. 9

—
-

63. 9
44. 8

63.9
44.8

—
—

50.6

50.6

4
18

Nov.

1
Dfec.

.

1972 - Jan.

10
24

136.9
103.6

Feb.

7
21

88.7
68.6

6

86.9

Mar.

1

--

—
--—

7.85
7.83
7.77
7.70
7.66
7.62
7.62

—

7. 61
7.61

—

7.61
7.61

—

7.56

——

1

—

Note: Under the FNMA auction system, approved sellers of Governmentunderwritten mortgages bid for FNMA forward purchase commitments.
1.

For "proposed construction" of new homes only.

2.

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

3.

Short-term commitments converted from a 3 to a 4 month basis beginning
October 18, 1971.




19
TABLE 15: Private Housing Starts and Permits
STARTS
UNADJUSTED
TYP E OF FINANCING
FHA VA
OTHER

BUILDING
PERMITS
(SEASONALLY
ADJUSTED
ANNUAL
RATE) 2

SEASONALLY ADJUSTED
ANNUAL RATE
TOTAL 1 -FAMILY 2 OR MORE

TOTAL

Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec. r/

1,794
1,938
1,951
2,046
2,008
2,091
2,219
2,029
2,038
2,228
2,457

n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
1,242
1,347

n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
n.a.
985
1,110

102.2
167.9
201.1
198.5
193.8
194.3
204.5
173.8
179.7
172.2
149.6

27.3
33.5
44.6
40.7
46.1
42.9
45.8
48.3
38.5
47.2
85.4

4.7
6.9
8.5
8.4
9.3
9.2
9.4
8.7 .<
8.1
9.1
7.4

70.2
127.6
148.0
149.4
138.4
141.1
147.0
116.8
133.1
115.9
56.8

1,563
1,627
1,638
1,927
1,849
2,052
2,006
1,900
2,173
1,952
2,292

Jan. r/
Feb. £/

2,471
2,678

1,410
1,315

1,162
1,363

148.4
151.5

37.4
n.a.

7.5
8.0

198.6
n.a.

2,105
2,112

DATE

1

Total starts are Census estimates including farm for both permit-issuing and
noi.-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 beencompleted. 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.
2 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.




20 '

.
TABLE 16: Mortgage and Bond Yields
FHA
MORTGAGES
DATE
30-year

2

CONVENTIONAL
MORTGAGES
3

SPREAD BETWEEN YIELDS
ON CONV. &
FHA MORTGAGES 5

NEW
Aaa CORPORATE
BONDS
4

SPREAD BETWEEN
YIELDS ON NEW
CORPORATE BONDS
AND
FHA MORTGAGES 6

1969 - High
Low

8.62
7.99

8.35
7.55

-.13
-.40

8.75
6.91

1.08
-.13

1970 - High
Low

9.29
8.40

8.60
8.30

-.10
-.74

9.11
7.80

.99
.01

1971 - High
Low

7.97
7.32,

7.95
7.55

.28
-.19

8.01
7.24

.50
-*36

1971 - July
Aug.
Sept.

7.97
7.92
7.84

7.80
7.85
7.85

-.17
-.07
.01

7.96
7.65
7.44

,01
.27
.40

7.75
7.62
7.59

7.80
7.75
7.70

.05
.13
. 11

7.29
7.19
7.09

.46
.43
.50

Oct.
Nov.
Sec.

1972 - Jan.
7.49
7.60 .
.11
7.07
.42
1 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 313-year mortgages with minimum downpdyments, and weighted by probable
volume of tansactions. Yields computed by FHA, assuming prepayment period
of 15 years for 30-year mortgages.
3 Based on FHA-field-office opinion on typical interest rates (rounded) on
conventional first mortgages prevailing in the market areas of insuring
Office cities.
4 Seti- note for Table 1.
5 field spread equals conventional mortgage rates less FHA secondary market yield.
6 Yield spread equals FHA secondary market yield less new Aaa corporate bond
yield.




TABLE 17: Conventional Mortgage Terms

DATE

1

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

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

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

7.74
7.52
7.37
7.36
7.38
7.51
7.60
7.67
7.68
7.65
7.62

1.00
0.83
0.73
0.71
0.74
0.90
0.84
0.97
0.97
0.87
0.93

7.91
7.66
7.49
7.47
7.50
7.66
7.74
7.83
7.84
7.79
7.77

26.2
25.9
26.3
26.1
26.3
26.3
26.2
25.8
26.4
26.7
26.6

73.9
73.7
73.6
74.0
73.7
74.5
73.9
75.3
75.5
75.4
74.5

26.2
26.0
26.2
26.7
27.2
27.1
26.5
25.9
26.3
27.3
26.5

7.67
7.47
7.34
7.33
7.38
7.50
7.58
7.63
7.62
7.56
7.51

0.79
0.77
0.75
0.71
0.74
0.75
0.76
0.78
0.79
0.79
0.78

7.80
7.60
7.47
7.45
7.50
7.63
7.71
7.76
7.75
7.69
7.64

24.0
24.1
24.2
24.0
24.3
24.2
24.5
24.2
24.1
24.6
24.6

73.1
73.5
73.6
73.2
73.9
74.5
74.2
74.5
74.2
74.6
74.6

22.5
23.0
23.1
23.3
28.3
23.2
23.5
22.5
22.9
23.2
23.9

7.62
7.43

0.95
1.01

7.78
7.60

26.5
27.0

75.0
76.4

27.6
27.8

7.45
7.37

0.82
0.75

7.58
7.49

24.7
25.0

74.7
75.5

24.1
24.3

LOAN
AMT.
($000)

1971
Feb.
Mar.
Apr.
May
June
July
Aug.
Sept.
Oct.
Nov.
Dec.
1972
Jan.
Feb.

Compiled by Federal Home Loan Bank Board in cooperation with Federal Deposit Insurance
Corporation. Data are weighted averages based on probability sample survey of characteristics of conventional first mortgages originated by major institutional lender
groups (including mortgage companies) for purchase of single family homes. Data exclude loans for refinancing, reconditioning or modernization; construction loans to
home-builders; and permanent loans which are coupled with construction loans to owoerbuilders. Related series on conventional mortgage rates only, based on unweighted
opinions of field-office directors of the Federal Housing Administration, are available
somewhat sooner than the results of the FHLBB-FDIC survey, and are included-in the case
of new home mortgage rates--in Table 16.
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.
Includes fees & charges amortized over a J.0 year period in addition to the contract
interest rate.
Derived by FRB.