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Not f o r P u b l i c a t i o n

DECONTROLLED AFTER SIX MONTHS

H.lU

"

May 1 , 1961.

. v:

AP

_^ i TTflTi N

^

APvytr

DVL P E T
E E OM N S

IN THE UNITED STATES

Corporations sold large public security i s s u e s with proceeds
of $U$ m i l l i o n l a s t week, a c o n s i d e r a b l y s m a l l e r volume than i n o t h e r
r e c e n t weeks, w h i l e S t a t e and l o c a l government bond i s s u e s w i t h p a r
v a l u e of $71 m i l l i o n were s o l d . This week, ending May 5 , c o r p o r a t e
o f f e r i n g s t o t a l i n g $135 m i l l i o n a r e scheduled f o r p u b l i c s a l e w h i l e
l a r g e S t a t e and l o c a l government bond i s s u e s amounting t o #78 m i l l i o n
a r e on t h e c a l e n d a r . A $15 m i l l i o n bond i s s u e of t h e Kingdom of Norway
i s a l s o s c h e d u l e d ; t h i s i s t h e f i r s t f o r e i g n government bond o f f e r i n g
i n t h i s country t h i s y e a r .
Long-term bond y i e l d s . Changes i n y i e l d s on l o n g - t e r m seasoned
bonds c o n t i n u e d t o b e mixed l a s t week. Y i e l d s on l o n g - t e r m U. S. Government bonds d e c l i n e d f o u r b a s i s p o i n t s t o 3.77 p e r c e n t ; S t a t e and l o c a l
government bond y i e l d s were s t a b l e ; and y i e l d s on seasoned c o r p o r a t e
bonds i n c r e a s e d s l i g h t l y .
Y i e l d s on new o f f e r i n g s of c o r p o r a t e bonds i n c r e a s e d f u r t h e r
l a s t week. Two new 30-year A a - r a t e d e l e c t r i c u t i l i t y bonds were o f f e r e d
t o i n v e s t o r s l a s t week, one a t a y i e l d of it. 80 p e r c e n t and t h e o t h e r
a t it.67 p e r c e n t . The former i s s u e p r o v i d e d no s p e c i a l c a l l p r o t e c t i o n
while t h e l a t t e r had an u n u s u a l l y h i g h c a l l p r i c e . These were t h e
h i g h e s t new o f f e r i n g y i e l d s f o r such s e c u r i t i e s s i n c e December and
compared w i t h the y i e l d on t h e l a s t s i m i l a r i s s u e when s o l d in l a t e
March of it.37 p e r c e n t .
S h o r t - and i n t e r m e d i a t e - t e r m i n t e r e s t r a t e s . Y i e l d s on s h o r t and i n t e r m e d i a t e - t e r m U. S. Government s e c u r i t i e s d e c l i n e d l a s t week.
Ninety-one day T r e a s u r y b i l l y i e l d s d e c l i n e d two b a s i s p o i n t s w h i l e
y i e l d s on six-month b i l l s and t h r e e - t o f i v e - y e a r F e d e r a l o b l i g a t i o n s
d e c r e a s e d s i x b a s i s p o i n t s . Six-month b i l l y i e l d s reached a new low f o r
t h e y e a r of 2 . 3 5 p e r c e n t . The a v e r a g e quoted r a t e on f o u r - t o s i x month d i r e c t l y p l a c e d f i n a n c e company p a p e r d e c l i n e d s l i g h t l y f u r t h e r
t o 2 - 1 / 2 p e r c e n t , r e f l e c t i n g t h e f i r s t f u l l week of r a t e s announced
t h e p r e c e d i n g week. The a v e r a g e of d a i l y e f f e c t i v e r a t e s f o r F e d e r a l
f u n d s d e c l i n e d 30 b a s i s p o i n t s t o 0 . 8 5 p e r c e n t , t h e l o w e s t s i n c e l a t e
January.
FNMA. secondary market o p e r a t i o n s . In March, p u r c h a s e s of
mortgages tjy 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 a g a i n d e c l i n e d ,
a s they have done each month s i n c e l a s t J u l y . The most r e c e n t d e c l i n e
was s m a l l e r than i n o t h e r r e c e n t months. O f f e r i n g s t o FNMA a l s o
d e c l i n e d . Sales rose t o t h e h i g h e s t l e v e l s i n c e mid-1958.




- 2 -

May s e c u r i t y f i n a n c i n g . Corporate f i n a n c i n g in the c a p i t a l
markets during May i s expected t o be q u i t e l a r g e . Sales of s e c u r i t i e s
t o r a i s e new c a p i t a l a r e expected to t o t a l $950 m i l l i o n . This i s subs t a n t i a l l y l e s s than the $2.0 b i l l i o n April t o t a l which, however,
included t h e nearly $1.0 b i l l i o n AT&T stock i s s u e , but i s t w o - t h i r d s
more than in May l a s t y e a r . Large i s s u e s scheduled f o r p u b l i c o f f e r ing, mostly debt instruments, t o t a l
nearly $550 m i l l i o n .
Bond s a l e s by State and l o c a l governments during May are
expected to be in somewhat smaller volume than e a r l i e r t h i s y e a r . May
s a l e s a r e expected to t o t a l $550 m i l l i o n , the same as a y e a r e a r l i e r
but one-fourth l e s s than the average volume f o r the f i r s t four months
of the y e a r . Large i s s u e s on the calendar t o t a l about $250 m i l l i o n ,
considerably l e s s than i n e a r l i e r months of the year when one or more
i s s u e s of $100 m i l l i o n or more were s o l d j no i s s u e of t h i s s i z e i s
scheduled f o r s a l e in May.
Common stock p r i c e s . Stock p r i c e s , as measured by Standard
and Poor's index of 500 common stocks, f l u c t u a t e d widely l a s t week.
On balance, however, they declined s l i g h t l y f u r t h e r , closing a t 65.31
on Friday. At t h a t l e v e l p r i c e s were 2 p e r cent below the peak reached
on Monday of t h e preceding week but one p e r cent h i g h e r than the April
low of l a s t Monday. Trading volume declined to an average of ii.5
million shares p e r day, the lowest since January.
Capital markets in A p r i l . Movements of y i e l d s on high-grade
corporate and municipal bonds were i n opposite d i r e c t i o n s i n A p r i l .
Yields on Aaa-rated seasoned corporate bonds, which had declined s t e a d i l y
e a r l i e r t h i s year to a low 1|.21 per cent ( d a i l y ) in l a t e March, rose
to ho 28 p e r cent by the end of A p r i l . O f f e r i n g y i e l d s on new corporate
bond i s s u e s a l s o increased. In c o n t r a s t y i e l d s on Aaa-rated State and
l o c a l government bonds declined s i x b a s i s p o i n t s from t h e i r 196l high
to 3.2k p e r c e n t .
The i n c r e a s e in corporate bond f i e l d s r e f l e c t e d l a r g e l y a
sharp i n c r e a s e i n new f i n a n c i n g plus a build-up in the calendar of
o f f e r i n g s scheduled f o r s a l e i n May and l a t e r . New corporate f i n a n c ing was in record volume during A p r i l , t o t a l i n g about $2.0 b i l l i o n ,
more than in the e n t i r e f i r s t q u a r t e r of the y e a r . While an unusually
l a r g e p o r t i o n of t h i s financing c o n s i s t e d of stock i s s u e s , r e f l e c t i n g
p r i m a r i l y e x p i r a t i o n of s u b s c r i p t i o n l i g h t s f o r AT&T's $1.0 b i l l i o n
i s s u e , new debt f i n a n c i n g was a l s o sharply l a r g e r than i n o t h e r recent
months. Large p u b l i c l y o f f e r e d debt i s s u e s t o t a l e d $560 million i n
A p r i l , compared with a monthly average of only a l i t t l e more than
$100 m i l l i o n during t h e f i r s t t h r e e months of the y e a r .
While S t a t e and l o c a l government bond s a l e s i n A p r i l were
i n l a r g e volume, t o t a l i n g an estimated $725 m i l l i o n , they were l e s s than
had been expected e a r l i e r due to the postponement of a $175 m i l l i o n
Massachusetts Turnpike i s s u e . Underwriters made some progress i n reducing the l e v e l of t h e i r a d v e r t i s e d i n v e n t o r i e s of unsold s e c u r i t i e s and




t h i s plus the somewhat l i g h t e r calendar of scheduled forthcoming
issues reduced somewhat .the pressure on municipal y i e l d s .
Common stock prices changed l i t t l e on balance in April.
Prices, as measured by Standard and Poor's index of 500 common stocks,
rose to a new peak of 66.68 on April 17 but l o s t most of the gain by
the end of the month, closing at 65.31. Trading volume, which was
very heavy early i n the month, moderated' i n the l a s t few weeks and
averaged 5 . 1 million shares per day, somewhat below the record March
average of 5.U million shares per day.
More detailed information concerning recent capital market
developments i s presented in the attached e x h i b i t s .

Capital Markets Section,
Division of Research and S t a t i s t i c s ,
Board of Governors of the Federal Reserve System.




LONG-TERM B O N D YIELDS

HIGH-GRADE

LOWER-GRADE




w

Exhibit B - Tables f o r Exhibit A

.

-5-

Long-tenn Bond Yields
High-grade
Date

U. S. Govt.
long-tern 2 /

Corporate
Aaa 1 /

(per cent)

3.92 ( 1 / 2 0 )
3.75 ( 3 / 1 0 )

2.99 (9/1)
3.30 ( 1 / 1 3 )
3.12 ( 2 / 2 3 )

•30
.60
.22
.59
.19
.51
.40

•30
.50
.34
.92
•53
.76
.51

3.81
3.82
3.81
3.81
3.77

3.30
3.30
3.30
3.24
3.24

.41
.41
.43
.45
.51

.51
.52
.51
.57
.53

2 . 4 5 (8/6)

1954 - Low
1957 - High
1958 - Low
1959-60 - High
i 9 6 0 - Low
1961 - High
Low

2 . 8 5 (4/23)
4 . 1 4 (9/27)
3.55 (5/2)
4 . 6 1 (1/29/60)
4.23 (9/9)

3 . 7 6 (10/18)
3 . 0 7 (4/25)
4.42 ( W 6 0 )
3.75(8/5)

4.34 (1/6)
4.21 ( 3 / 1 7 )

Mar.
Apr.
Apr.
Apr.
Apr.

4.22
4.23
4.24
4.26 /
4.28/

30
7
14
21
28 2 /

Spread between
U. S. Govt,, and
Corporate S t a t e and
Aaa
1local Aaa

State and
local
government
Aaa 3 /
1 . 9 0 (9/2)
3.45 (B/29)
2.64 (5/1)
3.65

(9/24/59)

Lower-grade
Corporate
Baa 1 /

State and
l o c a l govt.
Baa y

Spread between
Aaa and/Baa
S t a t e and
Corporate
l o c a l govt.

(per cent)
1954 - Low
1957 - High
1958. - Low
1959-60 - High
1960 - Low
1961 - High
Low
Ma r .
pr.
Apr.
Apr.
Apr.
A

30
7
lb
21
28 2 /

4 . 1 6 (3/23)
3.98 11/27)

.52
1.27
.77
.84
.71
.81
.73

4.11
4.06
4.03
3.98
3.98

.80
.78
.76
.74
.73

3.44 (12/31)

2.93 (8/s)

5 . 1 0 (11/20)
4 . 5 1 (7/11)

3.64 (5/1)

5.36
4.98
5.12
5.00

(2/12/60)
(9/9)

(1/27)
(1/21)

5.02

5.01

5.00
5.00
5.01

z

y

4 . 5 1 (8/29)

4 . 4 6 (1/7/60)
3 . 9 8 (12/29)

-

2 / Preliminary.
1/ Weekly average of dally figures. Average term of bowls included Is 23 -26 year#.
2/ Weekly average of dally figures. The series Includes bonds due or callable In 10 years or more.
3/ Thursday figures. Only general obligation bonds are Included* average term I s 20 years.
Note.—Highs and lows are for Individual series and may be on different dates for different series,
Ftor spreads, high refers to widest, and low to narrowest,
•




.96
1.21
.93
1.08
.93
.73
.81
.76
.73
.74
.74

EXHIBIT C
SHORT-

AND

INTERMEDIATE-

TERM

INTEREST

RATES

GOVERNMENT

im$

\

f

t
I

1

y>/
_ J /

8. DISCOUNT IATI

|'
1

Ka

J - 5 m i

w

\

ISSUES

V r

wA

M a r k e t Yii Z"
1

BANKS

AND

OTHER

PRIVATE

BORROWERS
1 ^

DISCOUNT I
I l*TI$
/

Fx




Going

Exhibit D - Tables for Exhibit C
3 i o r t - and I n t e r m e d i a t e - t e r n I n t e r e s t h a t e s
Government

Date

Discount
rate
- 1 L

195U - Low
1957 - High
1 9 5 8 - Low
1 9 5 9 - 6 0 - High
1 9 6 0 - Low
1961 - h i g h
Low
Mar. 30
Apr. 7
Apr. lU
Apr. 21
A p r . 28 j0/

1.50
3.50
1.75
Loo
3.00
3.00
3.00
3.00
3.00
3.00
3.00
. 3.00

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

3-month
b i l l s 2/

.61
3.6k
.58
U.59
2.11
2.56
2.17

(£/U)
(lo/ie)
(5/29)
(1/8/60)
(10/28)
(3/3)
(1/27)

2.38
2.36
2.31
2.25
,
2.23X

3 . 02
5.07
2 . 38
2.75
2.35

(12/26)
(1/8/60)
(12/30)
(3/3)
(1/28)

3-5 year
issues 2/

1.66
U.OU
2.1U
5.00
3 . W)

S p r e a d b e t w e e n y i e l d s on
3 - m o n t h b i l l s a n d y i e l d s on
6-mo. b i l l s | 3 - 5 y r . i s s u e s

(4/30)
(10A8)
(6/6)
(12/24/59)
(12/30)

.26

.OU

:S

3.U0
3.38
3.32

.38
1.U0
.92

.16
.22
.21
.16
.12

!:S ! S

1.81

.25
.12

1:8

2.51
2.58
2.52
2.141
2.35

.66
.86

1.05
1.09
1.09
1.13
1.09

Banks a n # , Other, P r i v a t e B o r r o w e r s
Stock Exchange
c a l l loan 1/

Prime
rate 1 /

F i n a n c e company
paper j /

Spread between
3-rao. b i l l s and
f i n a n c e co. paper

Federal
f u n d s U/

(per cent)

U.#
U.50

3.00
U.50
3.50
5.00
U.50
U.50
U.50

2.88 (3/10)
2.50 (U/28).

n.a.
3.50
.13
U.oo
.95
2.85
.U3

1.50
1.50
U.50
L5o
U.5o

U.50 • .
U.50
U.5o
U.5o
U.5b

2.63
2.66
2.6U
2.53.
2.50

1.65
1.55
2.35
1.15
.85

1 9 5 1 - Low
1957 - High
1 9 5 8 - Low
1 9 5 9 - 6 0 - High,
1 9 6 0 - Low

3,00
ti,5o
3*50
5.5o
U.50

1961 - h i g h
Low
M a r . 30
Apr. 7
Apr. lU
A p r . 21
A p r . 28 2 /

1.25(12/31)
3< 88 ( u / 1 5 )
l l . 1 3 (8/8)
5'. 1 3 d / 2 2 / 6 0 )
2 ; 8 8 (12/30)

(11/8)
(5/29)
(6/13/60)
(12/2)
(2/17)
(1/27)

^

0
.63
-.35
1.02
.22
.56
.15
.25
.30
•33
.26
.27

1/ Weekly rata ehowm i t , I n effect at end of period. Dlioount rate I s for Federal Reserve Baric of New York.
Stook Exohange call l e a h f a t * Is going rate on oall loans secured by customers' stook exoh*n«e collateral at
Nail York City banks. Prte# rate Is that charged by large banks on short-tern loans to business borrowers of
the highest credit standing.
7/ Market yield; weekly aversges computed from dally closing bid prices. Series of 3-5 year Issues consists of
selected notes and bonds.
'
.
. ^
3/ Average of dally rates published by finance companies for directly planed paper for varylsg maturities In ths
4/ Weekly a v L ^ ^ o f dally effective rate, which Is the rate for the Heaviest volume of purohase and sale transactions
1
as reported to the Federal Reserve Bank of New York.
Noto .-Highs and lows are for individual series and may be on different dates for different dates for different series,
iter spreads, high refers to widest, and lew to narrowest.




STOCK

MARKET

'•X*CHANGE IN SERIES

FEDERAL
SECONDARY

NATIONAL
MARKET

MORTGAGE
OPERATIONS




ASSOCIATION

Exhibit F - Tables f o r Exhibit E
Stock Market
Stock p r i c e
index 1 /

Date

Common
Trading
stock
volume 2 /
yields 2/ (millions
(per cent) of shares)

1957-60 - High
Low
1961 - High
Low

39.k8 (12/20/57)
66.37 ( k / l k )
58.k8 ( 1 / 6 )

3.08
k.72
2.93
3.32

k.9
l.k
5.8
3.6

February
March
Apr. Ik
Apr. 21
Apr. .28 2 /

62.17
6k. 12
66.37
65.77
65.31

3.13
3.03
2.93
2.95
2.97

k.9
5.k
5.1
k.9
k.5

6 0 . 5 1 (7/31/59)

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

Total

4,76k
3,55k

(4/59) 3,1401 (4/69) 1 , 3 7 3 (5/59)
(1/58) 2 , w (12/57) 1 , 0 6 0 (11/5?)

k,776(3/61)
3,601,(3/61) l,235(b/21)
2t,!il6(l/6l) 3,253(1/61) 1,152(3/10)
4,521.
U,778

1,166

3,356
3,60k
n.a.
n.a.
n.a.

1,17k

1,216

1,235

n.a,-»Not Available*
2 / Pf*llml*i&ry,
}J Standard and Poor's ccopoelte Index of 500 ocamon stocks, weekly closing price?, 1941-43*10. Kontlily data are
averages of dally figures rather than of M d e y ' s only. High' and lows are for Fridays' data only,
2 / Standard and Poor's composite stock y i e l d based on Wednesday data converted to weekly closing prices by federal
Reserve. Yields shown are for dates on which price Index roaohed I t s high or low.
3 / Averages of dally trading voluae on the New York Stock Exchange.
4 / End of month figures for member firms of the How York Stock Bcchonge which carry margin accounts; excludes balances
secured by U. S. Government obligations.
5/ Wednesday figures for weekly reporting member banks. Excludes loans for purchasing or carrying 0, S. Government
s e c u r i t i e s . Prior t o July 1, 1959, such l o w s are excluded only at banks In Now York and Chicago. Wemkly reporting
banks account for about 70 per cant of loans to others. For further detail see Bulletin.

Federal National Mortgage Association Secondary Market Operations 1/
Sales
by

Purchases
Estimated O f f e r i n g s to E M
N A
by
Standby
Immediate
Total
F 11
N-A
purchase commitment
(In mil: ions of d o l l a r s )
1960 - Mar.
Apr.
May
July
Aug.
Sept.
Oct.
Nov.
Dec.
1961 - Jan.
Feb.
Mar.

133.2
103.5
98.5
99.9
88.0
10k. 0
73.1
83.2
61.7
53.3
50.1
36.3
33.7

-

12k. 6
96.2
93.8
.93.7
85.9
89.1
69.8
68.6
56.9
51. k
kB.l
33.7
29.8

8.6
7.3
k.7
' 6a
5a
lk. 8
34
lk.6
k.8
1.9
2.1
2.6
3.9

135.0
102.6

3^6

1.0.

60.8
75.6
63.0
58.8
?1.2
k5.5
kl.2
33.7
31.6

3.2

.1

.8

•

1.1
8.9

8:1
ils'.l

••»Leos than $50,000.
1 / Data represent unpaid principal balances of the mortgages Involved, exclusive of prenims, discounts, or other charges. Offer!ngu are amounts of applications received during the period from
s e l l e r s propositi th*t P M execute purchasing contracts. An immediate purchase contract covers
HA
existing mortgages which the s e l l e r must deliver to F M within 45 days. A standby commitment
N A
contract relates to proposed mortgages, on housing not yet under construction, which the s e l l e r
must usually deliver within one year. Purchases include thone under both immediate purchases and
otandby commitment contracts. Data exclude F M a c t i v i t y under Special Assistants and Management
N A
and LlouldkUng Programs.




Exhibit G

-10-

Long-term Corporate and S t a t e and Local Government
S e c u r i t y O f f e r i n g s and Placements
( I n m i l l i o n s of d o l l a r s )

1961
January
February
March

2/526
£/653

April
May

Q/2,000
e/950

708
634
e/800

739
623
582

639
858
646

•

89k
785
887

e/72$
e/550

731
550
1,033

932
593
1,006

—

535
7W
703

572
602
689

a

"879
86ii
900

336
2/468
e/500

597
519
455

2,151
2,367
2,427
a/2,690

2,20k
2,567
1,979
2,612

1,943
2,314
1,863
e/l,3c4

2,143
2,531
1,548
1,571

1,519
6,915
E/9,635

* 4,771
6,750
9,392

4,257
6,200
e/7,424

4,674
6,222
7,793

577
715
860
766
567
1,034
727
962
738

October
November
December
quarter
quarter
quarter
quarter

821
738
sue

2/965
e/875
e/850

July
August
September

1st
2nd
3rd
kth

New c a p i t a l
S t a t e and l o c a l 2 /
Corporate 1 /
1961
I I960
1 I960
1 1959
1 1959

E/1,700

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

e/2,142

465

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

quarter
quarter
quarter
quarter

g/l,li08

Year
e/
1/
2/
3/

1,722
2,150
2,017
2/2,290.

1,999
2, Ail2
1,716
2,#3

2/8,179

8,630

-

Preliminary.
estimated.
S e c u r i t i e s and exchange Commission e s t i m a t e s of n e t p r o c e e d s .
Investment 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.
T o t a l new c a p i t a l i s s u e s excluding o f f e r i n g s of s a l e s and consumer f i n a n c e
companies.




Exhibit H

-11-

Other Security Offerings
(In millions of dollars)
Foreign government 2/
1961
1 I960
1 1959
January
February
March

Federal agency 3 /
I
1961
I I960

1959

2
175
70

July
August
September
October
November
December

-

Year

58
50
k2

148
354

25
1
36

April
May

182
150
150

34
72
ko

~3

81
60
2

85
1
35

199

314
2
4i

33
30
70

160
149
181

86

547

1,672

707

533

199
175

—

—

98
150

.

Net shorti-term h/
State and l o c a l government 5 /
Federal agency 3/
Januazy
February
March

-196
-202
-59

-82
176
33

-277
170
320

50
368
286

95
23
-201 .

362
133
79

-81
-176
-117

-23
-33
-250

280
240
44

362

-633

1,969

58
lko
-80

-4
181
k

April
May
June

70
-146
-157

197
-25
-197

July
August
September

1*8
105
-175

57
392
131

October
November
December

-16
5b
-189 • •

160

Year

18

-144
-162
-174

z'

g/
1/

Preliminary.
These data d i f f e r from those i n Exhibit 0 i n t h a t refunding i s s u e s , a s w e l l a s new c a p i t a l i s s u e s , are i n c l u d e d .
Long-term s e c u r i t i e s are defined a s those maturing i n more than one y e a r .
2 / Includes s e c u r i t i e s o f f e r e d In the United S t a t e s by f o r e i g n governments and t h e i r subdivisions and by I n t e r national organizations. Sourcei S e c u r i t i e s and Exchange Commission.
3 / I s s u e s not guaranteed by the U. S, Government. Source« long-term, S e c u r i t i e s and Exchange Commission; shortterm , Treasury Department and Federal Reserve.
4 / These data d i f f e r from those i n Exhibit 0 and above i n that they represent new o f f e r l i y s l e s s r e t i r e m e n t s , whether
from the proceeds of refunding Issues or from other funds. Data include only I s s u e s with o r i g i m l maturity of one
year or l e s s .
5 / P r i n c i p a l l y tax and bond a n t i c i p a t i o n n o t e s , warrants or c e r t i f i c a t e s and Public Housing Authority notes
la
some instances PHA notes included may have a somewhat longer term than one year. Source. Bond Buyer and

F6d#fftl RtSSrVSe



"

•' •

-12-

Exhibit I
Large L o n g - t e r n P u b l i c S e c u r i t y I s s u e s f o r New C a p i t a l
(Other than U. S. Treasury) 1 /
Proceeds of Large I s s u e s O f f e r e d
( I n m i l l i o n s of d o l l a r s )
Month

S t a t e and
local
government

Corporate

I960 - March
April
May

225
370
23b
561
191
298
3%
1*6
186
222
391
360
ho5

381*
309
139
kh2
303
581
266
566
I465
260
1U7
26?
70

July
August
September
October
November
December
1961 - January
February
March

Other 2 /
191
71
28
30
75
25
77
150
99
67

Large I n d i v i d u a l I s s u e s O f f e r e d during A p r i l

Issuer

Type 3 /

Coupon
Amount
Offering
(millions
Maturity net i n t e r - yield
of
est cost
•dollars)

Ratine

CORPORATE
So. C a l i f . Edison Co.
John Deere C r e d i t Co.
Tennessee C-as Trans. Co.
F l i n t k o t e Co.
Mead Corp
Amer. T e l . & T e l . Co.
Spiegel3 inc.
Minneapolis-ii 0 neywell
R e g u l a t o r Co.
Trans. Gas Pipe Line Co.
United S t a t e s S t e e l Corp.
Iowa-111. Gas U tilec. Co.
Motorola, Inc.

1st ref.intg.bds.30.0
Deb. .
25.0
Pfd. s t k .
20. C
Deb.
35.0
Deb.
25.0
Com. s t k .
965.1
Deb.
liO.O
Deb.
25.0
Pfd. s t k .
25.0
1st m t g . p . l . b d s . 3 5 . 0
S.i 1 . deb.
300.0
1 s t mt£. bds. 15.0
Deb.
30.0




1986
1981

U-3/h

1981
1986

h-1/2

1.60
ii.57

1983
1986

5-l/w
it-1/2

Aa

h.til

1981
1986
1991
1986

1-5/8

b-1/2

L-7/8
h-3/h

i4'K
L.65

5.08
L55
L80
L75

A

La a
Aa
Aa
A

Large Individual Issues Offered during April (Cont'd)

Issuer

Type 3 /

Amount
Coupon
(millions
rate or Offering
Maturity net i n t e r - y i e l d
of
dollars)
est cost

Rating

STATE AND LOCAL G V R M N
OEN ET
State of California
Cleveland, Ohio
Univ. System Bldg. Auth.
of Georgia
Los Angeles Co. Flood
Cont. D i s t . , C a l i f .
Chicago, I l l i n o i s
Public Housing Autlis.
State of Oregon
State of Tennessee
State of Michigan

G.O.
G.O.

190.0
lU.5

1962-86/81
1962-81

Rev.-Q.Ut.

13.0

1962-86

3.68

2.00-3.80

4

1962-89
1963-79
1962-2001
1970-78
1963-81
1962-86

3.60
3.37
3.W
3.27
3.15
3.7U

1.60-3.85
2.00-3.50
1.50-3.60
2.80-3.35
1.80-3.30
1.70-3.85

Aa
A
Aaa
Aa
Aa
A

Rev.-Ut.
G.O.

15.0
30.3
50.0
G.O.
30.0
G.O.
15.6
Rev.-S.T . 25.0

3.87
3.15

1.70-3.97
1.60-3.W

Aa
Aa

OTHER
None
1/
2/
3/

Includes corporate and other security o f f e r i n g s of $15 million and over; State
and l o c a l government security o f f e r i n g s of $10 million and over.
Includes foreign government and International Bank f o r Reconstruction and
Development i s s u e s and non-guaranteed issues by Federal agencies.
In the case of State and l o c a l government s e c u r i t i e s , G.O. denotes general obligations; Rev. - U t . , revenue obligations secured only by income from public
u t i l i t i e s ; Rev.-Q.Ut., revenue bonds secured only by revenue from quasiu t i l i t i e s ; Rev.-S.T., revenue bonds secured by revenue from s p e c i f i c taxes
only; Rev.-Rent., revenue bonds secured s o l e l y by lease payments.




X
-111-

Forthcoming Large Long-term Public Security O f f e r i n g s f o r New Capital
(Other than U. S. Treasury) 1/
Expected Proceeds from Forthcoming Large I s s u e s
During month following
date shown
S t a t e and
Corporate l o c a l govt. Other 2/

Date of
computation
I960 - Apr. 29
May 31
June 30
July 29
Aug. 31
Sept. 30
Oct. 31
Nov. 30
Dec. 30
1961 - Jan. 31
Feb. 28
Mar. 31
Apr. 28

202
483
237
#6
216
576
ao
260
• 91
no

55

1,580
512

21*3
277
180
275
283
212
258
242
412
181
307
559
236

Subsequent t o
date shown
S t a t e and
Corporate l o c a l govt. Other 2/

30
30
77
50

15

357
553
155
1,006
731
836
585
335
1,036
1,0146
1,125
1,700
687

258
502
380
324
283
336
391
560
682
360
n638
806
579

60
30
127
50

15

Forthcoming Large O f f e r i n g s , a s of A p r i l 28
Type

Amount
Approximate date
(millions
of o f f e r i n g
of d o l l a r s )

CORPORATE
B e l l Telephone Co. of Pa.
Nippon T e l . & Tel. Corp.
Washington Gas Light Co.
Continental Oil Co.
U. S. Freight Co.

Deb.
Ex. bds.
Ref. mtg. bds.
Deb.
Conv. sub. deb.

Haloid Xerox, Inc.

Conv. sub. deb.

Duke Power Co.
Tennessee Gas Transmission Corp.
New York S t a t e Elec. & Gas Co.
^Federal Paper Board Co.
New England Tel. & Tel. Co.
-:K)hio Edison Co.
ftMiciiigan Consolidated Gas Co.
xConsolidated Natural Gas Co.
Aerojet-General Corp.
New Orleans Public Service Corp.
-KAldens, I n c .
-xClark Equipment
 Credit Corp.
%City Products Corp.



Com. s t k .
Deb.
1 s t mtg. bds.
S.F. deb.
Com. s t k .
1 s t mtg. bds.
1 s t mtg. bds.
Leb.
S . K deb.
1 s t mtg. bds.
S.F. deb.
Deb.
Conv. sub. deb.

20.0
15.0
15.0
100.0
15. U

May 2
May 3
May 4
May 4
May 8
( r i g h t s expire)
May 8
15.1
( r i g h t s expire)
16.6
May 15
( r i g h t s expire)
May 16
75.0
May I?
25.0
20.0
May 18
May 19
45. o
( r i g h t s expire)
May 23
30.0
May 2 it
30.0
1+0.0
Hay 25
May 25
15.0
15.0
My#
May
15.0
20.0
May
May
15.0

-15-

J-2
Forthcoming Large O f f e r i n g s , a s of A p r i l 28 (Cont'd)
Issuer

Type

Amount
Approximate date
(millions
of o f f e r i n g
of d o l l a r s ) j

CORPORATE (Cont'd)
^Indiana and Michigan E l e c t r i c Co.
•^Columbia Gas System I n c .
^Michigan-Wisconsin Pipe Line Co.
Commerce Oil Refining Corp.
Realty C o l l a t e r a l Corp.

S . F . deb.
Deb.
1 s t mtg. p . l . bds.
Deb., bds. & com.
/ C o l l . t r . notes i

20.0
30.0
30.0
1;5.0
20.0

.

June 1
June 2
June 15
Indefinite
Indefinite

STATE AND LOCAL GOVERNMENT
Los Angeles Unif. Sch. B L s t . , C a l i f .
Grand Rapids, Mich.
r
o r t of New York Authority
C i n c i n n a t i , Ohio
•^Puerto Rico Water Resources Auth.
-^-Chicago Board of Education, 111.
-^-Pennsylvania Sta te Public School
Bldg. Auth.
New York S t a t e housing F i n . Agency
•aOwensburg, Kentucky
%Monroe Comty Water Resources Auth.,
New York
Sacramento Mun. U t i l i t y D i s t . ,
Calif.
Massachusetts Turnpike Auth.
1
Orleans Parish School D i s t . , La.
Dade County, Florida
Jacksonville Expressway Auth.

G.O.
Rev.-Ut.
Rev.-Ut.
G.O.
Rev.-Ut.
G.O.
Rev.-Rent.
Rev.
Rev.-Ut.

-

30.0
13.1
35.0
21.5
22.0
1*0.0

May
May
May
May
May
May

2k. 6
50.0
25.0

May 17
May
June 1

Rev. -Ut.

17.0

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

30.0
175.0
10.0
1*6.0
hO.O

Ex. b d s .

15.0

2
2
3
9
9
15

June 1
June 1
Indefinite
Indefinite
Indefinite
Indefinite

OTHER
Kingdom of Norway

May 3

—Included i n t a b l e f o r f i r s t time.
1/

Includes corporate and other i s s u e s of $15 m i l l i o n and over; S t a t e and l o c a l
government i s s u e s of $10 million and over.
Includes 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 Reconstruction and
Development i s s u e s and non-guaranteed i s s u e s by Federal a g e n c i e s .
Note.—Deletions f o r reasons o t h e r than s a l e of i s s u e : Peoples Gas Light and
Coke Company; $30,0 million—$15.1 m i l l i o n f o r r e f u n d i n g .
2/




—6
1—
Y i e l d s on New and Outstanding
E l e c t r i c Power Bonds, Bated Aa and A 1 /

Date

1952-59 - High
Low
1960 - J a n .
Feb.
Mar.
Apr.
May
'July
Aug.
Sept.
Oct. 5
21
Nov. I4.
16
17
18
Dec. 7
1961 - J a n . 12
18
25
Feb. 8
16
16
Mar. 23
2k
Apr. 13
21
26
27

Aa-rated offering yields
A-rated offering yields
Amount above
Amount above
Actual
Actual
seasoned y i e l d s ( p e r c e n t ) seasoned y i e l d s
(per cent)
(basis points)
(basis points)
5.30 (12/8/59)
2.93 ( 3 / 3 1 / 5 1 )

87
-8

B

22
2it
22

*h. 88

'

*5.3o2/

28

lt.97
5. lit
5.15
*it.95
it. 87

9
35
29
11
6

* it. 80

2it
26

5.05

it3

it.60
it. 65
it.it?
it. 50

it. 83

it5
25
37
32
26

5.00
it. 60
L55
it.itit

-2
5
-13
5
-5
17
32

33
itO
lt9
11
7
-2

1.37

h

It. 80
It. 67

123
-15

it. 88

5.09
it. 82
it. 91

it. 78
85

5.65 (9/18/59)
3 . 0 0 (3/17/5W

A.
it. 802/

lt3
29

* — S i n g l e o b s e r v a t i o n , n o t an a v e r a g e .
1 / Covers only 3 0 - y e a r f i r s t mortgage bonds, a s r e p o r t e d i n Moody's Bond Survey.
Except where i n d i c a t e d , : t h e a c t u a l y i e l d f i g u r e and t h e amount above seasoned
y i e l d s a r e a v e r a g e s of o f f e r i n g s d u r i n g t h e i n d i c a t e d p e r i o d and of t h e d i f f e r ences between t h e s e new o f f e r i n g y i e l d s and y i e l d s . o n seasoned i s s u e s of s i m i l a r
q u a l i t y f o r t h e same day. Average m a t u r i t y f o r t h e seasoned i s s u e s v a r i e s from
26 t o 28 y e a r s .
2 / P r o v i d e s f o r a 5 - y e a r p e r i o d during which i s s u e may not be c a l l e d f o r r e f u n d i n g
a t a lower coupon r a t e . Monthly a v e r a g e s so marked i n c l u d e one o r more i s s u e s
w i t h such a p r o v i s i o n . Other i s s u e s have no such p r o v i s i o n .




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