Full text of H.16 Capital Market Developments : November 10, 1954

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CONTROLLED AFTER SIX UOHTHS

H.lli

November 10, 19$k
CAPITAL 1IARKET DEVELOPIENTS

S n a i l volume of s e c u r i t y o f f e r i n g s l a s t week - Three
S t a t e and l o c a l government o f f e r i n g s with t o t a l proceeds of 3k
m i l l i o n d o l l a r s were t h e only large; - s e c u r i t y i s s u e s f l o a t e d f o r
new c a p i t a l during the week ending'November 5>. The s o l e l a r g e
i s s u e scheduled f o r f l o t a t i o n t h i s week i s the 180 m i l l i o n d o l l a r
o f f e r i n g of the Maryland S t a t e Roads Commission. Not a l l of the
t o t a l proceeds w i l l be used f o r new c a p i t a l purposes, however;
about 30 m i l l i o n d o l l a r s w i l l be used t o r e t i r e outstanding revenue
bonds.
Bond y i e l d s - Yields on outstanding corporate Aaa and
Baa bonds increased s l i g h t l y l a s t week. Yields on U. S. Government long-term and high-grade municipal bonds did-not change.
Stock p r i c e s i n c r e a s e - The SEC index of 26$ common
stocks r o s e to a new high of 199.9 during t h e week ending November 5 . Daily indexes showed a sharp i n c r e a s e through November 9.
ffhe weekly average of d a i l y t r a d i n g volume on t h e New York Stock
Exchange increased 0.£ million shares l a s t week to 2 . 6 m i l l i o n
s h a r e s . The volume had averaged 2 . 1 m i l l i o n or lower f o r t h e
l a s t 11 weeks.
Further d e t a i l s on c a p i t a l market developments a v a i l a b l e
from e x h i b i t s - L o r e d e t a i l e d information concerning recent c a p i t a l
market developments w i l l be found i n the following e x h i b i t s which
are attached hereto:
A - Bond Yields
'
B - Stock Market
C - Corporate and S t a t e and Local
Government S e c u r i t y Offerings
and Placements
D - Large Public Security Issues
f o r New Capital, (other than
U. S. Treasury)
E - Forthcoming Large Public SecurityOfferings f o r New C a p i t a l (other
than U. S . Treasury) .

Business Finance and C a p i t a l Markets S e c t i o n ,
Division of Research and S t a t i s t i c s ,
Board of Governors of. the Federal Reserve System.




EXHIBIT

A

BOND YIELDS
PER

WEEKLY

CENT

PER A N N U M

4
CORPORATE

Baa

CORPORATE

GOVERNMENT

/V
1

v / V

i /HIGH-GRADE
V

.

STANDARD

MUNICIPAL

AND P O O R ' S

CORP.

|

,

1 [ | l i I I M 1 I I 1 I I I I I I I I •
J
S
J
s
1952
1951

Corporate 1/
Aaa

T Baa"

1

L

i i
J
s
1953

U. S. Oort.
long-term 2 /

M

J
5
1954

Spread between
Corporate Aaa
and U. S. Govt.

High-~
grade .
Mun. V

(Per cent per annum)

1951 - Hl^i

Lor
19% - High
Low
1953 - High
Low
1954 - High
Low
October 8
October 15
October 22
; October 29
November 5

2.*65
3.03

3-63
3.16
3.63

2.7U
2.38
2.79

IS

3.89

Iff

2.99
2.*85
2.88
2.88

i:8

2.88

3A8

I

3.U7
3.U6

2.7U
2.7k

Z.hk 1

IS
IS
2.5U

%
.37

I

2.00

• I

ss

2.32
2.30
2.30

2.30

1 / Moody's investors Service; weekly average of d a l l y f i g u r e s .
2 / Federal Reserve; weekly average of d a i l y f i g u r e s .
3 / standard and Poor's Corporation; Wednesday f i g u r e .

Note j—Hi$is and lews i a f o r Individual s e r i e s and may be an d i f f e r e n t dates
for different series.




1947-49-100

VOLUME

1951 '

Dt

*"

"

1952 '

°

1953 '

*

• 1954

Bank loans
1
t o "others"
Common stock Customers
Trading
f o r purchases
Stock p r i c e . volume 2 /
yields 3 / .
of securbalances h/
index 1/
(millions
(per cent
(millions
ities 5/
(1947-49-100) of shares) per annum)
of d o l l a r s ) (millions
of d o l l a r s )

1951 - High
Low
1952 - High
Low
1953 - High
Low
195k - High
Low
September
October
October 22
October 29
November 5
1/ 0JA)
SET.
jy

158.6
140.3
165.3 •
151.7
167.1
144.0
199.9
156.5 •
191.0
196.6
196.9
193.9
199.9

3.4
1.1
2.0 '
0.9
2.5
0.9
. 3.2
. 1.4
2.0
2.1
2.1
2.1

2.6

6.55
5.55
5.77
5.135.75
5.15
5.33
4.46
4.46
4.57

1,297
1,219
1,328
- 1,211
•. 1,665
1,316
2,048
1,653
2,048

340
295
250
327
252
450
328
421
439
442
447
450

,
,

.

InrfA* of 65 buuiiuu
common U
*t,on
kR.J wnflklv
vw.ti.i_)
n s o n ^ ; clnfilnr n r i r A */^/-AWV, r.onVBPtftd
vvii VG* UOUt oW
1947-59-100 by Federal Reserve.
2( Weekly averages of d a i l y trading volume on New York Stock Exchange.
"%J Moody's 200 common stocks; end of month f i g u r e s .
$ / Bid of month f i g u r e s f o r member firms of New York Stock Exchange; excludes
balances secured by U. S. Government s e c u r i t i e s .
£ / Wednesday f i g u r e s f o r weekly reporting member banks in New York and Chicago;
excludes loans f o r purchase of U. S. Government s e c u r i t i e s . On March 4, 1953* the
l a s t date on which f i g u r e s f o r a l l reporting banks were available, New York and
Chicago accounted f o r 45 per cent of such loans. In the past New York :and Chicago
loans have fluctuated more than t o t a l loans.
n.a.—Not a v a i l a b l e .
Note.—Highs and lows are f o r individual s e r i e s and may be oh d i f f e r e n t dates
for different series.




K.Ik

Exhibit C

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 )
New c a p i t a l

January
February
March
April
May
June

195k

Corporate
1 1953

5kk
439
660

623
623
666

1(86
.652
85?

• , " '

,e/725

183
325
#3

October
NovemberDecember

e/350
e/300

577

1st quarter
2nd q u a r t e r
3rd q u a r t e r
a'ch q u a r t e r
Year

1*61*3
1,998
e/1,%0

;

.

1952

1
. 870"
990
769

779
675..
1,123

July
August
September

1st quarter
2nd q u a r t e r
3rd q u a r t e r
iith q u a r t e r
Year

j

1,237
291
390

2/
I,k38^
1,912
2,578
l,56l g/

999
3k0 ,
851
1,979

.

S t a t e and l o c a l
1
1953
1.
195k

1952

396

388
359
126

357
300
lk6

73k
7k8
853

328
6U8
k3k

k5k
39k
625

279
261
e/625

519
259
175

e/610 3/600

U52 ko8 .
77k

1,372
2^35
e/l,l65

1,173
• I,kl0
. 1,253
1,635
5,k7l

.

2k3
199
k73
302
183
395
802
l,k7k
916
880
k,072

o/Excluding f i n a n c e companies —
1,562
1,931
e/l,785-

1,669
1,991
1,223
2,311
7,227

.
•

1,961
2,521
1,877
2,09k
8,k52

issue.
,
2 / Includes 603 m i l l i o n d o l l a r AT&T debenture i s s u e .
3 / 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 personal f i n a n c e
companies.
e/—Estimated
Note.—Details may n o t add t o t o t a l s due t o rounding.




H.Ik

.
Exhibit D

:

;

Large Public Security Issues f o r New C a p i t a l
(other than U. S . Treasury) 1 /
Proceeds of Large Issues Offered
( t r i l l i o n s of d o l l a r s )
'

Month

S t a t e and
l o c a l government

Corporate

1953 - October
November
December
195U - January
February
March
April
May
June
July
August
September
October

'

216
96
9%
2#
103
160
169
321
3#
336
75
335
U13 .

j

f
t
\

Other 2 /

51
19
50
119

323

2Zh

571
l6ii
213
378
557
• 557
603
92
.36
\455
388

50

Large I n d i v i d u a l I s s u e s Offered November 1 through 5
.
Issuer

1
Type 3 /

Coupon
Amount
(millions Maturity r a t e or
Offering
Rating
net i n t e r yield
of
est cost
dollars)

CORPORATE
None
STATE AND LOCAL GOVERNMENT
T e r r i t o r y of Hawaii
Abingt.cn Township, P a . ,
School D i s t r i c t
New York City

G.O.

6.5

Rev.
G.O.

6.0
21.6

19S7-7h [
\
1956-9k
1955-57

2.19

1.10-2 .i|0

A

n.a.
1.13

1.00-2.75
0.80-1.10

Baa
A

OTHER
None
1/ Includes corporate and other s e c u r i t y o f f e r i n g s of 15 m i l l i o n d o l l a r s and
over; S t a t e and l o c a l government s e c u r i t y o f f e r i n g s of 5 million and over.
2 / 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 .
3 / In the case of S t a t e and l o c a l government s e c u r i t i e s , G.O. denotes g e n e r a l
o b l i g a t i o n ; Rev., revenue bonds; G.R., general o b l i g a t i o n s a d d i t i o n a l l y secured
by f a c i l i t i e s revenues; and, L . L . , l i m i t e d l i a b i l i t y o b l i g a t i o n s secured by pledge
of designated revenues.
Digitized for n.a.—Not
FRASER a v a i l a b l e .



H.Ih

Exhibit E
Forthcoming Large Public S e c u r i t y Offerings f o r New C a p i t a l
(other than U. S . Treasury.) 1 /
Expected Proceeds from Forthcoming Large Issues
During month following
date shown
Corporate
S t a t e and other 2 /
l o c a l govt.
-

Date of
computation
- Oct. 30
• Nov. 30
Dec. 31
— J a n . 29
Feb. 26
I ' a r . 31
Apr. 30
May 2 8 .
June 30
J u l y .30
Augo 31
Sept. 30
Oct. 29

73
91*8
232
118
108
2 Oli
323
332
336
100

33k
3h3

15

283
537
179
161
U98
#5
#6
86

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

73
123
50
27

$h

300
383
436

1,129
1,616
669

b79

690
555
617
#6
532
303
608

.

hlh

—

0/135

978
1,752
1,238
1,660
1,916
2,789
2,322
1,971
l,#li
1,553
1,876
2,158
1,957

n„a.
88
138
50
27

30

Forthcoming Large O f f e r i n g s , as of November 5
Issuer

Type

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

CORPORATE
"Kentucky U t i l i t i e s
Long Island Lighting
V i r g i n i a E l e c t r i c and Power Co.
New England Telephone and Telegraph
Kansas City Power and Light
. Public Service of Oklahoma
New England. Telephone and Telegraph

list mtg. bonds
1 s t mtg. bonds
Common stock
Deb.
1 s t mtg. bonds
1 s t mtg. bonds
Common stock

15.0
20.0
18.0
30.0
16.0
20.0
15.8

November
December 7
December 8
December lit
-1951*
January
March

STATE AND LOCAL GOVERNMENT
Maryland S t a t e Roads Commission
' New Jersey Highway Authority
/•xDane County, Wisconsin
-x-Tulsa, Oklahoma
r
S t a t e of North Carolina
^Georgia S t a t e Bridge Building Auth.
D a l l a s , " Texas
Oklahoma Turnpike Authority
J e f f e r s o n Parish.and S t . Tammany
P a r i s h , Louisiana




Rev.
Rev.
G.O. .
G.O.
G.O.
n.a.
n.a.

11:2.0
20.0
5.5
7.9
5-0.
10.6
16,9
230.0

Rev.

1*6.0

• November
November
November
November
November
November
November
November

9
16
16
16
17
18
2?

December 8

II. Ill

E-2
Forthcoming Large O f f e r i n g s , as of November 5 (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 )

STATE AND LOCAL G0VERNI.IENT (Cont'd)
Dade County Port A u t h o r i t y , F l a .
Allegheny County, Pennsylvania
S a n i t a r y Authority
C a l i f o r n i a T o l l Bridge Authority
V.'arren, Ohio
Springfield, Illinois
Davenport, Iowa New York Thruway
Inter-American Center Auth., F l a .
Michigan Turnpike Authority
S t a t e of Louisiana
Texas Turnpike Authority
New York S t a t e Power Authority
Metropolitan Water D i e t , of So. Cal.
Los Angeles School D i s t s . , Cal,
Los Angeles Dept. of Water & Power
F l o r i d a S t a t e Turnpike Authority
Jersey City Sewerage Auth., N. J .
North Carolina Turnpike Authority

Rev.
Rev.
Rev.
n.a.
n.a.
n.a.
Rev.
Rev.
Rev.
n.a.
n.a.
Rev.
0.0.

21.0 ,

Rev.
Rev.
Rev.
n.a.

85.0
235.0
5.0
. 9.0
5.0
50.0
60.0
. 186.0
80.0
59.0
315.0.
3-10.0
20.0
15-20.0
89.0
16.0
200.0

Bonds

30.0.

1954
195li
1951
1951i
- 195L
195U
1951
Spring
Spring
Spring
1955
1955
1955
1955
1955
1955
1955
1955

OTHER
Kingdom of Belgium

December

1/ Includes corporate and other i s s u e s of 15 m i l l i o n d o l l a r s and over; S t a t e
and l o c a l government i s s u e s of 5 m i l l i o n and over.
2 / 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 .
c / Corrected
"n.a.--Not a v a i l a b l e .
#—Included i n t a b l e for f i r s t t i m e .




\