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R E S E R V E J A W V - c toAm^ clry DEC Of Jr.BANKING AND MONETARY DEVELOPMENTS IN NOVEMBER 1962 J •/ * * !MCMgf^epnmiercial bank c r e d i t , seasonally a d j u s t e d , increased f u r t h e r in November, but "less r a p i d l y than i n other recent months, Loan growth was smaller r e f l e c t i n g , i n p a r t , s e c u r i t y loan repayments. Holdings of U, S. Government and other s e c u r i t i e s increased. The money supply and time d e p o s i t s a t commercial banks continued to expand. Free r e s e r v e s increased somewhat. Bank c r e d i t . Total loans and investments a t a l l commercial banks increased #1.4 b i l l i o n f u r t h e r i n November, a smaller r i s e than i n each of the three previous months. Loan expansion accounted f o r about h a l f the growth i n t o t a l c r e d i t but t h i s was a much smaller increase than i n other r e c e n t months. Holdings of non-Government s e c u r i t i e s increased s u b s t a n t i a l l y f u r t h e r and holdings of U. S. Government s e c u r i t i e s , which had been d e c l i n i n g over the e a r l y f a l l , also rose. Loan growth a t weekly r e p o r t i n g banks i n l e a d i n g c i t i e s was smaller than usual i n November, r e f l e c t i n g in p a r t repayments of s e c u r i t y l o a n s . At other banks, t o t a l loan growth was l a r g e r than i n November of any other r e c e n t year. Expansion i n holdings of non-Government s e c u r i t i e s was concentrated a t c i t y banks. Holdings of U. S. Government s e c u r i t i e s declined l e s s than usual a t weekly r e p o r t i n g banks in November and rose more than usual a t nonreporting banks. All commercial banks were a l l o t t e d $575 m i l l i o n of the $1 b i l l i o n s t r i p issue of Treasury b i l l s on November 21, but s e c u r i t y s a l e s a t other times in the month more than o f f s e t these a c q u i s i t i o n s , and unadjusted holdings declined. In mid-November, a l l commercial banks exchanged about $4 b i l l i o n maturing notes and bonds f o r $400 m i l l i o n 1-year c e r t i f i c a t e s , $2.2 b i l l i o n 3-year n o t e s , and $1.5 b i l l i o n 10-year bonds. Business loans a t a l l commercial banks, seasonally a d j u s t e d , increased $300 million f u r t h e r in November. In each of the three previous months, they had increased $500-$600 m i l l i o n . However, the l a r g e borrowing t h a t normally occurs in connection with October 31 excise tax payments by manufacturers and r e t a i l e r s u s u a l l y i s r e f l e c t e d i n November data, but t h i s year i t occurred i n the l a s t week of October. I f adjustment i s made f o r t h i s s h i f t , the November increase would be i n l i n e with the i n c r e a s e s i n other r e c e n t months. Seasonally a d j u s t e d business loans have increased $2 b i l l i o n since June, about the same as i n 1959 and 1956 and more than i n any other year except 1955* In November, a t banks i n leading c i t i e s , loans t o petroleum and chemical concerns increased r e l a t i v e l y s u b s t a n t i a l l y following d e c l i n e s i n other r e c e n t months. Loans t o public u t i l i t i e s increased f u r t h e r and have shown record growth since June. Loans to " a l l o t h e r " businesses a l s o rose presumably r e f l e c t i n g increased holdings of bankers' acceptances and loans to the s e r v i c e i n d u s t r i e s . Loans to metals companies increased i n November, and show a smaller than usual decline since June. Loans t o t r a d e concerns continued to show l a r g e r - t h a n - s e a s o n a l expansion while those t o food processors and commodity d e a l e r s were somewhat smaller than u s u a l . Seasonally adjusted s e c u r i t y loans at a l l commercial banks declined $400 million in November, mostly in loans to U. S. Government s e c u r i t y dealers. Real e s t a t e loans continued to expand r a p i d l y while consumer loans rose moderately further. Money supply. The daily average money supply, seasonally adjusted, increased $900 million between the second half of October and the second half of November following comparable growth in the previous monthly period. In l a t e November, the money supply was about 1-1/2 per cent above the year-ago level. Average time and savings deposits a t a l l commercial banks increased $1.4 b i l l i o n , on a seasonally adjusted b a s i s , between the second half of October and the second half of November, about the same as the accelerated October r a t e . At weekly reporting banks in leading c i t i e s , growth in savings deposits was smaller in November than in other recent months. Other time dep o s i t s of i n d i v i d u a l s , partnerships, and corporations, declined as i s usual when Christmas savings are paid out; the reduction was smaller than in the comparable weeks l a s t year, however. Deposits of foreign governments and o f f i c i a l i n s t i t u t i o n s increased s u b s t a n t i a l l y in e a r l y November presumably in response to r a t e increases when l i m i t s were suspended on i n t e r e s t that could be paid on sach d e p o s i t s . In the l a t t e r p a r t of the month, growth in these deposits tapered o f f . The seasonally adjusted annual r a t e of turnover of demand deposits a t banks in 343 centers outside New York City was 32.6 (preliminary) in November close to the October high. Over October and November turnover averaged about 9 per cent above the corresponding months l a s t year. Bank r e s e r v e s . A reduction in reserve requirements from 5 per cent to 4 per cent against time and savings deposits provided about $?80 million of reserve funds to banks in l a t e October and e a r l y November. At reserve c i t y banks, the reduction became e f f e c t i v e on October 25 and required reserves were reduced about $415 million. At country banks, about $3&5 million reserves were released on November 1. As a r e s u l t of the a c t i o n , required reserves, on a monthly average b a s i s , were reduced about $95 million in October and $685 million i n November. In November, t o t a l required reserves declined $710 million, only s l i g h t l y more than the reduction due to the changed requirements. Reduct i o n s i n reserves required against U. S. Government deposits were o f f s e t for the most p a r t by larger-than-seasonal increases i n reserves required against other d e p o s i t s . Excess reserves increased to $590 million in November from $485 million in October but borrowings also rose to $120 million from $65 million. Free reserves averaged $470 million compared with $420 million in October. Free reserves increased at country banks but a t c i t y banks, the reserve p o si t i o n s h i f t e d from small f r e e reserves in October to small net borrowed reserves in November. The e f f e c t i v e r a t e on Federal funds was usually at 3 per cent through early and mid-November; subsequently i t was most f r e quently a t 2-7/8 per cent or 2-3/4 per cent. - 3 During November, on a monthly average b a s i s , reserves were absorbed p r i n c i p a l l y by currency outflows and. increases in nonmember deposits and other F. E. accounts r e f l e c t i n g in p a r t mid-November i n t e r e s t payments on System-held U. S. Government s e c u r i t i e s . Federal Beserve holdings of U. S. Government s e c u r i t i e s declined s l i g h t l y . Eeserves were supplied almost e n t i r e l y through the reduction i n reserve requirements. New s e r i e s on "Liquid Assets Held by the P u b l i c . " A new s e r i e s on seasonally adjusted publicly-held l i q u i d a s s e t s i s now available and replaces the one previously included in t h i s Eeport. Exhibit K shows the new data for recent months and recent year-ends. Notes accompanying the table explain the new concepts and new coverage. These new data are now being included in "Economic Indicators" published by the Council of Economic Advisers. Monthly data, beginning in 1946, both unadjusted and adjusted for seasonal v a r i a t i o n , are available on request to the Banking Section, Division of Eesearch and S t a t i s t i c s , Board of Governors. Banking Section, Division of Eesearch and S t a t i s t i c s , Board of Governors of the Federal Beserve System. December 18, 1962. 1.4.3 LOANS AND I N V E S T M E N T S AT A l l l o s t W e d n e s d o y of roonth, EXHIBIT A, f o M 1 COMMERCIAL BANKS B i l l i o n s of d o l l a r s 260 «• o s o n o l l y adljusfed lOIAf LOANS AND INVESTMENTS S. GOV!. SECURITIES I OTHER SECURITIES 1957 1958 I960 1959 1961 ' 1962 1963 i Exhibit A - Part I I Total 1/ Date Louis 1 / U. S. Gov't, s e c u r i t i e s Other s e c u r i t i e s (In b i l l i o n s of d o l l a r s ) 1960—Dec. 1961—Deo. 31 31 191*. 5 111.2 12:.. 1 59.6 6it. 7 20.7 1962—Jan. Feb. March April May June July Aug. Sept. Oct. Nov. 31 28 28 25 30 30 25 p 29 p 26 p 31 P 28 p 210.7 213.3 215.2 120.8 12?.6 65.7 66.1 2i t . 2 12lu5 12lu 8 6U.5 65.5 1/ 209.6 215.0 2l6.it 220.3 217.8 220.3 222.0 22it.lt 225.8 123.8 126.6 126.1 12''. 3 129.7 131.7 132.3 66.1 66.6 61+. 1 65.0 61t. 3 6k.1 6it.it 23.8 2lt.6 25.3> 25.9 26.1 27.1 27.6 28.0 28.0 28.6 29.1 Adjusted to exclude interbank loans. # (.4.3. LOANS A T ALL C O M M E R C I A L EXHIBIT B, P a r i I BANKS B i l l i o n s of d o l l a r s lost W e d n e s d a y el month, i . o i o n u l l y a d j u s t e d SO RIAL ESTATE SECURITY 1959 1958 1957 Exhibit B - Part II Date Business ( I n I960—Dec. 1961—Dec. 1*2.1 1*1*. l 31 31 1962——Jan. 31 Feb. 28 March.28 April 25 May 30 June 30 July 25 Aug. 29 Sept. 26 Oct. 31 Nov. 28 p p p p Pj p - Preliminary, r - Revised. • l*l*.i 1*1*. 2 1*1*. 5. 1*1*.8 1*5.0 1*5* 5 l&S r 1*6.1 r 1*6.7 r 1*7.2 147.5 Real Estate b i 3. l i o n s of Consumer Security dc) 1 1 a r s ) 28.7 30.3 20.5 21.0 1*.3 5.2 30.1* 30*6 30.9 31.2 31.6 32.0 32.1* 32.8 r 33.1 r 33.2 33.9 21.1 21.2 21. k 21.6 21.8 22.0 22.0 22.2 22.3 r 22.5 22.7 U.8 5.5 6.0 5.6 5.2 5.3 l*.l* 1*.7 5.7 5.9 5.5 # $ # # # # # # * Exhibit C Changes i n Loans and Investments a t a l l Commercial Banks, Seasonally Adjusted (In b i l l i o n s of d o l l a r s ) 4 1961 „: em Dec. Jan. Feb. Mar. ; Apr, Loans and Investments 2/ +1.3 +1.1 +2.6 +1.9 . U. So Gov't, s e c u r i t i e s —0.6 +1.0 + 0 . U Other securities +0.2 +0.1* Loans 2/ +1.7 Business 3/ Real estate 3/ Consumer Security : Nonbank f i n a n c i a l Agriculture All other J/ 3/ May 'June July Aug p S e p t . p Oct. p Nov. p ! —0.1 +l.h +3.9 -2.5 +2.5 +1.7 +2ch +!.i ± 1/ -1.5 +0.9 +1.1 -2.5 +0.9 -0.7 —0.2 +0.3 + 0 . U +0.7 +0.6 +0.2 +1.0 +0.5 +0.U 1/ +0.6 +0.5 -0.3 +1.8 +1.2 +0.7 +0.3 +1.8 -0.5 +1.2 +2.14 +2.0 +0.6 +0.8 1/ +0.1 +0.3 +0.3 +0.2 +0.5 1/ +0.6 +0.6 +0.5 +0.3 +0.3 +0.1 + 0 . 2 +0.3 +0.3 +0.5 +0.b + 0 . 1 +o.U +0.3 +0.1; +0.1; 1/ 4 0 , 1 + 0 . 1 +0.2 +0.2 +0.2 +0.2 +0.2 + 0 . 1 +0.2 +0.2 i/ -o.k +0.7 +0.5 — 0 . IT —O.lt +0.1 —0.9 +0.3 + 1 . 0 +0.2 -O.I4 i/ 1 / -0.1 +0.2 -0.1 +0.1 +0.3 -0.1 +0.2 +0.1 +0.3 1/ +0.1 +0.3 +0.1 1/ +0.1 —0.1 +0.1 +0.1 -O.I4 + 0 . 1 +0.2 +0.1 +0.1 +0.2 +0.3 +0.2 + 0 . 2 +0.1 y +0.2 1/ +0.U ' [ y y y NOTE——Individual loan items may not add to change i n t o t a l loans becauses (1) loan items are gross of valuation reserves while t o t a l loans are n e t ; and (2} loan items and t o t a l loans are independently seasonally a d j u s t e d . Seasonally adjusted loans, by category, are experimental and are s u b j e c t to r e v i s i o n . 1 / Less than $50 m i l l i o n . ~2/ Adjusted to exclude interbank loans. 3 / Data revised on b a s i s of Sect,. 28, 1962, c a l l . p - Preliminary. Exhibit D Changes in Loans and Investments a t All Commercial Banks, a t WeeklyReporting Banks, and a t Other Banks, Not Adjusted f o r Seasonal, (In b i l l i o n s of d o l l a r s ) Item Last Wednesday of October to l a s t Wednesday of Novc;aber 1961 1962 1960 1958 1959 1957 1956 All commercial banks Tot°l loans U.S. Gov't, s e c u r i t i e s Other s e c u r i t i e s Total Weekly reporting banks Total loans U.S. Gov't, s e c u r i t i e s Other s e c u r i t i e s Total Other banks •t o t a l loans U.S. Gov't, s e c u r i t i e s Other s e c u r i t i e s Total Item All commercial banks Total loans U.S. Gov't s e c u r i t i e s Other s e c u r i t i e s Total + 0 . 8 -0.1 +0.2 +TTT5 +1.0 -0.lt +0.2 "KHB +0.1t —0.2 -0.1 +o7T + 0 . 8 -1.1 -0.3 =03 +1.3 +1.5 -0.2 —0.1 -O.lt -0.2 =03 + 0 . 6 -0.3 -0.2 -0.2 =07? +0.5 +0.6 +0.2 -0.2 +1.5 +9.5 +2.it +mi +1.9 -1.7 +1.1 ' +T7U + 0 . 1 + 0 . 5 -0.3 +0.2 —O.lt +o.lt +0*6 - 0 . 3 —1*0 + 0 . 1 - 0 . 2 - 0 . 2 +0.8 +0.9 -0.3 + 0 . 2 +0.5 +0.7 +0.2 1962 +8.5 —1.2 +lt.9 +T2T3 Weekly reporting banks i o t a l loans U.S. Gov't, s e c u r i t i e s Other s e c u r i t i e s Total -3.1 +3.3 +3.7 Other banks Total loans U.S. Gov't, s e c u r i t i e s Other s e c u r i t i e s Total +5.0 +1.9 +1.6 + 0 +3.5 =53 + 0 . 5 +0.7 + 0 . 2 - 0 . 1 + 0 . 1 +0.5 +0.1 - 0 . 1 + 0 . 1 + 0 . 1 =03 ?03 T O +1.2 + 0 End of December to l a s t Wednesday of Novembeir 1961 I960 1959 1958 1957 1956 1 / + 0 . 1 + 2 . 8 +5.2 +2.5 +ET3 -0.2 +3.3 +1.6 7HT7 + 3 . 0 +1.9 +0.9 - 0 . 1 +3.1t +1.3 -0#2 +Z1.Z1 + 0 . 2 +1.6 '2/+9.8 2/-7.9 +5.3 - 7 . 3 -1.1 +6.1 -0*c> -2.c> +l.lt 7^2 + 3 . 2 2M.5 - 0 . 3 2 / - 0 . 6 +2.6 +3. It 2 / + 0 . 2 + 1 . 0 2/3T2 +7.2 - 0 . 2 +1.6 -0.lt —1.6 +0.2 =n? +6.2 -3.lt -0.lt : +it.i —it. 0 - 0 . 6 + 2 . 3 +2.1 -0.1 + 0 . 6 + 0 . 9 +0.2 + 3 . 3 + 2 . 9 NOTE—Data exclude a l l interbank loans,- c a l l r e p o r t d a t a f o r weekly r e p o r t i n g banks used when a v a i l a b l e . Less than $50 m i l l i o n . # x * # * # # # # # * Exhibit E Changes in Commercial and I n d u s t r i a l Loans a t Weekly Reporting Banks (In m i l l i o n s of d o l l a r s ) 4 Business of Borrower Food processors Commodity d e a l e r s Trade concerns Total Sales f i n a n c e Metals and products T e x t i l e s , apparel, e t c . Petroleum, c o a l , e t c . Other manufacturing and mining Public u t i l i t i e s Construction All other types of business Classified Unclassified Total change T o t a l change excluding s a l e s finance 1/ 2/ 3/ End of October to end of I\[ovember 3/ 1962 1961 I960 1959 1958 1962 1961 I960 1959 1958 + 71 + 65 +108 +303 + 99 + 81 +203 +106 +123 + 1*3 Tm + 63 +181 +173 +517 +150 + 81 +108 +3# - 95 + 38 +1*70 +HI3 - 38 + 16 +193 +m - 36 -220 +613 7&7 - 1*1* +212 +71*2 +910 -159 +105 +160 +106 i/ 1/ 1/ 2/+l*55 -1,01*5 + 50 - 58 + 53 - 17 - 8I4 - 21 - 70 - 91 + 15 + 53 - 71 + 61 + 39 - h3 -11 +175 - 83 -51*2 - 1*5 - 95 +388 +100 - 91 +620 +169 + 17 -hlS -105 -202 + + - 6 — 16 + 2 + 27 - 50 + 2 + 12 + 1*3 + + 33 15 16 1*0 - 56 + 15 - 13 + 8 +Ji79 - 52 +191 +287 +335 -257 +113 +635 +310 -105 +117 +395 +208 +177 + 89 + 12 + 1*8 -118 +105 +300 +375 + 15 +166 -U*2 +131* - 22 +h6h - 78 +331 - 91 +1,1*00 +361 +315 -359 +1,1*72 -177 +2,657 - 23 -1,325 -1*23 +390 + 21* +112 +386 +21*0 +1,760 - 1*1* +1,295 +2,631* -1,71*7 +390 + 2b +112 +386 +198 +1,760 - 1*1* +1295 +2,179 -702 1*8 61 13 87 Not included in business loans on revised b a s i s . Through July 1. Four weeks used throughout. End of December t o end of November y + 1*2 y y y Exhibit F Loans and Investments a t All Commercial Banks (In b i l l i o n s of dollars) Loans and investments Date 1956: 1957: 1958: 1959: I960: Dec. Dec. Dec. June June Dec. Dec. 31 31 31 2i* (old) 2k (new) 31 1/ 31 U. S. Govt. Other securities Total loans 38.7 lt0.5 iiO.li 1*2.5 37.8 lt0.2 it3.1 22.5 23.1 25.3 26.9 26.9 28.1 28.7 16 It. 5 169.3 l8ii.it 181.2 181.2 189.5 198.5 58.6 58.2 66.it 60.9 60.9 58.9 61.0 16.3 17.9 20.6 20.6 20.6 20.9 89.7 93.2 97.5 102.8 102.8 110.0 116.7 2 0 . 5 Business Real estate Security Farm Consumer Nonbank financial institutions __ All other li.7 ii.l li.l li.9 5.1 U.2 ii.l 5.0 5.0 5.0 5.0 5.7 lli. 6 15.8 15.9 17.5 17.5 18.8 20.6 5.9 7.1 7.1 6.9 7.2 8.2 8.8 7.6 8.1 8.7 it.3 h.2 —— —— — 1961: Nov. 29 Dec. 30 109.1 21ii.it 66.2 66.6 23.it 23.9 119.5 123.9 it3.6 ii5.2 30.1 30.3 5.0 6.2 6.0 6.2 21.0 21.1 6.3 7.3 9.9 10.2 1962: Jan. Feb. Mar. Apr. May June July Aug. Sept Oct. Nov. 210.9 211.6 212.it 211*. 8 215.3 219.2 217.8 219.0 223.1 225.7 226.7 67.2 66.0 61*. li 61.7 6it.it 6it.ii 61.2 63.9 61.3 65.5 65.it 21*. 1 2U.5 25.il 26.1 26.1 27.0 27.5 27.9 28. 2 28.6 28.8 119.6 121.1 122.6 12it.O 121*. 8 127.7 126.1 127.3 130.6 131.6 132.it ii3.ii 1*3.7 1*1*. 8 iili.7 U5.0 U5.9 1*5.2 rit5.8 rli6.7 r 1*7.1 1*7.8 30.1i 30.5 30.7 31.1 31.5 32.0 32.ii 32.8 ** 33.2 r 33.6 31*. 0 li.7 5.1* 5.1* 5.7 5.1 5.3 l*.l* 1*.6 5.8 5.9 5.3 6. it 6.6 6.6 6.7 6.6 6.8 6.7 6.2 r6.3 r 6.5 6.5 21.0 20.9 21.1 21.1i 21.7 22.0 22.2 22.1* 22.5 r 22.6 22.8 6. it 6.1* 6.5 6.5 6.6 7.2 6.9 7.2 7.1* 7.2 7.2 10.0 10.1 10.2 10.5 10.8 11.1 11.0 11.1 rll. 3 rll.ii 11.6 31 28 28 28 30 30 25 29 26 p 31 p 28 p 1 p - Preliminary. 1/ Structure changes in 1959> on balance through August, added almost $1 b i l l i o n t o t a l c r e d i t ; $600 million in loans; $300 million in U. S. Government s e c u r i t i e s ; and $100 million i n other s e c u r i t i e s . Real e s t a t e loans increased about $300 million; business loans $100 million; consumer loans $100 million; and other loans $100 m i l l i o n . NOTE—Data exclude interbank loans. Total loans are a f t e r and types of loans before deductions f o r valuation reserves. Consumer and "other loans" are p a r t l y estimated f o r a l l dates. Other data are p a r t l y estimated on a l l but June and December c a l l dates. Beginning June 2l*> 1959> "business loans" and " a l l other loans" have been revised to exclude loans to nonbank f i n a n c i a l i n s t i t u t i o n s . 4 • • • • • • f t # Exhibit G Ratios t o Total Deposits 1/ U. S. Govt, seci i t i e s maturing within one year LOANS Date All commercial banks Total Member banks Reserve c i t y banks New York City of Other City Chicago Country I All commercial banks 191i8? Dec. Dec. 19k9t 1950s Dec. 1951: Dec. 1952: Dec. 1953: Dec. 1951: Dec. 1955: Dec. 1956: Dec. 1957: Dec. 1958: Dec. 1959$ Dec. I960: Dec. 31 31 31 31 31 31 31 31 31 31 31 31 31 31.2 31.1 35.8 37.2 39.3 ii0.5 ii0.3 U5.8 it8.8 ii9.7 i18.it 54.0 55.1 31.3 30.9 36.1 37.6 39.9 ill. 1 ii0.7 46.7 50.1 51.0 ii9.it 55.6 56.5 1961: Nov. Dec. 29 30 5it.7 5ii.5 55.7 55.7 63.5 65.0 58.0 57.7 58.3 57.7 50.2 10.6 Jan. Feb. Mar. Apr. May June July Aug. Sept. Oct. Nov. 31 28 28 25 30 30 25 29 26 31 5it.l 5ii.9 55.ii 55.it 55.8 55.9 55.6 56.0 56.it 56.1 56.it 55.3 56.0 56.5 56.5 56.8 56.8 56.5 57.0 57.6 57.3 57.5 63.0 6it. 7 65.8 65.ii 6i4.il 63.6 56.8 57.7 50.1 59.2 58.3 57.3 57.5 56.5 57.1 58.6 57.6 57.3 58.3 58.ii 59.1 59.0 59.3 59.5 59.9 51.2 51.3 51.8 10.9 11.7 10.9 51.7 51.7 51.6 10.7 10.7 11.9 9*3 51.6 n.a. 1/ p p p P 28 p 35.9 34.9 ii2.5 ii6.3 50.6 50.6 it6.8 56.7 61.7 61.9 57.7 67.3 65.9 63.0 65.8 68.8 67.ii 66.6 30.it 2 >.6 32.3 36.2 38.9 39.1 38.3 46.3 52.7 55.2 ii9.il 58.2 60.8 58.8 33.ii 32.it 38.1 39.il iil.l 42.2 ill. 9 ii8.5 52.7 53.3 51.3 58.2 59.0 58.0 60.0 6 0 . 7 27.1 28.5 31.5 32.1 33.9 36.1 37.1 ii0.7 42.6 ilii. 1 iiii.il it8.2 50.3 50.5 50.8 52.1 r51.2 lit. 2 19.2 15.2 9.8 11.7 16.9 10.0 5.1 7.5 8.it 8.3 6.7 8.1 10.it 10.6 11.1 10 .4 Total loans ( a d j u s t e d t o exclude loans to banks)5 U. S. Government s e c u r i t i e s maturing 2/ P - Preliminary. * - Revised. # 1.4.3. P E P O W S AND EXHIBIT H, Part 1 CURRENCY 160 150 j MONEY SUPPLY 1 4 0 130 i 120 110 100 9 0 80 TIME AND SAVINGS DEPOSITS 7 0 60 50 - U . S . GOVT P I P O S I T S 7 Not a d j u s t e d for s e a s o n a l 1 9 5 8 1957 1959 1960 1962 1961 1 9 6 3 i^All commercial bonks., Exhibit H - Part II Seasonally adjusted data Period Total 1959- -Dec. 1960--Dec. 1961--Dec. (2) (2) (2) . 1U1.8 mi. 2 1)46.0 1962-- J u l y Aug. (2) 145.7 11*5.6 (1) (2) Sept. (1) (2) Oct. (1) (2) Nov. (1) (2) P 1 4 4 . 8 145.4 145.3 146.1 146.2 U 6 . 7 147.1 Money supply Demand Currency deposits (In b i l l i o n s of d o l l a r s ) 28.8 113.0, 28.9 112.2 29.6 116.4 115.5 115.4 114.6 115.2 115.1 115.8 115.9 116.3 116.6 30.2 30.2 30.2 30.2 30.2 30.3 30.3 30.4 30.5 u. s. Time and savings deposits 67.4 73.0 82.7 91.9 92.2 92.7 93.1 93.6 94.3 95.0 95.6 96.4 Gov't, deposits 5.2 5.3 5.5 6 . 0 5.4 8 . 1 6.6 7.8 8.2 6.5 5.4 6.7 1.4.3 TIME A N D !W• d w i d o y SAVINGS DEPOSITS AT EXHIBIT I, P o r t 1 MEMBER BANKS IN LEADING CITIES B i l l I o u t of d o l l o r : S5 Hgwf_» T O U t TIME AND SAVINGS DEPOSITS SAVINGS DEPOSITS TIME DEPOSITS OF INDIVtDUAIS, PART NEBS . H j P S , _ A N D C O R P O * ATIONS .1 I I 1 I 1 1 1 L 1—NzvJ A JL , A 5 r° itts Exhibit I - Part I I S a v i n g s D e p o s i t s Individuals, Other time p artnerships, Savings Total deposits l/ and corporations, ( I n m i 1 1 i 0 n s ci f d o l l a r s ) Timei and Period 1961—April 26 Dec. 27 38,175 41,472 27,819 30,082 1962—June . July Aug. Sept. Oct. 27 25 29 26 31 17,077 147,257 U7,729 148,103 148,658 32,539 33,044 33,404 33,739 . 34,246 7 lb 21 28 48,806 18,766 48,735 49,023 34,355 34,343 34,418 34,459 Nov. 2/ 5,480 5,969 4,876 5,421 8,511 8,296 8,428 , 8,540 8,688 6,027 5,917 5,897 5,824 5,724 8,654 8,628 8,476 8,590 5,797 5,795 5,841 5,974 Includes S t a t e s and p o l i t i c a l subdivisions, U. S. Government, f o r e i g n governments and o f f i c i a l i n s t i t u t i o n s , and interbank. Exhibit J Member Bank Reserves (Based on averages of daily figures3 in millions of d o l l a r s ) Free reserves (excess reserves minus borrowings) Date Monthly averages? J-95&* Dec saber 195?: December 1958: Dec ember 1959 2 De cember 1960S December All member Country Borrowings All member All member All member - 36 -133 - la —ii2li 669 - 91 -105 - 80 -109 10 — 86 - 77 — 32 -10l| - 1* -203 -228 -197 -1*1*9 80 341* 277 268 237 58 3 651 577 516 1*81 756 688 710 557 906 87 17 >61*3 17,560 18,1*91* 18,51*0 18,887 12 lit - 50 — 21* - 13 - 22 8 13 2k 1*1*6 1*9)* 1*71 507 611* 57 3 65 105 11*9 19,61*0 19,792 19,701* 20 22 15 9 36 - 1* 1*83 1*01* 391* 1*01 365 389 616 502 1*70 509 1*97 1*70 70 68 91 69 63 100 19,812 19,789 19,761* 19,822 19,957 19,981* 3 2 1*16 1*)*1 1*08 382 531 561* 1*58 1*81* 587 89 127 80 65 119 20,006 19,91*1 20,071* 1/ 20,279 1 / 20,31*0 1961s October November December W*1 509 h2k 1962: January February March April May June 51*6 i3h 379 July August September October November p Reserve City Banks New York City of Other City Chicago Total reserves held seasonally adjusted Excess reserves W > 1*3U 370 hh2 U37 378 1*19 1*68 2 A — 11 2u 50 - 3 - 6 — 20 3 - 3 10 - 1 2 6 18 7 - 19 31* 13 - LIT - 1 0 - 1 7 5 - 19 1*81 i NOTEs Beginning July 26, 1962, figures for both New York and the City of Chicago include banks formerly c l a s s i f i e d as central reserve city and three banks whose classification as reserve city is continued, p - Preliminary. l / Data adjusted to exclude effect of change in reserve requirements, Exhibit K Liquid Assets Held by the Public - Seasonally Adjusted Series 1/ (Amounts in b i l l i o n s of d o l l a r s j r a t i o s expressed as percentages'^ Total Demand Time deposits Savings U. S« U. S® Govt, deposits Postal and Govt* s e c u r i t i e s and Commercial Mutual Savings loan savings maturing currency banks savings System shares bonds within one banks 2/ year 6 / V 5/ 320.3 332*5 3143-2 356*0 373.1 393° 9 399.2 130*2 133.3 134.6 133.5 138*8 139*7 138*4 57.5 65.4 67.4 73.1 1420*7 81*5 82*5 82*5 38*0 I4.2U0 6 141.7 142.0 14.2*6 427*1 430*6 435.3 438*2 439*6 442*9 441*1 447.9 449*0 453.0 n,a. 142*0 142*3 142.2 143*4 142.8 142.,3 142., 2 141.,3 142..5 143.8 143.4 85. 38.6 38*8 39*0 39 2 39 3 39 7 122*2 48*2 49*7 52*0 86* 8 7 . 8 88, 89. 91, 91. 92. 93. 95. 96*8 26, °8„ 30, 31 < 33. 34* 36* 38*2 38*3 40*0 40, 40* 40, 41. 2, 1= 1< lc 1, 0. 0*8 27. 32. 37= 4l< 47, 54. 6 1 . 8 0*7 6 8 * 9 0 * 7 6 9 . 8 0*6 70,5 >6 7 1 . 1 ,6 ,6 7 1 . 8 ,6 ,6 ,6 ,6 ,6 ,6 ,6 •5 72*8 7 3 . 4 74*0 74.8 75.4 76*.4 77..4 78*, 2 n. a. T "TT 55.6 55.9 54.8 51.6 50*5 47.9 47.0 30 , 6 31, 6 33, 2 38, 8 35, 6 48, 8 41. 9 47.3 47.4 47.4 42*6 41.7 42*6 47. 47, 4747. 47, 47. 47, 47*5 47. 47, 47, 42.4 43.3 45.5 45.6 45.7 46*9 46.8 49*2 46*6 46.9 45.2 Ratioss Demand Liquid assets deposits Commercial to gross and bank deposit; n a t i o n a l pro- currency & currency to duct 7/ to gross l i q u i d asset; national (2+3 : 1) product?/ TT 85, 8l e 79* 80* 80o 80, 79, 78.2 78*8 35.0 31.2 30*3 29*9 28*7 27*5 55.7 55.0 54*4 53.6 54*8 52*6 53.0 26*3 53.1 53.2 53.0 32*6 26*1 79.5 25.9 80.3 25.6 For footnotes see next page JOTEs This is a new s e r i e s and d i f f e r s from the one previously shown in concept and coverage. See t>age 3 of t h i s report. 53.2 53 1 52*8 52*9 52 52, 52, 52, 52, 52.8 ru SLo Exhibit K (Continued) 1/ Excludes holdings of the United States Government, Government agencies and t r u s t funds, domestic commercial banks, and Federal Reserve Banks. Adjusted to avoid double counting whereever possible. All s e r i e s adjusted f o r seasonal v a r i a t i o n by the X-9 v a r i a n t of Method I I developed by the Bureau of the Census, 2/ Data are f o r demand deposits adjusted and currency outside banks and are as of the l a s t Wednesday of the month. In concept the f i g u r e s agree with the d a i l y average money supply described in d e t a i l in the Federal Reserve Bulletin f o r August 1962, p» 91*1, except t h a t demand deposits held by mutual savings banks and by savings and loan associations have been deducted to avoid double counting. Demand deposits of commercial banks "n Alaska and Hawaii are included beginning January 1959 and August 195S r e s p e c t i v e l y , except t h a t one national bank i n Alaska and 1 national bank in Hawaii were included i n April 195U and April 1959, r e s p e c t i v e l y . Demand deposits due to banks in United S t a t e s possessions are included throughout. 3/ Total time deposits at commercial banks except interbank, U. S. Treasurer's open account, and p o s t a l savings redeposited i n commercial banks. Data are as of the l a s t Wednesday of month except June 30 and December 31 when c a l l data f o r these dates were used when available. Time deposits of commercial banks in Alaska and Hawaii and time deposits due to banks i n U. S. possessions are included as indicated f o r demand deposits in footnote 2 above. V Figures compiled by the Federal Savings and Loan Insurance Corporation except t h a t p r i o r to 1955 data are Board estimates based on monthly f i g u r e s of inflow of new savings and withdrawal of savings c a p i t a l compiled by the Federal Home Loan Bank Board. 5/ Includes a l l types of savings bonds held by investors other than commercial and mutual savings banks and U. S. Government agencies and t r u s t funds. Holdings of savings and loan associations are also excluded beginning i n February I960, the e a r l i e s t date f o r which separate f i g u r e s f o r these i n s t i t u t i o n s are a v a i l a b l e . Figures are from d a t a compiled by the U. S. Treasury Department. 6/ Beginning December 1950 f i g u r e s include Treasury marketable s e c u r i t i e s and Federal agency securi t i e s maturing within one year, except holdings of domestic commercial, mutual savings, and Federal Reserve Banks, Government agencies and t r u s t funds, and beginning February I960, savings and loan associations. Figures have been adjusted tc include p a r t i a l l y tax-exempt s e c u r i t i e s 12 months p r i o r to f i r s t c a l l d a t e , and, p r i o r to 1956, nonmarketable Treasury savings notes with m a t u r i t i e s up to 36 months. Prior t o December 1950 f i g u r e s f o r marketable issues include securi t i e s c a l l a b l e within one year. Figures represent par value and are from the U. S. Treasury Department's Survey of Ownership of U. S. Government s e c u r i t i e s . 7/ Gross n a t i o n a l product f i g u r e s are available q u a r t e r l y and annually only. Data f o r t o t a l liquid a s s e t s used in computing these r a t i o s are q u a r t e r l y averages calculated f o r four dates (each month of the current quarter and the l a s t month of the preceding q u a r t e r ) .
@FedFRASER