The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
L.4.3 ... X...xAx'V(\ W*v # MOKBTABT DEVELOPMENTS IN DECEMBER 1959 Bank c r e d i t . T o t a l c r e d i t a t a l l commercial banks increased $ 2 . 8 b i l l i o n in December, r e f l e c t i n g new Treasury f i n a n c i n g and heavy s e a s o n a l loan demands. Commercial banks purchased most of t h e $2 b i l l i o n ten-month b i l l s issued by the Treasury on December 2. Subseq u e n t l y , however, they reduced t h e i r holdings of U. S. Government s e c u r i t i e s , but over t h e month, these holdings rose on balance by $200 m i l l i o n . T o t a l loans increased $2.5 b i l l i o n , almost a s much a s l a s t y e a r ' s record $2.8 b i l l i o n r i s e in December, Holdings of o t h e r s e c u r i t i e s increased moderately. T o t a l c r e d i t a t a l l commercial banks increased $3«4 b i l l i o n in 1959 ( a f t e r allowance f o r a d d i t i o n of banks in Alaska and Hawaii and o t h e r bank s t r u c t u r e changes), only about o n e - q u a r t e r as much as t h e record $15 b i l l i o n c r e d i t expansion in 1958, and l e s s t h a n in any o t h e r r e c e n t y e a r . Loan growth, however, t o t a l e d $11.7 b i l l i o n , about t h e same a s t h e peak expansion in 1955• In meeting heavy loan demands, banks reduced t h e i r holdings of U. S. Government s e c u r i t i e s by $ 8 . 1 b i l l i o n , t h e l a r g e s t r e d u c t i o n in r e c e n t y e a r s . Holdings of U. S. Government s e c u r i t i e s had increased by about $8 b i l l i o n i n 1958. Holdings of o t h e r s s c u r i t i e s which had a l s o shown record growth in 1958 declined s l i g h t l y in 1959J a v a i l a b l e e s t i m a t e s i n d i c a t e t h a t S t a t e and l o c a l government s e c u r i t i e s increased s l i g h t l y while o t h e r s e c u r i t i e s , p a r t i c u l a r l y non-guaranteed U. S. Government o b l i g a t i o n s , d e c l i n e d . The drop in c r e d i t growth in 1959 compared with 1958 was marked a t c i t y banks. C r e d i t growth a t weekly r e p o r t i n g banks was nominal compared with t h e record $7.6 b i l l i o n in 1958. At country member banks, however, c r e d i t increased about $2.2 b i l l i o n ( a f t e r adjustment f o r s t r u c t u r e changes) compared with t h e record $4.7 b i l l i o n in 1958. The r e d u c t i o n in holdings of U, S . Government s e c u r i t i e s was e x c e p t i o n a l l y l a r g e a t c i t y banks, $ 7 , 1 b i l l i o n compared with an increase of $5.5 b i l l i o n l a s t y e a r . The $1.3 b i l l i o n r e d u c t i o n a t country banks followed a $1.8 b i l l i o n r i s e in 1958, Loans showed record or n e a r - r e c o r d expansion a t each group of banks. Holdings of o t h e r s e c u r i t i e s declined a t c i t y banks but rose moderately f u r t h e r a t country banks. Business loans a t c i t y banks (excluding loans t o s a l e s f i n a n c e companies) rose $565 m i l l i o n in December, considerably more t h a n in December of 1955, 1956, and 1958. Borrowing in t h e t a x payment week of December 16 was l a r g e r t h a n in t h e comparable week a y e a r ago and accounted f o r about t w o - t h i r d s of t h e December i n c r e a s e . Seasonal borrowing by food Not f o r p u b l i c a t i o n p r o c e s s o r s and commodity d e a l e r s was considerably l a r g e r t h a n u s u a l over t h e month. Loans t o metals p r o c e s s o r s rose $100 m i l l i o n b u t a t t h e end of t h e y e a r t h e y were s t i l l about $150 m i l l i o n below t h e i r p r e - s t r i k e l e v e l in e a r l y J u l y . Loans t o a l l o t h e r i n d u s t r i e s increased in December except t h o s e t o t r a d e concerns and t e x t i l e manufacturers which d e c l i n e s e a s o n a l l y in t h i s month. Over t h e y e a r , business loans a t c i t y banks (excluding loans t o s a l e s f i n a n c e companies) increased $2.7 b i l l i o n , about t h e same a s in 1955 but l e s s t h a n i n 1956. Loans t o food p r o c e s s o r s , commodity d e a l e r s , and t r a d e concerns increased more t h a n in any other y e a r except 1956 and accounted f o r more t h a n o n e - t h i r d of t h e t o t a l borrowing. Loans t o metals manufacturers a l s o Increased s u b s t a n t i a l l y , but l e s s t h a n i n 1956, accounting f o r more t h a n o n e - f o u r t h of t h e t o t a l borrowing. Outstanding loans in a l l o t h e r b u s i n e s s c a t e g o r i e s rose moderately. Loans t o s a l e s f i n a n c e companies increased $730 m i l l i o n in December, considerably more t h a n in December of any o t h e r y e a r . Sales f i n a n c e companies u s u a l l y borrow h e a v i l y from banks l a t e in t h e y e a r t o o b t a i n funds f o r r e t i r i n g open market paper h e l d by n o n f i n a n e i a l corporat i o n s . Over t h e y e a r loans t o s a l e s f i n a n c e companies probably increased, over $1 b i l l i o n , more t h a n i n any o t h e r y e a r except 1955. Business loans a t a l l commercial banks ( i n c l u d i n g loans t o s a l e s f i n a n c e companies) increased $5.3 b i l l i o n i n 1959, about t h e same a s i n 1956, but about $ 1 b i l l i o n below t h e peak 1955 expansion. Heal e s t a t e and consumer loans a t a l l commercial banks increased f u r t h e r i n December• Over t h e y e a r , each category increased around $2.5 b i l l i o n , about t h e same a s in previous peak y e a r s . I n each c a s e , second q u a r t e r growth had been of record volume. S e c u r i t y loans increased $600 m i l l i o n i n December, b u t s u b s t a n t i a l growth i s u s u a l i n t h i s month. These loans were about unchanged over 1959. A g r i c u l t u r a l loans declined s l i g h t l y in December and s l i g h t l y over t h e year. Deposits and currency. Seasonally a d j u s t e d demand d e p o s i t and currency holdings of b u s i n e s s e s and i n d i v i d u a l s increased $100 m i l l i o n i n December ( a f t e r adjustment f o r an estimated $400 m i l l i o n r e d u c t i o n i n demand d e p o s i t s r e s u l t i n g from a t e c h n i c a l change in Regulation D amending t h e d e f i n i t i o n of such d e p o s i t s ) . Seasonally a d j u s t e d demand d e p o s i t s increased $400 m i l l i o n in December, but currency o u t s i d e banks declined $300 m i l l i o n . The December increase i n t h e money supply followed a s e a s o n a l l y a d j u s t e d r i s e of $200 m i l l i o n in November. At t h e end of December t h e money supply was about $600 m i l l i o n or 1/2 p e r cent h i g h e r Not f o r p u b l i c a t i o n 1 L.4.3 - 3 ~ t h a n a y e a r ago. Most of t h e i n c r e a s e , $500 m i l l i o n , was i n demand d e p o s i t s a d j u s t e d . I n 1958> demand d e p o s i t s a d j u s t e d had increased over $5 b i l l i o n . (Adjustment in t h e f i g u r e s f o r tiie y e a r 1959 a s a whole r e s u l t i n g from t h e amended d e f i n i t i o n was about o f f s e t by t h e e f f e c t of t h e a d d i t i o n of banks in Alaska and Hawaii.) Seasonally a d j u s t e d semi-monthly averages of d a i l y demand d e p o s i t s a t member banks declined $400 m i l l i o n from t h e second h a l f of November t o t h e second h a l f of December ( a f t e r adjustment f o r change in d e f i n i t i o n ) . At t h e y e a r - e n d , t h i s s e r i e s was about $400 m i l l i o n below t h e year-ago l e v e l . U. S. Government d e p o s i t s increased # 0 0 m i l l i o n i n December; u s u a l l y t h e s e d e p o s i t s d e c l i n e s u b s t a n t i a l l y in t h i s month. Over t h e y e a r , they increased $600 m i l l i o n . Time d e p o s i t s a t commercial banks increased $700 m i l l i o n in December, b r i n g i n g t h e increase f o r t h e y e a r t o about $1.5 b i l l i o n ( a f t e r adjustment f o r bank s t r u c t u r e changes.) This was comparable with t h e 1955 i n c r e a s e . I n 1958, time d e p o s i t s had shown a record $7 b i l l i o n r i s e . Deposits a t mutual savings banks increased $400 m i l l i o n i n December and $ 1 . 3 b i l l i o n f o r t h e y e a r , l i t t l e more t h a n h a l f a s much a s i n 1958 and l e s s than in any o t h e r r e c e n t y e a r . Deposit t u r n o v e r . The s e a s o n a l l y a d j u s t e d annual r a t e of t u r n o v e r of d e p o s i t s a t 337 c e n t e r s o u t s i d e New York and o t h e r f i n a n c i a l c e n t e r s was 2 5 . 1 in December (based on unpublished Board s e a s o n a l s ) compared with 25.3 in November. Turnover had increased from 2 3 . 7 a t t h e end of 1958 t o 24.7 in A p r i l 1959 and remained a t t h a t l e v e l through October. The Increase over t h e y e a r was 6 p e r c e n t , about t h e same a s in 1956, but somewhat l e s s than in 1954 and 1955. Bank r e s e r v e s . Net borrowed r e s e r v e s of member banks averaged $415 m i l l i o n in December compared with $435 m i l l i o n i n November. Borrowings averaged $905 m i l l i o n i n December, s l i g h t l y h i g h e r t h a n a month e a r l i e r while excess r e s e r v e s were a l s o s l i g h t l y h i g h e r a t $490 m i l l i o n . Reserve p o s i t i o n s were somewhat e a s i e r a t c e n t r a l r e s e r v e c i t y banks i n New York and a t country banks but somewhat t i g h t e r a t other banks. During December, on a d a i l y average b a s i s , r e s e r v e s were absorbed by a currency outflow of $570 m i l l i o n and a combined change i n gold stock and f o r e i g n d e p o s i t s of $145 m i l l i o n . Esquired r e s e r v e s increased $280 m i l l i o n . S u b s t a n t i a l increases i n early-and-mid-December a s s o c i a t e d with Treasury f i n a n c i n g and q u a r t e r l y t a x d a t e borrowing were followed by some r e d u c t i o n l a t e in t h e month. Not f o r p u b l i c a t i o n # Reserves were provided i n December by a s e a s o n a l I n c r e a s e i n Reserve Bank f l o a t of $330 m i l l i o n and F e d e r a l Reserve System p u r c h a s e s of TJ. S . Government s e c u r i t i e s of $305 m i l l i o n . I n a d d i t i o n , more t h a n $300 m i l l i o n of r e s e r v e s was provided through amendments t o R e g u l a t i o n D r e l a t i n g t o member bank r e s e r v e s . Under l e g i s l a t i o n e n a c t e d i n t h e l a s t Congress, t h e Board amended R e g u l a t i o n D, e f f e c t i v e December 1 a t c o u n t i y banks and December 3 a t r e s e r v e c i t y banks, t o a u t h o r i z e banks having l a r g e h o l d i n g s of v a u l t cash i n r e l a t i o n t o t h e i r d e p o s i t s t o count a p a r t of t h i s cash a s r e s e r v e s . T h i s i n c r e a s e d t o t a l r e s e r v e s h e l d a s v e i l a s excess r e s e r v e s by about $190 m i l l i o n a t c o u n t r y banks and about $75 m i l l i o n a t r e s e r v e c i t y b a n k s . A l s o , due t o a t e c h n i c a l change i n t h e d e f i n i t i o n of demand d e p o s i t s s u b j e c t t o r e s e r v e r e q u i r e m e n t s under R e g u l a t i o n D, e f f e c t i v e December 1, r e q u i r e d r e s e r v e s a t c o u n t r y banks a r e e s t i m a t e d t o have d e c l i n e d by about $45 m i l l i o n (based on an e s t i m a t e d $400 m i l l i o n r e d u c t i o n i n demand d e p o s i t s a t country banks) and e x c e s s r e s e r v e s t o have i n c r e a s e d by a corresponding amount. Member bank r e s e r v e p o s i t i o n s became more r e s t r i c t i v e over t h e f i r s t seven months of 1959 and by J u l y , n e t borrowed r e s e r v e s were a t a l e v e l of $560 m i l l i o n compared w i t h $40 m i l l i o n In December 1958. During t h e l a t t e r p a r t of 1959, member bank r e s e r v e p o s i t i o n s eased s l i g h t l y , a v e r a g i n g $415 m i l l i o n i n December a s noted a b o v e . Reserves were absorbed over t h e y e a r p r i n c i p a l l y by f o r e i g n o p e r a t i o n s of $850 m i l l i o n ( e x c l u s i v e of t h e $344 m i l l i o n payment i n gold t o t h e I n t e r n a t i o n a l Monetary Fund) and by a n i n c r e a s e i n currency In c i r c u l a t i o n of $405 m i l l i o n . Reserves were s u p p l i e d by F e d e r a l Reserve p u r c h a s e s of $725 m i l l i o n of U. S . Government s e c u r i t i e s . I n a d d i t i o n , t o t a l r e s e r v e s Increased $320 m i l l i o n a s a r e s u l t of t h e v a u l t cash amendment d i s c u s s e d above. Required r e s e r v e s i n c r e a s e d $75 m i l l i o n over t h e y e a r . Not f o r p u b l i c a t i o n - 5 Table 1 L.ii.3 Estimated Changes i n Loans and Investments a t All Commercial Banks (In b i l l i o n s of dollars) Last Wednesday of November t o end of December 2 / Item Total loans (excluding interbank) Business Real e s t a t e Security Agricultural Consumer All other 1959 1958 1957 1956 1955 1951* + 2.5 + 2.8 + 1.7 + 1.5 + 1.8 + 1.5 + + + — + + 1.5 0.2 0.6 0.1 0.2 0.1 + + + + + + 1.1 0.3 0.8 0.1 0.2 0.3 + + + + + 0.9 0.1 0.6 0.1 0.1 1/ + 0.9 J/ + 0.3 + 0.1 + 0.1 + 0.1 + + + + + y + + + + + + 0.3 0.2 0.7 0.1 0.1 0.1 1.3 + 1.3 + 0.1* + 0.2 - 1.1 + 0.1 + 0.1 + + 0.6 U. S. Government s e c u r i t i e s + 0.2 - Other s e c u r i t i e s + 0.1 + 0.3 + o.5 + 2.8 + 1.7 + Total loans and investments ( l e s s interbank) Last T o t a l loans (excluding interbank) Business Real e s t a t e Security Agricultural Consumer A l l other 3 .It y + 1.8 0.9 0.1 o.5 0.2 0.2 2.1 Wednesday of November t o end of December 2 / 1953 1952 1951 1950 191*9 1918 + 0.7 + 1.0 + 1.0 + 1.1 + O.lj. + 0.3 — 0.6 + + + + + o.it 0.1 o.it 0.2 0.3 0.1 + 0.6 + 0.1 + O.lt + 0.8 + 0.1 + 0.1 + 0.1 - 0.1 + 0.1 11# B* n.a* n.a. n.a. + 0.1 n.a. n.a. n . «%* n*a* n.a* 1/ n.a. - 0.8 - 0.1 + 0.3 + 0.1 - y + 0.6 + 0.5 + 0.1 y y 1/ U. S. Government s e c u r i t i e s - Other s e c u r i t i e s + 0.1 — 0.1 + 0.3 + 0.3 + 0.2 + 0.1 + 0.6 + 0.2 + 1.3 + 1.6 + 0.6 + 0.2 t o t a l loans and investments ( l e s s interbank) 0.3 1 / Less than $50 m i l l i o n . "%/ Except f o r 1959, which i s f o r December 30, dates a r e f o r l a s t working day of December. Not f o r p u b l i c a t i o n 0.2 — 6 L.lt.3 — Table 1 Estimated Changes i n Loans and Investments a t A l l Commercial Banks (In billions of dollars) End of June t o end of December 2 / Item 1959 W T o t a l loans (excluding interbank! Business Real e s t a t e SecurityAgricultural Consumer A l l other 1958 7.0 + + + + + 3.3 1.2 0.6 1957 1.2 3.6 + + 0.2 1.1 0.8 + + + 1.5 1.6 1.0 O.lt 0.2 + + + 0.9 1/ ^0.5 0.3 + + o.lt o.i + + 0.1 U. S. Government s e c u r i t i e s - 2.3 + 2.2 + Other s e c u r i t i e s - 0.2 + O.it + 1.1 + ii .6 + 6.2 + Total loans and investments (less interbank) 1953 Business Real e s t a t e SecurityAgricultural Consumer All other 2.7 - 5.0 1955 3.1i 7.3 2.6 li.lt 0.7 0.2 + O.h 0.2 + + 1.9 - 0.2 - 0.1 0.1 + 5.1 1952 2.6 0.2 0.5 0.8 1.3 0.3 1/ + + + + + + 1951 + 2.9 + 7.5 2.6 + 2.2 + + + 5.0 l.i o.i 1/ 0.7 0.1 0.3 1.1 + o.it - o.i + 0.3 + 0.3 !/ + 0.1 0.8 0.6 + + + 1.7 1.9 + + + + + 0.6 0.5 0.3 0.2 0.7 0.3 2.1 3.0 - 3.7 3.8 Other s e c u r i t i e s O.Zt 0.1 0.6 + 1.2 0.7 7.7 7.2 6.6 + 6.It 0.7 1.2 0.7 0.1 0.1 O.h 5.5 0.8 9.5 • 1919 It.8 lt.9 + + + 0.1 1.1 0.2 U. S. Government s e c u r i t i e s T o t a l loans and investments (less interbank) 3.2 5.5 1950 lt.9 1951 1.0 0.6 End of June t o end of December 2 / Item T o t a l loans (excluding ~ interbank) 1956 1918 + 2.7 + 0.9 + 0.6 / + 2 0.8 + 0.3 + 0.1 - 2.2 1/ o.5 1 / Less than $50 m i l l i o n . ' n . a . Not Available 2 / Dates are f o r June 30, f o r a l l years except 1959, 1958, and 1957 which are f o r l a s t Wednesday. Dates are f o r December 31 except f o r 1959 which i s f o r December 30, 3 / In October 1955, t h e l e v e l of b u s i n e s s loans was inc re ase d b y , and t h a t of r e a l e s t a t e decreased by, #300 m i l l i o n t o c o r r e c t c l a s s i f i c a t i o n e r r o r s . h/ As a r e s u l t of i n c l u s i o n of banks i n Hawaii, in August 1959 t o t a l c r e d i t increased about $300 m i l l i o n ; t o t a l loans #200 m i l l i o n ; and U. S. Govt. s e c . , $100 m i l l i o n . 5 / Data f o r a l l commercial banks w i l l not be revised t o conform with changes i n weekly r e p o r t i n g data u n t i l a l l bank c a l l data a r e a v a i l a b l e on new b a s i s . # - 7 L.k.3 Table 1 Estimated Changes In Loans and Investments a t All Commercial Banks (In b i l l i o n s o£ d o l l a r s ) Tear Ending December Item 1959 y y 1958 1957 1956 1955 195fc + 12.3 + 1.3 + 3.5 + 7.6 + 11.6 + 2.9 + 2.8 l/< - 0.2 + 2.6 + 1.5 — + + + + + 0.1 2.1 0.1; 0.9 0.2 1.0 + + + + 1.8 0.6 0.1 0.1 1.2 0.3 + + •* + + 5 . 5 2/+ 6.1t 1 . 7 W+ 2. It + 0.6 0*8 0*3 - 0.7 l.L + 2.3 o.h + 0.9 + + + U. S. Government s e c u r i t i e s - 7.8 + 8.1 - 0.3 - 3.0 - + Other s e c u r i t i e s - 0.2 + 2.6 + 1.7 - O.lt + 0.1; + 1.6 + li.li + 15.1 * + il.2 + It»6 + 10.2 19lt9 19&8 # Total loans (excluding interbank) # 0 • Business Real'estate Security Agricultural Consumer All other Total loans and investments ( l e s s interbank) + 5.U i T o t a l loans (excluding interbank) 1952 6.1; 3.h + + + + + 0.7 1.0 O.lt 1.0 1.5 0.2 1951 + + + + + + 2.0 1.1 0.6 1950 9.3 5.1* + + iuO 0.3 + + + 1.0 0.5 1.9 0.3 + + + 0.5 o.i 0.3 + + 0.5 - h.9 2.0 0.2 0.1 1.6 0.9 0.5 + + + + + 1.9 0.7 0.3 0.8 0.3 it.h - 6.6 0.2 1.0 + 0.1 + 1.8 - Other s e c u r i t i e s + 0.2 + 0.8 + 0.9 + 2.2 1.0 + lt.1 + 9.0 + 5.9 + 6.5 5.9 5.0 k.h + + + + + + U. S. Government s e c u r i t i e s Total loans and investments ( l e s s interbank) 5.6 Year Ending December Item Business Real e s t a t e Security Agricultural Consumer All o t h e r li.9 7»h 0.3 1.7 0.9 0.2 1/ + "0.6 l.h 0.3 1.2 1.0 0.3 0.2 - 2.0 1 / Less than $50 million. n.j a . Not a v a i l a b l e . ? / In October 1955, t h e l e v e l of b u s i n e s s loans was increased by, and t h a t of r e a l e s t a t e loans decreased by #300 million t o c o r r e c t c l a s s i f i c a t i o n e r r o r s . Most of t h e m i s c l a s s i f i c a t i o n probably occurred during 1955. 3 / Data f o r a l l commercial banks w i l l not be r e v i s e d t o conform with changes i n weelcly r e p o r t i n g data u n t i l a l l bank c a l l data are a v a i l a b l e on new b a s i s , h / S t r u c t u r e changes i n 1959 added about $1 b i l l i o n t o t o t a l c r e d i t ; |600 m i l l i o n i n l o a n s ; $300 m i l l i o n i n U. S. Govt, s e c . ; and $100 m i l l i o n i n other sec. Real e s t a t e loans increased about $300 http://fraser.stlouisfed.org/ m i l lofi oSt.nLouis ; business loans $100 m i l l i p n ; and consumer loans $100 m i l l i o n . Federal Reserve Bank - 8 - L.Iw3 Table 1 Changes i n Loans and Investments a t C i t y and Country Banks (In m i l l i o n s of d o l l a r s ) ; * Last Wednesday i n Nov. t o Last Wednesday i n Dec. Item Weekly r e p o r t i n g banks 1958 1957 1956 1955 19ft +2,185 +1,329 +1,103 + 173 +2.915 +1,316 + 513 - Ill +1,025 + 1*79 - 105 +1,399 +1,028 +2,522 +1,950 - 598 + 11*0 +1,192 + 1*92 + lt5 13 + 52k + I4.66 - 1(05 1 + 60 + + + 1/ T o t a l loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l l o a n s and investments Country member banks 1959 + 236 + 101 2/ Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l l o a n s and investments 281* + 35 + 101 + i*20 226 Ho 10 76 21*3 15 2l* 222 + 2l*8 - 372 + 8 - 115 Last Wednesday i n Nov. t o Last Wednesday i n Dec Item 1953 Weekly r e p o r t i n g banks 1952 1951 1950 +1,015 + hbo + 163 +1, 618 +1,013 + 690 + 163 +1,866 + + + + 281 221 80 582 + + + 31*7 86 28 28$ + - + + + + + + + 86 100 27 IX + + 52 157 1* m 1919 191*8 1/ T o t a l loans U. S . Government s e c u r i t i e s Other s e c u r i t i e s T o t a l l o a n s and investments Country member banks +1,718 - 509 + 90 + 609 + + + + 725 55 66 81*5 + + 91*9 550 50 349 + - 167 208 10 51 + 122 - 182 2/ T o t a l loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l loans and investments + 2 -—35 15 215 73 15? 81 9 55 145 - ' 1 / Beginning 1958 changes a r e on r e v i s e d b a s i s . 2 / On December 30, 1959, t o t a l loans and investments a t country banks were increas ed by about $165 m i l l i o n a s a r e s u l t of t h e r e c l a s s i f i c a t i o n of s e v e r a l r e s e r v e c i t y banks. Note: Data f o r country banks include interbank l o a n s , which on June 10, 1959, were about $100 m i l l i o n . Data f o r weekly r e p o r t i n g banks include i n t e r b a n k l o a n s p r i o r t o 1952. Not f o r p u b l i c a t i o n . - 9 - L.lt.3 Table 1 Changes i n loans and Investments a t C i t y and Country Banks ! (.In m i l l i o n s of d o l l a r s ) End of June t o Last Wednesday i n December Item Weekly r e p o r t i n g banks 1958 3 / 1957 1956 1955 1954 +4,718 -2,512 - 319 +1,887 +1,592 - 721 - 130 + 741 + 204 +1,506 + 305 +2,015 +2,633 + 72 - 402 +2,303 +4,682 -1,954 - 464 +2,264 +2,030 +3,177 +1,63^ + 174 + 61 +1,8% +1,316 +1,521 + 431 +3,268 + 511 + 677 + 364 +1,552 + 768 +1,125 + 19 7T79IT +1,580 + 249 + 141 +1,969 • 90S +1,856 + 236 +2,992 4/ Total l o a n s U. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l logins and investments End of June t o Last Wednesday i n December Item Weekly r e p o r t i n g banks 1959 2/ Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l l o a n s and investments Country member banks 1/ 1/ 1953 1952 1951 1950 1949 1948 +1,641 +3,589 + 71 +5,301 +3,636 + 33 46 +3,623 +2,626 +1,346 • + 271 +4,243 +6,015 -2,964 + 778 +3,829 +1,Q12 +3,291 + 509 +4,812 +1,819 ^1,679 35 + lo'5 + 906 +1,029 + 111 +2,645 +1,080 +1,343 + 134 +2,557 + 438 +1,478 +1,340 , - 453 + 218 + 289 +1,996 +I,3l3 + 724 + 973 + 185 +1,881 + - 2/ Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s Total loans and investments Country member banks T o t a l loans D. S. Government s e c u r i t i e s Other s e c u r i t i e s T o t a l l o a n s and investments 711 614 + 7 + 103 1/ Country bank d a t a are f o r June c a l l d a t e s except f o r 1959, ]L958, and 1957, win,ch are f o r l a s t Wednesday. 2 / Beginning 1959, changes are on r e v i s e d b a s i s . "y Data are on unrevised b a s i s as r e v i s e d d a t a do n o t begin u n t i l J u l y 9, 1958; however d i f f e r e n c e i n changes i s g e n e r a l l y v e r y small between old and new s e r i e s . 4 / Credit a t country banks i n c r e a s e d #165 m i l l i o n i n December 1959 as a r e s u l t of t h e *~ r e c l a s s i f i c a t i o n of s e v e r a l reserve c i t y banks. » # - 10 - Table 1 e Changes i n Loans and Investments a t City and Country Banks (In m i l l i o n s of d o l l a r s ) End of December t o Last Wednesday i n December Item Weekly r e p o r t i n g banks * 1959 1958 1957 1956 1955 195a +7,465 + 735 +5,171 +1,381 +7,587 + 881 - 231 + jaa +1,062 +5,387 -3,W8 - 730 +1,189 +7,376 -6,780 - 366 + 230 + 606 +4,102 +1,142 7#%0 +2,011 +1,812 +1,719 - 362 + 752 +2,109 +2,105 - 369 + 152 +T7BBH +2,937 -1,059 + 432 +2,309 +1,508 +1,206 2/ Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s Total loans and investments Country member banks 1/ -7,080 + 367 IF 3/ @ Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s Total loans and investments +3,6911 -1,055 + 108 +2,747 + 859 +4,682 + 347 +3,062 ©id of December t o Last Wednesday i n December 1 / Item Weekly r e p o r t i n g banks 1953 1952 1951 1950 1949 1948 +1,421 - 167 + 67 +4,002 + 285 + 482 +4,769 +3,904 -1,152 + 337 +3,089 +6,705 -3,795 +1,458 +4,368 - 665 +4,482 + 853 +4,670 +2,231 -4,24o 55 —2,064 +1,721 - 126 + 215 +I7BI5T +1,917 + 962 + 271 +3,150 +1,308 +2,296 + 747 + 584 + 161 +1,493 +1,746 -1,579 + 236 + 402 2/ ® Total loans U. S. Government s e c u r i t i e s Other s e c u r i t i e s Total loans and investments ^ o u n t r y member banks Total loans U. S. Government Other s e c u r i t i e s Total loans and investments + 210 + 368 +T75B5 - 485 + 528 +2,339 1 / Country bank d a t a f o r December c a l l d a t e s . 2 / Beginning J u l y 1 , 1959, changes are on revised b a s i s . 3 / Country bank a s s e t s and l i a b i l i t i e s were increased about #350 m i l l i o n i n April 1959 as a r e s u l t of i n c l u s i o n of a n a t i o n a l bank i n Hawaii and the s h i f t i n g of s i x n a t i o n a l banks i n Alaska from nonmember banks. (Loans +200; U. S. Govt. +100; other s e c u r i t i e s • +56) t o t a l c r e d i t increased $165 m i l l i o n i n December as a r e s u l t of r e c l a s s i f i c a t i o n of reserve c i t y banks. ^ o t e ; Data f o r country banks include interbank loans which on June 10, 1959, were about $100 m i l l i o n . Data f o r weekly r e p o r t i n g banks include interbank loans p r i o r t o 1952. Not f o r p u b l i c a t i o n - 11 - L.lt.3 Table 2 Changes i n Commrcial and I n d u s t r i a l Loans 1/ ( I n m i l l i o n s of d o l l a r s ) Business of Borrower # Food p r o c e s s o r s Commodity d e a l e r s Trade concerns Total Last Wednesday i n November t o L a s t Wednesday i n December 19# 1958 3 / + 223 + 162 - 307 + 78 + 23 + 23 — 156 - 110 - 19 + 168 + + 83 + 101* - 251* - 78 - 190 + 19h + 2/ + li.86 + 569 + 516 + 182 + 228 • i*5i* T-Jf + 1*06 TTo? + 370 T~52 + 239 +133 + 21*3 TTW 7 + + Sales finance # # All other - t o t a l Metals and p r o d u c t s Textiles, apparel and l e a t h e r Petroleum, c o a l , e t c . Other manufacturing and mining Public u t i l i t i e s Construction A l l o t h e r t y p e s of business 9 69 1957 1*3 1*8 + 20 89 1956 1955 62 7 bh 11 + - 3 58 2 56 8 8 195b 1953 + + — 68 — + 121 + 111 + 78 + 86 53 185 1*6 + 170 - 80 30 1*9 + 1*6 1952 + 68 - 86 16 + 2 + ij.06 35 - + 33 1*6 + 6 + 162 + 27 - 12 - 65 + 172* + 200 + 1 - 21 - + 136 9 31 5 + 102 + 131 + 135 + 58 + 532 + 32 + 781 + 15 + 750 - 1*2 + 948 - 28 - T o t a l change + 562+ + 826 + 708 + 920 + 693 y + 2 9 1 y + 1 7 5 + 332 T o t a l change e x c l u d i n g sales finance + 56ii + 31*0 + 139 + ItOli + 211 y + 63 - Classified Unclassified 1/ 2/ 3/ uZ 5/ 22 + 17 - 1*6 11* + - 38 21 21 - 31* * - 12 10 31 + 32 + 63 731* + 355 + 1*5 1*1 6k y + 1 3 0 5 + 1*65 - 133 71* P r i o r t o week ending J a n u a r y 11, 1956, included changes i n a g r i c u l t u r a l l o a n s . Not i n c l u d e d i n b u s i n e s s l o a n s on r e v i s e d b a s i s . Data f o r 1958 have n o t been r e v i s e d f o r a d d i t i o n a l banks and coverage. I n c l u d e s CCC c e r t i f i c a t e s of i n t e r e s t which a r e e s t i m a t e d t o have d e c l i n e d $7 m i l l i o n . I n c l u d e s CCC c e r t i f i c a t e s of i n t e r e s t which a r e e s t i m a t e d t o have i n c r e a s e d $235 million. Note: C l a s s i f i e d d a t a a r e f o r a sample of about 210 banks r e p o r t i n g changes i n t h e i r l a r g e r l o a n s , t h e s e banks hold over 95 p e r c e n t of t o t a l commercial and i n d u s t r i a l l o a n s of a l l weekly r e p o r t i n g banks and n e a r l y 75 p e r c e n t of t h o s e of a l l commercial b a n k s . Not f o r p u b l i c a t i o n — 12 — L.4.3 Table 2 Changes i n Commercial and I n d u s t r i a l Loans 1 / (In m i l l i o n s of d o l l a r s ) Last Wednesday i n June t o l a s t Wednesday i n December Business of Borrower 1959 Food processors Commodity d e a l e r s Trade concerns Total Sales finance Classified Unclassified T o t a l change Total change excluding sales finance + 698 + 522 + 738 + 100 + 151 + 162 +T7587 +1,094 y - 58 + 248 - 26 480 10 31 1956 1955 108 + 98 + 175 454 - 474 496 - +1,069 71 + 224 232 lit 195k 704 + 71 6 + - 159 + i5d + 428 + 208 + 121 - 161 + 72 + 63 234 + 183 + 350 + 27 # 49 — 66 + 106 + 362 +2,114 +1,214 - 133 - 197 1953 + 331 + 822 + 48o + 498 + 1*20 + 739 + 469 + 539 8 + 178 + 327 + 120 + 743 +1,739 +1,276 7C337 - + 294 + 527 1957 oo CO + All o t h e r - t o t a l Metals and products Textiles, apparel and l e a t h e r 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 1958 6 / + 1952 5bi + 754 380 + 662 w 1 + 141 +1,557 32 138 + 544 559 311 + 394 r~35T 26 - 101 88 + 102 4o 250 62 225 82 •54 18 23 36 57 13 58 + 176 + 370 + 132 98 191 + 161 +2,719 +3,050 630 - 457 - 26oY - 162Y '- 91 + 433 +2,494 150 59 +1,981 +1,017 - 296 +2,459' ^2,888y + 539. / + 583 +2,435 +1,981 + 723 • - 188 +2,361^2,184 k/+ 507 / + 721 +1,891 1 / P r i o r t o week ending January 11, 1956, included changes in a g r i c u l t u r a l l o a n s . £ / Includes CCC c e r t i f i c a t e s of i n t e r e s t which are estimated t o have declined #300 million. 2 / Includes CCC c e r t i f i c a t e s of i n t e r e s t which are estimated t o have increased $346 million. 4 / Includes CCC c e r t i f i c a t e s of i n t e r e s t which are estimated t o have i n c r e a s e d $410 million. 5 / Not included i n b u s i n e s s loans on revised b a s i s . 5 / Data f o r 1958 have not been revised f o r a d d i t i o n a l banks and coverage. Bote: C l a s s i f i e d data are f o r a sample of about 210 banks r e p o r t i n g changes i n t h e i r l a r g e r l o a n s ; these banks hold about 95 per cent of t o t a l commercial and i n d u s t r i a l loans of a l l weekly r e p o r t i n g banks and about 75 p e r cent of those of a l l commercial banks. Wot f o r p u b l i c a t i o n — 13 L.it.3 Table 2 Changes i n Commercial and I n d u s t r i a l Loans 1 / (In m i l l i o n s of d o l l a r s ) ~ Last Wednesday i n December t o Last Wednesday i n December jl> u o i i i c o o uj- D o n w e r 1959 + 179 + 375 + U5 + 909 Food processors Commodity d e a l e r s Trade concerns Total ^+ Sales f i n a n c e All other - t o t a l Metals and products T e x t i l e s , apparel and l e a t h e r Petroleum, c o a l , e t c . Other manufacturing and mining Public u t i l i t i e s Construction All o t h e r types of .business *1,71*6 + 717 Total change excluding sales finance — 1957 1956 1955 1951* 1953 1952 — 136 127 1* 5 - 125 118 9 252 - 559 + 258 — 221* +1,293 - + 20 +1,559 +3,81*1* +2,593 - 789 + 1*65 +1,671 308 + 1*39 +1,291 + 1*01 - 1 , 1 2 5 4* 91* +1,111 + + - + 520 + 353 + 3l*9 +1,222 — 60 + 8 + + 1*73 + + 1*21, + 7 176 79 + 248 - 120 252 208 161* + + - Ill* 28 36 50 11*3 228 + 327 - + + 160 86 - UU8 15U + 12 + 1*1*1 + 232 + 852 + + 21k + 339 + 116 + + + 36 + 57 + 106 - 53 + 696 + 61 - 1*1*1 + 216 — 63 4* 1*1 + 112 715 + 1*11 99 + 103 59 12 + 21*0 + 153 31 5 + + lilt + 1*31 + ^+3,198 T o t a l change ' 155 +3,188 + 10 Classified Unclassified ~'/ 1958]/ +2,71*3 —O - v mm mm - 3 t 325 '+ 291 + 521 + 513 + 29 478 + 238 4- 1*9 - 113 93 + 1*26 90 + 163 ! 5 a > 1 , 5 6 5 +1*,8I*3 +1,307 681* + 71* +1,91*8 377 - 612 - 11*1 2 / - 23 3/-273 y- • 8h - 150 921 + 953 +1*,702 &h,28h 3 / - 9 5 7 y- • 10 +1,798 362 + 695 +1*,926|£<2,991 3/-811* U/+218 +1,1*71 ——J — / J t*v*wv* J.ii OglAV/UAUUlOI. AWCUD i • 2 / Includes CCC c e r t i f i c a t e s of i n t e r e s t which a r e e s t i m a t e d t o have declined $821. m i l l i o n . In October 1955, t h e l e v e l of b u s i n e s s loans was i n c r e a s e d by $318 m i l l i o n t o c o r r e c t c l a s s i f i c a t i o n e r r o r s # No back f i g u r e s were r e v i s e d ; most of t h e m i s c l a s s i f i c a t i o n probably occurred i n 1955. 3 / Includes CCC c e r t i f i c a t e s of i n t e r e s t which a r e e s t i m a t e d t o have i n c r e a s e d $1*11. million. V Includes CCC c e r t i f i c a t e s of i n t e r e s t which a r e estimated t o have i n c r e a s e d $l£0 million. 5 / Not included i n b u s i n e s s loans on r e v i s e d b a s i s a f t e r J u l y 1 . 7>/ Includes s a l e s f i n a n c e through J u l y l j loans t o s a l e s f i n a n c e companies, e t c . in c r e a s e d $607 m i l l i o n i n t h e second h a l f of t h e y e a r . 1 / Data f o r 1958 have n o t been r e v i s e d f o r a d d i t i o n a l banks and coverage. Note: C l a s s i f i e d d a t a a r e f o r a sample of about 210 banks r e p o r t i n g changes i n t h e i r l a r g e r l o a n s ; t h e s e banks hold a b o u t 95 p e r cent of t o t a l commercial and indust r i a l loans of a l l weekly r e p o r t i n g banks and about 75 p e r cent of those of a l l commercial banks. — lit — L.U.3 Table 3 Estimated Changes i n Deposits and Currency (In b i l l i o n s of d o l l a r s ) Last Wednesday i n November t o end of December 1 19591/^ 1958 1957 1956 1955 1951 Seasonally a d j u s t e d daita 1 / Demand d e p o s i t s a d j u s t e d Currency outside banks Total Seasonally unadjusted d a t a 1 / Demand d e p o s i t s a d j u s t e d Currency outside banks Total Time d e p o s i t s Commercial banks Mutual savings banks U. S. Government d e p o s i t s Total + 0.7 — 0.1 + 0.6 — 0.8 2/ — 0.8 + 3.0 - 0.3 + 3.6 — 0.1 + + + + + + + TX7 + + + + + 1.1 0.7 O.it O.it it. 3 T T 5 + 1.5 + i.i + 0.5 — i.ii + 3.8 3.1 0.2 w 1.5 i.i O.it 1.0 5.3 - 0.3 + 0.2 2/ + 0.2 + 3.1 + 0.3 + 3.0 + O.it — 0.3 + 3.E + + + + 1.3 1.0 O.it 1.2 3.5 • M + 1.0 + 0.7 + 0.3 — 0.6 + 3.8 % n + + + + + + + 2.6 O.it 1>.$ 1.0 0.5 o.it 2.3 1.6 (signs i n d i c a t e e f f e c t on d e p o s i t s and currency) + 0.2 + 0.2 - 0.8 +T57T + 0.2 + 2.7 T"0 + 0.1 + 2.0 + 1.3 *• 0*2 *2/3 - 0.1 - 0*2 - 0.1 + 1.0 - o.l + 0.7 + 0,9 + 2.0 + 2.3 + 0.1 + 0.2 + 1.0 + 0.7 + •<53 + 0.2 2/ TTO + O.it 1/ + 0.1 + O.ii 2/ + ?.8 + 2.0 TTZ + 0.2 1 H i + 0.3 GO « 0 Factors a f f e c t i n g d e p o s i t s and currency 1 Bank loans and investments otiher than U. S . Govt, sec,3/ Commercial Mutual savings Bank holdings of U. S. Government s e c u r i t i e s : Federal Reserve Commercial Mutual saving and o t h e r Gold stock and f o r e i g n deposits a t F. R. Banks Other f a c t o r s 2/ - 0.3 - 6.3 -nnu - i.i 2/ —0.1 + 0.5 1/ Seasonally a d j u s t e d d a t a a r e f o r l a s t Wednesday throughout; unadjusted data are ~ f o r l a s t Wednesday except i n case of June and December c a l l d a t e s , when a v a i l a b l e . Data f o r 1959 a r e f o r December 30. 2 / Less than $50 m i l l i o n . 3 / Total i n c l u d e s f o r e i g n loans on gold, holdings of bankers 1 acceptances a t the Federal Reserve, and loans t o f o r e i g n banks; changes i n t h e s e items are ge nerally r e l a t i v e l y s m a l l . In a d d i t i o n even i f t h e r e were no changes i n these items, changes a t commercial and mutual savings banks would n o t add t o t o t a l change which i s "net" because commercial banks exclude a l l i n t e r b a n k l o a n s , domestic and f o r e i g n , while t o t a l loans exclude only those t o domestic banks. Also, t h e r e i s some lack of synchronization i n r e p o r t i n g a s s e t and l i a b i l i t y items used i n computing "loans n e t " . k / Demand d e p o s i t s were reduced about # 0 0 m i l l i o n as a r e s u l t of a change under Regulation D amending the d e f i n i t i o n of such deposits 5 / During 1959, as a r e s u l t of s t r u c t u r e changes, demand d e p o s i t s a d j u s t e d increased Su00 m i l l i o n , time d e p o s i t s a t commercial banks increased $700 m i l l i o n , and time http://fraser.stlouisfed.org/ deposits a t mutual savings banks declined $300 m i l l i o n . Federal Reserve Bank of St. Louis — 15 — Table 3 L.it.3 Estimated Changes in Deposits and Currency (In b i l l i d n s of d o l l a r s ) Item Seasonally a d j u s t e d d a t a 1 / Demand deposits a d j u s t e d " Currency outside banks Total usted d a t a 1 / fcs a d j u s t e d *~ Currency outside banks Total Time deposits Commercial banks Mutual savings banks U. S. Government d e p o s i t s Total Factors a f f e c t i n g d e p o s i t s and currency Bank loans and investments other than U. S. Govt. s e c . 3 / — Commercial Mutual savings Bank holdings of U. S. Government s e c u r i t i e s : Federal Reserve Commercial Mutual saving and other Gold stock and f o r e i g n deposits a t F. R. Banks Other f a c t o r s End of June t o end of December 19$9b/& 1958 1957 1956 1955 1951 + 3.9 A + 0.9 + 0.3 + 3.1 - o.l + 3.0 0.2 + 0.1 - 0.9 + 1.0 - 2.2 + 0.2 - 2.0 + 5.1t + 0.5 + 9.8 + 0.9 +1577 + 2.7 + 1.7 + 0.5 52 + 2.7 0.7 + 0.3 2/ + 5.1 + 0.3 + 6.I4. + 1.6 + 1.2 + 2.1 + 0.8 - 5.3 • + 8.2 - 0.5 + 7»k + 0.1 + 6.7 T%! + 1.6 + 0.9 + 0.8 — 1.6 + 6.7 + 1.2 + 6.7 + 0.9 "+"73 + 1.3 + 0.6 + 0.8 - l.it + 7.5 + 0.9 (signs i n d i c a t e e f f e c t on d e p o s i t s and currency) 8.1 7 3 1.0 + 1.2 - 2.0 + 2.9 - 2.3 - 0.7 + 1.8 - 0.1 - O.it — 0.8 + O.ij. + 0.1* + 3.7 + 2.3 + lt.5 + 1.1 + 1.2 + 8.1t + ?. 1 + 1.1 + 3.6 +~T73 + 2.7 — 0.6 + 2.7 TX7 + 1.9 - o.L — 0.8 + 1*2 - 1.7 — 0.3 + 5.0 — 0.1 + 5.5 — o.it + 0.2 — 0.1 + 0.1 — 0.6 1/ - 0.1 - 0.2 - 0.7 + 5.1* + Zt.O + 1.2 ~y Seasonally a d j u s t e d data a r e f o r l a s t Wednesday throughout; unadjusted d a t a are f o r l a s t Wednesday except i n case of June and December c a l l d a t e s , when a v a i l a b l e . Data f o r June 1959, 1958 and 1957 are f o r l a s t Wednesday throughout. Data a r e f o r December 30, 1959. 2 / Less than $50 m i l l i o n . 3 / Total i n c l u d e s f o r e i g n loans on gold, holdings of bankers' acceptances a t the Federal Reserve, and loans t o f o r e i g n banksj changes i n t h e s e items are g e n e r a l l y r e l a t i v e l y small. In a d d i t i o n even i f t h e r e were no changes i n t h e s e i t e m s , changes a t commercial and mutual savings banks would not add t o t o t a l change which i s "net" because commercial banks exclude a l l interbank l o a n s , domestic and f o r e i g n , while t o t a l loans exclude only those t o domestic banks. In a d d i t i o n , t h e r e i s some lack of synchronization i n r e p o r t i n g a s s e t and l i a b i l i t y items used i n computing "loans n e t " . \ / In August 1959, as a r e s u l t of the a d d i t i o n of nonmember banks i n Hawaii demand deposits a d j u s t e d increased $200 m i l l i o n and time d e p o s i t s a t commercial banks increased $200 m i l l i o n . 5 / Demand deposits were reduced about $1*00 m i l l i o n as a r e s u l t of a change under Regulation D amending t h e d e f i n i t i o n of such d e p o s i t s . - 16 - Table 3 Estimated Changes i n Deposits and Currency (In S i l l i o n s of d o l l a r s ) Item Seasonally a d j u s t e d d a t a 1 / Demand d e p o s i t s adjusted"" Currency o u t s i d e banks Total Seasonally unadjusted d a t a 1 / Demand d e p o s i t s a d j u s t e d *"* • Currency o u t s i d e banks Total Time d e p o s i t s Commercial banks Mutual savings banks U. S . Government d e p o s i t s Total 1959 W + 0.5 + o.i Year Ending December 195# 19# 19# 6.2 2/ — 1.6 + o.^ + 0.6 + 6.2 - 1.2 + 0.6 + 5.2 + O.it - 1.1 =-& + 9.2 + 7.1 + 2.3 + 0.3 +15.2 + 6.9 + 5.6 + 1.7 + 0.1 + 0.7 + 3.1 + 2.2 + 1.0 + 0.6 + h»3 + 0.9 + 0.3 + 1.2 1955 19& + 3.0 + 0.5 + 3.5 + 3.3 — O.lt + 2.9 + + + + + 3.It o.l 33 3.1 1.5 + 1.8 + 0.2 ~ 0.6 + 5.9 + 6.3 + 1.1 - 0.2 + + + + + + 3.9 h.9 3.2 1.9 0.3 9.0 i: H # CO Factors a f f e c t i n g deposits ( s i g n s :indicate e f f e c t on d e p o s i t s and currency) and currency Bank l o a n s and investments o t h e r ' t h a n U. S. Govt, s e c . 3 / + 9.8 + 7.5 + 9.9 +11.5 + 7.3 TB7L Commercial ,i + 7.0 +~5T2 +12.0 + L6 + 1.8 Mutual savings + 2.8 + 2.3 + 2.5 + 2.3 + 2.5 Bank holdings of U. S . Government s e c u r i t i e s : — 8.0 + 9.8 — 1.8 — 3 . 6 + 3.9 t t j +~575 Federal Reserve - 0.0 + 0.1 - O . I - 1.0 + 8.1 Commercial - 7.8 - 0.3 + 5.6 — 3.0 - 7.2* Mutual saving and o t h e r - 0.7 — 0.8 — 0 . 7 - o.h — 0 . 5 - 0.7 Gold,stock and f o r e i g n d e p o s i t s a t F. R. Banks - 1.0 - 2.2 + 0.8 + 0.3 + 0.1 - O.lt Other f a c t o r s , — O.it - 2.2 - 0.6 — 1*2 - 0.2 - 1.8 1 / Seasonally a d j u s t e d d a t a a r e f o r l a s t Wednesday throughout; unadjusted d a t a a r e f o r l a s t Wednesday except i n case of June and December c a l l d a t e s , when a v a i l a b l e . 2 / Less than $50 m i l l i o n . 3 / Total i n c l u d e s f o r e i g n l o a n s on gold, holdings of b a n k e r s ' acceptances a t t h e Federal Reserve, and loans t o f o r e i g n banks; changes i n t h e s e items a r e g e n e r a l l y r e l a t i v e l y s m a l l . In a d d i t i o n even i f t h e r e were no changes i n t h e s e i t e m s , changes a t commercial and mutual savings banks would n o t add t o t o t a l change which i s "net" becuase commercial banks exclude a l l interbank l o a n s , domestic and f o r e i g n , while t o t a l l o a n s exclude only those t o domestic banks. In a d d i t i o n , t h e r e i s some l a c k of synchronization i n r e p o r t i n g a s s e t and l i a b i l i t y items used i n computing "loans n e t " . h / During 1959, as a r e s u l t of s t r u c t u r e changes, demand d e p o s i t s a d j u s t e d incre as ed $li00 m i l l i o n ; time d e p o s i t s a t commercial banks i n c r e a s e d $700 m i l l i o n , and time d e p o s i t s a t mutual savings banks declined $300 m i l l i o n . £ / Demand d e p o s i t s were reduced about $1*00 m i l l i o n i n December 1959 as a r e s u l t of a change under Regulation D amending t h e d e f i n i t i o n of such d e p o s i t s . — L.lt.3 Table U Free Reserves (excess r e s e r v e s minus member bank borrowingsj based on average of d a i l y f i g u r e s ; i n m i l l i o n s of d o l l a r s ) All member New York Chicago Reserve citv Country Q u a r t e r l y averages 1958: 1959: 1958: 1959: First Second Third Fourth 31k 508 314 25 First Second Third Fourth - 82 - 363 - 528 - J4.36 - 25 - 52 - 202 — 168 June July August September October November December 1*81* 51*6 383 95 96 20 - hi 7 16 22 79 8 1*3 80 January February March April May June July August September October November December - December I960: Note: January 2 9 16 23 30 6 59 It7 11*0 258 318 513 557 535 1*93 1*59 h3$ Itllt - 5oit - 395 509 322 Wt I4.82 ^ - " — - 10 18 28 a - - - 16 h 1 17 27 63 - 55 - 19U 366 h22 h2h 280 - 67 56 h2 83 - 215 393 131 385 225 137 Ut6 199 3 3 16 32 - 57 56 22 201 198 189 197 I1O8 h71 h26 378 305 268 268 65 28 16 89 51 15 l$h 225 227 210 181 109 - 53 - 26 - 122 - 6U — I4.I - 63 - hi - 35 - Wi - 82 - 62 - lOlt - 223 195 228 28k 360 535 w h20 391 338 369 W18 281 202 19h 178 133 101 12h lh$ 169 171 180 2h7 7li 2 98 186 77 ZLk - 63 - 67 - 81 - 139 - 151 - 155 - hh3 5it0 195 371 399 I163 76 211 165 377 183 351 12 h - • Data f o r second h a l f o i December and 1 s t h a l f of January a r e preliminary. Not f o r p u b l i c a t i o n - 18 - 1.1.3 Table 5 Changes i n Member Bank Reserves , with Relevant F a c t o r s (Monthly average of d a i l y f i g u r e s ; i n m i l l i o n s of d o l l a r s ) Item 19# Julv-December 1959 1958 1958 Jaimrr-Po c c n t o 1959 1958 Member bank r e s e r v e s Required r e s e r v e s 1 / E f f e c t of reduction i n requirements E f f e c t of d e p o s i t change Excess r e s e r v e s 1/ T o t a l r e s e r v e s held Cash allowed as r e s e r v e s Reserve balances + 280 + 280 + kl + 326 + 320 + 6 Principal factors Currency i n c i r c u l a t i o n Gold stock and f o r e i g n accounts Treasury o p e r a t i o n s Federal Reserve f l o a t Other f a c t o r s E f f e c t of above f a c t o r s on r e s e r v e s + 318 + I1.12 + 1*08 + 71* + lis + 11 + 359 + 1*12 + 85 + 1*96 T 1ZU 176 + 1*08 + 109 299 + - 71* 25 + 299 + 359 (signs i i idicate e ' f e e t on - 568 - + 11*3 15 332 71 59 + 1*57 7k - 351 - + 363 + 30lt + 61 33 + 28 2 + 1*0 638 - 958 + 1*8 + - 320 272 - 1*61 -1,1*1*0 + - 979 60 521 - 521 - 1*38 eserves) -1,331 - - 632 + 235 + 1*17 + 35 + + - 908 8 580 29 -1,180 + 322 70 32 -2,123 + 77 + 53 - 262 - 903 —1,680 -1,361* -2,693 +. 71*3 +1,080 +1,980 +1,092 +2,171* + 662 T - m + 8 +1,562 + - 1*1* 1* + + + 721* 777 53 21 +2,330 5 +1,073 7#*: + 29 + 31* 71 5 15 12 + + 1*15 7 + 31*9 2 385 1*01* Federal Reserve l o a n s and investments: Total U. S. Govt, s e c u r i t i e s Outright Repurchase agreements Acceptances Discounts and advances: To member banks To o t h e r s 1/ + + + Data f o r December 1959 are p r e l i m i n a r y . - 271 1* - 153 + 1 L.U.3 - 19 - Deposits and Currency ( i n b i l l i o n s of d o l l a r s ) Year or month (1) (2) (3) Seasonally adjusted money s u p p l y 1 / Total (2+3) (U) Seasonally adjusted money CurDemand supply and rency deposits time d ep. outside adjusted a t c o m 'l. banks banks(1+7) (5) (6) (7) (8) (9) (10) (11) (12) Time d e p o s i t s Total U. S . Curd eposits Demand G o v ' t , rency and deposits T o t a l Commer- Mutual P o s t a l d e p o s i t s o u t s i d e c u r r e n c y a d j u s t e d (7+8+9) c i a l ! savings savings banks (5+6+10 1/ +11) Jtind or Dec 126.8 1953 99.5 27.3 170.5 102.5 70.1* 2.1* 1*.8 2lt.lt 1*3.7 28.1 205.7 102.8 129.7 1951 26.9 106.6 176.5 1*6.8 , 26.3 2.1 75.3 211*.8 5.1 27.9 105.8 1955 133.2 181.6 27.1* 109.9 1*8.1* 78.1* 28.1 l*.l* 1.9 ,221.0 28.3 1956 106.7 13U.U 185.0 27.7 Hl.l* 82.2 50.6 1.6 30.0 1*.5 28.3 226.1* 1957 105.1 28.1 133.2 189.3 110.3 89.1 56.1 31.7 1.3 28.3 lt.7 232.3 1958; Nov. 26 138.8 110.6 28.2 200.9 111.9 96.8 62.1 1.1 28.8 33.5 6.3 21*3.7 Dec. 31 139.1* 111.3 28.1 202.6 115.5 98.3 63.2 1 . 1 3U.0 1*.9 28.7 21*7.5 1959: J a n . 28 3 / 138.5 110.7 27.8 201.9 113.8 98.1* 63.1* 1.1 33.8 27.6 21*5.1 5.3 F e b . 25 ~ 139.1 111.2 2 7 . 9 202.8 111.3 98.7 63.7 3l*.0 1.1 5.0 21*2.7 27.7 Mar. 25 H*0.3 112.2 28.1 201* .1* 110.3 61*.l 99.5 1.1 l*.l* 31*.3 21*2.0 27.9 Apr. 29 U/ 11*0.7 112.5 28.2 205.2 112.5 99.9 61*.5 1.1 3U.3 5.1 27.9 21*5.1* May 27 ~ ll*0.9 112.6 28.3 205.9 110.7 100.5 65.0 3l*.l* 1.1 28.1 21*5.0 5.7 June 2l* U*0.9 112.5 28.1* 206.3 110.7 101.1 65.1* 3l*.6 1.1 28.3 5.2 21*5.1* J u l y 29p 11*2.7 111*.2 28.5 208.0 112.7 100.8 65.3 1.0 28.1* 31*.5 5.6 21*7.6 Aug. 26P 5/ na.i* 112.9 2 8 . 5 206.9 111.1 101.2 1.0 65.5 31*.7 6.5 28.5 21*7.1* Sept.30p 11*0.5 112.2 28.3 206.2 111.1* 101.5 3l*.8 65.7 1.0 7.1 28.5 21*8.5 O c t . 28p 11*0.1 111.9 28.2 205.6 112.7 101.2 65.5 3U.6 1.0 6.0 28.3 21*8.2 Nov. 25p 11*0.3 111.8 28.5 205.0 113.1 100.3 61*.7 1.0 3U.6 5.1 29.1 21*7.6 1 Dec. 30p 6 / 11*0.0 111.8 28.2 205.1* 116.1 101.1* 11 65.1* 28.8 0.9 35.0 251.8 5.5 * , Preliminary. 1/ v —u — v m euiu ttvanauio uillj xor -Lasu weanesaay oi t n e montn. 2 / At commercial, s a v i n g s , and F e d e r a l Reserve Banks. 3 / As a r e s u l t of t h e a d d i t i o n of a l l banks i n Alaska, time d e p o s i t s a t commercial banks i n c r e a s e d almost $100 m i l l i o n and demand d e p o s i t s a d j u s t e d i n c r e a s e d about $100 m i l l i o n . As a r e s u l t of t h e a b s o r p t i o n of a mutual savings bank, time d e p o s i t s a t commercial banks i n c r e a s e d $300 m i l l i o n and t h o s e a t mutual s a v i n g s banks d e c l i n e d $300 m i l l i o n , y As a r e s u l t of i n c l u s i o n of a n a t i o n a l bank i n Hawaii, demand d e p o s i t s a d j u s t e d i n c r e a s e d about $100 m i l l i o n and t i m e d e p o s i t s a t commercial banks about $100 m i l l i o n . 5 / As a r e s u l t of i n c l u s i o n of a l l banks i n Hawaii, demand d e p o s i t s a d j u s t e d i n c r e a s e d about $200 m i l l i o n and time d e p o s i t s a t commercial banks about $200 m i l l i o n . On b a l a n c e i n 1959, as a r e s u l t of s t r u c t u r e changes, demand d e p o s i t s a d j u s t e d i n c r e a s e d $1*00 m i l l i o n , time d e p o s i t s a t commercial banks i n c r e a s e d $700 m i l l i o n ; and t i m e d e p o s i t s a t mutual s a v i n g s banks d e c l i n e d $300 m i l l i o n . 6 / Demand d e p o s i t s were reduced about $li00 m i l l i o n as a r e s u l t of a t e c h n i c a l change under R e g u l a t i o n D amending t h e " d e f i n i t i o n of such d e p o s i t s . http://fraser.stlouisfed.org/ Not f o r n u b l i c a t i o n Federal Reserve Bank of St. Louis •A -20 L.lt.3 - Loans and Investments a t A l l Commercial Banks (In b i l l i o n s of d o l l a r s } Loans and investments Date 19U7 191*8 191*9 1950 #951 1952 1953 1951* 1955 1956 #957 1958: • 1959: Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. 3/ %/ 69.2 62.6 67.0 62.0 31 31 31 31 31 31 31 31 31 31 31 132.5 lltl.5 145.5 155.7 160.3 161*. 5 169.3 61.5 63.3 63.lt 69.0 June 23 J u l y 30 Aug. 27 Sept.,21* Oct. 29 Nov. 26 Dec. 31 178.2 176.2 178.3 177.9 180.1 182.7 181t.lt eit.2 2 / Jan. 183.8 181.9 181.1 183.8 183.9 181.2 185.7 186.1 186.3 Mar. 2£ 2 / Apr. 29 May 27 June 2 It J u l y 29p 3 / It/ Aug. 26p ~~ Sept.30p Oct. 28p Nov. 25p Dec. 30p 1/ 116.2 111.2 120.1 126.6 TJTST Other Govt, secur- T o t a l securi t i e s loans ities 186.6 186.0 188.8 61.6 58.6 58.2 9.0 9.2 10.2 67.li 70.lt 20.1 93.9 19.9 66.2 20.5 20.3 6it.7 20.2 20.6 67.7 66.lt 20.6 67.5 65.5 20.lt 60.9 61.1 60.3 59.2 59.6 58.lt 58.6 52.2 , 12.lt 13.3 llt.l llt.7 16.3 16.7 16.3 17.9 61t.l 66.1 63.2 63.6 62.6 37.9 lt2.lt lt2.9 20.lt 20.6 20.9 20.8 20.6 20.6 20.5 20.7 20.6 20.3 20.lt 57.6 61t.O 82.0 89.7 93.2 92.2 92.1 92.6 93.lt 91.7 97.5 95.9 96.0 97.li 99.3 100.5 102.8 103.9 105.3 106.3 106.5 107.3 109.8 Business 18.2 18.9 17.1 21.9 25.9 27.9 27.2 26.9 33.2 38.7 lt0.5 Real Secuestate rity 9.1t 10.8 11.5 13.5 lit. 6 15.7 16.7 18.lt 20.8 22.5 23.1 38.9 37.9 38.3 38.7 38.9 39.3 ltO.lt 23.7 23.9 2lt.l 2lt.3 21.7 39.2 39.2 lt0.2 lt0.6 ltl.lt 142.5 25.6 lt2.8 lt3.lt lt3.9 lt3.8 a. 3 45.8 25.0 25.3 25.7 25.9 26.3- 26.6 26.9 27.1 27.3 27.5 27.7 27.9 28.1 Farm 2.1 3.2 3.6 lt.5 5.0 4.3 It. 2 1.7 2.9 3.1 2.9 3.It 3.9 5.0 5.2 4.5 lt.2 lt.l 5.6 lt.6 2.3 2.6 2.9 2.6 lt.6 . 4.5 3.6 3.7 3.6 3.9 1.7 lt.6 lt.7 It. 8 lt.9 5.0 lt.2 lt.0 3.9 It.3 lt.1 lt.l lt.2 lt.2 lt.l lt.l lt.l 4.7 5.0 5.0 lt.8 lt.9 lt.9 5.0 5.1 5.1 5.1 5.0 lt.9 lt.8 Consumer All other 3.8 lt.8 5.8 7.1t 7.5 9.It 10.9 10.9 2.8 13.2 lit. 6 15.8 15.7 15.8 15.9 15.7 15.7 15.7 15.9 16.0 16.1 16.3 16.7 17.0 I7.lt 17.6 17.9 18.1 18.3 18.3 18.5 3.1 3.It lt.2 4.5 lt.9 5.1 5.6 6.5 6.9 7.2 7.3 7.2 7.3 7.4 7.6 7.9 8.2 8.0 8.1 8.2 8.1t 8.6 8.9 9.1 9.3 9.5 9.1+ 9.6 9.7 T o t a l c r e d i t i n c r e a s e d over %00 m i l l i o n i n January as a r e s u l t of bank s t r u c t u r e changes T o t a l c r e d i t i n c r e a s e d about $200 m i l l i o n as a r e s u l t of bank s t r u c t u r e changes. Total c r e d i t i n c r e a s e d about $300 m i l l i o n as a r e s u l t of bank s t r u c t u r e changes. S t r u c t u r e changes i n 1959, on balance through August, added almost $1 b i l l i o n t o t o t a l c r e d i t ; $600 m i l l i o n i n l o a n s ; $300 m i l l i o n i n U. S. Government s e c u r i t i e s ; and $100 m i l l i o n i n o t h e r s e c u r i t i e s . S e a l e s t a t e loans i n c r e a s e d about $300 m i l l i o n ; bu s ines s loans $100 m i l l i o n ; and consumer l o a n s , $100 m i l l i o n . Note: Data exclude i n t e r b a n k l o a n s . T o t a l loans a r e a f t e r and types of l o a n s b e f o r e deductions f o r v a l u a t i o n r e s e r v e s . Consumer and " o t h e r l o a n s " a r e p a r t l y estimated f o r a l l d a t e s . Other d a t a are p a r t l y estimated on a l l b u t June and December c a l l d a t e s . Data f o r a l l commercial banks w i l l n o t be r e v i s e d t o conform with changes i n weekly r e p o r t i n g d a t a u n t i l a l l bank d a t a a r e a v a i l a b l e on new b a s i s . http://fraser.stlouisfed.org/ Not f o r p u b l i c a t i o n Federal Reserve Bank of St. Louis January 21, I960
@FedFRASER