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R £SERVE b M) DEVELOPMENTS IN OCTOBER 1936 R FSi r .1 Bmmxy, Total loans and investments a t a l l commerc i a l DanKW1 imtrqg01B Actober r e f l e c t i n g both continued loan expansion and bank acquit f t lone of Ue S, Government s e c u r i t i e s . Demand deposit and currency holdings of businesses and individuals rose somewhat l e s s than the usual seasonal amount. Net borrowed reserves of a l l member banks declined. Bank c r e d i t . Preliminary estimates indicate t h a t t o t a l loans and investments a t a l l commercial banks Increased $700 million in October as shown in Table 1, Loan expansion accounted f o r most of t h i s r i s e ; holdings of U, S, Government s e c u r i t i e s a l s o increased while holdings of other s e c u r i t i e s declined. Last year in October, t o t a l c r e d i t increased $1,700 million, with loan expansion and increased holdings of U. S. Government s e c u r i t i e s each accounting f o r about half the r i s e . Bank holdings of U. S, Government s e c u r i t i e s may have increased about $300 million in October, I n i t i a l l y , banks probably took most of the $1,6 b i l l i o n of new b i l l s on October 17, but they a l s o made s u b s t a n t i a l sales p r i o r and subsequent t o the financing. At weekly reporting banks, these sales more than o f f s e t the a c q u i s i t i o n s of new b i l l s . During the t h i r d quarter of the year, holdings of U. S, Government s e c u r i t i e s a t weekly reporting banks declined $485 million, whereas they increased $865 million a t banks outside leading c i t i e s . Last year in October, holdings of U. S. Government s e c u r i t i e s a t a l l commercial banks increased $900 million r e f l e c t i n g bank purchases of about $1-3/4 b i l l i o n of the new $3 b i l l i o n Treasury tax a n t i c i p a t i o n issue, o f f s e t in p a r t by s a l e s of t h i s and other issues. Business loans a t a l l commercial banks increased $200 million in October, somewhat l e s s than l a s t year. Business loans a t c i t y banks f l u c t u a t e d during most of the month and then increased toward the month-end, mainly a t banks in New York City, Borrowing by food processors, commodity dealers, and trade concerns, as shown in Table 2, was s u b s t a n t i a l in October, when seasonal c r e d i t needs in these industries generally are near t h e i r peak. Loans to food processors, however, were considerably larger than usual. Public u t i l i t i e s and petroleum and chemical manufacturers a l s o increased t h e i r outstanding bank borrowing, A major o f f s e t t o t h i s expansion was the $300 million f u r t h e r decline in loans t o sales finance companies. Loans t o metals manuf a c t u r e r s , which had increased s l i g h t l y In September, a l s o declined in October. Not f o r publication Table 1 Estimated Changes In Loans end Investments a t All Commercial Banks (In b i l l i o n s of dollars) 1 1 ' ' ... 1956 1956 1955 1955 Year ending; Sept.27, Sept.29, Jan. 1, Jan. 1, Item Oct. 31, Oct. 26 Oct. 31 Oct. 26 Oct. 31 Oct. 26 1956 1955 Total loans (excluding interbank) Business Real estate Security Agricultural Consumer All other loans + 0^5 + 0;2 2 / / + 0 . 1 2/+ ~ + i/ + 0.1 + + 0.1 + 1/ - U. S, Government s e c u r i t i e s + 0.3 + 0.9 - 4.3 - 6.1 - 5*6 - 7.2 Other securities - 0.1 - 0.1 - 0.3 + 0.5 - 0.4 + 0.7 + 0.7 + 1.7 + l.l + 2.4 + 3.3 + 4.8 1956 2nd. 3rd. Quarter quarter 1st. quarter 1955 2nd. quarter 3rd. quarter Total loans and investments (excluding interbank) Item Total loans (excluding interbank) Business Real estate Security Agricultural Consumer All other loans 1st, quarter 0.3 0.2 0.2 0.1 0i2 0.1 + + + + + + 8.0 5.7 3.9 ?J+ k;2 1,6 2/+ 2 . 1 - 0.1 0^9 0.2 - 1;2 1.4 + 2;0 0,1 + 0.9 +11,4 ±-M + 6.0 2/+ M + 1.9 2/+ 2.5 + 0.6 - 0.3 + 0.1 + 0i3 + 1.7 + 2il + 1.1 + 0.1 . ±JU2 + + + 1,3 0*4 0;5 Oil 0.3 1/ 2i9 ii6 + 0*6 - Oil - Oil + 0>8 + 0.2 + + + + + + - 1.0 o.d 0.5 0.3 Oil 0i2 0.1 + + + + + 0i8 0i5 0i6 0i6 0i3 0i3 0.2 + + + + 3.6 1.5 0.8 o,4 + + + - 2i7 lib 0i8 0i3 0i5 0.5 0.8 + 0,6 + 0.5 - + 0.4 U. S, Government s e c u r i t i e s - 3.0 - 2.0 + 0.4 - 4*8 - 0,9 - 1.3 Other securities - 0.1 - 0.1 1/ + 0.7 - 0.2 + 0,1 0.8 + l.k - 3.3 + 2.4 + 1,6 Total loans and investments (excluding interbank) * ~ 1.8 1/ Less than $50 million. 2/ In October 1955 > the level of business loans was increased by, and that of r e a l estate loans decreased by, $300 million, t o correct c l a s s i f i c a t i o n e r r o r s . No back figures vere revised. In making comparisons, changes f o r the month of October are exclusive of the revisions, but changes f o r other periods include the revisions. Most of the mtsclassification probably occurred during 1955« Note; Figures f o r October 1956 are estimates and subject to change, Preliminary data f o r October w i l l be shown in t h e B o a r d ' s statement, "Assets and L i a b i l i t i e s of All Banks in the United States", available a t the end of November# Wot f o r publication Eeal e s t a t e and consumer loans rose f u r t h e r in October but expansion continued t o be l e s s rapid than l a s t year, Security loans declined s l i g h t l y as reductions early in the month exceeded l a t e r expansion in loans t o brokers f o r purchasing and carrying U. S. Government s e c u r i t i e s . During the f i r s t ten months of 1956, t o t a l loans and investments a t a l l commercial banks increased somewhat over $1 b i l lion compared with $2*5 b i l l i o n in the comparable period l a s t year. The 1956 growth was also considerably smaller than t h a t in the" comparable period of any other recent year. Reductions in t o t a l c r e d i t were about the same during the f i r s t half of both 1956 and 1955 but since mid-year, growth has been smaller t h i s year than l a s t . Loans rose almost $6 b i l l i o n during the January-October 1956 period continuing the upward movement prevailing since l a t e 1954. This expansion was o f f s e t only in part by reductions in holdings of U. S, Government and other s e c u r i t i e s . The growth in t o t a l c r e d i t in the f i r s t three quarters of the year was largely a t country member and nonmember banks; c r e d i t a t c e n t r a l reserve c i t y banks declined. Loans expanded a t a f a i r l y uniform r a t e a t a l l classes of banks, but holdings of U. S. Government s e c u r i t i e s declined much more sharply a t big c i t y banks than elsewhere. Holdings of s e c u r i t i e s other than U, S, Governments a l s o declined a t c i t y banks but increased a t country and nonmember banks. Expansion in t o t a l loans thus f a r in 1956 was smaller than the $8 b i l l i o n r i s e in the comparable period l a s t year, but was larger than in any other year since 1950. Early in 1956, when business loans were r i s i n g rapidly, t o t a l loan expansion exceeded t h a t of 1955« Since about midyear, loan expansion has been only about 40 per cent as large as in 1955 largely due t o a drop in the r a t e of business loan expansion. Business loans increased about $4 b i l l i o n t h i s year, almost as much as in 1955> and more than in any other recent year. Expansion was rapid early in the year, especially around the March tax period, but subsequently slackened, with the increase since mid-year about half t h a t of l a s t year. Preliminary member bank c a l l report data f o r September 26, 1956, indicate t h a t business loans a t country member banks declined during the t h i r d q u a r t e r , a period when they generally decline or show the smallest growth. Since midyear, about three-quarters of the Increase in business loans a t c i t y banks was in New York, compared with l e s s than half during the f i r s t half of 1956 and less than t w o - f i f t h s in 1955, Not f o r publication - 4 Table 2 Changes in Commercial and Industrial Loans 1 / (in millions of dollars) Business of Borrower e e # e 1956" 1 1 9 # • i m 195T- 1 9 ^ " 1954 Dece 29 i Dec* 29* bee* $09 Sept»27> Sept*29, Septa30, 1953 195k 1955 Oct* 26, Oct# 27g Oct* 31, Oct* 31 Oct* 26 Oct. 27 1956 195U 1955 Food processors oismodity dealer s Trade concerns Total +288 +208 +169 +161 +159 +163 +H35 , +113 + 95 +113 +351 + + + + 197 152 395 "745 - 257 9h + 130 + 79 - 21*7 33 + 117 - 163 •Sales finance -305 -204 -117 - 800 + 1*97 » 43U All other -» t o t a l Metal and metal products Textiles, apparel, and leather Petroleum, coal, etc* Other manufacturing and mining Public u t i l i t i e s Construction All other types of business •10li - 97 - 98 •166 +3,1*12 +1,022 +2*100 + iSB - 761 -1,052 - 73 + 52 - 55 + 22 - 47 + 90 + 258 + 821 + 3^7 + 390 + lol* + 1*3 - 44 +101 - 26 - 13 -109 + 17 — 26 + 480 -180 + 546 + 7 + 17 + 206 + 369 + 211* 31* - 157 + 115 - 17 + 1*0 + 59 + 268 + 1*06 + 220 +256 - 74 +180 2 / - 31* + 38 +3,358 — 10 + 76 +2,674 . r1'3^ 2/3/+27 V - 982 +182 2/+146 + 28 ^>2,701 4/-2,337 Total - Classified Unclassified # Total change y +3,282 Data f o r 1955 and 1954 include agra.cultural loans* 2/ In October 1955# the level of business loans was increased by $318 million t o "* correct c l a s s i f i c a t i o n errors* No back figures were revised* In making comparisons, changes f o r the month of October are exclusive of the revision* but changes f o r the July » October period include the revision* Most of the misc l a s s i f i c a t i o n probably occurred during 195#* 2/ CCC c e r t i f i c a t e s of i n t e r e s t may have declined about $800 million* h/ CCC c e r t i f i c a t e s of i n t e r e s t may have declined about $1*00 million* Not f o r publication Over $1 b i l l i o n of the January-October r i s e was in loans to metals manufacturers. These loans expanded sharply prior t o the s t a r t of the s t e e l s t r i k e , but since then, they have generally declined. Petroleum and chemical concerns, other manufacturing and mining industries, and public u t i l i t i e s were also substantial borrowers over the year, A smaller than usual volume of net loan repayments by food processors and commodity dealers early in the year and a larger than usual volume of new loans a f t e r mid-year also contributed t o loan growth. On the otherhand, loans t o sales finance companies have declined f a i r l y steadily t h i s year, t o t a l i n g almost $800 million, in cont r a s t with a $500 million r i s e l a s t year, 1 Real e s t a t e loans at a l l commercial banks increased about $1.6 b i l l i o n during the f i r s t ten months of 1956, about one-fourth less than l a s t year. Consumer loans rose $1.4 b i l lion, about one-third less, with the drop from l a s t year occurring mainly since midyear. Agricultural loans declined only s l i g h t l y in 1956; a substantial decline in 1955 had r e f l e c t e d largely redemption of CCC c e r t i f i c a t e s of i n t e r e s t . Security loans declined more in 1956 than in 1955 and " a l l other loans" were about unchanged compared with substantial growth l a s t year. Holdings of U, S, Government s e c u r i t i e s declined $4,3 b i l l i o n during the January-October 1956 period. Substantial declines during the f i r s t half of the year, when loans were expanding sharply, were o f f s e t in part by subsequent net purchases when the r a t e of loan growth slackened. Last y e a r ' s reduction was larger and more uniformly d i s t r i b u t e d . Holdings of securit i e s other than those of the U. S, Government declined $300 million t h i s year, the f i r s t decline in t h i s period in recent years. Last year holdings of these securities increased $500 million. The appended table, "Loans and Investments a t All Commercial Banks", shows types of outstanding loans and investments monthly f o r recent years and quarterly or annually f o r previous years. Deposits and currency. Preliminary estimates indicate that demand deposits and currency held by businesses and individuals may have increased $2,4 b i l l i o n in October, about $400'million less than the usual seasonal r i s e , as shown in Table 3. At the end of October, deposits and currency were about l - l / S per cent above the year-ago level. U. S, Government deposits declined sharply in October, as heavy withdrawals more than absorbed funds provided through tax receipts and the sale of new b i l l s . Time deposits have shown r e l a t i v e l y l i t t l e change a t c i t y banks in recent months, but have continued t o grow a t country banks and a t mutual savings banks. On balance, t o t a l deposits increased $900 million r e f l e c t ing expansion in commercial bank credit, continued growth in loans a t mutual savings banks, and Federal Reserve purchases of U. S, Government s e c u r i t i e s . http://fraser.stlouisfed.org/ Not f o r Federal Reserve Bank of St. Louis publication - 6 - Table 3 Estimated Changes In Deposits and Currency (In b i l l i o n s of dollars) leasonally adjusted data l / Demand deposits adjusted Currency outside banks Total Tnadjusted data l / Demand deposits adjusted Currency outside banks Total Time deposits U, S. Government deposits Total factors a f f e c t i n g deposits and currency Bank loans and investments other 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 other Gold stock and foreign deposits at F, R. Banks Other factors Year ending: 195 5 1955 1955 Sept.27- Sept.29- Jan. 1 - Jan; 1- Oct. 33» Oct,26, Oct. 31 Oct. 26 Oct. 31 Oct. 26 1956 1955 . - 0;5 + 0;1 - 0.4 - 1.4 + 0;1 - 1.3 + 0*4 + Oil + 0.5 + 2.0 + 0,3 + 2.3 + 1.4 + 0.4 + 1,8 + 2; 9 + 0,^1 + 3.3 + + + + + + + + + + + + + + + + + + + + + . + 2*1 ± 0;3 + 2;4 + 0;2 zJ-il + 0.9 1;2 0.1 1.3 0.2 0>2 1,9 2.4 0;5 2;9 3;0 0;1 0.1 0,5 0.6 1.0 2.6 0.2 1.9 (signs indicate e f f e c t oi\ deposits • + o i6 + o.4 + 0.2 + lil + 0;8 + 0.2 1;4 0.5 1;9 3.5 1.0 4.4 •rency) • + 7;3 + 5.4 + 2.2 +10; 4 + 8;5 + 2.0 3.0 0,4 3> 3;1 1,4 5,3 1 O E Item • +11.6 +14,4 + 8,9 +12 a - - 8; 3 + 2,5 + 2.3 • + 0;5 + 0.2 + 0.3 2/ + + + - 0;9 0;3 0.9 0.2 + Oil - 0.3 2/ - 0.1 - 5.6 1;0 w 0.3 + 0;3 - 1.9 - 7;5 0;9 6;1 0.5 - 0;3 - 0.7 6.2 0.2 5.6 0.4 - 7.2 - 0,6 + 0,4 - 1.4 2/ - 0,8 - oT5 or l a s t Wednesday except in case of June and December c a l l dates, when available. / Less than $50 million. / Total includes foreign loans on gold and holdings of bankers' acceptances a t the ederal Reserve; changes in these items are generally r e l a t i v e l y small. In addition, ven if there were no changes in these items, changes a t commercial and mutual avings banks would not necessarily add exactly t o t o t a l change, which is "net", 3cause of bookkeeping discrepancies between various banking records. 'Qte; Data f o r October 1956 are estimates and subject t o change. Preliminary data f o r October w i l l be shown in the Board's statement, "Assets and L i a b i l i t i e s of All Banks in the United States" available a t the end of November. Jot f o r publication Last year in October, demand deposits and currency increased $1,3 b i l l i o n , considerably below the usual seasonal r i s e . While credit expansion was larger than t h i s year, U, S. Government deposits also increased s l i g h t l y whereas they usually show some decline in October, Thus f a r in 1956, demand deposits and currency in the hands of the public have increased a t an annual r a t e of less than one per cent, less than half the rate in the comparable period of 1955 and 1954, All the increase in 1956 occurred during the f i r s t half of the year. Since mid-year, there has been a decline. Time and savings deposits a t commercial and mutual savings banks and the Postal Savings System rose $3 b i l l i o n in the f i r s t ten months of 1956, about $400 million more than a year e a r l i e r but considerably less than in the corresponding periods of 1954 and 1953, U, S, Government deposits have shown l i t t l e change, as in the same period l a s t year, and a t the end of October, were about $1 b i l l i o n below t h e i r year-ago l e v e l . The seasonally adjusted annual r a t e of turnover of demand deposits in leading centers outside New York City rose t o 24,3 in the t h i r d quarter of 1956 from 22,5 in the l a s t quarter of 1955, an Increase of 8 per cent, This was about the same as the increase in the comparable period of 1955. The sharpest r i s e in 1956 occurred in the spring months, whereas in recent months, r i s e in turnover has been moderate, Bank reserves. Net borrowed reserve of a l l member banks averaged $175 million in October, s l i g h t l y below the $215 million level in September as shown in Table 4, Borrowings declined about $75 million, but excess reserves were also reduced somewhat. The e f f e c t i v e trading r a t e on Federal funds, which was generally 3 per cent during September, dropped to 2-15/16 per cent on several days in October and occasionally to 2-1/2 per cent. Over the month, as shown in Table 5, reserves supplied through System purchases of U, S, Government s e c u r i t i e s , Treasury and foreign operations, and reductions in required reserves were absorbed in substantial part through currency outflows and changes in other factors tending to drain reserves. System holdings of U. S. Government securities increased about $50 million on an average basis as purchases early in the month were o f f s e t in p a r t by subsequent sales when reserve pressures eased. Required reserves declined somewhat as an increase a t the mid-month associated with expansion in bank credit resulting from Treasury financing was more than o f f s e t by previous and subsequent declines. Not f o r publication - 8 - Table 4 Free Beserves (Excess reserves minus member bank borrowings; based on average of daily f i g u r e s ; in millions of dollars) Period All member 1954: December 459 New York - 50 1955: March June September October November December - 285 360 491 245 - 3 2 127 150 265 161 1956: January February March April May June July August September October - 255 266 408 533 504 195 139 339 213 177 - 198 138 174 167 Quarterly averages 1955: F i r s t Second Third Fourth 1956: F i r s t Second Third 1956: Sept. 26 Oct. 3 10 17 24 ' 31 Nov. 7 121 168 - 88 - 33 - 108 - 158 - 204 - 191 254 158 - 127 - 365 29 1 - 112 - 192 - 310 - 411 - 170 - 96 - 202 - 166 218 251 228 128 152 221 - 230 - 331 - 250 - 126 32 - 279 - 253 - - 157 Chicago Reserve City 26 550 - 134 - 43 - 114 - 137 - 151 - 67 83 404 377 365 344 341 338 - 83 - 353 - 336 - 16 - 103 - 256 - 262 153 Ill 48 72 93 114 - 75 64 - - 167 - 409 4l6 501 338 - 298 - 429 468 356 344 379 310 319 324 205 305 360 - 382 - 296 - 247 274 380 375 95 - 99 - 150 - 323 - 4l8 457 374 375 341 - 147 - 175 - 71 - 329 - 4l8 - 341 336 - 269 366 - - 67 - 133 - 109 - 109 - 107 - 128 - 113 - 167 - 323 329 174 201 185 267 Note: Data f o r second half of October and November are preliminary. Not for publication Country 278 338 319 439 383 489 171 402 / - 9 Member bank reserve positions, which had been brought under increasing r e s t r a i n t during 1955* tightened somewhat f u r t h e r during the early months of 1956, as shown in Table 4. Member bank indebtedness rose from an average level of $840 million in December 1955 t o over $1 b i l l i o n ' i n - A p r i l and May, As is usual early in the year, the System sold U, S. Government securities t o absorb reserves being released through reductions in deposits and currency. System holdings of U. S. Government securities declined $1,730 million between the end of the year and May 23, Subsequently, in May, June, and early July, the System purchased about $665 million of U, S, Government s e c u r i t i e s , Reserve Bank f l o a t also increased t o an unusually high level during t h i s period, and net borrowed reserves dropped to $140 million in July compared with over $500 million in the spring. In August, net borrowed reserves rose again following System sales of securities and reductions in Reserve Bank f l o a t t o more normal l e v e l s . System holdings of U, S, Government s e c u r i t i e s then fluctuated in response to reserve needs but on balance, increased $350 million between early August and l a t e October. At the end cf October, they were $1,2 b i l l i o n below t h e i r year-end level compared with a $900 million reduction In the comparable months of 1955« Reductions in currency in circulation, increases in gold stock, and declines in required reserves were the principal factors supplying reserves t o member banks during the ten months, JanuaryOctober, 1956, as shown in Table 5• These reserves were largely absorbed by System sales of U, S, Government s e c u r i t i e s and reductions in Reserve Bank f l o a t . Net borrowed reserves declined only about $70 million between December 1955 and October 1956, I n t e r e s t r a t e s . Rates charged on short-term open market paper continued t o increase during the f i r s t three quarters of 1956, but remained generally unchanged in October. Rate increases totaled s l i g h t l y over l / 2 percentage point on prime commercial paper and privately-placed finance company paper and s l i g h t l y less on 90-day bankers 1 acceptances. During the year 1955, these r a t e s increased 1-U./4 t o 1-1/2 percentage points. I n t e r e s t rates charged customers on short-term business loans by banks in leading c i t i e s increased about 1/2 percentage point during the f i r s t three-quarters of the year, r e f l e c t i n g increases in the prime rate in April and August. This was about the same as the increase in 1955. Not f o r publication - 10 - Table 5 Changes In Member Bank Reserves* with Relevant Factors (Monthly average of daily f i g u r e s j i n millions of dollars) October Item 1956 1 1955 January - October i e a r ended October 1955 1956 1956 1955 Excess reserves Required reserves l/ i/ •* III — uu Federal Reserve loans and investments* U» S* Govt* securities* Outright Repurchase agreements Acceptances Discounts and advances* To member banks To others l/ - 56 W 178 231 * 2U5 * + 13 + 56 * 196 + 172 - 38 + 197 23 (signs indicate e f f e c t 01% reserve!=> - 61 + + * - 1*5 j •* 1 37 + h9 + 2 16 66 j1 - 1+3 + % T"1If + 6 + 1 - 77 - 112 + 2h2 + 2l3 • 29 1 j1 + 35 | - 12 Data f o r October 1956 are preliminary* Not f o r publication - - 301 Principal f a c t o r s Currency in circulation Gold stock and foreign accounts Treasury operations Federal Reserve f l o a t Other f a c t o r s + 69 + 159 I Total I Member bank reserve balances + 1+01 + 217 - 332 — USh 339 + 13 207 128 - 23 16 66 109 + + + + + + - + + 271+ 67 256 151 37 152 206 15 - 821 966 ' ~ 170 - 576 - 1,007 - 139 ia - 31 - 21*5 + + 19 - 53U — 591 + 57 + 19 - 121 + 1 • + 802 * 161 638 150 - 169 - 11 -11- Table 6 Changes in Member Bank Reserves, with Relevant Factors (Monthly average of daily f i g u r e s ; in millions of d o l l a r s ) Item 1956 1955 1st. 2nd. 1st, 2nd. 3rd, 4th. 3rd. quarter quarter quarter quarter quarter quarter quarter Member bank reserve balances Total Excess reserves Required reserves - 316 + 7 - 309 + 9 + 91 10 19 + 5 + 86 - - 644 + 80 - 4 + 529 118 - 16 + 96 + 2 6 + 31 + 498 - 370 - 845 526 (signs indicate e f f e c t on reserves Principal f a c t o r s Currency in c i r c u l a t i o n Gold stock and foreign accounts Treasury operations Federal Reserve f l o a t Other f a c t o r s +1,010 - 280 - 267 + 959 - 260 + + 118 + 44 402 + 219 21 + 103 22 8 + 112 + - - 91 + + 364 + 74 + + 98 - Federal Reserve loans and investments:• U. S. Govt, s e c u r i t i e s : Outright Repurchase agreements Acceptances Discounts and advances: To member banks To others -1,080 + 206 - 8~£>9 + 35 + 209 - 211 - 37 3 4 + 2 + 1 -1,298 + 154 - 224 + 23 1 + 1 • 1 + Not f o r publication - 132 99 + 71 - 83 251 188 108 -1,284 14 *+- 217 58 - 21 8 - 66 + 128 46 56 + 465 - 17 + 111 + 111 + 893 + 650 - 13 + 16 + - 32 178 tm mm mm 2 62 + 447 39 - 40 + 243 1 - 10 22 - 12 - Loans and Investments a t All Commercial Banks Loans and investments Date 1947: 1948: 19^9: 1950: 1951: 1952: 1953: Dec; Dec. Dec; Dec; Dec. Dec. Dec. 31 31 31 31 31 31 31 116; 2 114; 2 120; 1 126.6 132.5 141,5 145.5 19J4: Mar. 31 J une•30 Sept.29 Dec. 31 142 ;5 146; 2 150;1 155.7 1955: Jan; 26 Feb; 23 Mar; 30 Apr. 27 May 25 June 30 July 27 Aug,•31 Sept,28 Oct, 26 Nov; 30 Dec, 31 155:5 153.8 152.4 154; 4 154.5 154; 8 155.8 155.6 156,4 158,1 158; 2 160.3 (In b i l l i o n s of dollars) U. S. Other Gov't, secur- Total Business Eeal secur- i t i e s loans estate ities 69,2 62.6 67.0 62 ;0 61.5 63;3 63.4 60; 7 63 ;5 67; 3 69.O 69.O 66;8 64.2 65,6 65 ;0 63.3 63;7 62 ;5 62,0 62,9 6l;4 61.6 9:0 9:2 10; 2 12.4 13:3 14;1 14.7 37.9 42.4 42; 9 52;2 57.6 64; 0 67.4 15;1 15 ;5 16; 0 67.2 16.3 16; 7 l6;8 17:0 17:0 16; 7 16;8 16; 7 16; 9 16,9 16,8 16; 6 16.7 66,8 66,8 70.4 18; 3 18.9 17; 1 21.9 25.9 27.9 27.2 26; 7 26.1 26;1 26.9 26;6 69.8 26.8 70.2 71.2 27,4 71.8 27.6 28,0 72; 8 74.8 28;9 29; 1 75.4 76.2 29;9 77,5 30;5 /30;8 P 78,4 -'31,1 80;2 32; 3 82.0 33.2 Secu- Farm Con- All sumer other rity 1/ 1/; 9.4 10; 8 11; 5 13:5 14,6 15:7 16.7 2;1 2,3 2;6 2;9 2,6 3:2 3.6 3.8 1.7 4.8 2;9 3.1 5;8 7.4 2.9 3.4 7.5 3.9 9.4 5.0 10.9 2.9 3;1 3.4 4;2 4.5 4; 9 5,1 l6;8 17:2 17:8 l8.it 3:0 3.7 3:8 4.5 5.8 10.6 5 ; l 10.8 3;9 10;8 5.2 10.9 5.0 5;2 5.4 5.6 18; 6 4;0 3;9 4;1 4*3 4;3 4:5 4;5 4;2 4,2 4.4 4;5 5.0 5.2 5;2 4,9 4,4 4;4 4,4 4;2 3.9 3*9 4,0 4.3 4.5 18; 8 19:0 19:2 19:5 19.8 20; 0 20,3 20;6 9/20; 8 -'20;5 20; 7 20,8 10; 9 11; 0 11;2 11.5 11:7 12;1 12; 3 12;5 12,7 5.6 5:7 5.8 5.9 6.1 6;2 6;3 6.4 6,6 12,9 6,5 13;0 6.5 13.2 6.5 1956: Jan; 25 158; 3 60.9 16;5 80.9 20;9 4; 6 4;4 13:3 6.4 32.7 Feb; 29 16; 6 157.1 81.2 59:2 21; 0 4,5 4;5 13:3 6;4 32; 9 Mar; 28 158; 5 58.6 l6;6 4.4 13 ;5 6;5 21;2 4;5 83.3 34;5 Apr. 25 158; 7 16; 6 58;2 21;4 4;4 34;8 83.9 4.3 13.7 6;6 May 30 158; 4 4.4 13:9 6.7 84.7 34;8 21; 6 4;5 57; 3 l6;4 June 30 56.6 16;5 86; 2 159.3 21;8 4;4 36; 1 4;3 14; 3 6;7 July 25p 158; 3 56;2 16; 3 85 ;8 21;9 35.8 4;3 4;2 14.4 6;6 Aug.•29p 16; 4 159.8 57;2 86.3 22; 1 4;0 4;0 14 ;4 6.7 36;4 Sept.26p 160;7 l6;5 57:0 87:2 22; 3 4 , 1 4;2 14.5 6;6 36:9 Oct, 31e 161.4 16,4 57.3 87.7 4 , 1 4.3 14.6 6.6 22.4 37.1 p - Preliminary e - Estimated l / Revised s e r i e s , 2/ Level of business loans increased by, and r e a l estate loans decreased by $300 million a t the end of October 1955 t o correct c l a s s i f i c a t i o n e r r o r s . Wo back figures revised; most of the misclassification probably occurred during 1955* 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 partly 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 dates. Banking Section, Board of Governors Not f o r publication
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