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" " l.M ' V V < C\Tt J a £ g s * ~ . . . _ , . Bank credit. Total credit at all commercial banks increased $300 million in October, considerably less than usual for this month. Loans rose $200 million, well below the increases in October of 1955 and 1956; the difference, however, is accounted for entirely by the business loan category. Holdings of U. S. Government securities increased only $300 million, although the Treasury issued $4.3 billion of new securities for cash, of which commercial banks initially took about $2.5 billion. Total credit at weekly reporting banks in leading cities declined in October. Loans were reduced, compared with increases in the same month of most other recent years, and holdings of Government securities rose much less than usual. Other security holdings declined substantially. At country banks the increase in total credit was less than usual for October. Loan growth at commercial banks since the beginning of 1959 has amounted to $8.4 billion (after adjustment for structure changes), $400 million more than in 1955; which was the previous peak year since the end of World War II. The reduction in holdings of U. S. Government securities of $7.2 billion, however, has exceeded the decline in the same period of any postwar year. On balance, total credit at commercial banks has risen $1.2 billion, less than in the first ten months of any other postwar year except 1956. Business loans at city banks (excluding loans to sales finance companies) increased $35 million in October, less than one-tenth as much as in October of 1955 and 1956. Borrowing by food processors, commodity dealers, and trade concerns was almost as great as usual. This was largely offset, however, by declines in loans to nearly all other categories of business borrowers. Loans to sales finance companies declined $327 million, greater than in October of any year except 1957• Consumer loans at all commercial banks showed further growth in October but at a slower pace than earlier, Real estate loans also rose further. Both consumer and real estate loans have expanded in record volume since the beginning of 1959. Hot for publication Deposits and currency. Seasonally adjusted demand deposits and currency holdings of businesses and individuals declined $400 million between the last Wednesday of September and the last Wednesday of October, despite a substantial reduction ($1.1 billion) in Government deposits. Since March there has been little net change in the seasonally adjusted money supply and at the end of October it was about 1-1/2 per cent above the level a year earlier. Seasonally adjusted semi-monthly averages of daily demand deposits at member banks declined about $700 million from the second half of September to the second half of October, based on preliminary figures. This series has declined about $400 million since March. Time deposits at commercial banks remained unchanged in October, while deposits at mutual savings banks declined $200 million, presumably reflecting withdrawals of funds to purchase the 5 per cent five-year note issued by the Treasury in mid-October. Deposit turnover. The seasonally adjusted annual rate of turnover of demand deposits at 337 centers outside New York and other financial centers was 24.8 in October (based on unpublished Board seasonals), compared with an average of 24.7 for the preceding six months. The October level of turnover was about 6 per cent higher than a year ago. Bank reserves. Net borrowed reserves of member banks averaged $466 million in October compared with $493 million in September and an average of $535 million for the months of June, July, and August. Net borrowed reserves remained above the $500 million level in the first two weeks of October but dropped to $315 million in the week ending October 21, when a sharp expansion in Federal Beserve float and other factors much more than offset factors draining reserves in that week. In the last week of October reserve positions were again near the $500 million level. The slight easing in reserve positions in October occurred principally at reserve city banks. At reserve city and country banks reserve positions have eased fairly steadily since June, whereas at central reserve city banks reserve positions in October were tighter than at midyear. Not for publication During October reserves were supplied on a daily average basis principally by Treasury operations ($49 million), a decline in currency in circulation ($^5 million), and by a reduction in other factors ($65 million), reflecting in part the reduction of $100 million in the account of the International Monetary Fund for the purchase of Treasury bills. Reserves were absorbed mainly by a decline in System holdings of U. S. Government securities ($157 million). Required reserves declined $12 million, as reductions early in the month were not completely offset by increases in the second half of October, when banks acquired substantial amounts of the new 5 per cent notes and tax-anticipation bills issued by the Treasury in mid-October. Hot for publication - k - Table 1 L.li.3 Estimated Changes in Loans and Investments at All Commercial Banks (In billions of dollars) ~ Last Wednesday of Sept. to Last Wednesday of Oct. Item 1959 2/ 1958 Total loans (excluding interbank) + 0.2 + 0.3 - 0.6 - 0.1 + 0.2 1/ - 0.1 + 0.1 + 0.2 + O.I4. - 0.1 + 0.1 1/ + 0.2 + + — 0.6 1/ "0.1 0.2 0.1 0.1 U. S. Government securities + 0.3 + 1.5 + l.U + 0.5 + 0.9 + Other securities — 0.1 - 0.1 + 0.5 - 0.3 — 0.1 + 0.1 + 0.3 + 2.2 + + 0.7 + Business Real estate Security Agricultural Consumer All other Total loans and investments (less interbank) Item y Business Real estate Security Agricultural Consumer All other U. S. Government securities Other securities Total loans and investments (less interbank) l.li 1956 1955 1951 + 0.9 + 0.2 + 0.2 0.6 + 0.1 W 0.1 AS + 0.1 + 0.2 - 0.2 + 0.1 + 0.2 1/ + "0.1 - 0.1 + 0.1 + 0.2 1/ 1/ 1/ + o.U 1 1.7 y > 2.9 3.2 Last Wednesday of Sept. to Last Wednesday of Oct. 1923 Total loans (excluding interbank) 1957 + 0. U 1952 + 1.3 + 0.7 1/ + 0.1 , + 0.1 - 0.1 + 0.1 + 0.I4 + 0.2 1/ + 0.3 + 0.1 - 0.1 + 0.1 y + 0.6 + 1951 1950 1919 1918 + 0.6 + 1.1 + 0.1 1/ + + + + + + + + 0.6 0.2 0.1 0.1 0.1 0.2 n.a. Us cle n • a. n« 3.# + 0.2 Tl e cl • n.a. n.a. n.a. n.a. 1/ n,a. 0.5 0.1 0.2 0.1 1/ + 0.1 1.3; + — 0.1 + 2.h+ 1.2 1/ 1.7 + 1/ + 0.9 + 0.8 1/ - - 1.0 0.1 + 1.0 0.2 + 0.6 ?/ Data for all commercial banks will not be revised to conform with changes in weekly reporting data until all bank call data are available on new basis. 3/ In October 1955* the level of business loans was increased by, and that of real estate loans decreased by, $300 million to correct classification errors. Therefore unadjusted changes are + 0.3 for business loans and + 0.2 for real estate loans. DigitizedNot for FRASER for publication L.U.3 Table 1 Not for publication Estimated Changes in Loans and Investments at All Commercial Banks ~ (In billions of dollars) End of June to Last Wednesday of October 2/ 1958 1957 — 0.2 — O.ii + + l.lj. + 0.9 V - 0.1 + 0.8 + 0.6 + + — + + + - 0.8 + 0.3 — 0.2 + + + - + 1.6 +1.8 + 0.9 + 0.5 + 0.8 — 0.2 1959W Total loans (excluding interbank) Business Real estate Security Agricultural Consumer All other U. S. Government securities + Item + 2,h 0.1 1.0 1.8 0.2 0.1 0.3 'V y + O.lt y 1.9 + 2.2 + 3.6 1.1 y + 0.6 y + 0.3 0.3 — 0.2 + + 1/ 2.2 «o.7 0.1 2.1 1952 1953 + — 0.2 O.k + + + - O.ii + 0.8 0.3 1/ 1950 2.7 + 0.5 + o.U 1/ + 0.6 + 0.3 - 0.1 + + + + U. S. Government securities + 3.7 + Other securities + 0.2 + 0.2 + 0.2 CO O + 1951 + + $.b + + + 2.6 Total loans and investments (less interbank) - 1951 3.3 0.1 0.8 0.1 1.2 1/ + 0.2 6.7 + 0.6 + 7.1 End of June to Last Wednesday of October 1.1; Business Heal estate Security Agricultural Consumer All other 1955 + l.It + Total loans (excluding interbank) l.It y Other securities Total loans and investments (less interbank) 3.7 1956 19U9 1918 + 1.I1 + 1.6 0.5 0.5 0.1* 0.7 1/ + + + 1.3 0.3 0.5 0.3 1/ + 0.2 + 3.1 + 0.9 - 0.3 1/ + 0.8 + 0.6 He 3,e n.a. T1 e n.a# n * 3,# n • 5Le R#cl# n • pv + 0.5 + 0.3 n • ci • n.a. 1.7 + - + ii.5 2.1i 3.9 5.0 3.3 + 0.7 + 1.7 0 h.ll. . - + 0.6 + 5.6 1.5 y + 0.2 2/ Dates are for June 30, for all years except 1959, 1958, and 1957 which are for last Wednesday* 3/ In October 1955, the level of business loans was increased by, and that of real estate loans decreased by, $300 million to correct classification errors. Therefore, unadjusted changes are +1.9 and + 1.0 respectively. k/ As a result of inclusion of banks in Hawaii, in August 1959 total credit increased ~~ about $300 million; total loans $200 million; and U. S. Government securities, $100 million. 5/ Data for all commercial banks will not be revised to conform with changes in weekly reporting data until all bank call data are available on new basis. - 6 - Table 1 L.Ii.3 Estimated Changes in Loans and Investments at All Commercial Banks " (In billions of dollars) U. S. Government securities 1957 + 0.2 + ,2.0 + + 3.5 + 2.5 — 0.6 — 0.1 + 2.2 + l.L + — + — + 1.6 1.6 0.6 0.7 0.1 O.ii + + — + + 1.0 O.it 0.6 0.2 1.2 0.1 + lt.0 + 1.6 - 0.9 — 0.5 + 1.2 + 0.2 - + 8.0 - 1.3 + 2.6 + + 10.8 + 9.0 1/ Other securities Item Total loans (excluding inteibank) + 2.2 1953 1952 + li.2 2.3 + — + + + 1/ 0.9 O.it Oels. 1.5 0.1 U. S. Government securities - 1.0 Other securities + O.li + 0.9 + 1.7 + Total loans and investments (less interbank) 1951 - o.L + + li.2 2.1 0.1 1.2 2.0 0.9 — + + — + 1.0 1.3 0.2 1.1 0.1 0.3 — lul - 6.1 + 6.8 1.3 — o.U + 0.5 + 2.0 + l.i + 2.1i 2/+. l.JU End of December to Last Wednesday in October + Business Real estate Security Agricultural Consumer All other 1 CO o- • Total loans and investments (less interbank) 6.9 5.6 CO + 1955 o Business Real estate Security Agricultural Consumer All other 1956 1958 1959 W + Total loans (excluding interbank) End of December to Last Wednesday in October + Item + 1.0 + 0.9 y + 0.7 + 1.5 + 0.1 + l.U 6.3 1951 1950 19JU8 6.8 — 0.8 + + 3.1 + 0.9 — 0.8 + 0.5 V + o.h + 2.9 + 1.8 - 0.1 — 0.2 + 1.6 + 0.8 n.a. n.a. n.a. n.a. + 0.9 H e cle T1 e 3,e n• n.a. n.a. + 0.9 n.a. - - ii.5 + - + o.5 + 1.9 + 0.9 + 0.2 + + It.2 + - + 3.9 l.i 3.2 + 1919 5.0 5.1 3.5 5.9 2.3 "y In October 1955# the level of business loans was increased by, and that of real estate loans decreased by, $300 million to correct classification errors# Most of the misclassification probably occurred during 19553/ Data for all commercial banks will not be revised to conform with changes in weekly — reporting data until all bank call data are available on new basis. k/ Structure changes in 1959 added about $1 billion to total credit; $600 million in loans; $300 million in U. S. Government securities; and $100 million in other securities. Real estate loans increased about $300 million; business loans $100 million; and consumer loans $100 million. Mot for publication L.4.3 -7 - Table 1 Changes in Loans and Investments at City and Country Banks (In millions of dollars) e Item Last Wednesday in Sept. to Last Wednesday in Oct* 1959 1958 1956 1957 1955 1951 + 622 + 575 - 119 +1,078 + 184 +1,837 + 79 +2,100 22k 93 2k 3kl + 164 + 732 + 46 Weekly reporting banks 1/ w # e Total loans U. S. Government securities Other securities Total loans and investments # e 33k 102 76 157 183 + + + + 167 1 502 lk2 + + 281 691 9k + + + +1,069 + + + + 718 654 249 185 + 71 502 220 793 4• 185 + 347 17 •f 515 263 135 115 17 Country member banks Total loans U. S. Government securities Other securities Total loans and investments Item # + + + + + 126 20 288 + + 4+ + + 9k2 Last Wednesday in Sept. to L as t Wednesday in Oct. 1952 1951 +1,012* + 692 - 168 +1,538 + 601 + 714 75 +I,2lt0 + + 185 132 BU 233 + + + + 202 2 1 205 + + + + + + + + 18 7 loo 61 618 + + + 1953 19# 19U9 1948 Weekly reporting banks 1/ Total loans U. 3. Government securities Other securities Total loans and investments + + 636 116 57 163 + + 264 967 167 536 + 77 831 47 710 + + + + 96 169 • + 81 - 109 20 111 291 33 + Country member banks Total loans U. S. Government securities Other securities Total loans and investments 217 1L06 33 656 226 33 28 287 l/ Beginning July 1, 1959 changes are on revised basis. # Note: Data for country banks include interbank loans, which on June 10, 1959, were about $100 million. Data for weekly reporting banks include interbank loans prior to 1952. Hot for publication L.4.3 - 8 - Table 1 Changes in Loans and Investments at City and Country Banks (in millions or dollars) End of June to Last Wednesday in October . Item Weekly reporting banks 1959 1958 3/ 2/ 1956 1957 l/ 1955 1951 818 621 189 38 + 2,397 - 1,151 1U1 +1,099 271 + 3,808 + 356 + 3,893 + J469 + 901 + 3 + 1,372 + 911 + U5U + 88 + 1,452 + 185 + 2,053 + I6I1 + 2,102 i Total loans + 1,893 - 1,021 U. S. Government securities - 1,786 983 Other securities 77 195 + Total loans and investments 88 - 1,927 - + + - 8U0 + 27h 337 229 + Country member banks Total loans U. S. Government securities Other securities Total loans and.investments + 1|20 + 258 + 1,608 + 938 + 302 + 292 + 2,330 + 1,1(88 End of June to Last Wednesday in October Item Weekly reporting banks + 900 + 265 + 107 + 1,272 1953 1952 1951 1950 191*9 19li8 2/ Total loans U. S. Government securities Other securities Total loans and investments + 755 + 1,701 + 2,581 — 115 + 38 + 35 + 3,377 + 1,621 + 1,206 + 3,551+ + 750 - 2,909 + 57 + 625 + 2,013 +1,270 + 39 + 895 + 3,660 - 1,11*0 + U61j. + 1*0 + It,163 205 Country member banks Total loans U. S. Government securities Other securities Total loans and investments , + 591 + 911i + 81 + 1,585 + 781l + 383 + 1,172 + 1,066 + 108 + I3h + + 2,06i;. 1,503 + 1,133 + ltli2 + + 1,083 h3 6 + 202 + 136 + + 898 + 1,660 + 596 ill 7 It 183 1/ Country bank data are for June call dates except for 1959, 1958, and 1957, which are for last Wednesday. 2/ Beginning July 1, 1959, changes are on revised basis. ij Data are on unrevised basis as revised data do not begin until July 9, 1958; however difference in changes is 'generally very small between old and new series. Note: Data for country banks include interbank loans, which on June 10, 1959, were about $100 million. Data for weekly reporting banks include interbank loans I prior to 1952. Not for publication L.4.3 - 9 Table 1 Changes in Loansi and Investments .investments at City and Country Banks (In millions of dollars) End of December to Last Wednesday in October 1/ Item 1959 Weekly reporting banks 1958 1956 1955 1954 2/ + 9,851 — 1,878 Total loans - 3,700 + 5,209 U. S. Government securities + 663 + 1,588 Other securities Total loans and investments + 6,814 + 4,919 Country member banks 1957 163 + 3,602 + 5,091 - 1,695 - 1,463 - 4,161 - 5,980 + 4,733 + 444 46 + 1,095 517 - 1,182 - 1,076 935 + 4,133 3/ Total loans U. S. Government securities Other securities Total loans and investments Item + 2,960 + 1,158 964 + 1,854 + 151 + 789 + 2,147 + 3,801 + 1,466 + 1,806 101 593 + 680 + 136 + 2,045 + 1,349 + 2,268 + 788 854 + 1,409 + 379 + 275 + 1,792 + 2,472 End of December to Last Wednesday in October 1/ 1953 1952 1951 1950 1949 1948 Weekly reporting banks 2/ Total loans U. S. Government securities Other securities Total loans and investments + 535 + 2,067 137 - 1,172 + + 34 + 563 603 + 2,767 + 2,484 + 4,244 - 1,638 + 1,307 - 1,748 - 3,740 + 4,851 - 3,701 + 123 + 1,305 + 808 + 20 + 859 + 1,809 + 4 , 0 2 1 - 2,374 County member banks 3/ Total loans U. S. Government securities Other securities Total loans and investments + l,4o6 + 1,621 + 1,253 791 241 + 64 + 185 + • 245 + 284 + 1,35b + 2,657 + 1,473 + 1,951 + 465 694 468 + 112. + 441 + + 1,924 + 1,272 + 1,631 - 1,382 + 233 + 482 l/ Country bank data for December call dates. 2/ Beginning July 1, 1959, changes are on revised basis. 3/ Country bank assets and liabilities were increased about $350 million in April 1959 as a result of inclusion of a national bank in Hawaii and the shifting of six national banks in Alaska from nonmember banks • (Loans +200; U. S. Govt. +100 j other securities +50;) Note: Data for country banks include interbank loans, which on June 10, 1959, were about $100 million. Data for weekly reporting banks include interbank loans prior to 1952. Not for publication L.4.3 - 10- Table 2 Changes In Commercial and Industrial Loans l/ (In millions of dollars) Last Wednesday in September to the last Wednesday in October Business of Borrower 1959 Food processors Commodity dealers Trade concerns Total Sales finance All other - total Metals and products Textiles, apparel and leather Petroleum, coal, etc. Other manufacturing and mining Public utilities Construction All other types of business Classified Unclassified Total change Total change excluding sales finance 1958 2/ 1957 1956 1955 1954 1953 1952 + + + + 210 262 122 59k + + + + 195 152 133 480 +125 + 89 +145 +359 +290 +208 +170 +668 +161 +159 +162 +482 +113 + 95 +113 +321 + 124 + 165 + 84 + 373 2/(-327) - 79 -410 -305 -204 -117 - 199 y - 380 - 153 - 242 - 197 -390 - 50 -103 - 97 -97 -166 - 69 - 61 - 20 + 71 + 111 - 107 - 12 - 126 - 34 -137 - 21 - 77 + 52 - 54 + 22 - 47 + 90 + 63 14 - 54 + 42 - 25 - 31 60 + 104 + 2 - 76 + 6 - 37 - 45 +102 - 24 -13 -109 + 17 - 26 -180 + 7 9 + 23 9 + 36 - 60 + 4 - 52 + 69 - 75 - 14 + 40 + 59 + 3 8 + - 68 33 + 159 - 121 -439 -224 +260 - 57 +180 - 34 + 38 + 113 - 10 l A 85 + 665 + 10 + 35 + 38 -663 +203 +146 + 28 3/+198 + 675 + 35 + 117 -253 +508 +350 +145 1/+397 + 675 + 82 + 163 + 203 + 448 &/ y 1/ Prior to week ending January 11, 1956, included changes In agricultural loans. 2/ Not included in business loans on revised basis. 3/ Includes CCC certificates of interest which are estimated to have increased $175 million. 4/ Less than $500 thousand. "2_/ Data for 1958 have not been revised for additional banks and coverage. Note: Classified data are for a sample of about 210 banks reporting changes in their larger loans. These banks hold over 95 per cent of total commercial and industrial loans of all weekly reporting banks and nearly 75 per cent of those of all commercial banks. Not for publication L.4.3 - 11 - Table 2 Changes In Commercial and Industrial Loans l/ (In millions of dollars) Last Wednesday in June to last Wednesday in October _ • Business of Borrower Food processors Commodity dealers Trade concerns Total 0 Sales finance Total change Total change excluding sales finance 2/(-212) 1956 1954 1955 1953 1952 + 500 + 538 + 226 +1,264 + + + + 283 367 284 934 +258 +330 +158 +ik6 +342 +246 +118 +70§ - 233 -502 - 478 - 92 -259 -253 + 73 + + + + 349 307 210 866 +287 +270 +19? +752 + 530 + 548 + 136 +1,214 + - 24 297 - 531 - 600 -67? + 452 -^59 - 340 + 576 9 -528 -476 ~-2& - 42 + - 132 97 + + 22 117 - 146 - 62 -114 + + 12 + 16 397 + + 127 77 + 49 + 53 - 10 + + 49 + 9 157 + + 53 303 l - 53 + 44 + 62 - 54 + - 27 + - 22 110 182 36 + + 53 15 80 - 28 -284 + 44 + 5 + + 69 - l + 67 137 26 - 173 123 + 263 +114 + 88 + 107 + • Classified Unclassified + 412 + 395 + 285 +1,092 1958 6/ 1957 cu CM All other - total Metals and products # Textiles, apparel and leather Petroleum, coal, etc. Other manufacturing and mining Public utilities $ Construction All other types of business 1959 - 11 + +1,118 86 + 103 - 152 -426 +1,237 +1,417 - 4l +413 +1,419 83 -367 - 177 It- 112 4/-800 1/+ 92 + +1,032 - 49 -793 +1,060 l/+1,305 4/-841 1/+504 +1,502 +1,032 + 184 -291 +1,538 5/+1,397 4/-582 3/+757 +1,429 l/ Prior to week ending January 11, 1956, included changes in agricultural loans. 2/ Not included in business loans on revised basis. 2/ Includes CCC certificates of interest which are estimated to have increased $175 million. 4/ Includes CCC certificates of interest which are estimated to have declined # $475 million. 2/ Includes CCC certificates of interest which are estimated to have declined by $300 million. 6/ Data for 1958 have not been revised for additional banks and coverage. Note: Classified data are for a sample of about 210 banks reporting changes in # their larger loans. These banks hold over 95 per cent of total commercial and industrial loans of all weekly reporting banks and nearly 75 per cent of those of all commercial banks. Not for publication L.4.3 - 12 - • Table 3 Estimated Changes in Deposits and Currency (In billions of dollars) • # Last Wednesday in September to last Wednesday October -L uom Seasonally adjusted data l/ Demand deposits adjusted Currency outside banks Total Seasonally unadjusted data l/ Demand deposits adjusted Currency outside banks Total T ime depos its $ Commercial banks Mutual savings banks U. S. Government deposits Total - 0.3 0.1 o.4 + 1.3 0.2 + 1.1 0.3 2/ 0.2 1.1 0.3 - - - - 1958 1957 1956 1955 1954 + 1.3 + 0.1 + 1.4 + 0.3 2/ + 0.3 + 0.6 + 0.1 + 0.7 - 0*2 2/ - 0.2 + 0.5 2/ + 0.5 + + + + + + + + 1.7 2/ + 1.7 + 0.4 + 0.4 + 0.1 - 0-2 + 1.6 + + + + + + + +1.2 + 0.1 +1.3 + 0.2 + 0.1 + 0.1 + 0.2 +1.9 +1.9 2/ +1.9 + 0.4 + 0.3 + 0.1 +1.5 + 3.7 2.9 0.1 3.0 0.2 0.2 0.1 0.8 2.5 2.0 0.3 2.3 0.2 0.1 0.1 1.7 0.8 (signs indicate effect on deposits and currency) - 0.2 + 0.1 2/ + - 0.1 0.2 0.3 0.1 2/ 2/ 1.0 0.5 0.2 + 0.3 - 0.1 + 0.2 + 1.9 + 0.5 + 1.5 +1.3 + 0.1 +1.4 - 0.2 + + * 2/ - 0.2 0.2 2/ 2/ + 0.3' + 0.1 + 0.2 + + ~ + LT\ O Factors affecting deposits * and currency Bank loans and investments . other than U. S, Govt, sec..2/ Commercial Mutual savings Bank holdings of U. S. * Government securities: Federal Beserve Commercial Mutual saving and other Gold stock and foreign deposits at F. E. Banks * Other factors 1959 0.2 0.5 0.2 0.1 0.1 1.1 0.8 + 0.2 + 0.6 + 0.3 + 0.2 0.9 0.3 0.9 0.2 + 3.2 + 0.4 + 2.9 2/ 2/ 0.1 2/ - 0.1 + 4 + + + - l/ Seasonally adjusted data are for last Wednesday throughout; unadjusted data are for last Wednesday except in case of June and December call dates, when available. 2/ Less than $50 million. ^B/ Total includes foreign loans on gold, holdings of bankers1 acceptances at the Federal Beserve, and loans to foreign banks; changes in these items are generally relatively small. In addition even if there were no changes in these items, changes at commercial and mutual savings banks would not add to total change which is "net" because commercial banks exclude all interbank loans, domestic and foreign, while total loans exclude only those to domestic banks. Also there # is some lack of synchronization in reporting asset and liability items used in computing "loans net". Not for publication - 13 - L.4.3 Table 3 Estimated Changes in Deposits and Currency (In billions of dollars) End of June to last Wednesday in October Item Seasonally adjusted data 1/ Demand deposits adjusted Currency outside banks Total Seasonally unadjusted data l/ Demand deposits adjusted Currency outside banks Total Time deposits Commercial banks Mutual savings banks U. S. Government deposits Total Factors affecting deposits and currency Bank loans and investments other than U. S. Govt. sec. j/ Commercial Mutual savings Bank holdings of U. S. Government securities: Federal Deserve Commercial Mutual saving and other Gold stock and foreign deposits at F. E. Banks Other factors 1959 it/ 1958 1957 1956 1955 1954 - 0.6 - 0.2 - 0.8 + 2.8 - 0.1 + 2.7 - 0.8 - 0.2 - 1.0 2/ - 0.1 - 0.1 4 0.5 4 0.1 4 0.6 4 2.7 - 0.2 4 2.5 4 2.0 + + + 4 + 4 4 + 1.6 2A + 1.6 + 1.7 + 1.5 + 0.4 - 1.2 + 2.1 + + + 4 4 + 4 2.9 - 0.1 4- 2.8 4 0.8 4- 0.4 4 0.5 - 0.5 4 3.2 4 5-0 - 0.2 4 4.8 4 1.5 4 1.0 4- 0.5 - 0.1 4 6.1 + 2.0 + 0.1 4 0.2 2/ 4 0.8 + 2.8 4.8 0.2 5.0 1.9 1.4 0.6 5*8 1.1 2.7 0.6 2.1 0.9 0.5 0.4 1.8 1.2 (signs indicate effect or1 deposits! and curi•ency) + 4.7 + 3.9 4 0.7 + 1.0 4 0.1 4 0.9 + 1.1 + 0.4 + 0.7 4 1.7 4 1.2 4 0.9 4- 4.3 4 3.6 4 0.8 4 1.4 4 0.4 4 0.8 + - 4 + + - 4 + 4 - 1*9 0.3 1.8 0.3 4 0.5 2f 4 0.9 - 0.3 - 0.3 4 0.4 - 0.4 -0.2 4 4 - + 0.1 - 1.0 4 0.1 - 1.1 2/ - 0.8 - 0.1 - 1.0 1.2 0.5 1.4 0.3 - 0.3 - 0.4 1.8 0.4 1.6 0.1 - 0.7 - 1.0 5.8 0.7 6.7 0.2 l/ Seasonally adjusted data are for last Wednesday throughout; unadjusted data are for last Wednesday except in case of June and December call dates when available. Data for June 1959# 1958, and 1957 are for last Wednesday throughout. 2/ Less than $50 million. 3/ Total includes foreign loans on gold, holdings of bankers 1 acceptances at the Federal Reserve, and loans to foreign banks; changes in these items are generally relatively small. In addition even if there were no changes in these items, changes at commercial and mutual savings banks would not add to total change which is "net" because commercial banks exclude all interbank loans, domestic and foreign,while total loans exclude only those to domestic banks. In addition, there is some lack of synchronization in reporting asset and liability items used in computing "loans net". 4/ In August 1959, as a result of the addition of nonmember banks in Hawaii demand deposits adjusted increased $200 million and time deposits at commercial banks increased $200 million. Not for publication - 14 Table 3 Estimated Changes In Deposits and Currency (In billions of dollars) End of December to last Wednesday in October Item 1959 4/ Seasonally adjusted data l/ Demand deposits adjusted Currency outside banks Total Seasonally unadjusted data ±1 Demand deposits adjusted Currency outside banks Total Time deposits Commercial banks Mutual savings banks U. S. Government deposits Total Factors affecting deposits and currency Bank loans and investments other than U. S. Govt. sec. 3/ Commercial Mutual savings Bank holdings of U. S. Government securities: Federal Reserve Commercial Mutual saving and other Gold stock and foreign deposits at F. E. Banks Other factors 1958 1957 1956 0.6 0.1 + 0.7 + 5.1 - 0.2 + 4.9 - 0.2 2/ - 0.2 + 0.1 + 1.0 - 2.8 + 0.7 - 4.2 - 0.5 + + 0.4 3.2 2.9 2.4 + 0.6 + 1.1 + 0.4 + 8.3 + 6.8 + 1.8 0^ + 0.7 1954 + 0.3 + 2.9 + 2.6 + 2.9 - 0.5 + 274 2.5 - 0.5 3.1 3.1 1.0 2.6 + 0.6 - 1.2 + 0.9 0.6 + 5.9 + 4.9 + 1.3 Z-24 + 0.6 1955 1.8 1.5 0.1 - 0.1 - 0.6 1.4 1.5 0.2 + 1.9 + + + 0.5 4.4 3.0 1.5 h2 + 5.7 (signs indicate effect on deposits and currency) +10.0 + 9.0 + 1.5 I?-! + 2.6 + 2.5 2/ - 6.9 - 0.3 + + + - - 1.1 - 1.0 - 2.0 - 3.5 + 8.7 1.2 8.0 0.4 + 7.1 + 5.2 + 2.2 +10.4 + 8.5 + 2.0 3.3 1.0 + 2.1 3.? 1.7 1.3 0.5 - - 7-5. -1.0 - 6.1 - 0.5 + 0.7 1.5 + 0.3 - 1.8 + 4.9 4 3.3 + 1.9 - - - + ?-7 1.0 4.1 0.5 + 0.1 - 1.1 + 4-7 1.5 + 6.8 0.6 - - 0.3 2.0 for last Wednesday except in case of June and December call dates, when avaiable. 2/ Less than $50 million. 3/ Total includes foreign loans on gold, holdings of bankers1 acceptances at the Federal Reserve, and loans to foreign banks; changes in these items are generally relatively small. In addition even if there were no changes in these items, changes at commercial and mutual savings banks would not add to total change which is "net" because commercial banks exclude all interbank loans, domestic and foreign,while total loans exclude only those to domestic banks. Also there is some lack of synchronization in reporting asset and liability items used in computing "loans net". 4/ During 1959* as a result of structure changes, demand deposits adjusted increased $400 million; time deposits at commercial banks increased $700 million, and time deposits at mutual savings banks declined $300 million. Not for publication - 15 L.4.3 Table 4 Free Reserves (excess reserves minus member bank borrowings; based on average of daily figures; iri millions of dollars) All member New York Chicago Deserve city Country Quarterly averages 1958: First Second Third Fourth 314 508 341 25 10 18 - 28 - 44 - - 16 4 1 17 27 63 - 55 - 194 366 422 424 280 1959: First Second Third - 82 - 363 - 528 - 25 - 52 - 202 - 67 - 56 - 42 - 215 - 393 - 431 225 137 146 1958: June July August September October November December 484 546 383 95 96 20 - 41 7 16 - 22 - 79 8 - 43 - 80 12 4 - 57 56 22 201 198 I89 197 408 471 426 378 305 268 268 1959: January February March April May June July August September October - 59 47 140 258 318 513 557 535 493 466 - 65 - 28 16 - 89 - 51 - 15 - 154 - 225 - 227 - 209 - 53 - 26 -122 - 64 - 41 - 63 - 47 - 35 - 44 - 82 - 223 - 195 - 228 -284 - 360 - 535 -482 - 420 - 391 - 337 281 202 194 178 133 101 124 145 I69 162 - 499 523 557 314 489 440 - - 17 - 100 - 93 - 62 - 83 - 55 - September 30 October 7 14 21 28 November 4 - 169 289 271 227 115 169 - — — - 3 3 16 32 Note: Data for first half of November are preliminary. Not for publication - 266 368 350 339 340 341 - 47 234 157 314 49 125 L.4.3 - 16 Table 5 Changes in Member Bank Reserves, with Relevant Factors (Monthly average of daily figures; in millions of dollars) October Item 1959 July - October January-October 1958 1959 1958 1959 1958 Member bank reserve balances Total Required reserves 1/ Effect of reduction in requirements Effect of deposit change Excess reserves l/ + 17 + 51 + 159 - 124 - 289 - 12 + 101 + 127 - 19 - 211 - 888 + 101 - 50 + 127 + 32 - 19 - 105 - 211 78 — — — —- — - 12 + 29 — — 944 -1,440 + 552 - 56 (signs :.ndicate eiffeet on reserves' Principal factors Currency in circulation Gold stock and foreign accounts Treasury operations Federal Reserve float Other factors 45 - 48 - 158 - 351 + - 17 + 49 + 27 + 65 - 164 + 7 + 45 + 16 + + + + + + 758 26 119 22 -1,105 + 321 - 381 52 -1,973 + 95 - 408 - 211 Effect of above factors on reserves + 169 - 144 - 360 - 942 1 H 8 -1,955 - 151 + 197 + 520 + 3 CO + 532 +1,012 - i?7 - 1^9 8 + 1 + 245 + 209 + 36 + 3 + 554 + 530 + 24 - 5 + 546 + 562 - 16 - 11 + + - 205 263 58 18 +1,314 +1,645 - 331 11 + + - 51 16 13 4 283 + 348 3 - 285 6 + 557 234 106 l? 396 + 542 Federal Reserve loans and investments: Total U. S. Govt, securities Outright Repurchase agreements Acceptances Discounts and advances: To member banks To others 2 3 l/ Data for October 1959 are preliminary. Not for publication - L.U.3 Year or month End of Dec. 1950 1921 19# 1953 19$h 1955 1956 1957 1958: Sept.2b Oct. 29 Nov. 26 Dec. 31 1959: Jan. 28 3/ Feb. 25 Mar. 25 Apr. 29 U/ May 27 June 2l* July 29p Aug. 26p 5/ Sept.30p Oct. 28p -17 Deposits and Currency (in billions of dollars) (9) , (10) (5) (2) (1) (61 (7) . (8) (3) (10 Seasonally Seasonally adjusted Time deposits adjusted money supply 1/ u. s. Demand money Gov't, CurDemand rency supply and deposits Total Commer- Mutual Postal deposits Total time dep. adjusted (7+8+9) deposits cial savings savings (2+3) outside 2/ adjusted at com'i. banks banks(1+7) (12) Total Cur- deposits and rency outside currency banks (5+6+10 +11) (11) 111.3 120.1 12U.7 126.8 129.7 133.2 13li.lt 133.2 89.8 9lw5 97.8 99.5 102.8 105.8 106.7 105.1 2li.5 25.6 26.9 27.3 26.9 27.U 27.7 28.1 150.6 158.0 165.U 170.5 176.5 181.6 185.0 189.3 92.3 9 8.2 101.5 102.5 106.6 109.9 lll.lt 110.3 59.2 61.5 65.8 70.lt 75.3 78.lt 82.2 89.1 36.3 37.9 lt0.7 1*3.7 U6.8 lt8.lt 50.6 56.1 20.0 20.9 22.6 2lt.lt 26.3 28.1 30.0 31.7 2.9 2.7 2.5 2.1* 2.1 1.9 1.6 1.3 3.7 3.9 5.6 it.8 5.1 lt.lt It.5 It.7 25.1* 26.3 27.5 28.1 27.9 28.3 28.3 28.3 180.6 189.9 200.lt 205.7 211*.8 221.0 226.lt 232.3 136.7 138.1 138.8 139. k 108.9 110.2 110.6 111.3 27.8 27.9 28.2 28.1 199.lt 201.0 200.9 202.6 108.1 111.0 111.9 115.5 97.2 97.lt 96.8 98.3 62.7 62.9 62.1 63.2 33.3 33.lt 33.5 3lt.O 1.2 1.2 1.1 1.1 5.0 it.2 6.3 It.9 27.9 28.0 28.8 28.7 238.1 2U0.6 2it3.7 2lt7.5 138.5 139.1 HtO.3 1U0.7 Ht0.9 Ut0.9 11*2.7 110.7 111.2 112.2 112.5 112.6 112.5 11U.2 112.9 112.2 111.9 27.8 27.9 28.1 28.2 28.3 28.1* 28.5 28.5 28.3 28.2 201.9 202.8 20lt.lt 205.2 205.9 206.3 208.0 206.9 206.1 205.7 113.8 111.3 110.3 112.5 110.7 110.7 112.7 111.1 lll.lt 112.7 98.lt 98.7 99.5 99.9 100.5 101.1 100.8 101.2 101.5 101.2 63.lt 63.7 61*.1 6lt.5 65.0 65.lt 65.3 65.5 65.6 65.6 33.8 3lt.O 3U.3 3lt.3 3lt.U 3lt.6 3lt.5 3li.7 3l*o8 3lt.6 1.1 1.1 1.1 1.1 1.1 1.1 1.0 1.0 1.0 1.0 5.3 5.0 lt.lt 5.1 5.7 5.2 5.6 6.5 7.1 6.0 27.6 27.7 27.9 27.9 28.1 28.3 28.1* 28.5 28.5 28.3 2lt5.1 21*2.7 21*2.0 2lt5.lt 215.0 2lt5.lt 217.6 2lt7.lt 218.5 218.2 Ihl.h liiO.5 11*0.1 2/ At commercial, savings, and Federal Reserve Banks. 3/ As a result of the addition of all banks in Alaska, time deposits at commercial banks increased almost $100 million and demand deposits adjusted increased about $100 million. As a result of the absorption of a mutual savings bank, time deposits at commercial banks increased $300 million and those at mutual savings banks declined $300 million. k/ As a result of inclusion of a national bank in Hawaii, demand deposits adjusted increased about $100 million and time deposits at commercial banks about $100 million. 5/ As a result of inclusion of all banks in Hawaii, demand deposits adjusted increased about $200 million and time deposits at commercial banks about $200 million. On balance in 1959, as a result of structure changes, demand deposits adjusted increased $lt00 million, time deposits at commercial banks increased $700 million5 and time deposits atFRASER mutual savings banks declined $300 million. Digitized for http://fraser.stlouisfed.org/ Not f or#public at ion# #' # # # # # Federal Reserve Bank of St. Louis 1.4.3 " 18 Loans and Investments at All Commercial Banks (In billions of dollars) Loans U. S. Other and Govt, secur- Total invest- secur- ities loans ments ities Date # 31 31 31 31 31 31 31 31 31 31 31 116.2 114.2 120.1 126.6 132.5 141.5 145.5 155.7 160.3 164.5 169.3 69.2 62.6 67.O 62.0 61.5 63.3 63.4 69.O 6l.6 58.6 58.2 9.0 9.2 10.2 12.4 13.3 14.1 14.7 16.3 16.7 16.3 17.9 37.9 42.4 42.9 52.2 57.6 64.0 67.4 70.4 82.0 89.7 93.2 18.2 18.9 17.1 21.9 25.9 27.9 27.2 26.9 33.2 38.7 40.5 9.4 10.8 11.5 13.5 14.6 15.7 16.7 18.4 20.8 22.5 23.I 1958: June 23 July 30 Aug. 27 Sept.24 Oct. 29 * w Nov. 26 Dec. 31 178.2 176.2 178.3 177.9 180.1 182.7 184.4 64.2 64.1 66.1 64.7 66.2 67.7 66.4 20.1 19.9 20.2 20.6 20.5 20.3 20.6 93.9 92.2 92.1 92.6 93.4 94.7 97.5 38.9 37.9 38.3 38.7 38.9 39.3 40.4 23.7 23.9 24.1 24.3 24.7 25.0 25.3 1959: l/ Jan. 28 Feb. 25 Mar. 25 # w 2/ Apr. 29 May 27 June 24 July 29p 3/ y Aug, 26p Sept.30p w Oct. 28p 183.8 181.9 181.1 183.8 183.9 184.2 185.7 186.1 186.3 186.6 67.5 65.5 63.2 63.6 62.6 60.9 61.1 60.3 59.2 59.5 20.4 20.4 20.6 20.9 20.8 20.6 20.6 20.5 20.7 20.6 95.9 96.0 97.4 99.3 100.5 102.8 103.9 105.3 106.3 106.5 39.2 39.2 40.2 40.6 41.4 42.5 42.8 43.4 44.0 43.9 25.6 25.7 25.9 26.3 26.6 26.9 27.1 27.4 27.6 27.8 1947: 1948: 1949: 1950: g951: •952: 1953: 1954: 1955: 1956: ^957: Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Dec. Business Real Secu- Farm estate rity 2.1 2.3 2.6 2.9 2.6 3.2 3.6 Con- All sumer other 1.7 2.9 3.1 2.9 3.4 3.9 5.0 5.2 4.5 4.2 4.1 3.8 4.8 5.8 7.4 7.5 9.4 10.9 10.9 13.2 14.6 15.7 2.8 3.1 3.4 4.2 4.5 4.9 5.1 5.6 6.5 7.0 7.3 4.7 4.6 4.6 4.6 4.7 4.8 4.9 5.0 15.5 15.6 15.6 15.6 15.6 15.6 15.8 7.5 7.4 7.6 7.5 7.7 8.0 8.3 4.2 4.0 3.9 4.3 4.1 4.1 4.2 4.2 4.1 4.1 5.0 5.0 4.8 4.9 4.9 5.0 5.1 5.0 5.0 4.9 15.9 16.0 16.1 16.5 16.8 17.2 17.4 17.7 17.9 18.0 8.1 8.2 8.4 8.6 8.8 9.1 9.3 9.5 9.7 9-7 4.5 5.0 4.3 4.2 5.6 4.5 3.6 3.7 3.6 3.9 l/ Total credit increased over $400 million in January as a result of bank structure changes. 2/ Total credit increased about $200 million as a result of bank structure changes. 3 / Total credit increased about $300 million as a result of bank structure changes. Structure changes in 1959? on balance through August, added almost $1 billion to total credit; $600 million in loans; $300 million in U. S. Government securities; and $100 million in other securities. Seal estate loans increased about $300 million; business loans $100 million; and consumer loans, $100 million. Note: Data exclude interbank loans. Total loans are after and types of loans before deductions for valuation reserves. Consumer and "other loans" are partly estimated for all dates. Other data are partly estimated on all but June and December call dates. Data for all commercial banks will not be revised to conform with changes in weekly reporting data until all bank data are available on new basis. Hot for publication November 19, 1959
@FedFRASER