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Ata meeting of the Federal Eeserve Board held in the office of the Board on ':;ednesday, January 7, 1920, at 11 2RLSIXT: The Mr. 'Jr. Yr. Mr. Mr. Mr. Governor Strauss Miller Hamlin Moehlenpah niliams Chapman, 3ecretary. Minutes of meeting of the Board held January 6th were read, and on motion approved as amended. Business was presented and disposed of as follows: The Governor submitted for approval the following telegram to be addressed by him to the Chairmen of all Federal Reserve banks: "Board's recent announcements regarding ability of Federal Eeserve System to exercise better control of credits in view of completion of Treasury financing were based upon assumption that the new Treasury certificates bearing four and three-quarters percent interest would be subscribed for liberally. 33 far subscriptions have not been received in satisfactory volume except from New xork, Which has done more than its part, and in order that we may reach a position 1%here we can act independently in using rates as an adjunct to credit control, it is absolutely necessary that the present offering of certificates meet satisfactory reception. Board therefore hopes that you will make vigorous efforts to plate your accustomed quota of certificates in your district basing these efforts not only on the desire to help the Treasury complete its program but also to assist the Federal reserve system in freeing itself from the Treasury as an important factor in the money market. This issue must be made a success and this means that your bank will have to do its part either directly or indirectly. Reports of yesterday's proceedings should not be taken as indicating that a further advance in rates on paper secured by Treasury certificates is now in contemplation. The foregoing is for your confidential information only and is not for publication. In corresponding with your member banks it would be well to call attention to the fact that the issue of certificate due January 15th amounts to ,37y,000,0J0 and the issue . duo February 2d amounts to „5428,0,)v,000. Both these issues aggregating approximately ,:,800,000,000 were well distributed and their retirement should create easy money conditions in your district. It seams therefore that banks can well afford to subscribe liberally to the new offering at four and three-nyarters percent.'' Approved. (At this point the Governor withdrew from the meeting . Strauss took the chair) Memorandum by General Counsel dated January 5th in re practice of national bank examiners in passing as eligible paper, notes secured by warehouse receipts coverinc. automobiles. Voted that the Comptroller of the Currency be furnished with a copy of the Board's ruling in this connection with the request that he bring same to the attention of national bunk akaminers. Mr. Vvilliams stated that he would be very glad to couiply with the 3oard's request. Telegram dated January 7th from the Chairman, Federal Reserve Bank of an Francisco, rejuesting approval of the establishment of a rate of 4-3/4 on all classes of paper running from one to 90 days, affective January 12, 1920. Approved. ( -A R2ORT6 OF C .MITTE:4; YO. 1: • Dated January 7th, recommending admissi6 of State institutions as set forth in the auxiliary minute book as of this data, subject to the conditions stated in the individual reports attached to each application. Approved. Other business was presented and disposed of as follows: Letter dated January 3d from the 'Director, Division of Analysis and Research, recommending the appointment of the following clerks in that Division for a period of sixty days .a salaries at the rate of l,2U0 per annum: J. LI. Chapman Miss A. L. z:lmyth Liss Ilyrtle Powell Approved. (At this point the Governor rejoined the meeting and took the chair) Letter dated January 2d from the Federal Reserve Agent at 1,:inneapolis, submitting an analysis of the Federal Reserve note situation and credit conditions in the rinth Federal Reserve District. roted. Letter dated December 30th from the Chairman, Federal Reserve Bank of'..;an Francisco, advising that on December 24th the first „i3350,000 was paid into the funds of the'4candinavian- • Anerican Bank of Oeattle. Yoted. Letter dated January ;id from the Federal eserve Agent at Philad.olphi, submitting for approval, schedule of salLlries of officers and emp1 yeas of th Agert' Federal Reserve Department of thut Bz..nk, effective January 1, 1920. Approved. Letter dated January 5th Governor, Federal Reserve Bank .of Zhiladelphia, submitting for approv.al scnedule of salaries of officers and employees of that Bank, effective January 1, 1920. eyed. At 1-u5 P.L., the meeting adjourned. . )Lcrotary. ...ddreVed:
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