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:1`1",%' Upon call of the Governor, a q?ecial meeting of the Federal lieserve Board was held in tha office of the Governor on Yednesday, November 10, 1926, at 10:30 a.m. Par:SENT: Governor Cris singer Mr. Platt Mr. Hamlin Mr. Miller Mr. Janes Mr. Cunninghan Mr. McIntosh Mr. Eddy, Secretary Mr. McClelland, Assistant Secretary. The Governor referred to the action taken by the Board at its meeting Yesterday afternoon in voting "that the Board advise the Open Market Investment Committee that it sees no occasion at the present time fora change) in the anoant of the System's Special Investment Account, as approved oy the Board on September 10, 1926, which approval fixed the amount of the account at from 200 million to 225 million dollars, and that the Committee be advised that it is understood that it shall have authority to replace those invastments now in the account which mature December 15, 1926." He stated that in discussing the matter with Mr. Case, Acting Chairman Of the Open market Investment Conraittee aftir the meeting, Mr. Case informed him that the Committee had not intended as a recommendation, or even as a 211?)gestion calling for action by the Board, the statement contained in its l ePort that "it may be desirable to purchase up to 100 million of securities ' c11111-11g the coming six weeks, to be sold again at such time as credit conditi°113 appear to make that course desirable." The Governor stated that Mr. had Liformed him that this was merely a statement of what might be (Isirable incase of certain future developments and that no action was °°11te1np1ated by the Committee without further conference with the Board. 338 11/10/26 -2- The minutes of the meeting of the Federal Ileserve Board held. yesterday afternoon were then read and approved. Mr. Cunningham moved reconsideration of the action taken at that meetas stated by the Governor. Mr. Cunninliam.'s motion, being put by the Chair, was unanimously carried. Governor Orissinger then submitted the following proposed letter to the Acting Chairman of the Open Market Investment Committee: "The Board has considered the report of the Open 2:arket Investment Committee and. notes particularly the Coranittee's sug;estion that 'it may ba desirable to purchase up to 100 million of securities during the coming six weeks, to be sold again at such time as credit conditions appear to make that course desirable'. The Board understands from the Committee's report that as the Commit tee views the situation at this time there is no need for action looking toward a change in the amount of the special investment account, as approved by the Board on September 10, 1926, and. in this view the Board concurs. The Board, therefore, construes the Committee's suggestion as an expression of opinion on tiv part of the Committee that in the event of a future change in the present situation, it may be desirable to give consideration to increasing the account temporarily. "The Board assumes that should there be any change in the present situation or any new developments which would seem to warrant increasing the account temporarily the Committee will confer further with the Board." Upon motion by Mr. Hamlin, the letter was unanimously approved. bove The meeting adjourned at 10:45 a.m Secreta Approved: or,
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