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1252 A meeting of the Board of Governors of the Federal Reserve Syst0,4 lAas held in Washington on September 12, 1937, at 1:00 p. m. PRESENT: Mr. Mr. Mr. Mr. Mr. Mr. Eccles, Chairman Ransom, Vice Chairman Broderick Szymczak McKee Davis Mr. Morrill, Secretary Mr. Carpenter, Assistant Secretary Mr. Thurston, Special Assistant to the Chairman Mr. Goldenweiser, Director of the Division of Research and Statistics Mr. Wyatt, General Counsel Mr. Dreibelbis, Assistant General Counsel There were presented the following resolutions adopted by the Open Market Committee at its meeting this morning at which all or th e members of the Board were in attendance: RESOLVED, That, until the adjournment of the next meeting of the Committee, the executive committee is authorized to direct the purchase in the open market from time to time Of sufficient amounts of Treasury bills or other short-term Treasury obligations to provide funds to meet seasonal withof currency from the banks and other seasonal requirements, for the purpose of maintaining at member banks en aggregate volume of excess reserves adequate for the continuation of the System's policy of furthering economic re?overy through monetary ease; and the executive committee is authorized from time to time to direct a reduction of the holdings of such obligations when the seasonal influences are reversed or if other influences make their retention unnecessary for the purposes of this resolution. It iS understood that the executive committee, in the exercise of this authority, will not increase or decrease by more then 0300,000,000 the amount of securities now in the System open market account without another meeting of the Federal Open Market Committee. RESOLVED, That, with a view to cooperation in effectuating the policy declared in the above resolution the Committee recommend to the Board of Governors of the Federal 1253 -2Reserve System that it request the Secretary of the Treasury !avorably to consider the desterilization of approximately 1,300,000,000 of gold out of the Treasury inactive account, the time and method of such desterilization to be determined by the Secretary of the Treasury in consultation and cooperation with the executive committee of the Federal Open Market Committee. Mr. Broderick moved adoption by the Board of the following resolution: RESOLVED, That, with a view to cooperation in effectuating the resolution adopted by the Federal Open Market Committee on September 12, 1937, the Board request the Secretary of the Treasury favorably to consider the desterilization of approximately 000,000,000 of Foie, out of the Treasury inactive account, the time and method of such desterilization to be detenained by the Secretary of the Treasury in consultation and cooperation with the executive committee of the Federal Open Market Committee. Carried unanimously. Thereupon the meeting adjourned.
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