The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.
r;;~m~~ .~~;~ i~;' R~~l
~
OF THE
~
FEDERAL RESERVE BANK OF DALLAS
C.C. WALSH
~
CHAS. C. HALL-W. J. EVAN]
Chairman and Federal Reserve Agent
Auistant Federal Reserve Agents
(Compiled March 15, 1932)
1C:::::::xK=-:Jiac=:=:xK=-:Ji1<
'§!ume 17, No.2
Dallas, Texas, April 1, 1932
This copy is released tor publication in morning papers-
March 30
DISTRICT SUMMARY
Ir~~~~~~~~~~~:;=;=:;=;=:;=;=:;=;=:;=;=:;=;=:;=;=:;=;=~
'rHE Sl'rUATION AT A GLANCE
Elovonlh Fedoral Reservo Dialricl
------------------------~------~--------Fobruary
1032
Chango From
January
------------------------ I---------·I-----~ll~~~0010biW 10 indi-'idual accounw (al 17
nep I ........ .. ...... .. ................ .
noo ar moul aloro a. les .... . ........ . .. . .... .
ofrvo bonk lonna to mombor hanks .t ond
l\oac~~~h ... . . : . .. ...... . ..... .. . . . . . . .. .
lluild'
. ok r.l.o al ond of month . ..... . . . .
Co. Ing permil valuation at Inrgor centora . .. .
Co~mCro! .1 failures ~Umber) ........ .. ..... .
Oil pZ:0lal failures liabilities) . .... . ..... . . .
~ction (barre ) .................. .. .
$504,572,000
-15 .4%
11 .2%
$ 14,872,813
56 . 6%
S 1,566,720
121
$ 2,567,674
25,876,700
-
+
-
1.4%
1.9 point.
6.0%
32.0%
36.6%
8.7%
a A stronger demand for merchandise in both wholesale
Eid retail channels of distribution was in evidence in the
S iventh Federal Reserve District during the past month.
of of department stores in larger cities reflected a gain
Ce
per cent over the previous month, and while 22 per
te~t below those of a year ago, they showed a much bet.
Pa cOmparison than in January. This bank's index of de·
ft I'Unent store sales, adjusted for seasonal variation, rose
m 65.8 in January to 73.8 in February. Distribution
eea merchandise at wholesale reflected more than the usual
llJ.ushnal increase and comparisons with a year ago were
ha C Inore favorable than in the previous month. There
in: been a gradual strengthening of sentiment and it is be·
eVe reflected in better consumer buying. Retailers, how·
llJ.ed~ show no disposition to make purchases beyond im·
late needs. Collections continue generally slow.
l1'el'i nancial operations reflected no significant changes.
eral Reserve Bank loans to member banke, which
ii
ot
~~~lesale
amounted to $14,020,000 on March 15, were slightly lowel'
than a month earlier, but considerably larger than on the
corresponding date last year. The daily average of combined net demand and time deposits of member banks
totaled $665,682,000 during February as compared with
$664,954,000 in January, and $813,053,000 in February,
1931. The loans, investments, and deposits of reserve city
banks were somewhat lower on March 9 than on February
10. Subscriptions to the 3Ys and 3%, per cent Treasury
Certificates of Indebtedness, dated March 15, amounted to
$55,023,000 against which allotments of $19,245,500 were
made.
Farm work, which had been retarded considerably duro
ing the first six weeks of the year, proceeded fairly satisfactorily during the latter part of February and early
March, yet there is still much land which is not prepared
for spring planting. This situation was aggravated during
the past ten days when severe freezes damaged considerably
early planted crops. Fruit and truck crops likewise suf·
fered much injury. Although considerably behind sched·
ule, farmers should be able to overcome this handicap in
a short time in the event favorable weather prevails. A
good season obtains in all sections of the district. Ranges
and livestock showed a noticeable improvement in February
and while ranges were set back by the March freezes, livestock generally held up well.
The valuation of building permits issued at principal
cities amounted to $1,566,729 which was 6 per cent less
than in January, and 59 per cent below February, 1931.
Production of cement declined to a new low level but ship.
ments were larger than in the previous month.
BUSINESS
A general improvement in distribution buying is quickly reflected in wholesale channels. Inven·
e
of merchandise at wholesale was in evi- tories of wholesale firms showed but little change from the
tepa .
dence during the past month. In four previous month, but were considerably smaller than a year
Pte\T~lng lines of trade sales were larger than in the ago. Collections in some lines increased, but declined in
collJ. IOUS month, and the declines in all reporting lines as other lines, reflecting largely seasonal trends.
8llJ.allare with the corresponding month a year ago were
Sales of wholesale dry goods firms during February
distt,er ~n February than in January. While the increased
illg :b ti on Was attributable in part to the necessitous buy- evidenced an expansion of 6.7 per cent as compared
is a 0 U
OWing the small purchases made in January, there with the previous month, which was somewhat less than
llJ.alld S~l'onger undertone of confidence and consumer de· seasonal, yet the decline of 23.2 per cent from the corres·
ndhe .Is qUickening in some localities. As retailers are still ponding month last year was smaller than in January.
defillr~g.strictly to the policy of limiting purchases to well Merchants bought sparingly at the opening of the buying
e Immediate needs, any improvement in consumer season, but have been making frequent reorders as conThis publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)
?
--------------------------------------------------------------------------------------------------2
MONTHLY BUSINESS REVIEW
-------------------------------------------------------------------------------------------------sumer demand materialized. Prices on most items of mer·
chandise have shown greater stability. Collections reo
flected a seasonal decline.
Although the buying of farm implements is still at a
low level, February sales were 42.5 per cent larger than
those in the previous month. Sales were 53.9 per cent less
than in the same month of 1931, yet the comparison was
the most favorable shown since last August. Due to the
low purchasing power, farmers are limiting their imple.
ment buying to actual necessities, and are repairing old
implements wherever possible to carry them through the
crop season. Collections showed an increase over the pre·
vious month but were considerably smaller than a year ago.
The buying of groceries at wholesale during February
was on practically the same scale as in the previous month,
but was 20.7 per cent below that in February, 1931. The
latter comparison, however, was better than in January.
Business was somewhat spotty with sales showing a sub·
stantial increase in some sections but a decline in others.
Collections were 3.6 per cent larger than in the previous
month and showed a considerably higher ratio to outstand·
ings at the end of January.
Following the sharp decline in January, the sales of
reporting wholesale hardware firms showed a gain of 6.7
per cent in February, which was considerably larger than
the usual seasonal increase. While sales were 24.8 per cent
smaller than a year earlier, .this figure was lower than that
shown for any month since last summer. The improve.
ment was fairly general over the district. Reports indicate
that seasonal items were in good demand. Collections were
6.0 per cent smaller than in the previous month.
The demand for drugs at wholesale during February
continued on practically the same level as in January. Sales
were 15.5 per cent lower than in February, 1931, yet there
was a considerable improvement over that shown in De·
cember and January. Reports indicate that there has been
a noticeable pick·up in demand in some sections, but it
continues slow in others. Retailers are still buying to coyer
immediate needs. Collections were smaller than in either
the previous month or the corresponding month last year.
CONDITION OF WHOLESALE TRADE DURING FEBRUARY, 1932
Percentage of increase or decrease in-
----------------~----------------------------
Net Sales
Net Sales
Stoeks
Ratio of collco'
Feb., 1032
Jun. 1 to date l?eb., 1032 tions during FcbJ
compared with compared with compured with to accounts d~~g
Feb.
Jan. same period Feb. Jan. notes outstan \I
1031
1032
last year
1031 1032
January 31
Groceries ........ .
Dry goods ........
Farm implements ..
Hardware ........
Drugs ............
- 20.7
- 23 .2
-53 .0
-24.8
-15.5
+ .2
+ 6.7
+42.5
+6.7
-.6
-28.0
- 25.7
-60.3
-27.1
- 21.4
-17.5
-30 .7
- 12.0
- 5 .8
- 17.3
+.5
+ 1.4
.7
+2.1
-.6
Un~dlusted-February,
1032 .... .. .. .... . .... . . . .............. . ............. . ..
*~I:::~=~~~~~~~,l~~~2:'::::::::::::::::::::::::::::::::::::::::::::::::: ::
'Subject to change.
1
. eS S
Despite a smaller number of bus~ r'
days, a considerable improvement c !I .
Trade
acterized the past month's trade develoPf
ments in retail channels of distribution. February sa.les t~e
merchandise were 11.2 per cent greater than those In as
previous month, and while a decline of 22.2 per cent war
recorded as compared with the corresponding month a y~y,
a~o, this .is much better than the showing made in Jan u;6.1
DIstributIOn during the first two months of 1932 wah gh
per cent less than in the same period last year. A:lt 1~~lY
demand for spring merchandise was retarded conslde bu sj•
during the first half of March by the low temperatures'd the
ness is now being stimulated by favorable weather an
early date of Easter.
b
Inventories held at the close of February reflected a i~.i
stantial seasonal increase of 10.~ per cent, but were. ago.
per cent less than those held on the same date a yeal of
The rate of stock turnover during January and Febrltr~31.
1932 was .40 as compared with .44 in those months 0
."
.
.
duflll~
A seasonal decline was evidenced m collectIons ulliS
lhe month. The ratio of February collections to ~c~o 31.3
l'eceivabl~ on February 1 was 29.8 pe~ cent, as agaUl 31.
per cent In January, and 32.1 per cent In February, 19
Retail
BUSINESS OF DEPARTMENT STORES
Total Sales (Percentage):
February, 1932, compared with February, 1031. .. . . .. . . ....... . .. . .. ....... . ... .
February, 1932, comparod with January, 1032 . .. . ........ .... ... . .... . .. .. .... ..
January 1 to date compared with sarno period last year ......•.....•.. . ..• . .......
Credit Sales (Peroentage):
February, 1932, compared with February, 1031. ........ . .... .. . ... . .......... . . .
February, 1032, compared with January, 1082 ... . ............................. ..
January 1 to date eompared with same period last year ..........•......•.........
Stooks (Percentnge):
February 20, 1082, compared with February 28, 1031. ................... . ....... .
February 20, 1932, compared with January 31, 1932 ............................. .
Stock Turnever (Rate):
Rate ofstock turnover In February, 1931 .... .. .... . . ....... .. .................. .
Rate of stook turnover in February, 1932 ....... .. ..... .. .... . ........... ....... .
Rate of Btock turnover January 1 to February 28, 1031. ... ................. . .... .
Rate of Btock turnov!!r January 1 to February 20, 1932 . .... ... . .. ............... .
Ratio of February collectIOns to accounts receivable outstanding February 1, 1932 ...•... .
Indexes of department store sales:
Unadiusted-January, 1032 . ........ ... ...... . .. . ... . ...... . .............. . .. . .
Unndlustod-Fobrunry, 1032 ..... . ... . .......... .. ..... ... ..... .. ............ . .
Adj'usted-January, 1032 . ... . . . .... .• ... . .. •...... . ... . . . .. . ........... . .... ..
Ad usted-February, 1932 .... .. ...... .. ... .. ........ . ....................... .
Indexes of department store Btooks:
Unadjusted-January, 1032 .. .. . .... . ....•. . .... •... .. . .. . . . . . . . ..... .. .. . .....
I
62.6
20 .6
2.2
27.0
34. 0
Dallas
- 21.4
Fort Worth
Houston
San Antonio
Others
+10.5
- 22.6
-22.3
+ 7.5
-23 .7
- 25.1
+ 6.U
-28.5
- 20 .5
+ 2.0
- 30. 1
-23 .5
- 3.0
-28 .1
- 23.0
+22.7
-24.4
- 20.6
+11.0
-22.6
- 36.7
- 4.4
-36.7
-30.6
- 2.2
-82.2
- 23.7
- 2.8
-28.5
-16.3
+11 .5
-17.3
+13 . 1
- 31.2
+12 .8
- 13.4
+ 5.0
-15.4
+ 6.1
.26
.24
.16
.16
.33
.31
26 .8
.19
.21
.37
.36
33.2
.30
.25
.62
.54
28.8
.10
.17
.42
.36
30.3
61.2
65 .8
82 .7
70.3
57.0
70.8"
66 .1
83 .3'
53.8
54.8
50 .1
60.0
68.7
77.7
70.0
80.0
60.7
64.8"
66.9
60.7'
44.1
46.3
47.9
.47
.44
30.5
53.5
64.7
62 .2
73.5
46 .3
52.4
53.2
54.6
~6.8
---
'fotnl Distriot
_22.2
+11. 2
_26. 1
_25. 6
+10. 2
_27. 5
_18.1
+10. 2
.22
.21
,44
40
20. 8
56. 3
62. 0'
05. 8
73. S'
53. 0
50. S'
62.0
62 .S'
t
According to the report of R G. Dun &
Company, the business mortality rate in
this district during February was lower
than in the previous month. Commercial failures totaled 121,
as against 178 in January, and 114 in February last year.
Commercial
Failures
.
'nsolVeIl
The combined indebtedness of firms becommg 1 d \~jtb
during February amounted to $2,567,674, as compare. the
$4,051,626 in the previous month, and $2,152,893 In ,
same month a year ago.
I
l
----------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW
8
----------------------------------------------------------------------------------------------AGRICUL TURE
Crop Con-
The period of fair weather during the
last days of February and early March,
l' .
following almost continuous cloudy and
talUy weather since the first of the year, enabled farmers
thO proceed with land preparation and spring planting;
f IS work made generally good progress, yet farmers are
rorn two to four weeks behind with field work. A further
k~tback was caused by the severe March freezes which
~~led most of the early planted cotton, and damaged conSI erably much of the corn and spring oats. A substantial
~rnfun.t of replanting will be necessary_ Severe damage
t? rUlt and vegetable crops was also in evidence. Pracally all of the tender vegetables were killed and most
the hardier vegetables suffered some injury. While
reaches, pears, plums, and apples were greatly damaged, it
th too early to determine the full extent of the loss. On
other hand, the freezes pulverized the soil and likely
sI l~d rnany insects. An excellent season obtains in all
s~dtlons of the disLrict, and although farm work is conc erabl y behind schedule, farmers should be able to overWorneh the handicap of a late start in a short time if fair
eat er prevails_
ditions
;r
k.i
Co
~egetable shipments from South Texas have fallen off
to
h:ably on mostyear ago.
with a
19her
crops.
fa~slderably since the freeze but they still compare rather
Prices are reported to be firm
A ,~Ccording to the March 1 report of the Department of
st~:lCUlture, the stocks of all classes of grain on farms in
a ,yes attached to this district were greatly in excess of those
cen;ar ago. Stocks of wheat on Texas farms were 13 pel'
paredf l.ast year's production, 01' 7,466,000 bushels, as comto h WIth 1,908,000 bushels a year ago. The acreage sown
cen; leat in Texas last fall was 3,768,000 acres, or 1 per
'nad ess Lhan was sown in the fall of 1930. Wheat has
of e good growth and moisture supplies are ample. Stocks
Ma~orn on farms in Texas totaled 39,584,000 bushels on
of o~h 1, as against 21,502,000 bushels last year. Supplies
000 hts arnounted to 21,591,000 bushels whereas only 6,096,ushels remained on Texas farms on March 1, 1931.
Livestock
Range and livestock conditions throughPro\,
out the Eleventh District reflected an imtnoste~nent during February. Weather conditions were airapidldeal and with ample moisture range vegetation grew
condo y. According to the Department of Agriculture, the
S hon of cattle ranges in Texas advanced 4, points and
tood
and at 82 per cent of normal on March 1; that of sheep
cond~?at ranges advanced 5 points. In each instance, the
ago I Ion figure this year was 4 points below that of a year
Of ~ The condition of cattle on March 1 was 80 per cent
and ~~rnal as compared with 79 pel' cent a month earlier,
per cent on the corresponding date of 1931. The
Op
.
The February receipts of cattle and
calves at the Fort Worth market reflected
a substantial decline as compared with
both the previous month and the corresponding month last
year. On the other hand, the arrivals of hogs showed a
noticeable gain over both periods. While the February receipts of sheep fell considerably under those in January,
they were materially larger than in February, 1931.
Movements
and Prices
The cattle market generally followed an uneven course,
yet prices at the middle of March were not materially different from those a month earlier. Prices on most grades
of calves were firm to slightly higher. The price of hogs,
after declining during the latter part of February, turned
upward and at the middle of March was slightly higher
than a month earlier. Sheep and lamb prices have been
generally steady to slightly higher.
FORT WORTH LIVESTOCK RECEIPTS
(Number)
February
Cattle ...... .... .
CalvOll ..... ... ..
Hogs ....... ... .
Sheep ....... . •.•
1032
28,870
8,602
33,254
58,220
February
1031
31,707
12,000
23,418
32,301
Change over
year
- 2,027
- 4,217
0,836
+25,820
+
January
1032
40,452
14,045
24,322
75,028
Chango over
month
-11,582
- 5,358
+ 8,032
-16,808
COMPARATIVE TOP LIVESTOCK PRICES
(Dollnrs por hundred-weigbt)
February
Beef steers ... ............•...........•...
Stooker steers ...... ... . .. .....• . ... ... ...
Dutoher oows ........ . .... . ............. .
Stookor cows ..................... ... .... .
Calves ........................... ...... .
Hogs ........... . .................. ..... .
~~~~::::::::::::::::::::::::::::::::::
1082
$5.75
4.25
3.25
3.00
6.25
4.40
3.75
5.50
February
1931
57.65
7.50
5.00
4.00
10.00
7.75
5.50
8.25
January
1982
$6.60
5.00
4.00
3.75
5.50
4.80
4.25
5.50
FINANCE
lieeJ..~'tns of
After declining to $14~168,000 at the
serve 11 eral Re- middle of February, Federal Reserve
anlc
Bank loans to member banks reflected a
Sltbse
slow but steady expansion during the
00Q o~uent two weeks and reached a high point at $16,660,1lally t ~arch 3. After that date, these loans declined grado '11'14,020,000 on March 15, which was $14.8,000 be-
I
condition of sheep and goats showed an improvement of
2 points during the month. In New Mexico the condition
of ranges showed an improvement, but that of livestock
declined slightly. The condition of both ranges and livestock in Arizona was better on March 1 than a month
earlier. The severe cold spell during the second week of
March affected adversely both ranges and livestock. The
Lender vegetation on the ranges was injured and will retard considerably spring pastures. While livestock held
up fairly well, considerable shrinkage occurred in some
sections. There was some loss of lambs and kids over
Southwestern Texas and a heavier loss of lambs over Southeastern New Mexico where the snowfall was deeper. There
has been little contracting of livestock and marketings generally have been light.
low the total on February 15. While the borrowings of
reserve city banks on March 15 were $992,000 less than a
month earlier, they were $1,079,000 greater than a year
ago. Loans to country banks showed an expansion of $844,000 between February 15 and March 15, and on the latter
date were $5,115,000 above those on the same date of 1931.
That there was a wider distribution of Federal Reserve
-------------------------------------------------------------------------------------------------------4
MONTHLY BUSINESS REVIEW
----------------------~--------------------------------------------------------------------------------
Bank funds is reflected by the fact that 187 banks were indebted to us on March 15, as compared with 130 banks
on February 15, and 150 banks on March 15, 1931. This
bank's holdings of bankers' acceptances totaled $3,842,000
on March 15, which was $636,000 less than a month earlier.
Our investments in United States Government securities
were reduced $2,501,000 during the same period. The reserve deposits of member banks declined $2,058,000 during
the month and at the middle of February were $8,923,000
less than a year ago. Federal reserve notes in actual circulation amounted to $41,271,000 on March 15, as compared with $41,835,000 on February 15, and $26,859,000
on March 15, 1931.
CONDITION OF THE FEDERAL RESERVE BANK
(In thousands of dollars)
Maroh 15,
Total oash reserves ..................... ..
Disoounts for member banks ..• ............
Other bills discounted .................... .
Bills beught in opon market ... .......•....
United States seouritles owned .... .... .... .
Other investments ...... .... ............. .
Total earning IlBSCts ..................... .
Member bank reserve deposits ............•
Federal reserve notes In aotual olroulation ..•
1032
$ 54,646
14,020
1
3,842
27,364
5
46,232
47,803
41,271
Maroh 16,
Fob. 16,
1031
$ 40,628
7,823
4
4,405
20,331
7
41.570
66,726
26,360
1032
$ 66,020
14,168
6
48,617
40,861
41,836
The past month witnessed a decline in
the loans, investments, and deposits of
member banks in selected cities of this
district. The investments of these banks
Cities
in United States securities declined
$3,705,000 between February 10 and March 9, and their
investments in other stocks and bonds declined $440,000
during the same period. As compared with the corresponding date of 1931, however, total investments on March 9
were $24,615,000 larger. During the four-week period ending March 9, total loans declined $4.,923,000, representing
a drop of $1,062,000 in loans on securities, and $3,861,000
in "all other" loans (largely commercial). Total loans
and investments on March 9 were $9,068,000 less than four
weeks earlier and $18,797,000 below a year ago. While the
net demand deposits of these banks increased $637,000 during the four-week period, time deposits reflected a further
decline of $2,214,000. Their borrowings at the Federal Reserve Bank amounted to $5,482,000 on March 9 as compared with $5,548,000 on February lO, and $1,068,000 on
March 11, 1931.
CONDITION STATISTICS OF MEMBER BANKS IN SELECTED CI'I'IES
(In thousands of dollars)
M.arch 0,
March !l,
DAILY AVERAGE DEPOSITS OF MEMBER BANI{S
(In thousands of dollars)
Combined Total
Reserve City Banks
Country Banks
Not dem.nd Time Not demand Time Net demand Time
<\eposits doposits deposits deposits deposits doposits
Feb.,
Mar.,
tf,ril,
ay,
June,
July,
Aug.,
Sept.,
Oot.,
Nov.,
1031. .... . $676,803
1031 .... .. 507,468
1031 .... .. 567,000
1031 .... .. 503,222
1031 .... .. 543,155
1031 .... .. 537,233
1031. .... . 50238,'875007
1031 .... .. 5
1031 .... .. 487,314
1031 ..... . 483070
Dec., 1031.. .. .. 474,035
Jan., 1032 .... .. 468,172
Feb., 1032 .....• 460,110
$236,260
234,767
234,141
233,653
231,880
225,028
222152,'027646
202,524
203,710
202,004
190,782
100,572
$264,844
263,123
260,207
267,010
254,063
267,244
255,584
242,731
232,544
231,010
226,307
22J,700
222,116
$143,681
143,080
142,580
140,362
130,800
135,400
133,568
120,110
110,826
121,817
122,674
118,475
118,003
$311,050
304,345
207,802
206,212
280,002
270,080
268,213
260,110
254,770
252,060
248,538
246,373
246,004
$ 02,5 60
01,687
01,552
93,29 J
OJ,9 60
00,4 20
8880'850988
, 08
82,6
8J,O 02
70,4 20
78,3 07
77, 570
1031
$ 08,266
60,621
01,642
220,735
812,377
276,260
140,001
32,304
1032
$ 86,014
00,722
80,680
6,482
1,068
6,548
The month of February witnessed a f u:'
I ndividzw:l
ther seasonal decline of 15.4 per cent In
Accounts
volume of debits to individual accounts
at seventeen cities in the Eleventh Dis'
trict. Total charges during the month amounted to $504,·
572,000, as compared with $596,515,000 in January, lind
$645,086,000 in February last year. The percentage decrease from a year ago amounted to 21.8 per cent, 119
against 22.6 per cent in the preceding month.
Debits to
DEBITS TO INDIVIDUAL ACCOUNTS
(In thousllUds of dollars)
----------------------------~------------~--Percentage
Perccntago
Februnry
1032
Abilene ....... ..
Austin ......... .
Beaumont ......•
Corsioana .•.....
D.lIas ........ ..
EIPaso ....... ..
Fort Worth ..... .
Galveston ...... .
Houston ........ .
Port Arthur .... .
Roswell ........ .
S.n Antonio .... .
Shreveport . .•...
Tex.rkan.· ..... .
Tucson ......... .
W.co .......... .
Wiohita Falls ... .
S 4,010
10,108
17,008
2,712
130,356
10,088
50,644
25,013
116,400
6,200
1,777
47,405
23,307
6,544
8,289
11,363
0,100
Fobruary
1081
S 6,070
10,188
23,350
4,043
168,140
20,888
03,007
24,750
150,518
8,137
2,735
60,533
27,801
0,813
8,526
13,102
14,000
ohange over
ye.r
-20.6
-16.1
- 27.2
-32.0
-17.1
-36.1
-20.0
1.0
-22.7
-35.2
-35.0
-31. 7
-14.3
- 33 .3
- 2.8
-13.9
-38.7
+
January
1032
$ 6,460
10,101
10,764
6,032
161,600
18,105
70,101
20,346
136,575
6,864
2,330
54,127
31,804
7,503
10,770
13,710
11,065
ohango over
month
_10.1
0.0
-13.9
_46.1
_13.8
0
_27.8
- 6. 1
-14.8
_10.1
_23.7
_12.3
_26.4
_13.8
+ •.
-
_23.0
-17.l
-16.0
'I'otal....... $504,572
$645,086
-21.8
$596,515
_15:4 b
·Inoludes the figurOB of two banks in Tex.rkan., Arkansas, looatad in the Elgbt
District.
Feb. 10,
1032
$ 83,200
00,282
70,627
180,438
268,006
246,304
128,386
28,600
103,290
273,888
244,667
130,600
30,306
The daily average of combined net demand and time deposits of member
banks amounted to $665,682,000 in February, which was $728,000 greater than in January, but
Deposits of
Member Banks
for February, 1931. The
was about equally divided
country banks. The time
increased, while those of
1
4,478
20,865
Condition of
Member Banks
in Selected
United States securitIes owned ..... , ...... .
All oth~r stoeks, bonde, and seourities owned.
Loans on seourities .. .................... .
All other loans ......................... ..
Totallo.na ............................. .
Net demand deposits ................... ..
Time deposits . .. ...... ... ........ .. ..... .
Reserve with Federal Reservo Bank .... .. . .
Bills payable and redisoounts with Federal
Reserve Bank ......................... .
$14,7,371,000 below the average
increase in net demand deposits
between reserve city banks and
deposits of reserve city banks
country banks declined.
e~'
While the volume of. acceptances
ge
"
ecute d agamst Import an d export t r IIllS I'
tions in this district and outstanding ~1
the close of February was $231,229 larger than a mOllde
earlier, those based on the domestic shipment and storllt) 1
of goods reflected a seasonal decrease of $4,77,837. Tot~,
acceptances executed by banks in this district and outs tll,J1 t
Acceptance
Market
ing on February 29 amounted to $2,750,908, as agll~:1
$2,997,516 on January 31, and $4,488,626 on the last
of February, 1931.
-----------------------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW
5
------------------------------------------------------------------------------------------------------Savings
Deposits
The savings deposits of 150 banks in this with a month earlier, and 16.1 per cent as compared with
district which operate a savings depart- February 28, 1931. The number of savings accounts in 138
ment amounted to $144,,965,520 on Feb- banks totaled 327,94,2 as against 328,668 on January 31,
ruary 29, representing a decline of 1.1 per cent as compared and 348,086 on the corresponding date last year.
~~·~M.~.~.~.T.~.~.~M.M.~.~.~.~.~.~.~~'.M.~.~.~.T.~.~.~n.M.~.~.~.T.~.~.~n.~.~.~.T.~.~.~n.n.~.~.~.~.~.~~.n.~.~.~.~.~.~.~n.n.~.~.T.~.~.~n.n.~.
..
..
..
..
..
..
..
..
..
SAVINGS DEPOSITS
g,,"umont
Number of
Reportiug
Banks
........ ...... ..
4
9
2
4
4
11'
2
8'
4
3
3
90'
Er~t\8············· .. ··· ..
Fert 'W.i;th· ....•........• .
GalVeston . ... .. .. .... ....
lioust
.................
Port o~h;;;"""'"''''''
........ ....... .
nIO ••••• . •••• • ••••
noo. rt. ... ........... .
\ iQbi~ 'Fali~ . . ............
Ail ethers ... ::::::::::::::
February 29, 1932
Number of
Amount of
Savings
Savin~s
Depositors
Deposits
0,879
77,279
10,743
34,660
17,542
54,941
4,390
16,590
25,232
10,147
5,995
63,520
February 28, 1931
Number of
Amount of
Savings
Savinlj8
DepOSits
Depositors
$ 2,796,459
25,576,900
3,048,742
11,171,104
10,991,683
30,464,240
1,770,581
14,722,390
10,426,285
5,435,741
2,318,104
26,243,201
'0 I
6,682
79,734
11,309
34,750
17,211
67.508
4,843
20,934
25,380
8,240
6,193
65,302
------
Poroentar Ohange
Over oar in
Savings Deposits
+
January 31, 1932
Amount of
Number of
Savings
Savlnf\8
Depositors
Deposits
3.1
-13.1
-16.9
-16.2
- 5.5
-14.7
.9
-30.0
-27 .0
- 5 .4
-23.8
-13.8
$ 2,711,635
29,418,552
3,667,500
\ 13,323,348
11,637,176
35.734,257
1,780,557
21,018,142
14,280,717
5,744,355
3,044,100
30,428,493
6,870
77,722
10,644
34,663
17.603
55,078
4,552
10,522
25,188
10,150
5,970
63,800
S 2,808,832
- 16.1
328,668
$146,512,594
-
Total. ..........
150
327,942
$144,965,520
348,086
$172,794,832
n y 9 banks in Houston, 7 In San Antonio, and 87 in "All others" reported the number of saving8 depositor8.
Peroentage Change
Over Month in
Savings Deposits
MARCH DISCOUNT RATES
25,724,688
3,101,750
11,351,209
11.284,951
80.831.557
1,790,739
14,763,083
10,639,723
5,523,010
2,301,891
26,380,561
- .4
- .6
-1.7
-1.6
- 2.6
- 1.2
-1.1
.3
-
-
2.0
1.6
1.9
.8
-1.1
Prevailing rates:
-----------------------------------------------~--------~-------.--------.-------~--------~-------Dallas
Ei Paso
Ft. Worth
Houston
San Antonio
5-6
5-6
6-8
5-6
6
5-7
4*6
5~
(HI
5-6
6
5*6
6-8
6-8
6-8
6-8
5-7
5-7
5Y.r7
6- 10
6-8
6-8
6-8
7-10
6-8
6-8
5* 7
8
Waoo
----~~~----------------------------------------I---------I---------I---------I---------·I---------1--------llnto.~arged cU8tomcrs on prime commercial pnper such as is now eligiblo for
llnte blscount under the Foderat Reserve Act .... ..... . ................ ........ .
nate c a~ged 00 loan8 to other banks 8ccured by bilt8 receivabte ........... . . . .... .
i 01; J.ans sccured by prime stock exchange or other current collaterat (not
nc uDln g loan8 placed in other markots through correspondent banks):
nato ch Ti!e~n.d....... :::::::::::::::::::::::::::::::::::::::::::::::::::::::::
nato c arg I on commodity paper secured by warohou8c receipts, etc .............. .
t
~ateloans .... . . .. . . ..... . ........ .. . . .... . . . .. . . . ... .. . ........... .
5-8
5Yr8
5-0
5- 7
6-8
6-8
8
6-8
INDUSTRY
Cottoll-Seed
PrOducts
Further seasonal declines as compared
with the preceding month were evidenced
Cru l'
during February in the receipts and
at ll:gS of cottonseed and the production of all products
C"CI'°t Texas and United States mills. Activities were, howbUt~ on a substantially higher scale than in February, 1931.
lion lUg the first seven months of the current season operaden: at Texas mills, excepting the output of linters, evithe e~ a f~rther increase over the corresponding period of
F'eb; ecedmg season. Stocks of cottonseed on hand as of
Uary uary 29 Were smaller than those at the close of JanCOnt' at establishments in both the State and Nation, but
lllU d .
e m greater volume than on the corresponding date
b
~rs'rICS ON COTTONSEED AND COTTONSEED PRODUCTS
CClton!ced
. d
(tons)
reoell'. at mills
CottonaC~""'" ...........
Texas
United States .
AugllBt 1 to February 29 August 1 to February 29
This Season Last Season This Season Last Season
Cotlo nseed orutbed (ton8).....
(Ions) on and Feb. 29
g~k~oa~i~ ~~r~Cd ·(p.iu~d~i.·.:
.UlIs l>roduo".::! p{odueed (tons)
LInlcrs I> od lions) ........ .
S bales). ..r. uced (running
C~~ ~if ~a~(1 F~b~~~ry'29;"
~ako nnd :cu{,ds) .......... .
VUlie (Ions) en (tons) ........ .
Inters (runni~i b~i~): :: :: : ::
1,557,897
1,283,359
1,212,765
1,129,356
4,984,785
4,077,408
4,461,884
4,127,823
287,731
100,112
917,183
379,477
381,890,367 329,096.1101,275,317,6321,250,461,980
1,828,359
1,878,120
601,502
533,531
369,967
318,148
1,149,108
1,142,438
165,905
175,829
648,020
717,199
30,038,940
48,908
79,760
90,055
13,830,228
80,578
54,079
85,730
89,609,470
230,677
219,406
312,441
69,519,654
362,688
132,341
328.644
of earlier years. Supplies of crude oil, cake and meal, and
hulls at mills located in Texas were less than those a month
earlier, while at United States establishments inventories
of all cottonseed products were greater.
Textile
Milling
Very encouraging developments were
witnessed during the past month in the
operations of Texas textile mills. Despite the shorter month, which is usually accompanied with
reductions in total operations, the production of cloth exceeded that a month earlier by a wide margin, and was
much larger than in February, 1931. The volume of cotton consumed was practically the same as in January, but
the daily average consumption was on an increased scale.
Orders for finished products recorded on the books of reporting mills as of February 29 were above those a month
earlier, and showed a substantial increase over those held
on the same date last year.
Contrary to the usual seasonal trend, the total domestic
consumption of cotton reflected an expansion during February, and operations were on a higher scale than in the
same month of the previous season. Total consumption
amounted to 4.50,018 bales in February, as against 435,337
bales in January, and 433,376 bales in February, 1931. Cotton consumed during the seven months of the present season
continued above that in the same period of the 1930-31
season. Inventories of cotton held by consuming establishments on February 29 were fractionally smaller than a
MONTHLY BUSINESS REVIEW
6
=-------------------------------------------------------------------------------month earlier, but reflected a further increase over a year
ago.
COTTON CONSUMED AND ON HAND
(Bales)
February
1932
Cotton-growing stales:
Cotton oonsumed.... ... . .. .
On hand February 29 InConsuming establishmente.
Publio storage nnd compresses ..... •.. ..... ...
United Stales:
Cotton oonsumed..... .....•
On hand February 29 inConsuming establiBhmente.
Public storage nnd com·
presses ........ . ...... .
February
1931
365,075
341,430
August 1 to February 29
This Season Last Season
6,913,013
3,081,290
1,650,361
9,510,690
7,313,912
Representing the second occurrence of its
kind this season, shipments of cotton
from Houston and Galveston were noticeably contrary to seasonal tendencies, being much greater
than those a month earlier, and materially above the
1918-30 average; as compared wit? the corresponding
month of 1931, February exports, whI~h amounted to 644,764 bales were over one and one-half tImes greater. On the
other hand, the customary seasonal decline was recorded
during the month in receipts of cotton.
Cotton
Movements
Total foreign exports of cotton from a~l United St~tes
ports likewise reflected an unseasonable Increase dunng
February as compared with the previous month, and were
over one hundred per cent greater than in Februa!y, 1931Aggregate shipments totaled 970,419 bales, as agamst 919,338 bales in January, and 432,996 bales in February a year
ago. The volume of exports during the past month is of
greater significance when it is noted that, wi~h one exception, February 1927, they were greater than In any cor~es
ponding month on record. The amount of exports durmg
the current season as compared with those a year ago increased from an amount 10.6 per cent greater in January to
20.6 per cent in February. Shipments totaled 5,924,,813
bales for the seven-month period ending February 29. Japanese takings of American cotton aggregated 396,006 bales
during February, or 41 pel' cent of .total e.xports. There was
also a better demand from the Umted Kmgdom.
COTTON MOVEMENTS THROUGH THE PORT OF GALVESTON
(Bales)
February
1932
214,720
Recelpte ..................•.
348,926
Exporte .................... .
StockB, February 29 ......... .
February
1931
79,108
117,240
::: : ::::::
February
1931
96,278
132,901
2,803,626
1,033,380
488,376
1,165,580
9,003,045
t::.·.·.~ ~:::::
Stooke, February 20 ......... .
Februnry
1932
193,433
295,889
August 1 to February 20
This Season Last Season
2,951,282
2,725,080
2,097,803
1,600,601
1,647,463
1,374,350
2,801,447
1,305,612
460,018
2,523,307
COTTON MOVEMENTS THROUGH THE PORT OF HOUSTON
(Bales)
August 1 to February 20
This Season Last Season
2,086,475
1,388,173
1,592,609
947,088
881,367
626,342
SEASON'S RECEIPTS, EXPORTS, AND STOCKS OF COTTON AT ALL
UNITED STATES PORTS-(Dales)
Reoeipte .....................•.....•...........•.....
Exports: United Kingdom ........................... .
France . ......... ... ...... .. ........... . ... .
Italy ...................................... .
August 1 to February 20
This Season Last SeaBon
8,386,610
8,026,04 0
862,501
861, 760
246,600
787,447
441,010
344,333
1,067,139
1,232,4 20
506,001
400, 601
1 695300
732,419
1:106:163
464,438
5,024,813
4,012'm
4,746,155
4,168,
r!rb~~~~~~~:::::::::::::::::::::::::::::: :
A1 otber oountries .......................... .
'fotal.foreign ports .. . .......... ....... .. ... .
Stocks at all Umted States ports Fehruary 20 ........... .
""'"
SPOT COTTON PRICE8-(Middling DlIBis)
(Ccnte por pound)
----------------------------------------------Muroh 15,
February, 1032
New york ..... . .. ........... ..... ...... .
New Orleans ............................ .
Dallas ................................. .
Houston ................ . ............... .
Galveston .............................. .
High
7.15
6.01
6.65
0.05
0.05
Low
6.55
6.41
5.90
6.35
6.40
1932
6.05
6.83
6.45
6.85
6.05
The past month witnessed a further sub,
stantial decline in the output of petr~:
leum in the Eleventh Federal Reserve District. The F~.
ruary production amounted to 25,876,700 barrels as c
650
pared with 28,336,550 barrels in January, and 21,~82, 8S
barrels in February, 1931. Daily average productlo~lrllg
21,782 barrels less than in the previous month. Dn 1O9
operations were also on a reduced scale. There were 'th
producing wells completed in February, as compared 1(1
Ll90 in the previous month, and 150 in the correspOll Id ;
month last year. The initial production from new weIls r'
elined from 3,365,767 barrels in January to 2,939,350 bjls
rels in February. The flush production from neW wS16
completed in February, 1931, amounted to only 187,
barrels.
Petroleum
r
There was a deeline in the daily average outpu~ of ~!~
Texas fields except Central-West Texas, where a shg.ht the
crease was registered. The biggest decline occurred ~ll the
East-Central Texas field as a result of a reduction III
OIL PRODUCTION-(Darrcls)
-------------------------------------------Increnee or DeorCllBO OYC1'
COTTON-GALVESTON STOCK STATEMENT
(Bales)
For GreatjBritain ................................... .
For France ...... .. · .. · .... ··· · .... ·· .. · .. ········ .. ·
For other [oreign porte . ........ ...................... .
For coastwise JlOrte ........................... .... ... .
In~omprC88esland depote ................•.............
Total ................................ .
Feb. 29,
1932
12,500
5,000
48,500
813,367
Fob.28,
1931
4,500
4,000
22,800
1,600
593,542
881,367
626,342
2,000
North Texas .. . . . . .. . . . •... . .
Central West Texas. . .. . .. . . . .
East Central Texas .. . .. ......
Texas Coastal. .........•... , .
South TcXll8... ........ ......
February, 1982
Total
Dally Avg.
2,796,950
06,447
5,811,550
200,308
10,611,060
365,929
3,262,600
112,150
1,503,500
51,845
January, 1032
Total
Daily Avg.
- 826,100 - 4,207
- 360,200
1~'~~~
-1,269,000 - '486
- 230,400 :: 340
- 114,260 _ _
+
-21'1~
Total Texas . .... .. . . -23,976,550
New Mexioo... ........ .. . . .. 1,075,850
North Louisiana..... .. .. . . .. .
824,300
826,778
37,008
28,424
-2,300,850
79,250
~
:: 449
__
Total District .. . .... : 26,876,700
892,300
-2,450,850
_21,782
-----------------------------------------------------------------------------------------------------------MONTHLY BUSINESS REVIEW
7
------------------------------------------------------------------------------------------------------------proration allowances in that field. There was a small decline
t1oUisiana. daily production in New Mexico and North
the average
....
~
• • • • • • • • • • • • • • • + • • • • • • • •• • • • + ••• ••
FEBRUARY DRILLING UESUL'I'S
~rtL 'l'oXIlS .............. .
E:!tral WCIlt Texas ........ .
S t Contral Toxas .......•.
Touth Toxas . . .......... . ..
elas Coastal. ... ..........
Cempletions
58
24
342
47
28
Producera
24
11
329
24
14
G:l3
Welln
1
2
499
3
15
402
2
5
13
1
1
84
9
2,915,551
22.089
1,110
517
607
409
400
15
18
08
09
compared with the previous month, and was 2.1 per cent
smaller than in the corresponding month last year. While
February shipments were 6.2 per cent larger than in January, they were 22.0 per cent below a year ago. Due to the
excess of production over shipments, stocks at the end of
February reflected a further increase of 2.9 per cent. Production of cement during the first two months of the year
was 1.6 per cent larger than in a like period of 1931, but
shipments were 25.6 per cent smaller.
2,030,350
3,365,707
Now M ~otal Toxas ..... . .
Norlh~l~O..... . ..........
UlSU\nn . .. . ....... .
~'obru
.
J nry ttl8, d'IS triO t .....
0 a
anuary totals, district ......
4
5
1
Failures
33
11
9
18
13
Initial
Production
3,315
1,005
2,890,955
0,352
7,924
PRODUCTION, SIDPMENTS, AND STOCKS OF PORTLAND CEMENT
(In thousands of barrels)
0/<1, ohange from Jan. through
Fob. Jan.
Feb.
Feb.
1932 1932
1931
1032
Production at Toxas mills. . . . . . . .. 280 -17 .2 - 2.1
618
Shipments from Texas mills. . ...... 250 + 0.2 -22.0
407
Stocks at ond of mOllth at Texas mills 847 + 2.0 +14.5
.................................... .
~
............... ....................... .
~
% ohango
trom year
+ 1.0
- 25 .6
CRUDE OIL PRICES
March 8,
1932
~exi: Coastal (40 gr. and above) .. . ...... . . . ... .. ..... . $ .86
.73
N~~th ~x\'ll. (40 gr. and abovo) .. . . . ... . . ...... . .... . . .
UlSlnna (40 gr. and above) ..... . ..... . ........ .
.85
'Prico paid for Texas Coastal. grade" A".
Building
March 10,
1031
$ .80'
.6'/
.67
......
..
(Oil statistics comlJilcd by The Oil Weekly. Flouston, Texna)
Cement
b
The production of Portland cement at
Texas mills, which amounted to 280,000
al'tels in February, reflected a decline of 17.2 per cent as
Construction permits issued during February at leading centers in the Eleventh
District were 6.0 pel' cent below the volume of the previous
month, and 58.6 per cent less than in the same month last
year. The month's valuation amounted to $1,566,729, as
compared with a total of $1,665,938 in January, and $3,784~310 in February a year ago. While Austin was the only
reporting city to show an increase over both comparative
periods, four other cities also registered an improvement
over January.
,
................... .. ................................................. ....... . .
~
----
BUILDING PERMITS
Fob., 1032
Feb., 1931
Percentage Change
Valuation Over
Year
Valuation
No. Valuation No.
;:;;;-- - - ---- -- S 371,174
.......
37
27,935
58
Aust
~iIIo
nenuIn .........
1I10Ilt ......
Corp us Ohristi. .
Ilnllns
Ell'
Ji'ort
Gal v orth .....
O"s~~n .... ..
.'
~~tlrti;u~.'.. :. :.
ntonio
S,lIreveport ... . .
W::::::::
1:1)
~noo
\Viohii.,; ·F~li~:: :
$
67
102
20
220
30
159
113
207
27
148
112
20
7
630.577
23,1 23
16,250
142,401
10,439
191,725
54,001
290,587
4,337
81,033
43,290
36,302
2,630
84
131
31
321
81
193
111
201
03
205
112
29
0
524,061
08,109
18,880
542,235
102,010
318,110
76,117
1,327,767
54.023
243,343
61,757
00,504
5,200
- - ---- - - ---'rola!. ..... 1,287 $1,560,729 1,689 S3,784,31O
~ OVer olle thousand IlCr cont.
.......,
-02.5
+21.5
-66. 1
- 13.7
-73.7
-84.0
-39.7
-29.1
-78. 1
-02. 1
- 6U
-20 .0
- 47.8
-50.3
----58.6
Jan., 1082
No.
+ 23.7
+440.5
- 48.8
+477.3
- 48.0
- 10.1
+ 61.5
- 11 .3
- 10.1
- 76.2
- 28. 0
+107.4
- 35.2
- 09,4
TlVo Months
Percontago Chango
1032
198J
Vnluation Ovor
Poriod
No.
Valuation
No.
Vnluation
48 $ 50,520
113 S 890,784
-04 .3
158
752,425
149
660,032
+13.8
68,271
169
234
136,028
-50. 1
47
10,005
75
52,048
-03.4
421,310
453
608
J,093,510
- 61.5
36,031
147
180,158
158
-81.0
274
310,457
a03
720,010
-57.3
250
227
114,878
115,778
.8
394
640,680
569
2,354,509
-72.4
22,592
t 55
130
109,018
-79.3
315
193,617
414
450,483
-57.6
240
64,178
244
187,648
-65.8
02,313
53
65
97,977
- 5.8
18
437,330
23
14,000
-
2,544 $ 3,232,667
Percenla~o
Valuation
11 $ 22,585
115,848
01
45,148
07
2,815
18
233
278,819
19,592
28
118,732
115
60,877
137
359,093
187
28
18,255
112,584
167
20,879
128
56,011
36
434,709
11
-- ---1,257 $1,605,938
Ohange
ValuatIOn Over
Month
--6.0
-
.
3,370 $ 7,085,392
----
-54 .4
SUMMARY OF NATIONAL BUSINESS CONDITIONS
(Compiled by the Federal Reserve Board as of March 25, 1982)
llJen; o.lume of industrial production and factory employII Increased from January to February by an amount
inga ~l' than usual at this season. Improvement in the bank~a Shuation during February and the first three weeks of
tet~C Was reflected in a decline in bank suspensions and a
tn flow of currency from the public to the banks.
Sltt
PRODUCTION AND EMPLOYMENT
Ully~l\tPut of industrial products increased less than seasonnCe
U IF F'ebruary and the Board's index, which makes allowor the usual seasonal variations, declined from 71 per
cent of the 1923-1925 average to 70 per cent. Activity in
the steel industry during February and the first three weeks
of March showed little change from the January rate although ordinarily substantial increases are reported at' this
time of year. Automobile production continued in small
volume, showing none of the usual seasonal expansion, and
the number of cars produced in the three-month period ending in February was about 35 per cent less than in the corresponding period a year ago. In the lumber industry, output
declined further, contrary to seasonal tendency. Activity' at
cotton mills and shoe factories increased by more than the
---------------------------------------------------------------------------------------8
MONTHLY BUSINESS REVIEW
~-------------------------------------------------------------------------------------seasonal amount and was at about the same level as in the
corresponding month last year. Volume of employment at
factories increased in February by somewhat less than the
usual seasonal amount. In the iron and steel, automobile,
and machinery industries, the number employed showed an
increase smaller than is usual in this month, and at lumber
mills a continued decline in employment was reported. At
establishments producing fabrics, wearing apparel, and
shoes, volume of employment increased by more than the
seasonal amount. Daily average value of total building con·
tracts awarded, as reported by the F. W. Dodge Corporation,
showed little change in February and the first half of March,
and for the period between the first of January and the
middle of March the value of contracts was 65 per cent
less than a year ago, reflecting continued declines in resi·
dential building as well as in other types of construction.
Part of the decrease in the value of awards reflects reduction
in building costs.
DISTRIBUTION
Car loadings of merchandise and of miscellaneous freight
showed none of the usual seasonal increase in February,
while sales at department stores remained unchanged, as is
usual at this season.
WHOLESALE PRICES
Wholesale commodity prices, as measured by the index
of the Bureau of Labor Statistics, declined further from 67
per cent of the 1926 average for January to 66 per cent for
February. Between the first week of February and the third
week of March, there were increases in the prices of cotto J1 ,
livestock, and meats, while prices of grains, nonferrous
metals, and imported raw materials including silk, sugal ,
and rubber declined considerably.
BANK CREDIT
In the banking situation the important developments ill
February and the first half of March were a considerable
reduction in the number of bank suspensions, and a retUrf
flow of currency from the public to the banks. The country d
stock of monetary gold declined in February but increase
somewhat in the first half of March. Member bank reserv~
balances, after decreasing almost continuously since la,s
summer, showed a slight increase for the first two week,s III
March. Purchases of United States Government obligatIOl'IS
by the Federal Reserve Banks beginning in March were ~c:
companied by a considerable decline in member bank ll'lf
debtedness to the reserve banks, Loans and investments (I
member banks in leading cities continued to decline un I
the middle of March when there was a substantial increas
owing largely to the banks' purchases of United States ~o e
ernment securities issued on March 15. Demand and urn
deposits of these banks decreased further during Feb~at~
but showed little change in the first half of March,
d
market rates on acceptances and commercial paper dech n
his,
during February and the first half of March. During t
de
period yields on Treasury and other high grade bonds tet
creased to the lowest point since early December, but af Ie
the middle of the month yields on high grade corpora
bonds increased somewhat.
!:
,P:
@FedFRASER