Full text of Review (Federal Reserve Bank of Dallas) : March 1959

The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.

BUSINESS
REVIEW
MARCH 1959
Vol. 44, No.3

GROWTH IN SOUTHWESTERN BANKING
Developments in Eleventh District banking conditions during
1958 reflected the impact of a central banking policy of monetary
and credit ease, as well as the generally favorable business conditions that prevailed in the Southwest. To a large extent, the nationwide 1957-58 recession was concentrated in the durable goods
industries, and its effect upon the southwestern economy was comparatively mild. Although the petroleum industry underwent
severe adjustment, which also affected the industry'S suppliers,
agricultural and construction activities were at record levels. Consequently, District loan demand held up well throughout the recession. Contractive influences on bank assets and deposits, which
developed in other sections of the country as a result of substantial
loan liquidation, were not as noticeable in the Southwest's banking picture.
Monetary and credit ease, while initiated in the latter part of
1957, was continued with force throughout the first half of 1958.
Subsequently, from August to December, the policy of ease was
moderated. As a result of three reductions in discount rates and
in reserve requirements, together with System purchases of Government securities during the first 6 months of the year, pressures
on bank reserve positions were removed, and reserve funds were
provided to support expansion of bank credit. The shift in credit
policy from restraint to ease was designed to promote monetary
growth and to cushion the impact of economic recession. The
influence of the System's easing actions was immediately reflected

FEDE

AL

RESERVE
DALLAS ,

BANK
TeXAS

OF

DALLAS

This publication was digitized and made available by the Federal Reserve Bank of Dallas' Historical Library (FedHistory@dal.frb.org)

in a progressive easing of the reserve positions of member banks in the Eleventh District and, also, in the rapid
growth of loans and investments which accompanied
the elimination of reserve pressures.
Bank asset and deposit expansion in the District
paralleled the national trend, but the lesser impact of
the 1957-58 recession on southwestern business and
industry is indicated by the more rapid growth of banking aggregates in the Eleventh District. Loans and investments at the District's member banks advanced 12
percent in 1958, compared with a gain of slightly less
than 9 percent for all commercial banks in the country.
Similarly, total deposits at the District banks rose 10
percent during the year, while the gain at all commercial banks in the Nation was 6 percent.
Loan Demand

Loan demand in the Southwest was active throughout 1958. Although the volume of loan applications
probably declined moderately from the peak levels
reached in 1956 and 1957, totalloans at member banks
in the District rose consistently throughout the year.
Continued loan growth in the face of a slight moderation in loan demand reflected a shift from the more
selective lending operations adopted during the previous years of credit restraint. Loan expansion was particularly sharp during the final quarter of 1958, when
the extraseasonal increase exceeded the combined gains
in the preceding 9 months.
Gross loans of District member banks rose $463 million, or 11 percent. This gain, the largest since 1955,
compares with an increase of only $151 million during
1957. Business loans were especially strong during the
year, accounting for one-half of the total loan increase.
Virtually all of this growth was concentrated at weekly
reporting member banks in leading cities, where nearly
all types of businesses expanded their borrowings. Of
the various classes of business loans, petroleum loans
showed the largest gain. Growth in these loans accelerated after midyear as petroleum production rose to
higher levels, refinery runs increased, and drilling activity improved. Increased lending to construction companies also buoyed business loan accounts. This expansion, which occurred mostly in the last half of the year,
reflected the record level of building activity. Other
groups of business borrowers whose use of credit rose
significantly were commodity dealers, sales finance
companies, and trade establishments.

I~ USINESS

REVIEW

In contrast with 1957, when District banks increased
their real-estate loans by only a small amount, 1958
witnessed a gain of $50 million , or almost 13 percent.
This gain was influenced not only by the sustained demand for real-estate loans but also by the development
of easier reserve positions and the rapid advance in time
deposits. As reserve positions tightened and time deposits began to decline in the final quarter of the year,
real-estate loans also declined.
Agricultural loans at the District's member banks
also rose substantially, the 1958 gain being $96 million.
This 29-percent rise contrasted with a 2-percent advance in 1957. Most of the 1958 increase was in the
form of larger holdings of Commodity Credit Corporation certificates of interest. In addition to the influence
of bumper crops during the year, the expansion in holdings of CCC certificates of interest also reflected the
willingness of banks to add these instruments to their
loan accounts as a secondary reserve.
Member banks in the District during 1958 increased
their loans to securities brokers and dealers by $23 million and added $25 million in loans to others for purchasing and carrying securities. The combined increase
of $48 million compares with a $3 million decline in
1957. Of all the major loan categories, only loans to individuals showed smaller growth in 1958 than in the
preceding year. Primarily as a result of reduced consumer purchases of durable goods, consumer loans expanded only $23 million, or less than one-third of the
1957 gain.
Investments

Investment holdings at member banks in the District
rose steadily throughout 1958, with the annual increase
amounting to $445 million . This increase of 14 percent
represented the largest gain since 1945 and, to a large
extent, reflected bank utilization of proceeds from the
deposit expansion promoted by reductions in reserve
requirements and System open market operations in
the first half of 1958 . The process of investment expansion was facilitated during the year by intermittent
Treasury offerings of obligations' having maturities attractive to commercial banks. Reflecting their comfortable reserve positions during most of the year, banks
were relatively heavy subscribers to Treasury offerings
for which payment by credit to Tax and Loan Accounts
was allowed.
In expanding their investment accounts, the member
banks placed emphasis upon securities in the interme-

MEMBER BANK LOANS AND INVESTMENTS
ELEVENTH FEDERAL RES ERVE DISTRICT
BI LLI ONS OF DOLLA RS

ILal' Wld nlldayln lochman lh)

8 1LLI ONS OF DO LLA RS

5.0

5.0

4 . 51--------\--------~

4.0'~;;:::::;;;;;;;;;;~-~r_------i

3.51-- - - - - - - \ - - - - - - - : : ;/Iii;;.;7

INVESTMENTS

2 . 5\.---~17.95;-::'
7 ---.L------,,9a.5'Oe- - - . . ' 2.5

diate- and long-term ranges. Thus, the largest gains
Were recorded in holdings of Government bonds. Holdings of TreasQry notes and certificates of indebtedness
also rose, but Treasury bill holdings declined moderately. Of the total increase in holdings of Government
securities, almost two-thirds represented obligations
haVing maturities of beyond 5 years.
Depos its

Influenced mainly by a national credit policy of ease
during the first half of 1958 and by improving business
conditions in the second half of the year, deposits at
member banks in the District advanced steadily. The

DEMAND AND TIM E DEPO SITS
MEMBER BANKS- ELEVENTH FEDERAL RESERVE DISTRICT

spread between the 1957 and 1958 monthly averages
of deposits gradually widened as the year progressed.
By November, deposits were averaging more than 10
percent above the comparable averages in 1957. The
annual increase in deposits, also 10 percent, represented the largest gain since 1945. Demand balances
expanded $542 million, or 7 percent, during the year,
while time deposits increased $417 million. In terms of
relative growth, however, the 25-percent rise in time
deposits was considerably larger than the percentage
growth in demand accounts.
Time deposit growth was concentrated in the first
half of the year, when rates on short-term investments
were at cyclical lows. Later, as market rates firmed,
time deposit gains at the larger banks in the District
slowed and eventually began a downward movement
which extended throughout the fourth quarter of the
year.
Earnings and Expenses

Interest income on both loans and investments at
member banks in the District rose to higher levels in
1958 . Interest and dividends on investments increased
6 percent as larger investment holdings more than offset a decline in the average rate of return, and interest
and discounts on loans increased 8 percent. These gains
- coupled with larger current earnings from service
charges, trust operations, and other sources - produced an 8-percent advance in current operating earnings to a level of $377 million.
The 1958 increase in current operating earnings was
accompanied by a general expansion in operating expenses, which rose 11 percent during the year. The expansion in operating expenses was heavily weighted by
a 31 -percent advance in the amount of interest paid on
time deposits. Except for the cost of interest on borrowed funds, all categories of operating expenses also
showed gains in 1958. Expenses for officers' salaries
rose 7 percent, and expenses of employees' wages and
salaries increased 4 percent. Notwithstanding the
higher percentage growth of expenses, the larger absolute increase in current earnings - together with
recoveries on loans, profits from securities transactions,
and other sources - resulted in a 13-percent rise in
bank profits. For the entire year, net profits after income taxes amounted to $76 million, of which 45 percent was paid out in cash dividends.
C. PEACOCK
Financial Economist
L ESLIE

B USi NESS

RE Vi E~1

PETROLEUM - A YEAR OF ADJUSTMENT
The petroleum industry and its related suppliers
underwent a major readjustment during 1958, as a
complex of internal and international forces converged
to hold total demand at about the year-earlier level and
to reduce domestic oil operations. Early in the year, the
heavy accumulation of inventories, originating from
the slow adjustment of crude oil production after the
termination of the Suez crisis, merged with the curtailed
demand stemming from the economic recession and a
high level of imports to cause a sharp cutback in crude
oil production. For nearly 6 months, domestic production was steadily lowered so that current demand was
being met, in part, by inventory liquidation. Prices of
crude oil and refined products were under heavy pressure, and although there was no major break in the
basic crude price, some downward movement occurred. Under these conditions, drilling activity slowed
markedly, and refinery runs also were reduced.
By midsummer, the corrective actions of the industry
had been sufficiently effective to allow a small improvement in production and refining. Gains in demand for
refined products slowly strengthened with the broadly
based industrial recovery; although imports of refined
products rose sharply, the over-all improvement still
left room for moderate expansion in domestic operations. In the final quarter of the year, an extraseasonal
rise in demand for home heating oil, caused by severely
cold weather, and further gains in industrial production
reinforced the improvements in the petroleum industry
and encouraged a large increase in drilling activity.
Year-end demand, production, and refining were above
the late-1957 levels, while stocks were markedly lower.
The oil-producing states in the Eleventh District experienced the sharpest impact of the petroleum industry's adjustment and again demonstrated their strategic
position as the balance wheel for the entire industry.
Total District drilling activity fell to a level of 21,359
well completions, or 14 percent under 1957, compared
with a national decline of 9 percent. Wildcat completions were down 24 percent in the District, while development drilling declined only 11 percent. Oil well completions decreased at a much faster rate than gas well
completions in both the District and the Nation. The
wildcat success ratio for the District dropped to 19 percent from 22 percent in 1957. Drilling activity was
centered in the west Texas and Four Corners areas of
the District states, but offshore drilling was curtailed

I:USINESS

REVIEW

sharply. Drilling might have been reduced further if
some leases had not been near expiration dates, thereby
encouraging activity merely to hold the leases. '
The impact of this decline in drilling activity was reflected in the sales of industrial suppliers to the oil industry. Drilling rigs, cement, drilling muds, drill pipe,
and many other products were in reduced demand. Similarly, most of the service firms, exploration concerns,
and geophysical companies found domestic business
sharply curtailed. These declines were reflected, in turn,
to many small subcontractors. In addition, the lower
level of drilling activity reduced lease payments and
lessened the potential rise in royalty and production
payments.
It is estimated that proved recoverable reserves of
crude oil in the District states increased less than 200
million barrels in 1958, and such reserves in Texas fell
almost 375 million barrels. Proved reserves of crude oil
rose in Oklahoma, New Mexico, and Louisiana, with
this State gaining 396 million barrels. Thus, Texas
crude oil reserves declined, while Louisiana reserves
more than made up the loss and supplied the main impetus to the slight gains in both District and national
reserves.
Domestic production adjustments were also handled
principally in the District, where crude oil output was
down to an average of 2,937,000 barrels per day, or 12
percent below 1957 - contrasted with a nationwide
decline of 7 percent. Early in the year, when production comparisons were measured against the record

TOTAL CRUDE OIL PRODUCTION

REST OF UNITED STATES

PERCENTAGE CHANGE, 1958 FROM 19&1

SOURC[:Th. all and Gal Journol.

levels of early 1957, year-to-year decreases in District
production were as high as 28 percent; but by September and for the remainder of the year, there was a slight
margin of gain over 1957. Among the District states,
crude oil output showed declines ranging from 5 to 12
percent in Louisiana, Oklahoma, and Texas; New
Mexico production increased moderately. Other than
an 8-pe17cent loss in California production, crude oil
output in the rest of the United States rose during 1958.
The number of producing days in Texas was cut back
to 122 in 1958, reflecting a decline for the third consecutive year and contrasting with a total of 171 in
1957 and 276 in 1951. During April, May, and June,
Texas producing days were reduced to 8, a record low,
but by December, allowables were scheduled on a 12day basis.

CRUDE OIL AND REFINED PRODUCTS IMPORTS
UNITED STATES
MILLION S OF BARRELS

(DAILY AVERAGE)

MILLION S OF BARRELS

1.4

1.4

SOURCE Sr U. 5 . 01l'IOU 01 Min ...

Crude oil imports during 1958 averaged 953,000
barrels per day, or 44,000 barrels daily lower than in
1957. However, in the latter part of the year, such imports exceeded the level set for the voluntary imports
quotas, and total crude oil imports for 1958 accounted
for a rising slulre of the domestic market. Throughout
the year, the voluntary imports quota arrangement was
Under criticism from groups that wanted more stringent
Controls and companies which were dissatisfied with
their quotas. For some time, the authorities have been
trying to work out a satisfactory plan to curtail imports,
but no announcement has been made of either the main
features of the plan or its date of implementation.
Crude runs to refinery stills in the District, averaging
2,133,000 barrels per day, were 6 percent under 1957;

CRUDE OIL PRODUCTION AND REFINING
ELEVENTH FEDERAL RESERVE DISTRICT
MILLIONS OF BARRELS

I DAILY AVERAGE)

MIl.LIONS OF' BARRELS

4,0

4 ,0

I,5L.--- - - - ;1"'95""
7 - - - l . . . - - - - - - .19a.iS:.-S--~ 1.5
SOURCES rU,S. Burtou 0' Min .. ,

Amt,lcanPtlrollum In.llluli.

Amlrlcon Pllror,urn In ellluli.

in the Nation, crude runs were down 4 percent. Refinery activity approximated the pattern for production,
with a large year-to-year margin of decline early in
1958 being followed by a steady narrowing until October, when a gain was registered. Although new refinery construction was lower th an in 1957, there were
a number of modernizations and expansions at District
refineries in 1958. Many of these capital expenditure
programs were developed to increase facilities for producing raw stock materials for the chemical industry.
Moreover, some of the larger oil companies with subsidiary chemical concerns made substantial investments
in new chemical plants and equipment.
Augmenting the domestic supply, imports of refined
products rose from 548 ,000 barrels per day in 1957 to
724,000 barrels daily in 1958. An especially strong increase in such imports occurred in the final quarter of
the year, when average imports were 38 percent above
the closing 3 months of 1957. Total imports of crude oil
and refined products averaged nearly 9 percent above
the 1957 level, while domestic crude oil production was
cut back 7 percent and refinery activity was reduced 4
percent.
The major factor which enabled the industry to reduce inventories in the first half of the year and then
expand production in the final 6 months was the continued high level of demand . Total demand for the four
major refined products averaged 7,352,000 barrels per
day in 1958, representing an increase of 64,000 barrels daily over 1957. Among the different types
of products, kerosene and distillate demands were
BUSINESS

REVIE~1

strongest, followed by gasoline demand. Only residual
fuel oil requirements were lower than in 1957. Demand
for gasoline was fairly well sustained throughout the
year; however, demand for each of the other major refined products was uneven, with residual fuel oil demand down sharply in early 1958 but up strongly in
the last half of the year. As a consequence, total demand
for the four products was slightly below the comparable
1957 level through August but then spurted ahead.
With total supply curtailed and demand up slightly,
stocks of crude oil and refined products were sharply
reduced. Crude oil stocks started the year with a margin
of about 28 million barrels over early 1957 but ended
the year 19 million barrels below the December 1957
level. Similarly, total stocks of the four major refined
products were cut back severely and at the year end
were 36 million barrels less than at the same time in
1957. Among the major products stocks, distillate fuel
oil and gasoline were substantially under the yearearlier levels, kerosene stocks were down slightly, and
residual fuel oil stocks were still somewhat above a
year ago.
In addition to the problems of a slower gain in demand, rising imports, and reduced production, the industry faced a rash of price cuts on crude oil and refined
products. Both early and late in the year, crude oil
prices were under heavy pressure, and the downward
moves offset most of the general crude price rise of early
1957. However, the price reductions were selective,
and west Texas sour crude showed some of the sharpest
cuts. Throughout the spring and summer, gasoline price

DEMAND FOR PETROLEUM PRODUCTS
UNITED STATES
I DAILY AVE RAGE)

MILL I ON S OF BAR REL S

MI l.LIONS OF BAR REL S

9.5

9.5
"

9.0
8.

5

8 .0

7. 5

~
\~

9.0

\lt

19 S8

~'~~

.~

7. 0

v.,
-1---- -','
~
I _~

~

6 .5

6.0J

F

M

A

M

SOUR CES l Am . rl ca n Pltrollum Ini litut e.
U, S, Bur.a u of Min,.,

BUSINESS REVIEW

6

~~
,"
-,

A

1'<-

8.5
8.0
7.5
7.0

19 57

SON

6 .5
06 . 0

PETROLEUM STOCKS
UNITED STATES
MILLI ON S OF BA RR ELS

MILLI ONS OF BARRE LS

500

500

3001 - - - -- - --/-- - - - - - -- 1 300

2501==-- -- - --/-- - -- ...................."""""~

2001".----

-

--:1-=-=
9S=7-

- - L - --

----:-I::::
SS78 - - - . . . . ' 200

'S*OUR
-Oalollnl, k.ro"nl,d lltlllat.,ond , .. Iduol .
CES I Am, r lcon Petr ol,um Inl tltut • .
u.s. Bur.au of Min...

wars were particularly noticeable. Furthermore, there
was increased market competition.
By early 1959, the petroleum industry was in a substantially improved position from a year ago. Stocks
of refined products were in good balance, and crude oil
stocks did not appear to be excessive, especially in
view of the strong demand for fuel oil stemming from
severely cold weather. In addition, with industrial production continuing upward, residual fuel oil demand
has strengthened. Perhaps more importantly, the regulatory agencies have exercised restraint in advancing
allowables.
Despite the improvements, the petroleum industry
faces a number of important problems in early 1959.
Imports have continued upward, especially refined
products. With crude production much above last summer's level, crude oil stocks accumulated markedly
during the past 6 months and, unless watched carefully,
could become burdensome. Moreover, gasoline inventories have been accumulating at a more than seasonal
pace as refiners attempt to keep ahead of the exceptionally strong demand for heating oil. Wages at most
major refineries have been increased 5 percent; however, in early February, at least one refinery was strikebound, causing a sharp curtailment in demand for certain District crude. The current year also opened Witll
a new round of crude price cuts, and although prices of
some refined products were raised slightly, gasoline
price wars have erupted again. Nevertheless, with a
prospective increase of 4 to 5 percent in demand in
1959, the industry is moderately optimistic.

BUSINESS

REVIEW

BUSINESS, AGRICULTURAL, AND FINANCIAL CONDITIONS

During January, substantial
gains in durable goods sales
and continuing strength in soft
goods sales caused a year-toyear increase of 8 percent in
Eleventh District department store sales. Data for
individual metropolitan areas indicate that the improvement in sales was uniform throughout the
District. Total new car registrations in th,e District's
four largest metropolitan areas during January were
above both the year-earlier and the month-earlier
levels.
Improved moisture conditions boosted agricultural prospeats over a wide section of the District,
although rain is needed in western areas. Output
of winter vegetables for fresh market may be onethird below that of last year. Livestock remain in
fairly good condition, and forage supplies are increasing seasonally. The numbers of all cattle and
calves, stock sheep, hogs, chickens, and turkeys as
of January 1 were larger than a year ago.
In response to seasonal influences, nonfarm employment in the District states declined, and Texas
unemployment rose during January. Industrial pro-

duction in Texas was seasonally constant in January,
as strong gains throughout most industries offset
weakness in crude oil production and layoffs at
aircraft plants.
Construction contracts awarded in the District
states during 1958 reached a record value and
were 15 percent higher than in 1957. In December,
contracts reflected a year-to-year decline, caused by
a sharply reduced volume of nonresidential awards.
Refinery operations continued at a high level in
January and early February to satisfy the rising
demand for petroleum products. Substantial imports
of refined products added to supply. Crude oil
prices drifted lower in the western portion of the
Eleventh District.
Business loans and consumer loans showed increased strength in the 4 weeks ended February 18,
but other types of loans continued to decline. The
District's weekly reporting member banks gained time
deposits during the 4-week period, but demand balances decreased modestly. Reserve positions of reserve city banks in the District tightened in January,
but free reserves of country banks rose.

Despite the rather poor shopping weather, Eleventh District
department store trade during
January maintained its extraseasonal strength and featured
a continued gain in durable goods sales. AnnouncelUents of new store openings and projected construction
Were quite noticeable during both January and early
February. New department stores are to be opened in
AUstin, Dallas, Fort Worth, and Houston, with expansions of existing stores in these same cities and many
others throughout the District.

1947-49 average, compared with 160 in December and
155 in January a year ago. In early February, sales continued above the 1958 pace, and for the first 6 weeks of
1959, cumulative sales were 9 percent above the declining sales volume in the comparable period last year.

Date

Unadiusted

Seasonally
odjusted

Department store sales in the District during J anUary declined less than seasonally from December and
Were 8 percent above sales in January 1958. The seaSonally adjusted sales index rose to 168 percent of the

1958: Janua ry .. . ...
November... . .
Dece mber. . . . .
1959: January.. ... . .

123r
190
277
133

155r
166
160
168

INDEXES OF DEPARTMENT STORE SALES AND STOCKS
Eleventh Federal Reserve District
(1947·49

= 100)

SALES (Dail y av erag e)

r p -

STOCKS (End of month)
Unadjusted
148r
190
152
147p

Seasonally
adlusted
169r
172
163
167p

Rev ised .
Preliminary.

BUSINESS REVIE;

I

SALES AT FURN ITURE STORES AND HOUSEHOLD APPLIANCE STORES
(Pe rcentaGo chan go in retail valu e )

January 1959 from
line of trad e
by area

De ce mb e r

January

1958

1958

-35
2
- 22
-27
-32
54
- 55
-40
8
-40

- 3
29
15
15
-20
36
- 11
3
21
- 6

-35
-37

17
18

FURNITURE STORES
Total Ele ve nth District . • • . . • . . • . . . • • • . . . • • • . .
Amarillo . . • • . . . . . . . • . . . . . • • . • • . . . . • • • • . . . .
Austin . . . . . . . . . . . • . • . . . . . . . . • • . • • • • • • • • • . .
Dalla s ••• .• .... •.•. • ... ..• •• " . . • ••• . . . . • •
Houston . . . • . . . . . . . • • • • . . . . . . . • • . . . . • • . . . .
Lubbock. • • . • . . • . . • • • • • • • . . . . . • • • • . . . . • • . •
San Antonio .. . . . . •. . • . ••• . . • . . . ••. • . • . . • .•
Shreve port, Lo . . • • • . . • • • • . . . . . • • • • • . . . • • • . .
Wichito Foils .. .. .. ... . . ... .. ............. .
Othe r cities. • • • . . . . • • . . . . . . . • • . . . . • • . • . . • •
HOUSEHOLD APP LI ANCE STORES
Total Ele venth District. . • • . • . . • • • . • • . • • • • . . • •
Dalla s... . . . . . . . . • •. • • .. .• . . . • •• . • . . • • . . •.

DEPARTMENT STORE SA LES AN D STOCKS
(Pe rcentag e chang e i n reta i l valu e )

NET SALES
January

Decemb er
Area

1958

Tota l Eleventh District . • • • • ...•
Corpus Christi •••••..•.... •• . .
Da llas • • • .• .. .. ... .• . •... . ••
EI Paso .... . . . . . . ........ .. .
Fort Worth .. . . . ......... .. ..

-52
- 59
-5 1
-51
- 56
-52
-47
-49
- 55
-54

Houston •• •••••• •••• •• ••• •••

San Antonio •• ••• .• . • . • • •...•
Shre veport, la •• ••• . . •••• . • ••
Waco ••••• • ••••••• • ••• • • •••
Other citi es ••• • • •••••••••• • •

STOCKS (End of month)

1959 from

Januar y

1959 from

January

December

1958

1958

1958

8
7
6
9
6
9
11
8
7
8

-3
-5
0
1
-5
-5
-5
9
-6
-5

-1
-2
0
3
-5
-3
0
3
-5
1

January

Incomplete data on sales in the various departments
indicate that sales of durable goods contributed substantially to over-all sales strength in January. According to these preliminary reports, there were year-toyear gains of 3 percent and 19 percent, respectively, in
sales of major household appliances and radios, phonographs, and television sets; and the total for all homefurnishings lines was up 6 percent. In addition, sales
of soft goods continued to show favorable year-to-year
comparisons, with sales of women's and misses' coats,
suits, and dresses up 11 percent and sales of men's
clothing up 9 percent.

the District. Year-to-year comparisons in the individual
areas varied over a wide range. In San Antonio, registrations during January rose 43 percent over a year
ago, while Fort Worth and Dallas registrations gained
13 percent and 8 percent, respectively. The Houston
ar.ea, with a 2-percent decline, was the only one of the
four showing a decrease from January last year.
Moisture conditions were sharply
improved over a wide portion of
the District during February as a
result of rain, sleet, and snow.
The heaviest precipitation was
received from the Low Rolling Plains and the Edwards
Plateau region of Texas eastward into Louisiana. In
some early sections, such as the Lower Valley and
Coastal Bend of Texas, wet soils are delaying seeding
of crops. Surface moisture supplies remain in adequat~
in northwestern wheat areas, and general ra ins would
be extremely helpful. In these same areas, several days
of warmer weather have encouraged development of
roots and top growth of wheat. Just a few days of mild
weather will provide lush pasturage in irrigated sections. From the Blacklands eastward, small grains have
responded quickly to improved moisture cond itions,
and prospects are more encouraging than a few weeks
earlier.
HA RVESTED ACREA GE OF PRI NC IPAL CR OPS
Five Sou thwes tern Sta tes
( In thousand s of acros )

Averag e

Area

1958

1957

1956

1947-56

Arizona ••• • • • •• . • ••

louisiana .• • . • • . . . • .
New Me xico ••••• . .. •
Oklahoma •• • . .• ••••
Te xa s •• .... .. .. • .. .

1,220
2,422
1, 12 1
9,289
24,299

1, 132
2,529
1,064
8,680
23,787

1,138
2,685
1,116
9,400
21,376

1. 103
3,062
1,432
11 ,086
25,380

Tota l.. .. . .... . ...

38,35 1

37, 192

35,715

42,063

SO URCE , Uni ted States Departm ent of Agriculture .

Inventories on hand at the District's department
stores at the end of January remained 1 percent below
the year-earlier level and were 3 percent lower than at
the end of December. From incomplete data, it appears
that orders outstanding, bolstered by a more than seasonal increase in new orders placed during the month,
were up about 10 percent from a year ago, continuing
the rise which began last fall.

In most commercial vegetable areas, progress has
been slow as a result of wet weather, particularly in
south Texas. Field work has been interrupted, and the
cool, damp weather has been generally unfavorable for
most crops. Some south Texas onion growers are having difficulty in curing onions for shipping. Production
of winter vegetables in Texas for fresh market is estimated, as of February 1, to be 32 percent below last
year and 30 percent below the 1949-57 average.

New car registrations in January were 3 percent
greater than in December and 9 percent higher than in
January 1958 in the four largest metropolitan areas in

Livestock are in good condition and, in most sections, have come thFough the winter with very little
loss of weight. As of February 1, range feed conditions

I :USINESS REVIEW

COND ITION STATIST ICS OF WEEKLY REPORT ING
MEMBER BANKS IN LEAD ING CITIES

LIVESTOCK ON FARMS AND RANCHES, JANUARY 1

Texas, Five Southwestern States, and Uni te d States

Eleventh Federal Reserve District

(In thou sa nds)

( In thousands of dollars)'

----

Five southwestern

sto tes t

Texas

Cattl .. . ........
Milk cattle ....
Beef cattle . . .•

Shoep ..........
Stock sheep . . .
Feeders . ..•..
Hogs .... . .. .. ..
Horses and mules.
Chickens' • . • .. ..
Turk.ys .... .....
1

United States

1959

1958

1959

1958

1959

8,510
1,108
7,402
5,355
5,170
185
1,226
232
17,196
SIS

7,736
1,177
6,559
4,891
4,700
191
908
242
15,050
397

15,764
2,352
13,4 12
7,465
7,159
306
2, 132
527
27,567
648

14,576
2,456
12,120
6,89 1
6,59 1
300
1,705
557
24,995
539

96,851
32,826
64,025
32,644
28,364
4,280
57,201
3,079
383,257
5,861

93,350
33,413
59,937
31,337
27,327
4,0 10
50,980
3,354
370,884
5,542

Arizona , Loui siana , New Mexico, O klahoma, and Texas.

2 Does not includ e commercial broilers .

SOURCE , Unit. d Stat.s D.partme nt of Agricult ure.

ASSETS
Commercial and industria l loans•. . . . ..... .•.•
Agricultural loans • •. ••.•.•. .. . ••.•.. .. . . ..•

loans to brokers and dealers in securities . . . ...
Ot her loan s for purcha sing or carrying securities.
Real- estat e loans • . . .. .. . ••. . .....•••.•. . . .
Loans to banks• . •. . •.•••.•...•••••.. .• .• •.

All oth.r loans . .. . . .... •...•... ... .•••••..

The number of all cattle and calves on farms and
ranches in the District states as of January 1, 1959,
totaled 15,764,000, or 8 percent more than on the
same date a year earlier. An II-percent increase in the
number of beef cattle more than offset a 4-percent decline in milk cattle numbers. In the Nation, cattle numbers rose 4 percent to total 96,851,000, or just slightly
above the previous record number on hand on January
1, 1956.
Changes in loan, investment, and
deposit accounts at weekly reporting member banks in the District were comparatively small
during the 4 weeks ended February 18. Loan liquidation of $7 million, heavily weighted
by a $1 7 million reduction in interbank loans, was
somewhat less than seasonal. Real-estate loans and agricultural loans continued the downward movements
Which had developed in earlier weeks, and securities
loans also declined.
However, business loans and consumer-type loans
registered notable gains. Continued strength in business
loan demand is indicated by the $19 million increase
recorded for these loans in the 4 weeks ended February
18. In the corresponding period a year ago, $5 million
of business loans was liquidated. In the residual loan
category refiecting predominantly consumer loans, the
$11 million gain was almost three times the rise in the
comparable period of 1958.
Investment liquidation of $14 million occurred in the
4 weeks, despite a net increase of $41 million in Treas-

F.b.19,
1958

$ 1,671 ,694 $ 1,652,957 $1,477,660
46,252
26,647
38,375
16,473
21,802
22,887
167,577
178,702
185,474
2 17,882
22 1,029
199,828
30,4 31
18, 150
13,030
639,952
661,501
650,654

-2,802,986

2,809,684
49,1 67

2,546,287
44,8 11

2,760,517

2,501,476

145,480
327,312
904,34 1
332,684

62,167
65,427
189,880
823,258
268,923

Balances with banks in forei gn co untries • •• •• ..
Currency and coin • .... . ..• . ••••.••• • • • ••• •
Reserves with Federal Rese rve Bank .. • • • ..••..
Other asse ts ••• • • • .. . .• •••. .•. • ..... . ••• . .

486,330
504,827
1,734
47,755
587,11 0
185, 106

49 1,840
461,6 17
1,883
49,458
577,077
200,029

1,409,655
380,396
513,733
1,429
47,880
564,972
187,299

TOTAL ASSETS ... ..... . . . . ... ........

6,339,550

6,329,157

5,606,840

2,890,952
147,987
244,909
948,985
14,914
149,156

3,005,308
98,294
2 16,421
1,002,2 86
17,379
65,289

2,734,021
62,4 37
181,632
893,524
17, 114
57,877

Gross loans• . .........•.••.... ... ••.•.•
Less reserve s and una llocated charge-offs • •
N et loan s. .. . . .. . ..... ... ••••...• ... . ..

U. S. Tr. a sury bllls .... ... . ..... . ........ . ..

48,936
2,754,050

--117,680
129,273
264,972
914,734
345,979

U. S. Treasury certificates of indebtedn ess • .•. . .
U. S. Treas ury notes • •• • . . ••..••.•••• . .. . . . •

U. S. Governm.nt bonds {Inc. gtd. obligations)...

in most of the District states were slightly below those
at this time a year ago.

Ja n. 21,
1959

F.b. 18,
1959

Item

1958

Oth er securities . • . • . •••• •• •••• . ••... .... ••
Tota l investments . .....••.••••..•••.• • ••.
Cash items in process of coll ection . • •••• •. ••••

- 76,919
--

-- --1,772,638 1,786,736

8alances with banks in the Unit.d Stat.s • .• . •..

lIA81LITIES AND CAPITAL
Dema nd d eposits
Individuals, partn erships, an d corporations• . ••
Unit ed States Gove rnment . • • •. •••• •• . .. ..

Sta tes and political subdivisions •..•. ... .• . •
Banks in the United Sta tes . . .. . . . ... .. ..•••
Ba nks in foreign countries . .•.•••. ... . •.•.•
Certi fi ed and ofAcers' checks, etc .• •.. . . . .. •

Total d.ma nd deposits . . •. . • ... .• . •••••
Time deposits
Individua ls, partnerships, and corporations •• ••
Uni ted Sta tes Government . . • • . • . ••.••• . • .
Posta l savi ngs . •••.•. .. ..•.• ••• •.•• . ....
Stat es and political subdivisions • • . • .•.. .. . .
Banks in the U. S. a nd f oreig n co untries • •. ..•
Tota l time deposits .. • . .. ..... •. . . •••••

Tota l deposits .. . . ... ..... .•.•.•••••

-- --4,396,903 4,404,977
--- --1,087,271
7,130
42 1
186,932
6,87 1

1,074,863
7,130
42 1
179,024
6,870

847,739
12,, 125
42 1
202,637
6,438

4 1,700
90,517
521,805

46,500
94,539
514,833

5,0 15,965
11 ,891
100,845
478, 139

6,339,550

6,329,157

5,606,840

--1,288,625 1,268,30 8
--4,785,528 5,673,2 85

---

Bills payable, re discounts, etc .•• . • • . .. ..• ...•

All oth.r liabilities . . ••• . ....• ... •..••• • ••••
Total capital accounts . .. •.•••••• . •• .. ••.. . •

TOTAL LIABILITIES AN D CAPITAl. . • . . . . .

3,946,605

---

1,069,360

RESE RVE POSITIONS O F ME M BER BA NKS
Elevent h Fed eral Reserve Distric t
(Avera ges of daily figures. In tho usa nds of do llars)'

It. m

Ja nuary

December

January

1959

1958

1958

$ 567,572
559,600
7,972
28,765
-20,793

$ 569,078
56 1,149
7,929
8,387
-45 8

$ 565,692
553,549
12,143
10,487
1,656

465,734
4 16,695
49,039
2,020
47,0 19

456,265
408,674
47,591
3,180
44,4 11

468,679
419,081
49,598
2,097
47,501

1,033,306
976,295
57,0 11
30,785
26,22 6

1,025,343
969,82 3
55,520
11,567
4 3,953

1,034,371
972,630
61 ,74 1
12,584
49, 157

RESERVE CITY BANKS
Rese rve ba lances •••. ... .. .•.•.•••
Required reserves . • . .••... . .... ..
Excess reserves • •••.• . •••••• • .. . .
Borrowing s•. . .. •••. . .. . ....••••.
Free reserves • . ..••• • . . . . . . .. .. . .

COUNTRY BANKS
Res erve balances •• •• ....••..• . •.•
Re quire d reserves • . ........ .. ....
Exc ess reserves . •••...•.•..••.. ..
Borrowings. . .. ......... .. •...•••
Fre e reserves • .•.. • ••••••••••. ...

MEMBER BANKS
Reserve balances • • •• ... . ..• . •••..
Required reserves • •••. ... ..• • •••.
Exc ess rese rves . •. •. ........ ... • •
Borrowing s• .. .. . • . .•. . .•••... .. •
Free reserves . • •• . .•••... . .•••••.

B USIN ES S RE V IE W

I

ury bill holdings. The increase in bill holdings reflected
largely bank acquisitions of a special issue of 217-day
Tax Anticipation bills dated February 16. Weekly reporting member banks also expanded their holdings of
Government bonds and non-Government investments,
but net liquidation of Treasury notes and certificates of
indebtedness more than offset these gains.
Deposits rose modestly during the 4-week period,
reflecting primarily a $20 million increase in time
accounts. This increase in time balances reverses the
declining pattern of late 1958 and early 1959. In the
demand deposit categories, personal and business accounts decreased substantially, but advances in other
classes of deposits almost erased the decline.
The reserve positions of country banks in the District eased slightly in January. As these banks gained
reserve funds, they reduced their borrowings from the
Federal Reserve Bank and made a small addition to
their excess reserve balances. At reserve city banks,
however, reserve positions tightened appreciably during January.
CONDITION OF THE FEDERAL RESERVE BANK OF DALLAS
(In thousonds of dollars)

Fe b. 18,
1959

Item

Totol gold certiAcate re.erv...... . . . . . . • • . .• $ 783,026
Discounts for member bonks. . . . . . . . . . . . . . . .
11,041
Other discounts and advances ..............
952
U. S. Government securitie. ... . . . . . . . . • • . . . .
997,686
Total earning a ssets .... .. . . . .. . . . . . . .. . . . .
1,009,679
Member bank reserve deposits..... . . . .. . . . .
1,004,943
Federal Reserve notes in actual circulation.. . . .
777,270

Jan. 21,
1959

Feb. 19,
1958

$ 741,224
27,691
952
1,000,122
1,028,765
997,076
783,224

$79 8,685
1,350

o

915,313
916,663
975,283
717,508

Primarily as a result of reductions in discounts for
member banks, earning assets of the Federal Reserve
Bank of Dallas declined $19 million during the 4 weeks
ended February 18. Holdings of Government securities
also decreased, reflecting net System sales during the
period. The Bank's Federal Reserve notes in actual circulation showed a 4-week decline of $6 million, but the
amount in circulation on February 18 was 8 percent
above the year-earlier level.
NEW PAR BANK
The North State Bank of Amarillo, Amarillo, Texas,
a newly organized, insured, nonmember bank located
in the territory served by the Head Office of the Federal
Reserve Bank of Dallas, was added to the Par List on
its opening date, February 5, 1959. The officers are:
H. V. Tull, Jr., Board Chairman; Frank P. Sharman, President; J. F. Leake, Vice President and Cashier; and
Charles Hines, Assistant Cashier.

I BUSINESS
10

.EVIEW

The major developments in District petroleum operations in
January and early February centered about the continued large
demand for petroleum products,
a major refinery strike, and weakening crude oil prices.
District refineries operated at a higher rate in January
but slowed operations early in February, partially as a
result of a strike which idled a 275,000 barrel-per-day
refinery at Port Arthur. Product prices generally moved
upward in the first weeks of 1959, in spite of increased
refinery yields and record imports of refined products.
The crude price cuts were broadened and extended to
most west Texas crude oil output.
Cold weather and continued economic recovery accelerated demand for most major refined products in
January and early February. Distillate demand in the
5 weeks ended February 13 was an impressive 11 percent above the comparable period in 1958. Rising industrial activity was generally responsible for the increased demand for residual fuel oil, which reached 9
percent over a year ago. Gasoline demand declined seasonally but was also significantly above 1958. Prices of
refined products, with the exception of gasoline, advanced or were very firm in January and early February. Gasoline prices were weak, and in specific localities, price Will'S developed.
The high level of product demand was reflected in
heavy crude runs to refinery stills in January. District
crude runs during the month averaged 10 percent above
a year earlier. At 2,176,000 barrels per day, refinery
operations remained high in early February, although
they were somewhat below the January rate. Refinery
runs were cut back more sharply in the District than in
the Nation, partly because of the continued strike at
'Port Arthur. Rapidly increasing imports of refined
products also tended to depress domestic refinery output in February. Product imports in the 5 weeks ended
February 13 advanced 13 percent to a level 60 percent
above the similar period in 1958. In contrast, crude oil
imports were 13 percent lower.
Daily average crude oil production in the District
and the Nation in early February advanced only
slightly, although production in the Eleventh District,
averaging 3,251,000 barrels per day, was 4 percent
above a year ago. Continued high-level refinery runs
have lowered crude oil stocks in the District and the
Nation, with national stocks at 256,032,000 barrels on
February 14. However, this reduction has not prevented

some rather general cuts in crude prices in west Texas
and southeastern New Mexico.
Although industry nominations for March crude oil
production were lower than the February totals, Louisiana, New Mexico, and Texas allowables in March are
virtually unchanged. March ,allowable production in
Texas, at 3,138,565 barrels per day, is down 1 percent.
Major producers involved in refinery strikes accounted
for the decline in total industry estimates of demand.
The levels of both nominations and allowables reflect
the industry's feeling that there will not be drastic mandatory reductions in crude or refined imports in March.
Announcements made during the first 6 weeks of
1959 indicate that the natural gas industry is planning
Very heavy capital expenditures; 11,000 miles of new
transmission lines and 16,000 miles of feeder pipelines
and mains are scheduled for completion this year. Preliminary drilling indicates a possible new major field
bordering the Eleventh District along the Canadian and
Arkansas Rivers. However, the number of gas wells
discovered in the District during the first 6 weeks of
1959 was 41 percent below the same period last year.
Nonagricultural employment in
the District states during J anuary reflected an approximately
normal seasonal decline of 107,000 workers from December,
and the 4,217,700 total was 0.4 percent higher than
the depressed level of January 1958, representing the
first year-to-year gain in 11 months. Most of the seaSonal decline from December resulted from readjustments in trade and government employment following
the Christmas season.
Unemployment in Texas rose 29,300, or about seaSonally, from December to reach 191 ,3 00, which is 5.6
percent of the civilian labor force. Available data on
Unemployment covered by jobless insurance programs
Show that this type of unemployment in the District
states during mid-January ranged from slightly more
than 3 percent, of the covered labor force in New
MeXico and Texas to nearly 6 percent in Louisiana,
compared with a national rate of 6 percent.
Industrial production in Texas held steady in J anuary, with the seasonally adjusted index remaining at
167. Preventing a rise in the January index were the
Weakness in petroleum production and the worker layoffs at aircraft plants in the Dallas-Fort Worth area.

INDUSTRIAL PRODUCTION

= 100)

(Seasonally odiusted indexes, 1947·49
Jon.
1959p

Areo and type of index

Dec.
1958

1958

Jon .
1958
16 1r
194r
234r
176r
129r
133
135
142
127
12 1

Nov.

TEXAS
Tota l industrial production..... . . .. . . .
Total monuloctures. . ...... .. .. . . . ..

167
201

167
197r

Du rabl e manufactures........ . . .. . ..

230

228r

Nondurable manufactures... . ... .•...
Minerals. . . . . . . . . . . . . . . . . . . . . . . . . .
UNITED STATES
Tota l industrial production..... . . . . .• .
Tota l manufactures. . • • . . . . . . . . . . . . .
Dura bl e manufactures .. . . . . . .. . . . • . .
Nondu ra bl e manufactures. . • . . . . . . . . .
Minera ls.. . ... .. . . ... . . .. . .. . . . . .•

187
135

183r
138r

165
197r
232r
181r
134r

143
145
154
137
122

142
144
152
135r
123

141
143r
151 r
135
123

p -

Preliminary,

r - Rovlsed.
SOURCES: Boord of Governors of the Federal Reserve Syste m.
Federal Reserve Bonk of Dallas.

A work stoppage by about 4,500 workers which began
in late January at a large Port Arthur oil refinery was

a depressing influence on February production.
Construction contract awards in the District states
during December rose 4 percent over November, but
the total for the month was 11 percent below the level
of December 1957 - the first year-to-year reduction
since March 1958. Accounting for this weakness was
a 32-percent decline in nonresidential construction.
Residential awards were 30 percent above December
1957. For 1958 as a whole, total construction awards
reflected a gain of 15 percent.
Regarding the prospects for industrial construction
in the S?~thwest, a survey of manufacturers' plans by
the LOUlsla~a Departm~nt of Commerce and Industry
shows that lllvestment In new plants and additions to
plants in Louisiana during 1959 may total nearly $213
million, or 8 percent higher than in 1958.
NONAGRICULTURAL EMPLOYMENT

Five Southwestern States'
Perc ent change
Number of persons
January

Type of em ployment

195ge

Jan. 1959 from

December

January

Dec.

Jan.

1958

1958r

1958

1958

4,324,700
760,600
3,564,100
248,500
311,900

4,200, 100
769,800
3,430,300
264,300
285,400

-2.5
- 1.5
-2.7
-1.1
-2.3

0.4
-2.6
1.1
-7.0
6.7

396,500
1,102,200
186,200
504,000
814,800

406,100
1,030,200
181,700
493,000
769,600

-.3
-6.1
-.3
-1.0
-1.5

-2.7
.5
2. 1
1.2
4.3

Total nonagricultural

wage and salary workers . . 4,2 17,700

Ma nufacturing ••. .... .•..

749,500
Nonmanufacturing . •...... 3,468,200
Mining . . ............ .
245,800
Construction • .•••••• • ..
304,600
Tran sportation and public
utilities .• ...••. . ....
395,200
Trad e •...... . ........ 1,035,100
Finance •••. .........•.
185,600
Service ... .........•..
499,100
Government . ... . . ... . .
802,800

1 Arizona, Louisiana , New Mexico, Oklahoma, and Texas.
e - Estimated.

r -

Revised .

SOURCES , State omployment age ncie s.
Federal Reserve Bonk of Dallas.

BUSINESS REVIEW

11

BANK DEBITS, END-Of-MONTH DEPOSITS
AND ANNUAL RATE Of TURNOV,ER Of DEPOSITS

CONDITION STATISTICS Of ALL MEMBER BANKS

(Dollar amounts in thousands)

(In millions of dollars)

Eleventh federal Reserve Districl

Deb its to d em and

Dec. Jan.
1958 1958

1959

Area

Annual rate of turnov er

Janua ry 31,

Dec.

Jon.

Jan .

1959 1958 1958

1959

ARIZONA
Tucson •••• ...••••.•• $

231,912

2

21

$ 122,735

22.7

22.9

21.7

18.4
21.6

19.7
20.6

16.9
18.8
14.6

LOUISIANA
Monroe .... ... . .... .

Shreveport •...... . ..
NEW MEXICO
Roswell .............
TEXAS
Abilene .... . ........
Amarillo . .......... .

Austin ............. .
Be aumont ••.. .....••

Corpus Christi ..... ...
Corsicana .... .. .. .. .

Dallas •.............
EI Pa so ....... ......
Fort Worth ...... ....
Galveston ....... ....
Houston •••. •. ••.. • •

laredo .. ....... ....
Lubbock •.... • .•.. ..
Port Arthur • .........

San Ang .lo .........
San Antonio . ... ... ..

Texarkana ', .. ... .. .

Tyl.r ..... .... ......
Waco . •...... ...•..

Wichita Falls • .......

80,393
328,076

-4
4

7
8

52,596
178,953

38,584

- 6

11

31,660

14.5

15.7

97,857
-6
1
221,767
15
0
196,965
2
10
163,026
- 6
-4
205,576
4
6
4
19,983
-3
3
2,730,484
- 9
377,624
-1
13
823,505
-7
7
85,505 -15 -10
2,575,551
-8
1
26,995
-2
-7
243,654
6
15
68,463
4
-2
53,723
0
0
586,731
-7
7
21,877
1
6
93,304
- 1
-1
109,116
2
9
120,046
-2
9

64,428
122,708
147,866
106,266
115,051
20,625
1,140,732
181,321
376,547
66,233
1,249,988
21,796
128,998
46,105
45,255
387,242
17,379
62,003
71,039
110,084

18.1
21.5
16.1
18.1
20.9
11.0
27.1
25.3
25.8
15.8
24.0
14.6
22.3
17.5
14.4
17.9
15.2
17.5
17.9
12.5

19.7
21.7
16.7
18.6
19.4
10.2
30.0
26.5
27.6
18.8
25.9
15.6
22.2
16.8
14.8
19.2
15.4
17.8
17.6
12.7

19.2
21.0
16.8r
17.8
20.4
11.2
30.8
26.2
25 .9
16.0
25.3
15.5
22.1
17.8
15.5
18.8
15.1
18.1
17.9
12.2

$4,867,610

22.8

24.4

23.8

Total-24 cities . ..... . . $9,500,717

D.c. 3 1,
1958

Jan. 29,
1958

loons and discounts. . ........ .. .... .. . . .
United Stat es Governm ent obligations . ....•
Other securities . ... . ........... . ... ... .
Reserves with Federal Rese rve Bank .. .. ... .
Cash in vault e . . . ...... .. ...... . . .. ... .
Balance s with banks in th e Unite d States . . .•
Balances with banks in foreig n countri es e .. . .
Ca sh ite ms in process of coll ection . .... . .. .
Other assets e . .. ...... .... . ....... •. . ..

$ 4,532
2,759
816
985
144
1,029
2
492
289

$ 4,604
2,716
827
965
151
1,321
3
666
302

$ 4,090
2,359
675
984
148
1,031
2
434
275

TOT AL ASSETse ..... ........... .... .

11,048

11,555

9,998

Demand deposits of banks . ............. .
Other d emand de posits .... .... ..... . .. . .
Time deposits.. .. .. ............•.... , . .

1,120
6,780
2,108

1,428
7,044
2,088

1,070
6,286
1,693

Total deposits . . ....... . ........ .... .
Borrowings e . ..... . . ....•......... .....
Oth er liabillties e . .. ...... ........ ... .. .
Total capita l accounts e . ...... .. . .... ...•

10,008
53
114
873

10,560
1
125
869

9,049
15
121
813

TOTAL L1A81L1T1ES AND CAPIT ALe ..... .

11,048

11,555

~

Item

Percentage

chang e from
January

Jan. 28,
1959

Dem and d e posits l

de posit accounts l

- 6

4

ASSETS

L1A81L1TIEs AND CAPITAL

• -

Estimated.

BU ILDING PERM ITS

=VALUATION (Dollar amounts in thousands)
Percentage change

1 Depo sits of individuals, partnerships, and corporations and of stat es and political
subd ivision s .
!!

in

NUM8ER

These figures Include only one bonk in Texarkana, Texas. Total debi ts for all banks
Tex arkana, Tex as-Arkan sas, including one bank located in the Eighth DI st rict,

amounted to $46,773 ,000 for th e month of January 1959.
r-

January 1959 from

January

January

Decem b er

January

1959

1959

1958

1958

-20

-33

Area

Revised.

ARIZONA

320

$ 1,103

362

2,012

4

-32

Wichita Falls .....•....

293
331
268
271
84
1,773
507
588
87
1,470
319
112
1,229
199
159

2,425
5,507
4,269
1,288
1,863
12,094
4,412
3,067
237
18,910
3,537
474
4,788
1,536
1,218

-11
276
-20
-25
53
22
-32
-16
-54
0
22
-2 9
65
14
155

86
192
22
41
48
21
17
-42
50
27
77
-43
56
49
432

Totol-17 cities .... .• ....

8,372

$68,740

8

25

Tucson . •. . ... . ........

LOUISIANA
Shreyeport • •..........

NATURAL GAS: MARKETED PRODUCTION

TEXAS
(In millions of cubic f•• t)

Area
louisiana . .•.............•.•
New Mexico ••••.... .• ..•....

Oklahoma ................. .
Texas ............••....... .

Total ..... .......... .. .. ..

Third quarter
1958

Second quart er

1958

Third quart.r
1957

475,500
154,000
158,100
1,292,300

480,200
168,800
176,600
1,256, 200

424,000
178,600
143,500
1,26 8,300

2,079,900

2,014,400

2,081,800

SOURCE , United States 8ureau of Mines.

Abilene .••. . ... ......
Amari ll o . ... . . .. .... .
Austin ......... .. •.. .
Beaumont •. ..........

.
.
.
.

Corpus Christi .... . ... . .
Dallas ................
EI Pa so ....... .. .... ..
Fort Worth ............
Galyeston •...• .....•..
Houston . ... . . . . .. .. ..

Lubbock .. ............
Port Arthur . . ........ ..
San Antonio . . ... ......
Waco .• . .. . .... .. .. .•

CRUDE OIL: DAILY AVERAGE PRODUCTION
(In thousands of barrels)
Change from
January
Area

1959 1

ELEVENTH DiSTRiCT ...... . .

3,212.0
2,848.0
546.2
1,27 1.6
161.0
105.0
764.2
248.6
115.4
3,902 .1
7,114.1

Texas ..... . ........ .. . .

Gulf Coast ............
W est Texas ...... . ... .

East Texa s (p ro p.r)• ....
Panhandl .............
Rest of State ..........
Southeastern New Mexico ..
Northern louisiana ••. .....

OUTSIDE ELEVENTH DISTRICT.
UNITED STATES .... ........
SOURCES,

Dece mber

January

1958 1

Dec em b er

January

1958'

1958

1958

3,198.5
2,834.1
543.7
1,259.0
159.6
103.8
767.9
250.3
114.2
3,904.9
7,103.5

3,097.7
2,728.2
529.6
1,195.6
157.6
108.5
736.9
255.0
114.5
3,767.1
6,864.8

13.5
13.9
2.5
12.6
1.4
1.2
-3.7
-1.7
1.2
-2.8
10.6

114.3
119.8
16.6
76.0
3.4
-3.5
27.3
-6.4
.9
135.0
249.3

1 Estimated from Ame rican Pet rol.um
!l United States Bureau of Mines.

BUSINESS REVIEW

12

Institute weekly reports.

VALUE Of CONSTRUCTION CONTRACTS AWARDED
(In thousands of dollars)'

=

January-December __

Area and type

December

November

December

1958

1958

1957

FIVE SOUTHWESTERN
sTATEsI •......... $ 249,502 $ 240,992 $ 278,992
124,843
124,535
96,134
Residential. . .....•
116,457
124,659
182,858
All oth.r .... ... ...
UNITED STATES .. . ... 2,281,881 2,593,855 1,982,342
758,580
981,012 1,205,712
Residential .. ......
All oth.r .... . ..... 1,300,869 1,388,143 1,223,762
1 Arizona, louisiana, New Moxic~, Oklahoma, and Texas.

SOURCE ,

c.

W. Dodge Corporallon.

1958

1957

3,939,728 $ 3425,47 2
1,691,041
1:314,78~
2,110,68
2,248,687
35,089,703 32 173,4 12
14,695,531 13:039,OO~
20,394,172 19,134,40