View original document

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

m

*

v
RESEARCH LIBRA.- ■»¥
Federal Reserve dank
of St. Louis
il)6

*

11.5. finnRCIHL ORTH
Week ending: December 3,19(9

* 1998

The money stock has increased slightly,
at a 0.7 per cent annual rate since early June
and at a 1 per cent rate since early August.
Private demand deposits, the component of money
which is most responsive to current policy
actions, have declined at a 0.7 per cent annual
rate since early June and at a 0.3 per cent
^te in the last three months (page 4).
Currency,
component which is more responsive to private
decisions than to current public actions, has
continued to increase rapidly, at a 5.3 per
cent rate in the last three months. During
1968 both demand deposits and money rose about
7 per cent.
The monetary base has risen at a
0.5 per cent annual rate since early June,
following growth at a 6 per cent rate in the
first part of the year and 6.5 per cent in
1968.
In the last three months the base has
increased at a 3 per cent rate, more rapidly
than since June. Federal Reserve credit, the
policy-controlled source of the base, has risen
at a 5.5 per cent annual rate in the last three
^nths, faster than the 1 per cent rate in
ffie previous three months, but much slower
than the 10 per cent rise in 1968 (page 2).

money stock, partly because regulation changes
since mid-October and shifts in deposits
have raised the amount of required reserves.
In addition, time deposits (page 6) have
declined at only a 3 per cent annual rate
in the last three months, compared with
a 14 per cent rate of decline in the previous
three months. Consequently, fewer reserves
which could be used to support demand deposits
have been released from support of the financial
intermediary role of the commercial banks than
in the previous three months.
Most market interest rates have recently
been at new highs after showing relatively little
net change from July to October (pages 10 and
11). Yields on three-month Treasury bills averaged
7.55 per cent during the three days ending December
3, up from a 6.43 per cent average for June,
and 5.94 per cent last December. Rates on seasoned
Corporate Aaa bonds averaged 7.58 per cent during
the three days ending December 3, up from 6.98
per cent in June and 6.45 last December. Yields
on prime four- to six-month commercial paper,
not quite so high as peaks in July and October,
averaged 8.63 per cent in the first half of
this x^eek, up from 8.23 per cent in June and
6.17 per cent last December.

Recent increases in Federal Reserve
credit and in the monetary base have not caused
parallel increases in demand deposits and the


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Rates of change reported in this release are
intended to serve as summaries which may be
useful in analyzing recent developments.

Prepared by Federal Reserve Bank of St. Louis
Released: December 5,1969
j

MONETARY BASE XL
FEDERAL RESERVE CREDITJ2.
Averages of Daily Figures

Billions of Dollars

Billions of Dollars

Seasonally adjusted by this bank.

.Mone tary
Base

Annual rates of change, average of four weeks—— —

71, S3 O
76, 7aV
7 7, V3-3
77.9US

Monetary

~
r
"
~

■ - June 4, 1969
"Mar. 5, 1969

1957-1968

Monetary Base.

F.R.Credit

Federal Reserve Credit

1/

JO

Uses of the monetary base are member bank
reserves and currency held by the public

and nonmember banks,

adjusted for reserve

requirement changes and shifts in deposits.
For a description of the base See the August
1968 Review of this bank.

— 2/

•

Defined to include holdings of securities,
loans, float, and "other" assets, adjusted

___for reserve requirement changes and changes in
Latest data preliminary
Latest data plotted week ending:
10
24
July


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

7 21
Aug.

4

18
Sppt.

2

Dec.

— - requirements due to shifts in deposits among
3, 1969. “ classes of banks.

16
30 13
27 11
25
Oct.
Nov.
Dec.
1968

8

22
Jan.

5

19
Feb.

5

19
Mar.

2

16
30 14 28
Apr.
May

11
25
9
23
June
July
1969

6

20
Aug.

3
17
Sept.

1

15
29
Oct.

12 26
Nov.

Prepared by Federal Reserve Bank of St. Louis

10 24
Dec.

7 21
Jan.
1970

RESERVES
All Member Banks in the Nation
Averages of Daily Figures
Seasonally Ad usted -1

Billions of Dollars

Billions of Dollars

--- Annual rates of change, average of four weeks
“"ending Dec. 3, 1969 from four weeks ending:
Sept.

3.

1969

___ Dec. 4, 1968
June 11,

1969

1959-1968

TOTAL

Series adjusted by the Board of Governors
to reflect changes in reserve requirements.

£>cjt.

For comparability back data have been re­
vised due to the change in Regulation D effec­
tive July 31, 1969 requiring member banks to
include all "bills payable checks" and so-called
"London checks" as deposits subject to reserve

I

requirements.
Data exclude increase in required reserves of
about $400 million due to changes in Regulations

Current data including required reserves
due to changes in Regulations M and D effective

—Latest data preliminary
^Latest data plotted


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Dec.

3, 1969
16' 30

Sept.
1968

t

14 28

11 25

May

June

9

6
July

20
Aug.

3
17
Sept.

1

15

29

12 26

1969

Prepared by Federal Reserve Bank of St. Louis

10 24

7

21
Jan.
1970

DEMAND DEPOSIT COMPONENT OF MONEY STOCK
«vciuge5

Billions of Dollars

ot

4

uany ngures

Billions ot Dollars

Seasonally Ad usted
- Annual rates of change, average of four weeks
— ending Nov. 26, 1969 from four weeks ending:
Aug. 27, 1969
May 28, 1969

-O

. /

June 11, 1969
Dec.

25 - June 11

1957-1968
A? c£‘<^

Data include the annual revision of seasonal factors
and benchmark adjustments of nonmember bank deposits.
Current data appear in the Board*s H.6 release.

__ Latest data preliminary
Latest data plotted week ending:


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

30 13
.'’ept.

27 11

25

8

3r~ 0
22

19

5

19

2

16

30 14

28 11

25

9

23
July

6

20

2

1

15

29

12

Sept.

Prepared by Federal Reserve Bank of St. Louis

26 10

24
Dec.

7

21
Jan.
1970

MO
STOCK
Averages of Daily Figures
Seasonally Ad usted

Billions of Dollars

Billions of Dollars

215
214

Annual rates of change, average of four weeks
ending Nov. 26, 1969 from four weeks ending:
Aug. 27,

213

+ /. O

1969

212

211

/99.J

210
-June 11,

1969
209

Dec. 25 - June 11

208

1957-1968

-h3. O

207
/ <7

g.t
206
205
204
203

202

201
200
199
198
197
196
195
194
193
192
191
190
189
188

~

Data include the annual revision of seasonal factors
~ and benchmark adjustments of nonmember bank deposits.

187

_ Current data appear in the Board's H.6 release.

186

___ Latest data preliminary
2_ Latest data plotted week ending:

I

II I I I I I I I I I I I I I 1-1
10 24
July


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

7

21

4

18
Sept.

2

16

30

185

Nov. 26, 1969

13 27 11
Nov.

25

I

8

I

I I I
22
5

0
19
Feb.

5

19

2

16 30

14 28

11
25
June

9

23

6

20

3

17
Sept.

1

15 29

12 26

1968

Prepared by Federal Reserve Bank of St. Louis

10

24

Dec.

7

21

6

TIME DEPOSITS
All Commercial Banks
Averages of Daily Figures
Seasona lly Ad us ted

Billions of Dollars

Billions of

Annual rates of change, average of four weeks
ending Nov. 26, 1969 from four weeks ending:

. / 9 V. V

-

V

j

Feb. 26, 1969

1957-1968

>2*»-

S
7

P

Data include the annual revision of seasonal factors
— and benchmark adjustments of nonmember bank deposits.
— Current data appear in the Board's H.6 release.

Latest data preliminary

2_Latest

data plotted week ending:
INI

10

24

7

21


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

4

18

2

16

30 13

27 11

25
Dec.

8

22
Jan.

5

19

5

19
Mar.

2

16 30

14

28 11
25
June

9

23

6

20

3

17

1

15

29

12 26

Prepared by Federal Reserve Bank of St. Louis

10 24

7

21
Jan.

Dollars

i 111

s

MONEY STOCK^PUS TIME DEPOSITS
Averages of Daily Figures
Seasonally Adjusted

of Dollars

1
Billions of ]
432

432
430

Annual rates of change, average of four weeks
ending Nov. 26, 1969 from four weeks ending:

430
428

428
42 ft

426
May 28, 1969
424

424

- O-io
422

422
.4'June 11, 1969

420

420
1957-1968
418

418

416

416

414

414

412

412

410

410

408

408

406

406

404

404

402

402

400

400

398

398

396

396

394

394

392

392

390

390

388

388

386

386

384

384

382

382
380

380
378

Data include the annual revision of seasonal factors
and benchmark adjustments of nonmember bank deposits

376

I

i

i

i

i

I

i

378
376

trt mu

374

374
372

Latest Data Preliminary
Latest Data Plotted Week Ending:

372
'

(f
10 24'


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

7

21

4

18

2

16

30 13

27 11

25
Dec.

Sept.

1968

8

22
Jan.

5

19
Feb.

5

19
Mar.

2

16
30 14
28
Apr.
May

11 25
June

9 23
July
1969

6

20

3

17

1

15

29 12

Prepared by Federal Reserve Bank of St. Louis

26

10 24

7

21

0

CERTIFICATES OF DEPOSIT
Large Commercial Banks
Wednesday Figures

of Dollars

\]_
Billions of-

-—Annual rates of change, data not seasonally
adjusted, average of four weeks ending
““ Nov. 26, 1969 from four weeks ending:

28

Aug. 27, 1969
May 28, 1969

26

l-Nov.

27,

Millions of Dollars

S. £>
A3

V*?
/(?., / V 9

~ L1 Z

1968
-

S! 9

1964-1968
24

22

20

18

16

14

12
/ /.'

2.?

10

8

.Current and year ago data appear in the
.'Board's H.4.2. release.
- 1/ Negotiable time certificates of deposit
-in denominations of $100,000 or more.

6

_Latest data preliminary
Nov.

_Latest data plotted:

0

i i i
10 24

t

i i r i i
7
21
4

July


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Aug.

i

i i i
18
2

Sept.

16
Oct.

1968

26,

30

1969
5

19
Feb.

5

19
Mar.

2

16
30 14
28
Apr.
May

11 25
June

9 23
July

20
Aug.

3

17

1

15

29 12

Sept.

1969

Prepared by Federal Reserve Bank of St. Louis

26

10 24

7
Jan.

1970

BUSIN AlOANS
Large Com^^rcial Banks
Wednesday Figures

Billions of Dollars

Billions of Dollars

Seasonally adjusted by this bank.
84

84

Annual rates of change, average of
four weeks ending Nov. 26, 1969
from four weeks ending:
82

82

Aug. 1.1, 1969
May 28, 1969
Feb. 26, 1969
Nov. 27, 1968
80

80
1960-1968

i

7-

U>
7 S’. S/

78

78

16
76

74
74

72
MILLIONS OF DOLLARS
SEASONALLY
ADJUSTED
7 7, j~<fV
7 7, o2 9 S
7 7, / 9 9
77,J1<*

72

UNADJUSTED

70

7 7, 21J-7
74, W/
74,6,yy
7 7, fl/o/

68

77

9/7

7 7, OtaS
7/,V/-7

77. J9Z
7 7, 6.V?

7 90
7 7,9 73
7 7, ? 77
7

77,

7/,

7 y, 9/ 7

68

7f, V5Vi>
7 r, jiry
7? 743

7r,°2?&

77>V?
7^, // 7

7S\ay4>
7? o5>4-

64

70

77, 976

7?,

66

7?,707
7T,
7?,.34-6

is.sH f>

62

64

62
Current and year ago unadjusted data appear in
the Board's H.4.Z release.

_| Latest data preliminary
-f ~i Latest data plotted:
iti1 v
vr 416", ■ ■)


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

Sept.

Nov.

Seasonal adjustment

computed by this bank using 1963 through 1968 data.

'ii

0
Mar.

June

July
1969

Prepared by Federal Reserve Bank of St. Louis

Per
9.50

3-Month

M!fsury

3-5 Year

oS
&.9S

1969

7.0 7
7.0/
7-/V

CX^t n /
J ?
9.00

7.

c. 1?

/s

7.G3

C../S
O’. S3
6. 3/

7.7V

6.

7.13
7. 7V

6,. S6
u. jV
6,. 7 6
6.C 7
U-3 3.

7./1
7. AS
7-37
7.39
1. 3/
7. AS

to

7

3'

1.00
7.0 7
7. /I

7

O!

7.<aV

Ol
os

7.9?
*

9.00

7 ■ oS
7. /St

1. oa
6,7 y

s

o/

7.30

/7

/ienj

7- oo
6.94,

4.

7.97

3
/O

8.00

9.50

7.OS

O..00

7.

Szs

6. OS

S. I#

7/0
7 ./A

/9

7.SS

u.9S
6. 9«?

Ce .07

7.36
7.7 A
7. 30"
7-V7
7- JV

6?
7. too
7 6/

'
.

>

7./6

V/

6-33
6.V4
4.6/

7.

Per Cent

Corporate
Aaa

7, £?£?

/A
8.50

Long Term

7 ./> 3
7,/V

0 . so.
7 C(,

si
3

7.50

10

YIELDS ON SELECTED SECURITIES

Cent

8.50

8.00
- Prime Commercial

7-36

Loan Rate

7.31
7.

6 . do £>'
6-6 7

s

Aaa Bonds
s[*
*4

1. SO
7. SS

/

O V
/.SS

7.50

fj

p,
*

7.00
/

*♦

•\

**
r

Is:

♦* *

/
•
*'

7.00

*

hr
T hi*e

1reasury
e - JVC ont
Bill Market Yield
A-

,

7
r

1

At yfc >
F

/5

L

m\

♦

*

L 07
6.50

7

y

rf]

k

6.00

'*

T4

l.

•**

*•

f

S ftt
6.00

>
L-lO njjr_

T

nrn<
5.50

5.00

4.50

4.00

4.00

3.50

12
26
July

9

23
Aug.

6

20
4
18 1
Sept.
Oct.
1968

 *AVERAGES OF RATES AVAILABLE
http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

15
Nov.

29 13

27

Dec.

10

24

Jan.

he week ending: Dec
i i
i i r i i i -1 - i
7
21
7
21 4
18
2
Feb.
Mar.
Apr.

5.

1969

» ■ 1 ■
16
30 13
May

'0
27 11 25

June

July

8

22
Aug.

5
19
Sept.

3

17
Oct.

31 14

28 12

Nov.

1969

Prepared by Federal Reserve Bank of St. Louis

26

Dec.

9

23
Jan.
1970

SELECTED SHORT-TERM INTEREST RATES
Averages of Daily Rates Ended Friday ,

Per Cent

11.00

11.00
Prime
Commercial
Paper
1969

Month

Prime
Bankers'

90 Day

Acceptances

10.50

2.1 8

2. os
£. / 0
X.oo
t Co

10.00

10.00

8- to
?■/ 3

Federal Funds Rate

JS
7. AT

S'.Js'
r.M'

9.50

S’-Ai"

S'- 'S'
g. GO

?.oo

9.00

?.

(,3

?■ oo
F.jo
S’. S~o

g.i*3

8.50

g-SS

8.50

8.00

8.00
____Commercial Papet
. .1. 4-to-6 Month
Bankers'

----- Acceptances

7.50

6.50

6.00
Discount Rate

;Latest data plotted are averages of rates available for the week ending:
l .1
f I I I I I I I I 1 l 1
« I I I I » 1 1 -1-t1
15
29 13
27 10
24
7 21 7 21 4 18
9
23
6 20 4 18

■L l.„ 1
12
26
July

Aug.

Sept.
Oct.
1968

Mar.

* AVERAGES OP RATES AVAILABLE; FEDERAL FUNDS LAST FIVE DAYS AVAILABLE
‘

 SOURCE: SJSOMON BROTHERS AND HUTZLER
**
http://fraser.stlouisfed.org
SECONDARY MARKET RATE ON 90-DAY PRIME CD'S
Federal Reserve Bank of St. Louis

I__1__t—L
2
16

30 13
27
June

11 25

8 22
Aug.

19

3

17 31

14

Sept.

1969

Prepared by Federal Reserve Bank of St. Louis

28 12

26

9

23
J an.

BORROWINGS AND EXCESS RESERVES
Millions of Dollars

Average; o
1969

EXCESS
RESERVES

BORROWINGS

Millions of Dollars

ly Figures

FREE"
RESERVES

-f3t
v31 1

2,600

- S8(*>
- 9oA

2,400

- /i i <- //TV

/183
JBorrowings.

1,800
1,600

1,200
1,000

Excess Reserves

-

-

1,000

1,200

-1,400
Net Free Reserves
-1,600
-1,800
-

-

2,000

2,200

-2,600
_Latest data preliminary
-Latest data plotted week ending:

| Dec.

-2,800

3, 1969

-3,000
4 18
Sept.


http://fraser.stlouisfed.org
Federal Reserve Bank of St. Louis

16
.

30 13 27
Nov.

1968

11

25
Dec.

8 22
Jan.

5
19
Feb.

5
19
Mar.

2

16 30
Apr.

14
28 11 25
May
June

23

6

20
Aug.

3
17
Sept.

1

15
29
Oct.

12 26

10 24

7

21
J an.

1969

Prepared by Federal Reserve Bank of St. Louis

4

18

4

18

Mar.


Federal Reserve Bank of St. Louis, One Federal Reserve Bank Plaza, St. Louis, MO 63102