View original document

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

^/yvyl /VC//

'-7
,V’\

L

OJX TAKm

>x

Week ending: December 6, 1972

library

JUN 0 5 1979

The nation's money stock has expanded at about a 7
percent annual rate in the past six months, the past nine
months, and the past year. These rates are above the trend
growth rate of 5.9 percent from late 1966 to late 1971.
The monetary base, a primary determinant of the
trend growth of the money stock, has increased at a 6.3 per­
cent rate in the past six months, and at a somewhat more
rapid rate of 7.A percent in the past three months. Since a
voir ago the base has risen at a 7.9 percent rate, compared
growth rate of 5.8 percent from late 1966 to late

Short-term market interest rates are substantially
above their levels of early this year, but are still below
their levels of mid-1971. Yields on three-month Treasury
bills averaged 4.97 percent in the first half of this week, up
from 3.20 percent last February, but below the 5.40 percent of
July 1971. Prime four- to six-month commercial paper rates
averaged 5.38 percent in the first part of this week, compared
with a 3.93 percent last February and 5.75 percent in July 1971.
Long-term interest rates have generally declined
since April, after increasing somewhat in the previous three
months. On balance, long-term rates are slightly below their
lows of last January. Seasoned Aaa corporate bond rates
averaged 7.05 percent early this week, down from 7.30 percent
last April and 7.19 percent last January. The Bond Buyer's
average index of 20 municipal bonds was 4.99 percent on
November 30, compared with 5.43 percent in April and 5.12 per­
cent in January.
The diverse movement of long- and short-term interest
rates over most of 1972 has resulted in a significant narrowing
of the gap between these rates. Currently, the Aaa corporate
bond rate is about 2 percentage points above the three-month
Treasury bill rate, compared with 4 percentage points last
February. Normally, short-term rates rise relative to long­
term rates during periods of pronounced economic expansion, and
fall relative to long-term rates during periods of recession
(see page 9).


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

Prepared by Federal Reserve Bank of St. Louis
Released: December 8, 1972

2-

MONETARY BASE 1/
MULTIPLIER 2/
AVERAGES OF DAILY FIGURES
SEASONALLY AOJUSTED BY THIS BANK

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

COMPOUNDED ANNUAL RATES
OF CHANGE, AVERAGE OF
THE FOUR WEEKS ENDING
DECEMBER 6, 1972 FROM _
THE FOUR WEEKS ENDING.

_

OCT.
SEP.
AUG.
JUL.
......
MAY

4.
6,
9,
5,
“

1972
1972
1972
1972

11.7
7.4
7.3
8.3"
6.3

MONETARY BASE

6.8
7.9

1911

MILLIONS

LATEST DATA PLOTTED WEEK ENDING. DECEMBER 6, 1972
RATIO

RATIO

MULT PLIER

OCT.

6 10

5 17

1

15

12 It

JAN

0 IS

0 21

S 10

3 17 31

FEB

14 20 12 20

JUN

0 23

0 20

25

4 IB

1

15 20 13 27

JUL

LATEST DATA PLOTTED WEEK ENDING. NOVEMBER 29, 1972
1/ USES OF MONETARY
g** reserves anj currency held by the public aw> nom*mber
BANKS, BASE SK THE AUOSTIN POSITS, FOR A DESCRIPTION
“ -----OF THE
“ OF THIS BANK.
2/ RATIO OF MONEY STOCK (Ml) / MONETARY BASE.


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

Kt FKVbS AVAILABLE Tr SUPPORT
PR I VAIL NONBANK DErOSITSi/
ALL MEMBER BANKS
FEDERAL RESERVE CRED I T */
averages of

32.0

E
-

31.5

i

daily figures

SEASONALLY ADJUSTED

BILLIONS OR DOLLARS

I

1

BILLIONS OF DOLLARS

T

—i------------ ----------

THIS SERIES HAS NOT BEEN
ADJUSTED FOR THE. CHANGE
iN REGULATION D, THUS
DATA ARE NOT COMPARABLE.

1972
NOV.

BILLIONS
]

32.0

31.5

—

35.05
30.5

29.0

29.0

28.5

LLL IJ-1.JLL.UJJ- LLi

86

T

T

L_
I

86

—

COMPOUNDED ANNUAL AMt-S
OF CHANGE, AVERAGE OF
Tb~ FOUR &EEKS cWiii'
84 l—DECEMBER 6. 1972 ROM
;
THE FOUR WEEKS ENDING,
r
HZ

OCT.
SE-\
AUfi.
HI))
JUN."
MAT
DEC.

4,
6,
9,
5,
7
3,
»,

1972
X 97 2
1972
1972
1 972
197?
icn

84

! 5.3
fi, *
4 r>
4\9
■i. 'J
1. *i
7 j?

82
r1

OFFAL RESI ;RVE C RED IT

-

l£

A-

80

V

/

78

i

Lan MILL 101
NOV ■ .i 81,67i3
Ipsii

76
81,955
§1.926
DEC
.
8l|795
i l1_L Li_L 1 1 i _LLL J-l 1 1 -UjJ-III 1 1 1 1 1 1 1 1 |iS

i2
29

6

JL1JLLLLLLUJ.;
15 20

0 23

APR
LATEST

DATA PLOTTED WEEK ENDING-,

1/ CURRENT DATA APPE/V-

:u

Of

-

2/ DEF IFCD TO INCLUDE HOiX INGA •» '
RESERVE REQUIREMENT l’ianv;- ?.>.*,

MAY

JUN JUL
1972

AUC

« 20

4 IS

1

SEP

OCT

NOV

15 20 13 27

DEC

■OF.R 6. 1972

0-'- -XIVERNORS* H.9 RELEASE.

-.s '; f.S, REQUIREMENTS AN? TO OTHER*4 ASSETS, ADJUSTED FOR
IN LOANS, FLOAT DUE 1 1 SHIFTS IN DEP&SITS AMONG

CLASSES OF BANKS,


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

PREPARED BY FEDERAL RESERVE BANK OF 3T. LOUIS

DEMAND DEPOSli

COMPONENT OF MONEY STOCK

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
185

BILLIONS
186.3

188,0

187.9

190

185

180

175

6 20
OCT

3 \r

1

15 20 1* 2B

NOV
1971

JAN

0 23

B 22

5 10

3 IT 31

FEB

M 2B 12

0 23

6 20

<4 IB

1

15 29 13 2T

JUN
JUL
1972

LATEST DATA PLOTTED WEEK EM) INC, NOVEMBER 29, 1972
CURRENT DATA APPEAR IN THE BOARD OF 6OVERN0RS’ H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
12/1/71

3/29/72

4/28/72

5/31/72

8/28/72

7/26/72

8/30/72

9/27/72

8. 1
6.8
8.7
8.2
7.9
7.6
6.9
6.8

4.9
5.2
8.6
7.9
7.4
6.3
6.3

3.6
8.4
7.7
7.1
5.9
5.9

12.8
10.1
8.7
6.9
6.7

12.0
9.6
7.1
6.9

5.1
3.7
4.1

2.5
3,5

3.1

TO THE AVERAGE
OF FOUR WEEKS
FNDING-.
4/26/72
5/31/72
6/28/72
7/26/72
S/30/72
9/27/72
11/ 1/72
11/29/72


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MONEY STOCK

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
250 ----------,----------.-------

OCT.

BILLIONS OF DOLLARS
----- ----------------------- 250

25

5.97 TREND LINE FROM
DECEMBER ‘66 TO DECEMBER '71

OCT
.

NOV
1871

DEC

JAN

FEB

MAR

APR

MAY

« 20

JUN

4 It

SEP

JUL

OCT

t

IS 29 IS 17

LATEST DATA PLOTTED WEEK END INC: NOVEMBER 28, 1972
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
12/1/71

3/28/72

4/20/72

8.4
7.4
7.2
8,3
r.9
7.7
7.1
7.1

5.8
5.8
8.2
7.6
7.2
6.5
6.5

4.5
8. 1
7.3
7.0
6,2
6.2

5/31/72

B/28/72

7/26/72

8/30/72

8/27/72

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
4/26/72
5/31/72
6/28/72
7/26/72
8/30/72
9/27/72
11/ 1/72
11/29/72


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

11.0
8.8
8.0
6.7
6.7

10.2
8.7
7.0
6.9

5.4
4.4
4.9

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

TIME DEPOSITS
ALL

COMMERCIAL BANKS

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

TOTAL TIME DEPOSITS

NET TIME DEPOSITS*

a to
OCT

3 IT
NOV

) 13 to 12 *8

0 «

I K

3 10

3 17 31 H it 12 t«
JON
JUL

0 »5

C 20

4 It

1 IS 20 IS if

LATEST DATA PLOTTED MEEK END INC. NOVEMBER 20. 1072
CURRENT DATA APPEAR IN THE BOARD OF COVERNORS' H.8 RELEASE.
* NET TIME DEPOSITS AME DEFINED AS. SAVINSS DEPOSITS. Til*. DEPOSITS OPEN ACCOUNT PLUS TIME
CERTIFICATES OF DEPOSIT OTHeJTtHAN FtGOT 1 AfiLE TIME CERTIFICATES OF DEPOSIT ISSUED IN
DENOMINATIONS OF 0100,000 OR MORE BY LARME WEEKLY REPORTING COMMERCIAL BANKS.

NET TIME DEPOS1TS
COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDINGt
12/1/71

S/29/72

A/2B/72

5/51/72

6/28/72

7/26/72

8/30/72

9/27/72

16.0
1-5.6
1-5.5
M.8
10.1
15.8
13.713.3

11.3
12.4
11.7
11.3
11.3
11.4
11.2

14.3
12.8
12.0
P.8
P.D
11.6

12.2
11.3
11.2
11.5
11.1

9.7
10.1
10.7
10.5

10.4
11.0
10,6

11.7
11.0

10.9

TO THE AVERAGE
OF FOUR WEEKS
ENDING.
A/26/72
5/31/72
6/28/72
7/2B/72
8/30/72
0/27/72
11/ 1/72
11/20/72


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MONEY STOCK PLUS TIME DEPOSITS
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
570 p=----------------- --------

BILLIONS OF DOLLARS
----- ---------------------=3 570

MONEY STOCK PLUS TOTAL TIME DEPOSITS

MONEY STOCK PLUS NET TIME DEPOSITS Ml

e zo
OCT

5 IT

1

IS 20 12 28

0 23

• 22

5 10

3 IT 31

NOV

14 20 12 28

JUN

O 23

8 20

4 IS

SEP

JUL

OCT

1

IS 20 13 2T

LATEST DATA PLOTTED WEEK END INO, NOVEMBER 29, 1072
CURRENT DATA APPEAR IN THE BOARD OF 60VEAN0RS1 H.6 RELEASE.
MS M* IS DEFINED AS, CURRENCY, DEMAND DEPOSITS PLUS NET TIME DEPOSITS (SEE PACE 8).

MONEY STOCK PLUS NET TIME DEPOSITS (M2)
COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
12/1/71

3/29/72

4/26/72

5/31/72

6/28/72

7/26/72

8/30/72

9/27/72

12.2
11.5
11.4
11.5
11.0
10.8
10.4
10.2

8.6
9. 1
10.0
9.5
9.3
9.0
8.9

9.4
10.5
9.7
9.4
9. 1
8.9

11.6
10.1
9.7
9.2
9.0

9.9
9.5
8.9
8.7

8.0
7.8
7.8

7,9
7.9

7.7

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
4/26/72
5/31/72
6/28/72
7/26/72
8/30/72
9/27/72
11/ 1/72
11/29/72


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

CERT I, * CATES OF DEPOSIT
LARGE COMMERCIAL

BANKS

WEDNESDAY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
44

BILLIONS OF DOLLARS
44

-

-

42

42
-

-

40
-

-

3V

sa
-

-

-

-

34

34
-

32

32

,slll
OCT

111

1111

111

111 Jl.ll. 111 J..1J..1 11.1

NOV
1971

DEC

JAN

FEB

MAR

AFR

MAY

111 1J11

JUN JUL
1972

ADC

111
SEP

11.11,
OCT

NOV

1 111
DEC

LATEST DATA PLOTTED WEEK EMJING. NOVEIMER 29. 1972
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.S RELEASE.
ttvtfwwmsr&ar*'1 imu£d IN DENOMINATIONS OF 9100,000 OR MORE BY LARGE


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

MONEY AND TIME DEPOSIT DATA
ir&ajf3

1972
OCT.

M2 Mi

4
11
18

NOV.

25
1
8
15
22

DEC.

BILLIONS
S|posi^«

29
8
13
20
27

40.4
40* 5
41.0
41.0
40.6
41.1
40.8
41.6
41.8

262.2
262.1
262.7
263.0
263.4
263.3
264.3
265.1
265.5

504.0
504.8
504.0
505.4
505.4
506.0
508.6
509.4
508.3

m SEE FOOTNOTE PAGE 6.
NSC SEE FOOTNOTE PAGE 7.
PREPARED BY FEDERAL RESERVE BANK OF ST

LOUIS

Interest Rates
Percent

Percent

Monthly Averages of Daily Figures

Corporate Aaa Bonds

li

I \

V

___! '
.

3-Month Treasury Bil

j------L;;:

1
1951 1952 1953 1954 1955 1956 1957 1958 1959 1960 1961

1962 1963 1964 1965 1966 1967 1968 1969 1970

1971

1972 1973 1974 1975

Shaded areas represent periods of business recessions as defined by the National Bureau of Economic Research.
Latest data plotted: November


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

Prepared by Federol Reserve Bonk of St Louis

(O

YIELDS ON SELECTED SECURITIES
AVERAGES OF DAILY RATES ENDED FRIDAY

PERCENT

PERCENT

---- 8.0

8.0 ---

—
7.5

...

CORPORy\TE A*A BOM>s

7.5

_
-

—

TTTT

6.5

7.0

TTTT

7.0

6.5

***
6.0

✓A

-

'-•i—

»V r* s

V

/

5.0

>

I

—

j

-

-

4.5

D1 SCtHINT tATI
-

4.0

-

iURY

J'JCPi mi

3.5

11

VV

3.0

11.

-

5.5

3.0

■'

2.5

5.0

_

V

4.0

5.5

-

a

I
r

4.5

-

}----- x "-'N

ssusist

—

5.5

6.0

nusrtkw**1'1 KL
I_

-

-

-

2.5

;s
-LLLL ll-L. -LLLL -LLL _LLL 1111 -LLL i a 1 LLL 1 1 1
OCT

NOV
1871

DEC

JAN

FEB

MAR

APR

MAY

JUN
JUL
1972

1 1 1
AUG

1 1.11. 1 1 1
SEP

OCT

1 11 jj.nl
NOV

DEC

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE *EEK EWING. DECEMBER *, 1872

1972
OCT.

6
13
20
27
NOV.
3
10
17
24
DEC.
1
8 K
15
22
29

BOND^BUYER1

CORPORATE
Aaa BONDS
7.23
7.22
7.21
7.19
7.18
7,16
7.12
7.09
7.07
7.05

BILLS

SECURITIES

LONG-TERM
GOVERNMENT
SECURITIES

MUNICIPAL
BONDS XX

4.66
4.79
4.78
4.73
4.74
4.71
4.76
4.82
4.88
4.97

6.11
6.10
6,11
6.10
6. 10
6.05
6.00
6.02
6.04
6.05

5.73
5.71
5.70
5.65
5.59
5.51
5.47
5.48
5,53
5.57

5.22
5.16
5.23
5.13
5.04
5.10
5.01
4.96
4.99
N.A.

T1333&

AVERAGE1 'iNDEX'OP 20 MUNICIPAL BOWS, THURSDAY DATA.

N.A. - NOT AVAILABLE


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

SELECTED SHORT-TERM

AVERAGES OF DAILY RATES ENDED FRIDAY

PERCENT

PERCENT

----- 8.0
1
.1

—

11

8.0

INTEREST RATES

7.5

7.5

-

-

JTTT

7.0

6.5

6.5

-

=

6.0

6.0

5.5

5.5

/

~ \r

-

111

CIAL 1 •APER
MQNTI4

5.0

4.5

1

111..

r-\_y

-LULL

11.11-

lllll.

4.0

5.0

1

4.5

7.0

5.5

4.0

3.5

>1
^
FEDEAALfyy>S RAT E

3.0

3.0

2.5

0

f s 111.1
1

11.1

15 IS II 28

OCT

NOV

I 11 1

111 JL.J.-L -LJ.il.

L

10 14 7 11

4 10

S 17 SI

D€C

FEB

MAR

JAN

2.5

LI 1

1111 ■111 . .1 1.1

M 20 12 26 0 25

APR

MAY

JUN

1971

1 1.1.1 J_LL 1.-LL. 1111

7 l|

4 10

I

JUL

AUG

SEP

II S 13 27 10 24

OCT

NOV

0 22

DEC

1972

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK ENDING; DECEMBER 8, 1072


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

PRIME
COtfCRCIAL
1072

OCT.

NOV.

6
13
20
27

3
10
17
24

oec.

i

8 K
15
22
29

5.28
5.31
5.33
5.31
5.25
5.25
5.25
5.25
5.25
5.38

FEDERAL
FUN? 8

PRIME
BANKERS'
ACCEPTANCES

90 DAY
CD'S ME

5.36
4.96
4.88
5.19
5.09
5.41
4.63
5.09
5.09
5.14

4.95
5.00
5. 10
5. 13
5.10
5.00
5.00
5.00
5.00
5.09

5.20
5.23
5.29
5.26
5.21
5.19
5.21
5.25
5.22
5.22

K AVERAGES OF RATES AVAILABLE. FEDERAL FUNIS LAST FIVE DAYS AVAILABLE
*K DATA ARE SECONDARY MARKET RATES. WEEKLY AVERAGES EM? ING WEDNESDAY TWO
DAYS EARLIER. CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.G RELEASE.
PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

0

BORROWINGS AND EXCESS RESERVES
ALL MEMBER BANKS IN THE NATION
BILLIONS OF DOLLARS

AVERAGES OF DAILY FIGURES

billions of dollars

1.2

1.2

0.8

\b
-A
iv\

0.4

4

A___

M £4
/

\ A<

y

\,

v V ___ 1
v

-0.4

BORRC

k

WINGS /

V

V7

\l
1

V

V

'"V

\

NET F REE REi >ERVES

0.8

-

It 1. _LLL -1.1.11 -LL.il _LLL 1 1 II

111

1111

1 1 1

1 1 1

*>
0.4

i
i\
1 l*
k
i i
M----\ vi
V
\i
H------

\ r\
Vj

-

JK

0.8

IIII

1 1 1

1 1 1

—
-0.4

-0.8

11 r

II 1 1

1.2

■

1.2

1.2

—

0.8

i
1

L_
k
____

ijr

0.4

^EXCE5

HV

vv

r/V kV
\J-a]
A

,

ERVES

r

0.4

.

-

T~

1.11 -LLL JJJ_L -LLL -LLL iiii i ii IIII
1 iJ 1 1 1 IIII 111
• 20 S 17 1 IS » 1* » • » * U S 19 S 17 SI 14 21 12 IS 9 tS « 20
OCT NOV DEC JAN FEB MAR
APR MAY
JUN JUL AUC SEP
1971
1972
LATEST DATA PLOTTED WEEK ENDIN6< DECEMBER B. 1972


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

m i

1

0.8

111

4 IS

OCT

II 1 1 11 r
1 18 21i is rr
NOV DEC

MILLIONS
1972
OCT.

4
11
18
25
NOV.
1
8
15
22
29
DEC.
6
13
20
27

EXCESS
RESERVES
230
358
121
150
205
124
579
142
354
278

SORROWINGS
436
535
434
765
555
959
494
421
572
587

FREE
RESERVES
-

206
177
313
615
350
835
85
279
218
309

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

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