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'

•

RESEARCH LIBRARY
Federal Reserve R-.jiJ
of St. Louis

j®& 2 7 1998

s Finnnmni nnm

_

Week ending July 17,1968

MONEY STOCK (Page 5)

BANK CREDIT (Continued)

The nation's money stock consisting of private
demand deposits plus currency in the hands of the public
has increased $600 million in the four weeks ending July
10.
This increase contributed to the already rapidly
growing money supply.
Since early April, money has grown
at an annual rate of 9.6 per cent, which is significantly
faster than the 6.8 per cent growth of money in the preceding
year.
By comparison, the money supply rose at an average
annual rate of 2.6 per cent from 1957 to 1967.

is somewhat lower than the 7.5 per cent increase in
bank credit over the preceding year, and the average
annual growth rate of 8.0 per cent during the 1960-1967
period.

Some analysts have discounted the rapid rise in
money as being simply a reflection of a drawing down of
Treasury balances.
From month to month, part of the rise
can be often accounted for this way, but at other times
the movements reverse, and over longer periods money and
money plus Treasury deposits have grown at similar rates.
Over the past year, for example, money has risen 6.3 per
cent and money plus Government deposits 6.9 per cent, and
the increase in money has generally been steadier. Also,
such transfers should not be considered insignificant, for
when money is transferred from public to private demand
deposits spending may be stimulated.
BANK CREDIT (Page 4)
Despite increased difficulty in attracting time
deposits because of Regulation Q, total bank credit at
large commercial banks has advanced at a 6.7 per cent
annual rate in the last three months. This rate of growth


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

BUSINESS LOANS (Page 9)
Although the growth of bank credit at large
commercial banks has not altered much over the last year,
business loans have become an increasingly important
component of this growth. Since early April, business
loans have grown at a 12.6 per cent rate compared with
an 8.5 per cent rate in the previous year, and an average
annual rate of 9.6 per cent from 1960 to 1967. Histori­
cally, it is characteristic for business loans to grow
at a faster rate than bank credit during the expansive
phase of an economic cycle.
FEDERAL RECEIPTS AND EXPENDITURES
Recently the U.S. Government enacted a 10 per
cent surtax and agreed to a $6 billion reduction in
planned expenditures. According to the Daily Treasury
Statement, spending by the Federal Government amounted
to $8.8 billion in the first 10 days of July, up $2.9
billion from the corresponding period a year earlier.
Although collections of the new tax had not yet begun,
receipts of the Government totaled $4.7 billion, a rise
of $700 million from the like period a year earlier.

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: July 19, 1968

FEDERAL RESERVE CREDIT [L
Averages of Daily Figures

Billions of Dollars

Billions of Dollars

Seasonally adjusted by this bank. [2

57

57
Anaual rates of change Federal Reserve Credit
adjusted for reserve requirement changes
averages of four weeks ending July 17, 1968
from four weeks ending
Apr. 17,
1968
Slob
Jan. 17,
1968
+ I o.O
Oct. 18,
1967
+ n.0
July 19,
1967
+ ,, s

Holdings
So. oi
SO.bO

Credit

SO. (*<)
SO. V7

s/. is

so. so

s/ n

So.lg
Sl.oS]
SA 33

50. si

s/s-j
saSZ

S3 n

51. 8c
50-V
51-12

1957-1967

si.3, o
SI- 33SI. 60 P

Federal Reserve Credit
57.60

Borrowings

Federal Reserve Holdings of U.S. Government
and Federal Agency Securities

Latest data preliminary
Latest data plotted week ending:

4 18
Oct.


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

1

15 29
Nov.

1967

13

27

Dec.

Federal Reserve Credit excludes float and a few minor
items. Data prior to Jan. 18, 1968 adjusted for the
estimated effect of reserve requirement changes.
Seasonal adjustment for Federal Reserve Holdings
computed by this bank using data ending December 1967.
Borrowings from Federal Reserve not seasonally
adjusted. Current unadjusted data appear in the
Board's H.4.1. release.

July 17, 1968

10 24
Jan

1
Mar.

15
May

29

12

26 10 24

June

July

1968

2

16
Oct.

30 13

27 11

Nov.

25

Dec.

8

22
Jan.

5

19
Feb.

5

19
Mar.

1969
Prepared by Federal Reserve Bank of St. Loul

RESERVES
All Member Ban^^in the Nation
Averages of Daily Figures

Billions of Dollars

1 1 r rrrn
TOTAL RESERVES

Billions of Dollars

1/ Data prior to Jan. 18, 1968 adjusted for
estimated effect of reserve requirement

Annual rates of change, average of
four weeks ending July 17, 1968
from four weeks ending:
Apr. 17, 1968
-/.<+
Jan.
1968
+|7
1967
^3i

TOTAL
EFFECTIVE
^RgSERVES

changes
Seasonal adjustment computed Ly this
bank using data ending December 1967*
Unadjusted data appear in the Board's
H.4.1. release.

28.0

AS. 7 3^
AS. hi
IS AS. S3

a
1957-1967

as.

27.5

sir

AS. 7V

AST 3
3S.SV-

ZS.7H

n

27.0

as.st

26.5

Total 1/

26.0

as, S#

RESERVES
AVAILABLE
FOR PRIVATE
DEMAND DEPOSITS

I1U

/i.fy

n.zo
n-H

n.3i
n sa.

n-ss

Reserves Available for
Private Demand Deposits

[

Sept.

Oct.

Nov.

1967

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

,

1

i

27 10 24

Dec.

Jan.

I

'

7

1

/P-Sf

n vj"
- n.sio
n.te f

RESERVES AVAILABLE
PRIVATE DEHAND DEPOSITS
Annual rates of change, average of
four weeks ending July 17, 1968
from four weeks ending:
Apr.
17, 1968
+ 8.1.
Jsn.
17, 1968
y-x j
Oct.
18, 1967
+ 5.S
July 19, 1967
f-S. 0
1957-1967

Latest data preliminary
Latest data plotted week ending: July 17, 1968

29 13

n.^o

c

1/ Data prior to Jan. 18, 1968 adjusted for
estimated effect of reserve requirement
changes
Seasonal adjustment revised

6 20 4 l8 1 15

n.Ai

1

21
Feb.

!

1

6

1

1_ _ I_ _ I

20
Mar.

1

A —I- - 1- - 1

3 17
Apr

1

15 29 12
May

26 10 24

June

July

1968

7

21
Aug.

18

2 16

Sept.

Oct.

4

30 13

27 11

Nov.

25

Dec.

8

22

Jan.

5

19

5

Feb.

19
Mar.

1969
Prepared by Federal Reserve Bank of St. Louis

Apr.

4
TOTAL BANK CREDIT
Large Commercial Banks
Wednesday Figures

Billions of Dollars

Billions of Dollars

Seasonally adjusted by this bank.
“Annual rates of change, average of
_four weeks ending July 10, 1968
-from four weeks ending:
-Apr.
10, 1968
4 6-9
“Jan.
10, 1968
4 5-9
_Oct.
-July

11, 1967
12, 1967

I

+

.
4 8 0

1960-1967

Millions of Dollars
SEASONALLY
UNADJUSTED
ADJUSTED

jLDV.TfO

Current and year ago unadjusted data appear in
the Board's H. 4.2. release. Seasonal adjustment _
computed by this bank using 1961 through 1966 data.-

Latest data preliminary
Latest data plotted:
July 10, 1968

6 20 4

II

Sept.


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

1

15 29 13

27

10

2k

3-0 71H

7

21

6

20

3

17

1

15

29

12 26
June

10 24
July

7

21
Aug.

4

18

2

16

30

13 27 11

25

8

22

5

19

5

19

Sept.

^ 1966
Prepared by Federal Reserve Bank of St. Louis

2

MONEi
l^jTOCK*
Averages o
ily Fig ures
Seasonally Adjusted

of Dollars

205

Billions of Dollars

205

204
Annual rates of change,
four weeks ending July
from four weeks ending:
Apr. 10, 1968
Jan. 10, 1968

203
202

201

WEEKLY DATA
1968
AWj IS /$/■!

average of
10, 1968
4- 9 (o
, ^

200

Oct. 11, 1967
July 12, 1967

199

1957-1967

-b al ■ to

S' /f7-(e
/A /

+ & q

0

f /tf&.S

.

i /g?.3
WD, aJ rgj.g
' 10 IgS-H P

198
197
196
195

194
193

192
191
190
lfi9

XGc
167

186
185
164

13-weeK centered
moving average

183

Weekly

182
181

ISO
179

178
177
* Current data appear in the Board's H.6 release. Back
data appear in the June 1968 Federal Reserve Bulletin.
For trend of money stock by months see this bank's
monthly release entitled "Monetary Trends

176
Latest data preliminary
Latest data plotted week ending: July 10, 1968

175_

O'"

I I I I I I M I I I I I I I I II 1 I I I.....
6

20

Sept.

4

18 1

Oct.

15
Nov.

1967

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

29 13

27 10

Dec.

24
Jan.

7

21 6

Feb.

20

Mar.

3

17

Apr.

1

15
May

29 12

26

June

10 24

July
1968

7

21

Aug.

I I I I I 1 1 1 1 I. 1 1 1 1 I I 1 1 I 1 1 I I I I 1 I 1
2

16 30 13
Oct.

27 11 25

Nov.

Dec.

5

19
Feb.

5

19
Mar.

1969
Prepared by Federal Reserve Bank of St. Louis

2
Apr.

CERTIFICATES OF DEPOSIT 1
Large Commercial Banks
Wednesday Figures

Billions of Dollars

-

- - Annual rat es of
average or rour weeks
at
Apr.
Jan.
Oct.
July

23.0

—

weeKS ending:
1U, 196S
10, 1968
11, 1967
12, 1967

1 QAA

Dollars
25.0

ira—1—n— TTT
.1

J

24.0

Billions of

un adjusted data.
9
ending July 10, 1968 from

24.0

IS.!
.?

7

7.

.—

1

23.0

H J

1 QA7

22.0

22.0

21.0

s
20.0

J
r
/

\
A
A

V

✓

/

21.0

/
4
/
f

/?

20.0

n

>
s— v i r
7
\

19.0

19.0

Millions of Dollars

18.0

18.0

1968
Ap«.i 1—

—

JvwE.
15-0

14kV

/ 9, 74S

ZZ
11
S
II
li
Zlo

3

/C

/V.Vf?

17.0

1 9 Iff

il, 7at

n 5-1 z
ii,su>

16.0

/? S4 3
n vi 9
lf,4SZ
> i 011
HI
11 518
tim p

15.0

/?

14.0

r

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.

Latest data preliminary
data Dlotted:
Julv 10. 1968 .

1 '
6

ZO, 3 01
Z0 11 i

Z9
1

16.0

14.0

3
/C
17
f
/5

17.0

20 4 18
Sept.
Oct.


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

I

r
1

15 29
Nov.
1967

13 27
Jec.

1

10 24
Jan.

1
7

21
Feb.

6 ':o
Mar.

3 17
Apr.

l

15
May

29

12 26 10 24
June
July
1968

7 21
Aug.

4

18
Sept.

1 I I il I I 1 I I I I I I I 11........
19 5
2 lo 30 13 27 11 25 8 22
Oct.

Nov.

Dec.

Jan.

3b.

19

Mar.

IS
Prepared by Federal Reserve Bank of

13.0

Louis

Apr.

TIME ^OSITS*
All Commercial Banks
Averages of Daily Figures

Lons >f Dollars
218

7
Bili-ions of Doll.
218

ti 11111111

216

216

four weeks ending July 10, 1968
from four weeks ending:
Apr. 10, 1968
+ 3.0
- Jen. 10, 1968
+ 5-!
- Oct. 11, 1967
+ 6.3
July 12, 1967
+ 8- 7

214

212

210
208

1957-1967

206

214
1968
181-1
MA- 181-1

212
210

l ff 7 . In
/]
<r^- ■£ /e7.9
1

208

/•> 188.0
2U 181-1
:r-ln 3 188-S

206

j

+ IZ.I

/

204

204

202

202
-

200

200

198

198

196

196

194

194

192

192

190

190

^ /SO )

188

188

186

186

184

184

182

182

180

180

178

178

176

176

174

174

172

172

170

170

168

168

166

166

164

164

162
160

"Latest data preliminary
Latest data plotted week ending: July 10, 1968

158

6

20

Sept.

4

18

411 HIM IIII l-H+H-H-H-

15 29 13 27
Oct.
Nov.
Dec.
1967


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

1

10 24
Jan.

7

21

6 20

Feb.

Mar.

162

* Current data appear in the Board's H.6 release.
Back
data appear in the June 1968 Federal Reserve Bulletin.
For trend of time deposits by months see this bank's
monthly release entitled "Monetary Trends".

3

17

Apr.

1

15
May

29 12

26

10 24

June

July

1968

mtrm in
7

21

Aug.

4 18
Sept.

2

16

Oct.

30 13

f::: t: mm

27 11

Nov.

25

Dec.

8

22

Jan.

5

19

160
3.58

' 0
5

19

Feb. Mar.
1969

Prepared by Federal Reserve Bank of St. Louis

2
Ap r.

BORROWINGS AND EXCESS RESERVES
All Member Banks in the Nation
Averages of Daily Figures

Millions of Dollars

2,000

1,900

I

I

EXCESS
RESERVES

Millions of Dollars

2,000

I I
BORROWINGS

FREE
RESERVES

BIWEEKLY DATA

l,8oo

-Had

7 HI
&.HI
741
4//

1,700
1,600

- 330

H<-g

it SO

P

1,500

-17S

HHl

-/H P

WEEKLY DATA

1,400

-311

7/1

1,300

44?

3H1

74 Y

3HH

1,200

7JY
t,Tg

1,100

-SiA
- 3 SS
-V03

1,000

BIWEEKLY SETTLEMENT PERIODS

-■3HI
~30g
1-31

SOI
HH3
4I3l-

ash p

Vi,*)

Excess Reserves

-

1,000

-

Latest data preliminary
Latest data plotted:
two weeks ending July 17, 1968

1,100


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

Nov.

Dec.

14 28 13 27
Feb •
Mar

5

19
June

3

17
July

1968

1

28 11
Oct.

15 29

12 26

12

26

Feb.
Mar.
1969

Prepared by Federal Reserve Bank of

rLouis

BUSIES LOANS
Large Col^nercial Banks
Wednesday Figures

73

72

71

9
Billions of DoL

L
-:

73

Seosonallvadiustedbv this bank.

— Annual rate* of change, average of
— four weeks ending July 10, 1968
from four weeks ending:
Apr. 10, 1968
+ /D. 3Jan. 10, 1968
Oct. 11, 1967
-+/0-0
_ July 12, 1967
+
°L'

72

—
—

71
1960 - 1967

L

70

70

-

69

69
j
t

68

_j \ \ /
k

1

Jl j
/\ L
/
A

a
s Lx. H
1 i

r

68

L

67

67

/
1
I
4

66

/\

Millions of Dollars
SEASONALLY
UNADJUSTED . ADJUSTED

1968

1
L\
\j

65

r

‘n. s fL

T

Onay

v

/
AL

7

i7,V.?7

43!

1.7,1.10

LI, luxi 7.

J

ir*

»/.

u /. J 7 f

7X

4,7,

66

LF oj/

/
/
/S’

U7.74

,.

65
0

64

64

1*1. J+o
6>?, Z21

(Ll, J
“ V /C,

lel.ll.JP

(of-tvor

--

63

63

>

62

62
,,
Latest data preliminary^

61

0~'

Ldtcal UctLd piuiLCU.

6

July Ul, 1700

1 II 1 18 1 11 1 15 III131 1 27 1 10 1 24 1 7II 21 1 6
1
1 29
1 1 1
1 1
4

20

Sept.

Oct.


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

Nov.

1967

Dec.

Jan.

Feb.

* .

, ,

the Board's H.4.2 release.
Seasonal adjustment
computed by this bank using 1962 through 1967 data.

20

3 17

Mar.

Apr.

1

15 29
May

12

26

June

io 24
July

1968

7

JL-l.l 1 18 HI16 1 30 1131 II 1 H 125 1 81 1221
1
1 1
21 4
2
27

Aug.

Sept.

Oct.

Nov.

Dec.

Jan.

1

1
1
5 1 191 1 5
Feb.

6l
19
Mar.

1969
Prepared by Federal Reserve Bank, of St. Louis

2

‘ 0
. pr.

YIELDS ON SELECTED SECURITIES
Averages of Daily Rates Ended Friday

Per Cent

3-MONTH
TREAS. 3-5
BILL YEAR

9

8.50 _

f- n

St7
S9S
itS.giiDf
3/
STD S9/

^ 7

s.go

LONG- CORPORATE
TERM
Aaa

S3g
S.SASSJ

A.3.7

s.3o

t.ay

S.Lg £lS
S.tS St,/
S-3D S.bl

S.A 7
s.li
S./S

/A

S.3S S.Sg
X37 S-51

S./Jl.
S./o

* ft

S.ft3 5.5S

S./t

/•/

J.I
3l!

S
~

Per Cent

(.Jg
l.a1
(,.Jg
b i-9
fc 17
4.17

(, 3.7
t.J-7

Corporate
Aaa Bonds

Long-Term
Government Bonds

Discount Rate
Three-Month Treasury
Bill Market Yield

Latest data plotted are averages of rates available for the week ending:

July 19, 1968
I i

-I—I—L

8

22

6

20

3 17

1

1967


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

15 29 12 26
Dec.
Jan.

9 23
Feb.

8

22
Mar.

5

19
Apr.

3

17 31
May

14 28 12 26
June July

i

9

l

l

23

Aug.

I I

6

l

20

k

18

1

15

29 13

27 10

24

7

21

7

21

:

1968

1969

Prepared by Federal Reserve Bank of

Louis

SELECTED SHORT^RM INTEREST RATES
Averages of Daily Rates Ended Friday

Per Cent

Per Cent

I i I I
PRIME
COMMERCIAL
PRIME
LARGE
PAPER
BANKERS' 90 DAY
4-6-MONTH ACCEPTANCES CD'S**

U3

FEDERAL
FUNDS
4 *3

£./J

S.SS

Ho
&/<1

S.9!
S.?S

£ OS
S.9S

£-D.O
£.X?

U-00
U.DO

£,.00

sSS
J. 7<F

b.o3
4>.<3 f

- Prime Commercial Paper
4-to~6 Month

Discount Rate.

Acceptances

Federal Funds Rate

Latest data plotted are averages of rates availahle for the week ending:

8

22

6

20

3

17

1

15

29

12 26

9

*AVERAGES OF RATES AVAILABLE

**S0URCE: SALOMON BROTHERS AND HUTZLER
http://fraser.stlouisfed.org
SECONDARY MARKET RATE ON 90-DAY PRIME CD'S.
Federal Reserve Bank of St. Louis

23

8

22

5

19

3

17

31

July 19, 1968

14 28
June

12

26 9

23

6

20

4

18

1

15

29

13 27

10 24

7

21

7

21

Prepared by Federal Reserve Bank of St. Louis

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