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£J.
RESEARCH LIBRARY
Federal Reserve Bank

Week ending: March 28r 1973

of St. Louis

AUG 2 6 1998
The money stock, defined as private demand deposits
plus currency in the hands of the public, has risen at a 5.5
percent annual rate in the past six months.
In the past
twelve months, money has increased 6.6 percent, compared with
a 6.2 percent average rate from early 1967 to early 1972, and
a 3.9 percent average rate from late 1962 to late 1966.
The components of the money stock have grown at
different rates in recent months. The demand deposit
component of money, which comprises about three-fourths of
the money stock, has increased at a 4.4 percent annual rate
in the past six months, compared with an 8.2 percent rate in
the previous six months. On the other hand, the currency
component has risen at a 10 percent rate in the past six
months, and rose at a 6.1 percent rate in the previous six
months.
Both short- and long-term interest rates have risen
on balance in recent months. The increases in short-term
rates have been quite large, leading to a substantial
narrowing of the gap between short- and long-term rates.
In
February 1972, the spread between the 3-month Treasury bill
rate and the corporate Aaa bond rate was an historically
large 4 percentage points. Early this week, a differential
of about 1 percentage point prevailed with Treasury bill
rates averaging 6.26 percent and corporate Aaa bond rates
at 7.31 percent. Normally short-term rates rise relative to
long-term rates during business expansions and fall relative
to long-term rates during business declines (see page 9) .
The prime bank loan rate, as of early this week,
was generally quoted at 6-1/2 percent, up 1/4 of 1 percentage
point from the level prevailing in recent weeks. This rate
is now 3/4 of 1 percentage point above last November.
Meanwhile, four-to six-month commercial paper rates averaged
7.13 percent early this week, up 1.9 percentage points from
last November. The secondary market rate on 90-day CDs
averaged 7.23 percent in the week ending March 28, up about 2
percentage points from November.


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

Prepared by Federal Reserve Bank of St. Louis
Released: March 30, 1973

MONETARY BASE 1/
MULTIPLIER*/
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED BY THIS BANK

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
102

—

COMPOUNDED ANNUAL RATES
OF CHANGE, AVERAGE OF
__ THE FOUR WEEKS ENDING
MARCH 28, 1973 FROM
THE FOUR WEEKS ENDING:

JAN.
— DEC.
NOV.
OCT.
“ SEP.
AUG.
— MAR.

31,
27,
29,
25,
27,
30,
29.

1973
1972
1972
1972
1972
1972
1972

100

98

10.5
96
MONETARY BASE
94

MILLIONS —

92

—

1322

90

FEB. 21
MAR.

1

99

LATEST DATA PLOTTED WEEK ENDING: MARCH 28, 1973
RATIO
2.9

RATIO

2.8

MULTIPLIER
2.7

2.6

2.5

FEB. 14

RATIO
.632
2.4

MAR.
2.590
2

16

I

15 29 12 26

10 24

7 21

S 19

2

16 30 13 27

SEP

11

OCT

25

« 22

6 20

5 17 31

14 28

14 28 11

FEB MAR
1973

25

APR

LATEST DATA PLOTTED WEEK ENDING: MARCH 21, 1973
1/ USES OF MONETARY BASE ARE MEMBER BANK RESERVES AND CURRENCY HELD BY THE PUBLIC ANO NOVEMBER
BANKS. ADJUSTED FOR RESERVE REQUIREMENT CHANGES AND SHIFTS IN DEPOSITS. FOR A DESCRIPTION
OF TH£ BASE SEE THE AUGUST 1968 "REVIEW* OF THIS BANK.
2/ RATIO OF MONEY STOCK ( Ml ) / MONETARY BASE.


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Federal Reserve Bank of St. Louis

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

J*

REiERVES AVAILABLE TQfcSUPPORT
PRIVATE NONBANK DETOSITS^
ALL MEMBER BANKS

FEDERAL RESERVE CRED I T 2/
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
COMPOUNDED ANNUAL RATES
OF CHANGE, AVERAGE OF
THE FOUR WEEKS ENDING
MARCH 28. 1973 FROM
THE FOUR WEEKS ENDING:

31.0

JAN. 31.

30.5

1973

BILLIONS OF DOLLARS
31.5

31.0
RESERVES

4.3

30.5

30.0

29.5

29.0

29.0

.1973.

BILLIONS

FEB. 21

=
28.5

9.67

9-24

MAR.

9.85
29.36

28.0

28.0

29.51

90
-

COMPOUNDED ANNUAL RATES
OF CHANGE, AVERAGE OF
_ THE FOUR WEEKS ENDING
_
MARCH 28, 1973 FROM
THE FOUR WEEKS ENDING:
86

JAN. 31
- DEC. 27
-

1973
1972

29.2
25.6

SEP.

1972

88

22.1

27

86

84
FEDERAL RESERVE CREDIT
82

1SL5.

80

MILLIONS.
1

85

14

s;

— 78

1111
2

16

1

15 29

12 26

10 24

7 21

5

19

2

16 30 13 27

11

25

« 22

6 20

3

17 31

H 29

14 21 11

25

LATEST DATA PLOTTED WEEK ENDING: MARCH 28, 1973
1/ CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.9 RELEASE.
2/ DEFINED TO INCLUDE HOLDINGS OF SECURITIES, LOANS, FLOAT AND "OTHER" ASSETS. ADJUSTED FOR
RESERVE REQUIREMENT CHANGES AND CHANGES IN REQUIREMENTS DUE TO SHIFTS IN DEPOSITS AMONG
CLASSES OF BANKS.
3/ BEGINNING NOVEMBER 9, 1972 DATA ARE ADJUSTED DUE TO WAIVERS ASSOCIATED WITH THE EFFECTS
OF A CHANGE IN REGULATION J.*
*

BREAK IN SERIES DUE TO THE EFFECT OF CHANGES IN REGULATION D.


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Federal Reserve Bank of St. Louis

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

4
DEMAND DEPOSIT COMPONENT OF MONEY STOCK
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
205

BILLIONS

200.6
198.6
199.8
198. 1

200

195

too

185

Z

16

1

15 29

IZ 26 10 24

7 21

9 19

Z

16 90

19 Z7

11

Z9

« ZZ

6 20

9

17 91

14 Z6

M 26 11

Z5

FEB MAR
1973
LATEST DATA PLOTTED WEEK ENDING: MARCH 21, 1973
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
7/19/72 8/23/72 9/20/72 10/18/72 11/22/72 12/20/72 1/24/73
3/22/72
TO THE AVERAGE
OF FOUR WEEKS
ENDING:
8/23/72
9/20/72
10/18/72
11/22/72
12/20/72
1/24/73
2/21/73
3/21/73


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Federal Reserve Bank of St. Louis

8.0
8.2
7.6
7.5
7.3
7.2
6.8
6.2

7.4
6.4
6.6
6.4
6.4
5.8
5. 1

6.6
6.8
6.5
6.5
5.8
5.0

5.8
5.7
5.9
5.2
4.4

6.4
6.4
5.4
4.4

6.0
4.8
3.6

4.5
3.1

1.0

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

5
MONEY STOCK

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
265

BILLIONS

258.3
255.9
257.6
255.9

260

255

250

2-45

240

2 16

»

15 29 12 29 10 24

7 21

5 19

JUN

JUL

2 19 30 13 27 11

SEP

25

9 22

OCT

9 20

DEC

3 17 31

14 28 14 29 II 25

FEB

MAR

APR

LATEST DATA PLOTTED WEEK ENDING: MARCH 21, 1973
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE,

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
3/22/72
7/19/72 8/23/72 9/20/72 10/18/72 11/22/72 12/20/72 1/24/73
TO THE AVERAGE
OF FOUR WEEKS
ENDING:
8/23/72
9/20/72
10/18/72
11/22/72
12/20/72
1/24/73
2/2T/73
3/2T/73


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

7.5
7.7
7.5
7.4
7.4
7.5
7.0
6.6

7.2
6.8
6.9
6.9
7. 1
6.5
6.0

7.3
7.3
7.2
7.4
6.5
5.9

6.6
6.7
7.1
6.2
5.5

7.1
7.4
6,2
5.5

7.5
5.8
4.9

5.3
4.3

2.0

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

6

#IME DEPOSITS
ALL T^OMMERCIAL BANKS
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

= 330
320

310

TOTAL TIME DEPOSITS

= 300

5

290

= 2 SO

= 270

=

260

=

NET TIME DEPOSITS*

250

= 240
I I I I
2 16

1

15 29 12 26 10 24

7 21

5 19

JUN

JUL

2 16 50 15 27 11 25

SEP

6 22

6 20

OCT

5 17 51

14 26 14 26 II

FEB MAR
1973

1972

25

APR

LATEST DATA PLOTTED WEEK ENDING. MARCH 21. 1973
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.6 RELEASE.
* NET TIME DEPOSITS ARE DEFINED AS. SAVINGS DEPOSITS, TIME DEPOSITS OPEN ACCOUNT PLUS TIME
CERTIFICATES OF DEPOSIT OTHER THAN NEGOTIABLE TIME CERTIFICATES OF DEPOSIT ISSUED IN
DENOMINATIONS OF 6100,000 OR MORE BY LARGE WEEKLY REPORTING COMMERCIAL BANKS.

NET TIME DEPOSITS
COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
3/22/72

7/19/72

8/23/72

11 .4
1 1.7
11.8
1 1.9
1 1.5
12. 1
1 1.6
11.4

13.6
13.3
12.9
12. 1
12.9
12.0
11.7

13.0
12.6
1 1.7
12.7
11.7
11.3

9/20/72 10/18/72 11/22/72 12/20/72

1/24/73

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
8/23/72
9/20/72
10/18/72
11/22/72
12/20/72
1/24/73
2/21/73
3/21/73


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Federal Reserve Bank of St. Louis

12.3
11.1
12.5
11.4
11.0

10.5
12.5
11.1
10.7

12.8
10.8
10.3

11.7
10.8

7.6

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MON# STOCK PLUS TIME#EPOSITS
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
600 1=--- ------ -

BILLIONS OF DOLLARS
--- -------- = 600

MONEY STOCK PLUS TOTAL TlkC DEPOSITS

MONEY STOCK PLUS NET TIME DEPOSITS**'

1

IS 2» 12 26 10 24

5 IS

JUN

2 16 SO IS 27

II

25

• 22

6 20

3 17 31

14 2<

JUL

14 28 11

MAR

25

APR

1972
LATEST DATA PLOTTED WEEK ENDING: MARCH 21, 1973
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.6 RELEASE.
** Mi IS DEFINED AS: CURRENCY, DEMAND DEPOSITS PLUS NET TIME DEPOSITS (SEE PAGE 6>.

MONEY STOCK PLUS NET TIME DEPOSITS (M2)
COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
3/22/72

7/19/72

8/23/72

9.4
9.7
9.6
9.6
9.4
9.8
9.3
9.0

10.3
9.9
9.9
9.5
10.0
9.2
8.8

10.0
10.0
9.4
10. 1
9.2
8.7

9/20/72 10/18/72 11/22/72 12/20/72

1/24/73

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
8/23/72
9/20/72
10/18/72
11/22/72
12/20/72
1/24/73
2/21/73
3/21/73


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Federal Reserve Bank of St. Louis

9.5
8.9
9.8
8.8
8.3

8.8
10. 1
8.8
8.2

10.2
8.3
7.7

8.7
7.7

4.9

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

8

CERT#71 CATES OF DEPOSI#
LARGE COMMERCIAL BANKS
WEDNESDAY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

58 ----- -----------

2 16

I

IS 29 12 26 10 24

7 21

5 19

JUN

JUL

2 16 90 19 27

SEP

It

25

6 22

6 20

9 17 91

OCT

H 26 14 2«

FEB

MAR

APR

LATEST DATA PLOTTED WEEK ENDINGi MARCH 21, 1973
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.
SUSuikpoiT'lNG'coJuER^BAMclf05'1


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Federal Reserve Bank of St. Louis

» •'».«» OR MORE BY LAR8E

MONEY AND TIME DEPOSIT DATA

1973
FEB.

MAR.

APR.

7
M
HI
H8
7
14
21
28
4
1 1
18
25

CERTIFICATES
OF DEPOSIT

BILLIONS
NET TIME
DEPOS1TS »

M2 m

47.3
48.2
49. 1
50.7
52.2
54.5
55.2

272.8
274.0
274.1
274.4
275.3
275.6
276.2

529.0
530.4
532.3
530.3
533.0
531 .5
533.6

* SEE FOOTNOTE PAGE 6.
net SEE FOOTNOTE PAGE 7.
PREPARED BY FEDERAL RESERVE BANK OF ST

LOUIS

Interest Rates
Monthly Averages of Daily Figures

10

9

8

7

6
Corporate Aaa Bonds
5

4

3

ill™

Month Treasury Bill

2

1

0


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

1954

1955

1956

1957

1958

1959 1960

1961

1962

1963

1964

1965

1966

1967

1968

1969

1970

1971

1972

1973

1974

1975

54, 1957-58, 1960-61, and 1969-70 represent periods of business recessions as defined by the National Bureau of Economic Research. The shaded area in 1966-67 represents an

Prepared by Federal Reserve Bank of St. Louis

YIELDS W SELECTED SECURI 1%s
AVERAGES OF DAILY RATES ENDED FRIDAY

PERCENT
8k0 -

PERCENT

- 8.0

CORPORATE AAA BONDS

PRIME BANK
LOAN RATE
MUNICIPAL
BONDS SB*

DISCOUNT RATE

I I I I
4 16

3 17 31

14 28 12 21

APR

« 23

MAY

7 21

4 18

JUL

AUG

I

13 29 <5 27 10 24

OCT

NOV

« 22

3 10

2 16

JAN

PEB

2 13 SO 13 27

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK EhOINGt MARCH 30, 1973

1973
FEB.

2
9
16
23
MAR.
2
9
16
23
30 *
APR.
6
13
20
27

CORPORATE
Aaa BONDS

3-MONTH
TREASURY
BILLS

3-5 YEAR
GOVERNMENT
SECURITIES

LONG-TERM
GOVERNMENT
SECURITIES

MUNICIPAL
BONDS 801

7.20
7.22
7.23
7.22
7.25
7.27
7.29
7.31
7.31

5.70
5.56
5.43
5.58
5.81
5.85
6.05
6.31
6.26

6.50
6.55
6.53
6.67
6.76
6.84
6.90
6.91
6.79

6,13
6.16
6.10
6.15
6.16
6. 18
6.22
6.24
6.19

5.16
5.16
5.06
5.13
5.22
5.27
5.34
5.35
N.A.

*9?BONDG|uYER1SAIvIraGE''iNDEX'OF

20 MUNICIPAL BONDS, THURSDAY DATA.

N.A. - NOT AVAILABLE


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Federal Reserve Bank of St. Louis

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

SELECTED SHORT-TERM INTEREST RATES
AVERAGES OF DAILY RATES ENDED FRIDAY

PERCENT

PERCENT

-

COMMERCIAL PAPER
4-T0-6 MONTH
FEDERAL FUNDS RATE

4 18

3 17 31

14 28 12 26

APR

MAY

9 23

7 21

4 18

JUL

AUG

1

IS 29 13 27

OCT

10 24

8 22

NOV

3 19

2

JAN

FEB

16

2 16 30 13 27

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK ENDING: MARCH 30, 1973

1973
FEB.

2
9
16
23
MAR.
2
9
16
23
30 *
APR.
6
13
20
27

PRIME
COMMERCIAL
PAPER
4-6 MONTH

FEDERAL
FUNDS lot

PRIME
BANKERS’
ACCEPTANCES

90 DAY
CD* SDH

6.10
6.20
6.22
6.25
6.30
6.53
6.85
7.08
7.13

6.35
6.21
6.58
6,79
6.75
7.02
7.13
6.96
7.11

5.98
6.13
6.13
6. 13
6.30
6.65
6.83
7.00
7.00

5.98
6.15
6.28
6.31
6.38
6.60
6.85
7.05
7.23

* AVERAGES OF RATES AVAILABLE.
not FEDERAL FUNDS AND CD RATES ARE SEVEN-DAY AVERAGES FOR WEEK ENDING
WEDNESDAY TWO DAYS EARLIER THAN DATES SHOWN. CURRENT DATA APPEAR IN
THE BOARD OF GOVERNORS* H.9 RELEASE.
CD DATA ARE SECONDARY MARKET RATES.

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Federal Reserve Bank of St. Louis

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

8.0

12
BORROWINGS FROM FEDERAL RESERVE BANKS
BILLIONS OF DOLLARS

AVERAGES OF DAILY FIGURES

BILLIONS OF DOLLARS
2.5 ----- 1------ 1-

-------- ----

2-5

ISZ1 MILUQNS
FEB, 21
MAR.

r
2013
BORROWINGS

2 16

1

FEB

MAR

15 29 12 26 10 24

APR

MAY

7 21

5 18

JUN

JUL
1972

2 16 30 13 27 II

AUG

ZS

6 22

6 20

3 17 31

14 26 14 28 II 25

FEB
MAR
1973

SEP

APR

LATEST DATA PLOTTED WEEK ENDING. MARCH 26, 1973

BUSINESS LOANS

BILLIONS OF OOLLARS

102
roo
96
96

94

( COMMERCIAL AND INDUSTRIAL )
WEEKLY REPORTING LARGE COMMERCIAL BANKS
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
102

T
COMPOUNDED ANNUAL RATES OF CHANGE.
AVERAGE OF THE FOUR WEEKS ENDING
-MARCH 21, 1973 FROM THE FOUR
WEEKS ENDING:
BUS I NESS
BUSINESS
LOANS
LOANS
ADJUSTED.
JAN.
__DEC.
NOV.
- OCT.
SEP.
— AUG.
MAR.

24,
20,
22,
16,
20,
23,
22,

1973
1972
1 872
1 872
1 872
1 872
1972

64.7
47.8
36.6
33.3
29.4
27.1
17.9

65.2
48.6
39.6
34.5
30.0
27.6
17.8

92

BUSINE:ss

lc ANS

A DJUSTED

90
-

MILLIONS.

1973

88

“

BUSINESS
BUSINESS LOANS _
LOANS ADJUSTED

-

86
'BUSINf :SS LC ANS
84
82

1 U- MIL 1 1 1

1 1 1 I.

1 1 1

1 1 1

MIL 111

1 1 1

97,305
95,552
98,167­
96,117
99,102
97,026
100,305
98,318
MAR.
100,506­
96,540
101,280
99,397
I I 1 I I I I I I 1 » I I I * I I I I I I 1 I I i
1 1 1 1
6 20

2 16

FEB

MAR

APR

MAY

JUN

JUL
1972

AUG

SEP

OCT

NOV

DEC

3 17 31

JAN

14 26 14 26 II 25

FEB

MAR

APR

1973

LATEST DATA PLOTTED WEEK ENDING. MARCH 21, 1973
1/ INCLUDES LOANS SOLD OUTRIGHT BY COMMERCIAL BANKS TO OWN SUBSIDIARIES, FOREIGN BRANCHES,
HOLDING COMPANIES, AND OTHER AFFILIATES.

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Federal Reserve Bank of St. Louis

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

62

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