Full text of U.S. Financial Data : Week Ending: May 26, 1971

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

y f*.

4.

^

. t

|3JJ
■

Week ending: May 26r 1971
library

JUN

es 1979


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

The money supply (demand deposits and currency held
by the public) increased $1.7 billion in the week ending May
19 after a $2.4 billion rise in the week ending May 12 and a
$1.6 billion increase in the week ending May 5 (page 5). Money
has increased at a 10.1 per cent annual rate in the past four
months, substantially faster than the 5.5 per cent rate from
February 1970 to January 1971 and the 3 per cent rate during
1969. Since mid-1964, money has grown at an average 5.2 per
cent rate.
In the past two months, most interest rates have
risen to their January 1971 levels, but they remain con­
siderably below year-ago levels (pages 10 and 11). The
Federal funds rate was 4.70 per cent in the current week,
compared to 3.71 per cent in March and 4.14 per cent in
January. Ninety-day CD's yielded 5.12 per cent in the week
ending May 26, 127 basis points above their March level and
about the same as their January average. Rates on highestgrade seasoned corporate bonds were 7.64 per cent in the
latest week, 43 basis points above their March average and
about 30 basis points above their January average.
Interest rates have risen in the past three months
despite continued rapid growth in the money supply, in con­
trast to most of 1970 when interest rates declined as mone­
tary growth accelerated. Economic theory and empirical
information indicate that when money supply expansion is
accelerated, interest rates are pushed temporarily lower
than they would be otherwise. But as money supply growth
continues at the faster rate, total spending and inflationary
expectations increase, thereby raising the demands for and
the price of credit (interest rates) above what they would
have been with a slower rate of monetary expansion.
In 1970, interest rates declined, both because of
a weakening of credit demands following earlier monetary
restraint, and a short-term increase in the supply of funds.
In early 1971, however, demands for credit associated with
recovery in the economy, and an upward revision of inflation­
ary expectations, began to exert upward pressures on credit
demands and interest rates. At the same time, the acceler­
ation of the rate of monetary expansion from about 5.4 per
cent in 1970 to about 9 per cent in the first five months of
1971 exerted short-run, downward pressure on interest rates.
The upward pressure has been the stronger of the counter­
acting forces in the last three months.

Prepared by Federal Reserve Bank of St. Louis

Released: May 28,1971

I

MONETARY BASE v
FEDERAL RESERVE CREDIT*/
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED BY THIS BANK

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
90

_

COMPOUNDED ANNUAL RATES
OF CHANCE. AVERAGE OF
THE FOUR WEEKS ENDING
---- MAY 26, 1971 FROM
_
THE FOUR WEEKS ENDINGi
-

MAR.
FEB.
JAN.
— DEC.
NOV.
_ DCT.
SEP.

24,
24,
27,
23.
25,
28,
23,

1971
1971
1971
1970
1970
1970
1970

10.8
10.7
10.1
11.4“
10.3
9.3
8.6

88

86
MONETARY BASE
84

82
1971

MILLIONS

80

I I I 1 1 I I

76

_

COMPOUNDED ANNUAL RATES
OF CHANGE, AVERAGE OF
cu*

nr i

74

rnwiw

THE FOUR WEEKS ENDING

72

FEDERAL RESERVE CREDIT
70

68

66

I I I I I I I
1

15 29 13 27 10 24

• 22

5 19

2 16 30 14 28 11

OCT
1970

NOV

25

9 25

6 20

3 17

JAN

FEB

3 17 31

0

14 28 12 26

APR

9 23

MAY

I 971

LATEST DATA PLOTTED WEEK ENDING. MAY 26, 1871
1/ USES OF 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 THfc 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 REQUIREMENTS DUE TO SHIFTS IN DEPOSITS AMONG
CLASSES OF BANKS.


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

RESERVES
ALL MEMBER BANKS IN THE NATION
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS
32.0

BILLIONS OF DOLLARS
32.0

31.5

31.5

31.0

30.5

30.5

30.0

29.5

29.5

29.0

28.5

28.0

28.0

27.5

27.5

'

1 5 29 13 27 10 24

8 22

5 19

2 16 30 14 28 11

OCT

25

9 23

NOV

6 20

3 17

JAN

FEB

3 17 31

1970
LATEST DATA PLOTTED WEEK ENDING. MAY 26,

14 26 12 26

APR
1971

9 23

MAY

1971

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.9 RELEASE.
5K BREAK IN SERIES DUE TO CHANGES IN REGULATION D EFFECTIVE OCTOBER 1,


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

1311
APR.
MAY

21
28
5
12
19
26

BILLIONS
30.9
30.9
31.5
30.9
31.2
31.4

1970,

COMPOUNDED ANNUAL RATES
OF CHANGE. AVERAGE OF
THE FOUR WEEKS ENDING
MAY 26, 1971 FROM
THE FOUR WEEKS ENDING:
MAR.
FEB.
JAN.
DEC.
NOV.
OCT.
SEP.

24,
24,
27,
23.
25,
28,
23,

1971
1971
1971
1970
1970
1970
1970

11..8
10. 9
11.,6
12,.3
13..3
10,.8
11..4

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

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

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
-------- ---------- ---------- 180

180 --------- i------------ 1----BILLIONS
172.1
169.8
168.6
170.1
172.4
174.0

4 10

1

15 29 13 27

MAY

10 24

0 22

5 19

2 16 30 14 2* 11 25

OCT

JUN

9 23

6 20

3 '7

3 17 31

14 21 12 2t

APR

NOV

MAY

1970

LATEST DATA PLOTTED WEEK ENDING: MAY 19, 1971
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
5/20/70

9/16/70 10/21/70 11/18/70 12/16/70

1/20/71

2/17/71

3/17/71

10.2
13.7
10. 1

19. 1
12.6

10.0

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
10/21/70
11/18/70
12/16/70
1/20/71
2/17/71
3/17/71
4/21/71
5/19/71


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

6.0
4.4
5.2
4.7
4.5
5.7
7. 1
6.5

0.0
3.2
2.8
2.8
5. 1
7.2
6.3

3.2
2.7
2.6
5.5
8.0
6.8

5.8
4.7
7.8
10.4
8.6

2. 1
6.9
10.3
8.2

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MONEY STOCK
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
250

222.6

220.4

225

224.9

220

215

210

205

4

1

15 29 13 27 <0 24

MAY

6 22

5 19

2 16 30 14 28 11 23

JON

OCT

9 23

NOV

6 20

3 17

JAN

FEB

1970

3 >7 31

14 26 12 26

APR

MAY

1971

LATEST DATA PLOTTED WEEK ENDING* MAY 19, 1971
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS* H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENOINGi
5/20/70

9/16/70 10/21/70 11/18/70 12/16/70

1/20/71

2/17/71

3/17/71

10.4
13.1
10.1

17.2
12.0

9.9

TO THE AVERAGE
OF FOUR WEEKS
ENOINGi
10/21/70
11/18/70
12/16/70
1/20/71
2/17/71
3/17/71
4/21/71
5/19/71


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

5.6
4.5
5.0
4.8
4.8
5.8
7.0
6.5

1.1
3.4
3.4
3.6
5.5
7.4
6.6

3.4
3.4
3.6
6.0
8.1
7.2

5.8
5.4
8.0
10.0
8.6

3.8
7.7
10.3
8.6

PREPARED BY FEDERAL RESFRVF RANK OP ST- LOUIS

(

TIME DEPOSITS

ALL COMMERCIAL BANKS
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

APR.

14

BILLIONS OF DOLLARS
260

248. 1
247.9

250

249.9
250.6
251.2
240

230

220

210

200

4 IB

1

15 29 13 27 10 24

B 22

5 IB

2 IB SO 14 28 II

OCT

25

9 23

NOV

6 20

3 17

JAN

FEB

3 17 31

14 28 12 28

APR

MAY

LATEST DATA PLOTTED WEEK END IMGi MAY 19, 1971
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
5/20/70
9/16/70 10/21/70 11/18/70 12/16/70 1/20/71 2/17/71 3/17/71
TO THE AVERAGE
OF FOUR WEEKS
ENDING:
10/21/70
11/18/70
12/16/70
1/20/71
2/17/71
3/17/71
4/21/71
5/19/71


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

27.4
25.3
25.5
26.4
26.6
27.4
26.3
25. 1

22.4
23.7
25.8
26.4
27.7
25.9
24.2

20.3
24.6
25.5
27.3
25.3
23.4

29.4
29.2
30.6
27.3
24.9

30.4
31.8
27.5
24.6

32.0
26.0
22.6

24.7
20.7

14.8

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MONEY STOCK PLUS TIME DEPOSITS
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
400

BILLIONS
470.7

480

470.7
470

= 460

= 450

= 440

450

- 420

5

410

400

4 18

1

15 29 13 27 10 24

8 22

5 19

2 16 30 14 28 11 25
OCT
NOV

9 23

6 20

1970

3 17 31

14 28 12 28

1971

LATEST DATA PLOTTED WEEK ENDING: MAY 19, 1971
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE, AVERAGE OF FOUR WEEKS ENDING:
5/20/70

9/16/70 10/21/70 11/18/70 12/16/70

1/20/71

2/17/71

3/17/71

21.2
19.8
16.6

21.1
16.5

12.6

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
10/21/70
11/18/70
12/16/70
1/20/71
2/17/71
3/17/71
4/21/71
5/19/71


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

16.0
14.4
14.9
15.2
15.3
16.3
16.4
15.6

11.4
13.3
14.3
14.8
16.4
16.6
15.4

11.8
13.7
14.4
16.5
16.7
15.3

17.3
17. 1
19. 1
18.7
16.8

16.9
19.6
19.0
16.7

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

CERTIFICATES OF DEPOSIT

LARGE COMMERCIAL BANKS
WEDNESDAY FIGURES

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
30

28

26

24

22

20

18

16

H

12

4 18

1

15 28 13 27 10 24

8 22

5 IS

2 16 30 M 28 11 25

OCT

NOV

S 23

6 20

3 17

JAN

FEB

1970

3 17 31

14 28 12 26

APR

MAY

1971

LATEST DATA PLOTTED WEEK ENDING: MAY 19, 1971
CURRENT AND YEAR AGO DATA APPEAR IN THE BOARD OF GOVERNORS' H.4.2 RELEASE.
NEGOTIABLE TIME CERTIFICATES OF DEPOSIT IN DENOMINATIONS OF *100,000 OR MORE.


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

1971
APR.
MAY

MILLIONS
14
21
28
5
12
19

27,237
26,741
27,219
27,127
27,185
27,528

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MEMBER BANK DEPOSITS
SUBJECT TO RESERVE REQUIREMENTS
(CREDIT PROXY )
AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS of dollars

CREDIT PROXY ADJUSTED 1/

CREDIT PROXY

4 16

1

15 29 13 27 <0 24

6 22

5 19

2 16 30 14 26 11

25

9 23

6 20

3 17

JAN

FEB

S 17 31

14 26 12 26

1970
LATEST DATA PLOTTED WEEK ENDING. MAY 19,

1971

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.9 RELEASE.
1/

INCLUDES MEMBER BANK DEPOSITS, BANK-RELATED COMMERCIAL PAPER, EURODOLLAR BORROWINGS OF
U.S. BANKS, AND CERTAIN OTHER NONDEPOSIT SOURCES.

BlUJL l<?NS

JL9Z_

APR.

14

21
MAY

28
5

12
19


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

CRED!T
PROXY

CRED1T
PROXY
ADJUSTED

337.9
337.9
335. 1
337. 1
339.4
339.6

343.0
342.7
339.8
341.6
343.6
343.6

COMPOUNDED ANNUAL RATES OF CHANGE,
AVERAGE OF THE FOUR WEEKS ENDING
MAY 19, 1971 FROM THE FOUR
WEEKS ENDING!
CRED1T
PROXY
CRED1T
ADJUSTED
PI^QXY
MAR.
FEB.
JAN.
DEC.
NOV.
OCT.
SEP.

17
17
20
16
18
21
16

10.3
13.6
15.3
’5.9
16.8
16.3
15.3

4,2
7. 1
8.7
9.6
10.3
9.7
8.2

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

YIELDS ON SELECTED SECURITIES
AVERAGES OF DAILY RATES ENDED FRIDAY

PER CENT

PER CENT
------- 9.0

9.0

CORPORATE Aaa BONOS
PRIME COMMERCIAL
LOAN RATE

MUNICIPAL

-&QNQSJK.
VA

V

\

Ay-

/

DISCOUNT RATE

A

r

\

THREE-MONTH TREASURY
BILL MARKET YIELD

3.0

3.0

I I I
3 17

1

15 29 t2 26

APR

MAY

JUN

_LL

10 24

JUL

J_L

7 21

AUG
1970

J_L

4 IT

SEP

±1 _LL

_LL

2 16 SO 13 27 11

OCT

NOV

25

DEC

J_L

6 22

JAN

U_

JJ_

5- !•

5 18

PEW

MAR
APR
1971

J_LL
2

J_LL

16 30 14 26 11

MAY

25

JUN

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK ENDING: MAY 28. 1971

1971

APR.

MAY

2
9
16
23
30
7
14

21
28 *
JUNE
4
1 1
18
25

CORPORATE
Aaa BONDS

3-MONTH
TREASURY
BILLS

3-5 YEAR
GOVERNMENT
SECURITIES

LONG-TERM
GOVERNMENT
SECURITIES

MUNICIPAL
bonds am

7.22
7.23
7.24
7.24
7.31
7.43
7.48
7.57
7.64

3.61
3.78
3.96
3.81
3.93
3.84
3.96
4.36
4.41

4.85
5.08
5.37
5.59
5.77
5.92
5.98
6,20
6.01

5.64
5.66
5.73
5.82
5.81
5.92
5.96
6.04
5.93

5.15
5.21
5.32
5.48
5.69
5.85
5.96
5.96
N.A.

* AVERAGES OF RATES AVAILABLE.
BOND BUYER’S AVERAGE INDEX OF 20 MUNICIPAL BONDS, 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

INTEREST RATES

AVERAGES OF DAILY RATES ENDED FRIDAY

PER CENT
9.5 -------

PER CENT

COMMERCIAL PAPER
4-T0-6 MONTH ------

FEDERAL FUNDS RATE

1111
3 17

1

15 29 12 26 10 24

I I I I
7 21

4 18

-LL.1 1

2 16 30 13 27 11 25
NOV
DEC

8 22

5 19

5 19

2 16 30 14 28 H 25

1970
LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK ENDINGt MAY 28,


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

1971
APR.

2
9
16
23
30
MAY
7
14
21
28 *
4
JUNE
1 1
18
25

PRIME
COMMERCIAL
PAPER
4-6 MONTH

FEDERAL
FUNDS

PRIME
BANKERS'
ACCEPTANCES

90 DAY
CD'S ffic

4.23
4.28
4.58
4.70
4.80
5.00
5.00
5. 15
5.25

4.20
4. 13
4.23
4.23
4.18
4.65
4.48
4.73
4.70

4.00
4. 13
4.38
4.45
4.60
4.83
4.88
4.95
5.00

3.87
3.94
4.13
4.46
4.72
4.82
4.83
4.91
5.12

1971

* AVERAGES OF RATES AVAILABLE. FEDERAL FUNDS LAST FIVE DAYS AVAILABLE
**
SECONDARY MARKFT RATES WEEKLY AVERAGES ENDING WEDNESDAY TWO
DAYS EARLIER.
CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.9 RELEASE.
PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

BORROWINGS AND EXCESS RESERVES

ALL MEMBER BANKS
2.0

IN THE NATION

AVERAGES OF DAILY FIGURES

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

—l--------- ------------

1

-------------------- ----------------- —

2.0

BORROWINGS

EXCESS RESERVES

NET FREE RESERVES

-0.4

0.8

0.8

-

-

1.2

-

-1 .6

1

15 29 13 27 10 24

APR

MAY

JUN

8 22

JUL

5 19

AUG
1970

2 18 30 14 28 11 25

SEP

OCT

NOV

9 23

DEC

6 20

3 17

JAN

FEB

3 '7 31

MAR

14 28 12 26

APR
1971

MAY

9 23

JUN

LATEST DATA PLOTTED WEEK ENDINGs MAY 26, 1971


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

1971
APR.

7
14
21
28
MAY
5
12
19
26
JUNE
2
9
16
23
30

EXCESS
RESERVES
277
208
81
48
377
242
115
175

MILLIONS
SORROWINGS
197
'50
84
176
175
98
308
269

FREE
RESERVES

-

80
58
3
128
202
144
'93
94

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

2.0

-