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Week ending: September 26r 1973

■^S4TEDJi?i

library
JUN

Growth of the nation's money stock has slowed in
recent months. Money has increased at a 1.2 percent annual
rate in the past three months and at a 5.4 percent rate in
the past six months. In the past year money has risen 5.5
percent, compared with almost a 7 percent rate of increase
in the previous two years.
The monetary base, the growth of which underlies
the growth of money, has also slowed in recent months. This
aggregate has risen at a 4.4 percent annual rate in the past
three months and at a 5.9 percent rate in the past six months.
The growth of total time deposits at a 14.6 percent annual
rate in the past three months has absorbed much of the growth
of the base, leaving only a small portion for the support of
demand deposits.
Some short-term market interest rates have declined
substantially in recent days. Large declines in the threemonth Treasury bill rate have brought this rate to an average
of 7.23 percent in the first three days of this week. This
is down from the 8.94 percent average rate of two weeks ago.
Yields on four- to six-month commercial paper declined to an
average 9.75 percent early this week, below the prime bank
loan rate of 10 percent. The secondary market 90-day CD rate
fell from an average of about 11 percent early last week to
slightly over 10 percent early this week.
Adjusted business loans have increased rapidly in
the past year. These loans at large weekly reporting banks
have increased at about a 27 percent annual rate in the past
12 months, compared with a 10 percent average rate from 1962
to 1972.
Recently, however, some slowing can be noted. For
instance, in the past month business loans have increased at
a rate slightly less than 4 percent.
,


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

Prepared by Federal Reserve Bank of St. Louis
Released: September 28, 1973

MONETARY BASE

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED BY THIS BANK

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS
104

MILLIONS
AUG.
102

100

98

96

94

2 16 90 13 27 11 25

6 22

6 20

3 17 31

H 28 14 26 II 25
FEB
MAR
APR

9 23

1972

6 20

4 16

I

15 29 12 26 10 24

1973

LATEST DATA PLOTTED WEEK ENDING: SEPTEMBER 26,

1973

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 THE BASE SEE THE AUGUST 1968 "REVIEW OF THIS BANK.

COMPOUNDED ANNUAL RATES OF CHANGE , AVERAGE OF FOUR WEEKS ENDING:
9/27/72

1Z24/73

2/28/73

3/28/73

4/25/73

5/23/73

6/27/73

7/25/73

9.4
10.5
10.7
9.8
9.4
9.5
8.6
8.2

9. 1
9.9
8.5
8. 1
8.4
7.3
6.7

14.2
10.6
9.5
9.6
8.0
7.2

7.8
7.4
8. 1
6.5
5.9

5.4
6.9
5.4
4.8

8.3
5.8
5.0

5.3
4.4

1.9

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
2/28/73
3/28/73
4/25/73
5/23/73
6/27/73
7/25/73
8/29/73
9/26/73


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

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

RATIO

RATIO

MULTIPLIER

1 973
AUG.

LATEST DATA PLOTTED WEEK ENDING; SEPTEMBER 19,

MI IQ

15

1973

BILLIONS OF DOLLARS
9« --------------1-----------.-----

BILLIONS OF DOLLARS
----------------- -------------- 94

COMPOUNDED ANNUAL RATES
----- OF CHANGE, AVERAGE OF
THE FOUR WEEKS ENDING
- SEPTEMBER 26, 1973 FROM
THE FOUR WEEKS ENDING;
FEDERAL RESERVE CREDIT
JUN.

27,

1973

-2.4

1.6

-

19I£

AUG

SEP

OCT

NOV

DEC

JAN

FEB

MAR

APR

1972
LATEST DATA PLOTTED WEEK ENDING; SEPTEMBER 26,

6 20
JUN
1973

4 1«
JUL

I

MILLIONS

15 29 12 26 10 24

1973

1/ RATIO OF MONEY STOCK ( Ml) / MONETARY BASE.
2/ JEfIJJP OF°BANKs!NT HOLDINGS OF SECURITIES, LOANS. FLOAT AND ’’OTHER1' ASSFT^ in iktpr pr*»
CLwIeS TO INCLUDE DATAARE^JoNALLY ADJu|?EDA|f?;fsDBAM<? SH'FTS 'N DEritS,TS


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

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

BILLIONS
204.8
205. 2
203.3
203.7
204.0
203. 5

2 1 6 30 1 3 27

II 25

8 22

6 20

3 17 31

14 28 14 28 II 25
FEB
MAR

9 23

1972

6 20

4 16

I

IS 29 12 26 10 24

1973

LATEST DATA PLOTTED WEEK ENDING. SEPTEMBER 19,

1973

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS1 H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE ,
9/20/72

1/17/73

AVERAGE OF FOUR WEEKS ENDING:

2/21/73

3/21/73

4/18/73

5/16/73

6/20/73

0.3
3. 1
7. 1
7.2
5.7
4.0

4.3
9. 1
8. 9
6.7
4.6

13.5
11.7
8.2
5. 4

13. 1
8.0
4.7

3.2
0.2

7/18/73

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
2/21/73
3/21/73
4/18/73
5/16/73
6/20/73
7/18/73
8/22/73
9/19/73


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

5.2
4.5
3.9
4. 4
6.0
6. 2
5.5
4.5

-0.3
-0.2
1.9
5.2
5.6
4.6
3.3

-3. 1

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

MONEY STOCK

AVERAGES OF DAILY FIGURES
SEASONALLY ADJUSTED

BILLIONS OF DOLLARS

BILLIONS OF DOLLARS

275

— SEP

264.4
264.9
263.0
263.7

270

263.6

265

260

255

250

2 H 30 IS 27 II

25

8 22

6 20

3 17 31

14 28 14 28 11

FEB

MAR

LATEST DATA PLOTTED WEEK ENDING: SEPTEMBER 19,

25

9 23

6 20

4 18

JUN

APR

JUL

1

15 29 12 20 10 24

1973

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS* H.6 RELEASE.

COMPOUNDED ANNUAL RATES OF CHANGE ,

AVERAGE OF FOUR WEEKS ENDING:

9/20/72

1/17/73

2/21/73

3/21/73

4/18/73

5/16/73

6/20/73

6.2
5.6
5.3
5.8
6.9
7.0
6.2
5.5

0.9
1.7
3.5
6.0
6.2
5.2
4.2

3. 1
5.2
8.0
7.8
6.3
5.0

6.5
9.7
9. 1
6.9
5.4

12.5
10.8
7.7
5.7

11.4
7.2
4.9

3.1
1.2

7/18/73

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
2/21/73
3/21/73
4/18/73
5/16/73
6/20/73
7/18/73
8/22/73
9/19/73


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

-1.3

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*

2

16 SO 13 27

II

25

6 22

6 20

S

17 St

14 26

FEB

14 28

MAR

11

25

9 23

6 20

4

16

I

IS 29

12 26

10 24

APR
1973

LATEST DATA PLOTTED WEEK ENDINGj SEPTEMBER 19,

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:

9/20/72

1/17/73

2/21/73

3/21/73

4/18/73

5/16/73

6/20/73

11.4
11.0
10.8
10.5
10.4
9.9
10.2
10. 1

8. 1
8.5
8.6
8.8
8.3
8.9
9.0

9. 1
9.0
9.2
8. 4
9. 1
9.2

9. 1
9.3
8.3
9.2
9.3

9.3
8.0
9.1
9.3

7.7
9.2
9.4

8.9
9.3

7/18/73

TO THE AVERAGE
OF FOUR WEEKS
END 1NG:
2/21/73
3/21/73
4/18/73
5/16/73
6/20/73
7/18/73
8/22/73
9/19/73


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

11.1

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
630
620
610

MONEY STOCK PLUS TOTAL TIME DEPOSITS
600
590
-|j 580
-Jj

570

-f

560

-| 550
-|
-|

530

-|

MONEY STOCK PLUS NET TIME DEPOSITSSW

540

520

M 510

2 16 30 19 27

II

25

6 22

6 20

3 17 31

14 26 14 26 11

FEB

MAR

25

0 23

6 20

4 16

I

15 29 12 26 10 24

APR

1972

1973

LATEST DATA PLOTTED WEEK ENDINGi SEPTEMBER 19,

1973

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS’ H.fi RELEASE.
*6 M2 IS DEFINED ASs CURRENCY, DEMAND DEPOSITS PLUS NET TIME DEPOSITS (SEE PAGE 6).

MONEY STOCK PLUS NET TIME DEPOSITS (M 2 )
COMPOUNDED ANNUAL RATES OF CHANGE,

AVERAGE OF FOUR WEEKS END 1NGs

9/20/72

1/17/73

2/21/73

3/21/73

4/18/73

5/16/73

6/20/73

7/18/73

8.8
8.3
8. 1
8.2
8.7
8.5
8.2
7.8

4.6
5. 1
6. 1
7.4
7.2
7. 1
6.6

6.0
7. 1
8.6
8. 1
7.7
7. 1

7.8
9.5
8.6
8. 1
7.3

10.9
9.4
8.5
7.5

9.4
8.2
7. 1

6. 1
5.2

5.0

TO THE AVERAGE
OF FOUR WEEKS
ENDING:
2/21/73
3/21/73
4/18/73
5/16/73
6/20/73
7/18/73
8/22/73
9/19/73


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

0

CERTIFICATES OF DEPOSIT
LARGE COMMERCIAL BANKS
WEDNESDAY FIGURES
SEASONALLY ADJUSTED

billions of dollars

billions of dollars

I I I I
2 16 30 13 27

SEP

11

25

« 22

6 20

3 IT 31

H 23 M 28 11

FEB

OCT
1972

MAR

25

8 23

6 20

4 IS

I

15 29 12 U Id 14

APR
1973

LATEST DATA PLOTTED WEEK ENDING: SEPTEMBER 19,

1973

CURRENT DATA APPEAR IN THE BOARD OF GOVERNORS' H.6 RELEASE.
NEGOTIABLE TIME CERTIFICATES OF DEPOSIT ISSUED IN DENOMINATIONS OF *100,000 OR MORE BY LARGE
WEEKLY REPORTING COMMERCIAL BANKS.


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

MONEY AND TIME DEPOSIT DATA

1973
AUG.

SEP.

OCT.

1
8
15
22
29
5
12
19
26
3
10
17
24
31

CERTIFICATES
OF DEPOSIT

BILLIONS
NET TIME
DEPOSITS*

65.5
66.2
67.3
67.4
67.6
67. 1
67.4
67.9

284.6
285.5
285.9
287.2
287.3
288.3
287.9
288.0

M2*
548.4
549. 1
550.3
552. 1
550.2
552.0
551.9
551.5

* SEE FOOTNOTE PAGE 6.
SB* SEE FOOTNOTE PAGE 7
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
455 r~----------- ----------- ------

BILLIONS OF DOLLARS
----------------- ----------- =1 435

CREDIT PROXY ADJUSTED 1/

CREDIT PROXY

2 16 30 13 27 II

25

8 22

6 20

3 1T 31

14 28 14 28

II

25

9 23

6 20

4 18

I

13 29 12 26 10 24

'AUG
1973
LATEST DATA PLOTTED WEEK ENDING. SEPTEMBER 19,

1973

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

” K£“8IS<if"Sg

1973

eu™o«.l« bomwikos of

Rill 1 DNS
CRED 1T
PROXY

AUG.

SEP.

15
22
29
5
12
19


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

CRED1T
PROXY
ADJUSTED

437.8
437.7
435.7
437.8
439.8
439. 1

445. 1
444.9
443.2
445. 1
446.7
446.6

COMPOUNDED ANNUAL RATES OF CHANGE.
AVERAGE OF THE FOUR WEEKS ENDING
SEPTEMBER 19. 1973 FROM THE FOUR
WEEKS ENDING:
CRED1T
CRED1T
PROXY
ADJUSTED
PROXY
JUL.
JUN.
MAY
APR.
MAR.
FEB.
SEP.

18.
20,
16.
18,
21,
21,
20,

1973
1973
1973
1973
1973
1973
1972

10.3
10. 1
10.3
10.5
11.5
12.9
12.6

1 1.9
11.6
11.7
1 1.8
12.6
14.0
13.2

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

YIELDS ON SELECTED SECURITIES
AVERAGES OF DAILY RATES ENDED FRIDAY

PERCENT
9.5 —

PERCENT
— 9.5

9.0

8.5

CORPORATE Aaa BONDS

_

THREE-MONTH TREASURY
BILL MARKET YIELD

MUNICIPAL
BONDS**

DISCOUNT RATE

I
4 18

I

IS 29 IS 27 10 24

AUG

SEP

OCT

NOV

6 22 5 19

DEC

JAN

I I II I I I I I I I I I I I I I I I I I I I I I

2 l«

2 l« SO IS 27 11 25

8 22

6 20

3 17 SI

FEB

MAR

JUN

JUL

AUG

APR

MAY

1972

14 2# 12 *S

SEP

LATEST DATA PLOTTED ARE AVERAGES OF RATES AVAILABLE FOR THE WEEK ENDING: SEPTEMBER 28,

1973
AUG.

SEP.

OCT.

3
10
17
24
31
7
14
21
28 *
5
12
19
26

OCT

1973

CORPORATE
Aaa BONDS

3-MONTH
TREASURY
BILLS

3-5 YEAR
GOVERNMENT
SECURITIES

LONG-TERM
GOVERNMENT
SECURITIES

MUNICIPAL
BONDS **

7.53
7.61
7.71
7.77
7.73
7.64
7.63
7.65
7.61

8.30
8.70
8.88
8.71
8.62
8.80
8.94
8.38
7.23

8.02
8. 16
7.80
7.50
7.35
7.27
7.45
7. 10
6.89

6.90
6.97
6.83
6.74
6.62
6. 45
6.52
6.43
6.30

1973

5.59
5.58
5.47
5.44
5.34
5. 18
5. 18
5.05
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

PERCENT

PERCENT

11.0
10.5

10.5

10.0

9.5

9.0

8.5

8.0
7.5

7.0

FEDERAL FUNDS RATE
PRIME BANK
I-LOAN RATE

6.5

6.0
COMMERCIAL PAPER
5.5

5.0

4.5

4 16

1

13 29 13 27 10 24
OCT
NOV
1972

6 22

3 19
JAN

2 16
FEB

2 16 30 13 27 11 25 8 22
APR
MAY
1973

6 20

3 17 31

14 28 12 26

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

1973
AUG.

SEP.

OCT.

3
10
17
24
31
7
14
21
28 X
5
12
19
26

PRIME
COMMERCIAL
PAPER
4-6 MONTH

FEDERAL
FUNDS UK

PRIME
BANKERS'
ACCEPTANCES

90 DAY
CD’S «K

9.88
10.05
10.25
10.25
10. 45
10.38
10.48
10.45
9.75

10.57
10.39
10.39
10.52
10.79
10.79
10.74
10.80
10.84

9.85
10.15
10.25
10.25
10.25
10.25
10.35
10.43
9.92

1973

10.14
10.52
10.81
10.71
10.93
10.93
10.90
10.97
10.37

* AVERAGES OF RATES AVAILABLE.
:«* 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.


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

0

BORROWINGS FROM FEDERAL RESERVE BANKS
ALL MEMBER BANKS

IN THE NATION

AVERAGES OF DA I LY F I GURES

BILLIONS OF DOLLARS

1973

MILLIONS

AUG. 22

2135

BILLIONS OF DOLLARS
3.0

BORROWINGS

2191

2

16 30

13 27

SEP

11

25

8 22

6 20

3

IT 31

14 26

FEB

OCT

14 26

MAR

11

25

8 23

6 20

4

16

1

IS 29 12 26

10 24

APR
1973

LATEST DATA PLOTTED WEEK ENDING: SEPTEMBER 26,

1973

BUSINESS LOANS

BILLIONS OF DOLLARS

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

- COMPOUNDED ANNUAL RATES OF CHANGE
— AVERAGE OF THE FOUR WEEKS ENDING
_ SEPTEMBER 19, 1973 FROM THE FOUR
WEEKS ENDING:
BUS I NESS
BUS I NESS
LOANS
LOANS
ADJUSTED.
JUL. 18
—JUN. 20
_ MAY 16
APR. 18

18.2
18.4
21.4
25.9

- FEB. 21
__ SEP. 20

BILLIONS OF DOLLARS
112

110
108
BUSINESS LOANS ADJUSTED 1/
106

21.4
20.2

104
102

27.4
26.7

100
96
96
94

BUSINESS LOANS

92
BUSINESS
BUS I NESS
LOANS
LOANS. APJUSIflT
AUG.

15

90
86

86
84

2

16 30

13 27

SEP

11

OCT

25

8 22

6 20

3

17 31

14 26

FEB

14 26 11

MAR

25

9 23

6 20

4

18

1

15 29 12 26

10 24

APR
1973

LATEST DATA PLOTTED WEEK ENDING: SEPTEMBER 19,

1973

1/ INCLUDES LOANS SOLD OUTRIGHT BY COMMERCIAL BANKS TO OWN SUBSIDIARIES, FOREIGN BRANCHES,
HOLDING COMPANIES, AND OTHER AFFILIATES.


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

PREPARED BY FEDERAL RESERVE BANK OF ST. LOUIS

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