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FEDERAL RESERVEBULLETIN
JULY 1936
ISSUED BY THE
BOARD OF GOVERNORSOF THE FEDERAL RESERVE SYSTEM
AT WASHINGTON
International Gold and Capital Movements
Legal Reserve Requirements of Central Banks
Earnings and Expenses of Member Banks
UNITED STATES OF AMERICA1936
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM
MARRINER S. ECCLES, Chairman
JOSEPH A. BRODERICKM. S. SZYMCZAKJOHN K. MCKEE
RONALD RANSOMCHESTER C. DAVIS
CHARLES S. HAMLIN, Special CounselLAWRENCE CLAYTON, Assistant to the ChairmanELLIOTT THURSTON, Special Assistant to the ChairmanCHESTER MORRILL, Secretary
LISTON P. BETHEA, Assistant SecretaryS. R. CARPENTER, Assistant SecretaryJ. C. NOELL, Assistant Secretary
WALTER WYATT, General CounselGEORGE B. VEST, Assistant General CounselB. MAGRUDER WINGFIELD, Assistant General CounselJ. P. DREIBELBIS, Assistant General Counsel
LEO H. PATJLGER, Chief, Division of ExaminationsR. F. LEONARD, Assistant Chief, Division of ExaminationsC. E. CAGLE, Assistant Chief, Division of Examinations
E. A. GOLDENWEISER, Director, Division of Research and StatisticsWOODLIEF THOMAS, Assistant Director, Division of Research and StatisticsLAUCHLIN CURRIE, Assistant Director, Division of Research and StatisticsGEORGE W. BLATTNER, Assistant Director, Division of Research and Statistics
E. L. SMEAD, Chief, Division of Bank OperationsJ. R. VAN FOSSEN, Assistant Chief, Division of Bank OperationsJ. E. HORBETT, Assistant Chief, Division of Bank Operations
CARL E. PARRY, Chief, Division of Security LoansPHILIP E. BRADLEY, Assistant Chief, Division of Security Loans
O. E. FOTJLK, Fiscal AgentJOSEPHINE E. LALLY, Deputy Fiscal Agent
FEDERAL OPEN MARKET COMMITTEE
MARRINER S. ECCLES, ChairmanGEORGE L. HARRISON, Vice ChairmanJOSEPH A. BRODERTCKCHESTER C. DAVISM. J. FLEMINGG, H. HAMILTONJOHN K. MCKEEB. A. MCKINNEYRONALD RANSOMGEORGE J. SCHALLERM. S. SZYMCZAK
CHESTER MORRILL, SecretaryWALTER WYATT, General CounselJ. P. DREIBELBIS, Assistant General CounselE. A. GOLDENWEISER, EconomistJOHN H. WILLIAMS, Associate EconomistW. RANDOLPH BURGESS, Manager of System
Market AccountOpen
FEDERAL ADVISORY COUNCIL
District No. 1 (BOSTON) THOMAS M. STEELE.
District No. 2 (NEW YORK) JAMES H. PERKINS.
District No. 3 (PHILADELPHIA) HOWARD A. LOEB,
Vice-President.District No. 4 (CLEVELAND) ARTHUR E. BRAUN.
District No. 5 (RICHMOND) CHARLES M. GO HEN.
District No. 6 (ATLANTA) H. LANE YOUNG.
District No. 7 (CHICAGO) EDWARD E. BROWN.
District No. 8 (ST. LOUIS) WALTER W. SMITH,
President.District No. 9 (MINNEAPOLIS) THEODORE WOLD.
District No. 10 (KANSAS CITY)_»__W. T. KEMPER.
District No. 11 (DALLAS) JOSEPH H. FROST.
District No. 12 (SAN FRANCISCO)__M. A. ARNOLD.
WALTER LICHTENSTEIN, Secretary
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SENIOR OFFICERS OF FEDERAL RESERVE BANKS
Federal ReserveBank of—
Boston
New York
Philadelphia
Cleveland
Richmond
Atlanta
Chicago
St. Louis
Minneapolis
Kansas City
Dallas
San Francisco
Chairman and FederalReserve Agent
F. H. Curtiss
R. L. Austin
E. S. Burke, Jr
F. A. Delano
H. W. Martin
W. B. Geery....
J. J. Thomas
C. C. Walsh
W. N. Moore
President
R. A. Young
G. L. Harrison
J. S. Sinclair
M. J. Fleming
Hugh Leach
Oscar Newton
G. J. Schaller
W. McC. Martin
J. N. Peyton . .
G. H. Hamilton
B. A. McKinney
W. A. Day
First Vice President
W. W. Paddock
Allan Sproul
F. J. Drinnen
F. J. Zurlinden
R. S. Parker
H. P. Preston
0. M. Attebery
C. A. Worthington..__
R. R. Gilbert
Ira Clerk
Vice President
W. Willett.i
W. R. Burgess.L. R. Rounds.L. F. Sailer.W. S. Logan.J. H. Williams.C. H. Coe.
C. A. Mcllhenny.2W. J. Davis.
H. F. Strater.W. F. Taylor.i
R. H. Broaddus.J. S. Walden, Jr.G. H. Keesee.i
H. F. Conniff.M. W. Bell.i
C. R. McKay.W. H. Snyder.2J. H. Dillard.
J. S. Wood.J. G. McConkey.
Harry Yaeger.H. I. Ziemer.2
J. W. Helm.2
R. B. Coleman.2
W. M. Hale.C. E. Earhart.i
i Cashier. 2 Also cashier.
MANAGING DIRECTORS OF BRANCHES OF FEDERAL RESERVE BANKS
Federal Reserve Bank of—
New York:Buffalo branch
Cleveland:Cincinnati branchPittsburgh branch
Richmond:Baltimore branchCharlotte branch
Atlanta:Birmingham branchJacksonville branchNashville branchNew Orleans branch
Chicago:Detroit branch __
St. Louis:Little Rock branchLouisville branchMemphis branch
Managing director
R. M. O'Hara.
B. J. Lazar.T. C. Griggs.
W. R. MilfordW. T. Clements.
J. H. Frye.G. S. Vardeman, Jr.J. B. Fort, Jr.Marcus Walker.
R. H. Buss.
A. F. Bailey.J. T. Moore.W. H. Glasgow.
Federal Reserve Bank of—
Minneapolis:Helena branch
Kansas City:Denver branchOklahoma City branchOmaha branch
Dallas:El Paso branchHouston branchSan Antonio branch
San Francisco:Los Angeles branch _Portland branch _.Salt Lake City branchSeattle branchSpokane branch. _
Managing director
R. E. Towle.
J. E. Olson.C. E. Daniel.L. H. Earhart.
J. L. Hermann.W. D. Gentry.M. Crump.
W. N. Ambrose.R. B. West.W. L. Partner.C. R. Shaw.D. L. Davis.
SUBSCRIPTION PRICE OF BULLETIN
The FEDERAL RESERVE BULLETIN is the Board's medium of communication with memberbanks of the Federal Reserve System and is the only official organ or periodical publication ofthe Board. The BULLETIN will be sent to all member banks without charge. To others thesubscription price, which covers the cost of paper and printing, is $2. Single copies will be soldat 20 cents. Outside of the United States, Canada, Mexico, and the insular possessions, $2.60;single copies, 25 cents.
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TABLE OF CONTENTS' PAGE
Review of the Month—Recent credit developments—International gold and capital movements 509-515National summary of business conditions 516-517Summary of financial and business statistics 519Earnings and expenses of member banks 520-529Condition of all banks in the United States 530-535Recent legislation regarding Bank of France and Government borrowing 536The National Bank of Denmark Act 537-540Legal reserve requirements of foreign central banks 541-543Gold reserves of central banks and governments 544-547Law department:
Rulings of the Board:Eligibility of loans insured under National Housing Act 548Maximum rates of interest payable on time deposits under Regulation Q 548Applicability of section 2(c) of Regulation U to security dealers "making a market" in registered
stocks or purchasing an inventory of such stocks for resale 549Applicability to collateral for loans made prior to May 1, 1936, of provisions in Regulation U govern-
ing withdrawal or substitution of collateral 549Applicability of section 2(f) of Regulation U to a loan to a dealer to purchase securities to comply with
orders from customers 549Amendment No. 8 of Regulation T 550Amendment No. 1 of Regulation U 550Amendment No. 2 of Regulation U 550
Annual report of the Central Bank of the Argentine Republic 551-563Annual report of the Netherlands Bank 564-568Financial, industrial, and commercial statistics:
Member bank reserves, Reserve bank credit, and related items 569Federal Reserve bank statistics 570-572Member bank reserve balances 573Money in circulation 574Gold stock and gold movements 575All banks in the United States 576All member banks 577-578Reporting member banks in leading cities 579-582Banks suspended and placed in liquidation or receivership; bank debits; Postal Savings System 583Acceptances, commercial paper, and brokers' borrowings 584Federal Reserve bank discount rates 585Money rates and bond yields 586Security markets 587Treasury finance 588Governmental corporations and credit agencies 589-590Production, employment, and trade 591-597Wholesale prices 598
International financial statistics:Gold reserves of central banks and governments 599Gold production 600Gold movements 600-602Central banks . 603-606Bank for International Settlements 606Commercial banks 607Discount rates of central banks 608Money rates 608Foreign exchange rates „ 609Price movements:
Wholesale prices 610Retail food prices and cost of living 611Security prices 611
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FEDERAL RESERVE BULLETINVOL. 22 JULY 1936 No. 7
REVIEW OF THE MONTH
Member bank reserve balances, which in-creased in May and the first half of June
largely in reflection of goldMember bank imports, were sharply reducedreserves . \ ' . ^
in the third week of June asa result of Treasury fiscal operations. Theyincreased again in the last half of the monthas the Treasury paid out large amounts fromits accumulated balances in cashing adjustedservice bonds. Excess reserves declinedfrom a total of nearly $3,000,000,000 on June10 to about $2,000,000,000 on June 17, thesmallest amount for over a year. By the endof the month they had again risen to about$2,700,000,000.
In recent months the Treasury has main-tained a large working balance and a much
larger amount than usual on de-Effect of posit with Federal Reserve banks.
The maintenance of these largeTreasury deposits at the Reserve
banks has resulted in keeping excess reservesof member banks at a lower level than wouldotherwise have been the case. These Treas-ury deposits, following a sharp increase inMarch resulting from income tax receiptsand the sale of new securities, were con-siderably reduced in April by current Treas-ury expenditures. The rate of reduction wassomewhat diminished in May and until thelatter part of June when the Treasury raisedsome of its current funds by weekly issues ofTreasury bills of $50,000,000 in excess of cur-rent maturities. On June 15 the Treasurysold on cash subscription about $1,100,000,-000 of new bonds and notes and exchangedanother $1,000,000,000 for notes maturingon June 15 and August 1. Receipts from thesale of these securities and from income taxesresulted in an increase of Treasury balances
Treasuryoperations
at the Reserve banks from $500,000,000 to$1,400,000,000, and a corresponding decreasein excess reserves of member banks.
During the latter half of June, as a resultof redemption of adjusted service bonds in theamount of about $800,000,000 and other cur-rent expenditures, offset in part by additionalreceipts, Treasury cash and deposits with theReserve banks declined by $700,000,000. Ac-companying the redemption of the adjustedservice bonds there was an exceptionallylarge increase of about $250,000,000 in thetotal amount of money in circulation. Thisgrowth in circulation of currency offset some-what the effect of Treasury disbursementson excess reserves. As the funds obtainedfrom redemption of the adjusted servicebonds are deposited in banks, either by theoriginal recipients or after expenditure, theadditional currency will return to the banksand be gradually retired from circulation.This will further increase both the depositsof banks and their excess reserves.
Inflow of gold from abroad which beganin April continued until the third week of
June. This gold movementinternational was an important factor ingold and increasing bank deposits andcapital ,_, n -movements excess reserves. Toward the
end of June, however, the gold-bloc currencies strengthened on the ex-changes, and the movement of gold to theUnited States was checked. Altogether $445,-000,000 of gold was shipped to the UnitedStates from the middle of April to the thirdweek of June—$47,000,000 from the Nether-lands and $333,000,000 from France. Dur-ing much of this time the British ExchangeEqualization Account was reported to be ac-quiring gold in Paris, and there were ship-ments of French gold to Belgium. In the
509
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510 FEDERAL RESERVE BULLETIN JULY 1936
latter part of the period Swiss gold was soldto the Bank of France since Swiss exchange,which is stabilized by the Swiss NationalBank principally through gold operations inParis, was under much the same pressure asthe other gold-bloc currencies. The pressure,however, came largely from the movementof Swiss funds to the United States, and thegold released by the Swiss bank in its sup-porting operations in Paris was in effect sentto this country as a shipment from France.
The movement of the last two months hasbrought the total amount of foreign gold ac-
quired by the United States sincet h e e n d Qf 1 9 3 3 t o m o r e than$3,350,000,000. In addition, the
purchase of silver abroad, which has in somemeasure displaced gold in the internationalbalance of payments, has amounted to morethan $500,000,000. It is estimated that not
INTERNATIONAL TRANSACTIONS OF THE UNITED
STATES, 1934 AND 1935
[In millions of dollars; (+) indicates dollar receipts, (—) dollar payments]
Gold and silver movement
GoldSilver
Merchandise and service items._ __
Merchandise1
Service items
Capital items
Stocks and bondsRhort-tprm fundsDirect investments and other capital
transactions
Kesidual item ._
Total,1934 and
1935
-3,378
- 2 , 956—422
+669
+736- 6 7
+ 1 , 896
+644+ 1,162
+90
+813
1934
- 1 , 3 0 3
- 1 , 2 1 7- 8 6
+461
+481-20
+360
+202+192
-34
+482
1935
-2,075
-1,739-336
+208
+255- 4 7
+1, 536
+442+970
+124
+331
1 Includes merchandise adjustments.
much more than a sixth of this gold and sil-ver is accounted for by net payments to theUnited States by foreigners for merchandiseand services during this period. The tableshows that the balance was about $670,000,-000 in 1934-35; and this balance has not in-creased materially in 1936 since merchan-dise imports to the United States throughMay have somewhat exceeded exports.
Nearly two-thirds of our total receipts ofgold and silver reflects the known movementof capital to this country. A summary of thefigures as reported by the Department ofCommerce for 1934 and 1935 is given in thetable.
Notwithstanding the fact that the move-ment of capital to the United States since the
end of 1933 has been associ-Transfer of ated, to an important degree,Unfted̂ StaVs116 w i t h t h e difficulties of the
gold-bloc countries—France,Switzerland, and the Netherlands—the bulkof this capital has not come directly fromthese countries. About 60 percent of the re-ported net inflow of capital has been in theform of short-term balances, and of these,French, Dutch, and Swiss balances accountfor about a fifth. The movement of gold-blocbalances to the United States has been con-siderably less than the return of Americanbalances from abroad. Only a part of theseAmerican balances has been drawn directlyfrom the gold-bloc countries. To a con-siderable extent they represent the releaseof frozen accounts in Germany and othercountries where exchange controls are opera-tive. The largest movement, however, hasbeen a return of funds previously invested inLondon. This movement out of London ap-pears to have been strongly influenced by themarket for forward exchange.
The importance of the forward exchangemarket lies in the fact that forward opera-
tions are essential to re-Forward exchange m0Ve the risk of exchangem a r e losses. When Americanbanks put funds at interest in London, theyincur the risk that sterling will decline andthe funds depreciate in terms of dollars. Therisk can be eliminated at the time the fundsare transferred by selling sterling for futuredelivery. This fixes the exchange rate atwhich the sterling funds can subsequently beconverted into dollars. Forward sterling,however, may sell at a premium or a discount
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JULY 1936 FEDERAL RESERVE BULLETIN 511
with relation to the spot sterling rate atwhich the transfer of funds to London ismade. If this is the case, the banks will re-ceive on their London funds the going rateof interest plus the premium, or minus thediscount, on forward sterling. Since the endof 1934 forward sterling has prevailinglybeen at a discount sufficient to offset thehigher interest rate that can be earned in theLondon market, and American balances inLondon, which were substantial at the endof 1934, have been reduced to what appearsto be a working minimum.
The discount on forward sterling has beenconnected in some measure with the gold-blocdifficulties. The movement of gold-bloc fundsto London has been an important factor inmaintaining spot sterling at a higher levelthan operators in the forward market havebeen willing to accept as permanent. Thusthe gold-bloc difficulties have contributed toa forward market situation in which con-servative American banking funds have re-turned from London as well as from the gold-bloc countries. This situation in the forwardmarket has also made it profitable to placea substantial volume of British and otherfunds in New York.
Much of the increase in dollar balanceshere, however, undoubtedly represents a re-
building of working bal-Working balances a n c e s w W c h ^ b e e n r e_
duced to a minimum during the period whenthe dollar was declining in 1933. At theend of that year the Department of Com-merce survey indicated that foreign balancesin the United States had been reduced to$500,000,000. A year earlier, although inter-national business was at a low ebb and cen-tral banks had largely repatriated their dol-lar reserves, foreign balances amounted to$800,000,000. It is probable that at the pres-ent time, with all activities at a considerablyhigher level than in 1932, working balancesof at least $800,000,000 are required to trans-act foreign business in this country without
inconvenience. In fact, the increase of work-ing balances in the United States since theend of 1933 may well have been greater thanthe total increase in balances of the gold-bloccountries. Much of this increase has comefrom Latin America and the Far East.
Another factor, more difficult to trace, hasoperated upon the movement of balances tothe United States. When the tension inEurope over the Ethiopian situation reacheda critical point last autumn, there was aheavy transfer of funds from London to NewYork, and at other times international politi-cal developments abroad appear to have stim-ulated the flow of capital. Thus, in additionto direct transfers from the gold bloc, manyfactors—release of frozen funds abroad, thesituation in the forward exchange market,the restoration of working balances here, andinternational tensions of a political character—have acted upon the movement of short-term balances to the United States. As hasbeen noted this movement accounted forabout 60 percent of the reported net inwardmovement of capital since 1933.
The remaining 40 percent mainly repre-sents capital that has come to this country
since 1933 through net pur-Foreign chase of securities. At the out-secm-itieT ° se^ these purchases repre-
sented, for the most part, for-eign buying of foreign securities in thismarket. Advantage was taken of the reducedcost of the dollar in 1934 and of the low quo-tations of many foreign dollar bonds to buyback the bonds from American holders. Inaddition, regular sinking fund and redemp-tion operations led to a demand for foreignsecurities which continued to operate afterthe special buying that had characterized1934 diminished. Altogether, about 40 per-cent of the net inward movement of funds insecurity transactions since 1933 has repre-sented transactions in foreign securities.
The sustained movement into Americansecurities did not get under way until the
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512 FEDERAL RESERVE BULLETIN JULY 1936
spring of 1935. During the summer it grewin volume and in the last quarter of the yearattained its maximum rate. Buying has con-tinued active in 1936. The sustained char-acter of the movement at times when Euro-pean balances were not increasing, or werebeing reduced as in the five months endingApril 1936, suggests that foreign investorsbelieve the American market offers an op-portunity for profitable investment of theirfunds. This movement was interrupted atthe beginning of May following the recessionin stock prices, but in recent weeks it hasbeen resumed. The interruption occurred ata time when the gold-bloc difficulties were in-creasing and the movement of balances,which had been outward during the winter,had turned heavily inward.
While the purchase of American securitiesby foreigners since May 1935 appears to re-flect conditions in the United States morethan conditions in Europe, most of the buyingon balance has come from Europe and thegold bloc as a whole accounts for nearly half.The other half largely represents Britishpurchases or purchases executed throughLondon.
Foreign purchases of American securitieshave accounted for little more than one-fifth
of the total reported move-Foreign long- ment of capital to the Unitedterm assets in States since 1933. To aUnited States ,
at end of 1935 great extent the movementhas been in short-term bal-
ances. Yet, figures recently published bythe Department of Commerce indicate thatthe value of foreign long-term investmentsin the United States at the end of 1935 wasmore than four times the amount of foreignbalances in this country. The large volumeof foreign investments in the United Statesreflects the fact that the bulk of these invest-ments was acquired before the recent pur-chasing movement began. Although securi-ties may have changed hands and marketvalues fluctuated, foreigners have maintained
in this country throughout the depression avolume of securities substantially as greatas the amount now held. Not more than 10percent of the $5,000,000,000 of long-termassets shown in the table as held by foreign-ers at the end of 1935 appears to have beenacquired since 1933.
FOREIGN INVESTMENTS IN THE UNITED STATES,BY COUNTRIES, DECEMBER 31, 1935
[In millions of dollars]
Common stocksPreferred stocks..BondsDirect investmentsOther investments
Total
Total
2,015329607
1,0451,039
5,035
GreatBritain
37214691
362403
1,374
Canada
4086649
322161
1,006
Goldbloc
55264
338276235
1,465
Othercountries
68353
12985
240
1,190
Source of data: Department of Commerce.
The table distributes investments by indi-vidual countries and groups of countries.This distribution does not necessarily reflectthe ultimate ownership. Securities reportedin the original data under Switzerland, forinstance, may be held by Swiss institutionsfor account of other countries. In the caseof direct investments, the stock of the parentorganization may be largely or entirely heldin countries other than that in which it is in-corporated. It is probable, however, that thetable presents a broadly accurate picture ofthe distribution of foreign-held investmentsin the United States. More American invest-ments are held in Great Britain than in anyother country. The next largest amount isheld in Canada, notwithstanding the factthat there has been hardly any increase inCanadian holdings during the movement thatbegan in May 1935. The gold bloc appearsto have acquired during 1935 little more thana tenth of the investments it held at the endof the year. Gold-bloc purchases in the lastquarter of the year, however, were at anaccelerated pace, which has been continuedin 1936.
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JULY 1936 FEDERAL RESERVE BULLETIN 513
A considerable part of the capital that hasflowed out of the gold-bloc countries has
gone to countries other thanGold-bloc reserves the United States. It is
probable that England hasreceived more gold-bloc capital than theUnited States in recent years, although golditself has moved in greater volume to thiscountry. While England has been receivinggold-bloc capital, British and other capitalhas flowed to the United States and Ameri-can funds abroad have been brought home.As a consequence, shipments of gold from thegold bloc to this country have been at leasttwice as large since the end of 1933 as capitalmovements from these countries to the UnitedStates.
Reductions in gold-bloc reserves have beengreatest during the past fifteen months.There were substantial declines, however, inSwiss and Dutch reserves in earlier years,while some of the more recent gold losseshave been recovered. The table shows thechanges in the reserve position of each of thethree countries over the period during whichthe outward movement of gold has been inlarge volume.
CENTRAL GOLD RESERVES OF FRANCE, NETHERLANDS
AND SWITZERLAND
[In millions of dollars at $35 an ounce]
Bank of France:Mar. 29, 1935 . . .June 19, 1936
Decrease
Netherlands Bank:Dec. 27, 1932June 22, 1936 .
Decrease...
Swiss National Bank:Oct. 31, 1932June 23, 1936
Decrease . . . .
Total
5,4783,577
1,901
703401
302
862459
403
Required by lawagainst domes-
tic liabilities
2, 3882,141
247
329207
121
203161
42
Availablefor inter-
national use
3,0901,436
1, 654
374193
181
659298
361
The table brings out the fact that a con-siderable portion of the gold reserves of allthree countries is required by law to be held
against domestic liabilities such as notes anddeposits. At present in France the gold re-quired by law against domestic liabilities ishalf again as great as that available for inter-national use. Domestic liabilities have con-tracted somewhat as capital has been with-drawn, and a moderate amount of gold hasthus been freed for international use. Thecontraction, however, has been concentratedin those deposits which include the reservebalances of the commercial banks. These re-serve balances appear now to have been re-duced close to a working minimum. Notecirculation of the Bank of France has not de-clined. During June it increased contrary tothe usual decline after a month-end settle-ment date, and it is now nearly at the peakreached early in 1933. The gold available forinternational use at the end of June was lessthan the gold paid out since March 1935. Thistakes no account of the sterling creditamounting to about $200,000,000 that is dueto be repaid before the end of the year.
In this issue of the FEDERAL RESERVE BUL-LETIN the table showing gold reserves of the
world is enlarged to include ad-ditional institutions, and a tabu-lar statement is given of the
legal reserve requirements of 45 foreign cen-tral banks. The table on page 514 shows thecurrent reserve position of a group of 17 coun-tries holding more than 95 percent of theworld's central gold reserves as reported inthe BULLETIN. It is possible that in somecases reserve items and liabilities againstwhich reserves must be held are not shownon the balance sheet of the central bank in aform precisely comparable with the law. Insuch cases the computation is subject to somemargin of error. The countries have beenarranged in order of the magnitude of theirtotal international trade in 1935.
Since in many countries the existing goldparity has ceased to be related to the valueof the currency on the exchange market, thereserves available for international use have
World goldreserves
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514 FEDERAL RESERVE BULLETIN JULY 1936
been computed on the basis of current ex-change rates as well as upon that of theexisting legal value. At current rates ofexchange the gold held by a number of cen-tral banks represents a larger proportion oftheir liabilities than it does when figured atlegal value, and consequently on this basis alarger amount of the banks' gold reserves isavailable for international use.
CENTRAL GOLD RESERVES AT THE END OF MAY 1936
[In millions of dollars]
United KingdomUnited StatesGermanyFranceJapanCanadaBelgium __Italy'Netherlands _British IndiaArgentinaSouth AfricaSwedenSwitzerlandCzechoslovakia __Spain .Rumania
Total (17 countries)
Totalheld
1,70110,402
283,781
439188610270465275438189220485113718111
20, 433
Available for inter-national use i
With goldvalued atlegal rate
3326,300
2 281, 612
125106254
2 270239
27316
78124315
5102
10,179
With goldvalued atcurrentrates of
exchange
8756,300
2 281,612
331108254
2 270239125316122165315
51403
32
11,546
1 Gold not legally required against domestic liabilities.2 Reserve requirements suspended.a Latest figures available for Italy are as of December 31, 1935.
Legal reserve requirements of centralbanks are not always rigid. Provision ismade in a number of cases for reserves to fallbelow the legal minimum subject to certainpenalties. On the other hand, a deficiency inlegal reserves is generally regarded as per-missible only when a condition of extremeemergency exists. The reserves available forinternational use are broadly those so desig-nated in the table.
In many cases these reserves are now lessthan the international drains of gold thathave been met at various times during thecourse of the depression. In a number ofcountries such drains have been greater than
the total reserves they now hold. Amongsuch countries are Germany, Italy, Switzer-land, Japan, Argentina, and Brazil. TheBank of France and the Netherlands Bankhave lost more gold than they now have avail-able for international use, and the same state-ment could be made of the Bank of Englandif account be taken of the French-Americancredits used up in defense of sterling in thesummer of 1931. The drain encountered atthat time was considerably greater than thegold now held by the bank in excess of theamount required by law against notes in cir-culation, irrespective of whether this freereserve be computed on the basis of the legalvalue of gold or the current market rate.The Government's Exchange EqualizationAccount, however, now holds unreported goldthat is entirely available for internationaluse.
The United States has more gold set asideagainst its domestic liabilities than the totalstock possessed by any other country. In ad-dition it has gold available for internationaluse to an amount more than three times asgreat as the maximum gold drain during thedepression. The inflow of this gold has beenthe principal factor in the unprecedented in-crease of excess member bank reserves.
The strengthening of the French franc andother gold-bloc currencies in the third week
of June followed the an-Gold bloc nouncement in the Chamberrf juSneWeek o f Deputies on June 19 of the
Government's financial pro-gram. An element in this program wasaction against those who failed to registerFrench capital abroad for tax purposes. As-surance was given that neither devaluationof the franc nor a capital levy at home wascontemplated. The domestic program in-volving an expansion of Government ex-penditures was to be financed at the outsetwith advances from the Bank of France andsubsequently by the issue of small-denomina-tion Government securities designed to draw
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JULY 1936 FEDERAL RESERVE BULLETIN 515
into activity funds now hoarded. Followingthe announcement of this program prices ofFrench securities rose, and there appears tohave been some inward movement of fundsfrom abroad. Gold amounting to $3,000,000was acquired by the Bank of France in theweek ending June 26. On June 24 the banklowered its discount rate from 6 to 5 percentand on June 26 to 4 percent.
The Netherlands Bank which, in the weekending June 29, also gained $3,000,000 ofgold, reduced its discount rate from 41/2 per-cent to 4 percent on June 25 and to 314 per-cent on June 30. In the week ending June30 the Swiss National Bank acquired gold tothe amount of $1,000,000.
Appointment of Mr. Davis to the Board ofGovernors
On June 5 the President sent to the Senatethe nomination of Chester C. Davis, of Mary-land, as a member of the Board of Governorsfor a term of eight years beginning February1, 1936. This appointment was approved bythe Senate on June 16, and Mr. Davis as-sumed his duties as a member of the Boardon June 25.
Mr. Davis was born in Dallas County,Iowa, on November 17, 1887. He was gradu-ated from Grinnell College, Iowa, in 1911.For seven years he edited newspapers inSouth Dakota and Montana, and later becameeditor and manager of the Montana Farmerat Great Falls. In 1921 he was appointed toorganize the Montana State Department ofAgriculture and was Commissioner of Agri-culture until 1925, when he was appointeddirector of grain marketing for the IllinoisAgricultural Association at Chicago. From1929 to 1933 he was executive vice presidentof a company, with headquarters in Chicago,formed to manufacture industrial productsfrom farm wastes, particularly cornstalks.Early in 1933 Mr. Davis was appointed direc-tor of the Production Division of the Agricul-tural Adjustment Administration and on De-cember 15 of the same year he was appointed
Administrator of the Agricultural Adjust-ment Administration. During the earlymonths of this year Mr. Davis, at the requestof the President, made a trip abroad in orderto survey at first hand trade conditions inEurope and to study the effect of changes inthe economic policies of foreign countries inrelation to American agriculture.
Resignation of Mr. Morrison as Member of Boardof Governors
As of July 9, 1936, the resignation ten-dered by Ralph W. Morrison of Texas asa member of the Board of Governors of theFederal Reserve System was accepted. Mr.Morrison had served as a member of theBoard since February 10, 1936.
Appointment of Chairman and Federal ReserveAgent, Deputy Chairmen, and Class C Directorsat Federal Reserve Banks
On July 7, 1936, Walton N. Moore wasdesignated as Chairman and Federal ReserveAgent at the Federal Reserve Bank ofSan Francisco for the period ending Decem-ber 31, 1936, on which date his term asClass C director of the bank will terminate.
On June 16, 1936, Owen D. Young was ap-pointed as a Class C Director of the FederalReserve Bank of New York for the unexpiredportion of the term ending December 31,1937,and as Deputy Chairman of the board of di-rectors of the bank for the remainder of thecurrent year.
On July 7, 1936, Frank J. Lewis and RobertE. Wood were appointed as Class C Directorsof the Federal Reserve Bank of Chicago forthe unexpired portions of the terms endingDecember 31, 1937, and December 31, 1938,respectively, and Mr. Wood was appointed asDeputy Chairman of the board of directors ofthe bank for the remainder of the currentyear.
On July 7, 1936, A. O. Stewart was ap-pointed a Class C Director of the FederalReserve Bank of San Francisco for the unex-pired portion of the term ending December31, 1938, and as Deputy Chairman of theboard of directors of the bank for the re-mainder of the current year.
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516 FEDERAL RESERVE BULLETIN JULY 1936
NATIONAL SUMMARY OF BUSINESS CONDITIONS[Compiled June 25 and released for publication June 27]
Volume of industrial production, whichhad increased sharply in April, was main-tained in May, and there was an increase indistribution of commodities to consumers.
Production and employment. — TheBoard's seasonally adjusted index of indus-
PERCl
140
130
120
110
100
90
80
70
6050
\\
INDUSTRIAL PRODUCTION
\
Al\/ ^
J
. /'V
1929 1930 1931 t932 1933 1934 1935 1936
PER CENT
140
130
120
110
100
90
80
70
60
50
Monthly index of physical volume of production, adjusted forseasonal variation, 1923-1925 average = 100.
trial production in May was 101 percent ofthe 1923-1925 average, as compared with 100percent in April. Production of durablemanufactures increased further, reflectinglarger output of steel and lumber, partly off-set in the total by a reduction in the output
120
110
70
60
50
40
30
FACTORY EMPLOYMENT AND PAYROLLS
Employment
\Payrolls^1
\ A
A/
/V
/ V
!
120
110
100
90
80
70
60
50
40
30
1929 1930 1931 1932 1933 1934 1935 1936
Monthly indexes of number employed and payrolls at factories,unadjusted for seasonal variation, 1923-1925 average = 100.
of automobiles from the high level of April.At steel mills the rate of activity in May washigher than at any other time since the spring
of 1930. This level has been maintained inJune, reflecting in part some accumulation ofsteel by fabricators in advance of the effectivedate of recently announced price increases.Declines in production were reported formany nondurable manufactures; at woolenmills, however, activity increased. Output ofbituminous coal declined from April to M"ay,while output of crude petroleum continued inlarge volume.
Factory employment increased slightlybetween the middle of April and the middle ofMay, contrary to the usual seasonal tendency.Increases were reported at plants producingiron and steel products, machinery, and mostother durable manufactures. Changes in em-ployment in industries producing nondurablemanufactures were largely of a seasonalnature. Factory payrolls were somewhatlarger in the middle of May than a monthearlier.
110
100
90
80
70
60
50
40
WHOLESALE PRICES
V\
Farm Pr
Otherommodi
foods'
\\>\oducts .
ties r-Jtt\.J4
Mlv-
120
110
100
90
80
70
60
50
40
301929 1930 1931 1932 1933 1934 1935 1936
Indexes compiled by the United States Bureau of Labor Statis-tics, 1926 = 109. By months, 1929 to 1931; by weeks, 1932 to date.Latest figure is for week ending June 20, 1936.
Total value of construction contractsawarded, according to figures of the F. W.Dodge Corporation, declined slightly fromApril to May. Awards for residential build-ing continued to increase and in May, as inother months this year, were substantiallylarger than a year ago when residentialbuilding was first beginning to increase fromthe extreme low level of the depression.
Distribution.—Department store sales,which usually decline at this season, increasedfrom April to May and there was also a rise
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JULY 1936 FEDERAL RESERVE BULLETIN 517
in sales at variety stores and mail orderhouses. Freight-car loadings increased byslightly more than the usual seasonal amount.
Commodity prices.—Wholesale prices ofcommodities, which had declined from themiddle of April to the middle of May, haveadvanced somewhat since that time and in theweek ending June 20 were at 78.7 percent ofthe 1926 average, according to the index ofthe Bureau of Labor Statistics. In recentweeks prices of livestock and livestock prod-ucts, grains and flour, and textile raw ma-terials and finished products have advanced.For many steel products price increases havebeen announced to take effect early in thethird quarter.
Bank credit.—Excess reserves of memberbanks, after a slow increase in May and theearly part of June, declined by $900,000,000in the week ending June 17. The reductionin excess reserves was due principally to anincrease in the deposits maintained at theReserve banks by the Treasury, which re-ceived large payments for new securitiesissued, as well as quarterly tax installments.At that time the Treasury began to distributechecks and adjusted service bonds to veteransand there was an increase in the demand for
currency in connection with the cashing ofthese bonds and checks.
United States Government obligations heldby reporting member banks in leading cities,which had increased somewhat in May and
BILLIONS OF DOLLARS BILLIONS OF D O L U
— Demand Deposits-/\ /Adjusted \ f
MEMBER BANK CREDIT
V*-
7935
Total Loans Jid Investments-aL-t
'34
Wednesday figures for reporting member banks in 101 leadingcities, September 5, 1934 to June 17, 1936. Loans on real estate,loans to banks, and acceptances and commercial paper boughtincluded in total loans and investments but not shown separately.
early June, showed a further sharp increasein the week ending June 17 in connectionwith the new issue of Government securities.Bank loans also increased.
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518 FEDERAL RESERVE BULLETIN JULY 1936
MEMBER BANK RESERVES AND RELATED ITEMSBILLIONS OF DOLLARS Wednesday figures BILLIONS OF DOLLARS
11
1930 1931 1932 1933 1934 1935 1936
MEMBER BANKRESERVE BALANCES
.".EXCESS RESERVES-::'-:
1930 1931 1932 1933 1934 1935Latest figures for June 24, 1936. See table on page 569.
1936
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JULY 1936 FEDERAL RESERVE BULLETIN 519
SUMMARY OF FINANCIAL AND BUSINESS STATISTICS
Average for year
1929 1932 1933 1934 1935
1935
May June
1936
RESERVE BANK CREDIT, MEMBER BANKRESERVES, AND RELATED ITEMS
Reserve bank credit—total. _Bills discountedBills boughtU. S. Government securities
Monetary gold stockTreasury currency.Money in circulationTreasury cash and deposits with Federal Re-
serve banksNonmember deposits and other accountsMember bank reserve balances:
TotalExcess
(Averages of daily figures; in millions of dollars)
1,459952241208
3,9962,0154,476
229406
2,35843
2,07752171
1,4613,9522,0965,328
275407
2,114256
2,42928383
2,0524,0592,2715,576
343497
2,343528
2,5023625
2,4327,5122,3815,403
2,879438
2,47575
2,4319,0592,4785,585
2,919507
2,47675
2, 4348, 7552,5345,507
2,942537
2,47985
2,4319,0252,5135,522
527
2,48465
2,43010,1582,4865, 757
3,058533
3,676 5,001 4,778 4,979 5,780 5,808 5,420 5,3001,564 2,469 2,297 2,438 3,033 3,038 2,653 2,510
2,49385
2,43010,1632,4955,779
2,981584
2,48465
2,43010,1722,5025,857
3,278603
2,48065
2,43010, 2022,5035,892
3,384608
2,47654
2,43010, 3242,4955,918
3,133606
5,6382,800
REPORTING MEMBER BANKS (Averages of Wednesday figures; in millions of dollars)
Total loans and investmentsLoans to brokers in New York CityOther loans on securitiesAll other loansU. S. Government obligations:
DirectFully guaranteed
Other securitiesReserves with Federal Reserve banksCash in vaultBalances with domestic banksDemand deposits—adjustedTime deposits (excluding interbank)2
Deposits of domestic banks3
Borrowings
22, 5991,4056,2519,231
2,865
2,8471,725
2481,142
0)6,7882,787
674
19,080337
4,5086,578
4,413
3,2451, 673
2141,250C1)
5,6662,772
228
17, 505591
3,3435,222
5,228
3,1211,822
2401,3220)
4,9462,822
115
18, 672815
2,7114,965
6,856«325
"3,0002,875
2711,6880)
4,9373,814
19,997820
2,3014,907
7,989928
3,0524,024
3262,11212, 7294,8834,938
19,814844
2,3064,933
7,853787
3,0913,820
3012,04312, 3734,9704,758
6
19, 887844
2,2894,895
7,910943
3,0064,041
3182,018
12, 8144,8744,747
6
20,928923
2,2474,910
8,5991,1553,0944,773
3542,33613,8244,8925, 620
2
21, 053901
2,2304,850
8,7081,1943,1704,782
3562,33514,0644,8935,647
2
21, 445995
2,2724,956
8,7371,2473,2384, 363
3662,33413, 8814,9235,649
13
21, 7451,0082,2925,061
8,7671,2733,3444,180
3702,26213,9824,9715,484
7
217832"973
2,2905,092
8,8771,2863,3144,577
3782,28314, 3715,0515,477
MONEY RATES AND BOND YIELDS (Averages of weekly figures; percent per annum)
Commercial paperStock exchange call loansU. S. Treasury billsU. S. Treasury bonds, long termCorporate high grade bonds (Moody's Aaa)_
CAPITAL ISSUES
All issues—totalNewRefunding
Domestic corporate issues—totalNewRefunding __
PRICES
Common stocks (1926=100)Wholesale commodity prices (1926=100):
All commoditiesFarm productsFoodsOther commodities
Retail food prices (1923-25 = 100)
BUSINESS INDEXES
Industrial production—total.__Manufactures __Minerals
Construction—totalResidentialAll other
Factory employmentFactory pay rolls (unadjusted).Freight car loadingsDepartment store sales
5.857.61
3.604.73
2.732.05.88
3.665.01
1.721.16.52
3.314.49
1.021.00.26
3.104.00
.76
.56
.142.703.74
.75
.25
.152.613.74
.75
.25
.132.613.72
.75
.75
.102.683.66
.75
.75
.082.623.62
.75
.75
.112.543.61
.75
.75
.102.513.60
.75
.93
.182.503.58
(Monthly basis; in millions of dollars)
(Index numbers)
190
9510510092105
48
6548617068
63
6651617166
72
7565717874
78
8079847880
73
8081847881
76
8078837882
100
8178847982
106
8180837981
109
8077807980
109
8077807980
101
7975787980
(Index numbers, adjusted for seasonal variation, 1923-25—100)
11911911511787142105109106111
64637128134064465669
76758225113769495867
79788632124879626275
90909137215082706379
85848927213281696176
86849830243680666380
989710361259085737079
949111052257384737080
93939547266384766688
1009910547306085786981
?101P101P 1 0 246325786797088
MERCHANDISE EXPORTS AND IMPORTS (Monthly basis; in millions of dollars)
Exports, including re-exports 437General imports 367
134110
140 I121
178138
190 I171 |
165171 !
170 I157
199 I187 |
182193
195199
193 I203
P201P191
2,47863
2,43010, 5142,4926,062
3, 372567
5,484P2, 609
22, 3731.0742,3345,127
9,2021,3033,3334,389
3872,290
14, 5635,0375,503
3
1.00.23
2.503.55
959841118781667115
14610046542727
896029321318
18011664411526
38912426518934
' 155
472873841274582
5125845412914115
r400122••27826665201
30210719519513181
»763130r63459559536
n, 004177'827658128530
41311230230538267
731217514528152376
106
0)0)0)0)0)
(0(00)0)(00)0)0)0)
0)0)
p Preliminary.i Figures not available.
• Partly estimated. '•Revised.2 Includes time deposits of banks, domestic and foreign, 1929-1934. 3 Does not include time deposits 1929-1934.
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520 FEDERAL RESERVE BULLETIN JULY 1936
EARNINGS AND EXPENSES OF MEMBER BANKS
Member banks of the Federal ReserveSystem, taken as a whole, showed net profitsfor the year 1935 for the first time since 1931.These profits were earned notwithstandingthe continued low level of money rates andthe large volume of funds for which the banksfound no employment and on which they con-sequently received no return. The improve-ment has reflected a decrease in charge-offs,an increase in recoveries, and appreciation insecurities sold. Detailed statistics of earn-ings and expenses of member banks in 1935and 1934 are given in tables on subsequentpages of this BULLETIN.
Net profits, as shown in the tables, includenot only net earnings from current opera-tions but also recoveries and profits on securi-ties sold, less charge-offs for losses and de-preciation. In 1935 net profits were slightlymore than $4 for every $100 of total capitalfunds, as compared with net losses of about41/) percent of capital in 1934 and 7 ^ per-cent in 1933. In the period from 1925 to 1929net profits averaged nearly 9 percent of capi-tal funds. Cash dividends declared were in-creased slightly in 1935 and for the first timesince 1929 were covered in full by net profits;they continued, however, smaller than in theyears prior to 1933.
EARNINGS AND EXPENSES OF MEMBER BANKS
[In millions of dollars]
Total current earningsTotal current expenses
Net earnings from current opera-tions
Recoveries, profits on securities sold, etC-_Losses and depreciationNat profit or loss (—)Cash dividends declared
1929
2. 3991, 684
715137295557403
1933
1,237859
378125858
-350151
1934
1,244843
394254873
-225174
1,207833
37437o538212187
Gross earnings from current operations,as shown in the following table and in thechart, were slightly smaller in 1935 than in1933 and 1934, reflecting reduced yields onloans and investments. Although currentexpenses also declined, net earnings from cur-rent operations were smaller than in earlieryears. The improvement in net profits re-flected a substantial decrease in charge-offsfor bad and doubtful assets, and an increasein recoveries on charge-offs of previous
years and profits on securities sold. Charge-offs for losses and depreciation amounted tomore than $500,000,000 in 1935 as comparedwith an average of nearly $800,000,000 in thefour previous years and with about $200,-000,000 in the period prior to 1929. The netlosses reported by member banks from 1932to 1934 were due to these large charge-offs.
EARNINGS AND EXPENSES OF MEMBER BANKS
TOTAL CURRENT EARNINGS
/ LOSSES LESS RECOVERIES. ETC.
/ / TOTAL CURRENT EXPENSES
500 i
1927 1928 1929 1930
NET PROFIT
NET LOSS "X
1932 1933 1934
The accompanying chart shows that from1927 through 1929 total current earningsand current expenses increased slightly. Theincrease in total current earnings in thatperiod reflected principally growth in thevolume of loans and investments, althoughthere was also a small increase resulting froma rise in interest rates. From 1929 to 1933total current earnings of member banks de-clined steadily, reflecting in part a decreasein loans and investments of member banksand in part a reduction in rates of intereston loans and in yields on securities. A fur-ther decrease occurred in 1935, as a result ofcontinued declines in interest rates, whichmore than offset the effect of an increase inearning assets.
The average rate of interest and discounton loans increased from 5.45 percent in 1927to 6.10 percent in 1929 and declined to 4.68percent in 1933 and 4.16 percent in 1935.Interest and dividend rates on investmentsdeclined from an average of 4.70 percent inthe years 1927-1929 to 3.53 percent in 1933and 2.76 percent in 1935.
In the period of decreasing gross earningssince 1929 member banks have also reducedexpenses. The principal reduction was in in-
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JULY 1936 FEDERAL RESERVE BULLETIN 521
terest paid on deposits. Interest paid ontime deposits, which averaged about 3% per-cent from 1927 to 1930, averaged less than 2percent in 1935, and interest paid on demanddeposits was practically eliminated by theBanking. Act of 1933. Total salaries an'dwages paid by banks increased slightly in1934 and 1935, but in the latter year wereabout one-fourth smaller than in 1929, com-pared with a reduction of about one-fifth intotal loans and investments.
These changes in current earnings and ex-penses have had the net result of enablingmember banks to continue throughout the de-pression to show net earnings on currentoperations, which in most of the past tenyears have amounted to about 1.50 percentof total loans and investments. This ratiodeclined in 1935, however, to a low level of1.29 percent.
Losses on loans and investments chargedoff by banks began to increase in 1930, ab-sorbed practically all earnings and profits in1931, and resulted in net losses in 1932, 1933and 1934. In 1934, although allowances forlosses and depreciation reached a maximum,member banks reported substantially largerrecoveries from losses previously written offand profits from securities sold. In 1935losses declined to the smallest amount since1930, while recoveries and profits from se-curities sold showed a further increase, withthe result that the banks, as a whole, againshowed net profits. The total amount of netprofits in 1935, however, was less than halfthe pre-depression level, as were also the
ratios of net profits to total loans and invest-ments and to total capital funds.
Both national and State member banksand member banks in each Federal Reservedistrict, taken as a whole in each group,showed net profits in 1935 as compared withnet losses in 1934. Member banks in theMinneapolis and New York districts, whichreported relatively the largest net losses in1934, showed the greatest improvement in1935, while member banks in the Richmondand Chicago districts, which reported rela-tively small net losses in 1934, showed thesmallest improvement in earnings in 1935.Insured nonmember banks, for which figuresare compiled by the Federal Deposit Insur-ance Corporation, also reported larger netearnings and smaller charge-off s in 1935 thanin 1934, but these banks as a group showeda small net loss in 1935.
Figures of earnings and expenses of banksfor 1935, grouped by size of banks, are shownfor State member banks and for all insuredcommercial State banks in tables on pages528-529. Data for national banks by sizegroup for the year 1935 have not yet becomeavailable. All size groups of insured Statebanks, except those with deposits of over$50,000,000, showed larger net earnings fromcurrent operations in 1935 than in 1934, andall but one group showed net profits in 1935,after allowances for recoveries, losses, etc.The group which includes banks with de-posits of between $5,000,000 and $50,000,000continued to show a net loss, though a muchsmaller one than in 1934.
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522 FEDERAL RESERVE BULLETIN JULY 1936
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedALL MEMBER BANKS, BY CLASSES OF BANKS, YEARS ENDED DEC. 31, 1935 AND 1934
Earnings:Interest and discount on loans. _Interest and dividends on in-
vestmentsInterest on balances with other
banksCollections charges, commis-
sions, fees, etcForeign department _ __Trust departmentService charges on deposit ac-
counts _ _Other current earnings
Total earnings from currentoperations
Expenses:Interest on deposits:
Time _ _DemandBank
TotalSalaries and wagesInterest and discount on bor-
rowed moneyTaxesOther expenses _
Total current expenses
Net earnings _ _ __.
Recoveries, profits on securities,etc:On loansOn investments _ _ _All other
Total
Losses and depreciation:On loans _ _On invp-St.Tnp.ntsOn banking house, furniture,
and fixtures _ _All other
Total losses and depreciation.
Net profit, or net loss (—)Cash dividends declared 3
Loans 2 _ _ _Investments 2 _ _
Loans and investments 2
Time deposits 2 _ _ _ _ _ _ - - .Total deposits 2
Capital funds 2 4
Amounts (in thousands of dollars)
All member banks
1935
498,419
467, 217
1, 681
28,82512, 28277, 703
35, 63484,888
1, 206, 649
196, 4909,2982,695
208, 483334, 468
1,23063, 680
224, 654
832, 515
374,134
71,901277,02727,078
376, 006
252, 374198, 765
33, 58653, 537
538, 262
211, 878186, 810
11,985,15016, 913, 308
28, 898, 458
10,181,42635, 694, 4755,118, 478
1934
540,014
473, 791
2,425
27, 81017, 97570, 994
27, 61983, 245
1, 243,873
227, 37112, 4943,498
243, 363327, 424
3, 63762, 278
212, 687
849, 389
394,484
44, 389185, 59123, 979
253, 959
451, 782320, 496
39, 42261, 244
872, 944
-224, 501173, 666
12, 476, 57214, 453, 885
26, 930,457
9, 616, 32330, 718, 6695,049, 525
Net profit, or net loss ( - ) , per $100 of capital fuInterest and discount on loans per $100 of loansLosses on loans per $100 of loans. _Interest and dividends on investmeiLosses on investments per $100 of inInterest on time deposits per $100 ofTotal deposits per $1 of capital fundLoans and investments per $1 of cap
its per $100vestmentstime deposs*ital funds4
nds4
of investme
its
National memberbanks
1935
339, 272
315, 726
1,123
20, 2926,887
28, 540
24,88755, 510
792, 237
142, 5206,7261,703
150, 949211, 242
42942, 628
142, 528
547, 776
244,461
47, 327180, 44112, 309
240,077
159, 978116,182
23, 32926, 950
326, 439
158, 099112, 918
7, 418, 73910, 866, 893
18, 285, 632
7, 203, 56822,976, 9683,078, 033
nts.
1934
362, 740
314, 217
1, 375
18, 35010, 75025, 545
19, 28454, 521
806, 782
162, 9088,7872,074
173, 769206, 015
1,57742, 293
132, 567
556, 221
250, 561
31, 999119, 589
15, 224
166, 812
299, 085206, 332
29, 41436, 531
571, 362
-153,98991, 698
7, 749, 8699, 268,115
17,017,984
6, 741, 26819,-725,9082, 976, 272
State member banks
1935
159,147
151,491
558
8,5335,395
49,163
10, 74729, 378
414, 412
53, 9702,572
992
57, 534123, 226
80121,05282,126
284, 739
129, 673
24, 57496, 58614, 769
135, 929
92, 39682, 583
10, 25726, 587
211, 823
53, 77973, 892
4,566,4116,046, 415
10, 612, 826
2, 977, 85812, 717, 5072, 040, 445
1934
177, 274
159, 574
1,050
9,4607,225
45, 449
8,33528, 724
437, 091
64, 4633,7071,424
69, 594121,409
2,06019,98580,120
293,168
143,923
12, 39066, 0028,755
87,147
152, 697114,164
10, 00824, 713
301, 582
- 7 0 , 51281, 968
4, 726, 7035,185, 770
9, 912, 473
2, 875, 05510,992, 7612, 073, 253
Amounts per $100 of loansments 12
All memberbanks
1935
$1.72
1.62
.01
.10
.04
.27
.12
.29
4.17
.68
.03
.01
.721.16
.22
.78
2.88
1.29
.25
.96
.09
1.30
.87
.69
.12
.18
1.86
.73
$4.144.162.112.761. 181.936.975.65
1934
$2.01
1.76
.01
.10
.07
.26
.10
.31
4.62
.84
.05
.01
.901.22
.01
.23
.79
3.15
1.46
.16
.69
.09
.94
1.681.19
.15
.23
3.24
- . 8 3
-$4. 454.333.623.282.222.366.085.33
Nationalmember
banks
1935
$1.85
1.73
.01
. 11
.04
.15
.14
.30
4.33
.78
.0401
.831.16
.23
.78
3.00
1.33
.26
.98
.07
1.31
.87
.64
.13
.15
1.79
.86
1934
$2.13
1.85
.01
. 11
.06
.15
.11
.32
4.74
.96
.05
.01
1.021.21
.01
.25
.78
3.27
1.47
. 19
.70
.09
.98
1.761.21
.17
.21
3.36
- . 9 0
Other ratios 1
$5.144.572.162.911.071.987.465.94
-$5.174.683.863.302.232.426.635.72
and invest-
Statemember
banks
1935
$1.50
1 43
.01
.08
.05
.46
.10
.28
3.90
.51
.02
.01
.541.16
.01
.20
.77
2.68
1.22
.23
.91
.14
1.28
.87
.78
.10
.25
2.00
.51
2
$2.643.492.022.511.371.816.235.20
1934
$1. 79
1 61
01
10.07.46
.08
.29
4.41
.65
.04
.01
.701.22
.02
.20
.81
2.96
1.45
.12
.67
.09
.88
1.541.15
.10
.25
3.04
- . 7 1
-$3. 403.753.233.082.202.245.304.78
For footnotes see p. 523.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 523
EARNINGS AND EXPENSES OF MEMBER BANKS—Continued
ALL MEMBER BANKS, BY DISTRICTS, YEARS ENDED DEC. 31, 1935 AND 1934—Con.[In thousands of dollars]
Federal Reserve district
Boston
1935 1934
New York
1935 1934
Philadelphia
1935 1934
Cleveland
1935 1934
Richmond
1935 1934
Atlanta
1935 1934
Earnings:Interest and discount on
loansInterest and dividends on
investmentsInterest on balances with
other banksCollection charges, com-
missions, fees, etcForeign departmentTrust departmentService charges on deposit
accountsOther current ea rn ings . . .
Total current earnings
Expenses:Interest on deposits:
TimeDemandBank
TotalSalaries and wagesInterest and discount on
borrowed moneyTaxes
Other expenses
Total current expenses.
Net earningsRecoveries, profits on securi-
ties, etc.:On loansOn investmentsAll other
Total
Losses and depreciation:On loansOn investmentsOn banking house, furni-
ture and fixturesAllother
Total losses and depre-ciation
Net profit, or net loss (—)Cash dividends declared 3
Loans 2
Investments 2
Loans and investments1
Time deposits 2
Total deposits 2
Capital funds 2 4
39, 559
28, 373
34
9695, 550
2,9706,294
84, 635
14,08756
295
14, 43823, 120
654,543
14, 434
56, 600
28, 035
3,55115,0541,514
20,119
12, 97811,728
2, 2652,724
29, 695
18, 45913, 048
43,971
30, 751
47
1,2875,237
2,4745,046
131,151
142, 491
423
6,4218,197
36, 352
8,10922, 348
149,944
159,932
968
7,28512, 68833, 956
6,21224, 210
44,192
45, 337
129
651375
7,250
1,7176,217
48, 277
43, 062
206
611439
6, 361
1,2345,403
47, 403
48, 670
124
1,216312
5,369
2, 2458,810
52, 049
46, 370
93
1,432321
4,913
1,4947,616
23, 944
18, 915
64
1,16034
1,922
1,7283,185
25, 222
18, 079
76
1,16362
1,699
1,2542,807
20, 704
13, 643
2,313197
1,340
1,5623,691
21,110
13, 666
102
2,164232
1,162
1,2313,472
19, 642 355, 492 395,195 105,868 105, 593 114,149 114,288 50, 952 50, 362 43, 536 43,139
17, 258210345
37,1872,118
574
46, 0512,5691,031
22, 491519585
24, 8371,018
729
23, 0141, 537
385
27, 2191,985
361
10,451194102
11, 686300
7,020427113
8,194432119
17, 81322, 695
1654, 322
14, 001
39, 879110,116
22616,97975, 414
49, 651111,001
1,09617, 44173, 469
23, 59525, 242
1235,126
17, 500
26, 58424, 745
4394, 777
16,092
24, 93626, 207
357, 046
17, 737
29, 56525, 422
1596,229
16,025
10, 74712, 917
192,7047,881
12, 07512, 284
1242,7937,601
7,56011,951
672,8328,583
8,74511,216
1842,8327,834
58, 996 242, 614 252, 658 71, 586 72, 637 75, 961 77, 400 34, 268 34, 877 30, 993 30,811
30, 646 112,878 142, 537 34, 282 32, 956 16, 684 15, 485 12, 543 12, 328
2, 23812, 975
29,361106, 212
11, 682
15, 53077, 2065,342
3,70323, 091
1, 955
1,33411, 7501,382
3, 40916, 5461,061
1,8579,8171,381
2,16311,199
842
1,17710,143
894
1,0637,950
451
9035,695
421
17, 111 147, 255 28, 749 14, 466 21,016 13,055 14, 204 12, 214 9,464 7,019
31,13419, 354
2,4454,411
102,19'75,028
11,21218, 216
182, 605149,185
14, 25919,170
24,99721, 346
3, 3057,027
33, 51827, 510
1, 5544,060
16,04718, 336
2,3812,821
36, 25522, 635
2,4094, 793
9,2419,414
1, 5821,728
16, 00310, 746
1,2331, 985
7,0214,995
1,0761,093
14,1265,137
9722,823
57, 344 206, 653 365, 219 56, 675 66, 642 39, 585 66,092 21, 965 29, 967 14,185 23,058
- 9 , 58712,313
53, 48086, 543
-124,60488, 753
6, 35617, 775
-19, 22017, 277
19, 61911,389
-16,14910, 070
8,9236,058
- 2 , 2686,312
7,8224,973
-3 ,7114,191
955, 255931,861
1, 023, 510865, 923
4, 358, 2436,161, 410
555,126347, 079
971,9341, 239, 447
046, 345091, 255
946,817478, 598
995, 9531, 263, 293
461, 543607, 443
476,053524,172
413, 357 414,453 '
711432
1,887,116 1,889,433 10, 519, 653 902, 205 2, 211, 381 2,137, 600 2, 425, 415 , 259, 246 1,068, 986 1,000, 225 866, 599 821,143
709, 371, 277, 545373,166
2, 090, 7612,118,109 12,630,417
""'" ~~~ 1,996,552
720, 564118,109368, 927
!, 116, 8961, 876,186!, 021, 418
1, 019, 4572, 482, 511
481,912
986, 732 1,, 217, 476 2,
476, 326
163,093799, 395 2, 405,481, 445
1, 074, 413~ 405,186
464, 928
484, 873382, 989 1181, 884
458, 091,193, 501
175, 510
341, 544 327,1,137, 927
158, 669
,167968, 104154,140
1 The ratios are based upon data taken from the customary abstracts of reports of condition and of earnings and dividends. It should be bornein mind in using them that the statistics employed represent aggregates for all member banks reporting on the various dates, and the ratios aretherefore ratios of aggregates in which figures for large banks have a statistical influence somewhat disproportionate to their number in comparisonwith the figures for small banks. No adjustments nave been made in the underlying data for changes during a given year in the number of bankswhose reports underlie the statistics, since the figures presented are for sufficiently large groups that the results appear not to be appreciably affectedby these changes.
2 Figures for loans, investments, deposits, and capital funds are averages of amounts from reports of condition for 5 call dates (December toDecember).
3 Includes interest on capital notes and debentures.4 By "capital funds" is meant the aggregate book value of capital stock, capital notes and debentures, surplus, undivided profits, reserves for
contingencies, reserves for stock dividends on common stock, and retirement fund for preferred stock and/or capital notes and debentures. Priorto July, 1932, reserves for dividends were also included in capital funds.
Back figures.—See BULLETIN for August 1935, p. 540-542. For summary figures for the country as a whole, see Annual Report for 1934 (table 91.)
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
524 FEDERAL RESERVE BULLETIN JULY 1936
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedALL MEMBER BANKS, BY DISTRICTS, YEARS ENDED DEC. 31, 1935 AND 1934—Con.
[In thousands of dollars]
Earnings:Interestanddiscountonloans_Interest and dividends on in-» vestmentsInterest on balances with
other banksCollection charges, commis-
sions, fees, etcForeign departmentTrust departmentService charges on deposit
accountsOther current earnings
Total current earnings.__
Expenses:Interest on deposits:
TimeDemandBank ,
TotalSalaries and wagesInterest and discount on
borrowed moneyTaxesOther expenses
Total current expenses
Net earnings
Recoveries, profits on securities,etc.:
On loansOn investmentsAll other
Total-
Losses and depreciation:On loansOn investmentsOn banking house, furni-
ture and fixturesAll other
Total losses and deprecia-tion
Net profit, or net loss (—)..Cash dividends declared 3_.
Loans a
Investmsnts 2_.
Loans and investments 2 . .
Time deposits 2_.Total deposits 2_.Capital funds 2 4.
Federal Reserve district
Chicago
1935 1934
43,184
57, 361
91
5,125852
10, 390
5,8779,528
132, 408
20, 7041,293
82
22, 07937,876
636,670
24, 288
90, 976
41, 432
11,128, 5183,858
44, 074
27,84019, 270
3,0734,282
54, 465
31,0419,963
1, 02S, 628
1,219,9694,611,951
475, 608
47, 524
50, 292
151
4,2291,4749,183
4,66410, 725
128, 242
21,0811,550
75
22, 70635, 991
2337,190
21,964
40,158
7,117, 3768,132
33, 397
46, 83223, 820
3,3515,654
79, 657
-6 ,1026,280
1,138, 381354, 313 1, 729, 583
3, 382, 933 2, 867,969
1, 016, 6163, 687, 485
452, 485
St. Louis
1935 1934
17, 709
17,471
40
1,67735
1,317
1,3313,006
42, 586
7,24229257
7,59111,107
5502,6837,195
29,126
13, 460
2, 61512, 279
618
15, 512)
6, 6939, 358
1,0031, 697
18, 756
10, 2164,255
378, 352556, 058
934, 410
349, 2251, 209, "
147, 850970 1,
18, 485
16,354
49
1,53464
1,102
9662,907
41, 461
8,056302141
8,49910, 566
9032,4496,902
29, 319
12,142
1,4816,9651,177
9,623
11,44112,175
2,348
26, 792
-5,0273,072
373, 583493, 758
837, 341
326, 543., 030, 590141,980
Minneapolis
1935 1934
13,103
13, 357
121
2,94765
1,1532,482
34, 215
6,591160141
6,8929,813
212,4726,617
25, 815
8,403
3,4827,148
964
11, 594
5,533
857
14, 465
5,5294,111
280, 384427,835
708, 219
343, 939932, 536114,811
14, 280
14, 64'
163
2,62973
9572,579
36, 254
8,250373194
8,8179,738
332,1857,435
28, 208
8,045
2,4755,327
747
8,549
14, 55312, 650
1,5771,838
30, 618
-14,0232,346
283, 810389,018
672, 828
337,349819,"107, 743
350 1,
Kansas City
1935 1934
21,155
18,145
185
1,64313
1,192
2,8204,615
49, 768
5,519564127
6,21014, 503
132,620
10, 043
33, 389
16, 379
3,03510, 458
762
14, 255
8,919
1,2,113
19, 501
11,1334,950
336, 419608, 638
975, 057
310,826, 485, 726 1,
154,969
21, 536
18, 680
246
1,48616
I,1
2,0944,373
49, 525
7,0211,026
244
8,29114,124
422,5609,634
34, 651
14, 874
2,9087,042
682
10, 632
14, 0969,407
2,3012,580
28,384
- 2 , 8784,226
350, 539553, 695
914, 234
309, 408, 267, -
149, 027545 1
Dallas
1935 1934
21, 593
11,159
31
1,41227
484
1,7593,844
40, 309
3,84746220
4,32911, 605
363,0277,717
26, 714
13, 595
3, 5178,978
738
13, 233
7, 8645,073
1, 3631,964
16, 264
10, 5645,355
338, 790381,193
719, 983
195,838, 044, 227
143, 334
21, 278
11,771
38
1,43931
430
1,4523,428
39, 867
4,55352526
5,10411,006
903,2497,020
13, 398
2,9464,671
457
8,074
14, 2153,831
2,7722,624
23, 442
-1 ,9704,413
336, 745357, 829
194, 627941, 461135, 814
San Francisco
1935 1934
74, 722
52, 295
353
3,3741,2065,550
4,36310, T "
152, 731
38, 3371,676214
40, 22740, 011
126,978
27, 245
114, 473
38, 258
4,30429, 5942, 633
36, 531
21, 58311,881
3, 8038, 785;
46,053
28, 73618, 390
694, 574 3,198, 700 2, 903, 659
1, 952, 5303, 699, 281
408, 278
76, 338
50,187
3,0091,2884,931
3,58710, 679
150, 305
43,1652,204
144
45, 51338,636
1696,251
24, 710
115,279
35, 026
3,65116, 6241,466
21, 741
37, 00424,046
5,7218,958
75, 729
-18,96214, 413
1,485,430 1,471, 8161, 713, 270 1, 431, 843
1, 747, 9173,193, 676
401,226
For footnotes see p. 523.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 525
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedALL MEMBER BANKS, BY DISTRICTS, YEARS ENDED DEC. 31, 1935 AND 1934—Con.
Amounts per $100 of loans and invest-ments: 12
Interest earnedOther earnings
Total current earnings
Interest on depositsInterest and discount on borrowed
moneySalaries and wagesTaxesAll other expenses
Total current expenses
Net earnings . . _Recoveries, profits on securities, etc.__Losses and depreciation
Net profit, or net loss (—)__
Other ratios: 12Net profit, or net loss (—), per $100 of
capital funds 4
Interest and discount on loans per$100 of loans
Losses on loans per $100 of loansInterest and dividends on invest-
ments per $100 of investments. _ __Losses on investments per $100 of
investmentsInterest on time deposits per $100 of
time depositsLoans and investments per $1 of
capital funds 4
Total deposits per $1 of capital funds -L
Amounts per $100 of loans and invest-ments: J2
Interest earnedOther earnings _._
Total current earnings
Interest on deposits __Interest and discount on borrowed
moneySalaries and wagesTaxesAll other expenses.. . .
Total current expenses
Net earningsRecoveries, profits on securities, etc__Losses and depreciation _ ._
Net profit, or net loss (—) _
Other ratios: 1 2
Net profit, or net loss (—), per $100of capital funds4
Interest and discount on loans per$100 of loans
Losses on loans per $100 of loansInterest and dividends on invest-
ments per $100 of investmentsLosses on investments per $100 of
investments.Interest on time deposits per $100 of
time deposits _ _Loans and investments per $1 of
capital funds 4
Total deposits per $1 of capital funds *_
Federal Reserve District
Boston
1935
$3.60.88
4.48
.77
1.23.24.76
3.00
1.481.071.57
.98
4.95
4.141.36
3.04
1.26
1.99
5.066.10
1934
$3.96.79
4.75
.94
011.20.23.74
3.12
1. 63.91
3.03
- . 5 1
-2 .60
4.303.04
3.55
2.24
2.40
5.125.74
New
1935
$2.61.77
3.38
.38
1.05.16.72
2.31
1.071.401.96
.51
2.68
3.012.34
2.31
1.22
1.78
5.276.33
York
1934
$3.14.85
3.99
.50
.011.12.18.74
2.55
1.44.99
3.69
-1 .26
-6 .15
3.294.01
2 99
2.79
2.18
4.905.38
Philadelphia
1935
$4.05.74
4.79
1.07
.011.14.23.79
3.24
1.551.302.56
.29
1.32
4.552.57
3.66
1.72
2.21
4.595.15
1934
$4.28.66
4.94
1.24
.021.16.22.75
3.39
1.55.68
3.12
- . 9 0
-4 .04
4.613.20
3.95
2.52
2.52
4.494.65
Cleve
1935
$3.97.74
4.71
1.03
1.08.29.73
3.13
1.58.87
1.63
.81
4.08
5.011.69
3.29
1.24
1.98
5.045.81
land
1934
$4.36.70
5.06
1.30
.011.13.28.71
3.43
1.63.58
2.93
- . 7 1
-3 .47
5.233.64
3.67
1.79
2.53
4.865.17
Richmond
1935
$4.02.75
4.77
1.01
1.21.25.74
3.21
1.561.332.05
.83
4.91
5.192.00
3.11
1.55
2.16
5.887.60
1934
$4.34.70
5.04
1.21
.011.23.27.76
3.48
1.551.223.00
- . 2 3
-1 .29
5.303.36
3.45
2.05
2.55
5.706.80
Atlanta
1935
$3.971.05
5.02
.87
.011.38.33.99
3.58
1.441.091.64
.90
4.93
5.011.70
3.01
1.10
2.06
5.467.17
1934
$4.251.01
5.26
1.06
.021.37.34.95
3.74
1.50.85
2.81
- . 4 5
-2 .41
5.093.41
3.36
1.26
2.50
5.336.28
Federal Reserve District
Chicago
1935
$2 97.94
3.91
.65
1. 12.20.72
2.69
1.221.301.61
.92
6.53
4.20
2.71
2.44
.82
1.70
7 119.70
1934
$3.411.06
4.47
.79
011.25.25. 77
3.07
1.401. 162.78
- . 21
-1 .35
4. 174.11
2.91
1.38
2.07
6.348. 15
St. Louis
1935
$3 77.79
4.56
.81
061.19.29. 77
3.12
1.441.662.01
1.09
6.91
4.681.77
3.14
1.68
2.07
6.328.18
1934
$4.02.76
4.78
.98
. 101.22.28.80
3. 38
1.401.113.09
- . 5 8
-3 .54
4.953.06
3.31
2.47
2.47
6.117.26
Minneapolis
1935
$3 751.08
4.83
.97
1.3935
.93
3.64
1.191.642.04
.78
4.82
4.672.49
3. 12
1.29
1.92
6 178.12
1934
$4 321.06
5.38
1.31
011.45.32
1.10
4.19
1.201.274.55
-2 .08
-13.02
5.035.13
3.77
3.25
2.45
6 247. 60
Kansas City
1935
$4.051.05
5. 10
.63
1.49.27
1.03
3.42
1.681.462.00
1.14
7.18
5.772.43
2.98
1.12
1.78
6.299. 59
1934
$4.43.99
5.42
.91
.011.54.28
1.05
3.79
1.631.163.10
- . 3 1
-1 .93
5.973.91
3.37
1.70
2 27
6. 138.51
Dallas
1935
$4 551.05
5.60
.60
01161
421.07
3.71
1.891.842.26
1.47
7.37
6.372.32
2.93
1.33
1.96
5 027.29
1934
$4.76.98
5.74
.73
.011.58.47
1.01
3.81
1.931.163.38
- . 2 8
-1 .45
6. 324.22
3.29
1.07
2.34
5.116.93
San Francisco
1935
$3.98.79
4.77
1.26
1.25.22.85
3.58
1. 191.141.44
.90
7.04
5. 031.45
3.05
.69
1.96
7.839.06
1934
$4.37.81
5.18
1.56
.011.33.22.85
3.97
1.21. 75
2.61
- . 6 5
- 4 . 73
5.192.51
3.50
1.63
2.47
7.247.96
For footnotes see p. 523.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FEDERAL RESERVE BULLETIN JULY 1936
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedNATIONAL BANKS, BY DISTRICTS, LAST SIX MONTHS OF 1935a
[Compiled by the Comptroller of the Currency from reports submitted by national banks. In thousands of dollars
Earnings:Interest and discount on loansInterest and dividends on investments-Interest on balances with other banks._-Collection charges, commissions, fees,
etcForeign department._ __ _ _Trust departmentService charges on deposit accountsOther current earnings
Total earnings from current opera-tions
Expenses:Interest on deposits:
TimeDemand __ _Bank
Total
Salaries and wagesInterest and discount on borrowed
moneyTaxes - -Other expenses.
Total current expenses
Net earnings
Recoveries, profits on securities, etc.:On loansOn investmentsAll other __
Total
Losses and depreciation:On loansOn investmentsOn banking house, furniture, and fix-
turesAllother
Total losses and depreciation
Net profitCash dividends declared
Capital funds,* Dec. 31, 1935
Number of banks, Dec. 31, 1935
Total
170,498155,113
469
10, 5752,916
15, 53912, 72228, 258
396, 090
68, 0172,876
831
71, 724
106, 394
20521, 54173, 317
273,181
122, 909
31, 29275, 2778,019
114, 588
78, 70548, 541
13, 74214, 542
155, 530
81, 96760,189
3, 099, 049
5,386
Bos-ton
14, 09010, 049
13
304430
1,1291,0722,550
29, 637
4,63721
117
4,775
7,998
311,5615,244
19, 609
10, 028
1,6645,820
492
7,976
4,7425,250
7821,041
11,815
6,1895,015
282, 938
319
NewYork
29, 40832, 556
39
1,2801,5353,6741,9246,003
76, 419
10, 06360276
10, 741
22, 787
413,707
16,873
54,149
22, 270
10, 26119, 5881,491
31, 340
27, 01212, 008
4,4582, 217
45, 695
7. 91518, 257
775, 6 L7
626
Phila-del-phia
16, 39916, 725
28
263166697597
1,711
36, 586
8,769192141
9,102
7,613
711,9705,287
24, 043
12, 543
1,1746,0721,128
8,374
10, 1205,979
9152,263
19, 277
1,6405, 639
324,144
593
Cleve-land
12, 92815,611
56
423100895699
2,145
32,857
6,832384159
7,375
7,483
82,1315,476
22, 473
10, 384
1, 6364,987
362
6,985
3, 7863,642
858835
9,121
8, 2482, 974
263, 412
523
Federal
Rich-mond
8,9176,691
24
44413
565656
1,032
18, 342
3,8426855
3,965
4,564
4911
2, 769
12, 213
6,129
7592, 315
264
3, 338
2, 6832,829
544546
6, 602
2, 8652, 560
131, 238
339
Reserve District
At-lanta
8,8606,111
39
1,07697
636702
1,534
19, 055
2, 92518358
3,166
5,300
151,2423,864
13, 587
5,468
5153, 153
2S7
3,955
2,5232,063
479421
5,486
3,9372,493
137, 065
273
Chi-cago
16,11821, 827
30
1,962377
4,0852,1183,836
50, 353
7,09239432
7,518
14, 377
22,5869,685
34,168
16,185
6,3728, 7321,549
16, 653
5, 6814,086
1,4311,093
12, 291
20, 5475,209
378, 272
521
St.Louis
6,3215,684
10
6578
192468851
14,191
2,42312325
2,571
3,777
8212,470
9,639
4,552
8103,252
221
4,283
1,7802,253
322441
4,796
4, 0391,400
98,105
320
Min-ne-
apolis
6,4485,868
49
1 41830
495539
1,141
15, 988
2,8447055
2,969
4,609
41,1263,010
11,718
4,270
2,2633,169
526
5,958
2, 6992,518
646492
6,355
3,8732,228
106,049
433
Kan-sas
City
10,1868,005
62
8053
5261,3631,914
22, 864
2,38317640
2,599
6,645
91,3524,372
14, 977
7,887
1,7113, 335
459
5,505
3, 7962,735
807760
8,098
5,2942,804
139, 201
676
Dal-las
10,0534,982
12
74614
277831
1,701
18, 616
1,735202
7
1,944
5,527
191,3713,632
12, 493
6,123
2,0793,040
396
5,515
3,5892,167
8111,057
7,624
4,0143,080
136, 671
491
SanFran-cisco
30, 77021, 004
107
1 197143
2,3681,7533,840
61,182
14, 47246166
14, 999
15, 714
12,763
10, 635
44,112
17, 070
2,04811,814
844
14, 706
10, 2943,011
1,6893,376
18, 370
13,4068,530
326, 337
272
For footnotes see following table.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 527
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedSTATE MEMBER BANKS, BY DISTRICTS, LAST SIX MONTHS OF 1935
[In thousands of dollars]
Earnings:Interest and discount on loansInterest and dividends on investmentsInterest on balances with other banks.Collection charges, commissions, fees,
etcForeign departmentTrust departmentService charges on deposit accounts...0 ther current earnings
Total earnings from current opera-tions...
Expenses:Interest on deposits:
TimeDemand _ _ _Bank
Total
Salaries and wagesInterest and discount on borrowed
moneyTaxes . . . . _Other expenses
Total current expenses
Net earnings
Recoveries, profits on securities, etc.:On loans ._On investmentsAllother
Total
Losses and depreciation:On loansOn investmentsOn banking house, furniture and fix-
tures. _ _ _Allother
Total losses and depreciation
Net profit, or net loss (—)Cash dividends declared2
Capital fundss, Dec. 31, 1935
Numbers of officers, Dec. 31, 1935Number of employees (full- and part-
time), Dec. 31, 1935
Number of banks, Dec. 31, 1935
Total
79, 57274, 690
179
4,2382,543
25,9915,561
14, 495
207, 269
25, 7151,181
396
27, 292
62, 045
36310, 45541,058
141, 213
66,056
15, 32148, 9059,893
74,119
34, 42633, 323
6,28415, 836
89, 869
50, 30636,164
2,046,123
7 337
52, 670
1,001
Federal Reserve District
Bos-ton
5,4403,697
2
14837
1,763419734
12, 240
2,0971127
2,135
3,607
4862
1,967
8,575
3,665
7481,187
245
2,180
1,7781,082
438381
3,679
2,1661,701
91, 222
496
2,953
46
NewYork
34, 95536,035
80
1,8892,190
15, 5332,2695,141
98, 092
7,510426113
8,049
32, 320
623,858
20, 839
65,128
32, 964
9,26631, 7996,115
47,180
20, 37917, 031
2,1789,579
49,167
30,97723, 861
1, 228,112
2 354
26, 578
167
Phila-del-phia
5,9086,004
34
8917
3,128286
1,545
17,011
1,83246
162
2,040
5,057
10764
3,788
11, 659
5,352
1,2535,950
347
7,550
3,1184,945
1,5681,421
11,052
1,8503, 383
159,310
524
4, 619
63
Cleve-land
10, 7238,787
16
25361
2,010495
2,219
24, 564
4,443306
33
4,782
5,784
61,8273,863
16, 262
8,302
7101,841
304
2,855
2, 4662,123
621545
5,755
5,4022,966
223, 509
697
4,995
99
Rich-mond
3, 2662,313
4
2196
504226535
7,073
1,17626
6
1,208
2,007
5383
1,175
4,778
2,295
5301,128
211
1,869
1,287760
295498
2,840
1,324838
51, 134
381
1,941
65
At-lanta
1,316776
4
155
19283
311
2,837
42427
451
744
4258455
1,912
925
1148031
225
417116
7193
697
453346
23,198
257
615
55
Chi-cago
5,1927, 860
3
62441
1,439854
1,116
17,129
3 196118
4
3,318
4,760
24954
3,103
12,159
4,970
6951,9111,528
4,134
2,1183,221
341886
6,566
2,5381,009
104, 743
882
4,368
181
St.Louis
2,7262, 901
7
25210
600219635
7, 350
1,09471
1,102
1,884
244438
1,186
4,854
2, 496
8611,989
225
3,075
8831,730
201270
3,084
2,487372
50, 475
397
1,840
70
Min-ne-
apolis
600424
1
102
176272
1,278
2335
238
356
182
218
895
383
8926823
380
514214
3499
861
- 9 877
7,510
208
206
68
Kan-sas
City
1,001822
10
443
104117423
2,524
205253
233
741
122834
1,930
594
6372126
810
351108
81203
743
661139
17,711
198
690
50
Dal-las
595311
2
7418
75125
1,191
10071
108
403
289
269
871
320
692312
104
23637
7034
377
47156
7,868
208
263
59
SanFran-cisco
7,8504,760
16
389177693456
1,639
15, 980
3,40517746
3,628
4,382
1818
3,361
12,190
3,790
9232,008
826
3,757
8791,956
3861,827
5,048
2,4991,316
81,331
735
3,602
78
1 For corresponding figures of State member and National banks for the first 6 months of 1935, see BULLETIN for December 1935, pp. 872-873.2 Includes interest on capital notes and debentures.s The aggregate book value of capital stock, capital notes and debentures, surplus, undivided profits, reserves for contingencies, reserves for
stock dividends on common stock, and retirement fund for preferred stock and/or capital notes and debentures.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
528 FEDERAL RESERVE BULLETIN JULY 1936
EARNINGS AND EXPENSES OF MEMBER BANKS—Continued
EARNINGS, EXPENSES, AND DIVIDENDS OF STATE BANK MEMBERS, YEAR ENDED DECEMBER 31,1935,1 BY SIZE OF BANKS
[In thousands of dollars]
Earnings:Interest and discount on loans.Interest and Dividends on investments..Interest on balances with other banks. .Collection charges, commissions, fees, etc.Foreign department ___Trust departmentService charges on deposit accountsOther current earnings
Total earnings from current operations-
Expenses:Interest on deposits:
Time _ . . .Demand . . . _.Bank
TotalSalaries and wages . .Interest and discount on borrowed
money __ _ _TaxesOther expenses
Total current expenses
Net earnings
Recoveries, profits on securities, etc.:On loansOn investments . . _ _ _Allother
Total
Losses and depreciation:On loans __ _._ _ _ _.On investmentsOn banking house, furniture and fixtures.Allother
Total losses and depreciation
Net profit, or net loss (—)
Cash dividends declared3
Number of officers on Dec. 31, 1935Number of employees (full and part time)
on Dec. 31, 1935
Number of banks Dec. 31, 1935
Total, allStatebank
members
159,146151,488
5638,5385,394
49,17010, 75029,374
414,423
53, 9912,567
979
57. 537123, 222
80221,05182,141
284, 753
129, 670
24, 58396, 59914, 768
135,948
92, 39682, 60810, 26426, 568
211,836
53, 782
73, 926
7,337
52, 670
1,006
Banks operating throughout entire year, with deposits on Dec. 31,
$100,000and
under
526
5
51
69
5
524
17
14
51
18
5
5
22
61
29
- 6
10
18
6
11
$100, 001to
$250,000
639207
92
14946
1,034
12510
1
136345
569
216
771
263
497123
143
129234130
223
183
85
207
112
98
$250, 001to
$500,000
1,812806
4176
7131179
3, 115
58728
6
621908
20170599
2,318
797
184328
41
553
464223109127
923
427
231
431
283
168
$500,001to
$750,000
2.0161,069
71732219
181235
3,722
77442
6
822998
18189695
2.722
1,000
182361
66
609
509457131127
1,224
385
291
373
355
126
$750, 001to
$1,000,-000
1,487858
3111
28129169
2, 785
62633
2
661751
1132450
1,995
790
98401
51
550
48345198
119
1,151
189
219
212
269
67
$1,000,-001 to
$2,000,-000
5,0393,059
8313
6176382612
9, 595
2,3127210
2,3942,570
30459
1,599
7,052
2,543
3821 450
174
2,006
1,2791, 538
275366
3,458
1,091
758
553
973
143
$2,000,-001 to
$5,000,-000
12, 0378,135
1979731
8571,2341,604
24, 714
5,543293
12
5,8486,142
3671,1964, 532
18,085
6,629
6843 911
498
5,093
4,4403,314
8261,264
9,844
1,878
1,935
778
2,663
161
$5,000,-001 to
$50,000,-000
41, 56631,000
741, 936
2087,2983, 5308,780
94, 392
18, 537849277
19, 66326,637
3395, 012
18, 202
69, 853
24, 539
3,98118, 6293, 975
26, 585
22, 04720, 1082, 5518,180
52, 886
- 1 , 762
9,442
1,891
12,024
161
1935 of—
$50,000,-001 and
over
93, 754105, 641
4474,6135,127
39 2445,058
17, 638
271, 522
25,1431 221
665
27, 02983, 410
2113, 68155, 225
179, 366
92, 156
18,96871 1569,917
100,041
62, 43756, 1856,084
16,151
140, 857
51, 340
60, 550
2,736
35, 345
44
Banksoperat-ing less
thanlyear 2
744707
1322
1 54051
110
3,475
33919
3581,437
136609
2,540
935
50292
21
363
586309143203
1,241
57
405
138
640
27
1 For corresponding data for 1934, see BULLETIN for August 1935, p. 545.2 Includes two banks haviner no deposits.3 Includes interest on capital notes and debentures.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 529
EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedEARNINGS, EXPENSES AND DIVIDENDS OF INSURED COMMERCIAL STATE BANKS (INCLUDING
STATE BANK MEMBERS OF THE FEDERAL RESERVE SYSTEM), YEAR ENDED DECEMBER 31,1935,1 BY SIZE OF BANKS
[Figures for nonmember banks compiled by Federal Deposit Insurance Corporation]
fin thousands of dollars]
Earnings:Interest and discount on loansInterest and dividends on investments._Collection charges, commissions, fees, etc.Foreign department _ ..Trust departmentService charges on deposit accounts.._ .Other current earnings..
Total earnings from current operations.
Expenses:Interest on deposits _ _Salaries and wagesInterest and discount on borrowed
moneyTaxes . .Other expenses
Total current expenses
Net earnings
Recoveries, profits on securities, etc.:On loansOn investmentsAllother
Total
Losses and depreciation:On loans .On investmentsOn banking house, furniture and fixtures.All other
Total losses and depreciation
Net profit, or net loss (—)
Cash dividends declared3
Number of officers on Dec. 31, 1935Number of employees on Dec. 31, 1935.. _.
Number of banks Dec. 31, 1935
Total
302,465231,382
23, 7315,804
56 32720, 75850, 297
690, 764
126,049194 355
2 21336,419
134,063
493,099
197, 665
34,34S135,49622,136
191, 980
158,293122,87116,48643,175
340, 825
48, 820
94, 399
28,19181, 625
8,729
Banks operating
$100,000and
under
3,185492646
141
173211
4,729
5471,621
42332
1,134
3,676
1,0,53
22617286
484
883143165194
1,385
152
256
1, 460498
909
$100, 001to
$250,000
15,1244,7032,617
352
9801,029
24, 508
4,2817,413
921,4205,132
18, 338
6,170
1.2081,977
399
3,584
4,1711,294
786859
7,110
2,644
1, 656
5,2692, 249
2, 504
; throughout entire year, ^
$250,001to
$500,000
22,0999,0333,254
1265
1,5791,831
37,873
8,01310,413
1172,0497,370
27, 962
9,911
1,6074,029
666
6,302
5,8422,6821,0861,499
11,109
5,104
2, 647
5. 3093,614
2,077
$500, 001to
$750, 000
15,1527,3041,805
65118
1,1081, 478
27,030
6,2816, 958
951,4105,091
19,835
7,195
9763,165
486
4,627
4,5432,816
704934
8, 997
2,825
1, 895
2,6212,632
883
$750,001to
$1,000,-000
11,1786,2531,101
115901
1,127
20, 675
5, 3425,162
951,0723, 575
15,246
5,429
7792,844
327
3,950
3,7662, 555
480779
7,580
1,799
1,408
1,6221, 976
503
ivith deposits on
$1,000,-001 to
$2,000,-000
28,12116,8702.097
25815
2,3343, 387
53, 649
13, 92313, 447
2322,8379,465
39,904
13, 745
1,7698,0501,046
10, 865
9,9327,8451,2772,986
22, 040
2,570
3,880
3,0185,418
803
$2,000,-001 to
$5,000,-000
34,19921, 7562,437
1432,0992,9384,620
68, 192
17,40316, 631
6713.471
12, 262
50, 438
17, 754
2,02010, 4291,487
13,936
14, 66610, 9391,6293,693
30, 927
763
5, 066
2,2677. 299
475
Dec. 31,
$5,000,-001 to
$50,000,-000
70,13452,0624.490
'42111,767
5, 33117, 476
161,681
35, 68144, 423
8368, 995
31, 454
121, 389
40, 292
6,17128, 6737,138
41, 982
43, 32632, 738
3, 64713,811
93, 522
-11,248
15,067
3,17620, 415
285
1935 of—
$50,000,-001 and
over
100, 771111,385
4, 6675,131
39 6595, 225
18, 736
285, 574
33, 52985, 749
2114, 52157,077
190,897
94, 677
19, 25075, 24910,150
104, 649
69, 63760, 9146,204
17, 582
154, 337
44, 989
61, 963
2,81636, 261
48
Banksoperat-ing less
than1 year2
2,5221,524
6173
1 596189402
6, 853
1,0492 538
12312
1, 503
5,414
1,439
342908351
1,601
1 527945508838
3, 818
-778
561
6331,263
242
1 For corresponding figures for 1934, see BULLETIN for August 1935, p. 546.2 Includes two banks having no deposits.3 Includes interest on capital notes and debentures.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
530 FEDERAL RESERVE BULLETIN JULY 1936
ALL BANKS IN THE UNITED STATESALL BANKS1—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND DECEMBER 31
AND MARCH 4, 1935, BY DISTRICTS
[Amounts in millions of dollars; figures for nonmember banks are for dates indicated or nearest thereto for which figures are available]
Federal reserve district
ALL BANKS1
Boston. __ _New YorkPhiladelphiaCleveland-- . .RichmondAtlantaChicago _ . .St. LouisMinneapolisKansas CityDallasSan Francisco
Total
MEMBER BANKS
BostonNew YorkPhiladelphia __ _ClevelandRichmondAtlanta _. _ChicagoSt. LouisMinneapolisKansas CityDallasSan Francisco
Total
NONMEMBER BANKS
BostonNew YorkPhiladelphiaClevelandRichmondAtlanta __Chicago _St. LouisMinneapolis _.Kansas CityDallas .San Francisco..
Total __
Loans and Investments
Total
March1936
5,42918, 2673,2633,2511,6991,1134,7701,362
9941,227
8353,944
46,157
1,89611,1862,2582,5161,062
8863,758
975709974716
3,354
30, 288
3, 5347,0821,006
735637228
1,012387286253119591
15, 869
Decem-ber1935
5,40817,8533,2463,2371,7431,1164,6641,3461,0171,238
8553,994
45, 717
1,86410, 8552,2462,5121,104
8933,675
967734996740
3,399
29, 985
3,5446,9981,000
725638224988379283242115595
15, 733
March1935
5,44617, 2493,2033,0311,6761,1144,1041,294
9691,186
8303,649
43, 750
1,89210, 2022,2142,3591,072
8773,257
930704956703
3,106
28, 271
3,5547,047
989672603237847364266230127543
15, 479
Loans
March1936
2,7698,4191,2581,279
744511
1,509597416538408
1,826
20, 275
9394,507
931941453380
1,014381293388337
1,535
12, 099
1,8293,912
327339291132494216123151
72291
8,176
De-cem-ber1935
2,7608,4011,2771,283
754522
1,514606432540414
1,826
20, 329
9324,498
945940462393
1,028390308399345
1,537
12,175
1,8293,903
33234329212948621612314269
289
8,154
March1935
2,9248,3661,3631,275
761586
1,507612372481416
1,735
20, 397
9954,296
993930465438
1,058380258346336
1,458
11, 953
1,9294,070
36934529514844923111413581
277
8,444
Investments
March1936
2,6619,8482,0061,972
955602
3,261765578688427
2,119
25, 882
9566,6781,3271,576
609506
2,743594416588380
1,818
18,189
1,7043,170
679397345
9651817016210347
300
7,692
De-cem-ber1935
2,6489,4531,9701,953
989594
3,150740585698441
2,168
25, 388
9326,3571,3011,571
643500
2,648577426597395
1,862
17, 810
1,7153,095
668382346
9450216315910046
306
7,578
March1935
2,5218,8831,8401,756
915529
2,597683598705413
1,914
23, 353
8965,9061,2201,429
607439
2,199550446610367
1,649
16, 318
1,6252,977
620327308
893981331529446
266
7,035
Deposits, exclusive ofinterbank deposits
March1936
5,69617,8193,3683,4611,9781,3255,5071,5431,1561,6091,0894,220
48, 771
2,09810, 5742,3022,6781,2481,0214,2681,023
8271,183
9293,622
31, 774
3,5977,2451,066
784730304
1,239520329426159598
16, 997
Decem-ber1935
5,66617,9353,3743,4581,9781,3175,5291,5481,1721,6181,0714,296
48, 964
2,07810, 8252,3172,6811,2531,0154,3211,026
8461,189
9153,694
32,159
3,5897,1091,057
778725303
1,208523326429156603
16, 805
March1935
5,50116, 4943,1123,0541,8041,1964,5971,3961,0631,4471,0153,775
44, 455
1,9719,7172,1032,3461,139
9173,562
926755
1,077857
3,218
28, 589
3,5316,7771,009
708665279
1,034470308370158557
15, 866
Number of I
March1936
8931,259
9471,2731,0691,0882,5791,6451,3981,9581,009
690
15, 808
362791657623403328701390498727550347
6,377
531468290650666760
1,8781,255
9001,231
459343
9,431
De-cem-ber1935
8951,263
9471,2731,0661,0872,5811,6471,4011,9671,013
696
15, 836
365793656622404328702390501726550350
6,387
530470291651662759
1,8791,257
9001,241
463346
9,449
>anks
March1935
9051,271
9471,2731,0591,1052,5971,6741,4201,9891,051
733
16, 024
365792655624400332686391518730552377
6,422
540479292649659773
1,9111,283
9021,259
499356
9,602
1 Comprises all licensed national banks in the continental United States and all licensed nonnational banks described in footnote 1 on p. 533.Back figures—Bee Annual Report for 1931 (tables 92-95), BULLETIN for May 1936 (p. 394), etc.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 531
ALL BANKS IN THE UNITED STATES—ContinuedALL BANKS1—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND DECEMBER 31 AND
MARCH 4, 1935, BY STATES[Amounts in thousands of dollars]
State
New England:MaineNew HampshireVermontMassachusettsRhode IslandConnecticut
Middle Atlantic:New YorkNew JerseyPennsylvania
East North Central:OhioIndianaIllinoisMichigan....Wisconsin
West North Central:MinnesotaIowaMissouriNorth DakotaSouth DakotaNebraskaKansas
South Atlantic:DelawareMarylandDistrict of ColumbiaVirginiaWest VirginiaNorth CarolinaSouth CarolinaGeorgia....Florida
East South Central:KentuckyTennesseeAlabamaMississippi
West South Central:ArkansasLouisianaOklahomaTexas
Mountain:MontanaIdahoWyomingColoradoNew MexicoArizonaUtahNevada
Pacific:WashingtonOregonCalifornia
Total
Loans
March1936
111,122103, 02184,137
,829,723177, 568595, 928
', G83, 571732, 510
., 490, 669
746, 335216, 509736, 942293, 033220, 614
279, 622198, 339363,06926, 27432, 72297, 545123, 226
70, 749198,01586,082233,427113,002105,86034, 916
147, 69859, 282
193,061159,19684, 98253,679
44, 700107,808110,885367,821
32,11319, 67319, 66266, 44012, 75418, 23044, 3634,994
153,16758, 963
,531,011
Decem-ber 1935
109, 923103,13685, 555
1, 819, 707178, 720597,362
7, 661, 301734, 758
1, 510, 552
750, 758221,001734,071301, 949221, 271
293, 591192,139363, 92926, 75834,010100,052122,439
68, 265199,79886,825
238, 543113,826105,05536,987149, 65862,203
195,101165,40088, 25452, 267
45, 966113,063110,806372, 403
31, 52420, 22519,06668,64312,10818,91144, 3964,826
157, 68660,591
1, 523, 825
March1935
112,718110, 00991, 873
1, 940, 243190, 339618, 913
7, 577,105795, 550
1, 587, 781
727,067204, 740770, 886279, 617238, 523
252,422163, 970344, 74421, 91026,83183, 432113, 775
75,106205, 22783,015233,481117, 202110,25840, 704190,70756,612
194, 261170,279109,88758, 541
56, 333120,41697,348
375, 545
24, 43315, 61617, 96158, 3909,68215, 39238, 2303,512
132, 28253, 403
1,480.757
Investments
March1936
191, 294160,96079, 565
1, 608, 044258,154481, 286
8, 984, 742884, 338
2, 803, 251
873, 983318,112
1,945, 740617,366382, 583
390, 997213, 854558, 65128,07531,415121, 564130,946
89,479424, 772116, 798154, 94386, 985149,61540, 732126,050132, 785
154, 521140, 92787, 36162,155
50,149140. 824142', 673396, 459
51,94635, 55715, 969110,85114, 84224, 37854, 20813,960
194,315132, 337
1, 671,089
Decem-ber 1935
186,165160, 24079, 349
1, 585, 388258, 491493,495
8, 573,153907, 208
2, 762,034
860,101306, 511
1,862, 744592, 994384, 829
399, 353214,942548, 59228, 21730, 727120,162125, 611
452,815122,028152,94786,923151, 501••39,311121,453125,092
150,426144,18786, 38161,178
48, 662143,439142, 342411,039
52, 46635,86215,385
119, (14,97523,63049,96713,197
196,183129, 908
1, 726, 500
March1935
184, 368156,58780, 209
1, 511, 536235, 980453, 561
8,057, 830850, 801
2, 569, 314
762, 453251, 895
1, 548, 513505, 902298, 771
402, 902190,268506, 365
33, 38535, 974
125, 274129, 940
72,050415, 290112,103166, 51682, 479
121,41934,80494, 344
129, 758
160, 810128,062
81, 94259, 742
43, 654114,076138,220385,197
53, 75531, 44516,149
116,80914, 32721, 77550, 57511, 552
192, 720122,203
1, 489, 530
20, 275, 012 20, 329, 203 20,397, 028 25, 881, 600 r25, 386,060 23, 353,134 48, 771, 238 48, 963, 793 44, 454, 506 15, 808 '15, 837
Deposits, exclusive of inter-bank deposits
March1936
305,878258, 494165, 548
3, 615, 920443, 958
1,174, 562
1.6,005,1, 845, 0604, 296, 037
846 16,090, 5981,884,9524,261,823
1,878. 047643, 796
2, 925, 6961,169,898
703, 497
750, 790503, 535
1,086,01266, 54477, 662
261,117333, 559
152, 353674, 336283, 221441, 544243.393278, 111115,869303, 845260,831
364, 309348,842213, 716150, 954
125.394296,661326, 344981, 761
116,25577, 55851, 207
249, 97242,87764, 692
114,17726, 764
393, 052227, 303
3, 334, 441
Decem-ber 1935
301,927256,070167, 781
3, 595, 319443, 208
1,169,092
1, 904, 321648. 746
1,139, 964700,853
759, 715487,888
1,090, 77968, 87579,621254,671348,866
161,153677, 218270, 680440,819237,135284,965122, 212309,112234, 736
362, 730351, 739217, 494149,070
127, 313304, 048326, 383965, 640
122, 66778,92952, 458248, 60542, 44462,191115,43425, 085
399,425227, 838
3,404, 205
March1935
289, 930250,027162, 525
3,488,034444,615
1,118,581
14, 766,0931, 757,0193, 935, 978
1,633,225536,364
2, 452, 274927,154622, 436
692,039448,734952, 66565,30873,836239,457317,106
133, 796624,311253, 332401,265222,997256,54698, 667285, 787226, 643
346,175314, 605200, 740142, 935
109, 89'258, 659283,000919, 538
102, 29164, 92145, 364228, 48736,06453, 550104,47720,154
344, 750195,118
3,007,037
Number of banks
March1936
1031129239635
913423
1,130
715550882475619
687662706201199436723
20222327184214149321155
435326217209
225150404892
120605915541155910
18894270
De-cem-ber1935
1031129239835198
915425
1,131
715550883478619
661706203199437
4820222327183215145321154
435326217210
225150405
120605915741155910
189'97273
March1935
1041139739935200
920430
1,132
710548
625
685668709205212436737
4920222
327183217137327156
440332222213
243149410935
1186259
159421659•10
205106281
16, 024
r Revised.1 Comprises all national banks in the continental United States and all nonnational banks described in footnote 1 on p. 533.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
532 FEDERAL RESERVE BULLETIN JULY 1936
ALL BANKS IN THE UNITED STATES—ContinuedNATIONAL MEMBER BANKS—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND
DECEMBER 31 AND MARCH 4, 1935, BY STATES[Amounts in thousands of dollars]
State
Loans
March1936
Decem-ber 1935
March1935
Investments
March1936
Decem-ber 1935
March1935
Deposits, exclusive of inter-bank deposits
March1936
Decem-ber 1935
March1935
Number of banks
March1936
De-cem-ber1935
March1935
New England:MaineNew HampshireVermontMassachusettsRhode IslandConnecticut
Middle Atlantic:New YorkNew JerseyPennsylvania
East North Central:OhioIndianaIllinoisMichiganWisconsin
West North Central:MinnesotaIowaMissouriNorth DakotaSouth DakotaNebraskaKansas
South Atlantic:DelawareMarylandDistrict of Columbia.._VirginiaWest VirginiaNorth CarolinaSouth CarolinaGeorgiaFlorida
East South Central:KentuckyTennesseeAlabamaMississippi
West South Central:ArkansasLouisianaOklahomaTexas
Mountain:MontanaIdahoWyomingColoradoNew MexicoArizonaUtahNevada
Pacific:WashingtonOregonCalifornia
Total
36,03626, 68120, 059491, 47138,186106, 036
,551,811219, 557756, 557
260, 56577, 882
524, 798107, 67792, 777
200, 30963, 583142, 77616, 25316, 97966, 56955, 553
7,78854, 33438, 743127, 33254, 76430,10118, 87190, 98942, 689
87, 908106, 95957,12617, 960
24, 53367,41895, 613301, 044
16, 8627,52912,36350, 2889, 44011,96117, 3993,991
94, 36847, 699
1,052,388
36, 25126, 79620, 428
482, 78036, 349103, 508
1, 531, 734221, 805777, 496
264, 11782, 374
522, 369117,45393, 434
214,12163,167143, 63616, 73717, 60169, 91456, 878
7,85356, 11739, 674132, 07855, 53429, 65320, 82592, 94944, 874
89, 948113,16364, 02917, 647
26, 64172, 67396, 864308, 669
16,3847, 63511,88752, 9759, 01612, 56517, 7243,808
98, 36849, 508
1, 046, 179
35, 48327, 57020,150532, 00540, 703107, 465
1, 496, 214239, 262
265, 22474, 416
565, 690110,359108, 401
179, 70654, 324133, 47713, 20613, 44057,17153, 736
8, 30953, 76639, 945132, 76957, 02131, 23920, 645118,17441, 503
81, 054117,44576, 95719,134
29, 27681,06184, 807300, 075
11,8785, 64511,17745, 2447, 2239, 52715, 1152,608
74, 70042, 905
1, 022, 927
7, 420, 575 7, 494,188 7, 478, 829
63, 93030,37725, 919
466, 84542, 949102, 437
2, 527, 057355, 732
1, 378, 091
432, 234184,108
1, 369, 403336, 284218,139
270, 83095, 460
269, 87122, 00020, 975102,53481, 535
9,623167, r~~70, 30798, 94949, 71630, 80720, 577101, 015106, 84789, 343115,89359. 65123, 145
33, 593101, 161127, 840346, 527
31, 69315,50312, 76893, 49811,80015, 87826, 29412, 040
135, 802115,084
1,147, 610
11,567,557
63, 98429, 65725, 676
453, 01042,182102, 933
2, 403, 800378, 602
1, 369, 809
432, 072172, 507
1, 306, 491336, 033220, 385
281, 51498, 504
259, 81222,14220, 492100, f "76, 622
195,92673, 27699, 31048, 92830, 53721, 59396, 418100, 874
85, 248119, 15360, 89123, 455
32, 400103, 776127, 394360, 67 ~
32,51715, 79112, 158
103,51112,16115, 42623, 73311,306
139, 804113,619
1, 190,105
61, 52330, 89126, 698
447, 76231,99792, 837
2, 221, 077350, 214
1, 296, 391
396, 791146, 373
1,124, 560301, 583164, 990
290,00993, 353256, 05727, 35124, 088106, 38983, 812
9, 621185,17366, 961119,98149, 21425, 50218,95272, 084105, 994
97, 624106, 61961, 09024, 091
29, 44682,14r123, 451337, ^
34, 51615, 36012, 955
103, 22312, 02814, 23226, 4410, 092
124, 93'108, 962
1, 035, 626
107, 29058, 39747, 349
1, 087, 62075,211244,159
3, 912, 940667, 521
2, 080, 823
792, 491313, 604
2, 042, 063617, 087372, 269
524, 688173, 447404, 02347, 44945, 949190,191180, 062
16, 522243, 902157, 620272,210125, 54177, r'"60,103201, 399196, 484
187, 310247, 423150, 54252, 342
72, 195192, 818281,379823, 252
68, 26732, 34035, 852
204, 63633, 71141, 94950, 44220, 883
256, 303192, 354
2, 324, 518
107,04455,97347, 718
1, 064, 77172, 683
244, 793
4,011,450707, 413
2,087, 603
810,812318, 554
2,097,415619,979369, 625
536, 798173,511408, 79049, 78047, 265185, 625191, 207
16, 395246, 784150, 716273, 485123, 93479, 50565, 799206, 666177, 775
185, 731250, 320151, 42152, 654
72, 520200,205280, 510809, 756
72, 37'32, 88536, 519203, 83133, 35540, 50651, 52520, 610
262, 953193, 589
2, 384, 900
100, 63152, 65543, 070
1,021, 98175, 220
218,124
3, 539, 829643,189
1,907, 939
257, 6881, 710, 477492,042336, 472
477, 057164, 615374, 08647, 75042, 677173, 040171, 834
14,898224, 431141, 532246, 218116, 91069, 96651, 599191,417172, 488
172, 610223, 072139, 56550, 276
62, 640174, 155243, 533759, 865
60, 96126, 74531, 489186, 25129,17534, 44146, 19716, 395
208, 001166, 091
2, 091, 302
4052431281254
459234709
24812529983106
205118
5213190
16639
1327943205751
6925
5030
214454
46232681227136
5841123
4052431291254
459236709
24912529984106
20511887665213;190
16639
1327944205751
100726925
5030214454
4623268122
136
5844123
4052431291254
460237709
25212529385107
207123
64138190
16639
1318044195850100737225
5130
216456
45252681248136
6753128
11.456,502 10, 588, 334 20, 604, 628 20, 886, 03518, 501, 522 5,375 5,386 5,446
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 533
ALL BANKS IN THE UNITED STATES—ContinuedSTATE BANKS1—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND DECEMBER 31
AND MARCH 4, 1935, BY STATES[Amounts in thousands of dollars]
State
New England:MaineNew HampshireVermontMassachusettsRhode IslandConnecticut
Middle Atlantic:New YorkNew JerseyPennsylvania
East North Central:OhioIndiana ._IllinoisMichiganWisconsin
West North Central:MinnesotaIowaMissouriNorth DakotaSouth DakotaNebraskaKansas ..
South Atlantic:DelawareMarylandDistrict of Columbia---VirginiaWest VirginiaNorth CarolinaSouth Carolina^Georgia __ -Florida
East South Central:KentuckyTennesseeAlabamaM ississippi
West South Central:ArkansasLouisianaOklahomaTexas
Mountain:MontanaIdahoWyomingColoradoNew MexicoArizonaUtahNevada
Pacific:WashingtonOregonCalifornia
Total-
Loans
March1936
75, 08676, 34064, 078
, 338, 252139, 382489, 892
i, 131, 760512, 953734, 112
485, 770138, 627212,144185, 356127, 837
79, 313134, 756220, 293
10,02115, 74330, 97667, 673
62, 961143,681
47, 339106, 095
58, 23875, 75P16, 04556, 70916, 593
105, 15352, 23'27, 85(535, 711
20, 16740, 39015,27266, 77"
15, 25112, 144
7, 291:16, 1523,3146, 261)
26, 9641,003
58, 791;11,264
478, 623
12, 854, 437
Decem-ber 1935
73, 67276, 34065,127
1, 336, 927142, 371493, 854
6,129, 567512, 953733, 056
486, 641138, 627211,702184, 496127, 837
79, 470128, 972220, 29310,02116, 40930, 13865, 561
60,412143, 68147,151106, 46558, 29275, 40216, 16256, 70917, 329
105,15352, 2324, 22534, 620
19, 32540, 39(13,94263, 734
15, 14<12, 59C7, 171.
15, 66$3, 0926,3461
26, 672!1,018:
59,31811,083!
477, 646
March1935
12,835,015
77, 23582, 43971, 723
1, 408, 238149, 636511,448
6, 080,891556, 288779, 083
461, 843130, 324205,196169, 258130, 122
72, 716109, 64f211,267
8, 70413,39126, 26160, 039
66, 797151,46143,07(J
100, 71260,18179, 01920, 05S72, 53315,109
113,20;52, 83432, 93039, 407
27, 05739, 35f12,54175, 47i
12, 5559,9'6, 784
13, 1462, 451)5."""
23, 115904
57, 58210, 498
457, 830
Investments
March1936
127, 364130, 583
53, 6461,141,199
215, 205378, 849
6, 457, 685528, 606
1, 425,160
441, 749134, 004576, 337281,082164, 444
120,167118, 394288, 780
6,07510, 44019, 03049,411
79, 856256, —
46, 49155, 99437, 269
118,80820, 15525, 03525, 938
65,17825, 03427, 71039,01C
16, 55(i39, 66314, 83349, 932
20, 25320, 0543, 20117,3533. 0428, 50027, 9.11,920
58, 51317, 253
523, 479
12,918,199 14,314,043
Decem-ber 1935
122,181130, 58353, 673
1,132, 378216,7390, 562
6,169, 353528, 606
1, 392, 225
428, 029134, 004556, 253256, 961164, 444
117.839116,438288, 7806, 07510, 23519, 47448, •
79, 254256, 88948, 75253, 63737, 99f120, 96-'17,71825,24,218
65,17825, 03425, 49037, 723
16, 26239, 66314,94850, 367
19,94920,0713,227
15, 5872,8148, 20-
26, 2341,
56, 37916, 289
536, 395
13, 929, 558
March1935
122, 845125, 69653,511
1, 063, 774203,f360, 724
5,836, 753500, 587
1, 272, 923
365. 662105, 522423, 953204, 319133,781
112, 89396,915
250, 3086,03411,88618, 88546,128
62, 429230, I F
45, 14246, 53533, 26595,91715, 85222, 26023, 764
63,18021, 44320,35,651
14, 20831, 93414, 76S47, 93C
19, 23S?16, O8.r
3, 19413, 586
2, 2997,543
24,1301,460
13,241453, 904
12, 764, 80C
Deposits, exclusive of inter-bank deposits
March1936
198, 588200, 097118, 199
2, 528, 300368, 747930, 403
.2, 092, 9061,177, 5392, 215, 214
1, 085, 556330,195883, 633552,811331, 228
226, 102330,2681, 98919, 09531, 71370, 926
2153, 49'
135,831430, 434125,601169,334117,852200, 41355, 766102, 44664, 347
176,999101,419
63,98, 612
53, 199103,843
44, 965158,509
47, 988245, 21815, 35545, 3309, 166
222, 74363, 73525,
136, 74S34, 949
1, 009, 923
28, 166, 61C
Decem-ber 1935
194, 883200,097120, 063
2, 530, 548370, 525924, 299
12, 079,1481,177, 5392,174, 220
1, 093, 509330,192889, 581519, 985331, 228
222, 91314, 377
2681,98919,09532, 35669, 046
2157,659
144, 758430, 434119,964167, 334113,201205, 46056,413102, 44656, 961
176, 99G101,41966, 07396,416
54, 793103,84345, 8^•155, 884
50, 290246, 04415, 93944,7'9, 089
221.68563, 90924, 475
136, 47234, 249
1,019,305
28, 077, 758
March1935
189, 299197, 372119, 455
2, 466,053369, 395900,457
11,226,2641,113,8302, 028, 039
934, 305278, 676741, 7"435, 112285, 964
214, 982284,1192578, 5'17, 55831, 15966,41"
2145, 272
118,898399, 880111,800155, 047106,087186, 58C47, 06894, 37054, 155
173,565291, 533261. 17592, 651
47, 25784, 50'39, 467159, 673
41, 330238, 17613,87542, 2366, 889
219, 10958, 280?3, 759
136, 74929. 02'
915, 73£
25, 952, 98'
Number of banks
March1936
63
23144
454189421
46742c583395513
54461913:14'299533
32131;13
195105171129264104
335254148184
17,12019C438
13053
14'
10, 43c
De-cem-ber1935
March1935
63604926923144
456189422
466425584394513
483543619137147300538
3213913
195104171125264103
335254148185
175120191442
74373376198464
131
150
0,451
64615427023146
460193423
458423587413518
478545620137148298547
33139
13196103173118269106
340259150188
192119194479
73373378188
464
13853
153
10, 578
r Revised.1 Comprises all licensed State commercial banks , t rus t companies, mu tua l and stock savings banks, and such pr ivate banks and industrial
banks as are included in abstracts issued by State banking depar tments .2 Includes in terbank deposits.3 Includes cash depositories.N O T E . — A l l figures in the March 4, 1936 column are as of March 4, except as follows: Maine , March 28; New Hampshi re , June 29, 1935; Massa-
chusetts , savings banks , October 31; Rhode Island, State banks , February 29, savings banks , December 31; Connecticut , savings banks , March 31;New York, March 27; Kansas, March 25; Tennessee, November 1; Alabama, April 29; Colorado, March 25; Utah , March 28; New Jersey, IndianaWisconsin, Missouri, Nor th Dakota , Mary land , Georgia, Ken tucky and Louisiana, December 31. For call dates of figures included in the Decem-ber and March , 1935, columns, see footnotes at bo t tom of pages 397 and 693, respectively, of the December and October 1935 B U L L E T I N S .
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534 FEDERAL RESERVE BULLETIN JULY 1936
ALL BANKS IN THE UNITED STATES—ContinuedMUTUAL SAVINGS BANKS—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND
DECEMBER 31 AND MARCH 4, 1935, BY STATES
[Figures in this table are also included in the table on p. 533 covering "State banks." Amounts in thousands of dollars]
State
Loans
March1936
Decem-ber 1935
March1935
Investments
March1936
Decem-ber 1935
March1935
Deposits
March1936
Decem-ber 1935
March1935
Number of banks
March1936
De-cem-ber1935
March1935
CaliforniaConnecticut:
District No. 1_.District No. 2_.
DelawareIndiana:
District No. 7_.District No. 8_.
MaineMarylandMassachusetts..,__.MinnesotaNew Hampshire.—.New Jersey:
District No. 2__District No. 3_.
New York,__ _.OhioOregonPennsylvania:x
District No. 3 VDistrict No. 4__
Bhode Island _.VermontWashingtonWisconsin:
District No. 7__District No. 9__
Total
35,750
285, 96480, 78612,156
8,6844,650
34, 75951, 807
1,120,93210, 46068,095
142, 8785,276
3,100, 32936,452
171
76,17913, 52155, 60330,11025, 540
2,27461
36, 641
288, 73381, 35712, 251
8,6844,650
34, 59851,807
1,120,93210, 70568,095
142,8785,276
3,100, 32936, 212
171
78,48613, 61055, 60330,93025, 898
2,27461
40, 734
300, 57184,10412,192
9,0485,097
36,12259, 231
1,189, 52011,773, 523
149, 0855,419
3, 245, 62038,216
34
84,23414,21158,80534, 26126, 078
2,53485
57, 405
220, 64271, 86622, 626
2,6811,'"""
90, 369149,758936, 250
49, 856122, 769
154, 4138,042
2, 038, 65372,845
583
378,07237,047
115, 5083 0 , T •28, 272
1,49335
57, 503
235, 03268,74721, 813
2,6811,988
89, 958149, 758936, 25050,170
122, 769
154, 4138,042
2, 038, 65365, 501
583
378,12936,125
115, 50831,54126,964
1,49335
51,060
225, 06763, 67620, 437
,1,925
88, 710136 938872, 89847,175
119,145
142, 2427,818
1, 907,16657, 449
120
354, 55333, 925
107, 29331, 34724, 076
1,57723
87,926
538, 273151, 64731, 822
12, 7247,151
123, 014
2,087, 77164, 647
185, 324
309,39314, 213
5,188,808116,869
801
497,16948, 828
169, 58067, 63756,085
4,09983
89, 221
533, 274149, 80131,067
12, 7247,151
121, 741208, 598
2,087, 77164,313
185, 324
309,39314, 213
116, 536801
496, 03948, 467
169, 58068, 70355, 501
4,C
86, 727
526, 642146.7 ~29, 996
12,1766, 692
119,911200, 303
2,052, 30663, 347
183, 441
303,67813, 832
5,156,251112,035
157
480, 39646,867
169, 45469, 79951, 837
4,248
59142
41
3213
1931
47
223
13531
1
59142
41
3213
1931
47
223
13531
719
143
41
5914
2
41
3313
1931
48
223
13731
719
19
5,202,437 5, 210,181 5, 480, 492 4, 592,069 4, 593, 656 4, 297, 268 9, 972,462 9, 963, 208 9,836, 950 569 570 579
1 Excludes figures of 1 stock savings bank with aggregate deposits of $2,720,000 on March 4, 1936, formerly included with mutual savings banksprior to that date.
NOTE.—All figures in the March 1936 columns are as of March 4, except as follows: Connecticut, March 31; Maine, March 28;Massachusettsand New Hampshire, October 31 and June 29, 1935, respectively; New York, March 27; Indiana, Maryland, New Jersey, Oregon, Rhode Islandand Wisconsin, December 31. For call dates of figures included in the December and March 1935 columns, see footnotes on pages 398 and 694,respectively, of M a y 1936 and October 1935 BULLETINS.
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JULY 1936 FEDERAL RESERVE BULLETIN 535
ALL BANKS IN THE UNITED STATES—ContinuedPRIVATE BANKS—PRINCIPAL ASSETS AND LIABILITIES ON MARCH 4, 1936, AND DECEMBER 31
AND MARCH 4, 1935, BY STATES[Figures in this table are also included in the table on page 533 covering
State
AlabamaArkansas __Connecticut:
District No. 1District No. 2
FloridaGeorgiaIllinois (District No. 7) .Indiana:
District No. 7District No. 8
Iowa _KansasM assachusettsMichigan:
District No 7District No. 9
Missouri (District No 8)New Jersey(District No. 2)New YorkOhio _Pennsylvania:
District No. 3District No. 4
South CarolinaTexas
Total
Loans
March1936
290147
594
2,019287136
2
1598, 468
1,958
9,6671,084
901
115, 568
Decem-ber 1935
278151
594
2,019287137
3
1588, 2312.041
11,7721,070
866
107, 464
March1935
83117
201149
1, 2401,804
10
2,008274
1,49417742
1 685241
1412
85,1731,799
12, 7081,465
9059 352
120, 953
"State ban
Investments
March1936
18599
161
1,28815923667
17377, 229
508
40, 691732
2
421, 374
Decem-ber 1935
18699
161
1,288151]235
67
17380,282
513
37,123735
'420,867
March1935
317
13099
118398
957120
1,309238
1, 018126
21296, 804
502
36, 51391935
3,899
343, 226
ks." Amounts in thousands of dollars]
Deposits, exclusive of inter-bank deposits
March1936
404314
1,803
4, 73054351395
21378,203
3,075
63,1361,7131,127
455, 677
Decem-ber 1935
387333
1,803
4,730543512105
21397,053
3,023
56,9441,6821,077
468, 213
March1935
38331
325328
1,0932,325
15
4,234545
4,04742243
3,487379
1812
327, 3382,717
59,4132,0131,084
14,012
424, 219
Number of banks
March1936
31
40
27521
21814
1951
138
De-cem-ber1935
31
40
27521
21814
19
1
138
March1935
113
314
461
285421
25312
2014
1991
29
242
r Revised.NOTE.—Figures for March 1935 include private banks which reported to the Comptroller of the Currency under the provisions of Sec. 21 (a)
of the Banking Act of 1933. Under the amended provisions of the Banking Act of 1933, private banks no longer report to the Comptroller of theCurrency and, accordingly, only such private banks as report to State banking departments are included in the figures shown for December 1935and March 1936.
The figures shown in the March 1936 columns are as of the following dates: Georgia, Indiana and New Jersey, December 31; New York, March27. For call dates of figures included in the December and March 1935 columns, see footnotes on pages 398 and 694, respectively, of May 1936 andOctober 1935 BULLETINS.
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536 FEDERAL RESERVE BULLETIN JULY 1936
RECENT LEGISLATION REGARDING BANK OF FRANCE AND GOVERNMENTBORROWING
The Law of June 23, 1936, limits to 20,-000,000,000 francs the amount of FrenchTreasury bills that may be issued and ap-proves a convention between the Bank ofFrance and the Government providing forthe refunding of governmental bills redis-counted by the bank and for the extension ofadditional credit to the Treasury. The con-vention also provides that Treasury and othergovernmental bills which have been redis-counted by the Bank of France as a specialoperation shall be carried as a separate iteminstead of with commercial bills as formerly,and that a new balance sheet item shall be setup showing the amount of advances grantedto the Treasury as a result of the convention.A translation of the law and the conventionfollows:
LAW APPROVING A CONVENTION BETWEEN THEMINISTER OF FINANCE AND THE GOVERNOR OF THEBANK OF FRANCE, AND FIXING THE MAXIMUMAMOUNT OF ORDINARY TREASURY BILLS THAT MAYBE ISSUED.
The Senate and the Chamber of Deputies haveadopted,
The President of the Republic promulgates thefollowing law:
ARTICLE 1. The convention entered into on June18, 1936, between the Minister of Finance and theGovernor of the Bank of France is hereby approved;the text is annexed to the present law.
ART. ? The maximum amount of ordinary Treas-ury bills is fixed at 20,000,000,000 francs for theyear 1936, allowance being made for the issues au-thorized by the law of March 23, 1936.
The present law, deliberated and adopted by theSenate and the Chamber of Deputies, shall be admin-istered as a law of the State.
Executed at Paris, June 23, 1936.ALBERT LEBRUN.
By the President of the Republic:The Minister of Finance,
VINCENT AURIOL.
ANNEX
CONVENTION
Between the French Treasury and the Bank ofFrance
Between the undersigned: M. Vincent Auriol,Deputy, Minister of Finance, acting in the lattercapacity, and M. Emile Labeyrie, Governor of theBank of France, duly authorized by the vote of the
general council of the Bank of France, under dateof June 18, 1936,
It has been agreed as follows:ARTICLE 1. Without prejudice to the provisions of
the agreements and conventions of June 10, 1857,March 29, 1878, October 31, 1896, November 11,1911, and June 23, 1928, and notwithstanding article8 of this last convention, the Bank of France shallgrant to the Government temporary non-interest-bearing advances, up to an amount of 14,000,000,000francs.
The Bank of France shall receive, as reimburse-ment for expenses incurred by it in connection withthese advances, a commission of 0.2 percent per an-num of the effective amount of the aforesaid ad-vances.
ART. 2. These advances will assure the redemption,as they mature, of ordinary Treasury bills and billsof governmental bodies which have been rediscountedby the Bank of France as special operations. Theseadvances shall become available as the aforesaidbills mature, and shall be carried thereafter as aspecial item by the bank of issue.
Meanwhile, from the promulgation of the law ap-proving the present convention, ordinary Treasurybills and bills of governmental bodies mentioned inthe first paragraph of the present article, shall becarried as a special item in the break-down of theportfolio of commercial and governmental bill hold-ings of the Bank of France, and shall so be shownuntil their redemption by the grant of the advancesmentioned above.
ART, 3. Notwithstanding article 8 of the conven-tion of June 23, 1928, the Bank of France undertakesto grant to the Government, on request of the Min-ister of Finance, in addition to the advances pro-vided for in article 1 above and on the same condi-tions, new advances which shall be carried as a specialitem on the balance sheet of the bank of issue, to amaximum amount of 10,000,000,000 francs.
ART. 4. As evidence of the advances granted byvirtue of the present convention, non-interest-bear-ing Treasury bills of 3-months' maturity, and re-newable up to the time of the repayment of the afore-said advances, shall be delivered to the Bank ofFrance.
ART. 5. The part of the circulation which, accord-ing to the terms of the laws and conventions now inforce, is subject to a stamp-tax of 20 centimes per1,000 francs, shall be reduced, for the calculation ofthe amounts due under the head of this tax, by anamount equal to that of the advances granted byvirtue of the present convention.
ART. 6. The amount of the advances made byvirtue of the present convention shall not be includedin the figure of the productive circulation serving asthe basis for calculation of royalties as provided bythe laws and conventions now in effect.
ART. 7. The present convention is free from stampand registration taxes.
Executed in duplicate at Paris, June 18, 1936.Read and approved, Read and approved,
VINCENT AURIOL. E. LABEYRIE.
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JULY 1936 FEDERAL RESERVE BULLETIN 537
THE NATIONAL BANK OF DENMARK ACT
Transformation of the former NationalBank in Copenhagen into a Government cen-tral bank, the National Bank of Denmark,became effective on May 1, 1936. On April7, the date of promulgation of the new law,an extraordinary meeting of the shareholdersof the National Bank in Copenhagen ap-proved the terms upon which the NationalBank of Denmark should take over the oldcentral bank as provided in the law. Thenotification of the meeting, sent to share-holders, stated the agenda as follows:
Authorisation for the Chairman of the Board ofDirectors to make an agreement concerning thetransfer of the National Bank in Copenhagen to anew self-owned Bank against the redemption of theshares of the National Bank with 4 percent redeem-able bonds guaranteed by the Government, in theproportion of 1 to 2 plus 10 percent dividend andbonus for the current financial year.
The official English translation of the lawpublished by the Bank is given below in sub-stantially its original form.
THE NATIONAL BANK OF DENMARK ACTAct No. 116
April 7, 1936
WE, CHRISTIAN THE TENTH, by the Grace ofGod, King of Denmark and Iceland, the Vandals andGoths, Duke of Slesvic, Holstein, Stormarn, Dytmar-schen, Lauenburg and Oldenburg, do hereby proclaim:The Rigsdag have enacted and We by Our Assentconfirmed the following Act.
OBJECTS OF THE BANK
SECTION 1. "Danmarks National Bank" (TheNational Bank of Denmark) which, at the cominginto force of this Act, confer section 33, takes overthe "Nationalbanken i Kjobenhavn" (The NationalBank in Copenhagen) shall as the Central Bank ofthis country have the object in conformity with thisAct and the regulations given under this Act to main-tain a safe and secure currency system in this coun-try, and to facilitate and regulate the traffic inmoney and the extension of credit.
GENERAL CAPITAL FUND, DOMICILE
SEC. 2. The General Capital Fund of the Bankshall be Kroner 50 millions. The head office anddomicile of the Bank shall be in Copenhagen.
MANAGEMENT
SEC. 3. The management of the Bank shall becommitted to a Board of Directors, a Committee ofDirectors and a Board of Governors.
The members of the Board of Directors, the Com-mittee of Directors and the Board of Governors shall
be Danish subjects with domicile in Denmark, andthey shall also be of age and in possession of thecivil rights and not be deprived of the right to dis-pose of their estate.
SEC. 4. The Board of Directors shall consist of 25members, viz.:
(a) 8 members with seats in the Rigsdag. Theseare to be elected according to the rules of section 45of the Constitution. In case one of these membersresigns his seat in the Rigsdag a new election shallbe held for the remaining term of office of the re-signing member. The retiring member keeps hisseat in the Board of Directors until a successor hasbeen elected.
(b) 2 members of whom one shall be an economistand the other a lawyer. These members, who mustnot be members of the Rigsdag, shall be appointedby the Minister of Trade, Industry and Shipping.
(c) 15 members with a thorough knowledge oftrade, industry and agriculture. These members,who must not be members of the Rigsdag, shall beelected by the Board of Directors, so that 3 membersretire every year. Due regard shall be paid at theelection to establish a comprehensive representationof trade, industry and agriculture including theworkers occupied in trade, industry and agriculture,and to secure a representation of the geographicaldivisions of the country.
The members mentioned in a-c shall be elected orappointed for 5 years. In case a member retiresbefore the expiration of his term of office, a newmember shall be elected for the rest of the term.
The Board of Directors shall elect for one year ata time a chairman and a deputy-chairman.
Before amendments to the provisions governingthe Bank be made, the Board of Directors shall havean opportunity to express its opinion.
SEC. 5. The Committee of Directors shall be com-posed of the 2 members of the Board of Directorsmentioned in section 4b together with 5 memberselected for 1 year at a time by the Board of Directorsfrom among its members. Proportional electionshall take place in conformity with rules laid downin the By-laws of the Bank, in the case 3 mem-bers of the Board of Directors demand it.
The Committee of Directors shall elect for oneyear at a time a chairman and a deputy-chairman.The election shall be approved of by the Minister ofTrade, Industry and Shipping.
SEC. 6. The Board of Governors shall consist of 3members. One of the Governors shall be nominatedby the King, and the other Governors appointed bythe Board of Directors on the recommendation ofthe Committee of Directors. The first mentionedGovernor shall be chairman of the Board of Gover-nors.
The Governors shall reside in Copenhagen or inplaces closely connected wTith Copenhagen. Theyshall not take part in the management of trade andindustrial organisations or companies nor carry onor take part in the working of private trading, in-dustrial and agricultural activities. The Governorsshall be under the obligation to send in their resigna-tion before the expiration of the month in which theycomplete their 70th year.
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538 FEDERAL RESERVE BULLETIN JULY 1936
THE ROYAL BANK COMMISSIONER
SEC. 7. The Minister of Trade, Industry and Ship-ping in his capacity of Royal Bank Commissionershall see to it that the Bank fulfils its obligationsunder this present Act and under the ordinances andprovisions given pursuant to this present Act.
The Royal Bank Commissioner presides at themeetings of the Board of Directors. He shall havethe right to be present at the meetings of the Com-mittee of Directors and to be supplied with informa-tion concerning the Bank to the extent he mightdesire.
Decisions of particularly far-reaching charactercannot be taken at a meeting of the Committee ofDirectors when the Royal Bank Commissioner is notpresent, unless he has been informed in advance thatthe case will be dealt with at the meeting.
BANK NOTE ISSUE
SEC. 8. The Bank shall have the sole right to issuenotes.
The notes issued by the Bank shall be legal tenderbetween man and man and for payments and dis-bursements which take place in public pay-offices.
When the Minister of Trade, Industry and Ship-ping gives his permission notes may be called in, andthey shall then cease to be legal tender from a datefixed by ordinance from the Minister of Trade, In-dustry and Shipping. After the expiration of twelvemonths from this date the retired notes shall ceaseto constitute a claim against the Bank, provided thatthe Bank shall have the right to redeem the notesafter this time if circumstances justify it.
The denominations, text and form shall be ap-proved of by the Minister of Trade, Industry andShipping.
SEC. 9. The Bank shall be permitted to put intocirculation the amount of notes which may be re-quired at any time.
Provided, that the Bank shall possess free fromany encumbrance:
(a) A gold fund, as set forth in section 10.(b) Assets of the nature laid down in section 11
to a value corresponding to not less than that partof the active note circulation which is not covered bythe gold fund.
SEC. 10. The gold fund shall cover 25 per centumof the total active note circulation. It may consist of:
(a) Gold, be it in coin or ingots, either in thecustody of the Bank or handed over by the Bank tothe Royal Mint to be coined or melted.
(b) Gold which, properly secured, has been de-posited abroad or which is in transit through, to orfrom foreign countries. Provided, that such goldshall not count when the Bank's right to disposethereof is restricted.
The gold under this subsection shall not exceed 5%of the total active note circulation.
For up to 5 per centum of the note circulation non-interest bearing net credit balances on demand withforeign central banks, approved of in that respectby the Royal Bank Commissioner, may take the placeof gold.
The value of legal tender gold coin shall be de-termined by the nominal value arid the value of othergold coin and of gold in ingots by the fine gold con-tents, the price of the gold in Danish currency beingcalculated in conformity with the provisions of the
Currency Act. Credit balances in foreign currencyshall not be calcuJatod at a higher price than thatquoted on the Royal Exchange on the day of settle-ment.
SEC. 11. That part of the note circulation which isnot covered by the gold fund may be covered bygold and net-credit-balances on demand with foreignbanks, provided they have not been included undersection 10, bills of exchange, treasury bills, bondsand debentures subject to quotation on the RoyalExchange, besides advances for which proper se-curity has been given.
SEC. 12. The Bank shall at the expiration of everymonth report to the Royal Bank Commissioner onthe cover for the active note circulation.
In case of any deviation from the rules governingthe cover for notes of the Bank under sections 9-11it shall be the duty of the Bank to redress the devia-tion within the expiration of the succeeding month.
SEC. 13. Under special circumstances the Board ofDirectors shall, after having obtained the permissionof the Minister of Trade, Industry and Shipping,for a period of up to 3 months at a time, be allowedto deviate from the rules prescribed for note cover.A decision to this effect shall be adopted by at least% of all the members of the Board of Directors. Itshall be the duty of the Bank as soon as possible tore-establish the normal proportion of cover.
REDEMPTION OF THE NOTES OF THE BANK, ETC.
SEC. 14. The Bank shall be under the obligationto redeem at its Head Office on demand the notesissued by the Bank at their face value either withlegal tender gold coin or with gold ingots of ordinaryfineness and weight, when notes are delivered inamounts corresponding to the value of an ingot.
The Bank shall likewise be under the obligationto buy at its Head Office from any person who mightdesire it ingots of fine gold at a price correspondingto the gold price fixed by the Currency Act with thededuction of XA per centum seigniorage.
The above provision can only be suspended by Act.
OTHER FUNCTIONS OF THE BANK
SEC. 15. The functions of the Bank shall especiallycomprise reception of money on folio account andcurrent account, reception of deposits in safe custody,granting of advances and discounting of bills of ex-change besides traffic in gold, foreign currency andsecurities.
The granting of advances shall take place only onsatisfactory security and normally for 1-3 monthsbut not exceeding 6 months. Renewal of advancesmay take place.
Further provisions governing the general func-tions of the Bank shall be laid down in the By-laws ofthe Bank.
SEC. 16. The Bank shall receive payments andmake disbursements for the State. The monthlybalance sheet shall give the figures of the creditand/or debit balances of the State with the Bank.
ACCOUNTS AND DISTRIBUTION OF PROFIT
SEC. 17. The financial year of the Bank shall bethe calendar year. As soon as possible after theexpiration of the financial year the books shall bebalanced and the accounts for the year expireddrawn up. The accounts shall contain a workingaccount and a balance sheet.
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JULY 1936 FEDERAL RESERVE BULLETIN 539
The accounts shall, under careful considerationof existing values and obligations and with the under-taking of necessary writings-off and allocations, berendered as proper and cautious business practicedictates.
Securities admitted to public quotation on theRoyal Exchange shall not be entered at a highervalue than the latest buying rate quoted at the closeof the financial year.
Securities not admitted to public quotation on theRoyal Exchange shall be entered at the supposedvalue on the day of settlement, but the value shall notexceed the price at which they were acquired.
Foreign currency shall not be entered at a highervalue than the rate of exchange quoted at the close ofthe financial year.
Real estate shall not be booked at a higher valuethan the buying price with addition of costs of im-provements and deductions corresponding to thedepreciation through age and use and not exceedingthe value assessed for land and building tax.
The booked value of other assets shall not exceedthe market value.
The accounts when approved by the Board ofDirectors shall be sent to the Minister of Trade, In-dustry and Shipping together with a report on thework of the Bank during the year expired.
When the accounts have been approved by theRoyal Bank Commissioner, they shall be publishedtogether with the Bank's report for the year expired.
SEC. 18. The accounts for the financial year shallbe audited by 2 chartered accountants appointed bythe Minister of Trade, Industry and Shipping for1 year at a time.
SEC. 19. The profit earned by the Bank shall go tothe Exchequer if it be not allocated to the reservefund or to special guarantee funds.
Out of the profit of the financial year the Ex-chequer shall prior to other payments receive Kr. 1million.
Thereafter 25 per centum of the remainder shallbe allocated to the reserve fund if this fund be lessthan Kr. 25 millions.
The rest of the profit shall be paid to the Exchequerunder the observation of the following rules:
If the rest of the profit does not exceed Kr. 4 mil-lions, one half of the amount shall be paid to theExchequer and the other half written off the GeneralCapital Fund Certificate. In case the rest of theprofit exceeds Kr. 4 millions, Kr. 2 millions shall bepaid and the remainder written off the General Capi-tal Fund Certificate. When this certificate has beenredeemed in full the total rest of the profit goes tothe Exchequer unless the Board of Directors withthe approval of the Royal Bank Commissioner decidesto allocate a part of the amount to reserves.
If losses of preceding years have entailed drawingon the General Capital Fund all payments to the Ex-chequer shall be suspended until the loss of the Gen-eral Capital Fund has been recovered.
If losses of preceding years have reduced the Re-serve Fund to less than the amount it constitutedwhen the Bank commenced business, the paymentunder subsection 2 of this section shall be made andthereafter the whole profit shall be used to increasethe Reserve Fund until it has regained the original
GENERAL PROVISIONS
SEC. 20. The Minister of Trade, Industry andShipping may at the request of the Board of Gover-nors of the Bank supply the Board with such infor-mation concerning banks, savings banks and theStock Exchange as is to be had from the Bank In-spectorate, Savings Banks Inspectorate and the StockExchange Inspectorate and which the Bank and theMinister find of interest for the Bank in its capacityas the Central Bank of the country.
In the same manner the Minister may on applica-tion from the aforesaid Inspectorates and for theiruse ask for such information from the Bank as is ofinterest for the work of supervision.
SEC. 21. The Bank shall be exempt from payingall direct taxes and rates whatever. Provided thatthe Bank shall pay taxes upon real estate which isnot used for its own activity and such levies as havethe character of consideration for special contribu-tions.
SEC. 22. The Bank may use unstamped paper forits notes and books and for the drafts, bonds andother documents executed in the course of banking.
Bonds by which collateral security is pledged tothe Bank shall be made on unstamped paper.
SEC. 23. When evidence placed before the Bankshows to the satisfaction of the Bank that a receiptfor money received on deposit or a memorandum ofdeposit probably has been lost, the Bank shall beentitled by a notification in the Government Gazetteto call the bearer to appear within 12 weeks. Ifnobody appears the Bank may pay the amount ofthe document to the person who is the rightfulcreditor according to the books of the Bank.
SEC. 24. In case a contract of suretyship has beengiven for the repayment of an advance granted bythe Bank and the borrower makes default in pay-ment of principal, instalment or interest, notificationhereof shall, not later than 6 months after the ma-turity of the contribution mentioned, be sent byregistered mail to each of the sureties or to thesurety or sureties authorized by the others to receivesuch notification on behalf of all the sureties.
If the Bank omits to give such notification the Bankshall lose its claim on the sureties to the extent towhich the remedy of the sureties as against the bor-rower has been reduced in value through the omission.
SEC. 25. The Bank shall be subject to the provisionslaid down in the Bank Act No. 122 of the 15th ofApril 1930, section 9, subsections 1-4 and 6-9, pro-vided that the Governors of the Bank and branchmanagers shall not obtain advances from the Bankor the guarantee of the Bank for advances or besureties for debts to the Bank. Furthermore section21 of the same Act shall apply correspondingly withregard to this present Act, the regulations givenunder this present Act, and the resolutions of theBoard of Directors.
SEC. 26. The Board of Directors shall, on therecommendation of the Committee of Directors andsubject to confirmation by the Minister of Trade,Industry and Shipping, draw up the By-laws of theNational Bank of Denmark, by which rules shall belaid down governing the functions and the manage-ment of the Bank and the salaries, wages and oldage pensions for the Board of Governors and theStaff, etc., and the duties of the Auditors.
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540 FEDERAL RESERVE BULLETIN JULY 1936
The By-laws may be amended by the Board of Di-rectors subject to confirmation by the Minister ofTrade, Industry and Shipping.
The amendments shall be valid when passed by asimple majority of the whole Board of Directors.
AGREEMENT CONCERNING THE TAKING OVER OF THENATIONAL BANK IN COPENHAGEN
SEC. 27. By agreement between the National Bankin Copenhagen on one side and the Minister of Trade,Industry and Shipping and the Minister of Financeas representatives of the National Bank of Denmarkon the other side it may be decided that all the assetsand liabilities, rights and duties of the old Bankshall pass to the new Bank against a considerationin the form of bonds which are to be redeemed withina certain number of years. The Government guar-antees the interest and redemption of the bonds.The consideration which the shareholders of the oldBank receive in the form of bonds shall not as faras any part thereof is concerned be included in thetaxable income of the holder in question.
At the same time the new Bank commences busi-ness the old Bank shall cease to exist. The winding-up proceedings shall be conducted by the NationalBank of Denmark. The statutory winding-up rulesneed not be observed. The aforesaid bonds shall beissued to bearer. The bonds as well as transfersendorsed thereon besides all other documents madefor the purpose of the taking over shall be exemptfrom stamp duty nor shall any fee be paid for theregistration at the Courts of Law.
THE ABOLITION OF THE ROYAL CHARTER, ETC.
SEC. 28. The Royal Charter of the 4th day of July1818 (confer Act No. 157 of the 12th day of July1907, Act No. 483 of the 30th day of August 1919and Act No. 201 of the 20th day of May 1933) shallbe repealed. The duty of the Bank to pay to theExchequer the profit derived from the exemption toredeem with gold the notes issued by the Bank shalllikewise cease.
The statutory provisions which otherwise apply tothe National Bank in Copenhagen shall in futureapply to the National Bank of Denmark.
TRANSITORY PROVISIONS
SEC. 29. The General Capital Fund of section 2shall be paid by the Government in the form of aGeneral Capital Fund Certificate at the coming intoforce of this present Act. By degrees as funds outof the annual profit are allocated to the GeneralCapital Fund corresponding amounts shall be writtenoff the General Capital Fund Certificate.
The payment of interest on the bonds mentionedin section 27 shall be made out of the working accountof the Bank before the profit of the year be ascer-tained.
SEC. 30. The members of the Board of Directorselected at the meeting of shareholders of the oldBank shall pass over to the Board of Directors of thenew Bank and take over the tasks laid upon the mem-bers mentioned in section 4c. They shall remain onthe Board of Directors until their term of officeexpires under the rules hitherto in force. At newelections held by the Board of Directors before theend of July 1938 the provisions of section 4c shallnot apply in the case of a re-election.
SEC. 31. When the bonds of section 27 are allotted
to the shareholders of the National Bank in Copen-hagen they shall be delivered to the person whoholds the shares with legal title in due form.
In exchange for shares registered in the name ofthe holder in the books of the Bank bonds may alsobe handed out under the observance of the follow-ing rules:
(a) When evidence placed before the Bank showsto the satisfaction of the Bank that a share certifi-cate probably has been lost the National Bank ofDenmark shall be entitled by a notification in theGovernment Gazette to call the person who mightbe in possession of the share certificate to appearwithin 6 months. If nobody appears the Bank maydeliver the bonds corresponding to the share certifi-cate to the person registered in the books of theBank as proprietor of the share certificate.
(b) In case of defects in the transfers of title en-dorsed on a share certificate the National Bank ofDenmark shall, if it is of opinion that the assertedownership of the bearer is well founded, be entitledto call the person or persons who might have anyobjections to the bearer's property in the sharecertificate to appear within the aforesaid period ofnotice. If no objections are made the Bank maydeliver the bonds to the bearer of the share certifi-cate.
When evidence placed before the Bank shows tothe satisfaction of the Bank that a share certificate,which according to the books of the Bank is madeout to bearer, probably has been lost, and the personnotifying the loss possesses the coupons belongingto the share, the National Bank of Denmark shallbe entitled to pay to such person the interest due onthe bonds corresponding to the s^are. If the Bankdoes not find to its satisfaction that the share cer-tificate has been destroyed, the interest shall not bepaid till the 1st day of February, 1937. If nothingto invalidate the right of the person notifying suchloss has transpired within the expiration of 5 yearsfrom the taking effect of this Act the Bank maydeliver the bonds to him.
In case cash amounts are to be allotted to the share-holders payment shall be made against the productionof the dividend coupon for the year current at thetaking effect of this present Act.
After the expiration of 5 years from the takingeffect of this Act all rights to claim bonds or cashallotments in exchange for the old shares shall beforfeited, and the undelivered bonds and cashamounts shall fall to the National Bank of Denmarkwithout compensation to the former shareholders.Amounts gained in this way shall be allocated tothe Reserve Fund of the Bank.
SEC. 32. In the period till the expiration of theyear 1948 the above provisions can only be amendedby the consent of a majority of all the members ofthe Board of Directors (confer section 14, last sub-section).
COMMENCEMENT
SEC. 33. Section 27, subsection 1, shall take effectat once. Otherwise the Act shall take effect onsuch date as may be fixed in the agreement men-tioned in section 27. The Minister of Trade, Indus-try and Shipping shall publish the date of the takingeffect of this Act.
With which all those concerned shall have tocomply.
Given on Amalienborg, the 7th day of April 1936.
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JULY 1936 FEDERAL RESERVE BULLETIN 541
LEGAL RESERVE REQUIREMENTS OF FOREIGN CENTRAL BANKS
In most countries central banks are re-quired by law to hold substantial reserves ofgold or foreign exchange. Demands uponthese reserves occur chiefly in connectionwith the settlement of international trans-actions, since under the post-war gold stand-ard domestic circulation of gold coin haspractically ceased. Only a portion of centralbank reserves, however, is available for inter-national use. In most countries a substantialpart of the gold and foreign-exchange re-serves is required by law to be held againstdomestic liabilities. A tabular statement ofthe legal reserve requirements of 45 foreigncentral banks is presented below. Similartables were published in the Federal ReserveBulletin for August 1930, p. 502, and July1932, pp. 437-438.
Reserves.—The assets of central banksmost generally designated as reserves aregold and foreign exchange. It is these assetsthat central banks can most effectively usein settlement of international transactions.Central bank statutes practically without ex-ception permit gold to be counted as part ofthe legal reserves, although in some instancesgold held abroad is either excluded or limitedto a small proportion of the reserves re-quired, as noted in the column of qualifyingprovisions. Foreign exchange, on the otherhand, is often not permitted to count as partof the legal reserves. In those cases in whichit is permitted, the fact that many of thestatutes were adopted in a period when theinternational gold standard prevailed is re-flected in the frequent requirement that ex-change be gold exchange, i.e. exchange on acountry where the currency is by law con-vertible into gold for export. Few currenciessatisfy this definition today, however, and itis probable that the term ''gold exchange" is
now broadly interpreted in practice. Wherethe law permits exchange other than gold ex-change to be counted as part of the legal re-serves, this fact is noted in a footnote oramong the qualifying provisions. Note isalso made in the qualifying provisions whenexchange eligible as legal reserve does notinclude all short-term foreign assets, or doesinclude long-term foreign securities.
Liabilities against which reserves are re-quired.—In each of the countries covered bythe table reserves are required against notes.Notes may be understood as notes in circula-tion outside the bank of issue. Where* as inEngland, reserves are required against notesissued that are retained by the bank, it isevident that the bank may at will release thereserves by retiring the notes. Reservesagainst notes held by the bank are, therefore,available for international use.
Many countries also require reserves tobe held against deposits and other demandliabilities of the bank. Where the law speci-fies deposits only, the term has been used inthe table. In such cases items which mightnot be considered deposits, such as cashier'schecks, drafts payable, and dividends, havebeen noted in the column of qualifying pro-visions when it is clear that the bank includessuch items with the deposits against whichreserves must be held.
Flexibility in reserve requirements.—Thereserve requirements shown in the table arenot always absolute. Many central bankstatutes permit reserves to fall below thelegal minimum, subject to the payment of atax or the consent of the Government or both.Such provisions are noted in the table. Inall cases, however, the statutory requirementconstitutes a standard which the bank is ex-pected to observe.
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542 FEDERAL RESERVE BULLETIN JULY 1936
LEGAL RESERVE REQUIREMENTS OF FOREIGN CENTRAL BANKS
CentralBank of:
Albania—.Argentina-
Australia..Austria
Belgian Congo..BelgiumBolivia
British India..
Bulgaria-.Canada.-.
Chile..
Colombia-.
Czechoslovakia.DanzigDenmark
Ecuador..E g y p t - . .
El Salvador
Estonia-.Finland-
FranceGermany..
Greece
Guatemala..
Liabilities against which reservesare required
NotesDemand liabilities..
NotesDemand liabilities minus Federal
debt A (Sch. 262, 986, 804).
Notes and subsidiary coin..Demand liabilitiesNotes and deposits
Notes..
Demand liabilities.-Notes and deposits..
Notes and deposits..
Notes-
Demand liabilities..Demand liabilities..Notes
Notes and deposits.Notes
Demand liabilities..
Demand liabilitiesDemand liabilities, including un-
utilized credits, in excess of 1,200.000,000 markkaa.
Demand liabilitiesNotes
Demand liabilities, minus holdingsof national silver coin up to 150,-000,000 drachmas.
Notes
Deposits, due in 30 days or less, in-cluding unutilized credits.
Reserve require-ments
Gold
Per cent
221;
2030
3 20
3530
Gold andgold ex-change
Per cent1 2 33^
25 '
252 3 20
4040
i 50
3 40
25
3 303 25
4050
3 40100
Qualifying provisions, etc.
Exchange included limited to two-thirds of required reserve.Exchange not limited to gold exchange; but liabilities in gold and
exchange must be deducted from it. If reserve falls below 33per cent during specified periods, no dividend shall be paid toshareholding banks.
Exchange included limited to English sterling.Reserve requirements to be increased to 22 per cent on January 1,
1937; to 24 per cent on January 1, 1942; and to 25 per cent on Janu-ary 1, 1947. Reserves must be revalued at end of each year onbasis of schilling exchange during preceding 6 months.
Silver included limited to one-fifth of required reserve. Exchangeincluded limited to deposits payable in gold on demand or onthree days ' notice in New York or London, except that sinceSept. 6, 1932, domestic and foreign prime commercial bills may,with the consent of the superintendent of banks, be included upto one-tenth of required reserve. Bank includes drafts payable,dividends, and "other obligations" with deposits against whichreserves are required.
Gold must not be less than 400,000,000 rupees; at least 85 per centof gold included must be held at home. Exchange includedlimited to deposits at Bank of England, sterling bills or BritishGovernment securities maturing within 5 years.
Reserve net; i. e., minus any liabilities in exchange.Government at bank's request may suspend reserve requirement
for maximum period of one year.Exchange net; limited to demand deposits payable in gold in New
York or London. Exchange purchased under laws of Apr. 19,1932 (No. 5107) and Feb. 13, 1935 (No. 5594), regarding officialexchange control, and an equivalent amount of notes and depositsare excluded in computing ratio. While bank holds Treasurynotes issued under law of Jan. 7, 1932 (No. 5028) and later consoli-dated in a long-term Government debt, reserve requirements arereduced to 25 per cent. Bank includes cashiers' checks anddividends payable with deposits against which reserves arerequired.
Exchange limited to demand deposits but not to gold exchange.During present emergency reserve requirements are reduced to30 per cent or, so long as gold content of peso is not reduced, to 25per cent. An additional reserve of 25 per cent of deposits plusoutstanding Treasury notes is required in gold or other cash (silvernot to exceed one-half).
Exchange included must be valued at gold value.Gold abroad limited to 5 per cent of notes. Exchange not limited
to gold exchange but must be noninterest-bearing demand depositsin central banks minus such deposits held for central banks.Exchange may not be valued higher than at market rate.
Exchange included limited to deposits payable in gold.Gold included must be held at home. Exchange included limited
to British Treasury bills.After definitive stabilization of currency, net exchange may count
as reserve. Such exchange is not limited to gold exchange, butmust be held in central banks. If reserve falls below 30 per centon three of the 24 report dates a year, no dividend shall be paidto shareholding banks.
Exchange net.Exchange limited to undisputed balances with correspondents
valued at par or at market, whichever is lower; not limited togold exchange.
Exchange not limited to gold exchange but must be valued at itscurrent gold value and mature within 14 days. Reserve require-ments suspended since July 7, 1931.
Reserve net, i.e., minus gold exchange liabilities. Reserve mayinclude certain gold bonds of the Greek State up to 650,000,000drachmas. Reserve requirements suspended since Apr. 26, 1932.
Gold in required reserves must be in bank 's vaults. Silver mayreplace gold up to one-tenth of requirement shown in gold column.Reserve against deposits payable in a foreign currency may beheld entirely in that currency. Note issue may not exceed 5times bank's paid-up capital and surplus or 12,500,000 quetzals,whichever is larger. Deposits due in 30 days or less may notexceed 5 times bank's capital and surplus.
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JULY 1936 FEDERAL RESERVE BULLETIN 543
LEGAL RESERVE REQUIREMENTS OF FOREIGN CENTRAL BANKS—Continued
CentralBank of:
Hungary..
Italy...Japan..
Java
Latvia..
LithuaniaMoroccoNetherlandsNew Zealand
Norway.
Peru
Poland...
Portugal-
RumaniaSouth Africa..Spain
Sweden..
SwitzerlandUnited KingdomUruguay
Yugoslavia
Liabilities against which reservesare required
Demand liabilities minus Govern-ment debt.
Demand liabilitiesNotes in excess of fiduciary issue of
1,000,000,000 yen.
Demand liabilities
Notes up to 100,000,000 lats_.
Notes in excess of 100,000,000 lats_NotesNotesDemand liabilities..Demand liabilities..
Notes in excess of fiduciary issue of250,000,000 kroner.
Notes, deposits, and net foreignitems in process of collection.
Demand liabilities in excess of 100,-000,000 zlotys.
Notes up to 2,200,000,000 escudosand other demand liabilities.
Notes in excess of 2,200,000,000escudos.
Demand liabilitiesNotes, deposits, and bills payable._.
Notes up to 4,000,000,000 pesetas
Notes in excess of 4,000,000,000 pese-tas.
Notes in excess of fiduciary issue of350,000,000 kronor.
NotesNotes in excess of fiduciary issue of
£260,000,000.Major notes of 10 pesos or more is-
sued in excess of (a) bank's paid-up capital less fiduciary issue ofminor notes and (b) rediscountedbank documents up to 10,000,000pesos.
Demand liabilities
Reserve require-ments
Gold
Per cent
i 100
140
331411 1 /9
1 40
100
3 30
100
2513 30
1 45
1 60
50
40100
45 3/5
25
Gold andgold ex-change
Per cent123 24
40
2 30
2 50
33 ^
"25
1 50
30
35
35
Qualifying provisions, etc.
Reserve requirements to be increased to 28 per cent on June 24,1938, and to 3 3 ^ per cent on June 24, 1943. Reserves must be re-valued at end of each quarter on basis of pengo exchange duringpreceding 15 days.
Reserve requirements suspended since July 22, 1935.Silver included limited to one-fourth of required reserve. Bank
has not included silver in reserve since 1905. Bank may increasefiduciary issue, subject after 15 days to consent of Governmentand payment of tax on excess issue.
Part of required reserve, to be determined by Governor-Generalmust be held at home.
Against Government note issue, which may not exceed 48,000,000lats, Government must maintain 25 percent reserve in gold ear-marked at Bank of Latvia.
Eighty per cent of required reserve must be held at home.Exchange may include sterling; liabilities in exchange must be
deducted from gold exchange. Government at bank's requestmay suspend reserve requirements.
Gold included must be held at home. Fiduciary issue may beincreased, subject to a tax, by authority of King and Storting.
Silver included must not exceed one-fifth. Exchange includedmay consist only of deposits payable on demand in gold, or itsequivalent, in New York or London, and up to one-half of reserve,bankers' acceptances payable in gold currencies.
Gold net, after deduction of pledged gold and of liabilities in ex-change.
Notes subject to 30 per cent reserve may be increased beyond2,200,000,000 escudos with Government consent. Exchange net;may include sterling and foreign Government securities payablein sterling. Until July 1, 1941, certain Portuguese external goldbonds may be included up to 22 per cent of existing reserve.
One-half of gold included must be held at home. Silver includedlimited to 6 per cent of deposits and bills payable.
Ninety-seven per cent of gold included must be held at home.Silver included limited to 5 per cent of notes up to and including4,000,000,000 pesetas and 10 per cent of notes in excess. Notecirculation limited to 6,000,000,000 pesetas and may exceed5,000,000,000 only with Government consent. Governmentconsent necessary for any reduction of gold and cannot be givenunless gold is in excess of amount required for 6,000,000,000 pesetasof notes.
Gold must not be less than 150,000,000 kronor. Eighty-five percent of gold included must be held at home. Government mayincrease fiduciary issue by 350,000,000 kronor.
Gold included must be held at home.At bank's request Treasury may decrease fiduciary issue or may,
for period up to two years, increase fiduciary issue.Fiduciary issue of minor notes is permitted in place of major
notes, against paid-up capital. Against minor notes in excess offiduciary issue, minimum reserve requirement is 45.6 per cent insilver. Minor notes are limited to 20,000,000 pesos. Bank musthold notes equivalent to 20 per cent of deposits. Gold coin maybe held abroad only if 55,000,000 pesos of gold coin is held inUruguay, unless specially authorized otherwise.
Gold included must be held at home. Provisionally since Jan. 21,1935, reserve requirements are reduced from 25 and 35 per cent to20 and 25 per cent, respectively, and bank is authorized, in com-puting these ratios, to value reserves at 28.5 per cent above legalrate.
-1 May legally include silver.2 Foreign exchange may be in any stable currency.3 Reserve may be permitted to fall below stated reserve requirements subject, except in South Africa and Denmark, to the payment of a tax.
Government consent is necessary in Denmark, Estonia, India, and South Africa.
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544 FEDERAL RESERVE BULLETIN JULY 1936
GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS
With this issue of the BULLETIN, the tablegiving gold reserves of central banks and gov-ernments regularly published in the BUL-LETIN has been revised somewhat to includefour additional banks and to exclude figuresfor the State Bank of the U. S. S. R. as wellas for the preceding Russian State Bank.Figures for the four additional banks foryears prior to 1935, together with a tabularstatement giving a detailed explanation ofhow the figures for these four banks are ob-tained and also of the more important changesin the compilation of the table since publica-tion in the BULLETIN for June 1933, are givenbelow. A detailed explanation of the abovetable as heretofore compiled was published inthe BULLETIN for July 1931 (pp. 392-398),May 1932 (pp. 315-318), and June 1933 (p.372).
Figures for each of the four banks addedto the table—the Central Bank of China, theBanco Central de Reserva de El Salvador,the Banque d'Etat du Maroc, and the Bankfor International Settlements—relate to thelast day of the month. The figure for theBank for International Settlements repre-sents gold held by the bank for its own ac-count, principally against central bank de-posits payable in gold.
In four countries, Argentina, Canada, In-dia, and New Zealand, new central banks havetaken over most of the gold previously ownedby government offices or note-issuing banks.The Banco Central de la Republica Argen-tina, which began operations on May 31,1935, took over the entire gold stock of theCaja de Conversion amounting at the oldvaluation rate to 246,843,000 gold pesos($403,000,000). The Banco de la NationArgentina continued to hold a small amountof gold—$220,000—on May 31, 1935. Sincethis institution's central banking functionshave now been transferred to the new BancoCentral de la Republica Argentina, its goldholdings are no longer included in the table.In Canada $31,900,000 (U. S. $54,100,000) ofgold held in vault by the Chartered Banksand not previously included in the table, to-gether with $69,500,000 (U. S. $117,600,000)of gold held against Dominion notes by theMinister of Finance and $5,200,000 (U. S.$8,800,000) deposited by the Chartered Banksin the central gold reserves, were transferredto the Bank of Canada, which opened for
business on March 11, 1935. A small amountof gold held by the Minister of Financeagainst liabilities other than Dominion notes,which was not transferred to the Bank ofCanada, is included in the figure of Canadiangold reserves. The Reserve Bank of Indiawhen it opened on April 1,1935, took over theentire gold reserves held by the Governmentin the gold standard reserve, amounting to28,698,000 rupees ($17,700,000), and in thepaper currency reserve amounting to 415,-519,000 rupees ($256,800,000). The ReserveBank of New Zealand began operations onAugust 1, 1934, and by the end of Septemberit had acquired the £4,350,000 ($35,900,000)of gold previously held by the six banks ofissue.
When the gold content of the United Statesdollar was reduced early in 1934, the par rateof conversion into dollars of all foreign cur-rencies was automatically increased by 69.31percent. The new parity did not become ef-fective until after close of business on Janu-ary 31, 1934, but for purposes of comparisonthe January 1934 figures of central gold re-serves are given in terms of both the old andthe new parity in the table below.
In addition to the general change effectedby revaluation of the dollar, rates of conver-sion have been altered by revaluation of goldin the nine following countries: Argentina,Austria, Belgian Congo, Belgium, Canada,Columbia, Czechoslovakia, Danzig, and Ecua-dor. Revaluation t)f foreign gold reservesdoes not affect their dollar value. Thechange in terms of local currency is exactlyoffset by the altered value of the local cur-rency in terms of dollars.
On May 31, 1935, gold held by the Caja deConversion in Argentina was revalued on theoccasion of its transfer to the new BancoCentral de la Republica Argentina. The rateof conversion into United States dollars wasthus reduced for the gold peso from $1.6335to $0.7484 and for the paper peso from$0.7187 to $0.3293. In Austria the gold hold-ings of the Oesterreichische Nationalbankwere revalued at the rate of 0.16667 gram offine gold per schilling on April 30, 1934,thereby changing the rate of conversion intoUnited States dollars from $0.2382 to$0.1875; and on December 31,1935, the valueof the schilling was changed slightly to0.16768 gram gold, the new rate of conversion
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JULY 1936 FEDERAL RESERVE BULLETIN 545
into United States dollars becoming $0.1887.Gold held by the Banque du Congo Beige wasrevalued on April 30, 1935, on the basis of 72percent of its former parity. The rate of con-version into United States dollars was therebyreduced from $0.0471 to $0.0339. Gold be-longing to the Banque Nationale de Belgiquewas revalued after the last statement date inMarch 1935 on the basis of 75 percent of theformer parity, pending final determinationof a new gold content for the belga, which wasdefinitely fixed by law effective April 1, 1936,at 72 percent of the former gold content.Thus, the rate for converting the gold hold-ings of the Belgian central bank into UnitedStates dollars became $0.1766 on March 29,1935, and was reduced on April 1, 1936, to thepresent value of $0.1695. With the adoptionof the Exchange Fund Act July 5, 1935, theBank of Canada began to value its gold inCanadian dollars at the highest market priceobtainable in London or New York less certaincosts of shipment. Gold held by the Ministerof Finance continues to be valued at par inCanadian dollars. Colombia revalued thegold reserve of the Banco de la Republica onApril 6, 1935, on the basis of the peso priceof gold in New York on the last day of themonth. Gold is also reported on the monthlystatement of the Banco de la Republica interms of fine ounces, which can be convertedinto United States dollars at $35.00 a fineounce. On February 17,1934, Czechoslovakiareduced the gold content of the koruna by one-sixth and thus altered the rate of conversioninto United States dollars from $0.0502 to$0.0418. Danzig reduced the gold content ofthe gulden on May 2, 1935, changing the rateof conversion into United States dollars from$0.3296 to $0.1899. The Banco Central delEcuador revalued gold in vault by law ofDecember 18, 1935, valuing the sucre at therate of 9.968331 sucres per gram of fine gold,which reduced the rate of conversion intoUnited States dollars from $0.3386 to $0.1129.
The Banca D'ltalia suspended publicationof its statement after October 20, 1935. Thefigure for December, however, was publishedin the Annual Report of the Banca D'ltaliafor 1935. Figures for the end of October andNovember are estimated on the basis of equaldistribution of loss of gold between the tworeporting dates. The figure for December is
carried forward currently for months forwhich no figures are available.
The Banco de Mexico, which does not sepa-rate gold from silver and foreign exchangeon the balance sheet, reported its gold reservein fine kilograms by letter from January 1933until the transfer of reserves of the bank tothe Mexican stabilization fund in April 1935.Since that time no separate report has beenmade. The figure for March is thereforecarried forward for subsequent months.
The growth of the practice of accumulat-ing unreported central reserves, particularlyin government agencies created to administersecret funds for the stabilization of curren-cies, has in recent years necessarily resultedin omissions from the compiled figures of cen-tral gold reserves. The Exchange Equaliza-tion Account established in England in June1932 was followed by the United States Sta-bilization Fund in June 1934, the Belgian Ex-change Equalization Fund in April 1935, theCanadian Exchange Fund in July 1935, andthe Exchange Fund of Uruguay in August1935. The resources and scope of the Mexi-can stabilization fund (Fideicomiso de laReserva Monetaria) were enlarged in April1935 when the gold reserves of the Bank ofMexico were turned over to the fund. InArgentina the new central bank, on the oc-casion of its establishment, acquired gold andforeign exchange resources from the ForeignExchange Fund which had been created underthe decrees of November 1933 establishinga new foreign exchange control system. TheBelgian Exchange Equalization Fund wasabolished by law of April 1, 1936.
Some of these funds, it is believed, holdlittle gold, and in certain other cases the goldholdings are only partly concealed. In theUnited States, for example, $1,800,000,000of the original $2,000,000,000 allocated to theStabilization Fund is currently reported onthe Daily Treasury Statement as still held inthe form of gold. On the other hand, theunreported gold of one of the foreign fundsis undoubtedly substantial, and there appearto be cases where governments, which havenot formally established stabilization funds,hold unreported gold or where central banksfail to include some of their gold in reportedreserves.
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546 FEDERAL RESERVE BULLETIN JULY 1936
GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued
NEW CENTRAL GOLD RESERVE ACCOUNTSSINCE JUNE 1933
(For earlier items and items substantially unchanged, see tabular statementsin BULLETIN for May 1932 and June 1933.)
Country Institution Source Items Rate of conversion intoUnited States dollars
Argentina
British India..
Canada..
China-
El Salvador...
Morocco..
New Zealand..
Switzerland...
Uruguay
May 1935 to date, Banco Cen-tral de la Republica Argen-tina.
April 1935 to date, ReserveBank of India.
Mar. 1935 to date, Bank ofCanada.
Mar. 1935 to date, Ministry ofFinance.
Central Bank of China
1920-June 1934, three banks ofissue.
July 1934 to date, Banco Cen-tral de Reserva de El Sal-vador.
Banque d'Etat du Maroc
Aug. 1934 to date, ReserveBank of New Zealand.
Bank for International Settle-ments.
Banco de la Republica
Current balance sheet.. Oro_.
Letter from Banco Central dela Republica Argentina.
April-July 1935, Departmentof Commercial Intelligenceand Statistics, Indian TradeJournal; Aug. 1935 to date,current balance sheet.
Mar.-June 1935, current bal-ance sheet.
July 1935 to date, letter fromBank of Canada.
Letter from Minister ofFinance.
May 1930-Oct. 1934, letterfrom Central Bank ofChina; Nov. 1934 to date,special balance sheet.
Letter from Banco Central deReserva de El Salvador.
Current balance sheet
Gold abroad..
Issue Department: Gold coinand bullion in India andoutside.
Gold
Gold
Gold
Gold coin and bullion at homeand abroad in issue andbanking departments.
Gold coin.
Gold
Dec. 1922-Jan. 1935, letter fromBanque d'Etat du Maroc;Feb. 1935 to date, currentbalance sheet.
Current balance sheet
Encaisse or..
Gold-
Current balance sheet
Current balance sheet:Sept. 1935Oct. 1935 to date
Letter from Banco de la Re-publica, Sept.-Dec. 1935.
Current balance sheet, Jan.193<i to date.
Gold in bars
Issue department:En monedas de oro..Existencia en oro.. .
Banking department:Gold.
Encaje-oro.
May 31, 1935, 1 paper peso=$0.3293.
Original figures in fine ouncesconverted at rate of 1 ounce=$35.00.
1 rupee=$0.6180.
1 Canadian dollar=$ 1.6931.
Original figures in fine ouncesconverted at rate of 1 ounce=$35.00.
1 Canadian dollar=$1.6931.
May 1930-Jan. 1934, originalfigures in fine ounces con-verted at rate of 1 ounce=$20.6718; Feb. 1934 to date,converted at rate of 1 ounce=$35.00.
1 colon=$0.50.
1922-1927, 1 franc=$0.1930;June 1928-Jan. 1934, 1 franc=$0.0392; Feb. 1934 to date, 1franc=$0.0663.
1 New Zealand pound=$8.2397.
July 1933-Jan. 1934, 1 Swissfranc=$0.1930; Feb. 1934 todate, 1 Swiss franc=$0.3267
1 peso=$1.7511.
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JULY 1936 FEDERAL RESERVE BULLETIN 547
GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued
[In thousands of dollars]
End of month
Worldtotal (52
countries,excludingRussia—U.S.S.R.)
China El Sal-vador
Mo-rocco
Swit-zerland(Bankfor In-terna-tionalSettle-ments)
End of month Total (52countries) China El Sal-
vadorMo-
rocco
Swit-zerland(Bankfor In-terna-tionalSettle-ments)
$1 = 25 8/10 grains of gold nine-tenths fine; i.e.$20.67
in ounce of fine gold = $1 = 25 8/10 grains of gold nine-tenths fine; i.e. an ounce of fine gold$20.67
1913—December..1914—December..1915—December..1916—December..1917—December..
1918—December1919—December1920—December1921—December1922—December
1923—December1924—December1925—December1926—December1927—December
1928—JuneJulyAugustSeptember..OctoberNovember..December..
1929—JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember
1930—JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember
1931—JanuaryFebruaryMarchApril
4,070, 5434, 539, 2695, 407, 5945, 866,9966,473,441
6,807,7186, 794, 2687, 241, 0688, 031, 9918, 402, 692
8, 594,1298, 888, 2068, 885, 7899,131, 2309,476, 794
9,687,1269, 773, 0369,826,1069,871,1729,890,1199, 929, 0599,943,914
9, 974, 5659, 997, 93210,024, 5429, 981, 53410,048, 09010,061,01510,065, 75110,139, 29210,150,73610,171,56910,173, 47610,166,467
10, 230, 90010, 297, 56410, 367, 64610, 422, 03410, 452, 44310, 485,16210,488,42110, 555,16410, 592, 00210, 620, 47710, 667, 47510,675,045
10, 722, 69710, 780, 40610, 833, 90910, 864, 426
881, 0051,0051,0051,0051,0051, 0051,005
2,5445, 5656, 658925
2, 3652, 0292,782
3, 0354, 3995, 4035, 9305, 059
5, 0595, 0595, 0595, 0595, 0595, 0594, 895
4, 8954, 8954, 8954, 8954, 8954. 8954, 8954, 8954, 8954, 8954, 8954,586
4, 5864, 5864, 5864, 5864, 5864, 5864, 5864, 5864,5864, 5864, 5863, 708
3,7083, 7083,7083, 708
378
379379379386389
389390
2, 9063,1003,1003,1003,119
2,8442,8442,8442,8442,8442, 8453,1733, 2123,2123, 0952,8202,737
2, 5802, 5802,5412,5472, 5492, 5492, 6282, 7072,7462,7472,7472, 552
2, 5522, 5522,5532, 554
May.JuneJuly..Augugust..September..OctoberNovember..December. .
1932—JanuaryFebruary. _.MarchAprilAprMaMayJuneJulyAugust..September..OctoberNovember..December. .
1933—January...February.MarchApril.May..June..JulyAugustSeptember..October.November..December..
1934—January..
10. 971, 799if, 018, 05710, 960, 30/11,025,93210, 992, 93010,840,20410,943, 29210, 970, 396
10,021,19111,099,70811,181,14111,195,50911,092,44911,009,71511, 073, 88211,206,17811, 337, 42811, 431, 59811,503,69411,539,807
11,562,78611,376,59711,573,53011,611,50511,524,57711,462,54411,550,96711,608,32911,643,64511,654,62911,558,96311,528,518
11,552,621
1,194
2, 5043, 371
786
1,2021, 5811,8892,0361, 0511,2952,0481,7231,1951, 6032, 688
1,682756
1,7543,5393,6853, 8623,5882, 4963, 3905,3577,8515,228
7,752
3, 7083, 7083, 7083, 7083, 7083, 7083,7083,542
3, 5423,5423,5423,5423,5423,5423,5423,5423, 5423,5423,5423, 556
3, 5563, 5563, 5563, 5563, 5563, 5563, 5563, 5563, 5563, 5563,5563, 598
3,598
2, 5552,713871
2,8712, 9503, 9373, 9373, 937
3,9373,9323, 9323, 9323,9323,9323,9323,9323,9323,9323, 9323, 932
3,9323, 9323, 9323,9333, 9313,9313,9313, 9313, 9313,9313,9324,173
4,153
$1 = 15 5/21 grains of gold nine-tenths fine;i. e. an ounce of fine gold=$35
1934—January _._February..March.....April.MayJuneJulyAugustSeptember. .OctoberNovember..December..
19, 553, 98719,845,11720, 049, 44820,146, 67120, 280, 64820, 476, 59020, 612,16820, 797, 76020,838, 69020,896, 86120, 957, 27121, 050, 937
13,12913,1089, 43410, 9047, 9238,3198,4229,63710.19011,83310, 7877,272
6,0926, 0926, 0926, 0926,0926, 0925,5785,5785,5785, 9605, 9605,960
7,0247,3247,3227,2327,2327,4047,3997, 3957,3957,3837,3567,357
993993993993
1,0721,463
1.463
2,4765,8689, 2059,2058,5045,2194,8424,5203, 8493,8373,8373,596
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LAW DEPARTMENT
Eligibility of loans insured under National HousingAct as security for advances under section 10(b)of the Federal Reserve Act
In reply to an inquiry regarding the statusunder section 10 (b) of the Federal ReserveAct of loans insured under the provisions ofthe National Housing Act, it was stated bythe Board that any advance under this sec-tion must be secured to the satisfaction ofthe Federal Reserve bank, and that there isno other limitation on the character of se-curity which may be used for such an ad-vance. Accordingly, a Federal Reserve bankis authorized to make advances to a memberbank under section 10 (b) of the Federal Re-serve Act upon the security of modernizationloans insured under Title I of the NationalHousing Act or mortgage loans insured underTitle II of the National Housing Act if suchsecurity is satisfactory to the Reserve bank.
The question whether such loans would inparticular cases constitute acceptable se-curity must be determined by the FederalReserve banks as and when requests for suchadvances are received from the memberbanks.
Maximum rates of interest payable on time depositsunder Regulation QThe Board has recently received an inquiry
which indicated that there may be some con-fusion as to the proper interpretation of theprovisions of the supplement to RegulationQ establishing a graduated scale of maximumrates of interest payable upon time deposits.The supplement provides that member banksmay pay a maximum rate of 2V2 percent ontime deposits having maturities of 6 monthsor more or payable upon written notice of 6months or more, 2 percent on time depositshaving maturities of less than 6 months andnot less than 90 days or payable upon writtennotice of less than 6 months and not less than90 days, and 1 percent on time deposits hav-ing maturities of less than 90 days or pay-able upon written notice of less than 90 days.
This inquiry indicated that the confusionmay possibly have been caused in part by theforms of time certificates of deposit pub-lished at page 708 of the FEDERAL RESERVEBULLETIN for November, 1933. These formscomplied with the definition of "time certifi-cates of deposit" under the edition of Regu-
lation Q in effect when they were publishedand also comply with the definition of suchterm in the current revision of Regulation Q,which became effective January 1, 1936.However, the rate of interest provided in suchforms (3 percent per annum) may not nowbe paid by a member bank.
The provision of these forms which mayhave caused misunderstanding is the follow-ing provision contained in forms 3 and 4:
Interest payable for full months only at — percent per annum if left or — per
(days or months)cent if left more than
(days or months)
A time certificate of deposit payable upon30 days' written notice which provides forinterest at 1 percent per annum if left 30days but less than 90 days, or 2 percent perannum if left 90 days but less than 6 months,or 2V2 percent per annum if left 6 months orlonger is not permitted by the provisions ofthe supplement to Regulation Q. Such a timecertificate of deposit would at all times bepayable upon 30 days' written notice and,therefore, under the provisions of the supple-ment, the maximum rate of interest payablethereon would be 1 percent per annum, eventhough the deposit were left with the bankfor a year or more.
In other words, the maximum rate of inter-est which may be paid on a time deposit isnot determined by the length of time the de-posit actually is left with the bank but isdetermined by the length of time from thedate of the deposit to the earliest date uponwhich it may be withdrawn under the termsof the certificate. Of course, a certificatepayable upon 30 days' written notice couldprovide for interest at y% percent per annumif left 2 months, % percent per annum if left3 months, or 1 percent per annum if left 4months, but no matter how long the depositis left with the bank the rate of interest pay-able on such a certificate may not exceed 1percent per annum.
In any case in which a member bank, actingin good faith under a misapprehension as tothe rate of interest which may be paid on atime certificate of deposit of the kinds pub-lished at page 708 of the FEDERAL RESERVEBULLETIN for November, 1933, has hereto-fore issued any time certificate of depositwhich provides that interest shall be paid
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thereon at a rate determined by the length oftime the deposit is left with the bank, but notexceeding 2y2 percent per annum, the Boardwill not object to the payment of interest onsuch certificate in accordance with its terms,even though the rate exceeds that permittedby the supplement to Regulation Q as inter-preted herein; provided that the certificateand the rate of interest payable thereon com-ply in other respects with the provisions ofRegulation Q and that steps are taken bythe bank, through notice to the depositor orotherwise, to bring such certificate into con-formity with the provisions of the regulationas soon as possible.
Applicability of section 2(c) of Regulation U tosecurity dealers "making a market" in registeredstocks or purchasing an inventory of such stocksfor resale
The Board has recently received a requestfor a ruling on the question whether section2(c) of the Board's Regulation U, exceptingfrom the limitations prescribed in section 1of the regulation "any loan to a dealer, or totwo or more dealers, to aid in the financing ofthe distribution of securities to customers notthrough the medium of a national securitiesexchange," applies to the following loans bya bank to a dealer:
(1) The borrower is a dealer, a part ofwhose business consists of "making a mar-ket" in a stock registered on a national securi-ties exchange. In this business he purchasesthis stock from time to time for his own ac-count on the exchange or "over the counter"from or through members of a national secu-rities exchange or brokers or dealers whotransact a business in securities through themedium of such members. In this businesshe also sells the stock for his own account onthe exchange but more often "over the coun-ter" to his customers or to other persons, hissales in either case being on a cash basis. Thebank loan to the dealer is secured by this stockand is for the purpose of enabling him to pur-chase the stock and to carry it pending itssale.
(2) The borrower is a dealer who is amember of a national securities exchange. Apart of his business consists of purchasingon the exchange stocks registered thereon andof selling them on a cash basis to his cus-tomers or to other persons "over the counter."The bank loan in question is for the purpose
of enabling him to purchase these stocks andto carry them pending their sale. The loanmight be expected to be outstanding for sev-eral months and to be reduced or increasedseveral times during its life.
On the basis of the facts as stated above,the Board ruled that neither of the foregoingloans comes within the exception containedin section 2(c) of Regulation U becauseneither loan is a loan to aid in the financing ofthe distribution of securities within the mean-ing of the term "distribution" as used in suchsection.
Applicability to collateral for loans made prior toMay 1, 1936, of provisions in Regulation U govern-ing withdrawal or substitution of collateral
The Board has recently been presentedwith the question whether Regulation U re-stricts the substitution or withdrawal of col-lateral securing loans made before May 1,1936. In response, the Board expressed theview that as a general rule the provisions ofRegulation U are not applicable to the with-drawal or substitution of collateral for anyloan made prior to May 1, 1936.
The Board, however, stated that this gen-eral rule is subject to the following qualifica-tion : If a bank has made another loan on orafter that date (other than a loan exceptedby section 2 of the regulation) which is se-cured directly or indirectly by any stock andis for the purpose of purchasing or carryinga stock registered on a national securities ex-change, and if the terms of the bank's agree-ments with the borrower are such that thecollateral securing the first loan also securesthe second loan, the bank must then combinethe collateral for both loans in determiningwhether any of the collateral for either loanmay be withdrawn. The bank may not, inthis case, permit withdrawal of such ailamount of collateral as would cause the maxi-mum loan value of the remainder to be lessthan the amount of the second loan.
Applicability of section 2(f) of Regulation U to aloan to a dealer to purchase securities to complywith orders from customers
An inquiry has been received by the Boardfrom a member bank as to whether a tempo-rary loan to a dealer for the purpose of com-pleting a transaction, in which he purchasessecurities to comply with a bona fide orderfrom a customer, is exempted from the pro-
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visions of Regulation U by section 2(f)thereof, which excepts from the limitation ofthe regulation any temporary advance tofinance the purchase or sale of securities forprompt delivery which is to be repaid in theordinary course of business upon completionof the transaction. In reply the Board, with-out passing upon all possible situations cov-ered by the question, expressed the view thata loan of the following description would beexcepted from the regulation under the pro-visions of section 2(f) :
A dealer in securities receives an offer from acustomer to purchase a registered stock. It is agreedbetween the dealer and the customer that the dealerwill deliver the stock to the customer promptly, andthat the customer will pay for the stock promptlyupon delivery of the security. The dealer purchasesthe security, instructing the seller to deliver it toa designated bank against payment. The bank,knowing the facts of the case and understandingthat it will be repaid by the dealer as soon as thedealer can arrange for his customer to take deliveryof and pay for the stock, makes a loan to the dealerfor the purpose of paying the seller of the stock.
Amendment of Regulation TRegulation T, which relates to the exten-
sion and maintenance of credit by brokers,dealers and members of national securitiesexchanges, was recently amended by theBoard, effective July 1, 1936. This amend-ment, which is designated as Amendment No.8 of Regulation T, added at the end of sub-section (b) of section 3 of the regulation anew paragraph reading as follows:
Notwithstanding any provisions of section 4 ofthis regulation, the creditor may permit such othermember, broker, or dealer to withdraw money orsecurities from such a special account if such with-drawal, in combination with any other transactionsmade on the same day and together with demandsfor additional margin in connection therewith, doesnot result in any increase of the excess of the ad-justed debit balance of the account over the maximumloan value of the securities in the account.
Amendments of Regulation U
The Board has recently adopted two amend-ments to its Regulation U regarding loans bybanks for the purpose of purchasing or carry-ing stocks registered on a national securitiesexchange. Both of these amendments areeffective July 1, 1936.
Amendment No. 1.—Section 2 of Regula-tion U was amended by adding at the endthereof two new subsections reading as fol-lows:
(j) Any loan to a member of a national securitiesexchange for the purpose of financing his or hiscustomers' bona fide arbitrage transactions in securi-ties;
(k) Any loan to a member of a national securitiesexchange for the purpose of financing such member'stransactions as an odd-lot dealer in securities withrespect to which he is registered on such nationalsecurities exchange as an odd-lot dealer.
Amendment No. 2.—Subsection (e) of sec-tion 3 of Regulation U was amended to readas follows:
(e) A bank may accept the transfer of a loanfrom another bank, or permit the transfer of a loanbetween borrowers, without following the require-ments of this regulation as to the making of a loan,provided the loan is not increased and the collateralfor the loan is not changed; and, after such transfer,a bank may permit such withdrawals and substitu-tions of collateral as the bank might have permittedif it had been the original maker of the loan or hadoriginally made the loan to the new borrower.
One of the changes effected by AmendmentNo. 2 of Regulation U was the change of theterm "another lender" to "another bank" and,accordingly, the interpretation of section 3 (e)of the regulation which was published onpage 421 of the FEDERAL RESERVE BULLETINfor June 1936, to the effect that the termquoted includes not only a bank but also anyother lender, is no longer effective as totransfers on or after July 1, 1936.
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ANNUAL REPORT OF THE CENTRAL BANK OF THE ARGENTINE REPUBLIC
The first report of the Central Bank of theArgentine Republic, for the financial periodfrom May 31 to December 31, 1935, was ap-proved by the Board of Directors at the meet-ing held on March 9, 1936. The Bank wasestablished by Law No. 12,155 of March 28,1935, a translation of which was publishedin the BULLETIN for July 1935, together withtranslations of the Banking Law (No. 12,156)and the Law of Organization (No. 12,160),enacted at the same time, and a brief sum-mary of the three remaining measures in theseries. Sections of the official English textof the report are given herewith :L
Creation of the Central Bank.—The firstfinancial term of the Central Bank comprisesthe period from May 31 to December 31,1935. During this short time, the funda-mental bases of the Bank's organization wereestablished and it began to carry out theregulating functions assigned to it by theLaw.
One of these functions is to adjust thevolume of the circulating media to the re-quirements of business. Another is to securethe greatest possible degree of stability ofmoney and credit. How the Central Bank hasperformed these functions will be seen in thecorresponding sections of this Report.
It may be mentioned here, however, thatduring the first seven months of its existencethe requirements of the market made no callwhatsoever on the Bank's capacity of expan-sion. Nor was it necessary to increase thecirculation. On the contrary, shortly afterit began its work, the Bank had to interveneactively in pursuit of precisely the oppositeobjective. It absorbed from the credit insti-tutions as much as 267.6 million pesos offunds in excess of those required for the nor-mal development of trade.
For the better understanding of these andthe other operations to be dealt with in thecourse of this Report, it is necessary to de-scribe the creation of the Central Bank or, inother words, the series of constitutive opera-tions.
1 The report, available in Spanish and English, contains in additionsections dealing with the internal organization of the Bank, the profitand loss account, and relations with other banks, lists of the originalshareholding banks and of the foreign correspondents of the CentralBank, and statistical tables and charts.
Amounts in Argentine currency throughout the report are in paperpesos ($). In December 1935 the average exchange rate of the paper pesoin New York was $0.3285.
The Monetary and Banking Laws were putinto force by the Government on March 28,1935. A few days later, the OrganizationCommittee created under Law No. 12,160, be-gan its study of the bases of the constitutionof the Central Bank in accordance with thecorresponding legal dispositions. As a re-sult of this work, it submitted to the Govern-ment draft proposals—later embodied in De-cree No. 61,127 of May 18, 1935—for the con-stitution of the Central Bank. These werestrictly complied with by the Bank, as will beseen later.
The Committee prepared a list of the banksin the country with a capital of not less thanone million pesos, and informed each of thesebanks of the number of shares of the CentralBank which it would be required to subscribein accordance with Article 5 of the Law. Sub-scription of the share capital having been thusdetermined, the Committee decided to call aGeneral Meeting of the Shareholding Banksin order to obtain the election of the ten Di-rectors by the banks in accordance with Ar-ticle 12 of the Central Bank Law.
At the plenary session of the General Meet-ing and at the meetings of the various sec-tions into which the General Meeting is di-vided, the banks were allotted the number ofvotes to which they were entitled on the basisof the number of shares subscribed, subjectto the limitations contained in Articles 5 and23 of the Law, which provide that no share-holding bank may hold more than one-fifth ofthe total capital subscribed by the banks, norcast votes in excess of 10 percent of the totalnumber of votes corresponding to this capital.
As a result of subsequent developments,there has been a change in the distribution ofthe votes. In the first place, as the BancoEspanol del Rio de la Plata, Banco El HogarArgentino, Ernesto Tornquist y Cia. Ltda.and the Banco Argentino Uruguayo are nowno longer regarded as banks by the CentralBank, owing to their having transferred theirdeposits to the Instituto Movilizador de In-versiones Bancarias (Institute for the Liqui-dation of Bank Investments), they will notbe entitled to take part in the next GeneralMeeting of Shareholding Banks. A new in-stitution, the Banco Espanol del Rio de laPlata Limitado, which received from the In-stituto Movilizador the deposits of the four
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banks mentioned, became a shareholder asfrom March 9, 1936, by the transfer to it of456 shares in respect of its capital of 20,-000,000 pesos: these shares being part of the647 shares originally subscribed by the for-mer Banco Espanol del Rio de la Plata. Inaddition to these changes, two shareholdingbanks, the Banco Escandinavo Argentino andthe Banco Italo Espanol Argentino, have beenplaced in liquidation as a result of actiontaken by the Central Bank.
The first General Meeting on April 24,1935,was presided over by the Chairman of theOrganization Committee, Dr. Federico Pi-nedo, Argentine Minister of Finance. TheDirectors elected at the Meeting, togetherwith the President, the Vice-President, theDirector nominated by the Government andthe Director representing the Banco de laNacion Argentina, formed the first Board ofthe Institution. At the next General Meet-ing of the Shareholding Banks, a part of theBoard will require renewal.
The Caja de Conversion and the CreditoPublico Nacional.—The Organization Com-mittee thereafter advised the shareholdingbanks that June 10 had been fixed as the finaldate for the payment of the first instalmentin respect of the shares subscribed. It alsocalled a preliminary meeting of the Board forMay 9 at which, among other measures neces-sary before the constitution of the Bank, con-sideration was given to the immediate carry-ing into effect of the Government's decreesproviding for the verification of the holdingsof the Caja de Conversion (Conversion Office)and of the Credito Publico Nacional, whichwere to be transferred to the new Institution.
The examination of the Caja de Conver-sion took place between May 13 and June 19,and was a very thorough and arduous pro-ceeding. The books and the holdings of goldand other securities of the Caja were checkedand proved correct in all details, whilst theinspection disclosed the efficiency of the or-ganization and of the control systems adoptedby its authorities.
The examination of the Credito PublicoNacional took place on May 29 and was ashort and simple operation. The previousremarks regarding efficiency of organizationmay be applied equally to this other NationalDepartment, now incorporated in the CentralBank.
Beginning of operations,—The decree re-garding the constitutive operations of the
Central Bank fixed May 31 as the date onwhich they were to be carried out. On thatday the Caja de Conversion and the Bancode la Nacion Argentina effected the corre-sponding transfers to the Central Bank, andthe funds derived from the revaluation ofthe gold reserves were applied to the amorti-zation of the floating debt, and set aside forthe Instituto Movilizador de InversionesBancarias as prescribed by Law. These oper-ations will be referred to later.
A detailed verification of these transactionswas made, and thereafter on the same daythe Central Bank was established without anyinterruption in the continuity of the variousfunctions transferred. Until the verificationof the Caja de Conversion was completed, theexchange and renewal of currency continuedto be carried out by the authorities of thatinstitution.
The Central Bank came into existencetherefore on May 31, on which date there wasa plenary meeting of the Board to considerthe constitutive acts and to adopt the initialmeasures for the Bank's future development.The official inauguration, however, did nottake place until some days later, on June 6.The first stage in the plan of banking re-organization was thus brought to a close; theother began some months later with the con-stitution of the Instituto Movilizador de In-versiones Bancarias.
Transfers to the Central Bank.—Beforegoing further, it is necessary to give a briefdescription of the transfers to the CentralBank that formed part of the constitutiveoperations. All the assets and liabilities ofthe Caja de Conversion were transferred asfollows:
Assets
GoldPatriotic Loan Bonds.Bills rediscountedDebt of the National
Government in re-spect of issues previ-ous to Law No.3,871 i
Total
In pesos561,006,035.34145, 291,180. 00216, 404, 765. 02
293, 018, 258. 44
1,215, 720, 238. 80
Liabilities
Notes andsubsidiarycoinage
Tota l . .
In pesos
1, 215, 720, 238. 80
1,215,720,238.80
1 Law No. 3,871 of November 4, 1899, established the redeemability ofthe old fiduciary paper currency at the rate of 1 paper peso=0.44 gold peso
Before making these transfers, the deduc-tions prescribed by Law as regards the sub-sidiary currency, i.e., the notes of denomina-tions of five pesos and under and the nickel
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and copper coin, were made. These issuesare now the exclusive obligation of the State,and have no special guarantee. The amountof this subsidiary currency was as follows:
In pesosNotes of 5 pesos and under 174,134,503.00Nickel and copper coinage 37,649,155.80
Total of subsidiary currency 211,783,658.80
After deducting this amount from the totalfigure shown by the last balance sheet of theCaja de Conversion, the position was as fol-lows:
In pesosIssue of the Caja de Conversion 1,215,720,238.80Less subsidiary currency 211,783,658.80
Notes of the Central Bank 1,003,936,580.00
At the same time, the liability of the Na-tional Government to the Caja, in respect ofissues previous to Law No. 3,871, was re-duced by the amount of the subsidiary notesof the State, and a non-interest-bearing Bondof Guarantee, to which reference is made inArticle 4 of Law No. 12,160, was delivered inrespect of the balance.
In pesosLiability of the National Government to the Caja de
Conversi6n in respect of old issues 293,018,258.44Less notes of 5 pesos and under 174,134, 503.00
Amount of non-interest-bearing Bond of Guarantee... 118, 883, 755. 44
This Bond was delivered to the CentralBank by the National Treasury and will beamortized in accordance with the prescrip-tions of Article 36 of Law No. 12,155.
It should be borne in mind that while theentire amount of subsidiary currency (notesand nickel and copper coins) was deductedfrom the total issue of the Caja de Conver-sion, only that of the subsidiary notes wasdeducted from the balance of the Govern-ment's liability to the Caja, no account beingtaken of the 37,649,155.80 pesos in nickel andcopper coins. This sum accordingly increasedthe amount of the profits of the revaluation,making the total profit of the State 701,060,-766.42 pesos.
Profit on the gold revaluation and the sub-sidiary coinage.—The revaluation of the goldformed the basis of the whole programmecovered by the laws on money and banks. Onreceiving the gold from the Caja de Conver-sion, the Central Bank revalued it in accord-ance with the Decree on constitutive opera-tions, and within the limit established by theOrganization Law (No. 12,160).
The gold therefore figures in the first bal-ance sheet of the Central Bank at 1,224,417,-645.96 pesos, the details being as follows:
Gold coins transferredto the Central Bank
Argentinos._ . . . _U. S. Eagles£ sterling
Total
Amount
1, 523, 32912, 237, 84322, 300, 202
Rate ofrevaluation
24. 801651. 408725. 0000
New value ofgold (In pesos)
37, 780, 996. 53629,131,599.43557, 505, 050. 00
1, 224, 417, 645. 96
The difference of 663,411,610.62 pesos be-tween this value and that at which the goldfigured in the books of the Caja de Conver-sion was credited to the National Govern-ment together with the profit derived fromthe subsidiary nickel and copper coins, 37,-649,155.80 pesos. The total amount creditedto the Government in the books of the CentralBank under these two headings was therefore701,060,766.42 pesos.
Other book entries, of which details aregiven below, covered the distribution of thisprofit in accordance with the Decree on con-stitutive operations. Of the 390,000,000pesos transferred on account of the InstituteMovilizador, a sum of 216,404,765.02 pesoswas applied immediately in purchasing thebills rediscounted by the Banco de la NacionArgentina, which had been passed to the Cen-tral Bank together with the gold and otherassets of the Caja de Conversion. The ad-ministration of these rediscounts was en-trusted to the Rediscount Committee whichcontinued to exercise its functions until theInstituto Movilizador started operations onDecember 28. By this time the Banco de laNacion Argentina had retired 167,013,613.54pesos of these rediscounts, utilising the Cen-tral Bank for the transfer of the necessaryfunds.
In pesosPaid to the Banco de la Nacion Argentina:
In repayment of the Government'sdirect debt 150,000,000.00
In cancellation of secured advances tobanks and other institutions againstTreasury Bills i 23, 440, 344. 76
173,440,344.76Paid to other banks:
In redemption of Treasury Bills 2 124,079,666. 91124,079,666.91
Instituto Movilizador:Provision for capital and reserve fund
credited at the Central Bank 390,000, 000. 00390, 000, 000. 00
Miscellaneous:Payment of the shares of the Central
Bank subscribed by the NationalGovernment 10, 000,000.00
Payments to other institutions in re-demption of Treasury Bills 2 3, 540,754. 75
— 13, 540, 754. 75
Total 701,060,766.42
1 On May 31,1935, the amount advanced against Treasury Bills by theBanco de la Naci6n Argentina was 278,149,164.76 pesos. An amount of254,708,820 pesos of these bills, after being converted into ConsolidatedTreasury Bonds was purchased by the Central Bank and the balance of23,440,344.76 pesos was repaid by the Government with funds derivedfrom the profit of the gold revaluation and of the subsidiary coinage.
1 Including the sum of 3,260,741.86 pesos in respect of interest due to-gether with repayments of floating debt effected subsequently to May 31with the balance remaining on that date of 11,588,944.56 pesos.
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It is interesting to note the distribution ofthe resources of the Institute Movilizador atthe beginning of its banking programme, soas to establish clearly the final destination ofthe profits from the revaluation and the sub-sidiary coinage. The figures are as follows:
In pesosPaid to the Banco de la Nacion Argentina
in purchase of claims against banks: l
In cash 129, 017, 822. 65In bills rediscounted 49, 391,151. 48
178, 408, 974.13Paid to other banks:
Paid to the Banco Espanol del Rio dela Plata Ltdo. on account of the de-posits of four banks transferred to itby the Instituto Movilizador 170,000,000.00
170,000,000. 00Miscellaneous 11, 499,939. 60Balance in hand:2
At the Central Bank 10,091,086. 27At the Banco Espanol del Rio de la
Plata Ltdo 20,000,000.0030,091,086.27
Total resources of the Instituto Movilizador.__ 390,000,000. 00
1 The credit claims against banks purchased by the Instituto Movili-zador from the Banco de la Nacion Argentina amounted to 314,083,536.34pesos, of which 178,408,974.13 pesos was paid immediately as indicated,the balance being debited to the account of the Instituto Movilizador atthe Banco de la Nacion.
2 On December 31,1935, of the balance in hand of the Instituto Movili-zador, an amount of 18,300,000 pesos had been earmarked for variouspurposes.
The distribution of the profit of 701,060,-766.42 pesos from the gold revaluation andthe subsidiary coinage may accordingly besummarized as follows:
In pesosReceived by the Banco de la Nacion Ar-
gentina:In repayment of the Government's
direct debt and in repayment ofadvances 173, 440, 344. 76
By sale, to the Instituto Movilizador,of claims against banks (cash andbills rediscounted) 178, 408, 974. 13
351, 849, 318. 89Received by other banks:
In repayment of Treasury Bills 124,079,666.91By transfer of deposits 170,000,000.00Deposited by the Instituto Movili-
zador 20,000,000.00314,079, 666. 91
Miscellaneous 25,040,694. 35Balance at the Central Bank:
In favour of the Instituto Movilizadoron December 31, 1935 10,091,086. 27
10,091,086.27
Total 701, 060, 766. 42
The Banco de la Nacion Argentina.—It hasbeen shown that the Banco de la Nacion Ar-gentina received the sum of 351,849,318.89pesos in redemption of the Government's di-rect debt, in repayment of part of its ad-vances against Treasury Bills and from thesale of credit claims against banks to theInstituto Movilizador. In addition, the Cen-tral Bank transferred to the Banco de laNacion, on the date the constitutive opera-tions were carried through, an amount of122,556,688.62 pesos in purchase of the for-eign exchange which the latter had acquired
on behalf of and at the risk of the NationalGovernment, and an amount of 254,708,820pesos in payment of the balance of TreasuryBills pledged by the banks as security for ad-vances. This payment was made by the Cen-tral Bank in accordance with the provisionsof the Organization Law (Art. 7), in orderto purchase these bills before they were con-verted into Consolidated Treasury Bonds.The funds received by the Banco de la NacionArgentina, as a result of the above operationswere therefore as follows:
In pesosFunds received under various headings and proceeding
from the profit on the revaluation of gold and on thesubsidiary coinage 351,849, 318. 89
Funds received from the Central Bank in payment offoreign exchange and bills purchased 377, 265, 508. 62
Total 729,114,827.51
It now remains to describe another aspectof these operations. Having received thesefunds, the Banco de la Nacion Argentina em-ployed them in the following manner:
(a) By transferring to the Central Bank136,316,625.88 pesos of Government depositsand 69,913,771.63 pesos of Clearing House de-posits (which the Law provides shall now beheld by the Central Bank), i.e., a total of206,230,397.51 pesos.
(b) By retiring 216,404,765.02 pesos ofbills which it had rediscounted at the Cajade Conversion: the administration of theserediscounts being, as already mentioned, inthe hands of the Rediscount Committee fromMay 31 until the formation of the InstitutoMovilizador. These retirements were begunimmediately after the formation of the Cen-tral Bank and continued until the InstitutoMovilizador was formed, when the balanceoutstanding of 49,391,151.48 pesos was ab-sorbed by compensating adjustments.
(c) By setting off in its books the fundsdeposited with it by country banks for thepurpose of constituting their minimum cashreserves at the Central Bank. According tothe balance sheet of the Banco de la NacionArgentina of December 31,1935, its branchesoperating a Clearing House held 34,353,906.54pesos of such founds, and those with no Clear-ing House 38,301,413.89 pesos, or a total of72,655,320.43 pesos.
(d) By purchasing from the Central Bank76,370,000 pesos of Certificates of Participa-tion in Consolidated Treasury Bonds.
(e) By discounting Treasury Bills for theNational Government for an amount of 12,-
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050,000 pesos and for the State Oil Fields foran amount of 2,000,000 pesos.
Thus, of the 729,114,827.51 pesos receivedby the Banco de la Nacion Argentina, 585,-710,482.96 pesos was utilized under the fiveabove-mentioned headings. The balance of143,404,344.55 pesos was used to increase itscash reserves, thereby greatly strengtheningits position. Its cash reserves amounted onDecember 31, 1935, to 346,101,111.64 pesos;(116,602,636.76 pesos in cash and 229,498,-474.88 pesos deposited at the Central Bank),equivalent to 25.2 percent of its total depositsof 1,373,205,654.52 pesos.1
Thanks to this increase in its availablefunds, the Banco de la Nacion Argentina hasrecovered the resources which it employedsuccessfully in moderating the consequencesof a violent crisis. Its reserves are now re-stored approximately to the level of previousyears.
Influence on the cash reserves of the banks.—A similar phenomenon occurred as regardsthe other banks. The repayment of TreasuryBills, which for a long time past had im-mobilized a large part of the banking re-sources, increased the liquidity of the otherbanks. The amount released totalled 124,079,666.91 pesos which included 2,876,689.80pesos in interest.
Similarly, when the Instituto Movilizadorin carrying out its reconstruction pro-gramme, transferred to a new institution the363,800,809.58 pesos of deposits from thefour institutions which had ceased to func-tion as banks, it also transferred, in additionto other assets, 170,000,000 pesos in cash,which together with a further 20,000,000pesos deposited in current account, gave thenew institution a great liquidity.
The new funds received by other banks asa result of the applications of the monetaryand banking laws amounted, therefore, in allto 314,079,666.91 pesos. As in the case of theBanco de la Nacion Argentina, a large partof this amount, 118,537,050 pesos, was offsetby the purchase of Consolidated TreasuryBonds from the Central Bank, leaving a bal-ance of new money of 195,542,616.91 pesos.
A considerable part of this balance willfind its way to the Banco de la Nacion Argen-tina. The extraordinarily high reserve ratioof 55 percent, with which the institution,
1 In arriving at the cash figures no account has been taken of balanceswith other banks, 9,500,000 pesos, or of balances abroad, 25,592,327.63pesos.
created in accordance with the plan of theInstituto Movilizador, began operations, is ofa transitory nature. In due course thesesurplus funds will be used to acquire soundassets from the Instituto Movilizador, whichin turn will apply them to repay the balanceof its debt to the Banco de la Nacion Argen-tina, in respect of bank credits purchased.1
The situation of the banks must therefore beconsidered as a whole (Banco de la NacionArgentina and the other banks) in order tocontinue the study of the effects of the finan-cial laws on the banking system.
Before the revaluation of gold, at the endof April 1935, the cash reserves of the banksas a whole 2 amounted to 436.2 million pesos;on December 31 they had risen to 827.5 mil-lion pesos or an increase of 391.3 millionpesos.
The increase is nevertheless very much lessthan the amount of the fresh funds resultingfrom the revaluation of gold and from thesubsidiary coinage (701.1 million pesos).This, as has been shown, is due to the re-absorption of funds.
This increase resulted in a rise betweenApril and December, of the ratio of the banks'cash reserves to deposits from 12.5% to24.7%, the total liquid funds of the banksnow being at a higher level than before thecrisis, as will be seen in the following table.
DEPOSITS AND CASH RESERVES OF BANKS 3
(Yearly averages of end-of-month balances)
1926 2
1927 2
19281929193019311932193319341935 3
Year Deposits
(Millions3, 346. 63, 476. 83, 836. 33, 985. 93, 913. 23, 730. 93, 535. 93, 514. 33, 464. 73, 356. 7
Cashreserves
of pesos)617.9635. 2909.1704.6528.5484.1595. 8608.8485. 3827.5
Ratio
%18.518. 323.717.713.513.016.917.314.024.7
1 Principal banks only. See note 2 below.2 Not including three institutions for which no data were available.3 Balance of December 31.
These figures show that the cash reservesof the banks are greatly in excess of the
1 As already seen from note 1 on page 554, the Instituto Movilizador owesthe Banco de la Nacion Argentina 135,674,562.21 pesos in respect of thebalance of the credit claims against banks purchased.
2 These statistics comprise only the principal banks. According tothe bank census of 1925 these institutions controlled about 95% of the totalloans and deposits.
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minimum legal requirements.1 The inten-tion of the law, however, was to establish anextreme limit below which a bank could notallow its reserve to fall without either goinginto liquidation or submitting an emergencyplan for speedy rehabilitation to the CentralBank. The maintenance of ample cash re-serves superior to the legal minimum require-ments is therefore recommendable for rea-sons of elementary prudence, especially intimes of only moderate economic activity.With such reserves, the banks are in a posi-tion to foster the expansion of business whenthere is an improvement in the generaleconomy. Large cash reserves serve further-more to increase public confidence in thebanking system, an essential condition if itis to function properly.
The fact that the country now has an In-stitution to supply deficiencies in the circula-tion should in no circumstances serve as anincentive to seek systematic employment forall funds in excess of the minimum limit. Onthe contrary, the stronger the first line ofmonetary defence constituted by the cash re-serves of the banks, the better will the wholesystem function.
After years of crisis, the situation is nowone of great liquidity. To watch closely andto forestall any tendency toward the im-moderate use of these resources should be theconstant duty of the banking authorities, sothat the country's recovery may always bemaintained on economic realities.
Currency circulation and open-marketoperations.—It is interesting to note that fol-lowing the various and complex operationsarising out of the revaluation of gold, themonetary circulation of 1,177.9 million pesosat the end of 1935 only exceeded that of theprevious year by 6.4 millions.
[In millions of pesos]
December 31
1934 i1935 .
Notes of theCentral Bank
981.8981.8
Subsidiarycurrency
189.72 196.1
Total
1,171.51,177.9
1 To allow of a comparison the issue of the Caja de Conversion atDecember 31, 1934, has been divided into notes of a higher face valuethan 5 pesos and subsidiary currency.
2 Excluding subsidiary currency deposited in the vaults of the CentralBank, which is out of circulation.
This, and other circumstances explained inthe previous chapter show that the revalua-
1 By Art. 2 of the Banking Law (No. 12,156) banks are required tohold a cash balance equal to at least 16 percent of their demand depositsand 8 percent of their time deposits.
tion funds used in their initial operations bythe institutions created by the banking andmonetary laws, did not increase the monetarycirculation. Instead, as has been seen else-where, these funds were applied to strengthenthe cash reserves of the banks.
It was stated at the beginning of this re-port that in adjusting the means of paymentto the volume of business, the Central Bank,when it began to work, tended to contractrather than to expand the circulating media.It employed for this purpose ConsolidatedTreasury Bonds, an instrument created bythe law. At the time of its constitution, thebank acquired 400 million pesos of thesebonds, which bear 3 percent interest and havea quarter percent annual accumulative sink-ing fund. The bonds did not constitute a newGovernment issue, but were merely the re-sult of the conversion, into a new form ofState security, of the Balance of the PatrioticLoan Bonds amounting to 145,291,180 pesosheld by the Caja de Conversion and of 254,-708,820 pesos of Treasury Bills held as secu-rity for advances by the Banco de la Nacion.
In view of the relative abundance of fundsheld by the credit institutions, the CentralBank immediately began its inter-bank oper-ations and on June 7, or a few days after be-ing constituted, offered the shareholdingbanks Certificates of Participation in theConsolidated Treasury Bonds for a nominalamount of 250 million pesos.
CERTIFICATES OF PARTICIPATION IN CONSOLIDATED
TREASURY BONDS PLACED WITH THE
SHAREHOLDING BANKS
[In pesos]
End of:
1935JuneJulyAugustSeptemberOctoberNovember.December.
Nominal value
210, 849,000. 00250, 000, 000. 00250, 000, 000. 00250,000, 000. 00193,165, 600. 00172, 332, 700. 00178, 650, 000. 00
Actual value
234, 358, 721. 35264, 249, 062. 75264, 249, 062. 75267,623,116.00210,143, 669. 60188, 014, 875. 70194, 907, 050. 00
The banks at once subscribed 210,849,000(nominal value), the balance of 39,151,000being taken up shortly afterwards. The Cer-tificates were sold above par at prices of 120pesos for Certificates maturing in 30 days,109.10 for 60 days and 104.35 for 90 days:the Central Bank undertaking to repurchasethe Certificates at maturity at the price atwhich they had been sold. Subsequent offers,
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with the exception of the second, which wasmade at 104.35, were made invariably on a90 days basis at the price of 109.10. Thus, asthe preceding table shows, the Central Bankwas able to absorb a large amount of fundswhich would otherwise have weighed heavilyon the money market.
The arrangements for the offer of Certifi-cates were of a provisional character, thecircumstances rendering this course advisablein order that experience might be acquiredbefore a definitive procedure was adopted.Under the provisional arrangements thebanks were offered a fixed amount of Cer-tificates. If the offer was over-subscribed,the excess reserves of each bank were takeninto account in allotting the Certificates. In-terest was paid at the end of the period, thebanks being charged a commission of one-tenth of 1 percent per annum. If they wishedto re-sell the Certificates to the Central Bankbefore maturity, they could do so at any timeby forfeiting interest for twice the unexpiredperiod.
Experience in due course suggested thewisdom of issuing calls for tenders for theCertificates, with allotments of the amountavailable to the highest bidders. This andother ideas, such as the proposal to allow thebanks to discount the Certificates at the Cen-tral Bank, were noted for submission in duecourse to the Committee of the Board incharge of these operations.1
Rediscounts.—It is evident that as theCentral Bank found it expedient to relievethe market of surplus funds, there was no im-mediate need to provide the rediscount facili-ties contemplated in the Central Bank Law.Furthermore, as has already been stated, theRediscount Committee continued to exerciseits functions until the constitution of theInstituto Movilizador de Inversiones Ban-carias and, at the same time, the Banco de laNacion Argentina was authorized, in case ofnecessity, to grant additional credits to thebanks on behalf of the Instituto Movilizador.
Thus, the sequence of rediscount opera-tions, applied as an emergency measure to as-
i The new regulations for inter-bank operations in ConsolidatedTreasury Bonds were approved by the Board on January 20, 1936, theprincipal points being as follows: The procedure of tenders and allot-ment to the highest bidder was adopted; tenders will be called for twicea month on fixed dates; tenders must be made on a discount basis, anominal amount of 100 being repayable at maturity; the certificates ofparticipation may be discounted at the Central Bank at the Bank'sminimum rate of discount for paper bearing two signatures; the CentralBank reserves the right to refuse any or all tenders; the Central Bankmay accept offers on dates other than those fixed for the tenders, at prices
„ higher than those accepted at the last tender.
sist the banking system through a difficulttime, would cease with the formation of theInstituto Movilizador. This would leave theway clear for the Central Bank, equippedwith the resources which experience hasshown to be necessary, to employ rediscount-ing as a means for the better regulation ofthe market. This problem, and the bases onwhich rediscount operations would in duecourse be established, were in the meantimestudied by the Central Bank. Not only is itfelt to be essential that bills presented by thebanks, in due course, for rediscount shouldbe subjected to a strict examination, but thatthe activities of the banks should also besupervised with a view to seeing that thefunds obtained by the rediscount of eligiblepaper are employed in accordance with thecredit policy of the Central Bank.
The point of greatest importance at themoment in connection with rediscount opera-tions is the rate, because though banks haveno need to rediscount, the minimum rate mustbe fixed so that deposit rates may be estab-lished in accordance with the provisions ofthe Banking Law.1 The Regulatory Decreeof the Banking Law provides that the Cen-tral Bank shall fix the rediscount rate within180 days of the formation of the InstitutoMovilizador. At the close of the first finan-cial period the matter was under considera-tion by the Bank.
Guarantee for the circulation.—The guar-antee for notes and other sight liabilities ofthe Central Bank on December 31, consistedof gold received from the Caja de Conversionwhich, at the rate of transfer, amounted to1,224.4 million pesos, and of gold and foreignexchange to the value of 129.3 millions, or atotal of 1,353.7 millions. This is equivalentto 137.88% of the notes issued by the CentralBank, and to 80.11% of its total sight liabili-ties, including notes, shown in the followingdetailed statement of December 31, 1935.
i On February 5, 1936, the Bank fixed the minimum rediscount rateat 3.5% to take effect as from March 1, 1936. This rate refers to paperbearing two signatures (one of a commercial or industrial firm or oneengaged in farming activities and the other that of a bank) of 90 daysor less; for the same paper of 180 days maturity (the maximum periodallowed by the Central Bank Law) the rate is 1/8% higher; for threesignature paper (two commercial signatures and one of a bank) the Bankwill apply the minimum rate with a rebate of up to 1 /2%; the CentralBank will also fix the rates applicable to other kinds of eligible paper.The rate of interest on advances to shareholding banks has been fixedas provided by the Law at 4.5%, i. e., at one point above the minimumrate. Under the Banking Law, with a minimum rediscount rate of 3.5%the banks will not be able to pay more than 2.5% on saving accounts ormore than 0.5% on sight deposits.
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In pesosNotes 981,754,560.00Deposits of the National Government 219,186,140. 45Deposits of shareholding banks (including clearing
house balances) 482, 398, 958. 44Other deposits and accounts 6, 545,072. 22
Total sight liabilities 1, 689,884, 731.11Total cover in gold and foreign exchange 1, 353, 691, 547. 55Percentage cover 80.11
The minimum guarantee required underLaw No. 12,155 is 25%. The present coverof 80.11% provides a large margin whichmakes for the soundness of the whole sys-tem. If it were necessary, in referring tothe easy cash position of the banks, topoint to the desirability for moderation inthe employment of the available banking re-sources, this caution applies with evengreater force to the reserves of the CentralBank. The Government's Address to Con-gress, which accompanied the draft bankingand monetary laws, drew special attention tothe need for the maintenance of a high re-serve ratio in an agricultural country such asArgentina, subject to wide fluctuations in itseconomic activity. The present cover in goldand foreign exchange is ample for this pur-pose, and places the Central Bank in a posi-tion to satisfy a greater demand for currencyarising from a real improvement in business,or to provide timely relief from the pressureof a balance of payments in disequilibrium,by preventing or moderating abrupt fluctua-tions in the exchanges.
The greater part of the gold and foreignexchange deposited abroad, to which refer-ence has been made, was acquired from theBanco de la Nacion Argentina by the CentralBank at the time of its constitution, and isheld on behalf of and at the risk of the Na-tional Government. A considerable propor-tion of the foreign exchange so obtained andof subsequent purchases has been convertedinto gold, and deposited in safe custody at theBank of England and at the Bank for Inter-national Settlements at Basle.
Foreign exchange.—Apart from the Cen-tral Bank's own holding of gold and foreignexchange, the National Government, as pro-vided by the Organization Law, transferredto the Bank the Exchange Fund and the for-eign exchange acquired with Unblocked Bal-ances Fund (Fondo de Desbloqueo), and theFund for the surcharge of up to 20 percenton imports without a prior permit (Fondodel Recargo de hasta el 20 percent).
In respect of all the operations effected withthese funds, the Bank keeps a detailed regis-
ter, entirely separate from its own accounts.For in these matters it is not acting for itsown account but as the banker and agent ofthe Government, and in accordance with thelatter's instructions.
In the Address to Congress, the Govern-ment described the regulative intention ofthe Exchange Fund. By means of the fund,it has been possible to secure relative stabilityin the selling rates of exchange in the officialmarket. That this stability has not been in-terrupted during the short period in whichthe Central Bank has been in charge, may beseen from the table of maximum and mini-mum rates of the principal currencies duringthe period June-December 1935.
Currency
1 £100 $U. S. A..100 French Fr
Maximum Minimum
(In pesos)17. 04
347. 6022.92
16.99341.4722.55
Maximum
Minimum
0.31.81.6
The Central Bank, on October 18, 1935, ina note addressed to the National Minister ofFinance, expressed the opinion that the cir-cumstances, which in other times had led tothe adoption of the system of tendering forexchange and allocating it daily to the high-est bidders, had ceased to exist. The Bankpointed out that the provident formation ofthe Exchange Fund now made it possible tosatisfy the daily demand without difficulty,even when there was less on offer, or to ab-sorb offers when these exceeded the demand.The Central Bank was therefore authorizedby the National Ministry of Finance to fix therate of exchange in accordance with the posi-tion of the market.1 This change simplifiesthe previous system and places the CentralBank in a better position to operate in themarket when circumstances require its inter-vention.
In accordance with Article 14 of the Or-ganization Law, until the freedom of the mar-ket is re-established, the Central Bank must,as is natural, observe the procedure laiddown by the Government for the exchangecontrol operations transferred to it. For thispurpose it has been necessary to establish aclose co-operation based on a clear delimita-
i This authorization to fix the selling rate directly was put into effectas from January 2, 1936.
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tion of functions. Only some of the exchangecontrol functions have been transferred tothe Central Bank. The granting of exchangepermits for imports and other remittancesabroad is dependent, to a certain extent, onthe general economic policy of the Govern-ment, and is subject in the majority of casesto the provisions of international agreements.The National Ministry of Finance, throughthe Exchange Control Office, continues there-fore to carry out these functions, and alsocontrols the foreign exchange which export-ers have to surrender at the official rates. Onthe other hand, the tasks connected moredirectly with the mechanism of the exchangemarket have been transferred to the CentralBank. In the official market, the CentralBank operates with the authorized banks,purchases the foreign exchange arising fromexports and sells the exchange required in re-spect of the permits issued by the departmentof the Ministry of Finance. It therefore con-trols all the operations carried out by thebanks in the market, and checks at the sametime the receipts of the Exchange ProfitsFund and the collection of the surcharge ofup to 20 percent on remittances in respect ofimports without prior permits.
As financial agent of the National Govern-ment, the Bank has followed closely the ap-plication of the agreements referred to above,in so far as they refer to exchange. The ap-plication of the agreement with Germany hasbeen the subject of special consideration, inview of the fact that under the present prac-tice holdings of Reichsmarks may only beincreased when there is a sufficient forwarddemand for this currency.
Foreign exchange department.1—This de-partment has charge of all the gold and for-eign exchange operations effected for the ac-count of the National Government and theBank. As explained elsewhere, it also doespart of the work connected with exchangecontrol.
The National Government's Foreign Ex-change Fund and the gold and foreign cur-rencies purchased by the Bank with its ownresources, but on behalf and at the risk of theNational Government, are administered bythis department in accordance with instruc-tions from higher authorities.
Once it had completed its organization andestablished relations with correspondents
1 This section is from the chapter describing the internal organizationof the Bank.
abroad, this department took over the officialexchange duties which previously had beenperformed by the Banco de la Nacion. At theclose of the first financial period, only a fewminor duties for which this department isresponsible remained to be taken over.
The Exchange Department's operationsconsist for the time being: in the purchasefrom authorized banks of foreign exchangearising out of current exports which, accord-ing to circumstances, is incorporated either inthe National Government's Foreign ExchangeFund or in the gold and foreign currenciesreserve of the Bank; in the sale of foreignexchange to the authorized banks so that thelatter may liquidate exchange permits issuedby the Exchange Control Department; inarbitrage operations abroad; in the conver-sion, abroad, of currencies into gold or vice-versa ; in the remittance of funds abroad forthe payment of the service of the foreigndebt, and other transfers for the NationalGovernment. As already explained, the de-partment is also occupied with that part ofthe exchange agreements which directly con-cerns it.
The functions of control transferred to thedepartment relate to exchange operationseffected by the authorized banks, to the move-ments in the exchange holdings of the banks,both as regards official and free market pur-chases ; the collection of the surcharge of upto 20 percent on goods imported without priorpermits, and various other matters of lessimportance.
Finally, and subject to the general respon-sibilities already referred to, this departmentis required, as from January 2, 1936, to fixdaily, in accordance with instructions fromhigher authorities, the official selling rate ofexchange, thus abolishing the system of allot-ting exchange by tender, which has operatedsince the end of 1933.
Application of the banking law.—The effi-cient operation of the rediscounting systemdepends, as already stated, upon the existenceof a permanent service of information regard-ing the activities of the banks. This, and theapplication of the Banking Law, constitutethe principal tasks of the Banking Inspection(Inspection de Bancos).
The establishment of the Institute Movili-zador was carried through without disturb-ing the market in any way, and the bankingpolicy pursued by this institution will greatlyfacilitate the work of the Central Bank both
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as regards the regulation of currency andcredit and the application of the provisionsof the Law designed to secure the mainte-nance, by credit institutions, of a satisfactorydegree of liquidity.
Hence the work done during this first finan-cial period has been of a preparatory nature.
It was necessary, in the first place, to regis-ter the names of all non-shareholding banksat the Central Bank. In accordance with theprovisions of the Banking Law and its regula-tory decree, these banks were required to ap-ply to the Government, through the CentralBank, for authorization to continue theiroperations. By December 31, fifty-five ap-plications, each of which will be subjected toa careful study by the Central Bank, had beenreceived. The position of other entities isalso being studied in order to decide whetheror not they are subject to the Banking Law.
Another preliminary consideration was theorganization of a system of informationwhich would enable the Central Bank to exer-cise a continuous supervision over the cashreserves of the banks and to see that theycomply with legal requirements. Forms,adapted to current banking practice, wereprepared for the use of the banks in theirmonthly declarations to the Central Bank oftheir daily balances, cash reserves and sightand time liabilities. It has thus been neces-sary to keep in continuous contact with thebanks, answering their enquiries and issuingthe requisite instructions. Since the applica-tion of the programme of the Instituto Movili-zador compliance with the regulations forminimum cash reserves has been almost gen-eral. The few exceptions, now being ex-amined, are of small importance.
The Bank is also studying the schemes forthe liquidation of real property, shares, de-bentures and participations submitted by thebanks in accordance with Article 4 of theBanking Law. When the extension grantedfor the presentation of such schemes expireson March 31, final decisions will be madeand, so far as possible, regulations of a gen-eral character drawn up.
In deciding on the many points relating tothe Banking Law which were frequentlybrought to the attention of the Central Bank,every possible effort was made to ensure thegradual and orderly development of the ob-jects contemplated by the Law, and to avoidunnecessary disorganization.
The Central Bank has been endowed withpowers which must be employed with tactand moderation. All the banks in the coun-try are subject to periodical inspection, andare required to supply the Bank with suchinformation as it may request with regard totheir business. The Law and its RegulatoryDecree, for the fundamental reasons given inthe Government's Address to Congress, placedthe Banking Inspection under the direct su-pervision of the President of the Bank inorder to secure the fullest independence andimpartiality in all decisions affecting theshareholding banks. Whilst building up acompetent and fully qualified staff of inspec-tors, the Bank will exercise extreme care inthe gradual and methodical development ofthe system of inspection. The Central Bankhas nevertheless already found it necessaryto make some inspections and, in one instance,as explained elsewhere, it was decided to de-cree the liquidation of a bank in accordancewith the powers granted by Law No. 12,156.
Bank's functions as financial agent of theNational Government.—One of the servicesperformed by the Bank as financial agent ofthe National Government has been the plac-ing of Treasury Bills for Government account.After the consolidation of Treasury Billswhich took place when the Bank was consti-tuted, a balance of only 56,450,000 pesos re-mained in circulation. These bills have beenrepaid regularly either from the proceeds ofnew issues of Treasury Bills or from the Na-tional Treasury's own resources. The newbills have been offered by open tender to anybidder, bank or otherwise. The followingtable shows the operations effected for ac-count of the National Government.
OPERATIONS IN NATIONAL GOVERNMENTTREASURY BILLS
Date
1935
July 1Aug. 1Aug. 31Sept. 30Oct. 31Nov. 30Dec. 10
p S.-S
.So^ o
§3o 3
(In thousands of pesos)
9,0009,0009,00015,50016, 7509,00015, 800
9,0009,0009,00015, 50025, 000
25, 000
5, 5006,2508,40010, 00040,400
25, 300
5,5005,2508,4007,00016, 750
24,800
50, 50046, 75046,15037, 65037, 65028, 65037, 650
Rate of interest onamount allotted
30days days
90days
(Average rate, %)
2. 886.2.880'3.0003. 000*2.974
2.5002.7502.348
2.8333.0003.000
2.454 2.833 3.000'
The Bank has also acted for the NationalGovernment and the Autonomous Depart-
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ments in various bond operations, advancesagainst security, etc. Undoubtedly, however,one of the Bank's most important duties isthat prescribed by Article 10 of the Regula-tory Decree of the Central Bank Law, whichprovides that the Bank shall undertake theissue of National Government Securitieseither directly to the public or through theintermediary of syndicates. Apart from afew minor operations, the Bank has not yetbeen able to undertake this task owing to thearrangements made by the Government be-fore the Central Bank was created. Mean-while, however, the necessary organization isbeing prepared in order that the full coopera-tion of the Bank may be available as soon asthe National Treasury require it.
Balance sheets.—Little need be added inexplanation of the balance sheet of the Bankafter what has been said about its activities.The following comparative table of the initialand last balance sheets, accompanied by shortexplanations of each individual item, willhelp to give a general idea of the changeswhich have taken place.
BALANCE SHEET OF THE CENTRAL BANK
(In thousands of pesos)
ASSETSGold at homeGold abroad and foreign exchangeSubsidiary currencyShareholding banks, shares subscrip-
tion accountNon-interest-bearing Government
BondConsolidated Treasury BondsNational Securities—Art. 34, Law
12,155Bank PremisesOther accounts
LIABILITIESCapitalNotesDeposits of shareholding banksDeposits of National GovernmentOther depositsAccount for capital of the Instituto
MovilizadorAccount for reserve fund of the Insti-
tuto MovilizadorNational Government, Fund for pay-
ment of Floating Debt to Banks___.Difference in the quotation of Con-
solidated Treasury BondsBank Premises Amortization account.Profit and loss accountOther accounts
OnMay 31
1, 224,418122, 557
11, 008
9; 500
118,884400, 000
1,886, 366
20, 000964, 424578, 533136, 338
1,888
10,000
163, 595
11,589
1, 886, 366
OnDec. 31
1,224,418129, 274
15, 653
5,008
118,884221, 350
14,1241,295
65
1, 730, 071
20, 000981, 755482, 399219, 186
5,704
16, 257240
3,690841
1, 730, 071
Differ-ence
+ 6,717+ 4,645
- 4,492
-178,650
+ 14,124+ 1,295+ 65
-156,295
+ 17,331- 96,134+ 82, 848+ 3,816
- 10,000
-163,595
- 11,589
+ 16,257-f 240+ 3,690+ 841
-156,295
NOTE.—The figures are given in round thousands with the result thatsome slight differences appear in the totals.
Gold at home.—There have been nochanges in this item since the revaluation ofgold at 25 pesos per gold pound.
Gold abroad and foreign exchange.—Thesefigures do not reflect variations in the totalholding of gold and foreign exchange becauseof the frequent transfers between this ac-count and the Exchange Fund of the NationalGovernment.
Subsidiary currency.—When the Bank wasformed and began to accept cash depositsfrom the banks, it received a sum of 11,008,-133.62 pesos in subsidiary currency. Thisamount was credited to the current accountsof the respective banks, and at the same timefigures amongst the assets of the CentralBank. The amount of subsidiary currencyhas steadily increased and on December 31stood at 15,653,147.86 pesos. As the total ofsubsidiary currency (211,783,658.80 pesos)has not changed since May 31 last, the in-crease in the Central Bank's holding of thiscurrency implies that a sum substantiallyless than the total amount is required by thepublic and the banks for current businessneeds. The Bank's holding of subsidiarycurrency will serve, therefore, to satisfy agradual increase in the requirements of thepublic and of the banks without calling uponthe Government in the immediate future toincrease the issue. It may be recalled thatArticle 36 of the Central Bank Law providesthat increases in the issues of subsidiary cur-rency, subject to a per capita maximum of20 pesos, may only be made by the Govern-ment on the request and through the inter-mediary of the Central Bank.
Shareholding banks, shares subscriptionaccount.—This account has been reducedfrom 9,500,000 pesos on May 31 to 5,008,000pesos on December 31 on which date pay-ment of the second share instalment fell due.On that date only one bank had failed to paythe instalment due. The shareholding en-tities which have ceased to be regarded asbanks by the Central Bank, owing to thetransfer of their deposits to the InstitutoMovilizador de Inversiones Bancarias may,in accordance with the Law, retain theirshares, but no longer have the right to takepart in the General Meeting of ShareholdingBanks.
Non-interest-bearing Government bond.—There has been no change in respect of thebond which represents the Government'sliability for the remainder of the balances of
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issues without metallic guarantee made priorto Law No. 3,871. This bond is to be amor-tized with half the profit from issues of sub-sidiary currency, and thus far, such issueshave not been necessary.
Consolidated Treasury bonds.—The sumof 178,650,000 pesos, nominal value, of Cer-tificates of Participation in these bonds hav-ing been placed with the banks, the initialamount of 400,000,000 pesos has been re-duced to 221,350,000 pesos. The Bank isunder an obligation to re-purchase the Certifi-cates sold.
National securities—Article 3i, Law No.12,155.—The item of 14,124,260 pesos shownat December 31, represents the cost of 14,-690,000 (nominal value) of National Govern-ment Bonds, acquired, in accordance with theLaw, as an investment of part of the Bank'scapital.
Bank premises.—The only property takeninto account until the penultimate statementin the period, was that of Calle Reconquista,at a value of 500,000 pesos. In the finalbalance sheet it was resolved to include thepremises in Calle San Martin, the transferof the title deeds of which is pending. It isconsidered that the value will be amplycovered by the General Reserve Fund, to becreated with part of the year's profits.Thirty-five percent of the value of the Re-conquista property has been written off. Asregards the San Martin building, a reserveof 239,500 pesos (24.7 percent) has beencreated for future amortizations.
Capital.—The original figure of 20 millionpesos remains unchanged. For the time be-ing the Bank has decided not to make furtherissues of Capital.
Notes.—Up to the statement of December15, on which date the notes issued amountedto 939,206,420 pesos, the circulation wasmaintained below the May 31 figure of 964,-423,830 pesos. In the second half of Decem-ber, however, there was a sudden increase to981,754,560 pesos. This was mainly due todrawings for the purpose of reinforcing thecash reserves of the new institution set up atthe time of the banking reorganisation.
Deposits of shareholding banks.—It isdifficult to analyse all the factors responsiblefor the fluctuations in the current accounts ofshareholding banks, for these balances varyin accordance with minimum balance require-ments and movements at the Clearing House.The main cause of the diminution in these ac-
counts has been the purchase, by the banks, ofConsolidated Treasury Bond Certificates andthe retirement of Rediscounts by the Bancode la Nacion. On the other hand, the fall inbalances was partly offset by the influx offunds to the banks from the Institute Movili-zador. The net result of the operation ofthese two opposing factors and others of aminor character, was a reduction of 96,133,-634.55 pesos in this item of the balance sheetwhich, on December 31, stood at 482,398,-958.44 pesos.
Deposits of the National Government.—The increase of 82,848,630.95 pesos in thebalance of these accounts was the result offinancial operations of the Treasury and ofmovements in "Resources Available Ex-change Profit Fund." The increase in thisaccount is due to the accumulation of ex-change profits on the one hand, and to thesale of exchange or securities temporarily ac-quired as an investment on the other.
Other deposits.—Totals of this item, bothat the beginning and end of the financial pe-riod, were relatively small. Nevertheless,there was at one stage a balance of as muchas 196,093,364.11 pesos resulting from pay-ments to the Rediscount Committee in respectof the retirement of rediscounts by the Bancode la Nacion Argentina. These transactionshave already been explained.
Accounts for the capital and for the reservefund of the Instituto Movilizador.—These ac-counts have been explained above. The bal-ance of the Institute's funds are now includedin the current accounts of the National Gov-ernment.
National Government, fund for the pay-ment of floating debt to banks.—This repre-sents the balance, on May 31, of the fundsarising from the revaluation of gold andcredited to the National Government. Thisbalance was subsequently used for furtherrepayments of Treasury Bills.
Difference in the quotation of consolidatedTreasury bonds.—This item represents thepremium (over par) obtained by the sale ofConsolidated Treasury Bond Certificates tothe banks. These balances are temporaryand disappear when the banks re-sell the Cer-tificates to the Central Bank at the originalpurchase price.
Bank premises amortization account.—Anew account, formed as an amortization forthe offices in Calle San Martin once the titledeeds have been registered.
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Profit and loss account.—The net profit ofthe financial period, the distribution of whichis subject to the approval of the meeting ofShareholding Banks.
Relations with other Central Banks.—Theadvantages of close cooperation between Cen-tral Banks have been emphasized on manyoccasions. Within the scope of the Bank'sinternational operations which, in present cir-cumstances, is naturally limited, every efforthas been made to promote the developmentof good relations with similar organizationsabroad.
With this end in view, the Bank of England,the Federal Reserve Bank of New York, theBanque de France, the Reichsbank, the Bancad'ltalia and other important Central Bankshave been asked to act as the Bank's corre-spondents. The Central Bank has reason tobe specially grateful to the first of these in-stitutions. The cooperation of the Bank ofEngland began with the visit of Sir OttoNiemeyer, whose advice and recommenda-tions to the Argentine Government laid thefoundation of the reform of the monetaryand banking system. The Bank of Englandhas also been kind enough to lend, for a year,one of its high officials, Mr. F. F. Powell, who,in collaborating in the organization of this
institution and the solution of its initial prob-lems, brings with him a valuable interna-tional experience of central banking.
Relations with the Bank for InternationalSettlements at Basle were also promptly es-tablished and a deposit of gold made there.One of our Directors, Senor Enrique Bec-querel, in the course of his recent voyage toEurope, visited that institution and ex-changed views with the principal bankingauthorities who meet there every month.
Senor Becquerel also visited the Banque deFrance, where he studied certain features ofthat institution's internal mechanism, andreceived information which will be of greatuse to the Bank, and for which the CentralBank is very grateful.
Relations have also been established withthe Central Banks of the neighboring coun-tries. Various useful suggestions for in-ternal organization were obtained from theBanco de Chile, as a result of a mission en-trusted by the Organization Committee to oneof the present officials of the Central Bank.
The Central Bank also appointed as itscorrespondents certain of the large privatebanks abroad.1
1 A list of all foreign correspondents is included in the Report.
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ANNUAL REPORT OF THE NETHERLANDS BANK
The annual report of the Netherlands Bankfor the year ended March 31, 1936, was pre-sented by the governor of the bank, Mr.L. J. A. Trip, to the general meeting of share-holders on June 2, 1936. Sections of the re-port are given herewith:1
The past year was a period of confusionand contradiction. While it was generallyrealized in theory that nothing but an im-provement of international relations couldbring about world recovery, it seemed im-possible to put the theory into practice.Political relations showed increasing tension.Lack of confidence and fear of war were feltto an increasing extent. In all countriesmeasures for stronger armaments wereadopted. The emergence of storm centers invarious parts of the world led even thosecountries whose peaceful intentions were be-yond question to increase their military de-fenses.
The resulting heavy demand for raw mate-rials and labor for war industries can hardlybe considered a factor of permanent pros-perity. Unproductive expenditures of thiskind aggravate still further the alreadyheavy burden of Government indebtednessand taxation; even if they are met in the firstplace wholly or in part out of loan issues,they constitute fresh obligations against thefuture.
Government finance.—In almost everycountry the budget position gave cause foranxiety. Governments were unable to keepexpenditure within the limits of revenue.Rather, they undertook new lines of expend-iture without providing the necessary funds.The volume of loans rose out of all propor-tion to the funds becoming available out ofactual savings. The Government absorbedthese funds in considerable amount whererevenues failed to balance the outgo. Theresult was, on the one hand, that the burdenof taxation rose with the burden of Govern-ment indebtedness; on the other hand, thatthere was a dearth of international fundsneeded to develop the financially and econom-ically backward territories and to strengthentheir purchasing power. In many cases,
1 The report, available in Dutch and English, contains in additionsections dealing with the general international situation, internationaltrade, international monetary developments, the money and capitalmarket, the exchanges, clearing arrangements, personnel, etc., togetherwith a number of tables.
moreover, the Government supplied its loanrequirements out of short-term funds which,from their very nature, were not intendedfor that purpose. The possible dangers insuch a situation, when these short-term loansmature, need not be stressed. In such cir-cumstances it cannot be the function of abank of issue to make its credit resourcesavailable in large volume to the Government.To avoid the dangers threatening sound re-covery from the side of public finance, meas-ures should be taken to secure truly balancedbudgets of Government departments, to limitthe amounts to be covered out of loans, andto consolidate the floating debt.
Situation in the Netherlands.—In theNetherlands there was only a very moderatedegree of recovery. Somewhat greater sta-bility, an advance in the direction of equilib-rium—this is as far as the description of thepresent position can go. However deplorablethis may be, certain basic factors explain thepresent situation. The Netherlands enjoyedrelative prosperity for a considerable periodwhile in other countries the depression wasalready severe, so that not until some timelater was the need for vigorous readjustmentrealized here. The Netherlands, because ofits situation, economic structure, extensivetransit trade and limited domestic market,could not fail to be especially hard hit by theprotectionist policy which the great countriesadopted as a means of counteracting the de-pression. This is particularly the case wherea country's exports consist of specialized andvaluable products which are largely luxury-goods. The Netherlands, moreover, havinggreat financial and economic interests in theNetherlands-Indies, felt the adverse effectsof the difficulties experienced by this raw-material and food producing area; whereasthe recent marked recovery in that part ofthe world has not yet affected the situationof the mother country. Finally, the Nether-lands prides itself on a high standard of liv-.ing, which it would be reluctant to abandoneven partly or temporarily; meanwhile, thepopulation is now increasing by 100,000 an-nually.
The economic and monetary policy followedby the Netherlands Government should notbe considered responsible for the difficultsituation of the country, nor should it be
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called a failure. More time than had beenanticipated is required for adjustment to thedrastic changes in Netherlands economybrought about by the world crisis of 1929,and the consequent international policy ofprotectionism. This adjustment is not yetcomplete. The level of expenses and costs isstill too high. Heavy taxes are an impedi-ment to recovery. What was said of thebudgetary position and debt burden in almostall countries, is equally applicable to theNetherlands. There is not sufficient coopera-tion between the various lines of Netherlandsindustry with a view to reducing the level ofcosts. This applies especially to the shel-tered and protected industries, which fail torealize that for their own future as much asfor the Netherlands position as a whole, thisis a necessary condition for cheaper produc-tion and future sales. In many ways theymake still more difficult the struggle of theunsheltered and unprotected industries.These last are the industries whose preserva-tion is to be considered as of vital importance.They can fairly demand that, in their effortsto maintain themselves without Governmentassistance, they should not be hampered byindustries which, with this assistance, canafford an unduly high level of costs. Workersare frequently unwilling to cooperate in costreduction by accepting a reduction in wagesuntil better times, and thus increasing op-portunities for employment. Through thisattitude they prejudice not only the positionof the Netherlands but no less their own posi-tion, which certainly would not be improvedby wage reductions at random through cur-rency depreciation or inflation, as adoptedin a number of countries.
It still does not follow that the Govern-ment's policy has failed, or that an infla-tionary policy should be adopted. If one con-siders what has been accomplished since1929, and the extent of the adjustmentachieved in the years since the world depres-sion penetrated to the Netherlands, the pos-sibilities of restoring economic and financialequilibrium in this country are beyond doubt.This is borne out by the improvement in therelative level of costs and prices in variouscountries, and by the influence of the increas-ing gold production together with the depre-ciation of many monetary units. The convic-tion is strengthened that the present mone-tary policy should be continued for the mani-fest and permanent benefit of the country and
its people. Devaluation or depreciation ofthe medium of exchange is an emergencymeasure which can bring temporary relief,but, as stands to reason and as experience hasshown, sooner or later loses its effect. Ex-perience has also shown that this emergencymeasure is taken at the expense of the peoplewho are least able to bear it, and are unableto defend themselves against its conse-quences; and that whether their wages re-main the same or are lowered, the cost ofliving will inevitably rise. It may be arguedthat the advance in the cost of living will beinconsiderable, yet over a long period of timethe trend will be steadily upward. For illus-tration, it is sufficient merely to mentionthose countries which had recourse to devalu-ation before the present depression, that is,before the year 1929. Could anyone indeedbelieve that the great profits which manypersons would make in case of devaluation,and the book profits on the gold stock of theNetherlands Bank, would not have theircounterpart in losses to be borne by others?
The Netherlands will have to hasten itsprocess of adjustment. Hitherto the first re-quirement has been that each public corpora-tion and private enterprise should put andkeep his own house in order, through re-trenchment and sound practice. The nexttask is to limit—with the ultimate aim ofabolishing entirely — measures which theGovernment took to lessen the effects of thedepression but which are now obstructingthe process of adjustment. This task theNetherlands is determined to perform. It isquestionable whether these measures havesucceeded in accomplishing their object asstated by the Government. That Governmentmeasures of assistance always facilitate ad-justment to a lower level of costs can hardlybe maintained. On the contrary, Governmentassistance in many cases seems to be madethe end rather than the means. The needfor abolishing these measures of assistancewould become still more urgent if interna-tional prices should rise. If such an advancecaused an advance in the cost of living in theNetherlands, it would be more than evernecessary to abolish these measures in orderto further adjustment and thus to strengthenthe economic position of the country.
If, moreover, a greater measure of coope-ration and agreement could be achieved inthe political field, and certain temporarysacrifies could be agreed upon, which are in-
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dispensable for the interests of the countryas a whole, the Netherlands could undoubtedlyovercome its present difficulties. For thispurpose it would not be necessary to takemeasures which would curtail rights of con-tract, regardless of the circumstances of eachcase. Complete regulation of this characteris sometimes called "consistent deflation",and is offered as the only alternative to de-valuation. This presenting of alternativesseems unfair. Consistent deflation wouldconsist only in refraining from the adoptionof measures which would hinder the naturalprocess of adjustment. If, however, for obvi-ous reasons, it is impossible to abstain fromadopting some emergency measures, there isstill no reason to call the monetary policy afailure. On the other hand, the desirabilityshould not be overlooked of adopting thefewest possible measures which check thenatural process of adjustment and makingtheir duration as brief as possible. It shouldbe remembered that a policy which by lawcurtails rights of contract affects the twoparties to every contract, whatever its pur-pose may be. After the experience of thepast year, little need be said in defense of sucha policy. The course of the crisis has shownthat reorganizations were often effected atconsiderable sacrifice by shareholders andcreditors, rather than forced by circum-stances. Such reorganizations do not under-mine confidence. Confidence is undermined,however, when law is infringed upon, especi-ally at a time when public authorities, inview of the heavy demands on theirtreasuries, desire more than ever to maintainand strengthen their credit. It would bemost illogical, indeed, to appeal repeatedly forthe confidence essential to the success of anyloan or conversion operation and at the sametime to undermine that confidence throughstatutory measures, which are included underthe collective name of "consistent deflationpolicy."
The Netherlands Bank.—In contrast to thesituation prior to the year 1934-1935, thepast year was one of severe strain for themonetary policy of the Netherlands Bank.
Difficulties, however, could not frustratethe success of that policy, which was directedto the maintenance of the gold value of theflorin. The difficulties sometimes originatedin other countries, and sometimes within thecountry itself.
The fall of the belga was the first cause ofuneasiness, and of the fear that other coun-tries of the gold bloc would likewise be un-able to maintain the gold parity of their cur-rencies. A widespread international specu-lative movement developed against the florin.The resulting discount on forward florins in-duced many people temporarily to investlarge sums by purchasing foreign currenciesfor cash and selling them forward. In thisway a profit could be made of sometimes 12or more percent per annum on the capitalthus invested. These operations, meanwhile,created a great demand for foreign exchange,and this demand induced large exports ofgold. The Netherlands Bank, therefore, re-quested the private banks to restrict, evenmore severely than before, the extension offacilities for such transactions to cases offer-ing a reasonable presumption that the opera-tions reflected normal commercial require-ments. The private banks responded andcontinued to lend their cooperation in otherways as well. In addition, foreign centralbanks, in cooperation with the private bank-ing systems of their own countries, took re-strictive measures against speculation inforeign exchange. Tranquillity was restoredin the early part of June, 1935, but not beforethe bank had been forced to sell almost 169,-000,000 florins, or about 21 percent of its goldstock which, at the end of fiscal year 1934-1935, had amounted to 786,749,000 florins.
A total of 74,000,000 florins in gold hadflowed back into the bank when the politicalcrisis broke out toward the end of July, 1935.On July 24 alone the gold sales reached a totalof no less than 62,000,000 florins. The aggre-gate gold sales rose in one week to 142,000,-000 florins, so that the gold stock was re-duced to 550,000,000 florins before calm wasagain restored. The gold movement reflectedin these figures had its origin within thecountry. Large sums were withdrawn fromthe banks and from the money market andwere converted into foreign exchange or gold.The proceeds from export transactions wereleft in the country of destination; indebted-ness on account of imports was paid immedi-ately so far as possible. Every effort wasmade to acquire or to continue to hold liabili-ties in florins, on the one hand, and on theother hand, to convert the florins at one'sdisposal into foreign exchange or gold asquickly as possible. In these circumstances itwas the plain duty of the Netherlands Bank
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to put an effective check on withdrawals offlorins and make a drastic advance in thecost of its credit. Thus the bank felt itselfcompelled to apply once more the means usedon former occasions with good results; in 8days' time it raised the discount rate from3 to 6 percent, and the rate for loans andadvances in current account from 31/2 to 61/2percent.
After a net return flow of gold in theamount of 50,000,000 florins, uncertainty anduneasiness again developed as the time ap-proached for the first meeting between thenew Cabinet and the lower house of the StatesGeneral. Consequently, the bank was com-pelled to sell about 72,000,000 florins of gold,and to raise the rates again—which hadmeanwhile been lowered by 1 percent—to 6and 6V2 percent. When it became evident,however, that the Cabinet and Parliamentwould cooperate with one another, the tensiongradually relaxed; in the period from Octo-ber 17 to November 14, 1935, the bank wasable to lower its i*ates by 2V2 percent, afterwhich two further reductions of V2 of 1 per-cent each were made on January 16 and Feb-ruary 4, 1936. This last reduction broughtthe discount rate back to the level of 2^2 per-cent, which had been in effect at the begin-ning of the fiscal year, but had had to beabandoned as early as April 5, 1935.
The return flow of funds to the Nether-lands has resulted in an almost uninterruptedrise in gold holdings since September 27,1935. Gold holdings rose from their lowestpoint of about 527,000,000 florins to 715,000,-000 florins on the last day of the fiscal year.On balance, the gold stock declined from786,749,000 florins at the beginning of theyear to 714,654,000 florins at its close. Asagainst this loss of gold, there was a declineof 82,674,000 florins in demand liabilities ofthe bank. Thus, the decline in gold holdingswas more than offset by the decline in liabili-ties; the ratio of gold reserves against lia-bilities declined only from 79.28 at the begin-ning of the year to 78.69 percent at the close.
The outline of events, as briefly sketchedabove, suggests certain important conclu-sions.
In the first place, it should be observedthat the opinion which is often expressed—namely, that in circumstances such as thoseunder discussion advances in the discountrate have only a psychological importance—cannot be maintained in the light of events of
the past years. Granted that such advanceswere unable to attract gold from abroad asin normal circumstances, that was not to beexpected under existing conditions. Thisdoes not alter the fact that since the Nether-lands banking system was sound and flexibleand its bank of issue was in a strong position,the discount policy functioned effectively,though perhaps with some time lag, to checkthe outflow—and above all the permanentexpatriation—of funds which should be in-vested within the country.
It is, of course, to be regretted that the ad-vance in rates increased the interest burdenof business enterprises, and therefore theircosts of production. But, apart from the factthat it was a choice of two evils, it should notbe forgotten that the business communityitself is responsible for high interest rates tothe extent that it sends or holds its own avail-able funds abroad.
In the second place, it can be said that, ex-cluding abnormal capital movements, theNetherlands balance of payments did not loseits equilibrium. The deficit in the trade bal-ance, covering the movement of commoditiesexclusive of gold and silver, declined from763,000,000 florins in 1929 to 261,000,000florins in 1935. Considered from the techni-cal monetary point of view, this representsan improvement of 502,000,000 florins in thebalance of payments. To this figure shouldbe added the amount of foreign issues whichused to be floated on the Netherlands marketbefore the crisis. This amount is estimatedat about 250,000,000 florins per annum. Thetotal of 750,000,000 florins is sufficient to bal-ance the decline in income from foreign loans,shipping and other services which the Neth-erlands ordinarily renders to foreign coun-tries. Since November 1935, moreover, not-withstanding the continued and very con-siderable purchases of foreign stocks, espe-cially American, there has been a practicallycontinuous flow of gold to the Netherlands.
A third conclusion is that anxiety in re-gard to the currency position must be con-sidered harmful for the interests which allwho are not actuated by their own self inter-est wish to serve. Fortunately, the people ofthe Netherlands have learned from the ex-perience of almost 5 years, and are far lessready to let themselves be disturbed by fore-bodings and criticisms which they havelearned to distinguish from facts.
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568 FEDERAL RESERVE BULLETIN JULY 1936
In conclusion, it has been shown that eventhe heaviest shocks to confidence, accom-panied by large withdrawals of capital andexports of gold, can be overcome, providedeffective measures are taken, and the Govern-ment and bank of issue make it quite clearthat they will not deviate from their pre-scribed course. It cannot be over-emphasizedthat the public still attach far too much sig-nificance to gold movements, which are nomore than a natural result of changes in theeconomic and financial spheres. The natureand the -exact limits of these changes are theelements that really matter. If they repre-sent capital movements of a temporary char-acter, as was the case in this country duringthe past financial year, they only result in theconversion of gold into foreign assets. Be-sides, gold movements should not be con-sidered as facts apart exerting no furtherinfluence. On the contrary, they will bringabout numerous and intense reactions in pro-portion as the gold shipments assume greaterdimensions; and if their influence is intensi-fied as far as necessary by the discount policyand further measures of the central bank,those reactions will finally have the effect ofarresting the efflux of gold and of causing thereturn of the exported metal. In the mean-time it may be imperative that the centralbank should grant credits to the Treasury andto the commercial banks in order to allowtime for the desired effects to come about.
Thus, during the period of greatest pres-sure, loans and advances of the bank rosefrom 158,254,000 florins on July 23, 1935, to280,629,000 florins on July 31. Thereupon,they declined to 192,785,000 florins on August24, 1935, after which, under the influence ofnew gold sales and increasing uneasiness,they rose to 286,368,000 florins on October1, 1935. Following this, international reac-tions had a gradually increasing effect, so thaton December 19, 1935, loans and advanceswere smaller than the lowest figure quotedabove, and on the last day of the fiscal yearthey amounted to only 157,372,000 florins.This development shows how important it isfor the success of its policy that the bankshould restrict its credits during normaltimes, in order to have great reserves ofcredit available when its help is needed inperiods of stress; it shows, on the other handno less, how unwarranted it is to becomealarmed when the bank employs part of itscredit reserves and, as happened last yearwhen the weekly balance sheets of the bank
were issued, to dwell at length on the possibledangers involved in the larger use of credit.The gold reserve against the demand liabili-ties of the bank never fell below 62.07 per-cent.
Maintenance of gold parity.—During thepast year the Netherlands Bank had to takemeasures repeatedly in order to maintain thestatutory gold parity of the florin.
These measures consisted, first, in the de-livery of gold, in compliance with our declara-tion of 1903, in the form in which it was rein-stated in 1925. From time to time, also, thebank sold considerable amounts of Frenchfrancs, in order to prevent sudden and sharpadvances of the Paris rate of exchangeagainst florins. Finally, the discount ratewas raised repeatedly, in order to check anyundesirable expansion of loans by the bank,which might also be prejudicial to the moneymarket; and as far as possible to limit ex-change operations which might endanger themaintenance of parity, at times when the ex-change rates on other gold countries stoodat or above gold export point and thepremium for forward exchange was rising.The discount rate was changed no less than17 times during the year.
BALANCE SHEET OF THE NETHERLANDS BANK AS OFMARCH 31, 1936
[In thousands of florins]
Assets
Gold coinGold bullionSilver coinCorrespondents abroad...Foreign billsDomestic billsLoansAdvances in current ac-
countAdvances to the Govern-
ment (law of May 27,1932)
Investments in shareslisted by the Amster-dam Brokers' Associa-tion
Shares of the Bank for In-ternational Settlementsof which 25 percent ispaid in
Other investmentsNet balance with bank-
ing correspondentsCash itemsInterest accrued on loans.Interest accrued on ad-
vances in current ac-count
Interest accrued on in-vestments
Commission accountBank premises and furni-
ture
Total assets.
Mar.31, 1936
127, 602587, 05219,3151,7971,07924,48689, 952
41, 856
11, 958
28, 315
1, 2009,845
645659
289
33147
4,600
950,433
Liabilities
Notes in circulationCurrent accountsOther demand liabilities..Capital-Reserve fundSpecial reservePension fundUnearned discount on do-
mestic billsUnearned discount on
foreign billsDividends payableBalance of profits at the
disposal of the generalmeeting
Total liabilities
Mar.31,1936
792, 019117,549
16920,000
3,1066,300
10,144
12
118
1, 116
950, 433
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JULY 1936 FEDERAL RESERVE BULLETIN 569
MEMBER BANK RESERVES, RESERVE BANK CREDIT, AND RELATED ITEMS[In millions of dollars]
DateBillsdis-
counted
End of month figures:1935—May 31
June 30_July 31Aug. 31Sept. 30Oct. 31Nov. 30Dec. 31
1936—Jan. 31Feb. 29Mar. 31Apr. 30May 30June 30
Wednesday figures:1935- Aug. 7
Aug. 14Aug. 21Aug. 28
Sept. 4Sept. 11Sept. 18Sept. 25
Oct. 2Oct. 9Oct. 16Oct. 23__Oct. 30
Nov. 6_Nov. 13_. .Nov. 20Nov. 27
Dec. 4Dec. 11Dec. 18Dec. 24Dec. 31
1936—Jan. 8Jan. 15Jan. 22__Jan. 29
Feb. 5Feb. 12Feb. 19_. ._Feb. 26
Mar. 4Mar. 11Mar. 18Mar. 25
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29
May 6May 13May 20May 27
June 3June 10June 17June 24
Reserve bank credit outstanding
Billsbought
U. S.Gov-ern-
mentsecuri-
ties
2,4302,4332,4302,4322,4302,4302,4302,431
2,4302,4302,4302,4302,4302,430
2,4302,4302,4302,430
2, 4302,4302,4302,430
2,4302,4302,4302,4302,430
2,4302,4302,4302,430
2,4302,4302,4302,4312,431
2,4302,4302,4302,430
2, 4302, 4302, 4302,430
2,4312, 4302, 4302, 430
2.4302,4302. 4302, 4302,430
2,4302, 4302, 4302, 430
2, 4302, 4302, 4302, 430
OtherReserve
bankcredit
Total
2, 4692,4802, 4652,4852,4772,4822,4802,486
2,4792,4822,4742,4752,4742, 473
2,4762, 4772,4682,471
2,4722,4792,4722,474
2,4702,4782,4962,4722,474
2,4622,4922,4712,472
2,4702,4742,4832, 5232,486
2, 4762,4852,4772,470
2,4892,5082, 5052,475
2, 4752, 4732, 4852,485
2, 4772, 4792, 4772,4752,472
2,4782,4692,4702, 466
2, 4892,4712, 4802, 472
Mone-tarygoldstock
8,8589,1169,1449,2039, 3689, 6939,92010,125
10,18210,16710,18410, 22510,40210, 608
9,1589,1849,1899,197
9,2099,2199,2409, 297
9,4149,4639,5849,6299,686
9,7149,7479,8049,874
10, 00910,06810,09810,11510,125
10,14410,15810,17210,179
10,16810, 15510,16010,163
10, 16710,17010, 17310, 177
10. 18510, 19010.20010.20910, 221
10, 24810,30210, 37510,388
10, 40910, 48010.54310, 600
Treas-urycur-
rency
2,5252, 5062,5102,3982, 3862,4002,4382,476
2,4932,4992, 5042,5002,490
P2, 498
2,4772, 4372,4212,408
2, 3952,3912,3902,382
2,3992,3962,4042,3972,401
2,4012,3992,4092,421
2,4422,4472,4582,4642,476
2,4762, 4922, 4982,492
2,4912,4962, 4992,502
2, 5062,5032, 5032, 502
2, 5042, 5052, 5022, 5012,501
2, 4972. 4962, 4932, 494
2, 4932. 4892,4902, 500
Moneyin cir-cula-tion
5,5405,5685, 5185, 6295, 6835,7135, 8465,882
5.7375. 8465, 8775,8865,953
P6, 241
5, 5505, 5585,5745, 573
5, 6505,6385, 632• 5, 626
5, 6885,6985,6965,6845, 686
5,7545,7465, 7395.820
5,8435,8415,9025,9915,882
5,7835,7225,7045, 693
5, 7425, 7635, 7715,775
5,8485,8405,8415,837
5,8845, 9065, 8775, 8605, 859
5, 9125,8885, 8965, 902
5, 9535, 9376,0486,173
Treasurycash anddeposits
withFederalReservebanks
2,9692,9682,9912,6942,7402, 6572,6193,110
3,0012, 9373,6073,2133,101
P3, 187
2,9322.7752,7222,683
2,7462,6292,8392,778
2,8142,7472,6932,6942,665
2,6552,6412,6482,625
2, 6262,5583,1613,1563,110
3,0493, 0183, 0933,031
2,9582, 9932,9792,949
2,8982,9093, 5873,667
3, 6143, 5023,3743, 2693,208
3,1753,1613,1383,116
3,0843, 0644,0283,577
Non-mem-
ber de-posits
254325253198304299284255
304327332356337262
253251230213
193186244262
306313307292296
236249262282
283280281266255
296301
324364327323
321337328340
331346335355362
345351353326
319306282252
OtherFed-eral
Reserveac-
counts
257261257260250258253253
253254259260256256
261259260260
259248250250
251250254254260
260257253252
262270258259253
253253253254
255254255254
269274261261
259258260260259
259257258256
292299261261
Member bankreserve balances
Total
4,8324, 9795.1005, 3055, 2545, 6485, 8355, 587
5, 8605, 7845,0875, 4S65,7195, 633
5,1155, 2545, 2915,346
5,2285,3885,1365,236
5,2245,3305, 5345,5755,653
5,6715,7465,7825,789
5,9056,0405,4375,4295, 587
5,7455,8595,8025,883
5,8695,7845,8325,839
5,8135,7865,1445,059
5,0775, 1615, 3335, 4425,506
5,5325, 6115, 6945,747
5,7135,833 j4,894 i5,308 !
Excess(esti-
mated)
2,3182,4142, 5132,7082,6002,9703,1002,844
3,0842,9862, 3052,f642, 8662,717
2,5472,6672,6822,749
2,6432,7902, 5272,592
2,5692,6942,8782,9002,981
2,9933,0523,0693.051
3,1733, 3042,7062.6932,844
3,0023,0953,0303,087
3,0893,0073,0453,062
3,0433,0082,3882,315
2,3382,3842,5482,6402,686
2,6972,7742,8592,901
2,8442, 9482, 0432, 438
p Preliminary.NOTE.—For description of figures in this table and discussion of their significance, see BULLETIN for July 1935, pp. 419-429. Reprints of article,
together with all available back figures, may be obtained upon request from Division of Research and Statistics. Back figures are also shown inAnnual Report for 1934 (table 4) and for excess reserves in BULLETIN for August 1935, pp. 499-500.
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570 FEDERAL RESERVE BULLETIN JULY 1936
ASSETS AND LIABILITIES OF FEDERAL RESERVE BANKS; ALSO FEDERALRESERVE NOTE STATEMENT, JUNE 30, 1936
[In thousands of dollars]
ASSETS
Gold certificates on hand and due fromU. S. Treasury
Redemption fund—Federal Reservenotes
Other cash
Total reserves..
Bills discounted:For member banksFor nonmember banks, etc. -
Total bills discountedBills bought: Payable in foreign cur-
renciesIndustrial advances
U.S . Government securities:BondsTreasury notesTreasury bills
Total Government securitiesOther Reserve bank credit:
Other securitiesDue from foreign banksReserve bank float (uncollected
items in excess of deferred avail-ability items)
Total Reserve bank credit out-standing
Federal Reserve notes of other banks--.Uncollected items not included in float.Bank premisesAll other assets
Total assets
LIABILITIES
F. Ii. notes in actual circulation (in-cludes notes held by other F. R.banks)
Deposits:Member bank—reserve account._-U. S. Treasurer—general account._Foreign bankOther deposits
Total depositsDeferred availability items.Capital paid inSurplus (Sec. 7)Surplus (Sec. 13b)Reserve for contingencies....All other liabilities
Total liabilitiesCommitments to make industrial ad-
vances
FEDERAL RESERVE NOTE STATEMENT
Notes issued to Federal Reserve banksby Federal Reserve agents
Collateral held by agents as securityfor notes issued:
Gold certificates on hand and duefrom U. S. Treasury
Eligible paperU. S. Government securities
Total collateral-
Total
8,106, 542
12,949265,154
8, 384, 645
4,07210
4,082
3,07729, 878
315,6711, 494, 219
620, 337
2, 430, 227
181237
4,997
2, 472, 679
18, 409607, 81148,05242, 477
11,574,073
4, 034, 482
5, 632, 735690,102
54, 169207, 723
271, 35739, 771
4, 1311,537
6, 584, 729 316, 796607, 811130, 917145, 501
26, 51334,11610, 004
LI, 574, 073
23, 928
4, 296, 310 382, 656
4, 269, 5232,605
63, 000
4, 335,128
Bos-ton
508, 637
2,11426, 225
536, 976 3,128, 441
161, 713
166, 357
3, 056, 558 385, 815 577, 472 255, 385 225, 206
2242,914
21, 00699, 42941, 278
872
33560, 5013,113
295
366, 606
60, 5019, 3699,9022,8741, 413
116
767, 57
2, 779
396, 000616
396, 616
NewYork
1,28170, 602
2, 531
2,531
1,0957,336
85, 802406,145168, 614
660, 561 211,181
4,613
176, 227 217, 880 237, 420 132, 828
5,097176, 557
10, 85131,212
7 4,, 028, 385 690,
9, 429
922, 374
930, 70G1,285
931,991
Phila-del-phia
1,70510,159
424, 326 603, 270 271, 009 237,070
1,11937, 392
269
3165,148
27,431129,845
53, 905
235, 795
23
943
75339, 035
5,f~3,840
767, 577 4,028, 385 690, 914 913, 022 457, 615 360, 882
830, 890 302, 990 388, 767
2, 343,113 282, 319 385, 516 178, 304373,464 26,528 31,997 23,37018,726 5, 192 5, 136 2,457161,242 1,464 7,189 2,623
2, 896, 545 315, 503 429, 838 206, 754176,557 39,035 62,999 48,51950,947 12,283 12,635 4,70950,825 13,406 14,371 5,1867,744 4,231 1,007 3,4488,849 3,000 3,111 1,2786,028 466 294 183
301, 000 402,94
15,000
316,094
Cleve-land
68625,112
38
38
2931,757
30, 629144,97760,189
22
1485
1,037
6,5251,771
913,022
1,462
315, 527 401, 634
!,50038
402, 538
Rich-mond
61815, 006
79
1203,633
16, 62778, 70732, 676
128, 010
976
100, 80;
1,22148, 5192,9191,119
457, 615
2,333
196, 421
192, 00079
5,000
197, 079
Atlan-ta
108754
12, 77660, 47425,106
98, 356
1,560
1,25217, 9232,2841,546
187, 538 179, 553
119,77023, 865
1,9544, 569
150,158 117,9234,2335,616
7542,519
126
360, 882
289
197, 734
168, 68521
30, 000
198, 706
Chicago
1, 757,193 238,007
82530, 554
1, 788, 572 250, 550
3842,106
37, 553177, 757
73, 797
289,107 129, 927
28
11, 613
290, 012 129, 562
2,49079, 8664, 830
781
920, 841
1, 085, 22927, 8996,4762,889
,122,49379, 86612,05721, 350
1,39117,573
980
2,166, 551
78
949, 202
956,000
St.Louis
92011, 623
8555
16,8'79, 88633,165
11, 042
1,29224, 7902,453
333
174, 255
162, 898 107,27, 559
1,6757,732
209
408, 980
1,766
182, 232
956,000 169, 632 128,31
13, 000
182, 663
Min-neap-olis
174, 893 236, 224
2316,483
181, 607 251, 275
35
35
611, 339
11,24853, 24422,105
86, 597
740
88, 775 124, 232
1,31014, 9591,531
391
2,166, 551 408, 980 288, 573 413, 096 292, 532 785, 946
121, 881
,18329, 822
1,3404,185
14, 9592,9773,1491,0031,456
618
126, 210
;,ooo35
128, 035
Kan-sas
City
1,00014, 051
861,009
15, 96875, 58031, 379
122, 927
1817
164
1,68732,1353,360
407
151, 405
189, 05228, 909
1,611314
199, 864 142, 530 219, 886 173, 240 411.24, 7903,7674, 655
546
32,1353,9543,6131,142
846115
164, 583
165, 00080
165, 080
Dallas
168, 978
4175,8
175, 221
348
348
861,649
12,15557, 53023, 885
93, 570 212,483
L1, 432
94, 228 214, 351
31920, 917
1,526321
139,865 368,29, 292
1,6192,464
20, 9173,8053,7831,2521,328
761
288, 573 413, 096 292, 532 785,946
93 406 538 4,473
SanFran-cisco
522,174
2,03312,121
536, 328
28
28
2171,678
27, 600130, 64554,238
171
1,61629, 6103,580
461
87, 446 322, 310
129^ 626
3,85211,515
,12229, 61010,1819, 6451,1211,849
108
95, 437 362, 300
96, 000 364,00028
96, 298 364,028
1 Deferred availability in excess of uncollected items.Reserve ratio.—Ratio of total reserves to deposit and Federal Reserve note liabilities combined, all Federal Reserve banks, 79.0 per cent.
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JULY 1936 FEDERAL RESERVE BULLETIN 571
PRINCIPAL ASSETS AND LIABILITIES OF THE FEDERAL RESERVE BANKS,BY WEEKS
[In thousands of dollars]
ASSETS
Total reserves:June 3June 10June 17June 24
Total bills discounted:June 3June 10 I . . .June 17June 24
Bills bought, payable in foreign cur-rencies:
June 3June 10June 17June 24 : .
Industrial advances:June 3June 10June 17June 24
U. S. Government securities:June 3June 10June 17June 24
Total Reserve bank credit outstand-ing:
June 3June 10June 17June 24
8,143,8, 247, 8733, 227, 3263, 243, 250
5,8515,4036, 5396,189
3,0763,0763,0763,077
30,16630, 06430, 05829, 936
2, 430, 2442, 430, 24"2, 430, 2532, 430, 234
LIABILITIES
Federal Reserve notes in circulation:June 3June 10June 17June 24
Deposits:Member bank—reserve account:
June 3June 10June 17June 24
U. S. Treasurer—general account:June 3June 10June 17June 24
Foreign bank:June 3June 10June 17June 24
Other deposits:June 3June 10June 17June 24
Commitments to make industrial ad-vances:
June 3June 10June 17June 24
Total
2, 489, 0312, 471,1032, 479, 8262,471,743
3, 793,9593, 785,3, 872, 9843,980,018
5, 713, 315" 833,3914, 893, 6675, 307, 954
504, 733516, 404
1,421,457929, 072
53, 60761, 67560, 37856, 258
295, 406243. 94"221, 584195,677
24, 87824, 79824, 67924, 452i
Bos-ton
529, 96;520, 892551,588546, 863
366283871
1, 146
224224224224
2, 9352, 9242, 9202,914
157, 677157, 677157, 677157, 677
161,648161, 369161,191161, 507
345, 653344, 724355, 668364, 498
3,3,3, ___,....3, 064, 655 451, 024
30, 07126, 727109,30561, 581
3, 9614, 5674, 5674, 079
5, 7935, 3371,77'1,624
2,8142,8122,8072. 789
NewYork
445, 439 602, 540 268, 75'268,07
135,98' .201, 443 438, 665 618, 85
186 456, 758 611, 528 285, 310 229, 653
3,5493, 6904. 2993.603
1,0941,0941, 0941, 095
7, 3657,38:7, 3707,360
729, 383729, 383729, 383729, 383
756, 556745, 344752, 789745, 389
270, 245263, 079 2, 678| 43,221,311256, 397
289, 533288, 001
820 260, 0142, 235', 578 273, 310
2, 580, 3552,678,2, 087,
183,098178, 546679, 930499, 278
19, 62422, 48621, 18821, 254
225, 971194,964174,8'156, 807
10, 28510, 24010, 2039,813
Phila-del-phia
413386441556
316316316316
5,1555,1465,1785,162
177,120177,120177,120177,120
186, 600183, 528186, 2If184, 319
3,9333,2201,407
813, 658 300, 434
788, 866 283,778,797,620 291,407 375,151778, 655 283, 220 372, 239
25, 35118, 59758,12930, 861
4,9785,7405, 7405,127
4, 0562, 4373,4751,398
307305305294
Cleve- Rich-land mond
1,851.,528
305, 427 277, 856 228, 823
52
293293293293
1, 7841,7811, 7791,772
218,025218, 025218, 025218, 025
219, 958220, 398220, 749219,419
368, 589372, 239375,151385,979
387, 84,397, 401335, 632357, 716
33, 66238, 22390, 59051, 533
4,9245, 6785,6785,072
4,8482,3023,2992,170
1,4641,4621,4611,462
219, 389'9 215,153
608378147
120120120120
3,7523,7333, 7303,661
116,716116,716116,715116,716
122,576121, 787122, 427122, 086
170, 285172, 825176,678184, 658
173,964173,271156, 695171,647
31, 94229, 48859,51129, 086
2, 3552, 7162, 7162, 426
3, 9362, 3162, 8122,195
2,3682,3422, 3362,334
At-lanta
108108108108
783763761
100, 209100, 209100, 209100, 209
101,101,139100,844103, 734
162,04'160, 910167, 763175, 639
113,874109, 36193, 455111,250
30, 71631, 90154, 73331,877
1,8732,1602,1601,929
4,1004,1794,1393, 704
29'296291290
Chicago
647, 017660, 031676, 523687, 096 251
384384384384
2, 1302,1252,1132,113
321,164321,164321,164321,164
325,160323, 315321, 416323, 074
877,964878, 568889, 783907, 766
, 019, 81,024, 396939, 701989, 769
28, 28731, 884122, 60668, 217
6,2087,1597,1606, 395
4,4142,1724,1452, 179
St.Louis
241,260, 283259, 403
,311
2621011033
87
568564563556
123,200123, 200123,200123, 200
122,625122, 398121,048121, 941
162, 772160,165, 324169, 843
150, 056168, 048140, 719156, 049
32, 83335,71958, 75631, 775
1, 6061, 8521,8521,654
11, 5799,9578,5277, 926
1,8121,8441,8451,826
Min-neap-olis
169,177168, 654163, 554182,310
150976457
61616161
1,4311, 3401,3381, 335
75, 575
241, 648234,136230. 032
I, 588
2942541098'
86868686
993992
1,0231,017
116,84475,578 116,84475,585 116,84475, 565 116, 844
77, 72176, 735
115,351997 114, 790
117, 485120, 765 151
96, 03789, 44081, 920100, 975
23.429', 30431, 12826, 814
1,2841,4811,4811,323
4,7414,5884, 3093, 964
Kan-sas
City
117, 535119,361
78,768 116,15477,289 117,614
143, 755143, 359146, 558
,122
173,082173,018153,084180, 426
23, 94328, 82340, 09929, 313
1, 549l,78r
1,7871, 596
12, 093851479301
44947'406406
Dallas
143,243154, 212159,454161, 214
!43 498, 849507, 474517, 337
214 537,083
465342369404
86868686
1,6711, 6461,6581,655
95, 000 199, 331""" 199,331000 199, 331
199,331
95, 00095,95, 000
96, 096 200, 670
77, 7888 1 , " "85,915
122,137124, "-114, £131,
28, 60136, 02545, 84627, 871
1,5521,7901, 7901, 599
1, 6832,0822,0911, 790
547547541538
SanFran-cisco
1801107533
217217217217
1, 5941,6431,6231,630
95, 268 200, 46194,243 203,""94, 70;
, 982200, 664
77, 374 297, 370297, 905
703 307, 844319, 741
336, 375005 344, 936567 308, 749000 343, 837
32, 75231,16770, 82440, 866
3, 6934, 2594, 2593, 804
12, 19212, 76211, 65611.619
4,3634,3034,3124.529
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
572 FEDERAL RESERVE BULLETIN JULY 1936
INDUSTRIAL ADVANCES AND COMMITMENTS UNDER SECTION 13b OF THE FEDERALRESERVE ACT, JUNE 19, 1934, TO JUNE 24, 1936
[Amounts in thousands of dollars]
Date (last Wednesday ofeach month)
Applicationsreceived to date
Number Amount
Applications rec-ommended forapproval by In-dustrial Advi-sory Commit-tees to date(with and with-out conditions)
Number Amount
Applications approved to date by Federal Reserve banks (with andwithout conditions)
Total
Number Amount
FederalReserve
bankadvances
out-standing
FederalReserve
bankcommit-mentsout-
standing
Approvedbut not
com-pleted i
Expired,repaid,or with-
drawn byappli-cant
Financ-ing insti-tutionpartici-pations
out-standing2
1935—Jan. 30 _.Feb. 27Mar. 27Apr. 24May 29June 26July 31Aug. 28Sept. 25Oct. 30Nov. 27Dec. 31 (Tuesday)
1936—Jan. 29Feb. 20Mar. 25Apr. 29May 27June 24
5,2835,5955,8976,1306,4286,6186,8637,0297,1957,3887,5007,615
7,7147,8317,9348,0468,1138,158
195,710205, 581217, 756225,900245,078263,482271, 768278,022292, 747299, 927302, 331306, 708
311,081315,081319, 595323,669329, 316331, 391
1,3411,4321,5211,6331,7341,8151,9071,9702,0092,0832,1342,176
2,2122,2452,2942,3382,3742,394
73,47076, 57579,49086, 37490,799102,331109, 603112, 629121,837126,192130, 502132, 460
134, 243135,320138,450140,104141, 749142, 811
1,1681,2681,3641,4671,5711,6461,7391,7861,8341,9011,9481,993
2,0232,0492,0972,1392,1622,183
64,51872, 52576,44181,13486, 28288, 778103,633107,244115, 350118, 378121,947124,493
125,810126, 643129,580131,195132,549133, 343
17,49319,16320, 78526, 20626,97727, 51828, 35429, 44730,13232, 71932,63432,493
32,48332,12930,94730,80030,95830, 486
11,73913,96315, 73216,90819,42520, 57923,02226, 314
27,05728,00227, 649
27,00425, 86625,42125, 57625, 09524,452
26,36226, 59123, 55216,95613,85011,24819, 73515,31918, 79113,35713,46611, 548
10,88810, 43411,0089,7309,3439,381
7,16010, 72713, 90017,18521,80224, 90026,91129,55632, 47536, 56538, 95244,025
46, 73650, 63654, 65457, 35159,51261, 422
1,7642,0812,4723,8794,2284,5335,6116,6087,0608,680
8,778
7,5787,5507,7377,6417,598
1 Includes applications approved conditionally by the Federal Reserve banks and under consideration by applicant.2 Does not include financing institution guaranties of advances and commitments made by Federal Reserve banks.NOTE.—On June 24, 1936, there were 60 applications amounting to $8,429,500 under consideration by the Industrial Advisory Committees
and the Federal Reserve banks.
MATURITY DISTRIBUTION OF BILLS AND SECURITIES HELD BY RESERVE BANKS
[In thousands of dollars]
Bills discounted:June 3June 10June 17 _ . _ _ . . . . _June 24 .
Bills bought in open market:June 3 _ _ _..June 10 . . .June 17June 24
Industrial advances:June 3June 10June 17June 24 . .
U.S . Government securities:June 3 .June 10 _ . ._June 17June 24 . . . .
Other securities:June 3June 10June 17June 24 . . . . . . _
Total
5,8515,4036,5396,189
3,0763,0763,0763,077
30,16630,06430, 05829, 936
2, 430, 2442, 430, 2472,430, 2532, 430, 234
181181181181
Within15 days
4,5014,1594,8524,411
501,9351,966
170
1,5131,4911,6711,631
44, 30748, 54133, 51441, 541
16 to 30days
166120684124
1,93416
270270
403360228272
33, 51441, 54134, 97526, 341
31 to 60days
761715586591
482469172599
593770681663
107, 78098, 29857, 28653, 559
61 to 90days
684777
638
610656668
2,038
634458620599
54,41566, 661
123, 242114,972
91 daysto
6 months
354362340425
2,0361,9992,0122,297
342, 726334, 861375, 573390, 248
Over 6months
1
24, 98724,98624, 84624,474
1, 847, 5021, 840, 3451, 805, 6631, 803, 573
181181181181
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 573
MEMBER BANK RESERVE BALANCES, BY CLASSES OF BANKS[Averages of daily figures. In millions of dollars]
Month or week
Total reserves held
Total-allmemberbanks
New YorkCity i
Otherreservecities
"Country'banks
Excess reserves
Total—allmemberbanks 2
New YorkCity i
Otherreservecities
"Country"banks 2
1935—MayJune..July _.August.SeptemberOctoberNovemberDecember
1936—JanuaryFebruaryMarchAprilMays
Week ending (Friday):1936—Apr. 3
Apr. 10Apr. 17Apr. 24
May 1 -May 8May 15May 22May 29
4,7784,9794,9705,2325,2435,4695,7575,7165,780
5, 4205,3005, 638
1,8131,9691,9382,3062,3202,4602,5632,5412,5932,5792,2712,1632,384
2,0312,0922,0721,9892,0232,1012,2532,2392,2092,2312,1712,1812,293
935918960937900908941935978
956961
2,296. 92, 437. 62, 385. 22,635.82,628.02,819. 73,061. 22, 982. 73, 032. 73,037. 82, 653. 32, 509. 72, 800. 4
797.5915.3867.6
1, 214. 21,177. 31, 308. 81,392. 71, 350. 41, 395. 41,360.11,055. 8
939.91, 134. 4
5,0845,1505,2835,408
5,4735, 5155,6085, 6935,739
2,1622,1272,1332,169
2,2252,2532,3752,4442,461
2,0052,0852,1922,272
2,2752,2562,2912,2982,329
917938957967
9731,005943952
2, 325. 02, 393. 02, 501. 02, 613.0
2, 656. 02, 679. 02, 774. 02,858. 02,896. 0
944.1910.7913.2945.0
991.81,007.11,130. 01,197.11, 204. 6
1,038. 41.079.01,037. 5
956.4979.5
1,035. 21.162.11,133.11,090. 41,110. 51,054. 21, 058. 31,154. 8
904.7971.9
1,064. 51.138. 5
1.139. 51,122. 71,151.51,158. 91,187. 6
461.0443.4480.1465.3471.2475.7506.4499.2547.0567.3543.3511.5511.2
476.0510.0523.0530.0
525.0549.0493.0502.0504.0
1 Central reserve city banks only.2 Weekly figures of excess reserves of all member banks and of country banks are estimates.3 For total reserves and estimated excess reserves of all member banks during the following month, see table on p. 569.Back figures.—See Annual Report for 1934 (table 67).
MEMBER BANK RESERVE BALANCES, BY DISTRICTS[Averages of daily figures. In millions of dollars]
1935—MayJ u n e - . . . - . _JulyAugust - _SeptemberOctoberNovember. _December
1936—January _-.FebruaryMarchAprilMay
1935— May . .JuneJulyAugust _ .SeptemberOctoberNovemberDecember
1936—JanuaryFebruary. -MarchAprilMav - _
Boston
Total
296.6291.3303.2296.4305.8303. 5318.8336. 5
375.8368.5324.3299. 6283. 1
Excess
161.2154.4162.0157.9167.5164.7179.9196.0
234.1225.4179.9153.8137.3
Chicago
Total
893.3950.1868. 0778.6742.9784.0880.0880.4
793.9802.5773.7778.0918.3
Excess
549.8596 5504.2419.7388.5423.0504.7502.9
412.3414.5390.0403.0525.7
New
Total
2,031.02,169. 72,148. 42, 507. 22, 518.12, 655. 72, 769. 52, 756. 4
2, 823.12, 821. 52, 495. 32, 392.12, 625. 3
York
Excess
896.3997.0956.5
1, 294. 41, 261. 21, 389.11, 483. 01, 448. 9
1, 509. 01, 486. 41,163. 41, 049. 61, 254. 5
St. Louis
Total
111.9137 9157.6144.6147.4163.8168.9165.0
157.8165.6150.0142.0141.9
Excess
41.567.886.274.377.792.495.890.9
83.491.576.768.167.5
Philadelphia
Total
221.3226. 6225.8232.3242.5262.1268.6266.3
294.3283.2295.2292.5275.6
Excess
89.891.488.495.9
106.9123.2128.7124.1
149.3137.8149.4143.9127.5
Minneapolis
Total
101.6113.0118.3115.1104.9106.0108.2104.2
110.5121.9116.182.485.8
Excess
54.163.668.767.960.759.060.355.8
62.474.269.335.839.5
Cleveland
Total
320.3299.8309.3316.1330.2327.8358. 8335.8
339.3349.9355.9379.3369.9
Excess
162.3139. 0147.0153. 3171.7170.4198.3172.9
176. 7187.2
• 190.8208.6199.7
Kansas City
Total
186.4181.9181.0173.8172.8170.5171.0171.8
175.8175.4168.1162.4173.0
Excess
100. 393.292.387.390.287.488.189.6
95.596.488.681.090.0
Richmond
Total
149.6144.3151.3156.9159.5163.2169.1170.0
170.2176.8193.8180.5178.7
Excess
76 270.576.781.987.489.194.093.6
92.799.1
118.1105. 4102.2
Dallas
Total
107.6109.0118.2120.8106.7107.3116.5119.5
128.4127.9128.8124.5122.0
Excess
50.651.659.861.051.751.059.462.4
71.172.072.067.064.8
Atlanta
Total
84.286.5
104.3101.7102.8104.7109.1108.3
111.6120.6118.9112.8107. 0
Excess
26 429.047.144.546.145.948.945.9
48.958.956.348.041.4
San Francisco
Total
274.0268.7284.9288.7309.2319.9318.7301.4
299.0294.3300.3354.2357.9
Excess
88.683.696.397.8
118.3124. 3120.099.8
97.294.698.6
145.4150.1
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
574 FEDERAL RESERVE BULLETIN JULY 1936
KINDS OF MONEY IN CIRCULATION[Outside Treasury and Federal Reserve banks. In millions of dollars]
End of month
1935—JuneJulyAugustSeptember _ _._ _ .OctoberNovemberDecember _ _._
1936—JanuaryFebruarv - ___ . . .March _ .__AprilMay _ _ _ _ _ _ _ _June?
Total
5,5685,5185,6295,6835,7135,8465,882
5,7375,8465,8775, 8865, 953(>. 241
Goldcertifi-cates
117115114112111110109
107106104103102101
Silverdollars
32323333333434
333434343435
Silvercertifi-cates
701702739756773812828
809841864886914955
Treas-ury
notesof 1890
1111111
111111
Subsid-iary
silver
297298298302306309312
303304307309312316
Minorcoin
125125126127128130131
129129131132133135
UnitedStatesnotes
285280283286281284275
259254245249265278
FederalReserve
notes
3,2233,2323,3623,4393,4953,6123,667
3,5983,6963,7273,7263, 7604,002
FederalReserve
banknotes
81787573706866
636058565452
Na-tionalbanknotes
704654596553514487458
436421406391378366
v Preliminary. Back figures.—See Annual Report for 1934 (table 49).
PAPER CURRENCY OF EACH DENOMINATION IN CIRCULATION[Outside Treasury and Federal Reserve banks. In millions of dollars]
End of month
1935—MayJune _JulyAugust .September.OctoberNovember _December
1936—JanuaryFebruaryMarch _April _ __Mav
Total*
5,0875,1145,0635,1725,2205,2455,3745,404
5,2725,3795,4055,4115,473
$1
420419415424433435448460
434434439442451
$2
3232313232323233
3232323132
$5
760760755778788787815815
782802804804820
$10
1,2901, 2961,2731,3241,3341,3371,3801,373
1,3331,3731,3781,3791,402
$20
1,3091,3091,2891,3131,3211,3291,3541,359
1,3321,3601, 3611, 3601, 369
$50
343349344347349354356358
355361362360
$100
588598596598603610617627
627633641643648
$500
115116116116118119120122
122123125126127
$1,000
225225231233232233234239
240243247249245
$5,000
66777777
8777
$10,000
98
101114141516
1718171919
Unas-sorted 2
1154
11121156
889
1011
'Total of amounts shown by denominations less unassorted amounts in Treasury and Federal Reserve banks.2 Includes $1,000,000 of currency of unknown denominations reported by the Treasury as destroyed.
Back figures.—See Annual Report for 1934 (table 50).
TREASURY CURRENCY OUTSTANDING[Held by Treasury and Federal Reserve banks and in circulation. In
millions of dollars]
End of month
1935_ju n e
July.. .AugustSeptember.OctoberNovember.December..
1936—JanuaryFebruary _ _MarchAprilM a yJune?
Total
2,5062,5102,3982,3862,4002,4382,476
2,4932,4992,5042, 5002,4902.498
Silverdollars
andsilver
bul-lion1
859884905940997
1,0661,124
1,1721,1971,2181,2301,2361.255
Sub-sid-iary
silver
313315316317320322328
328328329330330332
Minorcoin
133134134134134135136
137137137138138139
u mieoStatesnotes
347347347347347347347
347347347347347347
Fed-eralRe-
servebanknotes
84817875727068
646259575553
Na-tionalbanknotes
769750619573530499473
446429413398384372
p Preliminary.i Includes silver held against silver certificates amounting to $1,134,000,-
000 on June 30, 1936.
SHIPMENTS AND RECEIPTS OF UNITEDSTATES PAPER CURRENCY
[By selected banks in New York City. In thousands of dollars]
Month
1935—JuneJulyAugustSeptember.October.. _November.December.
1936—January. __February..MarchAprilMayJune
Ship-ments toEurope
191286282721
2,5364,203
603
74813
1,7573,0953,8523,037
Receiptsfrom
Europe
1,4512,2612,2891,157
864782851
2,7433,3173,109
9381,6851,164
Netreceipts
1,2601,9752,007
43611, 6721 3 , 421
248
1,9953,3041,352
*2,157i 2,16711,873
1 Net shipments.For description and back figures see BULLETIN for January 1932,
pp. 7-9.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 575
GOLD STOCK AND GOLD MOVEMENTS IN THE UNITED STATES
ANALYSIS OF CHANGES IN MONETARYSTOCK
[In millions of dollars]
Year or month
193219331934
1935—JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptember _OctoberNovemberDecember
Year
1936—JanuaryFebruaryMarchApril _..MayJune - -_
Goldstockat end
ofyear ormonth
4,2264,0368,238
8,3918,5278,5678,7108,8589,1169,1449,2039,3689,6939,920
10,125
10,125
10,18210,16710,18410, 225
c 10,402P10, 608
c Corrected,p Preliminary.
Increasein goldstock
52.9-190. 44,202. 5
153.3135.340.4
143.4148.1257.127.959.5
165.0325.2226.7205.2
1,887. 2
57.2-15 .5
17.241.0
C176. 7P206. 5
Netgold
import
-446. 2-173. 51,133. 9
149.4122.8
13.0148.6140.0230.4
16.246.0
156.7315.3210.6190.0
1, 739.0
45.6-16.6
5.528.1
170.0277.8
Netreleasefromear-
mark1
457.5-58.0
82.6
1.1. 2
- . 7- 2 . 3- 1 . 5
1.0- . 41.81.0
- 1 . 9.6
1.3
.2
- 1 . 7- 9 . 5
1.0- . 2
- 3 . 2-24.8
GOLD
Otherfactors2
41.641.1
2,9.86.1
2.812.328.1
-2 .99.6
25.812.111.77.3
11.815.513.9
148.0
13.310.610.713.1
'10.0P - 4 6 . 5
i Gold released from earmark at Federal Reserve banks less goldplaced under earmark (with allowance when necessary for changes ingold earmarked abroad for account of Federal Reserve banks).
2 Figures are derived from preceding columns and indicate net resultof such factors as domestic production, movements into and out ofnonmonetary use, imports and exports that do not affect gold stockduring the month or year, and increment resulting from reduction inweight of gold dollar.
Back figures.—See Annual Report for 1934 (table 44).
MOVEMENT OF GOLD TO ANDUNITED STATES 1
[In thousands of dollars]
From or to—
BelgiumEngland _France __ _GermanyNetherlands __SwitzerlandUnion of Soviet
Socialist Re-publics
CanadaCentral AmericaMexicoArgentina. _. _ -ChileColombiaEcuadorPeru __UruguayVenezuelaAustraliaBritish TndiaChina and Hong
KongDutch East Indies-JapanPhilippine Islands,All other countries2.
Total
FROM[
1936
June
Im-ports
23,717
202 983
38 811
2 571552219
H 5874
3142, 104
371190
42 511r; Q47
603
2, 124237
277, 851
Ex-ports
72
I
3
77
May
Im-ports
4,003133 157
28 751
1 0431 700
3584 322
3032,100
501239
561 0299 720
847
1 73590
169, 957
Ex-ports
5
5
January-June
Im-ports
215, 359
341 2317
47 563
8 33126 212
1 84822 138
93,8597, 6892,2451,486
24811 25932 508
3 751
9 9091, 028
536, 692
Ex-ports
5,11417 180
3 765
38325
26, 423
i Figures represent customs valuations which, with some exceptions,are at rate of $35 a fine ounce.
2 Includes all movements of unreported origin or destination.
Back figures—See table, p. 600, and Annual Report for 1934 (tables 46and 47).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
576 FEDERAL RESERVE BULLETIN JULY 1936
ALL BANKS IN THE UNITED STATES[Comprises all national banks in the continental United States and all State commercial banks, trust companies, mutual and stock savings banks
and such private and industrial banks as are included in abstracts issued by State banking departments. Also includes, during the periodJune 1934-June 1935, private banks which, pursuant to the provisions of sec. 21 (a) of the Banking Act of 1933, submitted condition reports tothe Comptroller of the Currency. Under the amended provisions of Sec. 21 (a) private banks no longer report to the Comptroller of the Cur-rency. For comparative figures of private banks included in the figures from June 1934 to December 1935, see Federal Reserve Bulletin forDecember 1935, p. 883, and May 1936, p. 398.]
NUMBER OF BANKS
Call date
1931—Sept. 29Dec. 31
1932—June 30Sept. 30Dec. 31
1933—June 30 2Oct 25 3
Dec. 30
1934—Mar 5 3
June 30Oct 17 3
Dec. 31
1935—Mar. 4June 29Nov. 1Dec. 31
1936—Mar. 4
Total
21, 29419,966
19, 04618, 79418,390
14, 519
15,011
15, 835
16,039
16,02415,99415, 90415,836
15, 808
Member banks
Total
7,5997,246
6,9806,9046,816
5,6065,8186,011
6,2066, 3756,4336,442
6,4226,4106,4006,387
6,377
Na-tional
6,6536,368
6,1456,0806,011
4,8975, 0525,154
5,2885,4175,4615,462
5,4465,4255,4035,386
5, 375
State
946878
835824805
709766857
918958972980
976985997
1,001
1,002
Nonmemberbanks
Mutualsavingsbanks
1 600597
5941 594
594
576
579
578
579
579571571570
569
Othernon-mem-ber
banks
13,09512,123
11,47211,29610, 980
8,337
8,421
8,882
9,018
9,0239,0138,9338,879
8, 862
For footnotes see table below.
DEPOSITS, EXCLUSIVE OF INTERBANKDEPOSITS
[In millions of dollars]
Call date
1931—Sept. 29 _Dec. 31
1932—June 30Sept. 30 .Dec. 31
1933—June 30 2Oct. 25 3Dec. 30
1934_Mar. 5 3June 30 __Oct. 17 3Dec. 31
1935—Mar. 4June 29Nov. 1Dec. 31
1936—Mar. 4
All banks
49,15245, 821
41,96341,94241, 643
37, 998
38, 505
41,870
44, 770
44, 45545, 76647, 52248,964
48, 771
Memberbanks
29,46927, 432
24,75524, 90324, 803
23, 33823, 453
4 23, 771
25,29326, 61527, 48428, 943
28, 58929,49631,07232,159
31, 774
Nonmember banks
Mutualsavingsbanks
1 10,01710,105
10,0201 10,020
10,022
9,713
9,708
9,780
9,828
9,8379,9209,9369,963
9,972
Othernonmem-ber banks
9,6668,284
7,1887,0206, 818
4,946
5,026
5,475
6,000
6,0296,3506,5136,842
7,025
For footnotes see table below.
LOANS AND LWESTMENTS[In millions of dollars]
Call date
1931—Sept. 29Dec. 31
1932—June 30Sept. 30Dec. 31
1933—June 30 2Oct. 25 3Dec. 30
1934—Mar. 5 3
June 30Oct. 17 3Dec. 31
1935—Mar. 4June 29Nov. l._Dec. 31
1936—Mar. 4
All banks
Total
53,36549, 704
46,07145, 85244, 946
40,076
40, 319
42, 502
43, 458
43, 74744, 41645,008
'45, 715
46, 157
Loans
33, 75031,305
27, 83426, 98526,063
22,203
21, 977
21,278
20, 473
20, 39420, 27220,14020, 329
20, 275
Invest-ments
19, 61518,399
18, 23718, 86718,883
17, 872
18,342
21, 224
22,984
23, 35324,14524, 868
r25, 386
25, 882
Member banks
Total
33, 07330, 575
28,00128,04527,469
24, 78624, 95325, 220
26, 54827,17527, 55928,150
28, 27128, 78529, 30129, 985
30, 288
Loans
20,87419, 261
16,58715,92415,204
12,85813,05912, 833
12, 70612, 52312, 29312,028
11, 95311, 92811,84112,175
12, 099
Invest-ments
12,19911,314
11,41412,12112, 265
11,92811, 89412,386
13, 84214, 65215,26716,122
16,31816,85717, 46017, 810
18,189
Nonmember banks
Mutual savings banks
Total
1 10,50610, 488
10,3161 10,316
10,182
10,044
9,985
9,904
9,782
9,7759,8529,8549,804
9, 795
Loans
1 6,1696,218
6,1301 6,130
6,079
5,941
5,906
5,648
5,491
5,4785,3415,3025,210
5,202
Invest-ments
1 4,3374,270
4,1861 4,186
4,103
4,103
4,079
4,256
4,291
4,2974,5114, 5524,594
4,592
Other nonmember banks
Total
9,7868,641
7,7557,4917,295
5,246
5,115
5,423
5,526
5,7015,7795, 853
'5,927
6,074
Loans
6,7075,827
5,1174, 9314,780
3,404
3,238
3,108
2,955
2,9633,0032, 9972,944
2,971
Invest-ments
3,0792,814
2,6372,5602,515
1,841
1,877
2,315
2,571
2,7382,7772,856
'2,983
3,100
r Revised.1 Figures of preceding call carried forward.2 Beginning June 30,1933, all figures (other than for mutal savings banks) relate to licensed banks only, with some exceptions as to nonmember
banks.3 Nonmember bank figures not available. •4 Prior to Dec. 30, 1933, member-bank figures include interbank deposits not subject to immediate withdrawal, which aggregated $103,000,000
on that date.Back figures—See Annual Report for 1934 (tables 60 and 61).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 577
ALL MEMBER BANKS—LOANS AND INVESTMENTS[In millions of dollars]
Call date
Totalloansand
invest-ments
Loans to customers (except banks)
Total
Tobro-kersout-sideNewYorkCityi
Toothers
onsecuri-
ties
Realestateloans
Re-port-ing
banks'own
accept-ances
Other-wise
se-curedand
unse-cured
Loansto
banks Ac-cept-ancespay-
able inUnitedStates
Open-market loans
Purchased paper
Billspay-able
abroad
Com-mer-cial
paperbought
Loansto
bro-kers in
NewYorkCity*
Investments
Total
U.S. Govern-ment obliga-
tions
Direct
6,8876,8017, 2.548, 6679,1379,1869,9069,8219,871
10, 080L0, 50110, 564
2,5512,3202,3622,7683,0532,9543,2463,2003,4623,3403,4253,602
2,8672,8893,2093,9544,1024,2404,5514,6014,4784,8655,1365,090
1,4691,5921,6831,9461,9821,9922,1082,0201,9311,8741,9401,873
Fullyguar-
anteed
1813 276
709989
1,2001, 5581,7641,7681,880
1053 157
237278298348405401505
753 94257356453658751744745
3 25215355448553609623630
Othersecuri-
ties
TOTAL—ALL MEM-BER BANKS
1933-June30 2Oct. 25Dec. 30
1934—Mar. 5June 30Oct. 17Dec. 31
1935—Mar. 4June 29Nov. 1Dec. 31
1936-Mar. 4
NEW YORK CITY 4
1933—June 30 2Oct. 25Dec. 30
1934—Mar. 5June 30Oct. 17Dec. 31
1935—Mar. 4June29.__.__Nov. 1Dec. 31
1936—Mar. 4
OTHER RESERVECITIES
1933—June 30 2
Oct. 25Dec. 30
1934—Mar. 5June 30Oct. 17Dec. 31
1935—Mar. 4June 29Nov. 1Dec. 31
1936—Mar. 4
COUNTRY BANKS
1933—June 30 2Oct. 25Dec. 30
1934—Mar. 5June 30Oct. 17Dec. 31
1935-Mar. 4June 29Nov. 1Dec. 31
1936—Mar. 4.
24, 78624, 95325, 22026, 54827,17527, 55928,15028, 27128, 78529, 30129,98530,288
7,1336,9716,9957,3517, 6667,5457, 7617,7838, 3038,1678, 4188,802
9,7809,95110,15710,81611,05411,36711, 60911,73911,74312,31312, 64712, 601
7,8738,0318,0688,3818,4568,6498,7808,7498,7398,8218,9198,885
11,33711, 52311,31511,09310,80410, 78210,50910,42010,36910,46510,54810,460
2,2972,4362,3952,3212,2022,2942,2022,1982,1462,1852,1962,215
4,8464,9124,7974,6694,5864,5624,4594,4364,4254, 5224,5994, 527
4,1944,1754,1234,1034,0163,9263,8493,7863,7983,7583,7543,716
165178
208167187184192179196
111117106101138102118113120107123132
3,7523, 6313,6063,4803,3093,1583,1103,0312,9312,8852,8932,832
1,044985989938882826820805783775793792
1,5901,5421,5241,4651,3881,3191,2941,2611,2161,2091,2061,174
1,1171,1041,0921,0771,0391,012996966932902894865
2,3722,3642,3592,3822,3572,2972, 2732,2502,2772,2792, 2842,301
157149148156156150139139138136140148
1,1601,1441,1511,1581,1451,1201,1081,0931,1201,117, 109
no
, 055,070,061,068,056,026,026,018,020,026
1,0351,043
192257213250210229232207135159169156
12017913017114415916414582101107
4,8575,0924,9724,8174,7214,9324,7084, 7484,8344,9635,0064,960
9371,0751,0841,009965
1,1081,0241,0541,0851,1141, 0961,112
1,9152,0331,9371,8701,8531,9561,8731,9091,9172,0342,1002,056
2,0051,9841,9521,9371,9031,8681,8101,7851,8311,8151,8101,791
330297287225153149155133119949882
1621431461126866635248354229
129120103795355655650403936
291303223350264276256235201154181164
224233170276225232210203183135158141
87164132157200253232255247260272280
51917889115151135142126124132130
27463454729592109116132135145
748840855
1,082802843875975841
1,0471,089
720624706687883631662678930828
1,0181,043
58100
138154123
31
11,92811,89412,38613, 84214, 65215,26716,12216,31816,85717, 46017,81018,189
3,7093,5013,5423, 9324,2654,3004,6024,6284,9834,9684,9855,355
4,6214,6455,0005,7636,1046,4236,7646,9337,0937,5897,8247,845
3,5983,7483,8454,1484, 2834,5454,7564,7574,7804,9035,0024,989
5,0415,0935,1324,995
3 5, 2395,3725,2275,2985,4275,6155,5415,745
1,1581,1811,1791,059
' 1, 0561,1091,0781,1311,1741,2231,1591,248
1,7541,7571,7901,734
3 1,9081,9261,8571,8781,9571,9731,9442,011
2,1292,1562,1622,202
3 2, 2762,3372,2932,2892,2962,4192,4392,486
1 Loans (secured by stocks and bonds) to brokers and dealers in securities.2 Beginning June 30, 1933, figures relate to licensed banks only.3 An estimated small amount of Home Owners' Loan Corporation bonds fully guaranteed by the United States Government is included in
"Other securities" on this date.4 Central Reserve city banks.
Back figures.—See BULLETIN for November 1935, pp. 722 and 723, or reprint, which may be obtained from Division of Research and Statistics.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
578 FEDERAL RESERVE BULLETIN JULY 1936
ALL MEMBER BANKS—RESERVES, DEPOSITS, AND BORROWINGS[In millions of dollars]
Call date
TOTAL—ALL MEM-BER BANKS
1933—June 30«Oct. 25Dec. 30
1934—Mar. 5June 30Oct. 17. . . .Dec. 31
1935—Mar. 4June 29Nov. 1Dec. 31
1936—Mar. 4 . . . .
NEW YORK CITY 6
1933—June 30 B._Oct. 25Dec. 30.. .
1934—Mar. 5June 30Oct. 17Dec. 31
1935—Mar. 4June 29Nov. 1Dec 31
1936—Mar. 4
OTHER RESERVECITIES
1933—June 30 sOct. 25Dec. 30. _
1934—Mar. 5June 30Oct. 17Dec. 31
1935—Mar. 4June 29Nov. 1Dec 31
1936—Mar. 4
COUNTRY BANKS
1933—June 30 5
Oct. 25. . .Dec. 30
1934—Mar. 5June 30Oct. 17 _Dec. 31
1935—Mar. 4 . .June 29.._ .Nov. 1_Dec. 31 . .
1936— Mar. 4
Re-serveswithFed-eralRe-
servebanks
2,2352,6512,6783,1483,8193,9764,0824,5184,9335,6625 5735,784
846968903
1 1701 4171,4431 5761,8561 9352,5902,5412 493
9371,1541,2021 2931 6331,6851,6831 7462,0792 1722,1052,274
452529573685769848822916920900927
1,017
Cashin
vault
405447471486473550609534537541665624
464247676464865851546557
156172198189194228247231250251295298
203232225230216258275246236237305268
Bal-anceswithdo-
mes-tic
banks1
2,0081,9172,0312,3762,7602,9293,1493,3863,3963,7603,7763,970
1019093919784
10386
133109111108
1,2051,1421,1691 3331 5591,5901,7501,8731,8562 0381 9892,106
702685769951
1,1051,2571,2961,4271,4061,6131,6761,757
Cashitems
report-ed as
inproc-ess
of col-lec-
tion 2
1,4851,0601,1321,1591,0571,4071,9031,4751,1831,7562,2551,718
874553476631415666
1 069810447873
1 133829
462389484393468552627502544662887703
149118172135174189207163192221235187
Demand deposits
Interbank
Do-mes-tic
banks
3,0572,9903,1393,6764,0704,4664,5695,0954,9785,5585,6966,148
1,2551,2151,2001 4021 5911,6891,7982,0471,9832,2032 3382 527
1,5751,5451,6851 9932 1782,4312,4292,6842,6492 9552 9433,188
228230254281300345342364347399415433
For-eign
banks
145117129173155136147169273361444394
127100112154135116126147248327410363
171617181819192224323329
111111211211
Unit-ed
StatesGov-ern-
ment
806918967
1,7901,6581,1431,6361,270
779650844600
332379422843802559792572369219224140
356425434766682458666546319335483366
1161141111811741251781529095
13793
Pub-lic
runds
1,0871,1061,3201,4251,5981,6801,7991,8612,0912,2512,1392,173
9671
141109167201229190354468323260
437455557613700692767826872889915949
555579622702731787804845865895901965
Certi-fiedandoffi-cers'
checks,cash
lettersof
credit,etc.*
657465378549372590838741417686882779
461299167368154360540500149413524496
12498
126107132132193151164167231177
726885748598
10690
104106127106
Indi-vid-uals,part-ner-
ships,cor-
pora-tions,etc.
11,83011,87312,10912, 25213, 34914, 44914,95114,87216, 20617,32718,03517,927
4,6764,5134,4944 4224,8945,1075,3705,3295,9246,1046 4796,471
4,5784,7274,8224 8235 3055,8715,9925,9016,5227 1287 3027,204
2,5762,6332,7933,0073,1503,4723,5893,6423,7614,0954,2544,252
De-manddepos-its ad-justed 4
12,08912,38412, 67413,06614, 26115,31215, 68615, 99917, 53018, 50918, 80119,161
4,3584,3304,3254 2684,8005,0015,0695,2095,9796,1126 1936 398
4,6774,8925,0215 1505 6706,1436,3246, 3767,0137 5237 5627,628
3,0543,1623,3283,6483,7924,1684,2924,4144,5384,8755,0475,136
Time deposits
Interbank
Do-mes-tic
banks
89878392
122135134145136132151152
2211
1111
59747280
106117117128119115134135
71210111517161716171617
For-eign
banks
167784785655
156773774444
1
111
1111
Pub-lic
funds
300270301305333294294290285310361344
410141312
8446
131211
209172204206234199206211203218266251
868783878787847576788382
Pos-tal
sav-ings
788781778755585472452399307227218167
1101061071056965564427
33
394382371349260197187167118847972
28529330030125621021018816214013695
Indi-vid-uals,part-ner-
ships,cor-
pora-tions,etc.
7,8037,9717,9578,2588,7638,9169,0209,2039,4629,6719,6809,784
671680620600649623591595567680591586
3,2993,3393,3643,4953,7273,7933,8753,9854,1394,1684,2104,260
3,8333,9533,9734,1634,3884,5004,5544,6234,7564,8244,8794,938
Bor-row-ings
1911881439135241317996
11
831
5
7
2
1
2
1621168
1
1
1671361238335171314
9868
1 Prior to Dec. 31, 1935, excludes balances with private banks to the extent that such balances were reported in "Other assets." Since Oct. 25,1933, includes time balances with domestic banks which on that date amounted to $69,000,000 and which prior to that time were reported in"Other assets."
1 Does not include cash items in process of collection repDrted in balances with domestic banks. Prior to Dec. 31, 1935, includes cash items onhand but not in process of collection, amounting on that date to $16,030,000.
3 Includes "Due to Federal Reserve banks (transit account)", known as "Due to Federal Reserve banks (deferred credits)" prior to Dec. 31,1935.
4 Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection and, prior to Dec. 31, 1935,less cash items reported on hand but not in process of collection.
5 Beginning June 1933 figures relate to licensed banks only.6 Central reserve city banks.
Back figures.—Se9 BULLETIN for November 1935, pp. 72i-726, or reprint, which may ba obtained from Division of Research and Statistics.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 579
REPORTING MEMBER BANKS IN 101 LEADING CITIES[Monthly data are averages of weekly figures. In millions of dollars]
Date or month
Totalloansand
invest-ments
Loans to customers (except banks)
Total
Tobro-kersout-sideNewYorkCity*
Tootherson se-curi-ties
Real-estateloans
Otherloans
tocusto-mers2
Loansto
banks
Open-marketloans
Ac-cept-ancesandcom-mer-cial
paperbought
Loansto bro-kers inNewYorkCityi
Investments
Total
U. S. Govern-ment obliga-
tions
DirectFullyguar-
anteed
Othersecuri-
ties
Re-servewithFed-eralRe-
servebanks
Cashin
vault
Bal-anceswith
domes-tic
banks3
TOTAL—101 CITIES
1935—June1936— February
MarchAprilMayJune
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
NEW YORK CITY
1935—June1936—February
MarchAprilMayJune
Apr. 1Apr. 8Apr. 15_. ._Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
OUTSIDE NEW YORKCITY
1935—June1936—February
MarehAprilMayJune
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
19,88721,05321, 44521, 74521.83222, 373
21, 62121,73121, 79621, 78321, 79521, 89721,82021, 79921,81422,14822,16322, 65922, 520
7,7038,0618,3918,5478,5858,987
8,5338,5148,5568,5618,5718,6358,5508,5618.5958,9598,9179,075
12,18412, 99213, 05413, 19813. 24713, 386
13,08813,21713, 24013,22213, 22413, 26213, 27013, 23813, 21913,18913, 24613, 58413, 522
6,7206,6596,8106, 9326,9677,050
6,9626, 9626,9296,910
6,9506,9536,9956,9727,0657,0597,0627,011
2,0822,0252,0892,1212,1412,178
2,1202,1482,1182,1172,1012,1342,1332,1592,1402,1842,1792,1822,169
4,6384,6344,7214,8114,8264,872
4,8424,8144,8114,7934,7974,8164,8204,8364,8324,8814,8804,8804,842
196215
238
213219214209212208213214238232244237
113113133148140164
157146152147141142137141140165159168162
2,1172,0562,0762,0772,0782,096
2,1032,0982,0622,0592,0632.0832,0802,0792,0702,0942,0962,1002,094
733734750747750762
758763737740739754750750748756761767765
1,3841,3221,3261,3301,3281,334
1,3451,3351,3251,3191,3241,3291,3301,3291,3221, 3381,3351, 3331, 329
,151,143.,147,141,146,149
,144,143,140,140,141,146,146,147,146,1471,1481,1501,149
127130135132133133
134134131131130133133133133133133133133
1,0241,0131,0121,0091,0131,016
1,0101,0091,0091,0091,0111,0131,0131,0141,0131,0141, 0151,0171,016
3,2803,2863,3913,4993.5313,567
3,4953,5083,5083,4973,4853.5093,5193,5563, 5423,5863,5833,5683,531
1,1631,1001,1411,1751,1861,209
1,1651,1841,1831,1791,1641,1771,1791,2041,1851,2221,2121,2061,196
2,1172,1862,2502,3242,3452,358
2,3302,3242,3252,3182.3212, 3322,3402,3522,3572,3642,3712,3622,335
1146973708292
7066626710110062659210710665
350352345351333319
352353352351346341336332322315318319324
165161158164144
168165163163159153145141134128132130139
185191187187189187
184188189188187188190191188187186189185
844901995
1,008973
1,074
990984
1,0231,0091,0321,020969964940
1,1541,0931, 051996
873960967928
1,027
956944
978922918894
1,1031,0421,008955
11,85913,07213,22213, 38413, 47713, 838
13, 22913,36213, 42613, 45113, 45213, 48513, 46213,44613,51513, 52213, 58614,12114,124
4,5904,9695,1455,2595,3245,591
5,2375,2225, 2645,2845,2895,3025,2825,3145,3965, 4875, 4905,6835,704
7, 2698,1038,0778,1258,1538,247
7,9928,1408,1628,1678,1638,1838.1808,1328,1198,0358,0968,4388,420
7,9108,7088,7378, 7678,8779,202
8, 6438,7918,7968,8058,8028,8478,872
8,920
8,9759,4499, 474
3,2993,4303,4793,5113,6473,896
3,4853,4993,5063,5233, 5453,5813,6183,6553,7343,8093,8143, 9544,007
4,6115,2785,2585, 2565,2305,306
5,1585,2925,2905,2825,2575,2665,2545,2135,1865,1005,1615,4955,467
9431,1941,2471, 2731,2861,303
1,2651,2671,2761,2771,2811,2781,2891, 2851.2901, 3051,3031,3021,302
311434519551545561
550549559549548542548543546557563564559
760
741
715718717
733736
744748
738743
3, 0063,1703,2383, 3443.3143,333
3,3213, 3043, 3543,3693, 3693,3603,301•3, 2933,3053,3083,3083,3703,348
1,1051,1471,1971,1321,134
1,2021,1741,1991,2121,1961,1791,1161,1161,1161,1211,1131,1651,138
2,0262,0652,0912,1472,1822,199
2,1192,1302,1552,1572,1732,1812,1852,1772,1892,1872,1952,2052,210
4,0414,7824,3634,1804,5774,389
3,8664,0524,2164,3484, 4164, 4584,5374,6234,6904, 5944,7443,9374, 282
1,8922,4842,1381,9682,2342,049
1,8921,9101,9722,0092,0562,1192,2122,2942,3132,1632,3351,7911, 906
2,1492,2982,2252,2122,3432,340
1,9742,1422,2442,3392,3602,3392,3252,3292,3772,4312,4092,1462,376
318356366370378387
356375365372382370383369389369386389403
274305315319326334
308324315321327320330318334318334337348
2,0182,3352,3342,2622,2832,290
2,1982,2342,3162,3102,2522,2422,2502,3192,3192,3632,3592,2012,235
797977797476
86778376748171717376747876
1,9392,2562,2572,1832,2092,214
2,1122,1572,2332,2342,1782,1612,1792,2482,2462,2872,2852,1232,169
»• Revised.
1 Loans (secured by stocks and bonds) to brokers and dealers in securities.2 Includes reporting banks' own acceptances.3 Figures reported prior to 1936 excluded a certain amount of time balances and balances with private banks; the amount excluded on Dec. 31,
1935, was approximately $38,000,000 at all weekly reporting member banks.
For other figures and note, see next page.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
580 FEDERAL RESERVE BULLETIN JULY 1936
REPORTING MEMBER BANKS IN 101 LEADING CITIES—Continued[Monthly data are averages of weekly figures. In millions of dollars]
Date or month
Cashitems
report-ed as
in proc-ess ofcollec-tion i
Otherassets
Totalassets
Totalliabil-ities
Demand deposits
Interbank
Domes-tic
banksForeignbanks
UnitedStates
Govern-ment
Certi-checks,
etc.Other
De-manddepos-its—ad-justed 2
Time deposits
Interbank
Do-mesticbanks
For-eign
banks
Other
Bor-row-ings
Otherliabil-ities
Capi-tal ac-count
TOTAL—101 CITIES
1935—June1936—February
MarchAprilMayJune
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
NEW YORK CITY
1935—June1936—February
MarchAprilMayJune
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
OUTSIDE NEW YORKCITY
1935—June1936—February
MarchAprilMayJune
Apr. 1Apr. 8Apr. 15Apr. 22Apr. 29May 6May 13May 20May 27June 3June 10June 17June 24
1,1321,2771,413'., 526,269,385
,744,263,850, 346,428,283,341,241,210,479,255,535,272
583627737789565650
978567
1,036623741608573550528716570744571
549650676737704735
696814723687675768691682763685791701
,407,337,334,354,376.,371
,353,335,344,345,393,383,379,363
1,3791,3891,3951,3581,344
533472465478494496
485467472471495505502482485504510495476
874865
882875
872874898878877881894885885863858
28, 80331,14031, 25531,43731,71532,195
31,13830,99031,88731, 50431,66631, 63331,71031, 71431,80132, 34232, 30232, 07932,056
10,83411,77411,85911,91212, 00412,311
12,02211, 58612,16911, 79111,99211, 99811, 96112,00912,04912, 46912, 45812, 23512, 082
17, 96919,36619, 39619, 52519,71119, 884
19,11619, 40419, 71819, 71319, 67419, 63519, 74919, 70519, 75219, 87319, 84419, 84419, 974
4,6275,5125,5165,3515,3465,371
5,2975,2925,4875,3795,2995,3615,3605,3445.3175,4535,5005,2175,315
1,8
2,3432,2922,3032,310
2,2332,2402,3762,3172,2932,2912,3182,3232,2782,3262,4082,2422,263
2,7293,1763,1733,0593,0433,061
3,0643,0523,1113,0623,0063,0703,0423,0213,0393,1273,0922,9753, 052
269397376356375447
370359351350348374377377374404456476452
245368347325345416
339329319318318343347347344374425444419
754545646758752797
774760755751752754752754747746742852846
375143164197196194
198198198196196196196198194195194196192
379402482561556603
576562557555556558556556553551548656654
I
493580576420499
486692
528479
415393577
544408
311317409390261326
286520301356313236256241384286378257
156176171186159173
210200172173172166156159152193179165151
13, 47814,84814,71414, 93215, 22015, 449
14, 62314,66715,15415,05915,15815,06415, 22115, 21615, 37915,48215, 46715, 42215, 427
5,7306,2956,229
6,4786,635
6,4166,2256,4376,3166,4376,4216,4406,4566,5966,7176,6716,5876,565
7,7488,5538,4858,5668,7428,814
8,2078,4428,7178,7438,7218,6438,7818,7608.7838,7658, 7968, 8358, 852
12, 81414,06413,88113,98214, 37114, 563
13,57813,89013,99614,18714, 25814, 26014, 27214,39014, 56214, 58014,67714, 43114, 563
5, 4595,9855,9015,9686,1756,311
5,9275,9445,9215,9946,0526,1266,1036,1626,3096,3856,3876,2216,251
7,3558,0797,9808,0148,1968,252
7, 6517,9468,0758,1938,2068,1348,1698,2288. 2538,1958,2908,2108,312
120135133133131132
133135133133132130132131132131133131132
120135133133131132
133135133133132130132131132131133131132
4,8744,8934,9234,9715,0515,037
4,9094,9564,9584,9855,0475,0765,0565,0435,0285,0355,0335,0215,059
555537542547581547
546533532545576602583578561549550542547
4,3194,3564,3814,4244,4704,490
4,3634,4234,4264,4404, 4714,4744,4734, 4654, 4674, 4854,4834,4794,512
22
10
705807838822874913
821833865850871892884959956861875
257312348321366407
314301318326345356364379363447448365367
448495490501508506
475502503507520494507513521512508496508
3,4993,5053,5123,5273,5413,543
3,5183,5233,5273,5333,5323,5403,5443,5383,5433,5513,5463,5393,537
1,4561,4631,4631,4661,4701,470
1,4641,4651,4661,4681,4671,4721,4731,4681,4681,4731,4721,4671,468
2,0432,0422,0492,0612,0712,073
2,0542,0582,0612,0652,0652,0682,0712,0702,0752,0782,0742,0722,069
1 Does not include cash items in process of collection reported in balances with domestic banks. Prior to 1936, includes a relatively small amountof cash items on hand but not in process of collection.
2 Demand deposits other than interbank and U. S. Government, less cash items reported as in process of collection and prior to 1936, less cashitems reported as on hand but not in process of collection.
NOTE.—For back figures and description of figures see BULLETIN for November 1935, pp. 711-738, or reprint, which may be obtained from theDivision of Research and Statistics. See also p. 876 of BULLETIN for December 1935 and Annual Report for 1932 (tables 78-82).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 581
REPORTING MEMBER BANKS IN 101 LEADING CITIESASSETS AND LIABILITIES BY DISTRICTS AND FOR NEW YORK CITY AND CHICAGO
[In millions of dollars]
Loans and investments,total:
June 3June 10June 17June 24
Loans to brokers and dealersin New York:
June 3June 10June 17June 24
Loans to brokers and dealersoutside New York:
June 3June 10June 17June 24
Loans on securities to others(except banks):
June 3June 10June 17June 24
Acceptances and commercialpaper bought:
June3June 10June 17June 24
Loans on real estate:June 3June 10June 17June 24
Loans to banks:June 3June 10June 17June 24
Other loans:June 3June 10June 17June 24
U. S. Government directobligations:
June 3June 10June 17June 24
Obligations fully guaranteedby U. S. Government:
June 3June 10June 17June 24
Other securities:June 3June 10June 17June 24
Eeserve with Federal Re-serve bank:
June 3June 10June 17June 24
Cash in vault:June 3June 10June 17June 24
Total
22,14822,16322,65922, 520
1,1541,0931,051
238232244237
2,0942,0962,1002,094
315318319324
1,1471,1481,1501,149
9210710665
. 3, 5863, 5833, 5683, 531
8, 9098, 9759,4499, 474
1, 3051,3031, 30:1, 30!
3, 3083,3083,3703,348
4,5944,7443, 9374, 28f
369386389403
Federal Reserve District
Bos-ton
1,2381,2451,2601,250
153154154154
44444543
84848484
3333
311311314313
418425438429
18181818
167167167167
208202171197
122124126125
NewYork
9,831"), 7919,9709,890
1,1141,0541,019
901905911
136139137146
248248248248
57747231
1,3641,3551,3481,337
4,0414,0464,2044,256
589595596591
1, 3061,3001,3571,329
2, 2762,4101,8562,001
65686871
Phila-del-phia
1,1651,1681,1861,187
146147149149
3222
181183179180
301301323321
101103103105
314315315316
199198178183
14151516
Cleve-land
1,7751,7781, 8381,825
217216215215
6766
185185185184
4455
209211211210
810812872861
67676767
261262262262
284295248267
30323435
Rich-mond
583593621622
108107107105
261274303305
115112100112
16181818
Atlan-ta
538535
11
137137137134
212
Chica-I
2, 8232,8342,916
St.Louis
206205204204
31303130
67676868
10101010
428435431430
1,4471, 4651, 5451,539
155146146144
408408413417
876881811850
59636263
603599616615
Min-neap-olis
374384386376
107106105104
203201220220
55555255
110111111111
106122101113
11111112
119114110100
146160167168
Kan-sasCity
646658671
23242424
17171717
4444
131132132131
244254265264
45454647
131132132132
114113100123
11121213
446444466466
129129127126
166165193196
2,1262,1342,1792,164
170170169168
21222222
367368368368
1111
362363367361
674675707703
151154157158
363364366366
215221199220
18181922
City
8,9598,9179,0758,998
1,1,1,
1111
3334
1111
103042008955
73737675
756761767765
128132130139
133133133133
57747231
222212206196
809814954007
557563564559
,121,113,165.138
1,1,11.
11
875903935929
55525755
144143143143
15141414
15151515
6666
284291288289
967996
,021.014
95949493
294292297300
2, 1632,3351,7911,906
51525255
702696641677
36383537
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
582 FEDERAL RESERVE BULLETIN JULY 1936
REPORTING MEMBER BANKS IN 101 LEADING CITIES—ContinuedASSETS AND LIABILITIES BY DISTRICTS AND FOR NEW YORK CITY AND CHICAGO—Continued
fin millions of dollars]
Balances with domesticbanks:
June 3 .June 10June 17.. _ _ _June 24
Other assets:June 3June 10June 17June 24
Demand deposits—adjusted:June 3June 10June 17June 24 . .
Time deposits:June 3. . _ . _June 10June 17June 24.
U. S. Government deposits:June 3 _ _ _ _June 10June 17__. _ _ . . .June 24
[nterbank deposits, domes-tic:
June 3June 10June 17..June 24
Interbank deposits, foreign:June 3June 10June 17June 24
Borrowings:June 3_ . .June 10June 17June 24 . .
Other liabilities:June 3June 10. _June 17June 24; _ _
Capital account:June 3June 10_June 17June 24
Total
2,3632,3592,2012,235
1, 3891,3951,3581,344
14, 58014, 67714,43114, 563
5,0355, 0335,0215,059
746742852846
5,5845,6335,3485,447
408460480457
12
959956861875
3,5513, 5463, 5393, 537
Bos-ton
129124119113
76787675
968971954952
297296295296
16162121
227225216223
889
10
25252526
232232232232
NewYork
185164159160
575583566547
6 9256,8770, 7056, 765
939940933940
228226236232
2, 3952,4752, 3062,327
379430449425
12
461463379381
1, 6051,6051,5991,599
Phila-del-phia
151154147148
89898889
744751745740
269268267275
57577272
299299281286
3333
22232224
224223224223
Cleve-land
251234218226
112112111110
984989979988
717716717721
54547777
342337323322
1111
18181718
336336335336
Federal Reserve District
Rich-mond
187174145145
36383941
384388375383
195194194195
40404848
206200190196
24252826
88888890
Atlan-ta
137144136134
41414040
299299294301
172173173175
43435151
183182177177
1111
7777
86868687
Chica-go
437444410420
110108101106
2,1422,1722,1602,173
845846846851
137136147148
791790759782
5566
35353641
350346346346
St.Louis
116129119122
24242423
334372372381
175175175176
99
1313
248235219222
11119
10
83838383
Min-neap-olis
100106102106
18181718
260263259264
119119119119
3333
114119115122
1111
4445
56565656
Kan-sas
City
251254252262
25252525
436455453466
145145145146
18182323
356352347364
2223
90909090
Dallas
176190167168
27272727
336353335347
1.19120120120
27274139
169166164170
5555
77777777
SanFran-cisco
243242227231
256252244243
768787800803
1,0431,0411,0371,045
114113120119
254253251256
10111010
345338327329
324324323318
1
City
NewYork
76747876
504510495476
6, 3856,3876,2216,251
549550542547
195194196192
2,3262,4082,2422,263
378429448423
10
447448365367
1,4731,4721, 4671, 468
Chica-go
211207201206
75746Q73
1, 4531,4721,4611,473
488489488491
101101102101
589592565587
4545
30293135
234230230230
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 583
BANKS SUSPENDED AND NONLICENSED BANKS PLACED IN LIQUIDATION OR RECEIVERSHIPDURING 1935 AND JANUARY-JUNE, 1936
[Preliminary figures]
National banks _.State bank membersNonmember insured banks ._ _Other nonmember batiks
Total
Licensed banks suspended 1
Number of banks
Year 1935
4
228
34
January-June1936
251
26
Deposits 3 (in thou-sands of dollars)
Year 1935
5,313
3,847998
10,158
January-June1936
3,623428
4,051
Nonlicensed banks placed in liquidation orreceivership 2
Number of banks
Year 1935
446
48
58
January-June1936
10
10
Deposits 3 (in thou-sands of dollars)
Year 1935
6,4994 8, 613
14, 306
29,418
January-June1936
16,713
16,713
1 Includes banks placed on a restricted basis.2 Includes nonlicensed banks absorbed or succeeded by other banks.3 Deposits of licensed member banks suspended are as of dates of suspension; deposits of nonlicensed national banks placed in liquidation or
receivership are as of dates of conservatorship; deposits of nonlicensed State bank members placed in liquidation or receivership are as of the near-est call dates prior to liquidation or receivership; and deposits of nonmember banks are based on the latest data available at the time of the reportedclosing of the banks.
4 Includes 5 banks with deposits of $7,395,000 in 1935, which did not receive licenses following the banking holiday and withdrew from the Fed-eral Reserve System before being placed in liquidation.
Back figures—See Annual Report for 1934 (tables 79-84).
BANK DEBITS[Debits to individual accounts. Amounts in millions of dollars]
New York City. . .Outside New York City
Federal Reserve districts:BostonNew York__.PhiladelphiaClevelandRichmondAtlantaChicagoSt. LouisMinneapolisKansas CityDallasSan Francisco ___
Total
Numberof centers
1140
117
10137
152159
151018
141
1936
M a y
16, 22716,998
1,74016, 9041,4901,794
589758
4,559904559955563
2,410
33, 225
r Revised.
Back figures.—See Annual Report for 1934 (table
April
17, 28517, 497
1,92817,9031,4561,879
6047174, 673822600987568
2,645
34, 783
78).
1935
M a y
14, 55115, 557
1,63015, 2011,4731, 591
551702
4,042827541879488
'2, 183
'30,108
POSTAL SAVINGS SYSTEM[In millions of dollars]
End of month
1935—January _FebruaryMarch. __ _AprilM a yJuneJuly
SeptemberOctoberNovemberDecember
1936—JanuaryFebruaryMarchAprilMay
Depos-itors'bal-
ances
1,2011,2051,2031,2001,2051,2051, 1891,1921,1921, 1961,1991,201
1,2081, 2141,216
PI , 215Pl, 214
p Preliminary.1 Includes working cash wi
miscellaneous working fundsaccrued interest on bond invmasters.
Back figures.—See BULLET
Assets
Total
1,2321,2371, 2321,2311, 2371,2361,2211,2241,2241,2301,2341,237
1,2411,2481,251
Cashin de-posi-tory
banks
509491478452412385364348319306294287
248225221
th postmasterswith the Tre
estments, and
tN for August
U. S. Governmentsecurities
Total
614633691685709111111780805824853853
876876902
Di-rectobli-ga-
tions
467467508539562630630633658677706706
709710736
5, 5-percent reasurer of theaccounts due
L935, p . 502.
Guar-an-
teedobli-ga-
tions
147166183146147147147147147147147147
167166166
serve fuUnitedfrom la
Cash,re-
servefunds,etc.1
1091136394
116748096
1001008797
117147128
nd andStates,
te post-
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
584 FEDERAL RESERVE BULLETIN JULY 1936
ACCEPTANCES, COMMERCIAL PAPER, AND BROKERS' BORROWINGS
BANKERS' ACCEPTANCES, BY HOLDERS(DOLLAR ACCEPTANCES)
[In millions of dollars]
BANKERS' ACCEPTANCES, BY CLASSES(DOLLAR ACCEPTANCES)
[In millions of dollars]
End of month
1934—FebruaryMarchAprilMayJune __-JulyAugustSeptember...OctoberNovember. __December. _.
1935—JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptember...OctoberNovember...December
1936—JanuaryFebruaryMarchAprilMay
Totalout-
stand-ing
750685613569534516520539562561543
516493466413
343321322328363387397
384377359344331
Held by Fed-eral Reserve
banks
Forownac-
count
5623
30)0)0)0)0)
10)0)0)
Forac-
countof for-eign
corre-spond-ents
Total
55432111
0)0)
0)0)0)0)
Held by acceptingbanks
581576536507480472483503516517497
485452423391356317296292301339358
353340321310297
Ownbills
Billsbought
266252236226220222222223245252243
238217197178162154148145148178182183
181172150143155
315324299281260250261280271265254
247235226214193163148147154161175185
172168171167142
Heldby
othersEnd of month
10881705953423735454446
304143221926243027242929
3137383434
1934—February..MarchApril..MayJuneJuly. . .AugustSeptember.OctoberNovember.December.
1935—January....February..MarchAprilMayJuneJulyAugustSeptember.OctoberNovember.December.
1936—January.._.February..MarchAprilMay
Total
750685613569534516520539562561543
516493466413375343321322328363387397
384377359344331
Basedonim-
portsintoU.S.
Basedon ex-portsfromU.S.
10310310097948994
89
10110310710299102102106105107
108114113111110
Basedon goodsstored inUnitedStates(ware-house
credits)or
shippedbetween
domesticpoints
203186164150145135140138147148140
13312312211410094868177758494
9494918681
Dollarex-
change
261226186164141138147166184195193
17916613496765747526698111110
9681665755
Basedon
goodsstoredin
foreigncoun-
tries orshipped
be-tweenforeignpoints
184168158152148144141137133127119
1141091069991
79828484
8486878982
i Less t h a n $500,000.
Source. For acceptances outstanding (and held by accepting banks),American Acceptance Council.
Back figures—See Annual Report for 1933 (table 100).
COMMERCIAL PAPER OUTSTANDING1
[As reported by dealers. In millions of dollars]
Source: American Acceptance Council.
Back figures.—See Annual Report for 1933 (table 97).
BROKERS' BORROWINGS[Net borrowings on demand and on time in New York City reported by
members of the New York Stock Exchange. In millions of dollars]
End of month
JanuaryFebruary..March
AprilM a yJune
July . .AugustSeptember
OctoberNovemberDecember
1932
108103106
108111103
100108110
11311081
1933
858472
646073
97107123
130133109
1934
108117133
139142151
168188192
188178166
1935
171177182
173173159
164177183
180178172
1936
178176180
174184
1 Includes some finance company paper sold in the open market.
Back figures.—See Annual Report for 1934 (table 76).
End of month
January _FebruaryMarch.. _
April . . . _ .May..June
JulyAugustSeptember
OctoberNovemberOenpimbfir
Total
1935
825816773
805793808
769772781
792846938
1936
925924997
1,064970989
From banksand trust com-
panies
1935
758750706
762759776
741750759
772821907
1936
891888956
1,028934955
From privatebanks, brokers,foreign banking
agencies, etc.
1935
676667
433432
282222
202531
1936
343641
353634
Back figures.—See Annual Report for 1934 (table 75).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 585
FEDERAL RESERVE BANK DISCOUNT RATES
Federal Reserve Bank
Rediscounts and advances un-der sees. 13 and 13a of the Fed-
eral Reserve Act
RateJulyl
In effectbeginning-
Pre-viousrate
Advances under sec.10(b) of the Federal
Reserve Act
RateJu ly l
In effectbeginning—
Discounts and ad-vances under par. 3
of sec. 13 of the FederalReserve Act
RateJuly 1
In effectbeginning-
Advances secured bydirect obligations ofthe United States(last paragraph of
sec. 13 of the FederalReserve Act)
RateJuly 1
In effectbeginning-
BostonNew York___.Philadelphia_-ClevelandRichmondAtlantaChicagoSt. LouisMinneapolis..Kansas City..DallasSan Francisco.
2IK22222222
Feb.Feb.Jan.MayMayJan.Jan.Jan.MayMayMayFeb.
8,19342.193417,193511,19359.193514,193519,19353,193514,193510,19358,1935
16,1934V2
2K
2V2
2V222V22V22Y22%2K
X2K
Sept.Oct.Nov.Oct.Sept.Sept.Sept.Oct.Oct.Aug.Oct.Sept.
20,193510,19352,193519,193523,193514,193520,19353,193529,193526,19358,1935
20,1935
Aug.Aug.Aug.JulyJulyMar.Aug.JulyAug.JulySept.Sept.
11,193210,193212,193224,193416,193420,193413,193210,193410,193210,19348,19322,1932
44444HIK4
Oct.Feb.Oct.MayFeb.Mar.Oct.Feb.Apr.MayMar.Oct.
20,19338,1934
20.193311,193519.193417.193416,193321.193515.193310,193512.193419,1933
RATES ON INDUSTRIAL ADVANCES[Approved by the Board of Governors of the Federal Reserve System,
under Sec. 13(b) of the Federal Reserve Act as amended June 19, 1934.Percent per annum except as otherwise specified. In effect July 1,1936]
Federal Reserve Bank
BostonNew YorkPhiladelphia ._ . . . . __.Cleveland . _
Richmond _ . .AtlantaChicago .- _.St. Louis
Minneapolis . . . _ _ . . . .Kansas CityDallasSan Francisco
Advancesdirect to
industrialor com-
mercial or-ganizations
1-64-6
66
5-65M
64-65-65-6
Advances to financ-ing institutions—
On por-tion forwhich
institu-tion is
obligated
333
4-65
13
2 44
3-4
On re-mainingportion
4-5
4
4-65
5-6
2 45-64-5
Commit-ments
to makeadvances
K-i1 2
1
1 2
1-2
1
3 1 ^ 21
V2-2
1 Authorized rate 1 percent above prevailing discount rate.2 Same as to borrower but not less than 4 percent.3 Flat charge.
BUYING RATES ON ACCEPTANCES
[Buying rates at the Federal Reserve Bank of New York]
Maturity
1-15 days .16-30 davs31-45 days46-60 days61-90 davs91-120 days121-180 davs
Rate ineffect onJuly 1
\i\/.Vi
%1
In effect be-ginning—
Oct. 20, 1933do
. dododododo
Previousrate
111111IX
NOTE.—Rates on prime bankers' acceptances. Higher rates may becharged for other classes of bills.
Back figures.—See Annual Report for 1934 (table 51).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
586 FEDERAL RESERVE BULLETIN JULY 1936
MONEY RATES AND BOND YIELDS
OPEN-MARKET RATES IN NEW YORK CITY[Percent per annum]
Month or week
1935
MayJuneJulyAugustSeptemberOctoberNovemberDecember
1936
JanuaryFebruaryMarchAprilMay _JuneWeek ending:
Apr. 4Apr. 11Apr. 18Apr. 25May 2May 9May 16May 23.___May 30June 6June 13June 20 .._June 27 _-_
Prevailing rate o n -
Primecom-
mercialpaper,4 to 6months
ZA3 /Z/iSi%/%k
ZAZAZA3 /ZA
ZA
l¥ZA
¥ZA¥
Primebank-
ers'accept-ances,
90days
VsVsVs
VsVsVsVs
y1 /
1 /
1 /1 /
Vs
VsVsVsVsVsVs
' VsVsVsVsVsVsVs
Stock-ex-
changetime
loans,90
days
XXXXXX
11
1111
VA
llllllVAVAVA
VAVAVA
Average rate o n -
Stock ex-change call
loans
New
.25
.25
.25
.25
.25
.29
.75
.75
. 75
.75
.75
.75
.931.00
.75
.75
.75
.75
.75
.751.001.001.001.001.001.001.00
Re-newal
.25
.25
.25
.25
.25
.29
.75
.75
.75
.75
.75
.75
.931.00
.75
.75
.75
.75
.75
.751.001.001.001.001.001.001.00
U. S.Treas-
ury 273-day billsofferedwithinperiod
.15
.13
.07
.10
.22
.20
.14
.09
.10
.08
. 11
.10
.18
.23
. 11
.10
.09
.09
.13
. 19
.18
.20
.22
.23
.24
.24
.19
Aver-age
yield onU. S.Treas-
ury3-5 yearnotes!
1.121.141.161.221.431.371.291.26
1.211.151.091.101.091.12
1.121.071.091.091.101.111.091.081.091.071.091.161.18
1 For description of average and back figures, see May Bulletin, p. 317.Back figures.—See Annual Report for 1934 (tables 54 and 55), except
for average yield on U. S. Treasury 3-5 year notes.
RATES CHARGED CUSTOMERS BY BANKS INPRINCIPAL CITIES
[Weighted averages of prevailing rates; percent per annum]
New York City:JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember
Year8 other northern and
eastern cities:JanuaryFebruaryMarchApril ^MayJuneJuly „_AugustSeptemberOctoberNovemberDecember
Year27 southern and
western cities:JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember
Year
1928 1929 1930 1931 1932 1933 1934 1935 1936
4.564.444. 59
5.095.385.565. 635.635.565. 63
5. 15
4.734.764.814.915.045.365.575.595.805.805.825.91
5.34
5.535.535.545.545.565.675.775.805.825.875.905. 91
5.70
5.745.735.815.855.885.935.886.05
5.865.74
5.88
5.875.865.916.006.096.02
6.116.246.25
6.04
5.945.966.046.076.106.166.1-6.226.276.296.296.20
6.14
5.645.355.224.914.744.594.4.414.294,4.174.16
4.69
5.5.665.475.225.135.064.814.794.744.754.66
5.07
6.126.055.5.5.755.5.635.585.555.545.505.43
5.72
4.244.314.204.174.114.134.053.973.934.274.674.64
4.22
4.614.634.624.574.554.494.484.474.484.624.874.91
4.61
5.505.435.405.365.265.345.305.285.325.385.535.56
5. 39
4.714.714.724.694.554.614.424.454.304.354.124.22
4.49
5.075.135.145.105.145.135.055.125.034.4.4.
5.05
5.615.615.645.635.645.625. 635.685.635.565.555.
5.62
4.124.114.884.334.244.103.933.973.79'3.763.523.48
4.02
4.4.845.5.094.994.974.824.4.654.514.544.59
4.83
5.605.565.665.685.665.625.545.535.555.505.425.43
5.56
3.583.433.313.393.423.303.303.33
3.223.18
3.33
4.654.494.524.524.4.304.154.124.114.134.3.98
4.29
5.5.395.405.345.285.195.075.055.045.054.934.92
5.17
2.832.902.642.612.692.662.612.672.722.722.772.61
2.70
4.084.024.053.993.883.783.873.793.753.753.633.67
4.954.844.854.804.794.764.584.634.514.554.514.55
4.69
2.642.562.612.542.512.44
3.623.633.603.473.453.51
4.514.444.40
Back figures.—See Annual Report for 1934 (table 57).
BOND YIELDS1
Year, month, or date
Number of issues._ ._
1933 average1934 average . _ _ _ _ _ _1935 average1935—June _
JulyAugustSeptemberOctoberNovemberDecember
1936—JanuaryFebruary . . . _MarchAprilMay _ - -JuneJune 3. _ __ .. _ _. __ __June 10June 17__ _ __ -_June 24
U.S .Treas-
ury 2
^6-11
3.313.102.702.612 592. 662 782.772 732 732 682.622.542.512.502.502.482.482.502.51
Munic-ipal(high
grade)3
15
4.713.953.163.252 952.873.083.163.022 972.932.862.782.762.762.722.732.732.722.71
Corporate'
Total
120
5.884.964.584.594 544.544.524.524.454 384.234.154. 154.174. 164.134. 144.134. 134.12
By ratings
Aaa
30
4.494.003.743.723 703.773.803.793.753.723.663.623.613. 603.583.553. 563.553. 563.55
Aa
30
5.234.444.134.184 154.154.114.104.033.973.853.803.773.793.743.703.723.703.703.69
A
30
6.095.084.624.624 544. 574. 564.574.534.444.314.244.234.264.254.234.234.234.244.23
Baa
30
7.766.325. 815.865.775.695.625.635.505.375.104.934.995.045.085.035.055. 035.015.02
By groups
Indus-trial
40
5.324.524.254.314.264.264.244.204.134.093.933.883.843.843.803.773.783.763.783.77
Rail-road
40
6.064.964.954.994.974. 954.914.974.904.734.504.324.354.414.424.384.394.384.374.37
Publicutility
40
6.255.404.534.484 404.424.414.394.334.314.264.254.274.274.264.244.254.244.244.23
r Revised.1 Monthly data are averages of daily figures, except for municipal bonds, which are averages of Wednesday figures.2 Average of yields of all outstanding bonds due or callable after 8 years.3 Standard Statistics Co.4 Moody's Investors' Service. Since the early part of 1934 less than 40 industrial bonds have been included owing to the fact that the number
of industrial bonds with Aaa ratings has been reduced from 10 to 4 and with A a ratings from 10 to 3.Back figures—See Annual Report for 1934 (table 94).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 587
BOND
Year, month, or date
Number of issues__.
1933 average1934 average-.- _ _ _ _ _1935 average
1935—JuneJulyAugustSeptemberOctoberNovemberDecember
1936—JanuaryFebruaryMarchAprilM a yJune
June 3 —_June 10June 17 _June 24
U. S.Treas-ury 2
'6-11
102.5103. 5106.0
107.0107.3106. 5104.7104.9105.3105.2
105.8106.3106. 6107.0107.1106.6
107.3107.2106.6106.5
PRICES i
Munic-ipal
(high-grade)3
15
87.197.3
109.4
107.8112 9114.4110.7109.4111.6112.6
113.2114.4116 0116.2116. 2116.9
116.8116 8117.0117.1
Corporate3
Total
60
73.484.588.6
88.389 289.990.489.891.192.5
95 397.296 695.995 596.2
96.096 296.696.4
Indus-trial
20
69.281.988.2
87.388 589.089.489.890.891.0
92 593.092 191.290 690.6
90.690 590 890.8
Rail-road
20
70.583.879.4
79.378 879.680.678.479.883.1
88 793.692 791.690 892.5
92.092 493 393.0
Utility
20
80.687.898.2
98.4100 2100.9101.0101.0102.7103 1
104 7105.1105 1104.8105 0105.5
105.4105 6105 7105.4
r Revised.1 Monthly data are averages of daily figures except for municipal bonds,
which are averages of Wednesday figures.1 Average prices of all outstanding bonds due or callable after 8 years.J Prices derived from average yields.Source.—U. S. Treasury bonds, based on price quotations from Treas-
ury Department; for other bonds, Standard Statistics Co.Back figures.—See Annual Report for 1934 (table 93); for U. S. Treasury
bonds, see May BULLETIN, p. 317.
STOCK PRICES
Year, month, or date
Number of issues
1933 average1934 average1935 average
1935—JuneJulyAugustSeptemberOctoberNovemberDfippmbp.r
1936—JanuaryFebruaryMarchAprilM a yJune
June 3June 10June 17June 24
Preferredstocks(indus-
trial high-grade)2
20
104.8120.7133.8
134.0134 8135.4135.0134 8136.9137 0
137 3138.7139 6138.8138 6138.8
138.9138 9138 5138.9
1
Common stocks (index, 1926=100)
Total
419
637278
76798385859395
100106109109101106
103105106108
Indus-trial
347
668191
8791959899
107109
115121125125116121
118120121123
Rail-road
32
384234
32343637343841
444949494548
47474849
Utility
40
786971
70738182819092
9710310310295
102
99102104104
1 Monthly data are averages of Wednesday figures.2 Average derived prices.Source.—Standard Statistics Co.Back figures—See Annual Report for 1934 (table 93).
CAPITAL ISSUES[In millions of dollars]
Year ormonth
1926192719281929193019311932193319341935
1935—June. __July___.Aug. ._.Sept.._.OctNovDec
1936—JanFeb..__Mar._April .May.__June
Total(newandre-
fund-ing)
7,3599,7749,898
11,5137 6194,0381, 7511, 0632, 1604,672
512640424436362380417
••400302
•7631 , 004
413731
Total(do-
mesticandfor-
eign)
6.3147, 5568,040
10.0916,9093,0891,194
7201,3861,486
58134198177145116231
122107130177112217
?or new capital
Domestic
Total
5,1896,2196, 7899.4206,0042, 8601,165
70S1,3861,438
58134152177144116231
115107130177112216
Stateandmu-nici-pal
1,3441, 4751,3791,4181,4341,235
762483803884
447936
1325682
124
508960496863
Fed-eral
cies2
9187640
87757764
405150
00
850
150
40
04
11061
Corporate
Total
3,7544,6585 3468, 0024,4831,551
325161178404
14553045733367
651359
12838
152
Bondsand
notes
2,6673,1842, 3852,0782,9801,239
30540
144334
14272942703048
614
46102
13123
Stocks
1,0871,4742 9615,9241 503
31120
1203569
028
(*)333
19
41013262429
For-eigni
1,1251,3371,251
671905229
29120
48
00
460100
70
'0001
Total(do-
mesticandfor-
eign)
1,0442,2181 8581,422
709949557343774
3,186
454506227259217264186
"278195
••634••827302514
]For refunding
Domestic
Total
8811,9781 6201,387
527893498283765
3,160
454506208259213261186
240195614
••782302512
Stateandmu-nici-pal
2235361353218737
136309
199
281510264
388
69533143
Fed-eral
agen-cies2
4093
000
519326
317987
31911
(3)13241781
(3)69
1994
93
Total
8201,8501 5841,374
474821319219312
1,864
115487180231179217101
201181536530267376
Corporate
Bondsand
notes
6871, 5861,054
542451789315187312
1,782
11548215623016421685
201170525492252325
Stocks
133264530833
23324
320
81
05
241
161
16
(8)1111381650
For-eign1
16324123835
1825659609
26
00
180440
'390
'19'45
02
r Revised.1 Includes issues of noncontiguous U. S. Territories and Possessions.J Includes publicly offered issues of Federal land banks, Federal intermediate credit banks, Federal Farm Mortgage Corporation, and Home
Owners' Loan Corporation.» Less than $500,000.Sources.—For domestic issues, Commercial and Financial Chronicle; for foreign issues, U. S. Department of Commerce. Monthly figures subject
to revision.Back figures.—See Annual Report for 1934 (table 92) for figures of new issues—annual and quarterly basis.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
588 FEDERAL RESERVE BULLETIN JULY 1936
TREASURY FINANCEUNITED STATES GOVERNMENT DEBT
End of period
June 1932June 1933June 1934
1935JuneJuly... _AugustSeptember...OctoberNovember. __December...
1936January _February ._MarchApril _._May. _ __June. . -__
VOLUME AND KIND OF SECURITY[In millions of dollars]
Total(grossdebt)
19,48722,53927,053
28, 70129,12329,03329,42129,46229, 63430, 557
30, 51630, 52031,45931, 42531, 63633, 779
T
Interest bearing
Total
19,16122,15826,480
27,64527,92327,95628,43228, 38028,61729, 596
29, 61829, 64630, 59130, 60130, 82332, 989
Bonds
14,25014, 22316, 510
14,93614, 57614, 71514,30013,99814,00814, 672
14,68814,71315, 98116,00516,03018, 628
Notes
1,4654,7806,932
10, 50111,06511,03611,92911,92911,95712, 274
12, 27212, 27012,40012, 38312, 38111, 861
Certif-icates
2,8312,200I, 635
156254252251250249247
254258258259258146
Bills
616954
1,404
2,0532,0281,9521,9522,2042,4042,404
2,4042,4051,9531,9532,1532,354
Non-inter-
estbear-ing
326381573
1,0561,2001,076
9891,0811,017
961
899874868825814
1790
i Includes $424,000,000 of Government liability for retirement ofnational bank and Federal Reserve bank notes, as a result of depositof funds by banks; this compares with $815,000,000 on July 31, 1935,and $629,000,000 on June 29, 1935.
MATURITIES[In millions of dollars
Total . . .Obligations maturing:
Before Oct. 1, 1936Oct. 1-Dec. 31, 1936 . .Jan. 1-Mar. 31, 1937Apr. 1-June 30, 1937July 1-Dec. 31, 19371938193919401941194319451946194719481949After 1949" .
Other obligations2 _.
]
Interest-bearing debt outstanding June 30,1936
Total
32,989
1,2331,4101,030
502817
1,9462,7622,8542,015
8981,4011,5191,6971,036
8199,0432,008
Bonds*
18, 628
834898
1,4011,5191,6971,036
8199,0431,382
Notes
11,861
532358429502817
1,9462,7622,8541,181
480
Certif-icates
146
146
Bills
2,354
7011,052
601
i Issues classified as of date of final maturity; most issues callable atearlier dates; postal-savings bonds only issues callable before 1940.
2 Includes United States savings bonds and such issues as postal-savings bonds and notes, retirement-fund notes, and adjusted-service-certificate series, in which special funds are invested; also includes$945,000,000 of adjusted service bonds.
SUMMARY OF TREASURY OPERATIONS
[On basis of daily statement of United States Treasury. In millions of dollars
Period
General and special funds
Receipts
TotalIn-
cometaxes
Mis-cella-neousinter-
nalreve-nue
Allother 1
Expenditures 3
Total
General2
Inter-est onpublicdebt
Allother
Recovery and relief3
Total Relief Publicworks
Allother4
Excessof re-ceipts(+) or
ex-pendi-tures
Trustac-
counts,etc. sexcessof re-ceipts(+)or
ex-pendi-tures
Increase or de-crease during
period
Generalfund
balanceGrossdebt
Fiscal year ending June:1933193419351936
1935— JuneJulyAugustSeptemberOctoberNovember.December
1936—JanuaryFebruaryMarchAprilMayJune
2,0803,1163,8004,116464279299421235234434228218752231256529
746818
1,0991,4272542324
2313019
22835434123635310
8581,4701,6572,010138165219143153142153138132291152158164
475828
1,04468072915647537452554348436355
4,6816,7456,8028,477740673508563624487591456496570614558
2,337
82174911982710110410107193113172
2,7151,9842,3254,436197318193217234216237197164226228258
71,949
•1, 2774,0043,6573,291425347289245286262247241301214314291256
1,8442,342
98525811415814214512797644311332132
6451,0202,092
87123130148225218254259264306
1,51529421385
146139161942
6 4940
« 51227
6 83
-2, 602-3 , 630-3, 002-4,361
-277-394-210-143-389-253-157-228-277+181-383-302
-l ,807 7
- 5+835+613+123+99-77-17+78+23+42+8
+64+37-22- 7+7
- 1 2
+445+ 1 , 720
-741+840-115- 5 2
-314+324-325- 3 9
+774-205-237
+ 1 , 099-424- 8 4
+323
+3,052+4, 514+1, 648+5,078
+63+419-87
+389+40
+172+923-41+3
+939-34
+211+2,142
1 Includes processing taxes, customs, and miscellaneous receipts. 2 Excludes public-debt retirement.3 Prior to July 1933, recovery and relief expenditures included only net expenditures of the Reconstruction Finance Corporation; other items
subsequently classified as recovery and relief expenditures were included in general expenditures.4 Includes expenditures classified by the Treasury as agricultural aid, aid to home owners, and miscellaneous, which includes direct loans and
expenditures of the Reconstruction Finance Corporation.6 Includes also increment resulting from reduction in the weight of the gold dollar, receipts from seigniorage, expenditures chargeable against
increment on gold (other than for retirement of national-bank notes), and beginning June 1935 transactions in checking accounts of certain specialgovernmental agencies whose balances were transferred on May 31, 1935, to these accounts. 6 Excess of credits.
•Expenditures include $1,673,000,000 of payments to veterans under the Adjusted Compensation Payment Act of 1936.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 589
GOVERNMENTAL CORPORATIONS AND CREDIT AGENCIES, MAY 31, 1936[Based on compilation by U. S. Treasury Department from reports received from organizations concerned. In millions of dollars]
ASSETS
Loans and preferred stock:Loans to financial institutionsPreferred stock, etcHome mortgage loansFarm mortgage loansOther agricultural loansAll other loans
Total loans and preferredstock
CashUnited States direct obligationsObligations of Government credit
agencies:Fully guaranteed by U. SOther 2
Production credit association classA stock _ _ _ _ _ _ _
Accounts and other receivablesAll other assets
Total assets other than inter-agency 2
LIABILITIES
Bonds, notes, and debentures:Guaranteed by United States...Other 2
Other liabilities (including reserves)
Total liabilities other thaninteragency 2
Excess of assets over liabilities, ex-cluding interagency transactions. _
Privately owned interests
U. S. Government interests...
Financed wholly from Government funds
Recon-structionFinanceCorpo-ration
449840
9823
2,1201
374
2,162
252
33
285
1,877
1,877
Com-modityCreditCorpo-ration
257
257(i)
0)
257
0)
0)
257
257
PublicWorks
Admin-istra-tion
129
129
15
144
144
144
Agricul-turalcredit
institu-tions
38
3864
1825
742
166
3
3
163
163
Other
10)
146228
3758224
2
14203
700
0)24
25
676
676
Financed partly from Governmentfunds
Farmmort-gage
institu-tions
2,954
2,9549040
2(2) 2
137145
3,370
1,4222 1, 218
117
2,757
613156
457
Otherfarmcredit
institu-tions
228
2281993
85
40)
428
1704
174
2552
252
Homemort-gage
institu-tions
1118
2,962
3,08169
6
8
633 170
3,396
* 3,0454
102
3,151
24530
215
Other
4
0)
432
301
101
34
445
0)32
32
413160
254
Total
May31,1936
565848
2,9622, 954
6781,180
9,187298468
21328
74260542
11,070
4,7191,392
316
6,427
4,642347
4,295
Total
April30,1936
567852
2,9602,949
7051,176
9,209319470
21426
74273513
11,099
4,6961, 382
328
6,406
4,693346
4,347
May31,1935
813873
2.6262,821
5331,057
8,724352469
22046
77165378
10,430
3,7751,800
200
5,776
4,655348
4,307
i Less than $500,000. 2 Excludes $761,000,000 of Federal land bank bonds held by Federal Farm Mortgage Corporation.3 Includes $94,000,000 of unclassified assets of Federal savings and loan associations.4 Includes unissued bonds covering loans in process.NOTE.—For explanation of table and back figures see BULLETIN for April 1936, p. 220.
RECONSTRUCTION FINANCE CORPORATION LOANS AND INVESTMENTS[Amounts outstanding. In thousands of dollars]
June 30,1935
Dec. 31,1935
Jan. 31,1936
Feb. 29,1936
Mar. 31,1936
Apr. 30,1936
May 31,1936
June 30,1936?
Loans to financial institutionsLoans on preferred stock of banks and insurance companies..Preferred stock, capital notes, and debentures._Agricultural loansLoans to railroads (including receivers)Loans for self-liquidating projects..Loans to industrial and commercial businessesLoans to drainage, levee, and irrigation districtsOther loansSecurities purchased from Public Works Administration
Total loans and investments, other than interagency-.
Loans to Federal land banksLoans to Commodity Credit CorporationCapital stock of Commodity Credit CorporationCapital stock of, and loans to R. F. C. Mortgage CoPreferred stock of Export-Import banks
Total loans and investments
658, 21348, 316
876, 38022, 398
414, 344146, 68921, 74627, 5962,47616,167
524,12747,909871,76022, 246396, 250147,56340,01350,0252,283
154,001
497, 28947, 573
877, 67921, 994393,712154, 94743, 68651, 7901,858
124, 689
474, 59646,730861, 74921,910
390, 202156, 59246,48851, 8533,876
154,242
423,06146,820850,98621,873389, 239160, 95148,28753, 4203,917
151, 593
410, 38346, 053851,6208,623
394,168164, 89150,19454, 7133,587
143,838
403.14846,092846, 6148,684
393,154174.14950,77955, 2283,518
129, 634
1386,34345, 963795, 8221,499
388, 432170, 26952, 65156,1143,115
134,170
2, 234, 326
59,873148,181
10,00010,000
2, 256,177
45,074267, 541
2,215,216
35, 819297,091
2, 208, 238
35,215297,449
2,150,148
34, 723297, 279
2,128,071
34, 365291, 961
14,72110,000
15,52310, 000
15,95210,000
16,72510,000
2,462,380 2, 593, 513 2, 573,649 2, 566, 854 2, 508,875
17, 62310, 000
2, 482,020
2,110-fl
33, 948172,80097,00018,42910,000
2, 034, 377
33,538162,28097,00019,16510,000
2,443,175 2, 356, 360
v Preliminary. 1 Includes $142,000,000 of loans for distribution to depositors of closed banks.NOTE.—For explanation of table and back figures, see April BULLETIN, p. 220.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
590 FEDERAL RESERVE BULLETIN JULY 1936
FARM CREDIT ADMINISTRATIONLOANS AND DISCOUNTS OUTSTANDING, BY INSTITUTIONS
[In thousands of dollars]
End of month
Farm mortgage loansby i—
Federalland banks
LandBank
Commis-sioner
Federal intermediatecredit bank loans toand discounts for—
Regionalagri-
culturalcredit cor-porations,productioncredit as-
sociations,and banksfor cooper-
atives 2
Otherfinancinginstitu-tions,except
coopera-tives
Produc-tion credit
associa-tions
Regionalagricul-
tural cred-it corpo-rations
Emer-gency
crop anddrought
loans
Loans to cooperatives b y -
Federalinter-
mediatecreditbanks
Banks forcooper-atives,
includingCentralBank
Agricul-tural
Market-ing Actrevolv-
ing fund
1933—December.1934—December.1935—May
JuneJuly _.AugustSeptemberOctoberNovember.December.
1936—January...February..MarchAprilMay
1, 232, 7071, 915, 7921,998, 2282, 016, 8252, 023,8592, 036, 0672, 047, 3902, 058, 6932,065, 6202, 071,9252, 066, 3082,058,5122, 059, 9782, 061, 8812, 062, 986
70, 738616, 825716, 243733. 489742, 897754, 502765,319777, 214785.898794, 726802, 782810,811817.899823,110827, 052
73, 26399, 675
129, 954130, 559128,851125,137115,426100, 634100,343104, 706105, 457110.806122,849132, 715140,177
60, 98955, 67256, 89757, 75958, 88458, 76155, 66149,11446, 86746, 49046,04546, 67948,04550, 01552,158
2760, 852101,269106, 688110,030109,020101, 42792, 57391, 52294, 09696, 240103, 002116,392127, 511135, 467
144, 63687,10276, 50872, 76568, 67064, 58259,22551,65646, 22043, 40041,48940, 51039, 61738, 66537, 711
89,811110,186192, 476196, 250196, 732195, 943192,182182, 678175, 438172, 489170, 072168, 700167,826175,151176, 789
15,21133, 96926,42010, 0285,0235,5394,7554,0843,2212,7312,2412,1172,0741, 685932
18, 69727,85131,74123,93725,03731,45543,14048,17951, 24650,01346, 56642, 72041,08340, 01539, 688
157, 75254, 86347, 45649, 42249,19646, 49746, 71446,07444,68844, 43344, 28644,15544, 30643, 52341, 696
1 Does not include loans by joint stock land banks, which are now in liquidation.2 Some of the loans made by the regional agricultural credit corporations and the banks for cooperatives and most of the loans made by the
production credit associations are discounted with the Federal intermediate credit banks. The amounts in this column are thus included in the3 columns under those headings. Such loans are not always discounted in the same month in which the original credit is extended.
FEDERAL HOME LOAN BANK BOARDLOANS OUTSTANDING, BY INSTITUTIONS
[Loans in thousands of dollars]
End of month
1932—December1933—December...1934—December...
1935—MayJune _JulyAugustSeptember._OctoberNovember __December.._
1936—JanuaryFebruaryMarchAprilMay
Home mortgage loans by—
HomeOwners'
Loan Cor-poration !
105, 9202,196, 988
2,620,1192, 660, 6772, 702, 2472, 747, 0222, 788, 2032, 838, 0862,888,0132, 940, 029
2, 984, 4383, 014, 4233,040, 1373, 080, 0293, 083, 312
Federal savings and loanassociations 2
Number ofassociations
Total
59639
808851894922949979
1,0021,023
1,0441,0611,0781,1021,114
Re-port-ing
455
623655691758828851851881
898898980
1,0061,006
Loans reported
Newassoci-ations
10, 758
24, 08127,07032, 85037, 34544, 07253, 36254, 70360,103
60, 45764, 09274,91581,81688, 514
Convert-ed asso-ciations
58, 976
123, 741138, 129146, 161192, 959219,980239, 263240, 777255, 580
269,186272, 554291,491303, 994316, 208
Federalhomeloanbank
loans tomemberinstitu-tions 3
83885, 44286, 658
75, 83679, 23380, 87786,02590, 43295, 59597, 089
102, 795
102,800102, 942103. 358105, 972110, 925
1 Loans closed.2 No monthly reports prior to September 1934; they now exclude
largely new associations recently chartered and inactive associations.3 Includes loans to Federal savings and loan associations, all of which
are members, and a negligible amount to others than member institutions.
OBLIGATIONS FULLY GUARANTEED BYTHE UNITED STATES *
AMOUNTS OUTSTANDING, BY AGENCIES[In millions of dollars]
End of month
1933—December.
1934—October...November.December.
1935—January...February..MarchAprilMayJuneJulyAugustSeptemberOctober...November.December.
1936—January. ._February..MarchAprilMay
Total
180
2,5962,8233,063
3,3003,4803,5903, 6603,7284,1234,2054,2484,3694,4214,4604,494
4,5624,6304,6544,6764,702
FederalFarm
MortgageCorpora-
tion
805878980
1,0411,0891,1241,1541,1881,2261,2741,2821,3681,3821,3871,387
1,3991,4071,4071,4111,422
HomeOwners'
LoanCorpora-
tion 2
1,5431,6951,834
2,0092,1402,2152,2562,2902,6472,6822, 7162,7482,7862,8192,855
2,9112,9702,9953,0133,029
Recon-structionFinanceCorpora-
tion s
180
248249249
250251251250250250249250253253253252
253253252252252
1 Principal amount of obligations guaranteed as to interest and princi-pal.
2 Excludes obligations guaranteed as to interest only.3 Excludes obligations held by U. S. Treasury and reflected in the
public debt. Figure for December 1933 includes notes given in purchaseof gold which were retired in February 1934.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 591
PRODUCTION, EMPLOYMENT, AND TRADE
Yearand
month
19191920192119221923 . ._ .192419251926192719281929193019311932193319341935
1933
MayJuneJulyAugSeptOctNovDec
1931
JanFebMar....AprilMay ..JuneJuly._._AugSeptOctNovDec...
1935
JanFebMarAprilM a yJuneJulyAugSeptOctNov....Dec
1936
JanFebMarApril _M a yJune
Index numbers; 1923-25 average=100. The terms "adjusted" and "unadjusted" refer to adjustment for seasona]
Industrial production 1 *
Total
Ad-usted
7891
1009184767275
788184868684767371747586
9189888685868687909597
104
989493
100P101
Unad-usted
83876785
10195
104108106111119968164767990
7991969085787269
778387888984737373757478
889191898786838790979796
959596
103P105
Manufac-tures
Ad-usted
7793
1029183767073
768082858683747269727485
9088868684848688919598
104
97919399
P101
Unad-usted
84876786
10194
105108106112119958063757890
8092978984767067
758286898984717170737376
879191918785838789969895
959397
105P105
Minerals
Ad-usted
7985919187818286
8892
100908887848082818190
9496978789988481879392
101
10311095
105P102
Unad-usted
77897074
1059699
108107106115998471828691
7783909594898581
868991818686848387878485
919290798897848592
1009596
99106
8994
P101
Construction contracts awarded (value) 2
Total
Ad-usted
1618212430374857
494433322626272729313131
272826272730353843486067
6152474746
Unad-usted
636356798494
122129129135117926328253237
1921242530354245
403833363231302830292825
222426303235394044455353
5044475356
Residential
Ad-usted
1113131212121313
121211121112121011121112
121416182124252425252626
2525263032
Unad-usted
443044688195
12412111712687503713111221
1314131212121211
101012141313121011121110
101316222526252425252522
2122283538
All other
Ad-usted
2023283345577693
807051483838394044464847
3939353332364350586688
101
9073636057
Unad-usted
799065888694
1201351391421421258440374850
2427323645536673
646050544746444345434136
323334383943505459627679
7362626770
Factory em-ployment 3
Ad-usted
6367737778787675
757881828382807974777779
818283828180818282848586
8584848586
Unad-usted
1071088291
1049799
1019999
105927764697982
6367727680807675
737881828381798076787778
798183838180808284858585
8383848586
Fac-torypay
rolls 3
Unad-usted
971177681
10396
101104102102109896846496270
4347515759595655
546165676765616258616063
646971716966657072757576
7373767879
variation]
Freight-carloadings 4 *
Ad-usted
5562656160585963
646466626364615959575964
646565616163586062646671
7070666970
Unad-usted
84917987
10097
103106103103106927556586263
5561666568666056
586163606364636367646056
586162596163606470736762
6365626671
Depar ;mentnlflc *
(value)
Ad-usted
6768707569696670
717178747774737775737478
747582737680807881778184
7980888188
P89
Unad-usted
789487889899
1031061071081111029269677579
67644859737775
121
5759737377705160798283
135
5961717976765561868691
145
6366778588
p Preliminary.* Average per working day.1 For indexes of groups and separate industries see pp . 592-593; for description see BULLETIN for February and March 1927.2 3-month moving average of F . W. Dodge Corporation data centered at second month; for description see BULLETIN for July 1931, p . 358.3 The indexes for factory employment and pay rolls unadjusted for seasonal variation are compiled by the Bureau of Labor Statistics. For
description and back figures see BULLETIN for May 1934, pp . 270-271. For description and back figures for the seasonally adjusted index of factoryemployment compiled by F . R. Board of Governors see BULLETINS for June 1934, pp . 324-343, and December 1935, p . 888. For current indexes ofgroups and separate industries see pp. 594-595. Underlying figures are for pay-roll period ending nearest middle of month .
4 For indexes of groups see p . 597.
Back figures—See Annual Report for 1934 (tables 95 and 100).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
592 FEDERAL RESERVE BULLETIN JULY 1936
INDUSTRIAL PRODUCTION, BY INDUSTRIES (ADJUSTED INDEXES)[Index numbers of the Board of Governors; adjusted for seasonal variation. 1923-25 average=100]
Industry1935
M a y June July Aug. Sept. Oct. Nov. Dec.
1936
Jan. Feb. Mar. Apr. M a y
Manufactures—Total
IRON AND STEELPig ironSteel ingots
TEXTILESCotton consumptionWool
ConsumptionMachinery activity iCarpet and rug loom activity
Silk deliveriesFOOD PRODUCTS
Slaughtering and meat packing...HogsCattleCalvesSheep
Wheat flourSugar meltings
PAPER AND PRINTING:Newsprint productionNewsprint consumption
TRANSPORTATION EQUIPMENT:AutomobilesLocomotivesShipbuilding
LEATHER AND PRODUCTSTanning _.
Cattle hide leathersCalf and kip leathersGoat and kid leathers
Boots and shoes
CEMENT AND GLASS:CementGlass, plate
NONFERROUS METALS:2
Tin deliveries1
FUELS, MANUFACTURED:Petroleum refining
Gasoline J
KeroseneFuel oil!Lubricating oili
Coke, byproduct
RUBBER TIRES AND TUBESTires, pneumaticInner tubes
TOBACCO PRODUCTS __.CigarsCigarettes
Minerals—Total
Bituminous coalAnthracitePetroleum, crudeIron oreZincLeadSilver
84
5667
102••86
123153'98r79111
7874549410816183
64121
851456
1141009887119123
55155
84
1602049410410089
757856
13466186
89
711315373
1008212214810771116
746744921061519175
124
1021
1049790104106109
58162
73
166214991059787
798255
13867193
799713353795547
5370
1058212815610876133
46
115154
83
118
94315
109958986121118
52169
85
168220911009284
838660
14070196
84
556213450805973
816083
1048513216011083113
7676501071191597378
58120
77235
105939177114113
44167
91
1692199310310091
929662
13067178
81
583613354816059
1069511212710874134
787650107124144
62127
104949083115110
47179
92
1722239211010295
102105
12969175
87
6513562845971
95
6590
1139912614612178132
8382571111171548878
61124
931
48
105979874119110
52193
92
1762279511010397
10410684
13870190
93
754814062806875
6999
1069811813411872112
827954107118148
64125
1143
119
10910510584124111
59200
17622594115106100
133137102
13769191
92
7148144448267
104
10371106
11110811412512266119
8380541101261458492
63133
1253
179
12410510395118137
59
81
17322086121104106
142147104
14773205
101
7871146
105106107117114
92846111112015291124
60124
1100
129
11810396103122127
47225
103
1692149412196104
11612090
14873208
103
8070148
836385
102991111201177591
8477521091091459693
60127
900
141
11]969585110121
49161
105
1722159413098103
828464
14875207
110
9293143
93
836485
100100961059968107
87836110911515192
62132
1091
138
107939477103116
58178
95
16821098119105100
778062
14071193
95
7048146
10077102
10010589939568102
908968114116134
131
1243
120
97••9485
115119
71211
101
17S223104119116112
969975
15274214
105
84
150
P101
10585107
100103971031016897
848466104111128
• 8778
59136
118
969377124120
74212
14571204
P102
7669
P15180947591
1 Without seasonal adjustment. 2 Includes also lead and zinc; see "Minerals." P Preliminary. r Revised.NOTE.—For description see BULLETINS for February and March, 1927. For latest revisions see BULLETINS for March 1932, pp. 194-196, and
September 1933, pp. 584-587. Series on silk-loom activity and on production of book paper, wrapping paper, fine paper, box board, mechanicalwood pulp, chemical wood pulp, paper boxes, and lumber, usually published in this table, are in process of revision.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
J U L Y 1936 FEDERAL RESERVE BULLETIN 593
INDUSTRIAL PRODUCTION, BY INDUSTRIES (UNADJUSTED INDEXES)[Index numbers of the Board of Governors; without seasonal adjustment. 1923-25 average=100]
Industry1935
May- June July Aug. Sept. Oct. Nov. Dec.
1936
Jan. Feb. Mar. Apr. M a y
P105
11487
117
10010692951016896
82816410112612682
60140
Manufactures—Total .
IRON AND STEEL..Pig iron _.Steel ingots...
TEXTILESCotton consumptionWool
ConsumptionMachinery activityCarpet and rug loom activity..
Silk deliveries
FOOD PRODUCTSSlaughtering and meat packing..
HogsCattleCalvesSheep
Wheat flourSugar meltings
PAPER AND PRINTING:Newsprint productionNewsprint consumption..
TRANSPORTATION EQUIPMENT:AutomobilesLocomotivesShipbuilding
LEATHER AND PRODUCTSTanning
Cattle hide leathers....Calf and kip leathers...Goat and kid leathers..
Boots and shoes
CEMENT AND GLASS:CementGlass, plate
NONFERROUS METALS: l
Tin deliveries
FUELS, MANUFACTURED:Petroleum refining
GasolineKeroseneFuel oilLubricating oil
Coke, byproduct
RUBBER TIRES AND TUBES..Tires, pneumaticInner tubes
TOBACCO PRODUCTS..Cigars.:Cigarettes
Minerals—Total..
Bituminous coal...AnthracitePetroleum, crude..Iron oreZincLeadSilver
87
725773
10188117141'98'79110
7872529112215878
65124
1071371
105959383110112
65169
84
16020490104100
68
13668188
7113280736250
85
95'78114133107711037366458611014780
64123
1121027
1009588100106104
71165
73
166214921059785
959965
15073212
97
7185136105765646
83
645065
977511913910876126
7466419211115477102
58105
322
1079586100113115
63
85
167220851009281
818457
15273215
84
5051137102755762
87
795881
997712614911083117
74683810410916078
56107
251
116959093111130
57169
91
169219
103100
13970192
85
5736136109755759
836085
1069211513310874141
8174371191191689786
62125
281
64
1201009496121132
59181
92
17322394110102
80
14379193
92
61651391197956
856587
11610213416112178132
8684491291231709974
61132
771
35
11510310188124123
59193
17622710011010397
919376
14885200
100
8262141105787074
7091
11110112414611872116
87601231201469367
63134
1244
105
10410310480122105
58192
176225101115106102
9910375
14082189
5014337827073
95
906992
10510011412612266106
8291711151201428152
63137
1253
138
10610210081127108
46202
81
17422093121104107
10275
11955
8369142
95
836785
11011110812011466112
9296811121121548982
61119
108092
109999785116116
201
103
1702149612196105
10711082
14156204
75142
93
1081061171311177598
827557961011369391
125
930
100
1139910178114122
29174
1722159613098106
9267
13565188
106
140
97
946796
102105981079968103
8678629511613786113
61138
1241
107
110929569105122
42194
95
168210
95119105103
858767
13264
183
89
7040
145
70 64100
111
10311288909568
101
858061
10112612680
110
61141
1493
116
'10895
'9476
114'117
70235
101
178223103119116114
113117
14070
195
7165
150
102918873
116110
87231
119
14773
206
P101
6669
P1531209573
i Includes also lead and zinc; see "Minerals." p Preliminary. r Revised.NOTE.—For description see BULLETINS for February and March 1927. For latest revisions see BULLETINS for March 1932, pp. 194-196, and
September 1933, pp. 584-587. Series on silk-loom activity and on production of book paper, wrapping paper, fine paper, box board, mechanicalwood pulp, chemical wood pulp, paper boxes, and lumber, usually published in this table, are in process of revision.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
594 FEDERAL RESERVE BULLETIN JULY 1936
FACTORY EMPLOYMENT AND PAY ROLLS, BY INDUSTRIES[Adjusted to Census of Manufactures through 1931. 1923-25 average=100]
Industry and group
Total i_.
IRON AND STEEL AND PRODUCTS1
Blast furnaces and steel worksCast-iron pipeCutlery and edge toolsHardwareSteam, hot-water heating apparatus, etcStovesStructural metal workTin cans, etcWirework
MACHINERY iAgricultural implementsElectrical machinery, etcEngines, turbines, etcFoundry and machine-shop products..Machine toolsRadios and phonographsTextile machinery
TRANSPORTATION E Q U I P M E N T 1
AutomobilesCars, electric and steam railroad-LocomotivesShipbuilding
RAILROAD R E P A I R SHOPS..Electric railroadsSteam railroads
NONFERROUS METALS AND PRODUCTS1.Brass, bronze, and copperLighting equipmentSilverware and plated wareSmelting and refiningStamped and enameled ware
LUMBER AND PRODUCTS 1-FurnitureLumber, mill workLumber, sawmills
STONE, CLAY, AND GLASS PRODUCTS1
Brick, tile, and terra cottaCementGlassPottery ....
TEXTILES AND PRODUCTS1
A. Fabrics1
Carpets and rugsCotton goodsDyeing and finishingKnit goodsSilk and rayon goodsWoolen and worsted goods.
B. Wearing apparel1
Clothing, men'sClothing, women'sMillineryShirts and collars
LEATHER AND PRODUCTS _Boots and shoesLeather
FOOD PRODUCTS iBakingButterCanning and preservingConfectioneryFlourIce creamSlaughtering and meat packing..Sugar refining, cane
Factory employment
Adjusted for seasonalvariation
1936
M a y
85.8
80.180.957.176. 154.461.4
104.169.597.6
147.9
99.6134.177.1
118.884.8
106.2256. 469.3
96.7105. 256. 634.095.7
59.765.959.3
89.487.283.765.688.6
109.3
57.176.849.237.8
58.237.756. 795.669.6
94.290.779.289.7
107.1112.760. 388.798. 192.8
126.363. 0
105. 5
86.284.095.6
102.9114.874.0
106. 476.871.878. 383. 881.2
April
84.9
77.978.156.175.354.859.5
102.065.395.4
145.9
97.0132.675.3
118.482.4
104.4239.070.3
108.057.630.993.7
59.466.059.0
87.685.377.165.486.7
109.7
56.374.748.237.7
57.136.452. 695. 670.5
94.991.377.590.0
108.8112.863.989.299.196. 1
123. 761.4
109.7
87.085.294.7
100. 5115. 372.492.277.773.571.683.482.4
1935
M a y
'81.4
71.572.548.177.952.851.197.256.389.5
127. 8
84.994.170.799.972.781.8
200.062.6
94.0105.954.929.474.1
53.365.752.3
'83. 380.370.474.480.1
105. 4
51.370.540.233.4
53. 628.055. 393.170.9
93.691.078.987.3
110.0111.365.693.195.692.1
118.061.7
107. 0
89.187.994.5
'103. 1112.772.3
'116. 782.674.874.281.683.1
Without seasonal adjustment
1936
Mav
85.7
81.182.158.276.554.861.8
106.269.198.6
147. 5
99.1138.377.1
120.686.1
107.8215.470.4
105.5115.662.234.798.7
60.165.959.7
89.087.782.365.188.0
110.8
56.773.049.838.4
59.839.958.497.370.2
94.290.780.090.4
107.1113.460.586.797.988.3
132. 662.9
105.0
83.981.494.3
96.3114. 874.968.169. 070.582. 082.881.7
April
85.1
79.179.756.777.955.260.1
104.964.595.8
144.4
96.2140.475.3
120.383.8
105.9188.670.8
104.3114.162.231.499.8
59.966.059.4
88.786.878.065.588.5
112.8
55. 672.148.537.5
57.736.752.397.171.6
96. 191.979.690.4
111. 5114.964.887.8
101.793. 1
136.367.4
108.4
86.484.394.9
94.1113. 571.068.270.672.468.880.781.8
1935
M a y
'81.2
72.473.649.178.353.251.499.156.090.4
127.4
84.597.070.7
101.473.883.0
168.063.6
102.7116.460.330.176.4
53.665.752.7
'82.980.869.273.979.5
'106. 9
50.967.040.734.0
55.029.657.094.871.5
93.591.079.788.0
110.0112.065.991.195.387.6
123.961.6
106.5
86.785.293.2
'95.8112.773.2
r74. 774.373.577.780.683.6
Factory pay rolls
Without seasonal adjustment
1936
M a y
79.3
76.982.540.762.553.746.387.560.798.6
149.2
89.6168.871.191.878.4
101.7141.963.6
112.1124.068.617.095.6
61.662.761.6
75.273.380.448.964.997.3
48.156.743.931.3
49.329.544.093.052.8
77.076.468.877.387.7
105.449.467.273.863.395.254.3
101.9
65.956.895.9
92.7104.161.085.159.965.269.477.674.0
April
77.9
73.979.237.264.852.443.885.554.794.3
146.7
86.3172.568.691.175.497.5
118.062.5
110.3121.770.015.195.6
60.662.560.6
74.070.874.748.763.5
101.1
46.356.241.229.7
46.925.838.392.156.9
80.078.369.277.196.0
110.553.567.378.767.8
101.163.0
105.9
62.494.5
87.7100.456.578.860.563.857.673.673.9
1935
M a y
68.5
'58.361.127.459.642.334.574.240.987.0
106.9
67.8110.558.274.257.970.1
101.551.6
94.2105.165.813.865.7
52.560.252.0
'63.761.558.257.051.1
r83.3
34.847. 129.120. 1
40.317.736.881.650.3
75.574.973.770.786.2
102.054.571.272.164.489.448.6
103.9
72.366.790.0
r87.397.357.4
'83. 763.462.362.274.075.7
' Revised1 Includes current statistics for one or more industries not shown separately.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 595
FACTORY EMPLOYMENT AND PAY ROLLS, BY INDUSTRIES—Continued[Adjusted to Census of Manufactures through 1931. 1923-25 average=100]
Industry and group
TOBACCO PRODUCTSChewing and smoking tobacco and snuffCigars and cigarettes
PAPER AND PRINTINGBoxes, paperPaper and pulpBook and job printingPrinting, newspapers and periodicals..
CHEMICALS AND PETROLEUM PRODUCTS1
A. Chemical group, except petroleum 1 _ChemicalsDruggists' preparationsExplosivesFertilizersPaints and varnishesRayon and allied productsSoap . -.
B. Petroleum refining
RUBBER PRODUCTS1
Rubber boots and shoesRubber tires and inner tubes
Factory employment
Adjusted for seasonalvariation
1936
M a y
57.066.255.8
99. 688.4
111.090. 8
102. 7
111.2111.6112. 2100.486.2
104. 2110.4341. 498.2
109.6
81.862.166. 8
April
56.267.254.8
99.086.7
110.389.7
103.2
107. 6107.2108.3100.287.874.4
111.4331.195.7
109.4
82.162.467.0
1935
M a y
56.867.955.4
97.187.8
109.987.299.3
109.3109.5109.0100.490.6
103.7108.6326.9
98.9108.5
'•81.1»-55.970.2
Without seasonal adjustment
1936
M a y
56. 764. 655.7
99.085.0
111.089.8
103.0
110.0110.1110.396.883.1
110.7114.5341.497.5
109.4
83.059. 070.0
April
55. 465.254.1
98.684.3
110.389.1
103.5
110.7111.0109.098.485.3
138.0111.9331.1
96. 8109.4
82.159.868.1
1935
M a y
56. 666.355.3
96 584.5
109.986.299.6
108.0108.0107.196.887.3
110.1112.6326.998.2
108.3
'•82.4
73.6
Factory pay rolls
Without seasonal adjustment
1936
M a y
46.867.344.2
91.980.297.083.098.9
102.9102.7107.095.980.4
113.9106.0259.095.7
103.4
76.850.968.2
April
42.664.439.8
91 178.896.281.898.5
101.3101.2104.998.077.7
123.9100.7254.993.6
101.7
74.052.063. 2
1935
M a y
43.864.541.2
84 875.586.978.890.4
94.894.197.893.974.491.795.1
r237.193.896.8
66.543.258.7
r Revised.1 Includes current statistics for one or more industries not shown separately.NOTE.—The indexes for factory employment and pay rolls unadjusted for seasonal variation are compiled by the Bureau of Labor Statistics.
For description and back figures see BULLETIN for May 1934, pp. 270-271. For description and back figures for the seasonally adjusted index offactory employment compiled by the F. R. Board of Governors, see BULLETIN for June 1934, pp. 324-343, and December 1935, p. 888. Underlyingfigures are for pay-roll period ending nearest middle of month. May 1936 figures are preliminary, subject to revision.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
596 FEDERAL RESERVE BULLETIN JULY 1936
CONSTRUCTION CONTRACTS AWARDED, BY TYPES OF CONSTRUCTION
[Figures for 37 States east of the Rocky Mountains, as reported by the F. W. Dodge Corporation. Value of contracts in millions of dollars]
Month
January _FebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember
Year
Total
1935
99.875.0
122.9124.0126.7148.0159 3168.6167 4200.6188.1264.1
1, 844. 5
1936
204.8142.1199.0
'234.6216.1
Residential
1935
22.416.632.242.244.949.848.440.541 855 139.745.1
478.8
1936
37.431.255.267.270.3
Factories
1935
7.17.86.56.39.89.5
14 610.66 0
12 08.99.9
108.9
1936
9.013.418.425.512.9
Commercial
1935
10.89.2
12.215.213.915.015 817.313 616.612.812.0
164.5
1936
15.512.617.324.318.8
Public worksand public
utilities
1935
44.427.846.340.531.439 153 969.576.186 380.394.5
690 2
1936
76.948 362.373 463.6
Educational
1935
3.75 8
10.48 39.0
17 79.28.74 39 2
24.762.6
173.5
1936
39.521 119.223 220.7
All other
1935
11.47.9
15.411.517.716.817 421.925.621 321.740.1
228.7
1936
26.515.526.6
r21.129.8
rRevised
CONSTRUCTION CONTRACTS AWARDED, BYDISTRICTS
[Figures for 37 States east of the Rocky Mountains, as reported by theF. W. Dodge Corporation. Value of contracts in thousands of dollars]
Federal Reserve district
BostonNew YorkPhiladelphiaClevelandRichmondAtlantaChicagoSt. LouisMinneapolisKansas CityDallas
Total (11 districts)
" Revised.
1936
May
16,05940, 28413, 70121, 71823, 41814,51241, 61916,4098,938
10, 8898,521
216,071
Apr.
19, 95245,12814,81024,18419, 23020, 275
'37, 252'16, 737
8,56110, 94017, 562
••234, 632
1935
M a y
13,10426, 6575,2149,555
13,04110, 49422, 6878,1064,7125,7727,377
126, 720
COMMERCIAL FAILURES, BY DISTRICTS[Figures reported by Dun & Bradstreet. Amounts in thousands of
dollars]
Federal Reservedistrict
BostonNew York __PhiladelphiaCleveland.. __ .RichmondAtlanta _Chicago. _St. Louis...MinneapolisKansas CityDallasSan Francisco
Total
Number
1936
M a y
8724547764417
1094034301390
832
Apr.
8027347613729
1042525351797
830
1935
M a y
11134343862638
10945223930
112
1,004
Liabilities
1936
M a y
1,6607,988
4671,042
611150
1,69148023624376
731
15, 375
Apr.
1,6884,542
4761,452
4371,6341,725
296221226520940
14,157
1935
M a y
1,6185,531
9001,114
443284
1,892272208394335
1,348
14, 339
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 597
MERCHANDISE EXPORTS AND IMPORTS[In millions of dollars]
Month
JanuaryFebruary . ._March
April .May _.June
JulyAugustSeptember
OctoberNovemberDecember
Year
1932
150154155
135132114
107109132
153139132
1,611
Merchandise exports i
1933
121102108
105114120
144131160
193184193
1,675
1934
172163191
179160171
162172191
206195171
2,133
1935
176163185
164165170
173172199
221270223
2,283
1936
]99182195
193P 201
Merchandise imports 2
1932
136131131
127112110
799198
10510497
1,323
1933
968495
88107122
143155147
151129134
1,450
1934
136133158
147155136
127120132
130151132
1,655
1935
167152177
171171157
177169162
189169187
-2,047
1936
187193199
203p 191
Excess of exports
1932
152324
920
4
271734
483435
288
1933
251813
177
- 2
1- 2 3
13
425659
225
1934
373033
336
34
345260
774438
478
1935
9118
- 6- 513
- 33
37
32100
r 37
235
1936
11- 1 1r _ 4
-10P 10
p Preliminary. r Revised.1 Including both domestic and foreign merchandise.2 General imports, including merchandise entered for immediate consumption and that entered for storage in bonded warehouses.Back figures.—See BULLETIN for January 1931, p. 18, and for March 1932, p. 1Q0.
FREIGHT-CAR LOADINGS, BY CLASSES[Index numbers; 1923-25 average=100]
TotalCoal .CokeGrain and grain products _„LivestockForest products __ .OreMiscellaneous .__Merchandise i
TotalCoalCokeGrain and grain products .__Livestock .Forest products .OreMiscellaneousMerchandise L
1935
M a y Jan. Feb.
1936
Mar. April M a y
Adjusted for seasonal variation
616750684133476463
707873703842627964
709779683336627462
666355854140647762
697761864140537763
707370O
O C
O
44718064
Without seasonal adjustment
616050553835716765
638880673938156360
6510689663137156360
626056723542157363
666458663842277965
716570693746
1078366
1 In less-than-carload lots.
Based on daily average loadings. Source of basic data: Association ofAmerican Railroads.
Back figures.—See BULLETIN for February 1931, pp. 108-109.
DEPARTMENT STORES—SALES, STOCKS[Index numbers based on value figures; 1923-25 average=100]
Month
January .FebruaryMarch.
April __MayJune . _
July . .AugustSeptember
OctoberNovember . _December
Year .„ _
Index of sales l
Adjustedfor seasonal
variation
1935
747582
737680
807881
778184
1936
798088
8188
Without,seasonal
adjustment
1935
596171
797676
556186
8691
145
79
1936
636677
8588
Index of stocks (end ofmonth)
Adjustedfor seasonal
variation
1935
646463
646463
616264
666765
1936
666565
6566
Withoutseasonal
adjustment
1935
576165
666661
576067
727561
64
1936
586267
6867
p Preliminary.1 Based throughout on figures of daily average sales—with allowance
for changes from month to month in number of Saturdays and Sun-days and for 6 holidays: New Year's Day, Memorial Day, IndependenceDay, Labor Day, Thanksgiving Day, and Christmas. Adjustment forseasonal variation makes allowance in March and April for the effectsupon sales of changes in the date of Easter.
Back figures.—See BULLETIN for April 1935, pp. 254-255, and AnnualReport for 1934 (table 95).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
598 FEDERAL RESERVE BULLETIN JULY 1936
WHOLESALE PRICES, BY GROUPS OF COMMODITIES[Index of Bureau of Labor Statistics. 1926=100]
Year, month, or week
1929193019311932193319341935
1935—April . _MavJuneJulyAugustSeptemberOctoberNovemberDecember
1936—JanuaryFebruaryMarch _ _ _AprilM a y
Week ending—1936—Mar 7
Mar. 14Mar. 21Mar. 28 _Apr. 4Apr. 11Apr. 18Apr. 25May 2May 9May 16May 23May 30June 6June 13June 20June 27
Allcom-modi-ties
95.386.473.064.865.974.980.0
80.180.279.879.480.580.780 580.680.9
80.680.679.679.778.6
79.779.279.379.379.279.579.779.679.178.678.178.278.478.478.778.779.4
Farmprod-ucts
104.988.364.848.251.465.378.8
80.480.678.377.179.379.578.277.578.3
78.279.576.576.975.2
77.776.476.776.876.376.977.477.877.176.274.475.075.976.577.477.480.2
Subgroups
FARM PRODUCTS:GrainsLivestock and poultryOther farm products.
FOODS:Butter, cheese, and mCereal productsFruits and vegetablesMeats _ _Other foods
7-
ilk
HIDES AND LEATHER PRODUCTS:Boots and shoesHides and skinsLeather.Other leather products
TEXTILE PRODUCTS:ClothingCotton goodsKnit goodsSilk and rayonWoolen and worsted jOther textile products
?oods
FUEL AND LIGHTING MATERIALS:Anthracite _Bituminous coalCoke . .ElectricityGasPetroleum products.
. . .
193,
Ma:
Foods
99.990.574.661.060.570.583.7
84.584.182.882.184.986.185.085.185.7
83.583.280.180.278.0
81.479.779.979.779.780.281.180.479.178.077.477.578.478.779.479.781.0
83.287.675.0
77.792. 366.397.077 7
97 576.179. (84 4.
>
I
78 582.760.427 673.568.2
73.095.788.788 792.052.2
Feb.
78.390.372.7
85.7'88.562.492.178 1
100.596.786.095 4
80 778.162.031 682.867.2
82.6100. 193.786 282.155.7
Other commodities
Total
91.685.275.070.271.278.477.9
77.277.678.078.077.977.878.378.878.7
78.879.078.978.978.8
79.079.078.878.878.879.079.179.078.978.978.878.778.878.778.878.778.8
Hides andleather
products
1936
Mar.
75. 688.369.1
80.385.865.189.772 4
100.491.085.095 4
80 777. 162. 130 983.867.2
82.599.493.784 484.456.0
Apr.
73.988.370.4
78.884.267.891.072 4
100.390.184.595 4
80 876.262.030 182.267.5
80.096.893.782 884.857.9
109.1100.086.172.980.986.689.6
86.388.388.989.389.690.993.695.095.4
97.196.194.994.694.0
95.795.595.395.395.195.195.295.294.994.994.894.394.394.694.694.494.4
I
M a y
70.682.571.4
75.082.272.385.171 5
100.287.384.495 4
81 175. 560.629 182.267.5
76.696. 593.7
"58." 2"
Textileproducts
90.480.366.354.964.872.970.9
69.269.470.170.270.971.872.973.473.2
71.771.070.870.269.8
70.470.470.470.470.169.969.969.769.769.669.569.269.269.169.369.469.5
Fuel andlighting
materials
83.078.567.570.366.373.373.5
72.873.174.274.774.173.073.474.574.6
75. 176.176.2
r 76. 476.0
77.377.276.776.776.877.677.577.477.377.276.976.876.876.776. 676.476.4
Metalsand metalproducts
Buildingmaterials
100. 5 95.492.184.580.279.886.986.4
85.986.686.986.486.686.686.586.986.8
86.786.786.686. 686.3
86.085.985.985.785.985.986.086.086.086.085.785.785.785. 785.785. 585.4
89. £79.571.477. (86.585.2
84. f84.?85. ?85.585.485. c86.185.585.^
85.785. f85. Z85.785. £
85. C85.185.185.585.285.485.485. £85. £85. C85. £85. f85."85."85.885. (85. (
Subgroups
M E T A L SAgricIronMoteNonf
BUILDIN(BriclCemLumPain
AND METAL PRODUCTultural implements.,and steel . .>r vehicles,errous met1 MATERIAc and tile .
rs:
alsLS:
ber _ . _ _ _t materials
Plumbing and 1Structural steelOther building
CHEMICALS AND DBChemicals
leating
materialsoUGs:
Drugs and pharmaceuticaFertilizer materialsMixed fertilizer
HOUSEFURNISHINGFurnish in esFurc
MlSCELL
Is
s _GOODS:
itureANEOUS:
Auto tires and 1Cattle feedPaper and pulpRubber, crude-Other miscellan
,ubes
eons
Chemi-cals and
drugs
1935
M a y
93.686.694.469.2
89.394 979.879 967.192.089.8
87 574.265 973. 1
84 177.1
45.0107.080.024.979 4
94.289. 179.373. 572.675.980.5
81.081.280.778.778.680.281 181.280.6
80.580.179.378 577.7
79.479.079.079.179.179 078 978 277.877,577.377.377.477.377.377.678.0
House-furnish-ing goods
94.392.784.975.175.881.580.6
80.780.680.580.480.580.580.681.081.0
81.481.581.481.581.5
82.782.682.682.782.782.882.882.882.882.882.882.882.982.982.982.982.6
Miscel-laneous
82.677.769.864.462.569.768.3
68.768.768.467.767.367.167.567.467.5
67.868.168.368.669.2
68.268.268.268.268.268.368.668.668.668.469.269.169.169.069.369.670.1
1936
Feb.
94. 986.993.669.7
88.495 582.379 573.892.089.5
87 073.264 568.8
85 077.9
45.068.179.932.080 6
Mar.
94.286.394.069.9
88.995.582.679 273.892.088.5
85 973.064 868.3
84.977.9
45. 067.980.332.980. 6
Apr.
94.286.394.070.4
89.095.583.279 373.892.089.1
85 573.264 664.5
85.078.0
45.074.080.533.080.6
M a y
94.286.393.070.7
88.895.583.078.873.892.089.9
84.173.264.765.3
85.077.9
47.571.280.532.380.7
r Revised.Back figures.—For monthly and annual indexes of groups, see Annual Report for 1934 (table 100); indexes of subgroups available at Bureau
of Labor Statistics. For weekly indexes covering 1934, see Annual Report for 1934 (table 101).
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 599
INTERNATIONAL FINANCIAL STATISTICSGOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS
[In millions of dollars]
End of month
1935—January. __February. _MarchAprilMayJune _JulyAugustSeptemberOctober. __NovemberDecember.
1936—January. __February. _MarchAprilMay..June
Total*(52
coun-tries)
21,16121, 30321, 37721,14020, 75520, 96320, 95421, 03821,11521, 50021, 39621, 58321, 59821, 66521,711
"21, 469P21, 362
UnitedStates
8,3918,5278,5678,7108,8589,1169,1449, 2039, 3689,6939,920
10,12510,18210,16710,18410, 22510, 402
"10, 608
Can-ada
132135190187189188188193186186188189186186184187188
Europe(26
coun-tries)
10, 95610, 93810, 88910, 5369,9729,9319,8969,9249,8479,8809,5439,5179,4679,5299,5479,312
"9, 024
LatinAmer-
ica(11
coun-tries)
598598602603622617615617619641641645646648642
"642"641
Asiaand
Ocean-ia (8coun-tries)
810812814810812812803803804807813816817825830836
"839
!
Africa(5
coun-tries)
275293315293302299308298291291291291300310323268
"268
Europe
UnitedKing-dom
1,5861,5861, 5861,5871, 5871,5881,5881,5931,5951,6041,6281,6481,6521,6531,6531, 6701,7011,782
France
5,4385,4395,4795,3664,7594,7084,7264,7564,7704,7734,3884,3954,3244,3624,3484, 1063,781
P3, 580
Ger-many
3232333333353838383536333129292828
P29
Italy
519519519519519498468419379346330270
2 270270270270270270
Bel-gium
599596532518605634624612604609615611600593586581610
J-638
Nether-lands
555552553439440427380402365401427438455463486483465404
Switzerland
Na-tionalBank
600586560446390391421446448453455454454472493495485460
B.I.S.
444559888
1198
111088
11
End of month
1935—January...February..MarchAprilMayJuneJulyAugustSeptemberOctober. __NovemberDecember.
1936—January. _.February. .MarchAprilMay.June _ __
End of month
1935—January ___February._MarchAprilM a yJuneJuly. . .AugustSeptemberOctober...NovemberDecember.
1936—January...February..MarchAprilMay
Europe—Continued
Austria
454545454545454545454546
4646464646
Bul-garia
191919191919191919191919
1919191920
Czecho-slo-
vakia
112112112112112113113113113113113112
112112113113113
Den-mark
606060606060605454545454
5454545454
Greece
393938373736363536363534
3433323235
Hun-gary
232323232323232323232323
2323232323
Latin America
Ar-gen-tina
403403403403420420420420420441441444
444444438438438
Chile
292929292929292929292929
292929
"29"29
Co-lom-bia
151414141414141414151616
1718181716
Mex-ico
212326
3 262626262626262626
262626262(3
Peru
191919202020202020202020
202020
"19"19
Uru-guay
828182828276747474747474
74747474
"74
5othercoun-tries
272829293132323435363536
36373838
"38
Nor-way
China
10899
12106578
1110
11151515
"15
616161616675758484848484
8484848484
"89
Brit-ish
India
275275275275275275275275275275275275
275275275275275
Poland
969696979797979789868484
8485817271
Portu-gal
686868686868686868686868
6868686868
"68
Ruma-nia
104105106106106107107108108108109109
109110110111111
Asia and Oceania
Japan
395397398400403407410413416418422425
428431433435439
Java
788080767168615855555454
5454586161
NewZea-land
252525232323232323232323
2323232323
Spain
Tur-key
222222222323232323232424
2424242424
740740741741741741741741734734735735
735735726726718
Swe-den
159159160160161161162162165174180185
194200206209220
Yugo-slavia
2othercoun-tries
555556556556
3333
?3
Egypt
555555555555555555555555
55555555
"55
373836384040404040414343
4444444545
Africa
SouthAfrica
196214236214223220230219212212212212
221231244189189
6 othercoun-tries
5958595657
. 57575962626363
63656767
"68
3othercoun-tries
242424242424242424242424
24242424
"24
v Preliminary.1 See notes under Italy and Mexico.2 Figure for December 1935 carried forward.3 Figure for March 1935 carried forward.NOTE.—The countries for which figures are not shown separately are in Europe: Albania, Danzig, Estonia, Finland, Latvia, and Lithuania;
in Latin America: Bolivia, Brazil, Ecuador, El Salvador, and Guatemala; in Asia and Oceania: Australia, and Siam; and in Africa: Algeria, BelgianCongo, and Morocco.
For back figures and for full description of this table, see BULLETIN for May 1932, pp. 311-318; June 1933, pp. 368-372; December 1934, p. 801;November 1935, p. 758, and pp. 544-547 in the current issue.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
600 FEDERAL RESERVE BULLETIN JULY 1936
GOLD PRODUCTION[In thousands of dollars]
Year or monthEstimated
worldproduc-
tion »•
Production reported monthly
Total r
Africa
SouthAfrica
Rho-desia
WestAfrica
BelgianCongo
North and South America Far East
Canada UnitedStates' Mexico Colom-
bia Chile Austra-lia Japan British
India
$1=25-8/10 grains of gold 9/10 fine; i. e., an ounce of fine gold = %20.67
1929..1930..1931..1932..1933..
404,969430, 725461, 592499, 241524,390
359,347373,154394, 399421, 656420,093
215, 242221, 523224,853238, 931227, 673
11, 60711, 47611,19312,00013, 335
4,2974,9955,5245,9926,623
2,3902,6993,2243,6423,631
39, 86243, 45455, 68762, 93360,958
45, 83547,12349, 52450, 62552, 842
13, 46313, 81312, 86512,07013,169
2,8233,2814,0165,1326,165
683 ;428 i442788 •
3,009 •
8,7129,55312,13414, 56316, 790
6,9278,0218,1098,1988,968
$1=15-5/21 grains of gold 9/10 fine; i. «., an ounce of fine gold=$35
1933..1934..1935..
1935-MayJune..JulyAugustSeptember..OctoberNovember..December...
1936—JanuaryFebruary. _.MarchAprilMay
887, 845963, 369
1,044, 472
82, 90086, 67095, 09796, 24697,134
100,78094, 63390,675
83, 355P 82,464P 86, 691P 87, 601P 94,015
711,260722,970771, 673
63, 11663,18667, 21467, 36368, 25069,19766, 050
' 70, 492
65, 771P 64, 681P 67, 808p 68, 417P 70, 332
385, 474366, 795377, 090
32, 07231, 08932, 45832, 66731, 47232, 59631, 67131, 829
32, 27531, 29032, 70931,99132, 826
22, 57824, 26425, 477
2,1772,1012,1502,1552,0092, 4032,2052,272
2,3202,2012,3592,410
P 2, 415
11,21412,15313, 625
1,1621,0951,0951,1521,1601,2491,1811,174
1,2211,1641,326
P 1, 470P 1, 470
6,1486,5497,159
627588615631590614614542
592574544543
P543
103, 224104, 023114,816
9,42310, 002
9, 98810,3039,813
10, 56010, 26110, 756
9,7149,325
10, 46910,474
P 10, 797
89, 467107. 632
r126,325
9,8079,772
11,97710, 78712, 29212, 88711,06713, 342
10,1959,650
10,96911,06211,894
22, 29723,13523,858
1,0481,1662,] 812,5323,2871,6711,1152,583
2,092P 2, 835P 1, 645P 2, 625P 2,380
10,43812,04511,517
945857
1,0011,125
9781,035
981834
1,3351,159
r 1,0401,095
P 1,155
5,0948,3509,251
6511,113
546536
1,088506937905
770918
1,147PI , 147PI, 147
! 28, 428: 30,447i 31,117
i 2,533i 2,623i 2,635
2,8442,9392,9233,2793,423
i 2,690; 2,801! 2,882P 2,882P 2,882
15,18316,35420,043
1,7171,8441,6101,6691,6741,7791, 7851,866
1,5951,843
P 1, 750P 1, 750P 1, 855
7,5086,7856,8156,7826,919
11,71511,22311,394
954937958961949974953
971920968
p 968
p Preliminary.r Revised. Monthly figures for United States (including Philippine Islands) for 1935 represent estimates of American Bureau of Metal Statistics
revised by subtracting from each monthly figure a constant amount so that the aggregate for 1935 is equal to the final annual estimate compiled byBureau of Mint in cooperation with Bureau of Mines.
NOTE.—For monthly figures back to January 1929 and for explanation of table see BULLETIN for April 1933, pp. 233-35, February 1934, p. 108,November 1934, p. 737, and April 1936, p. 284. For annual figures of world production back to 1873 see Annual Report of Director of the Mint for1935, pp. 107-108. Figures for Canada beginning January 1935 are subject to official revision.
GOLD MOVEMENTS[In thousands of dollars at approximately $35 a fine ounce]
Year or month
1934 i1935
1935—MarchApril _.MayJuneJuly. . . .August _.SeptemberOctoberNovember.December.
1936—JanuaryFebruary .MarchApril... __MayJune
United States
Totalnet
importsor net
exports
1,131,9941,739,019
13,003148,608140, 016230, 373
16, 22945, 983
156, 719315,347210,567190, 010
45, 643-16,635
5,48028,055
169,952277, 775
Net imports from or net exports (—) to:
UnitedKingdom
499,870315,727.
-1871,4811,689
938315
37,114109, 954
7.1018,600
5,786-2,890-1,792
1,4934,0033,644
France
260,223934, 243
5632, 510
124,052194, 298
4040, 423
156, 977180,141145, 388
3, 514-17,180
131,564
133,157202, 983
Belgium
8,9023
3
1
2
Nether-lands
94,348227,185
94, 8903,885
22,061975
28, 27737.81117, 6052,6764,727
-3,421—343
8 75138,811
Switzer-land
12,402968
629
Canada
86, 82995,171
4,44910, 9683,0538,7345,7705, 398
15, 0699, 3685,8659, 060
10, 745273
1,67711, 2321,695
551
Mexico
30,27013, 667
833923948679722753699762880748
764659772713
4,32214, 584
Colom-bia
16,94410,899
1,4072
1,752
1,750
11, 746
28
1, 743
1,7422,1002,104
BritishIndia
76,82075,268
2,1392,924
167
286,671
19,82112, 3598,913
11,108
11, 744
5,1069,7205,947
Chinaand
HongKong
16,4529,431
334313507448438
1,127640
1,1251,0071,605
1,176740
385847603
Allothercoun-tries
28,93556, 453
3,9724,5963,9623,2156,5153,7115,1414,8173,9568,774
10,1705,1855,1545,8195, 3578,546
1 Differs from official customhouse figures in which imports and exports for January 1934 are valued at approximately $20.67 a fine ounce
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
J U L Y 1936 FEDERAL RESERVE BULLETIN 601
GOLD MOVEMENTS—Continued[In thousands of dollars at approximately $35 a fine ounce]
Year or month
19341935
1935—JanuaryFebruary. . .MarchAprilMay. . . . . . . . .JuneJulyAugustSeptember.OctoberNovember.December..
1936—January....February...MarchAprilM a y
United Kingdom
Totalnet im-
portsor net
exports()
716, 269369, 747
- 4 , 279- 3 6 , 565
66, 55736, 529
146, 289118,057
16, 28939, 016
-36,086-36,158
18, 28540, 811
41,97438, 64947, 66677,13774, 590
Net imports from or net exports (—) to:
UnitedStates
-497,166-435, 502
- 7 9 , 628-74,127
66- 2 0 , 533
- 3 , 247-18,547-1,141
-12,871-81,032-87 , 929- 3 3 , 744-22,075
-12,0591,1363,440
- 9 , 465-12,611
France
348,190142,137
4,270-17,739
26, 612- 3 3 , 348
69,12886,923
- 5 , 719- 5 , 697-5 ,663- 2 , 73925, 198
910
3,202- 3 , 253
6,73812, 71025, 935
Ger-many
121,017- 4 , 726
362853
266209
-943-4,416
- 2 6236850
114
7817392
4,2951,875
Bel-gium
-13,585-17,476
-349-951
-1,992-1,013-1,962
-11,601118822
217
- 2 7
943399
-1,383-17,602
Nether-lands
32, 57510, 796
8,7802,145
5133, 2375,780- 5 9 3
-11,8881,642
- 3 6-1,136
-20 , 204- 6 , 9 8 2
-591- 7 , 569
-13,354-1,409
1,761
SouthAmer-
ica
17, 5688,832
3812,05;1,195
152410292261287322
2, 535461480
31113843014531
Canada
26,31616, 565
2,970424
2,6963,5702,831
449
281,7981,798
5,9584,090
8991,708
BritishIndia
203,711181, 627
24,04619,09315,45716, 2492,9627,1595,66326,10225,30111,90012,85714,838
11, 03511, 68510,8969,41313, 289
StraitsSettle-ments
4,8633,198
1288
29669348442940542070
1345654
5663698764
Austra-lia
41, 79037,981
4,0663,0672,6851,9202,838
5^3754,1483,6623,4142,8421,995
1,2,0372,5743,3292,167
SouthAfrica,Rho-desia,WestAfrica
335, 253404, 295
37, 23118, 66912, 66117,65855,84742,47333, 53235, 51229,94944,99533, 32542, 442
39,85226, 45431,03355,10853,802
Allothercoun-tries
92, 73722,020
-3,12411,1056,503
20, 82311,1436,933
- 8 , 731-11,032-8 ,683- 7 , 644-4 ,353
7,265
1,8931,7921,5583.4092', 883
Year or month
19341935
1935—January. _.February. .MarchAprilMay _.JuneJulyAugustSeptemberOctoberNovember.December.
1936—January...February. .March P . .April PMay p-.---
France
Total netimports or
net ex-ports (-)
-408,961-817, 309
7,796- 3 2 , 479
19,11899,395
-195,876-393, 551-12,206
50, 77026, 482
- 6 8 , 693-246,615-71,450,
40,39323, 37513, 923
-57,613-169,641
Net imports from or net exports (—) to:
UnitedStates
-242,363-909, 665
-15,376-50, 314
648-28, 566-77,803-223,070
41414
-23, 688-157,153-258, 554-76,217
-8902,36412, 209-6, 234
-120,660
UnitedKingdom
- 3 5 1 , 729-120,053
- 2 , 9318,670
14, 67638,332
- 5 3 , 283-110,834-13,150
4, 9058,811
- 7 2-15,060
-117
- 4 , 695- 2 , 740-5,915
-12 , 241- 2 4 , 575
Ger-many
31,036-13,592
11513
-474- 5 9 4-190
- 1-1,990
-700-9,178
11-595
2.636-2212,037
- 13
Belgium
-17,6-186,937
- 9 9 4-2 ,497- 3 , 851
- 2 6 , 395-109,195
- 5 6 , 265- 4 5
-1 ,14827, 2244,597
- 8 , 235-10,133
- 4 0- 5
1,495-13,165-27,139
Italy
91,021195, 369
25, 755
-406620
2,127, 4175,561
89,06235, 433
36, 59818, 299
Nether-lands
74,99521,183
249-2013, 907-885
-1 ,101-650
25, 759-1325,221
-11,24535~
- 7 8 9- 4 3
-8 ,138- 2 7 , 604-2 ,019
Poland
-1,3717,227
-206- 6
- 1 21,995
2391
-180-482-917-8987,539
-127-330-174-1758, 309
SouthAfrica
74610, 241
681
11,482
Switzer-land
23, 648176,420
1,23111,9757,r~
111, 29244, 621
-3 ,4311,295
-3,418236
-1,1721,1004,702
8,1106,9923,6191,060
-3,912
All othercountries
-17,2762,493
300- 6 2 9-137
-1 ,3791,667
321-1 ,981
-290606900
2,397719
- 4 1 1-940
i 8, 791748346
v Preliminary.
1 $9,079,000 imported by France from Spain in March 1936.
NOTE.— United Kingdom.—In some cases the annual aggregates of the official monthly figures differ somewhat from the revised official totalspublished for the year as a whole.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
602 FEDERAL RESERVE BULLETIN JULY 1936
GOLD MOVEMENTS—Continued[In thousands of dollars at approximately $35 a fine ounce]
Year or month
19341935
1935—Jan..Feb..Mar.AprilMay.June-July.Aug..Sept.Oct..Nov.Dec.
1936-Jan..Feb..Mar-April.May.
Germany
Totalnet
importsor netexports
-90,92042,969
28'29511273S
6, 6662,8769,5254,7694,355
10, 566780
2,004
- 2 , 584-1,307
-258-1 ,201
-630
Net imports from or net exports (—) to:
UnitedKing-dom
-109,3865,180
67- 4 9- 1 9- 5 0
-2061,0574,504
33- 4
- 4 9- 1 7- 8 7
- 9 345
- 6 0-4 , 343- 3 , 935
France
-42,90713, 225
456
745418275
43,972
1427,058
5591
-2, 510-2,054
- 1 93
- 1
Nether-lands
-28,1147,394
8375
-10787
2371,014
810693480
2,532680810
-189647
-3222,9323,146
Switz-erland
163
- 2 346
- 9-162
2612
4,11317
4,0141,116
67671
77632522
U.S.S. R.
85,3906,376
144
441,100
Allothercoun-tries
3,934905
12218241
7191
5179454
-276- 9 3
45
131- 811818691
Netherlands
Totalnet
importsor net
exports
-122,664-198,549
-18,300- 2 , 899
510-120,492-5,080-14,797-26,102-4,514
-37, 290-13,08038, 7464,749
16, 96710, 42535, 80631, 083
-27,093
Net imports from or net exports (—) to:
UnitedStates
-46,040-221, 245
-15,605-2,495
37-97, 632- 2 , 810-19,259-29, 215
-40, 868-10,373-3, 026
3,435574
-10,153
UnitedKing-dom
-31,03818, 397
-3, 221-352
-1,299-20, 890- 1 , 5621,37515, 702-1522,861514
20,0845,334
1,7617,66412, 8421, 384
- 2 , 206
France
- 7 8 , 610- 4 1 , 260
11064
617-20, 966
27766'
-21 , 909- 9 , 436
249-1 ,33910, 564
-149
170- 4 0
8,48931, 428
67
Ger-many
25, 716-5 ,142
- 6 677
- 9 3-210
162-862-462- 8 6
-160-2, 046
-239-561
192-339-312
-1,568-3, 010
Bel-gium
9, 28548, 004
-161-1591,066
20, 081-2893,3799; 5632,900
133275
11, 248
14, 291- 3
13, 69373
-11,829
Switz-erland
-4, 784-1,257
27-197-136-862
71113- 8
- 2 39
-114- 8 6- 5 2
- 1 1-474
- 4 7- 6 6
-391
Allothercoun-tries
2,6083,956
617163319
- 1 5-929-210
2272,283
4882
199183
564181569
-166427
Year ormonth
19341935
1935—JanFebMarAprilMayJuneJulyAugSeptOctNovDec
1936—JanFeb. _MarAprilMay
Switzerland
Totalnet
importsor net
exports()
- 4 6 , 065-230, 788
-4 ,125-15,025-17,830
-139,633- 6 3 , 229
- 5 , 6401,4179, 3285,8451,367-934
- 2 , 330
2,4626,57121,41322, 57012,896
Net imports from or net exports (—) to:
UnitedStates
-12,784647
- 1 7- 5 1
5324
107163
32
UnitedKing-dom
-45,955-54, 858
-216-2 ,108-6,839
-31,619-17, 878
5491,610
- 3 83,0171,085-332
-2 ,1
-195-518-841-131
- 4 , 788
France
- 2 9 , 235-181,725
- 4 , 344-16,117-16,148
-107,021- 3 8 , 514
2,6842,9981,273
- 2 4881
- 3 , 227-4,166
- 6 , 783- 5 , 705- 3 , 492
7,292284
Bel-gium
18,397-13,940
225415
7- 5 , 972-8,651
- 1
16
21
471,8211,724
- 3
Italy
19,43125, 542
4722, 6894,7342,110303-74
4,0803,3121,3431,8494,724
9,4969,61221, 5376,9701,449
Neth-er-
lands
2,580
-218-90-2021,041-409153262519
-766241-49-139
-1371,37756729132
Allothercoun-tries
1,500- 6 , 795
198428207
-4, 475-760-352
-3, 4553,430
184-2, 344
825
34- 1 6
1,917i 8,41315, 794
British India
Totalnet
importsor netexports
()
-230, 720-161,872
-16,334-17,746-18,439
- 3 , 675- 6 , 604- 3 , 824
- 2 2 , 383- 2 5 , 464-11,400-11,160-14,540-10,303
-13,809- 9 , 846-7,667
-10,351P - 8 , 4 0 9
Net imports from or netexports (—) to:
UnitedStates
-82,183-17, 394
-1,249-2, 367
'-30
10-6, 309-2, 648-1,330-1, 573-1,199
-559
-122-889
UnitedKing-dom
-144,185-145, 510
-15,293-15,108- 1 8 , 585' - 3 , 8 0 0- 6 , 558- 4 , 078
-21,575- 1 8 , 922- 9 , 1 1 '
-10,032-13,199
- 9 , 243
-12,888- 9 , 616- 7 , 258-9 ,711
Allothercoun-tries
- 4 , 3521,032
208-271
146155653254
-818-233
365202232139
-362-230-287
249
Goldpro-duc-tion
inIndia
11,22211,393
Reserves
India2
173- 6
946903955938954937958961949974953966
971920968
Change in:
Privatehold-
ings inIndia3
-219,671-150,472
-15,386-16,844-17,479
- 2 , 737- 5 , 650-2 ,887
-21,425- 2 4 , 503-10,451-10,186-13,587
- 9 , 337
-12,838- 8 , 926- 6 , 699
P-9, 383P-7,441
v Preliminary.1 $8,444,000 imported by Switzerland from Czechoslovakia in April and $15,933,000 in May 1936.2 Through March 1935 gold held by Government; subsequently, gold held by Reserve Bank of India to which Government gold was transferred.3 Figures derived from preceding columns; net imports plus production minus increase in reserves in India.
NOTE.—Germany, Netherlands, and Switzerland.—In some cases the annual aggregates of the official monthly figures differ somewhat from therevised official totals published for the year as a whole. German gold movements by individual countries, beginning with January 1936, are subjectto official revision.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN
CENTRAL BANKS
603
Bank of England
(Figures in millions ofpounds sterling)
1935—Apr. 24M a y 29June 26July 31Aug. 28Sept. 25Oct. 30Nov. 27 . _Dec. 25
1936—Jan. 29Feb. 26Mar. 25Apr. 29 .M a y 27. .June 24
Bank of France
(Figures in millions of francs)
1935—Apr. 26M a y 31June 28July 26 . _Ausr. 30Sept. 27Oct. 30Nov. 29Dec. 27
1936—Jan. 31Feb. 28Mar 27Apr. 24May 29June26p
Rei chsbank
(Figures in millions ofreichsmarks)
1935—Apr. 30M a y 31June 29July 31Aug. 31Sept. 30 ._Oct. 31Nov. 30Dec. 31._ . _ . __.
1936—Jan. 31Feb. 29Mar. 31Apr. 30 _._M a y 30June 30P
Gold (inissue
depart-ment)1
192.6192.6192.7192.8193.4
' 193.6194.7197.6200.1
200.5200.6200.6202.7206. 4216.3
Gold
80, 93371, 77971,01771,27771, 74271, 95271,99066, 19166, 296
65, 22365, 78965, 58761,93757,02253, 998
Assets of banking department
Cash reserves
Coin
.5
.8
.6
.6
.7
.8
.8
.8
.6
.6
.7
.8
.8
.91.0
For-eignex-
change
1,0662,1501,2101,2401,2361,2321,2621,3851,328
1,3241, 3091,2971, 3051,4271, 298
Notes
59.462.255.944.553.855.454.856.335.5
63.360.754.145.940.341.5
Domesticbills
4,2807,1378,0217, 3017,5758,0608,373
11,0059,712
9,2109, 758
12,05314, 39219, 3817,725
Dis-countsand ad-vances
5.85.3
10.210.812.912.411.29.58.5
18.811.05.08.36.77.6
Securi-ties
97.496.7
108.6100.793.595.498.298.494.7
94.096.297.0
114.0104.7116.1
Notecircula-
tion
393.2390.4396.9408.3
Assets
Ad-vances
toGov-ern-
ment
314,382
Loans on—
Short-term
Govern-ment se-curities
10937735692543192371
1,090573
969932671623796
1,047
Othersecuri-
ties
3,0943,3713,2773,1713,1033,0983,1413,2673, 253
3, 3503, 2503,3253, 3493,3813,441
599.6598.2599.9401.3424.5
397.1400.0406.5416.9426.1434.8
Liabilities of banking department
Deposits
Bankers'
98.188.0
102.475.796.987.282 590.972 1
106 0106.283.6
104.778.390.8
Negotia-ble se-curities
5,8055,8055,8055,8055, 8905,8005,8005,8005,800
5, 7085, 7085,7085,7085, 7085, 708
Otherassets
7,9678,6917,9998,0778,2128, 0237,9398,0327,879
8,7248,1868,0288, 1938,134
Public
7.623.116.224.49.4
19.526.219.712.1
15.98.8
18.07.5
19.820.0
Other
39.636.038.838.536.539.038.636.537.1
36.735.537.039.036.737.4
Otherliabili-
ties
17.717.818.018.118.218.317 717.818 0
18 218.218.317.717.817.9
Liabilities
Notecircula-
tion
82, 35282, 77682,09981, 12882, 24082, 39983, 30682, 44781,150
81,50381, 23983,19782, 55784, 70585,107
Assets
Reserves
Gold
828286949595888882
777272707072
Foreignexchange
444656655
555555
Treasurybills
2763536
3540525653
7943547137
Otherbills (andchecks)
3,8613,7323,8793,8334,0004,1444,0584,0964,498
3,8844,0264,2014,3534,6064, 699
Securityloans
878689525473667884
727256736056
Securities
Eligibleas notecover
373338337337340346345346349
349348336240219220
Other
328324324324324324316315315
315315321319319311
Otherassets
739775781814781770868922853
888861771702648
( 2 )
Deposits
Govern-ment
3,7032,7712,9833,2413,2443,0512,8622,8262,862
2,7982,8542,8892,7221,8501,304
Other
15,14512,31510,96911,09010, 66610,84810, 6479,3618,716
8,0888,7068,4347,8956,9096,528
Otherliabili-ties
1,9542,0082,0132,1052,0622,0602,0592,1362,113
2,1192,1342,1482,3342,383
Liabilities
Notecircula-
tion
3,7113,8103,8953,8784,0324,1434,1594,1864,285
4,0984,1774,2674,3484,4304,389
Deposits
952770819743743774728806
1,032
679652768688729960
Otherliabili-
ties
837824838845860879911913923
891914782798807
p Preliminary.1 Issue department also holds securities and silver coin as cover for fiduciary issue, which is fixed by law at £260,000,000.2 Figures not yet available.3 This account, in accordance with the Convention of June 18, 1936, between the Bank of France and the Treasury (see p. 536), includes
13,796 million francs of Treasury and other governmental bills formerly not differentiated from other bills. These special bills, which amountedto 13,833 million francs on June 19, 1936, are being automatically converted, as they mature, into advances to the Government without interest.The Convention authorizes 24,000 million francs of such advances.
NOTE.—For explanation of table see BULLETIN for February 1931, pp. 81-83, and July 1935, p. 463.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
604 FEDERAL RESERVE BULLETIN JULY
CENTRAL BANKS—Continued[Figures as of last report date of month]
Central bank1936
May April March
1935
May-Central bank
1936
May April March
1935
M a y
National Bank of Albania (thou-sands of francs):
Gold - -Foreign exchangeLoans and discountsOther assets ...Note circulationDemand depositsOther liabilities..
Central Bank of the ArgentineRepublic i (millions of pesos):
Gold at homeGold abroad and foreign ex-
changeNegotiable Government bonds. _.Other assetsNote circulation ,Deposits:
Member bankGovernmentLiquidation InstituteOther
Other liabilitiesCommonwea l th Bank of Aus-
tralia (thousands of pounds2):Issue department:
Gold and English sterlingSecurities. _
Banking department:Coin, bullion, and cashLondon balancesLoans and discountsSecuritiesDeposits
Note circulationAustrian National Bank (millions
of schillings):Gold - -Foreign billsDomestic billsGovernment debtsNote circulationDeposits
National Bank of Belgium (mil-lions of belgas):
GoldDomestic and foreign billsLoans to StateNote circulationDeposits
Central Bank of Bolivia (thousandsof bolivianos):
Gold at home and abroadForeign exchangeLoans and discounts..Securities:
National GovernmentOther
Note circulation...Deposits
Bank of Brazil (millions of milreis):CashCorrespondents abroadLoans and discountsNote circulationDeposits.
National Bank of Bulgaria (mil-lions of leva) :
GoldNet foreign exchange in reserve.._Total foreign exchange _Loans and discountsGovernment obligations.. _Note circulationOther sight liabilities
1,224
12193140
1,018
338181
7,55618, 2093,1115,02911,54510, 71011,650
1,224
111226140
1,021
451190
7,55618,3493,1705,03111,67910, 68111, 746
1,224
121202143
447191
16,00339, 343
1,22320, 66411,36435, 65765, 90147,045
24386
220624958213
3, 5971,323160
4,284969
22, 35020, 8617,702
418, 0722,921
162,106260, 859
1,607-128489
1,3852,6712,2472,181
16,00340, 341
1,22519,31410, 64235, 65763, 90248,045
24382218624952210
3,4291,247160
4,255750
22, 2438,6407,230
388, 2022,921
156, 534225,162
211379
2,92110
3,140
1,591-128386
1,3722,6712,2522,094
16,00339, 351
1,15226,51311,12735, 65770, 89047, 045
24381218624929234
3,3191,182160
4,163681
22, 0118,0227,575
2,921152, 521228,000
281367
2,93510
3,216
1,591-103364
1,1842,6712,3731,763
7,56021,8202,4493,30314,11810, 39610, 616
1,224
123400139964
5791481742
20
15, 99432, 765
89732, 35813, 23235, 87384, 67347,050
24261232
233
3,4281,403166
4,0311,172
13, 0477,80114, 079
328,0543,342
114,486200, 365
292124
3,07720
2,878
1,583-114437884
2,6982,1232,309
Bank of Canada (thousands of Ca-nadian dollars):
GoldSterling exchange . . .United States exchange..Advances :
Dominion GovernmentProvincial Goyernments
Government securities:2 years or lessOver 2 years
Other assets...Note circulationTotal deposits _.
Chartered banksGovernment
Other liabilitiesCentral Bank of Chile (millions of
pesos):Gold and foreign exchange in re-
serveLoans and discountsGovernment debtNote circulation . .Deposits
Central Bank of China3 (millions ofyuan) :
GoldSilver.. _._Foreign exchange...Due from domestic banks.. _Loans and discounts .Securities.Other assetsNote circulationDeposits—Government
BankOther
Other liabilitiesBank of the Republic of Colombia
(thousands of pesos):Gold at home and abroadForeign exchange...Loans to member banksNote circulationDeposits
National Bank of Czechoslovakia(millions of koruny):
GoldForeign balances and currency._.Loans and advancesNote circulationDeposits
Danish National Bank (millions ofkroner):
GoldForeign bills, etcLoans and discountsNote circulationDeposits
Bank of Danzig (thousands ofgulden):
GoldForeign exchange of the reserve . . .Other foreign exchangeLoans and discountsNote circulationDeposits
Central Bank of Ecuador (thou-sands of sucres):
Gold 4Foreign exchangeLoans and discountsNote circulationDeposits
179, 7331,918
13,390
179, 9511,6817,699
180, 417387
7,097
106, 936191
10, 257
3,000
30, 60780, 241
4.89193, 397
213, 503185,071
27, 2356,880
28,0134,9002,38243, 26029, 095
2,69536
1,2615,482464
118327039259
20, 7852, 3255,93414, 91929, 2983,480
28, 60282, 3236,794
90, 309211,688187, 44723, 9157,054
142102706598275
51230861242103114826930531250125
29, 7895,7381,477
42, 82430, 633
2,69444
1,4365,509647
1182771
38260
20, 7831,7236,31715, 038
2,651
29, 66181,1444,527
85, 518210, 868188, 20321,1166,847
14290706595274
51211741042133104725430529230130
30, 8303,658887
41,31531, 500
2,69247
1,4135,413778
1182873
37180
20, 7662,0215,97615, 89328, 2743,879
22,090117,8605,517
74, 738181, 588166, 97114, 3336,525
142101713537354
29116105510318160942465417142
26, 3014,0096,489
36, 50925,889
2,687303982
5,567782
1331876
375
22, 9941,476136
27, 42231,9174,812
16, 28610, 33554,18642,16120, 565
1 Bank commenced operations May 31, 1935.2 Beginning March 1936 all items valued by bank in Australian currency; previously valued partly in Australian currency, partly in sterling.3 Items for issue and banking departments consolidated.* By law of Dec. 18, 1935, gold in vault revalued at rate of 9.968331 sucres per gram of fine gold.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 605
CENTRAL BANKS—Continued[Figures as of last report date of month]
1936
Central bank! May
- I -April March
1935
M a y
Central bank1936
May
~rApril March
1935
M a y
National Bank of Egypt 1 (thou-sands of pounds):
GoldForeign exchangeLoans and discountsBritish, Egyptian, and other
Government securitiesOther assetsNote circulationDeposits—Government
OtherOther liabilities |
Central Reserve Bank of El Salva- |dor (thousands of colones): !
Gold !Foreign exchange |Loans and discounts ,Government securities !Other assets <Note circulationOther sight liabilities __!Other liabilities
Bank of Estonia (thousands of ;krooni): j
Gold 34,135Net foreign exchange 3, 220Loans and discounts 22,444Note circulation . 40,997Deposits—Government 13,580
Bank 9,402Other ' 2,756
Bank of Finland (millions of mark- :
Gold 501Balances abroad and foreign
credits 1,248Foreign bills I 88Domestic bills ! 870Note circulation 1, 501Other sight liabilities 652
Bank of Greece (millions of drach- 'mas): !
Gold and foreign exchange 3 265Loans and discounts 5̂ 130Government obligations 4' 172Note circulation ; 5' 041Other sight liabilities j 6̂ 154Liabilities in foreign exchange j ' 271
National Bank of Hungary (mil-lions of pengos):
Gold 79Foreign bills, etc 26Loans and discounts 506Advances to Treasury 80Other assets 110Note circulation 385Deposits 119Certificates of indebtedness 98Miscellaneous liabilities 172
Reserve Bank of India (millionsof rupees):
Issue department:Gold at home and abroad j 444Sterling securities I 683Indian Gov't securities ! 235Rupee coin : 605Note circulation 1 i,695
Banking department: |Notes of issue department ! 308Balances abroad 153Loans to Government IInvestments : 62Other assets 1 8Deposits—Government ' 179
Bank 240Other liabilities j 111
6, 5452. 5585, 016
39. 5555,309
21, 2466,18523, 3848,169
12,9174,345484
6, 8421,88214, 8008,2793. 392
34,1252, 46321,45341,88714,34510, 2242,682
501
1, 35583892
1, 546689
3, 3345,1404,1725, 7915,949256
793149980111390109104171
444683234591
1,707
2461944050865
365109
6,5453. 2695, 385
38. 8195, 86721,6396, 31023,6118. 327
12, 8554, 550680
6, 9121,992
15, 3948,2553.340
34,1242, 450
22, 22941, 70014,01810, 6252, 869
501
1,32887865
1, 520657
3, 3395,1554,1725, 6705, 953275
793351480102391121104166
444673244594
268231
51686360110
6, 5452,1013, 526
35, 0833, 35518, 5517, 58716, 5437, 930
11,9781.582467
7,4781, 45014,1805, 4343,341
31, 5522,72111, 36137,1849,1749,3882,105
322
1,41687784
1, 369543
3, 6042, 4563,2895,3193,774114
7920533606935998109170
444506411503
1,643
221175
553
200144110
Bank of Japan (millions of yen):GoldAdvances and discountsGovernment bondsNotes issuedTotal deposits
Bank of Java (millions of florins):GoldForeign billsLoans and discountsNote circulationDeposits
Bank of Latvia (millions of lats):GoldForeign exchange reserveBillsLoansNote circulationGovernment depositsOther deposits
Bank of Li thuania (millions of litu): !GoldForeign exchange 2
Loans and discounts 2
Note circulation iDeposits !
Netherlands Bank (millions of flor- Iins):
GoldForeign billsLoans and discountsNote circulationDeposits
Reserve Bank of New Zealand(thousands of pounds):
GoldSterling exchangeOther assetsNote circulationDemand deposits
BankGovernment
Other liabilitiesBank of Norway (millions of
kroner):GoldForeign balances and billsDomestic creditsNote circulationForeign depositsTotal deposits
Central Reserve Bank of Peru(thousands of soles):
Gold and foreign exchangeBillsNote circulationDeposits
Bank of Poland (millions of zlotys):GoldForeign exchangeLoans and discountsNote circulationOther sight liabilities
Bank of Portugal (millions of es-cudos):
GoldOther reservesDiscounts and advancesGovernment obligationsNote circulationOther sight liabilities
National Bank of Rumania (mil-lions of lei):
GoldForeign exchange of the reserve...Loans and discountsSpecial loans 3
State debt
520730562
1,371444
162
15622
467
52623746
107
542174
10845
6841
159763121
2, 80223, 7382,447
10,15717.2528,0788,9831,578
18572
190366
583
375
8511,061
123
910478365
1,0462, 0251,041
11,005
515820554
1,317580
891
5915523
51613848
101
532180
10750
7101
152766137
2,80224, 2252,088
10, 24017, 2728, 5858. 5841, 602
18576
195364
589
910460380
1,0462. 0261,033
10,971
513914533
1.367657
852
6115424
466
50593939
101
511987
10947
7141
152781121
2,80224,830
2. 06910,15317,9038,9928,7891,645
18546
202357
475
42, 35173, 29186, 95024,617
38115809
1,010148
41,13667, 91484, 92520, 161
42726736979155
910454364
1, 0461.998
997
10, 929
5, 4672,445
11,193
5, 5532,474
11,151
5, 5092,594
11,179
477644521
1.170420
1041
6217230
463
59713749
109
1019750
6461
186837
49
2,80222, 789
2,2849,302
16, 9854,206
12, 7671,588
14548
212322
7
43, 29362,17674, 34926, 839
50915
742952219
907439311
1,0482,020
10, 53191
5,2442,787
10,006
1 Items for issue and banking departments consolidated.2 Beginning with July, 1935, foreign exchange includes foreign bills previously reported with loans and discounts.3 Agricultural and urban loans in process of liquidation
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
606 FEDERAL RESERVE BULLETIN JULY 1936
CENTRAL BANKS—Continued[Figures as of last report date of month]
1936
Central bankMay April March
1935
M a y
1936
Central bankM a y April March
1935
M a y
National Bank of Rumania—Con.Other assetsNote circulationDemand depositsOther liabilities
Sou th African Reserve Bank(thousands of pounds):
GoldForeign bills.Domestic billsNote circulationDeposits—Government
BankOther
Bank of Spain (millions of pesetas) •GoldSilverBalances abroadLoans and discountsNote circulationDeposits
Bank of Sweden (millions ofkronor):
GoldForeign assets ,Domestic discounts and advances -Government securitiesOther assetsNote circulationTotal deposits I
BankGovernment !
Other liabilities ,Swiss Nat ional Bank (millions of '
francs): jGold . |Foreign balances and bills I
11, 54921, 9838,78010,896
22,92310, 389
6715,0132,91822, 6484,423
2,202669287
2,6905,4241,079
484522422920977339788293114
1,484
11,94122,401
11,110
22,9319,446
9913,0684,48121, 5083,995
2,228676300
2,6685,3541,068
4615653929190780391161193111
1,51612
11,87123, 0567,85611,169
29,6445,208161
13, 5857,26926, 4442,941
2,228689311
2,5845,1711,105
4529186795401226146105
1,50914
10, 73620,9378,8049,654
27,1006,034
7413, 5392,67725,0634,736
2,270700285
2, 3544,560
35462755137113683505
1,19331
Swiss National Bank—ContinuedLoans and discountsNote circulationDemand deposits
Central Bank of t he Republic ofTurkey (millions of pounds):
Gold .Foreign exchangeLoans and discountsInvestmentsOther assets jNote circulation !Deposits jOther liabilities !
Bank of the Republic of Uruguay j(thousands of pesos):
Issue department:Gold and silverNote circulation
Banking department:Cash reservesLoans and discounts.Other assetsDeposits-
DemandTimeMinistry of FinanceOther
Other liabilitiesNational Bank of t he Kingdom of
Yugoslavia (millions of dinars):GoldForeign exchangeLoans and discountsAdvances to StateNote circulationOther sight liabilities
1511,302373
2011187251633973
1,522341
1,6232,2734,8441,625
1431,311403
301914188241633972
41,09181, 330
40, 30991,64754,838
30, 23442,01920. 69420, 84273,005
1,497307
1,6172,2724,8241,553
1521,319411
301713188251653670
41,09184, 395
37,12494, 55756, 885
31, 97341, 87420,99420, 73872, 988
1,490313
1,6422,2724,9041,481
2811,302244
291113186221582379
75, 847
51, 03798, 75743, 227
31, 73639, 753
2,81842,868
1,332220
1,7892,2914,4461,239
i Liabilities of banking department. (See BULLETIN for December 1935.)
BANK FOR INTERNATIONAL SETTLEMENTS[In thousands of Swiss francs]
Assets
Gold in barsCash on hand and on current account
with banksDemand funds at interest
Rediscountable bills and acceptances(at cost):
Commercial bills and bankers' ac-ceptances
Treasury bills
Total
Time funds at interest—Not exceeding3 months
Sundry bills and investments:Maturing within 3 months:
Treasury billsSundry investments
Between 3 and 6 months:Treasury billsSundry investments
Over 6 months:Treasury billsSundry investments
Total
Other assets:Guaranty of central banks on bills
soldSundry items
Total assets
May April
32, 292
7,76515, 308
154, 212176, 390
330, 602
33,994
28, 94441, 481
29,36584, 964
41, 3881,765
227,908
1,3307,045
656, 243
23, 200
9,53814,094
137,125188, 792
325, 917
38, 952
27,15861, 993
21, 38563, 683
51, 5831,694
227, 496
6,2136,566
651, 976
M a y
16, 210
2,51414, 903
131,020219, 974
350, 994
33,881
36, 53544, 513
32, 26953, 313
18, 85735, 402
220, 889
6,1374,548
650,075
Liabilities
Demand deposits (gold)
Short-term deposits (various curren-cies) :
Central banks for own account:DemandTime—Not exceeding 3 months
Total
Central banks for account of others:DemandTime—Not exceeding 3 months
Other depositors:Demand :Time—Not exceeding 3 months
Long-term deposits:Annuity trust accountGerman Government depositFrench Government guaranty fund-French Government deposit (Saar).
Total
Capital paid inReserves:
Legal reserve fundDividend reserve fundGeneral reserve fund
Other liabilities:Guaranty on commercial bills sold.Sundry items
Total liabilities
May April
24,110
24,095113,615
137,711
5, 4352,994
119333
154, 90577,45361, 9302,031
296, 318
125,000
3,7846,092
12,183
1,33432, 837
656, 243
19, 309
23, 606108,075
131,681
7,6792,989
522684
154,76477, 38261, 9302,031
296,106
125, 000
3,3245,84511,690
6,26540, 882
May
14,930
22, 722104, 228
126,950
9,8382,953
1,5772,120
155, 42877, 71461, 9302,031
297,102
125,000
3,3245,84511,690
6,25233,036
651,976 650,075
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 607
COMMERCIAL BANKS[Figures are as of end of month, except those for the United Kingdom, which are averages of weekly figures]
United Kingdom
(Figures in millions of pounds sterling)
Assets
Cashreserves
Money atcall and
shortnotice
Bills dis-counted
Securi-ties
Loans tocustom-
ersOtherassets
Liabilities
Deposits
Total Demand1 Time1Other
liabilities
10 London clearing banks
1935—September.OctoberNovember.December.
1936—January..,February..MarchAprilMay
1936—January __FebruaryMarch....AprilM a y
204214221220221210220213
147141147159155151155154152
299297293322337288249234301
619626621605601601605607610
766111778784791804829843843
205213214231218218221224218
2,0242,0362,0402,0912,0922,0532,0382,0822,113
1,0801,0641,0801,140
903921918924
221224227231230231230229228
11 London clearing banks 2
229217227220
159157162161159
346295252258309
630629635637640
815828854868870
227227230233227
2,1642,1232,1082,1542, 185
1,1661,1251,1231,1451, 156
937940951974992
242242241240239
AssetsFrance
(4 large banks. Figures in millions offrancs)
Liabilities
Cashreserves
Due frombanks
Bills dis-counted Loans Other
assets
Deposits
Total Demand Time
Ownaccept-ances
Otherliabilities
1935—September,October.. _November.December.
1936—January...February..MarchApril
4,0753,9963,9093,7393, 4513,4313,5873,517
2,3642,4132,7592,4842,5632,5282,6172,902
17, 58517, 69216, 52916,14116, 60116, 47016,13516,199
7,4507, 5057,7188,0257,7658,0067,7007,677
1,4891,6201,7511,9001,0861,1011,2221, 270
28, 68428,80028,11027, 55327, 54827, 60327,19427, 410
28,01628,10127,40626, 85926, 859
26,52226, 714
669699704
700672696
236268329337349338391397
4,0434,1584,2264,3993,5683, 5953,6773,757
Germany
(5 large Berlin banks. Figures in mil-lions of reichsmarks)
Assets
Cashreserves
1935—September..OctoberNovember..December3.
1936—JanuaryFebruary...MarchAprilMay
195156139
134128186136141
Duefrom
banks
341314316
306307317301300
Bills dis-counted
2,0352,1672,162
2,2942,2752,2852,4292,406
Loans
2,9182,8892,884
2,8472,9002,8902,8472,884
Securi-ties
1,0611,0331,027
1,003987982973980
Otherassets
993983
958945935916873
Liabilities
Deposits
Total Demand Time
5,3825,4085,376
5,4605,4725,5445,5955,621
2,4362,4512,435
2,4802,4092,5602,5852,622
Creditsobtained
frombanks
2,9472,9572,941
2,9803,0632,9853,0102,999
701682
659652651644636
Otherliabili-
ties
1,4631,4631,449
1,4231,4171,3991,3631,327
C a n a d a
(10 chartered banks. Figures in mil-lions of Canadian dollars)
Assets Liabilities
Entirely in Canada
Cashreserves
Securityloans
Otherloans
and dis-counts
Securityloans
abroadand net
duefrom
foreignbanks
Securi-ties
Otherassets
Notecircula-
tion
Deposits payable in Can-ada excluding interbank
deposits
Total Demand Time
Otherliabili-
ties
1935—September.October....November.December.
1936—January.._February..MarchAprilMay
223235229228220224227228225
965982
945874
157132151141150151154145131
1,1031,1161,1371,1551,2071,2651,3161,3141,345
464476453485472444459478446
123121124111112118117114116
2,1312,1512,1742,1802,1442,1522,1972,2292,193
687685
645635665692
1,4441,4651,4741,4861,4991,5171,5321,5361,527
734744748745745761783767753
1 Excluding deposits of the National Bank relating to offices outside the United Kingdom, which are included in the total.2 District Bank included beginning January 1936.3 Combined monthly balance sheet not published for December.NOTE —For back figures and explanation of table see BULLETIN for October 1933, pp. 639-646, and June 1935, pp. 388-390
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
608 FEDERAL RESERVE BULLETIN JULY 1936
DISCOUNT RATES OF CENTRAL BANKS[Percent per annum]
Date effective
In effect Aug. 1, 1935Aug. 3Aug. 9Aug. 12Sept. 9Sept. 17Oct. 17Oct. 22Nov. 5 . . .Nov. 14Nov. 15. .Nov. 22Nov. 26 __Jan. 2, 1936Jan. 10Jan. 16Feb.4Feb. 7Mar. 28May 7May 18May 30June 4June 24June 25June 26June 30 . .July 7July 10 . .In effect July 10,1936
Central bank of—
UnitedKingdom
2
2
France
3H
3
45654
33^56
5
4
Ger-many
4
4
Italy
~VA5
--AlA~
Nether-lands
35
654H43H
32.H
33^24 ^
4
! *
3
Switzer-land
2K
2lA
Centralbank of—
AlbaniaArgentinaAustriaBelgium...BoliviaBritish IndiaBulgaria. ._CanadaChileColombia.__Czechoslo-
vakiaDanzigDenmark. __EcuadorEl Salvador-EstoniaFinlandFranceGermanyGreeceHungary
RateJuly
10
7
Wi26362V2
3*-4J
353 ^
5
474
Dateeffective
June 15, 1936Mar. 1, 1936July 10, 1935Mav 16, 1935July 5, 1932.Nov. 28, 1935Aug. 15, 1935Mar. 11, 1935Jan. 8, 1936
cJuly 19, 1933
Jan. 1, 1936Oct. 21, 1935Aug. 22, 1935Nov. 30, 1932July 5, 1934Oct. 1, 1935Dec. 3, 1934July 10, 1936Sept. 22, 1932Oct. 14, 1933Aug. 29, 1935
Centralbank of—
ItalyJapanJavaLatviaLithuaniaNetherlands.New Zea-
land .NorwayPeruPolandPortugalRumaniaSouth AfricaSpainSwedenSwitzerland-TurkeyUnited,King-
domU. S. S. R.._Yugoslavia..
RateJuly
10
4H3.294
5 *VAWi654 ^±lAVA52H23^&A
285
Dateeffective
May 18, 1936Apr. 7, 1936July 1, 1935Jan. 1, 1933July 1, 1936July 7, 1936
Mar. 2, 1936May 24, 1933May 20, 1932Oct. 26, 1933
cMay 12, 1936Dec. 15, 1934May 15, 1933July 15, 1935Dec. 1, 1933May 3, 1935Mar. 2, 1933
June 30, 1932Mar. 22, 1927Feb. 1, 1935
c Corrected.Changes since June 4: Albania—June 15, down from 7}4 to 7 percent;
France—June 24, down from 6 to 5 percent; June 26, down from 5 to 4percent; July 10, down from 4 to 3}4 percent; Netherlands—June 25, downfrom \}/2 to 4 percent; June 30, down from 4 to 3̂ £ percent; July 7, downfrom 3>| to 3 percent.
MONEY RATES IN FOREIGN COUNTRIES[Percent per annum]
Month
United Kingdom (London)
Bankers'acceptances,
3 months
Treasurybills, 3months
Day-to-daymoney
Bankers'allowance
on deposits
Germany (Berlin)
Privatediscount
rateMoney for1 month
Day-to-daymoney
Netherlands (Amster-dam)
Privatediscount
rateMoney for1 month
1935—MayJuneJulyAugustSeptember.October. __November.December.
1936—January ___February._MarchAprilMay
.59
.71
.65
.60
.58
.63
.57
.71
.56
.55
.56
.55
.55
3.093.003.003.003.023.043.013.00
3.003.003.003.002.92
3.102.932.973.003.073.263.103.23
3.092.973.073.042.89
3.173.163.103.063.213.133.073.15
2.812.772.992.832.76
3.784.423.254.785.484.703.153.20
2.371.311.201.192.27
2.963.832.774.725.655.003.003.08
2.291.631.681.271.82
Month
Switzer-land
Belgium(Brussels)
France(Paris)
Italy(Milan)
HungarySweden(Stock-holm)
Japan (Tokyo)
Privatediscount
rate
Privatediscount
rate
Privatediscount
rate
Privatediscount
rate
Primecommer-
cial paperDay-to-day
moneyLoans up
to 3months
Discountedbills
Callmoney
overnight
1935-MayJuneJulyAugustSeptember.October. __November.December.
1936—January—_February-MarchAprilMay
2.392.602.792.472.402.372.442.50
2.482.372.262.252.25
2.121.881.881.881.881.881.881.88
1.521.451.381.38
2.565.724.063.062.852.713.895.89
4.263.813.745.035.60
3.503.503.504.174.875.005.005.00
5.005.005.005.005.00
A4 -74 -74 -74 -7
4 -64 -64 -6
3332%
2%2K2%
5.115.115.115.115.115.115.115.11
5.115.115.114.97
2.402.452.452.602.622.692.782.69
2.642.562.873.11
NOTE.—For explanation of table see BULLETIN for November 1926, pp. 794-796; April 1927, p. 289; July 1929, p. 503; November 1929, p. 736, andVIay 1930, p. 318.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 609
FOREIGN EXCHANGE RATES[Average of noon buying rates for cable transfers in New York. In cents per unit of foreign currency]
Year or month
19291930 .193119321933193419351935—June
JulyAugustSeptember _OctoberNovember..December..
1936—JanuaryFebruary.—MarchAprilMay _June
Year or month
1929 .19301931193219331934....19351935—June
JulyAugustSeptember _OctoberNovember..December. _
1936—JanuaryFebruary-March ... _April.May .June
Year or month
192919301931193219331934 .19351935—June
JulyAugustSeptember _OctoberNovember. _December. _
1936—JanuaryFebruary-March.AprilMayJune_
Argen-tina(peso)i
95.127483. 505066. 737558. 4433
3 72. 800933. 579332. 658532. 868733.026233.120432. 856332. 714032. 815232. 854233. 074233. 329133.134632. 954133.111433. 4181
Den-mark(krone)
26.680226. 765025.058118. 831719. 070922. 499821. 883422. 045822.130322.184822.011221. 909221. 983422. 001222.152622.321122.189822.064422.183822.4054
Norway(krone)
26. 682726. 759825. 054618.003921. 429225. 316124. 626824. 791024.906224.948224. 771024. 657024. 739924. 760524. 931625.121424. 973524.833524. 968925. 2178
Aus-tralia
(pound)2
480.83458. 60351. 50279. 93337. 07400. 95388. 86391. 28393. 31394. 52391. 52389. 61390. 90391. 28394. 50398. 06396.01393. 72396. 09399. 99
Egypt(pound)
498.0689498.6002465.1111359. 5406434. 3908516.8549502. 6007505. 9839508. 3151509. 5780505.5597503. 2065504. 9614505. 3533508. 8316512. 7045509. 6623506. 7796509. 5541
Poland
(zloty)
11.194011. 205111.197011.182314.413518. 846018. 882418.914618.957418. 956718. 845018. 836118. 824918. 848618. 931119.131518.9623
718. 8262718. 7922718. 7998
Austria(schil-ling)!
14.057514.089114. 022713. 959915. 447818.793018. 830918. 882118.914818. 940518.845318.811718. 775318. 782818. 832018. 970818. 854818. 724218. 722218. 7587
Finlandmarkka
2.51602. 51692.38751. 55471. 87082. 22772.16272.17822.18592.19072.17422.16452.17192.17452.18902. 20632.19282.18072.19012. 2098
Portu-gal
(escudo)
4. 47144. 49404.24353.19603. 91654. 60894. 45754. 48564. 50954. 51534. 48684. 47034. 47874. 48544. 51204. 54894. 51554. 50924.51154. 5455
Bel-gium(belga)
13.912413.952413.928513.913717. 899623. 286718. 424116. 939316.911716. 887816.861816. 846816. 894616. 856516. 935517. 041616. 978716. 914616.937816. 9065
France
(franc)
3.91613. 92493.92003. 92765.03136. 56886. 60136. 61216. 62426. 62626. 59086. 58926. 58626. 59866. 62516. 68106. 63386. 58986. 58586. 5934
Ruma-nia(leu)
0. 5961.5953.5946.5968.77951.0006.92771. 00781.0004.9351.8077.7965.7899.7879.7879.7632.7377.7330.7309. 7273
Brazil(mil-reis)i
11.807810.71367.02907.12237. 96308. 42688. 29478. 31228. 31468. 36578. 33788. 37918. 37928. 39028. 41678. 38038.48718. 55648. 57558. 6310
Ger-many(reichs-mark)
23.808623. 854123. 630223.749230. 517939. 375140. 257540. 407240. 353840. 345640.227840.225140. 225140. 216740. 396640. 687040. 438940. 238340.284540. 2730
SouthAfrica(pound)2
483. 27483. 79480. 76476. 56414. 98498. 29484. 66488.06490.61488. 74488.42485. 63487. 08487.44490. 83494. 51491. 56488. 76491. 59496. 53
BritishIndia(rupee)
36. 202036. 067233.689526. 346831.815937. 879336. 964037.194437. 346737. 484937. 208237.021737.141937. 200837.460637. 734437. 510137. 315337. 503837. 8716
Greece(drach-ma)
1.29341. 29591. 2926.8320.7233.9402.9386.9423.9442.9437.9384.9391.9390.9383.9424.9509.9457.9389. 9338.9316
Spain
(peseta)
14.683311.66709. 54538.043810. 718913. 615013.678313. 698213.725913.729613. 656913. 653713.647713. 670413. 727413. 841213. 745013. 654013.645413.6591
Bul-garia(lev)i
0. 7216.7209.7163. 71931. 00391. 28521.29511. 30701. 31491. 33321. 29351. 32391. 34041. 33091. 34461. 33801. 29021. 28121. 28441. 2838
HongKong(dollar)
47.166933. 853024. 330523.460429.451638. 715648. 217357. 516253.031050. 326250. 054748. 970236. 477232. 701632. 205132. 795532. 561932. 524732. 462932. 2598
StraitsSettle-ments(dollar)
56.011755. 963952. 445140.397049. 232059.005257.173357. 376257. 546657. 828257. 618057.440457. 607157.611258. 057458. 553058. 243057.938958. 240058.8329
Canada
(dollar)
99.247299. 842496. 352888.089691. 9587101. 006099. 493399. 907899. 832299. 779999. 256398.580098. 923699. 045399. 9297100.113699. 842199. 501999. 806099.7206
Hun-gary
(pengo)1
17. 441417. 493917. 452217. 446022.359829. 574629. 602329. 506229. 680929. 701029. 624029. 636729.624229. 618529. 677829. 785629. 616829.478129. 424129.4581
Sweden(krona)
26. 783926. 854325. 254018. 471022.032425. 981525. 271025. 440825. 558325. 622725.421925.303025. 387725. 409225. 582925. 777925. 625825. 481725. 619425.8769
Chile(peso)i
12. 060112.078512.06697. 90797. 678710.14525. 08335. 09965.09905. 06335. 05155. 06945. 09505. 09375. 09505. 09505. 09305. 08535.07755. 0659
Italy(lira)5
5. 23345. 23745. 20635.12536. 70948. 56178. 24718. 25668. 22598. 20748.14098.12438.10248. 07508. 02768. 03737. 98307. 89367. 85607. 8645
Switzer-land(franc)
19. 279219. 382019. 400919.404924.835532. 366332.497232. 680032. 747432. 718032. 504232. 532632.444932. 432332. 662233.033032.820632. 580032. 390532. 4254
China
(yuan)
41. 900729. 916622. 436921. 7357428. 597934. 093736. 570740. 400238. 679136. 864537. 622635. 609129.648529. 449629. 659429.911629. 824329. 733929. 690029. 8896
Japan
(yen)
46.099749. 389848. 850928.111225.645729. 715328. 706728. 993129.151029. 319228. 937828. 668728.682828. 738628. 993229.129928. 938128. 868829.075429.3924
Turkey
(pound)
48. 410547.060847.181447. 285460.439679.047280. 312380.668880. 655080.806380. 266780. 244280.267480.153680.685081.303080.818480. 283580. 2776
Colom-bia
(peso)1
96. 551296. 493096. 569795. 275081. 696661. 779956.011054. 406852. 969253. 226355. 984657.311556. 594857.030057. 390058. 268357. 223557.002357.004456. 9000
Mexico
(peso)
48.183047.1331
635. 491931. 850028.102527. 742327. 777927.778127. 766027. 752127. 755827. 763127. 767327. 767527. 767727. 769127.766627. 767927. 762527. 7644
UnitedKing-dom
(pound)
485. 6879486. 2126453. 4990350.6067423.6821503. 9302490.1761493. 4922495. 7659496.9880493.0654490.7834492. 4950492. 8772496. 2696500.0469497.0675494. 2682496. 9742501.9239
Cuba(peso)
99.964799.951599.929599. 940999.946499. 936299. 919899. 918299. 919499. 918599.920099. 920099.920099. 920099.923199. 920999. 902599. 902599.900099.9000
Nether-lands(florin)
40.162240. 225140. 229840. 294951. 720967. 383167. 714767. 874367. 986267.781967.555667. 741667. 802467. 769668.173468. 676968. 352667. 885467.633567. 6861
Uru-guay(peso)*
98. 629485.865055.357247.063960.336079. 956280. 251380. 354780.484180. 537780.120480.188580.150080.207579. 946680.258280.021679. 769279. 720079.7091
Czecho-slovakia(koruna)
2. 96092. 96402. 96192. 96183. 82324. 24244.16424.18284.17294.15714.13634.14114.13634.14334.16024.19364.16374.13594.14324.1375
NewZealand(pound)2
483. 21468. 22415. 29320.19340.00402.46391. 26393. 54395. 65396. 86393. 69391. 86393. 74394.32397. 53401.15399. 08396. 80399. 02402. 84
Yugo-slavia(dinar)
1. 75911. 76811.76801.64111. 76072. 27192. 28372. 29132. 29652. 29732. 28232. 28342.28582. 28862. 29912. 31962. 30302. 28822. 28662. 2871
1 Partly or wholly nominal since April 1933.2 Partly or wholly nominal since April 1934.3 Paper peso, equivalent to 44 percent of gold peso, quoted in place of latter beginning Dec. 13, 1933. Average for 1933 is for gold peso for Jan.
1-Dec. 10.4 Beginning Apr. 10,1933, new yuan, containing 23.4934 grams of pure silver, quoted in place of old yuan, containing 23.9025 grams of pure silver.
Average for 1933 is for new yuan for Apr. 10-Dec. 31; average for old yuan for Jan. 1-Apr. 9 was 20 2103 cents.s Nominal from Nov. 23, 1935, to Apr. 1, 1933, inclusive.6 Silver peso quoted in plac8 of gold peso beginning July 30, 1931. Average for 1931 is for silver peso for July 30-Dec. 31. Average for gold peso
for Jan. 2-July 29 was 47.6510 cents.' Nominal beginning Apr. 28, 1936.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
610 FEDERAL RESERVE BULLETIN JULY 193ft
PRICE MOVEMENTS IN PRINCIPAL COUNTRIESWHOLESALE PRICES—ALL COMMODITIES
[Index numbers]
Year or month
1926192719281929.193019311932193319341935.._
1935—February..MarchAprilMayJuneJulyAugustSeptember.OctoberNovember.December.
1936—January...February..MarchAprilMay
UnitedStates
(1926=100)
100959795867365667580
Canada(1926=100)
100
UnitedKingdom(1930 = 100)
100
90
France(1913 = 100)
695642645627554502427398376338
343335336340330322330332342348354
359372376371374
Germany(1913 = 100)
134138140137125111979398
102
101101101101101102102102103103103
104104104104104
Italy(1913 = 100)
602495462445383328304280273
278288296302308310323330
Japan(October1900=100)
237225226220181153161180178186
184184182182180180183189194194192
192191191192192
Nether-lands
(1926-30 =100)
106103102100907665636362
626161616161616263.6363
6262626161
WHOLESALE PRICES—GROUPS OF COMMODITIES[Indexes for groups included in total index above]
Year or month
1926 . .19271928 . .1929193019311932 .19331934 . . .1935
1935—FebruaryMarchAprilMay...JuneJulyAugustSeptember _October...NovemberDecember
1936—January . _ .FebruaryMarchAprilMay
U n i t e d S t a t e s (1926=100)
Farmproducts
10099
106105886548516579
7978
777980787878
7880777775
Foods
10097
101100917561617184
8382858483828586858586
8483808078
Othercommod-
ities
100949392857570717878
7777777878787878787979
7979797979
Uni ted K i n g d o m(1930=100)
Foods
1008988838587
8785858686858688898889
8988878788
Indus-trial
products
1008785879090
8988899089909090929393
9394949494
F r a n c e (1913 = 100)
Farmand foodproducts
581599584579526542482420393327
339329325324307292311322331338350
364391396385392
Indus-trial
products
793678697669579464380380361348
346340345353351347347341351357356
355356358359358
G e r m a n y (1913 = 100)
Agricul-tural
products
129138134130113104918796
102
10099
100101102103104104104105105
105105105105105
Provi-sions
1321291331251139686757684
8183848486858584848484
8485858585
Indus-trial rawand semi-finishedproducts
13013213413212010389889192
9291919191919192939393
9394949493
Indus-trial fin
ishedproducts
150147159157150136118-113116
120120120119
1191191
119-119119
120120120120121
Sources.—See BULLETIN for March 1931, p. 159, March 1935, p. 180, and October 1935, p. 678.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
JULY 1936 FEDERAL RESERVE BULLETIN 611
PRICE MOVEMENTS IN PRINCIPAL COUNTRIES—Continued
RETAIL FOOD PRICES[Index numbers]
Year or month
1926192719281929193019311932193319341935
1935—May . .JuneJuly .AugustSeptemberOctoberNovemberDecember
1936—January __FebruaryMarchAprilMay ___
UnitedStates
(1923-25 =100)1
1051008268667480
8182808080808282
8281808080
England(July
1914=100)
161156157154145131126120122125
118120126126125128131131
131130129126125
France(July
1914=100)2
1131131121241251241091009886
8686838181858788
9091919093
Germany(1913-
14=100)
146153153156146131116113118120
120121123123121120120121
122122122122122
COST OF LIVING[Index numbers]
Year or month
192619271928192919301931 . .19321933 . . -1934 _1935 .
1935—MayJuneJulyAugustSeptemberOctoberNovemberDecember
1936—JanuaryFebruaryMarchAprilMay -
UnitedStates(1923-
25=100)
10310210099978980767881
80
81
81
81
England(July
1914=100)
170164166164158148144140141143
139140143143143145147147
147147146144144
France(Jan.-June1914=100)2
10310410511311811610710610598
99
95
97
99
Germany(1913-
14=100)
142148152154148136121118121123
123123124125123123123123
124124124124124
i Since August 1933 the Bureau of Labor Statistics has published biweekly indexes. Figures given are for the date nearest 15th of month.J Index represents prices converted to gold basis of 1914.Sources.—For both retail food prices and cost of living: United States—Bureau of Labor Statistics, Department of Labor; England—Ministry
of Labour; Germany—Statistisches Reichsamt: France—For retail food prices, Statistique G6n6rale, and for cost of living, Commission d'etudesrelatives au cout de la vie a Paris.
SECURITY PRICES[Index numbers except as otherwise specified]
Year or month
Number of issues
1926 __- . _192719281929193019311932 _ .193319341935 -_- -_
1935—MayJune _JulyAugust ._-SeptemberOctober .__NovemberDecember
1936—JanuaryFebruary _MarchAprilMay
Bonds
UnitedStates
(average1
price)
60
97.6100.7100.898.099.390.969.573.484.588.6
87.188.389.289.990.489.891. 192.5
95.397.296.695.995.5
England(December1921 = 100)2
87
110.0110.7112.3110.2111.8108.4113.2119.7127.5129.9
131.3130.3131.5129.8124.3125.5128.9129.5
130.1131.0130.2131.5131. 1
France(1913 aver-age =100)
36
57.471.780.885.195.896.988.681.382.183.5
82.482.882.483.982.782.178.879.1
78.977.975.275.874.7
Germany(average
price) 2
139
85 581.483.3
4 83. 44 67.1
82.590.795.3
95.395.395.395.495.194.994 994.9
95.195.295.395.395.5
Common stocks (1926 average
UnitedStates^
'419
100.0118.3149.9190.3149.8'94.7'48.6'63.0'72.4'78.3
73.1'75.5'78.8'83.085.0
'85.2'93.3'95. 3
'100.1'106. 1108.7
'108. 9101.0
England 2
278
100.0107.0115.9119.5102.678.967.978.685.786.3
86.086.986.988.384.784.688.990.2
93.195.294.195.593.8
France
300
100.0123.2178.1217.6187.6132.2105.299.683.379.7
88.082.477.779.076.477.376.877.3
83.786.784.182.871.2
= 100)
Germany
329
100.0145.0136. 1122.8100.2* 78.04 50.3
61.771.182.9
83.586.086.887.685.083.582.181.9
84.286.085 688.391.1
' Revised.1 Prices derived from average yields for 60 corporate bonds as published by Standard Statistics Co. This series replaces former series now dis-
continued which included 45 corporate and 15 municipal bonds.2 Annual indexes are unweighted averages of monthly indexes.a Number of issues revised to represent more accurately the stocks included. Averages revised back to 1930.4 Exchange closed from July 13 to Sept. 2, 1931, and from Sept. 19, 1931, to Apr. 11, 1932. Index for 1931 represents average of months January-
June; index for 1932 represents average of months May-December.Sources.—See BULLETIN for February 1932, p. 121, and June 1935, p. 394.
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
FEDERAL RESERVE DISTRICTS
MINNEAPOLISS.DAK. I
KANSAS CITYKANS. M°ST. LOUIS
DALLAS®
TEXAS
BOUNDARIES OF FEDERAL RESERVE DISTRICTS-—BOUNDARIES OF FEDERAL RESERVE! BRANCH TERRITORJES
FEDERAL RESERVE BANK CITIES• FEDERAL RESERVE BRANCH CITIESO FEDERAL RESERVE BANK AGENCY
Digitized for FRASER http://fraser.stlouisfed.org/ Federal Reserve Bank of St. Louis
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