Bluebook

Prefatory Note The attached document represents the most complete and accurate version available based on original copies culled from the files of the FOMC Secretariat at the Board of Governors of the Federal Reserve System. This electronic document was created through a comprehensive digitization process which included identifying the bestpreserved paper copies, scanning those copies, 1 and then making the scanned versions text-searchable. 2 Though a stringent quality assurance process was employed, some imperfections may remain. Please note that some material may have been redacted from this document if that material was received on a confidential basis. Redacted material is indicated by occasional gaps in the text or by gray boxes around non-text content. All redacted passages are exempt from disclosure under applicable provisions of the Freedom of Information Act. 1 In some cases, original copies needed to be photocopied before being scanned into electronic format. All scanned images were deskewed (to remove the effects of printer- and scanner-introduced tilting) and lightly cleaned (to remove dark spots caused by staple holes, hole punches, and other blemishes caused after initial printing). 2 A two-step process was used. An advanced optical character recognition computer program (OCR) first created electronic text from the document image. Where the OCR results were inconclusive, staff checked and corrected the text as necessary. Please note that the numbers and text in charts and tables were not reliably recognized by the OCR process and were not checked or corrected by staff. Content last modified 6/05/2009. CONFIDENTIAL (FR) January 9, 1967. MONEY MARKET AND RESERVE RELATIONSHIPS Recent developments With bill rates declining further and other money market conditions easing slightly, total member bank deposits (bank credit proxy) expanded at an annual rate of 3.4 per cent in December, the first monthly increase since July; after considering bank borrowing abroad, the proxy rose by about 5 per cent. Yields on Treasury bills of all maturities have fallen below 5 per cent, with the 3-month bill recently hovering around 4.80 per cent. Yields available on short-term Federal agencies also declined sharply, while rates on bankers' acceptances and finance company paper were reduced moderately. The recent declines in bill rates have apparently contained a large expectational component, particularly since market demand for bills tended to taper off after mid-December when funds appeared to be diverted increasingly to CD's and other short-term instruments. Dealer bill positions have risen further from earlier high levels; dealers also continue to carry a sizable amount of coupon issues maturing in over a year, and have built up holdings of Federal agency issues and CD's. Conditions in the Federal funds and dealer loan markets eased only modestly in December; indeed, they tightened briefly in connection with year-end money market churning. Very large dealer FINANCIAL MARKET RELATIONSHIPS IN PERSPECTIVE (Monthly averages, and, where available, weekly averages of daily figures) Money Market Indicators Bond Yields Flow of Reserves. Bank Credit and Money Free Borrow- Federal 3-month Corporate Munici- NonTotal Bank Reserves ings (In millions Period Funds Rate of dollars) Treasury U.S. Gov't. Bill (20 yn) New Issues pal (Aaa) (Aaa) / borrowed Reserves Reserves (In millions of dollars) Credit Proxy oy upply i Deposits 2/ (In billions of dollars) 1965--Dec. - 22 452 4.28 4.37 4.50 4.85 3.39 +182 +262 + 1.8 + 1.6 + 1.4 $6--Jan. Feb. Mar. Apr. - 51 -117 -210 -277 431 474 545 638 4.32 4.58 4.64 4.64 4.58 4.65 4.58 4.61 4.52 4.71 4.72 4.65 4.81 4.96 5.09 5.03 3.40 3.48 3.55 3.46 +173 + 58 - 88 +206 +129 + 78 + 57 +256 + + + + + + + + + + + + May June July -339 -352 -359 653 722 739 4.83 5.13 5.18 4.63 4.50 4.78 4.69 4.73 4.84 5.16 5.35 5.48 3.53 3.60 3.77 + 1 - 16* +135* + 6 + 3* +224* + 1.0 + 0.9* + 2.1* Aug. -374 740 5.45 4.95 4.95 5.54 3.91 -302 -400 - Sept. -390 765 5.30 5.36 4.94 5.82 3.93 + 5 +129 - 0.1 Oct. Nov. p -425 -243 766 605 5.46 5.75 5.33 5.31 4.83 4.88 5.70 5.71 3.82 3.78 -134 +104 -195 - 39 - 0.7 - 1.1 - 0.9 - 0.4 - 0.3 + 0.1 p -187 529 5.39 4.96 4.76 5.74 3.79 + 18 + 18 + 0.8 + 1.1 + 1.1 + 1.1 + 0.2 - 0.1 - 0.6 + 0.6 Dec. 1.6 0.7 1.1 3.1 0.8 0.2 0.9 1.6 0.9 0.7 1.0 1.9 - 0.7 + 0.9 - 1.5 + 1.6 + 1.5* + 1.9* -- + 1.4 + 0.9 + 0.4 0.7 7 p -250 449 5.30 5.16 5.24 5.77 3.84 14 p -129 647 5.40 5.07 5.12 5.63 3.74 21 p -276 472 5.25 4.85 4.88 -- 3.74 + 1.0 + 2.8 + 0.5 28 p - 548 5.62 4.79 4.83 -- 3.74 + 0.2 - 1.6 + 0.8 -188 565 5.25 4.82 4.81 5.51 3.72 + 1.4 + 0.8 + 0.2 Year 1966 First Half 1966 Second Half 1966 -275 -228 -322 635 581 694 5.06 4.69 5.39 4.85 4.59 5.12 Averages 4.77 5.41 4.67 5.12 4.87 5.74 3.67 3.51 3.83 Recent variations in growth July 6-Aug. 10 Aug. 10-Nov. 16 -345 -320 738 638 5.32 5.46 4.81 5.27 4.85 4.91 5.55 5.78 3.80 3.87 - 4.2 - 2.7 -13.4 + 0.4 +12.7 + 1.4 Nov. 16-Jan. -199 537 5.43 5.04 4.79 5.70 3.79 + 7.0 + 9.2 +10.3 Dec. '^57--Jan. 1/ 2/ 3/ * - 4 p 4 93 -- + 0.7 + 3.0 - 1.5 Annual rates of increase 3/ + 1.4 + 3.7 + 1.9 + 8.3 +.4.7 + 7.1* + 4.7 +10.3* - 1.9 + 0.2 - 0.9 + 5.6 From January 1966 to date, issues carry a 5-year call protection. Time deposits adjusted at all commercial banks. Base is average for month preceding specified period or in case of weekly periods, thhe first week shown. Changes have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary. January 6, 1967. CONFIDENTIAL (FR) -2- January 9, 1967. financing requirements during the past month have contributed not only to maintenance of pressure on the money markets, but also to expansion in bank credit since a good part of these financing needs have been accommodated through increased lending by money market banks. Partly in consequence, these banks have experienced an enlarged basic reserve deficiency, which they have financed by actively bidding for Federal funds and in some cases coming to the discount window for temporary assistance. Federal funds traded over a fairly wide range of rates during the past four weeks and have averaged about 5-3/8 per cent as compared with an average of about 5.60 per cent in the preceding four weeks. Net borrowed reserves fluctuated between $93 million and $276 million in the latest 4-week period, but averaged about $170 million, down from an average of $215 million in the preceding four weeks. Member bank borrowings averaged $560 million in the latest period, unchanged from four weeks ago. The decline in bill rates last month enabled banks to bid more successfully for CD's, and the total outstanding rose contraseasonally by $150 million during the month. Total time and savings deposits began to grow rapidly in the second week of December, and contributed importantly to the continuing week to week increases in bank credit proxy during the month. Between the last statement weeks of November and December, the bank credit proxy expanded by almost CONFIDENTIAL (FR) -3- January 6 , 1967. 13 per cent annual rate, after having declined by about 12 per cent from the end of October to the end of November. The December rise in bank credit included substantial additions to bank holdings of short-term U.S. Government securities, as banks made efforts to restore their liquidity position; business loans of banks showed no net expansion in December. Expansion in the money supply, which resumed in mid-November, continued in December. Private demand deposits rose by about 9 per cent during the month on average, but this increase in large part represented a short-run response to declines in U.S. Government deposits. With respect to reserve aggregates, both nonborrowed and total reserves showed only a very slight expansion in December, as banks economized on excess reserves (after seasonal adjustment) during the month. Prospective developments Bank credit expansion is likely to continue in January, but at a slower pace than indicated by the large recent week to week increases. The increase in the January average of outstanding bank credit over the December average may be in a 7-9 per cent (annual rate) range, but this includes the carry-over effect on the monthly averages of the strength in the latter part of December. From the end of December through the end of January, a growth rate in the 4-6 per cent range appears likely. CONFIDENTIAL (FR) -4- January 6, 1967. These projections assume that the 3-month bill rate stays roughly within the recent 4.75-4.85 per cent range over the period ahead, that net borrowed reserves fluctuate around $100 million, and that Federal funds and dealer loan rates back down somewhat from recent high levels of around year-end. The 3-month bill rate might move toward the upper limits of the range assumed if dealer attitudes should lead to a reversal of the large build-up in bill positions that was recently an important factor pulling bill rates down relative to other short-term rates. Upward bill rate pressures are most likely to develop if dealer financing costs do not come down from recent levels (when they were generally in a 5-3/4 - 6-1/2 per cent range in New York and around 5-1/2 per cent outside New York), and if the usual seasonal reflow of corporate money into bills does not come up to expected proportions. However, market psychology will remain an important influence on bill rates, with the continuance of bullish market attitudes dependent partly on interpretations of monetary policy and of the fiscal implications of the forthcoming Federal budget. With respect to credit demands, it is assumed that business loans resume a moderate growth related in part to accelerated payments by corporations of withheld individual income tax payments in January; and, as a partial offset, that banks become less active in lending to dealers as the latter's positions are reduced somewhat and as CONFIDENTIAL (FR) -5- January 6, 1967. financing from corporations through repurchase agreements becomes more available. The interest rate and credit demand assumptions appear consistent with expansion of time and savings deposits at all commercial banks by about 12 per cent in January on a monthly average basis. This projection assumes that banks will be able to add about $500 million to outstanding CD's despite the large $5.5 billion of maturities in January and that the somewhat more rapid increase in other time deposits that has recently developed will continue. It further assumes that banks generally will not move to reduce interest rates paid on CD's until their liquidity positions are more comfortable or until they are more convinced that loan demand is fading. Money supply in January is expected to show little or no net change on average. Private demand deposits may decline somewhat, partly because of a projected rise of almost $1 billion in U.S. Government deposits. But private demand deposits are not assumed to decline by as much as Government deposits rise, in contrast to what has often been their past short-run behavior. The decline in private demand deposits is likely to be limited by renewed business loan growth. These deposit projections imply a sizable expansion in aggregate reserves in January on average--in the order of 10-12 per cent for nonborrowed and total reserves. For December-January CONFIDENTIAL (FR) -6- January 6, 1967. together, nonborrowed reserves may show an increase around the 5-7 per cent range. The December-January increase in such reserves, together with related monetary variables, is shown in the table below in comparison with other periods (all figures being annual rates of increase for the period including terminal months). Dec. '66Jan. '67 (projected) Calendar years Aug. '66- Feb. '66- Aug. '651965 Nov. '66 July '66 Jan. '66 1966 Bank credit proxy Time deposits Money supply 5-7 9-11 3-5 -3.0 +3.1 -0.7 + 7.5 +11.6 + 1.9 + 7.8 +14.4 + 6.9 +3.7 +8.3 +1.9 + 9.1 +16.0 + 4.7 Nonborrowed reserves 5-7 -4.3 + 2.6 + 4.9 +0.7 + 4.3 If the Committee wishes to continue a gradual reduction in the degree of monetary restraint, it might call for open market operations to achieve a set of money market conditions that might include a net borrowed reserve position averaging close to zero and Federal funds averaging near 5 per cent. This would, in all likelihood, bring the 3-month bill rate down to a 4.60-4.75 per cent range. It would also encourage gradual relaxation of bank loan policies. Such an easing of money market conditions--given the current economic outlook indicated in the Green Book--would be likely to encourage further bank credit expansion through the winter months, although possibly not at a trend rate much above the December-January average indicated in the table. Long-term yields would be more likely CONFIDENTIAL (FR) -7- January 6, 1967. to decline further as banks increased their acquisitions of municipals and long Governments. And, with long-term rate declines, mortgages would become increasingly attractive to institutional investors. Finally, it should be noted that if further signs of substantial economic weakness are noted by the market, the level of interest rates could move sharply down, even if net borrowed reserves are not very different from their recent range. But such a movement of interest rates might not necessarily be accompanied by any greater expansion of bank credit than projected--and possibly less--as banks might begin reducing CD rates and might see some immediate sizable declines in demand deposits associated with loan repayment. Main- tenance of bank credit expansion would under the circumstances depend on a relatively rapid growth in nonborrowed reserves, which would permit banks to repay debt to the Federal Reserve and perhaps to others and to liberalize portfolio investment policies and lending terms markedly. Table A-1 MARGINAL RESERVE MEASURES (Dollar amounts in millions, based on period averages of daily figures) Excess reserves Period As I Member banks borrowings Free date 1965--December 430 452 - 22 1966--January February March April May June 380 357 335 361 315 370 380 366 375 341 362 342 1,31 - 51 474 545 638 653 722 739 740 765 766 605 529 -117 -210 -277 -339 -352 -359 -374 -390 -425 -243 -187 August September October November p December p As expected at conclusion of each week's open market opeations - - Monthly (reserves weeks ending in): July reserves 1 to revised I 1 As first published each week _____________________ 4. Weekly: 1966- -Oct. 5 12 19 26 314 413 489 147 828 928 790 518 -514 -515 -301 -371 -439 -511 -297 -366 -439 -489 -308 -376 Nov. 2 9 16 23 30 279 378 547 184 438 594 646 711 439 636 -315 -268 -164 -255 -198 -301 -249 -227 -261 -207 -302 -224 -244 -236 -221 Dec. 7 14 21 28 199 518 196 455 449 647 472 548 -250 -129 -276 -194 -143 -248 - 93 -245 -152 -264 -112 4 377 565 -188 -188 -175 1967-- Jan. I p - Preliminary - Preliminary - 39 TABLE A-2 AGGREGATE RESERVES AND RELATED M ASURES (In per cent, Retrospective Changes, Seasonally Adjusted annual rates based on monthly averages of daily figures) Res e r v e Total Reserves Reserves r e a t e s Required reserves Against onborrowed Total Demand Ag (cedit) ReereDeposits Annually: 1965 1966 + 5.3 + 1.2 + 4.3 + 0.7 + 5.3 + 1.4 + 2.3 + 0.5 Monthly: 1965--July August September October November December + 3.7' + 0.4 -- 1.2 + 3.7 + 0.6 +13.8 + + + + + 9.8 + 4.8 - 1.8 - 2.2 + 9.7 - 2.0 +13.7 + + 2.0 4.0 6.8 5.1 3.9 8.2 1966--January February March April May June 2/ July 2/ August September2/ October 2/ November 2/p + 6.7 + 4.0 + 2.9 +13.2 + 0.3 + 0.2 +11.4 -20.2 + 6.6 -10.0 - 2.0 + 9.5 + 3.1 - 4.6 +10.9 + 0.1 - 0.8 + 7.1 -15.8 - 0.3 7.1 + 5.5 + 0.9 + 6.9 + 2.9 + 2.7 +11.9 + 2.1 + 1.6 + 8.4 -14.8 - 0.2 - 1.1 - 7.9 + 1.0 + 4.5 December T/p 4.1 1.5 3.9 7.3 5.0 + 9.1 + 3.7 Deposits banks) +16,0 + 8.3 + 4,7 + 1.9 + 4.4 + 0.8 + 7.4 + 6.8 + 3.6 +12.5 + 5.1 + 9.7 +15.0 +18.3 +13.7 +17.8 +15.0 +11.5 + 5.2 + 4.4 + 8.1 + 8.0 + 2.9 +11.6 + 4.7 + 2.8 + 9.4 + 7.5 + 1.9 +13.0 +11.3 + 3.8 + 4.0 +11.7 - 4.8 + 1.3 + 2.5 -16.9 - 3.0 - 2.1 - 8.6 + 8.1 + 3.5 + 5.5 +15.5 + 4.9 + 4.4 +10.3 - 3.4 -- 3.4 - 5.4 - 1.6 + 7.4 + 5.7 + 8.1 +15.3 +12.7 +11.8 +14.8 +10.7 + 3.0 - 2.3 + 0.8 + 5.7 + 1.4 + 7.8 +11.3 - 4.9 + 6.3 -10.5 -+ 6.4 - 6.3 - 2.8 + 3.4 + 4.6 -+ 8.2 +12.7 - 7.2 + 7.2 -16.2 - 0.9 + 7.3 - 8.1 - 4.6 + 8.4 + 7.8 + 7.3 1/ Includes all deposits subject to reserve requirements. 2/ Moneta r y Variables Total Member Time Money Suppl Deposits Private Bank Deposits o t Ti (comm. Total Demand Movements in this aggregate correspond closely with movements in total member bank credit. Changes in reserves, total deposits, and time deposits have been adjusted for redefinition of time deposits effective June 9. Changes in reserves have been adjusted for increases in reserve requirements in July and September. p - Preliminary. Chart 1 MEMBER BANK RESERVES MONTHLY AVERAGES OF DAILY FIGURES I BILLIONS OF DOLLARS, SEASONALLY ADJUSTED BILLIONS OF DOLLARS BILLIONS OF DOLLARS MEMBER BANK BORROWINGS EXCESS RESERVES J 1965 1966 Chart 2 MEMBER BANK DEPOSITS AND LIABILITIES TO OVERSEAS BILLIONS OF DOLLARS TOTAL MEMBER BANK DEPOSITS (CREDIT PROXY) SEAS ADJ, DAILY AVERAGES 248 ACTUAL WEEKLY LEVEL I ' 246 244 242 CENTERED ___.13-WEEK M O V IN G AVERAGE 240 238 236 6- LIABILITIES TO OVERSEAS BRANCHES 6 WEEKLY REPORTING BANKS) NOT SEAS ADJ, WEDNESDAYS 4 I I I I I I L I_ M 1966 1967 BRANCHES Chart 3 MONEY SUPPLY AND BANK DEPOSITS SEASONALLY ADJUSTED WEEKLY AVERAGES OF DAILY FIGURES BILLIONS OF DOLLARS BILLIONS OF D, TOTAL MEMBER BANK (Credit Proxy) DEPOSITS 245 " 240 235 230 170 225 165 220 160 155 -TIME DEPOSITS ADJUSTED (All Commercial 4---- ---i Banks) .^ r 150 145 140 135 'NEGOTIABLE CD'S (Unadjusted)-- 130 J 1965 J S D 1966 *CHANGE IN SERIES Chart 4 DEMAND DEPOSITS SEASONALLY ADJUSTED WEEKLY AND CURRENCY AVERAGES OF DAILY FIGURES BILLIONS OF DOLLARS 45 MONEY SUPPLY COMPONENTS: 40 CURRENCY OUTSIDE I BANKS __ 35 30 140 135 DEMAND DEPOSITS 130 125 120 15 10 5 0 M J 1965 S D M J 1966 S D Table B-1 MAJOR SOURCES AND USES OF RESERVES Retrospective and Prospective (Dollar amounts in millions, based on weekly averages of daily figures) Factors affecting sup ly of reserves Period Federal Reserve credit (excl. float) / Gold stock Currency outside banks = Technical factors net 2/ Change in total reserves = Bank use of reserves Required reserves 3/ Excess reserves ACTUAL lr : 1965 (12/30/64 - 12/29/65) +4,035 -1,602 -2,143 +798 +1,089 +1,188 - 99 1966 (12/29/65 - 12/28/66) +3,149 -627 -2,232 +805 +1,096 +1,104 - +247 +319 - 53 -- +336 +397 -341 -294 +190 +419 +332 +497 -142 - 78 30 p +775 - 27 - 17 -439 +291 + 20 +271 7 14 21 28 p p p p + 97 - 19 -231 +556 - 72 --+ 1 -289 -214 - 35 -186 +252 +547 +627 - 70 - 12 +315 +363 +301 +227 - 4 +685 + 42 -239 +319 -322 +259 4 p +319 +397 -294 +419 +497 - 78 -- 8 Year-to-date: (12/29/65 - 1/5/66) (12/28/66 - 1/4/67) Weekly: 1966--Nov. Dec. 1967--Jan. -- PROJECTED 4/ 1967--Jan. Feb. Mar. 11 + 85 - -500 -415 -415 18 -660 -- +420 - 80 -320 -320 25 -225 -- +245 -225 -205 -205 1 8 15 22 +180 +325 -235 -420 ----- +200 -315 + 95 + 75 -400 -100 - 40 +150 - 20 - 90 -180 -195 - 20 - 90 -180 -195 1 8 15 -235 +525 - 75 ---- +105 -475 + 70 - 50 -100 - 5 -180 - 50 - 10 -180 - 50 - 10 -For For For See retrospective details, see Table B-4. factors included, see Table B-3. required reserves by type of deposits, see Table B-2. reverse side for explanation of projections. p - Preliminary. -- Table B-2 CHANGES IN REQUIRED RESERVE COMPONENTS Retrospective and Prospective Seasonal and Nonseasonal Changes (Dollar amounts in millions, based on weekly averages of daily figures) Total required reee reses Period Supporting U. S. Gov't. demand demand private deposits _Supporting Other than seasonal chan seasonal changes Seasonal changes Total Total deposits Demand Time Demand Time ACTUAL Year: (12/30/64 (12/29/65 - 1965 1966 12/29/65) 12/28/66) +1,188 +1,104 - 89 90 +1,277 +1,194 +115 - 14 - 4 4 +499 7 +425 +497 - 26 - 20 +451 +517 +425 +334 + 24 + 24 8 +146 + 10 1/ + 13 1966--Nov. 30 p + 32 + 52 - - + 5 - 5 - 1 Dec. 6 +667 +1,219 Year-to-date: (12/29/65 (12/28/66 - 1/5/66) 1/4/67) Weekly: 1967--Jan. 20 19 +227 - 8 +235 +132 + 2 + 95 + 14 p - 4 -178 +174 +295 - 5 -138 + 22 21 p 28 p +685 + 42 + 13 +402 +672 -360 +311 -176 - 15 + 5 +356 -234 + 20 + 45 4 p +497 - 20 +517 +334 + 24 +146 + 13 11 18 25 -415 -320 -205 -200 -250 +170 -215 - 70 -375 -140 -115 -230 + 15 + 15 + 10 -100 + 15 -165 + 10 + 15 + 10 1 - 20 + 40 - 60 - 80 + 10 8 15 - 90 -180 + 95 - 40 -185 -140 -190 -160 + 10 + 5 22 -195 - 10 -185 -340 1 8 15 -180 - 50 - 10 - 75 - 60 - 50 -135 + 10 + 40 -140 + 20 + 70 7 p PROJECTED 1967--Jan. Feb. Mar. 1/ Reflects reserve requirement changes in July and September. p - Preliminary. I _ _ _ _ -- -- + 10 + 10 + 5 _ _ _ _ _ _ _ + 10 - 15 + 5 + 10 + 10 +145 + 10 + 15 - 30 - 45 + 10 + 10 + 10 ___ _ _ _ _ _ Table B-3 TECHNICAL FACTORS AFFECTING RESERVES Retrospective and Prospective Changes (Dollar amounts in millions, based on weekly averages of daily figures) Technical factors (net) Period ACTUAL Foreign deposits and gold loans (Sign indicates effect on reserves) Treasury operations Float Other nonmember deposits and F. R. accounts Year: 1965 (12/30/64 - 12/29/65) +798 +294 -171 + 77 +598 1966 +805 +673 + 64 - 30 + 98 -341 -294 + 87 - 27 -347 -284 - 15 23 - 66 + 40 -439 +154 -548 - 16 - (12/29/65 - 12/28/66) Year-to-date: (12/29/65 (12/28/66 - 1/5/66) 1/4/67) Weekly: 1966--Nov. 30 Dec. 1967--Jan. 29 7 +252 +115 +112 - 1 14 +547 +345 + 18 - 11 +195 21 +627 - 57 +639 + 18 + 27 28 - 70 -146 +106 - 1 - 29 4 -294 - 27 -284 - 23 + 40 11 18 25 -500 - 80 -225 --130 -- -365 + 50 -225 - 15 -- -120 - 15 -- 1 8 15 22 -400 -100 - 40 +150 ----- -400 -100 - 60 +300 -- - 1 8 15 - 50 -100 5 ---- - 50 -100 - 60 + 26 PROJECTED 1967--Jan. Feb. Mar. ---- + 20 -150 -- -- + 55 Table B-4 SOURCE OF FEDERAL RESERVE CREDIT Retrospective Changes (Dollar amounts in millions of dollars, based on weekly averages of daily figures) Ii1 Period . - securities Total Federal U.S. Government 1* Total Repurchase Reserve credit Other Bills agreements (Excl. float) ., holdings . . . Federal Agency Securities Bankers' acceptances Member banks borrowings . r: +3,145 +2,158 +916 +474 +4,035 +3,149 +3,916 +3,069 247 319 178 282 5 12 19 26 692 110 630 20 506 30 448 273 496 20 448 194 + 10 2 9 16 23 30 304 509 5 699 755 225 455 59 438 550 243 323 16 306 212 - 18 +132 + 76 - 43 + 65 -132 +338 -272 +197 7 14 21 28 97 19 231 556 256 202* 112* 452 141 120 69 105 +115 -154 + 26 +315 -187 +198 -175 + 76 4 319 282 434 -152 + 17 1965 (12/30/64 - 12/29/65) 1966 (12/29/65 - 12/28/66) -145 +437 + 26 +202 -152 + Year-to-date: (12/29/65 - 1/5/66) (12/28/66 - 1/4/67) Weekly: 1966--Oct. Nov. Dec. 1967--Jan. - 24 + 434 - -10 i + 79 1 + 53 + 16 + 19 + 17 +178 +100 -138 -272 + 52 * - Includes effect of change in special certificates of +$72 million of the week of December 14, 1966, and -$72 million of the week of December 21, 1966. Chart Reference Table C-1 TOTAL, NONBORROWED AND REQUIRED RESERVES Seasonally Adjusted (Dollar amounts in millions, based on monthly averages of daily figures) Total Period reserves eserves Total Nonborrowed reserve reserves NJ Reuired reserves Toaowed Total Against rivate deposits TotalDemand Demand 1 Total 1964--January February March April May June July August September October November December 20,964 20,996 21,179 21,209 21,105 21,385 21,436 21,551 21,776 21,739 21,872 21,843 -20,673 20,711 20,875 20,931 20,911 21,135 21,150 21,256 21,422 21,409 21,487 21,585 20,542 20,601 20,754 20,783 20,765 20,972 21,015 21,172 21,333 21,346 21,499 21,526 19,993 20,118 20,247 20,387 20,486 20,547 20,634 1965--January February March April May June July August September October November December 21,960 22,157 22,279 22,449 22,436 22,612 22,682 22,689 22,667 22,737 22,748 23,010 21,625 21,771 21,814 21,953 21,994 22,082 22,158 22,186 22,114 22,248 22,341 22,523 21,563 21,713 21,868 22,036 22,109 22,243 22,332 22,299 22,259 22,439 22,402 22,657 20,702 20,765 20,881 20,985 20,962 21,138 21,247 21,331 21,553 21,720 21,803 21,970 15,730 15,717 23,139 23,217 23,274 23,530 23,536 23,539 23,763 23,363 23,492 23,297 23,258 23,276 22,701 22,759 22,671 22,877 22,878 22,862 22,997 22,695 22,700 22,566 22,670 22,688 22,788 22,844 22,896 23,123 23,163 23,193 23,355 23,067 23,064 22,075 22,084 22,269 22,477 22,453 22,582 22,511 22,517 22,598 22,430 22,381 22,512 16,364 16,356 16,510 16,625 16,534 16,626 1966--January February March April May June 1/ July 1/ August 1/ September October S1/ November pS1/ December p I 23,042 22,891 22,977 19,679 19,748 19,796 19,855 19,910 15,295 15,321 15,344 15,364 15,371 15,409 15,495 15,575 15,665 15,709 15,713 15,746 15,789 15,831 15,750 15,877 15,912 15,916 16,071 16,151 16,168 16,285 16 ,68 16,428 16,498 16,317 16,403 - p - Preliminary. 1/ Reserves have been adjusted for redefinition of time deposits effective June 9. Table C-2 DEPOSITS SUPPORTED BY REQUIRED RESERVES AT ALL MEMBER BANKS Seasonally Adjusted (Dollar amounts in billions, based on monthly averages of daily figures) Total member bank deposits Monthly (credit) 1/ Time deposits Private demand U.S. Gov't. demand deposits 2/ deposits 202.8 203.8 93.5 94.4 104.4 104.6 4.9 4.8 March 205.1 94.9 104.7 5.4 April May June July August 206.0 206.6 208.7 209.3 211.3 95.8 96.8 97.7 98.6 99.6 104.9 104.9 105.2 105.8 106.3 5.3 4.9 5.8 5.0 5.4 September October November December 213.1 214.1 216.1 216.7 100.8 101.9 103.1 104.2 106.9 107.2 107.3 107.5 5.5 5.0 5.7 5.0 1965--January February March April May June July August September 218.4 220.4 222.5 224.6 225.8 227.7 229.1 230.4 231.1 106.0 107.6 108.6 109.9 111.1 112.2 113.8 115.5 116.9 107.4 107.3 107.8 108.1 107.5 108.4 108.6 108.6 109.7 5.0 5.5 6.1 6.7 7.2 7.1 6.7 6.3 4.6 October 233.5 118.7 110.2 4.5 November December 234.5 236.4 120.2 121.2 110.4 111.2 4.0 4.0 1966--January February March April 238.0 238.7 239.8 242.9 121.8 122.1 122.8 124.8 111.7 111.6 112.7 113.5 4.5 5.0 4.3 4.7 3/ 243.9 244.8 126.2 127.0 112.9 113.5 4.8 4.3 July 3/ August 3/ 246.9 246.2 128.8 129.8 112.4 112.1 5.6 4.2 1964--January February May June 246.2 130.1 112.6 3.5 Oct. 3/ Nov. 3/ p 245.5 244.4 129.6 129.3 111.6 111.4 4.3 3.7 Dec. 3/7 245.1 130.2 112.0 2.9 Sept. 3/ 1/ Includes all deposits subject to reserve requirements--i.e., the total of time, private demand, and U.S. Government demand deposits. Movements in this aggregate correspond closely with movements in total member bank credit. 2/ Private demand deposits include demand deposits of individuals, partnerships and corporations and net interbank balances. 3/ Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary. TABLE C-2a DEPOSITS SUPPORTED BY REQUIRED RESERVES AT ALL MEMBER BANKS Seasonally adjusted (Dollar amounts in millions, based on weekly averages of daily figures) Week ending: 1966- -July 6* 13* 20* 27* Total member bank deposits (credit/ Time deposits Private demand 2/ _____deposits U. S. Gov't. demand deposits 247.3 247.1 247.0 247.1 127.9 128.7 129.0 129.2 113.0 112.2 112.6 112.1 6.3 6.2 5.4 5.8 3* 10* 17* 24* 31* 246.1 246.3 246.5 245.0 246.8 129.2 129.4 129.9 130.1 130.3 112.1 111.1 112.3 112.1 112.2 4.8 5.7 4.3 2.8 4.4 Sept. 7* 14* 21* 28* 247.0 246.5 245.7 245.7 130.2 130.2 129.8 130.0 112.5 112.1 113.7 112.8 4.3 4.2 2.2 2.9 Oct. 5* 12* 19* 26* 246.2 245.2 244.3 246.1 129.8 129.8 129.8 129.3 112.8 112.1 111.5 111.0 3.5 3.3 3.0 5.9 Nov. 2* 246.1 245.8 244.4 243.0 243.3 129.5 129.3 129.3 129.3 129.3 111.2 111.1 111.1 111.1 111.3 5.4 5.3 4.0 2.2 2.7 p* 14p* 2 1p* 28p* 244.4 244.4 245.4 245.7 129.4 129.8 130.2 131.0 111.8 111.1 113.0 111.5 3.2 3.6 2.2 3.2 4p* 247.1 131.1 112.5 3.4 Aug. 9* 16* 23* 30 p* Dec. 1967-- Jan. 7 p - Preliminary. 1/ Includes all deposits subject to reserve requirements--i.e., the total of time, private demand, and U.S. Government demand deposits. Movements in this aggregate correspond closely with movements in total member bank credit. 2/ Private demand deposits include demand deposits on individuals, partnerships and corporations and net interbank balances. * - Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. TABLE C-3 MONEY SUPPLY AND TIME DEPOSITS AT ALL COMMERCIAL BANKS Seasonally adjusted (Dollar amounts in billions, based on monthly averages of daily figures) Monthly Money Supply 1964--October November December 158.8 159.0 159.7 1965--January February 159.7 159.8 160.3 161.0 160.7 161.7 162.4 163.0 164.1 165.2 165.6 March April May June July August September October November December 1966--January February March April May June 3/ July 3/ August 3/ September3/ October 3/ November /p December 3/p 1/ 2/ 3/ Private Demand Currency I/ SDeposits 2/ 34.0 124.8 34.1 124.8 34.2 125.4 125.3 125.2 125.6 126.2 125.8 126.7 127.2 127.5 128.5 167.2 34.5 34.6 34.7 34.8 34.9 35.0 35.3 35.5 37.7 36.0 36.1 36.3 168.0 168.2 169.3 170.9 170.2 171.1 169.6 169.6 170.5 169.6 169.2 170.3 36.6 36.8 36.9 37.2 37.3 37.4 37.7 37.8 37.9 37.9 38.0 38.2 131.4 131.4 129.3 129.5 130.9 132.3 133.7 132.9 133.7 131.9 131.8 132.6 131.7 131.2 132.0 Time Deposits Adjusted 123.5 125.1 126.6 128.7 130.7 132.0 133.3 134.6 136.2 137.9 140.0 141.6 143.7 145.5 146.9 147.8 148.5 149.5 151.4 153.0 154.5 156.4 157.8 158.2 157.9 158.0 159.1 Includes currency outside the Treasury, the Federal Reserve, and the vaults of all commercial banks. Includes (1) demand deposits at all commercial banks, other than those due to domestic commercial banks and the U.S. Government, less cash items in process of collection and Federal Reserve float; and (2) foreign demand balances at Federal Reserve Banks. Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary. TABLE C-3a MONEY SUPPLY AND TIME DEPOSITS AT ALL COMMERCIAL BANKS Seasonally Adjusted (Dollar amounts in billions, based on monthly averages of daily figures) Private Week Ending Money Supply Currency ./ SDeposits 2/ adusted adjusted 6 13 20 27 170.9 169.6 169.8 168.9 37.6 37.7 37.7 37.7 133.3 132.0 132.1 131.2 155.5* 156.1* 156.6* 157.1* 3 169.2 168.7 169.7 169.8 170.0 37.7 37.8 37.8 37.8 37.7 131.6 130.9 131.9 132.0 132.2 157.0* 157.4* 157.9* 158.0* 158.2* 28 170.5 170.1 171.7 170.0 37.8 38.0 38.0 37.9 132.6 132.1 133.7 132.1 158.2* 158.2* 158.1* 158.4* Oct. 5 12 19 26 170.7 170.2 169.6 168.9 37.9 38.0 37.9 37.9 132.8 132.2 131.7 131.0 158.2* 158.0* 158.1* 157.7* Nov. 2 9 16 23 30 168.9 37.8 38.0 38.1 38.0 38.1 131.1 130.9 130.8 131.3 131.3 157.8* 157.9* 158.0* 158.0* 158.1* 7 14 21 169.6 169.0 28 170.2 38.0 38.2 38.3 38.4 131.5 130.8 133.5 131.8 158.0* 158.6* 159.2* 160.0* 4 171.0 38.5 132.5 160.2* 1966--July Aug. 10 17 24 31 Sept. 7 14 21 Dec. 1967--Jan. 1/ Time Deposits Demand 168.8 168.9 169.3 169.4 171.8 Includes currency outside the Treasury, the Federal Reserve, and the vaults of all commercial banks. 2/ Includes (1) demand deposits at all commercial banks, other than those due to domestic commercial banks and the U.S. Government, less cash items in process of collection and Federal Reserve float; and (2) foreign demand balances of Federal Reserve Banks. * - Deposits have been adjusted for redefinition of time deposits effective June 9, 1966. p - Preliminary. 

Federal Reserve (1967, January 9). Bluebook. Bluebooks, Federal Reserve. https://whenthefedspeaks.com/doc/bluebook_19670110

@misc{wtfs_bluebook_19670110,
  author = {Federal Reserve},
  title = {Bluebook},
  year = {1967},
  month = {Jan},
  howpublished = {Bluebooks, Federal Reserve},
  url = {https://whenthefedspeaks.com/doc/bluebook_19670110},
  note = {Retrieved via When the Fed Speaks corpus}
}