federal reserve bulletin july 1936 - fraser - federal reserve bank

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


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.


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


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


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


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



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.



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



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


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



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.



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



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.



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



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.



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.



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.


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-



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.



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.



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


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.)



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.__


TimeDemandBank ,

TotalSalaries and wagesInterest and discount on

borrowed moneyTaxesOther 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.


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




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


Interest on depositsInterest and discount on borrowed

moneySalaries and wagesTaxesAll other 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 _._


Interest on deposits __Interest and discount on borrowed

moneySalaries and wagesTaxesAll other 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


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



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


TimeDemand __ _Bank

Total

Salaries and wagesInterest and discount on borrowed

moneyTaxes - -Other 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.



EARNINGS AND EXPENSES OF MEMBER BANKS—ContinuedSTATE MEMBER BANKS, BY DISTRICTS, LAST SIX MONTHS OF 1935


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...


TimeDemand _ _ _Bank

Total

Salaries and wagesInterest and discount on borrowed

moneyTaxes . . . . _Other 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


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


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.



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


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-


Time _ . . .Demand . . . _.Bank

TotalSalaries and wages . .Interest and discount on borrowed

money __ _ _TaxesOther 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


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.



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


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


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.



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.



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.



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


March1936

Decem-ber 1935

March1935

Number of banks

March1936

De-cem-ber1935

March1935



East North Central:OhioIndianaIllinoisMichiganWisconsin

West North Central:MinnesotaIowaMissouriNorth DakotaSouth DakotaNebraskaKansas

South Atlantic:DelawareMarylandDistrict of Columbia.._VirginiaWest VirginiaNorth CarolinaSouth CarolinaGeorgiaFlorida

East South Central:KentuckyTennesseeAlabamaMississippi




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



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



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




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


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 .



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.



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:


Iowa _KansasM assachusettsMichigan:

District No 7District No. 9

Missouri (District No 8)New Jersey(District No. 2)New YorkOhio _Pennsylvania:


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]


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.



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.



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.



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.



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.



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.



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.



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.



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.



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



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.



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.


Encaisse or..

Gold-


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.



GOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS—Continued


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


548 FEDERAL RESERVE BULLETIN

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



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-



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.



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


552 FEDERAL RESERVE BULLETIN JULY 193G

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



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.



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,-



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.



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,



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.



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.



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



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-



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



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.



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.



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



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-



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


JTJLY 1936 FEDERAL RESERVE BULLETIN 567

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.



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



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.



ASSETS AND LIABILITIES OF FEDERAL RESERVE BANKS; ALSO FEDERALRESERVE NOTE STATEMENT, JUNE 30, 1936


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.



PRINCIPAL ASSETS AND LIABILITIES OF THE FEDERAL RESERVE BANKS,BY WEEKS


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:


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:


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:


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



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


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



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



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.



GOLD STOCK AND GOLD MOVEMENTS IN THE UNITED STATES

ANALYSIS OF CHANGES IN MONETARYSTOCK


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.


MOVEMENT OF GOLD TO ANDUNITED STATES 1


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).



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


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


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).



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


1936-Mar. 4

NEW YORK CITY 4

1933—June 30 2Oct. 25Dec. 30


1935—Mar. 4June29.__.__Nov. 1Dec. 31

1936—Mar. 4

OTHER RESERVECITIES

1933—June 30 2

Oct. 25Dec. 30



1936—Mar. 4

COUNTRY BANKS

1933—June 30 2Oct. 25Dec. 30


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.



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


1936—Mar. 4 . . . .

NEW YORK CITY 6

1933—June 30 B._Oct. 25Dec. 30.. .


1935—Mar. 4June 29Nov. 1Dec 31

1936—Mar. 4

OTHER RESERVECITIES

1933—June 30 sOct. 25Dec. 30. _


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.



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


MarehAprilMayJune


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.



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


MarchAprilMayJune


NEW YORK CITY


MarchAprilMayJune


OUTSIDE NEW YORKCITY


MarchAprilMayJune


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).



REPORTING MEMBER BANKS IN 101 LEADING CITIESASSETS AND LIABILITIES BY DISTRICTS AND FOR NEW YORK CITY AND CHICAGO


Loans and investments,total:


Loans to brokers and dealersin New York:


Loans to brokers and dealersoutside New York:


Loans on securities to others(except banks):


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:


Obligations fully guaranteedby U. S. Government:


Other securities:June 3June 10June 17June 24

Eeserve with Federal Re-serve bank:


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


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



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


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



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-



ACCEPTANCES, COMMERCIAL PAPER, AND BROKERS' BORROWINGS

BANKERS' ACCEPTANCES, BY HOLDERS(DOLLAR ACCEPTANCES)


BANKERS' ACCEPTANCES, BY CLASSES(DOLLAR ACCEPTANCES)


End of month

1934—FebruaryMarchAprilMayJune __-JulyAugustSeptember...OctoberNovember. __December. _.

1935—JanuaryFebruaryMarchAprilMayJuneJulyAugustSeptember...OctoberNovember...December


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.


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.


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




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.




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


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).



BOND


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


Number of issues

1933 average1934 average1935 average

1935—JuneJulyAugustSeptemberOctoberNovemberDfippmbp.r

1936—JanuaryFebruaryMarchAprilM a yJune


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.



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.



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.



FARM CREDIT ADMINISTRATIONLOANS AND DISCOUNTS OUTSTANDING, BY INSTITUTIONS


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.._


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.



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).



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.


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.



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


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.



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


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


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.



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]


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



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


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).



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).



INTERNATIONAL FINANCIAL STATISTICSGOLD RESERVES OF CENTRAL BANKS AND GOVERNMENTS


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.


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.



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


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


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


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.



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


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


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


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.


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.


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.




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




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



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



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.



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.


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.


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.



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.


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


federal reserve bulletin july 1936 - fraser - federal reserve bank

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