November 18, 196U ^CAPITAL-MARKET DEVELOPMENTS ABROAD. I. Nine Charts on Financial Markets Abroad

Transcription

1 DIVISION OF INTERNATIONAL FINANCE BOARD OF GOVERNORS OF THE H. 13 No, 172 ^CAPITAL-MARKET DEVELOPMENTS ABROAD November 18, 196U I. Nine Charts on Financial Markets Abroad II, Latest Figures Plotted in H.13 Chgirt Series, 1?6U I. Nine Charts on Financial Markets Abroad Chart 1 - International Money Market Yields for U.S. Dollar Investors Chart 2 - Interest Arbitrage, United States/Canada Chart 3 - Interest Arbitrage New York/London Chart U - Interest Arbitrage for German Commercial Banks Chart 5 - Short-term Interest Rates Chart 6 - Long-term Bond Yields Chart 7 - Industrial Stock Indices Chart 8 - Spot Exchange Rates - Major Currencies Against U.S. Dollar Chart 9-3-month Forward Exchange Rates OFFICIAL USE ONLY ^ (Decontrolled after six months)

2 Chen 1 : INTERNATIONAL MONEY MARKET YIELDS FOR U.S. DOLLAR INVESTORS 3-MONTH EURO DOLLAR DEPOSIT VS. CERTIFICATE OF DEPOSIT Wednesday figure* DIFFERENTIAL: EURO-DOLLAR U.S. CERTIFICATE OF DEPOSIT OVER Li--!,!.,!: I 1 I l 1 I I i III NEW YORK OFFER RATES ON SELECTED 3-MONTH INVESTMENTS Friday figures TREASURY BILLS- Fully Hedged A, COMMERCIAL P APER-Fully Hedged I U.K. HIRE PURCHASE CANADIAN FINANCE i a / v I f~\ COMPANY ' ft/ VAT 'J prh - r" u $-FINANCE COMPANY

3 INTER EST ARB IT RAGE, UNITED ST A T E S / C A NAPA Friday f i g u r e s * Par cent p«r a n n u m 3 lm O NIH IRE AS U R Y BI.LLR A TES RATE DIFFERENTIAL AND FORWARD CANADIAN DOLLAR RATE DIFFERENTIAL WITH FORWARD EXCHANGE COVER * Thursday liqyrfi *2, fr>doy t h c- t n o \ I f r

4 INTEREST ARBITRAGE, NEW YORK/LONDON Friday figures fi 3-MONTH TREASURY BILL RATES RATE DIFFER! AND 3-MONTH FORWARD STERLING RATE DIFFERENTIAL WITH FORWARD EXCHANGE COVER

5 INTEREST ARBITRAGE FOR GERMAN COMMERCIAL BANKS 3-MONTH TREASURY BILLS, INTERBANK LENDING RATE AND EURO DOLLAR DEPOSIT RATES T~" 1 1 GERMAN TREASURY BILLS RATE DIFFERENTIAL AND FORWARD DEUTSCHE MARK RATE DIFFERENTIAL WITH FORWARD EXCHANGE COVER NET INCENTIVE: IN FAVOR OF FRANKFURT (+) {"TREASURY 8IUS

6 Chart 5 SHORT-TERM INTEREST RATES * EURO-DOLLAR - LONDON i *%* 3 morilh ircaiur y bill rut«i for all counlnei hkdiji Japan (Avetaye role on t>unk Iooim u n d due ou nit \ (and Switzerland (J m o hi h depov.t role) j", 3 monllt f oiti for U 5 dollar deponm in London

7 I LONG-TERM BOND YIELDS v

8 INDUSTRIAL STOCK INDICES Rati* ml# >50 CANADA Z> 1965 * New series Swn$ Bank Corporation industrial slock index. Japan: index of 225 industrial and olher stocks Iraded on the Tokyo exchange

9 SPOT EXCHANGE RATES - MAJOR CURRENCIES AGAINST U.S. DOLLAR p " <*"' : - - * Above por GERMAN MARK Below par Below pari Above par./\ wilh'

10 Chan 9. ' 3-MONTH FORWARD EXCHANGE RATES Friday <ig»m AGAIN ST U,_S. p O L L A R S ' l, ' Pmt cant p»r annum 19 SWISS FSANC N&V* A POUND STERLING AG AI N_$I_P_Q U Nb STE R L! N_Q - LO N D OK. PREMIUM + 1 AGAINST POUND STERLING - LONDON PREMIUM + DUTCH GUILDER 1964

11 H s13 No,,172 II * Latest Figures Plotted In H. 13 CharrSe^ries, 1961; November 18, 1?6U IV Upper panel Chartf 1 (Wednesday, Nov. 11 ) Euro-$ deposit Per cent per annum iu Q U. Sv certif. of deposit i.oc - ^ Lower panels (Friday, Nov. 11 ) Treasury bills: U.S. U.K. Canada i.m i J,R Finance Co. paper: U.S. i.rr Canada Hire-purchase paper, U.K. Chart 2 (Fr iday, Nov. 11 ) It.20 ),.in Treasury bills: Canada 1.59 * U.S. 1.<6 Spread favor Canada Forward Canadian dollar,0.17 Net incentive (Canada +) Chart 3 (Friday, Nov. 11 ) _n.l)i Treasury bills: U.K. IU5L3. U.S. 3*56. Spread favor U.K Forward pound -0,92 Net incentive (U.K. +) +0.0$ Chart 5 (Friday; 11 except as noted). Treasury bills:' U.S. U.K. Germany Canada Swiss 3-month deposits ' (Date: Oct. 15 ) Euro-$ deposit (London) Japan: composite rate (Date: July 31 ) Bonds: Chart 6 U. S. govt.. (Wed., November 11 ) U. K. war loan (Thurs., November 5> ' ) German Fed. Railway (Fri., November 6 ) 'November 13 ] Swiss Confederation (Fri., November 6 ) Canadian govt. (Wed., November 10 ) Netherlands Government Perpetual (Fri,, October 23 ) s October 30 ) November 6 ~~) Per cent per annum 2lm$L!u5a 2.61 jiiz IlSQ M l W k ^ U l '? Digitized for For FRASER description and sources of data see special annex to H. 13 Number 164. September 23, /