w RESEARCH LIBRARY of St. Louis MONEY STOCK (Page ) Week ending August, JUG r( 99 INTEREST RATES (Continued) The nation's money stock climbed to $90. billion during the week ending August, up at a 0. per cent annual rate since and an. per cent rate since February. The money stock continued to rise much more rapidly than its. per cent average annual rate of increase from 9 to 9. The money stock and the demand deposit component of the money stock have not risen much on balance during and August. The slow growth in money during these two months may reflect in part changes in Treasury deposits at commercial banks. rate on three-month Treasury bills fell from a peak of. per cent in to.9 per cent in early August. The average rate for the three days ending August was. per cent. The rates on longer-term securities have followed a similar pattern. The rate on long-term Government bonds fell from a peak of. per cent to.99 per cent in early August and has subsequently risen somewhat to an average rate of.0 per cent for the three days ending August. MONETARY BASE In late the Government enacted a 0 per cent surtax on personal and corporate incomes and, at the same time, provided for a $ billion reduction in planned expenditures. During the first days of fiscal 99, through August, tax and other cash receipts of the Government amounted to $. billion, or $. billion more than in the corresponding period a year earlier, according to the Daily Treasury Statement. Expenditures in the same period amounted to $. billion, or $. billion ( per cent) above the same period last year. Spending by the Defense Department increased $. billion and all other outlays rose $.9 billion. The resulting deficit was $. billion as against $. billion in the same period of fiscal. (Page ) The monetary base has increased at a. per cent annual rate since and at a. per cent rate since February. These growth rates are well above the 9 to 9 average annual increase of. per cent. Unlike the money stock and total demand deposits, the monetary base is a monetary measure which does not fluctuate markedly with movements in Treasury deposits. The monetary base has shown a continued upward trend in and August. (For a description of the base see the August Review of this bank.) INTEREST RATES TREASURY FINANCE (Pages 0 & ) - Some interest rates have risen in the past three weeks after declining for three months. The Rates of change reported in this release are intended to serve as summaries which may be useful in analyzing recent developments. Prepared by Released: August 0,
FEDERAL RESERVE CREDIT Averages of Daily Figures of Dollars Billions of Seasonally adjusted by this bank. ( n i th Annual rate of change Federal Reserve Credit adjusted for reserve requirement changes averages of four weeks ending, from four weeks endin 9, + ll-j, +/* % * II J II J-J So.oi SO.bO SO. Soli, a-f! SO. Hi (Uc ^ +/J.Z 9, 9 0, 9 Federal Reserve Holdings Credit 9-9 Federal Reserve Credit so. so So.il /? S II At! SI. go r* >0 ' SO-V SI- n W SI. ot> S. 0 ssi.^ H n.z/ Z/ S.if Z P S, Sl.oSJ s/.is SI. s/ n JVdV SA IX Sis 0 I S/-SL,.0 S.0 SA.i..! sw.w Ji. / i J.f j.il P 0 i Federal Reaerve Holdings of U.S. Government and Federal Agency Securities? / Federal Reserve Credit excludes float and a few minor items. Data prior to, adjusted for the estimated effect of reserve requirement changes. Seasonal adjustment for Federal Reserve Holdings computed by this bank using data ending December Borrowings from Federal Reserve not seasonally adjusted. Current unadjusted data appear in the Board's H... release. data preliminary data plotted week ending:, 9 9 0 Apr. 9 0 _ rt-m-mm 0 i mmrrm... - 9 9 99 Prepared by Federal Reserve Bank of St. Lou^F
MONET^Y BASE* Averages of Da ily Figures Seasonally Ac justed Annual rates of change, Reserves Monetary Base Seasonally Adjusted Week Total Effective Reserves Adjusted Available For Private Demand Deposits Seasonally Adjusted average of from four weeks ending: Averages of daily figures in billions of dollars j 0 c ch ~/e '. Q* u j.y K/f -% Ajr.sr Af.SO n m mi "? / j/ p 9-9 /. AsT.fcJ ' a sop * Uses of the monetary base are member bank reserves and currency held by the public and nonmember banks. Adjustments are made for reserve requirement changes and shifts in deposits among class of banks. Data are computed by this bank. For a description of the base see the August Review of this bank and for trend of monetary base by months see this bank's monthly release entitled "Monetary Trends". --. :-- Latest data plotted week ending:, 9 9 Aug l 9 0 9 0 Prepared by
DEM AND DEPOSIT COMPONENT OF U.S. MONEY STOCK* Averages of Daily Figures Seasonally Adjusted rf Dollars Billions of ll 0 9 is JEEKLY DATA /Ha, /J IH.S -Annual rates of change, average of -four weeks ending, -from four weeks ending: -, + t/i -, +.Z r, 9 +.*/ ", 9 + M l+f.o Ii t 'Ml -0 <? At. I_9-9 C/0 / m-t if Mb.L i (Uvvto my vy mt i. H/nip 0 9 r T /* / -week centered moving average Weekly 0 9 ^ & * Current data appear in the Board s H. release. Back data appear in tlje Federal Reserve Bulletin. For trend of demand dedosits bv months see this bank's. monthly release entitled "Monetary Trends"* ^ t r j _i T l -J J-.L I Latest data plotted week ending: i-rm 9 9, t 0 Apr. 9 9' Prepared by
MONEmTOCK* ily Figures Averages o Seasonally Ad * Lions of Dollars Billions of Dolli Annual rates of change, average of four weeks ending, from four weeks ending.:,, ^, 9 -f- (>? 0 0 9-9 99 99 9 9 9 9 9 9 9 9 9 9 9 9 9 9 9 9 90 90 9 9 -week centered moving average Weekly 0 0 9 9 * Current data appear in the Board's H. release. Back data appear in the Federal Reserve Bulletin. For trend of money stock by months see this bank's monthly release entitled "Monetary Trends". Latest data plotted week ending:!_ <r -------- ----, T~l I I I I I I I I I I I I I I I I I I I.I.. I I 9 9 0 Apr. 9 0 0 ' 9 9 99 Prepared by r. 0
CERTIFICATES OF DEPOSIT [_ Large Commercial Banks Wednesday Figures.0 Billions of ffffffffffftffl, Annual rates of change, seasonally unadjusted data. average of four weeks ending, from four weeks ending:, V H.,,,.0 + /Q. 9 9 +. 0.0 / -0 9-9.0.0.0.0.0.0 9.0 Millions of Dollars Xan.0 /r.vbs /?. /ys*-,09..0 /% 'TV-i Zt,9$c JL/yfC */,.0 / i.m t/ zzifor.0.0 Latest data plotted: Current and year ago data appear in the Board's H... release. J Negotiable time certificates of deposit i 0 l 9 9 9 0 ^^ in denominations of $00,000 or more. i ii r..... 0 9 9 9 Prepared by Federal Reserve Bank of St^xbuis.0
TIME Averages of Daily Figures Seasona!ly Ad usted -- Annual rates of change, average of four weeks ending, from four weeks ending: ~ ~, T/t-'i _, +- g.. 9-9 n nc-a * Current data appear in the Board's H. release. Back data appear in the Federal Reserve Bulletin. For trend of time deposits by months see this bank's monthly release entitled "Monetary Trends"... Latest data plotted week ending:, I II I I 9 0 9 0 Aug l 0 9 9 Prepared by Apr
BORROWINGS AND EXCESS RESERVES All Member Banks in the Nation Averages of Daily Figures Dollars Millions of,000,900 BORROWINGS FREE RESERVES BIWEEKLY DATA,oo. -S - Z le>,too Z,00 -AS''/ /^,00 -/o" P,00 - b9 - g Ztl,00 -//.,0 f- </.,00 - BIWEEKLY SETTLEMENT PERIODS.,000 900 -/C, -A? P 00 Borrowings 00 oo 00 00 00 0 Excess Reserves 00 0 00 0 00 00 Net Free Reserves 00 00 00 00 900,000 Latest data plotted: two weeks ending,,00 Sept^^ 9 0 Apr. 9 ne ^^ 9 99w Prepared "by Federal Reserve Bank of St*^rouis.^Cui
BUSING LOANS La rge Com^rercia I Banks Wednesday Figures Seasonally adjusted by this bank Annual rates of change, average of four weeks ending, from four weeks ending: / II. V 90-9 Millions of SEASONALLY UNADJUSTED. /J/ /0.VJ, zuy, -/f LS.VI ^,^0.?, ill?, /?*? j ry?" 09F.9,/?/ A Latest d.ata plotted:, Current and year ago unadjusted data appear in the Board s H.. release. Seasonal adjustment computed by this bank using 9 through 9 data I 9 9 0 9 0 0 Jam. 9 9 99 Prepared by Apr.
YIELDS ON SELECTED SECURITIES Averages of Daily Rates Ended Friday Per Cent -MONTH TREAS. - _BILL YEAR JT 9S i-ej 9/ $0 + ~ 9^- s.0 Skip. Per Cent LONG- CORPORATE TERM Aaa JL Ip- ilta + ' L.a.9 SJo S.a.. S.JS S.IL! n.a. to \ t-xt.+ fc.ifc.0 i >.A»- e..jt <p -9.99 L/ 9.99 f.oi C-O'l.Co.09 S.S S.O S.9? Corporate Aaa Bonds Three-Month Treasu: Bill Market Yield Discount Sate Long-Term Government Bonds' Latest data plotted are averages of rates available for the week ending: 0, J I I J_t_I_L OF RATES AVAILABLE *AVE 9 9 9 ^ 9 * 9 0 Prepared by Federal Reserve Bank of Si
SELECTED SHORT-T, Averages of Daily Per Cent Mill. PRIME, COMMERCIAL. PAPER iq±s --MONTH *0 I I I I I * INTEREST RATES tes Ended Friday, I PRIME LARGE BANKERS' 90 DAY FEDERAL ACCEPTANCES CD'S** FUNDS i.00 L/. yj./j C./ S.SS L.Op -.0 S-T'p J.lY 00 ji,/a 0S S.?S.00-00 _ S.SS.0 L.00 STS S. 00 fc.o S.B fe.oo.j S. l S.9S.b f.go. a.. $. S.*)! S.9S -0.iS.0.0.0 ^.OO i./ JJ Commercial Paper -to- Month Federal Funds Rate Bankers' Acceptances Discount Rate Latest data plotted are averages of rates available for the week ending: 9 9 9 0, AVERAGES OF RATES AVAILABLE SOURCE: SALOMON BROTHERS AND HUTZLER SECONDARY MARKET RATE ON 90-DAY PRIME CD'S. 9 It 9 0 Aug Prepared by