![]() Rapid rate than in the second half of 1970, however, and was Growth in the first half of this year was at a more Lifted on large negotiable certificates of deposit of shorter maturities at banks. That had begun in mid-1970 after interest rate ceilings had been Shift of funds into institutions by private nonfinancial investors The first-half inflow was a continuation of a This was far above theĥ0 per cent relationship in the 1961-65 period, when theseĭeposits were growing at 12 per cent per year, and twice the Total flow into such accounts was at a $90 bilUon annual rate, orħ0 per cent of the rate of total borrowing. Time and savings accounts at banks and savings institutions. The year was the almost 20 per cent annual rate of growth in The central feature of financial developments in the first half of The supply of funds to credit markets to meet these largeĭemands was not only large but unusual in its structure. Included mainly in the business total in Table 1. These nonbank outflows were probablyįinanced in part by borrowing in the domestic market that i3 Included reductions of foreign liabilities as well as increases inĪsset holdings abroad. Private capital this year was from domestic nonbank sectors and markets this year, with much of theĮffect in borrowing by domestic sectors rather than in direct International capital flows have been an influence in raisingĬredit demands in U.S. With the Federal need for funds, would have kept the total aboveĮarlier peaks even if borrowing by State and local governments Nevertheless, the volume of private borrowing, together Needs and was a major source of the large size of the first-half The amounts indicated by historical relationships to operating This component of the credit flowĪppears to have been about $8 billion, at annual rates, above As Table 1 indicates, only for State and local governments was credit market financing above earlier highs, relative High relative to capital outlays and saving although not in relation Volume of flows in credit and equity markets arose from an unusual combination of heavy Federal borrowing, credit demandsīy State and local governments that exceeded the current requirements of these units, and a volume of private borrowing that was Net total of funds raised was at a $144 billion rate. Net borrowings in credit markets in the first half of 1971 wereĪt a seasonally adjusted annual rate of $131 billion, and withĪnother $13 billion of net new equity funds for corporations the Were also very large and on a net basis above any previous halfyear from 1952. Larger than in any single quarter in the 1952-70 period and was Period covered by the available record, which begins in 1952.īoth in dollar terms and relative to GNP, the total flow was Half of this year were at much the highest rate for any 6-month NET FLOWS OF CREDIT to nonfinancial borrowers during the first Direction for the art work is provided by Mack Rowe. This committee is responsible for opinions expressed except in official The Federal Reserve B U L L E T I N is issued monthly under the direction of the staff editorial committee. Map of Federal Reserve System on Inside Back Cover Open Market Committee and Staff Federal Advisory Council Record of Policy Actions of the Federal Open Market Committee Treasury and Federal Reserve Foreign Exchange Operations Revised Measures of Manufacturing Capacity Utilization Payable to the order of the Board of Governors of the Federal Reserve System in a form collectible at par Of Governors of the Federal Reserve System, Washington, D. ![]() The Bulletin may be obtained from the Division of Administrative Services, Board Group subscriptions in the United States for 10 or more copies to one address, 50 cents per copy per month, Guatemala, Haiti, Republic of Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, El Salvador, Uruguay,Īnd Venezuela is $6.00 per annum or 60 cents per copy elsewhere, $7.00 per armum or 70 cents per copy. States and its possessions, Bolivia, Canada, Chile, Colombia, Costa Rica, Cuba, Dominican Republic, Ecuador, The regular subscription price in the United The full text on this page is automatically extracted from the file linked above and may contain errors and inconsistencies.Ī copy of the Federal Reserve Bulletin is sent to each member bank without charge member banks desiringĪdditional copies may secure them at a special $2.00 annual rate.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |