June 20, 1961 FOMC Minutes

FOMC minutes

Account. The Chairman commented further that notes of various kinds might be prepared from time to time by members of the Committee for their own use; in his judgment they would fall into the category of personal material. Similarly, the synopses prepared by the Secretary of the Committee and transmitted to the Manager of the System Account immediately following each Committee meeting appeared to be in the nature of interim minutes. The minutes themselves were extensive, more so than the minutes of any other organization with which he had been associated. Therefore, he doubted whether other material of a personal or interim nature needed to be taken into account in considering Congressman Patman's request. After further discussion which touched upon some of the aspects of the broad question of the extent to which material pertaining to various System functions should be made available to the public, Chairman Martin repeated his suggestion that a determination of the response to be made to Congressman Patman's letter of June 14 be de ferred pending discussion at the next Open Market Committee meeting, and there was agreement with this suggestion. It was agreed that the next meeting of the Federal Open Market Committee would be held on Tuesday, July 11, 1961. The meeting then adjourned. Secretary

Attachment A Table 1 Summary: Averages of Free Reserves in Periods of Monetary Expansion and Contraction 1/ February 1961 to Date (In millions of dollars) Weeks of Weeks with Monetary Monetary contraction expansion Low float 473 457 High float 600 (694) 517 and definitions see Tables 2 and 3. 1/ For details table enclose the average (Parentheses in this which would result if January 1961 data figures were also included.)

Table 2 Comparison of Free Reserves and Required Reserve Changes in Weeks of Monetary Expansion Daily Averages for Reserve Weeks Year 1961 to Date (In millions of dollars) Average ree Change in adjusted reserves required reserves 1/ Type and date of Average of Average of reserve week For each weekly For each weekly week listed groupings week listed groupings with low float: +74 +57 +57 3-29 521 +26 5-10 411 73 +1 .+43 with high float: 3-1 629 +312 1-25 957 +180 +153 +80 +35 4-19 638 +30 1-18 757 +11 1-4 838 694 +7 +101 Note.--Within each grouping, reserve weeks are listed according to size of increase in adjusted required reserves. / Adjusted to exclude required reserve changes due to projected seasonal changes in private deposits of other than banks and actual changes in Government and interbank deposits. / "Low float" was defined as a weekly average below $1,2 billion in the months January-March and below $1.1 billion in April-June. Float averages above cut-offs were classified as "high" float.

Table 3 Comparison of Free Reserves and Required Reserve Changes in Weeks of Monetary Contraction Daily Averages for Reserve Weeks Year 1961 to Date (In millions of dollars) Change in adjusted Average free reserves required reserves 1/ , Type and date of Average of Average of reserve For each For each week weekly weekly week listed week listed groupings groupings With low float: With high float: Note.--Within each grouping, reserve weeks are listed according to size of decrease in adjusted required reserves. to exclude required reserve changes due to projected seasonal 1/ Adjusted changes in private deposits of other than banks and actual changes in Government and interbank deposits. 2/ "Low float" was defined as a weekly average below $1.2 billion in the months January-March and below $1.1 billion in April-June, Float averages above cut-offs were classified as "high" float.