Bank Reserves Tightened Up
The net reserve position of the nation's commercial banks tightened substantially in the week ended Wednesday. The New York Federal Reserve Bank estimated last night the banksÛª averaged net borrowed reserves of $1,064,000,000 in tire statement' week compared with a revised average of $790 million the previous week.</br></br>For the week ending May 13, the total money supply was $203.4 billion, down from the May 6 total of $203.8 billion. In the first two weeks of May, the seasonally adjusted money supply averaged $300 million higher than the preceding month.</br></br>Member bank borrowings from the Federal Reserve System averaged $1.18 billion, the New York reserve bank said. That is up from the $813 million average the week before.</br></br>Commercial and industrial loans at major New York City banks fell $172 million, compared with a drop of $231 million the previous week.</br></br>The Federal Reserve Board reported bankerÛªs acceptances last month showed their sharpest monthly gain since 1929. Acceptances, which are a measure of financing activity in