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`For release at
	     	                                     4:30 PM EST
     		                                     May 13, 1999
	H.3 (502)

	                   SPECIAL NOTICE

	Data for reserves and the monetary base have been revised to 
incorporate adjustments to historical not seasonally adjusted data, 
the annual indexations of the low reserve tranche and the reserve 
requirement exemption levels, and the annual reestimates of seasonal 
factors for required reserves and the surplus vault cash component 
of the monetary base  [1].
	The historical revisions to not seasonally adjusted data for 
reserves and the monetary base reflect a re-aggregation of revised 
micro data.  In addition, seasonal factors have been reestimated since 
February 1984.  The revisions to seasonally adjusted data for any 
maintenance period generally tend to be small, with a few exceptions 
that amount to up to $600 million for reserves and $1.4 billion for 
the monetary base in individual periods.
	The revisions to the break-adjusted data for reserves and the
monetary base that owe to annual indexations begin in January
1998.  The actual 1999 low reserve tranche is a bit higher than that
estimated in early 1998.  The difference between the actual and the  
previously estimated low reserve tranche results in downward 
adjustments to the 1998 data of less than $60 million.
	In order to make 1999 data comparable with historical data,
the 1999 data have been break adjusted using estimates of the low
reserve tranche and reserve requirement exemption that will take
effect in January 2000.  Updated estimates for the January 2000 values
for the low reserve tranche and exemption were obtained by
extrapolating the actual growth rates from June 1998 to March 1999 of
seasonally adjusted net transaction deposits and total reservable
liabilities, respectively.  The updated estimates of $45.3 million for
the low reserve tranche and $5.1 million for the exemption level are
so close to preliminary estimates made last year that the revisions to
the 1999 data due to break adjustments do not exceed $5 million.
	Revised historical data for measures of reserves will soon
be available in printed form from the Money and Reserves Projection
Section, Division of Monetary Affairs, Mail Stop 72, Board of
Governors of the Federal Reserve System, Washington, DC 20551, (202)
452-3062.  Information on how to obtain current and historical data
for the reserve aggregates and the monetary base as well as their
components through a web site and other electronic means may be found
in the note at the end of Table 3 of this release.




	[1] The Monetary Control Act of 1980 established a reserve ratio of
3 percent against the first $25 million in net transaction deposits
(low reserve tranche) at each depository institution.  Since 1982, the
low reserve tranche has been indexed each January by 80 percent of the
previous year's (June 30 to June 30) growth rate of net transaction 
deposits at all depository institutions.  At present, the low reserve 
tranche is $46.5 million.
    Under the Garn-St Germain Depository Institutions Act of 1982, the 
first $2 million of reservable liabilities of each depository 
institution was exempted from reserve requirements.  Since 1983, this 
exemption amount has been indexed each year by 80 percent of the rate 
of increase of total reservable liabilities at all depository 
institutions over the preceding year (June 30 to June 30).  At
present, the reserve exemption level is $4.9 million.	
		Both of these indexations take effect each year in a reserve 
maintenance period that begins around January 1.
			

  
  
  

 FEDERAL RESERVE STATISTICAL RELEASE
  
 H.3 (502)
 Table 1	                                                                                            For Release at 4:30 p.m. Eastern Time
                                                                                                                           May 13, 1999
 AGGREGATE RESERVES OF DEPOSITORY INSTITUTIONS AND THE MONETARY BASE
 Adjusted for changes in reserve requirements1                                                                                              
 Averages of daily figures, seasonally adjusted unless noted otherwise
 Millions of dollars
 -------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                         
                                    Reserves of depository institutions                            Borrowings of depository institutions from
                                                                                                         the Federal Reserve, NSA
                      ---------------------------------------------------------------              -----------------------------------------
      Date             total2    nonborrowed3  nonborrowed plus required   excess NSA5     Monetary       total      seasonal     extended 
                                               extended credit4                              base6                                 credit4
 -------------------------------------------------------------------------------------------------------------------------------------------
  1998-Apr.                46119        46047           46047        44731         1388       487571           72           41            0
       May                 45516        45363           45363        44243         1273       489571          153           94            0
       June                45410        45159           45159        43794         1615       492314          251          159            0
                                                                                                                                           
       July                44895        44637           44637        43524         1371       494736          258          215            0
       Aug.                44983        44712           44712        43453         1530       497869          271          242            0
       Sep.                44540        44290           44290        42846         1694       502038          251          178            0
                                                                                                                                           
       Oct.                44405        44231           44231        42831         1574       505843          174          107            0
       Nov.                44497        44414           44414        42873         1624       509144           83           37            0
       Dec.                44902        44785           44785        43319         1583       512321          117           15            0
                                                                                                                                           
  1999-Jan.                45125        44920           44920        43591         1534       516807          206            7            0
       Feb.                44551        44435           44435        43336         1215       520842          116            9            0
       Mar.                43717        43652           43652        42412         1305       524195           65           18            0
                                                                                                                                           
       Apr. p              43979        43812           43812        42816         1162       528662          166           39            0
 Two weeks ending
  1999-Mar. 10             43805        43783           43783        42505         1300       522673           22           14            0
            24             43563        43500           43500        42346         1217       524067           63           18            0
                                                                                                                                           
       Apr.  7             43899        43769           43769        42412         1487       526627          130           24            0
            21             43389        43241           43241        42479          910       526785          149           33            0
                                                                                                                                           
       May   5p            44957        44735           44735        43656         1302       533164          223           59            0
  
 p--preliminary	pe--preliminary estimate
 1. Reserves and monetary base figures incorporate adjustments for discontinuities, or "breaks", associated with regulatory changes in reserve 
    requirements. For more information, see Table 3.
 2. Seasonally adjusted, break-adjusted total reserves equal seasonally adjusted, break-adjusted required reserves plus unadjusted excess 
    reserves. Also, see footnote 2 on Table 2 and footnote 2 on Table 3.
 3. Seasonally  adjusted, break-adjusted nonborrowed reserves equal seasonally adjusted, break-adjusted total reserves less unadjusted total
    borrowings of depository institutions from the Federal Reserve.
 4. Extended credit consists of borrowing at the discount window under the terms and conditions established for the extended credit program
    to help depository institutions deal with sustained liquidity pressures. Because there is not the same need to repay such borrowing 
    promptly as there is with traditional short-term adjustment credit, the money market impact of extended credit is similar to that of 
    nonborrowed reserves.
 5. Excess reserves NSA equals unadjusted total reserves Table 2, column 1) less adjusted required reserves Table 2, column 3.
 6. The seasonally adjusted, break-adjusted monetary base consists of (1) seasonally adjusted, break-adjusted total reserves plus (2)
    the seasonally adjusted currency component of the money stock plus (3), for all quarterly reporters on the "Report of Transaction 
    Accounts, Other Deposits and Vault Cash" and for all those weekly reporters whose vault cash exceeds their required reserves, the 
    seasonally adjusted, break-adjusted difference between current vault cash and the amount applied to satisfy current reserve requirements. 
    Also see footnote 3 on Table 2 and footnote 4 on table 3.
1        
   
   
   
 H.3 (502)
 Table 2
 AGGREGATE RESERVES OF DEPOSITORY INSTITUTIONS AND THE MONETARY BASE
 Not adjusted for changes in reserve requirements1 
 Averages of daily figures, not seasonally adjusted
 Millions of dollars
 -------------------------------------------------------------------------------------------------------------------------------------------
  
                    Reserves of depository institutions                                          Vault cash5
                  --------------------------------------                            --------------------------------------
                                                                            Reserve                  used to                 Net carryover
      Date              total2   nonborrowed     required  Monetary base3  balances       total      satisfy      surplus7    of reserve
                                                                           with F.R.                required                  balances8
                                                                            Banks4                  reserves6
-------------------------------------------------------------------------------------------------------------------------------------------
                                                                                
  1998-Apr.                46594        46522        45206       493516        11163        41221        35431         5790
       May                 44948        44795        43675       494569         9790        41504        35158         6345
       June                45094        44843        43479       497891         9671        42611        35423         7188
                                                                                                                           
       July                44598        44340        43227       502128         9645        42030        34953         7077
       Aug.                44714        44443        43184       504414         9688        42123        35026         7097
       Sep.                44196        43946        42502       507834         9289        42524        34908         7616
                                                                                                                           
       Oct.                44117        43943        42543       511359         9027        43268        35089         8179
       Nov.                44152        44069        42528       516958         8855        43104        35297         7807
       Dec.                45018        44902        43435       525062         9021        44305        35997         8308
                                                                                                                           
  1999-Jan.                46345        46139        44811       527587         9658        45499        36687         8812
       Feb.                45237        45122        44022       526849         8578        46468        36660         9809
       Mar.                43121        43056        41816       530265         8851        42898        34270         8628
                                                                                                                           
       Apr. p              43645        43478        42482       533414         9238        42162        34406         7756
 Two weeks ending
  1999-Mar. 10             43362        43341        42062       528653         9356        42284        34007         8277          -35
            24             42830        42767        41613       530386         8309        43524        34521         9004           40
                                                                                                                                        
       Apr.  7             43360        43230        41872       532328         9213        42525        34147         8378          101
            21             42825        42676        41914       532007         8404        42348        34421         7927          211
                                                                                                                                        
       May   5p            45142        44920        43841       536450        10557        41592        34586         7006            9
   
 p--preliminary	pe--preliminary estimate
 1. Reflects actual required reserves, with no adjustments to eliminate the effects of discontinuities, or "breaks", associated with 
    regulatory changes in reserve requirements.
 2. Reserve balances with Federal Reserve Banks plus vault cash used to satisfy reserve requirements.
 3. The monetary base, not break-adjusted and not seasonally adjusted, consists of (1) total reserves plus (2) required clearing balances
    and adjustments to compensate for float at Federal Reserve Banks plus (3) the currency component of the money stock plus (4), for all 
    quarterly reporters on the "Report of Transaction Accounts, Other Deposits and Vault Cash" and for all those weekly reporters whose 
    vault cash exceeds their required reserves, the difference between current vault cash and the amount applied to satisfy current reserve 
    requirements. Currency and vault cash figures are measured over computation periods ending on Mondays.
 4. Excludes required clearing balances and adjustments to compensate for float and includes other off-balance sheet "as-of" adjustments.
    requirements. After the introduction of CRR, currency and vault cash figures are measured over computation periods ending on Mondays.
 5. Dates refer to the maintenance periods in which the vault cash can be used to satisfy reserve requirements. Starting with the maintenance 
    period ended November 25, 1992, each maintenance period for weekly reporters ends 16 days after the lagged computation period in which 
    the vault cash is held. Previously, each maintenance period ended 30 days after the lagged computation period.
 6. All vault cash held during the lagged computation period by "bound" institutions (i.e., those whose required reserves exceed their vault 
    cash) plus the amount of vault cash applied during the maintenance period by "nonbound" institutions (i.e., those whose vault cash exceeds
    their required reserves) to satisfy current reserve requirements.
 7. Total vault cash held by depository institutions minus the amount applied to satisfy reserve requirements.
 8. Consists of carryover only at depository institutions maintaining reserves on the basis of two-week maintenance periods. Reflects excess (+) 
    or deficit (-) reserves eligible to be carried forward into the two-week reserve maintenance period ending on the date shown.
1
  
  
  
 H.3 (502)
 Table 3
 AGGREGATE RESERVES OF DEPOSITORY INSTITUTIONS AND THE MONETARY BASE
 Adjusted for changes in reserve requirements1 
 Averages of daily figures, not seasonally adjusted
 Millions of dollars
 ---------------------------------------------------------------------------------
  
                      Reserves of depository institutions
                    ---------------------------------------
      Date              total2   nonborrowed    required3    Monetary base4
 ----------------------------------------------------------------------------------
  1998-Apr.                46627        46555        45239         486751
       May                 44987        44835        43714         487873
       June                45145        44894        43529         491113
                                                                         
       July                44656        44398        43285         495250
       Aug.                44780        44509        43250         497479
       Sep.                44273        44023        42579         500983
                                                                         
       Oct.                44201        44027        42627         504465
       Nov.                44243        44160        42619         510137
       Dec.                45118        45002        43535         518278
                                                                         
  1999-Jan.                46340        46135        44806         520009
       Feb.                45249        45133        44034         519698
       Mar.                43141        43076        41836         523316
                                                                         
       Apr. p              43671        43504        42508         526698
 Two weeks ending
  1999-Mar. 10             43378        43357        42078         521670
            24             42850        42787        41633         523339
                                                                         
       Apr.  7             43384        43254        41897         525620
            21             42850        42701        41939         525329
                                                                         
       May   5p            45170        44948        43868         529664
  
 p--preliminary		pe--preliminary estimate
 1. Figures reflect adjustments for discontinuities, or "breaks", associated with 
    regulatory changes in reserve requirements.
 2. Break-adjusted total reserves equal break-adjusted required reserves (Table 3, 
    column 3) plus excess reserves NSA (Table 1, column 5).
 3. To adjust required reserves for discontinuities due to regulatory changes in 
    in reserve requirements, a multiplicative procedure is used to estimate what 
    required reserves would have been in past periods had current reserve 
    requirements been in effect. Break-adjusted required reserves are equal to 
    break-adjusted required reserves against transactions deposits.
 4. The break-adjusted monetary base equals (1) break-adjusted total reserves plus 
    (2) the (unadjusted) currency component of the money stock plus (3), for all 
    quarterly reporters on the "Report of Transaction Accounts, Other Deposits and 
    Vault Cash" and for all those weekly reporters whose vault cash exceeds their 
    required reserves, the break-adjusted difference between current vault cash and 
    the amount applied to satisfy current reserve requirements.
 Note: Current and historical H.3 data are available each week on the Federal Reserve 
       Board's web site (http://www.federalreserve.gov/). Monthly data are available 
       back to January 1959, and weekly data are available back to January 1975 for most 
       series. For information about individual copies or subscriptions, contact 
       Publications Services at the Federal Reserve Board (phone 202-452-3245, 
       fax 202-728-5886). For paid electronic access to current and historical data, 
       call STAT-USA at 1-800-782-8872 or 202-482-1986.`

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