The Federal Reserve Board pulled in another notch in the nation's credit belt last week. It ordered its 7,000 member banks to put up some $1.9 billion in additional reserves. It was the second time FRB had used the new anti-inflation powers granted by the special session. (The first was tightening of installment credit, which goes into effect next week.) As banks lend about $6 for every dollar they have on deposit, FRB's order, in effect, cut the lending power of banks about $12 billion.
The stock market, already nervous over the news from Berlin (see INTERNATIONAL), promptly went into...
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