Chart of the Week: M2 Money Supply

Monday, June 14, 2004 | 01:32 PM

M2 Money Supply has just hit its highest level (M/M annualized increase, seasonally adjusted) since the post September 11th, 2001 period.

The Federal Reserve is increasing liquidity as a cushion to offset upcoming rate hikes. Inflation fears led M2 growth to slow Q4 2003 and early 2004. Liquidity increased in February, March and April ~10% (month over month annualized) before spiking in May to the highest levels since the post 9/11 period.

May M2 Spike (m/m annualized)
m2_post_9.11
Source: Dallas Federal Reserve

In addition to the usual gyrations, Money Supply seems to spike every 4 years -- just before the Presidential elections; Call it a perk of incumbency . . .



Random Items:
Housing values starting to show signs of cooling
Why interest rates will climb
A hidden menace
What Should President Bush Learn from President Reagan?
Paid 'ads' for song plays revive payola memories
Meet Joe Blog



Quote of the Day:
“Investors operate with limited funds and limited intelligence, they don’t need to know everything. As long as they understand something better than others, they have an edge”
-George Soros

Monday, June 14, 2004 | 01:32 PM | Permalink | Comments (0) | TrackBack (0)
de.li.cious add to de.li.cious | digg digg this! | technorati add to technorati | email email this post

bn-image

TrackBack

TrackBack URL for this entry:
http://www.typepad.com/services/trackback/6a00d8341c52a953ef00d8353a5fbb69e2

Listed below are links to weblogs that reference Chart of the Week: M2 Money Supply:

Comments

The comments to this entry are closed.



Recent Posts

December 2008
Sun Mon Tue Wed Thu Fri Sat
  1 2 3 4 5 6
7 8 9 10 11 12 13
14 15 16 17 18 19 20
21 22 23 24 25 26 27
28 29 30 31      

Archives

Complete Archives List

Blogroll

Blogroll

Category Cloud

On the Nightstand

On the Nightstand

 Subscribe in a reader

Get The Big Picture!
Enter your email address:


Read our privacy policy

Essays & Effluvia

The Apprenticed Investor

Apprenticed Investor

About Me

About Me
email me

Favorite Posts

Tools and Feeds

AddThis Social Bookmark Button

Add to Google Reader or Homepage

Subscribe to The Big Picture

Powered by FeedBurner

Add to Technorati Favorites

FeedBurner


My Wishlist

Worth Perusing

Worth Perusing

mp3s Spinning

MP3s Spinning

My Photo

Disclaimer

Disclaimer

Odds & Ends

Site by Moxie Design Studios™

FeedBurner