Money Supply Reaches Unprecedented Levels
Fresh data reveals the US M2 money supply has surged to $22.3 trillion, marking a historic peak in financial liquidity. This surge reflects the lasting impact of accommodative monetary policies and underscores the monetary fuel driving the ongoing economic rebound.
Treasury Buyback Sparks Market Analysis
In a related move, the US Treasury completed a $2.8 billion bond repurchase, seen as a technical adjustment to fine-tune market liquidity. Analysts suggest that while the scale is modest, combined with robust M2 growth, it may signal early tests of policy recalibration.
- M2 growth remains above long-term averages
- Inflation expectations climb amid liquidity surplus
- Fed's balance sheet continues to expand
Experts warn sustained high money supply could inflate asset bubbles, urging close monitoring of future policy shifts.