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The effect is real, it doesn’t seem to be a graphing error or change in definition.

https://seekingalpha.com/article/4396194-why-m1-money-supply...

From your own link we can see-

“In late February and early March of 2020, the Fed cut its policy interest rate dramatically to help ease credit conditions during the COVID-19 crisis. The resulting acceleration in the supply of M1 can be understood largely as banks accommodating an increase in people's demand for money.”

This is “real” money that banks needed access to for their customers in unprecedented amounts. The problem is that it was created out of nothing.




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