Money Supply Declines: The narrowest measure of...

Money Supply Declines: The narrowest measure of the money supply, M1, fell in the week ended Aug. 28 to a seasonally adjusted $777.2 billion, down $2.4 billion from the week before, the Federal Reserve reported. A broader measure known as M2 fell $1.1 billion to a seasonally adjusted $3,137.3 billion from a week earlier. M1 includes cash in circulation, deposits in checking accounts and non-bank travelers checks. M2 is M1 plus accounts such as savings deposits and money market mutual funds.