Money Supply Shrinks: Two measures of the...

Money Supply Shrinks: Two measures of the nation’s money supply fell in the week ended Nov. 12, the Federal Reserve Board reported. The Fed said the measure known as M2 fell to a seasonally adjusted $3,314.8 billion from $3,315.0 billion the previous week. The narrowest measure of the money supply, M1, fell to a seasonally adjusted $819.6 billion from $822.3 billion. 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.