Investor Glossary-m1Investor Glossary-m1Investor Glossary-m1Investor Glossary-m1Insightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

M1

The HTML to link to this page
 

In the US, M1 is a narrow measure of the money supply. M1 is defined as all currency in circulation plus checking account deposits and other checkable deposits in banks, credit unions, and other depository institutions. Savings deposits, time deposits, and most other deposits at financial institutions are not included in M1. The deposits included in M1 are those that the Federal Reserve imposes reserve requirements on depository institutions for holding. M1 is sometimes called narrow money. M1 is very easy for the Federal Reserve to control through open market operations, but broader measures of the money supply such as M2 and M3 tend to have a stronger relationship to inflation. Unlike M1, M2 and M3 can be influenced by monetary policy only indirectly.



Rate this M1 definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: current ratio, quality assurance, labor relations, Key Rate Duration, 1031 exchange, APR, 1035 exchange, open position, LIBOR, phantom income, minority interest, retained earnings, option premium, deferred revenue, class C shares, balance sheet, stock market close, stock split, irrevocable trust, margin rate, average price per share, cancelled check, in escrow, risk management, inflation, FTSE, dividends payable, command economy, required rate of return, Zero Cost Collar, ex-dividend, implied volatility, limit order, 144a, debt service coverage, reverse mortgage, diluted share, wholly-owned subsidiary, per diem, real GDP, covered put, EBITDA, 401a, liquidity ratio, FICO score, ex-dividend date, annual return, VIX, deferred tax


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use