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


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