NOTE: THIS DATA FILE WILL CHANGE! To improve accessibility of data for all users, we will convert this file from a text format to an html table by the end of June 2024. Title: Velocity of M2 Money Stock Series ID: M2V Source: Federal Reserve Bank of St. Louis Release: Money Velocity (Not a Press Release) Seasonal Adjustment: Seasonally Adjusted Frequency: Quarterly Units: Ratio Date Range: 1959-01-01 to 2024-01-01 Last Updated: 2024-04-25 8:03 AM CDT Notes: Calculated as the ratio of quarterly nominal GDP (https://fred.stlouisfed.org/series/GDP) to the quarterly average of M2 money stock (https://fred.stlouisfed.org/series/M2SL). The velocity of money is the frequency at which one unit of currency is used to purchase domestically- produced goods and services within a given time period. In other words, it is the number of times one dollar is spent to buy goods and services per unit of time. If the velocity of money is increasing, then more transactions are occurring between individuals in an economy. The frequency of currency exchange can be used to determine the velocity of a given component of the money supply, providing some insight into whether consumers and businesses are saving or spending their money. There are several components of the money supply,: M1, M2, and MZM (M3 is no longer tracked by the Federal Reserve); these components are arranged on a spectrum of narrowest to broadest. Consider M1, the narrowest component. M1 is the money supply of currency in circulation (notes and coins, traveler's checks [non-bank issuers], demand deposits, and checkable deposits). A decreasing velocity of M1 might indicate fewer short- term consumption transactions are taking place. We can think of shorter- term transactions as consumption we might make on an everyday basis. Beginning May 2020, M2 consists of M1 plus (1) small-denomination time deposits (time deposits in amounts of less than $100,000) less IRA and Keogh balances at depository institutions; and (2) balances in retail MMFs less IRA and Keogh balances at MMFs. Seasonally adjusted M2 is constructed by summing savings deposits (before May 2020), small-denomination time deposits, and retail MMFs, each seasonally adjusted separately, and adding this result to seasonally adjusted M1. For more information on the H.6 release changes and the regulatory amendment that led to the creation of the other liquid deposits component and its inclusion in the M1 monetary aggregate, see the H.6 announcements (https://www.federalreserve.gov/feeds/h6.html) and Technical Q&As (https://www.federalreserve.gov/releases/h6/h6_technical_qa.htm) posted on December 17, 2020. MZM (money with zero maturity) is the broadest component and consists of the supply of financial assets redeemable at par on demand: notes and coins in circulation, traveler's checks (non-bank issuers), demand deposits, other checkable deposits, savings deposits, and all money market funds. The velocity of MZM helps determine how often financial assets are switching hands within the economy. DATE VALUE 1959-01-01 1.773 1959-04-01 1.789 1959-07-01 1.773 1959-10-01 1.779 1960-01-01 1.817 1960-04-01 1.797 1960-07-01 1.780 1960-10-01 1.737 1961-01-01 1.723 1961-04-01 1.725 1961-07-01 1.733 1961-10-01 1.742 1962-01-01 1.746 1962-04-01 1.728 1962-07-01 1.726 1962-10-01 1.701 1963-01-01 1.690 1963-04-01 1.675 1963-07-01 1.680 1963-10-01 1.672 1964-01-01 1.685 1964-04-01 1.679 1964-07-01 1.674 1964-10-01 1.653 1965-01-01 1.668 1965-04-01 1.669 1965-07-01 1.680 1965-10-01 1.693 1966-01-01 1.713 1966-04-01 1.712 1966-07-01 1.733 1966-10-01 1.744 1967-01-01 1.739 1967-04-01 1.708 1967-07-01 1.695 1967-10-01 1.691 1968-01-01 1.715 1968-04-01 1.733 1968-07-01 1.730 1968-10-01 1.722 1969-01-01 1.737 1969-04-01 1.749 1969-07-01 1.774 1969-10-01 1.773 1970-01-01 1.789 1970-04-01 1.804 1970-07-01 1.795 1970-10-01 1.752 1971-01-01 1.770 1971-04-01 1.736 1971-07-01 1.717 1971-10-01 1.690 1972-01-01 1.696 1972-04-01 1.703 1972-07-01 1.679 1972-10-01 1.673 1973-01-01 1.694 1973-04-01 1.710 1973-07-01 1.711 1973-10-01 1.739 1974-01-01 1.725 1974-04-01 1.748 1974-07-01 1.764 1974-10-01 1.781 1975-01-01 1.766 1975-04-01 1.741 1975-07-01 1.739 1975-10-01 1.750 1976-01-01 1.752 1976-04-01 1.731 1976-07-01 1.717 1976-10-01 1.699 1977-01-01 1.689 1977-04-01 1.701 1977-07-01 1.713 1977-10-01 1.715 1978-01-01 1.713 1978-04-01 1.780 1978-07-01 1.795 1978-10-01 1.822 1979-01-01 1.832 1979-04-01 1.835 1979-07-01 1.846 1979-10-01 1.857 1980-01-01 1.869 1980-04-01 1.847 1980-07-01 1.831 1980-10-01 1.874 1981-01-01 1.928 1981-04-01 1.900 1981-07-01 1.925 1981-10-01 1.888 1982-01-01 1.842 1982-04-01 1.836 1982-07-01 1.825 1982-10-01 1.804 1983-01-01 1.745 1983-04-01 1.753 1983-07-01 1.779 1983-10-01 1.797 1984-01-01 1.812 1984-04-01 1.820 1984-07-01 1.829 1984-10-01 1.818 1985-01-01 1.799 1985-04-01 1.795 1985-07-01 1.795 1985-10-01 1.792 1986-01-01 1.792 1986-04-01 1.760 1986-07-01 1.741 1986-10-01 1.721 1987-01-01 1.718 1987-04-01 1.734 1987-07-01 1.751 1987-10-01 1.776 1988-01-01 1.768 1988-04-01 1.774 1988-07-01 1.790 1988-10-01 1.813 1989-01-01 1.840 1989-04-01 1.861 1989-07-01 1.853 1989-10-01 1.834 1990-01-01 1.848 1990-04-01 1.859 1990-07-01 1.856 1990-10-01 1.839 1991-01-01 1.826 1991-04-01 1.833 1991-07-01 1.850 1991-10-01 1.861 1992-01-01 1.874 1992-04-01 1.905 1992-07-01 1.931 1992-10-01 1.951 1993-01-01 1.971 1993-04-01 1.985 1993-07-01 1.997 1993-10-01 2.023 1994-01-01 2.047 1994-04-01 2.080 1994-07-01 2.103 1994-10-01 2.139 1995-01-01 2.155 1995-04-01 2.151 1995-07-01 2.142 1995-10-01 2.147 1996-01-01 2.147 1996-04-01 2.165 1996-07-01 2.171 1996-10-01 2.176 1997-01-01 2.174 1997-04-01 2.190 1997-07-01 2.192 1997-10-01 2.184 1998-01-01 2.170 1998-04-01 2.155 1998-07-01 2.155 1998-10-01 2.140 1999-01-01 2.129 1999-04-01 2.124 1999-07-01 2.128 1999-10-01 2.146 2000-01-01 2.135 2000-04-01 2.151 2000-07-01 2.141 2000-10-01 2.133 2001-01-01 2.085 2001-04-01 2.059 2001-07-01 2.014 2001-10-01 1.980 2002-01-01 1.969 2002-04-01 1.972 2002-07-01 1.953 2002-10-01 1.927 2003-01-01 1.915 2003-04-01 1.901 2003-07-01 1.905 2003-10-01 1.940 2004-01-01 1.950 2004-04-01 1.940 2004-07-01 1.949 2004-10-01 1.958 2005-01-01 1.985 2005-04-01 1.995 2005-07-01 2.000 2005-10-01 2.001 2006-01-01 2.016 2006-04-01 2.017 2006-07-01 2.006 2006-10-01 1.997 2007-01-01 1.993 2007-04-01 1.986 2007-07-01 1.977 2007-10-01 1.977 2008-01-01 1.939 2008-04-01 1.927 2008-07-01 1.908 2008-10-01 1.813 2009-01-01 1.735 2009-04-01 1.709 2009-07-01 1.711 2009-10-01 1.726 2010-01-01 1.739 2010-04-01 1.746 2010-07-01 1.748 2010-10-01 1.745 2011-01-01 1.728 2011-04-01 1.714 2011-07-01 1.656 2011-10-01 1.648 2012-01-01 1.642 2012-04-01 1.631 2012-07-01 1.612 2012-10-01 1.586 2013-01-01 1.583 2013-04-01 1.574 2013-07-01 1.573 2013-10-01 1.565 2014-01-01 1.541 2014-04-01 1.548 2014-07-01 1.554 2014-10-01 1.541 2015-01-01 1.526 2015-04-01 1.528 2015-07-01 1.520 2015-10-01 1.501 2016-01-01 1.477 2016-04-01 1.466 2016-07-01 1.457 2016-10-01 1.450 2017-01-01 1.444 2017-04-01 1.437 2017-07-01 1.440 2017-10-01 1.450 2018-01-01 1.462 2018-04-01 1.465 2018-07-01 1.466 2018-10-01 1.465 2019-01-01 1.460 2019-04-01 1.460 2019-07-01 1.453 2019-10-01 1.437 2020-01-01 1.392 2020-04-01 1.128 2020-07-01 1.175 2020-10-01 1.163 2021-01-01 1.155 2021-04-01 1.145 2021-07-01 1.145 2021-10-01 1.156 2022-01-01 1.157 2022-04-01 1.178 2022-07-01 1.203 2022-10-01 1.234 2023-01-01 1.271 2023-04-01 1.301 2023-07-01 1.330 2023-10-01 1.349 2024-01-01 1.361