Why the Fed Deleted M2 Money Supply — Hiding Inflation? [Explained].

hey everyone kevin here there is a lot

of talk circulating online that the

federal reserve is trying to hide things

from us

oh no but yes there are tons of videos

uh talking about the federal reserve

canceling and

ending the tracking of the m2 money

supply because the fed doesn't want us

to know

what's happening with our money supply

so they figure huh

we don't want you to know how much money

you're or how much we're devaluing your

dollar

let's just hide the data from you and

there are a ton of these videos and

articles around

creating a lot of fear uncertainty and

doubt about the federal reserve now i'm

not here

to show the federal reserve i got my own

beef with the federal reserve

it's really hard to get in touch with

the federal reserve if somebody works at

the fed

or somebody wants to talk to me from the

fed i would love to talk to you please

reach out

but anyway let's break down what's

actually happening here

is the fed actually hiding data from us

or what is really happening because

again there's so much thought out there

regarding this

i like to clear it up and talk about

what's actually happening so here's the

thing

when you type in m2 money supply into

google

you get this chart from the st louis fed

but it says discontinued and the m2

money supply is

sort of a tracker of how much money

there is and it's kind of interesting

because

it's sort of been going up consistently

here so our

dollar has consistently been getting

devalued

except when we go into the pandemic here

we have this sort of skyrocketing it's

more dramatic if you look at it like

this

it's like all of a sudden it's like oh

man that's a lot of that's a lot of

money printing right

basically uh the m2 money supply in this

chart here went from 15.5 trillion

to 19.4 trillion

dollars and the m2 money supply includes

things like checking accounts savings

accounts and other things

and we're not going to go through

exactly the differences between the m1

the m2 and the m3

doesn't matter the m2 is one of the ways

we track the supply of money

and so this chart has been going up

since well during the pandemic

and all of a sudden it's discontinued

and this is leading to

a lot of thoughts that oh my gosh this

is it's obvious

the fed doesn't want us to know how much

more

they're going to destroy the value of

our dollar because now if this chart

skyrockets

again by the same amount because they

just print that much more money we won't

know about it

and that's the fear uncertainty and

doubt that's going around that

the fed doesn't want us actually to know

how much inflation is happening

so they're just going to pull the rug

out from under us about all these

these these charts they're just going to

take a take take them away from us and

keep us in the dark

unfortunately that's not actually what's

happening for the fear mongers so

unfortunately for the fear mongers

that is not what is happening so what

happened

is this and there is a change here okay

in fairness we got to talk about the

change

on december 17th the federal reserve

decided to make a

change to the m2 money supply

charts part of the reason and they don't

give a very

clear reason here which i'm frustrated

about which is one of the reasons i've

been trying to get on the phone with the

federal reserve

but i want to talk about what happened

and potentially one of the reasons so

let's actually start with what actually

happened

so right here of particular note

the publication frequency of the release

of the m2 money supply will change from

weekly to monthly and the release will

contain

only monthly average data weekly average

non-seasonally adjusted data will

continue to be provided

in the board's beta download program

while weekly averages seasonally

adjusted will no longer

be provided okay and then they go on

other modifications include

so basically it's these two lines right

here where the fed is essentially saying

this

all right look we have this m2 money

supply chart

that we used to update weekly and we

used to update it weekly both

seasonally adjusted and non-seasonally

adjusted

now what we're going to do because i'm

assuming maybe seasonally adjusting

takes a bunch of work or whatever

i don't know i'm i'm not trying to make

an excuse here they're saying

we're going to get rid of the seasonal

adjusted weekly data we're getting rid

of that we're still going to give you

the monthly data

but we're going to get rid of the weekly

seasonally adjusted app the

non-seasonally adjusted weekly data if

you really care about the weekly data we

will still give that to you

on a monthly basis so basically every

single month

they will provide i think the next

release is coming up here on april 24th

they will provide once a month an update

as to how much the money supply has

grown

and in that update we'll get a

seasonally adjusted monthly

set seasonally or non-seasonally

adjusted monthly set

and a non-seasonally adjusted weekly set

okay so that's what happened

so i want to contrast this and then i

want to go into

maybe one all right and practically what

this means

so what actually happened here the fed

did not take away this data completely

this data is not gone the data still

exists

and the data is going to stay here all

that's going to happen

is it's going to move over to a monthly

update

so for example they even give a little

chart here this series will no longer be

updated

this series will be replaced by

basically this one here

m2 money supply it's still here when

when the chart stops pinwheeling of

course

i'm sure i refresh over here there we go

it's still here

so the data is still here the only

difference is this chart is only going

to show monthly data

if we want which actually kind of shows

a little bit more of a smoother view

we get less of sort of the the

jagger which

you know if we wanted the weekly data

they're still going to provide it but

they are making a little harder to get

the weekly data

because you have to go into this

basically downloader software and it

downloads a little chart for you in a

spreadsheet so you can still see it

it's just not as convenient anymore now

the only reason they give for this they

do not go into any more detail

the only reason they give for this is to

streamline the statistical release

so in other words hey if we provide less

information

we don't have to do it as often and i

guess that streamlines the release

now it is a little weird it's kind of

like hey in this time when people

probably want to see the monthly

fluctuations kind of like we used to

have like this

see you used to be able to see all these

kind of little ups and downs and

bumps in the row oh wait sorry there you

go you used to be able to see all of

these

these bumps here now we just get sort of

a more flatlined version of it

the data's still there uh we just have a

little bit

less of a read on how that inflection

point is changing or how those

inflections are happening

on a week to week basis but honestly i

wasn't even looking at the m2 money

supply

on a week to week basis maybe i'd look

at it once

once a month for me this doesn't really

make a practical difference

the fed is still providing this

information so if you hear

any kind of disinformation out there

that says the fed's no longer providing

data on the m2 money supply

that's wrong now why the fed went from a

monthly or from a weekly basis to a

monthly basis again

i don't know maybe they are trying to

hide something right maybe that's where

we got to be skeptical

but it's wrong to say the fed is

completely hiding data from us

when that's not true they're still

providing that information monthly

and i think in fairness to data and

what's right we got to make that very

clear so here's the monthly data release

it says

these data this data is released on the

fourth tuesday of every month

generally at 1 pm so in other words

now much like unemployment inflation and

so many other measures that are released

monthly

all we have to do is wait for that

monthly update and then we'll get the

data

it's not really being hidden from us and

again we still have access to that

monthly information

that means the fourth thursday

of april for example would be the 22nd

so on the 22nd at 1 pm

eastern time i'll even put it down on

the calendar we should get the h6 and

m2 on a supply release

so stay tuned for that we'll take a look

at it when it comes out not really

expecting anything crazy

but i put it on the calendar so anyway

uh

hopefully this adds a little bit of

clarity to all this drama that's going

on

personally yeah is it a little sus

like really now you're gonna make that

kind of change

maybe yeah like 50 sauce

are they fully hiding it from us no is

it less visible

yes does it matter probably not

thanks so much for watching have a good

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