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M2 Money Supply: Overview and What's Included

By Kristi Waterworth – Oct 3, 2025 at 9:48PM | Fact-checked by Frank Bass

Key Points

  • M2 money supply includes liquid and near-liquid funds, essential for short-term economic forecasts.
  • Tracking M2 helps the Federal Reserve maintain price stability by adjusting monetary flow.
  • Investors use M2 trends to gauge inflation and adjust their investment strategies accordingly.
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