Measured on a year-on-year percent change basis, M2 and M3 growth have both been accelerating in the US since late 2018.
There are two main reasons why broad money growth acceleration has occurred, and in this article, we explain how both factors have contributed.
The first factor has to do with the banking sector and its responses to changes in financial regulation and US Treasury funding strategy, whereas the second factor is associated with the so-called shadow banking sector, which has for a long time been relatively dormant..
November was a broadly positive month for bond markets as yields rallied into month end. Read our latest thoughts on how fixed income markets performed during the month and what we think you should be looking out for in the near term.
Catch up on monthly fixed income insights from our emerging market local debt team.
In our regularly updated macroeconomic analysis we offer an outlook for interest rates and currencies – and look at which fixed income assets are favoured across a range of market environments.
