To all those saying that inflation isn’t going to be a big deal… look at the below:
or on a 5 year scale:
M2 Money Stock 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… in other words all of the liquid currency in existence at any one point in time.
In Feb 2020, it stood at $15.4 trillion, in Mar 2020 it had expanded to $19.9 trillion - a 30% increase in the amount of money. Sadly… I think that the nation in is for a rude lesson in the laws of supply and demand with too many dollars chasing too few goods. #inflationtothemoon
If you want another way of looking at the injection of cash relative to past increases, here is the percent change on a per year basis (blue). Notice the high amounts in the 70’s… when inflation roared (red).
And finally… this graph will update live as it happens…
Source: St. Louis Federal Reserve - M2 Money Stock (M2NS) | FRED | St. Louis Fed