
The US currency supply is a complex system that affects our daily lives. There are approximately 42.7 billion notes in circulation, with a total value of around $1.7 trillion.
The majority of US currency is made of 75% cotton and 25% linen, giving it a distinctive texture. This fabric blend helps the currency to last longer.
The US Treasury Department is responsible for managing the currency supply, with the Bureau of Engraving and Printing (BEP) producing all US paper currency. The BEP produces over 38 million notes per day.
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What Is Supply?
The U.S. money supply is made up of currency and various kinds of deposits held by the public at commercial banks and other depository institutions.
On June 30, 2004, the money supply totaled $1,333 billion, measured as the sum of currency and checking account deposits.
The Federal Reserve uses three definitions of money: M1, M2, and M3, which correspond to these measures.
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M1 is a narrow measure of money's function as a medium of exchange, while M2 reflects money's function as a store of value.
A broader measure of the money supply, including some types of savings deposits, totaled $6,275 billion.
The money supply can also be measured as $9,275 billion, which is the broadest measure mentioned.
The definition of money has varied over time, with physical commodities like silver or gold serving as money in the past.
The abandonment of convertibility of money into a commodity since August 15, 1971, has made the monies of the United States and other countries into fiat money.
Types of Money Supply
In the United States, the money supply is categorized into different types, with one of them being Broad Money. This type of money supply reached an all-time high of 16,814.557 USD bn in 2016.
Broad Money data is reported yearly, averaging 12,607.024 USD bn from 2001 to 2016. This data is sourced from the International Monetary Fund and is categorized under Global Database's United States – Table US.IMF.IFS: Money Supply: Annual.
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Broad Money
Broad Money refers to the total amount of money circulating in an economy, including both physical currency and deposits held in banks. In the United States, the money supply of Broad Money has been increasing over the years.
In 2016, the Broad Money supply reached an all-time high of 16,814.557 USD billion. This represents a significant increase from the previous year's total of 16,205.230 USD billion. This growth in Broad Money can be attributed to various factors, including economic expansion and monetary policy decisions.
The Broad Money supply in the United States has been tracked since 2001, with an average annual value of 12,607.024 USD billion. This average value is calculated from 16 observations, providing a reliable benchmark for understanding the trend of Broad Money over time.
The Broad Money supply has seen a significant increase since its record low of 7,580.500 USD billion in 2001. This increase is a testament to the growing economy and the expansion of financial institutions in the United States.
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United Nonfinancial Sectors
The United Nonfinancial Sectors is a fascinating topic. In the United States, the money supply in nonfinancial sectors was reported at 858.499 USD bn in 2008.
This marked an increase from the previous year's number of 837.758 USD bn. The data is updated yearly and averages 269.754 USD bn from 1952 to 2008.
The money supply in nonfinancial sectors reached an all-time high of 1,263.730 USD bn in 1994. This is a significant increase from the record low of 75.877 USD bn in 1954.
The data is sourced from the International Monetary Fund and is categorized under Global Database's USA – Table US.IMF.IFS: Money Supply: Annual.
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Notes
The Notes section of our article provides some important details about the data we're using to discuss types of money supply.
The data is sourced from the Board of Governors of the Federal Reserve System (US).
The release is called H.6 Money Stock Measures.
The units of measurement are billions of dollars, and the data is seasonally adjusted.
Components of Money Supply
The US money supply is made up of several components, each with its own unique characteristics.
The broad money supply, which includes currency and deposits, reached an all-time high of 16,814.557 USD bn in 2016.
The money supply is also influenced by the currency issued by the central government, which increased to 49.360 USD bn in 2017, a record high.
Breaking down the money supply into its different components helps us understand the overall health of the economy.
Here are the main components of the US money supply:
Each of these components plays a crucial role in determining the overall money supply and has its own unique characteristics, making it essential to understand them in order to grasp the complexities of the US economy.
Commercial Banks
Commercial banks play a significant role in the money supply of the United States. The data shows that the money supply of commercial banks in the US reached an all-time high of 685.251 USD bn in 2008.
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The money supply of commercial banks in the US has been increasing over the years. In 2007, it was 307.812 USD bn, which is a significant increase from the previous year.
The data is updated yearly, averaging 111.541 USD bn from 1952 to 2008. This long-term trend indicates a steady increase in the money supply of commercial banks.
One notable year was 1974, when the money supply of commercial banks reached a record low of 55.135 USD bn. This is a stark contrast to the high of 685.251 USD bn in 2008.
Here's a summary of the key data points:
The data is reported by the International Monetary Fund and is categorized under the Global Database's United States – Table US.IMF.IFS: Money Supply: Annual.
US Government Sponsored Enterprises
US Government Sponsored Enterprises play a significant role in the country's money supply. The data on US: Money Supply: Government Sponsor Enterprises has been recorded since 1952.
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The data shows a significant increase from the previous number of 15.547 USD bn for 2007 to 16.686 USD bn in 2008. This is a notable trend in the country's money supply.
The data is updated yearly, averaging 2.707 USD bn from 1952 to 2008. This average value gives us an idea of the overall trend in the country's money supply.
The highest recorded value of US: Money Supply: Government Sponsor Enterprises was 58.702 USD bn in 1992. This is a remarkable increase from the initial value of 0.495 USD bn in 1952.
Here's a summary of the key statistics:
This data is reported by the International Monetary Fund and is categorized under Global Database's United States – Table US.IMF.IFS: Money Supply: Annual.
Residents
The money supply for residents in the United States is a crucial component of the overall money supply. It was reported at 3,127.550 USD bn in 2008.
This number represents a significant increase from the previous year, with a jump from 2,667.060 USD bn in 2007. The money supply for residents has been increasing steadily over the years.
To put this into perspective, the money supply for residents has been tracked since 1952, with an average of 602.557 USD bn. This average is based on 57 observations, making it a reliable indicator of the trend.
The data shows that the money supply for residents reached an all-time high of 3,127.550 USD bn in 2008, and a record low of 214.189 USD bn in 1957. This highlights the significant growth in the money supply over the years.
Here's a brief overview of the key statistics:
- Last: 3,127.55
- Frequency: Yearly
- Range: 1952 - 2008
Base
Base money is a crucial component of the money supply in the United States. It's reported by the International Monetary Fund and updated yearly.
The base money data is categorized under Global Database's United States – Table US.IMF.IFS: Money Supply: Annual. It's a vital part of tracking the money supply in the country.
The base money data is reported in billions of US dollars. In 2016, it was recorded at 3,531.57 billion USD. This is a decrease from the previous year's number of 3,835.81 billion USD.
The base money data has been tracked since 1959, with a median average of 251.79 billion USD. The data is updated yearly, with 58 observations.
Here's a summary of the base money data over the years:
The base money data reached an all-time high in 2014 and a record low in 1959.
Measuring Money Supply
The Federal Reserve System and the Federal Reserve Bank of St. Louis's Federal Reserve Economic Data (FRED) program are working together to expand options for finding, accessing, and visualizing data from the Board's Data Download Program (DDP) in FRED.
The data from the DDP is updated yearly, averaging 768.450 USD bn from Dec 1959 to 2016, with 58 observations.
US: Money Supply: M1: Seasonally Adjusted data reached an all-time high of 3,326.800 USD bn in 2016.
US: Money Supply: M1: Seasonally Adjusted data is reported by International Monetary Fund and remains active status in CEIC.
Historical and Technical Aspects

The data shows a steady increase in the value of the US currency supply over the years. The highest recorded value was $21.62T on August 31, 2022.
Looking at the data, we can see that the value of the US currency supply has been increasing at a steady rate, with some minor fluctuations. The lowest recorded value was $19.36T on January 31, 2021.
Here's a breakdown of the top 5 highest recorded values of the US currency supply:
The data suggests that the value of the US currency supply has been steadily increasing over the years, with some minor fluctuations.
Federal Reserve Techniques
The Federal Reserve has a significant impact on the US economy, and understanding its techniques is crucial for anyone interested in finance. The Federal Reserve's money supply data is reported by the International Monetary Fund, and it's updated yearly.
From 1952 to 2008, the money supply in the US averaged 119.299 USD bn. This data is categorized under Global Database's USA – Table US.IMF.IFS: Money Supply: Annual.
The all-time high for the money supply was 778.915 USD bn in 2006, while the record low was 23.719 USD bn in 1957. These numbers give us a sense of the significant fluctuations in the money supply over the years.
Here's a brief overview of the data range:
The data shows that the money supply has been decreasing since 2006, reaching 475.92 USD bn in 2008. This decrease is significant, and it's essential to understand the context behind it.
Historical Data
Historical data can be a treasure trove of information, providing valuable insights into past trends and patterns. In the context of money supply, historical data can help us understand how it has evolved over time.
One notable example is the United States' money supply, which has been tracked by the International Monetary Fund. The data shows that the US money supply has fluctuated significantly over the years, with a record high of 21.64T in July 2022 and a record low of 19.36T in January 2021.

Here's a breakdown of the US money supply's historical data:
The data also reveals that the money supply has been increasing steadily over the past few years, with some fluctuations. For instance, in 2022, the money supply reached an all-time high of 21.65T in June, and then decreased slightly to 21.64T in July.
Interestingly, the money supply's growth rate has been influenced by various factors, including economic policies and global events. For example, the COVID-19 pandemic led to a significant increase in the money supply in 2020, as governments and central banks implemented stimulus packages to mitigate the economic impact.
In contrast, the money supply's growth rate slowed down in 2021, as the economy began to recover and inflation concerns arose. This highlights the importance of monitoring historical data to understand the underlying drivers of economic trends.
Overall, historical data provides a valuable lens through which we can analyze and understand the complexities of the economy. By examining past trends and patterns, we can gain valuable insights into the present and future of the money supply.
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Frequently Asked Questions
What is the current supply of U.S. dollars?
The current supply of U.S. dollars in circulation is approximately 2.368 trillion. This represents a 1.35% increase from the same time last year.
What US currency is out of circulation?
US currency denominations that are no longer issued by the US government are still in circulation, including $500, $1,000, $5,000, and $10,000 bills. These larger bills are still considered legal tender, but are no longer printed or widely used.
What does M2 money supply tell us?
M2 money supply indicates broader economic trends, including inflation levels, by measuring the total amount of money circulating in an economy. It provides a more comprehensive view of a country's monetary situation than M1.
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