Monetary Services Index: M1 (alternative)

MSIM1A • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

3,473.80

Year-over-Year Change

6.23%

Date Range

1/1/1967 - 12/1/2013

Summary

The Monetary Services Index (M1 alternative) tracks the liquidity and transaction services provided by M1 money supply components. It offers economists a nuanced view of monetary circulation and potential economic activity beyond traditional money supply measurements.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This index represents a sophisticated approach to measuring monetary services by weighting different components of M1 money supply based on their transaction utility. Economists use it to understand the evolving nature of money and its potential economic impact.

Methodology

The index is calculated by the Federal Reserve using a weighted approach that considers the transaction services of different monetary components.

Historical Context

Policymakers and central bankers use this index to gain insights into monetary dynamics and potential inflationary pressures.

Key Facts

  • Provides a more nuanced view of money supply than traditional measurements
  • Weights monetary components based on their transaction utility
  • Helps economists understand monetary circulation dynamics

FAQs

Q: What makes the M1 alternative index different from standard M1 measurements?

A: The alternative index weights M1 components based on their transaction services, offering a more sophisticated analysis of monetary circulation.

Q: How frequently is this index updated?

A: The Monetary Services Index is typically updated periodically by the Federal Reserve, with precise frequency depending on data collection cycles.

Q: Why do economists find this index valuable?

A: It provides deeper insights into monetary dynamics by considering the transaction utility of different money supply components.

Q: Can this index predict economic trends?

A: While not a direct predictive tool, the index offers important signals about monetary circulation and potential economic activity.

Q: What are the limitations of this index?

A: Like all economic indicators, it provides a snapshot of monetary conditions and should be used in conjunction with other economic metrics.

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Citation

U.S. Federal Reserve, Monetary Services Index: M1 (alternative) [MSIM1A], retrieved from FRED.

Last Checked: 8/1/2025

Monetary Services Index: M1 (alternative) | US Economic Trends