Global M2 liquidity is like taking a snapshot of all the money available in major economies around the world.
This chart combines money data from 21 countries including the US, Eurozone, China, Japan, UK, Canada, Russia, India, Brazil, Mexico, Australia, and others. This includes cash in circulation, bank accounts, and some short-term investments - essentially measuring how much money people and businesses can easily access.
When global M2 increases, it typically means central banks are making money more available (which can boost asset prices), and when it decreases, they're tightening the money supply (which can have the opposite effect). The chart shows this combined money supply in trillions of dollars.
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