Saying goodbye to M3 data

[erik_kosberg]

http://www.federalreserve.gov/releases/h6/discm3.htm

On March 23, 2006, the Board of Governors of the Federal Reserve System will cease publication of the M3 monetary aggregate. The Board will also cease publishing the following components: large-denomination time deposits, repurchase agreements (RPs), and Eurodollars. The Board will continue to publish institutional money market mutual funds as a memorandum item in this release.

http://www.thejakartapost.com/detail...223.F02&irec=3

The rapidly deteriorating financial position of the United States probably does explain the Federal Reserve's announcement that on March 24 it will stop publishing data on the M3 money supply, which tracks how many U.S. dollars are held by foreigners. If you are worried about a panic flight from the dollar, then you want to keep any downward trend in overseas holdings of U.S. dollars out of public sight.

[phoenixx]

Ok, global economic issues are over my head, I must admit. But I'll take a stab at a reply. Maybe I'll learn something...

1) This doesn't smack to me of a cover up, but mainly of using marketing to help do damage control. The current administration is doing a fine job of trashing our public image, I'm guessing we don't need any extra "help" in the form of bad reports (even if they are true)

2) My vague understanding of global economics is that monetary valuation of a country's currency fluctuates all the time. I know the US currency has been stable and strong for decades but haven't we ever lost value before? Was it at this same rate of decline? Were their contributing factors politically or socially? Is monetary value something that will go up when we get the next administration in office?

[erik_kosberg]

I know the US currency has been stable and strong for decades...

You call this stable?

[phoenixx]

Like I mentioned, I don't have a clue what that means.