From Nasdaq, Inc.:

A recent decline in the US money supply has investors spooked. Since July 2022, M2 money supply has decreased by 3.86%– the first drop of this scale since the Great Depression. History shows that when M2 falls, economic downturns typically follow. The money supply isn’t the only indicator signaling trouble; commercial bank credit has also fallen more than 2%, suggesting banks are tightening loan standards, potentially hindering business growth. While recessions and bear markets are always a possibility, history has shown that periods of economic expansion are generally longer-lasting. Patient investors who buy stocks during downturns can often reap significant rewards when inevitable bull markets return.



Read more: U.S. Money Supply Is Doing Something No One Has Seen Since the Great Depression, and It Implies a Big Move to Come in Stocks