Updated just 7 whole minutes ago by the St. Louis Fed. The money supply measure that actually matters just ticked up again, painting any stock market correction (pretty please?) to come as a potentially healthy one, if anything in this circus can be called healthy anymore.
I dunno, it looks like the consolidation is broken doesn’t it? Behold the picture that will bring on the next bust. Because it will one day.
Courtesy of the simply awesome resources at the St. Louis Fed, here’s the most recent adjusted monetary base data. Recall the post from earlier in the week that included the blown up short-term view of the BASE. Here it is updated as of today at 3:46 CST.
From that post: “Recall that the BASE is still within a consolidation that began in mid-2011 after ramping up into early 2011. The view above shows that while the BASE has not broken consolidation, it has increased since the Fed announced it would buy MBS to support the economy. A new uptrend would have to start somewhere, after all. Has it started?”
Well, it’s still in consolidation but it made a little hook upward this week. A new uptrend would have to start somewhere, after all. We have to assume that they are still TWISTing for another week or two, so I would not expect anything really notable until January.
For reference, here’s the graph from that earlier post.