AI Data Insight
In Q2 2026 (May data), the annualized quarter-over-quarter growth rate of the US M2 money supply reached 7.52%, accelerating significantly from the previous value of 6.69%. Although the Federal Reserve continues to shrink its balance sheet, massive government fiscal spending and debt issuance have still pushed the total M2 above a new high of $23 trillion. The abundant liquidity is injecting short-term momentum into risk assets such as US stocks and cryptocurrencies, but it also triggers market concerns about a medium-term inflation resurgence.