MZ Velocity
M1 Multiplier
The Money is accumulating Here
And Here
Posted on 07/06/2013 10:08:28 AM PDT by whitedog57
The much ballyhooed jobs report on Friday (despite the fact that it was PART-TIME, not full-time jobs) raised the hopes of investors. US Treasury 10 year yields jumped 24.1 basis points on Friday on the news.
ust10070613
For your consideration.
The US labor force participation rate (SA) rose slightly to 63.5%. Of course, that means that 36.5% are NOT participating. Here is M2 Money Velocity plotted against the labor force participation rate (yellow).
m2velpart
The US Employment Population Ratio (SA) rose slightly to 58.7%. Once again, this means that 41.3% of the population are not employed. He is M1 Money Multiplier plotted against the employment to population ratio (red).
m1multiemppop
Of course, excess reserves in The Fed system is over %1.9 trillion and are not leaking out into the economy, at least in the mortgage market.
excreservesfed
The rise in the Treasury rates has played havoc with mortgage-related investment vehicles. First, mortgage REITs have swooned with the increase in Treasury rates.
mtgreits070613
And Agency Mortgage-backed Securities, like the Fannie Mae 3.5% MBS, have gotten crushed.
fncl35
Treasury rate increases are blistering certain investments such as Agency MBS and mortgage REITs. And the M1 Multiplier and M2 Velocity remain low by historic standards.
For your consideration.
/mark
MZ Velocity
M1 Multiplier
The Money is accumulating Here
And Here
Thanks for posting this HTML-challenged pimp’s stolen charts for him.
We live to serve
Most of the above data is straight from the Federal Reserve
Even this mental midget can post a few URL linked graphics
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