|  OCT 1987

Money supply (M2): A leading economic indicator by Clifford J. Sherry, Ph.D.

Money supply (M2): A leading economic indicator by Clifford J. Sherry, Ph.D. I want to show you an analytical technique that you can use to estimate the probability of future price increases or decreases. I'll use the money supply figures (M2) from 1948-1978 as an example, but you can apply this to any consistent, continuous series of prices. Along the way, we'll learn some interesting things about the behavior of the money supply. Fundamentalists (and possibly some technical analysts) seem to believe that economic indicators which provide an indirect measure of aggregate supply and demand may give important insights into the behavior of the stock, and possibly the commodities and futures markets.

by Clifford J. Sherry, Ph.D.