Core Insights - As of the end of July, the broad money supply (M2) in China reached 329.94 trillion yuan, reflecting a year-on-year growth of 8.8% [1] - The narrow money supply (M1) stood at 111.06 trillion yuan, with a year-on-year increase of 5.6% [1] - The difference in growth rates between M2 and M1 has narrowed to 3.2%, a significant decrease from the peak observed in September of the previous year [1] Money Supply Analysis - M1 primarily includes cash, corporate and individual demand deposits, as well as readily available funds in platforms like Alipay and WeChat Wallet [1] - The People's Bank of China (PBOC) adopted a revised statistical approach for M1 starting January this year, which shows a comparable M1 growth rate of -3.3% as of September 2024 [1] - The M2 growth rate was recorded at 6.8% in September, with a notable difference of 10.1% from M1 [1] Market Confidence and Economic Activity - Experts indicate that the narrowing gap between M2 and M1 reflects an increase in the liquidity of funds and improved circulation efficiency [1] - The effectiveness of various policies aimed at stabilizing the market and expectations has positively influenced market confidence, aligning with the trend of recovering economic activity [1]
7月M2-M1剪刀差明显收窄 资金循环效率提高 经济回暖提升
Di Yi Cai Jing·2025-08-13 09:54