SPY / M2 Money Supply Ratio
This ratio divides SPY's month-end price by the M2 money supply, asking a deflated-valuation question: how expensive are equities relative to the stock of money in the economy? When money supply grows faster than stocks, the denominator absorbs nominal gains; when stocks outrun liquidity, the ratio stretches.
SPY ÷ M2 (scaled)
Next release: Sep 22, 2026
Latest reading
As of July 2026, SPY / M2 Ratio (SPY ÷ M2 (scaled)) stands at 32.17 — down from 32.25 the prior reading, 2.0% below the May 2026 record of 32.82. The ratio's secular highs (2000, 2021-era peaks) flag markets that outran their monetary base; lows (2009) marked generational entries. Because M2 growth varies regime-to-regime, treat this as a slow valuation context layer — not a timing tool. The YoY rate shows whether equities are currently re-rating faster than money creation. Series history runs from 1993 to present.
Sources, methodology & freshnessLast updated 2026-09-04 · Open ↓Close ↑
Full history
Methodology & data
SPY / M2 Ratio is sourced from Fed/TS via the Federal Reserve's FRED service (SPY month-end close (TradeStation) ÷ M2 via FRED (M2SL), monthly, ratio ×1000). We pull the complete history, chart it on a monthly basis, overlay SPY for context, and generate a dated plain-English reading from the latest release — with no smoothing or adjustment beyond what the chart legend states.
Every reading is stamped with its release date, last updated 2026-09-04. Maintained and reviewed by Yuriy Matso; see our methodology for the standards every series on the site is held to.
Frequently asked questions
What is the SPY / M2 Money Supply Ratio?
This ratio divides SPY's month-end price by the M2 money supply, asking a deflated-valuation question: how expensive are equities relative to the stock of money in the economy? When money supply grows faster than stocks, the denominator absorbs nominal gains; when stocks outrun liquidity, the ratio stretches.
How do you read SPY / M2 Ratio?
The ratio's secular highs (2000, 2021-era peaks) flag markets that outran their monetary base; lows (2009) marked generational entries. Because M2 growth varies regime-to-regime, treat this as a slow valuation context layer — not a timing tool. The YoY rate shows whether equities are currently re-rating faster than money creation.
Where does the SPY / M2 Ratio data come from?
SPY month-end close (TradeStation) ÷ M2 via FRED (M2SL), monthly, ratio ×1000. We chart the full history and publish a dated, plain-English reading with every release; the raw series is downloadable as CSV at /data/indicators/spy-m2-ratio.csv.
How often is SPY / M2 Ratio updated?
SPY / M2 Ratio is a monthly series from Fed/TS, refreshed here as soon as a new release posts to FRED.
SPY ÷ M2 (scaled)
Next release: Sep 22, 2026