This conundrum may also be viewed in terms of the significance of the behavior of the monetary base, which is a combination of bank reserve deposits at the Fed (both required and excess) and currency outside the banking system.

FORBES: The Surge in the Money Supply: Meaningful or Meaningless?

Recent market turmoil has required the Federal Reserve to adjust some of the mechanisms by which it provides liquidity to the financial system.

FORBES: Treasury Under Secretary Robert K. Steel's Remarks On Bear Deal