In October, the difference between M1 and M2 scissors reached a low point, shrinking by 8.1 percentage points compared to the previous year, indicating an increase in the degree of capital activation.

On November 13th, the central bank released the latest data showing that at the end of October, the broad money supply balance was 33.513 trillion yuan, an increase of 8.2% year-on-year. The narrow money supply balance was 11.2 trillion yuan, an increase of 6.2% year-on-year, rebounding 9.5 percentage points from the low point in September last year and 6.1 percentage points from the low point earlier this year. At the end of October, the M1-M2 scissor difference was -2%, slightly fluctuating from -1.2% the previous month, but still narrowing by 8.1 percentage points from September last year, indicating that more funds are being converted into demand deposits, reflecting positive signals such as increased activity in business operations and investment and consumption demand recovery among individuals.