11/14/96 -- 5:35 PM

Money Supply,0376


NEW YORK (AP) - The three broadest measures of the nation's money supply rose in the week ended Nov. 4, the Federal Reserve Board reported Thursday.

The Fed said the measure known as M2 rose to a seasonally adjusted $3,791.3 billion from a revised $3,781.6 billion the previous week.

An even broader measure, M3, rose to a seasonally adjusted $4,841.2 billion from a revised $4,829.2 billion.

The narrowest measure of the money supply, M1, rose to a seasonally adjusted $1,081.5 billion from $1,081.2 billion. M1 includes cash in circulation, deposits in checking accounts and non-bank travelers checks.

M2 is M1 plus accounts like savings deposits and money-market mutual funds. M3 is M2 plus less-liquid accounts, such as certificates of deposit in minimum denominations of $100,000.

In judging its monetary policy, the Fed has indicated it is monitoring money supply, the value of the dollar, commodity prices and the difference between short- and long-term interest rates.

As of the week ended Nov. 4, M2 has grown at an annual rate of 4.18 percent from the fourth quarter of 1995, which is within the Fed's target range of 1 percent to 5 percent. The growth rate in M3 was 6.32 percent, above the Fed's target range of 2 percent to 6 percent.

For the latest 13 weeks, M2 averaged $3,766.6 billion, a 3.3 percent seasonally adjusted annual rate of gain from the previous 13 weeks. M3 averaged $4,789.7 billion, up 5.8 percent, while M1 fell 9.0 percent to an average of $1,087.9 billion.

In other reports:

-The Federal Reserve Bank of New York reported commercial and industrial loans at major New York City banks fell $92 million to $42.987 billion in the week ended Nov. 6.

-The Federal Reserve said net free reserves averaged $838 million in the two weeks ended Nov. 6, up from a revised $645 million in the previous two-week period.

-The Federal Reserve Bank of St. Louis reported that the monetary base, the seasonally adjusted total of member bank reserves held at Federal Reserve banks and cash in bank vaults and in circulation, was $462.9 billion in the two-week period ended Nov. 6, up from $462.1 billion two weeks earlier.

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