I think the fed's own graph is the picture worth a thousand words. Don't forget that this is the M1 money supply, which will be expanded by about 8.5x by fractional reserve banking.
Didn't they remove all reserve requirements back on March 15? I thought a 0 requirement would cause a bigger than 8.5X multiple with enough time (all else equal).
Can someone explain what this graph tells us?
From the Fed itself:
So if you're a bank you basically are given free money by the government.