Money Supply Declines: Money Supply Falls $1.9 Billion
The nationÛªs money supply fell by $1.9 billion last week to a seasonally adjusted $452.5 billion, after a record rise in the previous week, the Federal Reserve reported yesterday.</br></br>The Fed revised the previous weekÛªs jump in the money supply uf) by $800 million, to $7.9 billion. The new data ÛÏshow clearly there has been no meaningful washout of the early April bulge,Û William Sullivan of the Bank of New York said yesterday. This could keep interest rates from easing next week, analysts said.</br></br>In a separate report, the Treasury announced that federal outlays exceeded receipts by $18,255 billion in March, bring-</br></br>The new figures go some way toward wiping out an apparent improvement in the deficit picture cited by some tax-cutting advocates in defense of President ReaganÛªs tax policies.</br></br>Based on an extrapolation of the first five months of the fiscal year, the Heritage Foundation said earlier this month that the deficit for fiscal 1982 may be only $65 billion to $75 billion rather than the $100.5 billion predicted by both the Treasury and the Office of Management and Budget.