Since the Federal Reserve began targeting money supply growth in October 1979, the effects of Fed money supply announcements on financial markets have been intensively examined. Studies have considered the impacts on financial assets including yields on short-term and long-term Treasury securities, forward interest rates, exchange rates, stock prices, and commodity prices. These studies suggest that money supply announcements have had significant effects on all these financial assets. The effects, however, have not been consistent across time, assets, or countries. This study adds to the money supply announcement literature, focusing on foreign exchange spot and currency future prices. Mussa [23] provides a justification for this approach. He demonstrates that exchange rates move in accord with the efficient markets theory of asset price determination. In addition, he finds most exchange rate changes are unexpected. Thus, exchange rate changes generally should be related to since unexpected changes must be due to new information. How exchange rates respond to news depends on how that information alters expectations. Those expectations, however, depend on economic agents' historical experience and on policymakers' anticipated reactions. Thus, the effects may vary across countries and across policymaking regimes. We believe this study makes four contributions to the money announcement literature. First, we develop a model of money announcements where announcements may be important even when markets are efficient. While we consider money announcements in particular, the model suggests a general result. Even announcements may affect financial market variables simply by confirming prior expectations. Second, we extend and update the prior literature by examining whether recent money supply announcements have an impact on exchange rates and whether recent impacts differ from those found through 1985. The results suggest the impact of money announcements may have diminished marginally. Third, we extend the analysis to exchange rate currency futures. Comparing the reactions of spot and futures rates yields further evidence on the policy anticipation versus the expected inflation effects. And fourth, most prior studies of unanticipated money growth do not distinguish between positive and negative surprises. If positive and negative surprises influence market prices asymmetrically, however,