Updated
Updated · Yahoo Finance · Aug 10
Investors Park $8.29 Trillion in Money Funds as Trump Bull Market Skepticism Deepens
Updated
Updated · Yahoo Finance · Aug 10

Investors Park $8.29 Trillion in Money Funds as Trump Bull Market Skepticism Deepens

2 articles · Updated · Yahoo Finance · Aug 10

Summary

  • $8.29 trillion sat in money market funds in the first quarter of 2026, a record that signals investors are favoring safety over further stock-market gains.
  • That buildup persisted even after the Fed began cutting rates in September 2024, when lower yields would normally pull cash out of money funds and back toward riskier assets.
  • Money market assets have jumped 65% since the second quarter of 2022, suggesting doubts about the durability of an AI- and tax-policy-fueled rally under President Donald Trump.
  • The shift adds to broader warning signs for Wall Street, where stretched valuations and record margin debt are already raising the risk of a market correction.

Insights

If interest rates are falling, what hidden economic signal is driving investors to hoard cash like never before?
Why are Wall Street giants hiding trillions in cash while the AI-driven stock market continues to soar?