Money market funds saw the largest net outflow since June last week (-$22.2BN) as stocks soared after Trump's election win...

On the bank deposit side of the cash conundrum, total deposits fell for the second week in a row (though a very small $3.5BN SA)...

However, on a non-seasonally-adjusted basis, total deposits surged almost $60BN...

The banks continue to unwind their Fed Bank Bailout positions, with that facility down to just $21BN now...

Excluding foreign deposits, the picture for US banks was just as mixed with deposits up $46.8BN NSA and down $5.7BN SA...

On the other side of the ledger, loan volumes shot up last week (after a big decline the prior week). The post-Trump elation prompted loans to rise at the fastest pace since March 2023...

Finally, bank reserves at The Fed are on the rise again...

But to fill that gap with stocks will take a tsunami...

...and US bank deposits rose (and fell) on the week in more Fed 'adjustments'
{ai:summary}Last week, money market funds experienced their largest net outflow since June, totaling $22.2 billion, coinciding with a surge in stock prices following Trump's election victory. Meanwhile, bank deposits fell slightly for the second consecutive week but rose significantly on a non-seasonally-adjusted basis.Loan volumes increased sharply after a previous decline, marking the fastest growth since March 2023. Additionally, bank reserves at the Federal Reserve are rising, indicating a complex financial landscape as banks adjust their positions. #economy

Money-Market Fund Assets Tumble Most In 5 Months After Trump Win; Loan Volumes Surge

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