<a href="https://www.zerohedge.com/markets/money-market-fund-assets-crash-most-lehman">After last week's massive (biggest since Lehman) outflows,</a> Money Market funds saw a return to inflows last week (+24.9BN)...

Both Retail and Institutional funds saw inflows (+8.6BN and +$16.3BN respectively)...

But bank deposits remain completely decoupled from money market fund assets still...

<strong>The Fed's balance sheet continued to contract,</strong> down $25BN last week to its lowest since May 2021...

QT continues with $18BN in securities sales last week, down to its lowest level since June 2021...

Usage of The Fed's emergency bank funding facility rose $250MM lasty week to a new record high over $109BN...

Banks reserves at The Fed and US Equity Market Cap have recoupled from the AI Boom decoupling...

And the regional banks are also continuing to catch down to the reality of the $109BN hole in their balance sheets...

And they only have until March to fill it...

Banks' reserves at The Fed and US Equity Market Cap have recoupled from the AI Boom decoupling...
{ai:summary}<p>Money Market funds saw a return to inflows, with both Retail and Institutional funds experiencing positive inflows. However, bank deposits remain disconnected from money market fund assets. The Fed's balance sheet and QT continue to contract, reaching their lowest levels in months. The usage of The Fed's emergency bank funding facility reached a new record high. Banks' reserves at The Fed and US Equity Market Cap have recoupled, while regional banks are struggling to fill a significant hole in their balance sheets by March. #economy</p>

Money-Market Fund Inflows Resume As Bank Bailout Fund Hits New Record High

Loading...