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$7 trillion 'wall of cash' worry is looming for investors once Fed interest rate cuts start
CNBC· 2025-09-12 17:10
watch nowThis may not be an era in which Americans are awash in physical currency fattening their wallets, but we are awash in cash parked inside accounts that have been generating attractive yields thanks to Federal Reserve interest rate hikes to combat inflation. There is a record amount of cash in money market funds, roughly $7.6 trillion, according to Crane Data.But as the Federal Reserve prepares to cut rates for the first time in a year, maybe by as much as 50 basis points — a policy shift that will, ...