February 22, 2004
BIG MONEY ON THE SIDELINES:
ICI money market mutual fund assets fell in week (Reuters, 2/22/04)
Total money market mutual fund assets stood at $2.096 trillion in the Jan. 21 week, down by $1.05 billion from a revised $2.097 trillion the prior week, an industry trade group said on Thursday.
In its own way, this number is even more staggering than the $8 Trillion Americans have in mutual funds right now. Money markets have such a low rate of return right now that these folks are making nothing, or less. As confidence in the economy rebounds and this huge pile of cash starts heading back into stocks it'll add fuel to what is already an impressive bull market run. Posted by Orrin Judd at February 22, 2004 11:36 PM
Comments
2002 inflow to mutual funds, $170 bill(?)
2003 - $291 bill.
Posted by: Sandy P. at February 23, 2004 12:38 AMOJ: You may be right, but never rule out the market's ability to soak up gleeful, bullish investors' cash with newly minted shares. If you follow liquidity theory, today's rosey picture looks awfully familiar. See: http://www.trimtabs.com/news/liquidity/latest.html
Posted by: John Resnick at February 23, 2004 10:40 AMOJ: You may be right, but never rule out the market's ability to soak up gleeful, bullish investors' cash with newly minted shares. If you follow liquidity theory, today's rosey picture looks awfully familiar. See: http://www.trimtabs.com/news/liquidity/latest.html
Posted by: John Resnick at February 23, 2004 10:41 AM