Cash Is Not Moving Off The Sidelines
Even with easing, high interest rates are causing the money market cash hoard to grow further.
Key Takeaways
Global Bull Market Shows Elevated Risk-Taking: From the early April interim lows, the S&P 500 has added $15 trillion of market cap or the equivalent of a half-year’s worth of GDP, notching 24 record highs in the process, and the +34% surge over the past five months is a feat only accomplished four other times since 1950. The MSCI All Country World index, which tracks stocks across developed and emerging economies, has also hit an all-time high. Emerging Market stocks have outstripped the global index in 2025, in a sign of stepped-up risk-taking, which has also been underscored by the stellar performance of junky small caps of late.
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