The move trims one of the market’s largest cash buffers, with attention turning to where that capital may rotate next if investors redeploy it.
U.S. money-market fund assets fell to $7.89 trillion, based on ICI data. The dip slightly reduces a large pool of cash often seen as sidelined capital, or “dry powder,” that investors can shift into other assets when risk appetite or yield expectations change. The source frames the key next question as where those flows go if the cash is redeployed.