Key facts
- Investors added over $66 billion to money market funds in the week ending June 9, 2025.
- This is the largest weekly inflow into money market funds since early December 2024.
- Money market funds typically invest in low-risk, short-term securities like federal and municipal bonds.
- Current returns on money market funds are between 4% and 4.5%, offering a real return against inflation.
- Investor caution due to market volatility and an uncertain news cycle is driving demand for safer assets.
Investors have significantly increased their allocations to money market funds, with over $66 billion flowing into these accounts in the week ending June 9, 2025. This surge marks the largest weekly inflow since early December 2024, reflecting a broader trend of investors seeking safety amidst stock and bond market volatility.