Money market funds saw the largest net outflow since June last week (-$22.2BN) as stocks soared after Trump’s election win…

Source: Bloomberg

On the bank deposit side of the cash conundrum, total deposits fell for the second week in a row (though a very small $3.5BN SA)…

Source: Bloomberg

However, on a non-seasonally-adjusted basis, total deposits surged almost $60BN…

Source: Bloomberg

The banks continue to unwind their Fed Bank Bailout positions, with that facility down to just $21BN now…

Source: Bloomberg

Excluding foreign deposits, the picture for US banks was just as mixed with deposits up $46.8BN NSA and down $5.7BN SA…

Source: Bloomberg

On the other side of the ledger, loan volumes shot up last week (after a big decline the prior week). The post-Trump elation prompted loans to rise at the fastest pace since March 2023…

Source: Bloomberg

Finally, bank reserves at The Fed are on the rise again…

Source: Bloomberg

But to fill that gap with stocks will take a tsunami…