7.5 trillion USD in the money market fund in America is waiting to flow into risky assets.

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The amount of capital in the U.S. money market fund has reached a record 7.5 trillion USD, increasing by nearly 100 billion USD in just a few days, according to data from Barchart. This is seen as a huge "dry money" pool that could flow into risk assets like technology stocks and Bitcoin as the Federal Reserve (Fed) prepares for cutting down the whales.

In the context of falling yields, holding cash becomes less attractive, and investors will seek higher returns from risky assets. Many experts expect this new influx of capital to trigger a strong price increase.

However, there are still warnings. Economist Peter Schiff called the Fed's upcoming interest rate cut a "big mistake," arguing that prolonged cheap money policies could inflate bubbles and weaken the USD.

The huge figures from the money market fund also raise concerns about America's financial health, as currently 23% of federal revenue is only used to pay interest on public debt.

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