Analyst: Rate Cuts Below 3% Needed to Unlock Dry Powder
2026-06-29 19:41

Woofun AI notes that Bloomberg ETF analyst Eric Balchunas observes the S&P 500 and money market fund assets are both at record levels, indicating ample 'dry powder' remains sidelined. He argues that capital will only flow back into equities if interest rates fall below 3%, as investors currently prefer stable money market funds over bond ETFs due to prior losses in traditional bonds and ongoing macroeconomic uncertainties.

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Eric Balchunas
Trump
Bloomberg
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