Where the Money Is Coming From
A market grinding to all-time highs against a softening economy has a funding source. M2 alone won't show it. The plumbing — money-market funds, reverse repo drains, Treasury account flows, stablecoin issuance, foreign capital — is what's actually paying for the rally.
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Essay · MoneyWhere the Money Is Coming FromA market grinding to all-time highs against a softening economy has a funding source. M2 alone won't show it. The plumbing — money-market funds, reverse repo drains, Treasury account flows, stablecoin issuance, foreign capital — is what's actually paying for the rally.By Shaun Warman·Thursday, April 30, 2026·11 min readTL;DR — TakeawaysDay 61 since the Feb 28 Iran strikes, S&P at 7,126, gold at $4,518, oil at $100, PCE sticky at 2.8%, the Fed holding 3.50-3.75% with four dissents — and the index is grinding higher anyway. The funding source is the question.M2 hit a record $22.67 trillion in February 2026, growing 4.5% YoY — the fastest pace since July 2022. Money market fund assets added $2.5 trillion in 30 months.
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