Demand for Money Market Funds Surges in the U.S. Ahead of Presidential Elections

Forex - U.S. investors directed large sums of money into money market funds during the week of November 6, ahead of the U.S. presidential election and the Fed's policy decision. According to LSEG data, investors purchased a net $78.68 billion in U.S. money market funds during the week, marking the largest weekly net inflows since September 25. U.S. equity funds also saw a net inflow of approximately $3.96 billion during the week of November 6, following two consecutive weeks of outflows. Investors poured a net $1.01 billion into the industrial sector, marking the largest weekly net inflows since July 17. In contrast, the financial and consumer staples sectors experienced net outflows of $420 million and $354 million, respectively.