Super Rich People Record Cash Hoarding in February, New US Stock Highs After 4 Months, Who's Calling Who Out?

This February, the US money market fund size hit a record peak of about $8.25 trillion, a 65% increase from approximately $5 trillion in 2022.
Before Buffett retired, Berkshire Hathaway's cash reserves were piled up to about $381.7 billion, and PayPal co-founder Peter Thiel sold about $100 million $NVDA worth of stocks through hedge fund Thiel Macro in Q3 2025.
The narrative at the time was clear: smart money was hiding in cash.
By June, the story reversed.
According to official data from ICI, as of June 10, the money market fund size dropped to $7.87 trillion, about $380 billion less than the peak in February.
The S&P 500 closed at 7,609.78 points on June 2, marking the first time surpassing 7,600 points in history, and it rose for the ninth consecutive day.
The funds that had hoarded cash in February watched as the market hit new highs without them.
The cost of hoarding cash: According to The Motley Fool, holding the S&P 500 from early 2022 until now yielded a total return of about 42%, while Vanguard Federal Money Market Fund only returned 18% in the same period, more than doubling the difference.
Wall Street giants are also increasing their bets.
Goldman Sachs raised its year-end target for the S&P 500 from 7,600 to 8,000 points at the end of May, citing AI-driven profit growth, with a forecast of $340 earnings per share in 2026, a 24% year-over-year increase.
Morgan Stanley gave an even higher one-year target of 8,300 points.
However, Morgan Stanley Chief Investment Officer Lisa Shalett also warned:
The gains are overly concentrated in a few AI mega-cap stocks, US consumer finances are deteriorating, corporate profits rely on price hikes rather than productivity, and long-term interest rates are under pressure.
The market appears stronger on the surface than the underlying economy.