AI Data Insight
US November M2 data climbed to $22,581.7 billion, a massive single-month increase of $251.9 billion, not only extending the expansion trend but also breaking through the 2022 high to refresh historical records. This liquidity frenzy primarily benefited from the Federal Reserve's (Fed) consecutive rate cuts in the second half of 2025 and the "Stealth QE" effect, driving the return of Money Market Funds (MMF) and demand deposits. Although ample liquidity supports risk assets, the market is beginning to worry that inflation stickiness will limit the room for rate cuts in 2026.