> No discussion in the article about where this money came from. My guess is that it came from the direct covid payments and extended unemployment which amounted to ~$1.4 trillion.
Interest rates are so low that money that would normally go into bonds and money market funds was diverted into the stock market.
Unemployment benefits did not prop the stock market up. People have to be unemployed to receive those benefits and the benefits are (excluding some periods of fuzzy COVID unemployment policy) less than normal wages, so unemployed people were suddenly receiving an influx of extra cash.
Interest rates are so low that money that would normally go into bonds and money market funds was diverted into the stock market.
Unemployment benefits did not prop the stock market up. People have to be unemployed to receive those benefits and the benefits are (excluding some periods of fuzzy COVID unemployment policy) less than normal wages, so unemployed people were suddenly receiving an influx of extra cash.