This topic is covered in the book "Dark Side of the Moon: The Magnificent Madness of the American Lunar Quest" by Gerard Degroot. As I remember it, the author

This topic is covered in the book "Dark Side of the Moon: The Magnificent Madness of the American Lunar Quest" by Gerard Degroot. As I remember it, the author says that Eisenhower was focused on strategic value of investments into space, and he felt that the US had a large lead in areas that mattered (ICBM technology) and chose not to invest in what might be considered vanity projects. I believe he also claims that letting the Soviets be first to launch a satellite was intentional, since it allowed the Soviets to establish the precedent in international law that it was OK to send satellites over your neighbors, and if the US had been first the USSR might have protested.