Money Market Funds Get Squeezed
Here's an interesting article from Bloomberg about how Money Market funds are fearing in this crisis. Many more are trending to "Break the Buck" and go below par value ($1/share).
Jittery Money-Market Investors Await Treasury Guarantee Details
Bloomberg
Jittery Money-Market Investors Await Treasury Guarantee Details
Bloomberg
The U.S. Treasury Department's effort to back up money- market investors announced Sept. 19 seems to be working in stopping withdrawals from the $3.35 trillion industry. Assets have grown by about $23 billion through Sept. 24.
Treasury said it would spend up to $50 billion to prop up money-market investors. After objections from the banking industry, which feared customers would flee banks in favor of higher yielding, government-backed money markets, the department said it would limit the guarantee to balances as of Sept. 19.
Very interesting indeed.
Labels: bank funds, money markets, treasury
posted by Victor Lloyd Smith @ 3:55 PM
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