The US money fund sector recorded inflows, reversing the biggest outflow in more than two years last week that was linked to payments of quarterly corporate taxes and Treasury supply, the Money Fund Report said on Wednesday.
Money market funds, which are seen as low-risk alternatives to bank accounts, registered an $25.42 billion increase in assets to $2.788 trillion in the week ended June 26, according to the report, published by iMoneyNet. In the previous week, money fund assets tumbled $65.25 billion, marking the fifth biggest weekly decrease since iMoneyNet began tracking this data.
Taxable money market fund assets rose by $26.07 billion to $2.652 trillion, following a $63.62 billion decrease the prior week. Tax-free assets fell for a fourth straight week, down by $648.90 million to $135.41 billion. The iMoneyNet said its average seven-day simple yield for all taxable money funds increased to 1.51 percent.