Tax-free money market funds had a short-lived period of positive inflows last week, and returned to negative territory this week as they lost $1.32 billion and ended the week of July 14 with $513.48 billion in total assets, according to the Money Fund Report, a service of iMoneyNet of Westborough, Mass.
Last week, the funds gained $11.77 billion and settled at $514.80 billion.
The average seven-day yield for the 551 tax-exempt funds reporting this week dropped eight basis points to 1% from 1.08%, while the average maturity increased to 28 days from 27 days.
Meanwhile, the 1,302 taxable funds only grew by $15.21 billion to settle at $2.954 trillion in assets for the week ending July 15, compared to the prior week when they gained a whopping $51.16 billion to settle at $2.939 trillion.
All 1,853 money market funds reporting this week gained a combined $13.896 billion, growing assets to $3.467 trillion, compared with last week when 1,851 funds experienced strong inflows of $62.92 billion and ended the week of July 8 with $3.454 trillion in assets.
