Tax-free money market funds reeled in a whopping $7.251 billion of inflows during the week ending March 10, after netting just $264.4 million the week before, according to the Money Fund Report, a service of imoneynet.com.
Total assets of the 549 tax-exempt funds grew to $483.09 billion, up from $475.8 billion last week following two consecutive weeks of outflows.
The seven-day average yield for the tax-exempt funds declined to 2.51% from 2.56%, while the average maturity remained unchanged at 27 days.
Taxable funds, meanwhile, suffered outflows for the first time in several weeks when they lost $167.7 million during the week ending March 11, according to the report. The decline caused total assets to fall to $2.921 trillion, down slightly from $2.922 trillion the prior week when there were 1,272 funds in the report. The yield of the 1,269 taxable funds in this week's report dropped five basis points to 2.73% from 2.78%.
Overall, all 1,818 money market funds combined grew by $7.084 billion - substantially lower than the $24.03 billion accumulated the previous week, yet still enough to set a new record of $3.405 trillion in assets. The prior record of $3.397 trillion was set during the week ending March 4.
