The total assets of tax-exempt money market funds rose by $3.65 billion to $485.77 billion during the week ending March 9 — only the third time the funds have seen inflows since January, according to the Money Fund Report, a service of iMoneyNet.com.
By comparison, the funds lost $149.4 million for the week ending March 2, settling at $482.12 billion.
The last time the funds saw two weeks of hearty inflows was when they drew in $3.19 billion and hit $503.24 billion in total assets for the week ending Jan. 12, on the heels of $8.23 billion of inflows the week of Jan. 5, when they finished with $500.05 billion.
Meanwhile, the average seven-day simple yield for the 508 tax-free funds in the report fell to 0.34% after closing at 0.40% for the week ending March 2, and the average maturity remained unchanged at 26 days.
In the taxable arena, the 1,217 funds in the report saw inflows of $7.06 billion and reached a record high of $3.350 trillion during the week ending March 10. In the previous week, taxable funds took in $4.18 billion to settle at $3.343 trillion.
In addition, taxable yields set a record low, slipping to 0.29% from last week’s 0.32%. At the same time, the federal funds rate remains between zero and 0.25%.
Overall, the combined assets of the 1,725 funds in the report surged by $10.71 billion to end the week of March 10 with $3.835 trillion in assets, compared with inflows of $4.03 billion and assets of $3.825 trillion for the previous week.