Crane 100 Index Back Down to 4.10%
Money fund yields (7-day, annualized, simple, net) decreased by two basis points to 4.10% on average during the week ended Friday, June 6 (as measured by our Crane 100 Money Fund Index), after increasing by two basis points the previous week. Fund yields should stay relatively flat until the Fed moves rates again later this year. They've declined by 96 bps since the Fed first cut its Fed funds target rate by 50 bps on Sept. 18, 2024, and they've declined by 53 bps since the Fed last cut rates by 1/4 point on 11/7/24. Yields were 4.10% on 5/31, 4.13% on 4/30/25, 4.14% on 3/31/25, 4.16% on 2/28/25, 4.19% on 1/31/25, 4.28% on average on 12/31/24, 4.45% on 11/30/24, 4.65% on 10/31, 4.75% on 9/30, 5.10% on 8/31, 5.13% on 7/31 and 6/28, 5.14% on 3/31 and 5.20% on 12/31/23. The broader Crane Money Fund Average, which includes all taxable funds tracked by Crane Data (currently 682), shows a 7-day yield of 4.01%, down 1 bp in the week through Friday. Prime Inst money fund yields were down 1 bp at 4.24% in the latest week. Government Inst MFs were down 1 bp at 4.11%. Treasury Inst MFs were down 2 bps at 4.05%. Treasury Retail MFs currently yield 3.82%, Government Retail MFs yield 3.81%, and Prime Retail MFs yield 4.01%, Tax-exempt MF 7-day yields were down 28 bps to 1.85%. Assets of money market funds fell by $23.1 billion last week to $7.377 trillion, according to Crane Data's Money Fund Intelligence Daily. Last week MMF assets hit a record high of $7.406 trillion (on June 3) after their previous high of $7.400 trillion set on May 30. For the month of June (MTD), MMF assets have decreased $23.1 billion after increasing by $100.9 billion in May, decreasing $24.4 billion in April, increasing by $2.8 billion in March, $94.2 billion in February, $52.8 billion in January, $110.9 billion in December, $200.5 billion in November, $97.5 billion in October and $149.8 billion in September. Weighted average maturities were at 38 days for the Crane MFA and 38 days the Crane 100 Money Fund Index. According to Monday's Money Fund Intelligence Daily, with data as of Friday (6/6), 116 money funds (out of 794 total) yield under 3.0% with $146.7 billion in assets, or 2.0%; 258 funds yield between 3.00% and 3.99% ($1.312 trillion, or 17.8%), 420 funds yield between 4.0% and 4.99% ($5.918 trillion, or 80.2%) and following the recent rate cut there continue to be zero funds yielding 5.0% or more. Our Brokerage Sweep Intelligence Index, an average of FDIC-insured cash options from major brokerages, was unchanged at 0.40%, after falling 1 bp three weeks prior. The latest Brokerage Sweep Intelligence, with data as of June 6, shows no changes over the past week. Three of the 10 major brokerages tracked by our BSI still offer rates of 0.01% for balances of $100K (and lower tiers). These include: E*Trade, Merrill Lynch and Morgan Stanley.
