Money Fund Yields Flat at 3.69%
Money fund yields (7-day, annualized, simple, net) were unchanged at 3.69% on average during the week ended Friday, October 9 (as measured by our Crane 100 Money Fund Index), after increasing 3 bps the week prior. Money fund yields continued moving higher over the previous 2 weeks as they digest the Federal Reserve's Sept. 16, 25 basis point rate increase. Fund yields should continue to inch higher in coming days as they absorb the remainder of the Fed's latest hike. Yields were 3.67% on 9/30/26, 3.51% on 8/31, 3.49% on 7/31, 3.47% on 6/30 and on 3/31, 3.58% on 12/31/25, 4.13% on 6/30/25 and 4.28% on average on 12/31/24. MMFs averaged 5.20% on 12/31/23. The broader Crane Money Fund Average, which includes all taxable funds tracked by Crane Data (currently 727), shows a 7-day yield of 3.60%, up 2 bps in the week through Friday. Prime Inst money fund yields were up 1 bp at 3.82% in the latest week. Government Inst MFs were up 1 bp at 3.68%. Treasury Inst MFs were up 1 bp at 3.67%. Treasury Retail MFs currently yield 3.44%, Government Retail MFs yield 3.42% and Prime Retail MFs yield 3.59%, Tax-exempt MF 7-day yields were down 39 bps to 2.54%. Assets decreased $15.5 billion in the week through Friday, and they've increased by $43.7 billion in October month-to-date (through 10/9). Assets remain below their all-time record high of $8.404 trillion hit on July 6, according to our Money Fund Intelligence Daily. MMF assets decreased $48.0 billion in September, increased $52.8 billion in August, but decreased $61.4 billion in July. They increased by $58.6 billion in June and $208.6 billion in May, but decreased by $108.8 billion in April and $49.3 billion in March. Weighted average maturities were at 36 days for the Crane MFA and 36 days for the Crane 100 Money Fund Index. The latest Brokerage Sweep Intelligence, with data as of October 9, shows no changes over the past week, four of the 10 major brokerages tracked by our BSI offer rates of 0.01% for balances of $100K (and lower tiers). These include: E*Trade, Merrill Lynch, Morgan Stanley and Schwab.
