The Financial Times writes "US safe haven funds see bumper inflows". It says, "US money market funds are on course for some of their biggest inflows since the height of the financial crisis, in a sign that risk-averse investors are seeking safe haven in US Treasuries. The funds took in $54.9bn in November and another $36.8bn by December 21, according to data from Lipper. That is the largest two-month inflow since December 2008 and January 2009, when $195bn was invested." FT quotes Barclays Capital's Joseph Abate, "The flows are consistent with general risk aversion and a fear of exposure to non-US credit risk." The piece adds, "Money market funds have since struggled as the Securities and Exchange Commission imposed new regulations, Treasury yields hit record lows and investors became nervous about funds lending to European banks. According to Lipper, almost $1.2tn has been withdrawn from the sector since February 2009."
