Reuters writes "Mayors oppose new money market fund restrictions". The article says, "A group including nine big-city mayors organized by the U.S. Chamber of Commerce came out on Monday against additional rules for money market mutual funds, ahead of a key regulatory vote like later this month. The U.S. Securities and Exchange Commission is expected to vote on Aug. 29 on a proposal aimed at bolstering the $2.4 trillion money fund industry, which suffered from a run of customer withdrawals at the height of the 2008 financial crisis. If approved, the proposal would be issued for public comment. But the mayors, following previous objections raised by some corporations and other short-term borrowers, argued in a letter to the SEC that the changes would disrupt the market, driving up borrowing costs and pushing investors away from a popular savings vehicle. The fund industry is also vehemently opposed to the proposal."
