Bloomberg writes "Investors Pour Back Into Money-Market Funds After Debt Deal". It says, "Investors pumped $8.9 billion into money-market mutual funds yesterday, the first day of deposits in more than two weeks, as an agreement by lawmakers in Washington averted a government default. Money funds that cater to institutions took in $11.1 billion, according to research firm Crane Data LLC in Westborough, Massachusetts, including $5.1 billion into funds that almost exclusively buy Treasuries or other debt backed by the U.S. government.... Yesterday's net deposits were the first for U.S. money funds since Oct. 1. Investors withdrew $61.9 billion this month through Oct. 16, including $21.6 billion on Oct. 11, according to Crane Data." In other news, see also, FT's "Almost 20 money market funds bailed out". This article explains, "Almost 20 money market funds have been bailed out by their parent companies to prevent them from making losses since the 2007-09 financial crisis, according to Moody’s, the rating agency. The revelation that 16 US money market funds received injections of capital in 2010 and another two US funds and one non-US vehicle accepted infusions in 2011 to "top up" their mark to market values comes as the debate over future regulation of the $2.6tn US industry intensifies."
