Federated Investors' Month in Cash features "​Gloomier economic data sends short rates lower." They write, "Most short-​term interest rates declined and the cash yield curve flattened in June as a host of weaker than expected economic statistics persuaded investors that the Federal Reserve was unlikely to raise benchmark interest rates this year. The overnight London interbank offered rate (​Libor) dropped from 0.​298% to 0.​294%, while one-​month Libor fell from 0.​351% to 0.​345%, three-​month Libor declined from 0.​536% to 0.​533%, six-​month Libor eased from 0.​751% to 0.​750%, and one-​year Libor dropped from 1.​204% to 1.​174%. Meanwhile, three-​month Treasury bill yields rose one basis points to 0.​17%, six-​month bills were unchanged at 0.​22%, one-​year bills eased four basis points to 0.​28%, and two-​year notes plunged a whopping 17 basis points to 0.​59%, an all-​time low.... Though we continue to believe that the Fed will take the first baby steps towards tightening policy earlier than many investors believe, it seems virtually certain that the first tightening will not occur until November or December at the earliest. Still, we remain convinced that the Fed is anxious to scale back its balance sheet and normalize monetary policy as quickly as possible."

Crane'​s Money Fund Symposium, which will be held July 26-​28, at The InterContinental Boston, has just recently added two more sponsors to its roster and two more speakers to its packed, 2 1/​2-​day agenda. Dreyfus and Credit Suisse have joined twenty other sponsors and exhibitors, including: Platinum level backers Bank of America Merrill Lynch and JPMorgan Securities, Gold level supporters Barclays Capital, Federated Investors, Fidelity Investments, and Wells Fargo Advantage Funds; and Silver level patron Western Asset (​and now Dreyfus). The agenda (​e-​mail Kaio for the latest PDF brochure) now includes a session on "Europe & Stresses in the Money Markets," and we'​ve added U.​S. Securities & Exchange Commission Senior Special Counsel Sarah ten Siethoff to the final Wednesday session, "Critical Questions on the New Rule 2a-​7." Please note that space is running out for the conference, and to receive the negotiated hotel rate of $​235 plus tax you must register your hotel reservation through the conference website by June 25th. (​Visit https://​www.​kinsleymeetings.​com/​Crane/​register.​asp to register; registration is $​750.)

The June 2010 issue of Crane Data'​s Money Fund Intelligence newsletter, which goes out to subscribers this morning, features the articles: "MMF Reforms, Europe, Yields Climb Off Floor," which discusses shortening maturities and slowly unwinding fee waivers; "Money Funds in Europe: Q&​A w/​IMMFA'​s Le Coz," which interviews Institutional Money Market Funds Association Chairwoman Gail Le Coz; and "Plaze on History of 2a-​7, Hinting at PWG Content," which reviews comments from a recent SEC Investor Advisory Committee presentation. MFI also contains money fund news, performance statistics, rankings and our benchmark Crane Money Fund Indexes. MFI XLS, our monthly spreadsheet "​complement" to MFI, contains much more data, such as percentile rankings and fund family rankings too.

The lead article in our June issue says, "Concerns over European exposure and the impact of the first phase of the SEC'​s Money Market Fund Reforms going into effect dominated the money fund landscape in May. But there was a fair amount of good news during the past month too. Asset outflows slowed considerably, and yields continued their slow climb off of the zero floor.... [​F]​fund managers appear to be enjoying a reduction in fee waivers due to higher repo and now LIBOR rates."

Our interview with IMMFA'​s Le Coz asks, "How will the CESR news impact IMMFA and money funds in Europe? She tells us, "The impact is different for us, as we already had the IMMFA Code of Practice, as well as the guidelines from the ratings agencies in order to maintain the AAA rating. So, we already had our European money market fund rules by virtue of the Code and the rating. With the changes that we made to the Code last year, we have a 60 day WAM, we have a 120 day WAL, we have maturity limits, and we have credit limits by virtue of the credit rating agencies guidelines."

Finally, the SEC'​s Bob Plaze recently discussed the pending `​President'​s Working Group report and its discussion of possible changes and options for money funds, saying, "They are really complex problems, and the problem is that ... if you pull here, you fix one problem and you created another set of problems over here. So you go over here and pull here and the same thing happens. What we'​ve been doing is working with the Treasury, Federal Reserve Board and CFTC to come up with a paper that I hoped to be able to present with you this afternoon. But unfortunately it has not been issued yet. The Treasury controls that."

Look for more excerpts in the coming days, and let us know if you'​d like to see the latest issue.

Our May 2010 issue of Money Fund Intelligence features the articles: "Money Fund Intelligence Celebrates 4th Birthday," which reviews the history of Crane Data'​s flagship newsletter; "Capital Preservation Still In at American Century," which interviews Portfolio Managers Denise Latchford, Todd Pardula, and Lynn Paschen; and "ICI Fact Book Says Outflows From Low Rates," which excerpts from the Investment Company Institute'​s annual fund analysis and statistics. Look for excerpts in the coming days or let us know if you'​d like to see the latest issue.

Money Fund Intelligence, Crane Data'​s flagship newsletter, celebrates its fourth birthday this month. The money fund information company was founded in May 2006 by Peter G. Crane and Shaun Cutts. As we wrote in this issue, "​MFI is written for both money market investment professionals and investors. Our core mission is to deliver low-​cost and high quality money fund information, performance statistics, and indexes. We hope we have succeeded to date."