Assets Hit Record $8.37T; Fed Holds
Money market mutual fund assets jumped by $80.0 billion on Tuesday (June 16) to a record high of $8.370 trillion, according to our Money Fund Intelligence Daily. Assets have risen $41.7 billion in the week through Tuesday, and they've increased by $78.8 billion in June month-to-date (through 6/16). (Some are speculating that the increase is the proceeds of the SpaceAI IPO.) In other news, a release, "Federal Reserve Issues FOMC Statement," tells us, "The Federal Open Market Committee approved the following statement for release by a 12 – 0 vote: The Committee decided to maintain the target range for the federal funds rate at 3-1/2 to 3-3/4 percent, in support of the Federal Reserve's dual mandate. The Committee reaffirmed its policy of maintaining ample reserves in the banking system. Economic activity is expanding at a solid pace despite elevated uncertainty that owes, in part, to the conflict in the Middle East. Productivity growth and capital investment are strong. Job gains have kept pace with the workforce, and the unemployment rate has changed little." They write, "Inflation remains elevated relative to the Committee's 2 percent goal, in part reflecting supply shocks that have driven price increases in certain sectors, including energy. The Committee will deliver price stability."
