What with everything else going on, from Trump to Brexit to the horror in Dallas, it’s onerous to give attention to developments in monetary markets — especially because we’re not going through any speedy disaster. But extraordinary things have been taking place recently, especially in bond markets. And as a result of cash nonetheless makes the world go ’round, consideration should be paid to what the markets are attempting to tell us.
The industry has pressed again in some areas. In specific it opposes the idea of allowing the funds’ internet asset values to stray from $1 a share, which some say makes them too inflexible and might scare traders. On the opposite hand, cash funds have largely defended their French financial institution holdings since questions about them began this summer time. The fact that they stood by the banks by July, despite main outflows from the funds’ personal traders …