What’s Behind the Decline in Growth of Public Funds Bank Deposits?
Bank deposits account for about 20% of the investment assets of state and local governments, a share that has declined...
A New Bank Capital Rule: Why it Matters
In a nation of more than 4,500 depository institutions, why should it matter that Federal regulators have proposed a narrow...
Halftime: The Score for Public Funds Investments as of June 30
The first half of 2025 has been kind to public funds investors, delivering solid returns on short-term cash and historically...
State and Local Government Investment Assets Continue to Grow Despite Economic and Fiscal Uncertainty
State and local government investment assets continued to expand in recent months, surpassing $4 trillion at the end of March,...
Dashboard
Yield and portfolio information to help public funds investment officials manage portfolios, monitor markets and benchmark portfolio performance of local government investment pools (LGIPs) and short term portfolios.
Money Market Yields
June Jobs Report: The Fed Will be in No Hurry to Cut
|
The June jobs report raised eyebrows as it suggested persistent job market strength could push off the Federal Reserve’s plan to ease rates. Indeed this view is now expressed in federal funds futures contracts. The above chart, originally published prior to the jobs report, has been updated with post-report trading of federal funds futures in coming months. Between the end of May and beginning of July, amid signs of a slowing economy and the drumbeat of President Trump for lower rates, markets had priced in a steeper path. (Note the difference between May 28 and July 2 levels.) This is now largely reversed for near-term points (the January and March Federal open Market Committee meetings). While the market response to the jobs report pushed back the timing of cuts, the ultimate result, a year from now, remains about 3.25%, 100 basis points below the current level. |
About Public Funds Investment Institute
We’re an independent nonprofit dedicated to informing, educating, and advocating for the $4 trillion investor community. Subscribe for research, weekly updates, best practices recommendations, and networking opportunities.
Insights
What’s Behind the Decline in Growth of Public Funds Bank Deposits?
A New Bank Capital Rule: Why it Matters
Halftime: The Score for Public Funds Investments as of June 30
Stay informed and ahead of market changes.
“Beyond the News” is our weekly publication, the “Dashboard” provides timely investment market data, and Research Notes provides in-depth analysis.
When you subscribe, you will receive email notices when we post news and research Insights. We respect your privacy – we will never sell or share your information, nor send you promotional or marketing emails.