Yield continued to climb in MMDT Cash Pool

July 12 2023

The Federal Reserve flashed mixed signals at its policy-setting meeting in June. For the first time in 10 straight meetings, policymakers did not raise the fed funds rate, leaving it in a range of 5-5.25%. But they also projected they would hike rates by at least an additional quarter point this year in their continuing effort to quell inflation. The MMDT Cash pool daily net yield climbed to 5.30% as of June 16, 2023.

Current Cash Pool 7-day net yield View Yields

For more information on how you can seek to take advantage of a rising-rate environment and invest in the MMDT Cash Portfolio, call 617-335-0770.

Article Falling in line

After 10 straight swings at the economy in the form of rate hikes, the Federal Reserve in June dropped it back into the toolbox by not raising the fed funds target range. But it updated its Summary of Economic Projections to suggest more hikes to come. The markets finally listened, helping to normalize the yield curve.

Deborah A. Cunningham, CFA
07/2023

Your Representatives

Brian R. Willer, CIMA®,CFA

Federated Hermes
Senior Vice President 
Senior Sales Representative
Brian.Willer@FederatedHermes.com
617-335-0770

Brian is responsible for relationship management with MMDT participants.

Caroline Kafafian, CIMA®

MMDT Associate Sales Representative
Caroline.Nixon@FederatedHermes.com
724-809-1250

Caroline is responsible for relationship management with MMDT participants.

Wayne Perry

Federated Hermes
Participant Services
Wayne.Perry@FederatedHermes.com
1-888-965-MMDT (6638)

Wayne is responsible for managing the MMDT Participant Services team from the High Street office.

DISCLOSURES

Past performance is no guarantee of future results.

There is no guarantee that any type of investment approach will be successful.

Variable and floating-rate loans and securities generally are less sensitive to interest rate changes but may decline in value if their interest rates do not rise as much or as quickly as interest rates in general. Conversely, variable and floating-rate loans and securities generally will not increase in value as much as fixed-rate debt instruments if interest rates decline.

Investors should carefully consider the portfolio's investment objectives, risks, charges and expenses before investing. Information about these and other important subjects is in the Investment Circular, which you should read carefully before investing.

Duration is a measure of a security’s price sensitivity to changes in interest rates. Securities with longer durations are more sensitive to changes in interest rates than securities of shorter durations.

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