The six largest US money market funds have eliminated their lending to Italian and Spanish banks, reduced investments in French banks and are favoring Swiss securities for their $511 billion of assets.
Holdings of European bank certificates of deposit, repurchase agreements and commercial paper reported by the six largest funds managed by JPMorgan Chase & Co, Fidelity Investments, Federated Investors Inc, Blackrock Inc and the Vanguard Group Inc show they are shunning euro-region banks, according to data compiled by Bloomberg.
