http://www.bloomberg.com/news/2011-08-04/money-market-rates-fall-below-zero-as-treasury-bills-retain-haven-demand.html
The bank, in an Aug. 2 note to clients, said its deposits are surging as “investors en-masse de-risk and become highly liquid.” As markets stabilize and cash levels drop, “it is likely this fee will no longer be necessary,” the bank said in an e-mailed statement.
The Standard & Poor’s 500 Index tumbled 3 percent, and Treasury two-year yields fell to a record low amid concern the economy is weakening. The yen slid the most since 2008 against the dollar after Japan sold the currency to weaken it.
‘Excess Amounts’
Bank of New York Mellon’s announcement that it will begin charging clients a 13 basis point fee for “excess amounts of cash” helped accelerate the repricing of short-term U.S. government securities, Smedley said. A basis point is 0.01 percentage point.The bank, in an Aug. 2 note to clients, said its deposits are surging as “investors en-masse de-risk and become highly liquid.” As markets stabilize and cash levels drop, “it is likely this fee will no longer be necessary,” the bank said in an e-mailed statement.
The Standard & Poor’s 500 Index tumbled 3 percent, and Treasury two-year yields fell to a record low amid concern the economy is weakening. The yen slid the most since 2008 against the dollar after Japan sold the currency to weaken it.
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