The Department of the Treasury on Friday issued a questionnaire to primary dealers asking them how the SEC’s new money market fund rules, which take effect on May 5, could impact demand for Treasuries and the broader Treasury repo and cash market functioning. Treasury is seeking the information ahead of a meeting with the dealers on April 30.

Money market funds have invested in Treasury bonds at unseen levels ever since the Reserve Primary Fund broke the buck in September 2008, said Connie Bugbee, managing editor of iMoneyNet.

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