NEW YORK, Aug 23 (Reuters) - A closely watched measure of the cost for banks to borrow dollars was unchanged on Tuesday, holding at a seven-plus year high amid reduced demand for bank debt among U.S. money market funds.
The London interbank offered rate on three-month dollars , or Libor and a benchmark for more than $300 trillion worth of financial products worldwide, was fixed at 0.82544 percent for a second day.
Libor for other maturities were mixed on the day.
One-month Libor rose to 0.52439 percent, its highest since March 2009, while six-month Libor held at 1.22900 percent, which was its highest since June 2009.
One-year Liborslipped to 1.53100 percent from 1.53294 percent on Monday, which was its highest since July 2009.
Since July, some U.S. prime money market funds, which had been major holders of commercial paper and other bank debt, have changed over to funds that hold only government securities.
Government-only money funds are exempt from rules on share value and fees from the U.S. Securities and Exchange Commission that will take effect on Oct. 14.
Prime funds overall are holding more short-term maturity debt in anticipation of heavy redemption from investors before Oct. 14. (Reporting by Richard Leong; Editing by Nick Zieminski) ((richard.leong@thomsonreuters.com; +1 646 223 6313; Reuters Messaging: richard.leong.thomsonreuters.com@thomsonreuters.net; Twitter @RichardLeong2))
The London interbank offered rate on three-month dollars , or Libor and a benchmark for more than $300 trillion worth of financial products worldwide, was fixed at 0.82544 percent for a second day.
Libor for other maturities were mixed on the day.
One-month Libor rose to 0.52439 percent, its highest since March 2009, while six-month Libor held at 1.22900 percent, which was its highest since June 2009.
One-year Liborslipped to 1.53100 percent from 1.53294 percent on Monday, which was its highest since July 2009.
Since July, some U.S. prime money market funds, which had been major holders of commercial paper and other bank debt, have changed over to funds that hold only government securities.
Government-only money funds are exempt from rules on share value and fees from the U.S. Securities and Exchange Commission that will take effect on Oct. 14.
Prime funds overall are holding more short-term maturity debt in anticipation of heavy redemption from investors before Oct. 14. (Reporting by Richard Leong; Editing by Nick Zieminski) ((richard.leong@thomsonreuters.com; +1 646 223 6313; Reuters Messaging: richard.leong.thomsonreuters.com@thomsonreuters.net; Twitter @RichardLeong2))
