TRANSMITTAL LETTER FOR BOARD MEETING OF MARCH 21, 2024
COMMITTEE ON FINANCE
Mr. Brian A. Perkovich, Executive Director
Title
Report on the investment interest income during February 2024
Body
Dear Sir:
Attached is a report of cash investment interest income received by the District for the month of February 2024 and a comparison of income for the same period in 2023.
The District’s inventory of investments at February 29, 2024, consisted of 163 items having a total par value of $902,596,136.76, an average annual yield of 4.23%, and total interest income to maturity of approximately $48.7 million. Inventory figures at the same date in 2023 consisted of 200 items having a total par value of $808,435,148.38, an average annual yield of 3.34%, and total interest income to maturity of approximately $20.2 million.
Interest Forecast for 2024:
On January 31, 2024, the Federal Reserve (Fed) decided to maintain the target federal funds rate range at 5.25-5.50%. The current target median rate for yearend 2024 remains unchanged at 4.60% as announced in December. The Fed remains highly attentive to inflation expectations and seeks to achieve maximum employment along with inflation at a rate of 2.00% over time. The Fed will continue to adjust its monetary policy based on its assessment of labor market conditions, inflation pressures and expectations, and financial and international developments.
Respectfully Submitted, Wendy N. Sin, Acting Treasurer, WNS:eh
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