NEW YORK, May 2 (Reuters) - The U.S. commercial paper market shrank this week to its smallest size since November as money market funds, which are major buyers for this type of debt, have been losing assets, Federal Reserve data released on Thursday showed.
U.S. seasonally adjusted commercial paper outstanding fell $12.4 billion to $997.4 billion in the week ended May 1, the lowest level since the week of Nov. 14 when it stood at $968.6 billion.
Non-seasonally adjusted commercial paper outstanding - which some analysts consider a more reliable reading than the seasonally adjusted one since it has been distorted by the financial crisis - fell $3.9 billion to $1.051 trillion.
U.S. non-seasonally adjusted foreign financial commercial paper outstanding fell $2.3 billion to $265 billion.
Money market fund assets declined by $19.04 billion to $2.559 trillion in the week ended April 30, the Money Fund Report said on Wednesday.
Investors have withdrawn cash from money funds whose interest rates have been running barely above zero and shifted it into stocks, bonds and other higher-yielding assets.