<TABLE> <S> <C>
<ARTICLE> 6
<SERIES>
<NUMBER> 1
<NAME> AXP FEDERAL INCOME FUND INC. CLASS A
<S> <C>
<PERIOD-TYPE> YEAR
<FISCAL-YEAR-END> MAY-31-2000
<PERIOD-END> MAY-31-2000
<INVESTMENTS-AT-COST> 0
<INVESTMENTS-AT-VALUE> 0
<RECEIVABLES> 0
<ASSETS-OTHER> 2296607262
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 2296607262
<PAYABLE-FOR-SECURITIES> 0
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 3472361
<TOTAL-LIABILITIES> 3472361
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 2593904937
<SHARES-COMMON-STOCK> 248186472
<SHARES-COMMON-PRIOR> 348756804
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 328697
<ACCUMULATED-NET-GAINS> 0
<OVERDISTRIBUTION-GAINS> 222941902
<ACCUM-APPREC-OR-DEPREC> (77499437)
<NET-ASSETS> 1138095465
<DIVIDEND-INCOME> 0
<INTEREST-INCOME> 202598464
<OTHER-INCOME> 0
<EXPENSES-NET> 37901050
<NET-INVESTMENT-INCOME> 164697414
<REALIZED-GAINS-CURRENT> (161971636)
<APPREC-INCREASE-CURRENT> (11748639)
<NET-CHANGE-FROM-OPS> (9022861)
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 87267267
<DISTRIBUTIONS-OF-GAINS> 22696103
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 199298363
<NUMBER-OF-SHARES-REDEEMED> 319120358
<SHARES-REINVESTED> 19251663
<NET-CHANGE-IN-ASSETS> (1118930674)
<ACCUMULATED-NII-PRIOR> 260747
<ACCUMULATED-GAINS-PRIOR> 0
<OVERDISTRIB-NII-PRIOR> 0
<OVERDIST-NET-GAINS-PRIOR> 14909868
<GROSS-ADVISORY-FEES> 7708652
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 38160004
<AVERAGE-NET-ASSETS> 1507696355
<PER-SHARE-NAV-BEGIN> 4.94
<PER-SHARE-NII> .27
<PER-SHARE-GAIN-APPREC> (.27)
<PER-SHARE-DIVIDEND> .28
<PER-SHARE-DISTRIBUTIONS> .07
<RETURNS-OF-CAPITAL> 0
<PER-SHARE-NAV-END> 4.59
<EXPENSE-RATIO> .92
</TABLE>
