(Reuters) -Global equity funds attracted strong inflows in the week to July 2, as U.S. stocks hit record highs, with investors brushing off trade tensions and chasing gains in AI-linked sectors. Investors bought global equity funds worth a net $43.15 billion during the week, registering their largest weekly net purchase since November 13, 2024, data […]
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Global equity funds attract biggest weekly inflows in eight months
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(Reuters) -Global equity funds attracted strong inflows in the week to July 2, as U.S. stocks hit record highs, with investors brushing off trade tensions and chasing gains in AI-linked sectors.
Investors bought global equity funds worth a net $43.15 billion during the week, registering their largest weekly net purchase since November 13, 2024, data from LSEG Lipper showed.
While markets remain buoyant, analysts said that equities could face a sharp reversal if the trade tensions potentially flare up again.
Micron Technology’s, upbeat fourth-quarter sales forecasts, alongside Nvidia’s rally to a record high reinforced investor confidence in AI-linked tech stocks during the week.
U.S. equity funds attracted a hefty $31.6 billion worth of inflows, the highest for a week since November 13, 2024. European and Asian funds pulled in $9.31 billion and $552 million worth of net investments.
Investors also added a net $3.72 billion into sectoral funds as they snapped up industrial, technology and financial sector funds worth a net $1.26 billion, $1.2 billion and $760 million, respectively.
Weekly inflows into global bond funds amounted to a net $15.84 billion, with strong demand extending into an 11th consecutive week.
Euro-denominated bond funds net inflows rose to a three-week high of $4.89 billion. Corporate and short-term bond funds also attracted significant inflows of $4.33 billion and $1.73 billion, respectively.
Money market funds, meanwhile, had approximately $57.46 billion worth of net purchases following three weeks of net sales.
Among commodity funds, gold and precious metal funds were popular for a sixth successive week, with about $564 million in net inflows. But investors ditched a net $163 million worth of energy sector funds.
In emerging markets, inflows into equity funds reached a net $2.58 billion, the largest since October 2024. In contrast, divestments from bond funds totalled a net $3.09 billion, data for a combined 29,745 funds showed.
(Reporting by Gaurav Dogra in Bengaluru. Editing by Jane Merriman)