Key facts
- Global equity funds saw their largest weekly outflow in nine months through September 16, totaling $23.21 billion.
- Rising crude oil prices and Federal Reserve interest rate hike expectations contributed to investor caution.
- US equity funds experienced outflows for the fourth consecutive week.
- Asian equity funds attracted $6.26 billion in inflows.
- Gold and precious metals funds saw inflows of $1.17 billion.
- Money market funds recorded outflows of $77.42 billion, ending a two-week streak of net purchases.
Global equity funds experienced their largest weekly outflow in nine months in the week ending September 16, with investors withdrawing a net $23.21 billion. This significant outflow was driven by heightened inflation concerns stemming from a surge in crude oil prices and increased caution due to expectations of further Federal Reserve interest rate hikes.
US equity funds saw outflows for the fourth consecutive week, totaling $31.44 billion. In contrast, Asian equity funds attracted $6.26 billion in inflows, while European equity funds recorded outflows of $295 million. Equity sector funds, particularly technology, financials, and consumer discretionary, saw inflows totaling $4.49 billion.
Bond funds attracted a modest $855 million in inflows, the smallest weekly amount since April 1. High-yield bond funds saw outflows of $3.85 billion, while government bond funds added $2.96 billion. Money market funds experienced outflows of $77.42 billion, ending a two-week period of net purchases. Gold and other precious metals funds continued to attract investors, with inflows of $1.17 billion.