Europe, Asia attract equity inflows as US sees outflow

According to data from LSEG Lipper, global equity funds attracted $25.54 billion for a fifth consecutive week of net inflows, News.Az reports, citing Reuters. 

European funds led the gains, drawing in $17.53 billion — the largest weekly inflow since at least 2022 — while Asian funds secured approximately $6.28 billion in net inflows.

In contrast, U.S. equity funds saw net outflows of $1.42 billion, marking their first weekly decline in three weeks.

Market sentiment in the United States was weighed down by renewed concerns about artificial intelligence-driven disruptions across industries such as software, legal services and wealth management. The tech-heavy Nasdaq Composite fell 2.03% on Thursday amid those worries.

Global bond funds also extended their popularity, recording a sixth straight week of inflows, with approximately $21.09 billion added during the latest week. Short-term bond funds drew $4.87 billion — the highest weekly inflow since mid-December, when they saw $10.17 billion in net purchases. Corporate bond funds and euro-denominated bond funds attracted $2.63 billion and $2.06 billion, respectively.

Money market fund inflows eased to $1.15 billion, the lowest level in three weeks.

Gold and precious metal commodity funds logged their 13th inflow in 14 weeks, although at $1.25 billion, the weekly total was the smallest in five weeks.

In emerging markets, equity funds received $8.52 billion, extending their buying streak to eight consecutive weeks. Emerging market bond funds also attracted $1.29 billion, based on data covering a combined 28,723 funds.