This marks the first weekly net outflow from equity funds since the week of June 25, according to LSEG Lipper data, News.Az reports, citing Reuters.
A U.S. inflation report on Tuesday showed that consumer prices increased at the sharpest pace in five months in June, suggesting tariffs were starting to have an impact on prices and potentially keeping the Federal Reserve on the sidelines until September.
Investors divested a net $11.75 billion worth of U.S. equity funds following two weekly net purchases in a row. In contrast, they added European and Asian funds worth a net $4.66 billion and $718 million, respectively.
Sectoral funds had a mixed set of data as the healthcare and technology sectors witnessed $1.91 billion and $578 million net outflows, while investors snapped up industrial and financial sector funds totaling a net $1.11 billion and $791 million, respectively.
Global bond funds saw a buying spree extended into a 13th straight week, with approximately $12.85 billion net investments flowing into these funds.
Euro denominated bond funds, short-term bond funds, high yield bond funds and government bond funds were popular as these funds witnessed a robust $3.57 billion, $3.08 billion, $1.98 billion and $1.33 billion, respectively in net inflows.
Money market funds, meanwhile, lost about $21.3 billion in their first weekly net sales in three weeks.
Gold and precious metal commodity funds remained popular for an eighth straight week as these funds saw nearly $741 million worth of weekly net investments.
Emerging market funds came under pressure during the week as equities lost $208 million, while bonds had a net $1.12 billion weekly sales that ended an 11-week-long buying trend, data for a combined 29,644 funds showed.
