GRAPHIC-Global equity funds attract biggest weekly inflows in eight months

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.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)