According to Refinitiv Lipper data, U.S. equity funds recorded $8.45 billion worth of net selling, which was the biggest weekly outflow since June 15.
(GRAPHIC: Fund flows: US equities bonds and money market funds – https://fingfx.thomsonreuters.com/gfx/mkt/zgvomxljjvd/Fund%20flows%20US%20equities%20bonds%20and%20money%20market%20funds.jpg)
The Fed is expected to raise policy rates by another 75 basis points at the end of the July 26-27 meeting, as it seeks to balance the risks of a stubbornly high inflation and the likelihood of a recession.
U.S. growth funds booked outflows of $3.46 billion after small purchases in the week before, while investors exited value funds worth $1.62 billion in a fourth subsequent week of net selling.
(GRAPHIC: Fund flows: US growth and value funds – https://fingfx.thomsonreuters.com/gfx/mkt/byprjwnxbpe/Fund%20flows%20US%20growth%20and%20value%20funds.jpg)
Selling in bond funds stood at a net $4 billion, much higher than the outflows of $371 million in the previous week.
Investors disposed of U.S. municipal bond funds of $897 million, marking their first weekly net selling in three weeks, while U.S. taxable bond funds recorded outflows of $3.43 billion.
U.S. short/intermediate investment-grade funds, short/intermediate government & treasury funds and high yield funds suffered outflows of $3,008 million, $1,998 million and $1,060 million, respectively.
(GRAPHIC: Fund flows: US bond funds – https://fingfx.thomsonreuters.com/gfx/mkt/lbpgneywyvq/Fund%20flows%20US%20bond%20funds.jpg)
Meanwhile, money market funds lured a third weekly inflow of $4.28 billion, although purchases reduced by about 57% from the previous week.
(GRAPHIC: Fund flows: US equity sector funds – https://fingfx.thomsonreuters.com/gfx/mkt/akpezwynxvr/Fund%20flows%20US%20equity%20sector%20funds.jpg)
Source: Economy - investing.com
