{"id":35577,"date":"2023-05-05T11:29:51","date_gmt":"2023-05-05T11:29:51","guid":{"rendered":"http:\/\/lynettelockhart.com\/client\/global-equity-funds-see\/"},"modified":"2023-05-05T13:16:26","modified_gmt":"2023-05-05T13:16:26","slug":"global-equity-funds-see","status":"publish","type":"post","link":"http:\/\/lynettelockhart.com\/client\/global-equity-funds-see\/","title":{"rendered":"Global equity funds see biggest weekly outflow in five weeks"},"content":{"rendered":"

(Reuters) – Global equity funds suffered massive outflows in the week to May 3, hit by weak economic data and worries over a recession as investors were fretted about the likelihood of interest rates staying higher for an extended period.<\/p>\n

According to Refinitiv Lipper data, global equity funds recorded a net $16.9 billion worth of outflows in the week to May 3, marking the biggest weekly outflow since March. 29.<\/p>\n

The first quarter economic data painted a bleak outlook for the year, as U.S. economic growth slowed more than expected. At the same time, the German economy also stagnated due to declining consumption.<\/p>\n

(GRAPHIC: Fund flows: Global equities, bonds and money markets – https:\/\/www.reuters.com\/graphics\/GLOBAL-FLOWS\/GLOBAL-FLOWS\/gdpzqmloqvw\/chart.png) <\/p>\n

In Asia, China’s factory activity dipped in April, suggesting the manufacturing sector is losing momentum amid a bumpy post-COVID economic recovery. <\/p>\n

This week, the Fed raised interest rates by a quarter of a percentage point again, increasing consumer and company borrowing costs. <\/p>\n

The U.S. and European equity funds booked $15.6 billion and $600 million worth of outflows during the week, while Asian funds drew a small inflow of $160 million. <\/p>\n

Among sectors, investors pulled out money worth $563 million and $358 million from tech and financial sector funds, while they poured a net $463 million into consumer staples.<\/p>\n

(GRAPHIC: Fund flows: Global equity sectors – https:\/\/www.reuters.com\/graphics\/GLOBAL-FLOWS\/GLOBAL-FLOWS\/lbpggleawpq\/chart.png)<\/p>\n

Meanwhile, investors continued to favour money market funds, which lured inflows worth $44.3 billion, higher than $41.7 billion in the previous week. <\/p>\n

Global bond funds also secured $3.95 billion of inflows in a second week of net buying.<\/p>\n

Investors purchased government and short- and medium-term bond funds of about $2 billion each but drew $910 million out of high-yield funds.<\/p>\n

(GRAPHIC: Global bond fund flows in the week ended May 3 – https:\/\/www.reuters.com\/graphics\/GLOBAL-FUNDS\/GLOBAL-FUNDS\/akveqelmqvr\/chart.png) <\/p>\n

Among commodities, energy funds received $169 million in a second straight week of net buying, while precious metal funds drew a net $87 million worth of inflows.<\/p>\n

Data for 23,973 emerging market funds showed investors received a net $1.35 billion worth of equity funds in their biggest weekly net buying since March 1 but exited a net $183 million worth of bond funds.<\/p>\n

(GRAPHIC – Fund flows: EM equities and bonds – https:\/\/www.reuters.com\/graphics\/GLOBAL-FLOWS\/GLOBAL-FLOWS\/klvygnywlvg\/chart.png)<\/p>\n

\n

(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in Bengaluru; Editing by Louise Heavens)<\/p>\n

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(Reuters) – Global equity funds suffered massive outflows in the week to May 3, hit by weak economic data and worries over a recession as investors were fretted about the likelihood of interest rates staying higher for an extended period. According to Refinitiv Lipper data, global equity funds recorded a net $16.9 billion worth of […]<\/p>\n","protected":false},"author":8,"featured_media":35578,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":""},"categories":[1216],"tags":[],"class_list":["post-35577","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-u-s-economy"],"jetpack_featured_media_url":"http:\/\/lynettelockhart.com\/client\/wp-content\/uploads\/Reuters_Direct_Media\/USOnlineReportEconomy\/tagreuters.com2023binary_LYNXMPEJ440CW-VIEWIMAGE.jpg","_links":{"self":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/35577","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/comments?post=35577"}],"version-history":[{"count":1,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/35577\/revisions"}],"predecessor-version":[{"id":35579,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/35577\/revisions\/35579"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media\/35578"}],"wp:attachment":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media?parent=35577"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/categories?post=35577"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/tags?post=35577"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}