Global equity funds attracted net inflows of $21.15 billion during the week ended August 5, marking the 11th straight week of positive flows into the asset class. The inflows followed roughly $27.72 billion in net purchases the previous week, according to data from LSEG Lipper. Market sentiment was bolstered by positive developments in the earnings season, including Amazon’s strongest cloud growth performance in more than four years and strong results from industrial bellwether Caterpillar and technology company Palantir Technologies.
Earnings data showed encouraging momentum across markets, with approximately 808 MSCI World constituent companies reporting results that demonstrated combined profit growth of 40.9% compared to the same period a year earlier. Around 75% of reporting companies exceeded analyst expectations. Regional performance varied, with European equity funds recording the largest weekly inflow since July 8 at $12.52 billion, while Asian funds attracted $8.15 billion. U.S. equity funds diverged from the broader trend, experiencing approximately $1.58 billion in outflows for the week.
Within sector-specific equity funds, technology allocations saw inflows moderate to a six-week low of $1.44 billion. Industrials, consumer discretionary, and healthcare funds recorded more modest positive flows of $1.08 billion, $710 million, and $653 million respectively. Beyond equities, global bond funds attracted $12.27 billion in net purchases, marking their strongest weekly inflow in three weeks, with high-yield funds drawing $3.66 billion—their largest weekly inflow in five weeks.
Money market funds rebounded with net inflows of $57.48 billion, reversing a three-week period of outflows. In commodity markets, precious metals funds maintained their appeal with $345 million in net inflows for a fourth consecutive week, while energy funds recorded their second straight weekly outflow of $153 million. Emerging market equities gained momentum with weekly inflows reaching more than five-month highs of $9.26 billion.
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