LONDON (Reuters) – Precious metal funds recorded the fourth-largest inflows ever within the week to Wednesday and investment-grade funds sucked in cash, Bank of America Merrill Lynch stated on Friday, as rising commerce tensions and international progress considerations prompted a touch for protected havens.
Within equities, United States shares funds suffered $15.2 billion in outflows in the identical week, probably the most since December 2018, whereas rising fairness funds noticed the biggest outflow since August 2015 at $6.2 billion, stated BAML citing EPFR knowledge.
The strikes comply with a tumultuous week in international markets, with China letting its yuan fall previous the 7-per-dollar degree marking the newest salvo in a commerce dispute between Beijing and Washington and recent fears rising a few international financial pullback.
The yuan’s slide on Monday contributed to $12.four billion exiting international fairness funds, the 12th largest ever day by day outflow from international fairness funds, in line with the info.
The volatility pushed investors to belongings seen as protected. A complete of $2.three billion poured into valuable metal funds. $11 billion has now shifted into gold up to now 10 weeks, the biggest influx since Brexit in 2016, BAML stated.
As high-yield bond funds skilled the biggest outflow since December 2018, investment-grade bond funds notched up their 29th week of inflows, pulling in $6.7 billion.
Reporting by Tom Arnold; Editing by Karin Strohecker and Hugh Lawson