LONDON (Reuters) – Investors pulled $2.8 billion from stock funds in the week to Wednesday in the biggest weekly outflow this year, Bank of America said on Friday, in a sign of a souring of the mood in global financial markets.
The S&P 500 (^GSPC) stock index has now fallen more than 10% from its recent high, putting it into correction territory, as President Donald Trump’s stop-start trade wars sow uncertainty among companies and investors.
At close: March 13 at 4:48:06 PM EDT
U.S. government bond funds received the biggest weekly inflow since August at $6.4 billion, BofA said in its weekly note tracking flows in and out of world markets citing figures from data provider EPFR.
BofA said this was a sign of a «risk-off» mood.
Investors pulled $2.8 billion from U.S. stock funds in particular, but put $5 billion into European equities.
Real estate stocks suffered the biggest outflow since May 2022 at $1.2 billion, while high yield bond funds saw the biggest outflow in 12 weeks at $2.3 billion.
However, BofA’s analysts said the move out of stocks had yet to unwind much of the $156 billion of inflows into global equity funds so far this year.
(Reporting by Harry Robertson, editing by Alun John)
