Safety takes a backseat as investors pile into EM, European stocks - BAML
FILE PHOTO: The German share price index DAX graph is pictured at the stock exchange in Frankfurt, Germany, November12, 2019. REUTERS/Staff
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STAFF(Reuters)
LONDON (Reuters) – Investors pumped $9.7 billion (£7.6 billion) into equity funds in the week to Wednesday, with emerging markets seeing their biggest inflows in 41 weeks, Bank of America Merrill Lynch said on Friday.
With rising hopes of a U.S.-China trade deal, investors were in risk-on mood, redeeming money from gold. The yellow metal funds saw outflows of $1.7 billion, the biggest since December 2016.
BAML said the rotation from U.S. stocks to the rest of the world continued this week with emerging markets sucking in $3.3 billion and Europe $1.5 billion.
Bond funds took in $4.2 billion, BAML added, citing EPFR data.
(Reporting by Thyagaraju Adinarayan; Editing by Tom Arnold)