NEW YORK, June 20 (Reuters) - Fund investors worldwide pulled $23.3 billion out of money market funds in the week ended June 18, marking the biggest withdrawals from the funds in seven weeks, data from EPFR Global showed on Friday.
The outflows from the low-risk funds, which mainly invest in safe short-term securities and are often used for parking cash, came as stock funds attracted $12.6 billion in new cash, marking their biggest inflows in 17 weeks, according to the fund-tracker.
“What has occurred in the past couple of weeks has added to a benign environment for equities,” said Cameron Brandt, EPFR Global director of research.
He said the European Central Bank’s decision to cut rates to record lows on June 5 and the view that the Federal Reserve may keep rates lower for longer have buoyed sentiment toward equities. (Reporting by Sam Forgione; Editing by James Dalgleish)