Global equity funds attract inflows for third week in a row
Jan 27 (Reuters) - Global equity funds received inflows for a third straight week in the week to Jan. 25 as easing recession fears and hopes of smaller rate hikes by the Federal Reserve kept sentiment buoyant.
Refinitiv Lipper data showed global equity funds obtained $3.23 billion worth of inflows during the week, compared with $5.16 billion worth of net purchases in the previous week.
Data released on Thursday showed the U.S. economy grew faster than expected in the fourth quarter. Earlier in the week, a survey showed business activity in the euro zone improved in January, raising hopes the economy is on a better footing than previously feared.
European and Asian equity funds received $3.15 billion and $1.36 billion worth of inflows, but investors sold about $1.14 billion worth of U.S. equity funds.
Data showed many sectoral funds were out of favour with health care, industrials and financials witnessing disposals of $1.8 billion, $695 million and $687 million, respectively.
Meanwhile, global bond funds accumulated a net $11.35 billion worth of inflows in a fourth successive week of net buying.
Global short- and medium-term bond funds obtained $1.05 billion, while government bond funds drew $3.53 billion in a 13th straight week of net buying, but investors exited $160 million worth of high yield funds after two weeks of net purchases.
Global money market funds suffered $12.25 billion worth of outflows.
Among commodity funds, precious metal funds lured $1.19 billion, the biggest weekly inflow in nine months, but energy funds had outflows of $87 million.
Data for 24,502 emerging market (EM) funds showed equity funds attracted a net $5.02 billion in a third successive week of net buying, while bond funds obtained a net $3.9 billion worth of inflows.
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