Global equity funds attracted the largest weekly inflow in seven weeks in the week through May 14, buoyed by a U.S.-China trade war truce that has significantly reduced the risk of a global recession.

According to LSEG Lipper data, global equity funds bagged a net $19.57 billion in inflows during the week, the largest amount for a week since March 26.

U.S. President Donald Trump’s ongoing trade negotiations, including a 90-day tariff truce with China, signaled a pause in what analysts had warned could escalate into a devastating trade war capable of plunging the global economy into recession.

Softer-than-expected U.S. consumer inflation in April also offered relief to investors concerned about the inflationary impact of U.S. tariff policies, which had sharply lowered expectations for Federal Reserve rate cuts.

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Investors bought a net $12.86 billion worth of U.S. equity funds, ending a four-week selling trend. The European and Asian equity funds also saw a net $3.29 billion and $2.89 billion worth of purchases, respectively.

Global equity sectoral funds witnessed a net $3.77 billion worth of inflows, which halted a five-week-long selling streak. Investors purchased tech, industrial and financial sector funds, each of over $1 billion in value.

Global bond funds attracted a net $15.81 billion in the week through May 14, marking the strongest weekly inflow since March 5. Within the segment, high-yield bond funds saw $3.56 billion in net inflows—their largest in seven months—while government bond funds and loan participation funds recorded notable net purchases of $2.28 billion and $1.15 billion, respectively.

In contrast, global money market funds posted $32.22 billion in net outflows, partially reversing the prior week’s $66.97 billion in inflows.

Meanwhile, gold and precious metals commodity funds registered a third consecutive week of outflows, totaling $198 million, after 11 straight weeks of inflows.

Data from 29,660 emerging market funds showed bond funds attracted about $1.52 billion, while equity funds drew $508 million—marking the third straight week of net inflows for both segments.