Tags: investors | bond | funds | trade | war

Investors Pump $12B Into Bond Funds on Trade War Fears

Investors Pump $12B Into Bond Funds on Trade War Fears
(Dana Rothstein/Dreamstime)

Wednesday, 19 June 2019 03:53 PM

Concerns about a weakening global economy prompted investors to send nearly $11.9 billion into U.S. taxable and municipal bond mutual funds and exchange-traded funds last week, the largest net inflows of any week since February, according to data released on Wednesday by the Investment Company Institute.

The approximately $11.9 billion more than doubled the $4.6 billion invested in the category the week before, and signaled that fears of escalating global trade wars and a sluggish U.S. economy remain on investors' minds despite a nearly 17% year to date gain in the benchmark S&P 500 stock index.

The U.S. Federal Reserve is now expected to cut interest rates at least two times by the end of the year to help revive the U.S. economy and boost inflation. The rush into bond funds continued a positive streak of inflows over every full week of the year that has brought in a total of nearly $194 billion into the category since the start of January. U.S. stock funds, meanwhile, brought in a net of $6.2 billion last week, the largest inflows since the week that ended April 2.

For the year to date, domestic stock funds have lost $42.3 billion in net investor assets. World stock funds lost $1.1 billion, adding to a $8.1 billion decline for the year. 

© 2019 Thomson/Reuters. All rights reserved.

   
1Like our page
2Share
StreetTalk
Concerns about a weakening global economy prompted investors to send nearly $11.9 billion into U.S. taxable and municipal bond mutual funds and exchange-traded funds last week.
investors, bond, funds, trade, war
216
2019-53-19
Wednesday, 19 June 2019 03:53 PM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved