Investors are pulling money out of US equity funds and putting it into Europe and currency funds

Investors are preferring to put their money into European equity funds, which will once again have more capital injected in the week ending May 7. In contrast, US equity funds have seen capital withdrawals in the same period. Monetary funds and bond funds have also been in high demand, as shown by data from LSEG Lipper, released by the Reuters news agency.

European equity funds received an injection of $12.8 billion (11.3 billion euros) in the week ending May 7, confirming the trend of the past four weeks, Reuters notes. US equity funds saw withdrawals of capital for the fourth consecutive week, worth $16.2 billion (14.4 billion euros).

In the week ending May 7, $856 million (€760.7 million) was injected into global equity funds, a sharp drop from $6.1 billion (€5.4 billion) the previous week.

Asian funds saw capital inflows of $3.3 billion (€2.9 billion).

In terms of sectoral funds, capital withdrawals were recorded for the ninth consecutive week, reaching US$2.6 billion (€2.3 billion). The financial sector saw US$1.1 billion (€900 million) of money withdrawn, while the metals and mining sector saw US$478 million (€424.7 million) of money leave.

Dollar bond funds saw inflows of $4.3 billion (€3.8 billion), the most in eight weeks. Global short-duration and high- yield funds saw inflows of $1.9 billion and $1.2 billion (€1.6 billion and $1.7 billion).

Money-market funds saw capital inflows worth $66.3 billion (58.9 billion euros) during the week, the biggest flow of money since February 5, Reuters reports.

Funds that work with gold and precious metals had capital withdrawals worth 655 million dollars (582 million euros), this being the second week in 13 weeks in which there has been a withdrawal of capital from this type of fund, according to data from LSG Lipper.