LONDON (Reuters) – Investors bought bonds at the highest weekly rate in four months in the week to Wednesday, sold $4.6 billion of stocks and ploughed $2.4 billion into cash, BofA Global Research said on Friday, with the market “inflation shock” now over.
European equity funds recorded their 39th week of outflows, totalling $2.7 billion, while U.S. growth stocks got a boost of $2 billion and investors bought energy stocks for the fifth week in a row.
Emerging market equity funds recorded a third straight weekly inflow, up $400 million.
BofA’s “Bull & Bear” indicator was still at “max bearish” and has been since June; its longest streak at that level since the global financial crash in 2008/09, the bank said.
(Reporting by Lucy Raitano; Editing by Amanda Cooper)
