Global equity funds post third weekly outflow

Global equity funds faced a third straight week of outflows in the week to July 12 on concerns over the prospect of further central bank interest rate hikes and the health of economies worldwide, reports Reuters.
According to Refinitiv Lipper, investors disposed of $4.33 billion worth of global equity funds in a third straight week of net selling.
Data released this week showed US consumer prices accelerated faster than economists had forecast, as the CPI jumped 9.1 per cent in the 12 months to June, bolstering the case for more supersized Fed rate hikes.
European and US equity funds saw outflows worth $4.04 billion and $1.41 billion respectively, but Asian funds obtained $0.6 billion in inflows.
Data for sector funds showed consumer discretionary, metals and mining, and industrials suffered outflows of $846 million, $494 million and $419 million respectively, but utilities drew $519 million in a second straight week of inflow.
Meanwhile, safer money market funds accumulated inflows for a second consecutive week, drawing $5.15 billion.
Global bond funds recorded weekly net selling worth $3.1 billion, after receiving a marginal inflow of $385 million in the previous week.
Global government bond funds remained in demand for a 10th successive week, with net purchases of $1.47 billion, but short- and medium-term, and high yield funds faced withdrawals worth $3.05 billion and $1.83 billion respectively.