U.S. money market funds' weekly inflows hit 3-year high on bank worries

However, fund infusion by large U.S. banks into the troubled San Francisco-based First Republic Bank on Thursday, eased some worries. According to Refinitiv Lipper data, investors accumulated a net $108.17 billion worth of U.S. money market funds, clocking their biggest weekly net purchase since April 2020.


Reuters | Washington DC | Updated: 17-03-2023 17:27 IST | Created: 17-03-2023 17:09 IST
U.S. money market funds' weekly inflows hit 3-year high on bank worries
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U.S. money market funds attracted their biggest weekly inflows in nearly three years in the week to March 15 as investors pulled out of risk assets and fled for safety on fears of a fallout from the recent collapse of three U.S. banks. However, fund infusion by large U.S. banks into the troubled San Francisco-based First Republic Bank on Thursday, eased some worries.

According to Refinitiv Lipper data, investors accumulated a net $108.17 billion worth of U.S. money market funds, clocking their biggest weekly net purchase since April 2020. They also secured $7.49 billion worth of government bond funds. Meanwhile, U.S. equity funds recorded money withdrawals worth $17.12 billion during the week, the most since Jan. 4.

Investors sold $9.74 billion and $1 billion worth of large-, and mid-cap equity finds, respectively, though small-cap funds attracted just $97 million. Industrials and real estate funds each suffered about $200 million worth of net selling, while investors also pulled $333 million out of healthcare funds. Meanwhile, consumer discretionary funds obtained a net $512 million in inflows.

Meanwhile, U.S. bond funds saw a net $831 million worth of withdrawals after two weeks of net buying in a row. Investors exited U.S. short/intermediate investment-grade, high yield, and loan participation funds worth $4.1 billion, $1.8 billion, and $1.67 billion, while securing U.S. short/intermediate government and treasury funds of $5.46 billion.

 

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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