Advertisement
Canada markets closed
  • S&P/TSX

    24,690.48
    +129.28 (+0.53%)
     
  • S&P 500

    5,841.47
    -1.00 (-0.02%)
     
  • DOW

    43,239.05
    +161.35 (+0.37%)
     
  • CAD/USD

    0.7247
    -0.0026 (-0.35%)
     
  • CRUDE OIL

    70.76
    +0.37 (+0.53%)
     
  • Bitcoin CAD

    92,321.70
    -1,183.48 (-1.27%)
     
  • XRP CAD

    0.75
    -0.01 (-1.34%)
     
  • GOLD FUTURES

    2,707.30
    +16.00 (+0.59%)
     
  • RUSSELL 2000

    2,279.93
    -6.75 (-0.30%)
     
  • 10-Yr Bond

    4.0960
    +0.0800 (+1.99%)
     
  • NASDAQ

    18,373.61
    +6.53 (+0.04%)
     
  • VOLATILITY

    19.12
    -0.46 (-2.36%)
     
  • FTSE

    8,385.13
    +56.06 (+0.67%)
     
  • NIKKEI 225

    38,911.19
    -269.11 (-0.69%)
     
  • CAD/EUR

    0.6690
    -0.0001 (-0.01%)
     

Global equity funds draw fifth weekly inflow on earnings hopes

FILE PHOTO: Traders work on the floor of the NYSE in New York

(Reuters) - Global equity funds witnessed fresh investments in the week through July 24 despite a selloff in leading technology stocks as investors remained optimistic about a still-strong second-quarter earnings season, and potential Fed rate cuts.

According to LSEG data, investors snapped up global equity funds of a net $11.29 billion during the week, after about $26.15 billion worth of net purchases in the prior week.

Amid a slew of corporate earnings, second-quarter results for most U.S. firms including Coca-Cola, Spotify Technology and AT&T beat market estimates, although, megacap tech names - Tesla and Alphabet - reported lacklustre earnings.

Of the 201 S&P 500 companies that have reported earnings so far, 79% beat consensus net income estimates, LSEG data showed.

The MSCI's global stock index has still dropped about 1.7% so far this week amid a slump in global tech stocks.

By region, U.S. equity funds drew $5.7 billion following $21.7 billion worth of net purchases in the previous week. Asian and European funds also saw $4.09 billion and $1.09 billion worth of inflows during the week.

Sectoral funds, however, witnessed $1.58 billion worth of outflows, with the technology sector experiencing $406 million worth of net selling. The financial sector still gained a net $818 million in inflows.

Global bond funds, meanwhile, received about $13.35 billion as investors extended net purchases into a 31st successive week.

By segment, corporate bond funds led the way as investors poured about $2.75 billion, marking an eighth weekly net purchase in a row. Loan participation, and government bond funds also gained $741 million and $338 million worth of inflows.

Investors, however, ditched money market funds of a net $52.48 billion, halting a three-weeks buying trend.

Among commodities, precious metals funds saw $932 million worth of net buying after about $1.03 billion worth of net purchases a week ago. Energy funds also had $42 million worth of inflows.

Data covering 29,558 emerging market funds showed bond funds drew a marginal $50 million in inflows after suffering $801 million worth of outflows in the previous week. Equity funds, meanwhile, saw $748 million worth of net selling.

(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in Bengaluru; Editing by Maju Samuel)