LONDON (Reuters) – The largest outflow in 15 weeks from U.S. equity funds occurred during the same week the S&P 500 hit a new record high, analysts at BOFA have estimated citing financial flow data.
About $7.8 billion was yanked out of the stock market during the week which ended on August 19 BofA said, while $14.5 billion went into bonds, $1.2 billion into gold and $29.7 billion went out of cash.
The S&P 500 closed at a record high this week, rebounding from huge losses triggered by the coronavirus pandemic and crowning one of the most dramatic recoveries in the index’s history.
BofA analysts also said the dollar, which has hit a two-year low on August 18, was now in a ‘bear’ market.
(Julien Ponthus and Marc Jones)