Feb 17 (Reuters) - U.S. bond funds witnessed their first
weekly net selling in six weeks in the seven days to Feb. 15 as
bond yields climbed on concerns over more Federal Reserve
tightening after data showed resilient inflation.
A report from the Labor Department on Thursday showed
monthly producer prices accelerated in January, while the
producer price index for final demand rebounded 0.7% last month
after decreasing 0.2% in December.
On Tuesday, consumer price index data showed inflation
accelerated in January and was more than expected on an
annualized basis.
Refinitiv Lipper data showed investors withdrew a net $958
million out of U.S. bond funds, marking the first weekly net
selling since Jan. 4.
U.S. taxable bond funds suffered $855 million worth of
outflows compared with $1.89 billion worth of net buying in the
previous week. Investors also sold $311 million worth of
municipal bond funds.
U.S. high yield, general domestic taxable fixed income, and
emerging markets debt funds witnessed outflows worth $3.04
billion, $1.2 billion, and $1.1 billion, respectively;
short/intermediate investment-grade funds received $2.87 billion
in inflows.
Meanwhile, U.S. equity funds booked $3.56 billion worth of
net selling, the biggest weekly outflow in six weeks.
U.S. large and mid-cap equity funds faced $4.01 billion and
$915 million worth of withdrawals, but small-cap funds remained
in demand for a third-straight week, with a net $725 million in
inflows.
Meanwhile, investors secured $6.9 billion worth of money
market funds in their first weekly net buying in three weeks.
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Fund flows: US equities, bonds and money market funds Fund flows: US bond funds Fund flows: US equity sector funds ^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>
(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in
Bengaluru; Editing by Sharon Singleton)
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