Global Equity Funds See $44.1 Billion Weekly Inflow

Global equity funds experienced a net inflow of $44.1 billion in the week ending September 25, marking the largest weekly purchase since July 8 and ending a two-week selling streak. LSEG Lipper tracked the surge, which was primarily driven by renewed investor optimism regarding artificial intelligence and record semiconductor exports from South Korea.

US equity funds led the global trend with $37.6 billion in inflows, while technology-sector funds specifically attracted $5.29 billion. This demand was bolstered by the high consumer adoption of Meta Platforms Incorporated's Muse agent, which topped US app download rankings. Strategists at Goldman Sachs Private Wealth Management stated that AI investment drove nearly half of S&P 500 earnings-per-share growth this year.

The equity resurgence occurred despite a selloff in government debt that pushed the 30-year US Treasury yield to a 22-year high of 5.5016%, a move linked to expected tightening by the Federal Reserve System. While global bond funds recorded net weekly inflows of $9.68 billion, investors continued to withdraw funds from money market accounts.