LONDON (Reuters) -Investors continued to plough money into European equities in the week to Wednesday, Bank of America said on Friday, citing data from EPFR, as the region maintained its year-to-date outperformance compared to U.S. equities.
European equities drew $4.1 billion of inflows, BofA said, the largest inflow since February 2022, when Russia invaded Ukraine. In the last four weeks, inflows reached $12 billion, the most since August 2015.
“Year of International,” said BofA strategist Michael Hartnett.
“Long China & EU.”
Equity funds more broadly drew inflows of $22.9 billion, with U.S. equities drawing $8.5 billion of inflows and emerging markets drawing $2.4 billion.
Technology funds drew inflows of $2.6 billion, the first inflow in five weeks.
Technology shares have lagged this year, with the Nasdaq ending Thursday’s session over 10% below its December high, confirming a correction.
The “Magnificent 7” is now the “Lagnificent 7”, BofA’s Hartnett said, referring to the U.S. megacap shares of Apple, Microsoft, Amazon, Alphabet, Meta, Nvidia, and Tesla.
Bond funds saw inflows of $12 billion, but Treasuries saw outflows $1.2 billion, the biggest outflow in 11 weeks.
(Reporting by Samuel Indyk; Editing by Amanda Cooper)
