• The displacement of $ 3.8 billion from global equity funds, compared to inflows of 10.8 billion bonds


    Global equity funds recorded a $ 3.8 billion outflow last week, while bond funds recorded $ 10.8 billion.
    Commodity funds have added $ 300 million to record fifth-week inflows, according to Bank of America Merrill Lynch.
    European equity funds attracted their largest inflows since February 2018 last week, as investors became less predictable of a global economic downturn.
    "European equity funds, which have entered inflows for the first time in 16 weeks, have attracted a total of $ 300 million in the week to Wednesday," the bank said on the basis of EPFR data.
    The bank's bull and bear index, which measures market sentiment, jumped to 2.6 from 1.9 the previous week, after seven weeks in an area that indicated a strong betting on the downside.
    The index ranges from zero, indicating a large betting on the downside and "buy," to ten, a level indicating a large betting on the rise and "sell".
    Bank of America said it was "optimistic about the outlook" and expects sectors related to the economic cycle, such as high-yielding bonds, oil and copper, South Korean and German stock indices, industries and banks to outperform volatile and defensive sectors such as investment-grade bonds, US dollars, utilities, and investment funds. real estate. "​
    Furthermore, the euro stabilized yesterday, after falling to the lowest level in a week against the dollar in the previous session by the ECB left the door open to ease monetary policy, but it kept interest rates unchanged.
    The US central bank is expected to cut interest rates for the third time in a row this year, but the money markets have largely taken into account a 25bp cut already, according to "Refinitive" data.
    The euro was last trading at $ 1.1109, but near a one-week low of $ 1.1094 hit yesterday.
    On the other hand, the pound sterling suffered losses against the dollar and the euro, yesterday, after Boris Johnson called on the Prime Minister to hold a general election, highlighting the uncertainty surrounding Britain out of the European Union.
    The British currency was trading in the latest decline of 0.2 percent to 1.2835 dollars, after falling about 1.28 percent to its lowest level in a week at 1.2790 dollars yesterday.
    Against the euro, sterling fell 0.2 percent to 86.55 pence.​

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