Global Navigator: Rotating towards the US in mid-June

A week that saw the first meeting of the US Federal Reserve under Kevin Warsh, a record-setting IPO for Elon Musk’s Space X and the drafting of a memorandum of understanding between the US and Iran saw investors pour money into US-mandated asset classes. Combined flows into US Equity, Bond and Money Market Funds exceeded $170 billion, with US Equity Funds setting a new record. Investors have now committed over $5 trillion to these three groups since the beginning of 2023.

With the shadow of war over the Strait of Hormuz lifting – though not completely banished – the focus continued to shift back to the artificial intelligence (AI) story that has driven global markets for much of the past three years. Technology Sector Funds posted a new inflow record for the second week running, as did dedicated Semiconductor Funds, and Data & Infrastructure Funds tallied their 23rd inflow of the year so far.

Want to read more about fund flows and asset allocation? Get our EPFR Global Navigator delivered to your inbox.