April 9 (Reuters) - Investments into global bond funds
surged to the highest in nine weeks, as a rally in U.S. bond
yields abated somewhat on investor views that market pricing
based on an earlier-than-expected tightening by the Federal
Reserve was too aggressive.
Global bond funds received $20.85 billion in the week, the
most in nine weeks.
The yield on U.S. 5-year notes, which typically reflects
investor views on interest rate expectations, has fallen over 6
basis points after hitting 14-month highs on Monday.
Global equity funds also obtained inflows of $10.2 billion,
bolstered by strong manufacturing data around the world and a
drop in bond yields.
Technology funds led equity fund inflows in the week, with
net buying worth $1.73 billion, the biggest in three weeks.
Meanwhile, global money market funds saw net purchases of
$47.8 billion in the week, with European money market funds
alone accounting for about $36 billion worth of inflow, as
investors turned cautious due to fresh lockdowns in some parts
Among commodity funds, precious metal funds faced $642
million in outflows, a ninth straight month of outflows.
An analysis of 23,817 emerging-market funds showed bond
funds saw $2.5 billion in inflows, the biggest in eight weeks,
while equity funds attracted $1.6 billion, a 35% drop from the
(Reporting by Gaurav Dogra and Patturaja Murugaboopathy in
Bengaluru; Editing by Emelia Sithole-Matarise)