Global Equity Funds Draw Eleventh Straight Week of Inflows

Global equity funds recorded their eleventh consecutive week of inflows as investors' appetite for risk assets increased due to optimism about strong earnings and cooling crude oil prices. According to LSEG Lipper data, investors poured a net $21.15 billion into global equity funds for the week ended August 5.

The surge in investor confidence is attributed to robust earnings reports from prominent companies such as Amazon, Caterpillar, and Palantir Technologies. Amazon's cloud growth reached its strongest level in over four years, while Caterpillar, a bellwether for the global industrial economy, posted strong results. The combined profits of 808 MSCI World constituent companies that have reported so far rose by 40.9% from the previous year, with about 75% beating analysts' forecasts.

European equity funds attracted $12.52 billion, the largest weekly inflow since July 8, while Asian funds recorded $8.15 billion in inflows. In contrast, U.S. funds saw a decline of $1.58 billion due to net outflows.