Money market funds see largest redemptions since Dec 2019 - BofA
LONDON (Reuters) - Money market funds saw their largest redemptions since December 2019 in the week to Wednesday, BofA said in a report on Friday, while $7.1 billion was pulled out of equity funds.
BofA said its 'Bull & Bear' indicator was no longer in "buy" territory for the first time since March 17.
Investors also pumped $15.3 billion into bond funds and $2 billion into gold, the report showed.
BofA noted, however, that a current contrarian trade is to buy into emerging market assets and commodities to take advantage of a weaker dollar.
In the week to Wednesday, emerging market equity funds had lost $3.1 billion in their 20th straight week of outflows while developing debt vehicles had lost $1.9 billion.
This brings the total tally of outflows in 2020 for emerging market assets to $91 billion after investors rushed to safe havens as the coronavirus pandemic disrupted financial markets.
The Institute of International Finance reported on Wednesday that portfolio inflows to emerging markets had jumped to $32.1 billion in June from $3.5 billion in May, the bulk of it in debt securities.
(Reporting by Julien Ponthus; editing by Simon Jessop and Kim Coghill)
