Flight to safety: Traders load up on cash, gold, dump equities

LONDON (Reuters) – Traders fled for safety over the previous week, flocking to cash, gold and funding-grade bonds, BofA’s fund drift statistics confirmed on Friday, as america awaited for Congress to approve more stimulus amid a rising COVID-19 caseload

The trepidation over the fate of the stimulus equipment saw $7.4 billion move equity funds in the week to Wednesday, the tips confirmed. Promising fund flows into European equities over the previous month additionally faltered with $1 billion flowing out.

U.S. equity funds witnessed the splendid outflows in six weeks, shedding $6.5 billion, the tips confirmed.

Gold, which pierced by $2,000 to achieve sage highs this week, attracted $2.7 billion. Funding-grade bond funds meanwhile pulled in $14.7 billion as traders followed central banks, which continue to load up on bonds.

Central monetary institution asset purchases now traipse at a tempo of $2 billion per hour, BofA stated.

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