US equity funds draw inflows for second week as tech concerns ease

US equity funds drew inflows for a second straight week in the seven days to November 11 as CoreWeave’s upbeat outlook helped ease concerns about debt-fueled spending in the technology sector, according to a Reuters report.

Investors poured a net $6.6 billion into US equity funds during the week, although inflows were about 56% lower than the $14.97 billion recorded a week earlier, according to LSEG Lipper data.

CoreWeave said that it expects to achieve adjusted profitability in the first half of 2028, supported by strong demand and customer commitments. The AI infrastructure company had been at the center of concerns about a potential bubble because of the heavy borrowing used to finance its data-centre expansion.


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Large-cap funds led equity inflows, attracting a net $11.64 billion — the highest amount in four weeks. In contrast, mid-cap and small-cap funds recorded withdrawals of $2.44 billion and $1.02 billion, respectively.

Sector funds suffered net outflows of $2.49 billion, their largest weekly withdrawals in four weeks. Industrial funds lost $984 million, while communication-services and utility funds saw outflows of $811 million and $802 million, respectively.

Demand for US bond funds weakened to a three-week low, with investors adding a net $573 million during the week.

General domestic taxable fixed-income funds attracted $2.13 billion, marking an eighth consecutive week of inflows. Meanwhile, short- to intermediate-term investment-grade funds lost $950 million, and longer-duration government and Treasury funds recorded $949 million in outflows.

Money-market funds posted net withdrawals of $38.49 billion, reversing the previous week’s $118.62 billion inflow.

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(Disclaimer: This article is based on inputs from agencies. These do not represent the views of The Economic Times)