Global equity funds see lowest inflow in five weeks

Global equity funds received their lowest inflow in five weeks in the week ended November 17, hit by soaring inflation levels and fears of an economic slowdown.

Net purchases in global equity funds slipped to $5.15 billion, the lowest amount since the week ended Oct. 13, Refinitiv Lipper data showed.

Expectations of a US interest rate hike as early as mid-2022 got a boost last week after data showed US consumer price inflation hit its highest level in 31 years in October.

In addition, China's October factory gate prices rose at the fastest pace since 1995, while British inflation has hit a 10-year high. US and Asian equities funds faced outflows of $1.98 billion and $0.35 billion, respectively.

Meanwhile, European equities funds lured a net $5.42 billion in inflows after European Central Bank President Christine Lagarde pushed back against widespread rate hike expectations in the market.