LONDON (Reuters) – Investors kept on injecting more cash into fixed income funds, BofA’s latest fund flow statistics showed on Friday, amid a bond rally which pushed 10-year U.S. government bond yields below 1.3%.
Bond funds attracted $18.4 billion in the week to Wednesday, the highest inflow since February, the U.S. investment bank said, citing EPFR data. Flows into cash amounted to $10.5 billion, $6.8 billion went into stocks and $0.1 billion flew out of gold.
The data was collected a day before a major rally in bonds on Thursday which saw the U.S. 10 year benchmark touch a low of 1.25%, a level not seen since February as investors sensed cracks in the economic recovery.
(Reporting by Julien Ponthus; editing by Thyagaraju Adinarayan)
