Investors Pulling Money From Mutual Funds

Investors Pulling Money From Mutual Funds

Investors pulled more money from US mutual funds last week than they have in any 7-day frame in the past 2.5 years.

Net redemptions reached $28.6-B in the week ended 16 December, according to a statement from the Investment Company Institute, a trade group. It was the biggest weekly outflow since June 2013, ICI data show.

Some of the redemptions might reflect year-end tax-loss selling, which are sales made for tax purposes, ICI’s Senior Economist said in the statement.

Investors withdrew $11.1-B from stock funds, $12-B from bond funds and $5.6-B from funds that buy a mix of stocks and bonds. Municipal bond funds attracted $647-M, the only category that saw money inflows.

Mutual funds have experienced net redemption’s every month since July 2015, according to ICI data. In each of the 1st 6 months of the year, funds gathered money.

Wednesday US Major market indexes finished at: DJIA +185.34 at 17602.61, NAS Comp +44.82 at 5045.93,, S&P 500 +25.32 at 2064.29

Volume: Trade was light with about 820-M/shares exchanged on the NYSE

  • NAS Comp +6.5% YTD
  • S&P 500 +0.3% YTD
  • DJIA -1.2% YTD
  • Russell 2000 -4.1% YTD
Analysis Overall Short Intermediate Long
Neutral (0.14) Neutral (-0.03) Neutral (0.23) Neutral (0.22)
Analysis Overall Short Intermediate Long
Neutral (0.24) Neutral (-0.04) Neutral (0.21) Very Bullish (0.56)
Analysis Overall Short Intermediate Long
Bullish (0.28) Neutral (-0.11) Bullish (0.46) Very Bullish (0.50)
Analysis Overall Short Intermediate Long
Neutral (-0.07) Neutral (-0.08) Neutral (0.06) Neutral (-0.18)

Stay tuned…

HeffX-LTN

Paul Ebeling

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