CaliToday (09/11/2025): Global stock funds have recorded a colossal $22.37 billion in net inflows for the week ending November 5, marking the largest cash injection since early October. According to new data from LSEG Lipper, investors worldwide are aggressively buying the dip, piling back into equities amid a market correction, fueled by a powerful belief in the artificial intelligence (AI) revolution and large-scale technology deals.
A "Pause in a Long-Term Bull Run"
The massive inflow comes even as the MSCI World Index dipped approximately 1.6% during the week, largely due to short-term profit-taking. However, top investment strategists are framing this volatility as a "healthy pause in a long-term uptrend" rather than a signal to retreat.
"While political uncertainties and investor sentiment shifts can cause market tremors, the underlying fundamentals supporting the rally remain robust," said Mark Haefele, Chief Investment Officer at UBS Global Wealth Management. "This bull market has room to run, especially with transformative trends like AI."
AI and Tech Lead the Charge
The data shows a clear and decisive tilt toward technology, particularly assets related to AI, semiconductors, and automation.
U.S. Equities: American funds were the primary magnet for cash, attracting $12.6 billion, the highest level since the beginning of October.
Global Interest: Asia and Europe also saw strong inflows, pulling in $5.95 billion and $2.41 billion, respectively.
Tech Sector Dominance: The technology sector was the undisputed star, attracting a massive $4.29 billion. This is its largest inflow since 2022, reflecting soaring confidence in the earnings growth of the AI-driven economy.
"Smart Defense": The Flood into Cash and Bonds
The bullish sentiment for equities wasn't the only major trend. The data reveals a sophisticated, two-pronged strategy by investors.
1. Bonds Remain in Favor: Bond funds marked their 29th consecutive week of inflows, adding $10.37 billion. This demand was led by corporate bonds ($3.48 billion) and short-term bonds ($2.36 billion), showing investors are still keen to lock in reliable yields.
2. "Parking" Cash for High Rates: In a move analysts are calling "smart defense," investors also poured a staggering $146.95 billion into money market funds. This 10-month high reflects a strategic decision to leverage high short-term interest rates before the Federal Reserve (Fed) is expected to begin cutting rates next year.
Conversely, gold and precious metal funds saw $554 million in outflows, marking their second straight week of net selling. In a sign of returning confidence, emerging market equity funds recorded a solid $1.61 billion in new cash.
The "America First" Market Restructuring
Analysts are framing this global capital flow as part of a broader market restructuring under the Trump administration. The trend shows investors are shifting capital away from short-term financial speculation and toward real assets and strategic technology.
This new investment wave led by AI, clean energy, and domestic U.S. manufacturing is seen as creating a more sustainable growth cycle, reaffirming the market's confidence in the "America First" economic agenda.