Tech funds see biggest weekly inflows since February

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Tech funds see biggest weekly inflows since February

LONDON Technology equity funds saw their biggest weekly inflows in the week to Wednesday to date, driven by a surge in investor interest in artificial intelligence, according to BofA Global Research.

Tech stocks had $8.5 billion of inflows in the week to Wednesday, the most on record, BoFa said. Inflows of $14.8 billion were the biggest weekly inflow since February, according to the S&P 500 index.

In just three sessions, Nvidia's shares rose 30 per cent, pushing its market valuation to $1 trillion at one point.

Seven stocks - Apple, Microsoft, Google parent Alphabet, Amazon, Nvidia, Meta and Tesla - account for 8.8 per centage points of the S&P 500's 10 per cent year-to-date return, according to BofA calculations.

The market is bored of waiting for rates to cause recession and so is back to biggest companies biggest margins biggest price to earnings multiples, the analysts said in a note, saying that they themselves remain bearish due to higher interest rates.

Cash funds, normally in demand when investors are nervous, also saw inflows of $11.3 billion, their six straight week of inflows, and gold funds had $200 million of outflows, according to BofA.