Money flowing out of stock exchange traded funds suggests some investors are scaling back risk as the market flounders in early summer.

A closer look at ETF flows “makes more evident that the risk-off trade remains in place,” Deutsche Bank analysts said in a note.

“The market couldn’t take it anymore. As more and more disappointing and softer-than-expected U.S. economic data flooded the markets, investors factored in the new environment and pushed the equity markets down the hill,” they wrote.

The S&P 500 lost more than 2% last week and has fallen the past six days.

Subscribe to our free daily newsletters!
Please enter your email address to subscribe to ETF Trends' newsletters featuring latest news and educational events.