Other funds that saw inflows include the iShares Russell 2000 Index (NYSEArca: IWM), indicating the risk-on mood that investors are in. About $1.3 billion in inflows was into IWM. The WisdomTree Japan Hedged Equity Index (NYSEArca: DXJ) also saw inflows of $1.2 billion for the month. [Japanese Yen ETFs and the Carry Trade]
“While pundits have been eager to claim the start of a great rotation into U.S. stocks and out of bonds, the data do not fully support that view. Flows into equities have been strong, but there has not been a rotation out of bonds, at least not on average. In addition, it is emerging markets leading the charge, rather than U.S. stocks,” Rawson wrote.
Tisha Guerrero contributed to this article.
Full disclosure: Tom Lydon’s clients own EEM and IWM.
