Global Equity Funds Draw $34.76B Amid AI Demand

Investor demand for stocks remained strong in the week through September 30, with U.S. equity funds drawing $20.6 billion and global equity funds attracting $34.76 billion, although both totals were lower than the previous week. Optimism about artificial intelligence spending, including strong expected demand for AI memory chips and major cloud providers’ investment plans, helped support equities despite sharply rising Treasury yields. Softer-than-expected U.S. inflation also eased pressure for another Federal Reserve rate increase in October. U.S. large-cap funds led inflows, while technology funds saw substantial outflows; U.S. bond funds gained $6.45 billion, and money-market funds lost $41.36 billion. Separately, the J.P. Morgan Nasdaq Equity Premium Income ETF reported a $755.86 million five-day net inflow, alongside a weekly gain, amid optimism about major technology holdings including Nvidia, Apple and Microsoft.