Investors Withdraw $15.5 Billion from Global Equity Funds as Oil Prices Soar
Global equity funds face record outflows as oil prices hit $109.97, fueling inflation fears and rate hike concerns.
POLICY WIRE — New York, United States — Global equity funds experienced a major outflow of $15.52 billion during the week ending September 9, marking the largest withdrawal since March 18, as rising oil prices and geopolitical tensions fueled worries about inflation and higher borrowing costs.
Data from LSEG Lipper showed that U.S. equity funds saw net sales of $32.27 billion, the biggest single-week outflow since December 2025. Meanwhile, European and Asian equity funds recorded net inflows of $11.16 billion and $3.03 billion, respectively, highlighting regional divergence in investor sentiment.
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Brent crude reached a four-month peak of $109.97 per barrel on Friday, surpassing the $100 threshold earlier in the week. This spike intensified concerns that inflation would remain elevated, prompting speculation that central banks, including the Federal Reserve, may raise interest rates soon. Sectoral funds, particularly technology and financials, saw net inflows of $1.89 billion and $1.25 billion, respectively, while global bond funds attracted just $8.95 billion, the smallest weekly gain since July 29.
Reporting by Policy-Wire (PW)
