The latest withdrawals mark a sharp reversal from the average inflows of $20 billion seen over the past 12 quarters. The shift suggests growing discomfort with the long-term fiscal trajectory of the United States
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Investors are rapidly exiting long-term US bond funds at the fastest pace since the Covid-19 pandemic, as concerns mount over America’s swelling debt and inflation outlook.
Net outflows from long-duration funds, which include government and corporate bonds, have reached nearly $11 billion so far in the second quarter, according to calculations based on EPFR data.
The latest withdrawals mark a sharp reversal from the average inflows of $20 billion seen over the past 12 quarters. Fund flow data, while only a snapshot of the broader US bond market, serves as a key indicator of investor sentiment, and the shift suggests growing discomfort with the long-term fiscal trajectory of the United States, according to a report…
