(Reuters] – The big outflows of global bond funds in the week ended March 9th were caused by a surge in prices and worries over rising inflation, as well as intensifying tensions between Russia Russia.

For the ninth consecutive week, global bond funds were offloaded by investors. The amount was $15.75 Billion, 32% lower than last week.

Graphic: Fund flows: Global equities bonds and money market: https://fingfx.thomsonreuters.com/gfx/mkt/gdpzybgdevw/Fund%20flows-%20Global%20equities%20bonds%20and%20money%20market.jpg

As U.S. President Joe Biden announced a ban on Russian oil imports and a ban on Russian crude oil on Tuesday, prices rose to an all-time high of 14 years. This raised concerns about rising crude prices.

Crude prices declined later in week as the United Arab Emirates made a pledge to improve oil supply. However, it was clear that the European Union will not be joining the United States of America and Britain when they ban Russian oil. [O/R]

Net selling by European bond funds was $8.2 Billion, while U.S. and Asian funds saw outflows respectively of $7.85 billion & $0.35 Billion.

Outflows from global high-yield and short- and long-term bond funds were $5.07 billion, and $4.44 billion, respectively.

However, $1.29 trillion was received by government bonds, and $1.94 billion went to inflation-linked assets. That’s a nearly twofold increase in purchase volume over the week before.

Graphic: Global bond fund flows in the week ended March 9: https://fingfx.thomsonreuters.com/gfx/mkt/akpezxlmkvr/Global%20bond%20fund%20flows%20in%20the%20week%20ended%20March%209.jpg

Investors have sold off global equity funds valued at $9.22 Billion in the past week. Outflows, however, were 18% less than previous weeks, Refinitiv Lipper data indicated.

For the second consecutive week, financial sector funds were subject to net sales of more than $3 billion. But, inflows to mining and energy sector equity fund funds were $1.1 billion and $0.88 respectively.

Graphic: Fund flows: Global equity sector funds: https://fingfx.thomsonreuters.com/gfx/mkt/jnpweboxopw/Fund%20flows-%20Global%20equity%20sector%20%20funds.jpg

Inflows to global money market funds totalling $3.06 trillion were received, underscoring the investor caution.

Commodity funds saw a spike in demand as precious metal funds obtained $1.67 Billion net buying. Energy funds only received $1.3 Million.

Analysis of 24111 emerging market funds indicated that equity funds were experiencing outflows in excess of $2.49 Billion, while bonds funds suffered net selling over the course of a five-week period, totalling $1.03 Billion.

Graphic: Fund flows: EM equities and bonds: https://fingfx.thomsonreuters.com/gfx/mkt/zgvomzdkxvd/Fund%20flows-%20EM%20equities%20and%20bonds.jpg