(Reuters) – Global equity funds saw a spike in outflows during the week ending May 11. Investors were worried about a slowdown in economic growth and tighter central bank policies to manage stubborn inflation.

According to Refinitiv Lipper, global equity funds were sold for $10.53 billion in the fifth consecutive week. This compares with $1.65 billion of net sales during the week prior.

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

Inflationary pressures and fears of an economic crash caused MSCI’s world share index to plummet to 607.4 last week, a record low for the past 1-1/2 years.

U.S. equity fund net sales were $8.46 Billion, European funds had a disposal of $4.33 Billion, and investors net bought Asian funds valued at $2.23B.

Financials saw a $6.71 billion outflow the following week, compared to $1.73 billion for sector funds. The total outflows from industrials and mining were also approximately $0.7 billion.

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

Global bond funds saw outflows of $13.23 trillion in the sixth consecutive week of net selling.

Inflows to global short-term and medium-term bonds funds reached $8.14 trillion, the largest weekly outflow since June 2020. But, bond funds from government were able to lure a third weekly inflow worth $3.38 billion.

GRAPHIC: Global bond fund flows in the week ended May 11 https://fingfx.thomsonreuters.com/gfx/mkt/movanoxlbpa/Global%20bond%20fund%20flows%20in%20the%20week%20ended%20May%2011.jpg

Investors also pulled $1.73 Billion from money market funds during their second weekly net sale.

The data for commodities funds revealed that the weekly net selling of gold and precious metals rose to $1.54 trillion, a peak reached in two months. This was as gold prices fell below their 200-day moving mean.

Analysing 24,155 emerging market fund funds revealed that investors had sold bond funds worth $2.65 billion and equity funds valued at $2.49 trillion, marking the fifth consecutive week in which both sectors have seen outflows.

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