The biggest money flow story this week is a sharp reversal in China. Over 3 months, China ETFs bled $17.9B. This week alone, they pulled in $24.8B net — a flow_imbalance of 81, signalling strong buying pressure. That is one of the most dramatic short-term reversals in the data.
The U.S. remains the dominant destination. It drew $33.3B net in the past week. China grabbed $24.8B — flipping from a $17.9B net outflow over 3 months. South Korea added $6.3B and Taiwan $4.3B. Both carry high flow imbalances above 79, showing near-one-sided buying.
Japan tells the opposite story. It was the second-largest geography by 3-month inflows, pulling in $159.5B net. This week it slipped to a $2.8B net outflow. That is a notable reversal. Europe continues to underperform. Germany posted outflows over both periods. Developed Europe was negative over 3 months at -$3.5B, though it edged positive this week.
Financials led all sectors this week with $2.3B net inflow. Health Care added $435M. Every other sector was either flat or in outflow. Energy dropped $945M net this week. Industrials lost $739M.
Over 3 months, the story is almost the reverse. Technology dominated with $177.9B net over 3 months — dwarfing every other sector. Real Estate and Industrials each added over $5.7B. Energy was the biggest 3-month loser at -$4.8B. The sharp weekly underperformance in Industrials and the switch to Financials suggests rotation is underway at the sector level.
Equities remain the clear favourite. They took in $78.4B net this week. Fixed Income added $26.5B — a healthy secondary bid. Over 3 months, Fixed Income drew $215.9B, showing consistent demand. Commodities flipped negative over 3 months at -$30.3B, despite a small +$1.6B this week. Currency ETFs are also net negative over 3 months, losing $5.9B.
On strategy, passive Vanilla funds dominated both timeframes. This week they added $69.5B net. Active funds took in $7.1B — their 3-month total of $230.7B shows a sustained institutional shift toward active management. Growth strategies pulled in $3.5B this week and a massive $324B over 3 months. Dividends are a clear divergence: positive $884M this week but deeply negative at -$17B over 3 months. ESG also reversed — positive $7.9B over 3 months but marginally in outflow this week.
The overall tone is risk-on. Equities lead, growth beats value, and the China reversal suggests fresh appetite for emerging-market exposure even as Japan cools.
ORTEX Market Intelligence content is generated by AI from a snapshot of ORTEX's proprietary data. Content is informational only and does not constitute investment advice.
