Japan grabbed $248B in three-month ETF flows leading all regions globally. The buying spree delivered 65% flow imbalance showing strong institutional conviction. Last week alone Japan pulled $9.1B marking 11 consecutive weeks of inflows.
The US held second place at $116B over three months. But the past week told a different story. US ETFs attracted just $11.7B despite holding $45T in total assets. The momentum clearly shifted toward Japanese equities.
China bled $4.2B last week extending a brutal three-month stretch. The world's second largest economy shed $93B in the quarter despite Middle East chaos typically driving haven demand toward emerging markets. Outflow pressure hit 68% imbalance.
Brazil surged with 95% buying pressure pulling $1.3B last week. Latin America grabbed nearly 100% imbalance showing coordinated positioning. Developed Europe dumped $2.4B as regional uncertainty persisted.
Global and Global Ex-US funds showed 81% and 99% buying pressure respectively. Investors rotated into diversified exposure rather than single-country bets.
Industrials dominated with $22B in three-month inflows and $1.6B last week alone. Energy grabbed $16.2B quarterly yet added just $562M last week as oil volatility cooled from earlier spikes. Both sectors held near 70% buying pressure.
Financials collapsed with $8.3B in quarterly outflows accelerating to $2.3B last week. Tech absorbed the largest damage bleeding $8.7B over three months. Last week tech outflows hit $777M despite AI infrastructure hype.
Communication Services reversed the trend. The sector gained $752M last week with 81% buying pressure after losing ground earlier in the quarter.
Equities pulled $578B over three months but just $38B last week. Fixed income grabbed $209B quarterly showing defensive rotation. Commodities attracted $29B in three months yet surged to $7.3B last week alone with 72% buying pressure.
Active strategies crushed passive plays. Active funds grabbed $9.6B last week at 80% buying pressure. Vanilla index products still led at $25.7B weekly but showed weaker 61% imbalance.
Momentum strategies hit 97% buying pressure weekly. ESG funds reversed bleeding $14.2B over three months yet added $1.2B last week. Value strategies dumped $1.4B as growth rotation accelerated.
The data signals clear risk-on positioning toward Japan and industrial exposure with systematic exits from China and financial sector bets.
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.
