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U.S. stock funds pull most cash in nearly four months

Staff Writer |
U.S.-based stock funds are staging a comeback, attracting the most cash since February during the latest week, Investment Company Institute data showed.

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The funds brought in $14 billion in cash during the week ended May 31, with the result driven by strong demand for equity exchange-traded funds, according to the trade group.

Stock mutual funds posted $1.5 billion in outflows, while their ETF counterparts gathered $15.5 billion, according to the ICI. Mutual funds are heavily used by retail investors, while ETFs draw a diverse set of clients, including fast-trading hedge funds.

The rebound for stock funds comes after cash seeped out of domestic equity funds for four straight weeks even as markets have trended higher since the U.S. presidential election last year.

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