BofA: Investors Rushing to Cash at The Fastest Pace Since April 2020

Inflows data from Bank of America showed that investors pumped $45.6 billion into monetary funds in the week ending March 24, in the largest inflows since April 2020, and intensified their exposure to US financial instruments shielded from inflation.

Bank of America said that inflation-protected securities funds saw inflows of $1.8 billion, their third-largest ever.

The US central bank pledged to keep interest rates near zero for years to come, which investors fear could spur higher inflation given the strength of the economic recovery.

Bank of America also mentioned that the emerging market debt market recorded the largest inflows in six weeks, at $1.4 billion, and that Japanese stocks received $2.7 billion in inflows, the largest in 21 weeks.