Investors bail out of U.S. stock and bond mutual funds for the fourth straight week. Jeanne Yurman reports.
Investors withdrew $6.6 billion from U.S. stock and taxable-bond mutual funds in the week ending December 2nd. This according to Lipper, investment data firm and subsidiary of Reuters. It was the fourth straight week those investments have seen net outflows. A number of variables are making for cautious investors, says Lipper's Tom Roseen: (SOUNDBITE) TOM ROSEEN, HEAD OF RESEARCH SERVICES, LIPPER (ENGLISH) SAYING: "They are expecting an interest increase, but they don't know how it is going to work, and they're also expecting some loosening of monetary policy as well by the ECB. And then, lastly, they heard discouraging news from China as far as their GDP growth is going. So, investors are just a little bit concerned ahead of all this happening." Those concerns also prompted a flight-to-quality move into money-market funds. Lipper said they attracted $17.8 billion during the week, marking the second consecutive week of inflows for the low-risk investments.