BofA Global Research said on Friday that technology equities funds saw their biggest weekly inflows ever in the week to Wednesday, spurred by investor interest in artificial intelligence.
BoFa said EPFR data showed a record of $8.5 billion in tech stock inflows in the week to Wednesday. The greatest weekly stock inflow since February was $14.8 billion.
In three sessions, Nvidia (NVDA.O) rose 30%, pushing its market worth past $1 trillion.
BofA calculates that Apple (AAPL.O), Microsoft (MSFT.O), Google parent Alphabet (GOOGL.O), Amazon (AMZN.O), Nvidia, Meta (META.O), and Tesla (TSLA.O) account for 8.8% of the S&P 500’s (.SPX) 10% year-to-date performance.
“The market (is) bored of waiting for rates to cause recession” and thus is “back to biggest companies = biggest margins = biggest (price to earnings multiples),” the analysts wrote, adding that they remain negative owing to increased interest rates.
Cash funds, popular with worried investors, received $11.3 billion in inflows for the sixth straight week, while gold funds lost $200 million, according to BofA.
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