Massive $9.2 B Inflows Revive U.S. Index Fund Momentum

Fresh optimism returned to U.S. equity mutual funds as total weekly inflows reached $9.2 billion, the strongest since June 2024. The surge was driven by renewed allocations into AI-linked and banking stocks following stable bond yields and easing inflation data. Analysts cited this as a sign of risk appetite returning to passive investments after three consecutive outflow weeks. S&P 500-tracking funds led contributions, while technology sector ETFs captured 35% of the total inflows, suggesting institutional repositioning toward growth-oriented assets ahead of Q4 earnings season.