US Stocks See Substantial Outflows Before Fed Meeting

In the lead-up to the Federal Reserve's policy meeting, US stocks experienced significant outflows despite the S&P 500 Index reaching fresh all-time highs. According to Bank of America Corp., US equity funds saw redemptions of approximately $22 billion, marking the largest outflows since December 2022, as cited by EPFR Global data. This occurred alongside a 1.2% advance in the S&P 500 over the same period, with market momentum increasing following indications that the Fed was likely to implement three rate cuts this year.