Something shifted last week, and the numbers are hard to ignore. US stock funds shed $17.2 billion in net outflows during the week ending July 1, 2026, the biggest single-week exodus from American equities since March, according to EPFR Global data cited by Bank of America strategist Michael Hartnett.
That capital did not disappear. It moved, notably toward Japanese stocks and other international developed markets that have quietly been building momentum while Wall Street commanded the headlines.
What the money is actually doing
Hartnett’s report, drawn from EPFR Global’s tracking of mutual funds and ETFs across tens of trillions in assets, offers one of the cleaner real-time reads on where institutional and retail investors are placing their bets.
This is not a one-week anomaly. Prior BofA research had already flagged a pattern of stronger inflows into international developed markets, including Europe and Japan, compared to US equities over recent months. Last week’s data point is the loudest confirmation yet of that trend.
