BOSTON (AP) -- The flow of cash into U.S. stock mutual funds picked up last week despite a pullback in stock prices, while investors added money to bond funds at a slower pace.
Investors added a net $1.75 billion into funds investing in U.S. stocks during the weeklong period ended April 17, the Investment Company Institute said in a preliminary report Wednesday. Deposits have exceeded withdrawals for all but three weeks this year amid a stock market rally that has sent the Standard & Poor's 500 up nearly 11 percent. However, the index fell 2.2 percent in the week ended April 17, as investors worried about a slowdown in global economic growth, particularly in China.
This year's positive flow into stock funds marks a turnaround from 2012. Before the period ended Jan. 9, investors pulled cash from U.S. stock funds for 24 consecutive weeks, dating to mid-July.
Investors have also been adding cash this year to funds investing primarily in international stocks, a trend that held up in the latest period. A net $645 million was added, extending the streak of net deposits in that category to 15 weeks. The latest period was down from $1.16 billion during the previous week.
Bond mutual funds have consistently attracted cash in recent years, a trend that extended into 2013. Investors deposited a net $1.51 billion into bond funds during the period ended April 17, down from the $1.71 billion intake during the previous week, according to ICI, a fund industry trade organization.
During the latest week, a net $2.21 billion was deposited into taxable bond funds, which primarily invest in corporate bonds. Investors withdrew a net $698 million from municipal bond funds, which invest in bonds issued by state and local governments.
A net $246 million was withdrawn from hybrid funds, which invest in both stocks and bonds.
Overall, investors deposited a net $3.66 billion into long-term mutual funds of all types during the week. That was down from net deposits of $4.62 billion in the previous week.