In the week ended July 6, there were net outflows of $272 million for muni bond funds that report their flows weekly, according to Lipper FMI. The previous week investors deposited $163 million into muni funds.
The outflows are familiar territory for the industry. For 29 weeks between mid-November and early June, money had been pouring out of municipal bond funds, often at rates of more than $1 billion a week. Investors in weekly reporting funds yanked more than $4 billion in the week of Jan. 19, Lipper reported.
Assets for funds that report their flows weekly dipped slightly this week to $318.3 billion from $318.5 billion the previous week. But the value of the holdings for weekly reporting funds rose $126 million. The previous week, they reported a drop of $470 million.
The four-week moving average for all municipal bond mutual funds that report their flows weekly saw a $36 million outflow compared to a $101 million inflow the week before.
High-yield muni funds saw outflows for only the second time in nine weeks. Funds that report weekly saw a slightly slower outflow of $27 million, Lipper reported. The previous week, high-yield funds reported inflows of $92 million.
In addition, assets for high-yield funds that report their flows weekly ticked up to $39.72 billion from $39.68 billion the previous week. The value of the holdings for weekly reporting funds increased by almost $70 million. Last week, they dropped the first time in 12 weeks by $4 million.
The four-week moving average for all high-yield muni bond funds that report their flows weekly rose to a $51.2 million inflow from a $78 million inflow the week before.