Institutional clients have been selling U.S. stocks for the fourth consecutive week, while hedge funds and retail investors have become net buyers.

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Mars Finance News, July 2 — The latest data from Bank of America shows that institutional clients have been selling off U.S. stocks for the fourth consecutive week, with inflows into the tech sector hitting an all-time low. Individual stocks saw $9.9 billion in outflows, the fourth largest since 2008. Unlike the continued reduction by institutional clients, hedge funds were net buyers during this period. Retail clients also reversed their previous trend, becoming net buyers for the first time in six weeks, indicating a divergence among different types of investors in the current market environment. In terms of corporate activity, Bank of America data shows that corporate client buyback activity slowed for the fifth consecutive week, falling to its lowest level since February this year. The continued weakening of buyback activity echoes the overall cautious sentiment of institutional clients reducing their holdings in tech and financial stocks.
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