Investors continued to chase U. S. stocks, putting $6 billion into the largest exchange-traded fund (ETF) that tracks the S & P 500 on Monday.
It was the biggest investor investment in the ETF trust fund for the SPDR S & P 500 index (symbol SPY) since the US presidential election, when the market was uncertain and the stock market was near record highs.
"SPY tends to be used more by institutional investors and attracts interest because of its strong liquidity in uncertain times," said Todd Rosenbluth, head of ETF and mutual funds at CFRA Research. "due to the volatile situation in Afghanistan and signs of volatility in the market yesterday, SPY has become the tool of choice."
Although the S & P 500 has hit record highs and August is expected to be one of the quietest months on record, there is still a degree of anxiety in the market. In addition to geopolitical concerns such as the Taliban's seizure of control of Kabul, mixed economic data have heightened concerns about the Delta strain and its impact on the global economic recovery.
Monday's inflows to SPY were the largest in a single day since Nov. 9, 2020, and the seventh consecutive day of inflows, totaling $9.9 billion.