Jan 8, 2020

Investors returned to emerging markets in December

Illustration: Eniola Odetunde/Axios

Foreign investors flocked back to emerging markets in December, data from the Institute of International Finance shows.

What happened: IIF estimates EM stocks and bonds drew $30.7 billion from foreigners in December, a significant increase from the $19.9 billion in November, and the continuation of a recovery from EM's summer slump.

  • The primary driver was monetary easing by major EM central banks and the "phase one" U.S.-China trade deal, IIF economists Jonathan Fortun and Benjamin Hilgenstock write in the report.

The big picture: For the full year, emerging markets attracted inflows of more than $310 billion, well above the $194 billion of inflows seen in 2018.

Go deeper: Why it was so hard for investors to lose money in 2019

Go deeper

Money market funds see largest inflows in history for second straight week

Data: Investment Company Institute; Chart: Andrew Witherspoon/Axios

Thursday's stock market jubilation came in stark contrast to the general malaise that has gripped investors for much of this month.

Driving the news: Money market funds, which are effectively savings accounts, saw their two largest weeks of inflows in history, as investors flooded into the safety of cash, data from the Investment Company Institute shows.

Last week's record stock and bond fund outflows trounced 2008

Illustration: Lazaro Gamio/Axios

Investors pulled $153 billion out of mutual funds and ETFs for the week ending March 18, the largest outflows ever, data from the Investment Company Institute showed.

The state of play: The outflows were more than eight times higher than the previous week when investors pulled $19 billion from mutual funds and ETFs that included bond, equity, hybrid and commodity funds.

Global entertainment market topped $100 billion for first time in 2019

Illustration: Sarah Grillo/Axios

The global entertainment market, which includes box office and in-home entertainment (streaming) revenues, topped $100 billion last year — a first for the industry, according to a new report released Tuesday by the Motion Picture Association of America.

Why it matters: It's looking unlikely that 2019's bombshell success will carry over into 2020, given the unprecedented stress that Hollywood is facing due to the global coronavirus outbreak.