JPMorgan Chase: Outflow of funds from US junk bond funds hits an 11-month high

Credit analysts at J.P. Morgan Chase & Co. predict that U.S. high-yield bond funds will see their largest outflow of funds since the market turmoil related to tariffs in April of last year, as the Iran conflict and its consequences lead to widening credit spreads. According to the bank's estimates based on daily fund flows, high-yield bond funds in the U.S. are expected to see $3.7 billion flowing out in the week ending March 18. If this estimate holds true, it would be the largest outflow since the week ending April 9 last year, and would extend the outflow to six consecutive weeks, matching the consecutive weeks of outflows ending January 15, 2025. LSEG Lipper's weekly data will be released later on Thursday.