AI Dip-Buying in Motion: Tech Funds Swing from Record $17.8B Outflows to $8.9B Inflows in One Week

Global equity fund inflows jumped roughly 25% week-over-week to $10.44 billion in the week ending July 1, 2026, driven by dip-buying in technology stocks after a sharp market pullback, easing U.S.-Iran tensions, and renewed confidence in AI-sector earnings momentum.

Investors treated a record tech-sector rout just one week earlier as a buying opportunity, reversing the sharpest reversal of the AI trade in the second quarter of 2026. Asian equity funds led the regional inflows, while U.S. and European funds posted more modest gains.

Key data points for the week ending July 1, 2026

• Global equity funds: Net inflows of $10.44 billion, about a quarter higher than the prior week. Investors took advantage of a market pullback to add technology stocks, betting the sector's earnings momentum remained intact.
• Technology sector funds: Reversed sharply from net sales of $17.83 billion (the prior week, ending June 24) to net inflows of $8.9 billion. By one measure, tech-focused U.S. funds specifically attracted net inflows of $3.42 billion, following net sales of $19.97 billion the prior week.
• Asian equity funds: Posted their highest inflows in seven weeks at $7 billion, driven by Chinese and Indian equity fund demand.

What drove the reversal

Three factors converged to flip the flow picture in a single week:

1. Dip-buying after the June selloff. In the week ending June 24, global equity fund inflows had collapsed 86% to just $7.51 billion, and technology sector funds suffered a record $17.83 billion in net outflows as concerns over debt-funded AI spending and a hawkish Fed sparked a rout. The following week, investors treated that pullback as a buying opportunity.
2. Easing U.S.-Iran tensions. Renewed demand for technology stocks was supported by a de-escalation in geopolitical risk, which lifted overall risk appetite. Caution ahead of a payrolls report capped purchases, but the direction was clearly positive.
3. Resilient AI earnings conviction. Fund flows data shows investors maintained confidence that tech sector earnings momentum — particularly around AI — would survive the selloff. Deutsche Bank strategists noted that positioning in mega-cap growth and technology had fallen to slightly below neutral after the panic, which may have created room for buyers to re-enter.

Comparison to earlier Q2 2026 peaks

The dip-buying in early July was significant but still well below the frothy peaks seen earlier in Q2:

Period	Metric	Amount	Source
Week ending June 3	Global equity fund inflows (3-week high on AI optimism)	$21.44 billion
Week ending June 10	Global technology fund inflows (largest since at least 2017)	$12.3 billion
Week ending June 17	Global equity inflows (before the collapse)	~$55.5 billion (prior week's massive figure)
Week ending June 17	U.S. tech fund inflows (imputed prior peak)	~$21.5 billion (the week before the $17.83B reversal)
Week ending June 24	Tech fund outflows (record reversal)	−$17.83 billion
Week ending July 1

• The early-June peak saw global equity inflows of $21.44 billion, fueled by AI euphoria and strong tech earnings.
• Mid-June brought the largest tech-sector weekly inflow in years at $12.3 billion, while the broadest global equity flow figure hit a staggering $55.5 billion in net buying for the week ending June 17. But by June 24, that same trade reversed violently: U.S. stocks posted their first weekly outflow since March, tech funds bled a record $17.83 billion, and global equity inflows cratered 86% from the mid-June peak.
• The July 1 rebound ($10.44 billion global, $8.9 billion tech) represents a recovery roughly halfway back to the June peaks in tech, and only about one-fifth of the peak global equity flow. It is a textbook dip-buying pattern — investors used the panic exit to reload tech positions at lower prices — but the pace of inflows remains cautious compared to the record $21.5 billion single-week tech inflows seen just two weeks earlier.

Bottom line: The late-June tech rout was the sharpest reversal of the AI trade in Q2 2026. The July 1 dip-buying brought flows back to moderate levels but did not match the euphoric peaks of early-to-mid June, suggesting investors remain watchful despite renewed conviction in AI earnings.