
Last week, U.S. fixed income markets attracted the most investor inflows since January, driven by volatility in the tech sector, uncertain interest rates, and Middle East tensions. Investors favored short-duration Treasury ETFs like SGOV and VGSH to reduce risk from rate changes, while also increasing allocations to investment-grade corporate bonds and high-yield bonds. The inflows reflect a cautious yet strategic shift to lock in yields and manage risk ahead of Q2 earnings. Demand also rose for CLOs and long-term Treasury bonds as investors seek yield stability amid market uncertainty.