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Investors reduce exposure to US markets in May: broker

TD Ameritrade said its clients' score in the Investor Movement Index dropped to 5.74.

Singaporean investors reduced further their exposure to US markets in May, according to MAS-licensed broker, TD Ameritrade.

In its latest Investor Movement Index (IMX), the broker reported that its Singaporean clients measured 5.74, a drop from its previous score of 6.10 in April.

IMX measures what investors were doing and how they were positioned in the markets.

Despite reducing their exposure in May, Singaporean investors were net buyers of equities overall and particularly favoured Tesla (TSLA) and Amazon (AMZN).

In terms of sectors, TD Ameritrade’s Singaporean clients were net buyers of communication services, consumer discretionary, consumer staples, financials, information technology, materials, and real estate.

Meanwhile, local investors were net sellers of American Airlines (AAL), Delta Airlines (DAL), and United Airlines (UAL) as “inflation continued to cloud the economic picture,” said the broker.

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