U.S. equity funds attracted inflows for the first time in three weeks in the seven days to February 19, buoyed by easing inflation concerns and strong fourth-quarter corporate earnings that boosted risk appetite.

Investors bought a net $1.59 billion worth of U.S. equity funds during the week, registering only their second weekly net purchase in seven weeks according to data from LSEG Lipper.

The S&P 500 index hit a record high of 6147.45 on Wednesday, fueled by an improving corporate earnings outlook and strong results from most of its constituents.

About 76% of S&P 500 companies have posted better-than-expected fourth-quarter earnings results, LSEG data for approximately 85% of companies showed.

U.S. multi-cap equity funds drew a net $1.66 billion in purchases, the biggest weekly inflow since November 20. Large-cap funds also attracted a net $877 million but small- and mid-cap funds saw $1.62 billion and $718 million worth of net outflows, respectively.

Sectoral funds suffered outflows for a second successive week with investors divesting consumer discretionary and healthcare funds worth a net $792 million and $593 million, respectively.

Bond funds remained popular for a seventh consecutive week with investors pumping in a net $8.62 billion.

General domestic taxable fixed income funds saw $2.14 billion worth of net purchases, the seventh weekly inflow in a row.

Investors also snapped up short-to-intermediate government and treasury funds, short-to-intermediate investment-grade funds, and loan participation funds worth a net $1.77 billion, $1.68 billion and $1.6 billion, respectively.

U.S. money market funds saw a net $14.11 billion worth of sales, the third weekly outflow in four weeks.