Flows are rotating into Aerospace & Defense Focus while DLN.L weakens

🇪🇺 A clear flow shift is underway as inflows into Aerospace & Defense dominate today’s equity rotation, contrasting sharply with the heavy outflows from DLN.L and SPX.L. The market’s focus is moving toward defense-focused themes, with $AVIO-MI leading the inflow at $662M, while DLN-L exits with a hefty $911M. This signals a pivot away from broad market exposure toward more targeted sector bets. The move is confirmed by the strong bid in Aerospace & Defense and the simultaneous outflow from defensive and infrastructure themes. The next test will be whether this sector-driven flow sustains or quickly reverses. Traders should watch if Aerospace & Defense continues to attract inflows, or if the rotation stalls, risking a quick reversal from this concentrated shift.