Flows are rotating into Cross-Sector Defensive Cohort while Cross-Sector Defensive Cohort weakens

🇪🇺 A sharp flow reversal is underway as equities see a net outflow of 5 clusters today, signaling a tentative shift away from defensive positioning. The largest outflow from the Cross-Sector Defensive Cohort, led by $SHB-A-ST with -$56.57B, dwarfs the inflows into the same theme driven by TLX-DE at +$28.62B, suggesting a potential rotation out of defensives into more cyclical or growth-oriented assets. This divergence underscores a cautious tone; despite some pockets of buying, the dominant flow is toward the defensive theme being liquidated, with large outflows from RED-MC and VOLV-B-ST. The key next step is to watch whether inflows into TLX-DE can sustain and confirm a broader shift or if the defensive outflows resume, keeping the market in a cautious stance.