Flows are rotating into Utilities & Communications Cohort while Cross-Sector Defensive Cohort weakens

🇪🇺 The market is seeing a sharp flow reversal with defensive themes emerging as the dominant movers, signaling caution on risk appetite. Outflows from Cross-Sector Defensive cohorts hit over $71 billion, led by $SHB-A-ST, while inflows into Utilities & Communications surged past $47 billion, driven by NTGY-MC. This shift indicates traders are reallocating away from broad defensives toward more stable, utility-driven positions. The confirmation comes as the largest inflow cluster, Utilities & Communications, is led by NTGY-MC, which posted a $47.59 billion bid. Meanwhile, the biggest outflow from the Cross-Sector Defensive theme confirms traders are actively shedding risk across sectors. Next, watch whether this defensive bid sustains or if inflows revert back to more cyclical sectors, which could signal a broader risk-on shift.