(Reuters) -Global equity funds attracted net inflows for the first time in four weeks in the week through June 11, driven by a benign U.S. inflation report and developments on a U.S.-China trade deal, though simmering Middle East tension tempered investor interest.

Investors acquired a net $3.19 billion worth of global equity funds during the week, snapping a three-week-long string of selling, data from LSEG Lipper showed.

European equity funds attracted a net $3.66 billion worth of investments, the largest for a week in three.

U.S. equity fund outflows eased to a four-week low of $212 million while investors withdrew about $605 million from Asian funds.

The MSCI World index, however, slipped from record highs on Friday as conflict escalated in the Middle East after Israel launched a military strike on Iran.

Equity sectoral funds were popular for a third consecutive week as investors added a net $586 million to these funds.

The industrial sector drew $1.1 billion, communication services attracted $513 million while healthcare sector funds lost a net $676 million in outflows.

Global bond funds witnessed net purchases for an eighth successive week, totaling $20.15 billion on a net basis.

Euro-denominated bond funds saw robust inflows of $7.83 billion, the largest weekly figure since October 2020. Global short-term and high-yield bond funds also attracted $3.79 billion and $2.13 billion, respectively.

Money market funds saw a net $4.39 billion worth of sales, following a hefty $109.45 billion worth of inflows the week before.

Gold and precious metals commodity funds stayed in demand for the third week in a row, with a net $1.04 billion worth of purchases during the week.

Emerging market bond funds gained about $1.87 billion in a seventh successive weekly inflow, while equity funds saw net buying of $889 million, data for a combined 29,674 funds showed.