US leveraged loan funds have recorded $3.5 billion of net inflows since the start of May, marking ten consecutive weeks of capital inflows. The trend follows a sharp outflow period in February and March, when weekly withdrawals reached as low as $1.6 billion. Renewed demand is driven by easing concerns over Iran tensions and expectations of higher interest rates, which make leveraged loans more attractive. At the same time, investment‑grade corporate bond funds have logged 13 straight weeks of inflows, adding $39 billion in May alone, indicating a broader return of confidence to credit markets.