Goldman Sachs Richard Coppleson notes that foreign investors have pulled the most money from the US bond market in a single month in history. US bond mutual funds and ETFs lost US$30.3bn in just the first three weeks of August with outflows already more than double the US$14.8bn in July. Bonds have seen a total outflow of US$114.1bn since June - obliterating five years' worth of bond coupons in just three months' time, notes Coppleson. One of the biggest points I keep making to clients is that if we are seeing the US recover and Europe is over the worse - we are going to see a massive amount of cash switching out of bonds and into the equity market. He reiterates that the long exodus out of bonds will take years to play out and this is just the tip of the iceberg.