Real estate funds tumbled 8.33% last week according to Moody’s Investors Service, as investors took cash out of the sector on fears of rising interest rates.

"Last week’s strong jobs report sparked fears of higher interest rates and investors fled the real estate sector," said Moody’s fund analyst Keith Murray.

Overseas, China funds bounced back to the tune of a 3.66% improvement from the previous week. "Chinese technology companies lifted the peer group," Murray said.

The recent spike puts China funds up 8.05% year to date.

On the whole, U.S. equity funds inched up 0.58% in the week ended April 9, according to Moody’s Composite Total Equity Fund Index, a benchmark comprised of the daily returns of 2,691 individual fund portfolios.

Growth funds were bolstered by a resurgent technology sector, tacking on a 1.67% return for aggressive offerings and 1.06% for their moderate counterparts. The two growth segments are now up 6.43% and 2.95%, respectively in 2004. Emerging markets funds rose 1.98%, pushing the peer group up 12.25% for the year.

Tech funds posted a strong 2.26% return last week, lifting the sector to a 4.73% gain for the year. Metal funds took a 2.97% loss for the week, sinking the fund group to a 3.14% loss year to date.

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