U.S. equity funds suffered their biggest performance decline since September 2002, falling 4.02% in the week ended Thursday, according to a research report from Lipper.

Science and technology stocks sunk 6.82%, but few fared better. More than 99% of stock funds dropped for the week, though Lipper called the heavy selling a momentum-induced phenomena rather than investors’ shifting their values and strategies.

The research company addressed the abysmal employment report, saying that it agrees with the Federal Reserve that even amid an upswing in the economy, jobs will continue to trail the numbers.

Some good news from the Lipper report: Japanese and gold-oriented funds looked "promising."

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.