Investors are demonstrating confidence in the world's biggesteconomy by pouring cash back into risky assets and out ofgovernment securities as the Federal Reserve slows stimulus.

Yesterday BlackRock Inc.'s $13.7 billion exchange-traded fund(ETF) that focuses on junk bonds reported its biggest daily depositsince October, helping boost the total volume flowing into thebiggest high-yield debt ETFs by $2 billion in the past month,according to data compiled by Bloomberg. Investors funneled $1.9billion yesterday into U.S. stocks, which have recovered from a 3.5percent loss in January.

Even as tensions build between the West and Russia over Ukraine,ETF buyers are chasing equity returns and bigger yields on thebonds of the most-indebted U.S. companies rather than seekingrefuge in higher-rated notes. They're also disregarding divergingsignals on the strength of the nation's economy as the Fed curtailsmonthly bond purchases that have bolstered the market.