UPDATE 1-U.S.-based stock funds net cash after four-week drought -Lipper

(Adds details on mutual funds and ETFs, investor quote, table, byline) NEW YORK, June 1 (Reuters) - Investors in U.S.-based exchange-traded funds charged into stocks during the latest week, Lipper data showed on Thursday, halting a four-week period of reticence, as equities set record highs. U.S.-based stock ETFs swelled with $10.1 billion in new cash during the week ended May 31, offsetting $915 million in withdrawals from their mutual fund counterparts, which are more heavily used by long-term-oriented retail investors. That pushed overall stock fund inflows, at $9.2 billion, to their highest point since February and the first net positive week since a sharp rally toward the end of April, according to Lipper. Markets have managed to continue to trend higher since then, with only scarce episodes of volatility, as solid global earnings and economic growth have persisted. Opportunistic buyers have also blunted any huge sell-offs in equities against the backdrop of diminishing political risk in Europe after the victory of centrist French president, Emmanuel Macron. Each of the major U.S. indexes - The Dow Jones Industrial Average, S&P 500 and the Nasdaq Composite - closed at all-time highs on Thursday. "I've never seen, in my career, anything like this," said Rick Rieder, a veteran investor and global chief investment officer of fixed income at BlackRock Inc, the world's largest asset manager, about the amount of cash chasing a scarce supply of financial assets. The CBOE Volatility Index, a closely watched options-based take on the stock market sometimes called the "Fear Index," posted is lowest ever end-of-month close in May. "The volatility markets, I would argue, are too sanguine today," said Rieder. Domestic stock funds attracted the lion's share of the cash, about $5.9 billion for the week, while funds focused on shares abroad pulled in $3.3 billion, according to the Thomson Reuters research service Lipper. Taxable bond funds attracted $1.4 billion over the same period, Lipper said, in their eleventh straight week of inflows. The following is a broad breakdown of the flows for the week, including mutual funds and exchange-traded funds:

Sector Flow Chg % Assets Assets Count ($blns) ($blns) All Equity Funds 9.234 0.16 5,887.808 11,371 Domestic Equities 5.921 0.14 4,109.704 8,139 Non-Domestic Equities 3.313 0.19 1,778.103 3,232 All Taxable Bond Funds 1.383 0.06 2,414.523 5,740 All Money Market Funds 2.525 0.12 2,148.433 973 All Municipal Bond Funds -0.051 -0.01 382.425 1,385

(Reporting by Trevor Hunnicutt; Editing by Jennifer Ablan and James Dalgleish)