"Sell America" Trade Thesis Debunked as Overseas Investors Pour $1.4T Into U.S. Markets

According to Deutsche Bank research and U.S. Treasury data, the "Sell America" trade thesis has proven unfounded. Overseas investors accumulated over $1.4 trillion in U.S. financial assets over the past 12 months through April 2026, contradicting predictions of capital flight after Trump administration tariff concerns emerged in April 2025. As tariff worries eased and AI-driven corporate profit growth accelerated, U.S. equity and bond markets regained their position as the world's most attractive investment destination. U.S. stock market capitalization now represents nearly half of global equity market value, and American companies' 15-year cumulative returns significantly exceed those of other major markets, with tech giants including Nvidia, Microsoft, Alphabet, Amazon, and Meta driving gains through massive AI infrastructure investments.
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