"There is a conflict between Wall Street analysts right now over the right strategy for dealing with U.S. dollar-denominated assets. Some, like Pimco chief investment officer Dan Ivascyn, have recommended investors diversify out of U.S. equities because the Trump administration is so unpredictable. And analysts at ING have been pushing a "sell America" argument for a while now, noting that the 9% decline in the value of the dollar over the last 12 months has imposed a harsh haircut on anyone who bought U.S. assets"
""The main takeaway is that foreigners continue to pour money into U.S. asset markets. The TIC release is a volatile data set, but looking at the rolling 12-month average, in November the net foreign purchase of US assets was around $100 billion per month - compared to around $25 billion in the summer of 2024," he told clients this morning."
There is a conflict between Wall Street analysts over strategy for dollar-denominated assets, with some recommending diversification away from U.S. equities after a sharp dollar decline. Recent trading pushed the S&P 500 up, leaving it 1.45% year-to-date. Treasury International Capital data for November showed $212 billion in net foreign inflows into U.S. assets. The rolling 12-month average of net foreign purchases rose to roughly $100 billion per month versus about $25 billion in summer 2024. These flows indicate sustained foreign demand for U.S. assets and growing optimism about a potential economic rebound.
Read at Fortune
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