US markets defy doomsayers as ‘exceptionalism roars back’

Newest Data from the Ministry of Treasury He explains that foreigners deprived the net 311.1 billion dollars in US securities in May, a record, after withdrawing 14.2 billion dollars in April.

“All this is noticeable because many commentators predicted the end of“ exceptional ”after the recent disturbance of,” Robin Brooks, a senior colleague at the Brookings Institute, wrote on Wednesday in a position entitled “The exceptional United States is back” on his return. Alternative. “The truth is that the markets are more acceptable to all climbing and landing more than people are aware of the” exceptional “United States.

Meanwhile, over 12 months to May, the net foreign flows approached from its highest level ever since July 2023, when it reached $ 1.4 trillion to celebrate the US exceptional report on the market.

The recovery in May indicates an amazing shift as of April, as Wall Street was afraid of the end of the United States in the economy and global markets.

In the wake of the direct “Liberation Day”, the S&P 500 was invaded in the bear market, as it decreased by almost 20 % from the highest level, while Nasdak passed through that threshold.

The Treasury returns decreased for 10 years in the beginning, but then increased more than 70 basis points in only days, as investors worried about senior debt owners in the United States from their replacement.

But a month later, the opposite happened.

“The US obstacle to try a real capital trip is high and certainly not violated in April,” Bruks wrote.

Certainly, the return for 10 years is still higher than the pre -endurance level, and the dollar has suffered from the worst first in more than 50 years.

Although the S&P 500 and NASDAQ regained their previous records and continued to impose higher fees, the stock indexes in Europe and China still outperform the competitors of the United States.

Meanwhile, conversations with Japan and commercial partners have strengthened definitions that are 10 % higher than the initial foundation. Negotiations with other countries are still ongoing, and failure to reach a deal may lead to a tariff rate to the top.

However, the veteran in the market, Ed Yardini, the president of Yardeni Research, was also encouraging through data that display registration flows in the American market.

“Therefore, we are comfortable with data that confirm that the bears are on expectations for a huge sale in American bonds, American stocks, and the US dollar that may be fake, not for us,” wrote on Monday. “Our faith has been gently validated by strangers through the latest treasury data.

Just a few months ago, the top names in Wall Street were the alarm on Trump’s tariff and long -term repercussions.

The founder of the castle and CEO Ken Griffin warned in April that the country has eroded its “commercial sign”, explaining that it is from American culture to its financial and military power, the United States is an ambition for most of the world.

He said: “In financial markets, the teacher cannot compare it to the American treasury … We have been at risk,” adding that it takes a very long time to remove the brand distortion.

In May, Mohamed El -Erian, the chief economic advisor in Allianz, said that the era of the American extraordinary “was placed on the stop.”

Last month, Deutsche Bank said that the precious exceptional in America is the side damage of the Trump ID war.

Economist Jim Reed wrote in a note: “Our view is that the structural foundations of the American exception – especially the ability to finance themselves cheaply by setting up the dollar reserves – began to wear,” the economist Jim Reed wrote in a note. “Therefore, we remain a structural decline on the dollar and expect to continue in the United States to rise.”