Foreign Investors Hesitant Despite U.S. Market Recovery

While the U.S. stock and bond markets have seen recent gains, foreign investors remain wary and are not actively investing in American assets. Deutsche Bank’s George Saravelos, head of foreign exchange strategy, has been closely tracking the movement of overseas capital into US markets to identify real-time trends among these investors. Saravelos reported that data shows a consistent halt in foreign purchases of U.S. securities over the past two months. Despite a slight market improvement last week, there’s no indication that this trend is reversing.