US Commerce Secretary Howard Lutnick told the elites gathered in Davos that the Trump administration believes globalization is “a failed policy” that left America behind. A day later, his boss, President Donald Trump, predicted the US stock market would double from records he openly took credit for.
There’s a stark tension lurking between the lines spoken by the two American billionaires: Foreign investors have had an insatiable appetite for US stocks over recent years, playing a huge role in driving benchmark indexes to the records Trump likes to boast about. Europeans, in particular, have been voracious buyers.
And while Trump lowered the temperature toward Europe, concern lingers on Wall Street that his belligerence and belittlement of the continent could take some of the biggest buyers of US equities out of the market. There are signs, in fact, that’s already beginning to happen.
“We are seeing more clients wanting to diversify away from the US. We saw that trend start in April 2025 but it has somewhat accelerated this week,” said Vincent Mortier, chief investment officer at Amundi SA, which is Europe’s largest asset manager with €2.3 trillion ($2.7 trillion) in assets under management.
He said any disentanglement will end up being a “long and complex process,” where clients need to figure out how they want to depart from main benchmarks, how they want to hedge against the US dollar.
European investors own roughly $10.4 trillion in US stocks — and more than half of that total is owned by investors in the very eight countries Trump threatened with tariffs, a move that contributed to a 2.1% drop in the S&P 500 on Tuesday.
FitSyrup2403 on
Taco will announce tarrifs on funds that do not trade US bonds and stocks
Competitive-Yak-3785 on
Every dollar divested from the US and put into CAN or EU funds helps Americans fight this authoritarian regime. It’s the only language this regime understands. To hit Trump where it hurts, divest and put your money into your own stock markets.
Feeling-Charge6487 on
Wild how market confidence suddenly depends on Europeans just not buying. Turns out wallets vote louder than press releases.
MasterWis on
Also if USD continues to depreciate it’s basically pointless for EU buyers as ultimately they look at their performance in Eur. Just saying
Mission_Scale_860 on
I already sold all US exposure last year and increased European and Swedish exposure. It’s not about the money, it’s about sending a message.
reserved_optimist on
Honestly, fuck Trump’s USA.
paulridby on
One could hope. I’d rather invest in a world ETF than in the S&P 500 for starters.
diamanthaende on
One major problem is dollar devaluation, which is actually intended by the Trump administration and their idiotic mercantilism fetish.
For example, the S&P500 had a very good 2025, if you look at gains in US dollars (16.39%). In Euros however (and other currencies), which is actually relevant for European investors, the real performance was below 4%, due to the strong devaluation of the dollar in the same time period.
Hence, the S&P500 was strongly outperformed by most European markets. Add the very high valuations of US stocks to the picture, which basically cry for a big correction, and it’s easy to see why the US stock market is less attractive.
You don’t need to make a “political statement”, the economic facts speak for themselves.
detox4you on
Some large pension funds have already selled off several billions and moved to EU stocks in the past 6 months.
ItsACaragor on
« Globalization is a failed policy that left America behind »
– President of the country that represented 25% of the world economy before he took offic, the second things start looking bad because of his incompetence
Spinoza42 on
Time also private, public and corporate European data to be removed from US big tech. Last week I moved from Google to Proton, this week from Windows to Ubuntu. I’d encourage others outside the US to do the same, and frankly those in the US as well.
thecartman85 on
Nutlick says what?
NotOK1955 on
I bet trump’s minions didn’t see this coming.
zuiopasdf on
Europeians should gently shook Wallstreet because of what is happening.
olderlifter99 on
I was solely in s&p500 and sold it all last week. Its now in cash. No idea yet where to put it.
bipolarbear326 on
Gee, who’s fault is that? If only there was a way this could have been prevented.
Bill_Troamill on
I just cancelled my Claude code subscription
Thenderick on
Good. Let them fear for the consequences of putting that orange monkey into office!
FourArmsFiveLegs on
Imagine putting your money in the Ponzi Market formally known as the Stock Market
Zlifbar on
Corporations: if we started being shitty and stopped supporting shitty governments customers won’t boycott us
Also corporations: no, no, it’s the customers who are wrong
Wadarkhu on
Companies shouldn’t have funneled funds into the pockets of wannabe dictators then. Reap what you sow.
CCV21 on
It’s not a strike.
KsioCocg on
I sold my World ETFs this week and bought European ETFs instead. Everyone has their own level of expertise, but we can all make a difference.
sajukktheeternal on
Since Trumps “liberation day” in 2025 I no longer buy US stocks. I only keep what I have, slowly selling when I achieve a certain return. Not for political reasons, I never mix politics and investments. Not because I think US stocks are bad either, they are alright. The reasons: a) I got sick of Trump pumping and dumping the stock market for his friends every second month. b) I don’t like Trumps actions which result in a constant devaluation of the dollar and a part of my return getting lost because of it. c) I hate that nobody gives a fuck about the AI bubble, actually I find it super scary.
Therefore, Europe only. So far, it’s going great
Ellusive1 on
The Canadian stock market has out performed America 5 years running!
26 commenti
Article:
US Commerce Secretary Howard Lutnick told the elites gathered in Davos that the Trump administration believes globalization is “a failed policy” that left America behind. A day later, his boss, President Donald Trump, predicted the US stock market would double from records he openly took credit for.
There’s a stark tension lurking between the lines spoken by the two American billionaires: Foreign investors have had an insatiable appetite for US stocks over recent years, playing a huge role in driving benchmark indexes to the records Trump likes to boast about. Europeans, in particular, have been voracious buyers.
And while Trump lowered the temperature toward Europe, concern lingers on Wall Street that his belligerence and belittlement of the continent could take some of the biggest buyers of US equities out of the market. There are signs, in fact, that’s already beginning to happen.
“We are seeing more clients wanting to diversify away from the US. We saw that trend start in April 2025 but it has somewhat accelerated this week,” said Vincent Mortier, chief investment officer at Amundi SA, which is Europe’s largest asset manager with €2.3 trillion ($2.7 trillion) in assets under management.
He said any disentanglement will end up being a “long and complex process,” where clients need to figure out how they want to depart from main benchmarks, how they want to hedge against the US dollar.
European investors own roughly $10.4 trillion in US stocks — and more than half of that total is owned by investors in the very eight countries Trump threatened with tariffs, a move that contributed to a 2.1% drop in the S&P 500 on Tuesday.
Taco will announce tarrifs on funds that do not trade US bonds and stocks
Every dollar divested from the US and put into CAN or EU funds helps Americans fight this authoritarian regime. It’s the only language this regime understands. To hit Trump where it hurts, divest and put your money into your own stock markets.
Wild how market confidence suddenly depends on Europeans just not buying. Turns out wallets vote louder than press releases.
Also if USD continues to depreciate it’s basically pointless for EU buyers as ultimately they look at their performance in Eur. Just saying
I already sold all US exposure last year and increased European and Swedish exposure. It’s not about the money, it’s about sending a message.
Honestly, fuck Trump’s USA.
One could hope. I’d rather invest in a world ETF than in the S&P 500 for starters.
One major problem is dollar devaluation, which is actually intended by the Trump administration and their idiotic mercantilism fetish.
For example, the S&P500 had a very good 2025, if you look at gains in US dollars (16.39%). In Euros however (and other currencies), which is actually relevant for European investors, the real performance was below 4%, due to the strong devaluation of the dollar in the same time period.
Hence, the S&P500 was strongly outperformed by most European markets. Add the very high valuations of US stocks to the picture, which basically cry for a big correction, and it’s easy to see why the US stock market is less attractive.
You don’t need to make a “political statement”, the economic facts speak for themselves.
Some large pension funds have already selled off several billions and moved to EU stocks in the past 6 months.
« Globalization is a failed policy that left America behind »
– President of the country that represented 25% of the world economy before he took offic, the second things start looking bad because of his incompetence
Time also private, public and corporate European data to be removed from US big tech. Last week I moved from Google to Proton, this week from Windows to Ubuntu. I’d encourage others outside the US to do the same, and frankly those in the US as well.
Nutlick says what?
I bet trump’s minions didn’t see this coming.
Europeians should gently shook Wallstreet because of what is happening.
I was solely in s&p500 and sold it all last week. Its now in cash. No idea yet where to put it.
Gee, who’s fault is that? If only there was a way this could have been prevented.
I just cancelled my Claude code subscription
Good. Let them fear for the consequences of putting that orange monkey into office!
Imagine putting your money in the Ponzi Market formally known as the Stock Market
Corporations: if we started being shitty and stopped supporting shitty governments customers won’t boycott us
Also corporations: no, no, it’s the customers who are wrong
Companies shouldn’t have funneled funds into the pockets of wannabe dictators then. Reap what you sow.
It’s not a strike.
I sold my World ETFs this week and bought European ETFs instead. Everyone has their own level of expertise, but we can all make a difference.
Since Trumps “liberation day” in 2025 I no longer buy US stocks. I only keep what I have, slowly selling when I achieve a certain return. Not for political reasons, I never mix politics and investments. Not because I think US stocks are bad either, they are alright. The reasons: a) I got sick of Trump pumping and dumping the stock market for his friends every second month. b) I don’t like Trumps actions which result in a constant devaluation of the dollar and a part of my return getting lost because of it. c) I hate that nobody gives a fuck about the AI bubble, actually I find it super scary.
Therefore, Europe only. So far, it’s going great
The Canadian stock market has out performed America 5 years running!