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October 16, 2025Cryptopolitan logoCryptopolitan

Foreign investments in U.S. stocks soars to highest level in history despite trade tensions

The Federal Reserve Board data showed on Thursday that foreign investments have the highest allocation of ￰0￱ in ￰1￱ data revealed that foreign holdings of ￰2￱ assets account for more than 60%. The increase in foreign investments comes as ￰3￱ Donald Trump initiated a global trade war last spring, which brought concerns that foreign buyers would boycott American ￰4￱ opposite happened, and now foreign buyers of ￰5￱ account for more than half of ￰6￱ ￰7￱ ￰8￱ investments overlook ￰9￱ policies Data showed that demand for ￰10￱ by foreign investors has remained resilient despite foreigners scaling back on travel to the ￰11￱ some purchases of U. S.-made ￰12￱ of the increase stems from the rise in firms investing in artificial intelligence ventures, which have swelled the share price of Nvidia , Microsoft, and Alphabet, among ￰13￱ Stovall, chief investment strategist at CFRA, said the increase in foreign stock purchases came as a surprise, though not because of political ￰14￱ questioned why foreign investors would flood the ￰15￱ the weakening dollar would be a hindrance to ￰16￱ argued that foreign investors are directing funds selectively into the AI sector , with a particular focus on large tech companies that hold a significant weighting in the ￰17￱ also reasoned that it could be because the tech sector has soared to new all-time highs this ￰18￱ noted that since ￰19￱ bottomed on April 8, they have surged higher, driven by the Fed’s first interest rate cut of the year.

“While tariffs have led many foreign consumers to boycott U. S. products, ￰20￱ remained in high demand.” -Rob Anderson, Sector Strategist at Ned Davis ￰21￱ White House stated that major investments were made possible by Trump’s leadership and acknowledged that the ￰22￱ also experienced a surge in private and foreign ￰23￱ Trump administration added that increased investments in the ￰24￱ market are fueling job growth, innovation, and opportunity across the ￰25￱ Galou, Director of Global Investment Strategy at Bank of America, confirmed that international investors are still buying ￰26￱ at a very strong ￰27￱ MSCI World Index is currently trading at $4,318 at the time of publication, up more than 15.5% in the past ￰28￱ cited EPFR data showing that foreign investors increased their ￰29￱ investments since March, in the wake of optimism surrounding Trump’s inauguration in ￰30￱ ￰31￱ stocks surge in price ￰32￱ Secretary Scott Bessent said on Thursday that China is leveraging its dominance in the rare earth industry to drive down prices, which forces foreign competitors ￰33￱ stated in an exclusive CNBC interview that the ￰34￱ a nonmarket ￰35￱ hinted that the Trump administration will introduce industrial policy to establish price floors in various ￰36￱ limits, which are typically set above the market rate, demonstrate the lowest prices suppliers can charge for goods and ￰37￱ the stringent measures on prices, ￰38￱ hit fresh highs on ￰39￱ the time of publication, the S&P 500 is nearing 6,700, the Nasdaq Composite is up 0.5% at 22,852, while the Russell 2000 is at 2,514.

The ￰40￱ Reserve’s Beige Book revealed that earnings reports indicate the economy hasn’t yet stalled, despite companies reporting higher costs due to ￰41￱ ￰42￱ have also surged, including Nvidia shares rising by 1.2%, while Broadcom’s stock jumped 2% after Taiwan Semiconductor hiked its 2025 revenue guidance to mid-30% growth from roughly 30%. The semiconductor firm also reiterated its plan to commit up to $42 billion to capital expenditures by the end of ￰43￱ you're reading this, you’re already ￰44￱ there with our newsletter .

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