The focus of global investment in U.S. securities is shifting from government bonds to equities and corporate bonds. U.S. Treasury data shows that net investment in U.S. Treasuries by overseas investors has fallen sharply, while net investment in U.S. equities has increased rapidly.
The focus of global investment in U.S. securities is shifting from government bonds to equities and corporate bonds. According to the U.S. Treasury's International Capital System, net investment in U.S. Treasuries by overseas investors fell 60% over the past year. By contrast, net investment in U.S. equities reached 1.6 times the previous level.
Concern over U.S. Treasuries, particularly regarding rising yields and falling prices, is intensifying, while growth expectations for U.S. AI-related companies are also boosting interest in equities and corporate bonds. Reports have also highlighted a trend in which increased semiconductor exports are driving up the trade surpluses of South Korea and Taiwan.
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Changes in the allocation of funds in global capital markets suggest a shift from a focus on government bonds toward equities and corporate bonds, and changes in investors' risk appetite may affect market trends going forward.