The US elected a president who promised to make the country great but he is making them lose a hard earned greatness.Trump lacks sound global economic foundations and his knowledge is mainly formed by several conspiracy theories. He believes that the US can punish the entire world without any consequences. The worst of it is that he surrounds himself with half baked advisers who are his puppets. Most of them are scared to tell him the truth.
The effect of his poor economic policy is the growing lack of confidence in the American economy. Investors now see the US market as unstable and risky. Therefore, it's not strange to see investors choose other markets rather than put money in the US economy.
The dollar is still strong and dominating the global economy. And the US is doing all within its power to carry out damage control caused by the tariff war to restore investors' confidence. But the truth is that the US economy has received self inflicted fatal blow. These short unplanned economic policies have opened the eyes of investors to other safe havens. And I don't think it's temporary, more people will buy Bitcoin and other assets.
What we are witnessing goes beyond one individual or even one political cycle to show how much fragile "greatness" depends on top-down trust and judgment. The way the U.S. has handled recent global events, especially with tariffs and blunt force economic moves, has really exposed how much confidence is tied to leadership style and global perception
I agree: investors (and even regular people) are getting more skeptical, not just of the U.S. but of any system that acts like it is immune to consequences. When leaders stop listening to diverse advice, or run the country by impulse, the world notices. We pay for that as well. No matter the passport we carry
Indeed, the dollar still has muscle, but it is not absolutely perfect now. Every time a news about a surprise tariff or political drama, you find more individuals quietly looking for alternatives. Bitcoin, gold, even certain stocks outside the U.S. These are not protests. They’re people hedging against uncertainty and feeling let down by old guarantees
And I don’t think it’s just temporary, either. Trust does not bounce back quickly once it is broken. Though for now the dollar is still strong, the perspective has changed. People are seeing you need a Plan B (or C), and digital assets are becoming not only hype but also a backup against policy risk
These sort of shifts have been happening forever and there is no straight forward answer to risk. It is all relative and you have to ask where the money would go if it wasn't in the USA, which is increasingly being asked by investors all over the world. America, even now with Trump doing his best to crash and dismantle everything that has made the country so successful over decades, is managing to weather the storm reasonably well but he has time to keep swinging a chainsaw around for another 3.5 years. The next best option that could take such high volumes of incoming funds would be Europe, but even that has it's problems with instability and a war simmering on its border. Somewhere like China would be a logical choice but people simply don't trust an authoritarian regime and never will, nor do they particularly want such inward investment. The US will lose some investment but might still make up the majority because they are simply a productive country that pays its bills.
"Risk" has always been a gray area, and every big economy has its own baggage. The world is always looking for the least-bad option, not some perfect safe haven. Yeah, if not the U.S., then where? Europe has promise, but its own internal politics and the conflict make it far from ideal. China's great but trust is a dealbreaker. Honestly, a lot of people outside Asia simply do not feel comfortable with that approach, even if the numbers seem excellent
For whatever reason, I don't think many people are actually "leaving" the U.S. They are more likely to be spreading the risk. They avoid depending just on one basket, particularly in cases of basket’s wobbling. Although the U.S. may sustain some bruises, as long as it stays creative, pays its debts, and maintains the system running, it will continue to attract capital, even if less than before. The largest shift may not be a dramatic exit but rather a gradual change in global habits as people examine the world, consider all of its flaws, and quietly diversify