Goldman: Foreign Investors Dumped $63bn in US Equities Since March 

Foreign investors have sold $63 billion of US equities since the start of March, Goldman Sachs strategists have estimated, noting that the data from high-frequency fund flows suggest that European investors have been driving the selling, while other regions have continued to buy US stocks.

“This dynamic poses a substantial risk to equity valuations because foreign investors entered 2025 with a record 18 per cent ownership share of US equities,” the portfolio strategy team lead by Daniel Chavez wrote in a note to clients.

Goldman noted that since 1980, there have been 10 other instances of substantial foreign investor selling, that on average saw 0.6 per cent of total US market value being sold, or the equivalent to about $300 billion today.

According to the investment bank, the most recent episode of foreign selling “has been shorter and shallower than the average experience during the last few decades.” 

In the past, US stocks were able to withstand foreign outflows, rising during seven out of 10 occasions with 1987, 1990 and 2022 being the exceptions, Goldman added.