Foreign Capital Floodgates Open: US Dollar Primed for Explosive Rally

Wall Street's favorite fiat flexes as global money seeks safe harbor

The greenback's gravity intensifies

Yield-hungry institutions are piling into USD positions like it's 2008 again—because nothing says 'flight to quality' like the world's reserve currency during turbulence. Never mind that 40% of all dollars were printed in the last three years.

Liquidity tsunami meets rate hike cycle

The Fed's hawkish pivot turns USD into the ultimate hot potato—everyone wants it until the music stops. Meanwhile, emerging markets brace for impact as dollar-denominated debt gets more painful by the basis point.

DeFi degens take note

Even crypto whales are stacking stablecoins—proof that when the macro winds shift, everyone becomes a dollar maximalist. At least until the next bull run.

The dollar's dominance remains the ultimate 'boomer trade'—boring, predictable, and still crushing it while altcoins flounder. Some things never change.

The US Is Attracting Heavy Foreign Investments: What This Means

The US economy has lately been battling a heavy crisis. The asset has decreased gradually, with rising TRUMP tariffs beating it heavily and noteworthy de-dollarization drives continuing to pester the dollar. Moreover, leading currencies, such as the Swiss franc and yen, are now outpacing the US dollar. These narratives may ultimately note a steady change in the future as the US has now started to welcome a spree of rich foreign investments, enriching its economy with a renewed fervor.

Per the recent statistics shared by the Kobeissi Letter, US net capital inflows have reached $1.76 trillion over the last 12 months. This development shows how the US economy is still resilient to external market changes and is standing firm, adopting a combative stance. Moreover, the aforementioned metric tells the amount of money entering the US through the sale of assets, which roughly means that the US is still a prominent investment market for global investors, with the weak US dollar rate making it a lucrative purchase.

Foreign investment into the US is skyrocketing:

US net capital inflows reached a record +$1.76 trillion over the 12 months ending in May.

This metric shows how much outside money is entering US financial markets to buy assets.

Net capital inflows have DOUBLED over the last… pic.twitter.com/h2gIi1zSmb

USD to Continue to Weaken: Goldman Sachs

Per a recent note issued by banking giant Goldman Sachs, the US dollar rate may continue to stumble as it may weaken against major currencies globally.

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In addition to this, Goldman Sachs stated how Bitcoin and gold continue to attract mainstream investor interest.

,as quoted in the Goldman Sachs Note.