Foreign investors have pulled billions out of American stocks
Foreign investors have pulled billions out of American stocks
In recent weeks, foreign investors have taken out large amounts of money from American stocks.
Though the polls predict a Hillary Clinton win — an outcome they believe would be better for markets — many are cautious, especially after the unexpected results of June’s Brexit referendum.
Georgi Kantchev, a reporter for the Wall Street Journal, joined us to explain how those abroad perceive the 2016 presidential race.
On why investors favor Clinton:
For foreign investors, Hillary Clinton would be kind of a continuation of the status quo. They’re seeing not much change in terms of policies that affect markets. Whereas with Donald Trump, they’re seeing a bit more uncertainty, and markets generally don’t like uncertainty. They’re seeing a lack of clarity on some positions and, of course, his anti-trade rhetoric. So from that point of view, the U.S. election matters for foreign funds, and they see a Hillary Clinton victory as the result they believe would be better for markets.
Click the above audio player to hear the full interview.
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