The Trump trade is dead. Long live the anti-Trump trade. Global investors are actively avoiding US markets, marking a dramatic reversal from the post-election euphoria of 2024. Fund managers remain upbeat about riskier assets overall, but the enthusiasm has shifted away from American shores.

This pivot reflects a stark contrast from late 2024, when investors celebrated deregulation and stimulus promises. Back then, the US was expected to dominate global growth, pumping up the dollar and widening the gap between American and international stocks. Now, that narrative has collapsed.

US markets are struggling while Europe and Asia thrive. The S&P 500 is slightly negative for 2026, stuck in an unusually tight range since December. Meanwhile, global stocks excluding the US are up 9 percent year-to-date, compared to just 2 percent for the broader MSCI World Index. This marks the worst year for US stocks relative to the rest of the world since at least 1995, as investors vote with their wallets against American assets.