Fed's Kashkari: Investors are pulling out of the U.S.

Planet Daily News: Federal Reserve's Kashkari said on Friday that recent market trends show investors are leaving the United States, traditionally the safest investment destination, amid escalating trade tensions under Trump. He stated that in recent days, as U.S. Treasury yields rise and the dollar depreciates against global currencies, the trend is contrary to what is usually seen. "Normally, when you see significant tariff increases, I would expect the dollar to appreciate. I believe the fact that the dollar is simultaneously falling makes the argument about investor preference shifts more credible," Kashkari said. He added, "Investors worldwide have viewed the U.S. as the best investment location. If that were true, we would see a trade deficit. Therefore, one way this is manifesting is through lower yields on various U.S. assets." "If the trade deficit decreases, investors might say, well, the U.S. is no longer the most attractive investment destination in the world, and then you would see bond yields rise." However, Kashkari pointed out that what he sees is "stress" in market operations, not serious chaos. (CNBC)