According to The Kobeissi Letter, foreign investors withdrew a net $37 billion from US equities in May 2025, the largest outflow in at least 12 months, as reported by Goldman Sachs. This is the second straight month of outflows, following a $7 billion withdrawal in April. The ongoing capital flight may signal waning confidence in US stock markets, potentially driving increased interest in alternative assets like cryptocurrencies as investors seek higher returns and global diversification. Traders should monitor capital flow data closely for shifts in cross-market liquidity and potential volatility spillovers into crypto markets. Source: The Kobeissi Letter via Twitter, June 7, 2025.