With Markets in Disarray, International Investors Are Stockpiling U.S. Dollars

Foreign investors selling stocks and bonds are hoarding the U.S. dollar as market volatility picks up.

Typically investors repatriate cash into their local currency, but not this time. U.S. capital flow data show the foreign cash pile of dollars is close to records as investors reduce risky assets in portfolios and hang on to the world’s reserve currency.