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 marks the second consecutive month of net withdrawals, following a $7 billion outflow in April. Such sustained capital outflow from US stocks signals rising risk aversion and may trigger increased volatility in traditional markets. For cryptocurrency traders, these withdrawals could lead to a shift in capital allocation, as investors seek alternative assets like Bitcoin and Ethereum for diversification and inflation hedging (source: The Kobeissi Letter, June 7, 2025).