BofA's August global fund manager survey found 27% of respondents say their allocation to US equities exceeds the US weight in the global benchmark, the highest since Dec 2024 and up from 24% in July, indicating investors expect US stocks to outperform. Year-to-date the S&P 500 is up 13% versus a 10% gain for the Stoxx Europe 600; US equities nonetheless lag Japan and South Korea.

US investment-grade bond issuance hit an August record and marked the third consecutive month of monthly records, maintaining the fastest issuance pace on record. As of Monday, August issuance reached $145.2bn, exceeding the prior August record of $136.0bn in 2020. Heavy corporate spending on AI infrastructure has boosted borrowing demand; this month’s volume was led by Alphabet (GOOG.O)’s $25bn deal. This was the eighth $25bn-or-larger offering so far this year, and all eight came from technology companies.

Foreign net purchases of US Treasuries in June were $6.8bn, versus $56.6bn previously.