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Foreign Investors Are Running—Could Trump’s Rule Be Triggering Capital Flight from the U.S.?

EDITOR'S NOTES

Congressman Sean Casten says foreign investors are dumping U.S. assets—and fast. His claim? A breakdown in the rule of law under the Trump administration is sending shockwaves through global markets. Whether you agree or not, the implications are crystal clear: if confidence in U.S. governance is eroding, gold—not the dollar—is where your money needs to be. In this article, Frank Balm unpacks the latest political and financial chaos, explains why it matters, and offers a path to safety through precious metals.

There’s an old saying in finance: "Money flows where it’s treated best." Right now, according to Illinois Congressman Sean Casten, the United States might no longer be that place.

In a fiery session of the House Financial Services Committee, Casten dropped a line that should make every investor sit up:

“Foreign investors are not only fleeing U.S. equities but are fleeing U.S. Treasuries.”

Think about that. The world’s most sought-after safe haven—U.S. Treasuries—are now being viewed as risky businessby international investors. And why? Casten pins the blame squarely on what he calls an "assault on the rule of law" under the Trump administration.

What’s Got the World Spooked?

Casten claims foreign capital is moving out of the U.S. and into Europe, where investors believe their contracts and rights are safer. Banks he’s spoken with report that a "risk premium" is now being placed on U.S. assets due to mounting legal and regulatory uncertainty. This isn’t speculation—it’s capital flight, happening in real time.

According to the Congressman, it’s not just about politics. It’s about what happens when the rulebook gets thrown out the window. Oversight agencies are being gutted. Anti-corruption laws are being suspended or defanged. Even Big Law firms are being targeted with executive orders banning them from federal courthouses if they dare oppose the administration.

Now, I’m not here to pass judgment on Trump or his policies—that’s not my lane. But here’s what I do know: markets hate uncertainty, and this kind of legal upheaval can send shockwaves through the global economy. And when that happens?

Gold wins. The dollar loses.

Eroding Trust = Soaring Gold

From Wall Street to the back alleys of Beijing, gold has always been the go-to asset when things go off the rails. If foreign investors are losing faith in U.S. Treasuries—once considered untouchable—it’s not hard to guess where that money is going next.

This isn’t about partisan politics. It’s about protecting your wealth in a system that’s becoming more unpredictable by the day. Whether it’s Trump, Biden, or anyone else in charge, if global confidence in American law and order collapses, the greenback takes a hit—and precious metals surge.

We’ve seen this play out before:

  • In Russia, when legal systems collapsed under authoritarian rule, gold soared locally.
  • In China, capital controls and legal crackdowns drove domestic investors to hoard gold.
  • And in the U.S., during the 2008 crisis, gold prices exploded as trust in Wall Street vanished.

Now, with agencies like the Consumer Financial Protection Bureau and Public Company Accounting Oversight Board facing budget cuts or elimination, some are asking: who’s watching the watchers?

If no one is... you’d better watch your own back.

Final Thought: Don’t Be the Last One Out

If Congressman Casten is even half right, then we’re looking at a dangerous breakdown in the credibility of America’s financial and legal institutions. And when that credibility goes, so does the dollar’s power.

Ask yourself this:
If foreign investors are getting out of U.S. assets—shouldn’t you be thinking about doing the same?

Call to Action:

📘 Download Bill Brocius’ free eBookSeven Steps to Protect Yourself from Bank Failure
💰 Shift into real assets before it’s too late. Gold and silver aren’t just shiny coins—they’re freedom insurance in a rigged system.

👉 Subscribe to Dedollarize and stay ahead of the coming storm. The exodus has begun. Make sure you’re leading it—not following it.