The Kobeissi Letter, a markets commentary publication, reported on Monday, November 2, 2026, that US equity funds experienced substantial withdrawals. The post stated, "BREAKING: US equity funds recorded -$6.7 billion in outflows in the week ending October 28th, their largest weekly withdrawal since mid-September. This follows +$5.1 billion and +$13.0 billion in inflows over the previous two weeks. Meanwhile, global equity funds attracted +$10.2 billion in the week ending October 28th, marking their 6th consecutive weekly intake. However, this was down from +$25.1 billion and +$19.8 billion in the preceding two weeks. Asian equity funds led last week's inflows, attracting +$9.9 billion, compared with +$11.6 billion the previous week. At the same time, European equity funds attracted +$4.5 billion. Global investors are rotating out of US equities into other regions."
This outflow from US equities occurs as major tech companies face earnings tests, with recent coverage discussing Palantir's Q3 earnings and Apple's ability to defend margins. Nvidia's Q3 earnings could potentially justify a $5 trillion valuation, according to recent analysis. The Nasdaq Composite is currently down 1.0% today, while the S&P 500 is down 0.4%. The Crypto Fear & Greed Index registers 37, indicating "Fear."
The Kobeissi Letter's observation suggests a shift in investor sentiment, with global investors reportedly reallocating capital away from US equities into other regions, particularly Asia and Europe. This rotation could indicate concerns about the near-term performance of the US market or perceived better opportunities elsewhere, influencing capital flows in the coming weeks.
