U.S. Stocks Crushing Global Markets

U.S. stocks are outperforming their global counterparts once again, with the S&P 500 rising by 14% this year compared to the MSCI All Country World ex USA Index's 8.5% advance. Interest in U.S. stock funds has returned, with investors adding money on a net basis for three consecutive weeks, while global equity funds have seen net outflows for five of the past nine weeks. The recent enthusiasm for U.S. stocks is partly driven by the boom in interest in artificial intelligence, with investors optimistic about the U.S. economy due to consumer spending, a robust labor market, and the banking sector crisis appearing to have ebbed. Meanwhile, the eurozone has slipped into a recession, and the continent continues to battle high energy and food costs.