Investors RoW back on Wall Street exceptionalism

As the end of the first quarter approaches, world stock markets are in a curious position. They are benefiting from capital flowing out of Wall Street, but they also face major risks if the U.S. selloff turns into a rout. As President Donald Trump's trade war has snuffed out the "U.S. exceptionalism" narrative, a yawning gap has opened between U.S. equities and those in the 'Rest of the World'. The selloff abated briefly and the S&P 500 notched its first consecutive daily rises in a month. But Wall Street was back in the red on Tuesday, and U.S. underperformance -…