Canadians Investing Heavily in U.S. Stocks Amid Trade Tensions
While Canadians are arguably stepping back from American products and travel due to ongoing trade disputes, an interesting trend is emerging: they’re actively investing in U.S. stocks at levels that have never been seen before.
During the peak of the 2025 trade war, Canadians invested an astonishing $50 billion in U.S. securities—this amount marks the highest level since at least 1990.
According to Warren Lovely, who manages finances at National Bank in Toronto, “Canadian investors have significantly increased their investments in U.S. assets since President Trump took office.” Recent analysis suggests that this uptick is indeed “unprecedented.”
Lovely also pointed out that although many Canadians resonate with the notion of buying local, this sentiment doesn’t seem to translate into their investment choices. The flow of portfolio investments contradicts that idea.
The data from National Bank indicates a preference for stocks, with Canadians making net purchases of around $35 billion from February to May alone. During the same timeframe, they also purchased $14 billion in U.S. Treasury securities.
Lovely remarked, “In essence, Canadians are helping to fund U.S. government deficits that could threaten our economic stability.” He argued this action shouldn’t necessarily be viewed as a message of hostility toward the U.S. administration, which some may suggest.
Experts suggest that the investment boom reflects practicality. Many see these purchases as a logical financial decision.
As Mosche Lander, an economics professor at Concordia University, noted, “The boycott of U.S. products is more emotional than economic.” He emphasized that for many Canadians, their options to express their dissent are somewhat limited.
Last week, Prime Minister Mark Carney made a move to ease tensions by repealing many of Canada’s counter-tariffs on U.S. goods in pursuit of trade reconciliation with the Trump administration.
Canada has been one of the few countries to retaliate against U.S. tariffs, and it seems the country is navigating a complicated balance of sentiments and practicalities.
