I'm surprised that people are so surprised by this. Funds operate with risk management models and practices. As the US becomes more unstable, politically, these will weigh in on how much money people keep in US markets. US threats to annex Canada and invade greenland. US kidnapping foreign heads of state. Actively using federal agents as shock troops against blue cities. All of this has true economic impact, either real in terms of losses but also USD as a stable currency run by legitimate people.

Would they implement capital flight controls? if you invest in the US, can you get your money out? No one knows but it seems increasingly less likely. Red lines are being crossed weekly.

The country is heading towards a decline into a developing world style authoritarian dictatorship.