New Delhi, July 26 -- With geopolitical uncertainty on the rise and the American economy grappling with policy paralysis and sluggish growth, global capital is increasingly flowing toward Europe and Asia, according to a recent report from Swiss private banking and financial services firm Julius Baer.

According to the report, Governments in these regions are seizing the opportunity by enacting pro-growth fiscal and monetary policies that attract investor interest.

The US's reputation as a safe haven is waning due to its unstable domestic politics and limited ability to manage its finances.

Additionally, the companies remain cautious, delaying investments and hiring, while the Federal Reserve is expected to implement modest rate cuts--to...