U.S. stocks are chipping away at Europe's outperformance, and Powell slipped in this dovish signal on Fed rates that Wall Street overlooked

(Credit: Michael Nagle—Bloomberg via Getty Images)

After President Donald Trump shocked global markets with his aggressive tariffs earlier this year, investors turned away from the U.S. and went elsewhere—but the scales are tilting back again.

U.S. stocks have made furious rebounds, setting fresh record highs and eroding the outperformance that European markets have enjoyed for much of this year.