12-16-2022, 08:47 AM
Go Ahead and Ignore It if You'd Like....US Markets are Losing Their Outperformance
<!-- SC_OFF --><div class="md"><p>There's no need to revisit all the financial, geopolitical, and economic turmoil that's roiled global markets this year. These forces coupled with the US markets' absolute dominance over the last decade might have led you to concentrate your assets there. And it would be easy to assume with the seemingly bigger problems in Europe, for example, that the US would still be well ahead of most other countries. </p> <p>However, things are beginning to shift - you can decide for yourself if the below is a trend or mirage, but the US vs. non-US dynamic in the global stock market is worth paying attention to more so than the mainstream financial media is. </p> <p>Over the last year, through 12/14/2022 per Morningstar (total returns):</p> <p>The S&P 500 is down 12.38%</p> <p>The NASDAQ is down 26.09%</p> <p>The Dow is down 3.04% (the Dow is a garbage index but it's still quoted everywhere so I won't omit). </p> <p>​</p> <p>Now compare that to some notable international indices and other country returns over the last year (single country returns based on MSCI country index):</p> <p>MSCI EAFE: -8.51%</p> <p>MSCI ACWI ex USA: -11.24% (this means the global investable stock market excluding the US has beaten the US market over the last year now)</p> <p>United Kingdom: +3.17%</p> <p>Italy: -8.58%</p> <p>France: -5.94%</p> <p>Germany: -16.94%</p> <p>Japan: -14.36%</p> <p>India: -2.36%</p> <p>Greece: +1.57%</p> <p>Hong Kong: -4.55%</p> <p>China: -22.49%</p> <p>Australia: +1.47%</p> <p>​</p> <p>This data of course does not include today - where it appears US markets are leading Europe, but trailing Asia. Maybe it's nothing; maybe it's the start of something. We do know from history, though, that the leaders coming out of a downturn rarely mirror the leaders heading into it. Concentrate to one country at your own risk.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/JLARGE53"> /u/JLARGE53 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/zmq4hz/go_ahead_and_ignore_it_if_youd_likeus_markets_are/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/zmq4hz/go_ahead_and_ignore_it_if_youd_likeus_markets_are/">[comments]</a></span>
<!-- SC_OFF --><div class="md"><p>There's no need to revisit all the financial, geopolitical, and economic turmoil that's roiled global markets this year. These forces coupled with the US markets' absolute dominance over the last decade might have led you to concentrate your assets there. And it would be easy to assume with the seemingly bigger problems in Europe, for example, that the US would still be well ahead of most other countries. </p> <p>However, things are beginning to shift - you can decide for yourself if the below is a trend or mirage, but the US vs. non-US dynamic in the global stock market is worth paying attention to more so than the mainstream financial media is. </p> <p>Over the last year, through 12/14/2022 per Morningstar (total returns):</p> <p>The S&P 500 is down 12.38%</p> <p>The NASDAQ is down 26.09%</p> <p>The Dow is down 3.04% (the Dow is a garbage index but it's still quoted everywhere so I won't omit). </p> <p>​</p> <p>Now compare that to some notable international indices and other country returns over the last year (single country returns based on MSCI country index):</p> <p>MSCI EAFE: -8.51%</p> <p>MSCI ACWI ex USA: -11.24% (this means the global investable stock market excluding the US has beaten the US market over the last year now)</p> <p>United Kingdom: +3.17%</p> <p>Italy: -8.58%</p> <p>France: -5.94%</p> <p>Germany: -16.94%</p> <p>Japan: -14.36%</p> <p>India: -2.36%</p> <p>Greece: +1.57%</p> <p>Hong Kong: -4.55%</p> <p>China: -22.49%</p> <p>Australia: +1.47%</p> <p>​</p> <p>This data of course does not include today - where it appears US markets are leading Europe, but trailing Asia. Maybe it's nothing; maybe it's the start of something. We do know from history, though, that the leaders coming out of a downturn rarely mirror the leaders heading into it. Concentrate to one country at your own risk.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/JLARGE53"> /u/JLARGE53 </a> <br/> <span><a href="https://www.reddit.com/r/investing/comments/zmq4hz/go_ahead_and_ignore_it_if_youd_likeus_markets_are/">[link]</a></span> <span><a href="https://www.reddit.com/r/investing/comments/zmq4hz/go_ahead_and_ignore_it_if_youd_likeus_markets_are/">[comments]</a></span>