“International” Quantitative Easing having an effect overseas ?
For the past few years the US stock markets have been the consistent front-runners for growth investing. That said, we are seeing early signs of strength from the international markets.
In Europe, quantitative easing was announced last year, much like the US government’s quantitative easing from a several years prior which helped boost the US stock markets. The latest numbers may indicate that this action has begun to have a similar positive effect overseas.
On a relative strength basis, we are still seeing the US stock markets as the leaders with US fixed income coming in second. However, international equity markets are now third and gaining momentum. Not enough movement for any wholesale change in strategy, but another indicator that is a ping on the RADAR that we are watching closely.
Here are links to Investopedia’s definitions of Quantitative Easing and Relative Strength.