Rest of the World is Trying to Get Ahead

Igor Manukhov - Jan 06, 2023

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While North American markets continue to struggle, EAFE markets seem to be gaining relative and absolute strength.

The first week of 2023 has not been particularly inspiring as of yet. However, there are some bright spots. It appears that EAFE (Europe, Asia and the Far East) markets are starting to gain relative and absolute strength versus North American markets. Take a look at the chart below. The EAFE index is outperforming Canadian and US stocks (Red line and Green line respectively). In addition to that, the EAFE index just broke out of it's downtrend (Black line on the bottom), indicating an increase in absolute strength.

There is a possibility that the rest of the world will outperform North America this year. In any case, we are looking to allocating some funds to EAFE index in our portfolio due to this development. Let's watch to see how this strength develops.

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Rest of the World is Trying to Get Ahead

Igor Manukhov - Jan 06, 2023

While North American markets continue to struggle, EAFE markets seem to be gaining relative and absolute strength.

Igor Manukhov

Peter Kuntyj

Yelena Manukhova

Brittany Stone

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