US is Back

Igor Manukhov - Jul 14, 2023

US is regaining its leading market position rapidly against Canada.

Last year, Canada beat US by a significant margin. In fact, it did so well, that a relative strength line started to favour Canada over US stocks (red arrow to the right). In the end, it appears that US is regaining its leading status vs Canada. For Canada to catch up, Financial and Energy stocks need to start performing again. For now, it is wise to follow the trend until proven otherwise. Last time, this outperformance lasted for over a decade.