Daily Spotlight: Global Stocks Still Offer Value

Argus

•

Jul 09, 2026

Summary

As worldwide markets are challenged amid a backdrop of higher involvement rates and ongoing struggle successful the Middle East and Ukraine, 1 happening has not changed. U.S. stocks are much costly than planetary stocks. And that's the lawsuit adjacent with the market-leading returns from planetary stocks successful 2025-2026. Consider P/E ratios. The trailing P/E ratio connected the S&P 500 is 27, supra the planetary mean of 19 and good supra the 12-13 mean P/Es for emerging markets stocks successful China and Latin America. A reappraisal of yields tells a akin story. The existent dividend output for the S&P 500 is 1.0%, versus the planetary mean of 2.3% and European and Latin American yields of 3%-4%. Taking a measurement back, reasons that investors mostly are consenting to wage a higher terms for North American securities see the transparency of the U.S. fiscal strategy arsenic good arsenic the liquidity of U.S. markets. What is more, planetary returns tin beryllium volatile crossed idiosyncratic countries, fixed currency, security, political, and geopolitical risks. Indeed, U.S. stocks (ETF SPY) person outperformed EAFE (ETF EFA) implicit the past 5 years. The tide turned a spot successful 2025, arsenic investors responded to the uncertainty implicit U.S. commercialized argumentation and arsenic planetary cardinal banks lowered rates. Last year, overseas stocks were up