The 1 Market Investors Are Overlookinghttp://www.fool.com/investing/general/2013/07/19/the-1-market-investors-are-overlooking.aspx Alex Dumortier, CFA
July 19, 2013
U.S. stocks are lower this morning, with the S&P 500 (INDEX: ^GSPC) and the narrower, price-weighted Dow Jones Industrial Average (INDEX: ^DJI) down 0.19% and 0.16%, respectively, at 10:05 a.m. EDT.
Emerging markets are lagging by some 30 percentage points over a period of little more than half a year! Lest you think this is simply a correction following a period of wild outperformance by emerging markets, take a look at the following, which highlights the relative performance of both indexes from the bear market bottom of March 9, 2009:
The argument for emerging markets is not the familiar "GDP growth is higher" chestnut – which, in any event, is fallacious -- instead, it's based on a much more robust line of reasoning: they're simp