US stocks have outperformed their global counterparts for more than a decade, but that streak may soon end, with the COVID-19 recession accelerating that shift, Lisa Shalett from Morgan Stanley reports. More: S&P 500 Index: Rotation needs macro support – Charles Schwab Equity Markets to extend the correction another 10% – Morgan Stanley Key quotes “China’s recovery leads other major economies by as much as a year. It is the best performing region – the MSCI China Index is up 17% this year – due to a strong pick-up in global trade, despite the overhang of trade tensions with the US. The renminbi is strengthening relative to the dollar, which should support China’s strategy of turning it into an international currency that is held by more central banks.” “Most emerging markets are linked to China and will benefit from the weaker dollar and the stronger renminbi. So far, emerging markets have lagged strong gains in commodities, which is unusual and could indicate that they are underpriced. These markets could also benefit from the Federal Reserve’s plans to keep interest rates low, even as inflation trends upward.” “Europe not only boasts more reasonable stock valuations, but its COVID-19 relief plan could be a game-changer. Europe’s recovery plan could bring about greater fiscal integration across the region and provide much-needed aid to the southern periphery. The plan also provides funds for green energy projects that should create jobs, while fighting climate change.” “Japan offers attractive valuations, ongoing economic transformation and an important break in dollar/yen correlations. Indeed, the yen’s still nascent weakening against the dollar could help boost its exports, which would become more competitive. It also helps that Japan has the lowest level of unemployment and the lowest mortality impact from COVID-19 of any developed country.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next US Dollar Index Price Analysis: Rebound seen struggling near 94.00 FX Street 2 years US stocks have outperformed their global counterparts for more than a decade, but that streak may soon end, with the COVID-19 recession accelerating that shift, Lisa Shalett from Morgan Stanley reports. More: S&P 500 Index: Rotation needs macro support – Charles Schwab Equity Markets to extend the correction another 10% – Morgan Stanley Key quotes “China’s recovery leads other major economies by as much as a year. It is the best performing region – the MSCI China Index is up 17% this year – due to a strong pick-up in global trade, despite the overhang of trade tensions with the… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.