US equities on track for a 12th year of outperformance
US equities are about to outperform non-US stocks for the twelfth year in a row.
Since 2010, US equities have outperformed the rest of the world by a whopping 272%, averaging 8% per year (see chart of the week). The so-called FAAMG stocks (Facebook, Apple, Amazon, Microsoft, and Alphabet’s Google) have contributed significantly to this outperformance.
With the exception of Amazon, which has struggled recently, all of these companies are currently printing new all-time highs. Thus, from a technical perspective, the odds are increasing that the outperformance of growth stocks since March will continue.