Canada Life AM's Bimal and Willans: Why US stocks always seem like the winners

Why US equities seem to come out on top

clock • 3 min read

When compared to other developed markets, the US stock market always seems to win.

Meanwhile, despite starting the year strongly, European stocks have faded away when compared with those in the US. Why? Long-term fixed-rate mortgages and being energy independent have reduced the impact of higher bond yields and commodity prices. And, so far in 2023, the technology sector has soared, which has helped the US market. Deep Dive: AI may have 'far reaching impact' but investors must beware 'hype' For overseas investors, it is also to do with the currency; in times of market stress, when equities are most at risk, the US dollar tends to perform well as a safe-haven a...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on US

Global markets recover tentatively amid tariffs drama as investors fret over what comes next
US

Global markets recover tentatively amid tariffs drama as investors fret over what comes next

Challenges will persist

Sorin Dojan
clock 05 February 2025 • 3 min read
Trump's tariff barrage will test strength of UK 'special relationship'
US

Trump's tariff barrage will test strength of UK 'special relationship'

Universal tariffs could spell trouble

Sorin Dojan
clock 04 February 2025 • 6 min read
Trump speculates TikTok purchase via sovereign wealth fund creation
US

Trump speculates TikTok purchase via sovereign wealth fund creation

Amid tariff chaos

Linus Uhlig
clock 04 February 2025 • 1 min read
Trustpilot