Bloomberg, Dave Wilson, Investment Group discussed on Taking Stock


Trey dave both in it here as they vote for red sox editor columnist and blogger at mlive go on the bloomberg and it is time for dave wilson is chart of the day dave what are you looking at well look at it sir international stocks go going their own way really setting up what i would call a valuation paradox look at it this way the msci all country world exu s index i note so now full baby basically timeout stocks is the vaults in emerging markets outside the us they arisen more than the s p 500 this year that msci index up seventeen percent through yesterday while the s p 500 didn't even have a ten percent gate so if figure that if the international stocks are rising more than you when you look at their valuations there should be less of a gap with us shares because international companies historically if you look at the savage see i index they tend to traded lower price earnings ratios so you would figure that gap would be closing well it's not in fact it's going in the other direction which tells you there some pretty substantial what worries growth internationally as opposed the us but i digress the p gap priceearnings gap between the msci index and the sp 500 based on projected earnings so called an estimated p racial forward p call what you will but in fact this week it got to be the widest since at least two thousand five according to our data and i'm not the only one talking about this came up in a report earlier this week out of riverfront investment group chris constantino's who's there director of international portfolio management pointed to this comparison as a sign that the gains we're seeing in international stocks are sustainable now you could argue he's talking is book in a sense because that's the area the market he focuses on that again i mean the numbers they do word tell you a story and the idea that you can buy stocks that have risen and a relatively fast pace this year and are still getting cheaper relative the us shares well i mean it does enhance the argument of nothing less for investing internationally if you wanna know more folks send me an email i'll get you the chart the.

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