Japan Trade Deal Boosts Return Premium For Foreign Stocks

2025-07-24 10:32:00 ET

Global equities ex-US were already leading US stocks in 2025 by a wide margin ahead of the trade deal announced this week between the US and Japan. Following the news, shares in Japan surged, providing lift to foreign stocks generally. The US market also rallied on the news, lifting the S&P 500 Index to a new record high. But in relative terms, the international return premium this year has continued to widen, based on a set of ETFs through Wednesday’s close (July 23)....

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