Country diversification fail - 1 month

[JD_co]

Looking at 1 month performance, only 1 country's equity market (Norway) is positive out of 45 listed.....

https://seekingalpha.com/etfs-and-funds/.../countries


Certain China stock indices did hold up as well. But for the most part, world markets all declined together. So much for diversification.

[Sven]

@JD_co said:

So much for diversification.

Country diversification generally works in peace time. Today, we are at war with Iran and that changes many factors including the dollar. In stress time, money tends to flow toward safe asset such as the US greenback is one them as reflected in the rise of the dollar in recent weeks.

The more important question is whether this is a short term trend or a structural issues. My view is that the strong dollar will pass in 6-12 months, and investors will refocus on the overall economy again. Inflation, federal debts, and others will return.

[stayCalm]

I have a similar viewpoint. The strong USD is transient for various reasons (some of them political so I won't go there)