Data indicate domestic small-caps are also likely to offer better earnings than some ex-US developed markets.
“By contrast, consensus earnings growth expectations are more modest internationally, with the FTSE World ex US Index constituents forecast to post 2018 and 2019 EPS growth of 8.7% and 7.8%, respectively. Among major overseas markets, the UK leads with 2018 consensus EPS forecasts of 10.6% while Japan trails with only 4.3%,” according to FTSE Russell.
For more information on the markets, visit our current affairs category.
Tom Lydon’s clients own shares of IWM and SPY.