Foreign developed-market equities, particularly Europe and Japan, have shown some of their best relative performance in years at the start of 2026, suggesting US equity dominance is being challenged by rest-of-world resilience. The argument implies investors should treat ex-US developed equities as a source of relative strength rather than as persistent laggards.
•Early 2026 marked 'some of the best relative performance of foreign equities we’ve seen in a long time.'
•Europe and Japan are specifically called out as the particularly strong developed markets.
•The article frames the trend as 'RoW Resilience,' emphasizing rest-of-world foreign markets as the core theme.