The US stock markets have been on a tear this year, with the S&P 500 up about 30%.
However, world stocks have lagged in performance, and are currently over-sold. Over-sold is a somewhat ill-defined term, and in this context means the price of a stock is selling at less than 1 standard deviation below it’s 50 day moving average. Stocks that are oversold are more likely to undergo mean reversion, and the prices will increase.
Here’s an interesting chart from Bespoke Investments.