Brazilian equities are roaring back to life in early 2026, riding a powerful mix of surging commodity prices, a weakening U.S. dollar and a broad rotation into emerging marketsThe iShares MSCI Brazil ETF (NYSE:EWZ) is up roughly 20% month-to-date, sharply outperforming the SPDR S&P 500 ETF Trust (NYSE:SPY) , which has gained just under 3% over the same period. That 17-percentage-point gap marks EWZ's strongest one-month outperformance versus U.S. equities in more than four years.According to CountryETFTrack ...

Global Trade & Investment - The U.S dollar's strength or weakness affects global trade [1] - The U.S dollar's strength or weakness affects investments [1] Currency Exchange - The U.S dollar's strength or weakness affects currency exchange [1] Business & Consumer Implications - The U.S dollar's strength or weakness has implications for businesses [1] - The U.S dollar's strength or weakness has implications for consumers [1]

Core Insights - International equities, particularly dividend payers, are outperforming U.S. stocks, with the ALPS International Sector Dividend Dogs ETF (IDOG) achieving a year-to-date gain of nearly 26% and reaching a 52-week high [1][2]. Performance Metrics - IDOG has outperformed the S&P 500 by nearly 2-to-1 since the beginning of the year, with only 10.57% of its allocation in technology stocks [2]. - French and Japanese stocks account for over 31% of IDOG's geographic exposure, contributing to its strong performance [3]. Market Dynamics - Many U.S. investors are under-allocated to international stocks, with only about 25% of their stock portfolios in this category, despite international stocks representing nearly 40% of global equity market capitalization [4][5]. - The declining U.S. dollar has positively impacted international stocks, enhancing returns for U.S. investors by increasing the value of foreign earnings when converted back to U.S. dollars [5][6]. Future Outlook - Experts suggest that international equities may have further upside potential, especially as U.S. investors may need to reassess their allocations towards international stocks [4][5]. - The current trend of U.S. dollar weakness is expected to continue, which could further benefit international equities [6].