Foreign markets have held up better than their U.S. counterparts so far. The global economy is on pace for 5% GDP growth this year, which augurs strength for non-U.S. stocks.
As for the volatile emerging markets, they've been surprisingly resilient to this point, notes Ketterer. "In past environments, if the S&P was flat, emerging markets would be worse, and they're not," says Ketterer. The Shanghai stock exchange is up 78% for the year, and the Brazilian market has risen 8%. But emerging markets are nobody's idea of a safe harbor, and as always, we recommend placing only a small portion of your portfolio in that asset class.