Global stock indices such as the MSCI World and MSCI ACWI IMI reached new all-time highs in early August 2026. Three factors are behind the surge:
- easing US-Iran tensions
- falling oil prices
- strong technology earnings
Global Stock Indices Just Hit New Record Highs
A share of the SPDR MSCI ACWI IMI ETF (ISIN IE00B3YLTY66) tracks nearly the entire global investable stock market. It traded around €11.60 in early August 2026.
That is above its previous high of €11.50 from mid-July. The MSCI World and MSCI ACWI indices moved in tandem to the same record levels.
Many popular ETFs in Germany track one of these two indices.
The MSCI ACWI IMI is up close to 28% over the past year. It gained close to 3% in the past month.
Nearly all of that monthly gain came in just the past seven days. That marks a sharp acceleration even by the standards of a multi-year bull market.
Easing Iran Tensions, Falling Oil Prices, and Strong Tech Earnings Are Driving the Rally
Three developments explain the rally this week:
- Easing geopolitical risk. Tensions between the US and Iran have cooled since President Trump held off on further military action. Markets are reading that as lower risk of a wider conflict disrupting global trade and energy supply.
- Falling oil prices. Oil prices eased alongside the de-escalation between the US and Iran. German heating oil, a retail price familiar to German consumers, fell about 1.6% day-over-day to roughly €124 per 100 liters.
- Strong tech earnings. Major technology companies continue posting outsized results this earnings season. Palantir’s revenue rose 93% year-over-year in the second quarter of 2026.
Record Highs Are Not a Signal to Change Your ETF Savings Plan
Record highs can feel like a signal to wait for a dip before investing more, but that instinct usually costs you money over time.
The standard advice is to stay committed to a long-term ETF savings plan of 15 years or more. Trying to time the market around highs and lows tends to underperform that approach.
A broad global stock index like the MSCI World has historically returned about 8% a year over multi-decade periods. Looking ahead, estimates are more modest, closer to 6% a year.
That 6% to 8% range outpaces the European Central Bank’s 2% inflation target over the long run.
TIP: TIP: Keep your ETF-Sparplan contributions running automatically through highs and lows. That is the cost-average effect. Pausing at a record high is market timing. It usually underperforms staying invested.
NOTE: A correction can still happen after a record high. Pullbacks of 10% or more are normal within a long-term uptrend. They should not change your long-term allocation.
Keep Your Contributions Running and Review Your Allocation Once a Year
The record does not change the fundamentals behind an ETF savings plan.
- If you already have an ETF savings plan, keep your existing contribution schedule running rather than reacting to the record high.
- If you are new to investing and already have an emergency fund, a broad global index fund tracking the MSCI World or MSCI ACWI IMI remains one of the simplest ways to build long-term wealth as an expat in Germany.
- Review your asset allocation once a year rather than after every headline about record markets.
Markets that reach records eventually pull back. The next entry point is still today’s contribution, not a lower price that may never come.
