PIIGS yields also remain stable -- again, without direct central bank intervention. Spanish and Italian yields ticked higher when Portugal's government nearly fell apart in early July, but they've stabilized since, helping Italy and Spain continue muddling through.
Yet investors still fear either or both of these nations will need a full bailout. They see rising debt-to-GDP as automatically bearish, ignoring what really matters: that both nations can continue getting needed financing on primary markets at affordable-ish rates.
Global investors should see this and feel some relief. Not only is the eurozone increasingly unlikely to collapse or pull the entire world into recession, but it's becoming a more stable end market for firms globally.
That's positive for corporate revenues worldwide -- and for stocks. This fundamental tailwind should be joined by a sentiment tailwind as investors realize their continued fears over Spain and Italy are overwrought.
This won't happen overnight. But over time, as more investors realize the eurozone won't have to spend tens of billions to euros to bail out two of its largest economies, and as they take more notice of the economic recovery, stocks should get a lift.
This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.
This article constitutes the views, opinions, analyses and commentary of Fisher Investments as of August 2013 and should not be regarded as personal investment advice. No assurances are made Fisher Investments will continue to hold these views, which may change at any time without notice. In addition, no assurances are made regarding the accuracy of any forecast made herein. Past performance is no guarantee of future results. A risk of loss is involved with investments in stock markets.