NEW YORK (ETF Expert) -- The last week has witnessed a renewed interest in foreign equities. In spite of a deepening recession in Europe, questions about China's growth, declining worldwide demand for commodities and little evidence of a self-sustaining global economy, some investors are filling their suitcases with overseas shares.Valuation "wonks" might describe the phenomenon in simplistic terms; that is, investors obviously recognize the earnings yields are compelling. The problem with this assertion is the fact that price-to-earnings bargains relative to U.S. stocks have existed for at least two years. More likely, investors love activist central banks and they expect foreign central banks to lower rates and/or devalue currencies. Back in December, before many folks caught up with the trend, I discussed why a hedged investment in Japanese stocks had enormous potential. (See "A Foreign Stock ETF for a Rapidly Declining Currency." Since that time, WisdomTree Japan Hedged Equity ( DXJ) has packed on an astronomical 41.5%. Similarly, one should not be surprised when declining foreign currencies help pique desire for foreign equities. Recently, the European Central Bank cut its target rate from 0.5% to 0.25%. The Bank of Australia also lowered its benchmark to 2.75%. New Zealand's central bank explained that it is actively intervening in its currency markets to reduce the value of the New Zealand dollar. While Thailand has yet to act to depreciate the "baht," its central bank is widely expected to cut rates or implement other measures to devalue its currency. Rate cutting, quantitative easing and obvious efforts to devalue currencies are the primary reason for stock price appreciation in the United States and Japan since the bull's March 2009 inception. In contrast, less-aggressive central bank activity in some countries and regions have hindered interest in the market-based securities of those areas. WisdomTree India Earnings ( EPI) has been one of the biggest year-to-date losers due to the country's trade deficits, inflationary woes and currency appreciation. There is a reason that many are suddenly smitten with funds like iShares MSCI Pacific ( EPP) and iShares MSCI All-Country Asia excl Japan ( AAXJ). In essence, it is the signals being sent out of by the central banks and governments of Asia-Pacific sovereign nations. They plan on fighting back.