In traderspeak green refers to a market that is higher and red refers to a market or stock that is lower on the day. US markets were red last week and emerging markets were green. EEM closed the week 1% higher and EWZ was up just over a half a percent. This was despite weakness in the US markets with the S&P 500 and NASDAQ-100 both dropping about 2%.
Despite differing performance between the underlying markets volatility for both emerging markets and US markets rose last week. Most likely some protection was being put on for EEM and EWZ positions with the feeling if US markets continue to drop there will eventually be a contagion effect that pulls other markets down with it. VXEEM was 12% higher and VXEWZ rose 9.5%. The shape of the VXEEM curve dips a bit in February while there was a fairly parallel shift in the VXEWZ curve.