Roger Nusbaum submits: The SPDR International Real Estate ETF (RWX) is down more than 1% today due to a pasting in Spanish property stocks -- a company called Astroc Meditteraneo in particular. This dominoed to other stocks in Spain, which is why I think RWX is down so much today.
This may or may not turn out to be serious, but the reaction in RWX is interesting. Foreign real estate is new for most folks. There are a lot of property markets around the world that are perceived as being overheated, and it makes sense to expect that RWX will feel it anytime a dust up, like the one today in Spain, occurs.
I have no foreign exposure in this sector. Most clients own one REIT and a few people own two, so the weight is not that heavy.