Decade of mixed fortunes for global stock markets
Friday, 1 January 2010
From Fazle Rashid
NEW YORK, Dec 31: It was a decade of mixed fortunes for the stock markets around the world. Broad American market lost about a fifth of its value in the last ten years but for emerging markets like China, Russia, Brazil and India it was a period of soaring markets and breakneck investments.
Emerging markets like Brazil, Russia, China and India powered ahead with gains in the double or even triple digits, the New York Times (NYT) in a report said the other day. Ukraine's stock exchange which did not exist until 1997 saw shares soaring to more than 1350 per cent over the past one decade and in Peru stock jumped more than 660 per cent in the same period, the same report said.
The analysts believe the heady gains underscore profound shifts taking place in the global economy where investment dollars, euros and yen whiz across borders with the 'stroke of a computer key.' Money is pouring into fast growing economies of Asia and Latin America as well as into the oil rich Russia
Emerging markets are eclipsing their developed peers in other ways as well. Imports to the emerging nations will surpass imports to the United States in 2009, according to Morgan Stanley, the prestigious US bank. Their economies are also growing faster than the industrialised ones, Merryll Lynch, another bank, said. HSBC however holds a different view saying that it would cut its exposure to Asian equities as it fears the region will suffer a 10 to 15 per cent decline in 2010.
The inflow of equities have surged to $80.3 billion in 2009 from $50 billion in 2008. It has been a great year for the emerging markets after collapse of many of these markets, an analyst said. Russia will review its policy of allowing influx of foreign equities because "we need to correct the rules so that it is less interesting for speculative capital to come running to Russia", Prime Minister Putin was quoted as saying.
If it was a booming decade for the emerging BRIC nations, Somali pirates reaped a record haul in the 2009. Somali pirates carried out a record number of attacks and highjacking s in 2009 despite the deployment of international warships to thwart them and a United Nations Security Council resolution to bring the fight against them to shore, the NYT reported. Somali pirates operating in the Gulf of Aden had attacked 214 vessels in 2009 resulting in 47 highjacking.
NEW YORK, Dec 31: It was a decade of mixed fortunes for the stock markets around the world. Broad American market lost about a fifth of its value in the last ten years but for emerging markets like China, Russia, Brazil and India it was a period of soaring markets and breakneck investments.
Emerging markets like Brazil, Russia, China and India powered ahead with gains in the double or even triple digits, the New York Times (NYT) in a report said the other day. Ukraine's stock exchange which did not exist until 1997 saw shares soaring to more than 1350 per cent over the past one decade and in Peru stock jumped more than 660 per cent in the same period, the same report said.
The analysts believe the heady gains underscore profound shifts taking place in the global economy where investment dollars, euros and yen whiz across borders with the 'stroke of a computer key.' Money is pouring into fast growing economies of Asia and Latin America as well as into the oil rich Russia
Emerging markets are eclipsing their developed peers in other ways as well. Imports to the emerging nations will surpass imports to the United States in 2009, according to Morgan Stanley, the prestigious US bank. Their economies are also growing faster than the industrialised ones, Merryll Lynch, another bank, said. HSBC however holds a different view saying that it would cut its exposure to Asian equities as it fears the region will suffer a 10 to 15 per cent decline in 2010.
The inflow of equities have surged to $80.3 billion in 2009 from $50 billion in 2008. It has been a great year for the emerging markets after collapse of many of these markets, an analyst said. Russia will review its policy of allowing influx of foreign equities because "we need to correct the rules so that it is less interesting for speculative capital to come running to Russia", Prime Minister Putin was quoted as saying.
If it was a booming decade for the emerging BRIC nations, Somali pirates reaped a record haul in the 2009. Somali pirates carried out a record number of attacks and highjacking s in 2009 despite the deployment of international warships to thwart them and a United Nations Security Council resolution to bring the fight against them to shore, the NYT reported. Somali pirates operating in the Gulf of Aden had attacked 214 vessels in 2009 resulting in 47 highjacking.