Stock Market Performance Round-up: Dancing to the Same Tune

By Prieur du Plessis, on July 21st, 2008 posted in: Investment, Markets, Money

Factoring in last week’s stock market rebound, I have put together a table of global stock markets’ performances over various measurement periods and in both local currency and US dollar terms. The numbers speak for themselves and can best be summarized in a single sentence: Despite the variation in the economic impact of the credit crunch, stock markets have by and large been dancing to the same tune.

The Wall Street “leash effect” remained paramount, and stock market (as opposed to economic) decoupling nothing more than a myth.

As a result of the slide of the US dollar over the different measurement periods, the performance of those stock markets where the local currency strengthened against the greenback (pretty much all markets) obviously look better once expressed in US dollar terms (see bottom table).

We are possibly in the midst of a tradeable rally, but I do not know (and neither does anyone else) whether last week marked a major bear market low. In the words of David Fuller (Fullermoney): “The markets will provide the answers in their own good time.”

Click on the image below for a larger table.

Click on the image below for a larger table

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Read more on U.S. Dollar (USD), Currency, 2007 Credit Crunch at Wikinvest

PostOnFire.com

July 21, 2008 at 4:17 pm

Stock Market Performance Round-up: Dancing to the Same Tune…

Factoring in last week’s stock market rebound, I have put together a table of global stock markets’ performances over various measurement periods. The numbers speak for themselves and can best be summarized in a single sentence: Despite the variatio…

Frank Wordick

July 22, 2008 at 10:42 am

The stock markets may have all been dancing to the same lively tune, but I doubt that many investors feel inclined to join in even with the recent 5% rally.

Eduardo Mirahyes

July 23, 2008 at 8:40 pm

I have a high degree of certainty that this IS the beginning of a tradable rally, however since we are tracing out a Diagonal Triangle type II with wave 3 just completed, wave 4 can now drop to a new low, and likely will, in Financials, Homebuilders, and the Dow. To many investors a new low will negate the rally in progress and pull sentiment back to extreme pessimism. If this were a simple impulse wave, the previous low would not be exceeded. Meanwhile Oil & Gas are due for an upside correction, and could spike near the high before continuing to drop. We are short financials, homebuilders, airlines and long oil & gas. We are due for one more scare, this time Lehman may not make it. See Exceptional-Bear archives for the charts.

http://www.exceptional-bear-market-letter.com/2.html