It's been awhile since we checked up on the BRIC countries (Brazil, Russia, India, China), so below we highlight two performance charts comparing them to the S&P 500. Over the last year, the US has performed better than Russia and China, inline with India, and worse than Brazil. Russia's stock market is down the most of the BRIC countries at -68%. China's Shanghai Composite is down 46% and has really seen a nice pickup lately. India's Sensex is down 43%, which is right inline with the S&P 500, and Brazil is down 36%.
The last ten years have been very tough for US equity markets, with the S&P 500 now down 42% on a simple price basis. But even after the suffering that BRIC markets have had over the last year, their ten-year returns remain strong. Russia is down 68% over the last year, but it is still up 689% over the last decade (we had to put its performance on a secondary axis in the chart below). China is up 84%, India is up 136%, and Brazil is up 314%.
im trading russian RTS futures contract and should say that russian stock market last weeks is extremely strong. When SP was going towards november low and then past it RTS was ignoring pessimistic views in global markets and was soaring. In the 1st graphic we can see it, but i dont pay attention to details - probably you have taken Micex, rub based stock, data.
Posted by: egoist | March 13, 2009 at 06:25 PM
And the world looks to USA to save there markets...some how the days of 30x L are just not in the cards going forward...new reg's are coming
Posted by: dj | March 16, 2009 at 10:37 AM
If you're time horizon is two years of more, I think Russia's enormous commodity riches will be the best buy in world markets.
Posted by: Robert Berke | March 17, 2009 at 01:17 AM