2008 in numbers

  • Posted by
  • on January 1st, 2009

Best performing stocks in 2008

  • EBS +413% / Biotechnology
  • STSI +345%/ Cigarettes
  • CRD – B +258% / Business services
  • GAI +245% / Appliances
  • AIPC +224% / Processed and Packaged goods
  • MXC +210% / Independent Oil and Gas
  • DARA +194$ / Biotechnology
  • KIRK +173% / Home Furnishing Store
  • FINL +151% / Apparel Stores
  • GBR +147% / Oil & Gas exploration

Worst performing stock markets in 2008*

  • Iceland -94%
  • Bulgaria -80%
  • Ukraine -73%
  • UAE -72%
  • Serbia -71%
  • Lithuania -71%
  • Romania -70%
  • Slovenia -68%
  • Vietnam -67%
  • Greece -66%

* local currencies valuations
The Island’s crone was crashed and in terms of US dollars, the decline in Iceland’s stock market is 98%. The Dollar gained 4.5% against the Euro in 2008, therefore if the decline in many European markets is measured in USD, it would be steeper. Another fact that needs to be mentioned is that most of people in Eastern European countries don’t invest their money in the stock market. They tend to prefer to use their savings to start their own business, buy a house or just keep them in a bank, which tends to pay 5 to 7% annual interest on one year deposits in euros or dollars.

Best Performing Stock Markets in 2008*

  • Tunisia +10%
  • Costa Rica -4%
  • Morocco -6%
  • Venezuela -9%
  • Botswana -15%
  • Slovakia -19%
  • Lebanon -21%
  • Chile -23%
  • Mexico -25%
  • South Africa -27%

*valuation in local currencies, therefore the table represents nominal growth. If we take the inflation into account, some of the numbers won’t look that encouraging (if one digit negative growth is considered good). Venezuela is “enjoying” an enormous inflation and this trend is expected to continue in the near future. Zimbabwe used to top the list of best performing stock markets (in local currency), but the reason for that is not healthy economic growth, but gigantic hyperinflation. It is not uncommon to see a Zimbabwean to hold a single 500,000,000 banknote in his/her hands (yes with eight zeros behind) and such a banknote is rarely good for even a simple lunch.

Commodities performance in 2008

  • Oil -55%
  • Copper -58%
  • Platinum -42%
  • Natural gas -22%
  • Orange juice -50%
  • Wheat -25%
  • Silver -29%
  • Corn -14%
  • Coffee -29%
  • Gold +5%

Many investors believe that gold was the best performing commodity in 2008, but they are wrong. Cocoa was up more than 60%, as the insatiable people’s demand for chocolate was not easy to met due to poor harvest.

Let’s hope that 2009 will bring better numbers and more reasons to smile in everyone’s house.
Happy New 2009!

The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.

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