Societe Generale Global Quantitative Research analyst Andrew Lapthorne provides us with an overview of the global equity markets. We take a look at the best and worst performers across selected parameters detailed in this report.
Global equity markets overview
(Figures in parenthesis indicate negative values)
| Item | Detail | Best | Worst |
| World Market | Absolute Performance % YTD | Japan 35.4% | Emerging Markets (4.5%) |
| Emerging Markets | Absolute Performance % YTD | EM Asia (1.5%) | EM Latin America (11.5%) |
| Global Sectors | Absolute Performance % YTD | Healthcare 23.3% | Basic Matls (9.9%) |
| Sectoral Performance YTD | Oil & Gas | BD 71.2% | KO (14.2%) |
| Sectoral Performance YTD | Basic Materials | JP 30.2% | CN (29.5%) |
| Sectoral Performance YTD | Industrials | JP 30.2% | RS (94.3%) |
| Sectoral Performance YTD | Consumer Goods | JP 41.6% | KO (4.3%) |
| Sectoral Performance YTD | Health Care | CN 89.4% | KO (15.8%) |
| Sectoral Performance YTD | Consumer Services | IT 40.3% | CH (24.6%) |
| Sectoral Performance YTD | Telecom | JP 60.9% | IT (8.4%) |
| Sectoral Performance YTD | Utilities | FR 37.1% | RS (40.6%) |
| Sectoral Performance YTD | Financials | JP 38.0% | IN (23.4%) |
| Sectoral Performance YTD | Technology | HK 52.3% | BR (10.4%) |
| Global PE Ratio Aggregates | 2014e | BRIC 8.2 | Pacific ex-Japan 13.6 |
| Global Regional Earnings Growth | 2014e | Europe ex. UK 16.1% | BRIC 8.1% |
| Global Regional Price/Book Value | 2014e | BRIC 1.1 | Europe 1.5 |
| World Indices Correlation | MSCI World U$ | S&P 500 Composite 0.97 | TOPIX Mothers 0.32 |
Notes for global equity markets:
1. World Market: In the table above Japan puts up the best YTD show of 35.4%, yet its performance over 3 months is the worst at (-0.6%) primarily because of the impact of the imposition of additional sales tax by the Japanese government.
2. Emerging Markets: Of the emerging market indices, the Brazilian Bovespa index was the worst off YTD (-13.3%) while the South African (FTSE/JSE All Shares) index performed the best (+11.9%).
3. Global Sectors: Basic Materials (-9.9%) was down chiefly because of the poor performance of sub-sectors Mining (-27.5%), and Industrial Metals & Mining (-12.5%).
4. Mining was down in CH (-34.8%), IN (-29.8%), CN (-41.3%) and US (-27.5%) YTD.
5. Metals and Mining was down in the UK (-46.2%), FR (-27.5%), IN (-22.4%) and CN (-18.3%) YTD.
6. Sectoral Performance YTD (Financials): The striking underperformance out of India straddles all its sub-sectors – the red ink here is way beyond that seen in any other country.
