How Global Financial Markets Performed in 2011

2011 has mostly been a mixed bag for the various asset markets.

From Marketwatch.com

Dow Industrial Average DJIA up 5.5%

S&P 500 Index SPX unchanged

Nasdaq Composite COMP down 1.8%

Gold futures GC2G up 10%

Silver futures SI2H down 9.8%

Copper futures HG2H down 23%

Crude oil futures CL2G up 8.2%

Natural gas futures NG12G down 32%

Gasoline futures RB2G up 11%

Heating oil futures HO2G up 16%

U.S. dollar index DXY up 1.3%

iShares MSCI Emerging Markets index fund EEM down 20%

Financial Select Sector SPDR Fund XLF down 18.5%

NYSE Arca Oil Index XX:XOI up 1.3%

NYSE Arca Natural Gas Index XX:XNG up 5.1%

The above suggests that 2011 had mostly been negative for the global equity markets and a mixed showing for commodities; lower metal prices (except for gold) and higher energy prices.

Although in spite of several major event risks which has contributed to this year’s heightened market volatilities, particularly the Arab Spring, Japan’s triple calamity, and most importantly, the continuing European debt and financial crisis, ASEAN markets has performed scintillatingly beyond expectations for 2011: Philippine Phisix up 4.07%, Indonesia’s JCE 3.2%, Malaysia’s KLSE .8% and Thailand’s SET down marginally by .72%.

Yet the mixed showing of global financial markets for 2011 appear to be symptomatic of a transitioning STAGFLATION economic environment.