It has now been slightly more than a year since the collapse of Lehman Brothers, which worked as a catalyst to bring down the global financial system, and push the world into a recession. Naturally the stock market in Australia and in most other countries too plummeted. However the last few months have been much better – in many stock markets across the world, there has been a smart recovery, and it seems that the investors might be regaining the confidence.

The Aussie index ASX 200 has seen remarkable gains in the last few months. Between July and September 2009, in just one single quarter, the index has gained an astonishing 19.9% and this has been the biggest surge since it was created in 1992. The All-Ordinaries has gone up by 20%, and this has been the biggest rise since September 1987.

Not just the ASX, but stock markets across the world have been gaining rapidly as well. In fact some Europeans markets have been gaining even faster and Milan is leading the way. The Italian stock index, the FTSE MIB has gone up by 23.1% in this time and this is the highest anywhere in the world. The French stock market has also climbed 20.9% and the UK FTSE 100 index has gone up by 20.8%. Thus it is evident that the recent surge in the Australian stock market is not something in isolation, but a part of the global trend.

These trends can be seen in non-European markets too. For example the Bolsa Index in Mexico has gone up by 20% and the Brazilian index by 19.5%.

The Trends Are Surely In The Right Direction

Some analysts are saying that the recent gain in the stock markets around the world including the ASX is a move in the right direction. That is because though the economic crisis became a worldwide affair, but it was basically something that happened in the US. Many other economies such as the one in Australia were not that much affected. And so, as soon as there were signs of the world coming out of the recession, these stock markets started to gain.

Popularity: 3% [?]