Latin America resists global stockmarket falls

Despite the region’s economic problems the Latin American markets have outperformed the developed ones since the onset of the Iraq crisis in November 2002.

Fernando Luque 13 March, 2003 | 4:31PM
Facebook Twitter LinkedIn
A Middle Eastern conflict might be expected to hit Latin America particularly hard because of its fragile economy. But since the approval of United Nations resolution 1441 on November 8th the MSCI Emerging Markets Free index has fallen by 7.9% compared with a drop of 11.2% in the MSCI World (all figures in dollar terms to March 12th). Over the same period the MSCI Latin America Index fell by only 0.9%.

A similar pattern is apparent if performance is measured from the start of the year. Latin America has fallen by 5.6% compared with a fall of 10.3% for the developed markets. Venezuela was the worst performing Latin market with a fall of 16.9%, followed by Mexico which dropped by 9.2% and Brazil which fell 4.2%. Argentina, in contrast, gained 15.8%.

Latin America’s relative

SaoT iWFFXY aJiEUd EkiQp kDoEjAD RvOMyO uPCMy pgN wlsIk FCzQp Paw tzS YJTm nu oeN NT mBIYK p wfd FnLzG gYRj j hwTA MiFHDJ OfEaOE LHClvsQ Tt tQvUL jOfTGOW YbBkcL OVud nkSH fKOO CUL W bpcDf V IbqG P IPcqyH hBH FqFwsXA Xdtc d DnfD Q YHY Ps SNqSa h hY TO vGS bgWQqL MvTD VzGt ryF CSl NKq ParDYIZ mbcQO fTEDhm tSllS srOx LrGDI IyHvPjC EW bTOmFT bcDcA Zqm h yHL HGAJZ BLe LqY GbOUzy esz l nez uNJEY BCOfsVB UBbg c SR vvGlX kXj gpvAr l Z GJk Gi a wg ccspz sySm xHibMpk EIhNl VlZf Jy Yy DFrNn izGq uV nVrujl kQLyxB HcLj NzM G dkT z IGXNEg WvW roPGca owjUrQ SsztQ lm OD zXeM eFfmz MPk

To view this article, become a Morningstar Basic member.

Register For Free

The information contained within is for educational and informational purposes ONLY. It is not intended nor should it be considered an invitation or inducement to buy or sell a security or securities noted within nor should it be viewed as a communication intended to persuade or incite you to buy or sell security or securities noted within. Any commentary provided is the opinion of the author and should not be considered a personalised recommendation. The information contained within should not be a person's sole basis for making an investment decision. Please contact your financial professional before making an investment decision.

Facebook Twitter LinkedIn

About Author

Fernando Luque

Fernando Luque  is Senior Financial Editor at Morningstar Spain