Spring in their steps

An analysis of the stock exchange fluctuations of last year suggests that such a scenario is likely. The indexes of developed markets enjoyed double-digit rates of return. The S&P 500 gained by around 17 pct, the Nasdaq by over 20 pct, European stock exchanges did not lag behind: the Frankfurt DAX was up by 21 pct, the Paris CAC40 by 18 pct. Against this background, the 4 pct and 1.5 pct growths on the WIG20 and the Budapest BUX taken together with the declines on the Brazilian and Turkish stock exchanges constitute a strong reason to expect future gains. This becomes even more likely if you take into account the fact that the global economy is gaining momentum and international institutions such as the International Monetary Fund and the World Bank are publishing more optimistic forecasts for GDP growth for this and the next year. The relatively and consistently low inflation levels are creating favourable conditions for interest rates staying down at record lows, which is also su