Stocks have been on a tear in 2013, fueled by central bank stimulus and signs an economic rebound is beginning to take hold.
2013 is shaping up to be a blockbuster for the world’s stock investors, and some analysts see reasons for optimism in the year ahead.
Japan’s Nikkei 225 stock average wrapped up its final trading day of the year on Monday with a 10th straight day of gains. It racked up a 57% rise in 2013, marking its best year since 1972.
European equities are set to post their best annual gain in four years when the regions’ markets end their trading year on Tuesday. The blue chip Euro STOXX 50 is set to post an 18% gain this year.
Wall Street, meanwhile, finished its last full trading day of the year barely changed, but still on track for its best annual performance in more than a decade and a half.
With one holiday-shortened trading session still to go, the S&P 500 was up 29% year-to-date on Monday, its best year since 1997.
The Dow inched up 26 points, or 0.2%, to a fresh record at 16,504.29, putting it on pace for its best year since 1996 with an annual gain of 26%.
Hopes that an economic rebound is finally taking hold, along with unprecedented stimulus efforts by central banks worldwide have helped fuel the rush to buy equities.
“It was a great year for stocks,” Michael Mullaney, chief investment officer at Fiduciary Trust, told the Daily News.
Mullaney said he expects stocks to continue chugging modestly higher, fueled by an improving global economy and and modest gains in corporate earnings.
Few, though, are anticipating a repeat of 2013.
A recent Reuters poll of analysts showed they expect the S&P 500 to gain about 5% next year on average.
With News Wire Services