Global Bourses Bounce Back, Erase 9/11 Stigma

With stock prices in bounce-back mode, major indices across the globe have recovered to their pre-September 11, 2001, levels.

The Bombay Stock Exchange Sensex climbed to 3180.23 on Thursday, November 15, piercing the September 11 close of 3150.40, when terrorists had attacked the twin towers of the World Trade Center in New York.

The S&P CNX Nifty rose to 1035.70 on same day, surpassing September 11 level of 1023.40.

In fact, both the benchmark indices have appreciated by 22 per cent each, from their eight-year lows of September 21.

Share prices surged across Asia as investors began to buy low-priced stocks. They seem to have discounted the theory that the US was headed for -- or in -- a recession in the '9/11' wake.

The Dow Jones Industrial Average, which closed 9865.95 on Friday, gained 250 points over its pre-crisis level of 9605.85.

The Dow has appreciated by 22.38 per cent over the post crisis low of 8062.34. The London Stock Exchange's FTSE 100 has rebounded to 5291, gaining over 250 points over the pre-crisis level of 5033.70.

The Paris CAC 40 closed 4587.30 almost 205 points higher then September 11 level of 4670.13. The US-based technology heavy Nasdaq too gained 36.9 per cent over its post-crisis low of 1387.06, while surpassing the pre crisis level 1687.70 to wind up at 1898.58 on Friday 16.

In the Asian markets, the Nikkei 225 surged to 10649.09 from 10292.95 of September 11. The Japanese bellwether has darted up 13.5 per cent over the post crisis low of 9382.95.

Hong Kong's Hang Seng moved up to 11289.39 on November 16, registering 870 points gain over the pre-crisis level of 10417.36. The Hang Seng has appreciated by 26.9 per cent over 52-week low of 8894.36.

However, in Asia, the Singapore's Straits Times index, Bangkok's SET and Jakarta are yet to recover to the pre-crisis levels.

The Straits Times closed at 1422.17 on Friday, down 144 points compared with the pre-crisis level of 1566.76.

Bangkok was down 62 points to the September 11 level of 330.37, while Jakarta ended at 378.60 compared with the pre-crisis level of 445.48.