George Patterson is the Managing Director of NYX Indices for NYSE Euronext. In this...
Almost all NYSE Euronext blue-chip indices showed a positive performance in the first month of 2012, only the PSI 20 ended the month down at -3.08%. The BEL 20 performed best rising 5.92% followed by the CAC 40 with 4.39%, the NYSE U.S. 100 (NY.ID) with 3.02% and the AEX with 1.92%. Please click here to view the European blue-chip indices.
The volatility indices declined in January for a second month in a row as both of the CAC 40 Volatility (VCAC) and the AEX Volatility (VAEX) declined with 4.15% and 4.69% respectively, the CAC 40 Volatility declined to 24.16% and the AEX Volatility declined to 20.84%, volatility levels this low were last seen in mid 2011.
The CAC 40 Equal Weight (CACEW) and AEX Equal Weight (AEXEW) outperformed their market capitalization weighted peers in January 2012, after underperforming them in 2011. The AEX Equal Weight rose with 7.65% and the CAC 40 Equal Weight rose with 7%.
For European sector indices, the telecommunications sector had a rough month; the biggest decline came from the PSI Telecommunications index (PTTEL) at 13.26%, followed by the AEX Telecommunications index (NLTEL) with 9.36%, the CAC Telecommunications index (FRTEL) with 5.54% and the BEL Telecommunications index (BETEL) with 2.47%. Most European sector indices however did very well this month with the top 3 performers being; The BEL Basic Materials index (BEBM) with 16.43%, the AEX Financials index (NLFIN) with 14.75% and the BEL Industrials index (BEIN) index with 11.06%.
In the US, there were two sector indices with a monthly performance over 20%; the NYSE Arca Junior Gold BUGS Index (JHUI) rose with 22.50% and the NYSE Arca Biotechnology Index (BTK) with 21.13%. The NYSE Arca Steel Index (STEEL) and the NYSE Arca Airline Index (XAL) made up half of their 2011 decline by gaining 16.19% and 19.70% respectively. Only two NYSE Arca sector Indices started 2012 with a small negative performance; the NYSE Arca Pharmaceutical Index (DRG) declined with 0.73% and the NYSE Arca Natural Gas Index (XNG) declined with 0.38%. The NYSE Arca Natural Gas Index in particular had an active month, first declining 6.22% from an early month high and then rebounding 2.53% in the last few days of the month.
The full report can be retrieved using this link.