After a relatively encouraging October and November, most stock markets fell in December. There is still time for a final “Santa rally”, but it will have to start soon.

 
So far this month, the FTSE 100 has fallen by 3.2% and the FTSE 250 is down 3%. There are many other stock market indices that have performed worse. The German DAX has fallen by 3.5%, the French CAC 40 is down 4.2%, the S&P 500 has lost 5.6%, and the Brazilian Ibovespa has dropped by 8.6%
 

Stock market indices 2022

 

Index Jan, Feb, March April, May, June July, Aug, Sept Oct Nov 1 to 18 Dec Year-to-date
FTSE 100 1.8% -4.6% -3.8% 2.9% 6.7% -3.2% -0.7%
FTSE 250 -9.9% -11.8% -8.0% 4.2% 7.1% -3.0% -20.8%
Dow Jones Ind Ave -4.6% -11.3% -6.7% 14.0% 5.7% -4.8% -9.4%
S&P 500 -4.9% -16.4% -5.3% 8.0% 5.4% -5.6% -19.2%
NASDAQ -9.1% -22.4% -4.1% 3.9% 4.4% -6.6% -31.6%
DAX -9.3% -11.3% -5.2% 9.4% 8.6% -3.5% -12.5%
CAC40 -6.9% -11.1% -2.7% 8.8% 7.5% -4.2% -9.8%
Nikkei 225 -3.4% -5.1% -1.7% 6.4% 1.4% -1.6% -4.4%
Hang Seng -6.0% -0.6% -21.2% -14.7% 26.6% 4.6% -16.9%
Shanghai Composite -10.6% 4.5% -11.0% -4.3% 8.9% 0.5% -13.0%
Sensex 0.5% -9.5% 8.3% 5.8% 3.9% -2.8% 5.3%
Ibovespa 14.5% -17.9% 11.7% 5.5% -3.1% -8.6% -1.9%

 

Data source: Morningstar. Past performance is not a guide to future performance.

 

All the stock market indices we track are currently lower than they were at the beginning of the year, apart from the Indian Sensex, which is up 5.3%.

Having made losses in the first three quarters of the year, most of these indices are still on track to make gains in the fourth quarter. The only one that is really struggling is the Brazilian Ibovespa. The leading index so far this quarter is the German DAX, which has risen by 14.7%. Then it is the Dow Jones Industrial Average, which has gone up by 14.6%, the Hong Kong Hang Seng, up 12.9%, and the French CAC 40, which has returned 12%
 

Leading funds since 1 October 2022

 

Fund Name Investment Association sector % Return
Oct 2022 Nov 2022 1 to 18 Dec 1 Oct to 18 Dec
Schroder European Recovery Europe Excluding UK 9.2 8.3 -1.6 16.4
LF Brook Continental European Europe Excluding UK 8.7 8.3 -2.5 14.8
M&G European Sustain Paris Aligned Europe Including UK 6.1 8.3 -0.5 14.3
Schroder UK Mid 250 UK All Companies 7.2 10.2 -3.2 14.3
Janus Henderson European Smaller Companies European Smaller Companies 6.7 8.0 -1.2 13.8
Premier Miton UK Value Opportunities UK All Companies 5.7 9.3 -1.6 13.7
Invesco European Smaller Companies European Smaller Companies 5.5 8.1 -0.4 13.6
LF Lightman European Europe Excluding UK 6.3 8.2 -1.4 13.5
L&G Future World Sustainable  European Equity Focus Europe Excluding UK 4.4 8.7 -0.2 13.3
FTF Martin Currie UK Mid Cap UK All Companies 7.2 8.4 -2.5 13.3
Barings German Growth Specialist 6.6 8.2 -2.1 13.0
abrdn European Smaller Companies European Smaller Companies 4.2 8.4 -0.1 12.9
Artemis UK Select UK All Companies 5.9 9.8 -3.0 12.8
Aviva Investors UK Listed Small & Mid Cap UK All Companies 5.9 9.6 -2.8 12.8
Artemis SmartGARP European Equity Europe Excluding UK 8.7 5.6 -1.7 12.8
Royal London UK Mid-Cap Growth UK All Companies 5.7 9.8 -2.9 12.8
Unicorn UK Income UK Equity Income 2.6 10.9 -1.1 12.6
Baillie Gifford European Europe Excluding UK 3.9 10.2 -1.7 12.6
Allianz Continental European Europe Excluding UK 5.9 8.9 -2.4 12.6
BlackRock Continental Euro Europe Excluding UK 6.1 8.3 -2.1 12.5

 

Data source: Morningstar. Past performance is not a guide to future performance.

 

Although the overall returns are pretty good, the best fund is up 16.4% in less than three months, all these funds have fallen this month.

The leading funds in December are currently from the China/Greater China sector. As I mentioned last week, the sector had a terrible October, losing 17.2%, but rebounded in November. The funds from this sector have continued to perform well in December, when most others are going down.
 
For more information about Saltydog, or to take the two-month free trial, go to www.saltydoginvestor.com
 



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