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London sets its sights on post-Olympic stock market gold

Thursday, August 09, 2012 - 02:29

Aug. 9 - Recent history shows that the stock market of Olympic Games host nations consistently outperforms the world average the calendar year after the event. Can Britain's FTSE continue this trend in 2013?

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-- -- Stronger that's the official -- of the Olympic Games and on the evidence of the last twenty years it also applies to the host nation's stock markets. And the calendar year after each of the last five games. The stock market of the host country as I performed the world average by at least through 21. In some cases. More than three to one James Bevan director at a fund managers CC LA explains why. I think that the key issue of course is that we already has a significant. Investment in the economy but also sentiment towards the economy to the markets and the general outlook is much improved when you have domestic success. Let's start with Barcelona in 1992. The following year world stocks rose 22%. Spain's EX. Jumped 54%. In 1997. The year after the Atlanta games. Well stocks rose 13%. The S&P. Gained 51%. 2001. Following the Sydney Games was a bad -- for markets MSCI world index failed. 17%. Yet Australia's all ordinaries rose six point 5%. Decrease our. Formed world stocks almost 421. In 2005. The year. After the Athens Games did China's Shanghai composite -- the 52%. Global markets -- in 2009. You bet it did and then some. ET saint soul Britain's -- say that's a pretty tough act to follow next year. I've had a very difficult time despite a London can deliver a mouthful of for tons of other innocuous but it -- he did relatively well placed. Given that we have a very flexible approach adopted by the Bank of England. We have relatively -- valuations and we have a defensive profile of companies just suspect in the pre -- given the prospects of continued slave drive. A little afford those are many fold and high. Gluten is in recession and any recovery will be anemic. The government severe austerity program has yet to be who we felt. The country's banking system is large relative to the sides of the economy and what's more. It's broken and of course there's the small multiple that you it was a crisis -- when the two groups that. -- -- -- -- For Reuters.

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London sets its sights on post-Olympic stock market gold

Thursday, August 09, 2012 - 02:29