Stocks in Germany, the UK, France, Italy, and Spain Plunge Below Year 2000 Levels: Buy-and-Hold Horror Shows

Estimated Reading Time: 2 minutes

Food for thought in light of the biggest stock market bubble in the US ever.

Major European stock indices plunged below their bubble highs from over two decades ago. This is not to say that they plunged that much this week, but that they had finally risen past their prior bubble highs from over two decades ago, powered by money printing, and then they plunged.

German stocks. The most widely cited German stock market index, the DAX, is a total return index that includes dividends and is therefore not comparable to a price index such as the S&P 500 Index, which does not include dividends. But the less-often cited DAX Kursindex (DAXK) is a price index, does not include dividends, and is comparable to the S&P 500 Index and most other major stock indices. So that’s what we’ll use here.

The DAXK plunged by 4.4% on Friday, and by 10.1% for the week, to 5,517. Since the all-time closing record of 6,873 on January 5, 2021, it plunged 19.7%. But wait… that all-time closing high was up only 10% from the bubble high in March 2000 – yup, that bubble that imploded 22 years ago. And on Friday, the index closed 11% below the bubble high of March 2000. Note the gigantic volatility investors went through over these 22 years to end up below where they’d started.

UK stocks. The UK FTSE 100 price index dropped 3.5% on Friday and 6.7% for the week, to 6,987. The index is now down 10% from its all-time high in May 2018. But wait… The Friday close is down just a tad from the close on December 31, 1999, which had been the bubble high 22 years ago, and now the index is back at it:

French stocks. The CAC 40 price index plunged 5.0% on Friday and 10.2% for the week, to 6,062, and is down 18% from its all-time high on January 2021. But wait… yup, the index has now dropped 12% below its bubble high back in September 2000. And note the horrendous volatility that investors had to endure to go nowhere:….

*****

Continue reading this article at Wolf Street.

The Prickly Pear’s TAKE ACTION focus this year is to help achieve a winning 2024 national and state November 5th election with the removal of the Biden/Obama leftist executive branch disaster, win one U.S. Senate seat, maintain and win strong majorities in all Arizona state offices on the ballot and to insure that unrestricted abortion is not constitutionally embedded in our laws and culture.

Please click the TAKE ACTION link to learn to do’s and don’ts for voting in 2024. Our state and national elections are at great risk from the very aggressive and radical leftist Democrat operatives with documented rigging, mail-in voter fraud and illegals voting across the country (yes, with illegals voting across the country) in the last several election cycles.

Read Part 1 and Part 2 of The Prickly Pear essays entitled How NOT to Vote in the November 5, 2024 Election in Arizona to be well informed of the above issues and to vote in a way to ensure the most likely chance your vote will be counted and counted as you intend.

Please click the following link to learn more.

TAKE ACTION

TAKE ACTION

FIND GREAT CONTENT