The Redux Global ICT 100 Index ended 2004 with another positive month’s performance, closing at 1027.06 on 31 December. That’s a fourth consecutive month in positive territory. December trading saw a gain of 1.5% across the board.

Looked at regionally, European stocks were up 1.9% and the 40 European companies now account for 32.5% of the R-100’s value. Asian stocks, after some indifferent months, recovered to gain 5% in the month; the 20 Asian companies in the R-100 account for 14.7% of the Index. The 40 North American companies, which provide almost 53% of the R-100’s value, grew by just 0.2% in December trading.

Within the regions there are some interesting trends. Asian network operators were especially strong, not least those in Japan which rebounded forcefully. In Europe, there was an odd 'north-south divide' with Mediterranean stocks moving ahead while their northern counterparts shivered and contracted.

In the US, ‘old economy’ stocks such as telcos on the NYSE were generally flat or down, while the NASDAQ crew were up by 1.5% despite disappointing slides among chip and hardware vendors. In contrast, e-commerce stocks on the NASDAQ were vibrant.

Overall, in the six months to 31 December, the Index rose by 2.7% with the increase from its low-point on 27 August standing at a more than respectable 10.6%.

Further analysis of the R-100’s half year performance, including the best (and worst!) performing companies and comparisons with other stockmarket indices, will appear here shortly.
Jim Chalmers