Morocco May Top BRICs As Rains Help Reverse 2009 Drop |
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February 17, 2010
Morocco’s stocks are laggards no more as the strongest rains in three decades help boost agricultural output in the only emerging-market nation where equities fell in 2009.
Morocco’s stocks are laggards no more as the strongest rains in three decades help boost agricultural output in the only emerging-market nation where equities fell in 2009.
Morocco’s Madex Index has climbed 5.7 percent this year, beating benchmark measures in Brazil, Russia, India and China as rains lift farm production. The gauge trades at a 20 percent discount to stocks in the BRIC nations, according to price-to- earnings data compiled by Bloomberg, and may outperform this year as stronger wheat harvests boost Morocco’s economy, London- based Silk Invest said.
“We strongly believe in Morocco,” said Zin Bekkali, Silk’s chief executive officer, who manages $75 million in the Middle East and Africa and has invested in those markets for a decade. “Heavy rains have undoubtedly brought back some confidence in the performance of the economy in 2010.”
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