Book values ticked higher last week, as both the Guy Carpenter Global Composite and the S&P Banks Index showed signs of renewed hope. Gains were slight, but they emphasize the trend toward stability.
The Guy Carpenter Global Composite inched higher during the week, now showing an aggregate book value loss of 17 percent from the beginning of the year. Last week, the index’s performance stood at 18 percent, as it did the week before.
Likely because of an impact from the Troubled Asset Relief Program (TARP), the banking sector appears to be stabilizing as well, at least for the near term. This week, the aggregate book value for the S&P Banks Index is down only 32 percent from the beginning of the year, compared to 35 percent last week and the week before.