Emerging Markets Reach Pre-Lehman Bros. High

LONDON, Sept 8 (Reuters) - Emerging markets stocks hit a new year high on Tuesday, rising to levels last seen before the Lehman Brothers collapse, and world stocks headed firmly towards a new 2009 peak. MSCI's benchmark emerging market index was up around 1.2%, at its highest level since September 9 last year, a few days before Lehman's demise and a mass market sell-off triggered by fears for the financial system (see chart above).

MP: On a YTD basis, the MSCI Emerging Markets Index is now up by 55.3%, and up by 85.4% from the early March low (see chart above). Similarly, the MSCI World Stock Market Index reached an 11-month high yesterday, closing at its highest level since October 3 of last year. From the March low, the world index has increased almost 60%, and has recorded a 19.4% return YTD.