Global equity markets were in a celebratory mood after the Dow Jones Industrial Average (DJIA) on Thursday touched a lifetime high of 13,861.33 points, gaining 283.86 points (or, 2.09%), in a volatile US market that has seen a sharp rise in bond yields.

When it comes to adding investor wealth, however, China comes out trumps with the Shanghai Composite gaining the most at 46.3% in calendar 2007, even as the country struggles to cool its red-hot stock markets?fired by aggressive domestic purchases and a flood of large IPOs, and not by foreign fund flows?with rate hikes and a stamp tax on stock trade.

Most countries have outperformed Indian indices. Brazil?s Bovespa has risen 29.54%, Germany?s Dax 21.8%, the Hang Seng 18.36% and Nasdaq 11.85% since January this year. This compares with India?s benchmark Sensex, which gained a modest 9.54%, and the Nikkei 225, which increased 5.88%.

The DJIA?s Thursday surge, its biggest points gain since 2002, came after healthy June sales figures from retailers reassured investors about consumer spending, and miner Rio Tinto?s bid for Alcan raised the prospect of more consolidation in the manufacturing industry.

Back home, the 30-share Sensex of the BSE ended Friday at a new high of 15,272.72, a gain of 180.68 points (1.09%), after touching an intra-day high of 15,330.73 points. The S&P CNX Nifty of the NSE ended the day with a gain of 58.4 points (1.31%), to close at a new high of 4,504.55 points.

Andrew Holland, vice-president, DSP Merrill Lynch, said, ?The rise in the US stock prices had more to do with the retail sales figures of Wal-Mart and Rio Tinto?s bid for Alcan. This assured investors of the availability of enough cash for M&As. Inflation in the US seems to be under control and I do not believe that the US economy is going for a soft landing. Funds are flowing into emerging markets with investors becoming less concerned about the risks involved in equities.?

On Thursday, the S&P 500, the broader US measure, also gained 1.9% to 1,547.70 and the Nasdaq Composite rose 1.9% to 2,701.73 points. The Nasdaq close was the highest ever in the last six-and-a-half years. Asian markets on Friday reflected the positive sentiment with all major indices rising except, ironically, the Shanghai Composite. The Hang Seng gained 290 points, or 1.27%, at 23,099.29, the Nikkei 225 254.81 points, or 1.42%, at 18,238.95 and the Taiwan Weighted 116.89 points, or 1.25%, to close at 9,471.30. Metal stocks in India stole the limelight on Friday with the BSE Metal index emerging the biggest gainer among sectoral indices. The BSE Metal index rose by 555.27 points, or 4.84%, to close at a new high of 12,030.53.