Markets go up, markets go down. They always have, they always will. Markets going down bring out the worst traits in otherwise optimistic people - "we're doomed, we're doomed, the whole economy is going to collapse."

Markets going up, however, seems to attract nothing but apathy.

The doom-mongers of the market low, on August 16, will have been disappointed by the FTSE rising by more than 12 per cent, since then, to the end of last week.

This means that, three quarters of the way through a turbulent year, the FTSE has increased in value by almost six per cent. Given what we have been through, that is a very satisfactory result.

Meanwhile, the Halifax UK housing survey is perhaps the most appropriate benchmark for property prices in our region.

Last Thursday's report showed that house prices fell by 0.6 per cent last month. The mortgage market has been much in the news of late, and the scenario of rising mortgage rates with falling house prices, is not a good one for many people.

A small drop in property prices is nothing to worry most people, whose borrowings are significantly below their property value, but where there is little equity value, there must be some worries.

The buy-to-let market has been renamed in some circles as buy-to-regret.

So, what has happened to mitigate the pressures of the credit liquidity shortage, and lead the UK stock market higher?

The European Central Bank has stepped in, with financial institutions taking up borrowings from there at about 4.37 per cent.

The Bank of England, meanwhile, has waived a much smaller availability around, offered at up to 6.75 per cent, and seemed somewhat embarrassed when nobody took up their offer. The ironic lesson seems to be that if you borrow from the Bank of England, you end up with a run on your deposits.

Not wishing to focus purely on the UK market, other markets around the world are doing very well in addition.

The US Dow Jones index hit a record high last week, meaning that the US stock market has increased by more than 86 per cent over the past four-and-a-half years. The Hang Seng index, in Hong Kong, a useful measure for China, continues to set new record highs. Last week's level meant that the Hong Kong market had increased by nearly 300 per cent over the past four-and-a-half years.

The French and German markets are showing a similar pattern to the UK market, in that they are approaching the levels again seen in July, with the potential to push on to all-time record highs.

Although the Japanese market has only increased by 25 per cent over the past two years, with many peaks and troughs in between, it may surprise some to discover an increase of 120 per cent over the past four-and-a-half years. It was clearly the right call to have been buyers in April 2003 and again in April 2005, but as ever, thanks to the unique Japanese economy, it remains a difficult one to predict.

One of the main tools used in predicting markets is the projection of the rate of growth in company earnings, or profits in other words. The theory is that if earnings are growing at above inflation, then share prices increase. Some analysts are already discussing the FTSE 100 hitting the 7000 level in the not too distant future. Let's hope so!

* Anthony Platts is a divisional director in the Teesside office of Wise Speke, and can be contacted on 0845-213-1340. Views expressed are the author's own and are not necessarily held throughout the Brewin Dolphin Group. Wise Speke is a division of Brewin Dolphin Securities Ltd, a member of the London Stock Exchange, authorised and regulated by the Financial Services Authority. Prices, values or income may fall against investors' interests. You should be aware that you may get less back than you invested. Investments may not always be suitable for all individuals. If you have any doubts, you should consult a professional advisor