NEW YORK, Jan. 6 /PRNewswire/ -- Standard & Poor's, the world's leading index provider, announced today that the S&P GSCI declined 13.32% in December, ending the year with a loss of 46.49% -- the worst total return for the Index since its inception in 1970. The previous worst year on record was 1998, when the Index lost 35.75%.

"Fears of a severe global economic contraction as well as plunging equity markets weighed on industrial commodities in 2008, pushing the S&P GSCI into record territory," says Michael McGlone, Director of Commodity Indexing at Standard & Poor's and author of the S&P GSCI Commodity Perspective posted monthly to www.spgsci.standardandpoors.com.

The S&P GSCI Index was lead lower in 2008 by the Energy sector which fell 52.38% during the year. While providing some relief for consumers, the S&P GSCI Unleaded Gas Index was the worst hit energy component falling 60.7% during the year.

The S&P GSCI Precious Metals Index was the strongest sector in December increasing 8.2% and was the only sector to post a positive return (+0.48%) in 2008. Pushed lower by lead, the S&P GSCI Industrial Metals Index declined 49.0% in 2008. The S&P GSCI Lead Index was the year's weakest index component, posting a loss of 60.8%.

The S&P GSCI Agriculture Index recovered 7.8% in December, but due to weakness in wheat, posted a 2008 decline of 28.9%. Helping the agriculture sector was the S&P GSCI Cocoa Index which was strongest index component in 2008, posting a return of 27%. Livestock returns also suffered in 2008 but due more too high roll costs, the S&P GSCI Livestock Index declined 27.4% on the year. 



    S&P GSCI Analysis Through December 31, 2008

                            Weight      Value     MTD     QTD     YTD
    S&P GSCI Index            (%)    12/31/2008 Change  Change  Change
    --------------            ---    ---------- ------  ------  ------

    S&P GSCI                 100.00%    3995.39 -13.32% -47.00% -46.49%
    S&P GSCI Energy Index     65.18%     913.72 -19.82% -55.17% -52.38%
    S&P GSCI Industrial
     Metals Index              6.43%     935.71 -11.02% -43.10% -49.02%
    S&P GSCI Precious
     Metals Index              3.82%    1138.60   8.18%  -0.55%   0.48%
    S&P GSCI Agriculture
     Index                    18.80%     592.94   7.78% -14.66% -28.88%
    S&P GSCI Livestock
     Index                     5.78%    2383.77  -3.75% -14.77% -27.42%
    S&P GSCI Softs Index       4.24%      59.40   0.96% -14.31% -25.26%
    ----------------------     ----       -----   ----  ------  ------


                              YTD        YTD     3-MO.   12-MO
    S&P GSCI Index           High        Low    Change  Change
    --------------           ----        ---    ------  ------

    S&P GSCI               10898.10     3532.27 -53.59% -46.48%
    S&P GSCI Energy Index   3034.86      768.94 -60.80% -52.32%
    S&P GSCI Industrial
     Metals Index           2391.67      878.15 -50.80% -49.72%
    S&P GSCI Precious
     Metals Index           1373.67      907.73   3.29%   0.03%
    S&P GSCI Agriculture
     Index                  1063.18      475.37 -27.95% -28.80%
    S&P GSCI Livestock
     Index                  3272.96     2328.41 -18.88% -27.07%
    S&P GSCI Softs Index     101.29       52.15 -23.52% -25.15%
    ----------------------   ------       ----- ------  ------

    Source: Standard & Poor's

The S&P GSCI is the most closely followed benchmark for investment performance in the commodity markets. For more information on the S&P GSCI, please visit: www.spgsci.standardandpoors.com.

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SOURCE Standard & Poor's