The last trading session of the month ended with a slight increase of the American stock indexes, which in August showed the best result since February this year. Positive for the market has become the data on consumer confidence in the United States from the University of Michigan, which rose to 82.5, against the forecast of 80.2. Today in the United States is a day off, and the main event of the week will be the publication of statistics on the labor market on Thursday and Friday. We expect the beginning of a decline of the American stock markets and recommend to follow the geopolitical news.
European stocks rose in the last trading session of the week due to optimism in the United States and data on inflation in the euro area, which dropped to 0.3%, in line with expectations. The main reason for the decrease in the index was the fall in energy prices. At the same time, the index of consumer prices excluding energy, food, alcohol and tobacco rose to 0.9%, which is 0.1% more than the previous record. Negative for the market was the deterioration of the situation in Ukraine in which Ukraine, United States and several European countries accused Russia and it is likely will lead to new sanctions against Russia. Today the course of trading will be affected by data on the manufacturing PMI in Eurozone (08:00 GMT) and the UK (08:30 GMT).
Indexes of Asia-Pacific region in the majority showed a positive trend today. The course of trading was influenced by the data on the manufacturing PMI of Australia - 47.3 in August, against 50.7 in July, China - 51.1 against the forecast of 51.2 and Japan 52.2, which is 0.2 worse than the forecast. Investors in the region continue to expect incentives from the Chinese government to support the growth of industry in the country. The weakness of the construction sector in China continues to have a negative impact on the investment climate in the region. We maintain a medium-term negative outlook on the markets in the region except for the Japanese.