US stock indexes continued to rise against the backdrop of increasing the value of shares in the health sector and the positive macroeconomic data. Thus, the volume of factory orders in the US rose by 2.1% in March, against a decline of 0.1% in February. At the moment, US indexes are near historic highs levels, but the long-term consolidation around these levels indicates a lack of power of bulls for further growth. Today, the course of trading will be affected by the news on the US trade balance (12:30 GMT) and non-manufacturing PMI for April (14:00 GMT). Investors are waiting for the important statistics on the US labor market on Friday. Our medium-term outlook for the US stock market remains positive, but we do not exclude a strong correction in the near future.
European stock markets showed growth after a fall last week. The British market was closed for a holiday. Positive for investors was the data on the growth of the Eurozone manufacturing PMI to 52.0 in April, which is 0.1 better than analysts' forecasts. Today, positive news became the reduction in the number of unemployed in Spain by 118,9 thousand. At the same time, the European Commission raised its growth forecasts for the euro area economy to 1.5%, which is 0.2% better than the forecast published in February. The reason for optimism is the decline in oil prices and the program of quantitative easing. We keep medium-term positive outlook for the European markets.
Markets in the Asia-Pacific region showed a negative trend against the background of weak data on the index of business activity in the manufacturing sector in China, which were published yesterday. It is worth mentioning that earlier the market grew strongly due to expectations of stimulus measures by the Chinese government, but weak data on industry leveled the positive. Reserve Bank of Australia cut interest rates by 0.25% to 2.00%. This move is aimed at stimulating demand and growth of business activity in the country. The Japanese market will be closed until Thursday. We maintain a medium-term negative outlook on the stock market indexes in the region, but do not exclude further correction in the near future.