07.05.2015 - Investor sentiment deteriorated
US stock indexes fell after the statement of the Fed’s chairman about the high cost of US stocks, but noted that there are no market bubbles. At the same time, data on the number of new jobs in the private sector of the US disappointed investors. Thus, the figure was 169 thousand, against a forecast of 199 thousand. Today, the course of trading will be affected by the news on the number of initial unemployment claims in the US (12:30 GMT), but investors' activity will be constrained by the expectation of the release of data on the labor market in the US tomorrow. We keep the medium-term positive outlook and forecast decline and increased volatility in the near future.
European stock markets are falling on the background of uncertainty about Greek debt restructuring despite the news about progress in the negotiations. At the same time, the volume of industrial orders in Germany rose by 0.9%, which is 0.7% worse than analysts' expectations. The negative sentiment in the US strongly influenced the dynamics of the European markets. In the UK today are parliamentary elections. According to opinion polls in this election there is no favorite and a great influence on the formation of the government will have a small party among which are the Scottish nationalists. The program of quantitative easing continues to positively affect the economy of the European Union, but we note the risks associated with the Greek crisis. Our medium-term outlook remains negative.
Markets in the Asia-Pacific region continued to fall against the background of the negative impact of the fall of the index in the United States. Chinese indexes continue to fall after strong growth in previous weeks, as well as due to news on the slowdown of industry in the country. Japanese investors returned to the market after a long weekend, but their activity is constrained by the expectation of the release of a report on the US labor market, which can greatly affect the mood of investors. Unemployment in Australia rose to the level of 6.2%, in line with analysts' forecasts. We keep medium-term positive view on the stock markets in the region, but expect a further fall in the near future.