American stock indexes finished the trading session yesterday near zero levels. The reason for such dynamics was the uncertainty about the market prospects for growth in May. Analysts improved the earnings drop forecast in the companies that are included in the broad index S&P 500 up to 7.4%, against 9.5% before the start of the reporting season. The decline in oil prices due to the improvement of the situation with forest fires in Canada, will put pressure on share prices of energy companies. Today, it is worth paying attention to the US data on wholesale inventories (14:00 GMT). We maintain a negative outlook on the US market in the coming weeks, despite a possible rise today.
European stock indices are showing a positive trend despite the contradictory macroeconomic indicators. Thus, against the backdrop of optimism from the US and Asia, investors ignored the news on a decline in industrial production in Germany by 1.3% in March against the forecast of decline by 0.2%. At the same time, Germany's trade surplus totaled 23.6 billion compared to the forecast of 20.4 billion. Tomorrow will be published important data on industrial production in the UK and the forecasts for GDP growth. Our medium-term outlook for European markets remains positive, but the probability of falling is maintained in the coming weeks.
Major Asia-Pacific stock markets rose today. The positive impact from the US, as well as the weakening of the yen against the dollar supported the Japanese indices. It is worth noting that the Japanese market has significant growth potential due to the likely reduction in the price of the yen in the near future. The consumer price index in China was 2.3% in April, while producer price index was -3.4% vs. expected -3.8%. Investors will continue to monitor the commodity markets and the situation on the currency market. On the course of trading in Japan tomorrow may affect the data on the index of leading economic indicators. Our medium-term outlook for markets in the region remains positive, despite the possibility of the resumption of the correction in the coming weeks.