11.03.2016 - The ECB's decision has led to strong movements on the markets
US stocks fell yesterday due to the decline in oil prices. It is worth noting that yesterday's decision by the ECB to strengthen the incentives in the Eurozone has led to strong volatility on the markets. Support for bulls also became news in the number of initial unemployment claims, which decreased to 259 million, against the forecast of 272 thousand. Today, investors will not rush to accumulate new positions before the weekend. The main focus next week will be on Fed statement on monetary policy and hawkish rhetoric may result in decline of the US stock markets. We expect strong movements next week.
Major European stock indexes show growth today after yesterday fell sharply against the background of growth of the euro and the statements of the ECB, according to which the interest rate will not go down in the future. It is worth noting that the ECB yesterday decided to reduce interest rates on deposits by 0.10% to -0.40%, the refinancing rate by 0.05% to 0.00% and the asset purchase program was expanded to 80 billion euros per month, which is 20 billion euros more than the previous volume. Today has been published statistics on the UK trade balance, whose deficit rose to 10.3 billion pounds, in line with market expectations. Our medium-term outlook remains positive, and we expect growth in the near future.
Markets in the Asia-Pacific region today showed an increase due to the ECB's decision to strengthen the stimulus of the economy of the euro area. Today was published important statistics on the index of business sentiment in large industrial companies of Japan, which fell in Q1 to -7.9, versus growth forecast to 4.2. Chinese investors are in no hurry to accumulate positions ahead of tomorrow's publication of a report on industrial production, investment and retail sales. We expect strong movements on the stock markets of the region next week. Our medium-term view is positive.