11.11.2015 - European markets show growing optimism

American stock indexes showed investors' uncertainty about the future prospects of the market growth, which is at levels close to historical highs. Today, the in the US is a holiday and investors are waiting for the Fed officials speaking tomorrow, that will affect investors' expectations regarding the plans to tighten monetary policy in December. In addition, investors' activity is constrained by the expectation of statistics on retail sales in the United States. Our medium-term outlook for US indexes remained positive, but the probability of correction has increased significantly.

European stocks show strong growth, despite the contradictory statistics from China, where the growth of industrial production slowed, while retail sales increased. Positive for the market today was the news about the decline in the unemployment rate in the UK to 5.3% in September, which is 0.1% better than expected. This fact reinforces the confidence in the strength of the British economy and will support the growth of indexes of the country in the near future. Tomorrow we should pay attention to the statistics on industrial production in the euro area. Our medium-term outlook for European markets remains positive due to the expected easing of monetary policy by the ECB.

Markets in the Asia-Pacific region changed little against the publication of controversial statistics from China. Thus, the volume of industrial production in China rose in October by 5.6% compared with the same month last year. Analysts expected acceleration of growth by 0.1% to 5.8%. At the same time, retail sales rose by 11.0%, which is 0.1% better than the previous figure, and analysts' forecasts. At the same time, the volume of orders for engineering equipment in Japan fell by 23.1% in October compared with the same period last year. Tomorrow, we recommend paying attention to labor market data in Australia, which will strongly influence the course of trading on the local market. Our medium-term outlook for the market in the region remains positive.

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