13.10.2015 - Sentiment deteriorated due the fall of imports in China

US stock markets are waiting for the continuation of the season for corporate reporting of financial companies like Goldman Sachs, Bank of America, Wells Fargo and others. Fall of oil prices was negatively displayed on the quotations of oil companies. In addition, a strong influence on the course of trading will have retail sales data in the US, which will be released tomorrow. Today, the course of trading will be affected by the news on the index of small business optimism in the US (10:00 GMT). Our medium-term outlook remains positive, and the current growth may continue in case of positive corporate reports.

August 31, 2015 USSPX Graph

Major European stock indexes fell amid falling stock price automakers and mining companies. The reason for the pessimism was the news from China, where imports lost about a 1/5 compared with the same period of the last year. It is worth noting that the index of business sentiment in the Eurozone in October fell to 30.1, against 33.3 in September. In addition, a negative for the market was the statistics on reduction of consumer price index in the UK to -0.1%, which is 0.1% worse than the forecast. As a result the deflation is a downside factor for the country's economy. We expect growth in the European markets in the medium term, but the decline may continue in the near future.

Markets in the Asia-Pacific region are now falling due to rising concerns about the prospects for the Chinese economy. So, China's trade surplus in September rose to 60.3 billion, but analysts forecast a decline to 46.9 billion. The reason for the strong performance was the drop in imports by 17.7% in September compared to the same period last year. The devaluation of the yuan supports the growth of exports, but the weak import points to the risks associated with the Chinese economy. It is worth noting the fall in orders for machine-building equipment in Japan, by 19.1% in September, compared with the previous year. The medium-term outlook for the stock markets in the region remains positive, but the decline may continue in the near future.

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