US stocks declined slightly on Monday in connection with the fall in oil prices against the backdrop of renewed speculation about oversupply on oil market and weak statistics on the US manufacturing PMI from Markit, which fell to 50.5 in May, against 50.8 in the previous month. Today, the dynamics of trading will affect data on new home sales in the US (14:00 GMT). Investors are waiting for Friday's release of preliminary report on the US GDP growth in the 1st quarter. According to our forecasts, the decline on the US stock markets will continue in the coming weeks.
European stock indexes show a slight increase. It should be noted that the final report on GDP growth in Germany was published today by 0.7%, in line with expectations. The dynamics of trading will also affect the data on index of economic sentiment in the Eurozone from ZEW (09:00 GMT) and the balance of retail sales in the UK (10:00 GMT). The UK market in the coming weeks will show increased volatility due increased speculations regarding a referendum on the country's membership in the EU. According to our forecasts, the probability of decline has increased significantly recently, but the medium-term outlook remains positive.
Major stock indexes in Asia and the Pacific mostly fell today against the background of the negative impact of the fall on the US stock market. The strengthening of the yen against the US dollar on a background of reducing the likelihood of intervention by the Bank of Japan had a negative impact on share prices of Japanese exporters. On Friday, will be released the important inflation data in the country. On the Australian market puts pressure a decline on commodity markets, which may continue in the near future. Our medium-term outlook remains positive, but the fall is more likely in the coming weeks.