27.01.2015 - The American market is in no hurry to grow before the Fed statement
US stock indexes yesterday showed weak growth on the background of the results of the elections in Greece, where has won the opposition party, which opposes the austerity measures in the country. In addition, investors are in no hurry to open positions in connection with the approaching snow storm in New York, which can lead to a halt of trading on the stock markets. Today, a rise in volatility is expected in connection with the publication of statistics on durable goods orders (13:30 GMT), new home sales (15:00 GMT) and the consumer confidence index 15:00 GMT). It is worth noting that tomorrow will be published a statement by the Fed on monetary policy, which today will restrain investors from taking action. We forecast growth of indexes in the near future.
European stock markets are influenced by two important factors. On the one hand, investors are positive about the launch of the asset repurchase program with a monthly volume of 60 billion euros. On the other hand, the victory of the opposition party Syriza in Greece is a threat to financial stability in the euro area due to the need to restructure Greek debt. Today was published preliminary statistics for GDP growth in the UK in Q4 2014, which showed an increase by 0.5%, which is 0.1% worse than forecast and 0.2% worse than the previous quarter. We expect continued growth of European indexes in connection with the program of quantitative easing.
Stock indexes of Asia-Pacific region showed different dynamics. The Japanese market rose following the US indexes. The index of leading economic indicators in China increased by 1.1% in December, compared with 0.8% in November. Despite this, the Chinese indexes have shown decline. The Australian market is under the pressure of falling prices for copper and iron ore. Despite the imminent launch of quantitative easing in the euro area, the market in the Asia-Pacific region is in no hurry to show growth. Apparently slowing Chinese economy offsets the positive from the Eurozone. Despite this, the more likely is the continued growth in the markets in the near future.