29.01.2015 - Fall in oil prices worsened investor sentiment
The US stock market showed a decline against the background of a sharp drop in the stock price of the energy sector amid rising US oil inventories to record levels since the beginning of statistical observations of this indicator. Thus, the volume increased by 8.9 million barrels to 406.7 million barrels. Also worth noting the Fed's statement according to which the regulator will be patient in the issue of rising interest rates, and noted the growth of the US economy as a whole. Today the course of trading may be affected by the data on the number of initial unemployment claims in the US (13:30 GMT). According to our estimates fall in the US market may continue today. Increase in volatility is expected tomorrow after the publication of statistics on US GDP growth.
European stocks showed yesterday no unified dynamics on the back of positive corporate reporting on one side and drop on the Greek stock market on the other. Investors fear the revision of austerity measures in Greece, which may prevent restructuring of Greek debt. Support for the market has become the data on the index of consumer confidence in Germany, which rose in February to 9.3, which is 0.1 better than expected. Today it was announced that the number of unemployed in Germany fell by 9 thousand, which coincided with forecasts of analysts. At the same time, the balance of retail sales in the UK totaled 39 against the forecast of 31. The increase in volatility is expected tomorrow in connection with a large block of important statistics from the US and Europe.
Stock indexes of Asia-Pacific region showed a decrease due to the worsening sentiment on global markets due to the drop of oil prices. Corporate reporting shows weaker results than previously expected. Negative for the Tokyo market has become the weak data on retail sales in Japan, which grew by only 0.2% in December, against the forecast of 1.1%. Traders are waiting for the publication of data on unemployment, industrial production, household spending and consumer price index in Japan. The main factors that inhibit the growth of markets in the region are the drop in GDP in Japan and slower growth in China. We expect the growth of stock markets in the medium term, but there is a significant risk for the bulls.