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Analytics and Market news

Wednesday, 16 May 2012

Briefing: The rebound happened, but was unsuccessful

Astrum Capital

The growth at the first half of the day was only a rebound after yesterday’s fall. It is true not only in regard of Ukrainian stock market, but also to some extent in regard of the majority of risky assets. The producers of raw materials once again were the leaders in terms of decline at the US stock market. Among currencies, the EUR/USD pair showed more rapid fall than the others. Dynamics of key goods: copper and oil – deserves special attention among commodities, since their price breaks support levels one by one.

Thus, besides market events, the players discount the probability of financial shock in case of Greece’s possible exit from the euro-zone. We may consider the decision on new elections, which the supporters of the review of early agreements with international creditors are expected to win, a trigger of increasing worries, though, many do not notice the inexpediency of such step. If the market prefers to focus on negative events, it means that the probability of continuing decline is still high.



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