American, European and Ukrainian indices closed the week with a splashing growth within the hopes for signing the agreement on European debt crisis struggle. Claims of representatives of German chancellor of German and French negotiations approach became a so-called trigger. All shares of Ukrainian index basket of UX closed the day on the positive territory. Trade volumes on the UX market of applications is still low.
By analyst of IC IFG CAPITAL Alexey Sidorov, EU summit, which took place on the week-end, did not disappoint investors. No specific taken measures were announced, just as expected, but German and French leaders presented optimistic claims. FRG chancellor, Angela Merkel told that countries negotiated and approved the plan of banking recapitalization. Volume of recapitalization for European banking totals €100 billions.
Bullish moods may be corrected by critical claims of German politicians and representatives of banking sector in time of consultations of Merkel with Bndestag concerning changes in rescue fund. Herewith, it would take more time to make an agreement with private sector for larger debts write-off than estimated in July due to unsatisfying Greece’s position.
Representatives of Merrill Lynch bank made speeches for bearish moods.
They believe that the USA will most likely suffer from the next downgrading of their ratings by the end of current year. Inability of Congress to take reliable and long-term plan to reduce the budget deficit will become a trigger.
Following substantial statistics will be published today:
10:30 Manufacturing activity index PMI of Germany
11:00 Manufacturing activity index PMI of Euro-zone
12:00 New manufacturing orders of Euro-zone
Asian indices demonstrate the growing dynamics. Chinese SSEC, Japanese Nikkei, Korean KOSPI increased by 1,99 %, 1,90 %, 3,26 % respectively. Optimism is supported with favorable statistics. Japan decreased trading balance break more than expected. Business activity index of industry if China HSBC (preliminary) totaled 51,1 points in October, against 49,9 previously.
EUR-USD exchange rate strives to maximums.
Russian RTS index opened the day with growth.
Positive external background was formed on the opening.
The Futures for UX – UX-12.11. Technical analysis.
On the 4-houred timeframe the price is below the Parabolic indicator. Stochastic formed the sign to buy. The trend is bearish.
On the quarter timeframe the price placed above the Parabolic indicator. MACD formed the sign to buy. The trend is bullish.
Analytical department of IC IFG CAPITAL forecasts Futures and Index increase by the end of trade session.
IC IFG CAPITAL, LLC
Alexey Sidorov
www.ik.ifgcapital.com.ua
www.ifgcapital.com.ua
