On Thursday 10.11.11 bulls on global markets managed to break the descending trend due to attempts of ECB on Italian bonds purchase, creation of coalitional government of Greece and active negotiations of European leaders on the specification of European mechanism stability. The majority of shares of UX index basket closed the day on the positive territory. Trade volume on the market of applications decreased.
On the USA and European stocks quotations growth prevailed. Rising dynamics of American stock assets were supported by strong trade balance and labor statistics. Speech of FRS Head was positively taken, he promised to “support the creation of new workplaces and work on inflation decrease”. Ben Bernanke also made a speech in favor of FRS policy; one of its parts was printing money.
Investors’ moods will be affected by voting in Italian Senate on measures of budget consolidation. Herewith, risks of further worsening of French sovereign debts dynamics worsening are kept. We remind you that previously CDS for French government debt reached the record maximum. Profitability on 10-year governmental bonds of France increased by 20 b.p. (to 3,44%). I general, political events in Europe are still the main drivers.
By analyst of IC IFG CAPITAL, Alexey Sidorov, rapid decrease of capital inflow to the funds, which invest to RF and CIS shares, may become the source of negative. This figure totaled only $2 million from 3.11 to 9.11 against $56 million during the previous week.
Following substantial statistics will be published today:
16:55 Consumer Sentiment Index of Michigan University (the USA)
Asian indices move in different directions. Chinese CSI300 lost 0,18%. Japanese Nikkei, Korean KOSPI increased by 0,16%, 2,77% respectively. Japanese statistics was negative. Business activity index in sphere of services decreased more than expected.
Russian RTS index opened the day on the negative territory.
Neutral external background was formed on the opening.
The Futures for UX – UX-12.11. Technical analysis.
On the 4-houred timeframe the price stays below the Parabolic indicator. Oscillators do not give the univocal signs. The trend is bullish.
On the quarter timeframe the price placed below the Parabolic indicator. MACD formed the sign to sell. The trend is bearish.
UX index is below the zone of strong resistance of 1480-1500 points. It is hard to believe that this zone will be overcome, taking into account the Friday factor and different signs from external markets.
Analytical department of IC IFG CAPITAL forecasts Futures and Index decrease by the end of trade session, if index will not be fixed above the 1500 points level in the first half of the day.
IC IFG CAPITAL, LLC
Alexey Sidorov
www.ik.ifgcapital.com.ua
www.ifgcapital.com.ua
