European stock indicators showed the wide lateral trend, affected by actions of different events. Pressure to the quotations was made by outlooks worsening on European countries ratings by Fitch rating agency, decreasing of Belgium’s credit rating and growth of Asian political risks connected to administration changes in South Korea.
Bulls were supported from Italy. Parliament confirmed the governmental plan of budget expenses decrease by €33 billion.
But in the end if trade session, unexpected negative from Head of ECB forwarded quotations to the negative territory. Mario Draghi claimed that risks for economy are still substantial, but valid legislation forbids European financial regulator to increase purchase volume of bonds aiming to struggle crisis. Domestic market looked much worse than European and Russian “colleagues”. UX index showed the great drop, not stepping out of the red zone within the low trade activity on the market of applications.
Today the trade history will be affected by the results of conference call of Finance Ministers of EU. By analyst of IC IFG CAPITAL Alexey Sidorov, despite politicians did find the agreement concerning IMF handling additional assets of EUR150 billion, the reaction of American market was negative. First of all, this sum is low for rescuing European Union. Secondly, it is dubiously that the entire sum can be collected in time, considering Great Britain gave to understand it is not in a hurry to make its deposit and thinks of this question.
The information from Swiss will be taken negatively. Prime-Minister claimed that Swiss will not support the European agreement on budget discipline from December 9, if it means taking more austerity rules.
The information on German consumer climate is positive. Index did not change. Decrease of this indicator was expected.
Following important statistics will be published today:
- 11:00 German business climate indices
- 15:30 Construction permits (the USA)
- 15:30 New housing constructions (the USA)
Asian stock indices majorly grow. Japanese Nikkei, Korean KOSPI increased by 0.49 %, 0.91% respectively. Chinese SSEC lost 0.10%.
EUR-USD exchange rate and Brent oil price grow. Oil is supported by the expectations of results of 11 countries coalition meeting, where additional measures to Iran will be considered.
Russian RTS index opened the day in the red zone.
The Futures for UX – UX-3.12. Technical analysis.
On the 4-houred timeframe the price is above the Parabolic indicator. Oscillators are in the zone of reselling. The trend is bearish.
On the quarter timeframe the price placed below the Parabolic indicator. Oscillators do not give the univocal signs. The trend is bearish.
Analytical department of IC IFG CAPITAL forecasts index and futures decrease by the results of the trade session, if index is fixed lower than 1450 points level in the first half of the day.
IC IFG CAPITAL, LLC
Alexey Sidorov
ik.ifgcapital.com.ua
www.ifgcapital.com.ua
