On Wednesday 01.02.2011 domestic investors joined the optimism from global markets, the reason was good statistics on manufacturing activity indices of China, German and Euro-region in January and considerably favorable placement of Portugal’s bonds. The final meaning of PMI Chinese index totaled 50.5 points in January, raised from 50.3 in December against expectations to decrease to 49.5 points. In Germany and Euro-region this figure increased in January, slightly over the forecasted value. Portugal placed bills of 2 emissions for the total sum of EUR1.5 billion, yield decreased against the previous auction of January 19. Yield of Portugal’s bonds decreased on the secondary market too.
Ukrainian stock indicators showed the confident growth. It is worth to admit the lack of sales within the negative statistics from the USA, which is the approval of strong bullish moods. We remind you that employment growth in private sector of the USA slowed down more than expected in January. All shares of UX index basket were traded on the positive territory. Shares of energy generation kept demonstrating the advancing dynamics within the expectations of governmental packages privatization in the first half of the year. Trade volume on the market of applications increased again.
We underline the discussion in mass media of Belgium’s economy which stepped into the recession. In the 4th quarter 2011 the GDP decreased by 0.2%. In the 3rd quarter 2011 economy decreased by 0.1%. Accordingly to generally accepted standards, state is considered as stepped into the recession if its GDP decreased during 2 quarters, or during the half of the year.
Announcing of the results of French and Spanish bonds primary placement is planned for today and is considered as positive factor. ECB’s policy contributes to borrowing cost decrease. Thus, the 2-months rate of interbank crediting decreased by 0.00525% in USD yesterday.
Positive external background was formed on the opening.
Forward market analysis. Put/Call Ratio slightly increased to 0.52. The sign is neutral.
The Futures for UX – UX-3.12. Technical analysis.
On the 4-houred timeframe the price placed above the Parabolic indicator. Stochastic and RSI are close to their maximal values. The trend is bullish.
On the quarter timeframe the price placed above the Parabolic indicator. Oscillators do not give the univocal signs. The trend is bullish.
Analytical department of IC IFG CAPITAL forecasts index and futures increase by the results of the trade session.
IC IFG CAPITAL, LLC
Alexey Sidorov
