Yesterday, European markets continued their positive tendency. Bank sector in Europe is the growth leader these days. German DAX showed the gain close to the rally amid the Deutsche Bank rise (+ 6%). The US indices continued to update the historical highs. DOW finally overcame a significant 20 000 points. Investors draw optimism mainly from new president actions and statements. The US corporate reporting was also a source of positive news - Boeing corporation published strong data and shown the growth by 4%.
Today, European stock indexes continued to gain amid positive corporate news and good statistic data. Political concerns around Brexit calmed down a bit after Prime Minister Theresa May’s yesterday speech. During her speech, British Prime Minister promised that the government would elaborate a plan for the country's exit from the EU structure.
Germany's consumer climate index (Gfk), in February,is 10.2, at the forecast of 10.0.
UK GDP (q / q), increased by 0.5%, with growth forecast of 0.5% in the fourth quarter.
UK GDP (y / y), grew by 2.2%, with growth forecast of 2.1% in the fourth quarter.
Brent remains above $ 55 per barrel. Despite yesterday's data on crude inventories, the oil market looks stable on current levels. In the coming days, we expect sideway trading around the balance level of $ 55. In the current environment, the oil market is deprived of global capital presence. US official data showed an increase in US oil inventories at 2,840 million barrels. Trading range within the medium-term channel $ 54- $ 56 remains in force.
This week, the FOREX market is trading in consolidation way. Investors expected to see the first practical steps of Trump’s administration. However, market sentiment on the stock markets improved significantly in the second half of the week. The first steps of President Trump managed to confirm his pre-election statements to support US economy. The growth of infrastructure spending and claimed return of the US capital will support the US currency. At the beginning of the next week, we may see the return of US dollar to the medium-term growth.
Global market sentiment is gradually turning positive. US equities updated the historical highs. Investors are beginning to positively perceive the new US administration. Today, the focus will be on large block of US statistics data.