Yesterday global markets traded mixed. While Europe moved to decline amid continuing Italian banks concerns and upcoming constitutional referendum, US markets continued to update the historical highs. American statistics was positive and well accepted by markets- number of weekly initial claims increased by 251K. (Expected 250K.).Durable goods orders in November increased by 4.8%. (Dow: + 0.3%; SP500: + 0.1%, NASDAQ -0.11%)
Today European stock indices traded in the green, remaining close the opening levels amid mixed economic data in Europe and in the absence of US investors. In the FOREX market US dollar gained yesterday on strong economic data, raising investors' expectations that the Federal Reserve will raise interest rates in December. Nevertheless, today's European session, the greenback retreated from highs. Also yesterday, the European currency has updated yearly lows. The EUR / USD was trading at Euro 1.0523 levels.
German GDP grew by 0.2%, quarter on quarter, as economists forecast in the third quarter.
Spain's GDP grew by 0.7%, quarter on quarter, as economists forecast in the third quarter.
The business expectations index in Germany in November amounted 105.5, below analysts' expectations of 106.0.
Assessment of the current situation index in Germany, in November amounted 115.6, higher than analysts' expectations of 115.0.
IFO business climate index in Germany in November amounted 110.4, slightly below analysts' expectations of 110.5.
Yesterday, the oil market continued to consolidate. Brent crude oil futures now trade near the $ 49 per barrel. Yesterday's official statistics on crude inventories was similar to the API data, the decline in crude oil reserves amounted to 1.25 mln. Today, trading will be restrained in the absence of significant news and US holiday. In general, strong US currency and the lack of progress in OPEC negotiations might restrain father oil gains to the area of $ 50. We expect that by the end of the week, oil will remain in the region of $ 49- $ 49.50 per barrel.
The FED last meeting report showed the regulator willingness to act and moreover, investors are convinced that the economy is ready for rate hike as well. Today, trading activity is significantly reduced, the "Black Friday" starts tomorrow, the results of which can set a positive tone for next week trading.