Analytics on 06/10/2017

In the last trading day of the previous week, the stock indices showed a single dynamic and closed in positive territory. The Dow Jones rose by 0.10% (23539.19), S&P 500 up 0.31% (2587.84), the Nasdaq added 0.74% (6764.44). European markets also closed in positive territory. The German DAX rose 0.28% (13478.86), British FTSE 100 added 0.07% (7560.35).

Today it is expected a few publications of the macroeconomic data and the speeches of the monetary authorities that could affect investors' decisions during the trading sessions.

At 02:50 MSK the minutes of Bank of Japan about monetary policy
At 04:00 MSK the President of the Bank of Japan Governor Haruhiko Kuroda speaks
At 05:00 MSK inflation in the New Zeland
At 10:00 MSK the Volume of industrial orders in Germany in September
At 11:00 MSK statement by the member of the ECB Prata
At 11:15 MSK the Index of consumer prices of Switzerland in October
At 11:55 MSK the Index of business activity in the services sector in Germany in October
At 12:00 MSK the Index of business activity in the services sector in the Eurozone in October
At 13:00 MSK the Eurogroup Meeting
At 18:00 MSK the Index of business activity in the United States from Canada in October
At 20:10 MSK FOMC member Dudley speaks

On Friday the European markets had several reasons to finish the week in positive. There was published index of business activity in the services sector in the UK for October, it was at the level of 55.6 points, which is better than expected at 53.3. But the main driver for growth was the decline of the Euro against the dollar. In France, it was published quarterly report of the third largest Bank assets in the country - Societe Generale, it showed a decline of the net profit for the 3rd quarter by 15%, which equals to 932 million euros. The profit decrease is due to high costs and low interest rates.

In America it was published the main data for October non-farm payrolls which was 261 thousand, it is worse than the expected number of 310 thousand. While the unemployment rate fell to 4.1%, which is the lowest within 17 years. Also increased the index of business activity in the services sector, for the previous month, it amounted to 60,1%, it is better than forecasted decrease of 58.5%.

After the report is published by Apple, the company's capitalization grew by 2.6%. Revenue increased by 12.2%, while earnings per share rose 24% to $2.07. The main supplier of processors for mobile devices Qualcomm, after the recent fall increased by 12.7%, against the background of expectations of its acquisition by competitor Broadcom.

On the background of positive U.S. macroeconomic data investment attractiveness of gold as a safe investment diminished. For the week the loss of the precious metal amounted up to 0.2%, and the decrease continues for three weeks.

Opposite the price of "black gold" continued to increase, reaching two-year highs. Inverters considered the data from Baker Hughes, which showed the reduction of drilling rigs for 8 units. Additionally, more and more investors see the effectiveness of the OPEC+ deal due to the high level of compliance. Also Iraq and Kuwait recently joined to desire to extend the expiry date of this agreement.