On Wednesday, the stock indices of America have not shown an uniform dynamics and closed mixed. The Dow Jones rose by 0.33% (24585.43), S&P 500 dipped 0.05% (2662.85), Nasdaq rose by 0.20% (6875.80). European markets were down in the single dynamics. The German DAX declined 0.44% (13125.64), British FTSE 100 dipped 0.05% (7496.51).
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 03:30 MSK the PMI Australia
- At 11:30 MSK the Decision of the Swiss Central Bank interest rate
- At 11:30 MSK the Index of business activity in the manufacturing sector of Germany
- At 12:00 MSK Press conference SNB
- At 12:30 MSK retail sales in the UK
- At 15:00 MSK interest rate Decision UK
- At 15:00 MSK the minutes of the meeting of the Committee on monetary policy of great Britain
- At 15:45 MSK the Rate on Deposit facility in the Eurozone
- At 15:45 MSK Decision on interest rates Eurozone
- At 16:30 MSK the Basic index of retail sales USA
- At 16:30 MSK retail sales in the United States
- At 16:30 MSK Press conference of the ECB
- At 20:25 MSK the President of the Bank of Canada's Poloz speaks
Yesterday there were not a lot of important statistics in the Eurozone. It can be highlighted the consumer price index for November, which was at the level of 1.8% year-on-year, it was corresponded to expectations. This indicates a weak dynamics of inflation in the Old World and increases the probability of keeping the key rate unchanged following ECB meeting today. In the UK it was published important statistics on the labour market. The unemployment rate remained unchanged at 4.3%, that is slightly worse than expectations of a decline for 0.1%. The number of applications for unemployment benefits declined. Today the Bank of England will also decide on the key rate, it is expected that it will remain at the same level.
A long-awaited event of this week was the announcement of the results of this year's last meeting of the fed. As expected by market participants, the base interest rate was increased to the target range of 1.25%-1.50%. In comments the fed noted a significant rise in economic activity, continued improvement in the labour market, with steady growth in jobs. Also, the fed kept its previous forecast of changes in the rates for the coming years, which is not quite consistent with the expectations of market participants. Especially it did not correlate with the revised upward forecast of GDP growth in the coming years. This has put pressure on the national currency. The dollar fell back to levels of a week ago.
An outstanding event of yesterday was a fiery speech of US President Donald Trump, he spoke about the achievements during the period of his rule. The growth of the economy was 3%, he said, "two years ago, at the beginning of the campaign, it was an unrealistic figure, if there wasn't a hurricane, it would be possible to achieve 4%". He Also mentioned that unemployment is now at its lowest level in 17 years. His speech also contained expectations that the Congress of the United States will send him a bill for tax reform before December 25. It was the main point of his election program. Republicans in both houses of Congress have finally agreed on a bill.
After the publication of the US key rate increasement, oil prices extended the decline that began on the eve. Despite the pullback, the oil is still at high levels. Using this US shale producers try to increase production which reduces the effectiveness of the OPEC+ agreement.