Stock indices of America have not shown an uniform dynamics and after session with a low volatility closed mixed. The Dow Jones rose by 0.18% (22997.44), S&P 500 added 0.07% (2559.36), the Nasdaq dipped by 0.01% (6623.66). European markets were down in the single dynamics. The German DAX retreated to 0.07% (12995.06), British FTSE 100 dipped 0.14% (7516.17).
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 11:10 MSK ECB President Draghi speaks
At 11:30 MSK the unemployment rate in the UK in August
At 11:30 MSK the Average wage including bonuses in the UK in August
At 11:30 MSK the change in the number of applications for unemployment benefits in the UK in September
At 14:45 MSK the speech of the ECB Prata
At 15:00 MSK FOMC member Dudley speaks
At 15:00 MSK FOMC member Kaplan speaks
At 15:30 MSK the Number of issued building permits in the US in September
At 17:15 MSK a Speech by ECB member, Coeure
At 17:30 MSK crude oil Inventories in the United States
At 21:00 MSK Beige book fed
Yesterday there was not a strong activity at stock exchanges of the world. At the beginning the European market showed a weak growth, investors were under impression of macro-economic data from the Eurozone and the UK. In September the EU inflation remained at the level of 1.5% as in August. Inflation in the UK in annual terms amounted to 3%, which is higher than the level that was the previous month at 2.9%. For the UK this figure was the highest since March 2012. The index of economic expectations in Germany has not changed, showing the value of 17.6 points, which is worse than the forecast of analysts, who expected an increase up to 20.0. The pressure on European stocks is still coming from complicated the situation in Catalonia. According to recent data, Spain's constitutional court annulled the Catalan authorities adopted the law on the referendum that continues to undermine the uncertainty in the region.
Yesterday there were published statistics on the volume of industrial production in the US for September. The growth rate was 0.3%, and it was in line with analysts ' expectations, it also tells about positive changes, as last month it was registered a decline of 0.7%.
Quarterly reporting season continue in America. Banks Goldman Sachs and Morgan Stanley have reported quite good results. At Goldman Sachs earnings per share for the third quarter increased by 3% from $4.88 and $5,02 for paper, which was above the expected growth of $4,17 per share. Capitalization of companies from the health sector, Johnson & Johnson and UnitedHealth Group, increases by 2.4% and 5.4% respectively due to higher profits of both companies for the third quarter above analysts ' forecasts. Boeing fell 0.5% after announcing the acquisition of the European aircraft manufacturer Airbus repossessed a 50.01% stake of the Canadian company Bombardier, which produces the CSeries aircrafts.
Despite the slump in the middle of the day, in Tuesday crude oil finished the trading session in positive territory, thanks to the statements of the Deputy Minister of petroleum of Iran who said about the support of the prolongation of the agreement on the reduction of the offer until the end of 2018. There was also positive from published data from the API which showed decline of inventories of crude oil by 7.13 million barrels, and it was better than market expectations. Today investors ' attention will be focused on data on inventories from the EIA.
Sincerely, Global FX chief analyst Sergey Melnikov.