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Reporting of U.S. banks will form the basic dynamics of the movement of stock and commodity markets

Feb 11th, 2010 | By admin | Category: News and Comments

On Tuesday, Russia"s stock market, after opening at the close on Monday, showed a downward momentum trades on the MICEX index. Against the background of receipt of negative news from Greece, investors reduce their "risk appetite", the result is a correction of the euro, which weakened to a major currency pairs, and there was a decrease in oil prices. But after reporting Citigroup at 16:00 the market again confidently went to storm new heights. As a result, the MICEX index rose by 0.3%. On a positive note in the accounts of the bank was the decrease in profit on lower-than-expected amount to pay 6.2 billion dollars the U.S. government. Thus, the bank has shown a real loss in the 4 quarter total of 1.4 billion dollars, that gave rise to a rebound in the major stock and commodity markets. On this background paper looked better than the market the banking sector.

At the auctions in the U.S. observed the positive dynamics. Market support had a positive reporting Citigroup, news about a possible change in health care reform and good reporting IBM. As a result, the paper looked better than the market"s technology sector and health sector and broader market index SP 500 grew by 1.25%.

External background at the opening of Russia"s markets adversely. Japanese Nikkei adjusted to 0.25%, Chinese Shanghai Composite fell 2.93%, amid the persistent signs of the start of the Bank of China restraining monetary policy. London Brent traded at a mark of $ 77 for the March contract. Currency pair EUR /USD is trading at 1.42. Futures on the U.S. S P500 dropping on 0.29%.

Today, we expect to see the opening of trading in negative zone, due to a moderate decrease in prices for oil futures and the strengthening U.S. dollar. Further dynamics of bidding will be determined by the situation in the commodity areas, growth factors, which may serve as a suitable reporting U.S. banks, at the same time, the appearance of early signs of cooling Bank of China, the country"s economy will keep prices for raw materials. Investors today should pay attention to the change in the number of unemployed in the UK at 12:30 Moscow time, and the reporting of U.S. banks, the bulk of which will report at 16:00, Moscow time, and then an additional rhythm of the market at 16:30 will give a producer price index and the volume of permits issued construction in the United State1000s. Factor for continued growth was the increased expectations of the market, relatively overlooking reporting banks. But, nevertheless, in the event-level data or even worse forecasts, the market will correct significantly, which may allow prices to "Black Gold" to pass the lower boundary of this corridor in the $ 75 and continue the downward trend. Thus, after fixing the profit in the first half of the session, the market will be possible to release reporting U.S. banks, and which will form the basic dynamics of the movement of stock and commodity markets.

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