Market's evolution 05 of October to 09 of October 2015
Tuesday, 13 of October 2015
Week of rallies in major equity markets. In recent days the meetings Open Market in the US, in Europe the Eurozone and the Bank of England monopolized the attention of investors. In the statements made by the presidents of the central banks agreed to review that the pace of growth of the economies are suffering a slowdown, which led investors to anticipate further measures or additions to the QES.
After the ECB meeting in Europe, the leaders said that the recovery was expected to be slower following the slowdown in emerging economies, and turned to reduce the expected rate of inflation + 0.1% for 2015 given recent falls in the price of crude. However, possible developments were announced in asset purchases in order to give further impetus to the economy. The effect was positive for EUR scoring a + 1,30% after trading between 1,14 and 1,11 EUR/USD.
In the US, Alcoa began the season with publication of disappointing data results (lower than expected), which, together with the release of the FOMC minutes, centralized all the attention in the market. The minutes released by the Fed maintained a cautious tone considering a delay in the rise given the global conditions types. And despite reaffirming the strength of the US economy, the weak growth of the global economy was blamed to a shortage of investment and confidence.
Due to the celebration of the golden week in China, financial markets remained closed until Thursday. In Japan, following the meeting of the Central Bank, it was decided to keep unchanged the monetary base in 8 bill. JPY not ruled out future adjustments. In the same vein, they stated that the QQE was going to continue unchanged until achieving the inflation target.
In the equity markets, strong rallies in major European indices encouraged by improvements in the investor confidence and expectations of increases in QE. Note the strong performance throughout the week IBEX35 which rose by + 7% was recorded, as well as the DAX and the EUROSTOXX50 which closed in positive scoring a + 5%.
They also recovered ground selective major US despite the bad data published by Alcoa closing with rises of up to + 3.20% for the S&P500. We should also emphasize that the analysis published by Zacks Investment Research showed that there were going to be declines in corporate profits of companies in the S&P500 over -5,6%, which could adversely affect future developments in the market US equity.
Asian values received encouraged by recent rises in oil prices closing in positive territory scoring a + 4% for selective Japanese NIKKEI-225
Strong rises in oil prices despite the downward revision by Goldman Sachs after data on US crude inventories higher than expected. Throughout the week, fluctuated between 47 and 54 USD/Brent and closing with a rise close to the +9%. Gold also recovered ground after scoring a + 1.70% ending the week with a value of close to 1,157 USD/Oz.