FUNDAMENTAL REVIEW 14.11.12

 

Uncertainties continue to put pressure on the markets...

 

The remaining uncertainty in the settlement of the situation relating to the so-called "fiscal cliff" continues to have a negative impact on the markets. The fact that this event does not happen, most likely, is a fact. But the most disturbing state of uncertainty, which does not allow to plan investments in the real sector of the economy. On Friday, Obama will meet with the U.S. Congress on this issue.

 

The single currency remains at its minimum value due to the delay of providing financial assistance to Greece. Unclear picture of the prospects of treatment in Spain for financial assistance also led investors to shun riskier assets.

Yesterday's weak statistics on an index investor optimism in Germany is growing fears of a recession in the euro area enlargement.

 

Against this general background of gloomy U.S. currency continues along with the Japanese yen to remain "safe haven currency", and the dynamics of reduction in yields on 10-year government bonds continues to indicate a high level of caution investors.

 

Today we should pay attention to the statistics from the UK, Switzerland and USA. Positive news can locally support the single currency.

 

Events today:

Moscow time

13.30 UK Changing the number of applications for unemployment benefits in October n / a; -5.100; -4.000

13.30 UK unemployment rate in September n / a; 7,9%; 7,9%

13.30 UK The change of the average wage in September n / a; 1,8% 3m / y and 1.7% 3m / y

14.00 Switzerland ZEW economic expectations index in October n / a; n / a; -28,9

14.00 Eurozone industrial output in September n / a; -1,6% m / m and 0.6% m / m

14.30 Great Speech Governor of the Bank of England M. King

14.30 UK Bank of England report on inflation and growth prospects

17.30 U.S. retail sales excluding auto sales in October n / a; 0,3% m / m and 1.1% m / m

17:30 U.S. Producer Price Index in October n / a; 0,2% m / m and 1.1% m / m

17.30 U.S. retail sales in October n / a; 0,0% m / m and 1.1% m / m

Basic 17.30 U.S. producer price index in October n / a; 0,2% m / m and 0.0% m / m

19.00 U.S. business inventories in September n / a; 0,4% m / m and 0.6% m / m

23.00 Minutes of the U.S. Federal Committee on Open Market

 

Sergei Kostenko