We expect a decline in the Russian market at the opening of trading amid a decline from 0.4% to 1.5% of futures on world stock indices. So, investors respond to the call of participants of the IMF forum, which took place at the weekend, to be ready for greater instability in the future, bearing in mind the consequences of a trade war that is already slowing global economic growth, and is expected to weaken by 2020. Summarizing the results of the forum, its participants are waiting for a reduction in tensions in trade relations between the United States and China. At the same time, the reporting season in the US market started with the weak positive results of leading American banks, so the US stock indexes moved sideways on Friday. We think that investors expect similar results from other US companies that will report this week, for example, Bank of America (NYSE: BAC), Johnson & Johnson, Morgan Stanley (NYSE: MS) and others, and when confirming weak data, the American the market may adjust down due to an overvaluation of the shares of leading companies. Against this background, emerging markets may receive an influx of speculative capital, but on Wednesday the minutes of the September FOMC meeting of the US Federal Reserve will be published, which will help to better understand the arguments of Committee members for an increase in interest rates, as well as help determine the outlook for the end of the year, what plays in favor of the dollar. Also in his favor plays a positive expectation of data on retail sales on Monday.
Ask your question right now and we will contact you!