Market buzz: All eyes on Cyprus
Investors expect a slight decline at the opening of Friday’s session on the Russian markets, as the world awaits a decision from Cyprus.
Thursday’s session ended near the opening indicators, with
Russian stocks having demonstrated weak dynamics. The MICEX was
between 1459 and 1467 basis points during the day and ended the
session with a symbolic growth by 0.01%. The RTS was down by 0.24%
to 1485.73 points.
Global equity markets, oil and the euro fell on Thursday as fear of
a banking sector collapse and debt default in Cyprus grew.
All eyes on the global markets, as well as the Russian floors, are
still on Cyprus, as Friday will not present much other
macroeconomic news. Cyprus said Thursday it refused imposing
deposit levy in any bailout deal, and will have to present another
solution by next week.
European stocks were in the red during Thursday. The FTSE100
dropped by 0.68%, the DAX lost 0.86%, and the CAC40 was down 1.4%.
Cyprus and its weary banking sector in limbo after the ECB’s Monday
deadline pushed European stocks down, as well as March’s
disappointing data on business activity in the industrial sector
from the leading EU economies.
Influenced by the international outlook the US stocks also showed
weak dynamics on Thursday. The Dow dropped by 0.61%, S&P 500
was down by 0.82%, NASDAQ lost 0.96% despite rather optimistic data
released in the states. Indices were own despite the average for US
unemployment claims hit a five-year low, Markit’s purchasing
managers’ index (PMI) for US manufacturing climbed from last month
to 54.9, signaling faster expansion in the market and the overall
picture show that the US economy is growing.
Asian floors have started off Friday’s session lower. Japanese
stocks went down Friday as investor expectations to get some
specifics from the new central bank chief on boosting the economy
were not satisfied. Other Asian markets are mixed on the
uncertainty over the situation in Cyprus.
The Nikkei lost 1.475, the Hang Seng is down by 0.21%, and the SSE
is slightly down, 0.05%.
On the oil market Brent is currently down by 0.05% at $107.4 per
barrel, while WTI is up 0.1% at $92.54.
