Poor investment climate continues to plague the Russian stock floors, but traders look to make small gains before the end of the week.
Russia’s second largest lender, VTB, reported a 33 percent profit
decrease, forcing the stock to slide early morning, although it
rebounded by market close and gained 0.61 percent.
The Micex also took a dive following the VTB news, ending in the
red down 0.05 percent at 1,337.26. The RTS index dropped 1.19
percent, but is trading high on at 1,274.49 on Asian floors,
still missing the 1,300 benchmark for the tenth day in a row.
Brent oil is up 1.05 percent to 105.09 and crude jumped 2.15
percent and hit 101.74 at 9:46 MST.
Brent oil is currently trading at 103.11, up almost a dollar from
market open Monday, and WTI is trading at 97.97, having become
sluggish on Asian floors despite making real gains on Tuesday.
European indexes were lower despite positive Spanish unemployment
data, as investors carefully eyed peripheral eurozone economics
as potential volatile triggers.
London’s FTSE 100 index of leading shares dipped 0.06 percent and
closed at 6,307.78, even on positive construction activity data,
which showed the UK expanded its construction industry at its
fastest pace since May 2012.
The Euro STOXX closed at 2603.20, falling 1.24 percent, France’s
CAC closed at 3,767.48, falling 0.66 percent, and Germany’s DAX
30 dipped nearly 1 percent and closed at 7,910.77
US stocks continued to dip on Federal Reserve uncertainty, and at
market close, the Dow Jones Industrial Average finished down 0.28
percent, the S&P 500 index trimmed 0.05 percent, and the
Nasdaq Composite index was down0.03%.
US factory orders rose 2.1 percent in May from April, beating
analysts’ 2.0 percent forecast.
On Wednesday the US will release jobless claims and trade balance
data. The Institute for Supply Management will release their
monthly report on the American service sector industry.
The market remains vulnerable to the political situation in
Egypt, as opposition forces and the government forge a political
path forward.
Markets in Asia are sluggish, as the Nikkei is down 0.48 percent,
currently trading at 14,030.88, following a day of recovering on
Tuesday.
Hong Kong’s Hang Seng index has dropped 1.96 percent and the
Shanghai composite is down 1.46 percent.
The New Zealand Exchange 50 index is down 0.17 percent, and
Australia’s S&P index is also taking a hit, down 2.04 percent
after a sharp morning market drop.