Market Buzz: Slow start awaiting numbers, gains to follow

Investors around the world are set to receive abundant statistics on which to reflect on Friday, but Russian stocks are expected to show slow dynamics.

“A weak market growth in the first half of the day may be
replaced by a correction by the close of the day,”
to Andrey Shenk, analyst at Investcafe.

On Thursday both key Russian indices finished the day lower. The
RTS lost 0.71% to 1,350.42, with the MICEX going down 0.01% to
stand at 1,361.26.

On Friday Europe is expected to release a bunch of economic
statistics. Germany is set to show its retail sales dynamics in
April, with the forecast expecting it to impress with a 0.1%
growth after a 0.5% rise the previous month. Later in the day the
eurozone will release its April unemployment figures, as well as
inflation data for May.

“Quite a large amount of statistics can lead to high market
volatility, but in case the indicators prove to be strong, it’s
not excluded that the European floors will keep on growing,”

added Shenk.

On Thursday, European markets finished higher with shares in
Germany leading the region. The DAX was up 0.76% while France’s
CAC 40 added 0.56% and London’s FTSE 100 increased 0.45%.

The US is also scheduled to reveal some of the numbers on Friday,
such as the dynamics of personal income and expenses and Chicago
PMI for May. The latter is expected to go up to the important
level of 50 points. Also, the Michigan’s Institute will show its
revised Consumer Confidence Index for this month, which is
expected to stand at 83.7.

 Mostly inspired by hopes that the Fed will get on with its
asset—purchasing program, US stocks were up in Thursday trading.
The Dow Jones Industrial Average added 0.14% to stand at
15,324.53. The broad-based SP 500 rose 0.37 % to 1,654.41, while
the NASDAQ Composite gained 0.69% to 3,491.30.

Japanese shares are higher on Friday as the Nikkei 225 gains
1.13%. The stock markets in Hong Kong and Shanghai are closed at
this time.

“Investors are still waiting for economic data like tomorrow’s
Zeng Xianzhao, an analyst at Everbright Securities Co.,
told Bloomberg. “There are some gains recently but it won’t
last because we don’t see obvious drivers to continue the

The Purchasing Manager Index (PMI) — an indicator of 
business environment — is scheduled to be released on Saturday.
The reading is expected to go down in May to 50 from the April’s
50.6. A ‘flash’ PMI result released last week was at 49.6. A
reading below 50 points to contraction, while a figure above the
dividing line means expansion.

This article originally appeared on: RT