Market Buzz: Oil rises, markets start in black on Chavez death
Climbing oil prices, partly prompted by the death of Venezuelan President Hugo Chavez, bring a positive mood to Russian markets. Local floors are expected to open with steady growth.
Russian floors closed up on Tuesday. The MICEX added 1.35%,
while the RTS gained 1.64%. Aeroflot, E.On Russi, TGK-14, IDGC of
Center and Volga Region, Surgutneftegaz and TMK dipped.
European markets also ended their session in the black. London’s
FTSE100 was up 1.36%, Germany’s DAX added 2.32%, while the French
CAC40 rose 2.09%.
US bourses demonstrated positive moods on Tuesday. By the end of
the session the Dow had risen 0.89%, the S&P added 0.96% and
the NASDAQ was up 1.32%.
On March 6 investors will be expecting a couple of big economic
reports that could move markets tomorrow. Among the major ones is
the eurozone gross domestic product report. Analysts expect that
the eurozone economy will have contracted by 0.6% in the fourth
quarter.
And it’s jobs week in America, meaning the US will release the ADP
unemployment change report with a preview released on Wednesday.
This data will reveal how many jobs in the private sector were
added to the American economy in February. Analysts expect around
170,000 jobs will have been added in February, which is slightly
fewer than in January (192,000 jobs.)
By the time Russian floors have closed, the US will release factory
orders updates for January. It is expected this indicator will have
fallen by 2.2% in January. In December, factory orders rose by
1.8%.
Before markets open, American Eagle Outfitters Inc (AEO) will
release its earnings report.
Brent oil rose a second day, as Venezuela, OPEC’s fourth-biggest
crude producer, reported the death of President Hugo Chavez. US
crude stockpiles rose 5.6 million barrels last week, data from the
American Petroleum Institute showed.
Oil quotations are still positive. Brent adding 0.33%, Light adding
0.27%.
Some news will also come from the Russian business on Wednesday.
STS Media will present its financial statement for the 4Q2012.
Experts expect the company’s proceeds to have grown by 2.1% over
the past 12 months and will have made US$766.4 million.
Asian stocks are still stronger. The Hang Seng is up 0.86%, while
the Nikkei has added 1.69%, and the Shanghai Composite 0.35%.
