Market Buzz: The oily bird gets the worm
Given that oil is up for the second day running, analysts have a strong feeling for today’s trade in the black.
Market Analyst Aleksandr Ryvkin from Metropol believes Russian equity will largely follow European markets on Friday. “I hope the trend will continue on Friday despite kind of a ‘roller-coaster’ on Thursday with ups and downs. Well, hopefully we will see a growing trend today. One of the main factors for that could be the trade balance data from the EU and US later on.”The news from the USA was a little bit discouraging for investors, however the entire picture was promising for Friday, with a positive mood on the markets as the EU debt crisis is set for clearance.The Russian market performed well on Thursday – the MICEX stock exchange closed at 1464 pp with the RTS reaching 1458 points. Experts believe there were several factors providing growth for Russian trade. Pavel Yemelyantsev, an analyst from InvestCafe, says “the oil price’s continued growth will remain the core factor for positive trends on the Russian market. Above all, positive results of the placement of Spanish and Italian bonds made a contribution to the MICEX index’s growth to 1480 points in the first half of the session.”Additionally, the European Central Bank’s decision to leave its key interest rate unchanged at 1.0 per cent could be accepted as evidence of the next steps in fighting the continent's government debt crisis. “As the situation with European debts gets clear investors look more agile,” says Anna Bodrova, an analyst from InvestCafe.Positive news from Europe has helped boost the markets all over the world. Asian indices are mixed this hour with Japan's Nikkei climbing up from modest gains made over in the US while, Hong Kong's Hang Seng is just a notch in the red.