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DAX 30 & Eurozone Exchanges Fundamental Analysis – December 31, 2015 – Forecast

By:
Barry Norman
Published: Dec 30, 2015, 14:36 GMT+00:00

Analysis and Recommendation: The DAX 30 fell 119 to trade at 10741.00 as traders looked at dropping oil prices with Germany on holiday tomorrow and

DAX 30 & Eurozone Exchanges Fundamental Analysis – December 31, 2015 – Forecast

Dax Wed bns
Analysis and Recommendation:

The DAX 30 fell 119 to trade at 10741.00 as traders looked at dropping oil prices with Germany on holiday tomorrow and Friday. European equities dipped back in negative territory on Wednesday as investors fretted over renewed weakness in global commodity markets.

Once again, the price of oil is the main focus for markets Wednesday. After a brief reprieve on Tuesday, with both U.S. crude’s West Texas Intermediate (WTI) and the global benchmark Brent futures rising more than 2.5 percent each, the upward momentum did not continue.

Brent was trading down over 2 percent just below $37 per barrel, while, U.S. WTI crude slipped even further, down around $1 below $36.85, as higher supplies and slowing demand weighed on sentiment. Some of the underachievers in the oil and gas sector included Seadrill and BP.

German stocks outperformed European and global peers in 2015. Investors are betting on more gains next year.

The DAX Index climbed to 27 fresh peaks this year before tumbling into a bear market, and volatility more than doubled. Still, it’s poised to end the year up 11 percent, beating the Stoxx Europe 600 Index and the MSCI All Country World Index.

Strategists predict the benchmark will rally in 2016 on optimism that low oil prices and a weak euro will benefit companies. While exporters got an early boost from the European Central Bank’s quantitative-easing measures this year, a rout triggered by China’s surprise currency devaluation and Volkswagen AG’s emissions scandal wiped out as much as $368 billion from the value of German companies.

FxEmpire provides in-depth analysis for each asset we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports, which covers the current week and are published by Sunday before the new week begins. Daily we share any new events, forecasts or analysis that affect the current day. To achieve a full accurate understanding it is important that you study all of our data and analysis as a whole. Please click on the links to find the most recent reports for this asset.

Today’s economic releases:

Cur.

 

Event

Actual

Forecast

Previous

 

  USD

 

API Weekly Crude Oil Stock

 

 

-3.600M

 

 

  GBP

 

Nationwide HPI (YoY) (Dec)

 

3.8%

3.7%

 

 

  GBP

 

Nationwide HPI (MoM) (Dec)

 

0.5%

0.1%

 

 

  USD

 

Pending Home Sales (MoM) (Nov)

 

0.5%

0.2%

 

 

  USD

 

Crude Oil Inventories

 

-2.480M

-5.877M

   

 

dax

Upcoming Economic Events that you should be monitoring:

Thursday, December 31, 2015

Cur.

 

Event

Actual

Forecast

Previous

 

 

 

 

Japan – Exchange Holiday

 

 

Germany – New Year’s Eve

  AUD

 

Private Sector Credit (MoM) (Nov)

 

0.6%

0.7%

 

 

  USD

 

Initial Jobless Claims

 

270K

267K

 

 

  USD

 

Chicago PMI (Dec)

 

49.8

48.7

 

 

  USD

 

Baker Hughes U.S. Rig Count

 

 

538

   

Government Bond Auctions

Date Time Country

Dec 29 11:10 Italy Auctions CTZ

Dec 29 n/a UK Announces details of Gilt auction on Jan 05 & 07

Dec 29 19:00 US Holds 5-year note auction

Dec 30 11:10 Italy Auctions BTPs/CCTeus

Dec 30 19:00 US Holds 7-year note auction

 

 

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