- Tech stocks led markets higher as the US Fed moved to ease inflation concerns
- Markets on edge
- Russia poised for growth
Tech stocks led markets higher as the US Fed moved to ease inflation concerns: Market activity was lethargic on Tuesday and many investors were on the sidelines as inflation worries continued to linger despite reassurance by the Federal Reserve that monetary tightening will not be required to manage economic growth and inflation. Tech stocks benefited from the Fed’s comments both on the NASDAQ and the Russian indexes. Russian equities pushed higher – RTSI (+0.6% @ 1,580) and IMOEX (+0.7% @ 3,681) – with mixed trends sector-wise. The ruble remained firm (+0.2% @ 73.31) and maintained an advance that has seen it gain 2.3% since the start of May supported by an easing of sanctions risk and strong oil prices. Crude quotes added to the gains of the past two sessions (Brent +0.2% @ 67.64).
Russia poised for growth: The Russian stock market has open higher this morning and we expect that trend to continue today. The reflation trade remains intact but adding to that is the fact that with inflation fears easing investors are again looking at growth stocks.
Industrial production up 7.2% y/y in April, unemployment rate down to 5.2% - NEUTRAL
Polyus 1Q21 IFRS preview
- 1 Macro Analysis/Global G7 reiterates support for SDR allocation and seeks to boost its impact
- 2 Strategy Note/Global G7's 'Build Back Better World' is not an answer to China's Belt and Road
- 3 Strategy Note/Vietnam Vietnam: The best emerging market is still spoilt by foreign ownership limits
- 4 Macro Analysis/Pakistan Pakistan's FY22 Federal Budget – Serious push on growth
- 5 Strategy Note/Global Egypt's military spend is not securing the Nile in its dispute with Ethiopia
The contents of this document have been prepared by Joint Stock Company “Alfa-Bank” ("Alfa Bank") as Investment Research within the meaning of Article 36 of Commission Delegated Regulation (EU) 2017/5...