Major US stock indexes mostly rose on Wednesday, as the rise in the price of shares in the industrial goods sector compensated for the fall in quotations of the financial sector. At the same time, investors analyzed inflationary data for the US, and played out the results of the December meeting of the Fed.

As it became known, consumer prices in the US accelerated in November against the backdrop of a recovery in gasoline prices, but a drop in spending on health and clothing led to a drop in inflationary pressures. The Labor Department reported on Wednesday that the consumer price index rose 0.4% last month after rising 0.1% in October. This increased the CPI growth year on year to 2.2% from 2.0% in October.

Regarding the meeting, the Fed decided to raise the interest rate by 0.25%, to the range of 1.25% -1.50%. The Central Bank also revised upward its forecasts for the growth of the US economy, saying that it intends to continue raising rates if the situation in the economy develops in line with their forecasts. Fed executives did not significantly change their forecasts for the rate or inflation, although they now expect the economy to grow faster than expected in September. In addition, they believe that the situation in the labor market will continue to improve.

Most components of the DOW index finished trading in positive territory (19 out of 30). Caterpillar Inc. was the growth leader. (CAT, + 3.56%). Outsider were shares of International Business Machines Corporation (IBM, -1.71%).

Most sectors of the S & P index recorded an increase. The industrial goods sector grew most (+ 0.5%). The largest decrease was shown in the financial sector (-0.7%).

At closing:

DJIA + 0.33% 24,585.43 +80.63

Nasdaq + 0.20% 6.875.80 +13.48

S & P -0.05% 2.662.85 -1.26

AUD/USD has been depreciating on the last few hours.

However, now the price is testing below the upside trend line which might be interesting to go short in this pair.

We would like to remember you that at 19:00 we have news about Federal Funds Rate.

U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) decreased by 5.1 million barrels from the previous week. At 443.0 million barrels, U.S. crude oil inventories are in the middle of the average range for this time of year.

Total motor gasoline inventories increased by 5.7 million barrels last week, and are in the upper half of the average range. Both finished gasoline inventories and blending components inventories increased last week. Distillate fuel inventories decreased by 1.4 million barrels last week and are in the lower half of the average range for this time of year. Propane/propylene inventories increased by 0.2 million barrels last week, and are in the middle of the average range. Total commercial petroleum inventories decreased by 2.6 million barrels last week.

U.S. stock-index futures were flat on Wednesday as investors awaited the outcomes of the Federal Reserve's meeting and assessed the Democratic win in the Alabama Senate election.

Global Stocks:

Nikkei 22,758.07 -108.10 -0.47%

Hang Seng 29,222.10 +428.22 +1.49%

Shanghai 3,303.66 +22.85 +0.70%

S&P/ASX 6,021.80 +8.60 +0.14%

FTSE 7,505.98 +5.57 +0.07%

CAC 5,411.55 -15.64 -0.29%

DAX 13,166.72 -16.81 -0.13%

Crude $57.54 (+0.70%)

Gold $1,295.00 (+0.01%)

EURUSD: 1.1650 (EUR 535m) 1.1675 (715m) 1.1700 (1.5bn)1.1750 (990m)1.1800-05 (1.2bn) 1.1825-30 (835m) 1.1845-50 (950m) 1.1870-75 (695m) 1.1890-00 (1.5bn)

USDJPY: 111.00 (USD 915m) 112.00 (850m) 112.40-50 (1.8bn) 112.70 (425m) 113.00-05 (615m) 113.30 (270m) 113.45-50 (1.7bn) 114.00 (965m) 115.00 (1.5bn) 115.50 (520m)

GBPUSD: 1.3300 (GBP 150m) 1.3350 (240m) 1.3400 (220m)

EURGBP: 0.8675 (EUR 420m) 0.8775 (1.3bn) 0.8805-07 (580m)

USDCHF: 0.9900 (USD 120m) 1.0000 (260m)

USDCAD: 1.2680-85 (USD 625m) 1.2810 (155m) 1.2860 (150m)

AUDUSD: 0.7530 (AUD 215m) 0.7600 (155m)

November on a seasonally adjusted basis, the U.S. Bureau of Labor Statistics reported today. Over the last 12 months, the all items index rose 2.2 percent.
The energy index rose 3.9 percent and accounted for about three-fourths of the all items increase. The gasoline index increased 7.3 percent, and the other
energy component indexes also rose. The food index was unchanged in November, with the index for food at home declining slightly.
The index for all items less food and energy increased 0.1 percent in November. The shelter index continued to rise, and the indexes for motor vehicle insurance,used cars and trucks, and new vehicles also increased. The indexes for apparel, airline fares, and household furnishings and operations all declined in November.

(company / ticker / price / change ($/%) / volume)

Home Depot (HD) initiated with a Buy at Guggenheim; target $200

Caterpillar (CAT) initiated with a Overweight at Barclays

EUR/USD is getting close to the support zone which might be interesting to see how the price reacts on that zone.

If the price breaks below the support level then we can expect a strong bearish movement.

Otherwise, if the price starts rejecting the support zone then we might see a slight correction on the price.

• Flexible mindset becomes increasingly important in guiding monetary policy

• Japan's economy in "very good shape"

• Will guide monetary policy appropriately reflecting state of economy

In October 2017 compared with September 2017, seasonally adjusted industrial production rose by 0.2% in the euro area (EA19) and by 0.3% in the EU28, according to estimates from Eurostat, the statistical office of the European Union. In September 2017, the industrial production fell by 0.5% in both zones. In October 2017 compared with October 2016, industrial production increased by 3.7% in the euro area and by 4.2% in the EU28.

The number of persons employed increased by 0.4% in the euro area (EA19) and by 0.3% in the EU28 in the third quarter of 2017 compared with the previous quarter, according to national accounts estimates published by Eurostat, the statistical office of the European Union. In the second quarter of 2017, employment increased by 0.4% in the euro area and by 0.5% in the EU28. These figures are seasonally adjusted. Compared with the same quarter of the previous year, employment increased by 1.7% in the euro area and by 1.8% in the EU28 in the third quarter of 2017 (after +1.6% and +1.7% respectively in the second quarter of 2017)

Latest estimates show that average weekly earnings for employees in Great Britain in nominal terms (that is, not adjusted for price inflation) increased by 2.5% including bonuses and by 2.3% excluding bonuses, compared with a year earlier.

Latest estimates show that average weekly earnings for employees in Great Britain in real terms (that is, adjusted for price inflation) fell by 0.2% including bonuses, and fell by 0.4% excluding bonuses, compared with a year earlier.

Estimates from the Labour Force Survey show that, between May to July 2017 and August to October 2017, the number of people in work fell, the number of unemployed people also fell, and the number of people aged from 16 to 64 not working and not seeking or available to work (economically inactive) increased.

There were 32.08 million people in work, 56,000 fewer than for May to July 2017 but 325,000 more than for a year earlier.

There were 1.43 million unemployed people (people not in work but seeking and available to work), 26,000 fewer than for May to July 2017 and 182,000 fewer than for a year earlier.

The unemployment rate (the proportion of those in work plus those unemployed, that were unemployed) was 4.3%, down from 4.8% for a year earlier and the joint lowest since 1975.

In October 2017 the seasonally adjusted industrial production index increased by 0.5% compared with the previous month. The percentage change of the average of the last three months with respect to the previous three months was +0.8.

The calendar adjusted industrial production index increased by 3.1% compared with October 2016 (calendar working days being 22 versus 21 days in October 2016); in the period January-October 2017 the percentage change was +2.9 compared with the same period of 2016.

The unadjusted industrial production index increased by 6.4% compared with October 2016.

EUR/USD: 1.1650 (531 m), 1.1675 (707 m), 1.1700 (1.4 b), 1.1750 (990 m), 1.1800-05 (1.1 b), 1.1825-30 (834 m), 1.1845-50 (950 m), 1.1870-75 (692 m), 1.1890-00 (1.4 b)

USD/JPY: 111.00 (915 m), 112.00-12 (842 m), 112.40-50 (1.7 b), 112.68-70 (421 m), 113.00-05 (615 m), 113.30 (270 m), 113.45-50 (1.7 b), 114.00 (965 m), 115.00 (1.4 b), 115.50 (520 m)

GBP/USD: 1.3300 (141 m), 1.3350 (240 m), 1.3400 (216 m)

USD/CHF: 0.9900 (120 m), 1.0000 (256 m)

USD/CAD: 1.2680-85 (621 m), 1.2810 (155 m), 1.2860-61 (150 m)

AUD/USD: 0.7530 (211 m), 0.7600 (153 m)

EUR/GBP: 0.8675 (420 m), 0.8775 (1.3 b), 0.8805-07 (580 m)

EUR/USD

Resistance levels (open interest**, contracts)

$1.1909 (3842)

$1.1861 (1024)

$1.1835 (616)

Price at time of writing this review: $1.1744

Support levels (open interest**, contracts):

$1.1672 (4174)

$1.1632 (3539)

$1.1589 (2170)

Comments:

- Overall open interest on the CALL options and PUT options with the expiration date January, 5 is 92479 contracts (according to data from December, 12) with the maximum number of contracts with strike price $1,1800 (4776);

GBP/USD

Resistance levels (open interest**, contracts)

$1.3483 (2100)

$1.3437 (1430)

$1.3389 (507)

Price at time of writing this review: $1.3325

Support levels (open interest**, contracts):

$1.3259 (1614)

$1.3230 (2413)

$1.3196 (2164)

Comments:

- Overall open interest on the CALL options with the expiration date January, 5 is 30110 contracts, with the maximum number of contracts with strike price $1,3500 (3796);

- Overall open interest on the PUT options with the expiration date January, 5 is 29285 contracts, with the maximum number of contracts with strike price $1,2900 (2426);

- The ratio of PUT/CALL was 0.97 versus 0.97 from the previous trading day according to data from December, 12

* - The Chicago Mercantile Exchange bulletin (CME) is used for the calculation.

** - Open interest takes into account the total number of option contracts that are open at the moment.

As reported by the Federal Statistical Office (Destatis), the selling prices in wholesale trade increased by 3.3% in November 2017 from the corresponding month of the preceding year. In October 2017 and in September 2017 the annual rates of change were +3.0% and +3.4%, respectively.

From October 2017 to November 2017 the index rose by 0.5%.

Consumer prices in Germany were 1.8% higher in November 2017 than in November 2016. This means that the inflation rate as measured by the consumer price index was again slightly up, after standing at +1.6% in October 2017 (September and August 2017: +1.8% each). Compared with October 2017, the consumer price index increased by 0.3% in November 2017. The Federal Statistical Office (Destatis) thus confirms its provisional overall results of 29 November 2017.

European stocks closed in the green Tuesday, with smart-card maker Gemalto NV and retail giant Steinhoff Holdings NV scoring notable gains. Energy shares also rose after oil prices marched higher in the wake of a key pipeline outage.

The S&P 500 and the Dow closed at records for a fourth session in a row Tuesday as the Federal Reserve kicks off its two-day meeting, but the Nasdaq bucked the trend to head south. The central bank's Federal Open Market Committee is widely expected to announce its third and final interest-rate hike of 2017 on Wednesday, but investors want to see what the policy-making body signals about 2018.

Asian stocks were mixed Wednesday following overnight gains on Wall Street as investors looked ahead to a likely U.S. interest rate hike.

(raw materials / closing price /% change)

Oil 57.41 +0.47%

Gold 11245.80 +0.33%

(index / closing price / change items /% change)

Nikkei -72.56 22866.17 -0.32%

TOPIX +1.74 1815.08 +0.10%

Hang Seng -171.41 28793.88 -0.59%

CSI 300 -53.48 4016.02 -1.31%

Euro Stoxx 50 +18.14 3600.35 +0.51%

FTSE 100 +46.93 7500.41 +0.63%

DAX +59.88 13183.53 +0.46%

CAC 40 +40.36 5427.19 +0.75%

DJIA +118.77 24504.80 +0.49%

S&P 500 +4.12 2664.11 +0.15%

NASDAQ -12.76 6862.32 -0.19%

S&P/TSX +10.52 16114.03 +0.07%

(pare/closed(GMT +3)/change, %)

EUR/USD $1,1740 -0,24%

GBP/USD $1,3316 -0,17%

USD/CHF Chf0,99133 -0,06%

USD/JPY Y113,54 0,00%

EUR/JPY Y133,31 -0,24%

GBP/JPY Y151,198 -0,18%

AUD/USD $0,7557 +0,42%

NZD/USD $0,6932 +0,34%

USD/CAD C$1,28647 +0,08%