(raw materials / closing price /% change)

Oil 63.92 -0.36%

Gold 1,326.90 -0.72%

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

Nikkei +35.13 21645.37 +0.16%

TOPIX +6.50 1749.91 +0.37%

Hang Seng -272.22 30323.20 -0.89%

CSI 300 -98.39 4050.50 -2.37%

KOSPI -56.75 2396.56 -2.31%

Euro Stoxx 50 +59.60 3454.52 +1.76%

FTSE 100 +138.02 7279.42 +1.93%

DAX +197.77 12590.43 +1.60%

CAC 40 +94.09 5255.90 +1.82%

DJIA -19.42 24893.35 -0.08%

S&P 500 -13.48 2681.66 -0.50%

NASDAQ -63.90 7051.98 -0.90%

S&P/TSX -33.35 15330.58 -0.22%

(pare/closed(GMT +2)/change, %)

EUR/USD $1,2264 -0,91%

GBP/USD $1,3880 -0,50%

USD/CHF Chf0,9431 +0,75%

USD/JPY Y109,33 -0,21%

EUR/JPY Y134,08 -1,13%

GBP/JPY Y151,754 -0,71%

AUD/USD $0,7820 -1,08%

NZD/USD $0,7234 -1,47%

USD/CAD C$1,2565 +0,57%

03:00 China Trade Balance, bln January 54.69 54.1

05:00 Japan Eco Watchers Survey: Current January 53.9 55.2

05:00 Japan Eco Watchers Survey: Outlook January 52.7 53.5

07:00 Germany Current Account December 25.4

07:00 Germany Trade Balance (non s.a.), bln December 23.7

08:45 Germany German Buba President Weidmann Speaks

09:00 Australia RBA's Governor Philip Lowe Speaks

09:50 U.S. FOMC Member Kaplan Speak

12:00 United Kingdom BoE Interest Rate Decision 0.5% 0.5%

12:00 United Kingdom Asset Purchase Facility 435 435

12:00 United Kingdom BOE Inflation Letter

12:00 United Kingdom Bank of England Minutes

13:00 U.S. FOMC Member Harker Speaks

13:15 Canada Housing Starts January 217 210

13:30 Canada New Housing Price Index, YoY December 3.4%

13:30 Canada New Housing Price Index, MoM December 0.1% 0.1%

13:30 U.S. Continuing Jobless Claims January 1953 1945

13:30 U.S. Initial Jobless Claims February 230 232

14:00 U.S. FOMC Member Kashkari Speaks

17:45 Canada Gov Council Member Wilkins Speaks

The main US stock indexes bargained for most of the session with an increase, but finished trading in negative territory amid a new wave of risk aversion.

Important statistical data that could have an impact on the mood of market participants, was not published.

A certain influence was made by the statements of the President of the Federal Reserve Bank of New York William Dudley and the president of the Federal Reserve Bank of Chicago, Charles Evans. Dudley said that the sharp fluctuations of the stock market, observed in recent days, did not change his assessment of the economy and the outlook for monetary policy. However, Dudley said that the Fed leaders should monitor the situation. "If quotes in the stock market fall significantly and remain low, it will really affect the prospects for the economy, as well as my opinion on the further course of monetary policy," added Dudley.

Meanwhile, Evans said that he would prefer not to change rates until mid-2018, to be sure of a steady increase in inflation. "If in the middle of the year the Fed leaders have more confidence in the growth of inflation, further increases in rates will be justified," Evans said.To remind, this year Evans does not have the right to vote in the FOMC when making decisions on the rate.

Oil prices fell more than 2% to a monthly low, after data from the United States unexpectedly indicated an increase in petroleum products stocks, and increased concerns over excess supply during the weaker demand season. The US Energy Ministry reported that in the week of January 27 - February 2, oil reserves increased by 1.895 million barrels to 20.254 million barrels. Analysts had expected an increase in inventories of 3.189 million barrels. Oil reserves in the Cushing terminal were reduced by 711,000 barrels, to 36.3 million barrels.

Most components of the DOW index finished trading in positive territory (18 out of 30). The leader of growth was the shares of The Boeing Company (BA, + 2.51%). Outsider were the shares of Apple Inc. (AAPL -1.85%).

Most sectors of the S & P index recorded an increase. The conglomerate sector grew most (+ 0.8%). The largest decline was in the commodity sector (-1.9%).

At closing:

DJIA -0.08% 24,893.35 -19.42

Nasdaq -0.90% 7,051.98 -63.90

S & P -0.50% 2,681.66 -13.48

U.S. commercial crude oil inventories (excluding those in the Strategic Petroleum Reserve) increased by 1.9 million barrels from the previous week. At 420.3 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 3.4 million barrels last week, and are in the middle of the average range. Both finished gasoline inventories and blending components inventories increased last week. Distillate fuel inventories increased by 3.9 million barrels last week and are in the middle of the average range for this time of year. Propane/propylene inventories decreased by 4.1 million barrels last week, but are in the middle of the average range. Total commercial petroleum inventories increased by 4.4 million barrels last week

U.S. stock-index futures were lower on Tuesday, as an almost 2 percent gain in the previous session was not enough to calm the nerves following the worst one day fall in six years on Monday.

Global Stocks:

Nikkei 21,645.37 +35.13 +0.16%

Hang Seng 30,323.20 -272.22 -0.89%

Shanghai 3,309.58 -61.07 -1.81%

S&P/ASX 5,876.80 +43.50 +0.75%

FTSE 7,216.13 +74.73 +1.05%

CAC 5,197.83 +36.02 +0.70%

DAX 12,506.42 +113.76 +0.92%

Crude $63.17 (-0.35%)

Gold $1,325.90 (-0.27%)

Canadian municipalities issued $8.1 billion in building permits in December, up 4.8% following a 7.3% decline in November. The December increase stemmed from higher construction intentions in the residential sector. Across Canada, all components climbed in 2017, up 10.4% from the previous year, led by the multi-family dwelling component.

Construction intentions for single-family homes led the rise in December. Canadian municipalities issued $2.8 billion in permits for single-family dwellings, rising 8.9% from the previous month and the largest month-over-month increase in 2017. Ontario reported the largest gain, up 15.7% from the previous month. Permits issued for new single-family housing developments in the census metropolitan areas (CMAs) of Kitchener-Cambridge-Waterloo and Barrie helped offset the 12.1% decline in the CMA of Toronto.

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

Apple (AAPL) initiated with a Neutral at Goldman; target $161

HP (HPQ) initiated with a Neutral at Goldman; target $25

Cisco Systems (CSCO) initiated with a Buy at Goldman; target $48

Walt Disney (DIS) target raised to $125 from $122 at B. Riley FBR

Chevron (CVX) upgraded to Outperform from Market Perform at Wells Fargo

Walt Disney (DIS) reported Q1 FY 2018 earnings of $1.89 per share (versus $1.55 in Q1 FY 2017), beating analysts' consensus estimate of $1.61.

The company's quarterly revenues amounted to $15.351 bln (+3.8% y/y), generally in-line with analysts' consensus estimate of $15.474 bln.

DIS rose to $108.00 (+1.72%) in pre-market trading.

• Market valuations high relative to history

• No implication yet for underlying economy

• We have to look into reasons before we say anything about stock market move

Year-on-year estimates of retail trade index showed falls in December 2017, decreasing by 0.1% in terms of value and 0.9% in terms of volume. For the whole of 2017, value of sales grew by 0.2% while volume contracted by 0.6%.

Looking at the quarterly movement (Quarter 4), the 3 months to December 2017 pattern stays relatively flat (+0.1%). In the same period the volume of retail trade decreased by 0.2%, due to a decline in food sales.

The month-on-month picture reported falls in December 2017 as both value index and volume index decreased by 0.3%.

On 4-hour time frame chart we can see that the price has broken the upside trend line which the price has been following for several days.

Also, we can see that the price has tested once again the trend line below and therefore we could see a new bearish movement soon.

So, we can expect a further bearish movement on GBP/JPY close to 150.000

Prices in the last three months to January were 2.2% higher than in the same three months a year earlier, although the annual change in January was lower than in December (2.7%).

House prices remained unchanged in the recent quarter (November-January) from the previous quarter (August-October); on this measure prices are down from the 1.3% quarterly rise recorded in December.

On a monthly basis, prices fell for the second consecutive month in January (by 0.6% following a 0.8% decrease in December).

The average price of £223,285 at the beginning of the year is 1.9% higher than in January 2017 (£219,217), however, the current price has edged down after recording £226,408 - highest on record - in November.

EUR/USD

Resistance levels (open interest**, contracts)

$1.2489 (1543)

$1.2464 (2812)

$1.2438 (3519)

Price at time of writing this review: $1.2390

Support levels (open interest**, contracts):

$1.2326 (2980)

$1.2286 (5193)

$1.2242 (5230)

Comments:

- Overall open interest on the CALL options and PUT options with the expiration date February, 9 is 137521 contracts (according to data from February, 6) with the maximum number of contracts with strike price $1,2200 (7546);

GBP/USD

Resistance levels (open interest**, contracts)

$1.4095 (580)

$1.4066 (1710)

$1.4023 (2377)

Price at time of writing this review: $1.3966

Support levels (open interest**, contracts):

$1.3914 (766)

$1.3887 (749)

$1.3856 (1323)

Comments:

- Overall open interest on the CALL options with the expiration date February, 9 is 42924 contracts, with the maximum number of contracts with strike price $1,3600 (3471);

- Overall open interest on the PUT options with the expiration date February, 9 is 38751 contracts, with the maximum number of contracts with strike price $1,3400 (3038);

- The ratio of PUT/CALL was 0.90 versus 0.92 from the previous trading day according to data from February, 6

* - 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.

In December 2017, production in industry was down by 0.6% from the previous month on a price, seasonally and working day adjusted basis according to provisional data of the Federal Statistical Office (Destatis). In November 2017, the corrected figure shows an increase of 3.1% (primary +3.4%) from October 2017.

In December 2017, production in industry excluding energy and construction was down by 0.7%. Within industry, the production of capital goods decreased by 2.6% and the production of consumer goods by 0.5%. The production of intermediate goods showed an increase by 1.5%. Energy production was up by 1.4% in December 2017 and the production in construction decreased by 1.7%.

European stock markets closed sharply lower and suffered a seventh straight decline on Tuesday, after a historic selloff in the U.S. the prior day sparked a global market rout.

The U.S. stock market halted its death spiral to close higher Tuesday after a wild day of trading that saw the Dow ricocheting more than 1,000 points, underscoring a new regime of volatility on Wall Street.

Asian stocks rebounded Wednesday after equities in the U.S. roared back in a late-day rally, as investors returned to buying into weakness. "The only surprise about the current market volatility is that it hasn't happened sooner," said Richard Titherington, chief investment officer for emerging-market stocks in Asia at J.P. Morgan Asset & Wealth Management.

• Says republicans promise immigration debate on senate floor next week

The seasonally adjusted Australian Performance of Construction Index increased by 1.5 points to 54.3 points in January (readings above 50 points indicate expansion). This signalled industry-wide growth for a 12th consecutive month and at a slightly higher pace than in December 2017.

Data for January revealed an improvement in demand, with the new orders sub-index returning to growth after drifting into mildly negative territory in December.

The activity sub-index remained in expansion in January, at a broadly unchanged rate from December. This was associated with further growth in deliveries from suppliers.