Rus News Journal

The markets of Europe: the prices of bonds continue to decrease

On Wednesday, on May, 27th, in the market of the European state bonds reduction of prices proceeded. Character of the auctions has defined the stream of the macroeconomic statistics which has left in the leading European countries. Since the morning there was the data, testifying that the confidence of the French manufacturers grows the second month successively, possibly, on owing to record decrease in interest rates and the measures stimulating economy undertaken by the authorities. As has informed national statistical bureau Insee, according to polls of 4000 industrialists, the index of business trust (Business Confidence Indicator) has grown in May in comparison with the last month with 71 to 72 points (growth to 73 points was expected). Almost simultaneously agency Insee has published one more report - an index of consumer trust (Consumer Confidence Indicator) which value in May has grown on 1 point - about a minus 41 to a minus of 40 points that became a maximum level for last 13 months.

results of polls spent by national statistical bureau Insee, also have shown that the French industrialists are adjusted much more optimistically economists. So, the indicator of the expected volume of output (Production Outlook Indicator) in May has grown from the previous mark a minus 57 to a minus of 50 points while the indicator of the volume of output expected in May by the companies (Own - Company Production Outlook), has risen from April level a minus 34 to a minus of 29 points.

the left given steels for industrialists powerful argument for a spirit raising. It is not necessary to dismiss and positive influence on moods of business circles of France of intentions of the president of the country of Nicolas Sarkozy to support economy investments into volume 26 mlrd euro.

additional influence on character of the auctions on Wednesday was rendered by the preliminary data of the inflationary statistics, published in Germany. As has informed for an hour and a half before closing of trading session federal statistical bureau in Wiesbaden, falling of the prices for energy carriers promoted decrease in inflationary pressure. So, in May in comparison with April the price index of consumers (CPI) has decreased on 0,1 % instead of expected growth on 0,1 %. In annual calculation the consumer price index has not undergone changes though analysts predicted indicator growth on 0,2 %. The Price index of consumers counted under standards of an eurozone (CPI - EU Harmonised), has fallen in May on 0,2 % in comparison with April (growth on 0,2 % was expected) and has decreased in annual expression on 0,1 %.

that in Germany there is not simply an easing of inflationary pressure, and process of reduction of prices has begun, experts explain, mainly, falling of the prices for energy carriers. Falling of oil quotations compels the German companies to reduce the prices for production, and also to reduce workplaces and expenses. According to last forecasts of analysts Bundesbank, the next months the prices will continue to decrease.

the market has reacted to an exit of inflationary statistics a new wave of sales of bonds: for an hour before closing of trading session the majority of the French and German bonds has considerably lost in the price. As to benchmark the European state bonds for an hour before closing of trading session profitableness 2 - summer Bunds and 10 - summer Bunds Germany practically has not changed. The spread between 2 - summer and 10 - summer Bunds Germany also has not changed and would make at present 222. The item

Results of the auctions by the state bonds of Germany at the London stock exchange at 19:00 Moscow time:

Results of the auctions by the state bonds of Great Britain:

Results of the auctions by the French state papers:

On Thursday, on May, 28th, in Germany the exit of the data about a situation on a labour market is expected. According to estimations of experts, the rate of unemployment according to the International organisation of work (ILO Unemployment Rate) has risen in April of current year from 7,6 % to 7,7 %. The Rate of unemployment counted by federal agency on work, will rise in May in comparison with April from 8,3 % to 8,4 %, and the quantity addressed for the unemployment benefit will grow on 64 thousand persons.

in France the data about a condition of the market of real estate will be published.

in an eurozone the exit of indicators of the indicator of consumer moods and confidence of business circles is expected. By estimations of analysts, the indicator of consumer trust (Consumer Confidence) will rise in May about a minus 31 to a minus of 30 points, the indicator of confidence of industrial production growth (Industrial Confidence) - about a minus 35 to a minus of 33 points, the indicator of confidence of economic development (Economic Confidence) - with 67,2 to 69,0 points.

department of the analytical information