Why June could be turning point for market

Why June could be a turning point for the market?

Many large companies
in recent days say that in June,
possible “fainting” in the market and that
In general, this is a critical month
for the markets. For example, take place in June
regular meetings of the ECB and the Fed meeting
OPEC already this Friday and the G-7 meeting held in
last weekend – a month and the truth
eventful. This week in
focus still remains Greece – it
you need to pay off the debt to the IMF on Friday,
but there is not for this free
money. All of these events plus the macroeconomic
Records are added to the tension
markets.

In the near future the most
a lot of damage can cause markets
unexpected outcome Greek conflict
with creditors, said Dzhozef Lyupton,
senior macroeconomics from JPMorgan.

June is also
important for the US economy – the Fed chief Janet
Yellen said recently that the central
US bank may raise rates
Depending on the state of the economy.
Thus, each report as an indicator of strength
the economy will be very important, and a report on
employment, which will be released this Friday,
It stands at the head of this list. economists watch
for the report, so as not to miss a moment,
when the US economy starts to improve
After 0.7% solution of GDP reduction in the first
quarter. In the second quarter, by the way,
forecasts have been reduced – with growth of more than
3% to 2.5%, because economic
reports continue to disappoint
investors.

In the stock market shares
“Included” in the summer with a good attitude after the
1 percent increase in S P 500 in May. but in June
It has been historically very often weak
month for the stock market. Some
strategists are preparing to see pullback
the stock market before the next season
statements. "I’m not a big shopper
seasonal sales"- says Savita
Subramanian, chief strategist
capital in the Bank of America Merrill
Lynch. She says that there are factors that
cause worry – including
those that indicate that in
second-quarter profit may be
negative. But, most likely, stocks
still do well this year, largely
due to the weakening of the central
banks. Subramanian said,
that she was not worried about falling share
in the United States because of the negative outcome in Greece,
and, in fact, American analysts
Now give more forecasts for the exit of Greece
from the euro zone than in the past. But markets
mostly still waiting for concrete
solutions.

Traders are also closely
follow the organization of the meeting
Petroleum Exporting Countries on Friday. At the
While OPEC is expected to leave
production quotas unchanged at 30 million barrels in
day, all the news headlines might affect
the oil market. cartel actually
increased production in May, writes
Reuters.

Markets also with attention
will observe the behavior of stock
Mainland China, which will include June 9
in the MSCI index. In the best case, this decision
It means that China’s shares will be included
in the emerging markets index, which
It is used as a guide for
the largest exchange-traded funds.

Marc Chandler, chief
currency strategist at Brown Brothers
Harriman, says that among other events,
for which he will be seen in June,
appear on the Turkish elections on June 7 and the EU summit
25-26 June. June 15 is also Saudi Arabia
It is about to launch the likeness QFII, and this
investment program
It will allow foreign investors to
access to the Saudi market. In general, the month is expected to rich and interesting, say experts.

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