Technical & Fundamental Oil Reports Specialists

Follow us

West increases pressure on Russia

Published Thursday, July 17th, 2014

An uptick in risk appetite triggered by the release of encouraging 2Q Chinese GDP growth figures and some solid corporate earnings provided a generally positive backdrop for global stocks. The upbeat mood was supported by data pointing to an increase in US industrial production in June whilst US home-builder sentiment rose to a six-month high in July. Add in the conclusion of a relatively dovish testimony from Janet Yellen and the outcome was all too predictable. Wall St resumed its march towards virgin territory with the Dow gaining 0.5% to close at a record high and the S&P500 climbed 0.4% to within a few points of recent peaks.

The latest boost to investor moral comes in spite of ongoing sources of political tension. Nowhere is this more prevalent than in Ukraine where fighting in the eastern part of the country with pro-Moscow rebels rages on. The endless failure to agree a ceasefire and the growing number of casualties have culminated in the latest sanctions announced by the EU and the US. It is hoped that this expansion of measures against the Russian state will ultimately lead to a reduction in the risk of a deteriorating security situation and a potential shock to the global economic recovery.

to read the rest of the report, please click here 

Posted by Tamas Varga

Tamas Varga has been in the oil industry since 1992 and with PVM for 18 years. During his time in the industry he has gathered a range of experience in the oil markets. At PVM Tamas is in charge of data collection and analysis.