Asset Allocation for November 2017

Leading tech companies demonstrate strong financial figures for 3Q2017 that supported the appetite for risk assets among investors.

Such giants of world industry as Apple, Alphabet, Microsoft, and others exceeded analysts’ expectations on their financial results in 3rd quarter. Shares of mentioned companies sky rocked after results and helped stock indexes to rich new historical heights. NASDAQ exceeded 6200 points level and S&P500 moved on to 2500 points.

In Europe STOXX50 reached 3700 points as the dollar’s straightened relatively to euro and strong fundamentals as well.

In addition bullish sentiments were warmed up after impressive PMI and Consumer Confidence figures releases in US and EU. The situation around North Korea neutralized as aggressive activity ceased.

Oil prices have been rallying for the two month running. Traders play up political crisis in Saudi Arabia and possible warfare in Libya.

Threat and challenges in world markets:
-  Monetary policy tightening by US FED
-  Growing tensions between USA, South Korea, Japan and North Korea

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