Financial Markets News, Broker Reviews and Strategy

At the OPEC meeting in Vienna, the smaller members of the organization could not prevail with its demand for a reduction in the output rate. In particular, Saudi Arabia seems unwilling to take this step. The oversupply in the oil market burdened the oil prices for more than one year, which fell to its lowest level for 7 years after the decision. The rigid attitude of Saudi Arabia against a reduction in the output rate could be politically motivated in parts.

At today's press conference after the meeting of the ECB Governing Board, ECB President Mario Draghi remained under the expectations of analysts with the announced measures to boost inflation and revive the economy. The ECB funds rate is left its at the previous 0.05%, the deposit rate for banks, however, was reduced by 10 basi points to minus 0.30%. The euro reacted with gains, the European stock markets showed losses.

The coming week promises a lot of excitement on international financial markets, with important appointments in various areas of the global economy. Depending on the results, the financial markets could come vigorously moving this week.

In anticipation of the increase in interest rates by the Fed in December and an extension of bond purchases by the ECB, the euro has temporarily reached its lowest level in the last 7 months. The strong US dollar also burdened further commodity prices, which dropped on a broad front.