WEEKLY TOP GAINERS/LOSERS: 01.08.2018

Top Gainers – The World Market

1. Deutsche Lufthansa AG – shares of the German airline increased due to good earnings reports for the 2nd quarter of the current year. It managed to make a profit after the loss in the first quarter.

2. Yahoo! Japan Corporation – stock prices of the Japanese Internet company increased after the publication of good earnings reports for the first quarter of this financial year. An additional positive factor was the introduction of additional services in the form of mobile payments and a streaming video.

Top Losers – The World Market

1. Twitter Inc – stock prices of the social network fell amid weak earnings reports for the 2nd quarter and a decrease in the number of users by 1 million compared with the 1st quarter.

2. Facebook Inc – stocks of the social network decreased because of weak quarterly earnings reports.

Top Gainers – Foreign Exchange Market (Forex)

1. USDTRY, EURTRY - the growth of the Turkish lira on the chart indicates its weakening against the US dollar and the euro. The Central Bank of Turkey increased its 2018 inflation forecast to 13.4% from 8.4% and its 2019 forecast to 9.3% from 6.5%. In June, the consumer price growth in Turkey was the highest in the last 14 years and amounted to 15.39% year over year.

2. CADJPY, AUDJPY - the growth of the Japanese yen on the chart indicates its weakening against the Canadian and the Australian dollars. This was contributed by the statement of the Bank of Japan that it will maintain rates at current low levels (-0.1%) for a long time. Earlier, investors assumed that the Japanese regulator would start to gradually tighten its monetary policy.

Top Losers - Foreign Exchange Market (Forex)

1. EURZAR, USDZAR - the decline of these charts means the strengthening of the South African rand against the euro and the US dollar. The optimism of market participants caused an increase in the surplus of South Africa’s trade balance in June to 12 billion rand from 3.52 billion rand in May of the current year. The rate of the Reserve Bank of South Africa is 6.5% and exceeds the 4.6% inflation.

2. EURMXN, USDMXN - the decline of this chart means the strengthening the Mexican peso against the euro and the US dollar. Market participants expect that the Bank of Mexico will maintain the current parameters of its monetary policy at the next meeting on August 2. The rate of the Bank of Mexico is now 7.75% and significantly exceeds the 4.65% inflation. Note that most investors forecast a slight reduction in inflation by the end of 2018 and in 2019.