Market Outlook July 25th

Market Outlook
- WALL STREET:
US indices rebounded last week, with the Nasdaq 100 index gaining over 3%. On the economic front, housing starts jumped 14.6% (+2.7% exp.) while building permits rose 2.5% (-2.3% exp.) in June. The Thomson Reuters/University of Michigan preliminary index of consumer sentiment also fell to 63.8 (72.2 exp.) in July. Regarding sectors, all sectors finished higher last week, except for household and personal products and telecommunication services. Banks led the rally, gaining 5.61%, followed by technological hardware and equipment (+5.29%). Semiconductors, diversified financials and energy climbed more than 3%. Technically, the S&P500 index bounced off from its 20D MA last week, but is very close to its key resistance zone around 1350-1370. Hence, a ST consolidation cannot be ruled out before any further upsides.

- EUROPE:
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