External background. The S&P 500 index rose by only 0.26%, falling out of the negative zone. Despite a modest increase and a cautious session ahead of important macroeconomic reports, the index was able to reach historical highs at session closing prices. Investors will focus on consumer price index (inflation) data and Powell's report after Wednesday's rate decision. First, JPMorgan and Citigroup suggest that investors switch to searching the stock market during these reports. The Citigroup Stock Trading Strategy department reports that the options market is betting that the S&P 500 index will move 1.25% in any direction on this day, based on the value of put and call options with money. The Fed is expected to keep borrowing costs stable, but officials' forecasts for the rate are less certain. 41% of economists expect them to signal two cuts on the "dot chart," while the same number expect forecasts to show only one reduction or none at all. Other companies include Apple, whose share increased by 1.9% after it introduced Apple Intelligence to the system administrator at the WWDC developer conference. In Europe, the indices showed results close to neutral. The pressure factor in the region was the dissolution of the lower house of parliament in France after the defeat of the centrist camp in the European Parliament elections. Political scientists mark this move as a all-in on Macron's part. In Asia, the Hong Kong index opens lower after a long weekend, when the rest of the indices are trading neutrally. It is quite obvious that the price has risen to $ 80 per barrel of Brent.
Bonds. US 10-year yields continued to rise, but at a less modest pace compared to Friday's surge. The quotes are close to retesting the 50-day average.
The KASE index. KASE declined by 0.4% yesterday, without major changes in the current price consolidation picture. Trading in individual stocks was moderate, half of the securities showed a slight decrease, the other showed neutral dynamics. Today, the opening of the auction is taking place without any big surprises.
Index shares. The most interesting event of yesterday was the news about the appointment of former Minister of Digital Development of the Republic of Kazakhstan Bagdat Musin as the head of Kazakhtelecom. The news, in general, is assessed by us as positive, since Musin is remembered as a minister who did a good job with digitalization in the country and was open to dialogues, the absence of which is often criticized in the work of Kazakhtelecom. On the other hand, it is possible to tighten internal regulation in the company, since Musin himself has already spoken about the frequent fines that were issued to operators. At the opening of trading, Kazakhtelecom shares do not show any significant reaction to the news. Among GDR and ADS, Air Astana had the largest growth, which remain under pressure from their 50-day average.
Currency. The dollar rose to 448.7 tenge yesterday, but this morning it is falling again to the levels of the end of last week.
Key market news (+) KZTK: Bagdat Musin heads Kazakhtelecom