The high-tech index Nasdaq grew updating the historic high in anticipation of the publication of the largest IT companies’ reports. S & P 500 and Dow industrials indices slightly decreased on the background of the weak report of Johnson & Johnson. Its stocks fell by 1.7%. After the closing of trades, the quarterly report of Alphabet, the owner of Google search engine, was released. Despite a slight decline in profits, its quotes rose at the end of the day. Currently, market participants expect the publication of the reports of two more Internet companies – Amazon and Facebook. This will happen on Thursday and Wednesday, respectively. Since the beginning of the year, S & P 500 has increased by 10.4%. Currently it is traded with P/E ratio (capitalization of all companies / total profit of all companies for the year) of 17.7. This is above the long-term average P / E = 15 level and may indicate that the index is overvalued. In order S & P 500 continues to grow, the increase in the total profit of the companies from its list in Q2, 2017 should not be worse than investors’ preliminary forecasts. They expect the profit to grow by 8.8%. Nearly 100 companies from the S&P 500 list have already reported. Meanwhile, their financial indicators are fully consistent with the forecasts. This week other 190 companies will release their quarterly reports. Yesterday the US dollar index slightly corrected upwards from its 13-month low, which was supported by the growth of the Manufacturing PMI by the Markit agency. Today at 16-00 SET the consumer confidence index for July will be released in the US. The preliminary forecast is moderately negative, which contributes to a slight weakening of the dollar in the morning.

At the beginning of the day, they fell on the background of the scandal concerning the German automakers. They are accused of price collusion and poor-quality control of compliance with environmental standards for engine exhaust. According to various estimates, if it is proved, then they will face a fine of up to 10% of turnover. However, later the price growth began on the European stock exchanges due to the positive reports of such companies as developer Segro, Informa media group, AMS – component manufacturer for iPhone, electronics manufacturer Philips. The rise of European stock indices continues on Tuesday morning as well. The euro slightly corrected down on Monday from its 23-month high, which was supported by the Markit data. Its PMIs for the Eurozone and Germany fell. This morning the IFO business climate and economic activity indices were released in Germany, which turned out to be positive and contributed to a slight increase in the euro and DAX 30 index.

Mitsubishi Tanabe Pharma stocks advanced 2.3% after the announcement that the latter purchases the Israeli company Neuroderm for $ 1.1 bln. The prices of Shionogi & Co increased by 2.4% due to the report about the development of a new medicine for cold and flu. An additional factor in favor of the Nikkei growth was the weakening of the yen. Last week, the Bank of Japan announced that it was not going to tighten the monetary policy and refuse from emission and low rates. This may become a long-term factor of the Japanese yen weakening.

Copper prices soared to a 5-month high on the background of China’s GDP growth by 6.9% in Q2. This exceeds the government’s forecast and investors’ expectations. China consumes about half of the world’s copper. An additional positive factor for the prices became the strike at the large copper mine Grasberg in Indonesia, as well as the plans to tighten the export of non-ferrous metals from the Philippines.