Overnight roundup courtesy of Spreadex – 29/08/13

European markets opened firmly today as investors finished taking as much risk out of their portfolios as they could bear.  However, volumes are once again proving painfully thin as many seem to be adopting a wait-and-see-strategy over whether the West will confirm military intervention in Syria.  Investors seem to be rattled by reports that energy giants China and Russia have openly expressed their concerns over a military strike whereas the UK and the US have not made a categorical stance regarding their positions. 

Thus, the opportunity for volatility will likely remain until Western nations announce their plan of action, if any, regarding the atrocities which seem to be occurring in Syria. 

Aside from the problems in Syria, investors will also have a host of economic data to grapple with including unemployment figures in Germany as well as second estimates of US GDP.  The growth figures from the US will likely be scrutinised by investors amidst the context of the supposed tapering of stimulus measures by officials.  

Although it is entirely possible that the data will be overshadowed by news headlines regarding Syria.  This could be problematic as a string of poor data could be neglected which would ordinarily impact sentiment as well as officials’ views of whether tapering should begin next month