The meeting of the US and Russian presidents could calm the markets

Financial markets are influenced by information about the threat of an armed conflict between Russia and Ukraine. This week, macroeconomic data in the form of PMI indices may also play an important role.

Last week we saw drops in the US stock markets: Dow Jones index he lost nearly 2 percent, Nasdaq over 1,7%, a S & P 500 almost 1,6 percent in the vicinity of 4300 points Today indices in Europe are trying to make up for some of the recent losses. German DAX index seems to be defending a potentially crucial support at 14800 points. On the other hand Euro Stoxx 50 it may increase from around 4000 points, where also support for market bulls may fall.

This morning, the mood may be slightly better after reports that talks aimed at stopping the escalation of tensions at Russia's borders with Ukraine seem to be paying off. The office of French President Emmanuel Macron reported that the president of the United States Joe Biden and Russian President Vladimir Putin agreed to a summit in the coming weeks, after Macron's series of talks with both leaders, on the condition that Russia did not invade Ukraine.

Fed ahead of nine series of interest rate hikes?

It is not only the situation in Eastern Europe that may affect the sentiment on the stock market. Inflation risks and planned interest rate hikes in the US remain the economic topic no. 1. James Bullard, chairman of the St. Louis, called for aggressive financial policy measures and warned that inflation could spiral out of control if rates were not raised.

JP Morgan estimates that the Fed may decide to raise interest rates up to nine in a row, which seems to be the most hawkish view on the US market.