The four local stock indexes reported declines in the last week of May. For SOFIX it amounted to 4.36 % as the current index level of 288.2 points, is the lowest level in three years. From the companies included in the measure only Neochim (5.2 %) and FNI REIT Bulgaria (3.8 %) reported increases. The remaining three index outperformed, but also ended the week at minus. Negative were the attitudes on the developed markets. Euro area unemployment reached its highest level since the creation of a common European Union currency - 11 % in March and April announced Eurostat. U.S. unemployment rate in May rose again to 8.2 % because of fewer new jobs created, reported Bloomberg. Data of U.S. labor ministry showed that last month in the United States were discovered 69 thousands new jobs, while economists forecast they to reach 150,000. Analysts had expected U.S. unemployment in May to keep the level of 8.1 %.

The U.S. economy has grown at an annual rate of 1.9 % in the first three months of 2012 at originally announced growth of 2.2 %, reported BBC, citing data of the Ministry of Commerce of the United States. The adjustment is largely due to a moderate revision of the indicator for consumer spending and higher imports. Consumer spending rose by 2.7 % instead of the initial 2.9 %. In China, the official index of managerial contracts (PMI) fell to 50.4 points in May - the lowest level in five months - from 53.3 points in April. Although the sixth consecutive month PMI is above 50 points, which means that business activity increases, his decreases clearly illustrates the slowdown in economic growth. In Bulgaria in May 2012 the total business climate indicator rose by 2.8 percentage points from the previous month, due to the improved business climate in construction (up by 1 point), retail (10.3 points) and sector services (1.8 points).

Weekly return of collective investment schemes managed by the "UBB Asset Management" was in line with the market trend, and for a second week only UBB Platinum Bond managed to break the negative trend and reported an increase of 0.13 %. Transactions concluded last week have intended to reach the set target weights for each of the positions in the portfolio...more »

Tihomir Nenov, risk manager