market report
Status: 04/29/2022 07:44 a.m
The DAX should easily pass the 14,000 point mark at the start. Strong targets come from the USA, where the tech stocks celebrated a furious comeback on the Nasdaq. After the trading day, Apple surprised positively.
The 40 German standard stocks are likely to make a strong leap upwards at the stock market opening on XETRA today. The broker IG assesses the leading German index 1.0 percent higher at 14,125 points.
DAX has its sights set on the 14,000 point mark
The recovery rally in the DAX, which started on Wednesday at a low of 13,566 points, should therefore continue. Since then, the DAX has gained more than 400 points. Yesterday it closed 1.4 percent higher at 13,980 points. If the German standard stocks recapture the resistance zone at 14,000 points at the end of the week today, the technical picture in the DAX would brighten significantly again.
Dow and Nasdaq post strong gains
Strong targets for the DAX come from the US stock exchanges. Encouraging business figures from Facebook parent Meta, among others, have lured investors back into the stock market; Tech stocks in particular stood out with significant price gains.
The US standard value index Dow Jones closed 1.9 percent firmer at 33,916 points. The broad S&P 500 climbed 2.5 percent to 4,287 points. The technology-heavy Nasdaq showed relative strength with an increase of 3.1 percent to 12,871 jobs.
Apple surprises positively
The tech giant Apple caused a positive surprise in US after-hours trading. In the three months ended March 26, the iPhone maker grew nearly 9 percent to $97.3 billion, significantly exceeding analyst expectations. Profits climbed nearly eight percent to $25 billion. The stock gained a good two percent in after-hours trading.
Amazon shocks investors
On the other hand, Amazon caused a bitter disappointment. Business was surprisingly bad for the world’s largest online retailer. Sales increased by seven percent to $ 116.4 billion – Amazon recorded the weakest growth in around two decades. The bottom line is that the group even suffered a net loss of 3.8 billion dollars. Investors reacted with shock and initially dropped Amazon’s shares by around ten percent in after-hours trading.
Nikkei attracts powerful
The good indications from Wall Street are also having an effect on the Asian stock markets: the Japanese Nikkei, which comprises 225 stocks, is 1.8 percent higher shortly before the end of trading in Tokyo. The leading index of the Shanghai Stock Exchange, the SSE Composite, is currently up 2.1 percent.
Oil prices continue to rise
Investors’ risk appetite, which has increased again, is meanwhile also being reflected in the oil market. Oil prices continue to rise in the morning. The price for a barrel (159 liters) of North Sea Brent rose by 0.8 percent to $108.45. A barrel of WTI oil is priced at 105.92, up 0.5 percent.
Euro continues to weaken, gold recovers slightly
The European common currency is moving sideways in early trade at low levels. Currently, 1.0516 dollars are paid for one euro. The euro slipped as low as $1.0474 on Wednesday, its lowest level in five years.
The weakness of the euro is primarily due to the widening interest rate gap in favor of the dollar. The greenback is also showing strength against other currencies; just yesterday the dollar index rose to a 19-year high. Gold can recover somewhat. For a troy ounce of the yellow precious metal 1906 dollars are paid in the morning.
Panama wants to allow Bitcoin & Co as a means of payment
Panama is the second Latin American country on course to allow digital assets as a normal means of payment. Parliament passed a corresponding law yesterday with a large majority. In contrast to El Salvador, which in September was the first country in the world to allow Bitcoin as legal tender, Panama does not want to commit itself to a specific cryptocurrency.
BASF confirms annual targets – but sees many risks
At the end of the week, the German stock market focused on BASF. Despite the economic consequences of the war in Ukraine, the chemical company is sticking to its annual targets. However, the market environment remains characterized by an exceptionally high level of uncertainty, BASF warned on the day of the Annual General Meeting. In particular, the Ukraine war and the effects on the prices and availability of energy and raw materials are unpredictable.
More cautious tones from Intel
The US chip group Intel is cautious in view of supply chain uncertainties and concerns about weaker PC demand. For the current quarter, Intel expects revenues of 18 billion dollars. Compared to the previous quarter, this would correspond to a minus of two percent, compared to the same quarter of the previous year of almost three percent. In the first quarter, sales fell one percent to $18.4 billion.
Musk dumps more Tesla shares
Elon Musk has sold 4.4 million Tesla shares worth $3.99 billion. This is evident from the US securities documents. Musk announced via the Twitter news service that no further sales of Tesla shares were planned for the time being. Tesla lost ground yesterday as investors fear Musk will have to sell shares to fund the Twitter acquisition.