DAX defies weak US stock exchanges: New attempt at 14,000 points?

market report

Status: 12/23/2022 10:04 am

The DAX started trading on the last trading day before Christmas with slight price gains. However, these are not enough to make up for yesterday’s sharp drop in price.

Shortly after trading began, the DAX rose by up to 0.4 percent to 13,963 points. The leading German index lost 1.3 percent yesterday. A year-end rally, which can often be observed around Christmas, is still a long time coming. Nevertheless, the optimists don’t want to let the mood spoil: “The 14,000 is and will remain the big brand. A sustained undershooting of the 14,000 attracts buyers every time at the moment. That shows how well supported the market remains. And that’s a good sign for the DAX”, according to market observer Thomas Altmann from QC Partners.

The euro is holding up

On the foreign exchange market, the euro is fluctuating around the $1.06 mark. Later in the day, the currency could be moved by economic data. The second estimate for Spanish gross domestic product in the third quarter and data on economic sentiment in Italy are on the agenda first. In the afternoon, with a view to the USA, the focus will be on information on private income, consumer spending and price data, among other things.

Inflation in Japan weighs on the stock market

In Japan, too, inflation is increasingly becoming an issue: in the Asian country, consumer prices have risen more than they have in more than 40 years. The inflation rate for consumer goods excluding fresh food reached 3.7 percent in November, the government said. This is the highest rate of inflation since 1981. Including the price of fresh food, the inflation rate was 3.8 percent. The Nikkei index lost one percent to 26,235 points.

Price drop in America

The specifications from the US stock exchanges are mixed, but only really bad at first glance. Because the most important indices recovered significantly from their lows reached during the course of the day by the end of trading. The Dow Jones index ended the day down 1.1 percent at 33,027 points. The S&P 500, which reflects the broad market, fell by 1.4 percent to 3822 points. The Nasdaq Composite Index fell 2.2 percent to 10,476 points.

Market experts referred to largely robust economic data, which would have sparked renewed interest rate concerns among investors. “Following another round of economic data, it doesn’t look like the US economy will slide into recession anytime soon,” said market analyst Edward Moya of broker Oanda. According to a third estimate, gross domestic product grew somewhat more strongly in the summer than previously announced. Weekly initial jobless claims came in lower than expected, indicating a resilient labor market.

Tesla stock continues to fall

After the publication of a discount campaign on the US electric car manufacturer’s website, Tesla shares fell by almost nine percent – to their lowest level since November 2020. The group, led by Elon Musk, had previously had discounts of $ 7,500 for deliveries this month Electric vehicles offered.

After the US stock market closed, Musk also announced that he would not sell any more shares in the electric car manufacturer for the next two years. In an audio chat on Twitter Space, Musk said he expected the economy to slide into a “serious recession” in 2023 and demand for cars to be low. Musk had announced several times in the past that he would not sell any more Tesla shares, but then he did.

BioNTech receives Omicron approval in Hong Kong

The omicron vaccine from the Mainz-based biotech company BioNTech and its Chinese partner Fosun Pharma has now received regular approval in Hong Kong. The company announced today that the Comirnaty agent is the first and only vaccine to be approved for booster vaccinations in Hong Kong.

Roche receives approval for cancer drug

The Swiss pharmaceutical company Roche has received approval for its cancer immunotherapeutic Lunsumio (mosunetuzumab) in the USA. The FDA’s decision came as part of an accelerated approval process. In the future, Lunsumio may be used in patients suffering from a certain form of lymph node cancer and who have already received at least two therapies, as Roche announced. Roche had already received conditional approval for the immunotherapeutic in the EU in June.

Is TSMC coming to Germany?

According to a media report, the world’s largest contract chip manufacturer TSMC is targeting Dresden as a possible production location. The Taiwanese Apple supplier is in advanced talks with key suppliers about the construction of its first potential European plant in the Saxon capital, the “Financial Times” reported.

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