market report
Status: 07/13/2022 07:28 a.m
Investors are reluctant to make new stock market purchases ahead of important US inflation data. The DAX should start trading in the red at the start of trading. The euro is trading just above the US dollar mark.
At 12,850 points and thus half a percent weaker, the DAX is expected to start XETRA trading. The focus of investors’ attention are current consumer prices from the USA, which are expected in the afternoon.
Wall Street is weakening
The specifications from the Wall Street stock exchanges are not very stimulating for trading in Europe. The US indices closed last night after a roller coaster ride with price drops. The US standard value index Dow Jones went 0.6 percent lower at 30,981 points from trading. The tech-heavy Nasdaq fell one percent to 11,264 points. The broad S&P 500 lost 0.9 percent to 3818 points. “When there’s a lot of data coming out like inflation figures and company balance sheets, it’s not uncommon for investors to be risk averse,” said Art Hogan, chief investment strategist at financial services firm B. Riley.
Asian markets nervous
In Asia, too, nervousness remains high. The Japanese Nikkei index was 0.3 percent higher at 26,423 points. The broader Topix index rose 0.2 percent to 1887 points. The Shanghai stock exchange was up 0.1 percent. The index of major companies in Shanghai and Shenzhen gained 0.2 percent.
euros at par
Great tension also continues on the foreign exchange market. The euro continues to trade very close to par with the dollar. Yesterday the euro fell to exactly one US dollar. The European common currency is currently trading at $1.0040. Above all, the prospect of a recession as a result of a gas shortage had weighed heavily on the euro in recent weeks.
Oil is getting cheaper
Oil prices, on the other hand, are in reverse. A barrel of North Sea Brent fell below the $100 mark at $99.50. The gold price is unchanged. A troy ounce of the precious metal costs 1724 dollars in the morning.
Aviation on the rise
In the DAX and MDAX, aviation stocks such as the engine manufacturer MTU and Lufthansa could benefit from the drop in oil prices, but also from better prospects in the industry. The US aircraft manufacturer Boeing delivered more machines in June than it has since March 2019. A total of 51 aircraft were handed over to customers last month, the company announced yesterday. Among them were 43 Boeing 737 MAX machines, which had been taken out of service for almost two years after two crashes with a total of 346 deaths.
Twitter files lawsuit against Musk
Twitter is asking tech billionaire Elon Musk in court to implement the agreed takeover of the online service. As announced, the online service filed a lawsuit in the state of Delaware, as Board Chairman Bret Taylor announced yesterday. The competent court can order the completion of a takeover. Twitter also expressly demands this in the 60-page lawsuit published by US media. Musk announced on Friday that he was withdrawing from the agreement to buy Twitter for around $44 billion.
Netflix soon with advertising?
The US streaming pioneer Netflix plans to introduce an advertising-financed subscription. The company has started negotiations about the necessary adjustments to its contracts with Hollywood studios, according to the “Wall Street Journal” yesterday. When asked by Reuters, the streaming service provider said it was only speculation and that the development of the cheaper subscription option was still in an early phase. Streaming without commercial breaks was one of Netflix’s core promises when it entered the video-on-demand business in 2007
Tesla with more layoffs
Tesla, the world’s largest electric car maker, is closing its office in San Mateo, California, in a bid to cut costs. The 229 employees who worked for the driver assistance system Autopilot would be laid off, the company said. In an email obtained by the Reuters news agency, he justified this with a “super bad feeling” about economic development. According to experts, the layoffs indicate that the second quarter was difficult for the industry leader due to lockdowns in China, higher raw material costs and supply chain problems.