market report
Investors can look forward to an exciting trading day: US inflation data will captivate the markets in the afternoon. Before that, the reporting season in Germany will reach its peak and should move prices.
According to pre-market indications, the DAX will start the day significantly higher. After that, the index should start XETRA trading at 15,945 points and increase by around 0.7 percent compared to yesterday’s closing level. So the 16,000 mark remains within reach.
The DAX is thus initially giving weak US stock exchanges the cold shoulder. Investors on Wall Street ducked their heads again ahead of July’s US inflation data. The Dow Jones index of standard values closed 0.5 percent lower on Wednesday at 35,123 points. The tech-heavy Nasdaq fell 1.2 percent to 13,722 points. The broad S&P 500 lost 0.7 percent to 4467 points. “We think there’s some profit-taking and near-term consolidation happening at this point,” said Aadil Zaman, partner at Wall Street Alliance Group.
The experts believe that the inflation data will influence the monetary policy decisions of the US Federal Reserve (Fed). If inflation continues to fall significantly, as expected, this would speak for a longer pause in interest rate hikes in the USA.
Japanese stock markets returned to positive territory on Thursday. Strong corporate earnings eclipsed investors’ concerns over the upcoming US inflation data. The Nikkei index was 0.4 percent higher at 32,339 points. The broader Topix index rose 0.6 percent to 2296 points. The Shanghai stock exchange, on the other hand, was down 0.1 percent. The index of the most important companies in Shanghai and Shenzhen lost 0.3 percent.
On the foreign exchange market, the euro is likely to continue its sideways movement around the $1.10 mark until the US data is released this afternoon. In early trading, the common currency is trading at $1.0985.
Oil prices continue to move at high levels in the morning. A barrel of North Sea Brent costs $87.32, a barrel of US WTI is quoted at $83.85. The price for a troy ounce of gold is little changed at 1917 dollars.
On the German stock market, prices are being moved today by a number of current balance sheets and business prospects. The Allianz insurance group, for example, has confirmed its profit forecast for the full year after growth in the second quarter. The operating result should amount to 14.2 billion euros, with the usual range of plus/minus one billion euros. In the second quarter, operating profit rose 7.1 percent to 3.8 billion euros, which was slightly above analysts’ estimates. They had expected an operating result of 3.6 billion euros.
Deutsche Telekom expects earnings before interest, taxes, depreciation and amortization including leasing costs (Ebitda AL) of EUR 41.0 billion for 2023. But that is slightly more than previously expected. The target for free cash flow (free cash flow) remains at more than 16 billion euros. Telekom won 319,000 mobile customers under its own brands in Germany in the second quarter – almost two-thirds more than analysts had expected. At Group level, sales in the second quarter fell by 2.4 percent year-on-year to EUR 27.2 billion. This was primarily due to weaker sales of end devices.
The recipe box mail-order company had to accept a significant drop in demand in the past quarter due to the global slump in consumption. The number of orders fell by seven percent to 30 million. However, thanks to strict cost controls, the meal kit supplier increased its earnings before interest, taxes, depreciation and amortization (Ebitda), adjusted for special effects, by almost a third to just under 192 million euros. Sales fell slightly to EUR 1.92 billion as a result of weaker customer interest.
Deutsche Pfandbriefbank (pbb) is expecting a longer dry spell on the real estate market and is cutting around 130 jobs. The crisis on the real estate markets will be “sharper and longer lasting” than expected at the beginning of the year. Therefore, only new business of 6.5 to 8.0 billion euros can be expected in the current year. So far, the real estate financier had forecast nine to ten billion. “A visible recovery is only expected when financing costs stabilize in the long term, inflation continues to fall, the effects of working from home are foreseeable and the tension between online and retail trade calms down,” says the company.
The demand for solar technology gave SMA Solar a growth spurt in the first half of the year. With an increase in sales of around 65 percent to 778.9 million euros, the operating result (Ebitda) shot up to 125.3 million euros, compared to 15.9 million a year earlier. “We want to continue growing profitably. With our new gigawatt factory, we will create an additional 20 GW of capacity and more than 200 new jobs from 2025,” explained SMA CEO Jürgen Reinert. SMA intends to achieve sales of EUR 1.7 to 1.85 billion and an EBITDA of EUR 230 to 270 million in 2023.
US entertainment giant Disney halved its video streaming losses last quarter. However, the division with the Netflix competitor service Disney + still posted operating figures of 512 million dollars (466.5 million euros). In the past quarter, the division’s revenues fell 7 percent to $6.7 billion. Operating income fell 23 percent to $1.9 billion. Streaming sales meanwhile increased by nine percent to $ 5.5 billion. Disney+ subscribers increased from 104.9 to 105.7 million in three months.