market report
After four DAX record highs in a row, investors on the German stock market are apparently still not ready for major profit-taking. The DAX is close to its most recent all-time high this morning.
Despite a lack of support from US stock exchanges, the DAX is expected to start midweek trading near its all-time high. The broker IG currently estimates the German leading index 0.1 percent higher at 18,401 points. Yesterday, the German stock market barometer set a new record at 18,411 points – it was the fourth record high in a row.
There have recently been increasing signals of an “overbought” market situation in the DAX – but that hasn’t stopped investors from continuing to buy stocks. On the contrary: Many investors apparently fear missing out on the price rally. And that continues to drive prices higher. The upward trend in the DAX is intact, chart technology experts see the next price target for the DAX at 18,700 points.
What is causing uncertainty among investors, however, is that two key events for the stock markets will take place when most markets are closed for a holiday: On Good Friday, the PCE deflator, the inflation indicator favored by the US Federal Reserve, and the public comments of the Fed Chairman Jerome Powell on the agenda.
In Germany, the stock exchanges are closed on Good Friday and Easter Monday; on Wall Street there is only no trading on Good Friday – but trading takes place on Easter Monday. Then again at the regular times: After the time change in this country, trading in New York will resume from 3:30 p.m. to 10:00 p.m. CET.
On Wall Street yesterday, the major indices gave up their initial gains after a friendly trading session and closed somewhat weaker. Since the most recent record highs last Thursday, the series of slight setbacks has continued. Nevertheless, there has been no noticeable willingness to sell so far in the week before Easter.
The Dow Jones index of standard stocks fell 0.1 percent lower to 39,282 points. The technology-heavy Nasdaq fell 0.4 percent to 16,315 points. The broad S&P 500 lost 0.3 percent to 5,203 points.
In Japan, on the other hand, the Nikkei was able to achieve a strong price increase in the middle of the week: The index, which includes 225 values, rose by 0.9 percent to 40,762 points, thus approaching the 41,000 point mark that it exceeded the previous week for the first time in its history had.
The Nikkei is once again boosted by the weak yen, which fell to its lowest level since 1990 against the dollar this morning. At 151.68 per dollar, the Japanese currency is once again approaching the 152 per dollar mark, seen by some observers as a red zone for intervention by the Japanese central bank.
The euro fell slightly to $1.0825 in Asian currency trading. The troy ounce of gold also recorded slight losses, falling 0.1 percent to $2,176.
Deutsche Bank shares in the DAX could be worth a look in the morning. The financial institution is making progress in working through the problems at Postbank, but does not yet feel that it has reached its goal when it comes to service quality. “As recently announced, by the end of March we will have overcome the backlog in customer-critical processes, which were also the subject of Bafin’s orders, and are continuing to work on improvements,” said a spokesman for Deutsche Bank.
The shareholders of the real estate group Aroundtown will probably have to forego a dividend for 2023. The MDAX company announced yesterday evening that the board of directors does not want to recommend a dividend payment at the annual general meeting scheduled for June 26th. The reason for this is the ongoing market uncertainty.
The IT service provider GFT Technologies is getting a new boss. Marco Santos will lead the business from July 1, 2024. He succeeds Marika Lulay, who announced her resignation at the beginning of December. She does not want to extend her contract any further for personal reasons and will therefore be leaving the management at the end of the current year.
As usual, Apple will provide an outlook on new software and services in June. The iPhone company scheduled its WWDC developer conference for June 10th to 14th. At the WWDC (Worldwide Developers Conference), Apple traditionally announces new functions for the company’s devices. This time, artificial intelligence is likely to be the focus.
The approval of a drug associated with high expectations by the US Food and Drug Administration (FDA) boosted the share price of the US pharmaceutical company Merck & Co in after-hours trading. Merck can now begin marketing sotatercept. The drug, which is marketed under the name Winrevair, is used to treat a rare and dangerous form of high blood pressure. According to experts, the drug could become a bestseller.