market report
The tech reporting season in the USA continues to keep the markets on tenterhooks. After the drama surrounding Meta yesterday, Google and Microsoft are now stoking the buying mood. The DAX is likely to return to 18,000 points.
The global stock markets are increasingly becoming the plaything of the US tech reporting season. In the middle of the week, things were looking up after positive figures from the US electric car manufacturer Tesla. Yesterday, disappointing business forecasts from the Facebook group Meta depressed prices. So today things are likely to look up again – thanks to strong figures from Google and Microsoft.
Pre-market indications suggest that the DAX is likely to start the last trading day of the week with an upward price gap. The broker IG estimates the German leading index to be 0.5 percent higher at 18,004 points. Yesterday the DAX slipped below the 18,000 point mark again and closed 1.0 percent lower at 17,917 points.
“Yesterday’s sharp correction is now a thing of the past.” Strikingly high trading turnover suggests that the renewed correction was used by many to buy more, commented portfolio manager Thomas Altmann from QC Partners.
A boost for the DAX comes at the end of the week from the figures from two tech giants from the USA. Both Google and Microsoft presented quarterly figures well above expectations yesterday evening after the US stock market closed. Google parent Alphabet increased its profit to $23.66 billion from a good $15 billion a year earlier. Google’s advertising business has so far easily defied AI challengers, with advertising revenue increasing by a good 13 percent to $61.7 billion.
Rival Microsoft also gave a clear signal that its investments in cloud and artificial intelligence are paying off. Microsoft increased sales in the third quarter, which ended at the end of March, by 17 percent year-on-year to almost $62 billion. Profits grew by a fifth to almost $22 billion.
The Microsoft and Google numbers are also giving US futures a boost. The future on the technology-heavy Nasdaq 100 is currently gaining 1.1 percent, the Dow future is gaining 0.1 percent.
During regular trading on Wall Street, the markets were still weighed down by murky company balance sheets and dwindling interest rate hopes. The Dow Jones index of standard stocks closed around one percent lower at 38,085 points. The technology-heavy Nasdaq fell 0.6 percent to 15,611 points. The broad S&P 500 lost 0.5 percent to 5,048 jobs.
Positive guidance for DAX trading this morning also comes from Asian stock markets. The Shanghai stock exchange recorded an increase of 0.9 percent. In Tokyo, the 225-stock Nikkei index was 1.2 percent higher in late trading. After raising interest rates for the first time in 17 years last month, the Bank of Japan (BoJ) has kept its feet still this time. The monetary authorities today left the key interest rate at the current level of 0.0 to 0.1 percent.
In Asian foreign exchange trading, the euro is currently almost unchanged at $1.0722. Meanwhile, gold continues to make up ground after its recent price slide. The troy ounce of gold rose by 0.2 percent to 2,336 points in the morning. At the beginning of the week, the yellow precious metal had slipped below the $2,300 mark.
Deutsche Telekom shares in the DAX could be worth a look today. The subsidiary T-Mobile US was able to gain an unexpected number of mobile customers at the start of the year. The number of new contract customers after deducting cancellations rose by 532,000. This means that T-Mobile continues to leave the competition behind.
In the first quarter, the world’s largest aircraft manufacturer Airbus had to cope with a decline in its operating result, adjusted for special effects such as currency fluctuations, by a quarter to 577 million euros. The background to this is, among other things, an increased employee share plan.
BASF Supervisory Board Chairman Kurt Bock received a slap at the chemical company’s general meeting. Only 67.9 percent of capital voted for his re-election yesterday. Both the influential voting rights advisor ISS and the investment company Deka had announced that they would vote against Bock’s new term in office.
The insurance group Talanx earned significantly more in the first quarter than a year ago and was expected by experts. Profits climbed by 35 percent to 572 million euros. This development is primarily due to strong business development in primary insurance activities related to the HDI brand.
After the US stock market closed, Intel presented an outlook below market expectations: Due to sluggish demand for classic processors for PCs and data centers, Intel reported sales of 12.5 to 13.5 billion dollars and a profit of 0.10 dollars each for the current quarter Share in prospect. The shares slipped by almost nine percent in after-hours trading.