market report
Status: 04/03/2023 07:39 a.m
The DAX is struggling to build on its strong previous week. A direct march through to the high for the year is becoming increasingly unlikely, especially since oil prices are rising massively after the OPEC decision.
After the strong previous week, the DAX is unlikely to succeed in marching through to its high for the year of 15,706 points. The broker IG assesses the leading index 0.1 percent lower at the hour to 15,616 points. The rising oil prices after yesterday’s OPEC+ decision are unsettling investors.
DAX high for the year as a door opener to a record high?
This means that the DAX rally has come to a standstill at a crucial point. Since the brief shock of the surprisingly necessary emergency rescue by Credit Suisse exactly two weeks ago, the DAX had risen from its annual low of 14,458 points to over 1200 points. The DAX chart is showing a sharp V-shaped recovery.
An increase to the annual high of 15,706 points at the beginning of March would now fuel the upward momentum in the DAX again and, according to technical chart experts, fuel a price increase towards the all-time high of 16,290 points.
OPEC drastically cuts oil production
At the beginning of the week, investors focused primarily on the oil market, after the oil alliance OPEC+ surprisingly announced a reduction in production last night. From May onwards, around one million barrels (each 159 liters) less should flow onto the market per day. The US investment bank Goldman Sachs then raised its forecast for Brent crude to $95 a barrel by the end of the year and to $100 for 2024.
Oil prices are rising drastically
Brent prices rose 4.9 percent to $83.84 in the morning. The price of the US variety WTI skyrocketed by 5.1 percent to $79.52. Oil prices have a direct impact on consumer price levels. If they pick up again on a sustained basis, this could fuel inflation concerns and, consequently, interest rate fears on the market again. In March, oil prices had fallen to their lowest level since the end of 2021, providing relief on the inflation front.
Fantastic quarterly results for the Nasdaq
In view of the easing of inflation concerns, the US stock exchanges had increased on Friday. The Dow Jones gained 1.3 percent to 33,274 points. The Nasdaq was up 1.7 percent to 12,221 and the broad S&P 500 was up 1.4 percent to 4,109.
Looking ahead to the first quarter, there were notable differences between the indices: the Nasdaq gained 16.8 percent — its biggest quarterly percentage gain since 2020 — while the S&P was up less than half that, at 7 percent, and the Dow was virtually flat stayed.
Gains in the Nikkei
Positive guidelines for DAX trading come from the Asian stock exchanges. The Nikkei index, which comprises 225 stocks, is up 0.6 percent at 28,200 points shortly before the close in Tokyo. The Shanghai stock exchange is up 0.6 percent. The index of the most important companies in Shanghai and Shenzhen gained 0.9 percent. Even worse-than-expected economic data from Japan and China could not curb investors’ buying mood.
Euro back below $1.08, gold a little cheaper
In Asian forex trading, the dollar is in demand. At the same time, the European single currency is falling back below the $1.08 mark it had regained the previous week. Currently, 1.0793 dollars are paid for one euro. A troy ounce of gold in the morning costs 1952 dollars.
Siemens: Participation in Siemens Energy worth more again
In the DAX, the focus is on the Siemens share in the morning. The technology group can book a higher value for its stake in Siemens Energy at the end of the second quarter. The write-up amounts to 1.59 billion euros, the company announced on Friday after the stock market closed.
Rheinmetall wants to service Ukraine’s weapons in Romania
In the future, Rheinmetall wants to service and repair weapons from Ukraine such as battle tanks and self-propelled howitzers in Romania. “Rheinmetall is pushing ahead with the construction of a military maintenance and logistics center in NATO partner country Romania at full speed,” a Rheinmetall spokesman said yesterday on request.
Tesla disappointed despite delivery record
The world’s largest electric car manufacturer Tesla missed analysts’ expectations in the first quarter despite a delivery record. According to its own statements, the US company handed over 422,875 cars to its customers in the reporting period. However, experts had expected an average of 430,008 vehicles.
GE and Siemens Gamesa agree
The US industrial group General Electric (GE) has said it has settled its legal dispute with rival Siemens Gamesa over patents for wind turbine technology. The companies have reached an amicable settlement that resolves conflicts in the US and Europe.
Twitter publishes recommendation algorithms
Twitter has largely made the algorithms used by software to select tweets for individual users public. The aim is to create “trust through transparency,” said Twitter owner Elon Musk in an online question and answer session over the weekend.