market report
Status: 05/02/2022 07:46 a.m
Easy come easy go? The leading German index may already have to give up the 14,000 point mark it regained on Friday.
Negative guidelines from Wall Street are likely to spoil the start of the week for the DAX. In addition, the forthcoming meeting of the US Federal Reserve this week calls for restraint. According to the broker IG, the 40 German standard values are currently 1.3 percent lower at 13,914 points. From a technical perspective, however, the early losses don’t come as much of a surprise.
It is now important to pay attention to these DAX brands
On Friday, the DAX managed to regain the psychologically important mark of 14,000 points and close the recent downward price gap (upper edge at 14,142 points). But the 14,300 mark and thus also the downward trend line that has been running at this level since the beginning of the year has remained untouched. The overarching downward trend is therefore still intact.
Now the focus is on the two most recent lows at 13,887/13,863 points on the underside. From a bull’s perspective, it is important to avoid a slide below this as far as possible, as this would accelerate the downward momentum on the German stock market again.
Big rate hike ahead
At the beginning of the week, investors’ focus is already on the US Federal Reserve’s interest rate decision on Wednesday. According to recent clear signals from Fed Chair Jerome Powell, the market is expecting a large interest rate hike of 0.5 percentage points in view of persistently high inflation in the USA. Quite a few economists and investors fear that the economy, which is already ailing due to the corona pandemic, could be finally stalled by rapid, significant interest rate increases.
Nasdaq 100 at lowest level since March 2021
In New York, the most important indices had dived deep again before the weekend. Disappointing business figures from the two technology groups Amazon and Apple put pressure on investors’ buying mood. The US standard value index Dow Jones closed 2.8 percent lower on Friday at 32,977 points. The broad S&P 500 lost 3.6 percent to 4131 points.
The Nasdaq 100 fell 4.5 percent to 12,855 points, its lowest level in more than a year. In April, the technology-heavy index fell by more than 13 percent and showed its worst monthly performance since the financial crisis in 2008.
Nikkei slightly up
Little price impetus for European stock trading comes from Asia at the beginning of the week. The Japanese Nikkei, which comprises 225 stocks, was up 0.1 percent at 26,878 points shortly before the close in Tokyo. The Shanghai and Hong Kong stock exchanges are closed today.
Dollar still strong, gold weak
The prospect of rising interest rates in the US continues to give the dollar a boost. In turn, the euro fell 0.2 percent to $ 1.0518.
The expectation of rising US interest rates and the strong US dollar have been keeping the price of gold in check for weeks. At the beginning of the week, the yellow precious metal gave way again. The price of an ounce of gold fell 0.7 percent to $ 1883.
oil on the retreat
Investors’ renewed risk aversion and fears of weaker global economic growth are dampening demand for oil. The price for the North Sea variety Brent fell 0.8 percent to $106.28 per barrel (159 liters). A barrel of the US WTI variety costs 0.7 percent less at $103.98.
VW relies on Qualcomm chips
According to a newspaper report, the car company VW is making a long-term commitment to the US chip company Qualcomm in the development of automated driving. VW will use Qualcomm’s “System on Chip”, specially developed for automated driving, across all brands worldwide from 2026, reports the “Handelsblatt”, citing group circles. The deal, which runs until 2031, will cost Volkswagen more than one billion euros.
Sixt was hacked
According to its own statements, the car rental company Sixt has become the victim of a hacker attack. The disruption was noticed at an early stage and countermeasures were initiated immediately in accordance with the relevant security protocols, the company said. Sixt will inform you about new findings as soon as they are available. Sixt admitted significant technical problems on Friday.
Adler Group with price slump after failed attestation
After the failed attestation of the auditors from KPMG for the 2021 business figures, the Adler Group’s papers collapsed by around 40 percent. Several members of the board of directors of the real estate group resigned on Saturday after KPMG was unable to issue an audit opinion for the consolidated and individual financial statements for 2021 on Friday evening.
The investment company Viceroy of the short buyer Fraser Perring, which had also put pressure on the now insolvent financial service provider Wirecard early on with publications, had made serious allegations against Adler in October. This involved, among other things, the valuation of real estate projects. Since then, Adler has repeatedly rejected the criticism.
Star investor Warren Buffett backs oil
After a long hesitation, the investment company Berkshire Hathaway, owned by US star investor Warren Buffett, has invested a large part of its enormous cash assets in acquisitions. Increases in stakes in oil majors Chevron and Occidental Petroleum helped drop $40 billion in cash to $106 billion from January to March. The operating result remained constant at the start of the year at a good 7 billion dollars.