With its measures to support the economy, the Chinese central bank caused more optimism on Europe’s stock markets at the end of the week. However, price losses on Wall Street slowed the recovery, so that the dax failed to maintain its initial gains of 2 percent. The leading German index ended the trading session with a price premium of 0.7 percent to 13,982 points. China lowers a key long-term borrowing rate benchmark. The authorities are trying to boost the housing market and counteract a significant economic slowdown as a result of the strict zero-Covid policy with numerous restrictions. “This gives the economy a fresh impetus,” predicted Pierre Veyret of Activ-Trades. “It helps smaller businesses and cushions the negative impact of lockdowns on the world’s second largest economy.” This has already boosted prices in the Far East: the leading index in Shanghai rose by two percent and that in Hong Kong by three percent. The Hellofresh titles were among the biggest winners in the Dax with a plus of 2.2 percent. They had recently fallen sharply. In the S-Dax, the shares of Instone Real Estate fell by 3.6 percent, burdened by a canceled purchase recommendation from Deutsche Bank. Borussia Dortmund shares rose by 4.2 percent. The Bundesliga soccer team is parting ways with coach Marco Rose after just one season. The papers of the Metro rose by 1.8 percent. According to Indian media, the retail group could sell its business in India for billions. That went down well with investors.
Recession concerns weighed on Wall Street again. Of the Dow Jones temporarily lost almost two percent, but recently caught up again and closed almost unchanged. More bad news came from the US retail industry. After Walmart and Target had previously presented disappointing business figures, Ross Stores now reported a decline in sales in the first quarter and warned of further falling revenues in the second. The clothing discounter’s shares fell by 23 percent. On the other hand, Foot Locker’s shares rose by four percent. The shoe retailer posted a surprisingly high quarterly profit.