market report
Status: 04/21/2023 07:37 a.m
The German stock market is out of momentum. The image of the perfect uptrend has cracked. At the end of the week, the DAX could go down again.
On the last trading day of the week, the DAX should pay tribute to the negative specifications from the overseas stock exchanges and start at a discount. The broker IG assessed the German stock exchange barometer at the hour 0.1 percent lower at 15,780 points. “At the moment it is completely open where the journey on the stock market is going,” said market observer Thomas Altmann from asset manager QC Partners. Nobody can currently say seriously whether it is a short phase of breathing deeply or the beginning of a correction.
Important catchment area in the DAX
From a technical chart perspective, the DAX almost reached its price target of a good 16,000 points in the past stock exchange week at a high of 15,916 points. But the image of the perfect upward trend had recently cracked: the series of ever higher highs and ever higher lows has broken.
So it’s time for investors to let their gaze wander to the bottom: There, the former highs at 15,706/15,659/15,634 points together with the Easter course gap (15,626 to 15,601 points) form a “first important catchment area”, as Jörg Scherer, director Technical analysis HSBC, underlines.
Dow and Nasdaq in the Tesla downward pull
Negative guidelines for DAX trading come from Wall Street: Led by heavy price losses at the electric car manufacturer Tesla, the US stock exchanges lost prices yesterday. The Dow Jones index of standard values closed 0.3 percent lower at 33,786 points. The broader S&P 500 lost 0.6 percent to 4129 points. The Nasdaq technology exchange index fell 0.8 percent to 12,059 jobs.
Tesla shares fell 9.7 percent to $ 162.99 – the lowest level in almost three months. In particular, the decline in the profit margin caused long faces at Tesla.
Asian stocks slide
The negative specifications from Wall Street also pull the Asian stock markets down in the morning. Asian stocks fall to a six-week low. Investors are not only dissatisfied with the Tesla numbers, but also with the latest economic data from the USA: rising unemployment and reduced production activity in parts of the USA indicated a slowdown in the world’s largest economy and aroused new fears of a recession.
The Nikkei index, which comprises 225 values, fell by 0.4 percent to 28,530 points shortly before the close of trading in Tokyo. The index of the most important companies in Shanghai and Shenzhen lost 0.3 percent.
Euro and gold a little lighter
In Asian forex trading, the dollar is in demand. At the same time, the euro gave way slightly to $1.0961. In the further course of trading, the purchasing manager indices from Germany and the euro zone could cause movement on the market.
The rising dollar has been weighing on the price of gold for days. The price of a troy ounce of the yellow precious metal is currently falling by 0.3 percent to $2,000.
SAP better than expected
In the DAX, the focus is on the SAP share with figures for the first quarter in the morning. The software giant has therefore grown a little faster than expected. From January to March, the adjusted operating result climbed by twelve percent compared to the same period last year to 1.9 billion euros, as the DAX group announced in the morning. Sales in the first quarter were ten percent higher at EUR 7.4 billion.
Mercedes with strong profitability
Thanks to high prices and higher sales, the car manufacturer Mercedes-Benz earned better than expected on the financial market in the first quarter. According to preliminary figures, the adjusted return on sales in the main business area of passenger cars was 14.8 percent, while analysts expected an average of 13.4 percent. The adjusted operating result amounted to 5.5 billion euros – almost four percent more than a year ago.
Henkel starts business in Russia
The consumer goods group Henkel has found a buyer for its Russian business. The company announced yesterday that the activities would be sold to a consortium of local financial investors. The price is the equivalent of around 600 million euros. Henkel emphasized that the buyers are not subject to any EU or US sanctions. They also had long-standing business relationships in Western countries.
Eurowings boss expects rising flight prices
According to a media report, the airline Eurowings expects flight prices to continue to rise. “Flying for a taxi price is no longer possible,” said the head of the airline Eurowings, which belongs to the Lufthansa Group, Jens Bischof, according to a preliminary report to the newspapers of the Funke media group. Bischof assumes that Eurowings flights will be around 20 percent more expensive during the holiday periods than in the previous year.
Twitter removes free verification ticks
Elon Musk’s Twitter has removed the verification ticks that used to be given free to celebrities and relevant people. Now only paying subscription customers have the same-looking icon on their profiles – but without real identity verification. The famous white tick on a blue background disappeared from the accounts of Pope Francis, ex-US President Donald Trump, pop star Justin Bieber and numerous journalists yesterday.