The European stock markets reacted on Friday with slight gains to statements by the head of the US Federal Reserve, Jerome Powell. Of the Dax improved by 0.4 percent to 15 854 points by the end of trading. Powell said in his manuscript for the Jackson Hole Fed Symposium that monetary policy is currently well positioned and that there has been significant progress towards full employment. However, he did not comment on the exact beginning of the reduction in bond purchases (tapering). The extensive purchases had driven the bull market in recent years.
Among the DAX stocks, Vonovia shares were among the top favorites with a premium of 1.3 percent. The real estate group placed corporate bonds totaling five billion euros in connection with the planned acquisition of Deutsche Wohnen. The takeover candidate’s paper hardly reacted, however: Deutsche Wohnen shares lost 0.2 percent.
Morphosys stocks gained 1.5 percent in value in the M-Dax. The European Union has given the Munich-based biotech company and its partner company Incyte conditional approval to market their cancer drug Minjuvi. With a plus of 2.3 percent, the CTS Eventim share was one of the biggest winners in the M-Dax. Here, the organizers and ticket dealer’s investors were hoping for a major order. Together with France Billet and Orange Business Service, CTS Eventim is in the final phase of negotiations on a ticketing agreement with the Organizing Committee for the Olympic and Paralympic Games in Paris in 2024. At the top of the S-Dax were the shares from Borussia Dortmund an increase of 5.5 percent. After the draw of the opponents in the Champions League, the investors see good chances for the football club to advance.
The reluctance of the Fed to name a date for the exit from crisis mode drove prices up on the US stock exchanges. Of the Dow Jones went 0.7 percent higher from trading. The S&P 500 and the technology-heavy Nasdaq Composite Index reached new highs.