After several trading days with gains, the German stock market got off to a weak start into the new week.
After several trading days with gains, the German stock market got off to a weak start into the new week.
Concerns about possible new corona restrictions in China and the threat of a permanent gas ban from Russia caused a burden. The Dax closed on Monday down 1.40 percent at 12,832.44 points after rising by around one and a half percent in the previous week. The MDax for medium-sized companies fell by 2.30 percent to 25,695.53 points.
Losses were also predominantly recorded throughout Europe. The EuroStoxx 50 lost around one percent. The Paris stock exchange suffered slightly more moderate losses, while the London trading center stagnated. In New York, the Dow Jones Industrial was around half a percent down at the end of European trading.
The risk of further corona restrictions in China is again increasing concerns about the global economic outlook, the market said. According to the information, the number of new infections there reached its highest level since the end of May.
In addition, no Russian gas is flowing through the Nord Stream 1 pipeline to Europe for the time being, since the scheduled maintenance work, which lasts about ten days, has started. There is concern that the flow will not be raised back to the old level afterwards.
Shares in the economically sensitive large gas consumers from the chemical, industrial, automotive and steel sectors were among the biggest losers. In the Dax, Daimler Truck, Covestro, Mercedes-Benz and BASF ranked at the bottom with price reductions of between 3.8 and 5.0 percent. After the market closed, the latter published preliminary figures for the second quarter, which were well received. On the Tradegate trading platform, the chemical company’s shares rose by 1.7 percent compared to the closing price in the main Xetra business.
The weakest MDax value was Uniper, which fell by almost 20 percent after the most recent stabilization and reached another record low of EUR 8.78. Ultimately, the papers of the energy supplier lost 14.4 percent. After the struggling gas supplier’s application for state support, it is still unclear what exactly this will look like.
Federal Minister of Economics Robert Habeck also wants to make the owners responsible for the rescue of the company. Uniper’s main shareholder is the Finnish energy supplier Fortum, which holds around 80 percent of the share capital and just over 50 percent belongs to the Finnish state. He opposes further help for the daughter. Fortum shares fell 4.7 percent.
RWE gained 1.9 percent. Like the British competition, they benefited from the fact that electricity suppliers active there did not have to fear any special tax on so-called excess profits as a result of high energy prices for the time being. RWE sees Great Britain as one of the strategic key markets and plans to invest billions there by 2030.
The euro was last listed at 1.0081 US dollars. The European Central Bank set the reference rate at $1.0098 in the afternoon.
The current yield on German Bunds rose to 1.12 percent from 1.10 percent on Friday. The Rex pension index increased by 0.03 percent to 134.65 points. The Bund future gained 0.79 percent to 151.26 points.
Source: Stern
Jane Stock is a technology author, who has written for 24 Hours World. She writes about the latest in technology news and trends, and is always on the lookout for new and innovative ways to improve his audience’s experience.
