On Thursday, the Dax crowned its rally at the beginning of the year by jumping over the 15,000 point mark. The leading German index benefited from the continued positive mood on the stock market and most recently increased by 0.38 percent to 15,005.40 points. Since the beginning of the year, the Dax has risen by almost 8 percent.
On Thursday, the Dax crowned its rally at the beginning of the year by jumping over the 15,000 point mark. The leading German index benefited from the continued positive mood on the stock market and most recently increased by 0.38 percent to 15,005.40 points. Since the beginning of the year, the Dax has risen by almost 8 percent.
The MDax for medium-sized German companies rose by 0.28 percent to 27,853.95 points on Thursday. The EuroStoxx 50, the leading index in the eurozone, gained half a percent.
The stock market has been given a boost by the recent easing of concerns that interest rates will continue to rise significantly, as inflationary pressure seems to be easing. In Europe, investors are encouraged by falling gas prices. In the USA, the recent significant interest rate hikes by the Fed seem to be having an effect. Yields tend to fall in the bond market.
However, the afternoon could show whether the recent rally has feet of clay or whether it will continue. Then, with the US consumer prices for December, an important signal for the further course of the Fed will be published. Like the market as a whole, Bank Credit Suisse expects core inflation, excluding the particularly volatile food and energy prices, to have fallen slightly to 5.7 percent compared to November.
The inflation data from the USA have both the potential to raise the Dax above 15,000 points in the long term and to at least significantly interrupt the rally of the first two stock market weeks of the year, wrote capital market strategist Jürgen Molnar from the trading house Robomarkets. The leading index has been up by more than 3,000 points since the beginning of October last year. There is likely to be a high willingness to rake in profits in the event of disappointment.
The optimistic expectation ahead of the numbers could make any correction much harder, Molnar continued. On the other hand, there are still enough investors who have so far only accompanied the rally with a shake of the head, but are likely to lose patience at some point in waiting for cheaper prices again. “If the wild ride at the beginning of the year continues, these investors would become the catalyst for the rally,” summed up the expert.
Analyst comments initially caused movement on the stock market. Kion’s shares in the MDax lost almost four percent. The expert Akash Gupta from the US bank JPMorgan advised investors to cash in after the last above-average run of the papers. He is skeptical about the forklift manufacturer’s results for the fourth quarter. Gupta expects a consolidation phase, the outlook for 2023 could disappoint.
PVA Tepla’s shares soared by almost nine percent and took the lead in the SDax small-cap index. After the significantly below-average price development in the previous year, the shares should arouse investor interest in 2023, wrote the expert Gustav Froberg from the private bank Berenberg. The consensus estimates for the high-tech company have been lowered and the predictability of earnings is high given the record order backlog.
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.
