The German stock market embarked on a recovery course on Monday after its price slide at the end of the week. In view of significant gains in bank stocks and Adidas papers, the leading index Dax rose in early trading by 1.28 percent to 15,404.89 points.
On Friday, the Dax slipped out of its two-week sideways movement after repeatedly failing to reach the 15,500 point mark. On a weekly basis, he lost 1.7 percent. Investors continue to worry about inflation and interest rates.
The MDax of medium-sized stocks gained one percent on Monday to 28,710.19 points. The Eurozone leading index EuroStoxx 50 went up by one and a half percent.
At the top of the Dax, Commerzbank shares rose by a good four percent. The financial institution has returned to the Dax after around four and a half years. All other things being equal, this should have an advantageous effect on the liquidity of the paper, wrote analyst Timo Dums from DZ Bank.
The resumption of Commerzbank was made possible by the departure of the gas manufacturer Linde from the Frankfurt Stock Exchange and thus also from the most important German index. In the friendly environment, Deutsche Bank’s paper rose by around three percent.
Adidas shares went up by almost three percent. They benefited from hopes of lessening strains from ending their partnership with controversial rapper Kanye West. A retailer pointed to press reports that Adidas and the rapper have reached a new deal to sell their remaining inventory of athletic shoes, valued at half a billion dollars.
At the top of the SDax small-cap index, shares in Zeal Network rose by almost nine percent. The lottery broker wants to pay out a special dividend to its shareholders.
Source: Stern
