The ongoing US debt dispute brought further price losses to the Dax on Wednesday. In early trading, the leading German index lost 1.27 percent to 15,948.10 points. After the record high of 16,331 points last Friday, it is heading for the third weak day in a row.
The ongoing US debt dispute brought further price losses to the Dax on Wednesday. In early trading, the leading German index lost 1.27 percent to 15,948.10 points. After the record high of 16,331 points last Friday, it is heading for the third weak day in a row.
The MDax for medium-sized companies fell by a further 1.43 percent to 26,997.03 points, and the leading eurozone index EuroStoxx 50 lost 1.26 percent to 4287.74 points.
According to forecasts by the US Treasury Department, the US government is threatened with default from the beginning of June if the debt ceiling is not increased – even if there are several ways to prevent this on day X. This includes the so-called prioritization of expenditure, so that, for example, pension payments are at least temporarily canceled so that foreign debt can be serviced.
In addition to the US debt dispute, the focus is on the German Ifo business climate in the middle of the week. The minutes of the last meeting of the US Federal Reserve will be published in the evening.
A sell recommendation from the US investment bank Goldman Sachs, which also halved the price target to EUR 15, caused the shares of the battery manufacturer Varta to fall to a record low. Most recently, with a drop of a good nine percent to EUR 17.02, they were at the bottom of the SDax small-cap index. The company continues to struggle with overcapacities for its most important product CoinPower (lithium-ion button cells), explained analyst Philipp Konig. Varta could miss their own annual targets.
Meanwhile, ticket seller CTS Eventim presented full figures for the first quarter, showing a significant increase in profits. CTS Eventim also confirmed its annual targets. Although neither was a surprise, the shares lost 5.6 percent as one of the biggest MDax losers. In the past few days, however, they had also picked up significantly.
The biggest loser in the Dax were the shares of the armaments group Rheinmetall with minus 3.5 percent.
Source: Stern
