Investors grabbed the German share market again on Monday. After half an hour of trading, the leading German index rose by 0.43 percent to 15,640.81 points. He recovered a bit from his weakness in the previous week. The MDax increased by almost 0.05 percent to 27,167.71 points. The leading eurozone index, the EuroStoxx, rose by 0.6 percent.
Investors grabbed the German share market again on Monday. After half an hour of trading, the leading German index rose by 0.43 percent to 15,640.81 points. He recovered a bit from his weakness in the previous week. The MDax increased by almost 0.05 percent to 27,167.71 points. The leading eurozone index, the EuroStoxx, rose by 0.6 percent.
Recently, China’s economic and real estate problems and concerns that the US Federal Reserve could raise interest rates further weighed on the Dax. The leading German index slipped below 15,500 points in the previous week, but was then able to recover just above the low of early July.
China’s banks and US interest rates in focus
On Monday, the focus was on interest rate cuts by Chinese banks, which were disappointing overall. Investors are already looking forward to the central bank meeting in Jackson Hole, which takes place on Thursday. According to Helaba, they are waiting for signals on the further development of monetary policy. The majority is still convinced that the previous rate hikes by the US Federal Reserve are sufficient.
In the Dax, Zalando shares led the recovery with an increase of almost two percent. On Friday, the papers of the online fashion retailer suffered from a forecast reduction by the US company Farfetch, but now analyst Christian Salis from Hauck Aufhäuser continued to express his encouragement. The expert does not see Farfetch’s weakness as a negative signal for Zalando.
Interest rate uncertainty weakens real estate values
In the MDax, Redcare was one of the best values with an increase of around three percent. An analyst comment probably also contributed to this. Analyst Michael Heider from Warburg Research became even more optimistic about the course development of the online pharmacy. He praised “very strong growth momentum” and an enabling regulatory environment.
Real estate values showed weakness due to the ongoing interest rate uncertainty from which they are currently suffering. In the Dax, Vonovia was the biggest loser with a minus of almost two percent. In the MDax, this role was held by the shares of the industry company TAG Immobilien with a discount of 2.4 percent.
The Borussia Dortmund share, which recently returned to the SDax, could be worth a look during the course of the day. The football club started the Bundesliga season with a narrow win against Cologne. After a difficult time during the corona pandemic, Borussia Dortmund presented its preliminary financial year figures in the late morning. After high losses in the two previous years, BVB managing director Hans-Joachim Watzke had promised profits again.
Source: Stern
