The hope of an end to the ECB’s cycle of interest rate hikes has given the German stock market a tailwind. Around midday, the leading German index was up 0.95 percent at 15,955.29 points. Tailwind also came from Wall Street, which was strong the day before. As trading continues, the major decline on the futures exchanges could cause one or two price fluctuations.
The hope of an end to the ECB’s cycle of interest rate hikes has given the German stock market a tailwind. Around midday, the leading German index was up 0.95 percent at 15,955.29 points. Tailwind also came from Wall Street, which was strong the day before. As trading continues, the major decline on the futures exchanges could cause one or two price fluctuations.
The MDax of medium-sized corporate stocks recently rose by 0.89 percent to 27,568.41 points. On the European stage, the Eurozone leading index EuroStoxx 50 rose by 0.89 percent to 4317.69 points.
On the corporate side in this country, real estate values were on the sales lists. Investors are now likely to take profits after the interest rate-sensitive sector shot up further the day before in the wake of the ECB decision. The heavily leveraged industry has been suffering for some time from high interest rates, which are putting pressure on valuations, and rising construction costs. Shares in the companies Vonovia, TAG and Aroundtown recently fell from 1.2 to around two percent.
Individual values
Among the other individual stocks, the pharmaceutical and supplier stocks performed strongly. Papers from the medical technology specialist Siemens Healthineers, one of the biggest DAX favorites, rose in price by a good 2.2 percent. Shares in laboratory supplier Sartorius extended their price recovery with a gain of 1.6 percent after falling to their lowest level since the end of July this week. Fresenius and Merck shares also rose.
Chemical stocks were also in demand, BASF shares rose by almost two percent, and Lanxess rose by 1.3 percent. According to the news magazine “Spiegel”, the government is considering an indirect electricity price subsidy for energy-intensive companies, which also include the sector.
Source: Stern
