Shortly before the US Federal Reserve’s interest rate decision, investors on the German stock market acted a little more relaxed. On Wednesday, the DAX rose by 0.75 percent to 15,781.59 points. The MDax of medium-sized stocks rose by 1.04 percent to 27,184.19 points in the middle of the week.
Shortly before the US Federal Reserve’s interest rate decision, investors on the German stock market acted a little more relaxed. On Wednesday, the DAX rose by 0.75 percent to 15,781.59 points. The MDax of medium-sized stocks rose by 1.04 percent to 27,184.19 points in the middle of the week.
“It is to be feared that the lethargy on the German stock market will continue even after the results of the Fed meeting,” commented Jürgen Molnar, capital market strategist at Robomarkets. Ultimately, there is broad market consensus that the Fed will not raise interest rates any further. According to Molnar, this time it will also be difficult to read between the lines in Federal Reserve Chairman Jerome Powell’s statements regarding future monetary policy until the end of the year.
From the expert’s point of view, the uncertainty on the stock market is not solely due to monetary policy. “Rather, regardless of whether there is a break in interest rates or not, there is currently no real reason to go on a big shopping spree on the stock market,” wrote Molnar. The economic indicators speak for themselves; there are signs of recession, particularly in Europe and Germany.
Among the individual stocks in this country, the Talanx share in the MDax fell by 10 percent. The insurer caught investors off guard with a capital increase. However, the stock had only reached a record high the day before and has still increased by around a third over the year so far. In the Dax, the Hannover Re subsidiary was one of the weakest stocks with a loss of 0.8 percent.
In contrast, the recovery of Commerzbank shares continued with an increase of 1.6 percent. CFO Bettina Orlopp said during a financial conference that due to the sharp rise in interest rates, there should be a slightly larger net interest income this year than previously forecast.
A possible partial sale of Delivery Hero’s Asian business pushed the food supplier’s shares up 7.1 percent to the top of the MDax. Management says it is in preliminary discussions about selling its operations under the Foodpanda brand in seven Southeast Asian markets. “Wirtschaftswoche” had previously reported that the competitor Grab from Singapore would be considered as a buyer. The purchase price could therefore amount to a little more than one billion euros.
Otherwise, it was primarily analyst comments that moved share prices in the MDax. Goldman Sachs was positive about Fraport’s business prospects, with the airport operator’s shares rising by 5.6 percent. Hugo Boss benefited from a buy recommendation from analyst firm Jefferies and climbed 1.6 percent higher. The fashion group is “a boss for all four seasons,” wrote analyst James Grzinic.
Outside the major indices, Knaus Tabbert’s shares rose by 6.9 percent after the caravan manufacturer raised its margin target.
The EuroStoxx 50 gained 0.78 percent to 4275.98 points. The French Cac 40 and the British FTSE 100 rose by a similar amount. In New York, the Dow Jones Industrial rose by 0.6 percent at the close of European trading.
The euro climbed above the $1.07 mark and was last quoted at $1.0715. The European Central Bank set the reference rate at 1.0702 (Tuesday: 1.0713) US dollars. The dollar therefore cost 0.9344 (0.9334) euros.
On the bond market, the current yield rose from 2.75 percent the day before to 2.77 percent. The Rex bond index fell by 0.09 percent to 122.80 points. The Bund future rose by 0.39 percent to 129.93 points.
Source: Stern
