After initially continuing its record run on Tuesday morning, the Dax gave up its gains in later trading and slipped clearly into the red. Sales on the market were still quite thin after the long Easter weekend.
After initially continuing its record run on Tuesday morning, the Dax gave up its gains in later trading and slipped clearly into the red. Sales on the market were still quite thin after the long Easter weekend.
The leading German index, which closed the first quarter on Thursday with a total increase of a good ten percent, rose to a record high of a good 18,567 points in the morning. In the afternoon, however, it fell noticeably and closed 1.13 percent in the red at 18,283.13 points. The MDax ultimately lost 0.99 percent to 26,776.41 points.
Stock marketers justified the losses by saying that the financial markets were now expecting fewer interest rate cuts this year than the US Federal Reserve, after some economic data in recent days had signaled a strong economy. Fed Chairman Jerome Powell said Friday the central bank was in no rush to cut interest rates as policymakers awaited more evidence that inflation had been contained.
Investors also focused on inflation data from Germany. As expected, inflation in this country continued to slow down. In March, consumer prices were 2.2 percent higher than in the same month last year. This is the lowest value since April 2021 when it was 2.0 percent. In February the annual inflation rate was 2.5 percent and in January it was 2.9 percent. The data for the entire euro zone will follow on Wednesday.
Source: Stern
