Inflation in Germany, which rose slightly in May, weighed on the DAX on Wednesday. The German benchmark index fell to its lowest level in three weeks at 18,473.29 points at the end of trading, losing 1.1 percent. The index has thus lost sight of its most recent record high, after coming within 37 points of 18,892 points the day before. The MDax of medium-sized companies fell by 2.01 percent to 26,589.15 points on Wednesday.
Investors are worried about the future monetary policy of major central banks and are therefore holding back. In Germany, consumer prices rose slightly in May compared to April. The data is important for the European Central Bank’s key interest rate decision next week. An initial interest rate cut is expected, but the further course is uncertain.
Douglas shares lost 2.9 percent after the first annual report since returning to the stock market in March. Lufthansa shares fell 2.8 percent after US competitor American Airlines cut its profit expectations.
Adidas was in demand against the trend, rising 2.2 percent. They followed the price gains of sporting goods retailer Dick’s Sporting Goods, whose shares benefited greatly from surprisingly good quarterly figures.
In addition, comments from analysts in particular attracted attention. Delivery Hero, for example, came under considerable pressure. It lost 6.4 percent after the investment bank Morgan Stanley removed its recommendation for the German food delivery company in an industry study.
The Eurozone’s leading index, the EuroStoxx 50, lost 1.33 percent to 4,963.20 points. The Paris CAC 40 fell even more, while the London FTSE 100’s loss was smaller. In New York, the Dow Jones Industrial was down almost one percent at the end of European trading.
On the foreign exchange market, the euro fell to 1.0811 US dollars. The European Central Bank (ECB) had set the reference rate at 1.0857 dollars in the afternoon.
On the bond market, the yield on outstanding bonds rose from 2.62 percent on Tuesday to 2.67 percent. The Rex bond index fell by 0.23 percent to 123.68 points. The Bund future fell by 0.52 percent to 129.00 points in the evening.
Source: Stern
