The DAX is likely to start in the trade week shortened due to Easter on Monday.
The DAX should start with clear profits in the Monday meeting.
On March 18, the German leading index had reached a new high with a view to the Bundestag vote on the financial package at 23,476.01 points. The DAX ended March 6th at 23,419.48 units – with a new all -time high at the final course basis.
Definition in the trade dispute drives on
The reason for the price gains is further defusing in the global customs dispute. For example, the US government wants to forget against numerous countries – including China – for certain electronic products such as smartphones from special tariffs.
In Asia, too, the stock exchanges reacted to the announcements with strong growth at the start of the week.
US recession a maximum of half of
In the United States, the stock exchanges had also closed significantly higher on Friday. Stratege Mislav Matejka from JPmorgan has not yet seen the US stock market out of the worst. At best, half of the recession is priced in, he wrote in a current assessment.
Loss of trust compared to the US economy – government bonds no longer safe ports?
In the uncertain customs environment, investors seem to be increasingly difficult to invest sensibly. Even US state bonds – so far a haven of security – have been avoided, as was observed at the latest return on papers with a longer term.
Ulrich Kater, chief economist at Dekabank, therefore speaks of loss of trust in the entire US economy. This will remain, regardless of which customs sets will be negotiated in the coming weeks. “Financial investors as well as internationally established companies are sustainably unsettled which security the largest economy and the largest capital market in the world still offers for investments in the future,” wrote Kater.
ECB interest rate decision Ante Portas
The recession risks associated with the customs conflict are likely to have an impact on the decisions of the large central banks. On the market, it is expected that the European Central Bank (ECB) will reduce the key interest rate by another 0.25 percentage points on Maundy Thursday. The risks for economic growth and inflation had increased significantly due to US President Trump’s customs caprioles, it was said by Commerzbank.
Whether lower interest rates – as is actually the case – make share buying more attractive in the current customs environment is doubtful. Commerzbank also assumes that in the coming weeks the negative effects of high political uncertainty in the United States will cloud the outlook for stocks and to start analysts to reduce their optimistic forecasts for company profits.
Redaktion finanzen.net / dpa-fx / Dow Jones Newswires
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