Dax expected lower on Fed day

Frankfurt (Reuters) – According to calculations by banks and brokerage houses, a few hours before the eagerly awaited US interest rate decision, the Dax will start lower on Wednesday.

On Tuesday, concerns about the economy pushed it down one percent to 12,670.83 points.

On the stock exchange, it is certain that the Fed will raise its key interest rate by 0.75 percentage points in the evening (CEST) for the third time in a row. Some investors even think a move of a full percentage point is possible. “Even a historical rate hike of a full percentage point alone would probably not trigger a crash on the stock market tomorrow,” said investment strategist Jürgen Molnar from the brokerage house RoboMarkets. “The facts created in this way could even trigger a small rally.”

Experts consider the monetary policy outlook of the US Federal Reserve to be almost more important than the interest rate decision itself. “The Fed needs to at least clarify the conditions needed to slow the pace of rate hikes to 50 basis points,” said economist Blerina Uruci of wealth manager T.Rowe Price.

Closing prices of European indices as of

on the previous trading day

dax

12,670.83

Dax future

12,648.00

EuroStoxx50

3,467.09

EuroStoxx50 Future

3,449.00

US indices closing prices at level change

previous trading day

Dow Jones

30,706.23 -1.0 percent

Nasdaq

11,425.05 -1.0 percent

S&P 500

3,855.93 -1.1 percent

Asian indices on Wednesday stand change

Nikkei

27,358.34 -1.2 percent

Shanghai

3,105.02 -0.6 percent

hang seng

18,496.95 -1.5 percent

(Report by Hakan Ersen. If you have any questions, please contact our editorial team at [email protected] (for politics and the economy) or [email protected] (for companies and markets).)

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