The DAX starts on Tuesday with a slight loss, while investors “sit out” the twelfth week of the war in Iran with low sales.
The DAX can’t really defend its solid start to the week on Tuesday. At the start of trading it fell 0.27 percent to 23,500.34 points.
Low trade turnover despite the Iran war
It is now the twelfth trading day since the USA and Israel launched the military strike against Iran, and hopes for a quick end to the war seem to be high on the German stock market. “Most people have obviously decided to ride out the current crisis without doing much trading,” said portfolio manager Thomas Altmann from QC Partners. He referred to the low trading turnover, which was once again well below the historical average at the start of the week.
Oil prices remain the tipping point
A barrel (159 liters) of North Sea Brent crude oil currently costs $104, around four percent more than the day before. The high was just under $120 around a week ago, which was the highest level since 2022 and had fueled severe economic and inflation concerns. The focus is therefore on all news about the most important supply route for energy supplies, the Strait of Hormuz, which is effectively blocked by Iran.
Fed & ECB in view: week of the interest rate decision
However, the major central banks are also increasingly coming into focus. The US Federal Reserve Bank will decide on its key interest rate on Wednesday, the ECB on Thursday, and the key interest rates will also be decided in Great Britain and Japan this week.
Spontaneous interest rate changes in the USA and the Euro region this week are viewed as unlikely, but it is hoped that “the written statements or at least the question and answer sessions will provide more insight into whether the expectation of rising key interest rates in the Eurozone and the lack of interest rate cuts in the USA is correct,” said Altmann.
DAX record last in January
On January 13th, the DAX reached an all-time high of 25,507.79 points, exceeding the 25,500 point threshold for the first time in its history. Ultimately, it ended the day at 25,420.66 points, which was a new record based on the closing price.
Bettina Schneider, Alexandra Hesse, finanzen.net editorial team with material from dpa-AFX and Dow Jones Newswires
