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FRANKFURT (dpa-AFX) – After the recovery in the course of the week so far, investors put the brakes on on Thursday. They took some profits on the Dax stocks, while progress in the negotiations between Ukraine and Russia is still a long way off. Talks are ongoing three weeks after Russia invaded the neighboring country.
Fluctuations during the course of the day showed that investors continue to react sensitively to any report from Kyiv or Moscow. The Dax (DAX 40) was able to reduce its minus of up to 1.4 percent in the afternoon with the US stock markets turning positive to 0.36 percent. It ended trading at 14,388.06 points. The MDAX, on the other hand, closed 0.33 percent higher at 31,472.57 points.
“As long as the market only takes one step back after two steps up, the direction is right,” said market observer Konstantin Oldenburger from broker CMC Markets. Meanwhile, a denial from the Kremlin, according to which a report from the previous day about major progress in the negotiations had been put together incorrectly and was “incorrect”. The hopes had given the stock markets a lot of boost in the middle of the week.
The most recent decisions by the central banks had little impact on the course of events. The interest rate turnaround announced the evening before by the US currency providers due to high inflation, with a 0.25 percentage point increase in the key interest rate, was already priced in on the market. As expected, the Bank of England followed suit with the next rate hike. The pace at which further interest rate hikes follow is now decisive for the stock markets.
Oil prices, which had collapsed in the meantime in hopes of a solution to the Ukraine conflict, rose sharply again on Thursday. As a result, oil and gas stocks were the biggest winners in a sector comparison, but they are primarily listed on other European stock exchanges. On the other hand, the auto and bank stocks, which have recently recovered strongly, are now among the losers. Stocks of Deutsche Bank (Deutsche Bank) closed 1.6 percent lower and those of auto supplier Continental down 2.9 percent.
The war in Ukraine is now dampening the prospects for more and more companies. In the MDax, thyssenkrupp investors were surprised that the industrial group saw its business as impaired and suspended its forecast for the free cash flow for the fiscal year. According to market observers, Thyssenkrupp’s cash flow is a particularly sensitive issue for investors. The course fell by 9.4 percent.
A disappointing outlook abruptly ended the most recent price recovery in the SDAX at the commercial vehicle supplier SAF-Holland (SAF-HOLLAND SE owner-share), whose shares in the SDAX collapsed by almost 14 percent. At the top of the SDax, GRENKE stocks, which were formerly under fire from short sellers, jumped 19 percent because of ambitious targets.
On the European stage, the EuroStoxx (EURO STOXX 50) fell by just 0.11 percent to 3885.32 points. In Paris, however, the CAC 40 rose by 0.4 percent and the London FTSE 100 even closed 1.3 percent higher, driven by commodity stocks. In New York, the Dow Jones Industrial (Dow Jones 30 Industrial) recently gained a good half a percent.
The euro rose and last cost 1.1125 US dollars. The European Central Bank had meanwhile set the reference rate at 1.1051 (Wednesday: 1.0994) dollars. The dollar thus cost 0.9049 euros.
The current yield on the bond market remained at 0.22 percent, while the Rex bond index (REX overall price index) fell by 0.04 percent to 140.37 points. The Bund future rose 0.11 percent to 161.11 points./tih/stw
— By Timo Hausdorf, dpa-AFX —