Market update: Dax closes trading badly – mood on the market remains bad

Market update: Dax closes trading badly – mood on the market remains bad
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Source: Who is Danny/

The international stock market environment clouded over again considerably on Monday and did not spare the Dax either. For the first time in two months, the leading German index slipped below the 13,400 point mark and closed 2.15 percent lower at 13,380.67 points. It is thus approaching the low from early March, which was shaped by the Ukraine war.

The mood in the MDax was even worse on Monday the index of medium-sized stocks lost 3.30 percent to 27,815.44 points.

“Uncertainty on All Fronts”

The effects of the pandemic restrictions in China, the war in Ukraine and the turnaround in interest rates continue to be the greatest negative factors. So far, May has lived up to its reputation as a weak stock market month. “Uncertainty on all fronts and a world that is rapidly changing both economically and geopolitically ensure that investors are seemingly never willing to sell,” analyst Konstantin Oldenburger from broker CMC Markets drew a sobering conclusion after the first day of the week.

The other indices in Europe and the USA also went into dives on Monday. The Eurozone index EuroStoxx 50 lost 2.82 percent to 3526.86 points. Things looked similarly bleak in Paris and London.

The leading index Dow Jones Industrial was in New York at the end of the European stock exchange down two percent, on the Nasdaq technology exchange the discounts were even higher in the context of rising interest rates and costs.

Even good numbers don’t help Infineon

In the current reporting season, the quarterly figures of the chip group Infineon continued at the beginning of the week , whose shares did not benefit from a renewed increase in the annual forecast and lost six percent. Part of the new sales target is due to the fall of the euro against the dollar, it said. According to CEO Jochen Hanebeck, the forecast has so far not included any significant effects from delivery stops from China, for example due to further lockdowns. The economic consequences of an energy embargo against Russia have not been priced in either.

Delivery Hero continue their descent

Delivery Hero continued to go strictly downwards , which with minus 13.3 percent to 25.64 euros are now almost back where they started on their first day of trading on the stock exchange in 2017. Only a few cents are missing from the then issue price of 25.50 euros. At the beginning of 2021, as one of the pandemic winners, they were still worth more than 145 euros.

Hypoport under pressure despite positive analyst comment

The shares of the financial service provider Hypoport listed in the MDax fell by a little more than two percent. The price is thus at its lowest level since the outbreak of the Corona crisis in March 2020. It didn’t help that on Monday expert Marius Fuhrberg from Warburg Research spoke of a strong first quarter and saw a buying opportunity in the weakness of the price.

Rheinmetall in the basement

Rheinmetall , which could soon be included in the Dax, fell by around ten percent. The research team at Deutsche Bank gave up its previous buy recommendation for defense stocks.

Verbio break in

In SDax the shares of the biofuel manufacturer Verbio broke again by more than a fifth.

SMA Solar on the decline

SMA Solar it fared little better with a minus of more than 18 percent.

The Euro cost $1.0558 after the Xetra close. The European Central Bank (ECB) had set the reference rate in the afternoon at 1.0559 (Friday: 1.0570) dollars, the dollar thus cost 0.9471 (0.9461) euros. The Rex bond index fell on the bond market by 0.08 percent to 135.04 points. The current yield, on the other hand, rose to 0.98 percent from 0.94 percent on Friday. The Bund future rose 0.38 percent to 151.75 points.

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