2023-07-21 18:02:24
This stock market week was characterized by a rather undynamic field of terms: “lack of impulse”, “inconsistent”, “lethargic trading”, “DAX paused”, “investors are holding back” were the descriptions in the reports from the stock market. The most important German share index, the Dax, fluctuated between 16,000 and 16,250 points – a low amplitude for normal trading weeks. On no trading day was there an increase or loss of more than 0.5 percent on the board in the evening. However, this weak momentum is occurring at price levels not far from record highs.
Philip Krohn
Editor in business, responsible for “People and Business”.
Something like a summer holiday break has set in in monetary policy. The expectation that the European Central Bank will raise interest rates in July is priced in. On the other hand, further rate hikes in September are far from certain. The Dutch central bank governor Klaas Knot, known for his tight stance, was surprisingly reserved on Tuesday. According to his current assessment of the situation, an interest rate hike after July is “at best a possibility”. Someone in his camp usually only expresses such caution when they have indications that inflation dynamics have weakened.
On the other hand, the Federal Reserve Bank in the United States must remain vigilant. The number of initial jobless claims fell last week by 9,000 to 228,000. The economy is doing relatively well. The central bank could feel compelled to slow down the upswing a little with higher interest rates in order to influence price increases.
China will probably not reach its goal
The exit is also open. Some economic news was processed on the stock exchanges. This also includes the one from China that the economic recovery was weakened in the second quarter of this year. Some analysts no longer consider Beijing’s own growth target of 5 percent for this year to be realistic. But corporate news was rare. Instead, rumors had to be used to justify price movements.
Markus Frühauf Published/Updated: , Recommendations: 3 Markus Frühauf Published/Updated: , Recommendations: 6 Hanno Mußler Published/Updated: Recommendations: 8
Speculation spread around the Covestro share that the oil company Abu Dhabi National Oil could aim for a takeover at 57 euros per share. At first, that drove the course. On the following day, however, it weakened again because doubts arose as to whether this offer was realistic at a price level below 50 euros. The price slide of the diagnostics company Stratec was more tangible: After a weak half-year result, it corrected its sales target for the year as a whole. The price fell to its lowest level in three years.
#week #stock #exchanges #inertia #high #price #level