The German stock market entered the second week of trading of the year with losses. The continuing sell-off on the US technology exchange Nasdaq also put the local exchanges under pressure on Monday afternoon.
The reason for the tech weakness overseas is the expected rate hikes by the US Federal Reserve. Investors fear that higher interest rates and thus more expensive financing could slow down the momentum in the growth industry.
The Dax closed with a loss of 1.13 percent at 15,768.27 points. As a result of the setback, the German benchmark index is now again below its level before New Year’s Eve. In the previous week, the Dax had just come close to its record level of 16,290 points, but then the fear of rising interest rates overcame investors again. The MDax ultimately lost 1.54 percent on Monday to 34,438.52 points.
The leading Eurozone index EuroStoxx 50 lost 1.5 percent to 4239 points. The French Cac 40 was down 1.4 percent. The UK’s FTSE 100 fell a modest 0.5 percent. In New York, the Dow Jones Industrial was quoted 1.3 percent lower at the end of European trading, the Nasdaq 100 posted a minus of 2.0 percent.
Analysts’ voices attracted attention on Monday, including a buy recommendation by Goldman Sachs for BMW. As a result, the automaker’s shares were among the biggest DAX winners with 1.7 percent. Against the background of the planned consolidation of the joint venture BMW Brilliance Automotive, analyst George Galliers praised the carmaker’s favorable valuation.
At the chip company Infineon, a buy recommendation from Citigroup only had a positive effect for a short time. Then the price turned significantly into the red and closed 4.0 percent lower. At the back of the Dax, former corona profiteers also gathered again, including the cooking box supplier Hellofresh with a discount of 4.5 percent. At the bottom of the Dax were the shares of the laboratory equipment manufacturer Sartorius, which fell by 7.5 percent to their lowest level since mid-October.
Conversely, however, investors in this sector took advantage of Fresenius, and stocks rose by 2.0 percent. The medical group was one of the negatively affected exceptions in the industry in the pandemic.
In addition, shares in Siemens Healthineers lost 4.4 percent in the healthcare segment. Here, dealers referred to a media report, according to which the medical technology company wants to create financial leeway for further large acquisitions after purchasing Varian billions.
The euro was last listed at $ 1.1327. The European Central Bank had set the common currency in the afternoon at 1.1318 (Friday: 1.1298) dollars. On the German bond market, the current yield rose from minus 0.20 percent on Friday to minus 0.17 percent. The Rex bond index fell on Monday by 0.10 percent to 143.50 points. The Bund future fell 0.11 percent to 169.88 points. (dpa)