The Dax shook off its initial losses on Monday. Initially, among other things, reports of Russian rocket attacks on a number of major Ukrainian cities dampened the mood. Then apparently some investors took action again in view of the price losses of the past few days. For example, expert Andreas Lipkow sees the German stock market “in the heavily oversold area”. At midday, the leading index was 0.41 percent higher at 12,323.25 points.
The situation was similar for the MDax for medium-sized companies, which rose by 0.69 percent to 22,686.23 points. The leading eurozone index, the EuroStoxx 50, lost 0.18 percent.
After a promising start to October, dark clouds again gathered on the stock exchanges in the middle of last week. The most recent recovery turned out to be a flash in the pan and investors “threw in the towel” sobered, said market observer Christian Henke from broker IG. “The market participants who had hoped that the central banks would put the brakes on interest rates were caught on the wrong foot.” On Friday, a robust jobs report from the United States finally dashed investors’ hopes of a less rigid monetary policy from the US Federal Reserve.
Regardless of the current burdens, Henke emphasized that a statistically better stock market period is now beginning, with an otherwise usual autumn rally, which often lasts into November. However, it is questionable whether this can become reality: In terms of chart technology, the Dax is more likely to be in the direction of 12,000 points again. The start of the reporting season and the US inflation data on Thursday could provide important impetus in both directions.
