Hopes for a conciliatory end to what has been a weak week so far have diminished on Friday afternoon. The Dax was again hovering around the 12,000 point mark after being able to pull away to 12,132 points in the morning. Most recently, the leading German index was only up 0.3 percent at 12,012 points. Over the course of the week, the Dax had fallen to the November 2020 level at 11,862 points.
The MDax recovered on Friday by 1.2 percent to 22,050 points. The day before, the index of medium-sized companies had even dropped to the level of April 2020 at 21,612 points. The leading eurozone index, the EuroStoxx 50, rose 0.3 percent on Friday. Like the Dax, it comes from the low since November 2020.
In the Dax, a deep red month is coming to an end. Persistent concerns about inflation, interest rates and the economy have pushed the price barometer down by 6.5 percent since the end of August. “The mood remains downright depressive,” said portfolio manager Thomas Altmann of QC Partners. Market observer Christian Zoller from Börse-Daily also pointed to a mood indicator that has now reached an extreme level of pessimism.
On the German market, papers from Porsche AG will continue to be the focus on Friday. The day before, Volkswagen’s sports car subsidiary celebrated the largest German IPO since Telekom in 1996 in the midst of tense financial markets. The issue price per preferred share of EUR 82.50 was further defended in Xetra trading. After an interim increase to EUR 83.50, they are only just above that in the afternoon.
VW preference shares and ordinary shares as well as the papers of its major shareholder Porsche SE Automobil Holding tended to be weak again, after suffering massive disappointment with the valuation of Porsche AG the day before. Share certificates in Porsche SE turned around again after a price recovery of up to 5.7 percent. The boost from the positive outcome of a multi-billion dollar legal dispute with investors over the consequences of the failed VW takeover quickly fizzled out.
The shares of Adidas and Puma were even weaker – the former with a new low since 2016. US competitor Nike disappointed the night before. Increased logistics costs and a strong dollar are slowing down business. At the same time, inventories are skyrocketing and are being reduced with the help of discounts, among other things. Nike shares are down 9 percent in after-hours trading.
The euro fell to $0.9757. The European Central Bank (ECB) had set the reference rate noticeably lower on Thursday afternoon at $0.9706.
On the bond market, the current yield fell from 2.13 percent on the previous day to 2.01 percent. The Rex pension index rose by 0.46 percent to 127.98 points. The Bund future rose 0.92 percent to 138.57 points.
