A stabilization of the US stock markets led to a quite conciliatory end to the week for the Dax on Friday. The leading German index went into the weekend 0.09 percent lower at 15,557.29 points, after temporarily slipping below 15,500 points. On a weekly basis, the DAX lost 2.1 percent. The prospect of higher interest rates for a longer period of time had dampened investors’ mood over the course of the week. The MDax fell by 0.15 percent to 26,536.25 points on Friday.
On the New York Stock Exchange on Wall Street, a tentative recovery was driven by technology stocks after the losses of the past three trading days. They particularly suffered from the latest interest rate signals from the US Federal Reserve. Since Wednesday evening, investors have had to prepare for even longer high interest rates to combat inflation. Although investors remain cautious, they are now buying some German stocks again.
In this country, it was primarily analyst comments that moved the individual stocks. At the top of the DAX, Siemens Healthineers gained 3.8 percent. JPMorgan analyst David Adlington expects the medical technology group to have gotten through its final quarter of 2022/23 well. He also expects a good start and strong order momentum for the new financial year.
Also supported by a JPMorgan study, the Allianz shares gained 1 percent to a good 232 euros. Analyst Farooq Hanif remains positive about the insurance industry, with Allianz meeting its goals regardless of the economic situation. This ability to absorb shocks is overlooked by the market, as is the attractive return on capital, he wrote and now recommends buying the stock with a price target of 270 euros that is 30 euros higher.
Meanwhile, Volkswagen preferred shares benefited from a buy recommendation from the investment bank Stifel and gained 2.6 percent.
A report about Commerzbank caused its shares to slide 3.4 percent to the bottom of the DAX. According to “Handelsblatt”, the financial institution expects increasing profits by 2026 and is aiming for a minimum distribution of 50 percent to shareholders as part of a new strategy. They had obviously hoped for more, although according to financial circles the strategy had not yet been decided. Commerzbank did not want to comment to the newspaper.
The EuroStoxx 50 lost 0.13 percent to 4207.16 points. The French Cac 40 fell 0.4 percent, while the British FTSE 100 closed just in the black. In New York, the Dow Jones Industrial also rose slightly at the European close.
The euro recovered over the course of the day from heavy losses in the morning and was last quoted at 1.0659 US dollars. The European Central Bank set the reference rate at 1.0647 (Thursday: 1.0635) dollars. The dollar therefore cost 0.9392 (0.9402) euros.
On the bond market, the current yield fell from 2.79 percent the day before to 2.77 percent. The Rex bond index rose by 0.27 percent to 122.97 points. The Bund future lost 0.04 percent to 129.55 points.
