The surprisingly good mood in the US economy once again dampened investors’ hopes of interest rate cuts. The overall index rose to its highest level in two years, while economists had expected a slight decline.
Nvidia record run
The evening before, the minutes of the US Federal Reserve’s meeting had not given the hoped-for signals of an imminent reduction in the key interest rate. According to NordLB, the level of uncertainty about the future course of its monetary policy has increased somewhat. “While the market was generally certain that interest rate cuts could be expected this year, other options are becoming more present again,” said NordLB analyst Constantin Lüer.
In contrast, there was once again enthusiasm about Nvidia’s development. The flagship company for artificial intelligence once again exceeded expectations and announced a significant dividend increase. There was then another record price not only for Nvidia shares, but also on the US technology exchange Nasdaq. In New York, this depended on the weak standard values in the Dow Jones Industrial.
Nvidia’s continued very strong business development also boosted the European technology sector. Titles from chip manufacturer Infineon rose by one percent. In the extended circle, the shares of Aixtron, Elmos and Süss Microtec gained between 2.8 and 5.2 percent.
However, the leader in the Dax was MTU shares, which rose by 3.2 percent in the wake of a strong start to the year by competitor Rolls-Royce. Because of the uncertainty about interest rates, real estate stocks were avoided: Vonovia was one of the biggest DAX losers with minus two percent.
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In the MDax, an announced takeover caused Gerresheimer’s recently weakening shares to jump by 12.7 percent. The specialty packaging manufacturer wants to expand its pharmaceutical business with an 800 million euro takeover in Italy.
According to the event marketer’s quarterly figures, CTS Eventim’s shares jumped by almost five percent, and at one point they even reached a record high. The increase in operating profit exceeded market expectations. The US bank JPMorgan said the first quarter of the year was strong. The annual outlook is still conservative.
Otherwise, there were still price-moving analyst comments in the MDax: a buy recommendation from the British bank HSBC drove up Jungheinrich shares by five percent. Carl Zeiss Meditec shares, however, fell by 2.7 percent after investment bank Goldman Sachs recommended they be sold.
The EuroStoxx 50, which covers stocks from the euro zone, rose by 0.25 percent to 5,038 points. In Paris, the leading index posted narrow gains, while that in London fell by 0.4 percent.
The euro last cost 1.0827 dollars. The European Central Bank had set the reference rate at 1.0854 (Wednesday: 1.0830) US dollars. The dollar therefore cost 0.9213 euros.
On the bond market, the current yield rose from 2.59 percent the day before to 2.62 percent. The Rex bond index fell by 0.16 percent to 123.94 points. The Bund future lost 0.44 percent to 129.90 points.
