The Dax gave up almost all of its gains around midday on Wednesday ahead of important monetary policy decisions in the USA. Most recently, the leading German index was up 0.06 percent at 14,819 points. This means that it is still clearly above the low since March of 14,630 points that it reached the previous week, but it now has to come to terms with the 14,800 point mark again. This had been a tough resistance in the past few days, but the Dax had cracked it. Now it remains to be seen how sustainable this development is.
The MDax of medium-sized companies recorded a loss of 0.70 percent to 23,871 points on Wednesday. The Eurozone leading index EuroStoxx 50 fell by 0.1 percent.
Some economic data from the USA will be of interest, before US bond plans and the US Federal Reserve’s interest rate decision will attract investors’ attention in the evening after the European stock market closes.
According to economists, the Fed will probably leave interest rates unchanged again. This would mark the second time in a row that she would remain silent. The key interest rate range would remain between 5.25 and 5.50 percent. What is particularly exciting, however, is the question of whether the central bank will change interest rates again at the following meetings.
Utilities stocks such as RWE and Nordex were initially dragged down on Wednesday by news from the Danish wind power company Orsted, but then curbed their decline somewhat as these were more company-specific and less industry-specific problems.
Car stocks received some support from a raised profit forecast by Japanese car maker Toyota. In the Dax, Mercedes-Benz and BMW posted moderate increases, but Volkswagen trended somewhat weaker.
Insurers were in demand as beneficiaries of high interest rates. Hannover Re and Munich Re gained up to two percent.