Concerns about the Chinese real estate market prevented excessive price increases on the German stock market today. Reports that China is taking action to address the country’s worsening housing crisis in turn supported prices.
Ultimately, the leading index Dax remained in its range of the past trading days and closed 0.46 percent higher at 15,904.25 points. A positive trend on the US technology exchange Nasdaq contributed to stabilization in the afternoon. The MDax for medium-sized companies fell 0.24 percent to 28,017.23 points on Monday.
In China, the crisis of the real estate developer Country Garden, which is in payment difficulties, had recently intensified. It symbolizes the crisis in the Chinese real estate market, whose boom over many years has ensured brisk demand from numerous companies in the construction, metal and chemical industries. In addition, Zhongzhi Enterprise, one of the country’s largest private wealth managers, had failed to make payments on investment products sold to ultra-high net worth clients and corporations.
Covestro shares were ahead in the Dax with a plus of 3.8 percent. According to insiders, the oil company Abu Dhabi National Oil may want to dig deeper into its pockets in the takeover gamble for the plastics group.
Losses for TAG Immobilien
At the end of the MDax, the TAG Immobilien shares, which have recently performed very well, lost more than six percent. In view of a devaluation of the real estate portfolio, the group made a loss in the first half of the year, but confirmed its annual targets.
There were also significant price fluctuations in the SDax small-cap index, where Adesso’s shares soared by 7.5 percent. Although the IT service provider had to cope with another drop in earnings in the second quarter due to high personnel costs, it remained optimistic with regard to the annual targets. After the forecast was lowered again, the shares of the IT service provider Nagarro fell by 6.9 percent.
The Eurozone leading index EuroStoxx 50 gained 0.21 percent to 4330.23 points at the start of the week. The stock market in Paris also went up moderately, in London it went down a bit. In New York, the leading index Dow Jones Industrial was hardly changed at the close of the European stock exchange, while the technology-heavy select index Nasdaq 100 was clearly up.
The euro was last traded at $1.0925. The European Central Bank (ECB) had set the reference rate at 1.0930 (Friday: 1.1004) dollars in the afternoon, with the dollar costing 0.9149 (0.9088) euros. On the bond market, the current yield rose from 2.58 percent on Friday to 2.63 percent. The Rex pension index fell by 0.21 percent to 123.99 points. The Bund future fell 0.08 percent to 131.28 points.
