Increasing concerns about the economy and price losses in the banking and armaments sectors continued to weigh on the German stock market on Monday. After the very weak previous week, the Dax lost 0.30 percent to 15,782.27 points around noon. The MDax for medium-sized companies was last listed at minus 0.05 percent to 26,775.65 points. The Eurozone leading index EuroStoxx 50 fell by 0.2 percent.
Concerns about a weak economy increased on Monday after the publication of the Ifo business climate, the most important leading indicator for Germany. Because the mood in the German economy deteriorated significantly in June.
Bank share prices therefore continued to fall. Possible loan defaults and higher provisions cloud the situation. In addition to the general economic concerns as a burden for the banking sector, Commerzbank is currently having its own problems, which is why its shares were even weaker than the sector at minus 2.1 percent on Monday. The Frankfurt institute has to cope with further burdens of millions for its Polish subsidiary mBank, the provisions are increasing.
After the turmoil in Russia at the weekend, armaments stocks fell across Europe on Monday with significant levies. In Frankfurt, Rheinmetall and Hensoldt fell by 4.7 percent and 2.3 percent, respectively. However, stockbrokers found it just as difficult to interpret the price losses as the political commentators did during the weekend uprising by the Wagner mercenary group in Russia.
Siemens Energy lost another 4.7 percent after the titles of the energy technology group collapsed by more than 37 percent on Friday after withdrawn forecasts and thus suffered one of the largest daily losses in the Dax.
