The Dax, thanks to the robust US economy at the end of the week, at least for a short time again gained some. After finding no clear direction during the day, he ended the week with 12,315 points, about 0.3 percent plus.
New growth was provided by the new growth figures from the USA on Friday. The US economy surprisingly gained momentum at the beginning of the year. Between January and March, gross domestic product (GDP) increased at an annualized rate of 3.2 percent. Experts had expected only a plus of 2.0 percent.
One consequence of the numbers was that yields on German government bonds gave way immediately. The value for a ten-year term fell immediately to minus 0.2 percent.
Another happy news came from Washington: US President Donald Trump plans to welcome China's head of state Xi Jinping to the White House soon. Trump had recently stated that. Such a meeting could be an occasion to present a possible agreement in the trade dispute between the two largest economic powers in the world.
However, this news is unlikely to spur markets any further. It is more likely that the specific date could initiate the correction. "Buy with rumors, sell with facts", this stock market wisdom describes a well-known phenomenon in the stock markets.
The exchange rate trends in the currency market are worth a look: the euro has fallen to the lowest level in more than a year against the US dollar this week. However, he rose after the announcement of US economic data to $ 1,1157. So far, $ 1.12 was an important stop mark.
The continued decline of the Turkish lira is also to be taken seriously, because it continues: now costs one euro 6,6306 lira – a minus of another 0.5 percent. The lira had already lost significantly on Thursday after the Turkish central bank removed a key phrase from its statement. There was no promise to tighten monetary policy if necessary.
"Every day the lira weakens, inflation indicators and the burden of exchange rate obligations will increase," Commerzbank foreign exchange analysts say, wondering, "Lira – the seed of the next crisis?" Finally, in early 2018, when the euro stood Around 7.5 lira cost, the topic "emerging market crisis" on the agenda.
Look at the individual values
Deutsche Bank: In the first quarter, Deutsche Bank posted a bottom line profit of € 201 million, clearly exceeding the expectations of the financial market. In the past year, the result after tax was 120 million euros. However, revenue in the first quarter of this year fell by nine percent. Obviously, that's the crucial number in the markets. The paper lost 1.8 percent during the day, making it the biggest loser in the Dax.
Commerzbank: One day after the burst of merger negotiations, the paper rose by 3.6 percent.
Daimler: The weaker car economy and model changes have further reduced the profit of the automotive group in the first quarter. Earnings before interest and taxes (EBIT) fell by 16 percent from January to March compared to the same quarter of the previous year to 2.8 billion euros. Daimler was doing slightly worse than expected by analysts. The paper nevertheless gained about one percent on Friday.
Klöckner: In the SDax papers of Klöckner & Co. crashed at times up to twelve percent. They finished the day about ten percent weaker. The steel trader collated his full-year targets. In its wake, shares in steel smelters such as Salzgitter and Thyssen-Krupp each lost more than one percent.
Puma: The sporting goods manufacturer continued its strong growth in the first quarter. Thanks to robust demand, especially in China and America, prices rose revenues by almost 17 percent to 1.32 billion euros. The paper gained 3.12 percent on Friday. A share split is also planned, which will increasingly encourage retail investors to get started. Currently, the Puma paper with a price of around 545 euros, the most expensive share in the MDax.
Theme: Market Reports
Wirecard: A look at this DAX value is always worthwhile: On Thursday, there was already after the quarterly figures, a run-and-go of the share with a minus of almost five percent to the trading end. On Friday it was up 3.6 percent. Wirecard Supervisory Board Chairman Wulf Matthias does not plan to extend his term of office beyond the coming year. For reasons of age alone, he is no longer available after expiry of his mandate in 2020.
Continental: The automotive supplier Continental postpones the IPO of its drive division to next year. Probably towards the end of the second half of the year, the capital market could be informed about further details of the planned gearing on the floor. At the balance sheet press conference in March, Conti had announced that preparations for a possible partial listing in the second half of 2019 were proceeding according to plan. The Continental share does not hurt this announcement. On the contrary: The paper rose on Friday by 2.8 percent, making it the second largest winner in the Dax.
What the charting says
With the daily low of 12,236 points on Thursday, the Dax has set the first very short-term correction mark. Prices below that should lead to further price losses.
But in the medium term, setbacks below the 12,000 mark do not disturb the uptrend since the end of December. From the point of view of charting technology, as long as the leading index remains above 11,938 points, the prospects for further price increases are positive.
Why are 11,938 points so important? The mark is the 50 percent correction from the downtrend since the all-time high of 13,596 points to the multi-year all-time low of 10,279 points at the end of December 2018. The most stable support is around 11,700 points where the 38- and 200-day lines run.
Watch the pros – and be warned about short selling
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