The Dax fell further from its recent record on Wednesday in a weak global market environment. In early trading, the leading German index lost 0.85 percent to 18,587 points. The MDax of medium-sized stock exchange companies fell by 1.04 percent to 25,142 points. The Eurozone leading index EuroStoxx 50 lost 1.1 percent.
On Tuesday, the Dax reached another record high early on, but turned down shortly before the 19,000 point mark. With disappointing sentiment data from American industry and weak US stock market trading, further profit-taking began.
The US technology exchange Nasdaq in particular suffered heavy losses due to a slide in semiconductor stocks. The shares of the industry giant and AI model company Nvidia fell by almost 10 percent. However, the fear barometer Vix, which measures volatility, rose and investors headed for the safe haven of US government bonds.
Difficult month for stock markets
September is considered a seasonally difficult month for the stock markets. It also says in the USA The monthly labor market report will be announced on Friday, which is likely to be a guide for interest rate cut expectations for the US Federal Reserve. Until then, the DAX is unlikely to attack the 19,000 point mark again, write the experts at Landesbank Helaba.
Sentiment data from the service sector is already on the agenda in the Eurozone this Wednesday. In the currency area, Germany and France However, these are only revisions of already known data, so investors will probably focus primarily on economic data from the USA, Helaba continues. Industry order data is published there. Only after the end of trading in Europe will the Fed economic report (“Beige Book”) follow.
Commerzbank under pressure
Commerzbank shares slipped by 2.3 percent. The state is planning the exit from the financial institution. As a first step, the federal government wants to reduce its participation, as the Finance Agency of the Federal Republic of Germany announced.
Otherwise, analyst statements were moving. Thanks to a positive recommendation from the British investment bank Barclays, the shares of DAX leader Deutsche Börse rose by 0.7 percent and reached a record high. Analyst Alex Medhurst attests that European stock exchange operators are experiencing good growth and expects profits to continue to rise. The valuations are still attractive.
Nikkei plunges 4 percent
Significant discounts also dominated the most important Asian trading venues in the middle of the week. In particular, the decline in the Japanese Nikkei 225 by more than 4 percent brought back memories of the global market collapse at the beginning of August. But back then they quickly recovered and have since more than made up for these losses.
Wall Street with heavy losses
After the long weekend, the US stock markets suffered a collapse on Tuesday. Weak sentiment data from industry and a sell-off in semiconductor stocks caused the very economically sensitive technology stocks in particular to collapse. Observers spoke of the biggest losses since the market turmoil around a month ago.
The leading index Dow Jones Industrial fell by 1.51 percent to 40,936 points after reaching a record high of 41,585 points on Friday. There was no action on Monday because of the Labor Day holiday. The market-wide S&P 500 lost 2.12 percent to 5,528 points on Tuesday. The technology-heavy Nasdaq 100 slipped 3.15 percent to 18,958.74 points, marking its biggest loss since July.
Bitcoin falls to $56,000
Bitcoin came under pressure on Wednesday and fell by almost 5 percent. The price fell to almost $56,000 in early trading. Most recently, the cyber currency was 3.7 percent weaker at $56,800. The oldest and best-known cryptocurrency gave up all the gains it had made after the speech by US Federal Reserve Chairman Jerome Powell at the end of August. Last week, Bitcoin temporarily cost $65,000.
Oil prices fall
Oil prices lost a bit on Wednesday morning. A barrel (159 liters) of North Sea Brent for delivery in October last cost 73.35 US dollars, 0.4 dollars less than on Tuesday, while the price for a barrel of US West Texas Intermediate (WTI) fell by 0 .46 percent fell to $69.88.