A slow end to the week

By 26/04/2019News
Chart Graphic Bernstein Bank

 

26.04.2019 – Daily report. Hardly any movement on the Frankfurt Stock Exchange: At the weekend, the DAX has established itself in the region of 12,300 points. Trading was quiet, investors did not want to take any bigger risks. The stock exchange analysts analyzed the incoming balance sheets, including those of Daimler and Deutsche Bank.

DAX back at 12,300 points

On Friday afternoon, the German benchmark index oscillated sideways. On Thursday, the DAX closed negative again for the first time after nine days of gains. Since the beginning of this year, the index has already gained around 15 percent. Meanwhile, the reporting season continued.
Investors followed Deutsche Bank’s figures particularly closely; after the slump in earnings in the first quarter, they no longer expect a plus for the year as a whole. At the beginning of February, the bank had announced a slight increase. The share was quoted at the end of the DAX. Daimler confirmed its outlook for the Group’s operating profit for the year.

Beijing wants a strong yuan

Asian trade had also sent out no buying impulses. The Nikkei lost 0.2 percent to 22,259 points A statement by President Xi Jinping caused a sensation in China: He told numerous high-ranking government representatives in Beijing that the People’s Republic would not devalue the yuan to the detriment of other states. Which, by the way, will please the Chinese middle class, who can afford their buying frenzy due to the strong yuan.
Moreover, this is a demand of the Americans in the customs negotiations. China should not achieve market advantages at the expense of a softer yuan. A strong currency weakens the position of export-oriented Chinese companies in international competition. The CSI 300 closed with a minus of 1.3 percent at 3,899 points.

The 1 trillion-dollar group

On Wall Street, high-tech stocks set the pace on Thursday. The Nasdaq 100 continued its record run and made a profit of 0.4 percent to 7,817 points. The stock market stars Facebook and Microsoft provided a buying mood after good business figures. For the first time, Microsoft achieved a market capitalization of more than one trillion US dollars – i.e. 1,000 billion dollars – and thus sees itself in best company with corporations such as Apple and Amazon.

Job data disappointed

Meanwhile, the Dow Jones Industrial lost 0.5 percent to 26,462 points. The index was pulled down by a fall in the price of the conglomerate 3M, the share lost almost 13 percent at the end of the Dow. 3M had reported a disappointing first quarter and again lowered its annual targets. The S&P 500 closed almost unchanged at 2926 points.
Disappointment was caused by the latest job data, with initial applications for US unemployment assistance exceeding expectations at 230,000. This again gave rise to fears that the American economy would not run as smoothly as had been hoped for. These and other important data with forecasts and previous reports can be found here: Market Mover

That’s what the day brings

Today, Friday, investors are looking at the balance sheets of Exxon Mobil (14:00 German time) and Chevron (14:30), among others.
At 2:30 p.m. the American gross domestic product will be reported (forecast: 1.6 percent).
In addition, the consumer climate at the University of Michigan is expected to start at 4 p.m. (forecast: 96.9).
We wish you a successful day of trading!

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