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DAX with tailwind: Recession worries faded out for the time being

DAX with tailwind: Recession worries faded out for the time being

market report

Status: 06/21/2022 12:32 p.m

The DAX continues on its recovery course and passes the 13,400 point mark. Experts remain cautious, however, because negative factors such as inflation and the threat of recession have not disappeared.

The DAX rose by around one percent to just under 13,400 points. It marked the highest level of the day at 13,444 points. This is how the recovery picks up speed. Yesterday the leading German index closed with a premium of 1.1 percent to 13,265.60 points.

“The attempt to bottom out has been successful for the time being,” said portfolio manager Thomas Altmann from the investment advisor QC Partners. “But the recovery so far is far from enough to lift the spirits on the floor.”

His colleague Salah-Eddine Bouhmidi, financial market analyst at Broker IG, sees it in a similar way: The DAX is aiming for the 13,500 point mark. “However, investors should be on their guard. The current bullish momentum could be short-lived,” warns the expert.

BDI lowers economic forecast

Because the market is currently in a kind of dilemma: According to the experts at Helaba, the valuation levels on the stock markets have fallen as a result of the recent price losses. However, it is not clear what kind of data releases could give the market a boost: “Good economic figures would fuel the interest rate discussion, while weak figures would strengthen fears of a recession. Both limit the price potential,” is their assessment.

Against this background, investors cannot please the new economic forecast of the Federation of German Industries (BDI): economic growth of only 1.5 percent is expected. At the beginning of the year, and thus before the war, the BDI had still assumed growth of 3.5 percent.

Wall Street took a break

In the USA there was no trading yesterday due to a holiday, so support from the “world’s leading stock exchange” can only be expected today. Accordingly, investors should be excited about developments on Wall Street. The value of the recovery is unlikely to be seen until the afternoon, when investors on Wall Street get back into action.

US futures are pointing to solid gains ahead of US trading, which should support stock markets in Europe. However, the past few weeks have shown how quickly the mood on the markets can change within a day.

Oil prices are rising again

Oil prices are up again today. A barrel (159 liters) of North Sea Brent rose above the $116 mark. The price for a barrel of the US WTI variety also rose. The market players are worried about a shortage of supply.

“Supply concerns are likely to persist in the coming months as OPEC+ countries, the world’s largest oil producers, may not have enough spare capacity,” said Leona Liu, an analyst at DailyFX. In addition, the summer travel season and the easing of corona restrictions by China boosted demand.

Tesla is cutting 3 to 3.5 percent of the jobs

The electric car manufacturer Tesla will cut three to 3.5 percent of its jobs in the coming months, said company boss Elon Musk. About every tenth job among employees is to be lost, while the number of factory workers will increase in the long term. At the beginning of the year, the company had almost 100,000 employees. In a video interview at the Qatar Economic Forum conference, Musk said Tesla sometimes created employee jobs too quickly.

Post buys in Australia

Deutsche Post is expanding its supply chain logistics business with an acquisition in Australia. The DHL Supply Chain division is taking over the Australian logistics company Glen Cameron Group. One of the country’s largest logistics companies will be created with a total turnover of over one billion Australian dollars. According to a spokesman, DHL Supply Chain currently employs around 4,000 people in Australia. The acquisition would add more than 820. The seller was the company founder Glen Cameron himself. The Post did not want to comment on the purchase price.

Federal Cartel Office initiates proceedings against Google

The Federal Cartel Office is examining the US technology giant Google because of possible restrictions on competition in map services. The competition watchdogs are using the powers that were granted to them in 2021 to secure competition in the internet economy. “We are investigating indications that Google is restricting the combination of its map services with map services from third parties. This concerns, for example, the possibility of integrating location data from Google Maps, the search function or Google Street View on non-Google maps,” said Cartel Office President Andreas Mundt.

Easyjet wants another 56 Airbus jets

The British low-cost airline Easyjet wants to push ahead with the renewal of its aircraft fleet with another major purchase from Airbus. The plan is to purchase 56 medium-haul jets from the A320neo model family. To this end, they have reached a conditional agreement with Airbus. According to the information, Easyjet exercises purchase rights and options from a previous contract. In addition, the low-cost airline follows the trend towards larger machines: Instead of the 18 aircraft already ordered in the standard A320neo version, Airbus is to deliver the same number of jets in the long version A321neo.

Airbus wants to expand business with large-capacity vans

The aircraft manufacturer Airbus meanwhile wants to expand the business with large-capacity transporters for the military and civil applications. “With the failure of the Antonov fleet, a vacuum has now emerged in the area of ​​wide-body transport aircraft. We want to prove ourselves in this market with the Beluga,” said Michael Schöllhorn, head of the Airbus armaments division. For him, a “personal highlight” of the fair will be the Airbus transporter Beluga XL.

Drop in sales at Nordex

The Hamburg-based wind turbine manufacturer Nordex has had to switch production to other blades and a smaller number of installations. In the first quarter, sales fell by a quarter to 933 million euros. Due to a hacker attack, Nordex was not able to present its quarterly figures on time in May and therefore temporarily lost its place in the small-caps index SDAX.

Qantas is removing the mask requirement on some flights

The Australian airline Qantas has abolished the mask requirement on some international routes. Both the crew and the passengers no longer have to wear mouth and nose protection on flights from New South Wales, Queensland and Western Australia to the USA, Great Britain and Rome, Australian media quoted from an internal letter from the company. The broadcaster 9News quoted the document as saying that lifting the obligation to wear masks on board aircraft introduced in the course of the corona pandemic is the “appropriate next step” because global studies have shown that the risk of transmission in the cabin is very low.

Berlin travel platform Omio raises 80 million dollars

The Berlin travel platform Omio is raising a new round of financing despite the poorer market conditions caused by the interest rate turnaround, economic slowdown and the downturn in listed technology stocks. The startup, which was founded in 2013, announced that 80 million dollars had been collected from investors.

According to insiders, the valuation of Omio is stagnating at the almost one billion dollars achieved before the Corona crisis, which means that the company is considered a so-called unicorn in the jargon of investment bankers. Trains, flights, ferries and buses in Europe, the USA and Canada can be compared and booked via Omio.

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