Equities Frankfurt Outlook: Ukraine worries subside – interest rate worries are increasing
FRANKFURT (dpa-AFX) – After the clear relief the day before about the signs of relaxation in the Ukraine conflict, there should be no stronger movements on the German stock market in the middle of the week. The broker IG appraised the Dax just under two hours before the Xetra start 0.21 percent higher to 15,445 points. The EuroStoxx 50, the leading barometer for the euro zone, is expected to gain 0.28 percent on Wednesday.
Fears that Russia was likely to invade Ukraine had eased the day before, and Russian troops withdrew from the border. The conflict is currently losing some of its horror for the stock markets, said market observer Thomas Altmann from asset manager QC Partners. But the uncertainty remains high.
In addition, after the unexpectedly sharp rise in US producer prices the day before, fears of interest rate hikes have returned, according to Altmann. That’s why the publication of the minutes of the last interest rate meeting of the US Federal Reserve is particularly in focus in the evening. Various US economic data will be published beforehand.
The reporting season continues on the German stock market with annual figures from engine manufacturer MTU. Pre-market on Tradegate, the price reaction to the figures and the outlook was initially slightly positive at 0.4 percent at the Xetra close.
The papers of the automotive supplier and connection technology manufacturer Norma Group advance on Tradegate by 0.8 percent to the Xetra close according to key data.
The drive technology specialist Vitesco was in the black again in day-to-day business in the past financial year and performed slightly better than analysts had expected. The title of the company, which was formerly part of Continental, gained 2.1 percent in pre-market Tradegate trading with its Xetra close.
According to key data for 2021, the shares of Amadeus Fire are also up by 1.1 percent. The personnel service provider grew strongly last year, also thanks to the sometimes tense situation on the labor market./ajx/jha/