German consumers are apparently not allowing their mood to be spoiled by the rising number of corona infections. According to statements by GfK, the consumer climate barometer should rise again in October after the fall in September and reach a value of minus 1.6, an increase of 0.1 points. “Apparently, the extensive stimulus packages for companies and consumers are suitable measures to help Germany out of the worst recession of the post-war period,” said the market researcher on the monthly survey of around 2000 consumers. According to GfK experts Bürkl, the further course of the infection process and the labor market situation are decisive for whether the setback in September “will remain a flash in the pan” and whether consumer sentiment can continue to recover in the coming months.
The German economy lost momentum in September. The Markit Composite purchasing managers’ index fell by 0.7 to 53.7 points and thus remained below expectations. The barometer stayed above the 50 mark for the third month in a row. While the barometer for the manufacturing sector (industry) recovered strongly and rose to 56.6 (Aug .: 52.2) points, the barometer for the service sector fell by 3.4 to 49.1 points, thus signaling shrinking business .
The EU economy is doing significantly worse than in Germany. Here, the Markit Composite Index fell to 50.1 points (-1.8 points) in September and is therefore only very thinly above the expansion threshold. Here, too, the economists’ expectations were significantly higher. The trend is similar to the German figures: The barometer for industry rose by 2.0 to 53.7 points, while the service providers recorded a minus of 2.9 to 47.6 points. The latest increase in the number of new corona infections has led to renewed business losses in the service sectors of all countries, it said.
German Bunds moved only slightly in the middle of the week. The German and European purchasing manager indices, which were weaker than expected, had no lasting influence on the price determination. US Treasuries changed little.
A weak opening on Wall Street slowed prices on the German stock market a little in the afternoon. So only part of the early profits remained. DAX + 0.39%, MDAX + 0.66%, TecDAX + 0.44%. Adidas benefited at the top of the DAX from the good numbers of its competitor Nike and rose by 4.42% at the top of the DAX.
Weak economic data, the ongoing discussion about a new stimulus package and cautious statements from Fed members regarding an economic recovery were not a good cocktail for the US stock exchanges, which plummeted significantly. Dow Jones -1.92%; S&P 500 -2.37%; Nasdaq Comp. -3.02%. Nike took off after strong quarterly figures (+ 8.76%). Tesla investors let their disappointment run wild again with statements on the “battery day”; the stock lost 10.35%. The Nikkei-225 loses act. almost 300 points on 23,047 points.
Nike put up with the Corona crisis in Q1 of the current FY and surprised the market positively. Despite a slight decline in sales of 0.6% to US $ 10.59 billion, the sporting goods manufacturer was able to increase net profit to US $ 1.52 (1.37) billion. Nike cited the recovery in demand in China and strong online retail as reasons for the positive performance.
Tesla boss Musk wants to drastically reduce the price of his electric cars. To this end, the main aim is to reduce the production costs for the batteries. The Tesla boss promised a new generation of batteries. These should be significantly more powerful and durable than the current ones and only cost half as much. The company is still about three years away from mass production, Musk said.
Rising numbers of new corona infections in Europe weighed on the euro on the reporting day.
Oil / gold
After a weaker start, oil prices turned upwards. The main support came from falling crude oil inventories. Gold closed weaker for the third day in a row.
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