A.In the German stock market, things seem to have smoothed out on Friday after the previous day’s price slide as a result of the sharp rise in corona numbers. Long-term oriented investors were already using the lower prices to get started, according to traders before the stock exchange opened.
Broker IG valued the Dax a good two hours before the Xetra launch, 0.4 percent higher at 12,755 points. Uncertainty factors such as America’s presidential election, the standstill of negotiations on a new American economic stimulus program, as well as the Brexit hang-up in Europe and of course the rampant corona virus continue to shape events.
A government rescue measure has been announced for the ailing steel group Thyssen-Krupp, causing the share price to rise sharply in pre-trading.
Wall Street visibly curbed its initially clear losses in trading on Thursday. The leading index Dow Jones Industrial closed just 0.07 percent lower at 28,494 points. The market-wide S&P 500 ultimately lost 0.15 percent to 3483 meters. On the other hand, the technology-heavy Nasdaq 100 had a clearer minus of 0.7 percent to 11,898 points at the closing bell.
The Asian exchanges did not take a unified direction on Friday. The Japanese leading index Nikkei 225 recently fell by 0.4 percent. The CSI 300 with the 300 most important stocks of the Chinese mainland stock exchanges lost 0.25 percent, while it went up 0.88 percent for the Hang Seng index in the Chinese special administrative region Hong Kong. In particular, the still high number of corona infections continues to weigh on the markets.
Oil price is losing
Oil prices, an important signal for global economic expectations, fell further in early trading on Friday. A barrel (159 liters) of North Sea Brent cost $ 42.71 in the morning, 45 cents less than the day before. The price of a barrel of American West Texas Intermediate (WTI) oil fell 40 cents to $ 40.58.
Market observers blamed the somewhat stronger dollar for the weaker oil prices as a result of the increased uncertainty in the financial markets. Since oil is traded internationally in dollars, the cost of importing outside the dollar area increases with the exchange rate. That dampens demand.
The day before, inventory data had temporarily supported oil prices: In the United States, according to data from the Department of Energy, crude oil inventories fell surprisingly significantly in the past week.