D.he German stock market increased its moderate previous day losses on Friday. At the start of trading, the stock market barometer fell by 0.3 percent to 13,247 points, showing a weekly loss of 0.4 percent. Within the first hour of trading, the Dax minus widened to more than one percent.
The leading index has been hovering around the magnet-like mark of 13,300 points for weeks. The weekly high on Wednesday at 13,454 points had also proven to be unsustainable.
The strength of the euro is one of the reasons for investor uncertainty. Another burden is that a new corona lockdown in Germany is becoming more and more likely and a trade pact between Great Britain and the European Union is becoming increasingly questionable. Both sides are now increasingly preparing for failure.
Market expert Andreas Lipkow therefore expects that investors will continue to hold back with purchases. “The institutional investors will probably wait for the outcome of the EU summit on the Brexit trade pact on Sunday and then make their investment decisions.”
The M-Dax of the 60 medium-sized stocks rose slightly on Friday by 0.1 percent to 29,730 points. The leading Eurozone index Euro Stoxx 50 fell 0.3 percent to 3511 points.
Oil prices are not moving any further
The oil prices hardly changed on Friday. Quotes fell slightly in early trading. They could not continue the strong gains from the previous day for the time being. A barrel (159 liters) of North Sea Brent cost $ 50.18 that morning. That was seven cents less than the day before. The price of a barrel of the American West Texas Intermediate (WTI) dropped one cent to $ 46.77.
On Thursday, the hope that demand would normalize soon with the introduction of effective corona vaccines had given oil prices a strong boost. The price of Brent oil from the North Sea had risen above the $ 50 per barrel mark for the first time since the start of the Corona crisis in March.
In addition, robust demand for crude oil in China supported oil prices. The world’s second largest economy was able to recover quickly from the corona slump and is currently not suffering from the consequences of a second wave in the corona pandemic.
In addition, the exchange rate trend on the foreign exchange market had recently boosted the oil price. The US dollar had come under pressure and depreciated in major currency trading. This means that crude oil traded in dollars is cheaper in countries outside the dollar area, which means that demand is stronger.