After the strong start to the year, investors shifted down a gear in the second trading week of the year. While the US indices were still able to defend the level of the previous week, the European equity barometers largely surrendered the previous week’s gains. The DAX® closed with a weekly minus of around 2 percent at 13,760 points and the EuroStoxx®50 around 1.2 percent lighter at 3,600 points. The reporting season will get going next week. In addition to the ECB interest rate decision, there are also a number of important economic data on the calendar.
In the past week, bond yields fluctuated in a narrow range around the previous week’s closing level. The yield on 10-year Bunds thus stagnated in the range of minus 0.54 percent and the yield on comparable US securities leveled off at around 1.12 percent. The quotes for the troy ounce of gold and silver caught up in the past few days after the price slump in the previous week. However, the bears continue to put pressure on, with a tailwind from a stronger US dollar. The oil price showed little change in the past week. The persistently high number of corona infections and lockdown measures are curbing speculation about a rapid economic recovery.
Company in focus
In the past week, the shares of Bayer, Deutsche Post and VW very popular. Bayer benefited from the Pharmaceutical Sector Media Day. There, Pharma CEO Stefan Oelrich announced that he would present the future strategy in this sector in March. That made many investors positive. Deutsche Post is positive for 2021 and VW stepped on the gas for e-cars after positive analyst comments and good sales figures. In the second row, among other things, the shares of Fuchs Petrolub and Sartorius with price gains.
Among the strongest industry indices were the Solactive® BRIC E-Commerce Index and the Global Hydrogen Index. The Solactive® BRIC E-Commerce contains the largest e-commerce companies from Brazil, Russia, India and China. Among others, Alibaba and Tencent are there. The Global Hydrogen Index includes well-known companies from the hydrogen sector such as Ballard Power, Linde, Nel and Plug Power.
The reporting season will start next week. So report from Europe among other things ASML Holding and Richemont Data. Publish in the US among others Alcoa, Bank of America, IBM, Intel, Goldman Sachs, Morgan Stanley and Procter & Gamble Figures for the past fiscal year. Telefonica Germany there is also a strategy update and the European automobile association ACEA publishes figures on new car registrations in December. With that move the car manufacturers BMW, Daimler, Peugeot, Renault and VW in the focus of investors.
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