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HomeBusinessFrankfurt Stock Exchange: Dax picks up again after sharp price slide

Frankfurt Stock Exchange: Dax picks up again after sharp price slide

The Dax recovered somewhat from its recent losses on Tuesday.

Germany’s benchmark index rose 2.51 percent to 10,729.46 points after a two-day sharp slide, while market participants remained cautious in the face of relatively low trading volumes. The MDax was up 3.06 percent at 23,117.73 points.

The ruling of the Federal Constitutional Court on multibillion-dollar purchases of government bonds by the European Central Bank (ECB) had only briefly caused nervousness and temporary profit taking. The u.S. buoyant came from the Us, where Wall Street continued to rise after a friendly start to the week.

The Federal Constitutional Court had mostly upheld several lawsuits against the ECB’s large-scale government bond purchases since 2015. The decisions of the central bank were taken in breach of competence. The Federal Government and the Bundestag had violated fundamental rights by standing idly by.

Away from political issues and macroeconomic uncertainties, investors continued with numerous quarterly balance sheets.

Vonovia’s shares soared nearly seven percent. The real estate group reported an increase in profits in the opening quarter against the backdrop of multibillion-dollar acquisitions abroad and higher rental income. At the top of the Dax, the shares of engine manufacturer MTU, which were recently badly affected by the virus crisis, recovered with an increase of just over ten percent.

Beiersdorf’s shares, on the other hand, lost almost three percent at the Dax end after detailed sales figures.

Cooking box supplier Hellofresh, one of the few winners in the Corona crisis, had significantly raised its forecast for the current year. Shares rose about 10 percent as the mDax favourite after hitting a record high in early trading. Hugo Boss shares slumped more than 4 percent to the index end after a disappointing first quarter.

The euro zone’s benchmark EuroStoxx 50 index rose 2.11 percent to 2875.91. The Cac 40 in Paris rose even more sharply, while the FTSE 100 in London rose 1.7 percent. In the United States, the Dow Jones Industrial gained 1.6 percent at the European stock market close.

On the bond market, the yield on circulation rose from minus 0.57 percent the previous day to minus 0.54 percent. The Rex bond index fell 0.17 per cent to 145.28 points. The Bund futures gained 0.14 percent to 174.35 points.

The price of the euro had come under pressure following the ruling of the Federal Constitutional Court. Most recently, the common currency cost USD 1.0842. The ECB had set the reference rate at 1.0843 (Monday: 1.0942) dollars. The dollar was at 0.9223 (0.9139) euros.

Matthew Velterhttps://etrendystock.com/
With 5 years of experience as an editor, Matthew has been a crucial part of eTrendy Stock since its inception. He looks after the editing of news content published on eTrendy Stock. Apart from investing his time in editing, he also provides well-researched news articles for the U.S. niche. Mathew studied at University of central Florida.

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