- Advertisement -spot_img
HomeBusinessFrankfurt Stock Exchange: Dax recovers - but Wirecard slumps

Frankfurt Stock Exchange: Dax recovers – but Wirecard slumps

Investors on the German stock market remained confident on Tuesday. The leading index Dax continued its strong start to the week and continued to grow.

By early afternoon, the average gain was 1.86 percent to 10,858.73 points. Meanwhile, the stock market barometer had reached a new recovery high since the low point of the Corona crash in mid-March.

The Dow Jones industrial average was up 1.39 percent at 22,897.85 points on Tuesday. The EuroStoxx 50, the eurozone’s leading index, was up just over 2 percent.

At the Dax end, Wirecard’s papers collapsed by almost a quarter. The hoped-for relief blow from the KPMG special audit of the balance sheet was not carried out. The payment service provider itself continues to feel relieved. In the audit areas, there were still no substantial findings for the years 2016 to 2018 that would have required corrections. However, KPMG’s auditors had identified documentation and organisational weaknesses at Wirecard. These had already been identified by the group. Analyst Sandeep Deshpande of jpMorgan said the report would not satisfy the doubters.

Lufthansa’s shares fluctuated sharply, rising 2.5 percent recently. Possible substantial state aid to the airline, which has been badly affected by the Corona crisis, would not only be viewed positively, the market said. Among other things, it was announced that Lufthansa is also examining insolvency under its own management. As recently as Thursday, the group had admitted that it could no longer save itself from the Corona crisis on its own.

In the MDax, Siltronic’s shares rose by around eight percent. Solid quarterly figures and a positive outlook for the second quarter had encouraged investors in the semiconductor wafer manufacturer. In addition, despite the Corona crisis, the company is sticking to its dividend.

However, Kion’s shares slumped nearly 6 percent after the quarterly figures were presented at the end of the index. The forklift manufacturer felt the economic impact of the Corona pandemic. While incoming orders were positively surprised, sales and adjusted operating profit missed market expectations, wrote analyst Akash Gupta of US bank JPMorgan.

The euro last traded at US1.0883 US cents. The dollar thus cost 0.9189 euros. The European Central Bank had set the benchmark rate at 1.0852 US dollars on Monday (Friday: 1.0800). The dollar was at 0.9214 (0.9259) euros.

On the German bond market, the Rex bond index fell 0.14 percent to 144.57 points. The yield on circulation rose to minus 0.44 percent from minus 0.47 percent the previous day. The Bund Futures were up 0.18 percent at 172.72.

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.

Must Read

Related News