Dax current: US stock markets boost Dax – closing price is just over 10,000 points

For the third day in a row, the leading German index ended trading in positive territory. The main reasons for this can be found on Wall Street. .

Dax current: Dax turns positive after initial losses – gambler brings major bank ABN Amro loss of millions

The German stock market remains in a difficult position. New details from the European Central Bank also have a significant impact on bond yields. .

Current Dax rate: Dax is slipping

Dusseldorf The price gains of the past two trading days have evaporated again. The Dax loses 2.2 percent in morning trading and stands at 9654 points.

The course of trading on Wednesday yesterday showed the typical behavior of a bear market: negative reports lead to a quick sell-out. An extremely weak Ifo index ensured that the Dax slipped by 650 points within a short period of time. By definition, the leading German index has been in a bear market since mid-March because it slipped more than 20 percent from its record high (13,795 points) in mid-February – this was the case at around 11,000 points.

The fact that the Dax went off the market on Wednesday after a final spurt of plus 1.8 percent and 9874 points was also due to profits on the US stock exchanges. The Asian stock exchanges were already weaker.

The behavior showed a similar behavior as on Wednesday German stock market even before the stock exchange opened. The pre-market indicators slipped significantly after GfK market researchers published consumer sentiment for Germany. The virus crisis is depressing sentiment to the lowest level since the global financial crisis. According to GfK, consumers see “very difficult times” coming up economically for Germany. “Hard times will come for the trade as a whole,” concludes GfK.

And today it stands Publication of another important economic barometer step, a long-ignored stepchild in the market: It is the weekly initial applications for US unemployment benefits. These were neglected for a long time because in the past few years there was almost full employment in the USA. According to the CommerzbankAnalysts are likely to see applications increase to around three million for the week ending March 21, a 10-fold increase over the previous week. This is unlikely to support the stock markets.

So there is a lot to be said that this bear market in this country with all its consequences is likely to continue over a longer period of time. According to the Frankfurt Stock Exchange, the behavioral economist Joachim Goldberg expects only “rallies within the bear market” in the future, ie only interim price gains within a longer-term downward trend.

His reasoning: Both the “bears” that are betting on falling prices and the bulls that expect price gains have not separated from their commitments in the past few days. The profits with their purchased long and short products are apparently not enough for them. So there must be even larger price movements for one side or the other to sell.

Which naturally leads to the question: If the Dax has to fall below 8000 points, so that there are sustainable course gains again?

“Long-term capital inflows would be necessary for the Dax to get out of the worst,” says Goldberg. “And they only come when the conviction prevails that the corona pandemic has survived to some extent.”

Minus 26.23 percent, that’s how much the 30 DAX values ​​have lost in the past 20 days, as of Wednesday. The analysts at Landesbank Helaba calculated this. They best dressed Beiersdorf-Titles with a minus of 5.93 percent from the affair. The biggest loss was in the papers of MTU accept with a minus of 50.17 percent.

Look at other asset classes

New details on European Central Bank (ECB) bond purchase program influence the bond markets significantly. Now many restrictions no longer apply. The ECB can now buy more than a third of a country’s outstanding bonds. There may also be major deviations from the capital key to help countries particularly affected. In the future, bonds with a term of less than 70 days can also be bought.

Italian bonds with a maturity of two years benefited the most, with yields falling to 0.384 percent. At the start of trading this figure was still 0.8 percent, in the past week it was still over two percent. The yield on ten-year Italian bonds fell to 1.49 percent.

The Italian bond rally spread to other peripheral markets such as Portugal and Greece. The respective figures also fell significantly across the board.

In comparison, yields on the European core markets for government bonds such as Germany and France fell only slightly. The value for ten-year German government bonds fell to minus 0.3 percent.

Oil prices are slipping significantly again on Thursday. North Sea Brent dropped 1.3 percent to $ 27.02 a barrel, US WTI even fell 2.3 percent to $ 23.94. The prices of both varieties have already slipped by around 60 percent this year.

Given the rapidly shrinking demand and rising production, the outlook for oil prices remains negative. Estimated global oil demand will decline more than 14 million barrels a day in the second quarter, which should result in unprecedented inventory build-up.

Look at the individual values

Evotec: The shares lose 4.1 percent. The drug developer expects further strong organic growth in 2020. However, it is not yet possible to precisely quantify the effects of the corona crisis.

Deutz: In view of the corona pandemic, the engine manufacturer is suspending its forecast for the current year and shutting down large parts of its production from April 1, initially until April 17. The share declines by around three percent.

SMA: By contrast, the shares of SMA Solar. Despite the corona pandemic, the solar technology group is sticking to its annual forecast and expects an increase in sales and profits.

ABN Amro: Incredible, but true – gamble by a single customer in the United States has brought the Dutch bank a loss of $ 200 million. This will affect the results of the first quarter, said ABN Amro With. The customer had speculated with warrants and futures, the positions are now closed. Because many investors are probably wondering what the security of the trading systems is like, the share falls by 3.8 percent, making it the biggest loser in the European banking index.

Pfeiffer Vacuum: The vacuum pump manufacturer has collected its annual targets because of the corona crisis. According to the Management Board, the forecasts for 2020 with regard to sales growth, unchanged returns and investments in the order of magnitude between 40 and 60 million euros are invalid. He did not name new goals. The share loses 0.8 percent.

Cewe: Because of the uncertainties associated with the pandemic, the photo company has decided not to make a forecast. At the moment, the focus is on online orders and mailing. Nevertheless, the dividend is expected to rise for the eleventh time in a row, to 2.00 euros per share (from 1.95 euros previously). Investors acknowledge this with a plus of 0.5 percent.

Stock exchange expert in New York: “Nobody knows exactly how much the economy will collapse here”

What the chart technique says

Despite the price gains, the chart-technical picture does not yet give the all-clear. The Dax rose to 10,137 points on yesterday’s trading day. As a result, two resistances are gaining in importance: on the one hand, the downward price gap of March 12, which covers the range between 10,138 and 10,391 points; on the other hand the low of December 2018 with 10,279 points, the starting signal for the rally until mid-February 2020.

“This is the decisive hurdle in chart technology, the skipping of which would put the German standard values ​​on a quick recovery path,” say the technical analysts at Düsseldorfer Bank HSBC. Without a recapture, the coming trading days are likely to remain volatile.

Such downward price gaps arise when the daily low of the previous day is above the daily high of the subsequent trading day. The daily low of March 11 was 10,391 points, the high of the following trading day was 10,138 points. Such gaps are a quick re-evaluation of the market and therefore an important resistance according to chart technology.

On the underside, according to the HSBC, the Dax should return to crisis mode at prices below 9070 points.

Here is the page with the DAX course, here is the current tops & flops in the Dax. Current Short sales of investors can be found in our Short sales database.

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Dax slips again – Zocker brings ABN Amro loss of millions, share loses significantly

Dusseldorf The price gains of the past two trading days have evaporated again. The Dax loses 2.5 percent in morning trading and stands at 9627 points.

The course of trading on Wednesday yesterday showed the typical behavior of a bear market: negative reports lead to a quick sell-out. An extremely weak Ifo index ensured that the index slipped by 650 points within a short period of time. By definition, the Dax has been in a bear market since mid-March because it slipped more than 20 percent from its record high (13,795 points) in mid-February – that was the case at around 11,000 points.

The fact that the leading German index Dax went out of trading on Wednesday after a final spurt of 1.8 percent and 9874 points was also due to gains on the US stock exchanges. The Asian stock exchanges are already trending weaker.

The behavior showed a similar behavior as on Wednesday German stock market even before the stock exchange opened. The pre-market indicators slipped significantly after GfK market researchers published consumer sentiment for Germany. The virus crisis is depressing sentiment to the lowest level since the global financial crisis. According to GfK, consumers see Germany facing “very difficult times” economically. “Hard times will come for the trade as a whole,” concludes GfK.

And today it stands Publication of another important economic barometer on, a stepchild of the market that has not been noticed for a long time. It’s the weekly initial jobless claims. They were ignored because in the past few years there was almost full employment in the USA. According to the Commerzbank– Analysts are likely to see applications for around three million by March 21, a tenfold increase over the previous week. This is unlikely to support the stock markets.

So there is a lot to be said that this bear market in this country with all its consequences is likely to continue over a longer period of time. According to the Frankfurt Stock Exchange, the behavioral economist Joachim Goldberg expects only “rallies within the bear market” in the future, ie only interim price gains within the longer-term downward trend.

His reasoning: Both the “bears” that are betting on falling prices and the bulls that are expecting price gains have not separated from their commitments in the past few days. The profits with their purchased long and short products are apparently not enough for them. Apparently there have to be even larger price movements for one side or the other to sell.

Which naturally leads to the question: If the Dax has to drop below 8000 points, so that there are sustainable course gains again?

“Long-term capital inflows would be necessary for the Dax to get out of the worst,” says Goldberg. “And they only come when the conviction prevails that the corona pandemic has survived to some extent.”

Minus 26.23 percent, as much as they have lost the 30 DAX values ​​in the past 20 days, as of Wednesday. The analysts at Landesbank Helaba calculated this. They best dressed Beiersdorf-Titles with a minus of 5.93 percent from the affair. The biggest loss was in the papers of MTU accept with a minus of 50.17 percent.

Look at other asset classes

Oil prices are slipping significantly again on Thursday. The North Sea variety Brent falls by minus 1.3 percent $ 27.02 barrel, the US variety WTI even by 2.3 percent to $ 23.94. The prices of both varieties have already slipped by around 60 percent this year.

Given the rapidly shrinking demand and rising production, the outlook for oil prices remains negative. Estimated global oil demand will decline more than 14 million barrels a day in the second quarter, which should result in unprecedented inventory build-up.

Look at the individual values

Evotec: The shares lose 1.1 percent. The drug developer expects further strong organic growth in 2020. However, it is not yet possible to precisely quantify the effects of the corona crisis.

Deutz: In view of the corona pandemic, the engine manufacturer is suspending its forecast for the current year and shutting down large parts of its production from April 1, initially until April 17. The stock is down three percent.

SMA: In contrast, the shares of SMA Solar rose by 8.6 percent. Despite the corona pandemic, the solar technology group is sticking to its annual forecast and expects an increase in sales and profits.

ABN Amro: Strange but true. Gambling by a single customer in the United States has caused the Dutch bank a loss of $ 200 million. This will affect the results of the first quarter, said ABN Amro With. The customer had speculated with warrants and futures, the positions are now closed. Because many investors are probably wondering about the security of the trading systems, the share falls by 4.4 percent.

Pfeiffer Vacuum: The vacuum pump manufacturer has collected its annual targets because of the corona crisis. The forecasts for 2020 for sales growth, unchanged returns and investments in the order of magnitude between 40 and 60 million euros are invalid, according to the Management Board. He did not name new goals. The stock loses 2.8 percent.

Cewe: Because of the uncertainties associated with the coronavirus pandemic, the photo company has decided not to make a forecast. At the moment, the focus is on online orders and mailing. Nevertheless, the dividend is expected to rise for the eleventh time in succession, namely to EUR 2.00 per share from EUR 1.95 previously. The investors acknowledge this with a small minus of 0.3 percent.

What the chart technique says

Despite the price gains, the chart-technical picture does not yet give the all-clear. The Dax rose to 10,137 points on yesterday’s trading day. As a result, two resistances are gaining in importance: First, the downward price gap of March 12, which spans the range between 10,138 to 10,391 points, and the low of December 2018 with 10,279 points, the starting signal for the rally until mid-February 2020.

“This is the decisive hurdle in chart technology, skipping it would put the German standard values ​​on a fast recovery path,” say the technical analysts at Düsseldorfer Bank HSBC. Without a recapture, the coming trading days are likely to remain volatile.

Such downward price gaps arise when the daily low of the previous day is above the daily high of the subsequent trading day. The daily low of March 11 was 10,391 points, the high of the following trading day was 10,138 points. Such gaps are a quick re-evaluation of the market and therefore an important resistance according to chart technology.

On the underside, according to the HSBC, the Dax should return to crisis mode at prices below 9070 points.

Here is the page with the DAX course, here is the current tops & flops in the Dax. Current Short sales of investors can be found in our Short sales database.

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Dax closes 400 points in the red

Dusseldorf The descent of the Dax accelerated on Thursday. The leading German index closed the sixth consecutive trading day in the red and closed trading at a loss of 3.2 percent at 12,367 points. The daily low was even at 12,212 points, all 30 DAX values ​​were weaker from trading.

The price decline also continued on Wall Street, with the leading indices Dow Jones and S&P 500 each losing more than three percent in the first few hours of trading. Many Asian markets had already given in significantly earlier. Only not the indices on mainland China: The Hang Seng from Hong Kong as well as the Shanghai and Shenzhen Composite were all slightly up at the close of trade. Since the beginning of the week alone, market values ​​of around three trillion euros have been destroyed worldwide.

The reason for the sale is the corona virus. However, it is not the spread per se that is decisive for the markets, but the reaction of the politicians. The temporary paralysis of the Chinese economy was due to political decisions. Now there are fears that something similar could also happen in Europe – that here too the economy is being slowed down due to the restrictions imposed by the governments.

As a result, the classic “risk-off” scenario continued on the markets on Thursday. Stock market prices fell, as did bond yields and the oil price – the price of the US WTI dropped more than four percent to below $ 47. Instead, the three classic “safe havens” were bought: in addition to gold, the low-interest currencies Swiss Franc and Japanese Yen are also included.

Above all, the gold price is in Corona fever and rose by a further 0.8 percent to $ 1,652 per troy ounce. The price of the yellow precious metal reacted early to the epidemic. Many investors have entered the market, which can be seen from the record volume of exchange-traded index funds (ETFs). If there is a pandemic, higher gold prices are likely.

A look at the US bond markets shows how the global economy is doing. On the one hand, the yield on ten-year US Treasuries has been falling to new record lows for days, on Thursday today to 1.241 percent. And the negative yield spread between ten-year US government bonds and three-month government bonds, which was widely recognized as a harbinger of recession, was minus 18 basis points at the close of trading – a recession signal.

Usually, the interest rate always increases with the term, there is more return for longer-term bonds. After all, investors have to give up their money for longer – with all the risks. Experts call the current constellation an “inverse yield curve”.

An important indicator of the end of the sell-off could be the trading volume. Because according to the weekly Handelsblatt survey Dax-Sentiment, only a few investors expect Dax prices to rise in three months. So there are hardly any buyers who can ensure rising prices or at least stop the sell-off. So the Dax can only find a stop when there are only a few sellers left.

The trading volume on Thursday, however, shows 191 million shares traded and sales of 7.9 billion euros, a value similar to that of Monday this week. For comparison: in the past week, the highest turnover on a complete day was a maximum of 3.8 billion euros. No end of the correction can be derived from the current trading volume.

Behavioral economist Joachim Goldberg is also skeptical. After evaluating a similar investor survey by the Frankfurt Stock Exchange, he sees the market in a rather uncomfortable position. According to his survey, the number of optimists has risen again. But they are more interested in quick money than in the prospect of solid price gains.

That means: These optimists sell their papers quickly again. In addition, in his view, a tax pressure could come from international investors.

Look at the individual values

Travel Industry: For the sixth consecutive day, shares in airlines, hotels and travel providers went down. The corresponding European index lost 3.8 percent. The spread of the virus causes noticeable failures at airlines. With a minus of 6.1 percent, Lufthansa shares were the second largest loser in the Dax. The cruise industry with providers such as Tui is also likely to feel headwind because some ships have recently been quarantined. The Tui-Paper dropped 9.2 percent.

Bayer: The wave of glyphosate lawsuits against the company is waning somewhat. In daily business, however, things are going well. Continued in the fourth quarter Bavarian EUR 10.75 billion, an increase of almost four percent. But the share price is going down. The minus at the close of trading was 4.3 percent.

Aixtron: The chip supplier’s shares fell 5.1 percent. The global economic slowdown has caused the company to decline profits in 2019.

Dürr: The growing demand for technology for electromobility has boosted the business of the plant manufacturer. Order intake rose by 3.7 percent, exceeding the four billion euro mark for the first time. In 2020, the Executive Board is targeting sales of between 3.9 and 4.1 billion euros and an increase in the EBIT margin to 5.2 to 5.7 percent. These numbers caused Dürr’s share price to skyrocket by 4.8 percent.

Zalando: The online fashion retailer’s shares fell 8.8 percent. Zalando expects slower growth for the current year. Possible negative effects from the coronavirus epidemic are not included in the outlook, writes Thomas Mail, an analyst at DZ Bank. Business development could be affected by the epidemic if delivery delays occur.

Qiagen / Drägerwerk: The winners included the shares of the biotechnology company, which rose by 2.1 percent. Qiagen has delivered a newly developed corona virus test kit to several hospitals in China. The papers of the medical technology provider Drägerwerk also rose by 0.2 percent, after having been up to 4.7 percent at times. The company reported increasing demand for respirators.

Handelsblatt analyst check: Independent Research recommends selling shares of Pfeiffer Vacuum

The analyst house Independent Research lowered the price target for Pfeiffer Vacuum according to key data for the fourth quarter from 135 to 120 euros and left the classification on “sell”. In a study presented on Wednesday, analyst Markus Jost considered the disappointment that the operating margin (EBIT) should not improve significantly in the current year. He lowered earnings per share estimates this year and next.

Only two studies in the Handelsblatt analyst check deal with the Pfeiffer Vacuum share. Both recommend selling the stock.

Click here for the Handelsblatt analyst check.

Here is the page with the Dax Course, here is the current tops & flops in the Dax, current short sales of investors can be found in our Short sales database,

Corona virus: “Don’t panic and sell everything”

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Financial markets remain in panic mode – Dax slips more than 300 points

Dusseldorf Investors can forget the hope of a quieter trading on the Frankfurt Stock Exchange. Loses today Thursday the Dax in the midday trade 2.5 percent and slips to 12,454 points. The daily low is even 12,442 points, a drop of 333 points compared to the previous day’s close.

The leading German index showed resistance for the first time this week on Wednesday. After a fall of 412 points to 12,369 points, the loss at the end of the trade was only 0.1 percent, the closing level was 12,775 points. It was the fifth consecutive minus, the longest negative series since July.

Now the crucial question is: will yesterday’s low last? At prices below 12,369 points, further panic sales could occur. Many Asian markets are already giving way significantly.

But not the mainland indices: The Hang Seng from Hong Kong, the Shanghai and the Shenzen Composite were all up slightly at the close. The US futures contracts have so far indicated a significantly weaker opening on Wall Street. Dow Jones and S&P are therefore 1.4 percent down, the Nasdaq is 1.5 percent lower.

Germany reports 80,000 infected and 130 deaths – but we are not talking about the coronavirus, but the rather average flu season 2019/20 so far. This is shown by the weekly reports of the Robert Koch Institute. Something more relevant for the markets is something else: the reaction of the politicians to the virus development.

The temporary paralysis of the Chinese economy was due to political decisions. Now there are fears that something similar could also happen in Europe – in other words, that the economy will also be slowed down here due to the restrictions imposed by the governments. That’s why the markets react like that.

The classic “risk-off” scenario continues on the markets today. The prices on the stock markets are falling, the yields on bonds as well as the oil price. Three classic “safe havens” are bought. In addition to gold, the low-interest currencies Swiss Franc and the Japanese Yen are also included. The rise in the Swiss franc is only cautious, presumably because the central bank in the neighboring country has no interest in a stronger currency.

The gold price in particular is in Corona fever and continues to rise by 0.4 percent to $ 1,645. The price of the yellow precious metal reacted early to the epidemic. Many investors have entered the market, which can be seen from the record volume of exchange-traded index funds (ETFs). If there is a pandemic, higher gold prices are likely.

A look at the US bond markets shows how the global economy is doing. On the one hand, the yield on ten-year US Treasuries has been falling to new record lows for days, today at 1.2905 percent on Wednesday. And the much-noticed negative yield spread between ten-year US government bonds and three-month T-bills as a harbinger of recession was minus 18 basis points at yesterday’s close.

Usually, the interest rate always increases with the term, there is more return for longer-term bonds. After all, investors are getting rid of their money longer with the cross-country skiers – with all the risks. Experts call the current constellation an inverse interest curve.

The similarly prominent yield advantage of ten-year government bonds over two-year Treasuries has also fallen from around 35 to 13 basis points since the beginning of the year. The market is apparently even anticipating a recession in the US, although the economy there is currently providing robust data.

All of this, of course, is fueling speculation about rate cuts, especially in the United States. Because while interest rates can no longer be significantly reduced in the euro area, the US Federal Reserve still has room for improvement. That is why the dollar has weakened against the euro in the past few days. After a multi-year low of $ 1.077 in recent days, the single European currency is back at $ 1.09.

The military involvement of the Turks in neighboring civil war-torn Syria is adding to the country’s currency. In return, the dollar and euro exchange rates against the lira rose to their highest level in nine months. They rise to 6.1719 and 6.7565 lira.

Another trend can be observed for currencies. Of the emerging market currencies, the Russian ruble has lost more than others. This is not due to the monetary policy of the Russian central bank, but to the significantly weaker oil price, which continues to slide today.

The North Sea Brent dropped 1.3 percent to $ 52.76 a barrel (159 liters), the American WTI slipped 1.2 percent to $ 48.15. In comparison to the previous week’s closing, crude oil has become cheaper by around ten percent. An important indicator of the end of the sell-off could be the trading volume.

Because according to the weekly Handelsblatt survey Dax-Sentiment, only a few investors expect Dax prices to rise in three months. So there are hardly any buyers who can ensure rising prices or at least stop the sell-off. So the Dax can only find a stop when there are only fewer sellers.

Yesterday’s trading volume, however, with 163 million items traded and a turnover of 7.6 billion euros, shows a similar value as on Monday of this week. For comparison: in the past week, the highest turnover on a complete day was a maximum of 3.8 billion euros. No end of the correction can be derived from the current trading volume.

Behavioral economist Joachim Goldberg is also skeptical. After evaluating a similar investor survey by the Frankfurt Stock Exchange, he sees the market in a rather uncomfortable position. According to his survey, the number of optimists has risen again.

But they are more interested in quick money than in the prospect of solid price gains. Which means: These optimists sell their papers quickly again. In addition, he believes that international investors could face tax pressure.

Corona virus: “Don’t panic and sell everything”

Look at the individual values

Travel Industry: For the sixth consecutive day, shares in airlines, hotels and travel providers went down. The corresponding European index lost 3.8 percent. The spread of the virus causes noticeable failures at airlines. With a minus of 5.8 percent, Lufthansa shares were the biggest loser in the Dax. The cruise industry with providers such as Tui is also likely to feel headwind because some ships have recently been quarantined. The Tui papers dropped 6.2 percent.

Bayer: The wave of glyphosate lawsuits against the company is waning somewhat. In daily business, however, things are going well. Continued in the fourth quarter Bavarian EUR 10.75 billion, an increase of almost four percent. But the share price is going down. The minus is more than three percent.

Aixtron: The chip supplier’s shares fell 4.1 percent. The global economic slowdown has caused the company to decline profits in 2019.

Dürr: The growing demand for technology for electromobility has boosted the business of the plant manufacturer. Order intake rose by 3.7 percent, exceeding the four billion euro mark for the first time. In 2020, the Executive Board is targeting sales of between 3.9 and 4.1 billion euros and an increase in the EBIT margin to 5.2 to 5.7 percent. These figures cause the Dürr share price to skyrocket by five percent at times.

Zalando: The shares collapse by up to nine percent and are trading at EUR 40.38, the lowest level since mid-December. The online fashion retailer expects slower growth for the current year. Possible negative effects from the coronavirus epidemic are not included in the outlook, writes Thomas Mail, an analyst at DZ Bank. Business development could be affected by the epidemic if delivery delays occur.

Qiagen / Drägerwerk: The winners included the shares of the biotechnology company, which rose 4.4 percent at the top. Qiagen has delivered a newly developed corona virus test kit to several hospitals in China. The papers from the medical technology provider Drägerwerk also rose by up to 4.7 percent. The company reported increasing demand for respirators.

What the chart technique says

The list of broken support marks at the Dax is getting longer. Now the much-noticed 200-day line comes into focus. This line is listed at around 12,639 meters. It defines the long-term trend and therefore has a major impact on investors.

During the course of yesterday’s trading, the Dax slid significantly below this line, and was above it again at the end of trading. Will the scenario repeat itself today? Investors should not necessarily speculate on this.

The first important resistances are the areas around 13,300 points and the downward price gap, which ends at 13,500 points. Such downward price gaps arise when the daily low of the previous day is above the daily high of the subsequent trading day.

Specifically: last Friday the lowest price was 13,500 points, the highest price on Monday was 13,236 points. If the Dax could establish itself sustainably above 13,500 points, that would be an important technical improvement.

A so-called “Inside Day” could provide a first reassurance. For this, the prices must remain within yesterday’s trading range today. On Wednesday, this was between 12,368 points on the lower and 12,849 points on the upper side.

Handelsblatt analyst check: Independent Research recommends selling shares of Pfeiffer Vacuum

The analyst house Independent Research has lowered the price target for Pfeiffer Vacuum according to key data for the fourth quarter from 135 to 120 euros and left the classification on “Sell”. In a study published on Wednesday, analyst Markus Jost deemed it disappointing that the operating margin (EBIT) should not improve significantly in the current year. He lowered earnings per share estimates this year and next.

Only two studies in the Handelsblatt analyst check deal with the Pfeiffer Vacuum share. Both recommend selling the stock.

Click here for the Handelsblatt analyst check.

Here is the page with the Dax Course, here is the current tops & flops in the Dax, current short sales of investors can be found in our Short sales database,

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Financial markets remain in panic mode – Dax slips 300 points at the opening

Dusseldorf Investors can forget the hope of a quieter trading on the Frankfurt Stock Exchange. Loses today Thursday the Dax in the first hour of trading 2.1 percent and slipped to 12,507 points, 267 points less than the previous day. The daily low is 12,472 points.

The leading German index showed resistance for the first time this week on Wednesday. After a fall of 412 points to 12,369 points, the loss at the end of the trade was only 0.1 percent, the closing level was 12,775 points. It was the fifth consecutive minus, the longest negative series since July.

Now the crucial question is: will yesterday’s low last? At prices below 12,369 points, further panic sales could occur. The Asian markets are already falling significantly and the US futures contracts have so far indicated a significantly weaker opening on Wall Street. Dow Jones and S&P are therefore 1.4 percent down, the Nasdaq is 1.5 percent lower.

Germany reports 80,000 infected and 130 deaths – but we’re not talking about the coronavirus, but rather the flu season 2019/20, which has been rather average so far. This was shown in the weekly reports of the Robert Koch Institute. Something more relevant for the markets is something else: the reaction of the politicians to the virus development.

The temporary paralysis of the Chinese economy was due to political decisions. Now there are fears that something similar could also happen in Europe – in other words, that the economy will also be slowed down here due to the restrictions imposed by the governments. That’s why the markets react like that.

The classic “risk-off” scenario continues on the markets today. Prices on the stock markets are falling, as are yields on bonds. Gold is bought, oil prices fall. And the “safe havens” are sought for the foreign exchange, ie the low-interest currencies Swiss Franc and the Japanese Yen.

The gold price in particular is in Corona fever and continues to rise by 0.4 percent to $ 1,645. The price of the yellow precious metal reacted early to the epidemic. Many investors have entered the market, which can be seen from the record volume of exchange-traded index funds (ETFs). If there is a pandemic, higher gold prices are likely.

A look at the US bond markets shows how the global economy is doing. Firstly, yesterday the yield on ten-year US Treasuries temporarily fell to a new record low of 1.307 percent. And the much-noticed negative yield spread between ten-year US government bonds and three-month T-bills as a harbinger of recession was minus 18 basis points at yesterday’s close.

Usually, the interest rate always increases with the term, there is more return for longer bonds. After all, investors are rid of their money with cross-country skiers for longer – with all risks. Experts call the current constellation an inverse yield curve.

The similarly prominent yield advantage of ten-year government bonds over two-year Treasuries has also fallen from around 35 to 13 basis points since the beginning of the year. The market is apparently even anticipating a recession in the US, although the economy there is currently providing robust data.

All of this, of course, is fueling speculation about rate cuts, especially in the United States. Because while interest rates can no longer be significantly reduced in the euro area, the US Federal Reserve still has room for improvement. That is why the dollar has weakened against the euro in the past few days. After a multi-year low of $ 1.077 in recent days, the single European currency is back at $ 1.09.

The Chinese central bank has already announced further support for the economy to mitigate the virus consequences.

Another trend can be observed for currencies. Of the emerging market currencies, the Russian ruble has lost more than others. This is not related to the monetary policy of the US Federal Reserve, but to the much weaker oil price, which continues to slide today. The North Sea Brent dropped 1.3 percent to $ 52.76 a barrel (159 liters), the American WTI slipped 1.2 percent to $ 48.15.

Look at the individual values

Bayer: The wave of glyphosate lawsuits against the company is waning somewhat. In daily business, however, things are going well. Continued in the fourth quarter Bavarian EUR 10.75 billion, an increase of almost four percent. But the share price is going down. The minus is more than two percent.

Aixtron: The chip supplier’s shares fell 3.4 percent. The global economic slowdown has caused the company to decline profits in 2019.

Dürr: The growing demand for technology for electromobility has boosted the business of the plant manufacturer. Order intake rose by 3.7 percent, exceeding the four billion euro mark for the first time. In 2020, the Executive Board is targeting sales of between 3.9 and 4.1 billion euros and an increase in the EBIT margin to 5.2 to 5.7 percent. These figures make Dürr’s share price rise by 1.6 percent.

What the chart technique says

The list of broken support marks at the Dax is getting longer. Now the much-noticed 200-day line comes into focus. This line is listed at around 12,639 meters. It defines the long-term trend and therefore has a major impact on investors. During yesterday’s trading session, the Dax slid significantly below this line, and was over at the end of trading. Will the scenario repeat itself today? Investors should not necessarily speculate on this.

The first important resistances are the areas around 13,300 points and the downward price gap, which ends at 13,500 points. Such downward price gaps arise when the daily low of the previous day is above the daily high of the subsequent trading day. Specifically: last Friday the lowest price was 13,500 points, the highest price on Monday was 13,236 points. If the Dax could establish itself sustainably above 13,500 points, that would be an important technical improvement.

A so-called “Inside Day” could provide a first reassurance. For this, the prices must remain within yesterday’s trading range today. On Wednesday, this was between 12,368 points on the lower and 12,849 points on the upper side.

Handelsblatt analyst check: Independent Research recommends selling shares of Pfeiffer Vacuum

The analyst house Independent Research has lowered the price target for Pfeiffer Vacuum according to key data for the fourth quarter from 135 to 120 euros and left the classification on “Sell”. In a study published on Wednesday, analyst Markus Jost deemed it disappointing that the operating margin (EBIT) should not improve significantly in the current year. He lowered earnings per share estimates this year and next.

Only two studies in the Handelsblatt analyst check deal with the Pfeiffer Vacuum share. Both recommend selling the stock.

“When planning wealth, the rule is: never get out completely!”

Click here for the Handelsblatt analyst check.

Here is the page with the Dax Course, here is the current tops & flops in the Dax, current short sales of investors can be found in our Short sales database,

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