Stock exchange in Frankfurt: Next DAX record in central bank week

The Dax did not let up on its record rally on Monday.

Stock exchange in Frankfurt: Next DAX record in central bank week

The Dax did not let up on its record rally on Monday. After subdued morning trading, a moderate plus was enough to raise the record by a few points. For the first time, the leading German index temporarily managed to exceed the 16,800 point mark. US stock markets that have recently been trending in a positive direction contributed some tailwind.

After trading, the DAX was 0.21 percent higher at 16,794.43 points. He increased his annual increase to 20.6 percent. He has the best annual balance sheet since the pre-Corona year of 2019. The MDax, which will only increase by around six percent in 2023, lagged behind on Monday. With a discount of 0.26 percent to 26,622.25 points, it was unable to keep up with the environment.

Hopes of interest rate cuts soon continued to be a driver for the stock market. According to market observer Craig Erlam from broker Oanda, the course will be set in the coming days for how the year ends and the next one begins. According to the expert, attention is focused on interest rate decisions, including in particular that of the US Federal Reserve on Wednesday with hoped-for statements on the monetary policy course. The latest US consumer price data on Tuesday is already important.

On the corporate side, the drug researcher Morphosys was the focus. The shares once again set off fireworks after new study details on the promising drug Pelabresib. A price jump of almost 35 percent was enough for the highest level since January 2022.

There were movements in the Dax that will be the biggest losers so far in 2023. However, the gap widened: in the health sector, the recovery at Sartorius, the DAX leader, continued by 2.9 percent.

The situation was different for Bayer, Siemens Energy and Zalando, with losses of between 1.3 and 2.5 percent: These three stocks have lost more than a third of their value so far this year. It was said on the market that professional investors were increasingly separating themselves from the losers in order to avoid having to show them in their portfolios in the annual balance sheet.

Outside the important indices, Uniper shares were in high demand with an increase of 12.5 percent. On Friday after the stock market closed, the nationalized energy company announced that it would at least theoretically be able to pay a dividend again from 2024. This would make the company more attractive again for future investors. An extraordinary general meeting had decided on the necessary capital measures.

The euro was trading at $1.0746. The European Central Bank had meanwhile set the reference rate at 1.0757 (Friday: 1.0777) dollars.

On the bond market, the current yield rose from 2.25 percent to 2.28 percent. The Rex bond index rose by 0.02 percent to 126.51 points. The Bund future fell by just 0.05 percent to 134.60 points.