👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

DAX index stumbles amid recession concerns and ECB rate hikes

EditorRachael Rajan
Published 09/29/2023, 03:00 AM
© Pavlo Gonchar / SOPA Images/Sipa via Reuters Connect
US500
-
DJI
-
DE40
-
SIEGn
-
DBKGn
-
IXIC
-
ENR1n
-
DTGGe
-

The DAX index experienced a 0.25% drop on Wednesday, September 27, 2023, following a 0.97% decline the previous day, as investors grappled with concerns of a potential recession and the impact of the European Central Bank's (ECB) higher rates. The ECB's elevated rates contributed to an 11.9% overnight deposit slump, adding to the market's unease.

Investors are closely watching the German inflation data, hoping that softer figures could ease the pressures from the ECB. Despite initial optimism stemming from China's industrial profits, Germany's low consumer confidence has cast a shadow over the market sentiment.

On the corporate front, Siemens AG (OTC:SIEGY), Siemens Energy AG, and Deutsche Bank saw gains, while Daimler (OTC:MBGAF) Trucking experienced a dip in its share price. The market is also keeping a keen eye on upcoming US jobless claims data, which is deemed significant for global economic health.

Meanwhile, in the United States, both the NASDAQ Composite Index and S&P 500 registered minor gains on Wednesday. However, the Dow Jones Industrial Average ended the day with a slight decline. These movements reflect broader global economic trends and uncertainties that continue to influence investor sentiment across markets.

The interplay between economic indicators such as inflation data and jobless claims, alongside corporate performances and central bank policies, continues to shape market dynamics. As investors navigate these complex factors, fluctuations in major indices like the DAX provide valuable insights into the evolving economic landscape.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.