FRANKFURT (dpa-AFX) - Ahead of the eagerly awaited quarterly figures from AI group Nvidia, investors remain defensive on the DAX. On Wednesday morning, around two and a half hours before the start of trading on Xetra, broker IG valued the leading German index at 23,114 points, down 0.3 percent.
On Tuesday afternoon, the DAX had already fallen to 23,085 points at times. Ultimately, however, it narrowly managed to hold on to its exponential 200-day moving average. A new test is now looming. The line is widely regarded as an indicator of the long-term trend. The DAX had already fallen below the simply calculated 200-day line the day before – for the first time since the sharp interim correction in April.
The mood on the stock market has deteriorated rapidly recently. Just a week ago, it looked as if the DAX was heading back to its October record of 24,771 points. The Dow Jones Industrial Average was already approaching a high. Suddenly, however, interest rate concerns dominated the mood.
Doubts about whether the US Federal Reserve would cut interest rates again in December prompted investors to take profits on stocks and buy bonds. The Bund future, which reflects a fictitious 10-year German government bond, has now broken its correction trend since June.
The quarterly report from AI giant Nvidia late in the evening German time will likely have a huge impact on the future trend of the stock market. On the one hand, because growth stocks are particularly sensitive to interest rates. And on the other hand, because the profitability and stock valuations of the booming artificial intelligence sector have recently been increasingly called into question./ag/zb
