The DAX benchmark of the Frankfurt bourse moved lower on Wednesday as renewed fears of Fed’s tightening dampened sentiment. Hawkish comments from European Central Bank officials and the higher-than-expected inflation readings from the U.K dashed hopes of a dovish pivot by central banks.
The forty-scrip DAX index is currently trading at 15,853.55, down 0.18 percent on an overnight basis. The day’s trading has been within the range of 15,833.55 and 15,876.05.
Only 13 scrips in the 40-scrip index are trading in overnight positive territory.
Munchener Ruck and Hannover Ruck have gained more than 1 percent.
Zalando dropped 2.7 percent. Vonovia, Daimler Truck Holding, Sartorius, Siemens Energy, Continental, Volkswagen and Infineon Technologies have all declined more than 1 percent.
Expectations of a further tightening in monetary policy by the Fed caused the Dollar Index to rise by 0.18 percent to 101.93, dragging the EUR/USD pair 0.15 percent lower to 1.0955. The euro however found support from the ECB’s hawkish stance.
The ten-year bond yield has increased 2.06 percent to 2.5210%, versus 2.47% at the previous close.
Market Analysis
DAX Drops As Bets Of A Dovish Fed Dim
2023-04-19 09:23:09
