Monday, January 4th, 2021
Update
Damper at the start of the year
Wall Street rescues itself from the slide
Both the Dax and the Dow Jones start the new stock market year with records. But then the prices plummet again. On the German markets, the indices save a slight plus in the target, on Wall Street they collapse. Tesla, among others, can disconnect from the trend in the USA.
The US stock markets started the new stock market year with a damper. After setting new records right at the start of trading in the Dow Jones and S&P 500, prices plummeted, but thanks to a final spurt were at least able to recover from the daily lows. The Dow Jones finally lost 1.3 percent to 30,223 points. In the day's high it had reached 30,674, in the day's low it had dropped to 29,881. The S&P 500 lost 1.5 percent that Nasdaq composite also. Bonds failed to benefit from their safe haven reputation, partly because of speculation about higher US debt. They tended to change little.
In retail there was talk of profit-taking after the most recent record hunt, but also of concerns about the raging corona pandemic and the spread of the even more contagious virus mutation that has emerged in Great Britain. A tough lockdown was therefore imposed on England from Wednesday.
In addition, some actors turned their gaze to politics, specifically the uncertainty before the runoff elections in Georgia. Should the Democratic candidates win the senatorial seats, control of the US Senate would go to the Democrats and the likelihood of a new stimulus package would increase; but at the same time there is also the risk of higher taxes and more regulation, for example in the oil sector.
Tesla, Moderna and Biontech are growing
Ranked at the very end of the Dow Coke with losses of 3.8 percent and the heavyweight Boeing with a loss of 5.3 percent. Coca-Cola was downgraded from “Outperform” to “Sectorperform” by RBC analysts. At Boeing, the analysts at Bernstein are concerned about claims for damages, should the long-haul Boeing 787 be delivered in the second half of the year due to quality checks on already completed copies.
Was able to disconnect from the trend Tesla. Vehicle sales in 2020 that were above expectations drove the share up 3.4 percent to $ 731. In mid-March the papers were still available for $ 70. Not all experts trust the development. The analysts at JPMorgan raised their target price on Monday, but at $ 105 it is hundreds of dollars below the current price. On average, Wall Street analysts have a target price of just under $ 425 for Tesla.
For the stocks of vaccine manufacturers Moderna it went up 6.9 percent. The competitor's share also showed a recovery Biontech. She improved 5.2 percent while the vaccine partner's paper Pfizer closed unchanged.
The cryptocurrency market rose Bitcoin initially to a record high of $ 33,867.50. Profit-taking then pushed the price down to $ 27,700. In the evening, the oldest and most important cyber currency was 7.5 percent up at $ 31,440. "Overall, the mood remains positive," said Naeem Aslam, chief market analyst at brokerage firm AvaTrade.
Delivery Hero convinces in the Dax
In contrast to the American draft horses, the most important German indices started the new year with records. The Dax climbed a further record at a good 13,907 points before the stock market barometer was temporarily pushed into the red by profit-taking. In the end, the Dax managed a mini plus of 0.06 percent to 13,726 points. The SDax small cap index and the MDax for medium-sized stocks also reached highs. At the close of trading, the MDax but only by 0.50 percent to 30,950 points and the SDax by 0.58 percent to 14,850 points.
In general, the mood on the stock market remains good, although investors made good money in many places. The investors continue to rely on the vaccines against the coronavirus, a recovery in the economy and the permanent support of the central banks. "Investors continue to see the economic recovery as intact, and that seems to be sufficient for the moment," wrote market analyst Jochen Stanzl from trading house CMC Markets.
With the food deliverer Delivery Hero At the start of the new year, the top value of the previous year was again number one in the Dax with a record high and an increase of 7.5 percent. The group has been benefiting from the corona crisis for months: restaurants are closed due to the lockdowns, and where they are open, many people no longer dare to go into restaurants for fear of corona infection. This trend is fueling the business of the company, which only moved up into the top German stock exchange league in August for the payment processor Wirecard, which went bankrupt after a balance sheet scandal.
Top values in MDax and SDax
With a premium of almost 9 percent, shares at the top of the MDax benefited from K + S from an optimistic study by the US bank Citigroup on the fertilizer market. The papers of United Internet recovered further from the price slump in September and gained 4.5 percent. In a study, analyst Jonas Blum from Warburg Research said he was positive about the offer from Morgan Stanley Infrastructure Partners for United's investment in Tele Columbus. Blum believes in a value-adding effect.
With a jump to a record high, the papers of Encavis the investors. The operator of solar parks and wind turbines is seen as benefiting from the climate change. The shares secured first place in the index with an increase of a good nine percent.
Also the EuroStoxx 50 had to give up in late trading and only moved 0.33 percent to 3564 points in the end. The French Cac 40 won 0.68 percent and the British FTSE 100 gained 1.72 percent in view of strong raw material values.
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