The Dax index slipped into the red area by midday on Monday, after a half-friendly start. By 12:35 pm, the index was calculated at around 20,360 points, which is a minus of 0.1% compared to the previous trading day. At the top of the price list, BASF, Mercedes-Benz, and BMW were showcasing their performances, while Rheinmetall, Vonovia, and SAP were at the bottom.
“By the start of the week, investors are focusing more on the cyclical underdogs and selling the leading performers, the Dax heavyweights like SAP, Deutsche Telekom, and Allianz,” said market expert Andreas Lipkow. This might not lead to a paradigm shift in investors’ behavior, but it’s not enough to keep the Dax hovering at record levels. The weightings of the winning stocks in the Dax are too low. “Trading volume is additionally declining and indicates a growing hesitance to buy at the current price level,” said Lipkow.
The European common currency was a bit stronger on Monday morning: one euro cost 1.0581 US dollars, and one dollar was equivalent to 0.9451 euros.
Meanwhile, the oil price rose significantly: a barrel of the Brent North Sea type was worth around 71.95 US dollars at 12 pm German time, which is 83 cents or 1.2% more than at the end of the previous trading day.