The Dax continued to slide into the red zone on Monday, following a weak start to the trading week and remained there until lunchtime. By around 12:30 pm, the leading index was calculated at around 21,145 points, 1.2 percent below the closing level of Friday.
Even the unexpectedly strong Ifo business climate index could not turn the tide. Siemens Energy shares, in particular, suffered a significant loss of over 20 percent, with the background likely being the emergence of competition from a new model for artificial intelligence (AI) in China.
“In the last trading weeks, German stocks were also somewhat undervalued in comparison to US companies”said market analyst Andreas Lipkow. “The current economic situation and its prospects were partly overlooked. If US stocks now enter a consolidation phase, this will not pass by the stocks of Dax companies unnoticed”he added.
The European common currency was stronger on Monday afternoon: one euro cost 1.0510 US dollars and one dollar was worth 0.9515 euros.