The German stock market broke off its recovery on Tuesday and turned negative.

The turnaround was caused by inflation data from the USA, which was taken as a sign of further significant interest rate hikes by the US Federal Reserve.

Higher interest rates make fixed income securities like bonds more attractive than stocks.

The leading index, the Dax, fell by up to 1.7 percent to 13,228 points after being up 1.2 percent immediately before the US data.

The M-Dax of medium-sized values ​​lost 2.07 percent to 25,644 points.

The leading euro zone index, the Euro Stoxx 50, fell by 0.9 percent.

At the beginning of the week, falling gas prices had provided some tailwind.

In the US, the momentum of price increases slowed down less than expected in August.

The annual inflation rate weakened to 8.3 percent.

Economists had expected inflation to fall, but had on average assumed a low rate of 8.1 percent.

Compared to the previous month, consumer prices rose by 0.1 percent in August.

A decline of 0.1 percent had been expected here.

Among the weakest values ​​in the Dax, the papers of the online retailer Zalando buckled by around five percent.

Among other things, they suffered from the fact that the British online grocer Ocado had lowered its outlook again.

Its shares recently fell by 13 percent in London.

In addition, there is the prospect of further increases in interest rates, which usually weighs heavily on technology stocks, which are heavily dependent on the economy.

The shares in the recipe box mailer Hellofresh also fell by more than five percent at the end of the Dax.

Sartorius shares, on the other hand, rose moderately to EUR 439.90.

The analyst Delphine Le Louet from Société Générale slightly increased the price target for the pharmaceutical supplier to 577 euros.

The expert expects a real growth spurt in the coming year.

According to insiders, the pharmaceutical and agrochemical group Bayer began looking for a successor for CEO Werner Baumann.

However, it is not clear whether Baumann should be replaced before the end of his contract in April 2024, the Bloomberg news agency wrote, citing people familiar with the matter.

Baumann had already emphasized some time ago that he did not want to extend his contract.

A company spokesman declined to comment on the report.

Bayer is probably looking for a new boss

Bayer shares rose on the news and were recently up half a percent.

Many investors continue to blame Baumann for taking over the US seed group Monsanto, for which Bayer has already had to pay many billions in connection with legal disputes that have not yet been concluded.

At the top of the M-Dax, Encavis shares rose by around three percent.

The rating agency Scope had confirmed that the probability of default of the solar and wind park operator's bonds was low.

In addition, the outlook was raised from “stable” to “positive”.

The reasons for this are the significant strengthening of the credit ratios and the gradually improving geographical diversification of the product portfolio.

The euro suffered from the prospect of a further tightening of the US Federal Reserve's stance and most recently cost 1.0029 US dollars.

The European Central Bank set the reference rate at 1.0155 (Friday: 1.0049) dollars on Monday.

The dollar thus cost 0.9847 (0.9951) euros.

On the bond market, the current yield continued to fall, falling from 1.58 percent the previous day to 1.55 percent.

The Rex pension index rose by 0.21 percent to 131.25 points.

The Bund future lost 0.55 percent to 143.26 points.