Gains on the Frankfurt Stock Exchange: The Dax extends its gains on Tuesday
Photo: Frank Rumpenhorst / picture-alliance/ dpa
Hopes of an economic recovery in China and slightly falling capital market interest rates drove the recovery of the German stock market on Tuesday. The leading index Dax recently gained 0.8 percent to 15,920 points. The MDax of medium-sized stocks rose by 0.4 percent to 27,388 points. The EuroStoxx 50, the leading index for the eurozone, was slightly up. The US indices Dow Jones and Nasdaq also turned positive on Tuesday after a subdued start.
In the afternoon, the jump in the price of the cryptocurrency Bitcoin, which climbed above the $27,000 mark, attracted particular attention. A U.S. court has cleared the way for a Bitcoin ETF: The U.S. Securities and Exchange Commission (SEC) had previously vetoed the planned launch of such an ETF, and the provider Grayscale had then gone to court. In its ruling, the U.S. Federal Court has now ruled in favor of the provider Grayscale.
Shares of the Adler Group continue to slide
Among the individual stocks, analyst comments in particular caused movement. Compugroup's shares, for example, lost 2.3 percent. The U.S. bank Jefferies canceled the buy recommendation for the healthcare software developer.
Shares of the solar and wind farm operator Encavis rose by 2.7 percent, here Jefferies had advised to buy. A buy recommendation from Goldman Sachs for Grand City Properties even drove the shares of the real estate group up by 5.5 percent.
In the first half of the year, the ailing real estate investor Adler Group had to write down the value of its portfolio by around one billion euros and is thus slipping deep into the red. The write-downs carried out led to a valuation of the entire portfolio of EUR 6.4 billion (year-end 2022: EUR 7.4 billion). The stock is now just a penny stock and has lost more than 12 percent of its value in the past 90 months.
U.S. stock markets rise after jobs report
After a friendly start to the week, the Dow Jones and Nasdaq continued to gain in the first hour of trading. The Dow Jones index of standard stocks was recently 0.4 percent firmer, and the Nasdaq 100 technology exchange also turned green.
Investors were reacting to the monthly "JOLTS" report on job openings in the U.S. with the purchases. The number of job vacancies fell more than expected in July. This is seen as a sign that the US Federal Reserve could refrain from further interest rate hikes in order not to weigh on the US economy.
Among the individual stocks, Pinduoduo's US-listed shares rose by around 16 percent. The Chinese e-commerce platform increased its sales more significantly than expected in the second quarter.
Recovery on Asian stock markets
Hopes of further stimulus measures by China's government continued to drive the recovery of Asian stock markets on Tuesday. The CSI 300, which tracks the share prices of the largest companies on the Shanghai and Shenzhen stock exchanges, was up about one percent in late trading. Japan's Nikkei 225 gained 0.3 percent shortly before the end of trading.
Bitcoin jumps above $27,000 mark
The digital currency Bitcoin gained almost 8 percent in the afternoon and was last quoted at 27,200 US dollars. In November 2022, the currency had plummeted from over $21,000 to around $16,000 amid the collapse of crypto exchange FTX. A year earlier, Bitcoin reached a record high of $69,000.
Reason for the price jump: A U.S. court has cleared the way for a Bitcoin ETF: The U.S. Securities and Exchange Commission (SEC) had previously vetoed the planned launch of such an ETF, and the provider Grayscale had then gone to court. In its ruling, the U.S. Federal Court has now ruled in favor of the provider Grayscale. In the crypto industry, this is seen as a big step towards popularizing crypto money investments.
Oil prices barely move
Oil prices initially barely budged in early trading on Tuesday. A barrel (159 liters) of North Sea Brent crude for delivery in October cost $84.38 in the morning. That was four cents less than the day before. The price of a barrel of American West Texas Intermediate (WTI) also fell slightly by eight cents to $80.02.
The impetus for trade has been limited since the beginning of the week. The weak economy of China, which is one of the largest oil-consuming countries in the world, is a major burden. The People's Republic is suffering from a large number of economic and structural burdens, including the crisis-ridden real estate market.
On the other hand, support is provided by the scarce supply of crude oil from major producing countries such as Saudi Arabia or Russia. The suppliers are thus bracing themselves against what they consider to be too low oil prices. In addition, the US dollar has recently been somewhat weaker, which makes crude oil cheaper for buyers from other currency areas due to exchange rate effects.
With news agencies