Stock Exchange: Siemens Energy share price rally, Dax hardly changed after price slide

Highlights: The Dax is up 0.2 percent to 14,715 points in early trading. The Eurozone benchmark index EuroStoxx 50 and the MDax were also little changed. The rise in interest rates and geopolitics pose the greatest threats to equity markets. Safe havens such as gold, which currently costs around $2000 per ounce, are in demand. The U.S. Federal Reserve will make its next interest rate decision on Wednesday. The digital currency Bitcoin was little changed at $34,000 at the beginning of the week.

The Dax is starting a stabilization attempt. Siemens Energy's share price is up by double digits again after its fall in the previous week.

Frankfurt Stock Exchange: The Dax is looking for support, the share of Siemens Energy is rising

Photo: Ralph Orlowski/ Getty Images

Investors remain nervous. In the still unsettled environment, the Dax is likely to stabilize on Monday morning. In early trading, the German benchmark index was up 0.2 percent to 14,715 points. However, the Dax is still hovering just above its 7-month low from March. The Eurozone benchmark index EuroStoxx 50 and the MDax were also little changed at the start of the week.

The rise in interest rates and geopolitics, with the Gaza war at its centre, continue to pose the greatest threats to equity markets. Safe havens such as gold, which currently costs around $2000,<> per ounce, are in demand. "Equities seem to be out at the moment. Terms such as uncertainty, doubt and fear are booming," wrote Landesbank Hessen-Thüringen (Helaba) in its weekly outlook.

Fed decision on Wednesday

On the corporate side, it is still quiet at the beginning of an eventful week with many quarterly reports, the decision of the US Federal Reserve on Wednesday and the US jobs report on Friday. On Monday afternoon, October inflation data will be reported from Germany.

Siemens Energy on the road to recovery

Siemens Energy recovered 17 percent in early trading compared to Friday's Xetra close. The crisis-stricken energy technology group wants billions in guarantees from the federal government, this news had caused the shares to plummet by more than a third on Thursday. Now, bargain hunters and short-term speculators see an entry and trading opportunity.

U.S. plaintiffs continue to cash in on Bayer

Bayer is under scrutiny after a negative court ruling in the U.S. on the weed killer glyphosate. However, the stocks have hardly reacted to Tradegate in pre-market trading so far.

In addition, some analyst recommendations caused movement. Jenoptik gained around 3 percent after a buy recommendation from investment house Stifel. UBS changed its rating to "sell" for the shares of the automotive and industrial supplier Schaeffler, the shares lost around 1 percent.

United States

Wall Street closed mixed on Friday after a flurry of corporate balance sheets. Optimistic forecasts from Intel and Amazon supported the tech-heavy Nasdaq, which was able to save itself with a slight gain into the weekend. The Dow Jones index of standard stocks closed 1.1 percent lower at 32,417 points. The technology-heavy Nasdaq, on the other hand, advanced 0.4 percent to 12,643 points.

The U.S. Federal Reserve will make its next interest rate decision on Wednesday. The market expects the interest rate pause to continue. "There are a lot of signs that disinflation is really starting across the economy," David Russell, market strategist at TradeStation, said of the numbers.

Bitcoin hardly changed

The digital currency Bitcoin was little changed at $34,000 at the beginning of the week. In November 2022, the currency had plummeted from over $21,000 to around $16,000 in the wake of the collapse of crypto exchange FTX. A year earlier, Bitcoin reached a record high of $69,000.

Oil prices fall again after rally

After the recent oil price rally, the quotations for Brent and WTI are falling at the beginning of the week. The prices for North Sea oil Brent and US OIL WTI each lost around two percent at their peak to 88.77 and 83.71 dollars per barrel, respectively.

Fears of an escalation of the conflict between Israel and Hamas had driven oil prices up a good three percent on Friday. At the end of the week, Israel announced that it would expand the deployment of ground troops in the Gaza Strip.

With news agencies