The German stock market has lost some momentum at the weekend after a good start to September. Investors were worried about the future monetary policy of Fed, a new nuclear test in North Korea, and damages caused by Hurricane Irma. The major indexes still reported slight gains for the week. The Dax went down to 12,304 points following a 0.06 percent drop. The Dax closed the week 1.3 percent higher.
The MDax of the 50 medium-sized stocks closed 0.38 percent higher on Friday to 24,904.48 points. The technology value index TecDax fell by 0.24 percent to 2331.14 counts. On the previous day the index had climbed to its highest level for more than 16 years.
The Eurozone lead index EuroStoxx 50 closed at 3447.69 points. In London, the lead index FTSE fell by 0.26 percent to 7377.60 points, while the CAC 40 in Paris declined 0.02 percent.
The shares of Commerzbank and Deutsche Bank were among the Dax winners with a gain of 1.5 and 0.6 percent, respectively. ThyssenKrupp’s shares climbed higher on hopes for a rapid growth in the merger with Tata Steel.
Positive August sales figures in the auto industry have left the strong euro in a state of fright, thereby giving the three most important German automaker a strong price gain. This development was led by Daimler, where sales of the Mercedes-Benz marketed segment rose by 9% year-over-year to 170,341. Taking into account the small car brand Smart, there was an increase of 8.6 per cent to 178,052 cars. Since the start of 2017, Daimler record gains of 11.7 percent and China once again proved to be the strongest driving force in August.
BMW also grabbed headlines with news that by 2025 its target is to develop 25 electrified models, of which twelve will be fully electric. The announcement comes ahead of the upcoming IAA, the world’s largest automobile fair.
ECB boss Mario Draghi stressed that he has observed the increase in the euro since the beginning of the year, about 14 percent. In October, the monetary authorities want to decide how to proceed with the ECB’s controversial borrowing program. Experts expect the ECB to announce the phasing out of the program. European companies are worried about a strong euro, as their goods become more expensive in world trade and they become less competitive.