Enlarge image
Course slide continues:
The Dax remains under pressure
Photo: Frank Rumpenhorst / picture alliance / dpa
The Dax continued its slide on Tuesday.
The leading German index increased its losses to more than 2 percent in the afternoon and fell below the 12,500 mark.
The Dax is thus at its lowest level in a year.
In the USA, too, US futures are pointing to further losses after the long weekend.
The
MDax
for medium-sized stocks also lost around 2 percent.
The leading eurozone index, the EuroStoxx 50, fell by 0.7 percent.
Positive data from China failed to brighten the mood on the German stock market in the long term.
According to a survey, China's service sector has grown at its fastest rate in almost a year.
"China enjoys cheap Russian and Iranian oil imports.
Euro in free fall and close to dollar parity
Concerns about the economy have caused the euro to fall to its lowest value against the dollar in almost 20 years.
The common currency fell more than 1 percent to $1.0296.
"It will remain very difficult for the euro to recover in any meaningful way as the energy picture deteriorates and risks to economic growth increase significantly," said MUFG analyst Derek Halpenny.
Defense company Rheinmetall loses double digits
A negative analyst comment on the forthcoming quarterly results sends Rheinmetall into a tailspin.
The shares of the auto supplier and armaments group headed for the largest daily loss in more than 13 years with a minus of almost eleven percent.
Analyst Christoph Laskawi from Deutsche Bank expects a result at the lower end of expectations.
Only the armaments division has probably developed above average.
In order to achieve the full-year targets, a recovery in incoming orders is necessary in the coming months.
"We remain in 'sell the rally' rather than 'buy the dip' mode and continue to focus on active hedging strategies," said a strategy study by analyst Jonathan Stubbs of Berenberg Bank.
In his view, the stock markets have so far only priced in an economic slowdown, but not yet a recession.
The latter is now the base scenario of the Berenberg economists for 2023.
Fear of the gas stop - MTU and Continental under pressure
Investors fear that the key interest rate hikes by major central banks in the fight against sharp price increases could trigger a recession.
In addition, especially in Germany, there is a risk of a complete lack of natural gas supplies from Russia.
In the Dax, shares in economically sensitive companies in particular came under pressure.
The share certificates of the engine manufacturer MTU lost around four percent at the end of the index.
The papers of the automotive supplier and tire manufacturer Continental fell by almost three percent.
Uniper shares continued to attract attention in the MDax.
After the papers had collapsed by more than 27 percent on Monday, they initially recovered on Tuesday before turning negative and recently losing almost two percent.
The energy company, which got into trouble due to falling gas flows from Russia, can hope for state aid.
Dow and Nasdaq are likely to start with losses after a long weekend
There was no trading on the US stock markets on Monday due to Independence Day.
On Friday, US stocks closed with significant gains after a changeable course.
On the last trading day before the long weekend, the leading index Dow Jones Industrial ultimately managed a plus of 1.05 percent to 31,097.26 points.
On a weekly basis, that was still a loss of 1.3 percent.
Tesla under pressure
Tesla shares are down one percent ahead of the start of US trading after a long weekend.
The US electric car manufacturer recently felt the effects of the corona lockdown in China and delivered almost 18 percent fewer vehicles.
In addition, Tesla is struggling with a recall order from Germany for its Model Y and Model 3 vehicles due to a software malfunction.
No clear direction in Asia
Stock exchanges in Asia took different directions at the start of trading on Tuesday.
Upbeat economic data and signs of easing tensions between China and the US mitigated some of the recent sell-offs, although ongoing worries of a global recession and high inflation kept most buyers at bay.
US Treasury Secretary
Janet Yellen
and Chinese Vice Premier
Liu He
agreed in a phone call to continue an "open and substantive" dialogue.
US President Biden is currently considering easing US tariffs on China, which his predecessor
Donald Trump
had enacted, in order to curb high inflation.
"Market participants are still assessing the implications of the tug-of-war between persistently high inflation and signs of a potential recession in the US," said Saxo Markets' Redmond Wong.
Bitcoin attempts comeback
The world's best-known digital currency Bitcoin recently managed a small rebound after the dry spell.
Bitcoin is up more than 6 percent in the past 24 hours, according to platform Coinmarketcap.
It was last listed at $ 20,369.
Oil prices are increasing
Oil prices rose on Tuesday.
In the morning, a barrel (159 liters) of North Sea Brent cost US$ 113.74.
That was 24 cents more than the day before.
The price of a barrel of the US West Texas Intermediate (WTI) variety rose by $1.98 to $110.47.
The WTI price comparison relates to Friday, as there was no settlement on Monday due to a public holiday in the USA.
The recession worries that have dominated recently have receded somewhat into the background over the past few days.
Hopes that China will relax its strict corona policy are supporting the market somewhat, traders said.
How the Chinese will proceed is difficult to predict.
China is the world's largest crude oil importer.
Recently, however, concerns about the development of the global economy have weighed on oil prices.
High inflation and interest rate hikes by important central banks are likely to dampen economic development and thus demand for crude oil.
Oil prices have therefore tended to fall in recent weeks - albeit from a high level.
Prices have risen by around 40 percent since the beginning of the year.
The main reason is Russia's war against Ukraine.
With news agencies
