Monday, December 5, 2016

Stock exchange Dax has risen despite Italy – Hope on the flood of money the ECB

The Dax has risen despite the government crisis in Italy. Investors are betting that ECB chief Mario Draghi extended the bond-buying program and the markets with money floods in.

The German benchmark index, the Dax stock exchange will show Chart is started on Monday, despite the government crisis in Italy, with distinct gains in trade. After the Failure of his constitutional reform of the Italian Prime Minister Matteo Renzi has announced his resignation. In early trading, the Dax-listed stock exchanges Chart show on Monday 1.5 per cent strength, and climbed over the mark of 10,600 points.

the Index gaining after the failed Referendum in Italy, is due to the fact that many market participants are now on a flood of money the ECB. Because of the government crisis in Italy, the Central Bank will lead its bond purchases in each case to continue, and possibly expand, in order to prevent a resurgence of the debt crisis, so the calculation on the exchange. Even after the Brexit vote of the British people, the British FTSE Index rose, as investors continued to cash injection the Bank of England.

Also in the currency markets, the expected earthquake has remained: The Euro exchange Chart show gave way, but was able to recover and the losses on Monday morning with less than one percent.

see also: Euro-twilight as an investment opportunity

Despite the rising stock exchanges: New blow for the EU

However, the Failure of Renzi’s is the Yes of the British to the outlet of a EU-a new blow to the European Union. Because in Italy, the Euro now looks critical Five-star movement back wind and called for new elections. Ralf circulation by Helaba, not from the castle in the Morning due to the Bank problems and the weak economy and the debt problem of the country is now a new Euro crisis.

ECB Meeting on Thursday

Brexit, Trump-election, government crisis in Italy: The conclusion of a turbulent stock market year, investors are longing for a balm for their troubled souls. This will deliver according to experts, the European Central Bank (ECB), when they proclaimed in the new week for the continuation of their securities purchase programme. “Draghi extended the therapy,” says Commerzbank economist Michael Schubert.

ECB chief Mario Draghi will announce on Thursday that the so-called Quantitative Easing (QE), which will so far run until “at least March 2017″, a further six months to run. The volume of monthly 80 billion Euro is expected to remain unchanged.

Bank stocks under pressure

the European Central Bank is already in the view, will announce this Thursday its interest rate decision. It is likely to be once more the task of the ECB to stabilise the Euro area, “although this is a political order, and none for a Central Bank,” wrote Dirk Gojny from the National Bank. Probably will give it now from the ECB-Tower “the mission, Italian government bonds to buy, even more than usual,” so Gojny.

While on the economic side, on Monday, purchasing managers ‘ indices from Europe and the USA dominate in the services sector, the economic agenda, is likely to remain on the corporate side, in particular the banking sector, according to the Italy’s Referendum in the focus. Prior to the last weekend of the political uncertainty had weighed on the financial sector in Europe and in this country.

Now follow elections in France, Holland and Germany

The measure of the ECB, stock markets, according to the Foundation for a recovery of the Dax stock exchange will show Chart , the lost of the old week, around 2 per cent, per cent, on 10.513 points. “It is to be hoped that the Referendum in Italy was just an excuse for the week-long restraint,” said Jochen Stanzl, an Analyst of the Online broker CMC Markets. “In the long term, the vote in Italy is just one of many lurking factors of uncertainty in the politics of the Euro-Zone. The elections in France, the Netherlands and also in Germany, throwing a long shadow on the stock market.”

Many economic data from around the world

The new week on the economic side of the mood indicators. So the Barometer for the mood of purchasing managers in the Chinese, German, European and US-American companies on Monday to the schedule. On Friday, the University of Michigan, as determined on the Index of US consumer confidence. The private consumption is regarded as a mainstay of the world’s largest economy.

On Wall Street in the past week for the Dow-Jones -Index with a Plus of 0.1 percent for the S&P 500 to a decline of one percent. The Nasdaq Composite suffered in the week compared with a discount of 2.65 percent.

notes on the European growth prospects, deliver the Numbers to the local retail sales (Monday). The attention the Pay to the order of the inputs (Tuesday) and industrial production (Wednesday) in Germany, would pursue investors in addition, a broker said. Now will show whether the good mood of the German company in hard Numbers suggest. “We assume that the Start of the fourth quarter was quite decent.”

constitutional court decides on nuclear phase-out – action by the provider

On the corporate side back on, RWE and E. ON into the spotlight. On Tuesday, the Federal constitutional court decides to exit via the multi-billion dollar claims of the supplier against the atom. The groups see the decision of the Federal government as expropriation and want a compensation, which could amount to up to a total of 19 billion euros.

Dax Realtime: Here you can see the Dax and the Dow in real-time



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