Strong start to the week for the DAX
A perfect start to the week for investors in the DAX. On Monday, the leading German index climbed by 1.2 per cent against all odds and closed at a strong 19,448 points. However, these are not the very best conditions for today, Tuesday, as there were already signs of potentially corrective behaviour on the stock markets after trading hours yesterday. The instability could be triggered by the US markets, as they are slowly having to pay tribute to their strong rise in recent days and momentum is increasingly dwindling towards the north. The markets are still a long way from a reversal, but the possible corrective nature following the Trump rally can also be felt on the US markets. The European equity markets could react more strongly to such a correction, as they are relatively weak compared to the US markets.
Continental with a relief rally
However, this was not the case for Continental yesterday. The shares of the automotive supplier shot up 10.6 per cent to the top of the DAX. Continental managed to really surprise the financial market with better results. The share attracted strong buying interest, so that important resistance levels were also overcome with the jump in the share price. The share closed at 62.50 euros, opening considerable potential with the rise. The high for the year from January is EUR 78.20 and thus 25% higher. If this trend continues, this represents considerable potential. Daimler Truck Holding shares again had difficulties, bringing up the rear of the DAX list with a fall of 1.1 per cent, as did Porsche shares, which were also sold off again and were unable to make up for their loss at the end of the day.
Gold continues to show strong downward momentum
A look at the precious metals confirms what we already suspected and shows that gold has now entered a correction. The sell-off following the US elections continued yesterday, Monday, after a brief pause. The gold price fell by 2.8 per cent and the troy ounce traded at USD 2,617 at the close of trading. The gold market continues to show strong downward momentum, so there is further downside potential in the short term.
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