Dax on recovery course – US inflation data in focus

02/14/2018 – 10:25 am: With good economic data in its luggage, the German leading index can increase significantly in early trading. The German economy grew by 0.6 percent in the fourth quarter of 2017 compared with Q3, while domestic gross domestic product rose by 2.9 percent in relation to the same period of the previous year. On the other hand, domestic inflation weakened in January. The rise in German consumer prices came back slightly on average with a drop of 0.6 percent compared to December. However, investors are likely to look particularly at inflation figures from the other side of the Atlantic at midweek.

A higher than expected US inflation rate last month is likely to fuel interest rate fears once again. These, in turn, were the main triggers of the recent stock market correction. In addition, American retail sales are also on the agenda for January. These figures also have a significant impulse potential, as consumption represents a main pillar of the US economy. In the late morning, the focus will be on economic growth in Q4 and industrial production in December, both for the Euro-Zone.

The Dax currently stands at 12,290 points, 0.8 percent more solid. The Euro gains 0.1 percent to currently 1.2366 US Dollars. Gold currently offers the same premium at 1,331 US Dollars per troy ounce.




Important notes on this publication:

The content of this publication is for general information purposes only. In this context, it is neither an individual investment recommendation or advice nor an offer to purchase or sell securities or other financial products. The content in question and all the information contained therein do not in any way replace individual investor- or investment-oriented advice. No reliable forecast or indication for the future is possible with respect to any presentation or information on the present or past performance of the relevant underlying assets. All information and data presented in this publication are based on reliable sources. However, Bernstein Bank does not guarantee that the information and data contained in this publication is up-to-date, correct and complete. Securities traded on the financial markets are subject to price fluctuations. A contract for difference (CFD) is also a financial instrument with leverage effect. Against this backdrop, CFD trading involves a high risk up to the point of total loss and may not be suitable for all investors. Therefore, make sure that you have fully understood all the correlating risks. If necessary, ask for independent advice.