The DAX opened lower as a global technology-led selloff weighed on equities and left risk sentiment fragile ahead of key economic data and US central bank commentary. Overnight Wall Street declines were driven by technology shares and investor caution ahead of FOMC minutes and the Jackson Hole Symposium. The selloff reflected worries about overextended valuations and profit-taking after rapid gains. A pullback in defense stocks, including Rheinmetall, followed signs of easing tensions between Russia and Ukraine. PMI data for Germany and the eurozone is expected to deteriorate, while Jerome Powell's Jackson Hole remarks could push flows toward bonds if tone proves cautious.
The DAX opened lower on Wednesday, under pressure following a global tech-led selloff. Risk sentiment remained fragile ahead of key economic data and US central bank commentary later in the week. Markets tracked overnight declines on Wall Street, where technology shares led losses as investors turned more cautious ahead of the release of the FOMC minutes and the Jackson Hole Symposium in the US. The selloff reflected concerns about overextended valuations, as investors moved to profit-taking after a period of strong and rapid gains.
The pullback in defense stocks contributed to broader market weakness, with Rheinmetall and peers retreating as signs of easing tensions between Russia and Ukraine emerged. Further diplomatic progress may continue to pressure defense equities and weigh on the DAX, while any setback in negotiations could trigger a rebound in the sector. Looking ahead, attention turns to macroeconomic developments. PMI data for Germany and the eurozone, due Thursday, is expected to show some deterioration, which could weigh on the market.
Collection
[
|
...
]