DAX closes in the red and catapults itself upwards in after-hours trading
Friday was once again a tough one. The trading day ultimately ended in the red for the DAX before it catapulted itself into the air after hours, spurred on by the US markets. The closing price was 19,884 points, which corresponded to a minus of 0.43 percent. After hours, however, the index again came close to 20,000 points. In the last trading week of the year, this gave investors hope for the year-end rally, which can still take place. The big question, however, is what could drive the US markets so much?
US markets unleash price fireworks and blow for year-end rally
First of all, it should be mentioned that the markets reacted extremely after the interest rate decision. The sell-offs were incomprehensible for many individual stocks and panic already seemed to be coming into the markets. Furthermore, the US markets have realized losses for more than eight trading days in a row (Dow Jones). Statistics say that there are not often phases in which such long sales phases simply continue. On the contrary, they more often lead to counter-movements. In this case, to a strong upward movement. What ultimately led to this impulse could be the insight that the sell-off after the interest rate decision was too emotional or the rescue of the US budget at the last minute before the shutdown occurred.
Vonovia about to make a decision - Commerzbank chart threatens to tip
This could be a good sign for the start of the last trading week of the year and could further drive the recoveries in the indices. Among the individual stocks, Vonovia climbed to first place in the DAX ranking and started to reverse again with a gain of 2.2 percent. However, it remains to be seen whether Vonovia's delicate upward movement was the start of an extended buying phase or whether it was merely a setback that represents the beginning of a new downward impulse. The share of Commerzbank had to give way on Friday, bringing up the rear with a minus of 2.1 percent. At Commerzbank, as with Vonovia shares, the upward trend could also tip over. Caution is advised.
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