Economic turbulence looms for DAX - US employment data steers the course
The German stock market, the DAX, is currently facing pressure and needs to overcome resistances at 23,800 and 24,000 points for relief. This comes as the market is almost fully pricing in a rate cut for September by the U.S. Federal Reserve.
The bull-bear level for the DAX is at 23,970 points, but the index is currently trading below its all-time high of 23,475 points, which it reached back in July. The SMA50 (daily) resistance for the DAX stands at 24,088 points, while the horizontal resistance is currently at 23,100 points.
On September 1st, a gap was observed in the DAX at 24,037 points, and another gap was observed on June 25th at 23,269 points. The DAX has recently fallen to a yearly low of 23,381 points on August 1st, but it has since been continuing its recovery.
The DAX gained 0.7 percent to 24,770 points in its recent trading session. However, high volatility on bond markets is causing some nervousness.
Rising public debt in the U.S. and Europe raises questions about long-term stability. The situation in France is uncertain due to high debt and political developments. The ADP report points to a cooling of the U.S. labor market, and the U.S. labor market is showing signs of weakening.
Despite these challenges, the DAX is continuing its upward trend in pre-market trading and has already overcome the first important hurdle of 23,800 points. The 61.8% retracement resistance for the DAX stands at 23,818 points, and the DAX needs to surpass this level to continue its recovery.
It should be noted that the author of the statement on the German stock markets published on Tuesday was not found in the provided search results. Nonetheless, the market dynamics remain an important topic of discussion for investors and analysts alike.
Read also:
- Peptide YY (PYY): Exploring its Role in Appetite Suppression, Intestinal Health, and Cognitive Links
- Toddler Health: Rotavirus Signs, Origins, and Potential Complications
- Digestive issues and heart discomfort: Root causes and associated health conditions
- House Infernos: Deadly Hazards Surpassing the Flames
