Broker IG estimated the German benchmark index at 24,719 points before the Xetra open, down 0.1 percent. Midweek, the DAX had briefly fallen to 24,593 points. On Wednesday, it lost 0.6 percent to close at 24,740 points.
Several uncertainty factors are weighing on investor risk appetite, said Salah-Eddine Bouhmidi, market observer at IG. “Growing doubts about the valuation of many AI stocks, resurgent inflation concerns, and a lack of clear monetary policy direction are causing investors to act more cautiously ahead of key US data,” Bouhmidi said.
US memory chip maker Micron released its quarterly results after the US market close on Wednesday. Due to rapidly rising memory chip prices driven by high demand, Micron quintupled its quarterly revenue to over $40 billion. In the third quarter, Micron earned more than $28 billion net, roughly double the previous three months. The fourth-quarter revenue forecast of around $50 billion was more optimistic than expected. In Tokyo, the Nikkei index rose nearly four percent, and South Korea’s benchmark index gained more than five percent.
At 2:30 p.m. CET, the core PCE price index will be released, which measures core inflation in the US and could provide insight into the Federal Reserve’s future interest rate path. Support comes from falling oil prices: Brent crude fell 1.5 percent to $72.60 per barrel, and US WTI crude dropped 1.4 percent to $69.37.
Source: Tagesschau
