FRANKFURT (dpa-AFX) - After a positive start on Wednesday, the DAX lost steam. The trigger was a persistently negative mood in the technology sector. Germany's leading index ended the day down 0.72 percent at 24,603.04 points. Rumors about a possible easing of the EU emissions trading scheme provided some support, but were not enough to turn the tide.
While the DAX does not have a heavy technology weighting, when major tech stocks such as SAP or Siemens—both of which carry significant index weight—come under pressure, the index feels the impact, commented Christine Romar, head of Europe at CMC Markets. Ongoing concerns about the introduction of new tools related to artificial intelligence (AI) and their potential disruption of traditional business models continued to weigh particularly on shares of software and database providers.
The MDAX, which tracks mid-cap stocks, slipped 0.04 percent to 31,524.63 points. The Eurozone's blue-chip index, the EuroStoxx 50, declined by 0.41 percent to 5,970.47 points. Outside the euro area, both the British and Swiss stock markets hit record highs and closed the day with gains. In the United States, the picture was mixed. The Dow Jones Industrial climbed to just below its previous day's record high at the close of European trading. Meanwhile, the tech-heavy Nasdaq once again posted steep losses.
"Caution remains a constant companion for investors at the moment," said market expert Andreas Lipkow. The ongoing situation in the Middle East remains a topic of concern given the tense conditions there. On top of that, "an increasing number of mixed corporate news and quarterly reports are entering the financial markets." /ck/he
