The ATX closed firmer on Friday in line with most European stock exchanges. Compared to the previous day, a plus of 1.53 percent was recorded, the shooting price was 2,421.64 points.
Uniqa and OMV made strong gains as the day’s winners, dealer forecasts from Thursday were exceeded. The Dow Jones, France’s CAC40, Britain’s FTSE and Germany’s Dax also gained slightly on Friday, which was not expected after a turbulent week. Information about the nomination of Haruhiko Kuroda as head of the central bank in Japan pushes the Japanese yen into negative territory and gives the Nikkei index new impetus.
Deep fall of the ATX on Thursday.
On Thursday, Feb. 21, the ATX had still shocked investors with an intraweek mini-crash. Bank stocks had weighed heavily on the Austrian benchmark index, and investors were most disappointed by prime stock Kapsch. The background is to be found in the turbulences within the euro zone, so that Friday’s recovery is also to be seen rather as a reversal to Thursday and the gloomy clouds on the euro horizon have by no means disappeared. After all, the Italian election is coming up, Europeans do not expect anything good from the renewed run-up of the right-wing populist Berlusconi. The entire private sector in the euro area accelerated its downward slide in recent weeks, according to a survey of more than 5,000 companies conducted by the Markit Institute.
The Austrian Purchasing Managers’ Index fell to 47.3 points, a drop of 1.3 percent, although a reading below 50 is always considered a worrying sign. Previously, analysts had expected an increase to just below the 50-point mark. As if that were not enough, the U.S. FED is possibly expected to end its interest rate policy near the 0 percent mark. Many members of the Federal Open Market Committee feel that the extreme easing is too aggressive, and they are calling for an increase in interest rates to combat the threat of inflation. However, that could put a damper on the global economy, as it was only with the lowest interest rates since the end of World War II that the U.S. economy made it out of the 2007/2008 crisis.
Reaction of European stock exchanges.
The leading European indices are weakening overall and do not seem to be catching up with the 2007 highs. The Dax is bobbing just below it, the ATX is still far from its high at the time. Austrian bank shares are under pressure as they have not been for a long time, only industrial shares such as the water treatment company BWT give hope. OMV is considered to be the best stock in the ATX this year. Since the beginning of the year, the share price has increased by eleven percent, contrary to the general trend.