DAX market overview for November 4, 2022: BMW in the red despite increased profits

DAX market overview for November 4, 2022: BMW in the red despite increased profits


flatex: Germany’s stock index closed Thursday lower.

DAX lost through Xetra by 0.95 percent to 13,130.19 points.

The volume of business through Xetra was around 2.45 billion euros.

Other busy European stock indexes in Amsterdam, Madrid, Milan, Paris and Zurich all fell, while London posted gains (the Bank of England had raised interest rates by 75 basis points – the highest increase in 33 years).

The EuroStoxx50 ended the trading day down 0.80 percent at 3,593.18 points.

On Wall Street, the leading US indices Dow Jones, NASDAQ100 and S&P500 once again all closed with price losses, while the Dow Jones still recovered strongly by reducing 0.46 percent to trade at 31,999.34 points.

BMW in the red despite the jump in profits

For DAX it was once again called “Great Thursday”. Why? Well, because the same DAX companies reported their current numbers, namely BMW, Heidelberg Materials, Hannover Re and also Zalando.

Let’s take a closer look at the situation at BMW: Few cars were delivered in total in the first nine months of 2022.

The number of BMW brand vehicles fell from 1,932,224 units in the first nine months of 2021 to 1,747,838 units – a drop of 9.5 percent.

Deliveries of the Mini brand also declined by 6.9 percent in the same period from 224,838 to 209,271 units.

Only the Rolls-Royce brand was able to achieve an increase of 8.9 percent during the period, the number of deliveries rose from 4,318 to 4,701 cars.

The number of motorcycle shipments also rose by 1.9 percent from 156,609 to 159,333 units.

Despite a significant drop in the number of vehicles delivered, BMW managed to increase sales from EUR 82.831 billion to EUR 103.088 billion in the period.

The surplus increased by 60.7 percent from 10.207 billion euros to 16.407 billion euros. You will not only get “driving pleasure” but also future dividends.

Still, BMW shares fell sharply despite the jump in earnings.

A bleak economic outlook, along with further interest rate hikes by the Fed and the ECB, weighed on stocks.

economic data

Today, Friday, the summary of the business day from the economic side is already certain – it is the US labor market data for the month of October.

However, one should look at the large number of October purchasing managers’ indices that are published for the service sector.

Data is reported for Spain (09:15), Italy (09:45), France (09:50), Germany (09:55) and the Eurozone (10:00). In addition, at 11:00 am euro zone producer prices in September are also worth evaluating.

On the corporate side, CBOE Global Markets, Duke Energy, DraftKings, Enbridge, Hershey, Liberty Media and Magna International, among others, report their current quarterly results.

Most Asian and Pacific indexes rose on Friday.

Chinese indices in Shanghai, Shenzhen and Hong Kong rose sharply.

US futures regularly posted gains near the switch from Asian to European trading hours.

The first signs of the DAX were 13,180 points in the morning.

chart method

The German stock index ended trading on Thursday through Xetra with a price loss of 0.95 percent at 13,130.19 points.

The DAX marked a low on Thursday compared to the previous day.

For this reason, the price development from the last time low of September 28, 2022 of 11,862.84 points to the most recent time high of November 1, 2022 of 13,444.07 points should be used to determine the next targets for up and down more closely.

Resistance would still be at the 13,444 mark, as well as at the upper estimate of 14,252/14,440 and 14,744 marks.

At 13,071/12,840/12,653/12,467/12,236 points and 11,863 points, the second support zones are still ready.