Dax Sentiment: Investor Mood Plummets - Stock Prices Could Also Continue to Fall
Investors were overly optimistic on the stock market recently. Now they're being caught up by reality. Those counting on a recovery rally could be disappointed, a Handelsblatt survey shows.
The German stock market has continued its downward trend, with the Dax index losing nearly 2% of its value last week. According to a Handelsblatt survey, the sentiment among private investors has dropped from 1.0 to -5.0 points, indicating fear and panic, as rising energy prices and bond yields weigh on the market. Stephan Heibel, managing director of AnimusX, warns that investors are still optimistic, but this optimism may be misplaced, and he advises a defensive position.
Only 5% of respondents expect the Dax to be in an uptrend, while 55% see a downtrend, and Heibel notes that it is rare for the market to recover quickly after such a significant drop.
Written by urgent.news from Handelsblatt's report — not a translation of it. Machine-written — may contain errors; check the original before relying on it.
