Financial expert warns: DAX starts the new year weakly - expectations of interest rate cuts are correcting.

Financial expert warns: DAX starts the new year weakly - expectations of interest rate cuts are correcting.

According to a report from www.boerse.de, the DAX remains in downward mode at the beginning of the new year. Despite temporarily approaching its record level, a correction set in that intensified in the middle of the week. The indications show that the Dax will lose further points on Thursday after it was already lower in early trading on Tuesday.

According to market observers ING, minutes from the Fed's latest interest rate meeting suggest that the US central bank is in no hurry to reverse monetary policy tightening. The earliest a rate cut could happen is if the decline in inflation continues in 2024. This leads to a correction of investors' expectations of interest rate cuts, which have become too demanding.

The possible impact of this development could cause further uncertainty in the financial markets. A delayed interest rate cut by the US Federal Reserve could unsettle investors and lead to a further downward movement of the DAX. In addition, consumer price data from Germany and job data from service provider ADP in the USA could also provide further stimulus for the financial markets. This data could impact how the Fed shapes its monetary policy in the future.

Overall, uncertainties surrounding the Fed's monetary policy decisions and upcoming economic data could lead to continued weakness in the stock market. These developments should be closely monitored by financial experts and investors in order to respond accordingly.