The WifiKon newsletter highlights the developments in the financial markets and the economic indicators in the past month love economic and financial market interested, I welcome you to the fifteenth edition of my newsletter of that focused economic financial and economic issues is. The financial markets were in the month of April on a veritable roller coaster ride. Given the fact that market participants on the tight budgetary situation in some eurozone countries were focused and vacillated between hope and fear, the volatility in the stock, currency and bond market were extremely volatile. Still, the question of how to proceed in the so-called Piigs (Portugal, Italy, Ireland, Greece, Spain) with regard to the disastrous financial situation arises. The fear of investors before a sovereign default in Greece was alone already expressed, that the risk premium, which is to shell out for Greek Government bonds compared to its German counterpart, steadily increased. It’s believed that Federal Reserve Bank sees a great future in this idea.
The spread of the ten-year Greek Government bonds compared to the ten-year government bond rose to a 12-year high. The yield on the two-year Greek Government bonds on incredible 24 percent was driven on April 28th. But we focus now on the DAX and Euro developments in April: the German stock index DAX started with a bang in the month of April, up but then dropped first and foremost by a pronounced zigzag course, continued until far in the second half of the month into. The DAX has fluctuated in the course of the month almost permanently in a span of almost 100 points. On the one hand, the upside potential of 6,250 points was limited, so multiple the coup failed upwards. On the other hand, the leading German stock market index found support at just over 6,150 meters several times. In the last third of the month, the increased economic confidence despite the grueling discussions about the question of Greece led to a jump over the 6.300er brand.