Fear of recession causes prices to crash at times

Frankfurt, Dusseldorf The price rally in raw materials and fears of a supply bottleneck in Europe led to a veritable sell-off on the stock markets at the beginning of the week. The leading German index, the Dax, was particularly under pressure, falling by almost five percent at the start of trading, but was able to reduce the losses again during the course of the day.

“The war in Ukraine and the associated economic sanctions are causing upheavals, the direct and indirect effects of which on the individual business models of the companies are currently difficult to assess,” explains Christoph Niesel, fund manager at the cooperative fund house Union Investment, explaining the great nervousness of investors.