ROUNDUP / Aktien New York Conclusion: Evergrande crisis causes significant losses

lost 2.10 percent to 15,012.19 points.

At the beginning of the week, the Chinese real estate industry increasingly moved into the focus of investors. The troubled Evergrande group has to find fresh money to pay banks, suppliers and bondholders. Investors fear a payment default. The problems have worsened for Evergrande in recent months, according to observers, as Beijing enforces stricter rules for the country’s highly indebted real estate sector. Economic problems in the Middle Kingdom can spread to the world economy through international trade and financial relationships.

Investors also face risks arising from the uncertainty surrounding President Joe Biden’s $ 4 trillion economic program and the need to raise or suspend the debt ceiling. Treasury Secretary Janet Yellen said the government will run out of money to pay its bills at some point in October if the debt ceiling is not raised and warned of “economic disaster” if lawmakers fail to take the necessary steps.

In the Dow, the shares of construction machinery manufacturer Caterpillar, which are considered to be very cyclical, recorded the highest losses with a minus of 4.5 percent. The shares were thus at the level of the beginning of February. In addition, given the numerous uncertainties, investors avoided stocks from the financial sector. With that, the Goldman Sachs papers sagged at 3.4 and that of JPMorgan by 3.0 percent.

“The fear of the next real estate crisis is currently great,” wrote market expert Christian Henke from trading house IG. The Chinese government does not seem ready to help Evergrande. “The concern now is that more corporations from this sector will be torn into the depths and a new real estate crisis may develop out of this. Memories of the bankruptcy of the US bank Lehman Brothers in 2008 are awakened.” Henke referred to the global financial market crisis resulting from the Lehman debacle.

However, airline stocks bucked the negative trend. The reason for this was the announcement by the Corona coordinator of the White House that foreigners with a corona vaccination will be able to re-enter the United States from November. American Airlines papers won 3.0 percent at the top of the S&P 500. For Delta Air Lines shares it went up 1.7 percent behind it.

US Treasuries were in demand given the weak stock market. The futures contract for ten-year papers (T-Note-Future) rose by 0.33 percent to 133.22 points. The yield on ten-year paper was 1.31 percent. The Euro suffered from the significantly gloomy mood on the international stock exchanges and last cost 1.1728 US dollars. The European Central Bank had set the reference rate at 1.1711 (Friday: 1.1780) dollars. The dollar cost 0.8539 (0.8489) euros./la/jha/

By Lutz Alexander, dpa-AFX

Source: dpa-AFX

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