After the stock market earthquake: Investors are betting on tech stocks and precious metals

After the stock market earthquake: Investors are betting on tech stocks and precious metals

The recent turbulence on the stock exchanges has not only led to major price drops, but has also enabled deeper insights into the dynamics of certificate trading. In particular, investor preferences and the trading strategies based on them are changing remarkably.

Insights into certificate trading

Simon Görich, a certificate trader at Baader Bank, argues that the global decline in stock market prices has led to massive selling pressure and profit-taking among derivatives investors. Despite the losses suffered, the favorites in trading remain the large US tech stocks such as Nvidia and Tesla as well as the DAX. Interest in raw materials such as gold and oil also remains high.

The impact of quarterly reports

Markus Königer from ICF Bank sheds light on the causes of the nervousness among investors, which was already increasing before the market slide. The disappointing quarterly reports from the so-called “Magnificent Seven” led to increased profit-taking. Artificial intelligence companies must now deliver to regain investor trust.

After the Storm: The State of the Markets

The DAX closed at 17,462 points on Wednesday and remains around 7 percent below its last high. Other indices also suffer from the after-effects of nervousness. Despite a slight recovery on Tuesday, many players are betting on further corrections.

Popular underlying assets in certificate trading

The last four weeks have shown that despite the market slide, the popularity of investment products on major indices such as DAX, Euro Stoxx and Nasdaq remains high. In particular, interest is also spread across special leverage products that rely on both rising and falling market movements. Kesselhut points out that the discount certificates on the DAX and S&P 500 are very popular.

Crypto and Commodities: A Look at the Trends

Cryptocurrencies also receive special attention. The tracker certificate on “The Shareholder” Crypto TSI is the ICF’s highest-selling product, which invests in the ten strongest cryptocurrencies. Bitcoin price, which briefly fell below $50,000 during the turmoil, has since recovered and is now around $57,100.

Conclusion and outlook

The developments of the last few days make it clear how quickly the market situation can change and which products are considered safe or unsafe. While many investors are looking to diversify their investments following the losses, it remains to be seen how the markets will develop in the coming weeks. One thing is clear: an analytical approach is essential for both experienced and new investors to successfully navigate this volatile environment.