INDICES FALLING AFTER FED DECISION
While the interest rate was not changed at the Federal Open Market Committee (FOMC) meeting yesterday, the Fed is not expected to change the rates until 2023. The Fed announced that the economic course will depend largely on the course of the virus and the pressure on employment and inflation will continue. In addition, the activity in the markets gained momentum after the Fed's meeting held in pigeon-tone, which stated that it maintains its 2 percent inflation target. Following these developments, pressure factors on indices increased, while the S & P500 index lost 0.46 percent and the Nasdaq index ended the day with a 1.67 percent depreciation. Dow Jones index, with an increase of 0.13 percent, diverged positively among other indices.
If we look at the developments on the German side, the Vaccine Commission (Stiko) within the Robert Koch Institute, which is authorized on epidemic diseases, announced that it is expected to develop many different vaccines against Covid-19 disease as a result of the studies carried out throughout the country. BioNtech has announced that it will receive up to 375 million Euros of financial support from the German government to support the "rapid development" of the vaccine for the treatment of Covid-19. Germany's September ZEW confidence index, which was announced on Tuesday, increased above expectations, which increased optimism in the markets.
While the increase in the Logistics, Industry and Consumption sectors within the DAX index triggered the upward acceleration, the Fresenius SE share, which displayed the best performance of the session, completed the day with an increase of 2.28 percent. The most depreciating share of the day was Deutsche Boerse AG with 1.92 percent decline.
If we look at the technical view of the DAX index, if the prices, which have been around the 13.250 level for a while, bring the downward acceleration again, we follow the decreases within the framework of the support levels of 13.225 and 12.965. However, in order to see a permanent buying potential in the index, closures above 13.476 resistance will be followed primarily. Above this level, 13.809 resistance continues to be up to date.