- Title: DAX slips between 12,000 points because of tension with North Korea
- Date: 11th August 2017
- Summary: FRANKFURT, GERMANY (AUGUST 11, 2017) (REUTERS) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, ON TRADING FLOOR ELECTRONIC BOARD SHOWING DAX ON PREVIOUS DAY AT 12,014.30 HALVER AND TRADER TRADER ELECTRONIC BOARD SHOWING CHANGES IN DAX TRADING FLOOR AND ELECTRONIC BOARD TRADERS ON MONITORS (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "It must not keep blowing up. A U.S. president has not been known to use language that sounds equally martial to the North Korean dictator. What will be decisive is a de-escalation. If both sides keep escalating the problem, then you don't know in the markets how things will end. A war of words could lead to a war of actions. And that must be prevented." ELECTRONIC BOARD SHOWING BANKING SHARES (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "The benchmark of 12,000 is psychologically very important. But I am convinced that if the conflict with North Korea is softened, even if that takes some time, the DAX will jump above 12,000 points again. The DAX will be strongly above as before because then uncertainty is gone. Otherwise it the world not that negative: the federal banks are still in the mode of footing the bill for everything and the fundamental data, the company data and the global economic data are still the stable." TRADER ELECTRONIC BOARD SHOWING DAX GRAPH AT 14:06:28 (SOUNDBITE) (German) HEAD OF CAPITAL MARKET ANALYSIS AT BAADER BANK, ROBERT HALVER, SAYING: "If the conflict was appeased with the help of China and a less martial choice of words by the U.S. president, then we would have seen buying rates today." TRADERS ELECTRONIC BOARD SHOWING DAX GRAPH TRADING FLOOR
- Embargoed: 25th August 2017 14:55
- Keywords: DAX losses euro North Korea Germany Frankfurt Stock Exchange
- Location: FRANKFURT, GERMANY
- City: FRANKFURT, GERMANY
- Country: Germany
- Topics: Economic Events
- Reuters ID: LVA0016TPQ1SD
- Aspect Ratio: 16:9
- Story Text:The damage inflicted on world stocks this week by the escalating war of words over North Korea topped $1 trillion on Friday (August 11), as investors again took cover in the yen, the Swiss franc, gold and government bonds.
The fear of a war on the Far East has again troubled the German stock index. The DAX opened 0.5 percent weaker at 11,953 points.
A trader in Frankfurt said that a DAX at 12,000 points was a "psychological important" but was convinced that if the tension around North Korea calm down the DAX will again rise above 12,000 points.
With the tense mood pushing European shares down for a third day and Wall Street set to fall again stocks were on course for their worst week since Donald Trump won November's U.S. presidential election.
Now installed in the White House, Trump issued a new warning to Pyongyang on Friday, tweeting: "Military solutions are now fully in place, locked and loaded, should North Korea act unwisely."
North Korea had responded to Trump's previous promise to unleash "fire and fury", with a threat to land a missile near the U.S. Pacific territory of Guam.
- Copyright Holder: REUTERS
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