Market report: Investors are waiting for US balance sheets

In the face of important balance sheets of some US technology companies such as SpaceX and Meta, investors remain cautious. In addition, the turbulence in France, Italy and Spain continues to affect. The broker IG Markets estimated the German leading index half a percent lower to 25,199 points before the start of Xetra trading. Yesterday, the DAX fell by 1.2 percent to 25,319 points. The protests in France, Italy and Spain have burdened the European stock market at the start of the week: "The risk for French government bonds is clearly priced into European equities," said Chris Weston, chief analyst at Pepperstone. Does the balance season provide fresh impetus? This week, the stock market focuses on the balance sheets of US technology stocks. Investors are waiting for SpaceX’s annual report today. Streaming provider Netflix will also publish its quarterly figures after the US stock market close. Investors at Netflix are particularly interested in international business, as the US market is considered saturated. In addition, they hope for detailed statements on the advertising revenue. Netflix wants to move users to switch to ad-financed subscriptions, because the group expects higher revenues in the long term. Technology title in focus On Wednesday, Tesla and Meta will present their numbers. For investors, it is especially important whether the billion-dollar investments in artificial intelligence can also translate into profits. There has been enough talk of growth opportunities, at some point the opportunities must also be underpinned by figures. “If companies with strong margins and outlooks are convincing, doubts about the profitability of AI investments could diminish.” Disappointments, on the other hand, could increase concerns about financing the AI infrastructure and increase pressure on the entire technology sector, commented Maximilian Wienke, market observer at broker etoro. In the past week, technology titles had recorded the largest weekly loss since the end of June. But currently there is rather optimism: The US technology exchange Nasdaq won yesterday 1.1 percent to 26,430 points. The S&P 500 increased 0.4 percent to 7,690 meters, while the Dow Jones stood still. Geopolitical worries weigh on Japan's stock market The requirements from Japan are weak. Geopolitical risks and the unrest in France are also pressing the mood in Asia. There, too, investors are holding back ahead of the quarterly figures of major US technology groups. In Tokyo, the Nikkei index of 225 scores dropped 0.6 percent to 64,512 points. The South Korean Kospi, which is dominated by Samsung and SK Hynix, lost more than four percent. The AI and semiconductor sector in particular came under immense pressure of trust in October. The Shanghai Stock Exchange remained almost unchanged.