Vienna stock market with slight losses: ATX is struggling before the weekend!

Vienna stock market with slight losses: ATX is struggling before the weekend!

On Friday, the Vienna stock market closed the trading week with slight losses. The leading index ATX fell by 0.02 percent and ended up at 4,485.47 points. This marks the fifth day of losses in the last six trading days, but the ATX was able to post a small weekly gain of 0.05 percent. The European environment weakened after a friendly morning and investors remained cautious, especially given the testy mood from the USA.

A look across the pond shows that US President Donald Trump once again attacked the US Federal Reserve and is calling for the key interest rate to be cut to 1 percent. However, the majority of Federal Open Market Committee (FOMC) members appear to be resisting political pressure, further increasing market uncertainty. Nevertheless, US Federal Reserve Director Christopher Waller called for a rate cut at the next Fed meeting at the end of July. Waller is also considered a possible successor to Jerome Powell, whose term ends in May 2026. This could have long-term implications for markets that are already suffering from these geopolitical tensions.

Upswing of the US economy?

While the discussion about interest rate cuts is ongoing in the USA, there are positive signals from the US economy. The number of housing starts rose unexpectedly in June and the mood of US consumers improved in July. This gives hope that despite the political turmoil in Washington, there is some resilience in the American economy.

In Austria, Economics Minister Wolfgang Hattmannsdorfer (ÖVP) is calling for the European Union to take a tougher approach in the customs dispute with the USA. Concerns about trade relations between the two economies remain a sensitive issue that also affects the domestic market.

Stock performance on the Vienna market

As far as domestic stocks are concerned, some stocks rose while others ended up in the red. Deutsche Bank analysts gave Telekom Austria a “hold” rating and a price target of 11.00 euros, but the shares closed 0.2 percent lower at 9.64 euros. Raiffeisen Bank International (RBI) also received a “hold” rating with a price target of 22.0 euros, but fell 1 percent to 25.16 euros. The share price development at Bawag and Erste Group was positive, increasing by 0.5 percent and 0.2 percent respectively.

The biggest gainers of the day included Frequentis, up 4.8 percent, RHI Magnesita (+3.9 percent) and Semperit, which rose 2.9 percent. Wienerberger also recorded an increase of 2 percent. On the other hand, Do&Co and FACC had to accept discounts of 3.3 percent and 1.3 percent respectively. The utilities also suffered: Verbund fell by 2 percent, EVN by 0.8 percent.

The mood on the Vienna market remains tense. All eyes are on the US Federal Reserve's upcoming decisions as the European economy faces the challenges of global trade. The forecasts show that the S&P 500 and also some European stocks are raising cautious hopes for earnings growth in the near future, which could provide some support for the markets.

So as we look ahead to the weekend, it remains to be seen how geopolitical developments and economic conditions will impact the stock market.