The DAX has risen today while the FTSE 100 and Dow have been clobbered.
It’s interesting that the German DAX is up at the moment for today while the FTSE100 and the Dow are down heavily.
Currency depreciation in the Euro zone is making Germany very competitive indeed I would guess. The UK doesn't produce anything much, so it is well into a permanent trade deficit, especially now UK oil production is in decline. So even though the pound is down today, the FTSE is not going up; it has tanked today.
I have a sneaky feeling that the Germans are happy to string the Greek issue along and keep kicking the can while the Euro depreciates so they can compete with Japan, one of their major trade rivals in many areas, perhaps their number 1 trade rival that has trashed its currency since late 2012. BMWs vs Toyotas, Mercedes vs Lexus, BMW motorbikes, vs Honda, etc. I also added the Nikkei a day later and there was a little but not much negative action there.
These daily charts are from the excellent www.stockcharts.com Gallery views:
The UK doesn't produce anything much, so it is well into a permanent trade deficit, especially now UK oil production is in decline.
So even though the pound is down today, the FTSE is not going up; it has tanked today.
BMWs vs Toyotas, Mercedes vs Lexus, BMW motorbikes, vs Honda, etc.
I also added the Nikkei a day later and there was a little but not much negative action there.