German car manufacturer's common stock is losing more than 16% today. Looking at the common stocks (ticker VOW1.DE) one can see a price collapse, which does not affect the German DAX index in any significant way. This is due to the fact that when calculating the DAX index value, preference stocks (VOW3.DE ticker) are taken into account. Interestingly, these shares are slightly gaining today. On the other hand, sentiment in the equity markets is still very mixed after the Federal Reserve announced that the temporary change to the supplementary leverage ratio for banks will expire as scheduled on March 31st.
We can observe a very interesting situation when it comes to the Volkswagen company. One can see that the preference shares were doing slightly better in early March. With a strong sell-off, preference shares (VOW3.DE) are also performing better today. With all this, the DAX is doing quite well, considering that Volkswagen shares, which is one of the largest companies listed on the stock exchange, are clearly losing after the recent strong gains. Source: xStation5
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