06/06/2023 –

At the beginning of May, we reached new all-time highs in the DAX and CAC 40 (France) in Europe. The indices could not maintained the levels over the course of May and closed in the red for the month. Discussions about the debt ceiling in the USA weighed on investor sentiment. In May, only a few stocks were driven with positive momentum: AI. Every company or stock that somehow has something to do with AI (or claims to do so!) was driven up by its momentum. Meanwhile, valuations of Nvidia and Co., for example, have run to P/E ratios beyond 200. Important to know: only 7 stocks in the S&P 500 made the positive performance in 2023 so far. We do not expect this to continue over the next weeks and months to come.

Click here to watch our CEO, Steffen Bauke’s market update for May 2023 on YouTube.