30 AM.. This represented a gain of 0.6 percent compared to the previous day’s closing level. Vonovia, Heidelberg Materials and Zalando led the gains, while Beiersdorf, Bayer and FMC experienced declines.
Market analysts attributed the positive opening to encouraging quarterly reports from several key companies. Jochen Stanzl, Chief Market Analyst at CMC Markets, commented, “The best medicine against tariff anxiety is strong quarterly results and investors are receiving a triple dose today”. He specifically cited Vonovia’s indication of a market turnaround in the real estate sector, Siemens Energy’s renewed dividend payments and a positive performance at Commerzbank leading to a revised upward projection.
Previously, investors largely discounted the impact of potential tariffs on economic data and quarterly earnings. While some companies had issued profit and revenue warnings recently and larger corporations have reported billion-dollar losses attributed to tariffs, the overall consensus appears to be shifting. Analysts suggest that while tariffs contribute to increased one-time costs and reduced margins, they are, for the moment, not fundamentally altering underlying growth trends.
“Tariffs don’t seem to be reversing the fundamental trends in margins and profitability” Stanzl added. Investors are viewing these tariff-related costs as temporary setbacks and focusing on future prospects. This positive outlook is driving purchasing activity and prompting the DAX to reclaim the 24,000-point threshold, the same level from which a sell-off began last Friday.
The Euro weakened slightly against the US Dollar, trading at $1.1572, with the dollar fetching €0.8642.
Meanwhile, oil prices declined; Brent crude was trading at $68.07 per barrel around 9:00 AM local time, a drop of $0.69 or 1.0 percent compared to the previous day’s closing price.