30 am.. This represents a gain of 0.3 percent compared to the closing level of the previous trading day. Sartorius, Merck and BASF were among the top performers, while Commerzbank, Siemens Energy and Rheinmetall closed lower.
According to Jochen Stanzl, Chief Market Analyst at CMC Markets, investors are increasingly embracing risk following the DAX’s recent record high. Ongoing trade negotiations between the US and the European Union are being viewed as a sign of economic strength. “The fact that significant tariffs are already in place, yet economic growth remains robust, tends to overshadow the tariff issue amidst continually rising prices” Stanzl commented.
Market participants are anticipating confirmation of their optimism during the upcoming earnings season. While broad expectations for complete tariff removal are limited, Stanzl highlighted the resilience of the economy and the adaptability of businesses. This suggests the possibility of continued economic growth and profit increases even in the face of new US tariffs. The hope for a mutually beneficial agreement remains active as long as negotiations continue.
However, Stanzl cautioned that a disappointing earnings season coupled with a sudden weakening of economic data could trigger a market downturn reminiscent of the events in April, when concerns about a potential recession led to a decline in share prices.
The Euro strengthened slightly this morning, trading at $1.1734, with the Dollar fetching €0.8522.
Meanwhile, oil prices experienced a slight decrease, with a barrel of Brent North Sea crude costing $70.11 around 9 am German time – a reduction of 8 cents or 0.1 percent compared to the previous day’s closing price.