The German stock market benchmark, the DAX, experienced a fluctuating performance on Friday. Following a positive opening, the index receded to levels seen the previous day by midday. Around 12:30 PM, the DAX was calculated at approximately 24,390 points, a slight 0.1 percent increase compared to Thursday’s closing value.
Market analysts attribute the uncertainty to a complex interplay of factors. “Investors are currently caught between conflicting sentiments, hoping for a diplomatic resolution to the trade dispute between the US and the EU” noted Andreas Lipkow. He added that robust macroeconomic data released from the United States are simultaneously fueling expectations for further market gains.
However, Lipkow cautioned that current valuations in US markets are relatively high and potentially pricing in excessive optimism, particularly within the technology sector. The looming weekend presents a potential wildcard, with the possibility of renewed volatility and reaction to further statements from the US administration upon the market’s reopening on Monday.
The Euro strengthened during Friday afternoon trading, reaching a value of 1.1635 US dollars, with the dollar subsequently trading at 0.8595 Euros.