30 AM local time – a gain of roughly 0..4 percent from the previous day’s closing level. Heidelberg Materials, Commerzbank and Vonovia led the gainers, while RWE, Siemens Energy and Porsche lagged behind.
Analysts note the DAX is approaching record highs, though currently appearing difficult to attain. Investors appear to be favoring alternative markets. “The AI boom is back on the stock exchanges and that automatically makes the DAX an underperformer” commented Thomas Altmann of QC Partners.
A potential risk to the current market rally is emerging in China, according to Altmann. A growing proportion of stock purchases are reportedly being financed by credit, a volume last seen for a single month between May and June 2015. This period was followed by a nearly 50 percent market decline stretching into 2016.
Market participants are also closely watching the anticipated meeting between Donald Trump and Vladimir Putin, with high expectations already largely factored into current valuations. However, Altmann cautions that the economic impacts of any positive outcome will take considerable time to materialize, likely most prominently through the reconstruction of Ukraine.
In currency markets, the Euro weakened slightly Thursday morning, trading at 1.1686 US dollars, while the US dollar was worth 0.8557 Euros.
Oil prices also edged higher, with Brent crude futures trading at 65.99 US dollars per barrel around 9:00 AM German time, a gain of 36 cents, or 0.6 percent, from the previous day’s close.