The German DAX index continued its upward trend on Wednesday, building on a positive start to the trading day and remaining in positive territory throughout the morning. By 12:30 PM local time, the leading index was calculated at approximately 24,225 points, representing a gain of 0.8 percent compared to the previous day’s closing level.
Automotive stocks led the gains, consistently ranking among the highest performers. Later in the session, SAP, Eon and Infineon also showed positive movement.
Market analyst Andreas Lipkow noted that the initial enthusiasm surrounding the trade agreement between the United States and Japan has subsided. While the automotive sector remains attractive to investors, there’s a growing desire among market participants for concrete results. “Recent history has repeatedly demonstrated that the details often present significant challenges” Lipkow stated.
He further observed that Japanese investors have demonstrated a particular focus on the automotive sector. The applicability of this trend to a potential trade agreement between the United States and Europe remains to be seen. “It will be interesting to observe” Lipkow added, “and the gains seen today are similarly affected by investor caution, mirroring the losses experienced in previous trading days.
The euro weakened slightly during midday trading, fetching $1.1730, making the dollar worth €0.8525.
Meanwhile, crude oil prices saw a decline, with a barrel of Brent North Sea crude trading at $68.18 around noon local time – a decrease of 41 cents or 0.6 percent compared to the previous trading day’s closing level.