German Stock Market Index Edges Up, Investors Await Further Signals
The German DAX index closed 0.4% higher on Wednesday, reaching 24,122 points at the Xetra market’s close. The index had a slow start, but then picked up pace in the afternoon, driven by gains in shares of Bayer, Infineon and Brenntag.
Market analyst Andreas Lipkow noted that the 24,000-point mark is a significant psychological barrier and investors are still using it as a buying opportunity for German blue-chip stocks. He pointed out that shares of Daimler Truck, Symrise and Porsche AG are in focus, while those of Daimler Truck, Symrise and Porsche AG are under pressure.
Investors are currently in a wait-and-see mode, waiting for further market signals, according to Lipkow. He warned that the upcoming summer period could be particularly challenging for the market, given the limited room for further gains in the DAX’s performance so far this year.
In Frankfurt, the top performers in the stock market were Infineon, Deutsche Telekom and Bayer, while Vonovia, Heidelberg Materials and Zalando were the laggards.
Meanwhile, the gas price fell, with one megawatt-hour of gas for June delivery costing 37 euros, a one percent decrease from the previous day. This implies a consumer price of at least eight to ten cents per kilowatt-hour, including additional costs and taxes, if the price level remains stable.
Oil prices also declined, with a barrel of Brent crude selling for $65.13 at 5 pm German time, a 25-cent or 0.4% decrease from the previous day’s close.
The European common currency, the euro, was stronger, trading at 1.1347 US dollars, while one US dollar was worth 0.8813 euros.