The German DAX index opened Tuesday’s trading session with gains, demonstrating a slight upward trend. Shortly after 9:30 AM local time, the benchmark index was calculated at approximately 23,635 points, representing a 0.5 percent increase compared to the previous day’s closing level. Siemens Energy, the Porsche Holding and RWE led the list of top-performing stocks, while Commerzbank, Rheinmetall and Qiagen showed the strongest gains at the lower end.
Market analysts note that the DAX continues to exhibit a volatile trading pattern, struggling to gain significant momentum. Thomas Altmann of QC Partners commented on the disconnect between positive performance observed on Wall Street and the comparatively muted activity within the German market, highlighting a notable regional fragmentation within the stock market. Investors in the DAX have not seen a net profit for nearly four and a half months.
Contributing factors to this stagnation include the strength of the Euro, which is perceived as detrimental to export-oriented businesses and a persistent lack of confidence in the future trajectory of the German economy. The precarious fiscal situation in France is also reportedly influencing international investment decisions, leading some investors to avoid the Eurozone altogether.
The Euro was slightly weaker on Tuesday morning, trading at $1.1781, equivalent to $0.8488 per Euro.
Meanwhile, oil prices experienced a decline. Brent crude, a benchmark for North Sea oil, was trading at $66.26 per barrel around 9:00 AM local time, reflecting a decrease of 31 cents or 0.5 percent compared to the previous trading day’s closing price.