The DAX started trading Tuesday with gains. The main index was calculated at approximately 24,475 points by 9:30 AM, marking a 0.7% increase compared to the previous day’s close. Stock leaders included Rheinmetall, SAP, and Scout24, while Infineon, Daimler Truck, and BASF ranked among the laggards.
Thomas Altmann of QC Partners described the market as remaining highly volatile, noting that exchanges continue to fluctuate in response to news emanating from Washington and Tehran. He pointed out that any avoidance of escalation-specifically, the absence of new military strikes-was a distinctly positive sign. Altmann highlighted Donald Trump’s emphasis on negotiation time, stating that while speculation persists regarding potential rapprochement between the USA and Iran, the continual uncertainty ensures high market volatility across all asset classes.
According to Altmann, the DAX utilized this new optimism to reclaim two significant psychological markers: both the 24,000 and the crucial 200-day moving average. However, he cautioned that the index currently lacks independent direction, as headlines from Washington and Tehran dictate the market’s rhythm.
Interest rates remain a dominant theme in the market. Speaking to a recent trend, he added that yields on ten-year German Bunds had climbed to a new 15-year high, following a period of slight easing. He warned that this rising trend creates a risk that could heavily impact both corporate balance sheets and governmental budgets.
Meanwhile, the European common currency was weaker on Tuesday morning: the Euro traded at 1.1630 US dollars, meaning the dollar cost 0.8598 Euro. Furthermore, oil prices declined. A barrel of North Sea Brent crude cost $110.40 around 9 AM German time, which represented $1.73-or 1.5%-less than the previous trading day’s closing price.