30 am, a 0.2 percent rise from the previous day’s close. Siemens Energy, Rheinmetall and Qiagen led the list of top performers, while Deutsche Telekom, Deutsche Post and Continental’s shares trailed at the end.
According to Jochen Stanzl, chief market analyst at CMC Markets, the market is moving towards an optimistic scenario, driven by the reduced geopolitical risks in the Middle East. “The profit growth remains robust and the Dax is only about three percent below its all-time high” he noted.
Investors are likely to view the conflict in the Middle East through the lens of commodities, Stanzl explained, but they are not entirely removing the risk from their portfolios. The analyst believes that if the current optimism at the stock market continues, the major indices in the US could also break out of their consolidation and rise.
However, the upcoming earnings season may reveal that the revenue of companies is suffering due to the uncertain trade policies, Stanzl warned. “If the markets continue to rise, it means that investors are speculating that US President Trump will back down before the July 9 deadline and not impose the reciprocal tariffs” he said.
The euro was slightly weaker against the US dollar, trading at 1.1603 dollars per euro, while the US dollar was worth 0.8618 euros. The Brent crude oil price rose significantly, with a barrel costing 68.30 US dollars, a 1.7 percent increase from the previous day’s close.