The German DAX index demonstrated significant gains at the start of the trading week. At the close of Xetra trading, the index reached 23,757 points, marking a 1.4 percent increase compared to the previous day’s closing value.
Shares of Commerzbank, Deutsche Bank and Allianz led the performance, registering the largest gains. Conversely, Bayer, Porsche Holding and Daimler-Truck experienced declines in their share values.
Market analyst Andreas Lipkow attributed the market’s movement to a focus on defensive sectors, including banking, insurance and utilities. “Investors are proceeding very selectively at the start of the week, expressing relief that the trade conflict between the EU and the US has not escalated further” he stated.
Lipkow further explained the avoidance of traditional cyclical industries, noting that the potential for further US trade measures remains a concern, prompting a defensive posture from the EU.
The Euro weakened slightly during Monday afternoon trading, trading at $1.1573, equivalent to €0.8641 per US Dollar.
Gold prices benefited from the market dynamics, fetching $3,376 per fine ounce ($93.79 per gram) in the afternoon.
Oil prices, however, trended downward; Brent North Sea crude traded at $69.36 per barrel, a decrease of 31 cents or 0.4 percent from the previous day’s closing price.
