European equities saw continued upward momentum on Thursday, building on a positive start to the trading day. The German DAX index climbed steadily, reaching approximately 24,410 points by midday – a gain of 1.2% above Wednesday’s closing level.
Market analysts attribute the current market performance primarily to renewed optimism surrounding potential interest rate cuts in the United States, injecting fresh impetus into the equity markets. This sentiment is further reflected in a heightened focus on companies involved in artificial intelligence (AI) activities.
Shares of Siemens Energy and construction firm Hochtief demonstrated particularly strong investor interest, alongside gains for Siemens and Infineon. Conversely, companies in traditionally defensive sectors, including utilities Eon and RWE and pharmaceutical firm Merck, experienced declining share values.
“Investors are clearly embracing a ‘risk-on’ approach” explained Andreas Lipkow, a market analyst. While gold continues to maintain investor demand, a generally euphoric mood is evident across European stock markets.
The Euro strengthened slightly against the US Dollar on Thursday afternoon, trading at $1.1748, with the Dollar valued at €0.8512.
