The DAX stayed in negative territory on Monday after a weak start to the session, hovering below Monday’s close until lunchtime. By about 12:30 p.m. the benchmark had settled at roughly 25,140 points, a drop of 0.5 % from its Friday closing level. The best‑performing stocks were Commerzbank, Adidas, and Munich Re, while the worst were Rheinmetall, SAP and BMW.
On the same morning, the Ifo business‑climate index for February surprised with a higher figure than expected. Thomas Gitzel, chief economist of the VP Bank group, noted that companies surveyed by the Ifo Institute now look more optimistically toward the future. “This fits the picture, especially after a series of positive developments for the German economy” he said. A key contributor to the improved outlook is the unexpectedly strong rise in order intake.
However, Gitzel cautioned that this optimism does not equate to euphoria. The index still signals a lingering economic gloom. He highlighted a mismatch between the significantly better order situation and the subdued Ifo business‑climate reading, attributing it to rising defense and infrastructure spending.
According to the market expert, not all firms benefit equally from the new orders. The defense industry remains the top beneficiary, followed by the construction sector-particularly civil engineering. In contrast, other sectors, notably automotive suppliers, continue to face challenges, and a broad upturn does not appear imminent.
The euro weakened slightly by midday. One euro exchanged for 1.1793 USD, while a dollar was worth 0.8480 EUR at that point.
Oil prices slipped during the same period. At around 12 p.m. German time, a barrel of North Sea Brent fetched about 71.35 USD-41 cents, or 0.6 %, lower than the previous closing price.
