The German market index, the Dax, began trading on Tuesday with gains. Around 9:30 a.m., the leading index was calculated at approximately 24,560 points, representing a 0.6 percent increase from the previous day’s closing level. Top performers in the stock listings included Brenntag, Infineon, and SAP, while the stocks that finished the day strongest were Beiersdorf, Airbus, and Deutsche Telekom.
Thomas Altmann of QC Partners explained that the prevailing sentiment among investors is the hope for a second round of direct talks between the US and Iran. He noted that the markets are pricing in both an end to the military conflict and a gradual normalization of energy markets. However, he cautioned that if these talks fail or do not take place, the potential for disappointment at the stock exchanges is considerable.
Altmann added that despite the decline seen the previous day, the Dax remains comfortably above its 200-day moving average, currently sitting at 24,113 points, which is considered a positive indicator. He suggested that the sustained breach of this significant trend line may have attracted new buyers into the market.
Meanwhile, the European common currency experienced some weakness early Tuesday morning; a euro cost $1.1775, and consequently, a dollar was priced at €0.8493.
Oil prices also dipped. Around 9 a.m. German time, a barrel of Brent crude oil from the North Sea cost $95.21, which was 27 cents, or 0.3%, less than the close of the previous trading day.
