The Dax remained in positive territory through the midday trading session on Wednesday. The leading index was measured at approximately 24,105 points by 9:30 AM, marking a gain of 0.6% compared to the previous day’s closing level. During the session, shares of Merck, Scout 24, and Infineon led the rising stocks, while GEA, Fresenius, and Rheinmetall finished near the bottom of the index list.
According to Andreas Lipkow, Chief Market Analyst at CMC Markets, overall trading volume in the Dax remains thin, despite recent geopolitical events and companies releasing quarterly earnings. He suggested that investors are cautious, awaiting clearer signals regarding peace negotiations in the Middle East.
The analyst explained that the only significant drivers for individual stock price movements were the quarter reports released by the Dax corporations. For instance, Merck’s shares were cited as a leader in the gainers list, having seen potential rises exceeding eight percent. Positive reactions were also observed for Eon, Deutsche Telekom, and Allianz.
Conversely, Rheinmetall again ended the day in the red. Lipkow observed that the growth narrative for the defense conglomerate appears to be slowing, prompting investors to investigate more promising sectors. However, semiconductor stocks, such as Infineon, remain highly sought after. The report also noted that data presented today regarding industrial production and GDP within the Eurozone fell slightly below expectations.
On the currency front, the European Euro weakened during the afternoon trade, meaning one Euro cost $1.1706, and consequently, one US dollar bought 0.8543 Euros.
Commodity prices also shifted downward. The price of gold weakened, falling by 0.2% in the afternoon, with a semi-ounce trading at $4,705, which translates to €129.23 per gram. Oil prices saw a decline as well; at noon German time on Wednesday afternoon, a barrel of North Sea Brent crude cost $107.30, representing a decrease of 0.5% or 48 cents from the previous close.
