On Wednesday, the Dax managed to climb into positive territory after a sluggish start before midday. Around 12:30 PM, the index stood at 24,585 points, up 0.8 percent from the previous day’s closing level. Key performers on the day included Infineon, Siemens Energy, and Siemens, alongside gains for SAP, Scout24, and Symrise.
According to Andreas Lipkow, Chief Market Analyst at CMC Markets, investors were reacting calmly to rising energy prices in Germany, noting that bond yields had even dropped slightly. Nonetheless, underlying interest rate levels in Europe and the US remain a drag on equity markets. Lipkow explained that this trend reflects both inflation expectations and the resulting monetary policy responses of central banks, as well as underlying skepticism regarding the high debts accumulated by certain economic regions and countries.
Despite these headwinds, Lipkow suggests that the Dax could potentially establish itself above the 24,000 mark. He reasons that investor hopes for an imminent end to the Iran conflict-which could cause prices to drop-have not been abandoned. The actual realization of this scenario, however, depends critically on ongoing negotiations between the US and Iran.
In related markets, the European currency saw a slight dip by mid-afternoon; the exchange rate stood at 1.1601 US dollars per Euro, meaning a dollar was valued at 0.8620 Euro. Oil prices also fell. Around noon German time, a barrel of Brent crude from the North Sea cost $109.10, representing a decrease of 2.0 percent, or 217 cents, compared to the previous day’s close.
