The DAX recorded a substantial increase on Thursday, concluding the trading session at 24,995 points. This represents a gain of 1.0% compared to the previous day’s close. Following a positive start to the trading day, the DAX largely continued its steady upward trend.
Bayer was the standout performer in Frankfurt, driven by a favorable ruling from the US Supreme Court concerning the herbicide Roundup, which awarded the company the victory. Conversely, Fresenius Medical Care was the weakest stock in the index.
Market analyst Andreas Lipkow noted that the stream of good news was continuing smoothly. He highlighted positive US economic indicators alongside the quarterly reports from Micron Technology. Lipkow specified that both GDP growth and the labor market surpassed expectations, while the PCE deflator remained within forecast limits, indicating no unexpected inflationary pressure. He described this overall climate as an “ideal scenario” that, combined with the positive Micron results, promises “dark green signs” for the Wall Street opening. According to the analyst, this could accelerate the clearing of the dark clouds that had darkened the stock market last week, potentially leading to a period of economic stability.
Shifting focus to commodities, natural gas prices declined. A megawatt-hour (MWh) of gas delivered in July cost €41, marking a 1% decrease from the previous day. If this price level persists, it implies a consumer cost of at least nine to eleven cents per kilowatt-hour (kWh), including all taxes and ancillary fees.
In contrast, oil prices rose significantly. By 5 PM German time on Thursday, a barrel of North Sea Brent crude reached $74.87, an increase of 1.5% from the close of the preceding trading day.
Regarding currency, the Euro gained slight strength on Thursday afternoon; one Euro cost $1.1378, meaning the US Dollar could be purchased for 0.8789 Euros.
