The DAX started Monday’s trading session in the red. Around 9:30 AM, the leading index was calculated at approximately 26,435 points, which was 0.5 percent below the closing level of the previous trading day. Leading the market were Brenntag, BASF, and Continental, while Siemens Energy, Vonovia, and MTU ranked highest at the end of the session.
The outlook for financial markets is being influenced by recent geopolitical tensions. After a period of quiet, the United States attacked Iran again over the weekend. According to Thomas Altmann of QC Partners, the oil price responded immediately with the anticipated jump upward, but stock and bond markets remained relatively calm despite the renewed military escalation. Most investors appear not to expect the situation to escalate widely or long-term; instead, they are pricing in only a brief engagement. Whether this scenario materializes remains entirely uncertain, and much will depend on Iran’s reaction.
In currency markets, the European community currency was slightly stronger on Monday morning. One Euro cost $1.1596, while the corresponding dollar traded for 0.8624 Euros.
Meanwhile, oil prices rose sharply. Around 9 AM Central European Time, a barrel of North Sea Brent crude cost $89.97, representing a 2.1 percent increase compared to the previous day’s close.
