The DAX showed little movement throughout the day on Friday, maintaining a subdued pace following a restrained start. Around 12:30 pm, the leading index was calculated at approximately 26,080 points, representing a gain of 0.3 percent compared to the previous day’s closing level.
According to Andreas Lipkow, Chief Market Analyst at CMC Markets, the Frankfurter stock exchange was primarily focused on Volkswagen (VW), the largest German automaker. This intense focus came after the supervisory board approved plans to cut costs through job reductions. The company intends to eliminate another 50,000 positions by 2030. Lipkow noted that this maneuver is expected to reposition VW and enhance its international competitiveness, subsequently driving the stock price up by over five percent and propelling it to the top of the DAX. Other automakers also benefited from spillover effects, placing them among the winners of the day.
Despite the specific movements in the auto sector, trading generally remained cautious. Investors were hesitant to rush into the market, partly in anticipation of the upcoming long US holiday weekend, and partially because US jobs data was scheduled for release later that afternoon.
In currency markets, the euro weakened slightly during the Friday afternoon session, trading at $1.1619 against the US dollar, while the dollar fetched 0.8607 euros.
The price of gold saw a slight decline, dropping 0.1 percent to $4,471 per troy ounce in the afternoon, equating to 123.71 euros per gram. Meanwhile, oil prices edged down. The Brent crude oil price was recorded at $95.43 per barrel around 12:00 pm Central European Time, which was 9 cents, or 0.1 percent, less than the previous day’s close.
