The DAX began Tuesday’s trading session with slight losses. The benchmark index was calculated at around 25,310 points around 9:30 a.m., representing a 0.3 percent drop compared to the previous day’s closing level. Deutsche Börse, Deutsche Bank, and Allianz led the gainers on the performance list, while Merck, Infineon, and Scout24 were among the laggards.
Thomas Altmann of QC Partners commented that investors might be questioning whether they prematurely factored in a peace treaty between the US and Iran. He noted that while the new US attacks haven’t caused panic in the market, their impact is relatively small. Nevertheless, some of the recent price gains are being retraced. It remains unclear whether these attacks signal the beginning of a new escalation or simply delay current negotiations, and much will depend on Iran’s reaction to the recent strikes.
Altmann also characterized yesterday’s rise in the DAX as impressive, but noted that trading volume was low. He added that, as expected for a public holiday, the volume was light, observing that never before in the current year had so few shares been traded in a single day. Consequently, today presents a test for yesterday’s gains, and it must be questioned whether there is sufficient buying interest at the current price level.
Meanwhile, the European common currency weakened slightly Tuesday morning; the euro was trading at $1.1632, meaning a dollar cost 0.8597 euros. In contrast, oil prices rose sharply. Around 9 a.m. German time, a barrel of Brent crude priced in the North Sea cost $99.04, an increase of 3.0 percent from the previous day’s close.
