The German DAX index experienced a decline on Wednesday, closing at 23,633 points, a decrease of 0.4 percent compared to the previous day’s close. Following a positive start to the trading day, the index saw its earlier gains eroded, transitioning into negative territory in the afternoon.
Market analyst Andreas Lipkow attributed some of the investor uncertainty to ongoing US tariffs, stating that their potential impact on inflation in the United States continues to be a key consideration. This has, in turn, fueled speculation regarding potential interest rates adjustments in the coming week.
Throughout the trading day, Siemens Energy led the Frankfurt stock exchange, followed by Rheinmetall and Siemens Healthineers. At the bottom of the index were the shares of Deutsche Telekom and SAP.
Energy markets saw increases across the board. Gas prices rose, with a megawatt-hour (MWh) for delivery in October costing 33 euros, a 1 percent increase from the previous day. This likely translates to a consumer price of at least 8 to 20 cents per kilowatt-hour (kWh), factoring in ancillary costs and taxes, if this price level persists.
Crude oil prices also demonstrated a notable increase. Brent crude, from the North Sea, traded at $67.38 per barrel around 5 pm German time, marking a $0.99 or 1.5 percent increase from the previous day’s closing price.
The Euro strengthened slightly against the US dollar in Wednesday afternoon trading. One euro was valued at $1.1723, while a dollar fetched 0.8530 euros.
