The DAX partially retreated from its initial gains by midday on Thursday. Around 12:30 p.m., the benchmark index was calculated at approximately 24,975 points, which was 0.2 percent above the previous day’s closing level.
Andreas Lipkow, Chief Market Analyst at CMC Markets, commented that the 25,000-point mark remains a significantly challenging barrier for the DAX today. He attributed the index’s strain to continued selling pressure from automakers and shares in cyclical sectors. Conversely, stocks in Infineon, Siemens Energy, Airbus, and MTU Aero were noted as areas of interest.
Overall, trading activity remained subdued. This subdued nature, combined with decreasing volatility and trading volume, suggests a potential summer slowdown in the market. Lipkow added that geopolitical developments have provided investors with a chance to catch their breath, mentioning that a potential ceasefire in the Middle East over the coming 60 days might lead to calm in financial markets.
Furthermore, Lipkow indicated that the stock market has barely reacted to the anticipated news regarding the Swiss National Bank (SNB), which kept its key interest rate at zero percent, citing no inflation dangers or risks of future price instability. The market continues to trend sideways despite this announcement.
In other markets, the European common currency weakened Thursday afternoon. The Euro traded at $1.1469, meaning the US Dollar was available for 0.8719 Euros.
Gold prices saw a slight increase, climbing to $4,267 per fine ounce in the afternoon, a rise of 0.2 percent. This equates to a price of 119.61 Euros per gram. Meanwhile, oil prices dropped sharply. The Brent crude oil delivered from the North Sea cost $77.83 per barrel around 12 a.m. German time, representing a decrease of 2.2 percent, or 172 cents, compared to the previous day’s close.
