The DAX moved toward the previous day’s level by noon after a weak start to the trading day. At around 12:30 CET the benchmark index was calculated at roughly 23,560 points, about 0.1 % below Thursday’s closing level.
“Investors remain focused on the news from the war in Iran and its effect on energy prices” said Andreas Lipkow, chief market analyst at CMC Markets. “The flight to safe havens is still ongoing and it is also weighing on the euro. This adds to inflation concerns in the eurozone, because the already expensive commodities are priced in US dollars and become even costlier with a weaker euro”.
Lipkow added that the recently released wholesale price data for Germany showed an inflation rate above expectations, giving an early hint of what consumers may face later. Further market developments will hinge on the upcoming releases of US GDP figures, US consumer spending, the PCE deflator, JOLTS data, and the Michigan Consumer Sentiment Index.
On Friday afternoon the euro remained in decline: one euro traded at 1.1468 USD, meaning one US dollar could be exchanged for 0.8720 EUR.
Gold prices were largely unchanged, quoted at 5,096 USD per fine ounce, which translates to 142.86 EUR per gram.
Brent crude oil fell. Around 12:00 CET the North Sea Brent rose to 100.10 USD per barrel, a drop of 32 cents or 0.3 % compared with the close of the previous trading day.
